GAP Group, which is engaged in property development activities, has posted €9.95 million in profit before tax for the first half of the year.

This represents a marked improvement over the €8.76 million registered in the first six months of the previous year, despite bringing in less revenue than it did over that period (H1 2024: €27.7 million; H1 2023: €28.7 million).

GAP Group achieved the improved result largely due to a lower cost of sales, which dropped by over €12 million to €16.4 million, while controlling the rise in administrative costs to marginal levels.

The group also benefitted from a marked reduction in its finance costs which fell from €267,000 to €61,000.

During 2023, GAP Group had finalised the last sales of a number of projects, including the Southridge development in Mellieħa, the Waterbank development in Marsaskala (63 units), the Hazel development in Birkirkara (14 units), and the Dumont development in San Pawl tat-Tarġa (9 units).

The major Fairwinds development in Luqa (268 units) only has one unit still subject to a promise of sale – all others have been sold.

The 93-unit Mulberry Park in Qawra is also nearing the final sales, with just two units remaining subject to a preliminary agreement.

GAP Group has two projects that are at an advance stage. The Pantheon in Mosta consists of 114 residential units across three zones, with the third of these expected to be fully complete in the third quarter of 2024. From the completed zones, with a 100 units, 66 have been sold and a further 34 units were subject to a promise of sale agreement at the end of June.

At the end of last year, the 113-unit Seaberry Park in Qawra only had four units sold, while another 87 were subject to a promise of sale agreement. In the six months since, most of these have been contracted, with the project now including 72 sold units and another 35 subject to a promise of sale, leaving just six for sale.

The group also has two other projects that are still under construction. A 118-unit project in Marsaskala is currently mid-way through its construction phase, while another 59-unit development in Qawra (the Sunflower) is at an advanced stage.

Another Marsaskala project (118 units) was fully excavated in September 2023 and construction commenced immediately after. As at 30th June 2024, construction was 40 per cent complete, and finishing works commenced.

GAP Group is also working on another 59-unit development in Qawra, of which the excavation was complete last year and construction stood at 85 per cent complete at the end of the first half of 2024. The project was launched for sale in June 2024, with 15 preliminary agreements sold by the end of the month.