For the third year running, the company has increased its turnover, achieving consolidated EBITDA of €77.5 million, 23% higher than in the previous year. In 2023, the Alicante-based company has delivered over 696 properties, 33% more than in 2022, and has invested €40 million in purchasing new strategic plots. These figures establish TM as a leader in the residential tourism sector and one of the TOP 10 companies in the housing development sector in Spain.
The hotel division in Mexico, which opened its fourth hotel last year, had a turnover of €53.7 million and accounts for 17% of the Group's total turnover.
Alicante, 11 June 2024 – TM Real Estate Group, a leading Alicante-based holding company in the residential, hotel and holiday tourism sector, which specialises in building and developing homes along the Mediterranean and Caribbean coasts, has published its consolidated turnover for the 2023 financial year, with total turnover of €316.8 million, 22% higher than in the 2022 financial year. These record turnover figures have translated into some excellent consolidated EBITDA results, this having risen to €77.5 million, 23% higher than in the previous period.
Leader in the residential tourism sector
During the 2023 financial year, the property developer division has consolidated its leadership in the residential tourism sector in Spain, delivering over a total of 696 properties, 33% more than in 2022, and investing €40 million in acquiring new strategic plots in the Mediterranean area. Currently, TM has one million square metres of gross floor area in its portfolio, which corresponds to around 11,500 properties.
The property developer division currently has 26 projects and 1,800 properties underway and expects to continue with its sustainable growth thanks to its new 2024-2027 Strategic Plan, for which it has set the target of reaching turnover of €1,100 million, 3,000 sales and 3,000 deliveries by the end of this period. To achieve this, the plan is to double the investment made in buying plots compared to the previous strategic period 20-23.
TM’s customer profile is clearly international and in 2023 included 37 different nationalities. Of every 10 purchases, 8 are from the international market, with the results from countries such as Poland (18%), Belgium (11%), Ukraine (8%) and the Netherlands (6%) standing out. In addition, the company has once again this year achieve a more than 95% average satisfaction rating among its customers and 86% satisfaction among its suppliers, demonstrating its strong commitment to excellence when dealing with its stakeholders.
With these figures, the company, which has its headquarters in Torrevieja, has achieved the objectives set in its 2020-23 Strategic Plan, despite the uncertainty generated over that period by COVID-19, the war in Ukraine, inflation and the rise in raw material prices. This has allowed it to consolidate its position as one of the TOP 10 companies in the real estate development sector in Spain.
Consolidation of the hotel business and diversification of the holding company
The hotel business in Mexico, operating under the “The Fives Hotels & Residences” brand, has ended the 2023 financial year with turnover of €53.7m, accounting for 17% of the Group’s total turnover. The holding company’s hotel division is also entering a new strategic cycle of sustained growth underpinned by the 1,000 rooms it manages on the Riviera Maya and to which it has recently added those of a new hotel: The Beachfront. The Fives forecasts that by 2027 it will be turning over €80 million, figures that would establish it as a leader in tourism in Mexico.
With regard to the company’s other divisions, the agricultural division “Las Moreras Fruit & Veggies” closed 2023 with a total production of 2.6 million kilos of citrus fruits (37% more than in 2022); the holiday rental division “Mar Holidays” managed around 2,100 bookings (18% more); and the renewable energy subsidiary continued with four projects underway in Alicante.
Significant advances in its Corporate Responsibility Master Plan
During 2023, TM has been driving forward its sustainability strategy and has managed to meet 90% of its 50 environmental, social and good governance commitments included in its Corporate Responsibility Master Plan. In this way, the holding company is strengthening its commitment to contributing value to all its stakeholders. TM has invested €1.12 million over the last four years in running 218 corporate responsibility projects that have benefitted 45,000 people in Spain and Mexico. In the next few days, it expects to present its new Sustainability Report, which will include the main milestones in environmental, social and good governance (ESG) matters.
Outlook for 2024 and new corporate headquarters in 2025
Similarly, and with regard to the property developer business, with the activity in this first quarter of the year, TM has already secured 80% of its 2024 turnover targets.
In addition, the company is progressing with the construction of its new corporate headquarters in Torrevieja. This cutting-edge building is expected to open in 2025 and will house 200 employees, as well as meeting high standards for sustainability, well-being, smart building and accessibility.
Pablo Serna, CEO of TM Real Estate Group: “Once again this year, our holding company is demonstrating its strength by beating previous records in both sales and profitability and meeting the targets we set ourselves in our 20-23 Strategic Plan. This success would not have been possible without the commitment of our 1,800 employees, without the support of our suppliers and partners and without the trust that our customers place in us each day. In 2024, we will enter a new strategic cycle with a focus on achieving sustainable growth in all our business divisions and we are convinced that we have the strategy and talent we need to turn our vision into a successful reality”.
