Fondul Proprietatea (FP) Q2 2025 earnings summary

Executive summary

• NAV at end-July 2025 was RON 2.13 billion, with NAV per share at RON 0.7039 and a 40.4% trading discount; NAV at 30 June 2025 was RON 2,125.6 million, down 5.5% from year-end 2024.

• H1 2025 net profit was RON 140.6 million, down from RON 212.9 million in H1 2024, mainly due to lower investment gains and higher expenses.

• Dividend income rose to RON 155.4 million, primarily from Bucharest Airports and Salrom.

• Portfolio composition: 82.7% unlisted, 6.4% listed equities, 10.9% net cash/receivables.

• Shareholders approved a gross dividend of RON 0.0409 per share from 2024 profit, with payment starting 19 June 2025.

Financial highlights

• Gross dividend income for H1 2025 was RON 155.4 million, up 7% year-over-year.

• Total equity at 30 June 2025 was RON 2,125.6 million, a 1.7% decrease from year-end 2024.

• NAV per share total return for H1 2025 was 5.6%; share price total return was 27.6%.

• Share price at period end was RON 0.3605, trading at a 48.3% discount to NAV.

• Total distributions to shareholders since 2010, including 2025, reached RON 29.1 billion (~$7.1 billion).

Outlook and guidance

• Bucharest Airports expects 5% traffic growth in 2025 to 16.8 million passengers.

• Constanța Port faces ongoing volume declines linked to Ukraine, with normalization expected but no immediate recovery.

• Salrom is preparing for a potential IPO but faces operational uncertainty due to Praid Salt Mine flooding.

• Dividend withholding tax will increase to 16% from 1 January 2026, and VAT will rise to 21% from August 2025.

• The selection of a new AIFM is ongoing, with a preferred candidate identified and shareholder approval pending.