AX Real Estate plc - Full-Year Results

On 4 April 2022, AX Real Estate plc published its Annual Report and Financial Statements for the year ended 31 October 2021. These are the first set of financial statements published by AX Real Estate following the Initial Public Offering which took place in Q1 2022.

Performance Overview

Revenues amounted to €0.8 million representing the rental income received from the lease of the company’s various investment properties principally to its parent company AX Group plc.

On the expenditure side, total operating costs (net of other income) amounted to €0.09 million. Meanwhile, the company’s financial performance was dented by an adverse movement in the value of investment property amounting to €23.7 million. This arose following new lease agreements entered into by the company since the property values are now being established through the discounting of rental income over the specific projected period coupled with a discounted terminal value.

After accounting for net finance costs of €0.06 million and tax income of €1.91 million, AX Real Estate recorded a net loss for the year of €21.2 million.

The Statement of Financial Position as at 31 October 2021 (i.e. prior to the IPO) shows that total assets amounted to €238.2 million whilst the company had total liabilities of €159.5 million. As a result, the equity base stood at €78.7 million.