Gafisa Reports Second Quarter 2009 Results
01 8월 2009 - 4:25PM
PR Newswire (US)
- Pre-Sales Grow to R$835 million for the quarter; R$1.4 billion
for the first half of 2009 - - EBITDA Increases 76% to R$138.6
million on Revenue Increase of 54% to R$706 million - - R$1.1
billion in Consolidated Cash and Equivalents - SAO PAULO, Aug. 1
/PRNewswire-FirstCall/ -- Gafisa S.A. (Bovespa: GFSA3; NYSE: GFA),
one of Brazil's leading diversified national homebuilders, today
reported financial results for the second quarter ended June 30,
2009 (2Q09). The following financial and operating information,
unless otherwise indicated, was prepared and presented in
accordance to Brazilian GAAP (BR GAAP) and in Brazilian Reais (R$).
The second quarter of 2008 has been adjusted in accordance with Law
11,638, which brings accounting standards closer to the IFRS, for
comparison purposes to the second quarter of 2009. Further details
of the Company's second quarter results may be found on the Gafisa
website: http://www.gafisa.com.br/ir. Commenting on the second
quarter highlights, Wilson Amaral, CEO of Gafisa, said: "We
witnessed healthy demand in all segments of the Brazilian real
estate market. Historically low interest rates, inflation and
unemployment levels have prevailed, and the convergence of
increasing economic prosperity, strong government support of home
ownership, and substantial household formation in all regions of
the country contributed to Gafisa achieving strong sales of R$1.4
billion during the first half of 2009. Our diverse residential
product lines, brand strength in all income segments, and a
national footprint spanning twenty states positioned us very well
to capture the renewed growth of the sector." Amaral continued,
"Gafisa posted solid second quarter results, with consolidated
revenues of R$706 million, an increase of 54% over 2008 second
quarter's result contributing to a gross profit improvement of 41%
to R$191 million as compared to the same period one year ago. We
sold 5,894 units, representing R$835 million of which almost 75%
was inventory launched before 2009. While launches increased
sequentially, we will continue to only launch new projects with
demonstrated demand and project financing in place." Second Quarter
Results Project launches for the quarter totaled R$626 million, a
decline from the R$1,409 million recorded in the second quarter of
2008 as Gafisa continued to focus on sales from inventories and
launched new projects in accordance with demonstrated demand.
Gafisa's pre-sales reached R$835 million, a 9% increase over 2Q08
sales of R$764 million, on particularly strong sales of units from
inventory. Pre-sales of $1.4 billion for the first half of 2009
were similar to the levels recorded in the first half of 2008 prior
to the global economic downturn precipitated at the end of the
year. Net operating revenue for the second quarter, recognized by
the Percentage of Completion ("PoC") method, rose 54% to R$705.8
million from R$458.8 million in the previous year. Backlog of
Results to be recognized under the PoC method at the end of the
second quarter reached R$1.1 billion (backlog margin of 36.4%), a
69% increase from the prior year period. Selling expenses were
R$51.2 million in 2Q09 versus R$30.9 million in the second quarter
of the previous year. The increase in these expenses is primarily
due to the consolidation of Tenda which has a large retail presence
in high-growth metropolitan areas and dedicated sales force. EBITDA
adjusted for R$3.7 million non-cash stock option expenses was
R$142.2 million (adjusted EBITDA margin 20.1%), an increase of 69%
as compared to R$84.3 million in 2Q08 (margin 18.4%). EBITDA for
the second quarter was R138.6 million, a 76% increase as compared
to the R$78.7 million reported in the prior year period. Net Income
before deduction of minority shareholders and non-cash stock option
expenses was R$81.1 million (11.5% margin), an increase of 26% as
compared to the R$64.4 million in the previous year's second
quarter. Net Income was R$57.8 million and EPS R$0.44, an increase
of 35%, compared with R$42.8 million and an EPS of R$0.33 for the
second quarter of 2008. Total consolidated cash and cash
equivalents at June 30, 2009 was R$1.1 billion including R$70
million from a second securitization of Gafisa receivables and
Tenda's R$600 million Caixa debenture, while net debt including
obligations to investors was R$1.5 billion. As of June 30, 2009,
our net debt and obligation to investors to equity and minority
interests ratio was 65.6% compared to 61,9% in 1Q09 and 36.9% in
2Q08. On July 21, 2009, 97.65% of holders of the fourth issue of
debentures voted to remove a covenant restricting net debt to R$1
billion that was negotiated in 2006, when Gafisa's equity was less
than half its current amount. Cash burn this quarter was R$111
million compared to R$115 million in the first quarter of 2009,
down from R$360 million in the fourth quarter of 2008. Gafisa's
consolidated land bank is R$16.0 billion of future sales, a 21.6%
increase compared to the 2Q08. Key Recent Events During the
quarter, healthy demand was witnessed in the mid/mid-high segment,
with three high-ticket launches in Sao Paulo through the Gafisa and
Alphaville brands: Vistta Santana, Supremo Ipiranga and Alphaville
Granja Viana, in addition to the launch of Gafisa Sorocaba in Rio
de Janeiro. Tenda is successfully integrating the operations of Fit
and is seeing the benefits of its unique sales platform to showcase
products geared to the affordable entry-level market. During the
second quarter sales were R$367 million on 4,366 units at an
average price of approximately R$84,000. With the lowest price
points in the industry, Tenda's customers are benefiting from the
strong subsidies provided by the government's recently announced
housing program. During the second quarter 2009, Gafisa's
mid/mid-high products represent 69.4% of launches and 56.1% of
pre-sales, while Tenda's represent 30.6% of launches and 43.9% of
pre-sales. We currently have developments in 99 cities in 20
states. Due to financial market conditions, Gafisa cancelled a
previously announced equity offering on July 13, 2009. Our
expectations for achieving the consolidated sales guidance provided
in 1Q09 of R$2.7 - R$3.2 billion have not changed, as proceeds from
the offering were not planned as a source of funding to achieve the
2009 objectives. Gafisa has been certified as Sarbanes-Oxley
("SOX") compliant, without any material weakness. For 2009 the
compliance effort will remain, including all new relevant
affiliated companies. Outlook A number of recent government
measures, including the R$34 billion package to foster growth in
the housing industry, a federal incentive program aimed at building
one million houses by 2010 and the Central Bank's recent cutting of
the Selic rate to 8.75%, have resulted in increased availability of
funds to support growth of the housing industry. Stability has
prevailed and positive macroeconomic trends have begun to emerge.
The seasonally-adjusted unemployment rate fell to 8% in June, the
lowest level since November 2008, and in July, consumer confidence
reached its highest level since September 2008. Importantly, there
are recent signs of strengthened demand for housing in the
mid/mid-high segment that is traditionally more sensitive to
economic uncertainty. As a result, Gafisa expects launch activity
at Tenda to significantly increase in the second half, while it
will selectively increase launch activity at Gafisa and Alphaville
and continue to focus of inventory and monitor closely the supply
and demand for new housing. As announced in 1Q09, Gafisa's
consolidated sales for the full year 2009 are expected to be
between R$2.7 and R$3.2 billion. Gafisa is expected to account for
between R$1.0 - 1.2 billion, Tenda for R$1.4 - R$1.6 billion and
Alphaville from R$0.3 - R$0.4 billion. Consolidated EBITDA margin
is expected to be in the range of 16% - 17%, while EBITDA margin
for Tenda is expected to be between 14% - 16%. Conference Call The
management of Gafisa will host a conference call in English on
August 3, 2009, at 11:30 a.m. US EDT/12:30 p.m. Brasilia time. To
access the call, dial +1 800 860-2442 from the United States and +1
412 856-4600 from other countries and ask for the Gafisa
conference. A replay of the conference call will be available for a
week after that. To access the replay, dial +1 877 344-7529 from
the United States and +1 412 317-0088 from other countries and
enter the code #432459. A live webcast of the conference call will
be available on the internet at http://www.gafisa.com.br/ir. About
Gafisa We are one of Brazil's leading diversified national
homebuilders. Over the last 50 years, we have been recognized as
one of the foremost professionally-managed homebuilders, having
completed and sold more than 970 developments and constructed over
11 million square meters of housing, which we believe is more than
any other residential development company in Brazil. We believe
"Gafisa" is one of the best-known brands in the real estate
development market, enjoying a reputation among potential
homebuyers, brokers, lenders, landowners, and competitors for
quality, consistency, and professionalism. We serve the lower
income housing segments through our majority ownership stake in
Construtora Tenda, S.A., a separate publicly-traded company on the
Novo Mercado of the BM&FBOVESPA. Investor Relations: Julia
Freitas Forbes Phone: +55 11 3025-9242 Email: Website:
http://www.gafisa.com.br/ir Media Relations (Brazil) Patricia
Queiroz Maquina da Noticia Comunica ao Integrada Phone: +55 11
3147-7409 Fax: +55 11 3147-7900 Email: Only financial data derived
from Gafisa's accounting system were subject to review by the
Gafisa's auditors. Operating and financial information not directly
linked to the accounting system (i.e., launches, pre-sales, average
sales price, land bank, PSV and others) or non-BR GAAP measures
were not reviewed by the auditors. Additionally, financial
statements and operating information consolidate the numbers for
Gafisa and its subsidiaries, and refer to Gafisa's stake (or
participation) in its developments. To view a more detailed review
of results filed with the Brazilian Comissao de Valores Mobiliarios
("CVM"), please visit Gafisa's website http://www.gafisa.com.br/ir.
This release contains forward-looking statements relating to the
prospects of the business, estimates for operating and financial
results, and those related to growth prospects of Gafisa. These are
merely projections and, as such, are based exclusively on the
expectations of management concerning the future of the business
and its continued access to capital to fund the Gafisa's business
plan. Such forward-looking statements depend, substantially, on
changes in market conditions, government regulations, competitive
pressures, the performance of the Brazilian economy and the
industry, among other factors; therefore, they are subject to
change without prior notice. DATASOURCE: Gafisa S.A. CONTACT:
Media, (Brazil), Patricia Queiroz, Maquina da Noticia Comunicacao
Integrada, +55-11-3147-7409, or Fax, +55-11-3147-7900, ; or
Investor Relations, Julia Freitas Forbes of Gafisa S.A.,
+55-11-3025-9242, Web Site: http://www.gafisa.com.br/ir
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