Black Sea Property (BSP) H2 2024 earnings summary

Executive summary

• Black Sea Property AS focuses on real estate investment and development, primarily through subsidiaries in Bulgaria, with the main asset being the Sunrise River Beach Resort in Aheloy.

• 2024 saw a significant increase in resort occupancy, with 90,000 overnight stays (up from 60,000 in 2023) and positive guest feedback.

• The company is pursuing a potential sale of the resort, with ongoing negotiations and intentions to finalize a binding agreement in 2025, though outcome and timing remain uncertain.

Financial highlights

• Parent company reported a net profit of NOK 3.95 million for 2024, mainly due to currency gains on EUR-denominated loans to subsidiaries; this effect is eliminated in the consolidated accounts.

• The consolidated group posted a net loss of NOK 18.8 million for 2024, compared to a loss of NOK 17.3 million in 2023.

• Group revenues increased to NOK 7.08 million in 2024 from NOK 4.13 million in 2023, while operating costs rose to NOK 12.7 million from NOK 8.4 million.

• EBITDA from EPO Aheloy improved to EUR 620,000 in 2024 (EUR 360,000 in 2023), reflecting higher occupancy and expanded capacity.

Outlook and guidance

• Main priorities for 2025 are securing financing, obtaining all necessary licenses, and advancing the resort sale process.

• A new five-year lease agreement for the resort was signed, with 2025 rent set at EUR 750,000 (minimum EUR 450,000 if all licenses are not secured).