AEDAS Homes made 3.7 million euros in the first semester of 2018

• The residential developer, that on the 20^th October will celebrate its first year as a public listed company, achieves its first profits earlier than expected.
   
• They published revenues worth 14.7 million euros due to the delivery of their first housing units and the sale of non-strategic land, accounting for 28.6% gross margin.
   
• The company's GAV of 1,608 million euros, is a 9% more than at FY2017 and 17.3% more than at IPO.
   
• David Martínez, CEO: "The figures are better than we expected, and confirm the fact that we are exceeding our targets and margins"

September 2018 - AEDAS Homes, a leading developer in the new real estate cycle in Spain, has achieved its first positive financial results in the first semester of 2018. The listed company spearheaded by David Martinez made 3.7 million euros in the first half of the year, according to the CNMV (Spanish Securities Market Commission). AEDAS Homes becomes the first big developer among its peers to announce profits, barely 8 months after its IPO, earlier than expected.

AEDAS Homes generated a total revenue of 14.7 million euros in the period between January and June, to which 11.9 million euros of tax credit must be added. The generated revenue came from two principle sources: from the delivery of their first housing units (7.2 million euros) and from the sale of non-strategic land (7.5 million euros). The gross margin of these operations was of 28.6%, a high margin which confirms AEDAS Homes as an attractive investment opportunity.

In their H1 Report, the company also gave a detailed account of the construction cost inflation they are seeing, a variable which will not affect their economic and profitability targets. Despite the soaring construction cost inflation taking place across the sector, the sale price of AEDAS Homes units has surpassed these costs. With respect to the 1,862 housing units that the developer had under construction, completed or delivered as of 31^st August, the gross margin raised to 208.1 million euros from the forecasted 174.7.

Since the new appraisal performed by Savills, the developer's GAV reached 1,608 million euros as of 30th June 2018. This figure is 9% higher than the one registered at FY 2017 -when the assets were valued at 1,475 million euros - and 17.3% higher than at IPO - AEDAS Homes became a listed company on the Madrid stock market with assets worth 1,370 million euros.

"Very good results"
David Martínez, CEO at AEDAS Homes, considers these results to be "very good" and believes that "they'll be a positive surprise for the sector". "The figures are better than we expected, and confirm the fact that we are exceeding our targets and margins. Furthermore, the expectation for the rest of the year and the visibility for 2019 and 2020 over the level of progress in projects, and the positive pace of sales and reservations, which gives us great confidence about the continued fulfilment of our Business Plan", he states.

Analysing the figures with perspective, Martinez believes that "AEDAS Homes' positive results give the sector confidence and help to clear any doubts about its health".

As for the NAV, it reached 1,515.5 million euros, that translates to 31.60 euros per share, a 1% growth since FY 2017. On the other hand, Ebitda published by the company for the first semester was -7.2 million euros.

OPERATING RESULTS 

6,287 active units
As well as having profits for the first time, Martínez puts emphasis on the loyal and strict execution of the Business Plan from the operating point of view. "After all the hard work it took to get the company running in 2017, this year we are beating all the targets set in our Business Plan and we've launched a new line of residential developments based on off site techniques. All of this is an unmistakeable sign of the great professional team which works at the company", he reassures.

As of the 31^st August, AEDAS Homes had 6,287 active units, 55% more than in December 2017. Of these projects under development, up to 1,623 are under construction. "These figures are a sign of AEDAS Homes' great operating capacity since its first year of strong activity", says Martínez.

Deliveries plan on track
AEDAS Homes has also reported on their deliveries plan up till 2020 and gives visibility over 2021, one of the figures that suggests the advanced stage of execution. By the end of August, they had finished construction on 222 residential units that will be delivered in 2018, of which 190 were sold and 97 delivered. As for 2019, they intend to deliver a total of 1,055 residential units. For that year, 1,071 are already under construction and 761 sold. As for the total accumulated sales, the developer had sealed 1,659 transactions as of August.

Land bank for 14,521 residential units
AEDAS Homes has updated the figures for their land bank, considered to be of the highest quality by analysts. The developer has land for 14,521 units and about 90% is classified as Ready to Build. The 35% of these assets are located in the Centre region, 18% in Levante and Baleares, 16% in Costa del Sol, 16% in Andalusia and 15% in Catalonia, the five most dynamic residential markets of the country.

About AEDAS Homes
The developer AEDAS Homes became a listed company on 20 October 2017 in Madrid, with a market capitalization of over 1.5 billion euros. AEDAS is an industry leader at the national level and aims to play an important role in the new cycle of the Spanish real estate sector, which must be marked by professionalism and an adherence to rigorous standards.

AEDAS Homes has a fully permitted residential landbank with more than 1.5 million square metres (the highest quality landbank in Spain, according to analysts). This will permit the development of 14,500 residential units in the key markets, and their surrounding areas (both in terms of real estate and finance) where AEDAS operates: the Centre, Catalonia, the East & Mallorca, Andalucía y Costa del Sol.

For more information:
aedashomes.com/

AEDAS Homes corporate video:
https://www.youtube.com/watch?v=y5QNVtpPfNo