Summary of 2024 in the Dekpol Group: High operational efficiency and synergies within the Group with a positive impact on achieved margins despite a challenging market

The DEKPOL Group, operating in the areas of general contracting, property development, and the production of buckets and accessories for construction machines, has published its financial results for the year 2024. The Group’s revenue for the period amounted to PLN 1.4 billion, representing a year-on-year decrease of 10.5%. The Group achieved an EBITDA of PLN 137.2 million (higher year-on-year; PLN 132.1 million in 2023). The Group ended 2024 with the highest net profit in its history, amounting to PLN 96.5 million, which represents a year-on-year increase of 6.8%.

At the end of 2024, the Group’s cash balance stood at PLN 328.33 million, and the net debt/EBITDA LTM ratio remained at a safe level of 1.34.

 

General contracting segment

The general contracting segment (GW, Dekpol Budownictwo) is the largest segment of the DEKPOL Group’s operations, accounting for over 71% of revenues in 2024. GW segment revenues during the reporting period amounted to PLN 1 billion, representing a year-on-year decrease of 6.8%, while operating profit totaled PLN 58.6 million, a drop of 29.2% y/y.

As of the end of December 2024, the company’s portfolio included contracts for external entities with a total contractual value of PLN 1,505 million net (compared to PLN 1,532 million net at the end of 2023). Projects with a total value of approximately PLN 973 million net remained to be executed after reporting period. Additionally, within the GW segment, intra-group property development projects with a total value of over PLN 323 million are being carried out, with projects worth around PLN 162 million remaining to be completed after reporting period. Most contracts handled by Dekpol Budownictwo are commissioned by private investors. Industrial and logistics projects dominate the ordering portfolio – at the end of 2024, they accounted for nearly 87% of the total order book.

 

Property Development segment

In 2024, revenues from the property development segment amounted to PLN 230.98 million (representing a 16.5% share of the Group’s total revenues), while operating profit reached PLN 75 million (compared to PLN 320.5 million in revenues and PLN 71.22 million in operating profit in 2023). In financial results for 2024, Dekpol Group recognized revenues from sales of 342 residential units and partial revenue (recognized according to the progress of construction work) from the forward-funding investment project with an institutional entity in Wrocław, on Braniborska Street (compared to 478 units and progressive revenue recognition from the same project in 2023). Contracting in 2024 (understood as preliminary, development, and reservation agreements) amounted to 466 units compared to 472 units in 2023. In 2024, projects of higher prestige and standard accounted for 52% of total sales. As of the end of 2024, Dekpol Deweloper had 914 apartments available for sale in its offer.

The property development segment’s goals for 2025 include contracting 510 apartments based on reservation, real-estate development, and preliminary agreements, and achieving revenues of approximately PLN 308 million, mainly consisting of sale of around 570 apartments recognized in financial results.

 

Segment of production of buckets and accessories for construction machines

The segment of production of buckets and accessories for construction machines (Dekpol Steel) accounted for nearly 9% of the Group’s revenues in 2024. Segment revenues during the reporting period reached PLN 123.14 million (a decrease of nearly 12% year-on-year), while operating profit amounted to approximately PLN 12.6 million (compared to PLN 2.96 million a year earlier). The year 2024 was a period of continued efforts for Dekpol Steel and Intek in optimization of their client portfolio, operational reorganization, and improvement of efficiency, which resulted in an improvement in margins year-on-year.

 

Commentary of Management Board to results for 2024

We are pleased with results achieved by the DEKPOL Group in 2024 — although, as always, our ambitions reach much higher. The effectiveness of our selective approach to project execution, our focus on profitability, high operational efficiency, and the leveraging of internal synergies within the Group allow us to maintain a satisfactory level of margins. The past year was also further confirmation of the validity of our strategy based on diversification of operational activities.

The DEKPOL Group consistently implements its operational objectives and maintains strong financial performance, even though the market environment continues to pose challenges — both for us and for the entire industry. A strong ordering portfolio in the General Contracting segment, clearly defined goals for the property development activities for 2025, and the gradual improvement of operational efficiency in the Steel segment provide us with a solid starting position for various potential market scenarios in upcoming quarters.

Thanks to our three stable business pillars, we continue to grow sustainably, maintain a safe financial position, and are able to pursue our dividend policy: in October of last year, we paid a dividend to Shareholders from the 2023 profit in the amount of PLN 19.99 million, which translates to PLN 2.39 per share. – says Mariusz Tuchlin, President of Management Board of DEKPOL S.A.

 

The year 2024 was yet another period full of challenges for entrepreneurs. I can state with full confidence that the DEKPOL Group has successfully adapted to demanding market conditions. Despite the large scale of our organization’s operations, we have maintained flexibility and the ability to respond quickly to a changing environment. We are not only ready to face new business challenges but also well-prepared for various market scenarios.

In 2025, our primary goal remains to ensure the security and financial stability of the DEKPOL Group — the foundation upon which we are building the further strengthening of our market position, especially in light of the current market challenges.

At the same time, we continue to develop ESG initiatives, supported, among other things, by funds raised from the green bond issuance conducted last year, from which we secured PLN 225 million. Although the global narrative around ESG is undergoing certain changes, we are convinced that it remains the right direction — our planned investments not only contribute to improvement of the quality of life but also have the potential to deliver tangible business benefits to the Group in medium and long term. – adds Katarzyna Szymczak-Dampc, Vice-President of Management Board, Financial Director of DEKPOL S.A.

 

 

Contact for media:

Katarzyna Sadowska

cc group

katarzyna.sadowska@ccgroup.pl

Cellphone. +48 697-613-020

 

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Dekpol Capital Group is dynamically developing in construction and property development industry as well as in production of accessories for construction machines. The company was established in 1993. It owns a modern machine park and highly qualified staff. From the beginning of its business activities, it has ambition and determination to further dynamic development with usage of modern technologies. Business activities of the Dekpol Capital Group are based on three main segments. General Contracting services provide the largest share of the Group’s revenues. The offer covers a very wide range of activities. The company has extensive experience in implementation of industrial, logistic, commercial, public, sports and recreational facilities, as well as environmental protection facilities. It also carries out road, sanitary and hydrotechnical works. The company has an established leadership position in Northern Poland and is one of the largest general contracting companies for cubature facilities on a national scale. In turn, Dekpol Steel, the part of the Dekpol Capital Group, is a manufacturer of buckets and accessories for construction machines. It cooperates with the world’s largest manufacturers of construction machinery. The products are sold to Norway, Sweden, Germany, the USA and Great Britain, and even to Morocco and Australia. The third dynamically developing segment of the Dekpol Capital Group is the property development activity, which, from the beginning of 2019, as a part of Dekpol Deweloper Sp. z o.o. offers flats, apartments and commercial premises. Since January 2015, the shares of Dekpol S.A. are listed on the Warsaw Stock Exchange.

More information available at: https://dekpol.pl/