Helma Eigenheimbau provides development, planning, sales, finance advisory and construction services for turnkey, low rise, domestic properties. It uses solid construction techniques, usually block and render. It operates mainly in cities in middle and north Germany and in Munich.
Investment summary
In H119, Helma Eigenheimbau returned to gradual revenue growth, in line with the longer-term trend established since its formation. Consequently, management targets annual sales above €300m in the medium term. Further top-line growth should be driven by Helma’s solid order book (€197.4m at end-June 2019 vs €171.3m at end-2018). The expansion of Helma Wohnungsbau’s operations, which realise higher-margin projects, should assist the company’s overall profitability. Helma reiterated its pre-tax profit guidance for FY19 of €23.5–26.0m, which implies c 13.5% y-o-y EBT growth in H219 at the lower end of the range.
