Hexaom Reports a Decline in Q1 Revenue but Maintains Progress Toward Annual Goals

In the first quarter of 2024, Hexaom experienced a 13.2% drop in revenue amounting to €221.8 million, a decrease from €255.6 million in 2023, primarily due to high comparison bases from the previous year. The Home Building sector saw a decline of 14.0%, generating €192.6 million, closely aligning with the company's forecasts despite the ongoing market challenges. Renovation services brought in €12.8 million, while Real Estate Development enjoyed an 11.4% increase, rising to €12.7 million due to deferred transactions from the last quarter of 2023.

The company's intermediated and general contractor businesses experienced mixed results. The intermediated business increased by 42.9%, resulting in €3.0 million in revenue, supported by franchise network expansions. Conversely, the general contractor sector saw a decrease to €9.8 million due to business model shifts toward franchising. Land Development recorded a 50% decline in revenue, settling at €3.6 million. The quarterly results reflect the ongoing tough market environment, with order intakes still showing signs of difficulty despite some signs of potential market recovery.

Looking forward, Hexaom remains optimistic about maintaining a satisfactory operating profitability, projecting a revenue decline of 25 to 30% for 2024 compared to the previous year, with profitability margins expected between 3% and 4%. With a robust financial structure and a focus on mid-range and high-end markets outside of Paris, Hexaom is positioning itself to leverage market opportunities as they arise.