SRV Yhtiöt (SRV1V) Q4 2025 earnings summary

Executive summary

• Revenue for 2025 was €705.6 million, down 5.4% year-over-year, with operative operating profit at €6.8 million and operating profit at €27.5 million, boosted by a €21.7 million gain from the sale of SRV Infra Oy.

• Net profit for the year was €15.5 million, with EPS at €0.78, and the Board proposes no dividend for 2025.

• The order backlog decreased to €772.3 million, mainly due to the divestment of SRV Infra Oy, but projects won but not yet entered into the backlog rose to €1.3 billion.

• The company issued a €22.5 million green hybrid bond and redeemed part of its existing hybrid bonds, strengthening liquidity and supporting strategic growth.

• Market conditions show cautious improvement, with increased transaction volumes and new real estate funds.

Financial highlights

• Revenue for 2025 was €705.6 million, compared to €745.8 million in the previous year, with operative operating profit at €6.8 million and operating profit at €27.5 million.

• Q4 2025 revenue increased 3.2% year-over-year to €215.8 million, with operative operating profit at €3.6 million.

• Order backlog at year-end was €772.3 million, down from €1,052.8 million, with over €1.3 billion in projects won but not yet included.

• Net interest-bearing debt decreased to €56.8 million, and financial reserves rose to €145 million.

• Equity ratio (IFRS16 adjusted) ranged from 48.2% to 50.7% during 2025, with gearing (IFRS16 adjusted) at -33.5% by year-end.

Outlook and guidance

• Revenue for 2026 is expected to be €650–750 million, with positive operative operating profit.

• Revenue and profit will be weighted toward the second half of 2026 as new projects enter the order backlog.

• Growth is anticipated from 2026 onwards, with acceleration expected in 2027.

• Focus on expanding development and developer-contracted production, leveraging a strong project development base.

• Market recovery is expected to be gradual, with private demand for new construction remaining low at the start of 2026.