Sao Carlos Empreendimentos Reports The Record Net Income Of R$138 Mn In 2Q12

SAO PAULO, Aug. 6, 2012 /PRNewswire/ -- Sao Carlos Empreendimentos e Participacoes S.A. (BM&FBovespa: SCAR3) announces today its results for the second quarter of 2012.

• HIGHEST NET INCOME IN THE COMPANY´S HISTORY: R$138 million in 2Q12 (R$2.40/share, 686% up vs. 2Q11);
• R$265 MILLION IN REAL ESTATE ACQUISITIONS IN 2012 TO DATE (vs. R$231 million posted in the full year of 2011);
• ACQUISITION OF THE CE URCA BUILDING with a stabilized cap rate of 18.3%, and DISPOSAL OF FIVE RETAIL STORES AND THE CA RIO NEGRO, with a stabilized return of 10.4%, in 2Q12;
• GROSS LEASE REVENUE increased by 23% vs. 2Q11, reaching R$68 million in 2T12;
• ADJUSTED EBITDA grew 22% vs. 2Q11 reaching R$54 million in 2Q12, with a margin of 84%;
• FFO grew 25% vs. 6M11 to R$52 million in 6M12, with a margin of 43%;
• PHYSICAL VACANCY at June 2012 end was 1.4%, and financial vacancy reached 1.3%;
• CASH BALANCE of R$452 million; net debt equivalent to just 20% of the portfolio appraisal value;
• ESTIMATED PORTFOLIO VALUE increased to R$2.94 billion in June 2012;
• NAV of R$2.36 billion at June 2012 end (R$41/share and 37% up vs. June 2011 end). The Company's current market cap is approximately R$2 billion (R$34.5 /share)

To download the "2Q12 Earnings Release", please access our website: www.scsa.com.br/ir and to listen to our conference call on the 2Q12 results use the information below:

ENGLISH (AUGUST 7, 2012, TUESDAY)
10:00 A.M. (NEW YORK TIME)
11:00 P.M. (BRASILIA TIME)
TEL: +1 (516) 300-1066
CODE: SAO CARLOS

Investor Relations Department
Phone: (55 11) 3048-5413
E-mail: [email protected]

Sao Carlos is one of the main companies in the sector of investment and administration of commercial properties in Brazil. Our goal is to maximize rental revenues from the company's real estate, the assets' renting potential and the portfolio's market value. Our business strategy includes the investment in new commercial properties, reform and maintenance of our real estate, optimization of condominium administration and sale of properties that already attained maturation. We currently have a portfolio which includes mainly office buildings and retail stores located in the States of Sao Paulo and Rio de Janeiro.

SOURCE Sao Carlos Empreendimentos e Participacoes S.A.