2025 12 months and IV quarter consolidated unaudited interim report
Globenewswire·2026-02-05 06:00

Core Viewpoint - Merko Ehitus reported a significant decrease in revenue and net profit for 2025 compared to 2024, but proposed a dividend payment reflecting a solid financial position despite the downturn in construction activity [1][9][14]. Financial Performance - In Q4 2025, Merko Ehitus generated revenue of EUR 69 million and a net profit of EUR 3.2 million, while the full year revenue was EUR 311 million and net profit was EUR 39.9 million, marking a 42.3% decrease in annual revenue compared to 2024 [1][10][9]. - The pre-tax profit for 2025 was EUR 44.8 million, with a pre-tax profit margin of 14.4%, slightly up from 14.2% in 2024 [8]. - The net profit margin for 2025 was 12.8%, compared to 12.0% in 2024 [9]. Order Book and Contracts - As of December 31, 2025, the secured order book stood at EUR 466.9 million, an increase from EUR 340.6 million in 2024, with new contracts signed amounting to EUR 362.8 million for the year [11][4]. - In 2025, Merko signed new construction contracts worth EUR 363 million, including significant projects like the Rail Baltica Ülemiste passenger terminal and the Tallinn–Pärnu main line [4][3]. Real Estate Development - The residential real estate market showed improvement, with Merko delivering 358 apartments in 2025, up from 323 in 2024, and launching construction of 894 apartments, a threefold increase compared to the previous year [6][12]. - The revenue from the sale of developed apartments was EUR 67.8 million in 2025, compared to EUR 58.9 million in 2024 [12]. Cash Position and Equity - At the end of 2025, Merko had EUR 41.4 million in cash and cash equivalents, with total equity of EUR 260.6 million, representing 62.8% of total assets [13][17]. - The company's net debt was negative EUR 8.3 million, indicating a strong financial position [13]. Dividend Proposal - The management board proposed a dividend distribution of EUR 22.1 million, equating to EUR 1.25 per share, which reflects a 55% dividend rate for 2025 [14].