The Q3/2022 of Israel’s largest real estate company published bright numbers in its Q3/2022 report. Without a land- and taxreform for properties on the one hand, and making the Negev, Shomron and Judea safe the real estate companies will be the winner.
And for sure Azrieli will cope with a new frame. For the moment, Azrieli Group is the winner. And due to the strategic diversification, Azrieli is likely to saty on the winner side.
According to the press release Azrieli Group’s netprofit grew +76%: “Net profit attributable to the shareholders totaled approx. NIS 330 million in Q3, compared with a profit of around NIS 187 million last year, up around 76%. (…)”
During the 3rd quarter, the Group invested approx. NIS 1.8 billion in investment property, in acquisition, development, construction of new properties and in upgrade and betterment of preexisting properties (around NIS 1.4 billion for Mall Hayam), and around NIS 2.6 billion since the beginning of the year.
Balance Sheet (September 30, 2022) – Key Figures
The Group has cash, deposits and short-term investments amounting to approx. NIS 3.7 billion and together with Bank Leumi stock, cash and cash equivalents and marketable securities – around NIS 4.8 billion.
Net debt (including Leumi) totals approx. NIS 14.4 billion.
The value of investment property and investment property under construction totals
approx. NIS 38 billion.
The equity to assets ratio is approx. 46% and the net debt to assets ratio is approx. 33%.
Unencumbered assets total approx. NIS 32 billion.
Eyal Henkin, CEO of Azrieli Group: “We are happy to close another good quarter in the Group’s operations. The offices segment continues to see high demand thanks also to the geographic dispersion and nature of the properties, together with the diversity of the tenants. In addition, the moves we led to upgrade the Triangular Tower are continuing to be reflected in the impressive growth in the operating parameters. From this quarter, the retail operations, are presenting impressive growth in store revenues and the NOI, even without the newly acquired Mall Hayam, despite the significant increase in outgoing travel by Israelis in the summer months. We are pleased to see the increase in the number of mall visitors and are continuing our efforts to maintain this positive trend. Development of the Data Centers operations, one of our key growth engines in the coming years, is making big strides forward, and the significant contribution of the signed contracts that are not yet producing income will be expressed with the completion of the many projects under development. We are continuing to develop our new business segments while exploring new business opportunities across the board“