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[Audio Gap]
Operating cost charge to building owners and lower maintenance. Result of asset management therewith was EUR 45 million, and also here we can report a significant increase of 14.1% compared to the previous year. Both results of property sales and results of property development turned into the positive territory and came in with EUR 3.5 million and EUR 1.8 million this first quarter.
Other operating expenses increased by about EUR 6 million to EUR 17 million in first quarter. Herein we have 2 major one-off effect. One is a EUR 4 million special bonds payment to the Executive Board and the EUR 1.4 million costs for simplification of the group structure, both explain more or less the increase in costs compared to the previous year's quarter.
Result of operations herewith lead us to EUR 35.5 million and almost doubled compared to the previous year.
Net financing costs, and I'm happy to report this, were reduced by more than 40% and are EUR 15 million in the first quarter compared to EUR 25.5 million in the previous year's quarter.
Gains and losses from equity-accounted investments. Please remember, herein we report the CA Immo stake and in the previous year, we also reported our investments held in BUWOG in the previous quarter -- in the quarter last year, we had here very high gains. More than EUR 130 million coming from gains in CA Immo in BUWOG, and this is simply not the case this quarter, so we have here a lower figure of only about EUR 9 million.
Taxes are with EUR 23 million higher than the last year's quarter. Also, herein, we see one-off effects. One is, again, related to CA Immo and the plans to sell the stakes. So we have here deferred taxes of about EUR 6.6 million recorded, and another effect comes from the liquidation of Aviso Zeta, additional EUR 3 million explaining here the differences.
So we come to the net profit for the period from continuing operations with EUR 4.3 million compared to EUR 101.7 million in the previous year's quarter. The net profit from the period from discontinued operations brought in about EUR 3.4 million negative result. This comes from the logistics business that we sold in 2016 and is related to tax proceedings if -- coming from periods where IMMOFINANZ was still the owner of this business. So finally, the net profit for the period is EUR 1 million compared to EUR 80.7 million in the previous year's quarter.
This brings us to Page 4 of the presentation, a quick look into the like-for-like rental income figures. Rental income in Q1 rose by EUR 1.8 million or 3.7%, and we took into consideration here 133 properties of IMMOFINANZ portfolio in this like-for-like comparison. So again, a quarter where we happily can report like-for-like rental growth.
On Page 5, a quick update on our FFO on our funds from operations. Also here, we can report that figures substantially improved our FFO 1, including the stake of CA Immo is EUR 29.1 million compared to EUR 9.7 million in the previous year's quarter, so an increase of about EUR 20 million. Also FFO 2, including the results of property sales, increased substantially to EUR 32.7 million, and FFO 2 after taxes results at EUR 30.9 million.
On Page 6. A quick look at our financing costs and our loan-to-value. You can see here on the time line that we brought down financing costs significantly over the period and are now having 1.93% of financing costs excluding derivatives, including derivatives, it's 2.27%. And also, the LTV went down significantly and reaches the lower end of our target level with 40.6% at the moment.
On Page 7. I'd like to draw your attention to our maturity profile. I am happy to report here that we have -- as you remember, done our homework in 2017. There are no major refinancing needs ahead of us in 2018 nor in 2019. In 2018, you can see here the blue bar that is partially shaded, this is real estate financing that will be repaid from the funds of assets that are held for sale at the moment, so we expect this just to be repaid from the proceeds of the sales transactions. And then there is about EUR 200 million left to refinance, and this is an easy task for us. In 2019, you see EUR 250 million. This is related to a margin loan we have on our CA Immo shares, as we are currently in the sales process for CA Immo. This margin loan will highly likely be repaid and will disappear after completion of the sales process.
Looking then in the future, you can see that there is only -- as more volume of real estate financing to be refinanced in the coming years and in 2022, we can see the convertible 2024 that this year presented 2 years before maturity, because it has a put -- an investor put option in 2022.
Finally, I think we can conclude that the maturity profile is well improved compared to previous years, and it looks like we can bring in here some further savings from financing costs in the future.
Last but not least, let me draw your attention to Page 8 of the presentation. This is the slide we showed you already at our Annual Financial Statements Conference Call. It is here giving you a guidance how as [ a ] full growth will happen within IMMOFINANZ, and we are happy to confirm that the guidance still is that IMMOFINANZ, excluding CA Immo, will have an FFO larger than EUR 100 million in the year 2019, and the various parts to this are explained on this slide. As we discussed this already in our last call, I do not want to jump here into details, but if you have questions, then happy to do so in the
[Audio Gap]
question-and-answer session.
[Operator Instructions] The first question is from Helmut Kurz of Bankhaus Ellwanger & Geiger.
May I ask you why you bought or want to buy the stake in S Immo at a price which is more than 20% above the market prices of S Immo in the last weeks? Even though S Immo is a great company, but why are you paying so much more?
Well, thank you for this question, and we received this, for sure, several times. And we did a very detailed analysis on this. And for sure, you are right. The price is above the current market price. Same thing it was when we bought the stake in CA Immo, for example. We bought [ it is ] at EUR 23.50 when the market price was around EUR 15. So we have a strategic view on S Immo. We think that these 2 companies stick together very well. We see here a big potential of synergies and further, we see, also, big hidden value in this company in various angles: one is, the shares they have on their books in IMMOFINANZ; the shares they have on their books in CA Immo; and the third thing is that also their real estate portfolio is something that we consider very interesting and very good fitting to IMMOFINANZ. And therein we see the reason for this price.
If I may add a question to my previous one. In the case of CA Immo, I think, out of my head, the shares you bought then was special -- had special voting rights. Is that correct?
It is correct that on top to the 26% shares we bought, we also bought 4 shares, 4 golden shares, that have special rights. It's not special voting rights, but its rights to send supervisory board members to the supervisory board of CA Immo.
But this is not the case in the -- here with S Immo to my knowledge.
Yes. It's not the case in S Immo. These are 2 difference deals. Completely correct.
Yes. So then still the question remains, why this strategic premium has to be so large?
I just give you one hint on this, if you do the mathematics. If you look into the stake they have in IMMOFINANZ, yes? They have 12% in our shares. And we consider our shares significantly undervalued. And if you assume that these shares recover, then there is no more difference to be filled up. But I think it is a discussion I'm happy to do this with you in more greater detail outside of this conference call, so not blocking the time of all the other participants, if this is fine for you?
Okay, yes. That is fine.
Just bring -- give me a ring, we will discuss this.
[Operator Instructions] The next question is from [ Blair Rezzi ] of Avaron.
I would ask briefly on the event of recent developments in the occupancy. In the first quarter, we see that in Slovakia, Poland and -- we saw a decline in occupancies. So basically, could you briefly elaborate, were there any specific kind of factors behind that? Maybe, kind of a start-up renovation works somewhere or some bigger tenant moved out? Or is this, kind of a just a regular quarterly fluctuation? And as well a bit, kind of a on the outlook, so how do you expect the occupancy on those markets to develop in the course of this year?
This is Dietmar Reindl, COO of the company. I'd like to answer your questions now about Slovakia and Poland in special as you mentioned, I think. Let me first come to Slovakia. In Slovakia, we have 2 asset classes, namely retail and office. The retail portfolio consists of STOP SHOPs and VIVO!, one shopping center. The STOP SHOPs with 16 STOP SHOPs in Slovakia, and the occupancy there is 100%. The VIVO! shopping center, there was a change because we acquired from the former hypermarket who owned the area. We acquired this area, and this is now vacant because it's going into refurbishment. And we've already signed, for example, it'll contribute Lidl to fill this space. But it is now under construction, and it's less than 50% of the -- of this full [ share ] of the shopping center. It's, how do I say, listed as a vacant area. Second, the authority offices in Bratislava. We have 2 office there. We've refurbished them. And we have then occupancy around 90%. But if you include the signed contracts, by today, we're already around 93.5% with this 2 towers. So this means in Bratislava, the outlook is positive for office and STOP SHOP. For the shopping center, the occupancy will be for some months still even, until beginning of next year, below 90%, even below 85% because of its refurbishment. So this was Slovakia. In Poland, we have, throughout the office portfolio, a very nice occupancy supported a lot by the myhive brand. In most buildings, we are far above 90%. There is 2, 3 buildings in EMPARK where we have done -- EMPARK is this big, say office, in business park in Mokotów area where we have done some refurbishments of lobbies, entrances, and we are now in the leasing process, and we expect to bring this to the same level as the Polish office portfolio by the end of this year. In general, I must say that in Poland in the office sector, the expectation was not so optimistic because of the new project coming in, but because of our clear differentiation with our myhive brand from the other projects, we are doing there very well. In the retail and STOP SHOP -- retail sector with office and the VIVO!s. The VIVO!s are close to 100% leased and same with STOP SHOPs.
Okay. I would have another question as well on the pipeline projects. And as I see that, basically, in the first quarter, the properties under the pipeline, I mean, the noncore countries has increased by [ due ] and basically, there's roughly EUR 30 million increase in the carrying amount as well. So kind of my question is that what kind of projects or properties these are? And kind of it seems to me that you are acquiring land in the, kind of, countries what you consider to be noncore. So why you are still investing into noncore countries?
So we have not acquired any land. There's just a reclassification from plots we have still in Turkey from held-for-sale to pipeline, because there is some, how to say, topics to be solved there from legal methods. And until this is solved, it will be on the pipeline, once this is sold, which might take 6 to 12 months. I assume, then it will be again under held-for-sale. And for sure, we continue to do our sales activities. But because of this legal [indiscernible], it might take a little longer.
Okay, that's clear. And last question from my side on the, kind of, a management bonus. Could you briefly elaborate, basically, what were the criterias? Or what targets the management had to fulfill in order to be eligible for the bonus?
As you might recall, we showed with the presentation of our year-end result, a time line of -- for the past 2.5 years of the milestones, which we have achieved from -- starting from financing, bringing the occupancy up, Russia, so numerous heavy stones that we lifted in the time. And basically, this is the basis for the supervisory report on this.
[Operator Instructions] The next question is from Stephan [indiscernible].
I have a question regarding the noncore disposals. Can you please give an update on what are the expected proceeds for this year from the remaining disposals?
What we -- the easiest one to find this out, I think, is we this have not in the current presentation, as we kept it rather short. But in our annual results presentation, we gave an update on the sales process and therein, you see what we plan to dispose still out of this EUR 1 billion sales program that is, obviously, coming to an end. So it's a roughly EUR 200 million figure.
EUR 200 million for this year? Okay. And...
For this year and 2019. So don't nail us on this year. This is a -- the sales program will be executed in the best efforts to create value, so we will not rush here. We will sell this as we have here the right buyers and their respective offers on the table.
Okay. The second question was regarding just on Austria. I see the like-for-like rental increases quite significant. Can you please remind me again what was driving that EUR 1 million increase?
The occupancy is the main reason in driving this development and among the buildings, among the properties in Austria, it's mainly in -- on Wienerberg, that's twin towers, the 2 big towers in Vienna. This is also the location where we have IMMOFINANZ headquarter.
The next question is a follow-up from Helmut Kurz.
A question regarding the proposed sale of the CA Immo stake, congratulations to that development here. Do you have already plans what you would do, would like to do with the proceeds?
I would say, firstly, it's a plant, they crop then harvest it and then decide on what we're doing with it. So please understand, for the moment, that because it's an ongoing process with many participants in that -- we will save this question maybe for the next time.
There are no further questions at this time. I hand the conference back over to you for closing comments.
Ladies and gentlemen, thank you very much for your interest and the questions that you directed to us. And we will see and hear each other again for the half year results 2018. Thank you very much.
Ladies and gentlemen, the conference has now concluded, and you may disconnect your telephones. Thank you for joining, and have a pleasant day. Goodbye.