Doxa (DOXA) Q1 2025 earnings summary

Executive summary

• Q1 2025 marked by major restructuring, including the sale of significant assets and the impact of Serneke Sverige's bankruptcy, leading to a smaller, more focused organization centered on property development, especially Karlastaden in Gothenburg.

• Ongoing adaptation to reduced business volume, with headcount expected to drop to around ten by mid-year; cost structure realignment to match new scale.

• Strategic focus on value creation through property development, divestment of non-core assets, and securing sustainable long-term financing.

Financial highlights

• Net income for Q1 2025 was -39.8 MSEK, with EPS at -0.03 SEK; NAV per share at 1.77 SEK.

• Operating income (rörelseresultat) for Q1 2025 was -22.1 MSEK, mainly due to central admin costs of -18.0 MSEK and restructuring expenses.

• Result before tax from continuing operations was -28.1 MSEK, including financial costs of -19.5 MSEK and a 10.9 MSEK gain from subsidiary sales.

• Result from discontinued operations (assets for sale/closure) was -11.6 MSEK.

• Equity at quarter-end was 2,270.1 MSEK; total assets 4,775.7 MSEK.

Outlook and guidance

• Restructuring costs will continue to impact results in Q2 2025; cost base expected to align with new business scope in H2 2025.

• Focus remains on developing Karlastaden, divesting non-strategic assets, and exploring partnerships for project execution.

• No dividend proposed for 2024; ongoing legal appeal regarding VAT ruling with potential liquidity impact.