New Amsterdam Invest N.V. Announces Annual Results
New Amsterdam Invest N.V. (the "Company", or "New Amsterdam Invest", or "NAI"), a prominent Dutch commercial real estate firm listed on Euronext Amsterdam, recently revealed its annual financial results and report for the year 2024.
Aren van Dam, CEO of New Amsterdam Invest, stated:
"With a sense of accomplishment, we present the results for 2024. Our operational result for the year reached €9.4 million during our first full operational year. This figure was notably boosted by valuation adjustments amounting to €3.5 million, primarily from the Interra Remington property, which we acquired on November 1, 2024. The net profit for 2024 stands at €5.2 million."
Although the Company operates in a fluctuating environment with potential currency exchange risks, the impact on tenants has been minimal, thus providing reassurance. Our objective is to establish New Amsterdam Invest as a dividend stock, aiming for an annual payout between 4.5% and 6.5% of the Company's overall equity value.
Management remains optimistic about advancing NAI further and is committed to meeting the financial objectives that were initially outlined at the time of listing.
Key Financial Highlights
- Rental Income 2024: €11.1 million
- Net Rental Income 2024: €7.6 million
- Annual Result After Non-controlling Interest: €2.7 million
- Earnings per Ordinary Share: €0.51
- Total Investment Property 2024: €128.7 million
- Total Equity 2024: €54.7 million
- Cash Generated From Operations: €3.1 million
- Solvency 2024: 40.2%
Strategic Highlights
In alignment with its strategic vision, NAI expanded its portfolio by acquiring an additional property in the USA on November 1, 2024. This investment, expected to generate approximately €6 million in rental income for 2025 and an annual pre-tax profit of €3 million, will enhance the Company's overall outcomes significantly. However, it is noted that about 41% of the anticipated return will be attributed to minority interests held by local partners.
Outlook for 2025
Looking ahead to 2025, NAI anticipates continued profitability, remaining geared towards achieving the previously set financial targets. The firm indicates plans for a net rental income of around €11.6 million and an annual profit before tax of €5 million, excluding the potential effects of property revaluations, currency fluctuations, minority shares, and outcomes from new property acquisitions.
Business Overview of 2024
The financial results from various group companies have been incorporated into NAI's overall performance. The net rental income, which includes service costs, accounted for €7.6 million. Before taxation, the financial year 2024 exhibited a profitable outcome of €6.8 million, reflecting positive valuation differences totaling €3.5 million.
Further, it is important to highlight a suitable adjustment regarding the expected loss on a VAT receivable amounting to €330,000 which was recorded in the prior year's expenditures and completely reversed in 2024 leading to a comparative advantage of €660,000.
Property Portfolio Details
As of November 1, 2024, the Company acquired the Interra Remington property in Houston through one of its subsidiaries, which increased NAI's total holdings to seven properties, including five located in the UK and two in the USA, all managed by local subsidiaries.
Of the €11.1 million in total rental and service income for 2024, 57% originated from the UK while the remaining 43% was generated in the USA.
Cash Flow and Financial Position
For 2024, the cash flow from operating activities exhibited substantial growth at €3.1 million, up from €1 million the previous year. This cash flow was utilized primarily for interim dividend distributions, shareholder share premium allocations, and further investments across current properties.
As of December 31, 2024, cash equivalents saw a decline of roughly €0.4 million, totaling €5 million due to cash liquidity at Interra Remington.
Share Capital and Market Position
NAI's ordinary share price settled at €9.00 on December 31, 2024, showing a minor decrease from €9.10 the previous year. The company continues to emphasizes strengthening its share value through strategic growth and consistent performance.
Tax Position
Taxation is based on the taxable results of each entity within the reporting period. Prior to December 31, 2023, losses were recorded, but with profits accrued in 2024, there was a consequential reduction of €333,000 in the net deferred tax asset recognized in 2023.
Future Events
No notable occurrences were registered following the balance sheet date. Meanwhile, the Annual General Meeting (AGM) is set for June 6, 2025, with pertinent documents prepared in both Dutch and English available on NAI's website. The AGM's agenda will include approval of the annual accounts and reappointment of BDO Audit & Assurance B.V. as the external auditor for the financial year ending December 31, 2025.
Financial Calendar Highlights
- April 25, 2025: Annual Report 2024 Publication
- April 25, 2025: Meeting Agenda for the General Meeting of Shareholders on June 6, 2025
- June 6, 2025: General Meeting of Shareholders
- August 29, 2025: Half-Year 2025 Results Publication
About New Amsterdam Invest
New Amsterdam Invest N.V. is a Dutch commercial real estate firm engaged in diverse sectors including ownership, refurbishment, acquisition, divestment, maintenance, leasing, and operation of commercial properties across the USA and the UK. The commitment lies in delivering sustained value and growth to its shareholders.
Frequently Asked Questions
What was New Amsterdam Invest’s operational result for 2024?
The operational result for New Amsterdam Invest for 2024 was €9.4 million, marking a positive financial performance for the year.
What future plans does New Amsterdam Invest have for its portfolio?
NAI plans to continue expansion and growth within its property portfolio, aiming for sustained profitability and financial targets in 2025.
How does NAI generate its income?
Income is generated through rental and service charges from properties, with the total rental income for 2024 reported at €11.1 million.
What investments were made by NAI during 2024?
In 2024, NAI expanded its portfolio by acquiring the Interra Remington property in Houston, contributing significantly to its overall results.
What is the outlook for NAI’s financial performance in 2025?
NAI expects to maintain profitability in 2025, targeting net rental income of approximately €11.6 million and annual profit before tax of €5 million.
