Report on the First Quarter of 2025
2 WARIMPEX REPORT ON THE FIRST QUARTER OF 2025
WARIMPEX GROUP
Key Figures
in EUR '000 | 1-3/2025 | Change 1-3/2024 |
adjusted1 | ||
Investment Properties revenues | 3,459 | 17% 2,954 |
Hotels revenues | 1,168 | -20% 1,465 |
Development and Services revenues | 743 | 48% 502 |
Total revenues | 5,371 | 9% 4,921 |
Expenses directly attributable to revenues | 2,848 | 1% 2,832 |
Gross income from revenues | 2,523 | 21% 2,089 |
EBITDA | 426 | 112% 201 |
Depreciation, amortisation, and remeasurement | -370 | 65% -224 |
EBIT | 55 | - -24 |
Financial result | -1,495 | -18% -1,834 |
Profit or loss for the period from continuing operations | -1,229 | -52% -2,553 |
Profit or loss for the period | -1,229 | 55% -795 |
Net cash flow from operating activities | 470 | -70% 1,577 |
thereof discontinued operations | - | 1,879 |
Equity and liabilities | 231,285 | -38% 374,269 |
Equity | 72,079 | -41% 121,143 |
Equity ratio | 31% | -1 pp 32% |
Number of shares | 54,000,000 | - 54,000,000 |
Earnings per share in EUR | -0.02 | - -0.02 |
thereof discontinued operations | - | 0.03 |
Number of treasury shares as at 31 March | 1,939,280 | - 1,939,280 |
Number of office and commercial properties | 6 | -4 10 |
Lettable office space | 85,000 m2 | -53,200 m2 138,200 m2 |
Office space with sustainability certificates | 80,000 m2 | -26,300 m2 106,300 m2 |
in % of the total floor area | 94% | - 77% |
Number of hotels | 2 | -1 3 |
Number of rooms (adjusted for proportionate share of ownership) | 537 | -294 831 |
31/12/20242 | Change 31/12/20232 | |
Gross asset value (GAV) in EUR millions | 229.7 | -36% 360.1 |
NNNAV per share in EUR | 1.68 | -37% 2.68 |
EPRA NTA per share in EUR | 1.62 | -37% 2.56 |
End-of-period share price in EUR | 0.572 | -23% 0.745 |
1 The income statement was adjusted in accordance with IFRS 5 (discontinued operations).
2 As no external valuation of the portfolio was completed as at 31 March 2025 or 31 March 2024, the latest available values are shown.
REPORT ON THE FIRST QUARTER OF 2025 WARIMPEX 3
FOREWORD BY THE CHAIRMAN OF THE MANAGEMENT BOARD
Dear Shareholders,
For Warimpex, the new year has started with a 9 per cent increase in revenues and an improved result for the period (excluding Russia) over the first three months. On the operational side, our current development projects and new lettings are also proceeding according to plan, particularly with regard to our office properties in Poland.
The sale of our Russian subsidiaries at the start of the fourth quarter of 2024 led to the redemption of financial liabilities within the Group and allowed us to leave the risks associated with the business activities in Russia behind us. The comparative figures for the previous year cited below have already been adjusted to reflect the continuing operations, i.e. excluding Russia.
Revenues up by 9 per cent
Revenues improved by 9 per cent to EUR 5.4 million in the first quarter. Specifically, this was attributable to the increase in revenues from office properties from EUR 3.0 million to EUR 3.5 million that stemmed primarily from the completion of the Mogilska 35 office building at the end of 2023 and the conclusion of new lease agreements. Revenues in the Hotels segment declined by 20 per cent versus the prior-year period to EUR 1.2 million as a result of lower occupancy in the long-stay segment in Darmstadt. EBITDA improved from EUR 0.2 million to EUR 0.4 million, primarily due to higher revenues from office properties. The financial result went from minus EUR 1.8 million to minus EUR 1.5 million.
All in all, this led to an improvement in the result for the period (continuing operations) from minus EUR 2.6 million in the previous year to minus EUR 1.2 million in the first quarter. The equity ratio remained nearly constant at 31 per cent (31 March 2024: 32 per cent).
Focus on innovation and sustainability
Our office buildings are consistently moving towards greater sustainability and innovation due to targeted measures. For example, the construction of a photovoltaic system on the roof and façade of our Erzsébet Office property in Budapest began in April 2025, and the system was already successfully put into operation in May 2025. Red Tower in the Polish city of Łódź is continuously being renovated. We are steadily expanding our flexible coworking offerings by Memos in our Polish office buildings, as they are very well received by customers.
Outlook
In a market environment that is nevertheless challenging, we are taking advantage of the solid economic conditions in our core market of Poland and focusing on the development of new projects in the residential and office segment in Kraków. Our latest office building, Mogilska 35 Office in Kraków, is now fully occupied, which will lead to a corresponding increase in revenue contributions in the coming months. As such, the operational outlook for this year remains positive.
Vienna, May 2025
Franz Jurkowitsch
4 WARIMPEX REPORT ON THE FIRST QUARTER OF 2025
Assets, Financial Position, and Earnings Situation
Warimpex sold all equity holdings and shareholder loans in Russia on 31 October 2024. Up until their sale, the activities of these Russian subsidiaries constituted a geographical segment and must be reported as a discontinued operation. Therefore, the gains or losses from continuing operations are presented separately from the gains or losses from discontinued operations in the income statement and the statement of comprehensive income for the first quarter of 2024. The amounts for the first quarter of 2024 were adjusted accordingly. Unless otherwise indicated, the information on the earnings situation refers to the continuing operations.
Earnings situation Development of revenuesThe rise in revenues from the rental of office properties (Investment Properties revenues) from EUR 3.0 million to EUR 3.5 million is primarily due to the completion of Mogilska 35 Office at the end of 2023 and the conclusion of new lease agreements.
Revenues in the Hotels segment fell to EUR 1.2 million in the first three months of 2025, which represents a decline of 20 per cent compared with the prior-year period. This can be attributed to lower occupancy in the long-stay segment.
Total revenues advanced by 9 per cent to EUR 5.4 million, while expenses directly attributable to revenues remained constant. This led to a 21 per cent increase in gross income from revenues to EUR 2.5 million (prior year period: EUR 2.1 million).
EBITDAEBITDA (earnings before interest, taxes, depreciation, amortisation, and gains/losses on the remeasurement of investment properties) rose from EUR 0.2 million to EUR 0.4 million, primarily due to higher revenues from office properties.
Financial resultFinance income (including earnings from joint ventures) went from minus EUR 1.8 million to minus EUR 1.5 million.
in EUR '000 | 1-3/2025 | 1-3/2024 |
Composition of finance expenses: | ||
Interest on short-term borrowings, project loans, and other loans | (1,232) | (1,601) |
Interest on bonds | (149) | (146) |
Interest on lease liabilities | (16) | (22) |
Other finance expenses | (110) | (114) |
Other | (13) | - |
(1,520) | (1,883) |
The profit or loss for the period from continuing operations of the Warimpex Group improved from minus EUR 2.6 million in the prior-year period to minus EUR 1.2 million.
The profit or loss for the period including the discontinued operation went from minus EUR 0.8 million to minus EUR 1.2 million.
REPORT ON THE FIRST QUARTER OF 2025 WARIMPEX 5
Assets and financial positionChanges in the most important assets and liabilities:
in EUR '000 Investment properties | Developed properties | Development properties | Reserve properties | Total |
Changes in 2025: | ||||
Carrying amounts at 1 January | 182,014 | 8,234 | 18,859 | 209,107 |
Additions/investments | 633 | 791 | 35 | 1,459 |
Disposals | (177) | - | - | (177) |
Net measurement result | (2) | - | (35) | (36) |
Exchange adjustments | - | 186 | 23 | 210 |
Carrying amounts at 31 March | 182,469 | 9,211 | 18,882 | 210,562 |
in EUR '000 Property, plant, and equipment | Hotels | Right-of-use assets | Other property, plant, and equipment | Total |
Changes in 2025: | ||||
Carrying amounts at 1 January | 12,264 | 640 | 2,191 | 15,095 |
Additions | 15 | 86 | 6 | 107 |
Scheduled depreciation | (192) | (96) | (45) | (333) |
Exchange adjustments | - | 3 | 42 | 46 |
Carrying amounts at 31 March | 12,087 | 634 | 2,194 | 14,915 |
in EUR '000 Financial liabilities | Project loans | Working capital loans | Bonds | Loans from minorities and others | Lease liabilities | Total |
Changes in 2025: | ||||||
Carrying amounts at 1 January | 121,634 | 4,962 | 9,461 | 212 | 1,646 | 137,915 |
Borrowing (cash flow) | - | 180 | - | 4,100 | - | 4,280 |
Repayment (cash flow) | (1,172) | (723) | - | - | (119) | (2,014) |
Change in accumulated interest | 21 | - | 206 | (100) | 6 | 134 |
Changes in foreign exchange rates | 8 | - | - | 5 | 5 | 17 |
Other changes | - | - | - | - | 80 | 80 |
Carrying amounts at 31 March | 120,491 | 4,419 | 9,668 | 4,216 | 1,618 | 140,412 |
thereof current (due < 1 year) | 4,727 | 4,419 | 9,668 | - | 470 | 19,284 |
thereof non-current (due > 1 year) | 115,764 | - | - | 4,216 | 1,148 | 121,128 |
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