Aareal Bank, buoni i risultati

Aareal Bank looks to the future with confidence after a successful 2012 financial year
Aareal Bank Group once again posted good results for the previous financial year, in a market environment that remained very challenging for long periods of time. On the basis of preliminary and unaudited figures, consolidated operating profit amounted to EUR 176 million and, as announced, was therefore down only slightly on the previous year’s very good figure of EUR 185 million, in spite of the uncertainty that persisted during the year.
Similarly, consolidated net income of EUR 85 million was down only slightly on the high figure from 2011 (EUR 93 million). The months between October and December were successful, too. With consolidated operating profit of EUR 46 million (Q4 2011: EUR 47 million), the fourth quarter was in fact the strongest quarter of the year.
At EUR 106 million, allowance for credit losses in the 2012 financial year was not only lower than the previous year’s figure of EUR 112 million but also developed more favourably than expected. The bank’s own forecasts on new business in the Structured Property Financing segment were also exceeded: at EUR 6.3 billion, the volume of new business clearly exceeded the upper end of the projected range of EUR
4.5 billion to EUR 5.5 billion. At EUR 358 million, administrative expenses were significantly lower than the previous year (EUR 382
million) and within the projected range of EUR 350 million to EUR 360 million.
Dr Wolf Schumacher, Chairman of the Management Board, commented on the success of the past year: «We continued to remain on track in 2012, in a sometimes difficult environment, and delivered on our promises again. We achieved all of our main objectives for the year, even exceeding some of them. We consistently took advantage of market opportunities that arose, whilst further strengthening our capital base and liquidity. After a good start into 2013, we look ahead with confidence. We are in an excellent position to continue our positive performance going forward, and to further strengthen our leading market position in both segments».
Outlook for 2013: The environment is expected to improve slightly.
In view of the decisions reached in recent months at EU level as well as in the crisis states, the sovereign debt crisis is expected to ease further. Even though a sustainable solution to the crisis has not yet been found and a renewed escalation cannot be ruled out, latest developments on the capital markets suggests that market participants believe the worst is overcome.
Against this background, Aareal Bank – which celebrates its 90th anniversary this year – has started this year on a cautiously optimistic note. Despite the challenges that still exist – especially the recessionary trend in some European countries and prevailing uncertainty surrounding future regulatory measures – the Management Board forecasts a slight improvement in Aareal Bank’s business environment.
Dr Schumacher summarised: «Our strategy also works in what is being referred to as the “new normal”. On the basis of our pronounced strengths and with our strict management of costs, risks and capital, we will be in a position to achieve a solid performance, and to increase the bank’s sustainable enterprise value in the future».
Source: Company