Results
Direct result
NSI uses the direct result (rental income less operating costs, service costs not recharged, administrative costs and financing costs) as a measure for its core business and for its dividend policy.
Gross rental income in the first half of 2010 was comparable to the first half of 2009, €52.4 million against €52.3 million. Net rental income also decreased slightly in the first half of 2010 compared to the first half of 2009, €45.0 million in the first half of 2009 compared to € 44.7 million in the first half of 2010, due to the sales of property and the increased vacancy level. Compared to the first quarter of 2010 (€23.6 million) net rental income in the second quarter of 2010 decreased by €2.5 million to €21.1 million, due to the one-off item of €2.0 million in the first quarter, lower rental income by €0.2 million and higher operating costs by €0.3 million.
Rental income in the Netherlands and Switzerland
| (x €1,000) |
H1 2010 |
H1 2009 |
|
| The Netherlands | Gross rental income |
49,073 |
49,076 |
| Net rental income |
42,390 |
42,466 |
|
| Switerland | Gross rental income |
3,238 |
3,364 |
| Net rental income |
2,356 |
2,560 |
Indirect result
The indirect investment result for the first half-year of 2010 amounted to - €26.7 million. The indirect result consists of both realised revaluations (sales results on investments sold) and unrealised revaluations. These unrealised revaluations concern the changes in the market value of the property portfolio of - €14.7 million and the interest-rate hedging instruments amounting to -€10.5 million. The indirect result for the first half-year of 2009 amounted to -€42.2 million. Separated into the first and second quarters of 2010, the indirect results were respectively - €11.0 million and - €15.7 million.
The revaluation of the Dutch property portfolio in the second quarter of 2010 amounted to -€9.6 million (Q1 2010: -€5.0 million) and was almost entirely concentrated in the office portfolio, with -€6.8 million. The downward revaluation in the office portfolio is due to the increased vacancy level and pressure on market rents. The yields have not changed. This is in line with the downward revaluation of the offices in past quarters. The remainder of the revaluation is mainly formed by the acquisition costs of the Sterpassage in Rijswijk.
The decrease in fair value of the Dutch property portfolio, therefore, without taking into account the identified acquisition costs, amounted to -€12.3 million in the first half of 2010. The downward revaluation for the first half-year of 2009, however, was -€34.3 million.
The revaluation of the interest-rate hedging instruments was the result of a further decline in the long-term interest yield curve during the past quarter. The value of these instruments will automatically revert to zero at maturity, whereby this negative effect will be eliminated.
.
Revaluation results the Netherlands
| (x €1,000) | Q2 2010 | Q1 2010 |
Q4 2009 |
Q3 2009 |
Q2 2009 |
Q1 2009 |
Q4 2008 |
Q3 2 008 |
Q2 2008 |
Q1 2008 |
|
Offices |
- 6,767 |
- 4,230 |
- 6,094 |
- 4,092 |
- 4,300 |
- 23,389 |
- 10,245 |
- 17,874 |
- 5,025 |
- 11,728 |
|
Retail |
- 2,647 |
607 |
- 1,208 |
- 153 |
- 924 |
- 1,773 |
423 |
251 |
3,456 |
5,493 |
|
Industrial |
- 109 |
- 1,342 |
- 2,005 |
- 347 |
- 322 |
- 2,830 |
- 1,330 |
- 2,473 |
- 268 |
- 296 |
|
Residential |
- 90 |
- |
- 127 |
3 |
262 |
- 94 |
- 649 |
107 |
150 |
144 |
|
Total |
- 9,613 |
- 4,965 |
- 12,372 |
- 4,665 |
- 4,806 |
- 29,412 |
- 14,941 |
- 20,198 |
- 26 |
- 6,551 |
Revaluation results Switzerland
|
(x €1,000) |
Q2 2010 | Q1 2010 |
Q4 2009 |
Q3 2009 |
Q2 2009 |
Q1 2009 |
Q4 2008 |
Q3 2008 |
Q2 2008 |
Q1 2008 |
|
Offices |
- |
- |
- 350 |
- |
52 |
20 |
516 |
- 263 |
514 |
35 |
|
Retail |
- 142 |
- |
- 564 |
- 2 |
- 51 |
- 132 |
- 1,498 |
- 52 |
89 |
- 339 |
|
Total |
- 142 |
- |
- 914 |
- 2 |
1 |
- 112 |
- 982 |
- 315 |
603 |
- 304 |
Yields on 30 June 2010 and 31 December 2009
|
Gross yield in %* 30-06-2010 |
Net yield in %** 30-06-2010 |
Gross yield in % 31-12-2009 |
Net yield in % 31-12-2009 |
|
| Offices |
9.4 |
8.1 |
9.4 | 7.9 |
| Retail |
7.4 |
6.3 |
7.4 | 6.5 |
| Industrial |
9.7 |
8.4 |
9.9 | 9.0 |
| Residential |
6.2 |
5.4 |
6.2 | - 5.9 |
| Total |
8.4 |
7.3 |
8.5 | 7.3 |
|
Gross yield in % 30-06-2010 |
Net yield in %* 30-06-2010 |
Gross yield in % 31-12-2009 |
Net yield in % 31-12-2009 |
|
| The Netherlands |
8.6 |
7.4 |
8.6 | 7.5 |
| Switzerland |
7.2 |
5.9 |
7.2 | 5.7 |
| Total |
8.4 |
7.3 |
8.5 | 7.3 |
* gross yield: the theoretical annual rent expressed as a percentage of the market value of the real estate.
** net yield: the theoretical net rental income expressed as a percentage of the market value of the real estate.
Consolidated direct and indirect investment result (x €1,000)
|
(x €1,000) |
H1 2010 |
H1 2009 |
2e quarter 2010 | 2e quarter 2009 |
| Gross rental income |
52,311 |
52,440 |
25,079 | 26,295 |
| Service costs not recharged |
- 938 |
- 1,216 |
- 478 | - 591 |
| Operating costs |
- 6,627 |
- 6,198 |
- 3,488 | - 2,808 |
| Net rental income |
44,746 |
45,026 |
21,113 | 22,896 |
| Financing income |
12 |
89 |
6 | 75 |
| Financing expenses |
- 16,479 |
- 17,610 |
- 8,395 | - 8,754 |
| Administrative costs |
- 1,471 |
- 1,885 |
- 710 | - 1,193 |
| Direct investment result before tax |
26,808 |
25,620 |
12,014 | 13,024 |
| Corporate income tax |
43 |
110 |
26 | 65 |
| Direct investment result |
26,765 |
25,510 |
11,988 | 12,959 |
| Revaluation of investments |
-14,720 |
- 34,329 |
- 9,755 | - 4,805 |
| Net result on sales of investments |
- 245 |
279 |
- 286 | 58 |
| Movements in market value of financial derivatives |
- 10,513 |
- 8,017 |
- 5,003 | 3,101 |
| Exchange-rate differences |
- 500 |
- 73 |
- 349 | 11 |
| Allocated management costs |
- 651 |
- 706 |
- 325 | - 354 |
| Indirect investment result before tax |
- 26,629 |
- 42,846 |
- 15,718 | - 1,989 |
| Corporate income tax |
99 |
316 |
- 2 | 81 |
|
Indirect investment result |
- 26,728 |
* 43,162 |
- 15,716 | - 2,070 |
|
Total investment result |
37 |
- 17,652 |
- 3,728 | 10,889 |
| Data per average outstanding share (€1) | ||||
| Direct investment result |
0.67 |
0.70 |
0.30 | 0.35 |
| Indirect investment result |
- 0.67 |
- 1.19 |
- 0.39 | - 0.06 |
| Total investment result |
0.00 |
- 0.49 |
- 0.09 | 0.29 |
Go to interim report at 30 June 2010
Financials
Contact
Nieuwe Steen Investments N.V.
| Nieuwe Steen 27 Postbus 4145 1620 HC Hoorn |
T. +31 (0)229-295050 F. +31 (0)229-231372 E. info@nsi.nl |