Hexaom (ALHEX) Q2 2024 TU earnings summary

Executive summary

• Half-year revenue reached €418.4 million, down 24.2% year-over-year, in line with forecasts.

• Decline attributed to a severe real estate sector crisis and reduced sales activity over the past 18 months.

• Group maintains strong fundamentals and expects to preserve good operating profitability.

Financial highlights

• Q2 2024 revenue was €196.7 million, down 33.7% compared to Q2 2023.

• Home Building revenue for H1 2024 was €362.7 million, down 23.2% year-over-year.

• Renovation revenue was €25.3 million, down 10% from H1 2023.

• Intermediated business revenue rose 54.2% to €6.4 million.

• Real Estate Development revenue fell 33.2% to €24.3 million; Land Development revenue dropped 60.6% to €6.1 million.

Outlook and guidance

• Annual production expected to decline by 25% to 30% in 2024 versus 2023.

• Operating profitability forecasted at 3% to 4% of annual revenue for 2024.

• No significant short-term market recovery anticipated; cost structure adjustments ongoing.

• Diversification into renovation market continues, leveraging less-affected segments.