• Achieves revenues of 579 million euros, compared to the 489 million in 2019 and an EBITDA of 110mn, above the 94mn from the previous year, achieving its business plan objectives

• Net income amounted 70 million euros, an 11% increase, on a period where deliveries have increased throughout the year

• The adaptation of the commercial policy to the current situation, with a big push to online shopping, has allowed the company to end 2020 with 1,480 pre-sales (+2% vs. 2019).

• After the acquisition of two new land plots in Madrid and Valencia at the end of 2020, Neinor Homes will keep tackling the opportunities from the market and expects to invest a total of 150mn on new acquisitions in 2021

• With the acquisition of Renta Garantizada and its first PRS portfolio, the company has strengthened its Neinor Rental business line, which already has a land bank of 3,000 units, with the objective of reaching 5,000 units in 2025

Madrid, 24th of February of 2021.- Neinor Homes has finished 2020 with revenues of 579 million euros, an 18% increase compared to 2019, as well as an EBITDA of 110 million, which implies a 5% growth vs. 2019 and +40% vs. the previous one. This puts the developer as the most profitable from the sector, despite the 2020 COVID pandemic.

The company has also achieved a positive cashflow of 97 million euros (well above the 2019 figure of 60 million) and ends the year with a net income of 70 million (+11% vs. last year), a result which also includes expenses from Quabit’s absorption and other growth acquisitions such as Renta Garantizada and the recent rental PRS portfolio.

The good evolution of the results reaffirms the strategy followed by the management team and the fulfilment of the targets announced in April of 2019, as well as the strength of the activity towards the following years. For all this, Neinor Homes, which made a commitment with its shareholders of 200mn euros in dividend payments for the period between 2021 and 2022, will pay a 0.5 euros per share dividend (approximately 40 million euros) on March 2^nd.

Neinor Homes has delivered and notarized more than 1,600 units in 2020, and now stands as the developer with the best business visibility for the upcoming years, both in pre-sales and development progress. The company pre-sold 1,480 units, a 2% increase vs. last year, despite the cooling of the market and Spain’s macro situation. In this sense, the dynamism of the commercial activity of the firm must be highlighted, as it has registered a 9% increase in leads year-on-year.

Neinor Homes has closed the fiscal year with an adjusted net debt of 160 million euros (vs. 261 million in 2019), and a LTV of 8%, 8 points below the figure announced twelve months ago (well below the maximum figure announced by the company of 30-35%). This implies a low level of leverage, in line with the prudent approach that characterizes the company, which has allowed it to tackle new inorganic growth opportunities, such as the ones announced in 2021 like the integration of Quabit, the acquisition of two new land plots in Madrid and Valencia, and the recent announcement of the acquisition of a portfolio for its Rental business line.

These acquisitions are an example of the consolidation strategy and diversification of its business lines that Neinor Homes has carried out during 2020. To the existing development and Servicing lines, Neinor has added rental through the creation and development of its Neinor Rental division, and the acquisition of Renta Garantizada (in September of 2020), which has allowed it to develop a leading rental platform in Spain.

2021 Outlook

For 2021, one of the main highlights will be the strong commitment to land acquisitions. After choosing to cautiously analyse the market during the last two years in order to seize the best land acquisition opportunities, Neinor Homes expects to invest 150 million euros during the year to acquire new land plots and increase its land bank, which after the recent acquisitions in Madrid and Valencia and the integration of Quabit, will stand at 16,000 units (13,000 for development and 3,000 for rental). The company expects to finish the year with a Net Debt/EBITDA ratio of between 2 and 2.5 times, with a dividend growth aligned to its cashflow generation, which also highlights its strength by closing 2020 with more than 270 million available.

On the developer business (the company’s core business), with the current visibility, a strong EBITDA and cashflow generation expected for the current and following years. On Rental, Neinor Homes expects to have 550 operating units in 2021 and another 1,000 units under construction. Neinor Homes launched this business line in April 2019 with the objective of reaching 5,000 units in 5 years.

Borja García-Egotxeaga, CEO of Neinor Homes, points out: “On a very difficult year, Neinor Homes has achieved its growth business plan, as well as positioned yet again as a reference on the real estate sector. Quabit’s integration, announced in January and which is expected to materialize in the upcoming weeks, together with the consolidation of Neinor Rental after the acquisition of Renta Garantizada in September, and the new asset portfolios which enhance our rental business line, puts is in a privileged position to lead the future of the business as the biggest national residential platform and achieve our objective of generating value for our shareholders”.

Regarding the announced figures, Jordi Argemí, Deputy CEO and CFO of Neinor Homes, highlights that “2020 results are a proof of the operative execution capacity of Neinor Homes. Despite the complexity of the market, marked by the crisis generated by COVID-19, Neinor Homes has been able to achieve and exceed its business plan objectives and surpass all the magnitudes from the results compared to the previous year. These circumstances have allowed to recover the shareholder remuneration plan with the payment of a 0.5 euros per share dividend on March 2^nd. Furthermore, the company has solid fundamentals to grow and also achieve the EBITDA target set pre-COVID for 2021”.