By Kim Richters 
 

Vonovia SE on Friday said it is planning to further grow revenue and funds from operations this year after the company acquired rival Deutsche Wohnen SE in 2021.

The German real-estate company said for 2022 it is targeting total segment revenue of between 6.2 billion euros ($6.88 billion) and EUR6.4 billion. It also guides for group funds from operations--the company's key figure for operational profitability also called FFO--between EUR2.0 billion and EUR2.1 billion.

"We're anticipating to increase our turnover, EBITDA and Group FFO by more than 20%," said the company's chief executive officer Rolf Buch in a statement.

In 2021, Vonovia's total segment revenue rose 18.5% to EUR5.18 billion, and funds from operations increased 24% to EUR1.67 billion, the company said.

However, net profit fell to EUR2.64 billion from EUR3.23 billion the year earlier, which was mainly due to depreciations and impairments on portfolio assets.

Vonovia proposed a dividend of EUR1.66 a share for 2021, to be paid out of its funds from operations. "If the increase in shares, caused by the capital increase, is taken into account for the dividend of the previous year as well, this amounts to an increase of EUR0.08," the company said.

At 0919 GMT, shares in Vonovia were trading 1.6% lower at EUR46.56.

 

Ulrike Dauer contributed to this article.

 

Write to Kim Richters at kim.richters@wsj.com

 

(END) Dow Jones Newswires

March 18, 2022 05:36 ET (09:36 GMT)

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