Slide 1: Presentation of 2023 Results
DOM DEVELOPMENT S.A. CAPITAL GROUP PRESENTATION OF 2023 RESULTS 19 MARCH 2024
Slide 2: A Record Year for Dom Development Group
A RECORD YEAR FOR DOM DEVELOPMENT GROUP 3 906 3 831 PLN 460 m UNITS SOLD IN RETAIL MARKET UNIT DELIVERIES NET PROFIT 2023 + 26 % YoY +5% YoY + 12% YoY PLN 424 m NPS(1) 71 pts. PLN 389 m DIVIDENDS AND INTERIM CUSTOMER SATISFACTION INDEX CASH(2) AS AT 31.12.2023 PAYMENTS at a very high level with no a
Slide 3: 2023 Financial Summary
2023 FINANCIAL SUMMARY REVENUE 2023 2022 Change 2 550 m PLN 2 419 m PLN +131 m PLN +5% 32% GROSS MARGIN 2022: 31% NET PROFIT 2023 2022 Change 460 m PLN 410 m PLN +50 m PLN +12% 18% NET MARGIN 2022: 17% GEARING NET DEBT 31.12.2023 31.12.2022 31.12.2023 9% (0.3)% 131 m PLN 33% ROE 2022: 33% 3
Slide 4: Market Overview in 2023
MARKET OVERVIEW IN 2023 • Strong recovery in housing demand – sales increase of 45% YoY across Poland's seven largest residential markets, with growing share of mortgage-financed purchases, helped by: • KNF relaxation of safety buffer when calculating affordability - resulting in afordability increa
Slide 5: Annual Net Sales
ANNUAL NET SALES SALES VOLUME UP BY 26% No. of units 397 * Net sales (units) in retail Change 2023 2022 market YoY Warsaw 1 690 1 738 (3)% 4 066 3 906 Tri-City 1 111 793 40% 3 661 3 756 3 093 Wroclaw 647 354 83% Krakow 458 208 120% Dom Development 3 906 3 093 26% Capital Group 2019 2020 2021 2022 20
Slide 6: Net Sales Value
NET SALES VALUE INCREASE IN VALUE OF UNITS SOLD BY 33%, TO A RECORD PLN 2.75 BLN PLNm Net Sales Value Change 2023 2022 (PLN m)* YoY Warsaw 1 347 1 257 7% 2 746 Tri-City 708 513 38% 2 575 2 131 2 057 Wroclaw 390 178 119% 1 941 Krakow 301 109 176% Dom Development 2 746 2 057 33% Capital Group *Excludi
Slide 7: 2023 Sales Segmentation
2023 SALES SEGMENTATION 82% OF UNITS SOLD WITH A VALUE OVER PLN 500 K Segmentation value of the DOM Development Group residential sales in 2023 Average transaction Change over PLN 900k 21% 2023 2022 value (PLN k) YoY PLN 800-900k 8% Warsaw 844 721 17% Tri-City 669 640 5% PLN 700-800k 13% Wroclaw 644
Slide 8: Offer
OFFER RAPID DEVELOPMENT IN WROCLAW LOCATION DUE TO FAST START-UP OF NEW PROJECTS Number of units in the offer 31.12. 31.12. Change Offer by market 2023 2022 YoY Warsaw 795 794 0% Tri-City 598 586 2% 2 482 2 480 2 404 2 255 Wroclaw 773 383 102% 2 082 Krakow 238 319 (25)% Dom Development 2 404 2 082 1
Slide 9: Project Launches in 2023 - Warsaw and Krakow
PROJECT LAUNCHES IN 2023 WARSAW 319 units 405 units Close to Jerozolimskie Ave, 3 126 units + 60 units (2 phases) 182 units 108 units 600m from Jerozolimskie railway 900m from Starzyński roundabout min from S8 motorway and 4 minutes from Dworzec in the heart of the station in the district of Włochy
Slide 10: Project Launches in 2023 - Tri-City
PROJECT LAUNCHES IN 2023 TRI-CITY 189 flats in Gdansk 221 units in Gdank in the Piecki-Migowo district, commonly 114 units in Gdansk 132 flats in Pogórze in the Piecki-Migowo district, commonly known as Morena; one minute to the tram in the seaside area in the Foothills near known as Morena; one min
Slide 11: Project Launches in 2023 - Wroclaw
PROJECT LAUNCHES IN 2023 WROCLAW 159 units 397 units 115 units 202 units on nature’s doorstep with excellent just 10 minutes from in the cosy neighbourhood of located in Psie Pole with good transport transport links to the city centre Market Square Krzyki-Jagodno links to the city centre 173 units 8
Slide 12: Units on Projects Under Construction
UNITS ON PROJECTS UNDER CONSTRUCTION GROWTH OF UNITS UNDER CONSTRUCTION, MAINTAINING SATISFACTORY MARGINS No. of units under construction Units under 31.12. 31.12. Change construction 2023 2022 YoY Warsaw* 2 857 3 053 (6)% 6 705 Tri-City 1 823 1 795 2% 5 930 5 779 5 298 Wroclaw 1 404 597 135% 4 718
Slide 13: Land Bank - Owned and Controlled
LAND BANK - OWNED AND CONTROLLED RECORD LAND BANK CAPACITY - ALMOST 20,000 UNITS FOR DEVELOPMENT Number of possible units for construction 19 770 16 985 17 125 6 129 14 215 14 666 4 077 Change Land Bank Owned Controlled Total 7 039 YoY 6 339 Warsaw 7 031 3 941 10 972 16% 7 975 Tri-City 4 122 406 4 5
Slide 14: Deliveries
DELIVERIES RECORD NUMBER OF UNITS DELIVERED WITH NPS* AT A HIGH OF 71 POINTS No. of units NPS 100 4 00 0 3 831 3 666 3 482 90 3 50 0 3 332 80 3 006 70 70 71 3 00 0 62 63 70 Change Deliveries of units 2023 2022 2 50 0 60 YoY Warsaw 1 928 1 921 0% 50 2 00 0 Tri-City 1 045 1 078 (3)% 40 1 50 0 Wroclaw
Slide 15: Profit and Loss Account
PROFIT AND LOSS ACCOUNT ANOTHER RECORD YEAR FOR DOM DEVELOPMENT GROUP Profit and Loss Account 2023 2022 Change Sales Revenues, including 2 550,3 2 419,3 +5% Revenue from the sale of finished goods* 2 429,5 2 133,9 +14% Deliveries (units) 3 831 3 666 +5% Revenue from sale of finished goods per unit (
Slide 16: Key Profitability Indicators
KEY PROFITABILITY INDICATORS MAINTAINING SATISFACTORY MARGINS Gross margin on sales Net Profit Margin 32,9% 31,9% 31,2% 32,0% 30,1% 18,0% 16,7% 17,1% 17,0% 15,4% 2019 2020 2021 2022 2023 16
Slide 17: ROE and Gearing
ROE AND GEARING COMBINING HIGH EQUITY YIELD WITH LOW DEBT 32,8% 32,6% 27,9% 28,1% 24,5% 14,3% ROE 9,0% annual net income / equity opening balance -0,3% Gearing Net interest-bearing debt* 2019 2020 2021 2022 2023 / equity closing balance *total loans and bonds less cash (including funds in trust acco
Slide 18: Cumulative Net Sales to Be Recognized in P&L
CUMULATIVE NET SALES TO BE RECOGNIZED IN P&L (UNITS SOLD BUT NOT DELIVERED) HIGH REVENUE POTENTIAL TO BE REALISED IN COMING QUARTERS PLNm 3 500 3 000 2 500 2 000 1 500 Units sold and not transferred Value 31.12.2022 4 555 units 2 978 PLNm 1 000 31.12.2023 4 627 units* of which: 3 283 PLNm • 597 unit
Slide 19: Balance Sheet
BALANCE SHEET mln zł STRONG BALANCE SHEET A COMPETITIVE ADVANTAGE FOR THE GROUP 4 600 4 400 ASSETS 31.12.2023 31.12.2022 Change CASH 4 200 Current assets, including: 4 407 3 937 +12% 4 000 SHORT-TERM LIABILITIES Cash 389 374 +4% 3 800 DEFERRED Incl. escrow accounts 103 70 +47% 3 600 INCOME Inventori
Slide 20: Debt Maturity Structure
DEBT MATURITY STRUCTURE HIGH LEVEL OF AVAILABLE FINANCING AND STAGGERED BOND MATURITIES ALLOWS US TO RESPOND FLEXIBLY TO OPPORTUNITIES AS THEY ARISE AND MANAGE SHORT-TERM LIQUIDITY mln zł 389 PLNm CASH* 260 560 PLNm UNUSED CREDIT LINES 100 110 50 0 2024 2025 2026 2027 2028 Bonds Bank loans As at 31.
Slide 21: Cash Flow
CASH FLOW ROBUST CASH FLOW FROM OPERATING ACTIVITIES Cash flow 31.12.2023 31.12.2022 Profit/ (loss) before tax 573,3 512,6 Changes in inventory (371,7) (191,9) Changes in prepayments and deferred income 85,6 (56,2) Other adjustments 139,0 57,7 Cash flow generated from operating activities 425,3 322,
Slide 22: Summary: Dom Development Group in 2023
SUMMARY: DOM DEVELOPMENT GROUP IN 2023 • Very good sales results (3 906 net units sold, growth of 26% YoY) - consolidated leading position on the Polish residential market • Rapid expansion of operations in Krakow and Wroclaw • Increased share of mortgage–financed purchases of flats to 41%, but cash
Slide 23: Appendices
DOM DEVELOPMENT APPENDICES
Slide 24: Commencement of New Handovers in 2024
COMMENCEMENT OF NEW HANDOVERS IN 2024 NO. OF COMMENCENT OF NO. OF COMMENCEMENT PROJECT / PHASE LOCATION PROJECT / PHASE LOCATION UNITS HANDOVERS UNITS OF HANDOVERS Apartamenty Solipska phase 2 Warsaw 91 Jan’24 Osiedle Komedy phase 5 Wrocław 115 Oct’24 Przystanek Międzylesie phase 1 Warsaw 110 Jan’24
Slide 25: Projects Under Construction and in Preparation: Warsaw
PROJECTS UNDER CONSTRUCTION AND IN PREPARATION: WARSAW NO. OF UNITS, AS AT 31/12/2023 UNDER No INVESTMENT IN PREPARATION CONSTRUCTION 1 METRO ZACHÓD 811 1 794 2 APARTAMENTY LITERACKA 100 443 13 3 APARTAMENTY KOŁO PARKÓW (CIOŁKA) 133 --- 4 HARMONIA MOKOTÓW 157 313 5 URBINO 319 765 15 7 2 14 6 OSIEDLE
Slide 26: Projects Under Construction and in Preparation: Tri-City
PROJECTS UNDER CONSTRUCTION AND IN PREPARATION: TRI-CITY NO. OF UNITS, AS AT 31/12/2023 UNDER No INVESTMENT IN PREPARATION CONSTRUCTION 1 PERSPEKTYWA 306 --- 2 DOKI 498 489 3 DOLNE MIASTO --- 999 4 SYNTEZA 222 306 13 5 LEMA 189 --- 14 11 12 10 9 6 GDAŃSK WARSZAWSKA --- 350 7 WZGÓRZE HOPLITY (GDAŃSK
Slide 27: Projects Under Construction and in Preparation: Wroclaw
PROJECTS UNDER CONSTRUCTION AND IN PREPARATION: WROCLAW NO. OF UNITS, AS AT 31/12/2023 UNDER 2 No INVESTMENT IN PREPARATION CONSTRUCTION 1 HUBSKA * --- 286 2 BRANIBORSKA 80 397 --- 9 4 3 OSIEDLE KOMEDY 115 --- 66 10 4 ZIELNA 202 88 2 2 5 APARTAMENTY NAD RZEKĄ 152 --- 5 76 6 OSOBOWICKA 114 82 --- 1 1
Slide 28: Projects Under Construction and in Preparation: Krakow
PROJECTS UNDER CONSTRUCTION AND IN PREPARATION: KRAKOW NO. OF UNITS, AS AT 31/12/2023 1 No INVESTMENT UNDER CONSTRUCTION IN PREPARATION 2 1 1 GÓRKA NARODOWA 380 329 2 29 ALEJA 151 306 4 3 MALBORSKA 90 71 3 4 PARK MATECZNEGO --- 593 TOTAL KRAKOW 621 1 299 PROJECT IN PREPARATION 2 2 PROJECT UNDER CONS
Slide 29: Contact for Investors
Contact for investors : Joanna Czwarno tel. +48 600 759 296 e-mail: joanna.czwarno@domd.pl www.inwestor.domd.pl Dom Development S.A. endeavors to ensure that the information in the presentation is complete, up-to-date and accurate. However, we do not make any guarantees in this respect, and therefor