- Meta Estate Trust reports substantial advance in total revenues, above budgeted level for the first 9 months of the year
- +65% total revenues in the period January - September 2024 compared to the same period last year
- Net profit of $7.4 million, in line with the projected budget for the first 9 months of 2024 and up 4% from the same period last year.
Bucharest, November 14, 2024
Meta Estate Trust (ticker symbol MET), a holding company active in the Romanian real estate sector and acting as a portal between the real estate market and the capital market, reports a turnover of RON 11.7 million for the first 9 months of this year, a three-fold increase compared to the same period in 2023. At the same time, the company achieves a net profit of 7.4 million as of September 30, 2024, in line with the expected budget for the current period and up 4% over the similar period in 2023. The good results for the January-September 2024 period were achieved on the back of higher sales of residential units in the first part of the year, above the expected budget, as well as new investments made.
Alexandru Bonea, CEO of Meta Estate Trust: "The financial results achieved by Meta Estate Trust in a dynamic and challenging economic environment demonstrate the resilience and adaptability of our business model. Our investment portfolio has seen moderate changes in these 9 months of 2024, driven by exits from the early stage pipeline and divestments in residential projects such as the restructurings realized in the One 66 and Avrig Phase II projects. We also focused on investing in the recurring income business line, which is essential to balance and strengthen the portfolio exposure. We are targeting a healthy maturing of the investments started in late 2022 and early 2023 for the period ahead."
The repositioning of Meta Estate Trust's investment portfolio aims to balance investment risk and increase the company's scale. The end of 2024 brings to Meta Estate Trust's portfolio significant investments in the recurring revenue line of business through the contracting of 4 Penny stores to be completed in 2026 and to be leased on a long-term basis, as well as the company's entry into the healthcare market through the development in partnership of a clinic office building.
Alexandru Bonea, CEO of Meta Estate Trust: Despite a difficult economic context, we are observing a downward trend in interest rates, usually a precursor to increased liquidity in the real estate market and the value of assets generating recurring income. However, recent events in the local real estate market will most likely lead to difficulties in financing development projects in their early stages. However, this context brings opportunities for experienced equity investors, such as MET, by increasing bargaining power in this market, as capital becomes a scarcer resource.
The company expects to realize budgeted net income by the end of 2024 and is on target to achieve its 10% return on equity target. Also, the investment portfolio is being restructured and developed to achieve good financial results in 2025 in the Early stage investment pipeline, continuing the high level of residential unit sales during the current year.
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.
From August 29, 2022, Meta Estate Trust is listed on the Bucharest Stock Exchange, in the AeRO market, with the stock symbol MET. From March 20, 2023, MET shares are 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.