On the occasion of one year anniversary on Prague Stock Exchange, Orco property Group repeated its guidance for sales for 2005 through 2007. Revenues should reach EUR 47m in 2005, EUR 90m this year and EUR 200m next 2007 year. We expect sales to reach EUR62m. The differences between our projected sales is caused mainly by moving part of residential development planed for 2005 to 1Q2006 and accounted for the sale of Budapest’s business centre directly into equity. We believe that Orco’s projections of revenues for 2006 and 2007 are very conservative leaving space for upside. We believe news is neutral for today’s trading as the guidance was already published several weeks ago at Orco’s presentation to the placement of EUR 50m bonds. We reiterate our Buy recommendation.
mil. € 2005e 2006e 2007e
OPG 47 90 200
Patria 62 96 240
source: Patria Finance/Orco