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EQS-News: PATRIZIA SE
/ Key word(s): Interim Report/9 Month figures
PATRIZIA 9M 2024 financial results impacted by extraordinary items and still subdued market environment, while market sentiment keeps improving
Equity raised from clients for future investments in real assets increased by 168.0% to EUR 0.7bn (9M 2023: EUR 0.3bn). While signed transactions still came in below last year’s level (-21.6% y-o-y), PATRIZIA was able to close transactions of almost EUR 2.2bn (+2.5% y-o-y) on behalf of its clients in the first nine months of the year 2024, thereof EUR 1.3bn acquisitions and EUR 0.9bn disposals. Assets under Management (AUM) decreased only moderately by 2.3% to EUR 55.9bn (31 December 2023: EUR 57.3bn) mainly due to negative valuation effects of EUR 1.1bn (or -1.9%) during 9M 2024 which could not be fully compensated by closed acquisitions for clients, which supported the development of AUM with a positive net effect of EUR 0.4bn. Management fees decreased to EUR 171.6m (9M 2023: EUR 187.7m; -8.6%) as a result of valuation effects, lower development service fees for clients and the absence of client debt structuring fees which supported management fees in the period under comparison. Transaction fees remained stable at EUR 8.9m (9M 2023: EUR 8.8m). Performance fees came in at EUR 18.2m (9M 2023: EUR 31.7m; Net sales revenues and co-investment income came in at EUR -4.9m (9M 2023: EUR 4.4m) mainly due to the earnings attribution from a temporarily consolidated at-equity investment (amounting to a negative EUR -13.4m) which is expected to be deconsolidated during the fourth quarter of the year. PATRIZIA hence expects a positive contribution to EBITDA in the fourth quarter from deconsolidation. Operating expenses improved moderately by 2.8% to EUR -193.6m (9M 2023: EUR -199.1m) due to continued cost discipline. Staff costs as part of operating expenses decreased to EUR -124.2m Other income decreased by -20.3% to EUR 13.2m (9M 2023: EUR 16.5m) but still reflected a material contribution to EBITDA in the first nine months of the year 2024. As a result, EBITDA decreased to EUR 13.4m (9M 2023: EUR 50.2m) and EBITDA margin decreased to 6.9% (9M 2023: 21.6%) in the first nine months of the year 2024. Results from fair value adjustments on temporarily consolidated properties and income tax payments continued to have a negative impact on the net results for the period. Nevertheless, PATRIZIA maintains a solid balance sheet with a net equity ratio of over 61% and available liquidity of over EUR 120m, ready to seize opportunities when they arise, together with open equity commitments for transactions of EUR 1.7bn available for investments via managed funds. PATRIZIA expects that the negative impact from a temporarily consolidated at-equity investment that burdened EBITDA during 9M 2024 will mostly unwind during Q4 2024 and hence have a subsequent positive impact on the financial results for Q4 2024. PATRIZIA confirms the FY 2024 EBITDA guidance range of EUR 30.0m - 60.0m with the level of EBITDA yet dependent on timing of fee recognition and potential deconsolidation effects during the fourth quarter of 2024.
Martin Praum, CFO of PATRIZIA SE adds: “The first nine months 2024 financial performance reflects the still challenging market environment PATRIZIA operates in. Additionally, the negative effect of a temporary consolidated at-equity investment had a negative impact on our result, overshadowing the positive effects from the cost measures we initiated and implemented. We will nevertheless continue to focus on platform efficiency and tightly manage costs.”
13.11.2024 CET/CEST Dissemination of a Corporate News, transmitted by EQS News - a service of EQS Group AG. |
| Language: | English |
| Company: | PATRIZIA SE |
| Fuggerstraße 26 | |
| 86150 Augsburg | |
| Germany | |
| Phone: | +49 (0)821 - 509 10-000 |
| Fax: | +49 (0)821 - 509 10-999 |
| E-mail: | |
| Internet: | |
| ISIN: | DE000PAT1AG3 |
| WKN: | PAT1AG |
| Indices: | SDAX |
| Listed: | Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange |
| EQS News ID: | 2029265 |
| End of News | EQS News Service |
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2029265 13.11.2024 CET/CEST
