UBM Development (UBS) Q1 2025 earnings summary

Executive summary

• Residential sales more than doubled year-over-year in Q1 2025, with strong momentum in Prague, Vienna, and other key markets, signaling recovery in the asset class.

• Revenue increased by 39.6% to €28.5m, primarily driven by residential sales, while Total Output fell 31.1% due to lower hotel and office activity.

• EBT improved to -€6.3m from -€7.3m year-over-year, but remained negative due to a one-off write-down from a construction freeze in Innsbruck.

• Cash management remains a top priority, with significant liquidity used to repay bank debt and support financial stability.

• The company maintains a stable €1.9bn pipeline, with nearly 3,000 apartments in planning, development, or sale.

Financial highlights

• Revenue rose 39.6% year-over-year to €28.5m, driven by strong residential sales.

• EBT improved to -€6.3m, and net loss improved to -€6.6m, a 17.4% year-over-year improvement.

• Equity ratio at 29.4%, trending toward the 30%-35% target range; net debt increased to €563.9m.

• Cash and cash equivalents declined to €142.6m from €199.5m at year-end 2024.

• Earnings per share improved to -€1.08 (Q1 2024: -€1.27); market capitalization at €149.4m.

Outlook and guidance

• 2025 guidance anticipates a return to profitability in H2, with continued focus on liquidity and pipeline execution.

• 2024 expected to outperform 2023, with transformation and resilience as key themes.

• No concrete full-year guidance due to market volatility, but apartment sales momentum remains strong.