Echo Investment (ECH) investor relations material

Executive summary

• 2025 marked a record year with strong residential sales growth, operational expansion, and significant commercial asset transactions, including EUR 296.5 million in asset sales and a 30% year-over-year increase in residential sales to 2,847 units, with handovers doubling to 2,138.

• The group executed major commercial asset sales, reduced project debt by PLN 0.4 billion, and paid a dividend of PLN 330 million (PLN 0.80/share).

• Focus remained on scalable growth, operational efficiency, and ambitions to become a top-three developer in Poland.

Financial highlights

• Full-year revenue reached PLN 2,012.7 million, with Q4 revenue at PLN 826.4 million and net profit for Q4 at PLN 109.1 million, reversing a prior-year loss.

• Archicom reported PLN 961.7 million in sales revenue from 1,320 flats handed over, with a gross profit of PLN 320.6 million and a gross margin of 33.3%.

• Echo Group's asset disposals totaled around EUR 300 million, reducing debt by EUR 40 million and enabling a PLN 330 million dividend payout.

• Total assets grew over 30% to PLN 3.739 billion, with significant increases in inventory and client prepayments.

• Cash position at year-end was PLN 377 million.

Outlook and guidance

• Sales targets for 2026 are set at 3,200–3,500 units, with handovers expected to reach about 3,000 units.

• Free cash from 2026 sales (>PLN 0.5 billion) will be used for debt reduction, new investments, and dividends.

• Continued focus on land acquisition (PLN 600–700 million planned for 2026), operational excellence, and expansion into new markets, especially Tri-City and Warsaw CBD.

• Ongoing reduction of net debt ratio toward 20–30% and continued dividend payments.