Hexaom (ALHEX) H1 2024 earnings summary

Executive summary

• Revenue for H1 2024 was €417.0M, down 24.5% year-over-year, reflecting a challenging real estate market.

• Net income was €10.0M, declining over 30% compared to H1 2023.

• Operational profitability was maintained through cost adaptation and full subcontracting.

• All business segments experienced revenue declines, but operational margins were preserved through structural adjustments.

• The group’s financial structure remains robust, with equity at €223.2M and net cash of €86.5M.

Financial highlights

• Operating income: €14.2M (–34.3% YoY); Operating margin: 3.4% (vs. 3.9% in H1 2023).

• Net income: €10.0M (–32.0% YoY); Net margin: 2.4% (vs. 2.8%).

• Net cash position improved to €86.5M from €71.5M a year earlier.

• Equity at €223.2M as of June 30, 2024.

• €1M in non-recurring charges for cost reduction actions.

Outlook and guidance

• Anticipates a 25–30% annual production decline for 2024, with operating margin expected between 3% and 4%.

• No significant market rebound expected short-term, but some improvement in financing conditions noted.

• For 2025, expects a more moderate revenue decline and stable profitability.

• Strategic focus on diversification, especially in renovation and franchise network expansion.

• Prudent approach to new projects, with no toxic land inventory.