Overview

Successful joint ventures and portfolio sales help strengthen capital structure.
Positive performance in core rental business thanks to excess demand with rising rents/realized synergy potential thanks to integration of Deutsche Wohnen.
Results down in the other segments.
Investments adjusted to reflect changes in return requirements and, as a result, capital allocation.

In an environment dominated by difficult overall conditions, Vonovia can look back on a 2023 fiscal year characterized by a robust core Rental business. The property management business showed positive economic development, bolstered in particular by sustained high demand and rising rents, as well as synergies realized from the cooperation with Deutsche Wohnen. The environment of higher interest rates and inflation translated into lower results in the other segments.

Due to two successful joint ventures and extensive sales, liquidity was gained to strengthen the capital structure. The changes in return requirements – both internally and externally – are having an impact on capital allocation and, as a result, on investments.

In the 2023 fiscal year, a total of 2,425 apartments were completed in the Development segment.

The Adjusted EBITDA Total from continuing operations came to € 2,583.8 million, down slightly against the prior-year figure of € 2,606.1 million. The increase in Adjusted EBITDA Rental almost compensated for the downward trend in the other segments despite the sales made.

At € 1,801.6 million, the Group FFO from continuing operations was 9.1% below the previous year’s figure of € 1,981.6 million. mainly due to higher interest rates.

The EPRA NTA per share came in at € 46.82, down by 18.5% on the prior-year value of € 57.48.

The Sustainability Performance Index stood at 111% in the 2023 fiscal year. This was helped along in particular by the reduction of CO₂ intensity, the development of the average primary energy requirements of new construction and (partial) modernization measures to make apartments fully accessible, as well as by the high levels of employee satisfaction.