Half-Year Report 2021

Related Links

Service

Results of Operations

Vonovia recorded stable business development overall in the first half of 2021. The ongoing coronavirus pandemic still did not have any significant impact on the company’s operational and financial performance.

In many areas, our business processes again continued virtually unhindered thanks to employees working from home. The employees of the craftmen’s organization were active on site almost without restriction.

In the first half of 2021, we observed stable demand for rental apartments and no negative impact on market values as a result of the coronavirus pandemic. Vonovia experienced only a very low level of rent losses in the first six months of 2021, and expects defaults to remain low in the future, too. The coronavirus pandemic had only a minor impact on modernization and/or new construction measures in the first half of 2021.

As of June 30, 2021, Vonovia managed a portfolio comprising 414,068 of its own residential units (June 30, 2020: 414,879), 138,650 garages and parking spaces (June 30, 2020: 138,626) and 6,515 commercial units (June 30, 2020: 6,642). The locations span 625 cities, towns and municipalities (June 30, 2020: 639) in Germany, Sweden and Austria. 71,671 residential units (June 30, 2020: 73,488) are also managed for other owners.

At the end of the first half of 2021, Vonovia employed 10,793 people (June 30, 2020: 10,440).

The following key figures provide an overview of Vonovia’s results of operations and the relevant drivers in the first half of 2021.

in € million

H1 2020

H1 2021

Change in %

12M 2020

 

 

 

 

 

Total Segment Revenue

2,101.9

2,312.3

10.0

4,370.0

Revenue in the Rental segment

1,132.9

1,170.5

3.3

2,285.9

Revenue in the Value-add segment

521.2

557.4

6.9

1,104.6

Revenue in the Recurring Sales segment

195.0

327.8

68.1

382.4

Revenue in the Development segment

252.8

256.6

1.5

597.1

Adjusted EBITDA Total

942.2

1,021.8

8.4

1,909.8

Adjusted EBITDA Rental

781.4

823.8

5.4

1,554.2

Adjusted EBITDA Value-add

67.6

79.2

17.2

152.3

Adjusted EBITDA Recurring Sales

48.1

83.5

73.6

92.4

Adjusted EBITDA Development

45.1

35.3

-21.7

110.9

Group FFO

676.3

764.7

13.1

1,348.2

EBITDA IFRS

877.4

893.6

1.8

1,822.4

Monthly in-place rent (€/m2)

7.03

7.29

3.7

7.16

Average area of own apartments in the reporting period (in thou. m2)

26,561

26,500

-0.2

26,532

Average number of own units (number of units)

415,348

414,798

-0.1

414,931

Vacancy rate (in %)

2.8

2.7

-0.1 pp

2.4

Maintenance expenses and capitalized maintenance (€/m2)

9.33

10.99

17.8

22.31

thereof expenses for maintenance (€/m2)

5.82

6.17

6.0

12.10

thereof capitalized maintenance (€/m2)

3.51

4.82

37.3

10.21

Number of units bought

–

166

–

1,711

Number of units sold

1,931

2,184

13.1

3,677

thereof Recurring Sales

1,327

1,865

40.5

2,442

thereof Non-core Disposals

604

319

-47.2

1,235

Number of new apartments completed

617

841

36.3

2,088

thereof own apartments

534

389

-27.2

1,442

thereof apartments for sale

83

452

>100

646

Number of employees (as at June 30/December 31)

10,440

10,793

3.4

10,622

 
Total Segment Revenue

in € million

H1 2020

H1 2021

Change in %

12M 2020

 

 

 

 

 

Rental income

1,134.2

1,171.7

3.3

2,288.5

Other income from property management unless included in the operating expenses in the Rental segment

24.4

27.2

11.5

50.2

Income from disposals Recurring Sales

195.0

327.8

68.1

382.4

Internal revenue Value-add

496.1

529.5

6.7

1,053.0

Income from disposal of properties (Development)

107.5

191.7

78.3

297.7

Fair value Development to hold

144.7

64.4

-55.5

298.2

Total Segment Revenue

2,101.9

2,312.3

10.0

4,370.0

 

 

 

 

 

Total segment revenue increased by 10.0% from € 2,101.9 million in the first half of 2020 to € 2,312.3 million in the first half of 2021. The main drivers behind the development in total segment revenue in the first half of 2021 were income from disposal of properties in the Recurring Sales segment, income from disposals in the Development segment and the increase in rental income due to organic growth.

Recurring Sales
The Recurring Sales segment includes the regular and sustainable disposals of individual condominiums from our portfolio. It does not include the sale of entire buildings or land (Non-core Disposals). These properties are only sold as and when the right opportunities present themselves, meaning that the sales do not form part of our operating business within the narrower sense of the term. Therefore, these sales will be reported under “Other” in our segment reporting.
Rental Income
Rental income refers to the current gross income for rented units as agreed in the corresponding lease agreements before the deduction of non-transferable ancillary costs. The rental income from the Austrian property portfolio additionally includes maintenance and improvement contributions (EVB). The rental income from the portfolio in Sweden reflects inclusive rents, meaning that the amounts contain operating and heating costs.