Metrovacesa records EBITDA of 29 million euros for the first nine months of the year and announces a dividend of 50 million euros

• The developer has registered pre-sales of 494 homes in the third quarter (+37% compared to the same three months of 2022), making it the strongest quarter of the year so far, despite the usual seasonality of the summer.

• The pre-sales portfolio totalled 3,591 homes at 30 September, 13% higher than at the end of 2022, with an average selling price 2.9% higher.

• Start-up of new projects accelerated, with the construction of 949 homes in the third quarter and 1,527 units in the first nine months of the year.

• The company confirms its annual free cash flow generation targets (between 100 and 150 million euros in 2023).

Madrid, 25 October 2023. Metrovacesa, Spain’s leading real estate developer with more than 100 years of history and 150 projects under development nationwide, today presented a summary of its operating performance at the end of the third quarter of 2023.

From a market perspective, housing demand in Spain remains at healthy levels, despite the increase in mortgage rates and the current context of geopolitical and macroeconomic volatility.

In this regard, the company achieved presales of 1,402 units during the first nine months of the year, a figure 5% higher than that achieved in the same period of 2022. Specifically, the third quarter was the strongest so far this year, with 494 pre-sales, a figure that compares very positively (+37%) with that recorded in the same three months of the previous year.

In terms of deliveries, the company has delivered 982 homes in the first nine months of the year, and 410 units in the third quarter, including two Build to Rent projects in Palma de Mallorca. It is expected that in the fourth quarter it will concentrate a large part of the deliveries planned for the current fiscal year as a whole, in line with the planned project calendar. As of 30 September, it has more than 800 homes completed and sold, pending delivery.

The accumulated pre-sales portfolio at 30 September reached 3,591 units, compared to 3,171 at the end of 2022 (+13%), with an average price increase of 2.9% since the beginning of the year. A total of 4,650 homes are currently under construction, which, together with the pre-sales portfolio, gives great visibility on deliveries in the coming years.  Homes being marketed, meanwhile, amounted to 6,728, following the commercial launch of 1,471 units in the first nine months of the year.

With regard to land sales, the company recorded sales of 13.1 million euros and has a further 41.3 million euros in binding private contracts, most of which can be booked before the end of the year.

Operationally, in a year in which a large part of deliveries are expected to be concentrated in the last quarter, revenues in the first nine months of 2023 reached 302.1 million euros, with EBITDA of 29 million euros. On the other hand, the developer gross margin continues to be above 20%, at 22.4% at the end of the third quarter.

With these results, the company reinforces its strong cash generation profile and confirms its target for the full year of between 100 and 150 million euros.

For Jorge Pérez de Leza, CEO of Metrovacesa, “the tone of residential demand remains good and  we continue to retain strong visibility on deliveries for the period 2023-2025, which allows us to maintain our strategic focus and operational targets.”.

Finally, the Board of the company has proposed the payment of a new dividend of €50 million on 21 December (€0.33/share). This brings the cumulative dividends paid by Metrovacesa since its IPO in 2019 to €522 million (€3.44/share). This latest dividend is pending approval by the Extraordinary General Shareholders’ Meeting, to be held on 28 November in Madrid. This same meeting must also approve the appointment of a new director at FCC’s proposal, which will increase the total number of members of the Company’s highest executive body to 13 people.