Heijmans on monitor for good annual outcomes Amsterdam Inventory Change:HEIJM
- More wealth and EBITDA starting Q3 compared to 2019
- Number of homes for sale 1,581 (through 31 October 2020)
- An order book for a fair amount of € 1.9 billion in Q3
- Heijmans changes the shape of 2020 beyond that, the cost and EBITDA 5-10% increase
- The financial role remains strong
Ton Hillen, Executive Board Chairman / CEO Heijmans:
“We are on a journey to record the best results for the year 2020. Big money and EBITDA startups have changed our vision for 2020. Our Property Development and Infra companies have done very well. The second half year is good and our well-distributed book remains good. At € 1.9 billion.As I did earlier this year, I look forward to the future.Our goal – the establishment of a decent place to live – remains our guide.We want to provide a better, smarter and more reliable service, and a temporary vision. The status of the Covid-19 is still unknown, but despite the economic downturn, our customers appear to be spending more on these topics. ”
Commodity growth has retained the growth seen in the first quarter of the year. Both income and profit came in the third quarter. The number of homes sold through 31 October 2020 reached 1,581 (against 1,577 in 2019). The need for housing remains strong. There are a few things that cannot be fixed, due to lack of space and delays in production – due to the constant demand for housing. There is great confidence in the long-term prospects for the real estate market.
The new Maanwijk project in Leusden is one of our healthier demonstrations. In Q3, the design component of the Maanwijk project was awarded to NL Gebiedslabel (area name) A and NL Greenlabel, a specialist in environmental sustainability. Symbol A is the highest rating Greenlabel offers. In West-Brabant, Mr. Heijmans signed an agreement with Alwel’s largest housing company to repair and renovate 2,000 homes in Breda, Etten-Leur and Roosendaal.
Project Fenix I in Rotterdam continues to realize: The selected houses in Gouden Piramide (Golden Pyramid) 2020, won the Dutch National Staalprijs 2020 (dormitory) in Q3 and came first in BNA Best Gebouw van het Jaar (best building of the year) 2020 (group Liveability & social cohesion). At the Architectenweb Award the site also won first prize. Finally there is the international competition in Q3: ULI Europe Award for Excellence.
At the 2020 National Staalprijs Award, the lesser-known artist ‘De Zwerm’ in Eindhoven also won the first prize (group Characteristics of building materials).
Construction & Technology
In Q3, the picture in Building & Technology remained the same for the first half of 2020. Housing Construction and Works provided strong demonstrations. As in the first half of the year, nonprofits continue to be severely affected by delays and unemployment due to the emergence of Covid-19. This was especially true of the NACH project, which is now nearing completion.
Kunstenpand (art galleries – theater and library) donated in 2020 is an important part of the development of the Hart van Zuid region, around Ahoy and Zuidplein in Rotterdam. Her Majness Queen Máxima opened the theater in September this year. The new building allows Theater Zuidplein to reach 120,000 visitors a year. Another part of the Hart van Zuid project is the official launch of the prestigious Ahoy International Congress Center, which will take place in November.
Heijmans is also planning to renovate a building at the University of Maastricht to create a large student training lab. In Q3, we will also provide part of the Real Estate Agency (Rijksvastgoedbedrijf) offices at Laan op Zuid in Rotterdam.
Our infra team is back to normal. We are doing well in a number of projects, including A1 between Apeldoorn and Azelo. In the project, Heijmans is working to upgrade more than 40 kilometers of road between Twello and Azelo, at the Ministry of Labor and Water Transport. In addition, one of the longest canals in the Netherlands (Gaasperdammertunnel) has now been opened by Minister Cora van Nieuwenhuizen.
In the coming years, the Heijmans will work to promote Lekdijk (dike and road on the Lek River). The project covers a distance of 55 km from Amerongen to Schoonhoven and facilitates permanent repairs. As part of our customer service agreement, Stichtse Rijnlanden Water Board, Heijmans is working with GMB and de Vries & van de Wiel. Together with these parties, Heijmans has already established the Emission Free Infra Network (Emissieloos Netwerk Infra – ENI) to support radical change.
In Breda, Mr. Heijmans wrote around the world with a pilot to create a mixed ash between pitch. Klimaflex asphalt was designed to be used in urban areas to deal with local heat stress and groundwater runoff. This is in line with Heijmans’ sustainable approach, which includes climate change, surrounding buildings, energy and diversity.
Starting in Q3, most Infra jobs meet all the requirements for the fourth phase of the Safety Culture Ladder (Veiligheidsladder). This is one of the ways in which clients monitor the company’s performance in security operations. The goal of this country is to reduce the risk of job losses.
Heijmans has come to terms with the 3i architecture by selling its interests in Joint Venture Heijmans Capital. Heijmans Capital is an investment vehicle that operates similarly in the four PFI / DBFM operations. Given that in all four projects a certificate of acquisition has been received and that these projects are in the forefront of development, A Heijmans has decided to sell a 20% interest rate on Heijmans Capital.
Following the sale, 3i Infrastructure will have a 100% interest rate on Heijmans Capital. The completion of the conference, which takes place in accordance with other conditions such as third party approval, is expected to take place in Q4 2020. The agreement will generate more than € 7 million for Heijmans.
The Covid-19 effect on Heijmans results so far has been limited to a number of useful features. Our agency has proven to be flexible enough to continue our operations, but the short-term impact on the ways in which our customers are selling is unclear. The government’s new nitrogen policy is another matter of concern. This may bring relief to the dormitory, but current ideas may not solve the problem, especially in the presence of infra.
Heijmans has changed its approach to 2020 beyond, and now expects EBITDA starting funding to be between 5% and 10% higher. The order book is worth € 1.9 billion and the Heijmans fund remains strong.
Everyone wants fresh air, a good environment, working in a good working environment and being able to move easily from A to B. By making things better, more stable and smarter, Heijmans are creating that healthy living environment. Jan Heijmans started as a road builder in 1923. Today, Heijmans is a listed stock company that specializes in manufacturing, construction & technology and architecture. In addition to this, we operate more efficiently and add value to the environment in which we operate. This is how we create tomorrow’s lines with our clients: www.heijmans.nl/en/
For more information / unpublished:
Jeroen van den Berk
+ 31 73 543 52 17
+ 31 73 543 52 17