DÜSSELDORF (dpa-AFX) - The real estate group LEG was able to increase rental income in the first quarter more than it had targeted for the year as a whole. In the three months from January to March, rental income on a like-for-like basis was 3.8 percent higher than in the same period last year at 6.43 euros per square meter, the MDax-listed company announced in Düsseldorf on Wednesday. For the full year, 3.3 to 3.7 percent increase is included in the plans of company CEO Lars von Lackum.

The key earnings indicator for the company, AFFO (cash flow from operating activities adjusted for capitalized investments), climbed 7.5 percent to 54.9 million euros. However, the figure cannot be extrapolated on a one-to-one basis for the year due to seasonal effects, it said. LEG is aiming for AFFO of between 125 and 140 million euros for the year as a whole. Management confirmed its forecast for the year.

Net rental income rose by a total of 4.5 percent to 206.3 million euros. However, profit from letting and leasing fell by 10.3 percent to 135.4 million euros. The main reasons for this were, among others, the decline in value-added services and higher maintenance expenses. Higher interest rates and lower earnings from financial transactions caused net profit to plummet by 37.7 percent to 96.3 million euros./men/zb