EANS-News: S IMMO AG / S IMMO AG remains on course for record-setting year

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9-month report

· Substantial value increases, particularly in Germany
· Revaluation gains realised through sales
· Further investments planned in Germany
· Profit for the period increases to EUR 119.8m

The 2016 financial year is set to be another record year for S IMMO. As at the
end of the third quarter, the positive trend of the preceding quarters has been

reaffirmed and can be attributed to various factors. With the sale of
around one third of its German residential portfolio, the company
realised the valuation gains of the past years. Success was also
achieved in the company's operating business. Ernst Vejdovszky, CEO
of S IMMO AG, had the following comment: "Taking advantage of peaks
on our markets and taking profits is a key element of our
cycle-oriented strategy. At the same time, we are making purchases on
the markets in which we see upside potential."

Development of earnings The first three quarters of the financial
year 2016 were extremely successful for S IMMO. This was largely due
to the revaluation gains, which amounted to EUR 107.6m as at 30
September 2016 (Q3 2015: EUR 16.8m). This development was primarily
attributable to the dynamic growth on the German real estate market
and sales-related revaluation gains. Key indicators such as EBIT,
EBT, and net income for the period increased significantly compared
with the same period of the previous year. EBIT climbed to EUR 170.5m
(Q3 2015: EUR 76.1m), EBT totalled EUR 118.4m (Q3 2015: EUR 34.6m),
and net income for the period amounted to EUR 119.8m (Q3 2015: EUR
28.2m).

In the third quarter of 2016, S IMMO sold part of its German property
portfolio. The sale comprised a total of around 1,500 residential
units in Berlin and the region of Hamburg. In terms of space, the
transaction volume accounts for roughly one-third of S IMMO's German
residential portfolio. The closing for the majority of the properties
in Berlin already took place in the third quarter. The transactions
for one property in Berlin and the remaining properties that are held
for sale as at 30 September are expected to close in late 2016/early
2017. In the interim financial statements as at 30 September, the
sale described above makes a positive contribution, primarily to
revaluation gains and - due to the reversal of deferred taxes - also
to the tax result.

Capital market At the end of the quarter, the S IMMO share was listed
at a price of EUR 9.37, having achieved a year-to-date gain of
14.27%. It thus significantly outperformed both the ATX and the IATX
once again. The average target price of the analysis firms that
assess the S IMMO share was EUR 10.17 as at 30 September 2016. In the
reporting period, the share also posted increased trading volumes as
well as growing investor interest from countries such as Switzerland
and Hungary.

At the end of September, the Management Board approved the launch of
an additional share repurchase programme. The volume is up to 669,171
shares, equivalent to 1% of the current share capital. Prior to the
launch of the programme, the company held 190,003 treasury shares,
equivalent to around 0.28% of the current share capital. The approved
programme started on 04 October 2016 and will run until 09 December
2016.

Outlook The sale of parts of the German residential portfolio does
not change the fact that Germany will remain the focus of S IMMO AG's
investment activities. Over the past three quarters, eight properties
with total space of more than 45,000 m² were added to the German
portfolio, and additional purchases are planned in the coming months.
In addition, the company is working intensively to prepare for
exciting development projects in Berlin.

S IMMO is also active in Vienna. Along with the Quartier Belvedere
Central development next to the new Vienna Central Station, another
project in the fifth district of Vienna is ready to go. In Bucharest,
the conversion of the Sun Plaza shopping centre is going according to
plan and the construction of the office property The Mark started in
the summer.

According to Friedrich Wachernig, member of S IMMO AG's Management
Board, "We can look back at several successful months and are very
confident that we will close 2016 with another record result. At this
point, we are not resting on our laurels, but are instead working
hard to create additional value for our shareholders in the coming
years."

S IMMO AG As Austria's first stock exchange listed real estate
investment company, S IMMO AG has stood for expertise, a strong
portfolio, and profitable growth since 1987. The company invests in
commercial property (office, retail, and hotel) as well as
residential property in four regions (Austria, Germany, and Central
and Southeastern Europe). S IMMO AG's strategic core shareholders are
Erste Group and Vienna Insurance Group.

Consolidated income statement for the period 01 January 2016-30
September 2016 in EUR m / fair value method

01-09/2016 01-09/2015
Revenues 147.1 141.6
rental income 88.5 83.2
revenues from operating costs 28.3 25.4
revenues from hotel operations 30.2 33.0
Other operating income 2.1 2.3
Expenses directly attributable to properties -48.9 -42.6
Hotel operating expenses -22.7 -23.9
Gross profit 77.6 77.4
Income from property disposals 192.9 15.9
Book value of property disposals -188.5 -15.9
Gains on property disposals 4.4 0
Management expenses -13.2 -12.2
Earnings before interest,tax, depreciation and
amortisation (EBITDA) 68.7 65.2
Depreciation and amortisation -5.9 -5.8
Results from property valuation 107.6 16.8
Operating result (EBIT) 170.5 76.1
Financing costs -50.9 -41.1
Financing income 2.2 0.9
Results from companies measured at equity 0.5 0.8
Participating certificates result -3.9 -2.2
Net income before tax (EBT) 118.4 34.6
Taxes on income 1.4 -6.4
Consolidated net income for the period 119.8 28.2
Of which attributable to shareholders
in parent company 118.6 26.5
Of which attributable to
non- controlling interests 1.2 1.6

Earnings per share (in 1.78 0.40
EUR)

Key data on properties 30 September 2016
Portfolio properties number 190
Total useable space millions of m2 1.2
Gross rental yield % 6.5
Occupancy rate % 93.5

Due to automatic data processing, this press release may contain
apparent mathematical errors in the rounding of figures.

Further inquiry note:
Investor Relations:
Andreas J. Feuerstein
Tel.: +43(0)50 100-27556
Fax: +43(0)50 100 9-27556
E-Mail: andreas.feuerstein@simmoag.at
www.simmoag.at

Corporate Communications:
Elisabeth Wagerer
Tel.: +43(0)50 100-27867
Fax: +43(0)50 100 9-27867
E-Mail: Elisabeth.Wagerer@simmoag.at
www.simmoag.at

end of announcement euro adhoc
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company: S IMMO AG
Friedrichstraße 10
A-1010 Wien
phone: +43 1 22795-0
FAX: +43 1 22795-91125
mail: office@simmoag.at
WWW: www.simmoag.at
sector: Real Estate
ISIN: AT0000652250
indexes: ATX Prime, IATX
stockmarkets: official market: Wien
language: English

Original-Content von: S IMMO AG, übermittelt durch news aktuell