Neinor Homes achieves a profit of 62.4 million in 2024 and announces a remuneration of 125 million for its shareholders

The housing fever is also reflected in the results of companies in the sector. Neinor Homes achieved a net profit of 62.4 million euros in 2024, above the forecasts included in its latest business plan, which has allowed it to announce a remuneration of 125 million euros to its shareholders.

According to the developer's report on Wednesday, net profit adjusted for recurring expenses was 68.8 million euros, 30% lower, although 5.9% above the forecast of 65 million.

Between January and December 2024, Neinor generated revenues of €502.1 million, 15.5% less than the previous year, but the pre-sales portfolio closed the year with 3,627 units, representing €1,291 million in future revenues for Neinor and its strategic partners.

Of the sales recorded by the developer last year, 488 million euros, or 97% of the total, corresponds to the core development business; 10 million euros to commission income from the Asset Management business, and 4 million euros to income from the rental portfolio. In total, it delivered 2,397 homes, of which 1,519 belong to the BTS (sale) and 351 to the BTR (rental).

Gross profit amounted to 143 million euros, representing a gross margin of 28.5%, above the average of 28.4% for the period 2017-2024, while gross operating profit (EBITDA) amounted to 102 million, accumulating 803 million in the last eight years in this area, with a profit margin above 20%.

In addition, it recorded a capital gain of €8.3 million from the acquisition of 10% of Habitat , with a 30% discount on its net asset value (NAV), as well as €4.3 million in profits from the joint ventures recorded in this vehicle during the fourth quarter.

Its land bank totalled 23,000 properties, of which 12,000 are owned by the company and the rest are part of its Asset Management business. During the year, Neinor invested a total of 769 million euros in land , including its own purchases and joint ventures. The appraisal of the gross asset value (GAV) carried out by Savills and CBRE at the end of the year stood at 1,465 million euros.

In terms of its financial position, Neinor closed the year with an adjusted net debt of 238 million euros, record liquidity of 368 million euros and an LTV (debt-to-asset ratio) of 16.2%, a figure that already includes the payment of 62.2 million euros to shareholders made in January. If the remuneration planned for March is included, the LTV would be 20.5%.

Shareholder remuneration

As regards shareholder remuneration, the company has stressed that it continues to make progress towards its objective of 600 million euros in five years and, to date, has made distributions worth 263 million euros.

Given the cash position and the visibility of the business plan for the coming years, Neinor's board of directors will present to its next general shareholders' meeting the approval of an additional 125 million euros in four equal payments.

With these distributions, the developer will reach a total of 450 million euros, which represents 75% of the company's five-year target and 100% of the target for fiscal year 2025.