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    Interim Results

    Picture of First Property logoFirst Property
    27/11/2025 07:00
    RNS Number : 1564J

First Property Group PLC

27 November 2025

 


    Date:27 November 2025
    On behalf of:First Property Group plc ("First Property" or the "Group" or the "Company")
    Embargoed:0700hrs
    

 

First Property Group plc

 

Interim results for the six months to 30 September 2025                                                                              

 

First Property Group plc (AIM: FPO), the award-winning property fund manager and investor with operations in the United Kingdom and Central Europe, today announces its interim results for the six months ended 30 September 2025.

 

Highlights:

·      Profit before tax: £1.48 million (30 September 2024: £1.16 million);

·      Cash at 30 September 2025: £3.29 million (31 March 2025: £4.82 million);

·      Group cash as at 31 October 2025 increased to circa £7 million following the sale of two directly held Group Properties which generated circa £4 million of cash;

·      Net debt at 30 September 2025: £10.09 million (31 March 2025: £19.55 million);

·      Net assets at market value at 30 September 2025: £56.47 million (31 March 2025: £52.99 million) representing an adjusted NAV per Share at 30 September 2025 of 38.07p (31 March 2025: 35.72p);

·      Total AUM at 30 September 2025: £193 million (31 March 2025: £220 million);

·      Weighted average unexpired fund management contract term at 30 September 2025: 4 years, 5 months (31 March 2025: 3 years, 4 months).

 

Financial summary:

 


    Unaudited
    six months to
    30 Sep 2025    		Unaudited
    six months to
    30 Sep 2024    		Percentage changeAudited
    year to
    31 Mar 2025
    Income Statement:
    Statutory profit before tax£1.48m£1.16m+27.6%£3.03m
    Diluted earnings per share*0.79p0.91p-13.2%1.64p
    Total dividend per share----
    Average €/ £ rate1.16431.1833-1.1911
    Unaudited
    as at
    30 Sep 2025    		Audited
    as at
    31 Mar 2025    		Percentage changeUnaudited
    as at
    30 Sep 2024
    Balance Sheet at period end:
    Investment properties at book value£37.78m£46.76m-19.2%£44.90m
    Investment properties at market value£47.01m£56.04m-16.1%£50.52m
    Trading property at book value£0.57m-+100%-
    Trading property at market value£1.48m-+100%-
    Associates and investments at book value£22.39m£21.73m+3.0%£20.66m
    Associates and investments at market value£24.20m£22.60m+7.1%£20.90m
    Cash balances£3.29m£4.82m-31.7%£5.89m
    Cash per share2.23p3.26p-31.7%3.98p
    Gross debt£13.38m£24.37m-45.1%£24.54m
    Net debt£10.09m£19.55m-48.4%£18.65m
    Gearing ratio at book value**22.15%35.08%-36.39%
    Gearing ratio at market value***19.16%31.50%-33.98%
    Net assets at book value£47.03m£45.09m+4.3%£42.88m
    Net assets at market value£56.47m£52.99m+6.6%£47.66m
    Adjusted net assets per share (EPRA basis)38.07p35.72p+6.6%31.79p
    Period end €/ £ rate1.14501.1949-1.2019
    * The weighted average number of Ordinary Shares in issue includes 36,960,777 new Ordinary Shares issued following completion of the open offer on 23 September 2024.
    ** Gearing ratio = Gross debt divided by Gross assets.
    *** Gearing ratio at market value = Gross debt divided by gross debt plus net assets with properties at market value.
    

Commenting on the results, Ben Habib, Chief Executive of First Property, said:

 

"I am pleased by these results which reflect continued improvement in the Group's underlying assets and operations. The economic and market turmoil set in train by lockdowns, changing working habits, damaging government policies, increases in interest rates and a marked withdrawal of capital from the sector has made it very challenging for investors in commercial property. We have however, navigated these difficult times relatively well.

 

"The markets and economy continue to be challenging.

 

Notwithstanding this, I anticipate we will successfully go on protecting asset values as best as possible and adding value whenever the opportunity to do so arises."

 

Investor presentation:

 

A briefing for analysts and investors will be held at 11.00hrs today via Investor Meet Company. To participate it is necessary to register at https://www.investormeetcompany.com/first-property-group-plc/register-investor and select to meet the Company. Those who have already registered and selected to meet the Company will be automatically invited. A copy of the accompanying investor presentation and a recording of the call will be posted on the Group's website.

 

For further information please contact:

 


    First Property Group plcTel: +44 (20) 7340 0270
    Ben Habib (Chief Executive Officer)
    Laura Howarth (Group Finance Director)
    Jeremy Barkes (Director, Business Development)    		www.fprop.com
    investor.relations@fprop.com
    Jill Aubrey (Compliance Director and Company Secretary)
    Allenby Capital (NOMAD & Broker)Tel: + 44 (0) 20 3328 5656
    Nick Naylor / Piers Shimwell (Corporate Finance)
    Amrit Nahal / Tony Quirke (Sales and Corporate Broking)
    

 

Notes to Investors and Editors:

 

First Property Group plc is an award-winning property fund manager and investor with operations in the United Kingdom and Central Europe. Its focus is on higher yielding commercial property with sustainable cash flows. The Company is flexible and takes an active approach to asset management. Its earnings are derived from:

 

·      Group Properties - principal investments by the Group, to earn a return on its own capital, usually in partnership with third parties. Investments include five directly held properties in Poland, and non-controlling interests in nine of the eleven funds managed by FPAM.

 

·      Fund Management - via its FCA regulated and AIFMD approved subsidiary, First Property Asset Management Ltd ("FPAM"), which earns fees from investing for third parties in property. FPAM currently manages eleven funds which are invested across the United Kingdom, Poland and Romania.

 

Quoted on AIM, First Property has offices in London and Warsaw. Further information about the Group and its properties can be found at: www.fprop.com.

 

 

 

CHIEF EXECUTIVE'S STATEMENT

 

Financial performance:

 

I am pleased to report interim results for the six months ended 30 September 2025.

 

Revenue earned by the Group during the period was £3.65 million (30 September 2024: £3.94 million), yielding a profit before tax of £1.48 million (30 September 2024: £1.16 million). The increase in profit was mainly a result of higher rent and service charge income from Blue Tower, Warsaw and a reduction in operating expenses to £2.04 million (30 September 2024: £2.39 million).  

 

Diluted earnings per share amounted to 0.79 pence (30 September 2024: 0.91 pence). Despite the increase in profit after tax, diluted earnings per share reduced due to an increase in the average weighted number of shares in issue during the period.

 

The Group ended the period with net assets calculated under the cost basis of accounting of £47.03 million (31 March 2025: £45.09 million), equating to 31.81 pence per share (31 March 2025: 30.50 pence per share). When adjusted to their market value less any deferred tax liabilities (EPRA basis), net assets at 30 September 2025 totalled £56.47 million, or 38.07 pence per share (31 March 2025: £52.99 million, or 35.72 pence per share). The market values of the Group's properties are independently assessed once a year, as at 31 March.

 

Gross debt reduced to £13.38 million by the period end (31 March 2025: £24.37 million), due to the impact of placing Fprop Gdynia Sp. Zoo into administration on 30 April 2025 and the resulting deconsolidation of this entity from the accounts of the Group. Of the debt remaining, £3.98 million is non-interest bearing. All remaining debt is secured against five commercial properties in Poland.

 

Net debt at 30 September 2025 reduced to £10.09 million (31 March 2025: £19.55 million).

 

The Group's gearing ratio at 30 September 2025 was 19.16% (31 March 2025: 31.50%) when measured against the Group's assets at market values.

 

The Group's cash balance at 30 September 2025 stood at £3.29 million (31 March 2025: £4.82 million), equivalent to 2.23 pence per share (31 March 2025: 3.26 pence per share). The reduction in cash from the financial year end was due to the payment of £1.02 million of deferred consideration in respect of Blue Tower, Warsaw, the purchase of a commercial property in the United Kingdom for £0.57 million, and the repayment of £0.45 million of bank loans.

 

Shortly after the period end, two Group properties were sold, one being the commercial property purchased in the UK during the period and the other being the Felix office block in Bucharest, Romania. The combined sales consideration for these two properties amounted to £4.1 million which, after sales costs, increased the Group's cash balance by £4.0 million. The gain on sales before tax amounted to circa £1.2 million.

 

Dividend:

 

The Directors have resolved not to pay an interim dividend (30 September 2024: £nil).

 

 

REVIEW OF OPERATIONS

 

 

GROUP PROPERTIES DIVISION

 

At 30 September 2025 the Group Properties division comprised:

 

1.     Seven directly owned commercial properties of which six were classified as investment properties (five in Poland and one in Romania) and one property in the United Kingdom which was classified as a trading property. These had a combined market value of £48.49 million (31 March 2025: £56.04 million) and equity invested in them of £35.11 million (31 March 2025: £31.67 million); and

 

2.     Interests in nine of the eleven funds managed by First Property Asset Management ("FPAM") (classified as Associates and Investments) valued at £24.20 million (31 March 2025: £22.60 million).

 

The division contributed a profit of £1.83 million before tax and unallocated central overheads (30 September 2024: £1.44 million). The increase was mainly attributable to higher rent and service charge income earned on a new lease in Blue Tower, Warsaw.

 

1.     Directly owned properties (all accounted for under the cost model):

 

The book value of the Group's seven directly owned properties was £38.35 million. Their market value at 30 September 2025 was £48.49 million.

 


    CountrySectorProperty/ fund nameNo. of properties as at 30 Sep
    2025    		Book value as at 30 Sep 2025Market value as at 30 Sep 2025*Contribution to Group profit before tax -
    period to
     30 Sep 2025    		*Contribution to Group profit before tax -
    period to
     30 Sep 2024
    £m.£m.£m.£m.
    PolandOfficesBlue Tower125.1231.790.870.48
    PolandOfficesGdynia**----(0.10)
    PolandSupermarketsPraga12.103.280.050.04
    RomaniaOfficeDr Felix12.252.580.120.14
    Poland Office/Retail5PT38.319.360.260.22
    United Kingdom OfficeNewbury***10.571.48--
    Total738.3548.491.300.78
    

 

*Prior to the deduction of unallocated central overhead expenses.

**On 30 April 2025, the Group's wholly owned subsidiary, Fprop Gdynia Sp. Zoo ("GDY"), owner of an office building in Gdynia, Poland, was put into administration, the impact of which has been to deconsolidate the entity from the Group. See further information on note 5 to the accounts.

***Included within trading property on the balance sheet.

 

Of the Group's seven directly owned properties held at 30 September 2025, Blue Tower accounted for 66% (£31.79 million) of the total market value. It is an office building in Warsaw in which the Group's 80.3% shareholding totals 18,000 square metres. The equity invested in it at market value was £22.61 million, equating to 64% of the £35.11 million of equity at market value invested in all seven Group properties.

 

Total debt at 30 September 2025 amounted to £13.38 million (31 March 2025: £24.37 million), of which £9.40 million was interest bearing. It was secured against five of the Group's seven directly owned properties. 

 

Deferred consideration of PLN 19.40 million (£3.98 million) remains to be paid in respect of the purchase in 2022 of an additional 32% or 7,171 square metres in Blue Tower. Payment is due in instalments until August 2028. Around half of the original liability has been paid. The next instalment of £1.00 million is due in August 2026.

 

Interest costs on the Group's debt during the six months ended 30 September 2025 amounted to £0.25 million (30 September 2024: £0.40 million). This equates to an average borrowing cost of 3.7% per annum when expressed as a percentage of the Group's debt of £13.38 million, or 5.3% per annum on the debt which is interest bearing.

 

 

 

 

 

All four bank loans are held in separate non-recourse special purpose vehicles and are not guaranteed by the Group.

 


    Directly owned Properties30 Sep 202531 Mar 2025
    Book value£38.35m£46.76m
    Market value£48.49m£56.04m
    Gross debt (all non-recourse to the Group)£13.38m£24.37m
    LTV at book value %34.89%52.12%
    LTV at market value %27.59%43.49%
    Average borrowing cost (including non-interest-bearing loans)3.7%2.8%
    

 

The vacancy rate across all six investment properties is 9.25%.

 

The Weighted Average Unexpired Lease Term ("WAULT") of the six investment properties as at 30 September 2025 was 4 years, 4 months (31 March 2025: 4 years, 10 months).

 

2.     Associates and Investments ("A&I's")

 

These comprised non-controlling interests in nine of the eleven funds managed by FPAM, of which five are accounted for as Associates and held at the lower of cost or fair value (the "cost model") and four are accounted for as Investments in funds and held at fair value.

 

Their contribution to Group profit before tax and unallocated central overheads was £0.88 million (30 September 2024: £1.34 million).

 

The main contributor to the profit of this segment was £0.65 million, earned from the Group's 45.71% shareholding in Fprop Opportunities plc ("FOP") (30 September 2024: £0.03 million). This apparent increase in earnings was mainly due to the non-repeat of a fair value impairment of £0.46 million in the prior year's earnings.

 

At the period-end the A&Is were valued at £22.39 million (31 March 2025: £21.73 million), as set out in the table below: 


    FundCountry of investment% owned by
    First Property
    Group    		Book value of First Property's share in
    fund    		Current market value of holdingsGroup's
    share
    of post-tax profits earned by fund
    30 Sep 2025    		Group's
    share
    of post-tax profits earned by fund
    30 Sep 2024
    %£'000£'000£'000£'000
    a) Associates
    FOPPoland45.7114,13214,83564826
    FGCPoland29.093,2794,202160103
    FKRPoland18.079651,0343(9)
    FPLUK23.781,7131,713(43)941
    FCLRomania21.17649759(26)13
    Sub Total20,73822,5437421,074
    b) Investments
    UK PPPUK0.94--1340
    FULCRUMUK0.99144144117-
    SPEC OPPSUK11.071,1711,171-221
    OFFICESUK1.643383386-
    Sub Total1,6531,653136261
    Total22,39124,1968781,335
    

 

 

 

PROPERTY FUND MANAGEMENT ("First Property Asset Management Ltd" or "FPAM")

 

Third party assets under management at the period end decreased by 12% to £144.8 million (31 March 2025: £164.0 million). The decrease was largely attributable to the loss of control of one property valued at £27.5 million and the sale of another property for £2.55 million in the United Kingdom, offset by the purchase of one property in the United Kingdom for £7.06 million and foreign currency revaluation gains of £4.84 million.

 

71% of third-party assets under management were in Poland, 23% in the UK and 6% in Romania.

 

Revenue earned by this division during the six months ended 30 September 2025 decreased to £0.80 million (30 September 2024: £1.17 million), resulting in profit before unallocated central overheads and tax of £0.08 million (30 September 2024: £0.41 million).

 

At the period end fund management fee income, excluding performance fees, was being earned at an annualised rate of £1.30 million (31 March 2025: £1.20 million). The Group expects the revenue from the Fulcrum contract to grow over time.

 

FPAM's weighted average unexpired fund management contract term at the period end was 4 years, 5 months (31 March 2025: 3 years, 4 months).

 

The reconciliation of movement in third party funds under management during the period is shown below:

 


    Funds managed for third parties (including funds in which the Group is a minority shareholder)
    UK
    £m.    		CEE
    £m.    		Total
    £m.    		No. of prop's
    As at 1 Apr 202556.77107.14163.9118
    Property purchases7.06-7.061
    Property sales(2.55)-(2.55)(1)
    Capital expenditure-0.120.12-
    Property revaluation(0.85)0.04(0.81)-
    Loss of control(27.5)-(27.5)(1)
    FX revaluation-4.844.84-
    As at 30 Sep 202532.93111.84144.7717
    

 

An overview of the value and maturity of each of the funds managed by FPAM is set out below:

 


    FundCountry of investmentFund expiryAssets under management at market value at
    30 Sep 2025    		No of properties% of total third-party assets under managementAssets under management at market value at
    31 Mar 2025
    £m.%£m.
    OFFICESUKJun 2024---27.5
    SIPSUKJan 20263.512.43.5
    UK PPPUKJan 2027---2.6
    SPEC OPPSUKJan 20278.936.19.5
    FKRPolandMar 202716.2111.215.5
    FGCPolandDec 202724.9117.223.9
    FCLRomaniaJun 20288.415.88.0
    FPLUKJun 2028----
    FOPPolandOct 203062.4543.159.8
    FULCRUMUKIndefinite20.5514.213.7
    Total Third Party AUM144.817100.0164.0
    

 

 

The sub sector weightings of investments in FPAM funds is set out in the table below:

 


    UKPolandRomaniaTotal% of Total
    £m.£m.£m.£m.
    Offices22.237.78.468.347.2
    Retail warehousing10.8--10.87.4
    Shopping centres-12.4-12.48.6
    Supermarkets-53.3-53.336.8
    Total33.0103.48.4144.8100.0
    % of Total22.871.45.8100.0
    

 

 

Commercial Property Market Outlook

 

Poland:

 

Polish GDP grew by 3.4% year-on-year (YoY) in Q2 and 3.7% in Q3. This acceleration marked the strongest economic expansion since Q3 2022, driven primarily by robust household consumption and a recovery in public investment.

 

The National Bank of Poland's policy interest rate was cut in November 2025 to 4.25%, bringing to 1.5% the total reduction in interest rates in the year to date.

 

Occupational demand for commercial property and investment demand remains weak but is not deteriorating. There are signs of improvement. Some €2.6 billion of commercial property was transacted during the first three quarters of 2025, a similar level to the same period in 2024.

 

United Kingdom:

 

The value of transactions in commercial investment property remains below the five-year average but is forecast to be higher in 2025 than they were in 2024. Values for prime and secondary assets continue to diverge. If interest rates decline further, agents expect transaction volume and values to climb in response.

 

 

 

Current Trading and Prospects

 

I am pleased by these results which reflect continued improvement in the Group's underlying assets and operations. The economic and market turmoil set in train by lockdowns, changing working habits, damaging government policies, increases in interest rates and a marked withdrawal of capital from the sector has made it very challenging for investors in commercial property. We have however, navigated these difficult times relatively well.

 

The markets and economy continue to be challenging. Our government seems intent on damaging as much as possible the private sector and wealth creation in the UK.

 

Notwithstanding this, I anticipate we will successfully go on protecting asset values as best as possible and adding value whenever the opportunity to do so arises.

 

Ben Habib

Chief Executive

 

 

 

CONSOLIDATED INCOME STATEMENT

for the six months to 30 September 2025

 

 

 


    NotesSix months to 30 Sep 2025
    (unaudited)    		Six months to
    30 Sep 2024
    (unaudited)    		Year to
    31 Mar 2025
    (audited)
    £'000£'000£'000
    Revenue23,6453,9357,552
    Cost of sales(1,020)(1,446)(2,728)
    Gross profit2,6252,4894,824
    Operating expenses(2,036)(2,392)(4,317)
    Operating profit58997507
    Share of results in associates11a7421,5362,827
    Share of associates' revaluation loss11a-(462)(38)
    Profit from the loss of control of subsidiaries5149--
    Investment income136261422
    Interest income3112124245
    Interest expense3(248)(400)(695)
    Loss from impairment of investment properties--(242)
    Profit before tax1,4801,1563,026
    Tax charge4(201)(55)(684)
    Profit for the period1,2791,1012,342
    Attributable to:
    Owners of the parent1,1651,0332,139
    Non-controlling interests11468203
    1,2791,1012,342
    Earnings per share
    Basic70.79p0.92p1.65p
    Diluted70.79p0.91p1.64p
    

 

 

All operations are continuing.

 

 

 

 

 

CONSOLIDATED STATEMENT OF

COMPREHENSIVE INCOME

 

for the six months to 30 September 2025

 

 


    NotesSix months to 30 Sep 2025Six months to
    30 Sep 2024    		Year to
    31 Mar 2025
    (unaudited)(unaudited)(audited)
    £'000£'000£'000
    Profit for the period1,2791,1012,342
    Other comprehensive income
    Items that may subsequently be reclassified to profit or loss:
    Exchange differences on retranslation of foreign subsidiaries568(145)985
    Net profit/ (loss) on financial assets at fair value through Other Comprehensive Income11b147(144)(258)
    Taxation---
    Total comprehensive income for the period1,9948123,069
    Total comprehensive income for the period attributable to:
    Owners of the parent1,8838052,759
    Non-controlling interests1117310
    1,9948123,069
    

 

 

All operations are continuing.

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

 

As at 30 September 2025

 


    NotesAs at
    30 Sep 2025 (unaudited)    		As at
    31 Mar 2025 (audited)    		As at
    30 Sep 2024
    (unaudited)
    £'000£'000£'000
    Non-current assets
    Investment properties937,77546,75944,902
    Right of use Asset---
    Property, plant and equipment81526
    Investment in associates11a20,73820,06418,349
    Other financial assets at fair value through OCI11b1,6531,6702,308
    Goodwill153153153
    Deferred tax assets3671,1171,000
    Total non-current assets60,69469,77866,738
    Current assets
    Trading property10574--
    Current tax assets1517046
    Right of use assets---
    Trade and other receivables123,8713,9393,513
    Cash and cash equivalents3,2924,8245,889
    Total current assets7,7528,9339,448
    Current liabilities
    Trade and other payables13(2,044)(2,743)(3,343)
    Provisions(365)(332)(300)
    Lease liabilities---
    Financial liabilities14(859)(5,143)(5,247)
    Other financial liabilities15(1,024)(11,042)(10,956)
    Current tax liabilities(40)(22)(31)
    Total current liabilities(4,332)(19,282)(19,877)
    Net current assets3,420(10,349)(10,429)
    Total assets less current liabilities64,11459,42956,309
    Non-current liabilities
    Financial liabilities14(8,536)(4,307)(4,562)
    Other financial liabilities15(2,959)(3,875)(3,770)
    Lease liabilities---
    Deferred tax liabilities(3,271)(3,930)(3,152)
    Net assets49,34847,31744,825
    Equity
    Called up share capital61,5361,5361,536
    Share premium8,2228,2228,222
    Share-based payment reserve1,1631,105960
    Foreign exchange translation reserve149(422)(1,491)
    Purchase of own shares reserve(2,440)(2,440)(2,440)
    Investment revaluation reserve(2,049)(2,451)(2,337)
    Retained earnings40,45039,54038,434
    Equity attributable to the owners of the parent47,03145,09042,884
    Non-controlling interests2,3172,2271,941
    Total equity49,34847,31744,825
    Net assets per share731.81p30.50p29.01p
    

 

 

 

 

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

 

for the six months to 30 September 2025

 


    Share
    Capital    		Share PremiumShare- Based
    Payment Reserve    		Foreign Exchange Translation ReservePurchase of Own SharesInvestment
    Revaluation
    Reserve    		Retained EarningsNon-Controlling InterestsTotal
    £'000£'000£'000£'000£'000£'000£'000£'000£'000
    At 1 Apr 20241,1665,635815(1,407)(2,440)(2,193)37,4011,95440,931
    Profit for the period------1,101-1,101
    Net gain/ (loss) on financial assets at fair value through other comprehensive income-----(144)--(144)
    Exchange differences arising on translations of foreign subs---(84)---(61)(145)
    Change in the proportion held in non-controlling interests---------
    Movement on foreign exchange---------
    Total Comprehensive Income---(84)-(144)1,101(61)812
    Share issue3702,587------2,957
    Share options charge--145-----145
    Non-controlling interests------(68)68-
    Dividends paid-------(20)(20)
    At 30 Sep 20241,5368,222960(1,491)(2,440)(2,337)38,4341,94144,825
    Profit for the period------1,241-1,241
    Net (loss) on financial assets at fair value through other comprehensive income-----(114)--(114)
    Exchange differences arising on translations of foreign subs---1,069---1681,237
    Total Comprehensive Income---1,069-(114)1,2411682,364
    Share options charge--145-----145
    Non-controlling interests------(135)135-
    Dividends paid-------(17)(17)
    At 1 Apr 20251,5368,2221,105(422)(2,440)(2,451)39,5402,22747,317
    Profit for the period------1,279-1,279
    Net gain on financial assets at fair value through other comprehensive income-----147--147
    Exchange differences arising on translations of foreign subs---571---(3)568
    Change in the proportion held in non-controlling interests---------
    Recycled to retained earnings-----255(255)--
    Total Comprehensive Income---571-4021,024(3)2,015
    Share options charge--58-----58
    Non-controlling interests------(114)114-
    Dividends paid-------(21)(21)
    At 30 Sep 20251,5368,2221,163149(2,440)(2,049)40,4502,31749,348
    

 

CONSOLIDATED CASH FLOW STATEMENT

 

for the six months to 30 September 2025

 


    NotesSix months to
    30 Sep 2025 (unaudited)    		Six months to 30 Sep 2024 (unaudited)Year to
    31 Mar 2025
    (audited)
    £'000£'000£'000
    Cash flows from/ (used in) operating activities
    Operating profit58997507
    Adjustments for:
    Depreciation of property, plant & equipment51324
    Depreciation of investment property9230202417
    Share options charge58145290
    Decrease in trade and other receivables101745217
    (Decrease) in trade and other payables(716)(268)(506)
    Other non-cash adjustments59(108)101
    Cash generated from operations3268261,050
    Income taxes paid62(29)(194)
    Net cash flow from operating activities388797856
    Cash flow from/ (used in) investing activities
    Capital expenditure on investment properties9(399)(191)(1,423)
    Purchase of property, plant and equipment(1)(15)(15)
    Purchase of trading property10(574)--
    Proceeds from investments in funds11b164171695
    Proceeds from Investment in shares of associates11a92--
    Investments in associates11a(24)--
    Interest received3112124245
    Investment income136261422
    Net cash flow (used in)/ from investing activities(494)350(76)
    Cash flow from/ (used in) financing activities
    Gross proceeds from open offer-2,9572,957
    Repayment of bank loans(455)(418)(831)
    Repayment of deferred consideration(1,020)(1,970)(1,970)
    Interest paid3(248)(400)(695)
    Dividends paid---
    Dividends paid to non-controlling interests(21)(20)(37)
    Net cash flow (used in)/ from financing activities(1,744)149(576)
    Net (decrease)/ increase in cash and cash equivalents(1,850)1,296204
    Cash and cash equivalents at the beginning of period4,8244,6284,628
    Currency translation gains/ (losses) on cash and cash equivalents318(35)(8)
    Cash and cash equivalents at the end of the period3,2925,8894,824
    

NOTES TO THE ACCOUNTS

 

for the six months ended 30 September 2025

 

 

1.     Basis of Preparation

 

·     These interim consolidated financial statements for the six months ended 30 September 2025 have not been audited or reviewed and do not constitute statutory accounts within the meaning of section 435 of the Companies Act 2006. They have been prepared in accordance with the Group's accounting policies as set out in the Group's latest annual financial statements for the year ended 31 March 2025 and are in compliance with IAS 34 "Interim Financial Reporting". These accounting policies are drawn up in accordance with UK-adopted International Accounting Standards.

 

·     The comparative figures for the financial year ended 31 March 2025 are not the full statutory accounts for the financial year but are abridged from those accounts which were prepared under IFRS and which have been reported on by the Group's auditors and delivered to the Registrar of Companies. The report of the auditors was unqualified, did not include references to any matter to which the auditors drew attention by way of emphasis without qualifying their report and did not contain a statement under section 498 (2) or (3) of the Companies Act 2006.

 

·     These interim financial statements were approved by the Audit Committee on 26 November 2025.

 

 

 

 

 

 

 

NOTES TO THE ACCOUNTS

 

for the six months ended 30 September 2025

 

2.     Segmental Analysis 

 

Segment reporting for the six months to 30 September 2025

 


    Fund Management DivisionGroup Properties Division
    Property
    fund management    		Group propertiesAssociates and investmentsUnallocated central overheadsTOTAL
    £'000£'000£'000£'000£'000
    Rental income-2,007--2,007
    Service charge income-841--841
    Asset management fees797---797
    Total revenue7972,848--3,645
    Depreciation and amortisation(3)(2)--(5)
    Operating profit801,035-(526)589
    Share of results in associates--742-742
    Profit on deconsolidation of Gdynia-149--149
    Investment income--136-136
    Interest income-20-92112
    Interest expense-(248)--(248)
    Profit/ (loss) before tax80956878(434)1,480
    Analysed as:
    Underlying profit/ (loss) before tax before adjusting for the following items:80808618(434)1,072
    Interest on loans to associates---5858
    Share option charge---(58)(58)
    Profit on deconsolidation of Gdynia following loss of control-149--149
    UK fund distributions following property sales--260-260
    Realised foreign currency (losses)/ gains-(1)--(1)
    Profit/ (loss) before tax80956878(434)1,480
    

 

 

Revenue for the six months to 30 September 2025 from continuing operations consists of revenue arising in the United Kingdom 5% (30 September 2024: 15%) and Central and Eastern Europe 95% (30 September 2024: 85%) and all relates solely to the Group's principal activities.

 

Direct costs incurred by the Company relating to the cost of the Board and the related share listing costs are shown separately under unallocated central costs.

 

 

 

 

 

 

NOTES TO THE ACCOUNTS

 

for the six months ended 30 September 2025

 

 

Segment reporting for the six months to 30 September 2024

 


    Fund Management DivisionGroup Properties Division
    Property
    fund management    		Group propertiesAssociates and investmentsUnallocated central overheadsTOTAL
    £'000£'000£'000£'000£'000
    Rental income-2,014--2,014
    Service charge income-747--747
    Asset management fees1,174---1,174
    Total revenue1,1742,761--3,935
    Depreciation and amortisation(8)(5)--(13)
    Operating profit409378-(690)97
    Share of results in associates--1,536-1,536
    Fair value adjustment to associate--(462)-(462)
    Investment income--261-261
    Interest income-124--124
    Interest expense-(400)--(400)
    Profit/ (loss) before tax4091021,335(690)1,156
    Analysed as:
    Underlying profit/ (loss) before tax before adjusting for the following items:10883595(399)387
    Interest on loan to associates---6969
    Share option charge---(145)(145)
    Open offer costs---(184)(184)
    Payment in lieu of management fees300---300
    UK fund distributions following property sales--261-261
    Uplift in the Group's value of an associate following property trading--941-941
    Fair value adjustment to associate--(462)-(462)
    Realised foreign currency (losses)/ gains119-(31)(11)
    Profit/ (loss) before tax4091021,335(690)1,156
    

 

 

 

NOTES TO THE ACCOUNTS

 

for the six months ended 30 September 2025

 

 

 

Segment reporting for the year to 31 March 2025

 


    Fund Management DivisionGroup Properties Division
    Property
    fund management    		Group propertiesAssociates and investmentsUnallocated central overheadsTOTAL
    £'000£'000£'000£'000£'000
    Rental income-3,578--3,578
    Service charge income-1,712--1,712
    Asset management fees2,262---2,262
    Performance related fee income-----
    Total revenue2,2625,290--7,552
    Depreciation and amortisation(15)(9)--(24)
    Operating profit1,040853-(1,386)507
    Share of results in associates--2,827-2,827
    Fair value adjustment on associates--(38)-(38)
    Property impairment-(242)--(242)
    Investment income--422-422
    Interest income-38-207245
    Interest expense-(695)--(695)
    Profit/ (loss) before tax1,040(46)3,211(1,179)3,026
    Analysed as:
    Underlying profit/ (loss) before tax before adjusting for the following items:6332131,094(941)999
    Interest received on loan to associate---207207
    Open offer costs---(142)(142)
    Fair value adjustment on associates--(38)-(38)
    Property impairment-(242)--(242)
    One-off income generated from an associate91-1,733-1,824
    One-off distribution income from UK investments--422-422
    Payment in lieu of management fees300---300
    Share option charge---(290)(290)
    Realised foreign currency (losses)/ gains16(17)-(13)(14)
    Total1,040(46)3,211(1,179)3,026
    Assets - Group99350,5901,6705,39458,647
    Share of net assets of associates--20,064-20,064
    Liabilities(49)(31,345)--(31,394)
    Net assets94419,24521,7345,39447,317
    

 

 


    Additions to non-current assets
    Property, plant and equipment-15--15
    Investment properties-1,423--1,423
    

 

NOTES TO THE ACCOUNTS

 

for the six months ended 30 September 2025

 

 

3.     Interest Income/ (Expense)

 


    Six months
    ended
    30 Sep 2025    		Six months
    ended
    30 Sep 2024    		Year
    ended
    31 Mar 2025
    £'000£'000£'000
    Interest income - bank deposits4946104
    Interest income - other6378141
    Total interest income112124245
    

 


    Six months
    ended
    30 Sep 2025    		Six months
    ended
    30 Sep 2024    		Year
    ended
    31 Mar 2025
    £'000£'000£'000
    Interest expense - property loans(246)(334)(617)
    Interest expense - bank and other(2)(66)(78)
    Total interest expense(248)(400)(695)
    

 

 

4.     Tax Expense

 

The tax charge is based on a combination of actual current and deferred tax charged at an effective rate that is expected to apply to the profits for the full year.

 


    Six months
    ended
    30 Sep 2025    		Six months
    ended
    30 Sep 2024    		Year
    ended
    31 Mar 2025
    £'000£'000£'000
    Current tax(133)(90)(127)
    Deferred tax(68)35(557)
    Total(201)(55)(684)
    

 

 

5.     Loss of control

 

On 30 April 2025 the decision was taken to place Fprop Gdynia Sp. Zoo ("GDY") into administration following the Company's failure to agree restructuring terms with its principal creditor, as announced by RNS. As a result of this action it was deemed the Group had lost control of this entity and its assets and liabilities were deconsolidated from the accounts of the Group.

 

On 31 July 2025, the Group sold GDY Property (1) Ltd (formerly Fprop Gdynia Podolska Limited) and GDY Property (2) Ltd (formerly Fprop Gdynia Limited), the 100% shareholders of GDY, for a consideration of £1 respectively.

 

As a result of the loss of control of these entities, the Group recognised a one-off gain on disposal of £0.15 million.

 


    Net liabilities/(assets) disposed:£'000
    Investment property(10,042)
    Debtors(919)
    Trade creditors53
    Deferred consideration10,042
    Other creditors1,015
    Gain on disposal of subsidiaries149
    

 

 

 

NOTES TO THE ACCOUNTS

 

for the six months ended 30 September 2025

 

6.     Called-Up Share Capital

 

 


    Six months
    ended
    30 Sep 2025    		Six months
    ended
    30 Sep 2024    		Year
    ended
    31 Mar 2025
    £'000£'000£'000
    Authorised
    240,000,000 (2024: 240,000,000) Ordinary Shares of 1 pence each2,4002,4002,400
    Issued and fully paid
    153,561,892 (2024: 153,561,892) Ordinary Shares of 1 pence each of issued share capital, of which 5,718,783 Ordinary Shares (2024: 5,718,783) are held in treasury1,5361,5361,536
    

 

 


    Ordinary
    Shares
    Number    		Treasury
    Shares
    Number    		Share
    Options
    Number
    1 April 2025147,843,1095,718,78312,560,000
    Purchase of shares into treasury---
    Exercise of share options---
    Issue of new shares---
    Issue of share options---
    Lapse of share options---
    30 September 2025147,843,1095,718,78312,560,000
    

                                                                                                               

 

7.     Earnings/ NAV Per Share

 


    Six months
    ended
    30 Sep 2025    		Six months
    ended
    30 Sep 2024    		Year
    ended
    31 Mar 2025
    Basic earnings per share0.79p0.92p1.65p
    Diluted earnings per share0.79p0.91p1.64p
    

 

The basic earnings per ordinary share is calculated on the profit on ordinary activities after taxation and after excluding non-controlling interests on the weighted average number of ordinary shares in issue, during the period.

 

Figures in the table below have been used in the calculations.

 

 


    £'000£'000£'000
    Basic earnings per share1,1651,0332,139
    Notional interest on share options assumed to be exercised383
    Diluted earnings assuming full dilution1,1681,0412,142
    

 

 


    NumberNumberNumber
    Weighted average number of Ordinary Shares in issue
    (used for basic earnings per share calculation)    		147,843,109112,296,132130,020,926
    Number of Share options500,0002,110,000500,000
    Total number of Ordinary Shares used in the diluted earnings per Share calculation148,343,109114,406,132130,520,926
    

 

For the purpose of calculating diluted earnings/(loss) per share, the number of Ordinary Shares is the weighted average number of Ordinary Shares, plus the weighted average number of Ordinary Shares that would be issued on the conversion of all the dilutive potential Ordinary Shares into Ordinary Shares. Options have a dilutive effect only when the average market price of the Ordinary Shares during the period exceeds the exercise price of the options and thus they are 'in the money'.

 

The weighted average number of Ordinary Shares in issue includes 36,960,777 new Ordinary Shares issued following completion of the Open Offer on 23 September 2024.

 

NOTES TO THE ACCOUNTS

 

for the six months ended 30 September 2025

 


    Six months
    ended
    30 Sep 2025    		Six months
    ended
    30 Sep 2024    		Year
    ended
    31 Mar 2025
    Net assets per share31.81p29.01p30.50p
    Adjusted net assets per share38.07p31.79p35.72p
    

 

 

The following numbers have been used to calculate both the net assets and adjusted net assets per share:

 


    Six months
    ended
    30 Sep 2025    		Six months
    ended
    30 Sep 2024    		Year
    ended
    31 Mar 2025
    £'000£'000£'000
    For adjusted net assets per share
    Net assets excluding non-controlling interests47,03142,88445,090
    Uplift of investment properties at fair value net of deferred taxes7,6034,2136,966
    Uplift of investments in associates and other financial investments to fair value1,777243872
    Other items5832358
    Total56,46947,66352,986
    

 

 

8.     Share Based Payments

 

The Company has a share-based payment arrangement scheme in place which will be fully vested by 31 March 2026 as described below:

 


    Date of grant31 March 2023
    Number granted10,450,000
    Contractual life10 years to 31 March 2033
    Vesting conditionsThe options vest as follows:
    · 33.3% on the first anniversary of grant;
    · 33.3% on the second anniversary of grant; and
    · the remainder on the third anniversary of grant.
    

 

The estimated fair value of each share option granted has been calculated using the Black-Scholes pricing model. The model inputs were the share price at grant date and the exercise price based on the mid-market closing price on 30 March 2023 of 23.5 pence per Ordinary Share, expected volatility of 30%, a dividend yield of 1%, a contractual life of 10 years and a risk-free interest rate of 4.25%.

 


    Six months
    ended
    30 Sep 2025    		Six months
    ended
    30 Sep 2024    		Year ended
    31 March 2025
    £'000£'000£'000
    Expenses arising from share based payments58145290
    

 

 

9.     Investment Properties

 


    Six months
    ended
    30 Sep 2025    		Year
    ended
    31 Mar 2025    		Six months
    ended
    30 Sep 2024
    £'000£'000£'000
    1 April46,75945,75645,756
    Property impairment-(242)-
    Loss of control(10,042)--
    Purchases---
    Capital expenditure3991,423191
    Disposals---
    Depreciation(230)(417)(202)
    Foreign exchange translation889239(843)
    Total at end of period37,77546,75944,902
    

 

Investment properties owned by the Group are stated at cost less depreciation and accumulated impairment losses.

 

NOTES TO THE ACCOUNTS

 

for the six months ended 30 September 2025

 

10.   Trading Property

 

 


    Six months
    ended
    30 Sep 2025    		Year
    ended
    31 Mar 2025    		Six months
    ended
    30 Sep 2024
    £'000£'000£'000
    1 April---
    Purchases574--
    Capital expenditure---
    Disposals---
    Total at end of period574--
    

 

 

11.   Investments in associates and other financial assets and investments

 


    Six months ended
    30 Sep 2025    		Year
    ended
    31 Mar 2025    		Six months
    ended
    30 Sep 2024
    £'000£'000£'000
    a) Associates
    Cost of investment at beginning of period20,06417,27517,275
    Additions24--
    Disposals---
    Repayment of shareholder loan(92)--
    Share of associates profit after tax7422,8271,536
    Share of associates revaluation gains-(38)(462)
    Dividends received---
    Cost of investment at end of period20,73820,06418,349
    

 

The Group's investments in associated companies are accounted for under the "cost model" under IAS40 whereby the

Group's share is held at cost plus its share of subsequent accumulated profits less dividends received. It comprises the following:

 


    Six months ended
    30 Sep 2025    		Year
    ended
    31 Mar 2025    		Six months
    ended
    30 Sep 2024
    £'000£'000£'000
    Investments in associates
    Fprop Galeria Corso Ltd3,2793,2113,071
    Fprop Krakow Ltd9659621,081
    Fprop Cluj Ltd649676691
    Fprop Phoenix Ltd1,7131,733941
    Fprop Opportunities plc14,13213,48212,565
    20,73820,06418,349
    

 

 


    Six months ended
    30 Sep 2025    		Year
    ended
    31 Mar 2025    		Six months
    ended
    30 Sep 2024
    £'000£'000£'000
    b) Other financial investments
    At 1 April1,6702,6232,623
    Additions---
    Repayments(164)(695)(171)
    Increase/ (decrease) in fair value during the period147(258)(144)
    Cost of investment at end of period1,6531,6702,308
    

 

The Group holds four unlisted investments in funds managed by FPAM. Each is designated at fair value through "Other Comprehensive Income" (OCI) as per IFRS 9. The Directors consider their fair value to not be materially different from their carrying value.

 

Fair value has been calculated by applying the Group's percentage holding in the investments to the fair value of their net assets.

 

 

 

NOTES TO THE ACCOUNTS

 

for the six months ended 30 September 2025

 

12.   Trade and Other Receivables

 


    Six months ended
    30 Sep 2025    		Year
    ended
    31 Mar 2025    		Six months
    ended
    30 Sep 2024
    £'000£'000£'000
    Current assets
    Trade receivables1,1991,3121,655
    Less provision for impairment of receivables(164)(109)(366)
    Trade receivables net1,0351,2031,289
    Other receivables2,0361,9481,728
    Prepayments and accrued income800788496
    Total at end of period3,8713,9393,513
    

 

 

13.   Trade and Other Payables

 


    Six months ended
    30 Sep 2025    		Year
    ended
    31 Mar 2025    		Six months
    ended
    30 Sep 2024
    £'000£'000£'000
    Current liabilities
    Trade payables8031,839922
    Other taxation and social security247178191
    Other payables and accruals9626312,119
    Deferred income3295111
    Total at end of period2,0442,7433,343
    

 

 

14.   Financial Liabilities

 


    Six months ended
    30 Sep 2025    		Year
    ended
    31 Mar 2025    		Six months
    ended
    30 Sep 2024
    £'000£'000£'000
    Current liabilities
    Bank loans8595,1435,247
    Total at end of period8595,1435,247
    Non-current liabilities
    Bank loans8,5364,3074,562
    Total at end of period8,5364,3074,562
    Total obligations under financial liabilities
    Repayable within one year8595,1435,247
    Repayable within one and five years7,6343,2182,118
    Repayable after five years9021,0892,444
    Total at end of period9,3959,4509,809
    

 

Four bank loans (all denominated in Euros) totalling £9.40 million (31 March 2025: £9.45 million) are secured against five investment properties owned by the Group. These bank loans are otherwise non-recourse to the Group's assets.

 

 

NOTES TO THE ACCOUNTS

 

for the six months ended 30 September 2025

 

The interest rate profile of the Group's financial liabilities at 30 September 2025 and at 31 March 2025 was as follows:

 


    Interest bearingNon-
    interest
    bearing    		Total
    £'000£'000£'000
    Financial liabilities9,395-9,395
    Other financial liabilities-3,9833,983
    At 30 Sep 20259,3953,98313,378
    Financial liabilities9,450-9,450
    Other financial liabilities-14,91714,917
    At 31 Mar 20259,45014,91724,367
    

 

A one percentage point increase in interest rates would increase the annual interest rate bill by £0.09 million per annum (31 March 2025: £0.09 million per annum).

 

 

15.   Other Financial Liabilities

 

 


    Six months ended
    30 Sep 2025    		Year
    ended
    31 Mar 2025    		Six months
    ended
    30 Sep 2024
    £'000£'000£'000
    Current liabilities1,02411,04210,956
    Non-current liabilities2,9593,8753,770
    Total at end of period3,98314,91714,726
    Total obligations under financial liabilities
    Repayable within one year1,02411,04210,956
    Repayable within one and five years2,9593,8753,770
    Repayable after five years---
    Total at end of period3,98314,91714,726
    

 

 

Other financial liabilities decreased to £3.98 million (31 March 2025: £14.92 million). The reduction was largely due to Fprop Gdynia Sp. Zoo ("GDY") being put into administration following the Company's failure to agree restructuring terms with its principal creditor, as announced by RNS on 30 April 2025. This resulted in the entity being deconsolidated from the accounts of the Group. See note 5 for further information on loss of control.

 

The balance of £3.98 million relates to the Group's additional investment in Blue Tower, Warsaw, which was originally financed by deferred consideration totalling £7.20 million (debt denominated in Polish Zloty, PLN 40.40 million). This liability, which is non-interest bearing, is payable in seven instalments, the first four instalments have been paid. The next instalment is due in August 2026.

 

During the six month period to 30 September 2025 Sterling weakened against the Polish Zloty by 2.4% which increased our liability in respect of Blue Tower by £0.10 million.

 

 

The interim results are being circulated to all shareholders and can be downloaded from the company's website - www.fprop.com. Further copies can be obtained from the registered office at 32 St James's Street, London SW1A 1HD.

 

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.

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