Exalco Finance plc - Updated Financial Analysis Summary

On 2 June 2023, Exalco Finance plc published an updated Financial Analysis Summary. The following are the main highlights of the expected financial performance and financial position of Exalco Properties Limited (the Guarantor) in 2023:

• Total revenues are estimated to remain unchanged around €4.5 million reflecting the unchanged level of activity expected during the year.
• EBITDA is expected to decrease by 3.5% to €3.88 million due to an estimated increase €0.12 million in expenses. As a result, the EBITDA margin is anticipated to ease to 86.7% from 89.4% in 2022.
• Net finance costs are projected to increase marginally to €0.87 million compared to €0.83 million in 2022. In view of the reduction in EBITDA, the interest cover is expected to ease to 4.5 times from 4.8 times in 2022.
• In terms of financial position, total assets are expected to increase by 1.6% to €79.4 million (31 December 2022: €78.1 million) as the acquisition of Savoy property situated in Rue D’Argens Sliema is expected to outweigh the reduction in trade and other receivables. On the other hand, total debt is anticipated to ease by 2.2% to €16.8 million.
• Coupled with the further increase of 3.2% in equity to €52.7 million, the gearing ratio (calculated as total debt divided by total debt plus equity) is expected to improve slightly to 24.2% from 25.2% as at the end of 2022. Likewise, the net debt to EBITDA multiple is forecasted to fall to 3.79 times compared to 3.97 times in 2022.