Corio Profits Rise On Higher Rental Income
November 04 2010 - 12:39PM
Dow Jones News
Dutch real-estate company Corio NV (CORA.AE) Thursday reported a
jump in third-quarter profit as a large acquisition helped to boost
rental income, and it reiterated that 2010 earnings will be
"significantly higher" than last year.
The Utrecht-based company, one of Europe's biggest listed
investors in shopping malls, said its direct result--rental income
minus taxes and operating and administrative expenses--rose to
EUR67.1 million from EUR60.6 million in the same period a year
earlier.
Investors watch this figure closely, as it is used to calculate
dividend payments.
Profit was helped by the acquisition earlier this year of a
EUR1.3 billion real-estate portfolio that included four shopping
centers in Germany, Spain and Portugal, and which lifted gross
rental income 18% to EUR117.3 million.
Corio reiterated that the acquisition will "significantly" boost
its 2010 direct result compared with last year, when it reported a
direct result of EUR218.2 million. It didn't elaborate.
Corio competes with Franco-Dutch rival Unibail-Rodamco SA
(UL.FR) and Netherlands-based Wereldhave NV (WHA.AE). Its biggest
tenants include food and fashion retailers such as Royal Ahold NV
(AH.AE), Hennes & Mauritz AB (HM-B.SK) and Inditex SA
(ITX.MC).
Corio shares closed Thursday at EUR51.93. The stock has gained
15% in value since the start of 2010.
-By Maarten van Tartwijk, Dow Jones Newswires; +31 20 571 5201;
maarten.vantartwijk@dowjones.com