Q3 2020 financial and opartating results of Dom Development S.A. Capital Group - leading polish house builder

1. Q3 2020 RESULTS PRESENTATION
10 NOVEMBER 2020
DOM DEVELOPMENT S.A. CONSOLIDATED GROUP

2. 2
CONTENTS
1. Q3 2020 SUMMARY
1. HIGHLIGHTS 3
2. FINANCIAL RESULTS SUMMARY 4
3. MARKET 5
2. OPERATIONAL PERFORMANCE
1. Q1-Q3 2020 NET SALES 6
2. QUARTERLY NET SALES 7
3. SALES SEGMENTATION 8
4. OFFER 9
5. NEW CONSTRUCTION STARTS 10
6. UNITS UNDER CONSTRUCTION 11
7. LAND BANK – OWNED AND CONTROLLED 12
8. DELIVERIES 13
3. FINANCIAL RESULTS
1. PROFIT AND LOSS ACCOUNT 14
2. CUMULATIVE NET SALES TO BE RECOGNIZED IN P&L 15
3. BALANCE SHEET 16
4. DEBT MATURITY STRUCTURE 17
4. SUMMARY 18
5. APPENDICES
1. COMMENCEMENT OF HANDOVERS IN Q4 2020 20
2. PROJECTS UNDER CONSTRUCTION AND IN PREPARATION:
a) WARSAW 21
b) TRI-CITY 22
c) WROCLAW 23
d) SUMMARY 24

3. 3
1.1. Q3 2020 HIGHLIGHTS
• Sales of 995 units (+6% YoY) with satisfactory margins maintained
• Significant offer increase in the Tri-City and Wroclaw
• Construction launch of 17 projects/phases with 1 780 units
• Record- high dividend payment of PLN 9.50 per share, PLN 240m in total
• PLN 466m cash at bank – strong balance sheet and no net debt at the end of September 2020
(net cash PLN 83m)

4. 4
1.2. Q3 2020 FINANCIAL SUMMARY (v. Q3 2019)
DELIVERIES 692 UNITS -18%
REVENUES PLN 363.2m -6%
GROSS MARGIN 32.0% +3.7 pp
NET PROFIT PLN 57.6m +5%
GEARING at 30.09.2020 (8)% -30 pp
The upturn in financial results
despite the lower deliveries
volume is the result of
increased value of units sold
and expanding margin.
Negative gearing, i.e. net
cash, exceeding the value of
bank loans and bonds,
confirms the extraordinary
strength of the Group’s
balance sheet.

5. 5
1.3. MARKET
• Stable, high demand remains in all market segments
• Prices achieved were at least at pre-epidemic levels
• Supply constrained by administrative delays, permit problems and land shortages
• Negative real interest rates on bank deposits and low debt servicing costs strongly supports
the housing market
• Increased mortgage availability and a positive impact of low interest rates
• Cash purchases continue to account for approx. 40% of the Group’s sales
• Favourable situation on the construction market – opportunitites to reduce construction
costs

6. 6
2.1. NET SALES
Net sales in units Q3 2020 Q3 2019 Change
Q1-Q3
2020
Q1-Q3
2019
Change
Warsaw 581 588 (1)% 1 681 1 754 (4)%
Tri-City 303 219 +38% 670 608 +10%
Wroclaw 111 130 (15)% 275 337 (18)%
Dom Development S.A. Group 995 937 +6% 2 626 2 699 (3)%
MAINTAINING PRE-COVID-19 VOLUMES AND PRICES

7. 7
2.1. QUARTERLY SALES
937
962
815 816
995
Q3 2019 Q4 2019 Q1 2020 Q2 2020 Q3 2020
Warsaw Tri-City Wroclaw
No. of units
VERY GOOD SALES RESULTS IN Q3 2020: 22% INCREASE QoQ AND 6% INCREASE YoY
Net sales (units)
Q3
2020
Q2
2019
Change
Warsaw 581 603 (4)%
Tri-City 303 147 +106%
Wroclaw 111 66 +68%
Dom Development
Group
995 816 +22%

8. 8
2.2. SALES SEGMENTATION IN 9M 2020
HIGH SHARE OF UPPER-TIER FLATS CONFIRMS GROUP’S MARKET POSITION
Unit sale value includes price of a flat with fit-out (if purchased), storage room (if purchased) and parking place (if purchased).
17%
22%
20%
13%
28%
0
500
1 000
1 500
2 000
2 500
3 000
Dom Development S.A.
Consolidated Group
over PLN 650k
PLN 550-650k
PLN 450-550k
PLN 350-450k
up to PLN 350k
No. of units
Unit sale value Warsaw Tri-City Wroclaw
Total
Group
over PLN 650k 39% 9% 11% 28%
PLN 550-650k 17% 6% 6% 13%
PLN 450-550k 23% 12% 19% 20%
PLN 350-450k 17% 27% 37% 22%
up to PLN 350k 4% 46% 27% 17%
Average value
(PLN k)
659 417 457 574
Group’s average unit sale value in 9M 2020:
PLN 574k

9. 9
2.3. OFFER
SIGNIFICANT QoQ INCREASE OF THE TRI-CITY AND WROCLAW SHARE IN THE GROUP’S OFFER
2 661
2 255
1 890
2 019
2 377
30/09/2019 31/12/2019 31/03/2020 30/06/2020 30/09/2020
Warsaw Tri-City Wroclaw
No. of units
Group’s offer
by location
30.09.
2020
30.09.
2019
Change
Warsaw 1 179 1 793 (34%)
Tri-City 854 494 +73%
Wroclaw 344 374 (8%)
Dom Development
Group
2 377 2 661 (11%)

10. 10
2.4. NEW CONSTRUCTION LAUNCHES
SURGE OF NEW PROJECTS/PHASES DESPITE ADMINISTRATIVE DIFICULTIES
570
409
506
576
1 780
Q3 2019 Q4 2019 Q1 2020 Q2 2020 Q3 2020
Warsaw Tri-City Wroclaw
Project/phases launches in Q3 2020:
Warsaw:
Rezydencja Stanisława Augusta (125 units)
Żoliborz Artystyczny phase 14 (280 units)
Metro Zachód phase 2/2 (124 units)
Stacja Grochów phase 2 (106 units)
Stacja Grochów phase 3 (125 units)
Osiedle Wilno V phase 2 (213 units)
Osiedle Głębocka phase 2 (211 units)
Tri-City:
Osiedle Beauforta buildings 8,9,11 (97 units)
Osiedle Beauforta buildings 21- 22 (70 units)
Osiedle Beauforta buildings 23-24 (51 units)
Nasze miejsce building A (44 units)
Nasze miejsce building B (34 units)
Nasze miejsce building C (46 units)
Osiedle Przy Błoniach building B1 (65 units)
Zielony Południk building 18-19 (44 units)
Zielony Południk building 20-21 (44 units)
Wroclaw:
Osiedle Komedy phase 2 (101 units)
No. of units

11. 11
5 401
4 718 4 884
4 507
5 115
30/09/2019 31/12/2019 31/03/2020 30/06/2020 30/09/2020
Warsaw Tri-City Wroclaw
2.5. UNITS UNDER CONSTRUCTION
No. of units
ALL CONSTRUCTION SITES ARE PROGRESSING ON TIME AND ON BUDGET
All of the Group’s developments are built by in-house general contractors.
Units under
construction
30.09.
2020
30.09.
2019
Change
Warsaw 2 733 3 111 (12%)
Tri-City 1 717 1 545 +11%
Wroclaw 665 745 (11)%
Dom Development
Group
5 115 5 401 (5)%

12. 12
2.6. LAND BANK – OWNED AND CONTROLLED
SIGNIFICANT AND HIGH QUALITY LAND BANK ENABLES SMOOTH OFFER REPLENISHMENT
Land bank 30.09.2020 30.09.2019 Change
Total
YoYNo. of units Owned Controlled Total Owned Controlled Total
Warsaw 1 868 4 487 6 355 2 925 3 350 6 275 +1%
Tri-City 4 641 918 5 559 3 007 1 650 4 657 +19%
Wroclaw 998 340 1 338 697 498 1 195 +12%
Dom Development
Group
7 507 5 745 13 252 6 629 5 498 12 127 +9%
Land controlled - without building conditions

13. 13
2.7. DELIVERIES
AS PLANNED DUE TO TIMELY PROJECT/PHASES COMPLETIONS
839
988
549
692 692
Q3 2019 Q4 2019 Q1 2020 Q2 2020 Q3 2020
Warsaw Tri-City Wroclaw
No. of units
Deliveries in units
9M
2020
9M
2019
Change
Warsaw 1 125 2 114 (47)%
Tri-City 542 208 +161%
Wroclaw 266 172 +55%
Dom Development
Group
1 933 2 494 (22)%

14. 14
3.1. PROFIT AND LOSS ACCOUNT
IMPROVING GROSS MARGINS IS DRIVING HIGHER NET PROFIT MARGINS AND MAINTAINING PROFITABILITY
Profit and Loss Account Q3 2020 Q3 2019 Change 9M 2020 9M 2019 Change
Sales Revenues 363.2 387.6 (6)% 1,135.4 1,154.5 (2)%
Handovers (units) 692 839 (18)% 1 933 2 494 (22)%
Revenue per unit (PLN’000) 524.8 462.0 14% 587.4 462.9 27%
Gross Profit on Sales 116.2 109.8 6% 355.6 334.1 6%
Gross Profit Margin 32.0% 28.3% 3.7 pp 31.3% 28.9% 2.4 pp
Operating Profit 73.9 68.7 7% 227.8 212.2 7%
Operating Profit Margin 20.3% 17.7% 2.6 pp 20.1% 18.4% 1.7 pp
Profit Before Tax 72.0 68.5 5% 218.5 211.7 3%
Profit Before Tax Margin 19.8% 17.7% 2.1 pp 19.2% 18.3% 0.9 pp
Net Profit 57.6 55.0 5% 175.2 170.3 3%
Net Profit Margin 15.8% 14.2% 1.7 pp 15.4% 14.8% 0.7 pp
EPS (PLN) 2.28 2.19 4% 6.96 6.80 2%
IAS 15, PLN m

15. 15
3.2. CUMULATIVE NET SALES TO BE RECOGNIZED IN P&L
(UNITS SOLD BUT NOT DELIVERED - PRESALES)
RECORD REVENUE POTENTIAL TO BE RECOGNIZED IN FORTHCOMING QUARTERS
PLN m
0
500
1 000
1 500
2 000
J F M A M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D J F M A M J J A S O N D J F M A M J J A S
2013 2014 2015 2016 2017 2018 2019 2020
Units sold but not delivered (presales): Value
30.09.2019 3 548 units PLN 1 789m
30.09.2020 4 054 units, including: PLN 2 156 m
• 911 finished units;
• 3 143 units under
construction,
with 469 finishing in 2020

16. 16
3.3. BALANCE SHEET
VERY STRONG BALANCE SHEET AND NET CASH GIVE US ADVANTAGE IN VOLATILE ENVIRONMENT
PLN m
Consolidated Balance Sheet 30.09.2020 30.09.2019 Change
Shareholders’ funds (equity) 1,026.9 994.9 3%
Net debt / (net cash)* (83.3) 216.8 (138)%
Gearing** (8.1)% 21.8% (29.9) pp
Net asset value per share (PLN) 40.97 39.69 3%
Shares in issue (m) 25.2 25.1 1%
ROE (12M) 26.2% 32.6% (6.4) pp
ROCE (12M) 23.9% 28.7% (4.9) pp
* Bank debt plus bonds in issue less cash at banks (including escrow accounts)
** Net Debt / Equity

17. 17
3.4. DEBT MATURITY STRUCTURE
WELL-SPREAD DEBT MATURITY GIVES US FLEXIBILITY
Cash (including escrow accounts) as of 30/09/2020 PLN 466m
Bond debt as of 30/09/2020 PLN 360m
Available credit lines as of 30/09/2020 PLN 362m
0
110
50 50
150
10
13
0
20
40
60
80
100
120
140
160
180
200
by 30.09.2021 by 30.09.2022 by 30.09.2023 by 30.09.2024 by 30.09.2025
Bonds Bank Loans
PLN m

18. 18
4. SUMMARY: 9 MONTHS OF 2020
• After a rebound in May and June, Q3 saw strong continued demand
• 2 626 units sold with high margin
• 2 377 units available for sale as of the end of September
• Construction of over 5 100 units in 62 projects/phases on time and on budget
• 1 933 units delivered as planned
• Gross margin at 31% and PLN 175.2m net profit
• PLN 466m cash at bank with negative gearing of 8%

19. ZAŁĄCZNIKIAPPENDICES

20. 20
APPENDIX 1: COMMENCEMENT OF HANDOVERS IN Q4 2020
PROJECT/PHASE LOCATION NO. OF UNITS
COMMENCEMENT OF
HANDOVERS
IDEA BUILDING 10 TRI-CITY 50 Oct’20
ZIELONY POŁUDNIK PHASE 9 TRI-CITY 26 Oct’20
ZIELONY POŁUDNIK PHASE 10 TRI-CITY 23 Oct’20
ZIELONY POŁUDNIK PHASE 11 TRI-CITY 22 Oct’20
ZIELONY POŁUDNIK PHASE 12 TRI-CITY 26 Oct’20
APARTAMENTY MARINA MOKOTÓW PH. 2/1 WARSAW 222 Nov'20
APARTAMENTY MARINA MOKOTÓW PH. 2/2 WARSAW 225 Nov'20
ŻOLIBORZ ARTYSTYCZNY PHASE 11 WARSAW 381 Nov'20
ŻOLIBORZ ARTYSTYCZNY PHASE 12 WARSAW 106 Nov'20
LOCUS BUILDING 2 TRI-CITY 50 Nov'20
GRABISZYŃSKA WROCLAW 62 Nov'20
BEAUFORTA BUILDING 14 TRI-CITY 20 Dec'20
OSIEDLE PRZY BŁONIACH BUILDING A TRI-CITY 28 Dec'20
OSIEDLE PRZY BŁONIACH BUILDING B TRI-CITY 36 Dec'20
APARTAMENTY KSIĘCIA WITOLDA WROCLAW 138 Dec'20

21. 21
APPENDIX 2A:
PROJECTS UNDER CONSTRUCTION AND IN PREPARATION: WARSAW
NO. OF UNITS, AS OF 30/09/2020
9
3
7
1
2
4
8
5
NO. PROJECT
UNDER
CONSTRUCTION
IN
PREPARATION
7 WILNO 964 514
8
STACJA GROCHÓW
(SIENNICKA)
231 159
9 PALLADIUM (AKACJE) --- 566
10 GŁĘBOCKA 271 ---
11
REZYDENCJA
STANISŁAWA AUGUSTA
125 ---
TOTAL
RIGHT BANK
1 591 1 239
6
NO. PROJECT
UNDER
CONSTRUCTION
IN
PREPARATION
1 ŻOLIBORZ ARTYSTYCZNY 493 ---
2 LUDWIKI --- 429
3 APARTAMENTY OGRODOWA 160 ---
4
APARTAMENTY
WŁODARZEWSKA 70
102 ---
5
METRO ZACHÓD
(SZELIGOWSKA)
387 ---
6 PORY --- 200
TOTAL
LEFT BANK
1 142 629
PROJECT IN PREPARATION
PROJECT UNDER CONSTRUCTION
11
10

22. 22
1
26
4
7
8
9
3 10
11
12
5
13
PROJECT IN PREPARATION
PROJECT UNDER CONSTRUCTION
14
15
NO. PROJECT
UNDER
CONSTRUCTION
IN
PREPARATION
1 IDEA 77 ---
2 OSIEDLE BEAUFORTA 409 32
3 PERSPEKTYWA 124 535
4 ZIELONY POŁUDNIK 324 306
5 DOLNE MIASTO --- 371
6 LOCUS 212 ---
7 OSIEDLE CIS 148 ---
8 OSIEDLE PRZY BŁONIACH 193 155
9 DAWNA POCZTA 106 ---
10 DOKI & MONTOWNIA --- 1 200
11
NASZE MIEJSCE
(NIEPOŁOMICKA)
124 ---
12 CZŁUCHOWSKA --- 334
13 JASTARNIA --- 116
14 PIEKARNICZA (NEW) --- 536
15 BEAUFORTA II (NEW) --- 1 056
TOTAL
1 717 4 641
TRI-CITY
APPENDIX 2B:
PROJECTS UNDER CONSTRUCTION AND IN PREPARATION: TRI-CITY
NO. OF UNITS, AS OF 30/09/2020

23. 23
NO. PROJECT
UNDER
CONSTRUCTION
IN
PREPARATION
1 IDYLLA (STABŁOWICKA) 144 ---
2 KSIĘCIA WITOLDA 138 ---
3 DOM NA KURKOWEJ 118 ---
4 KOMEDY (BUFOROWA) 203 353
5 GRABISZYŃSKA 62 ---
6 KUSTRONIA --- 145
7 NOWY DWÓR --- 198
8 ZIELNA --- 303
TOTAL
WROCLAW
665 998
PROJECT IN PREPARATION
PROJECT UNDER CONSTRUCTION
APPENDIX 2C:
PROJECTS UNDER CONSTRUCTION AND IN PREPARATION: WROCLAW
NO. OF UNITS, AS OF 30/09/2020
1
2
3
4
5
6
7
8

24. 24
LOCATION
NO. OF
PROJECTS / PHASES
UNDER
CONSTRUCTION
NO. OF UNITS
UNDER CONSTRUCTION
NO. OF UNITS
IN PREPARATION
TOTAL
(NO. OF UNITS)
WARSAW 17 2 733 1 868 4 601
TRI-CITY 39 1 717 4 641 6 358
WROCLAW 6 665 998 1 663
DOM DEVELOPMENT
CONSOLIDATED GROUP
62 5 115 7 507 12 622
APPENDIX 2D:
PROJECTS UNDER CONSTRUCTION AND IN PREPARATION: SUMMARY
NO. OF UNITS, AS OF 30/09/2020

25. Dom Development S.A. endeavours to ensure that the information in the presentation is complete. up-to-date and accurate. However. we do not make any guarantees in this
respect. Dom Development S.A. connot accept responsibilty for the consequences of using such information. and in particular any loss caused by reliance thereon for the
purpose of investment decisions. The material contained in the presentation originates from reliable public sources and to the best knowledge of Dom Development S.A. may
be considered reliable.
For further information please contact:
Magdalena Cumanis
tel. +48 22 351 68 49
e-mail: magdalena.cumanis@domd.pl
www.inwestor.domd.pl