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20.05.2025

MLP Group significantly increases its EBITDA and cash flows in Q1 2025 in anticipation of lower yields

MLP Group significantly increases its EBITDA and cash flows in Q1 2025 in anticipation of lower yields
In the first quarter of 2025, MLP Group reported solid growth in revenue and EBITDA. The Group maintained strong operational stability – 99% of rents due were paid on time, and the payment profile remained at a favourable level. MLP Group is consistently strengthening its position as the fastest-growing logistics platform in Europe, combining dynamic growth with a well-considered tenant selection strategy and effective risk management.
  • Revenue of PLN 109.2 million (+13% YoY), EUR 26.1 million (+17% YoY),
  • EBITDA excluding the effect of revaluation of PLN 53.9 million (+7% YoY), EUR 12.9 million (+11% YoY),
  • Fair value of investment property of PLN 5,490.7 million (-1% vs. 31 December 2024), EUR 1,312.3 million (+2% vs. 31 December 2024),
  • Net Asset Value (NAV) at PLN 2,694.2 million (-2% vs. 31 December 2024), EUR 644.0 million (0% vs. 31 December 2024),
  • NAV per share: PLN 112.3 (-2% vs. 31 December 2024), EUR 26.8 (0% vs. 31 December 2024),
  • Net result: PLN -42.7 million (vs. PLN 16.2 million in the first quarter of 2024), EUR -10.2 million (vs. EUR 3.8 million in the first quarter of 2024),
  • Lease contracts signed since the beginning of this year for about 45,000 square metres of space.

In the first quarter of 2025, MLP Group generated consolidated revenue of PLN 109.2 million, up by 13% year on year. The Group also achieved EBITDA of PLN 53.9 million (before the effect of revaluation), improving the result from the same quarter of 2024 by 7%.

“At MLP Group we are combining growth with moderate risk, by focusing predominantly on projects in the core urban areas, attracting top-tier tenants. We are observing a growing influx of investments from Asia to Europe, while tenant demand remains high, which is driving a continued increase in rental rates. Since the first quarter of 2025, we have observed a significant upward trend in EPRA earnings and FFO, which will substantially enhance MLP Group’s growth potential in the coming periods. At the same time, we have maintained strong operational stability – approximately 99% of due rents were paid on time, and the payment profile has remained consistently favourable,” said Radosław T. Krochta, CEO of MLP Group S.A.

In line with our conservative financial approach, MLP Group benefits from a solid liquidity position to fund its growth ambitions, with a fixed cost of debt and conservative repayment profile. The net debt to EBITDA ratio at the end of the first quarter of this year declined to 11.0x from 13.6x in the fourth quarter of 2024, representing a 20% decline. The very positive EBITDA growth trend should translate into a further decline in the net debt to EBITDA ratio and the leading indicator (net debt to Run Rate EBITDA) in the coming periods.

At the end of March 2025, gross asset value stood at PLN 5,490.7 million, down 1% from 31 December 2024. The value of equity (NAV) in the first quarter of this year fell by 2% to PLN 2,694.2 million. The change in the portfolio value was driven by the strengthening of the Polish złoty against the euro, which was partially offset by higher operating results. Yields for the portfolio remained unchanged in the first quarter of this year. Further interest rate cuts are expected in 2025, which will result, among other things, in a decline in yields and, consequently, higher property valuations. At the end of the first quarter, space under construction spanned 224,000 sq m.

MLP Group’s property portfolio in the first quarter of this year was characterised by a stable occupancy rate of 92.15%. The slight decline was temporary in nature, as a significant portion of newly constructed facilities is normally completed in the first part of the year. The Group seeks to maintain a vacancy rate of no more than 5%.

“From the beginning of this year until the issue date of the report, we signed contracts for a total of about 45,000 sq m of space. Effective relationship building with customers helps us develop long-term partnerships, which in some cases have lasted over 20 years, with a tenant retention rate reaching nearly 99%. The weighted average unexpired lease term (WAULT) for our portfolio rose to about 7.7 years, up from 7.1 years in the last quarter of the previous year.

“MLP Group’s investment properties represent one of the most modern portfolios in the European logistic market, with 90% of the buildings developed within the last ten years and over 60% in the last five years,” said Radosław T. Krochta, CEO of MLP Group S.A.

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