Committed Investor Relations Activities, Analyst Assessments and Dividend

Committed Investor Relations Activities

Vonovia SE is committed to transparent, ongoing dialog with its shareholders and potential investors. In the 2017 fiscal year, Vonovia participated in a total of 22 investors’ conferences and 15 roadshows in key financial centers in Europe, North America, Asia and South Africa. In addition, Vonovia took part in various investor forums and numerous one-on-one meetings and conference calls were held with investors and analysts to keep them informed of current developments and special issues.

Our annual Capital Markets Day was held on June 19 and 20, 2017, and attracted 50 external participants. The exceptional choice of venue, the Vonovia Ruhrstadion soccer stadium in Bochum, highlighted the company’s ties to its home city and reinforced Vonovia’s innovative approach. The conference program gave the participants an in-depth insight into the company’s operating business. In addition to a management presentation, the focus was on the topics of “modular construction,” “operational platform and customer service,” as well as the Value-add Business segment (property-related services). The presentations were rounded off by visits to Dortmund, where Vonovia had just completed new apartments using series construction, and to the Duisburg customer service center, where the participants were able to convince themselves of Vonovia’s professional operations on the basis of state-of-the-art technology.

The Investor Relations team also organized and carried out numerous property tours for interested investors and analysts on location with colleagues from the operational areas of the company. The aim of these events was to provide the participants with firsthand insight into Vonovia’s real estate portfolio and processes. Investor Relations also held detailed presentations on Vonovia and the situation on the German residential real estate market at informational events for private shareholders.

In 2018, we will continue to communicate openly with the capital market. Various roadshows, conferences and participation in investor forums have already been planned. Information can be found in the Financial Calendar on our Investor Relations website.

Positive Analyst Assessments

At present, 30 international analysts publish studies on Vonovia on a regular basis (as of December 31,2017). The average target share price was € 42.69 as of December 31, 2017. Of these analysts, 65% issued a “buy” recommendation, with 35% issuing a “hold” recommendation and no analysts recommending that investors sell the company’s shares. Four brokers have currently suspended their coverage of Vonovia due to the planned BUWOG takeover.

The continuity of our business strategy is also reflected in our dividend policy. Our aim is to distribute around 70% of our to our shareholders. This provides our shareholders with an attractive distribution while also ensuring, in the long run, that the funds we need to maintain our portfolio, for example, remain within the company. Since our IPO in 2013, we have been able to increase our dividend per share by at least 10% every year. As far as the 2017 fiscal year is concerned, we plan to propose a dividend per share of € 1.32 to the Annual General Meeting, which represents an increase of 18% as against 2016.

Attractive Dividend

Attractive Dividend (bar chart)
The profit or loss for the period to reflect the adjusted profit or loss from sales; period adjustments from assets held for sale; specific effects that do not relate to the period, are non-recurring or do not relate to the objective of the company; the net income from fair value adjustments of investment properties; depreciation and amortization; deferred and prior-year current taxes (tax expenses/income); transaction costs; prepayment penalties and commitment interest; valuation effects on financial instruments; the unwinding of discounting for provisions, particularly provisions for pensions, and other prior-year interest expenses and income that are not of a long-term nature.