Malita Investments plc - Full-Year Results

On 18 April 2024, Malita Investments plc published its Annual Report and Financial Statements for the year ended 31 December 2023.

Performance Overview

Revenue increased by 10.1% to a record of €9.71 million from €8.81 million in 2022 reflecting an uplift in lease and ground rent income from investment property.

On the expenditure side, administrative expenses surged by 44.9% to €0.90 million (2022: €0.62 million). Furthermore, an extra €0.30 million was included in operating expenses as a provision for liabilities and charges. Consequently, operating profit climbed 3.8% higher to €8.50 million compared to the previous record of €8.19 million last year.

The financial performance was also boosted by the fair value gain of investment property of €18.1 million compared to the fair value gain of €2.85 million in 2022. The uplift was brought about by the increase of €7.2 million (2022: gain of €17.0  million) in the present value of the Parliament Building and the Open-Air Theatre sites. Additionally, the Malta International Airport and Valletta Cruise Port sites also experienced a fair value increase of €10.9 million (2022: fair value loss of €14.1 million).

Finance income from the Housing Concession Agreements more than doubled to €3.04 million (2022: €1.29 million) driven by the completion of several new housing units. Meanwhile, finance costs remained relatively unchanged from the previous year at €1.63 million.

Overall, Malita registered a pre-tax profit of €28.0 million. After accounting for a tax expense of €3.37 million, the net profit for the year amounted to €24.7 million compared to a net income of €8.78 million in 2022, resulting in a return on equity of 15.8%. (2022: 6.1%)

The Statement of Financial Position as at 31 December 2023 shows that total assets increased by 7.6% (+€20.8 million) to €293.0 million mainly reflecting both the higher value attributed to the housing project assets (+€16.8 million to €66.3 million) and investment property (+€18.1 million to €221.1 million). On the other hand, cash at the end of 2023 was €4.79 million as it decreased by €12.6 million throughout the year. Meanwhile, total liabilities remained relatively unchanged at €126.0. As a result, total equity increased by 14.6% to €167.0 million which translates into a net asset value per share of €1.1277 (31 December 2023: €0.9840).


The Directors are recommending the payment of a final net dividend of €0.0185 per share to all shareholders as at the close of trading on Friday 26 April 2024. The dividend will be paid on Thursday 13 June 2024 subject to shareholders’ approval at the upcoming Annual General Meeting scheduled to be held on Thursday 30 May 2023. Coupled with the interim net dividend of €0.00858 per share, the total net dividend for the 2023 financial year amounts to €0.02708 per share, which is 6.5% greater than 2022.

Update on the Affordable Housing Project

In their commentary, the Directors explained that the Affordable Housing Project continued to register significant progress and in 2023, the Company completed the development of a total of 80 residential units, 39 lock-up garages and 3 parking spaces. Moreover, a further 308 units, 158 lock-up garages and 141 car spaces will be completed and available for rent in 2024.

The Board noted that Malita needed an additional €63 million for the completion of the housing project due to heightened spending attributed to the construction of more units than initially budgeted, elevated service rates compared to the original budget, and increased costs stemming from supply chain constraints within the construction industry. Furthermore, the Company stated that the termination of significant contractors and the subsequent appointments played a pivotal role in inflating the rates.

In the current financial year, Malita has addressed its financing shortfall by tapping into the following funding streams:

  • €29.9 million raised from a Rights Issue.
  • €22 million from a credit facility from the European Investment Bank (EIB) which the Company entered into on 15 March.
  • €7 million approved in principle by the Council of Europe which is still subject to legally binding documentation.
  • An additional €4 million from a financial institution, which is currently in an advanced stage of negotiations but not yet approved.