Adler Group (ADJ) Q1 2025 earnings summary

Executive summary

• Q1 2025 results aligned with strategy, marked by major disposals in BCP and NRW, focusing on Berlin residential assets and reducing leverage.

• Net rental income for Q1 2025 was €37 million, with adjusted EBITDA Rental at €21 million and cash position rising to €293 million.

• Loan-to-value (LTV) improved to 67.9% from 72.7% at year-end 2024, reflecting deleveraging.

• No remaining 2025 debt maturities; refinancing and prolongations completed, with 2026 maturities addressed.

• Workforce stands at 487 employees as of 31 March 2025.

Financial highlights

• Net rental income for Q1 2025 was €36.7 million, down from €51.1 million in Q1 2024 due to disposals.

• Adjusted EBITDA from rental activities was €21.2 million; total adjusted EBITDA was slightly negative at €-0.2 million.

• Cash position increased to €293 million, up from €247 million at year-end 2024, mainly from asset disposals.

• Total equity at €1.2 billion; total nominal interest-bearing debt at €3.8 billion.

• Net loss for Q1 2025 was €170 million, compared to €81.2 million in Q1 2024.

Outlook and guidance

• Full-year 2025 net rental income guidance confirmed at €127–135 million, reflecting the smaller portfolio post-disposals.

• Like-for-like rental growth expected to reach 3% in Q2, supported by Mietspiegel rent increases.

• No FFO 1 guidance provided due to focus on liquidity and deleveraging.

• Focus remains on disposing of development projects and completing forward sales by end of 2026.

• No remaining 2025 debt maturities; €349 million in 2026 maturities, including €300 million bond to be refinanced in June 2025.