Hepsor (HPR1T) Q4 2025 earnings summary

Executive summary

• Revenue for 2025 was €35.4M, down from €38.4M in 2024; net profit was €1.0M, down from €2.1M year-over-year.

• Q4 2025 revenue was €4.5M (Q4 2024: €10.5M); net loss of €0.5M in Q4 2025 (Q4 2024: net profit €1.0M).

• Lower apartment handovers (141 vs. 194 in 2024) and reduced profit margins impacted results.

• Marketing expenses rose to €1.3M (2024: €0.9M) due to increased project activity.

• Successful €8M bond issue in November 2025, oversubscribed 1.4x, with 9.5% annual interest.

Financial highlights

• Gross profit for 2025 was €5.6M (2024: €6.8M); gross margin 15.9% (2024: 17.6%).

• Operating profit was €3.4M (2024: €4.3M); operating margin 9.5% (2024: 11.3%).

• Net profit margin for 2025 was 2.9% (2024: 5.6%).

• Total assets at year-end were €91.8M (2024: €88.8M); equity increased to €27.1M (2024: €22.0M).

• Debt ratio improved to 52.0% (2024: 61.6%); adjusted equity ratio rose to 47.0% (2024: 43.2%).

Outlook and guidance

• Plans to launch five new projects in 2026: two residential and one commercial in Estonia, one residential and one commercial in Latvia.

• Canadian projects focus on land-use planning and increasing building rights; 3,000 rental apartments in pipeline.

• 2026 will see construction starts for V7, Paevälja quarter, Peetri business centre, Veidema quarter, and Starta 17.