ATER 2024 Q3 review – PROFITABILITY RISES

Profitability Rises

Q3 2024 results

• Advance Terrafund’s Q3 2024 revenue came down to BGN 10.2mln (-66.3% YoY) with the decrease due to a decrease in the revenue from sold properties from BGN 23.7mln to BGN 2.6mln (-89.1% YoY). This, in turn, was due to the amount of properties sold falling from 8,474 daa in Q3 2023 to 693 daa in Q3 2024 (-91.83% YoY).
• Meanwhile revenue from renting of properties increased from BGN 6.1mln in Q3 2023 to BGN 7.3mln in Q3 2024 (+20.5% YoY). This was due to an increase in the amount of rented properties which went up from 142,538 daa in 2023 to 146,442 daa in 2024 (+2.74% YoY).
• Operating expenses decreased substantially and fell to BGN 4,374m (-85.0% YoY). The biggest decrease came from expenses to the managing company which fell from BGN 4.1mln in Q3 2024 to BGN 2.6mln (-37,89% YoY). Consequently, despite the decrease in revenue, net income for the quarter came at BGN 5.8mln (+560.3% YoY) which corresponds with EPS of BGN 0.068.
• Turning to the balance sheet, Advance Terrafund continues to maintain a stable capital structure with a substantial cash position. Moreover, net debt has fallen to BGN 7mln (-75.3% YoY, which is essentially a measurement of the cash account), while total assets remain almost unchanged at BGN 327mln (-0.7% YoY).
• The profitability ratios increased because of the massive difference in net profit in Q3 2024 far offsetting the results for Q3 2023 (460% rise, going from BGN 1mln to BGN 5.8mln)