- IRS official refuses to answer questions at scandal hearing |
- Global stocks, oil fall after Bernanke; dollar gains |
- Oklahoma tornado victims astounded at how they survived |
- CORRECTED-White House threatens veto of bill to bypass Obama on Keystone
- FBI says man shot dead while being questioned about Boston bombings
UPDATE 1-Gecina sees net income stable in 2013
* 2012 net recurring income 308.6 mln euros vs 273 mln poll
* Expects stable net recurring income in 2013 (Adds details from statement)
PARIS Feb 22 (Reuters) - French property group Gecina forecast a stable net recurring income this year after lower financial costs helped it prevent a drop in 2012 earnings, it said on Friday.
The real estate investment trust, which is shedding non-strategic assets to reduce its debt, said it had brought down its loan-to-value (LTV) ratio, which tracks debt, to 39.7 percent at end-2012, from 42.6 percent in 2011.
Net recurring income grew 0.2 percent to 308.6 million euros in 2012, higher than its forecast for a 2 percent drop and above analysts estimates of 273 million euros, according to a Thomson Reuters I/B/E/S consensus.
Since becoming Chief Executive in October 2011, former Credit Agricole executive Bernard Michel has focused on cutting debt and improving the finances of Gecina as it struggled with rising financing costs.
Net financial costs fell 8.6 percent to 175.1 million euros in 2012 thanks to the cheaper cost of debt, which fell to 4 percent last year from 4.1 percent in 2011 as well as the clearance of 700 million euros of debt this year, Gecina said.
The company also saved 11.2 million euros on wages and management costs.
Gecina has been under the spotlight since October when two Spanish investment companies - Alteco and MAG Import - that own 31 percent of the French real estate group, filed for bankruptcy.
In November, Exane BNP Paribas sold its 1.5 percent in Gecina for a total of about 72 million euros on behalf of Spain's Grupo Prasa, market sources said.
The company also hit its target for asset sales of 1.2 billion euros over the year, helped by the sale of 450 million euros worth of assets in the fourth quarter alone, taking the full-year amount to 1.3 billion euros.
The company said it would propose a 2012 dividend of 4.4 euro per share, unchanged from 2011. (Reporting by Alice Cannet, editing Dominique Vidalon)
- Tweet this
- Share this
- Digg this