Inmobiliaria del Sur (ISUR) Q2 2025 earnings summary

Executive summary

• Revenue performance varied, with one report showing a 38.2% increase to €80.0M, while another noted a 30.7% decline in development activity due to lower housing deliveries, expected to recover in 2H25.

• Net profit rose 91.9% to €9.6M, and net income attributable to the parent increased 85.7% to €9.4M year-over-year.

• Pre-sales reached €78.4M, up €17.0M from year-end, with 1,159 units accumulated (+31.2%) and 370 homes sold (+38.1%).

• Rental activity grew 6.5% to €9.6M, with a record occupancy rate of 94.6%.

• Changed accounting policy to fair value for investment properties, applied retroactively for comparability.

Financial highlights

• Total revenues were €63.2M (down 9.9% YoY) in one report and €80.0M (up 38.2% YoY) in another; EBITDA was €9.9M (down 16.1%) and €9.4M (down 18.5%).

• EBIT rose 74.5% to €17.4M, including €7.8M from fair value changes.

• Net financial debt increased to €223.1M (+11.5%) and €196.6M (+5.8%), with LTV at 40.6%-40.8%.

• Dividend per share paid was €0.27, totaling €5.0M.

• Total investment in 1H25 was €51.9M, mainly in works execution and land acquisition.

Outlook and guidance

• Scheduled delivery of €192.0M in housing (proportional €127.5M) in 2H25 and €53.5M in pre-sales support expectations for increased EBITDA and net profit.

• Management expects a notable reduction in net debt by year-end due to strong delivery pipeline.

• Expected start of construction for 730 units in the next six months.