Vonovia SE Announces Dividend Increase and Policy Adjustment

Vonovia SE, a prominent real estate company, declared on March 14, 2024, a proposed dividend of EUR 0.90 per share for fiscal year 2023, marking a 6% increase over the previous year. This proposal equates to 43% of the Group FFO (after minorities) distribution. Additionally, a significant shift in the dividend policy was announced, veering from the previous Group FFO-based approach to a formula centered on Adjusted EBT plus surplus liquidity from the operating free cash flow (OFCF). Starting with the dividend decision for the 2024 financial year, the aim is to distribute annually 50% of the Adjusted EBT plus excess liquidity, determined by a three-year average of the OFCF after deducting equity allocations for the yielding investment program.

The Management Board believes this novel approach will ensure shareholders receive a fitting share in the company's core operations while supporting stable funding for its yielding investment programs. This decision reflects Vonovia's commitment to both shareholder value and sustainable growth. The company has provided this information in line with regulatory requirements and fiscal transparency.