- Transaction-heavy first quarter with profitable real estate exits and increasing demand for sustainable investments
- Significant improvement in profitability
- Sale of Dutch real estate business leads to extraordinary income
Hamburg, May 12, 2022 - Hamburg-based asset and investment manager MPC Capital AG (Deutsche Börse, Scale, ISIN DE000A1TNWJ4) increased its consolidated revenues to EUR 10.7 million in the first quarter of fiscal year 2022 from EUR 7.8 million in the previous year.
The asset management business generated recurring revenues of EUR 6.4 million (Q1 2021: EUR 7.1 million). The expected decrease in management fees is due to the sale of the Dutch real estate business, which has become effective on January 31, 2022 with the sale of the subsidiary Cairn Real Estate B.V.
Revenues from the transaction business increased significantly in Q1 2022 and amounted to EUR 4.2 million (Q1 2021: EUR 0.7 million). The increase is mainly attributable to disposals in the German office real estate market and transactions in container shipping.
Group operating result significantly above the previous year's level
After the first three months of 2022, consolidated earnings before taxes (EBT) amounted to EUR 22.1 million. The operating EBT adjusted for the extraordinary income from the sale of Cairn Real Estate B.V. (EBT adj.) was EUR 5.7 million. In the previous year, MPC Capital generated an EBT of EUR 0.9 million. The EBT margin (adj.) thus improved from 12% in the previous year to 53% in the first quarter of 2022.
The equity ratio was at a very comfortable level of 81% as of the balance sheet date March 31, 2022 (December 31, 2021: 75%). Cash and cash equivalents increased to EUR 62.2 million in the first quarter (December 31, 2021: EUR 38.5 million) due to the sale of Cairn Real Estate B.V., income from co-investments, and a positive operating cash flow.
Newbuilding program initiated in container shipping with more than USD 420 million
MPC Capital recorded a further increase in demand for sustainable investments in all asset classes. For example, the MPC Capital Group was able to purchase three additional renewable projects in Latin America and the Caribbean for the Oslo-listed investment platform MPC Energy Solutions.
In addition, together with international investors, MPC Capital initiated a newbuilding program for six container ships, each with a capacity of 5,500 standard containers and a total investment volume of USD 420 million. The special eco-design of the vessels is one of the most modern and efficient designs currently available in container shipping. Compared with the existing fleet, fuel consumption is around 40% lower and the newbuildings are prepared for conversion to CO2-neutral propulsion at a later stage. Furthermore, charter agreements with a total volume of USD 600 million over a term of seven years have already been concluded for the ships. MPC Capital has participated in the newbuilding program as part of its co-investment strategy.
Confirmation of 2022 forecast
Due to the sale of Cairn Real Estate B.V., Group sales are still expected to decline significantly in the financial year 2022. In terms of earnings, the Management Board continues to expect an EBT adj. of between EUR 8.0 million and EUR 12.0 million for the financial year 2022. The EBT margin (adjusted) should continue to improve significantly as a result of the lower sales level if the strong prior-year result is achieved again.
Ulf Holländer, CEO of MPC Capital AG: "We can look back on a very successful first quarter, which stands out both operationally and due to the extraordinary income from the sale of our Dutch real estate activities. Due to the war in Ukraine, geopolitical and economic risks have recently increased significantly. Nevertheless, we expect investment demand to continue to grow strongly against the backdrop of achieving global climate targets and we will be able to drive the expansion of our investment platforms across all asset classes."
Note: The figures for the first quarter of 2022 have not been audited and were not subject to an auditor's review.
About MPC Capital AG (www.mpc-capital.de)
MPC Capital is a global asset and investment manager for real assets in the areas of real estate, renewables and shipping. Its range of services includes the selection, initiation, development and structuring of investments, through active management to divestment. With more than 200 employees and over 25 years of experience, MPC Capital offers institutional investors access to investments in selected markets with attractive growth and return opportunities. As a responsible company with a family background that has been listed on the stock exchange since 2000, MPC Capital contributes to meeting the financing needs to achieve global climate goals.
MPC Capital AG
Head of Investor Relations & Public Relations
Tel. +49 40 38022-4347
This communication contains future-related statements that are to some degree subject to risks and uncertainties. Future results may deviate considerably from those currently expected due to various risk factors and uncertainties such as changes in the business, economic and competitive situation, exchange rate fluctuations, uncertainties arising from legal disputes or investigative proceedings, and access to financial resources. MPC Capital AG assumes no responsibility whatsoever for updating the future-related statements contained in this communication.
Head of Investor & Public Relations
+49 (40) 380 22 - 4347