Central European developer Orco's revenue drops in first half

Business Materials 7 August 2008 23:02 (UTC +04:00)

Luxembourg-based real estate developer Orco Property Group S.A., which is active in Central and Eastern Europe, saw its sales drop by 9.6 per cent from 125 million euros to 113 million euros (192 to 173 million dollars) in the first half of 2008, according to non-audited results released Thursday, the dpa reported.

The group said it expects 343 million euros in revenues in 2008, up from the January forecast for 2008 of 330 million euros.

Orco's stock fell 7.89 per cent to 558.10 koruny (35.4 dollars) per share on the Prague Stock Exchange Thursday, a day after Moody's investor service downgraded the group's rating in the face of stagnating real estate markets in parts of Eastern Europe.

The property group, which is active in the Czech Republic, Hungary, Poland, Russia, Croatia, Germany and Slovakia, is listed on the NYSE Euronext and the Prague, Warsaw and Budapest stock markets.