Sedlmayr Grund und Immobilien (SPB) H1 24/25 earnings summary

Executive summary

• Revenue increased by 1.3% year-over-year to €68.9 million, mainly due to higher residential rental income and increased cost pass-throughs.

• Operating income (EBIT) declined by €2.2 million to €33.0 million, primarily due to higher personnel and administrative expenses related to ongoing transformation.

• Net income for the half-year was €19.8 million, down €1.0 million from the prior year.

• Investments focused on project development, especially the “Heidepark” in Munich, and modernization of the property portfolio.

Financial highlights

• Rental income from residential properties rose to €22.3 million (prior year: €21.5 million).

• Material costs increased by €0.8 million to €17.6 million, and personnel expenses rose by €1.3 million to €7.3 million.

• Free cash flow improved significantly to €19.3 million (prior year: €7.4 million).

• Equity ratio increased to 22.8% from 21.4% at the previous reporting date.

• Total assets grew by €14.9 million to €1,232.7 million.

Outlook and guidance

• Slight revenue growth is expected for the full year 2024/2025 compared to 2023/2024.

• Operating income (EBIT) is forecast to be slightly lower than the previous year.

• Higher maintenance and modernization expenses per square meter are anticipated.

• Planned investments will be funded by operating cash flow and additional debt, with sufficient liquidity reserves available.