Lokum Developer summarizes financial results after III quarters of 2024.

After the third quarter of 2024, Lokum Developer recorded revenue of 164.3 million PLN from 224 units.

From January to September 2024, the company achieved a revenue of 164.3 million PLN, marking a decrease of 24% compared to the same period in 2023 (215.7 million PLN). Consolidated gross profit from sales amounted to 63.1 million PLN – 21% less than the same period last year, where it was 79.8 million PLN. Meanwhile, the net profit attributable to the parent company’s shareholders reached 34.5 million PLN, translating to a development margin of 21%. The company handed over keys to 224 units. Over the course of 9 months, Lokum Developer signed a total of 124 development and preliminary agreements. At the end of September, there were also 30 apartments in reservation.

“Due to record-high mortgage costs, the demand for apartments has significantly dropped. Buyers are also being deterred by the government’s lack of a final decision on the future of the ‘Apartment Start’ program, which clients are eagerly awaiting. The ongoing uncertainty surrounding the program is destabilizing the housing market. When clients postpone purchase decisions, developers delay planned investments. This is why the currently advantageous supply situation in the housing market will eventually deteriorate. We are focusing on preparing new investments to replenish the offer when customers’ purchasing abilities improve. This will then allow the construction of new projects,” says Bartosz Kuźniar, President of the Management Board of Lokum Developer.

In the reported period, Lokum Developer paid out dividends for 2023, amounting to 43.2 million PLN (2.40 PLN per share). The developer also carried out an early buyback of series I bonds. Currently, series J bonds with a maturity in the second quarter of 2027 are still on the market.

This year, the group expanded its offer with additional units in its Wroclaw investments. A total of 168 apartments were introduced for sale – 84 in the expanding Lokum Porto estate in the Old Town, and 84 in the Lokum la Vida estate, under construction in Sołtysowice.

Lokum Developer has an extensive land bank which, in addition to the projects currently under construction, will allow the execution of more than 11,000 units.