EQS-News

PATRIZIA Annual Report 2023: Resilient platform but EBITDA impacted by market headwinds - cautious optimism for 2024 with focus on smart real asset investments - Seite 2

As a result, EBITDA came in at EUR 54.1m (2022: EUR 78.9m; -31.5%). Excluding the reorganisation result, EBITDAR amounted to EUR 69.9m which was at the upper end of the most recent FY 2023 EBITDA guidance range of EUR 50.0 – 70.0m.

PATRIZIA continues to run a solid balance sheet with a net equity ratio of 69.0% and available liquidity of EUR 291.0m. In addition, available firepower in the funds managed adds up to EUR 3.4bn. This strong position is a competitive advantage in a continued uncertain market environment and offers financial flexibility both for investments for clients but also for strategic investments for PATRIZIA, if and when attractive opportunities arise in the market.

New dividend policy and dividend proposal for FY 2023 
PATRIZIA has also adjusted its dividend policy at the beginning of the 2024 financial year. The Company strives to offer steadily growing dividends to its shareholders throughout market cycles, backed by its strong balance sheet and financial flexibility. Long-term, PATRIZIA aims to distribute more than 50% of the Group’s annual net profit attributable to shareholders in the form of dividends. The application of the dividend policy for future years is subject to the Group’s balance sheet strength, profitability, available liquidity and the general market environment.

Based on a proposal by the Company’s Executive Directors, PATRIZIA’s Board of Directors will propose a dividend per share for FY 2023 of EUR 0.34 to shareholders. This reflects the sixth consecutive increase in dividend per share, equivalent to 3.0% y-o-y growth. Shareholders will vote on the dividend proposal during the 12 June 2024 virtual AGM. Despite the temporarily subdued net income levels with consolidated net profit attributable to shareholders of the parent company down 20.8% y-o-y to EUR 5.8m, PATRIZIA’s continued solid operating cash-flow (EUR 73.8m in FY 2023) and strong balance sheet allow for a continuation of growing dividends to shareholders. 

Outlook for FY 2024
PATRIZIA is entering 2024 with cautious optimism. The current macroeconomic uncertainty remains a challenge for the majority of the Group’s clients, especially in the real estate sector. On this basis, the Company expects AUM in a range between EUR 54.0bn - 60.0bn in the 2024 financial year. The Company expects a further improvement in earnings quality driven by a solid development of management fees while contributions from performance fees and other operating income should be lower compared to FY 2023, resulting in an expected EBITDA range of between EUR 30.0m - 60.0m for FY 2024.