Romanian real estate developer Impact recorded a net profit of RON 55 million (EUR 11.8 million) in 2017, up by 86% compared to 2016, despite a 24% drop in the company’s operational revenues to RON 120 million (EUR 26.4 million).

The higher profit was mainly due to the increase in the value of the company’s land portfolio, according to Impact’s preliminary report.

The company sold 284 housing units in 2017, down by 35%, from 439 in 2016. However, the average sale price was about 14% higher, at EUR 83,788, according to the company’s report.

The company acquires land plots for new developments and raised EUR 12.5 million through a bond issue at the end of last year.

Impact is listed on the Bucharest Stock Exchange and has a market capitalization of EUR 64 million. The company’s main shareholder is local investor Gheorghe Iaciu, who owns 49% of its shares.

editor@romania-insider.com