Dom Development (DOM) Q4 2023 earnings summary

Executive summary

• Record 2023: 3,906 retail units sold, up 26% YoY; 3,831 units delivered, up 5% YoY, with customer NPS of 71.

• Net profit reached PLN 460.3m, up 12% YoY; year-end cash was PLN 389m, including PLN 103m in open escrow accounts.

• Operations expanded rapidly in Wroclaw and Krakow, while the land bank reached a record capacity of 19,770 units.

Financial highlights

• Revenue was PLN 2,550.3m, up 5% YoY; revenue from completed-unit sales rose 14% to PLN 2,429.5m.

• Gross profit rose 8% to PLN 815.1m; operating profit increased 11% to PLN 558.2m.

• Profit before tax was PLN 573.3m, up 12% YoY; net profit was PLN 460.3m, up 12% YoY.

• EPS increased 12% to PLN 17.94; gross margin was 32.0%, up 0.7 percentage points YoY.

Outlook and guidance

• Sold-but-undelivered units totaled 4,627, with a value of PLN 3,283m; 2,399 units were scheduled for completion in 2024.

• At year-end, 6,705 units were under construction, up 16% YoY, and the sales offer comprised 2,404 units, up 15% YoY.

• 2024 handovers were scheduled across projects in all four markets, with starts listed from January through December.