In 9M 2023, Mon Perin recorded revenue growth of 43% YoY, an EBITDA increase of 41%, and a net income of EUR 7.1m, an increase of 50% YoY. At the same time, during Q3 2023, it recorded a revenue increase of 34% YoY, an EBITDA increase of 31%, and a net income of EUR 6.4m, a 35% growth YoY.

During 9M 2023, Mon Perin recorded revenue of EUR 13.4m, an increase of 43% YoY. Of this, EUR 11.7m came from accommodation and associated revenue, which is an increase of 34% YoY. As expected, most of the revenue came during Q3, as it accounted for 71% of the total revenue, or EUR 9.5m, with an increase of 34% YoY. The Company recorded a total of 309.6k tourist nights, representing a growth of 8% YoY.

Breaking the revenue by type of guests, individual guests accounted for EUR 10.9m of revenue, an increase of 37% YoY, with a 13% growth in tourist nights, and an 11% increase in occupancy. Group guests generated EUR 0.8m of revenue, an increase of 5% YoY, with a 13% reduction in tourist nights, due to a lower number of group contracts signed. In terms of the revenue by the type of accommodation, mobile homes generated EUR 7.6m of revenue, an increase of 46% YoY, while plots generated EUR 3.2m, an increase of 19% YoY.

Most of the tourist nights were recorded by arrivals from Germany, Slovenia, and Austria, at 144.6k (or 46.7% of total nights), 46k (or 14.9% of total), and 40.9k (or 13.2% of total), respectively. Moving on to OPEX, during 9M 2023 it amounted to EUR 6.8m, an increase of 34% YoY, while in Q3, it amounted to EUR 2.9m, an increase of 31%. Both material expenses and employee expenses increased. On a 9M basis, material expenses increased by 62% YoY to EUR 4.1m, while employee expenses grew by 32% to EUR 0.6m. Meanwhile, on a Q3 basis, material expenses increased by 46% YoY to EUR 1.9m, while employee expenses grew by 26% to EUR 0.2m.

Due to the faster revenue than OPEX growth, EBITDA improved by 41% YoY to EUR 8.4m on a 9M basis, and 31% to EUR 7m on a Q3 basis. However, the EBITDA margin did record a slight decrease, both on a 9M and Q3 basis, of 1 p.p. and 1.8 p.p., respectively, to 62.5% and 74.4%. The net financial result did record a decline of 32% YoY in 9M, to EUR 198k, and 146% to EUR 130k, mostly as a result of higher interest expenses. Overall, this led to a net income of EUR 7.1m during 9M 2023, an increase of 50% YoY, and EUR 6.4m during Q3 2023, an increase of 35% YoY. As such, the net income margin also improved on a 9M and Q3 basis, by 2.6 p.p. and 0.2 p.p., respectively, to 52.7% and 67.8%, respectively.

Mon Perin key financials (9M 2023 vs. 9M 2022, EURm)

Source: Mon Perin, InterCapital Research

Mon Perin key financials (Q3 2023 vs. Q3 2022, EURm)

Source: Mon Perin, InterCapital Research

The total planned investments for 2023 amount to EUR 14m. The Company pointed out the construction of a wellness center, which is expected to be finished by Spring 2024. Furthermore, they plan to reposition two zones with camper parcels into zones with luxury mobile homes meant for year-round operations, with the aim of repositioning camp Mon Perin into a camping resort.

By the end of September 2023, the BET index recorded an increase of 8% MoM and 23% YTD, amounting to a total of 14,336.52 points. Simultaneously, the total equity turnover amounted to EUR 353.1m, representing a 46% increase MoM.

The latest monthly trading activity report has been released by BVB, for the month of September 2023. Starting off first with a couple of highlights, the BET index turned 26 years this September, also reaching an all-time-high value of 14,466 points, an increase of 23% YTD. The report also included an interesting tidbit, stating that if people started investing RON 100 (app. EUR 20) each month in the BET-TR index (which also reinvests the dividends) since the end of 1998, the accumulated value would amount to RON 350k (EUR 50k). This is higher than for example, the S&P500 TR, which would yield a return of “only” RON 185.5k (EUR 37.3k). Furthermore, compared to a bank deposit (12M ROBID), and cash, which would yield returns of only RON 75k (EUR 15k), and RON 29.8k (EUR 6k), the BET-TR index’s return proved to be quite attractive.

Furthermore, the total value of trading of all types of instruments on the BVB Regulated Market also recorded an all-time high of RON 26.3bn, which is equivalent to EUR 5.3bn. In terms of the total equity turnover, it amounted to EUR 353.1m, representing an increase of 46% MoM. This would also mean that the average daily turnover amounted to EUR 16.8m, an increase of 53% MoM. Also of note is the BET-TR index, which recorded an increase of 9% MoM, and 29.3% YTD.

During September, the highest turnover was recorded by Fondul Proprietatea, with EUR 80.6m, representing 22.8% of the total turnover. Following them there is Hidroelectrica at EUR 73.4m, or 20.8% of the total, Banca Transilvania, at EUR 53.7m, or 15.2%, OMV Petrom, at EUR 43.6m, or 12.3%, as well as Romgaz, at EUR 26.5m, or 7.5%.

Performance of BET constituents in September 2023 (MoM, %)

Source: Bloomberg, InterCapital Research

In terms of the MoM performance, the largest increase out of the 20 BET constituents was recorded by BVB, which grew by 25% MoM. Following them there is Transgaz and Transelectrica, both at 15%, respectively, TeraPlast at 14%, and TTS at 12%. Out of the observed companies, only 2 recorded a negative return. Leading the way in this regard is Fondul Proprietatea, with a 78% decrease, but this came as a result of the adjustment of the NAV of the fund due to the fact that it paid out a special dividend, from the proceeds of Hidroelectrica’s IPO. As Hidroelectrica accounted for app. 80% of FP’s total NAV, this was expected to happen.

Meanwhile, on a YTD basis ending in September, 18 out of 20 companies recorded an increase. Leading the way is TTS at 91%, followed by BVB at 86%, Aquila at 64%, and SFG at 51%. Furthermore, on a YTD basis ending yesterday, TTS still leads the pack at 99% return, followed by BVB at 97%, Aquila at 66%, and Purcari, at 47%.

Performance of BET constituents* (YTD ending in September 2023, YTD ending yesterday, %)

Source: Bloomberg, InterCapital Research

*Hidroelectrica’s price change as of IPO in July 2023