IRSA Inversiones y Representaciones Sociedad Anonima Announces Results for the First Six Months of Fiscal Year 2010 Ended December 31, 2009
BUENOS AIRES, Argentina, Feb. 11 /PRNewswire-FirstCall/ -- IRSA Inversiones y Representaciones Sociedad Anonima (NYSE: IRS; BASE: IRSA), the leading real estate company in Argentina, announces its results for the First Six Months of Fiscal Year 2010 Ended December 31, 2009.
HIGHLIGHTS
-- Net income for the first six months of fiscal year 2010 amounted to Ps. 264.3 million, compared to a Ps. 99.0 million loss in the same period of the previous fiscal year.
-- Total revenues for the six months increased 21.3% to Ps. 656.6 million compared to the same period of the previous fiscal year: Sales and Developments rose by 115.8% to Ps. 137.4 million; Offices and Other Rental Properties increased by 11.5% to Ps. 79.0 million; Shopping Centers rose by 29.2% to Ps. 252.2 million; Hotels decreased by 13.3% to Ps. 76.3 million; and Consumer Finance decreased 9.6% to Ps. 111.7 million.
-- Operating results for the July-December 2009 period showed a Ps. 291.8 million profit compared to the Ps. 48.9 million recorded in the same period of the previous fiscal year.
-- Shopping Centers: EBITDA from this segment increased 36.6% (EBITDA/Sales: 78%) with high occupancy, at 98%. A recovery in sales growth rate was experienced during the last quarter.
-- Consumer Finance: Following the actions taken in the last year, its results have recovered and they show an EBITDA/Sales margin of 19%, in line with those experienced before the world financial crisis.
-- Sales and developments: This segment reflects the results from the sale of non core office assets made during the period. The prices, which show a sustained level despite the world financial turbulence, reflect the strength of the local real estate market and of our assets, which are perceived by purchasers as a means for preserving the value of their investments.
-- Consolidation of holdings and business lines: Our subsidiary Alto Palermo agreed to the sale of 80% of Tarshop to Banco Hipotecario, which is subject to certain conditions, and IRSA increased its stake in Banco Hipotecario S.A. to 26.86% of its issued stock capital. Moreover, in January 2010, IRSA agreed upon an option to purchase 29.6% of Alto Palermo's stake in the hands of Parque Arauco for US$ 126 million. Should the option be exercised, IRSA will consolidate its position in the Argentine shopping center market.
-- IRSA paid cash dividends for Ps. 31.7 million, representing 20% of the net income for fiscal year 2009, in compliance with the policy set by the Board of Directors.
First Six Month of Fiscal Year 2010 Financial Highlights
(In thousands of Argentine Pesos)
Ended December 31, 2009
12-31-09 12-31-08
Total sales 656,595 541,363
Operating Income 291,842 48,898
Net Income (Loss) 264,313 (99,015)
Net Income per GDS 4.57 (1.71)
12-31-09 06-30-09
Total Current Assets 902,608 891,869
Total Non Current Assets 4,326,528 4,044,118
Total Assets 5,229,136 4,935,987
Short-Term debt 359,720 349,243
Total Current Liabilities 952,535 974,890
Long-term debt 1,104,552 1,044,725
Total Non Current Liabilities 1,437,814 1,401,054
Total Liabilities 2,390,349 2,375,944
Minority interest 510,583 464,381
Shareholders' Equity 2,328,204 2,095,662
IRSA Inversiones y Representaciones S.A. (NYSE: IRS, BASE: IRSA) is Argentina's largest, most well-diversified real estate company, and it is the only company in the industry whose shares are listed on both the Bolsa de Comercio de Buenos Aires and The New York Stock Exchange. Through its subsidiaries, IRSA manages an expanding top portfolio of shopping centers and office buildings, primarily in Buenos Aires. The company also develops residential subdivisions and apartments (specializing in high-rises and loft-style conversions) and owns three luxury hotels. Its solid, diversified portfolio of properties has established the Company as the leader in the sector in which it participates, making it the best vehicle to access the Argentine real estate market. Additionally, IRSA owns a stake in Banco Hipotecario, Argentina's largest mortgage supplier.
A LONGER VERSION OF THIS PRESS RELEASE WITH DETAILED INFORMATION IS AVAILABLE ON THE WEB SITE: WWW.IRSA.COM.AR
IRSA cordially invites you to participate in its First Six Months of Fiscal Year 2010 Results Conference Call on Tuesday, February 23, 2010 at 11:00 a.m. Eastern Time
To participate, please call:
800-314-6696 If you are in the US or
+1-706-758-8485 for international calls
To access the webcast, click on the link below:
http://www.videonewswire.com/event.asp?id=66321
Investor Relations Department
IRSA Inversiones y Representaciones S.A.
[email protected]
SOURCE IRSA Inversiones y Representaciones Sociedad Anonima
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