The success story of our Company is based on credibility and financial soundness achieved along 50 years as a result of our actions, which are always guided by ethics and transparency in business. We have built a history defined by public acknowledgement of these permanent values.
Our results reflect Cyrela’s strength. In 2010 we launched around 27 thousand units amounting to R$ 7.6 billion. This was 110.3% of our guidance for the year. We sold R$ 6.1 billion, meaning a 17.8% increase over 2009. We delivered 15.4 thousand units, among homes and offices. Our net revenue increased 19.6%, reaching R$ 4.9 billion. Our profit was R$ 600.2 million. In the Living segment, 48 projects were launched, with total sales amounting to R$ 1.8 billion – 4.5% above the previous year. Such results were reached because of the high level of commitment of our thousands of employees.
The year of 2010 was known by Cyrela as a year of several challenges. The major one was consolidating the budgets of financial costs in line with the material evolution of our construction and constructions sites carried out with partners and third parties. This was a necessary decision, but caused impacts on the Company’s results. These changes and the revision of our growth plan were widely announced to the market.
We are prepared to strengthen our business among the current favorable framework in the Brazilian economy, which has brought positive results to the development of the real estate market. In 2011, we plan to invest around R$ 600 million in landbank to support our growth plans. We expect launches to be between R$ 7.6 billion and R$ 8.5 billion, and sales between R$ 6.9 billion and R$ 7.7 billion. The Company’s assets, which currently adds to with R$ 1.1 billion, is consistent and well balanced to support projects planned for the next years. We also have around R$ 1.7 billion in accounts receivables from real estate already delivered.
In 2011, we will keep our focus on improving our profitability. For the next two years, we plan to have over 70% of launches in projects undertaken exclusively by our construction company. To reach these goals, we have revised the Company’s strategy, especially regarding the improvement of the association/joint venture model in construction. We will also reduce the sales and administrative expenses.
To our employees, partners, suppliers, and shareholders I reaffirm the optimism of Cyrela regarding the Brazilian real estate market, highlighting that we keep believing in the fundamentals of the industry’s growth for the next years. We are now living a special moment in the Brazilian economy, and Cyrela is ready to face today’s challenges. We are full of motivation and readiness to continue growing, acquiring new landbank, launching new projects, and delivering dreams.
