Quabit Recorded €6M Loss In H1 2015

17 August 2015 – Expansión

The real estate company Quabit recorded a loss of €6 million during the first half of 2015, compared with a profit of €62.3 million during the same period in 2014. According to management, the company’s earnings performance during the first half of 2014 was positively affected by the operations linked to its debt restructuring program.

Quabit has indicated that the loss recorded during H1 2015 reflects the “state of transition” in which the company currently finds itself and is the result of “limitations that have existed in recent years surrounding the launch of new projects, due to the crisis in the sector, and the difficulties involved in obtaining funding”.

Since restructuring its debt, Quabit has started to resume its activity, with projects in Zaragoza, Boadilla del Monte (Madrid) and Guadalajara, which now “need to undergo a period of maturation” before they will be reflected in the income statement.

The extraordinary impact of the debt restructuring is also reflected in Quabit’s turnover, which amounted to €4.1 million between January and June 2015, down by 91.8% on the same period last year, when the real estate company recorded revenues of €50.4 million.

EBITDA and debt

The company’s gross operating profit (EBITDA) was negative during H1 2015 (€5.8 million) compared with €71.6 million the previous year. Net debt with credit entities amounted to €355.4 million at the end of the first half of 2015, the same figure as a year earlier.

As at 30 June 2015, Quabit held a stock of 305 homes, compared with 281 homes at the end of 2014, up by 8.5%.

Original story: Expansión

Translation: Carmel Drake