PATRIZIA reported “solid” EBITDA growth in the first quarter of this year thanks to an increase in management fees and lower net operating expenses.
The company said despite the “subdued market environment” EDITDA was up 2.9% year-on-year to €27.2m with recurring management fees growing 13.8% year-on-year to €62.2m. In the same period PATRIZIA’s net operating expenses declined 5.2% year-on-year.
The company said it was in a “solid financial position to capitalise on market opportunities” with a net equity ration of circa 70%, available liquidity of more than €370m and circa €4bn of “available client firepower in equity rich funds”.
It is proposing to pay a dividend per share of €0.33 for the full year 2022, equivalent to year-on-year growth of 3.1%.
Wolfgang Egger, CEO and founder of PATRIZIA SE, said: “No doubt the first quarter of 2023 shows that we remain in a very tough market environment with many of our clients facing a variety of challenges, especially around the continued market uncertainty. Nevertheless, we were able to provide our clients with investment opportunities ranging from global multi-manager solutions in real estate and direct investments in European and Japanese real estate, to global investment opportunities in infrastructure.
“The latest deals for our clients in fibre networks in the US and Spain during the first quarter 2023 are just two examples of the strong investor demand for infrastructure and smart city solutions, as well as the ever-growing interest in digitalisation and decarbonisation. I am extremely confident that PATRIZIA and our clients will benefit from helping address these megatrends during the next years.”
Christoph Glaser, CFO of PATRIZIA SE, added: “PATRIZIA delivered a decent performance in the first quarter of the year despite a truly challenging environment. Our cost efficiency initiatives show the first positive effects while revenues continued to be supported by growth in recurring management fees.
“Nevertheless, after a few quarters of subdued activity due to external market shocks, client activity will return at some stage and we have the product suite and on-the-ground expertise to provide our clients with attractive investment opportunities. At the same time, the continued strength of our solid balance sheet and financial flexibility allows us to capitalise on opportunities if and when they arise.”
