On 27 April 2022, Hili Properties plc published its Annual Report and Financial Statements for the year ended 31 December 2021. These are the first set of financial statements published by Hili Properties following the Initial Public Offering which took place in Q4 2021.
Revenues increased by 4.2% to €8.45 million as the yearly incremental adjustments to lease rates offset the loss of income from a property in Latvia which was sold in late 2020.
On the expenditure side, net operating costs amounted to €3.55 million. Excluding depreciation, EBITDA amounted to €4.9 million which, in turn, is slightly higher than the forecasted figure of €4.84 million as provided at the time of the IPO. Meanwhile, the financial performance of Hili Properties was positively impacted by a net increase in the fair value of investment properties of €2.1 million which however is lower than the €3.6 million positive movement recorded in 2020.
After accounting for net finance costs of €3.2 million and a tax charge of €0.59 million, Hili Properties recorded a net profit of €3.2 million.
The Statement of Financial Position as at 31 December 2021 shows that total assets increased by nearly 40% to €208.6 million reflecting the higher value of investment property and cash balances. Meanwhile, total liabilities increased by 12.5% to €97.8 million largely reflecting additional bank borrowings. As a result, the company’s equity base expanded to €110.9 million (31 December 2020: €62.7 million) which, in turn, translates into a net asset value per share of €0.2766.
In their commentary, the Directors made reference to the recent acquisitions in Lithuania and Latvia which complement the Group’s strategy of owning a diversified portfolio of properties providing stable income for the long-term. Hili Properties also added that despite the challenging global macroeconomic climate, the Group remains committed to growing its portfolio of assets.