News
11.12.2013

Pioneer Group summed up the annual operational results

On 10 December, 2013, “Moscow: 2014 – 2018” Round Table was held, where the top management of Pioneer Group, Hals-Development and OPIN summed up operational results of the past year, assessed new real estate trends on the Moscow market and economic prospects of the capital city as a whole for the next 4 years.

Andrey Grudin, Managing Director of Pioneer Group, stated that the Group had considerably improved its main financial indicators for the past year: in 2013 the revenues could amount to at least 9 billion rubles, or 40% more than in the previous year; the net income was estimated on the level of 1.25 billion rubles (+74.5% to the previous year). Total Group assets have so far reached the level of 18 billion rubles, which is by 46% higher than that in the previous year. The Group debt burden will reach 4.5 billion rubles by the end of the year. The important landmark of the past year was the assignment of the ‘B-’ long-term corporate credit rating of Standard & Poor’s Ratings Services to Pioneer Group and the Group entrance to the public debt market with its first issue of bonds for the amount of 2 billion rubles. The developer also signed an agreement on the long-term strategic partnership with Sberbank of Russia and started sales for the new YE’S Mixed-Use Complex in Mitino with the area of 44,000 sq. m ( 473,612 sq. ft.). In 2013 over 260,000 sq. m (2.8 million sq. ft.) of housing were built and put in commission. At the moment 407,450 sq. m (4.4 million sq. ft.) are in the construction stage. In 2014 the Group plans to invest 10 billion rubles into its new projects. Planned for 2014: completion of the second phase of the LIFE-Mitinskaya Residential Complex of 88,290 sq. m (950,346 sq. ft.) in total area; start of construction of 130,000 sq. m (1.4 million sq. ft.) of residential and commercial real estate in the 2nd micro district of Mitino; completion of Building 7 of the LIFE-Volzhskaya Residential Complex, 11,300 sq. m (121,632 sq. ft.) in area; construction of the LIFE-Primorsky Residential Complex, 95,000 sq. m (1 million sq. ft.); commissioning of 12,000 sq. m (129,167 sq. ft.) of premises in the first phase of the medical and rehabilitation complex near Zelenogorsk (Saint-Petersburg).

Answering the question on what allows the company to implement all the projects under conditions of a moderate demand and high competition on the market, Andrey Grudin answered: “Pioneer Group chooses its construction plots in the areas with good transport accessibility and pays a lot of attention to the infrastructural component of the projects.”

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