The Ona plc - Updated Financial Analysis Summary

On 30 June 2023, The Ona plc published an updated Financial Analysis Summary. The following are the main highlights of the expected financial performance and position of the company in 2023 and 2024:

• In 2023, revenues are expected to decrease by 34.2% to €3.99 million (2022: €6.07 million) reflecting the lower amount of properties available for sale from the Marsascala and Qawra developments. Meanwhile, in 2024 revenue is forecast to climb to €11.6 million, driven by the expected sale of all residential units and garages from the Mellieha and Birkirkara projects as well as the recognition of the first full year of operations of the Group’s hotel “AC Hotel by Marriott” in St Julian’s.
• EBITDA is projected to amount to €1.02 million in 2023 compared to €1.55 million in 2022, but is expected to surge to €3.80 million in 2024.
• Net finance costs are projected to sharply increase from €0.04 million in 2022 to €0.38 million in 2023 and €0.78 million in 2024. As a result, the interest cover is expected to be 2.7 times in 2023 and improve to 4.9 times in 2024.
• In terms of financial position, total assets are projected to amount to €35.2 million by 2024, compared to €29.5 million in 2022. Similarly, total liabilities are expected to increase to €24.6 million from €21.0 million in 2022.
• By the end of 2024, total debt is forecasted to amount to €22.4 million, which would translate to a gearing ratio (calculated as total debt divided by total debt plus equity) of 67.9%. Meanwhile, in view of the expected improvement in EBITDA, the net debt to EBITDA in 2024 is forecasted at 5.37 times compared to 9.76 times in 2022 and 20 times in 2023.