On 24 August 2023, Hili Properties plc published its interim financial statements covering the six-month period ended 30 June 2023.
Revenues surged by 50% to a record (at interim stage) of €7.60 million largely reflecting the contribution from the properties that were acquired last year.
Meanwhile, operating expenses (net of other income) dropped by 5% to €1.95 million driven by lower administrative expenses. As a result, operating profit increased by 87% to €5.65 million compared to the €3.03 million figure reported in the first half of 2022. Likewise, the operating profit margin improved to 74% from 60% in the same period last year.
The financial performance of Hili Properties was also positively impacted by the absence of any investment losses in contrast to the net investment loss of €0.46 million recorded in the first half of 2022. However, net finance costs increased by 54% to €2.92 million.
After accounting for a tax charge of €0.47 million and profits attributable to non-controlling interests of €0.28 million, the net profit for the period attributable to shareholders of Hili Properties amounted to €1.98 million compared to €0.41 million posted in the first half of 2022.
The Statement of Financial Position as at 30 June 2023, compared to figures as at 31 December 2022, shows that total assets increased by 0.8% (or €2.12 million) to €258.5 million, principally comprising of investment property amounting to €232.8 million. Meanwhile, total liabilities remained virtually unchanged at €131.3 million. Shareholders’ funds increased by 1.7% (or €2.0 million) to €127.2 million which translates into a net asset value per share of €0.295.
In their commentary, the Directors remarked that the outlook of the operating activity of the Group is expected to remain positive. The Boards intends to continue with its strategy of acquiring and disposing of properties as necessary with the purpose of meeting the needs of its business operations.
Despite the prevailing global macroeconomic challenges, Hili Properties explained that it owns a robust portfolio of real assets which provide strong cash flows. Indeed, following the acquisitions concluded last year, the company remains committed to the execution of its strategy, and grow its portfolio of assets responsibly and sustainably.