Mr. Iain Stewart reports

GENESIS REPORTS 2024 FIRST QUARTER RESULTS AND DECLARES A SPECIAL DIVIDEND OF $0.095

Genesis Land Development Corp. has released its financial and operating results for the three months ended March 31, 2024. Genesis Land is an integrated land developer and residential home builder with a strategy to expand its portfolio of well-located, entitled and unentitled primarily residential lands and serviced lots throughout the Calgary metropolitan area.

The following are highlights of Genesis Land financial results for the first quarter of 2024.

Q1 2024 highlights:

• $68.3-million of revenues in Q1 2024: Genesis Land generated revenues of $68.3-million in Q1 2024, up from $37.3-million achieved in Q1 2023.
• $7.0-million of net earnings in Q1 2024: Net earnings attributable to equity shareholders in Q1 2024 were $7.0-million (12-cent net earnings per share -- basic and diluted), compared with net earnings attributable to equity shareholders of $200,000 (nil net earnings per share -- basic and diluted) in Q1 2023.
• One hundred twenty-three lots sold: In Q1 2024, Genesis Land sold 123 residential lots (92 to third party builders and 31 through its home building division, Genesis Land Builders Group Inc.), an increase of 98 per cent from 62 lots in Q1 2023 (30 to third party builders and 32 through GBG).
• Eighty-five homes sold and 113 new home orders: In Q1 2024, Genesis Land sold 85 homes, an increase of 42 per cent from 60 homes sold in Q1 2023. During Q1 2024, Genesis Land had 113 new home orders compared with 24 for Q1 2023. As of March 31, 2024, Genesis Land had 275 outstanding new home orders, compared with 169 as at March 31, 2023.
• Cash on hand of $39.2-million: On March 31, 2024, Genesis Land had $39.2-million in cash and cash equivalents and loan and credit facilities of $97.9-million, which are 22 per cent of the total book value of assets.
• Dividend declared: The corporation declared an unconditional special cash dividend of 9.5 cents per common share for a total of $5.4-million on May 7, 2024, payable on June 12, 2024, to shareholders of record on May 24, 2024. Pursuant to Subsection 89(14) of the Income Tax Act (Canada), the dividend qualifies as an eligible dividend for Canadian federal income tax purposes.

Outlook

Genesis Land continues to execute on its growth strategy in both its land and housing divisions, sustained by a backlog of new home orders and the continued strength of the CMA market. Despite higher interest rates, inflationary pressures and tight labour markets impacting home affordability, due to the historic low supply of homes for sale, combined with strong housing demand driven by high levels of migration to the CMA, home prices continue to move higher.

Genesis Land is working pro-actively with key contractor partners and homebuyers to address concerns relating to cost increases and a lack of skilled labour and some products and materials in both its land development and home building divisions.

Additional information

The information contained in this press release should be read in conjunction with the unaudited condensed consolidated interim financial statements for the three months ended March 31, 2024, and 2023, and the related management's discussion and analysis dated May 7, 2024, which have been filed with Canadian securities regulatory authorities.

We seek Safe Harbor.