Revenue from the Commercial segment totaled EUR36.3 million (excluding VAT) compared with EUR25.2 million (excluding VAT) over the same period in 2020.

The other businesses generated revenue of EUR2.3 million (excluding VAT) compared with EUR1.9 million in 2020. ? Profitability highlights

The gross margin reached EUR49.4 million in Q1 2021 compared with EUR57.1 million over the same period in 2020. The gross margin ratio was 17.3% versus 19.1% in 2020.

Current operating expenses amounted to EUR27.5 million (9.6% of revenue) versus EUR31.7 million in Q1 2020 (10.6% of revenue).

Current operating income reached EUR21.9 million compared with EUR25.4 million in 2020. The EBIT margin came to 7.7% versus 8.5% in Q1 2020.

Consolidated net income amounted to EUR14.8 million in Q1 2021 compared with EUR18.3 million in 2020. Non-controlling interests totaled EUR3.0 million versus EUR5.1 million in Q1 2020.

Attributable net income was EUR11.8 million versus EUR13.2 million in 2020. ? Financial structure and liquidity

The group's financial debt at February 28, 2021 showed a positive net cash position (excluding IFRS 16 liabilities) of EUR21.4 million compared with a positive net cash position of EUR62.5 million at end-November 2020. Cash assets (available cash and investment securities) amounted to EUR175.1m versus EUR215.2m at November 30, 2020. The group's financing capacity amounted to EUR425.1 million compared with EUR465.2 million at end-November 2020.

The working capital requirement was EUR169.3 million at end-February 2021 (14.7% of revenue) compared with EUR122.1 million at November 30, 2020 (10.5% of revenue). ? Dividends

At the Shareholders' Meeting of May 6, 2021, Kaufman & Broad SA's Board of Directors will propose the payment of a dividend of EUR1.85 per share. ? Governance

The terms of office of Caroline Puechoultres and André Martinez are due to expire, so the upcoming Kaufman & Broad Shareholders' Meeting will be asked to approve the appointment, in replacement of two new directors in the persons of MRS. Annalisa Loustau Elia, Board Member of Legrand and Campari and member of the Supervisory Board of Roche Bobois, as well as of Mr. Michel Giannuzzi, Chairman and CEO of Verallia and Board Member of FM Global.

Kaufman & Broad expresses its thanks to Ms. Puechoultres and Mr. Martinez for their active contributions to the work of the Board of Directors. ? 2021 outlook

With respect to the business outlook for Kaufman & Broad's housing segment in 2021, we have noted that the number of building permits granted has continued to trend downwards since 2019 and we therefore expect order levels to remain flat in 2021.

For the whole of 2021 Fiscal year, 2021 revenue should come out at around EUR1.3 billion. If all the administrative authorizations required for the Austerlitz renovation project have been obtained by the end of the appeals process in 2021, the revenue figure could rise to EUR1.6 billion. In the first scenario, the EBIT margin would be similar to that generated in 2020; in the second, it could return to the levels achieved in previous years.

All these guidance targets are based on the assumption that the current economic, social and the current health situation are stabilized.

This press release is available at www.kaufmanbroad.fr ? Next regular publication date: ? May 6, 2021: Shareholders' Meeting ? July 12, 2021: H1 2021 results (after market close)

Contacts


                        Press Relations 
                        DGM Conseil 
Chief Financial Officer Thomas Roborel de Climens - +33 (0)6 14 50 15 84 
Bruno Coche             thomasdeclimens@dgm-conseil.fr 
+33 (0)1 41 43 44 73 
Infos-invest@ketb.com 
                        Kaufman & Broad: Emmeline Cacitti 
                        +33 (0)6 72 42 66 24 / ecacitti@ketb.com 
 

About Kaufman & Broad - Kaufman & Broad has been designing, developing, building and selling single-family homes in communities, apartments and offices on behalf of third parties for more than 50 years. Kaufman & Broad is among France's leading builder-developers due to the combination of its size, its profitability and the strength of its brand.

The Kaufman & Broad Universal Registration Document was filed with the French Financial Markets Authority ("AMF") under No. D.21-039 on March 31, 2021. It is available on the AMF (www.amf-france.org) and Kaufman & Broad ( www.kaufmanbroad.fr) websites. It contains a detailed description of Kaufman & Broad's business activities, results and outlook, as well as the associated risk factors. Kaufman & Broad specifically draws attention to the risk factors set out in Chapter 4 of the Universal Registration Document. The occurrence of one or more of these risks might have a material adverse impact on the Kaufman & Broad group's business activities, net assets, financial position, results and outlook, as well as on the price of Kaufman & Broad's shares.

This press release does not amount to, and cannot be construed as amounting to, a public offering, sale offer or subscription offer, or as intended to seek a purchase or subscription order in any country. ? Glossary

Backlog (order book): in the case of sales before completion (VEFA), the backlog covers orders for housing units that have not been delivered and for which a notarized deed of sale has not yet been signed, and orders for housing units that have not been delivered and for which a notarized deed of sale has been signed for the portion not yet recorded in revenue (in the case of a program that is 30% complete, 30% of the revenue from a housing unit for which a notarized deal has been signed is recognized as revenue, while 70% is included in the backlog). The backlog is a summary established at a given time, making it possible to estimate the amount of revenue yet to be recognized over the coming months and thus upholding the group's forecasts - with the proviso that there is an element of uncertainty in the conversion of the backlog into revenue, particularly for orders for which a deed of sale has not yet been signed.

Cash assets: this corresponds to cash and cash equivalents on the assets side of the balance sheet, i.e. all available cash (bank balances and cash on hand), investment securities (short-term investments and term deposits) and order balances.

Cash flow: cash flow after cost of financial debt and taxes is equal to consolidated net income adjusted for the group's share of the income of equity affiliates and joint ventures, the income from discontinued operations, and estimated income and expenses.

CSR (Corporate Social Responsibility): Corporate Social Responsibility (CSR) is the contribution made by businesses to sustainable development issues. For businesses, this strategy consists in taking into account the social and environmental impacts of their activities and adopting best practices, thus helping to better society and protect the environment. CSR makes it possible to combine economic thinking, social responsibility and environmental responsibility (as defined by the French Ministry of Ecology, Sustainable Development and Energy).

Debt (or gearing) ratio: ratio of a company's net debt (or net financial debt) to its consolidated shareholders' equity. It is a measure of the risk to the company's financial structure.

Dividend: the dividend is the share of a company's annual net profit distributed to shareholders. Its amount is proposed by the Board of Directors and is subject to approval at the Shareholders' Meeting. It is payable within a maximum period of nine months after the end of the fiscal year.

EBIT: corresponds to current operating income, i.e. gross margin less current operating expenses.

EBIT margin: expressed as a percentage, it corresponds to current operating income, ie gross margin less current operating expenses divided by revenue.

EHU: EHUs (Equivalent Housing Units) are a direct reflection of business volumes. The number of EHUs is a function of multiplying (i) the number of housing units of a given program for which notarized sales deeds have been signed by (ii) the ratio between the group's property expenses and construction expenses incurred on said program and the total expense budget for said program.

Financing capacity: corresponds to cash assets plus lines of credit not yet drawn.

Free cash flow: free cash flow is equal to cash flow minus net operating investments made during the period.

Gross financial debt or financial debt: gross financial debt consists of long-term and short-term financial liabilities, financial hedging instruments relating to liabilities constituting gross financial debt, and the interest accrued on balance sheet items constituting gross financial debt.

Gross margin: corresponds to revenue less cost of sales. The cost of sales is made up of the price of land and any related costs plus the cost of construction.

Lease-before-completion (BEFA): a lease-before-completion involves a customer leasing a building before it is built or redeveloped.

Managed housing: managed housing, or serviced housing, refers to a property complex consisting of housing units (homes or apartments) for residential use and offering a minimum number of services such as a reception, the supply of linen, house cleaning and maintenance, and breakfast. There are several different types of housing in this category: student housing including apartment complexes, mostly furnished studios with a kitchenette located in the vicinity of schools and universities and close to public transportation; tourist accommodation located in high-potential tourist areas offering, in addition to the usual services, amenities such as swimming pools, sports fields, sometimes saunas, steam rooms, jacuzzis and children's clubs; corporate housing as an alternative to traditional hotels, including studios (about 80%) and two-room apartments located in city centers or close to major business hubs with convenient access to everything; and lastly, senior residences (including both assisted and non-assisted living facilities for the elderly) designed to

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