Orascom: Losses continue despite sales growth
Real estate developer Orascom Development Holding closed the 2018 financial year with revenue growth of almost 40%. Nevertheless, the bottom line remains a loss of CHF 37.3 million.
Orascom increased its revenue by CHF 39.2% to CHF 340.3 million in the past financial year. Gross profit even increased by 72.8% to 108.7 million in the same period. At 70.2 million, adjusted EBITDA more than doubled compared to the previous year (33.4 million). At the same time, net debt fell in relation to adjusted EBITDA: in the 2018 financial year, it reached a factor of 3.3, compared to 8.2 in the 2017 financial year and 14.7 in the 2016 financial year.
At 37.3 million, the net loss in the 2018 financial year was reduced compared to the previous year (41.1 million), although currency losses of 16.5 million were recorded, Orascom announced. At 56.2 million, cash flow from operating activities was upTP3T 87.31 million on the same period of the previous year.
The solid operating performance and the debt restructuring in Egypt and Oman, which will lead to reduced financing costs in the future, are a good indication that the Group is on its way back to profitability, Orascom added.
For the financial year 2009, Orascom is targeting revenue of 400 million and adjusted EBITDA in the range of 74 to 77 million. This corresponds to an increase in revenue of 25% compared to the 2018 financial year and EBITDA growth of up to 24%. Property sales of between 445 and 470 million are also planned, compared to 200.6 million in 2018. (ah)
