On 31 May 2019, publity AG revealed that it expects its FY19 net income will double year-on-year to around €50m. The company also anticipates a significant increase in its assets under management (AUM) on the back of positive outlook for its real estate portfolio.
publity highlights that its results will be driven by the ongoing cooperation with institutional investors coupled with generation of finders’ fees and participation in disposal gains. The company also expects to benefit from its own portfolio, which now consists of 5 properties. publity recently expanded its portfolio with two properties located in Frankfurt and one in Essen. This stays in line with publity’s recent strategic decision to develop a fully owned subsidiary (publity Investor GmbH) as its own investment vehicle acquiring attractive office real estate located in the largest German cities.
publity adds that the partnership with Meritz Financial Group and IGIS Asset Management that was agreed in April 2019 has a positive effect on further expansion of its real estate portfolio. The companies will invest a high three-digit million amount during the next 18 months into publity real estate portfolio with a focus on office properties.
The revision of the FY19 forecast represents a significant uplift of the guidance set earlier this year, when the company anticipated a slight increase in its FY19 results. This was however based on the assumption that its AUM will remain stable throughout the period.
Author: Milosz Papst