The EPRA Earnings for 9M 2018 amounts to 101.2 million euros, an increase of 12% compared to 9M 2017.

The EPRA Earnings per share amounts to 4.55 euros, an increase of 9% compared to 9M 2017.

WDP reaffirms its ambition to achieve an EPRA Earnings per share of 6.00 euros for 2018, as well as a target gross dividend of 4.80 euros – a 7%-increase each.

Over the course of the third quarter of 2018, a new investment package of over 100 million euros was secured, mainly in the growth market of Romania.

1. Summary
The EPRA Earnings1 for 9M 2018 amounts to 101.2 million euros, marking an increase of 12.4% over 2017 (90.0 million euros). The EPRA earnings per share2 for 9M 2018 comes to 4.55 euros, an increase of 9.0% over the figure of 4.17 euros from 2017.
The net result (IFRS) – Group share for 9M 2018 amounts to 194.3 million euros, driven in part by a variation of 91.5 million euros (or 3.0%) in the underlying value of the property portfolio. The net result (IFRS) – Group share per share for 9M 2018 amounts to 8.73 euros, compared to 8.56 euros in 2017.
The occupancy rate3 was 97.4% on 30 September 2018, compared to 97.4% on 31 December 2017. The average duration (until the first termination date) of the lease contracts in the WDP portfolio is 6.0 years (including solar panels).
On 30 September 2018, the gearing ratio was 53.9%/54.1% (IFRS4/proportionate), compared to 51.1%/52.5% on 30 September 2017.
The EPRA NAV5 was 63.4 euros on 30 September 2018, compared to 55.9 euros on 30 September 2017. The IFRS NAV was 61.5 euros on 30 September 2018, compared to 53.9 euros on 30 September 2017.
The total identified investment volume under the 2016-20 growth plan is approx. 1 billion euros. After all, a new investment package of over 100 million euros was secured during the third quarter of 2018 (mainly in the growth market of Romania). A total of around 250 million euros in new investments have been successfully identified in 2018. This package includes various projects leased to existing and new clients, as well as strategic landholdings for further development.
For 2018, WDP confirms its ambition for EPRA Earnings of 6.00 euros per share (an increase of 7%). Based on the outlook, a dividend of 4.80 euros gross per share is proposed for 2018 (payable in 2019), marking another increase, this time of 7% over 2017.6 For the 2018-20 period, the aim is to achieve a cumulative increase of 25% in the EPRA Earnings, to 7.00 euros per share, compared to 5.60 in 2017. 6
In accordance with the guidelines issued by ESMA (the European Securities and Markets Authority), the Alternative Performance Measures (APM) used by WDP must be defined in a footnote on their first mention in this press release. This definition will also be accompanied by a symbol (?) so the reader can easily recognise it as an APM definition. Chapters 7 and 8 of this press release also give a reconciliation of these indicators.
1 ? EPRA Earnings: this figure is the underlying result of the core activities and indicates the degree to which the current dividend payments are supported by the profit. This result is calculated as the net result (IFRS) exclusive of the result on the portfolio, the changes in the fair value of financial instruments and depreciation and write-down on solar panels. See also www.epra.com.
2 ? The EPRA Earnings per share are the EPRA Earnings based on the weighted average number of shares.
3 The occupancy rate is calculated based on the rental values of the leased properties and the unleased space and includes income from solar panels. This does not include projects under development or renovations.
4 ? The gearing ratio (IFRS) is calculated in the same manner as the gearing ratio (proportionate) in accordance with the GVV/SIR KB, but based on a consolidated balance sheet in accordance with IFRS that incorporates joint ventures using the equity method.
5 ? EPRA NAV: this is the NAV that was adjusted to include properties and other investments at their fair value and exclude certain line items that are not expected to take shape in a business model with investment properties over the long term. See also www.epra.com.
6 These profit forecasts are based on the current situation, barring presently unforeseen circumstances (such as a substantial deterioration in the economic and financial climate), and a normal number of hours of sunshine.

2. Operating and financial activities during Q3 2018
2.1 Occupancy rate and leasing activity
On 30 September 2018, the property portfolio achieved an occupancy rate of 97.4%, compared to 97.4% at the end of 2017. Out of the 10% of lease agreements that reached an expiry date in 2018, 97% have now been extended. This reaffirms the trust customers have in WDP.
2.2 Acquisitions and divestments
2.2.1 Acquisitions
The first nine months of 2018 saw the completion of several acquisitions, with a total investment volume of 74 million euros and a total surface area of 188,000 m². All of these acquisitions were made at prices in line with the fair value determined in the valuations from the independent property experts. WDP generates an overall gross initial rental yield of approx. 8.8%7 on this.
2.2.1.1 Acquisitions completed during the third quarter of 2018
Belgium
ASSE-ZELLIK: an industrial site for a purchase price of approx. 5 million euros by a contribution in kind. The site is located next to the WDP site for Euro Pool System, spans of some 22,000 m² and is slated for redevelopment. Zellik is regarded as strategic for logistics activities, given its direct connection to the Brussels ring road.
Mid-October of 2018 saw the acquisition of an additional site of around 52,000 m² in ASSE-ZELLIK, consisting of both vacant lots and developed area, for a total remuneration of approx. 12.4 million euros. WDP wants to partially redevelop this site over time. The site was formerly owned by De Persgroep Publishing NV.
The Netherlands
VEGHEL: a developed area of around 10,000 m² for redevelopment, located along the existing WDP site for Kuehne + Nagel. The site was acquired for an amount of approx. 2 million euros.
Romania8
CLUJ-NAPOCA (4): an existing warehouse of around 33,000 m². The lease with Profi has a remaining duration of ten years. This development will further grow this retailer’s partnership with WDP, following the previous commissioning of a new refrigerated distribution centre on this site. After all, this is where the supermarket chain Profi is centralising its retail service for fruit and vegetables for the Transylvania region. This acquisition will also make WDP the owner of the entire logistics park in Cluj-Napoca (nearly 70,000 m²), and the party responsible for park management. The investment budget for this acquisition amounts to approx. 22 million euros.

7 Excluding land reserve.
8 Based on 100% of the investment.

see & read more on
https://www.wdp.eu/sites/default/files/items/files/24.%20WDP%20-%20PB%20Q3%202018%2026.10.2018_EN_0.pdf