Black Sea Property (BSP) H2 2025 earnings summary

Executive summary

• Main activity is real estate investment and development in Bulgaria, with operations managed from Oslo.

• 2025 was operationally and financially challenging due to low rental income, high financial obligations, and ongoing capital needs.

• Significant asset impairments and a negative annual result were recorded.

• The company is seeking refinancing for major loans maturing in late 2026.

Financial highlights

• Group annual result for 2025: -NOK 122.7 million, mainly due to a 30% write-down of resort property value.

• Parent company annual result: -NOK 104.3 million, impacted by a NOK 76.2 million write-down of subsidiary shares.

• Group operating income: NOK 7.3 million in 2025, stable year-over-year.

• Group total assets at year-end: NOK 279.6 million, down from NOK 378.9 million in 2024.

• Group equity at year-end: NOK 42.8 million, down from NOK 154.5 million in 2024.

Outlook and guidance

• The board sees continued operational and financial challenges, with refinancing of maturing loans as a critical focus.

• Sale of the main asset (Sunrise River Beach Resort) remains a goal but is unlikely before refinancing.

• Market conditions are difficult, especially due to the loss of the Russian market and geopolitical instability.