Allreal (ALLN) H1 2025 earnings summary

Executive summary

• Net profit for HY 2025 rose to CHF 116.8 million, up 73.8% year-over-year, driven by a CHF 70.3 million revaluation gain and strong Development & Realisation segment performance.

• EBIT excluding revaluation effect increased 3.9% to CHF 95.2 million compared to the previous year.

• Order backlog reached CHF 786 million, up from CHF 667 million year-over-year.

• Rental income declined to CHF 103.5 million due to portfolio changes and increased vacancies, but was offset by higher condominium sales and lower financial expenses.

• The real estate portfolio remains high quality, with low vacancy rates and stable long-term income, supported by active asset management and sustainability initiatives.

Financial highlights

• Total sales reached CHF 229.8 million, nearly flat year-over-year.

• Revaluation of portfolio contributed CHF 70.3 million, a significant increase from CHF 6.7 million last year.

• Net profit excluding revaluation effect was CHF 62.6 million, up 3.5% year-over-year.

• EPS excluding revaluation effect increased to CHF 3.79 from CHF 3.66.

• Cash flow from operating activities increased to CHF 63.6 million (from CHF 47.6 million).

Outlook and guidance

• Outlook for 2025 confirmed: stable business development and operating profit expected to match 2024, with stable balance sheet figures and lower financing costs.

• Rental income in Real Estate segment expected to remain temporarily lower due to renovations and tenant changes, but medium-term improvement anticipated.

• Income from condominium sales projected to increase, with slightly higher construction volume and lower operating expenses.

• Balance sheet figures expected to remain robust with lower financing costs.