Core Insights - The company reported a strong financial performance in 2025, with total revenue reaching EUR 53.2 million, a significant increase from EUR 18.2 million in 2024, and a fourth-quarter revenue of EUR 18.9 million compared to EUR 7.6 million in the same period last year [18][24]. Real Estate Development - In Tallinn, the construction of the white building in the Uus-Kindrali project was completed, with 39 residential units closed by year-end and 78% of the sellable area sold [1][2]. - A second residential building with 90 units is under construction, targeting completion in October-November 2026 [3]. - The company is pursuing additional projects in Kristiine City, aiming to add approximately 35,000 square meters of gross building area, with a building permit obtained for the Tondi 53 project [4][5]. Financial Performance - The gross profit for 2025 was EUR 18.8 million, up from EUR 5.4 million in 2024, with a gross profit margin of 35% [21][24]. - Operating profit for the year was EUR 14.7 million, compared to EUR 0.1 million in 2024, reflecting a significant improvement in operational efficiency [21][24]. - The net profit for 2025 was EUR 12.0 million, a turnaround from a loss of EUR 3.9 million in 2024, with earnings per share increasing to EUR 0.22 from a loss of EUR 0.06 [22][24]. Market Conditions - The company noted a softening in occupancy levels in hotel operations towards the end of the year, particularly in the leisure segment, although food and beverage revenue showed a modest year-on-year increase [12]. - In Italy, operations faced challenges due to subdued market activity, but the fundamentals of the bare ownership model remain strong, indicating potential for future growth [13][14]. Strategic Outlook - The company emphasized disciplined execution and long-term planning as key drivers of value creation, with a focus on delivering high-quality projects and advancing its strategic goals [15][16]. - The management expressed confidence in the company's ability to maintain sustainable growth, supported by a solid project pipeline and favorable market conditions [17].

Financial Data and Key Metrics Changes - The company achieved a black zero in Q2 2025, indicating a return to profitability is expected in the second half of the year [4][6] - Earnings before tax improved by 47% in the first half of 2025, with an equity ratio back above 30% [6][7] - The successful issuance of a green hybrid increased equity above EUR 350 million, while net debt remained below EUR 550 million [7] Business Line Data and Key Metrics Changes - Residential sales doubled in the first half of 2025, with 208 apartments sold compared to 97 in the same period last year [8] - The company has a pipeline of 2,800 apartments over the next four years, ensuring steady income [9] Market Data and Key Metrics Changes - Newly started residential construction projects in Germany decreased by 85% since Q4 2022, leading to forecasts of fewer than 200,000 new apartments in 2025 [11] - Residential prices in Q2 2025 rose by 3.8% in Germany, 4% in Austria, and 17% in the Czech Republic, indicating a tightening supply [12] Company Strategy and Development Direction - The company emphasizes the importance of ESG (Environmental, Social, and Governance) factors, which are expected to drive future growth in Europe [16][19] - The company aims to maintain its industry leadership in sustainability and is considering potential project rezoning from office/light industrial to residential to address the supply-demand imbalance [55] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about returning to profitability, citing a flight to real assets and a significant market shakeout as positive indicators [21][23] - The company anticipates a continued demand for residential properties due to a shortage of supply and rising prices [50] Other Important Information - The company has successfully managed its liquidity, with EUR 168 million available against repayment obligations of EUR 102 million for 2025 [13] - The hotel segment output was reported at EUR 43 million, with a different mix of contributions compared to the previous year [34] Q&A Session Summary Question: Update on sales in Mainz - The company sold two apartments in Q2, maintaining a 50% sales rate, with ongoing reservations pending bank financing [29] Question: Letting process for Timber Pioneer in Frankfurt - The letting process is slow due to summer breaks, but management expects positive news in September [32] Question: Hotel segment performance - The hotel segment output is on par with last year, with Poland performing better, while Germany faced challenges due to the absence of extraordinary events [35] Question: Update on residential projects - The company plans to start construction on new residential projects next year, with a focus on smooth sales [36] Question: Potential reallocation of projects from office to residential - The company is considering rezoning projects based on market conditions and demand for residential properties [55] Question: Update on Kopinski Jockberg hotel sale - Exclusivity has been granted to one party for the sale, but no final agreement is expected before year-end [56] Question: Office lease lead times - Lead times for office leases have extended significantly, with management agreeing that it could take up to nine or ten months [68] Question: Personnel costs outlook - Personnel costs are expected to decrease in the second half due to a reduction in the workforce, potentially supporting overall results [76]

Core Insights - Nextensa has initiated 2025 with significant momentum, completing three strategic transactions that align with its sustainable investment strategy and position the company for growth and enhanced market presence [1] Strategic Transactions - The sale of the Knauf Shopping Centers on February 13, 2025, for € 165.75 million marks a pivotal shift in the portfolio towards assets with higher growth potential, reinforcing financial strength and enabling targeted investments [2] - The acquisition of Proximus Towers in Brussels for € 62.5 million enhances Nextensa's portfolio of high-quality office buildings, aligning with its long-term vision of investing in premium locations [4] - Proximus' decision to establish its headquarters at Tour & Taxis confirms the site's strategic importance, ensuring long-term rental income with full pre-letting of the office section [3] Financial Performance - Like-for-like rental income increased by 9% in Q1 2025, driven by strong performance at the Tour & Taxis site and contributions from major renovations, although nominal rental income decreased by 10.2% compared to Q1 2024 due to asset disposals [5] - The net result for the group share reached € 7.8 million, or € 0.77 per share, an increase from € 7.0 million or € 0.70 per share in Q1 2024 [8] Development Projects - The foundation stone for the office building "The Stairs" at Cloche d'Or was laid on March 18, with completion expected by the end of Q1 2026, while only 17 apartments remain unsold at the site despite a slowdown in residential sales [6] - At Tour & Taxis, 322 out of 346 apartments in Park Lane Phase II were sold by the end of Q1 2025, averaging 2 apartments sold per week [7] Financial Management - The average cost of financing decreased from 2.86% to 2.79%, aided by an interest rate hedging strategy and reduced financial debt [9] - The sale of the Knauf shopping centers lowered the net loan-to-value (LTV) ratio below 40%, strengthening the balance sheet for future development projects [9] Company Overview - Nextensa operates as a mixed-use real estate investor and developer, with a portfolio valued at approximately € 1.1 billion as of March 31, 2025, distributed across Luxembourg (43%), Belgium (42%), and Austria (15%) [10][11]