Eastern Property Holdings Limited (EPH) announces 2019 Year End Results

28 April 2020, Road Town, Tortola, BVI

Eastern Property Holdings Ltd (EPH), a real estate investment and development company with focus on Russia, the CIS and Europe, today announces audited 2019 year-end results:

• NAV of $40.73 per share – increased from $ 33.82 at YE2018

• Net profit attributable to the shareholders of $40.68 million ($4.01 per share) and the positive cumulative translation adjustment (CTA, reflected as the other comprehensive income in equity) of US$27.73 million contributed to the US$68 million increase in equity attributable to the shareholders.

• The main factors influencing NAV are:
  • Good stable performance of the rental properties - $71.30 million of net rental income (vs US$ 68.21 million in 2018). Newly acquired property in Vienna contributed app. US$ 3.2 million of net rental income for the period from March to December 2019
  • $ 3.12 million of profit has been recognized for the sale of Arbat 24&39 apartments and parking lots
  • US$ 53.51 million increase in investment property valuations in US$ equivalent
  • Increase in administrative and selling overheads by US$3.29 million resulting from continuing extensive growth of the Group and start of active marketing of Arbat residential properties.
  • Impact of exchange rate fluctuations in the reporting period (overall negative effect of $ 4.48 million): net foreign exchange losses recognized in the income statement are to significant extent compensated by the positive change in CTA

• The Company’s investment properties held at fair value are $1007.5 million (31 December 2018: $841.5 million). The growth is mainly caused by the addition of QBC4 property (US$117.36 million) and improvement of both the rental portfolio and critical valuation assumptions, such as positive changes in ERV and yields level, reflecting economic conditions observed at YE 2019.

The Company would like to emphasize that COVID-19 effects are considered as being non-adjusting event per the accounting standards and do not affect Company’s financial results, including valuation adjustment of Investment property, for 2019.

Our annual report, including full financial statements, is available on the company’s website:
http://www.easternpropertyholdings.com/investors/reports.php

CONFERENCE CALL WITH MANAGEMENT

Please join management for a conference call to discuss EPH’s 2019 results on

Thursday, 30 April 2020 at 10:00 a.m. (CET)

Dial in: +41 58 262 07 22

Access Code: 035797

A presentation for the call will be posted on the company’s website shortly before the call, www.easternpropertyholdings.com

Eastern Property Holdings Ltd. is an investment company listed on SIX Swiss Exchange which holds interest in office, residential and retail properties. EPH is managed by Valartis International Ltd. a wholly-owned subsidiary of Valartis Group AG.

Additional information on Eastern Property Holdings is available by contacting Anna Bernhart Tel: +41 44 503 5400.

Attachments

• 200428 EPH Release Financials FY2019
• EPH Annual Report 2019