In H1 2017, the MLP Group, a modern warehouse property developer, generated PLN 47.5 million in revenues. That signifies 9.5% growth in comparison with the corresponding period of the previous year.In the first six months of the year, the Group earned operating profit of PLN 21.0 million, net of the revaluation of investment properties, compared to PLN 21.8 million in the same period last year. At the net result level, MLP Group generated PLN 19.9 million in net profit, compared to PLN 26.2 million in the same period of the previous year. At the end of June 2017, the warehouse space devel oper had equity (net assets) of PLN 698 million, or 3.3% more than presented a t the end of the previous year.
“We believe that our performance in the first half of the year was good. The nearly 4.5% depreciation of the Euro to Polish zloty exerted a signif icant impact on the net result. This translated into an adverse impact of the revaluation of investment properties totaling PLN 2.2 million, while last year we posted a PLN 27.4 million profit in this area. This is a consequence of the fact that the proper ties are appraised in the Euro and then the amounts are converted to the domestic currency for reporting purposes. Regardless of the changes in exchange rates, our operating activities are developing very
well, which guarantees a further gradual growth of the scale of the Group’s business and its value.
We also expect the growth in net assets and revenues to be much faster in the second half of the year when we finalize the contracts we currently perform, which were signed mainly at the end of 2016” emphasized Radosław T. Krochta, President of the MLP Group S.A. Management Board.
During the first six months of the year, the value of investment properties rose by 11.1% (or 16.3% in EUR) to PLN 1.07 billion (EUR 253.2 million). The largest contributors EUR) to PLN 1.07 billion (EUR 253.2 million). The largest contributors to this increae included: to this increae included: acquisition of the MLP Unna park on the German market, the handacquisition of the MLP Unna park on the German market, the hand–over of more than 23,000 square over of more than 23,000 square meters to tenants and launch of new investment projects in MLP Pruszków II and MLP Gliwice parks. meters to tenants and launch of new investment projects in MLP Pruszków II and MLP Gliwice parks. During the first half of the year, tDuring the first half of the year, the Group was building more than 110,600 square meters of space he Group was building more than 110,600 square meters of space and prepared the construction of additional facilities with 31,400 square meters of space; this will and prepared the construction of additional facilities with 31,400 square meters of space; this will result in the delivery of more than 142,000 square meters of new space.result in the delivery of more than 142,000 square meters of new space.
As at the end of June of this year,the MLP Group was leasing a total of 366,300 square meters of e of this year,the MLP Group was leasing a total of 366,300 square meters of commercial space, or over 3commercial space, or over 33% more than the year earlier. 3% more than the year earlier. At the end of the first half of the year, the At the end of the first half of the year, the level of vacancies was very low at 3%. At present almost 80,000 square metelevel of vacancies was very low at 3%. At present almost 80,000 square meters remains to be built rs remains to be built underunder the existing lease agreements.the existing lease agreements.
Currently, the Group operates eight logistics parks in Poland: MLP Pruszków I, MLP Pruszków II, MLP Poznań, MLP Lublin, MLP Teresin, MLP Wrocław, MLP Czeladź and MLP Gliwice. Based on a development agreement, the Group is also responsible for the commercialization of the MLP Bieruń logistics park, sold in 2015. In addition, the Group owns land plots and has signed reservation agreements to purchase new plots for its planned logistics parks. This means that the current and potential real estate portfolio managed by the MLP Group consists of a total of thirteen operating logistics parks located in Europe.
