gfa20150122_6k.htm - Generated by SEC Publisher for SEC Filing
 
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 

 
FORM 6-K
 
REPORT OF FOREIGN ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 OF THE
SECURITIES EXCHANGE ACT OF 1934
 
For the month of January, 2015

(Commission File No. 001-33356),

 
Gafisa S.A.
(Translation of Registrant's name into English)
 


 
Av. Nações Unidas No. 8501, 19th floor
São Paulo, SP, 05425-070
Federative Republic of Brazil
(Address of principal executive office)



Indicate by check mark whether the registrant files or will file
annual reports under cover Form 20-F or Form 40-F.

Form 20-F ___X___ Form 40-F ______



Indicate by check mark if the registrant is submitting
the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1)


Yes ______ No ___X___

Indicate by check mark if the registrant is submitting
the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):

Yes ______ No ___X___

Indicate by check mark whether by furnishing the information contained in this Form,
the Registrant is also thereby furnishing the information to the Commission pursuant
to Rule 12g3-2(b) under the Securities Exchange Act of 1934:

Yes ______ No ___X___

If “Yes” is marked, indicate below the file number assigned
to the registrant in connection with Rule 12g3-2(b): N/A


 
 

 

 


 
 

 

PREVIEW OF OPERATIONAL RESULTS 4Q14

 

Consolidated launches totaled R$241.5 million
and net sales reached R$303.9 million in 4Q14

Full year 2014 launches totaled R$1,636 million,
with net sales of R$1,207 million

 

FOR IMMEDIATE RELEASE - São Paulo, January 22, 2015 – Gafisa S.A. (Bovespa: GFSA3; NYSE: GFA), one of Brazil’s leading homebuilders with a focus on the residential market, today announced operational results for the fourth quarter ending December 31st, 2014.

 

Consolidated Launches

Fourth-quarter launches totaled R$241.5 million, a 69% decrease compared to 4Q13. The volume of projects launched in full year 2014 totaled R$1.6 billion, a 14.9% increase compared to the prior year.

 

In the quarter, 6 projects/phases were launched in the states of São Paulo, Rio de Janeiro and Bahia. Tenda accounted for 100% of launches in the period.

 

 

 

Table 1. Gafisa Group Launches (R$ thousand)

Launches

4Q14

3Q14

Q/Q(%)

4Q13

Y/Y(%)

12M14

12M13

Y/Y(%)

Gafisa Segment

-

419,134

-100%

679,154

-100%

1,023,012

1,085,341

-6%

Tenda Segment

241,549

91,294

165%

88,379

173%

613,299

338,776

81%

Total

241,549

510,428

-53%

767,534

-69%

1,636,311

1,424,117

15%

 

 

2


 
 

 

Consolidated Pre-Sales

Fourth-quarter 2014 consolidated pre-sales totaled R$303.9 million, an increase of 31.7% compared to 3Q14. In the quarter, sales from launches represented 49.5% of the total, while sales from inventory comprised the remaining 50.5%.

 

Full year 2014 consolidated pre-sales totaled R$1,207 million, a decrease of 17% compared with the previous year. Sales from launches accounted for 43% of the total.

 

 

 

Table 2. Gafisa Group Pre-Sales (R$ thousand)

Pre-Sales

4Q14

3Q14

Q/Q (%)

4Q13

Y/Y (%)

12M14

12M13

Y/Y (%)

Gafisa Segment

177,294

194,892

-9%

454,457

-61%

811,032

961,200

-16%

Tenda Segment

126,594

35,892

253%

163,626

-23%

395,981

490,403

-19%

Total

303,888

230,784

32%

618,083

-51%

1,207,013

1,451,603

-17%

 

 

Consolidates Sales over Supply (SoS)

Consolidated sales over supply reached 8.9% in the 4Q14, up from 6.7% in the previous quarter. The consolidated speed of sales of fourth quarter launches reached 11.8%. SoS for 2014 launches was 31.7%.

 

 

Table 3. Gafisa Group Sales over Supply (SoS)

SOS

4Q14

3Q14

Q/Q (%)

4Q13

Y/Y (%)

12M14

12M13

Y/Y (%)

Gafisa Segment

7.2%

7.2%

0 bps

17.8%

-1060 bps

26.1%

31.4%

-530 bps

Tenda Segment

13.3%

4.6%

850 bps

20.9%

-760 bps

32.3%

44.2%

-1190 bps

Total

8.9%

6.7%

220 bps

18.5%

-960 bps

27.9%

34.8%

-690 bps

 

 

Delivered Projects

During the fourth quarter, the Company delivered 15 projects/phases encompassing 3,036 units (1,412 Gafisa units and 1,624 units from the Tenda segment), totaling R$726.2 million. The delivery date is based on the “Delivery Meeting” that takes place with customers, and not physical completion, which is prior to the Delivery Meeting.

 

For the year, 53 projects/phases and 10,070 units were delivered, amounting to R$2.3 billion.

 

 

 ­

3


 
 

 

Inventory (Properties for Sale)

In the fourth quarter, consolidated inventory at market value decreased R$85.2 million to R$3.1 billion. Of 4Q14 sales, approximately 50.5% were from inventory, comprising R$119.5 million from Gafisa and R$33.9 million from Tenda.

 

The market value of Gafisa inventory, which represents 73.5% of total inventory, was R$2.3 billion at the end of 4Q14, compared to R$2.5 billion at the end of 3Q14. Tenda’s inventory was R$828.7 million at the end of 4Q14, compared to R$712.4 million at the end of the 3Q14.

 

 

Table 4. Inventory at Market Value 4Q14 x 3Q14 (R$)

 

3Q14

Launches

Dissolutions

Gross Sales

Price Adjustments

4Q14

Q/Q (%)

Gafisa Segment

2,496,761

-

84,876

(262,170)

(24,271)

2,295,197

-8.1%

Tenda Segment

712,358

241,549

66,285

(192,879)

1,353

828,665

16.3%

Total

3,209,119

241,549

151,161

(455,049)

(22,918)

3,123,862

-2.7%

 

 

 

 

GAFISA SEGMENT

Focuses on residential developments within the upper, upper-middle, and middle-income segments, with unit prices exceeding R$500,000.

 

Gafisa Launches

The Gafisa segment did not launch any projects in the fourth quarter. As previously anticipated with the revision of the full year guidance, while projects were approved and met necessary launch conditions, the Company determined that prevailing market conditions did not meet the parameters required for product placement. As such, launches were postponed to 2015, when we expect a more positive scenario, thereby allowing for more profitable projects.

 

Accordingly, full year 2014 launches for the Gafisa segment reached R$1,023 million, which is slightly below the guidance range of R$1,100-R$1,200 million. This result includes the impact of the cancellation of a project launched in 1Q14.

 

Gafisa Pre-Sales

Gafisa segment 4Q14 gross pre-sales totaled R$262.2 million. Dissolutions reached R$84.9 million and net pre-sales totaled R$177.3 million. During the year, net sales totaled R$811.0 million.

 

Due to the absence of launches in the quarter, the Company focused its efforts on the sale of existing units. Approximately 54.2% of net sales for the period related to projects launched before 2012, resulting in reduction in the average age of the segment’s inventory.

 

Out of the 852 Gafisa segment units cancelled and returned to inventory during the year, 68.2% were resold in the same period.

 ­

4


 
 

 

Gafisa Delivered Projects

The strong volume of deliveries in this last quarter deserves highlight. Gafisa delivered 8 projects/phases in 4Q14, representing 1,412 units and R$520.0 million in PSV. This was the quarter with the largest delivery volume in terms of sales value of the year. In the full year 2014, 23 projects/ phases were delivered, representing 3,806 units and R$1.6 billion in PSV.

 

 

TENDA SEGMENT

Focuses on affordable residential developments, classified within the Range II of Minha Casa, Minha Vida Program.

 

Tenda Launches

Fourth-quarter launches totaled R$241.5 million and included 6 projects/phases in the states of São Paulo, Rio de Janeiro and Bahia. The brand accounted for 100% of 4Q14 consolidated launches. In the full year 2014, Tenda Segment reached R$ 613.3 million in launches, which is within the guidance range announced in the beginning of the year.

 

Tenda Pre-Sales

During 4Q14, gross sales reached R$192.9 million, while net pre-sales totaled R$126.6 million. For the FY14, net sales totaled R$396.0 million.

 

Sales from units launched during 4Q14 represented 22.4% of total sales, while in the full year 2014, sales from launches accounted for 44.7% of total sales. In 4Q14, sales velocity (sales over supply) was 13.3%.

 

Table 5. SoS Gross Sales (Ex-Dissolutions) 

 

1Q14

2Q14

3Q14

4Q14

New Model

29.8%

32.2%

20.3%

22.0%

Legacy

30.9%

35.8%

28.3%

17.5%

Total

30.5%

34.3%

24.4%

20.2%

 
Table 6. SoS Net Sales

 

1Q14

2Q14

3Q14

4Q14

New Model

18.8%

25.3%

11.8%

18.8%

Legacy

-1.6%

17.7%

-2.0%

5.0%

Total

6.4%

20.8%

4.8%

13.3%

 

 

Tenda remains focused on the completion and delivery of legacy projects, and is dissolving contracts with ineligible clients, so as to sell the units to qualified customers. Cancellations presented a decrease of 54.7% versus 3Q14 and of 11.6% compared with 4Q13.

 

As expected, the change in accounting policy for Tenda’s new sales, which was undertaken in August 2014, allowed for a reduction in the volume of dissolutions in the period. Nearly 72.8% of cancellations relate to legacy projects.

 

Of the 3,337 Tenda units cancelled in the year and returned to inventory, 63.6% were resold to qualified customers during the same period. Similarly, 80.1% of dissolutions related to Tenda’s New Model were also resold during 2014.

 

­

5


 
 

 

 

 

Table 7. Cancelled PSV Tenda Segment (R$ thousand and % over Gross Sales per Model)

 

1T14

% GS

2T14

% GS

3T14

% GS

4T14

% GS

New Model

34,715

36.8%

24,977

21.5%

31,640

42.1%

18,003

14.3%

Legacy

158,450

105.2%

92,637

50.6%

114,697

107.1%

48,281

71.7%

Total

193,164

78.9%

117,614

39.3%

146,337

80.3%

66,285

34.4%

 

All new projects under the Tenda brand are being developed in phases, in which all pre-sales are contingent on the ability to pass mortgages onto financial institutions. During 4Q14, 1,066 units, representing R$142.4 million in net pre-sales, were transferred to financial institutions. In the FY2014, 5,522 units were transferred, reaching R$715.7 million.

 

Tenda Delivered Projects

In 4Q14, Tenda delivered 7 projects/phases and 1,624 units, representing R$206.2 million in PSV, being 560 units and R$81.2 million in PSV relating to the New Model. In the full year 2014, 30 projects/phases were delivered representing 6,264 units, totaling R$650.4 million in PSV, with the New Model accounting for 1,700 units and R$213.8 million in PSV.

 

 

 

About Gafisa

Gafisa is a leading diversified national homebuilder serving all demographic segments of the Brazilian market. Established 60 years ago, we have completed and sold more than 1,100 developments and built more than 12 million square meters of housing, more than any other residential development company in Brazil. Recognized as one of the foremost professionally managed homebuilders, "Gafisa" is also one of the most respected and best-known brands in the real estate market, recognized among potential homebuyers, brokers, lenders, landowners, competitors, and investors for its quality, consistency, and professionalism. Our pre-eminent brands include Tenda, serving the affordable/entry-level housing segment, Gafisa and a stake in Alphaville, which offer a variety of residential options to the mid- to higher-income segments. Gafisa S.A. is traded on the Novo Mercado of the BM&FBOVESPA (BOVESPA:GFSA3) and on the New York Stock Exchange (NYSE:GFA).

 

 

This release contains forward-looking statements relating to the prospects of the business, estimates for operating and financial results, and those related to growth prospects of Gafisa. These are merely projections and, as such, are based exclusively on the expectations of management concerning the future of the business and its continued access to capital to fund the Company’s business plan. Such forward-looking statements depend, substantially, on changes in market conditions, government regulations, competitive pressures, the performance of the Brazilian economy and the industry, among other factors; therefore, they are subject to change without prior notice.

 

 

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6

 

SIGNATURE

 
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
Date: January 22, 2015
 
Gafisa S.A.
 
By:
/s/ Sandro Gamba

 
Name:   Sandro Gamba
Title:     Chief Executive Officer