The MLP Group, an industrial developer, generated PLN 141.5 million in revenues in 2018, up 36.3% vs. last year. The Group’s operating profit nearly tripled in 2018 to PLN 151.1 million vs. PLN 55.2 million in 2017. MLP Group’s net profit was PLN 92.4 million, up 95% from last year. At the end of 2018, the industrial developer’s net assets reached PLN 815.4 million, a 12% increase vs. 2017. Last year, the value of the Group’s investment properties grew by 24% to PLN 1.44 billion (EUR 334.3 million).
“MLPG delivered outstanding financial results in fiscal 2018, providing us a solid base for our growth in Europe on the markets where we have a footprint. The lease transactions we signed recently in Germany affirm that we chose the right development strategy”, said Radosław T. Krochta, CEO & President of MLP Group S.A.
In 2018, the Group signed lease contracts for 169,575 square meters of warehouse and office space. 119,009 square meters of that were leased by tenants under new lease agreements while transactions totaling 55,566 square meters involved renewals by current tenants. Presently, the Group still has 62,000 square meters of warehouses under construction.
“The Group has a very strong capital structure allowing us to pursue long-term strategic objectives. We also have our own land bank situated in attractive locations enabling us to double the size of the warehouse space we hold. In addition to Poland, the German market is a top priority, in particular five core regions where we want to operate: Hamburg, Munich, Berlin, Frankfurt and the Ruhr Area. In the coming years Germany will offer us the greatest potential to generate a return on our investment while simultaneously diversifying our business in Poland. We also see an opportunity to launch operations in Austria in Vienna this year”, added Radosław T. Krochta.
In keeping with its “build & hold” strategy, after completing the construction of logistics parks, the MLP Group retains them in its portfolio. Tenants appreciate this approach as they cooperate the entire time with the same people who are responsible for the high quality of services rendered.
