Tower Investments reported a consolidated net loss of PLN 9.63 million from continuing operations in 2022, compared to a loss of PLN 0.48 million a year earlier, the company said.
Total consolidated net loss (from continuing and discontinued operations) attributable to shareholders of the parent company was last year. PLN 10.24 million compared to PLN 0.26 million profit a year earlier.
Operating loss amounted to PLN 3.75 million against PLN 2.4 million profit a year earlier.
Consolidated sales revenues reached PLN 26.56 million in 2022 against PLN 50.02 million a year earlier.
“From the point of view of the Tower Investments Group’s operations, the effects of the decline in demand in the residential real estate market and the sharp increase in the cost of debt capital proved to be the most painful. Tower Investments Group companies were not able to complete all planned projects, which is reflected in the Group’s revenues by falling from just over PLN 50 million in 2021 to PLN 26.5 million in the reporting period. Nonetheless, there was an increase in gross profit on sales from PLN 7 million (in 2021) to PLN 7.2 million (in 2022) and net profit on sales from PLN 1.9 million (in 2021) to PLN 2.7 million (in 2022), while general and administrative expenses decreased by almost 10% despite inflationary pressures. The massive net loss reported in the consolidated annual report is, unfortunately, the result of a significant increase in financial expenses from PLN 3 million (in 2021) to almost PLN 6 million (in 2022), and this in the circumstances of a reduction in nominal bond debt,” wrote CEO Bartosz Kazimierczuk in a letter accompanying the report.
On a standalone basis, the net loss in 2022 was PLN 3.91 million, compared to a profit of PLN 1.96 million a year earlier.
Tower Investments specializes in providing comprehensive development services to the largest retail and service chains: from selecting a suitable location, to purchasing real estate and obtaining the necessary administrative permits, to implementing a turnkey facility. In addition, it owns the SHOPIN brand. In 2017, the company moved to the main market of the Warsaw Stock Exchange from NewConnect.
Source: Tower Investments and ISBnews
