© Reuters. The logo of German real estate company Vonovia SE, a member of the German DAX-30 stock market index is seen at a Vonovia building in Essen, western Germany May 10, 2016. REUTERS/Wolfgang Rattay/file photo
FRANKFURT (Reuters) – Shares in Vonovia, Germany’s largest landlord, opened 4% lower on Friday after the company reported its biggest loss ever for 2023, in the latest sign of stress in the nation’s struggling real-estate sector.
The 6.76 billion euro ($7.36 billion) loss is wider than the 669.4 million euros lost in 2022, and the two consecutive losses mark a reversal from years of steady profit during a decade-long property boom.
The loss came as Vonovia wrote down the value of its more than 500,000 apartments by 10.7 billion euros last year, bringing its portfolio value to 84 billion euros.
Analysts with Jefferies said that the results left them “scratching our heads”, while Baader analysts called the earnings a “mixed bag”.
($1 = 0.9189 euros)
