J.W. Construction sums up Q1 2021
23:43
After the first quarter of 2021, J.W. Construction achieved sales revenues of PLN 103.8 million, compared to PLN 45.6 million in the first quarter of last year, which means an increase of 128 percent y/y. Gross profit on sales reached the level of PLN 14.6 million, compared to PLN 11.6 million a year earlier (an increase of 26 percent y/y). Such a level of revenues and gross profit caused the company to record a net profit of PLN 0.4 million (compared to a net loss of PLN 4.5 million in the first quarter of 2020).
"The achieved result does not fully reflect the actual condition of the company, as the financial results were mainly influenced by the cycle of construction projects implementation. In the first quarter, the Group handed over 228 units and only those handed over were reflected in the financial result. The company has a great potential related to the ability to recognize the results, because it has over 2,000 units sold but not handed over, which will be recognized in future settlement periods," Małgorzata Szwarc-Sroka, member of the Supervisory Board of JW Construction, commented.
"Moreover, as the situation on the housing market develops, the company, based on its land bank, may quickly launch development projects for over 4,600 units, as well as the construction of warehouse and commercial facilities with a total area of over 327,000 sqm. At the same time, it should be noted that the land bank held allows for the geographical diversification of investments, as the Group owns plots of, among in Warsaw, Szczecin, Chorzów, Łódź, Poznań, and Kraków. It should be emphasized that the company's financial result is burdened with the loss we have suffered in the hotel segment," she added.
(WBJ)
