EZDAN (ERES) Q1 2025 earnings summary

Executive summary

• Net profit for Q1 2025 was QR 153 million, up from QR 95.5 million in Q1 2024, reflecting a 60% year-over-year increase and improved operational performance.

• Rental income increased to QR 443.5 million, mainly due to growth in the residential segment.

• Operating profit from main operations reached QR 386.4 million, up from QR 375.2 million year-over-year.

• Operating expenses and finance costs both decreased, supporting profitability.

• Total assets stood at QR 46.4 billion, with equity at QR 33.6 billion and borrowings at QR 11.4 billion as of March 31, 2025.

Financial highlights

• Revenue for Q1 2025 was QR 466.7 million, up from QR 463.9 million in Q1 2024.

• Net profit margin improved to 33% from 21% year-over-year.

• Cash and bank balances increased to QR 131.4 million, a 16% rise from December 2024.

• Net cash flows from operating activities were QR 339 million, up from QR 329 million year-over-year.

• Operating gross margin improved to 83% from 81% year-over-year.

Outlook and guidance

• Forward-looking statements indicate expectations of continued operational improvement, but management notes risks and uncertainties may impact future performance.