Meta Estate Trust announces net profit doubles from same period last year: 6.31 mil and annualized return on equity of 11.5% for H1 2024
Bucharest, August 29, 2024:
Meta Estate Trust (ticker symbol MET), a holding company operating in the real estate sector and acting as a portal between the real estate market and the capital market, announces financial results for the first half of the year. The company reports increases in all key indicators and delivers a double profit to shareholders compared to the same period last year. The financial results reflect the potential of the MET business model and validate the strategy adopted and adapted to the current market context.
- Recorded net profit is double compared to the same period last year, reaching RON 6.31 million, while shareholders' equity is up 6%.
- The company's total income amounted to RON 19.19 million, three times more than the same period last year.
- For the first time, the annualized return on equity, one of the key indicators for a business model such as MET's, exceeds the 10% threshold and reaches 11.5%, while the leverage ratio remains below the 5% threshold.
Alexandru Bonea, CEO of Meta Estate Trust: "The net profit recorded is double compared to the same period last year, reaching RON 6.31 million, while equity recorded an increase of 6%. This performance brings for the first time the annualized return on equity, one of the key indicators for a business model such as MET's, to the threshold of over 10% (11.5%), while the leverage ratio remains below the 5% threshold."
The structure of Meta Estate Trust's investment portfolio has not yet changed significantly. The restructuring of the portfolio, which started already last year, has been initiated with the first restructuring and divestments of five real estate projects, thus reducing the risk of MET's exposure in these investments. Even in this context, the total value of the investment portfolio increased by 13%, on the back of strategic decisions by the Meta Estate Trust management team. The objective of the management team is to balance the size and risks of the exposures in the portfolio.
Alexandru Bonea, CEO Meta Estate Trust: "The year 2024 remains challenging, but our outlook is encouraging. Together with the members of the Board of Directors, we will focus on managing the dispute with Meta Management Team SRL, continue the restructuring and divestment strategy we have started, and grow our opportunity base and project portfolio with recurring revenue generating commercial real estate assets.
We are grateful to our shareholders, with whom we aim to grow the company, for their confidence in us and I invite them to follow MET's progress closely."
In the capital market, the shareholders approved the share buyback program at the AGM on 25.04.2024. The program commenced on 10.07.2024 and runs for a period of 18 months in cooperation with the financial services company S.S.I.F. BRK Financial Group S.A. selected to provide intermediation services. The maximum approved volume of ordinary shares to be repurchased is 10 million and to date more than 130,000 own shares have been repurchased. The repurchase is being made from own sources, at the end of the program the Company will cancel the repurchased shares.
About Meta Estate Trust:
Meta Estate Trust is a holding company, active in the real estate sector, founded in March 2021 by a group of Romanian entrepreneurs with experience in real estate and capital markets. As of August 29, 2022, Meta Estate Trust is listed on the Bucharest Stock Exchange, in the AeRO market, with the stock ticker symbol MET. As of March 20, 2023, MET's share is included in the BETAeRO index.
The investment policy is based on a mix of investment typologies with different return and risk profiles, with a diversified and flexible portfolio that can easily adapt to market cycles.
