INVL Baltic Real Estate Reports Strong 2024 Half-Year Results

INVL Baltic Real Estate Reports Strong 2024 Half-Year Results

For the first half of 2024, the unaudited consolidated net profit of INVL Baltic Real Estate (the Company) group was EUR 0.82 million, with revenue at EUR 2.05 million. This marks an increase compared to the same period in 2023, where the consolidated net profit was EUR 0.27 million and revenue was EUR 1.71 million.

Growth in Profit and Revenue

The real estate investment company INVL Baltic Real Estate achieved a consolidated net profit of EUR 0.82 million in the first half of this year, tripling the net profit of EUR 0.27 million from the previous year.

Operational Success

“We have successfully met our objectives to enhance the company’s operational results through investments in commercial real estate, maintain high occupancy levels at our properties, and continue reconstruction and design work on the buildings in the Old Town,” states Vytautas Bakšinskas, the real estate fund manager at INVL Asset Management, which manages INVL Baltic Real Estate.

Financial Summary

The Company’s consolidated equity at the end of June 2024 was EUR 23.61 million, with equity per share increasing by 5.6% over the year to reach EUR 2.93.

Investment Property Growth

At the end of the first half of 2024, the total value of INVL Baltic Real Estate’s investment properties was EUR 44.03 million, reflecting a 6.7% increase from EUR 41.28 million a year prior.

Increased Income from Properties

Consolidated revenue rose by 19.7% in the first half of 2024, reaching EUR 2.05 million. Notably, consolidated rental income from owned properties surged by 26.4% to EUR 1.29 million. The consolidated net operating income from properties was EUR 1.45 million, up 31.2% compared to January-June 2023.

Property Performance

The net operating income from the largest portfolio asset, an office building at Palangos St. 4 in the Vilnius Old Town, which includes the Talent Garden coworking space, increased by 13.6% in the first half of 2024, amounting to EUR 0.84 million. There was also a 7.7% increase in rental revenue from the Žygis Business Centre, totaling EUR 0.2 million.

High Occupancy Rates

Both the Talent Garden Vilnius and the Žygis Business Centre maintained very high occupancy rates of 99% and 100% respectively, by the end of June.

Construction and Renovation Efforts

Vytautas Bakšinskas noted that during the first half of this year, the company collaborated with the contractor Sivysta to carry on reconstruction work on the building at Vilniaus St. 37, which is expected to be completed in the last quarter of the year. Design work for renovations on various properties, including buildings at Vilniaus St. 37 and Palangos St. 4/Vilniaus St. 33, is progressing rapidly. Renovation design work is also ongoing for the Pramog? Bankas building acquired last year in Vilnius.

Future Goals

“INVL Baltic Real Estate aims to continue profiting from investments in commercial real estate by increasing rental income and optimizing costs. The characteristics of the company’s property holdings indicate solid expectations for continual growth in their asset value,” Bakšinskas adds.

About INVL Baltic Real Estate

INVL Baltic Real Estate holds various real estate properties, including office buildings situated on Vilniaus Street and in Šiaur?s Miestelis, the Pramog? Bankas in central Vilnius, and the 55-ha Dommo Logistics and Industrial Park near key highway junctures. As of June 2024, the company’s properties achieved occupancies ranging from 85% to 100%.

Property Holdings

Currently, INVL Baltic Real Estate's total property area stands at 32,100 sq. m., with an overall property value of EUR 44.03 million by the end of June 2024.

About INVL Asset Management

INVL Asset Management is recognized as the leading alternative asset manager in the Baltic region, striving to provide superior risk-adjusted returns to investors while positively impacting regional economic growth. The management firm has over 30 years of experience, managing assets worth EUR 1 billion across diverse asset classes, including private equity, forests, agricultural land, renewable energy, and private debt.

Contact Information

The individual authorized for additional inquiries is:
Real Estate Fund Manager of Management Company
Vytautas Bakšinskas
E-mail: vytautas.baksinskas@invl.com

Frequently Asked Questions

What is the net profit reported by INVL Baltic Real Estate for the first half of 2024?

The reported net profit for the first half of 2024 is EUR 0.82 million.

How much did the company’s revenue increase from the first half of 2023 to 2024?

The revenue increased by 19.7%, reaching EUR 2.05 million.

What factors contributed to the growth in net operating income?

The growth is attributed to increased rental income and high occupancy rates at their properties.

What are INVL Baltic Real Estate's plans for property renovations?

The company is continuing its renovation efforts on various properties in Vilnius, with plans for completion in the coming quarters.

What is the future outlook for INVL Baltic Real Estate?

The company aims to enhance rental income and optimize costs to achieve continuous growth in asset value.

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