GTC expansion continues apace
Despite the relatively strong results, the firm saw a considerable y/y drop in net profit. This is because GTC's Q2 2007 profit, EUR77.9 (zł.250) million, was amplified by the completion of its Avenue Mall shopping center in Zagreb, Croatia.
Operating revenues grew by 46-percent y/y to EUR19.1 (zł.61.1) million, mainly as the result of leases in newly completed buildings as well as from boosted rental incomes in existing shopping centers and office buildings.
In Q2 2008, profit from revaluation of the Zephirus office building (9,200 sqm) in Warsaw and Galleria Buzau (13,300 sqm) in Romania amounted to a net total of EUR20.9 (zł.67) million. An additional EUR6.8 (zł.22) million in income resulted from land in the Osiedle Konstancja development in Warsaw recouping market value.
The company also entered the Russian and Ukrainian markets in the first half of the year.
In the former market, it has acquired a 50-percent stake in an office project in St. Petersburg which will see the development of 110,000 sqm of class-A office space. In the latter, GTC Ukraine has purchased a 14-ha site in Odessa and plans to develop 120,000 sqm of office and logistics space.
