SRV Financial statement release 1–12/2025: Operative operating profit in line with expectations – Sale of SRV Infra Oy and new hybrid bond secure funding for strategic growth

SRV GROUP PLC     FINANCIAL STATEMENT RELEASE      11 FEBRUARY 2026    AT 08.30 EET 
 
SRV Financial statement release 1–12/2025: Operative operating profit in line with expectations – Sale of SRV Infra Oy and new hybrid bond secure funding for strategic growth 

October - December 2025 in brief: 

  • Revenue increased to EUR 215.8 (209.1) million (3.2%). Revenue from non-residential and infrastructure construction increased, while residential construction decreased.  

  • Operative operating profit amounted to EUR 3.6 (3.0) million. Operative operating profit rose on the comparison period, thanks to higher volumes of non-residential and infrastructure construction. A slightly lower volume of residential construction compared to the previous year, combined with revenue being almost exclusively weighted towards contracting, had a negative impact on operative operating profit. 

  • Operating profit was EUR 24.8 (4.7) million. EUR 21.7 million in gain on sales from the divestment of SRV Infra Oy were recognised at the end of the review period. The result before taxes was EUR 22.8 (3.3) million. 

  • The equity ratio was 35.7 (35.1 12/2024) per cent and gearing was 34.3 (65.5 12/2024) per cent. Excluding the impact of IFRS 16, the equity ratio was 49.4 (48.2) per cent and gearing was -33.5 (-6.0) per cent. 

  • Financing reserves totalled EUR 144.6 (79.6 12/2024) million.  

  • At period-end, the order backlog stood at EUR 772.3 (1,052.8) million. The divestment of SRV Infra Oy reduced the order backlog by EUR 58.7 million. The sold share of the order backlog was 87.9 (92.7) per cent. New agreements valued at EUR 109.3 (66.0) million were signed in October-December. In addition, the order backlog for service periods in lifecycle projects amounted to EUR 102.9 million.  

  • The B2B customer NPS (net promoter score) was 72 (74) at the end of December.  

  • The company issued a new EUR 22.5 million three-year green hybrid bond in December. The funds will be used to finance projects in line with SRV's Green Bond Framework.  

January - December 2025 in brief: 

  • Revenue was EUR 705.6 (745.8) million (-5.4%) 

  • Operative operating profit amounted to EUR 6.8 (10.3) million with an operating profit of EUR 27.5 (12.0) million. The result before taxes was EUR 19.4 (5.7) million. 

  • Earnings per share were EUR 0.8 (0.2). 

  • New agreements valued at EUR 438.0 (691.2) million were signed in January-December. 

  • The Board of Directors proposes to the General Meeting that no dividend be paid for the 2025 financial year. 

Outlook for 2026  

During 2026, SRV's revenue and result will be affected by several factors in addition to general economic trends, such as: the margin of the order backlog and its development; the start-up of new contracts and development projects; geopolitical risks, including their related direct and indirect effects, such as material costs and the availability of materials and labour; and changes in demand. At the beginning of the year, private demand for new construction remains low in several segments. For this reason, there is uncertainty about the startup of new projects and their estimated revenue and margin accrual.  


In 2026, revenue will mainly consist of relatively low-margin – yet also low-risk – cooperative contracting and, to a lesser extent, of competitive and negotiated contracts. The proportion of revenue accounted for by developer-contracted units sold to consumers and development projects sold to investors will increase but remain relatively low. The growing business in non-residential and residential construction is offsetting the revenue lost due to the sale of SRV Infra Oy.

Revenue and operative operating profit will be weighted towards the second half of 2026, when projects that have already been won but which have not yet been entered in the order backlog, as well as other new projects, will begin generating revenue and accruing profit. Revenue and margin accrual will be at a lower level at the beginning of 2026 due to the year-end order backlog. 

  • Consolidated revenue for 2026 is expected to amount to EUR 650–750 million (revenue in 2025: EUR 705.6 million).

  • Operative operating profit is expected to be positive (operative operating profit in 2025: EUR 6.8 million). 

President & CEO's review 

"The challenging market situation continued to burden our business in 2025. The financial figures fell short of our targets and we cannot be satisfied with the result in spite of the year’s successes. We have increased our market share and become Finland's largest developer of non-residential premises. SRV is particularly strong in cooperative contracting and lifecycle projects in the public sector, but we have also proven our competitiveness in residential contracting and have launched construction of the LUMI AI Factory data centre in Kajaani. Our revenue remained stable at EUR 705.6 million. Operative operating profit totalled EUR 6.8 million. The revenue generated by ongoing non-residential projects in the last quarter exceeded our earlier forecasts, resulting in both higher revenue and operative operating profit in relation to the comparison period. In contrast, a slightly lower volume of residential construction compared to the previous year, combined with revenue being almost exclusively weighted towards contracting, had a negative impact on our operative operating profit. 


Our order backlog decreased, standing at EUR 772.3 million at the end of December. The decrease in the order backlog was affected by the sale of SRV Infra Oy completed in December, which reduced the backlog by approximately EUR 60 million. However, the situation is stronger than the order backlog figure suggest, as we won several projects during 2025, such as the renewal programme of Tampere University Hospital, increasing the value of projects won but not yet entered into the order backlog to EUR 1.3 billion which is EUR 600 million higher than a year earlier. We expect these projects to be entered into the order backlog mainly during 2026, significantly strengthening revenue and profit in the latter part of the year and building a strong starting point for 2027.  Several projects were transferred to the order backlog during the last quarter, including a new defence-industry production facility for Jykia, a development-phase contract for Tampere University Hospital, and the LUMI AI Factory data centre. The data center market is very active, and we are negotiating several interesting projects in which, as with LUMI, we can leverage our strong expertise in delivering technically demanding facilities, where building services engineering plays a key role. In addition to contracted projects, we also have a number of our own development projects that could accommodate data center construction. In December, we launched Asunto Oy Espoon Luhtavehka in the Niittykumpu district of Espoo as planned. This was the second developer-contracted residential project for sale to consumers that started up in 2025. We also intended to launch our first development projects during the second half of the year, but the signing of these agreements was eventually postponed until January 2026. During 2026, we are also aiming to launch numerous development projects for sale to investors and developer-contracted projects for sale to consumers in the Helsinki Metropolitan Area, Turku, Tampere and other locations. Particularly with respect to our own development projects, the situation is stronger than a year ago, as we are engaged in active negotiations regarding several non-residential and residential projects.


To enable strategic growth, we will ensure that the company's financial position remains strong and the number of unsold completed residential units (which stood at 91 at the end of the year) remains low. We completed the sale of SRV Infra Oy to Kreate Oy in December, which strengthened both our balance sheet and liquidity. The equity value of the transaction was approximately EUR 30 million, and capital gains of more than EUR 20 million were recognised. The sale of SRV Infra, combined with the issue of a new green hybrid bond in December, will ensure that SRV has sufficient capacity to finance growth over the coming years in line with its strategy, in both developer-contracted and development projects. We had also been preparing to redeem our previous hybrid bonds, with a nominal value of EUR 41.2 million, in June.


The controllability of our projects remained good, which reflects positively in project margin performance, occupational safety, and customer satisfaction. Customer satisfaction has remained at an excellent level, and our NPS (B2B) stood at 72 at the end of December. The accident frequency rate has continued to develop favourably over the long term, which is a direct result of our consistent endeavours to strengthen our safety culture. The accident frequency rate for SRV’s own employees and its contractors’ employees stood at 7.1 at the end of December. 


The almost complete absence of consumer and investor demand in recent years has delayed planned strategic changes to our project portfolio, and we therefore updated our long-term financial targets in November. The objectives remain the same in substance, but the company aims to achieve them in 2029–2030 instead of 2027, depending on market conditions. 


With respect to the market situation, there are signs that the worst is now behind us: transaction volumes have increased substantially and the first real estate funds have been opened. In the housing market, activity among investors and consumers is increasing, even though we do not foresee a major turnaround in the short term. Population growth in the largest cities continues and supports the recovery of demand. and we are seeing cautiously positive trends in the investment market in spite of the uncertainties surrounding increased interest. Our goal for 2026 is to leverage our strong project development base to create the momentum required for strategic growth in development and developer-contracted projects. We also believe that the booming data centre market will offer new opportunities for growth. At the same time, we will be actively managing our profitability through careful risk management and prudent project selection. 

The non-residential and residential construction are turning to clear growth and compensating for the revenue lost due to the sale of SRV Infra Oy. However, revenue and operative operating profit in 2026 will be weighted toward the second half of the year, as projects already won but not yet entered into the order backlog, as well as other new projects—including our own development projects—begin to generate revenue and margin. 


I want to warmly thank all our customers and stakeholders – and especially our staff – for the good cooperation in 2025."
 
Saku Sipola 

Group Key Figures 

10-12/ 10-12/ change change, 1-12/ 1-12/ change change, 
(IFRS, EUR million) 2025 2024 % 2025 2024 % 
Revenue 215.8 209.1 6.7 3.2 705.6 745.8 -40.2 -5.4 
Operative operating profit  3.6 3.0 0.6 19.6 6.8 10.3 -3.5 -33.7 
Operative operating profit, % 1.7 1.5 0.2 1.0 1.4 -0.4 
Operating profit 24.8 4.7 20.1 428.1 27.5 12.0 15.5 129.8 
Operating profit, % 11.5 2.2 9.2 3.9 1.6 2.3 
Profit before taxes 22.8 3.3 19.5 584.4 19.4 5.7 13.8 243.0 
Net profit for the period 17.6 3.6 14.0 388.6 15.5 5.3 10.2 193.9 
Net profit for the period, % 8.2 1.7 6.4 2.2 0.7 1.5 
Earnings per share, eur 1) 0.99 0.18 0.81 4.48 0.78 0.18 0.60 333.2 
Order backlog (unrecognised) 772.3 1,052.8 -280.5 -26.6 
Equity ratio, % 35.7 35.1 0.6 
Equity ratio, %, excl. IFRS 16 2) 49.4 48.2 1.1 
Net interest-bearing debt 56.8 96.2 -39.3 -40.9 
Net interest-bearing debt, excl. IFRS 16 2) -59.6 -9.2 -50.4 
Net gearing ratio, % 34.3 65.5 -31.2 
Net gearing ratio, %, excl. IFRS 16 2) -33.5 -6.0 -27.5 
Financial reserves 144.6 79.6 65.0 81.7 

1. In the calculation of earnings per share, tax-adjusted interest on hybrid bonds is deducted from the profit for the period. 

2. The figure has been adjusted to remove the impacts of IFRS 16. 
 

Significant events after the period 

On 19 January 2026, SRV announced that the company will increase its revenue estimate for 2025 and revise its operative operating profit estimate. The reason for the revised guidance is the more front‑loaded than anticipated revenue recognition from ongoing projects during the remainder of the year. 
 
Helsinki, 11 February 2026 
Board of Directors 
 
All forward-looking statements in this interim report are based on management’s current expectations and beliefs about future events. The company’s actual results and financial position may differ materially from the expectations and beliefs such statements contain due to a number of factors that have been presented in this interim report. 
 
Briefing, webcast and presentation materials  

A briefing for analysts, investors and media representatives will be held at SRV’s head office at Horisontti in Kalasatama, Helsinki on 11 February 2026, starting at 11:00 EET. A webcast of the briefing can be followed live at www.srv.fi/en/investors. A recording will be available on the website after the presentation. The materials will also be made available on the website. 
 
For further information, please contact: 
Saku Sipola, President & CEO, tel. +358 (0)40 551 5953, saku.sipola@srv.fi 
Jarkko Rantala, CFO, tel. +358 (0)40 674 1949, jarkko.rantala@srv.fi 
Miia Eloranta, Senior Vice President, Communications and Marketing, tel. +358 (0)50 441 4221, miia.eloranta@srv.fi   

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SRV in brief 

SRV is a Finnish developer and innovator in the construction industry. We are building a more sustainable and responsible urban environment that fosters economic value and takes into consideration the wellbeing of both the environment and people. We call this approach lifecycle wisdom. Our genuine engagement and enthusiasm for our work comes across in every encounter – and listening is one of our most important ways of working. We believe that the only way to change the world is through discussion. 

Our company, established in 1987, is listed on the Helsinki Stock Exchange. We operate in growth centres in Finland. In 2024, our revenue totalled EUR 745.8 million. In addition to about 800 SRV employees, we had a network of around 3,200 partners. 

SRV – Building for life 

Liitteet

SRV Financial Statement Release 2025