• The developer has closed the first semester of the year with record figures, multiplying the most relevant KPIs vs the same period of 2020: EBITDA of 67.3 million (+354%) and revenues of 327 million (+222%).
• The pre-sales figure for the period has been 1,481 units, twice as much as the pre-pandemic figure of the first semester of 2019.
• Neinor Homes has executed an aggressive investment strategy ahead of the current commercial strength and despite the market’s adverse predictions, which has allowed the company to increase its landbank by nearly 10,000 additional units, twice as many as the end of 2020.
• The company has achieved an attractive profitability during the last 12 months with a ROE of 12,3%, and the GAV has increased to 2,100 million euros (+37%) thanks to the merger with Quabit and the new investments.

Madrid, 28 of July 2021.- Neinor Homes, the Spain’s leading developer, has closed the first semester of the year with record figures, multiplying both the main financial figures and its landbank. The group has achieved an adjusted net income figure of 47 million euros (+592% vs 1H20) and an EBITDA of 67.3 million (+354%) during the first 6 months of 2021. Its revenues stood at 327 million euros (+222% vs the same period of 2020 and vs the 103m of the first quarter of 2021), of which 307 million come from the development business, c13.6 million from the Servicing and Renta Garantizada business line, 0.9 million from the Rental platform and 5.2 million from Legacy.

The figures from the first semester (January to June) of 2021 have been much higher that last year’s. Given the recent evolution of the business, the previsions for the end of the year are positive, and therefore Neinor Homes reaffirms the achievement of its business plan and its target of 150m EBITDA, which would imply a 36% increase vs the 110m achieved in 2020. The company also plans to obtain a net income figure of 100 million euros and around 2,500 deliveries.

Furthermore, during the first 6 months of the year the group has been able to acquire land for 2,500 homes, of which 90% are located on prime areas of Madrid and Barcelona. These additions, together with the merger with Quabit (approved at the Shareholder’s meeting in March), equals an investment of nearly 600 million euros and has allowed the company to add 10,000 units to its land bank, doubling its capacity vs the end of last year. Furthermore, Neinor expects to invest 1,000 million euros during the next 5 years (200 million per year) to achieve its run rate of 2,500 units per annum.

Presales and delivery figures in line with the objectives of 2021

As of the end of June, the company has registered pre-sales of 1,481, doubling the figure achieved pre-pandemic. This is a positive trend in line with the business plan that allows the company to be optimistic about the achievement of the objectives announced, both for this and the upcoming years. These figures represent a 95% coverage for this year’s deliveries and 50% of 2022’s.

During the first 6 months of the year, the company has delivered 2,048 units, a 312.6% increase in relation to the same period of 2020. For the upcoming periods, Neinor Homes expects that the delivery pace will increase in line with its business plan, especially during the third quarter of the year.

Solid cash position and shareholder remuneration

Neinor Homes has invested 156 million euros in CAPEX during the fist 6 months of 2021. The company has closed the period with an adjusted net debt of 491 million euros, and a LTV of 23%. This implies a low level of leverage, in line with the company’s prudence.

The company has achieved an attractive shareholder remuneration during the last 12 months with a ROE of 12.3%, and the GAV has increased to 2,100 million euros (+37%) thanks to the merger with Quabit and the new investments.

Another highlight for the period has been the issuance of a 300-million-euro green bond, with a 5.5-year maturity and a 4.5% cost. Taking advantage of its solid cash position (315 million euros) together with the opportunities on the market, Neinor homes will be able to maintain its shareholder remuneration policy which implies a pay-out of more than 50% and accumulated estimated dividends for the 2022/2026 period of a total figure of 250 million euros.

Borja García-Egotxeaga, CEO of Neinor Homes, notes: “The company has closed the first six months of the year with very relevant figures which make us optimistic about the achievement of the business targets announced to the market. This puts us in a leading position on the strategic sector, with the announcements of Rental and corporate deals such as Quabit. We keep growing with our usual development business, with figures and evolution in pre-sales and deliveries. It is also worth noting the growth of our Neinor Rental division, where among other tasks we have extended the activities of Renta Garantizada to several other areas of influence such as Valencia, Málaga or Barcelona, all aligned with our strategic plan”.

Jordi Argemí, deputy CEO and CFO, adds: “The strategy implemented has allowed us to lead the sector from all perspectives, not only operationally and financially but also strategically, which is the best reflection of the ambitious business plan designed by Neinor Homes. This strategy will allow us to double the value of the company in 4-5 years, a 20% annual return to shareholders, always under the parameters of a contained debt and the compromise to keep it that way in the future”.