UBM Development AG: UBM Development confirms earnings and strong balance sheet

Wien (pta006/17.04.2023/07:00 UTC+2)

• €1.10 dividend per share for 2022
• €27.1m net profit despite standstill on the transaction market
• Half a billion in equity and €323m in cash as a clear competitive advantage
• Over 250,000m² in timber construction by 2026 – on course to becoming the leading timber construction developer
• Difficult first half-year and gradual improvement during H2 expected in 2023

Vienna, 17.04.2023 – UBM Development AG generated profit before tax of €31.5m and earnings per share of €2.25 in 2022. In view of the complete standstill on the transaction market during the second half-year, net profit of €27.1m represents more than respectable results. Earnings were also cut in half compared with the previous year by delays in the receipt of permits and in transfers which were expected by year-end 2022. "UBM has shown relative strength in a difficult market environment and confirmed that our conservative financial policy pays off", commented Patric Thate, CFO of UBM Development AG.

Reliable dividend payer

The Management Board and Supervisory Board of UBM will propose a dividend of €1.10 per share (2021: €2.25 per share) to the Annual General Meeting which will be held on 19 May 2023 at the Vienna Chamber of Commerce ("Haus der Industrie"). "UBM is a reliable dividend payer in both good times and bad times", emphasised Thomas G. Winkler, CEO of UBM Development AG. "We are undoubtedly one of the top dividend payers on the Vienna Stock Exchange, where we are also represented in the "ATX Top Dividend" and one of the Top 15 dividend shares in Austria", added Winkler.

Strong balance sheet and high cash reserves

The balance sheet fundamentals for 2022 continue to represent a competitive advantage for UBM. UBM had over half a billion euros of equity at year-end 2022 (2022: €501.4m). That represents an equity ratio of 34.5% based on total assets of €1,451.8m. Liquidity, meaning cash and cash equivalents, was unusually high at €322.9m in spite of scheduled bond redemptions and project acquisitions. Net debt amounted to roughly half a billion euros at the end of the financial year (2022: €500.2m).

Over 250,000m² in timber construction by 2026

Over 250,000m² of timber-hybrid construction are already in realisation or in planning and support the goal to make UBM one of the leading developers of timber construction projects in Europe. UBM's future profitability is safeguarded by earnings contributions of €2.1bn from the existing development pipeline. These projects are located for the most part (90%) in Germany and Austria, respectively in the residential (57%) and office (43%) asset classes.

Green finance framework for future financing

UBM has converted over 50% of its financing to green financing in recent years. With the green finance framework, the company is committed to including sustainability aspects in its future financial instruments. This framework is based on the EU Taxonomy and can be downloaded from UBM's homepage. ISS ESG has already issued a second party opinion.

Further voluntary audit of ESG Report

Parallel with the publication of the annual report and the green finance framework, UBM also released its 2022 ESG report today. The audit was performed by a chartered accountant and organised on a voluntary basis in preparation for the future requirements of the CSRD. The ESG report covers UBM's strategic focus on sustainability and also presents an extensive range of measures and a catalogue of goals.

Outlook

The current phase makes it difficult to estimate when the market will find a price level for transactions. UBM does not expect any major deals before the second half of 2023. Rising inflation, increasing interest rates and higher construction costs will continue throughout the entire year. However, the demand will remain sound for properties like the ones developed by UBM. Postponed construction starts and the difficulties faced by many market participants are expected to extend the supply gap beginning at mid-year, which will further increase the pressure on many investors. Due to the volatile and unpredictable market developments, UBM must refrain from issuing any guidance for the 2023 financial year at the present time.

UBM Development is one of the leading developers of timber construction projects in Europe. The strategic focus is on green building and smart office in major cities such as Vienna, Munich, Frankfurt or Prague. The company's platinum rating from EcoVadis and prime status from ISS ESG confirm its consistent focus on sustainability. With 150 years of experience, UBM offers all development services from a single source, from planning to commercialization. The company's shares are listed on the Prime Market of the Vienna Stock Exchange, the segment with the highest transparency requirements.

For additional information contact:

UBM Development AG

Christoph Rainer

Head of Investor Relations & ESG

Mob.: + 43 664 80 1873 200

Email: christoph.rainer@ubm-development.com

Key performance indicators 2022

1 Total Output corresponds to the revenue generated by fully consolidated companies and companies consolidated at equity as well as the sale
proceeds from share deals, each in proportion to the stake held by UBM.

2 Net debt equals current and non-current bonds and financial liabilities, excluding leasing liabilities, minus cash and cash equivalents.

3 Earnings per share after the deduction of hybrid capital interest.

4 Earnings per share before the deduction of hybrid capital interest.

5 The dividend is paid in the respective financial year but is based on the previous year's net profit. The dividend proposal for 2022 is subject to
the approval of the Annual General Meeting.

6 Dividend in relation to earnings per share after deduction of hybrid capital interest

7 Excluding 72 employees from alba Bau | Projekt Management GmbH; the company was sold as of 30 June 2022.

8 Key asset and financial figures restated as of 31 December 2021 and 31 December 2020 due to OePR finding. More information can be found in
the consolidated financial statement.

(end)

Emitter:	UBM Development AG Laaer-Berg-Straße 43 1100 Wien Austria
Contact Person:	Christoph Rainer
Phone:	+43 664 80 1873 200
E-Mail:	investor.relations@ubm-development.com
Website:	www.ubm-development.com
ISIN(s):	AT0000815402 (Share) AT0000A1XBU6 (Bond) AT0000A23ST9 (Bond) AT0000A2AX04 (Bond) AT0000A2QS11 (Bond) XS1785474294 (Bond) XS2355161956 (Bond)
Stock Exchange(s):	Vienna Stock Exchange (Official Trade); Free Market in Frankfurt (Scale)