Back to Market News

Malita Investments plc – Interim Results

cyber

August 29, 2025

Market News
29 August, 2025
6 min read
Market News
29 August, 2025
6 min read

Following last week's article detailing the performance of the S&P 500 index in 2025, it is worth devoting time to review the developments across the European equity markers in my last article of the year.

Financial Performance

On 28 August 2025, Malita Investments plc published its condensed interim financial statements covering the six-month period ended 30 June 2025. Malita explained that the comparable results in 2024 were restated to reflect revisions to accounting treatments and estimates applied in the previous reporting period.

Revenues increased by 6.7% to €5.16 million (H1 2024: €4.84 million) reflecting higher income from the Affordable Housing Project (+58% to €0.54 million) and leases and ground rents of the MIA, VCP and City Gate sites (2.8% to €4.63 million).

On the expenditure side, administrative costs almost doubled to €1.15 million compared to €0.60 million in H1 2024. These include higher levels of provisions for housing maintenance costs. Consequently, operating profit fell by 5.2% to €4.02 million (H1 2024: €4.23 million).

Meanwhile, the financial performance of Malita was positively impacted by a fair value increase in investment property of €1.42 million in contrast to a negative movement of €2.36 million recorded in the first half of 2024.

Finance income decreased by 5.4% to €2.60 million whilst finance costs surged by 21.7% to €1.75 million.

Profit before tax almost doubled to €6.28 million (H1 2024: €3.18 million). After accounting for a tax expense of €1.0 million, the net profit for the period under review amounted to €5.28 million compared to €3.17 million in the first half of 2024.

The condensed Statement of Financial Position as at 30 June 2025, compared to the corresponding figures as at 31 December 2024, shows that total assets increased by 1.8% (or €6.1 million) to €352.4 million, principally composed of investment property of €254.2 million and the recognition of the assets related to the Affordable Housing Project totalling €90.5 million. Meanwhile, total liabilities increased by 3.2% (or €4.7 million) to €149.1 million, which include borrowings amounting to €82.6 million and lease liabilities of €3.5 million. Total equity grew by 0.7% (or €1.42 million) to €203.3 million, which translates into a net asset value per share of €0.976 (31 December 2024: €0.970).

Dividend

The Directors resolved that no interim dividend will be declared for the current financial period and will undertake an assessment on dividend distribution when reviewing the full-year results. The decision reflects the substantial cash requirement for the completion of the Luqa project where three new blocks will be completed annually from 2026-2028. The company noted that cash flow requirements for its development projects have increased beyond original projections due to certain project delays and increases in project costs. These factors have necessitated a reassessment of the company’s funding requirements and strategic approach.

Updates related to the Affordable Housing Project

In their commentary, the Directors explained that up until the first half of 2025, Malita completed a total of 392 units pertaining to the Affordable Housing Project, complemented with 290 garages or car spaces.

Looking ahead, Malita expects another 69 units in Cospicua will be completed by December 2025 and a further 28 units in Qrendi by March 2026. Meanwhile, the Luqa site comprising 267 units and 287 garage spaces is projected to be fully completed by December 2028. The Luqa project will be delivered in three phases as Blocks A, B and C are expected to be delivered in 2026, 2027, and 2028 respectively.

The Directors explained that there are financing arrangements that are currently being negotiated and other that are finalised in order to address the funding gap attributable to capital expenditure required for the completion of the Housing Project.

The article contains public information only and is published solely for informational purposes. It should not be construed as a solicitation or an offer to buy or sell any securities or related financial instruments. No representation or warranty, either expressed or implied, is provided in relation to the accuracy, completeness or reliability of the information contained herein, nor is it intended to be a complete statement or summary of the securities, markets or developments referred to in this article. Rizzo, Farrugia & Co. (Stockbrokers) Ltd (“Rizzo Farrugia”) is under no obligation to update or keep current the information contained herein. Since the buying and selling of securities by any person is dependent on that person’s financial situation and an assessment of the suitability and appropriateness of the proposed transaction, no person should act upon any recommendation in this article without first obtaining investment advice. Rizzo Farrugia, its directors, the author of this article, other employees or clients may have or have had interests in the securities referred to herein and may at any time make purchases and/or sales in them as principal or agent. Furthermore, Rizzo Farrugia may have or have had a relationship with or may provide or has provided other services of a corporate nature to companies herein mentioned. Stock markets are volatile and subject to fluctuations which cannot be reasonably foreseen. Past performance is not necessarily indicative of future results. Foreign currency rates of exchange may adversely affect the value, price or income of any security mentioned in this article. Neither Rizzo Farrugia, nor any of its directors or employees accepts any liability for any loss or damage arising out of the use of all or any part of this article. Additional information can be made available upon request from Rizzo, Farrugia & Co. (Stockbrokers) Ltd., Airways House, Fourth Floor, High Street, Sliema SLM 1551. Telephone: +356 2258 3000; Email: info@rizzofarrugia.com; Website: www.rizzofarrugia.com © 2021 Rizzo, Farrugia & Co. (Stockbrokers) Ltd. All rights reserved. This article may not be reproduced or redistributed, in whole or in part, without the written permission of Rizzo Farrugia. Moreover, Rizzo Farrugia accepts no liability whatsoever for the actions of third parties in this respect.

This article was produced by Edward Rizzo, Director at Rizzo Farrugia, which is a company licensed to undertake investment services in Malta by the MFSA under the Investment Services Act, Cap. 370 of the Laws of Malta and a member of the Malta Stock Exchange. The company’s registered address is at Airways House, Fourth Floor, High Street, Sliema SLM 1551, Malta.

The article contains public information only and is published solely for informational purposes. It should not be construed as a solicitation or an offer to buy or sell any securities or related financial instruments. No representation or warranty, either expressed or implied, is provided in relation to the accuracy, completeness or reliability of the information contained herein, nor is it intended to be a complete statement or summary of the securities, markets or developments referred to in this article. Rizzo, Farrugia & Co. (Stockbrokers) Ltd (“Rizzo Farrugia”) is under no obligation to update or keep current the information contained herein. Since the buying and selling of securities by any person is dependent on that person’s financial situation and an assessment of the suitability and appropriateness of the proposed transaction, no person should act upon any recommendation in this article without first obtaining investment advice. Rizzo Farrugia, its directors, the author of this article, other employees or clients may have or have had interests in the securities referred to herein and may at any time make purchases and/or sales in them as principal or agent. Furthermore, Rizzo Farrugia may have or have had a relationship with or may provide or has provided other services of a corporate nature to companies herein mentioned. Stock markets are volatile and subject to fluctuations which cannot be reasonably foreseen. Past performance is not necessarily indicative of future results. Foreign currency rates of exchange may adversely affect the value, price or income of any security mentioned in this article. Neither Rizzo Farrugia, nor any of its directors or employees accepts any liability for any loss or damage arising out of the use of all or any part of this article. Additional information can be made available upon request from Rizzo, Farrugia & Co. (Stockbrokers) Ltd., Airways House, Fourth Floor, High Street, Sliema SLM 1551. Telephone: +356 2258 3000; Email: info@rizzofarrugia.com; Website: www.rizzofarrugia.com © 2021 Rizzo, Farrugia & Co. (Stockbrokers) Ltd. All rights reserved. This article may not be reproduced or redistributed, in whole or in part, without the written permission of Rizzo Farrugia. Moreover, Rizzo Farrugia accepts no liability whatsoever for the actions of third parties in this respect.

This article was produced by Edward Rizzo, Director at Rizzo Farrugia, which is a company licensed to undertake investment services in Malta by the MFSA under the Investment Services Act, Cap. 370 of the Laws of Malta and a member of the Malta Stock Exchange. The company’s registered address is at Airways House, Fourth Floor, High Street, Sliema SLM 1551, Malta.

On 28 August 2025, Malita Investments plc published its condensed interim financial statements covering the six-month period ended 30 June 2025. Malita explained that the comparable results in 2024 were restated to reflect revisions to accounting treatments and estimates applied in the previous reporting period.

Revenues increased by 6.7% to €5.16 million (H1 2024: €4.84 million) reflecting higher income from the Affordable Housing Project (+58% to €0.54 million) and leases and ground rents of the MIA, VCP and City Gate sites (2.8% to €4.63 million).

On the expenditure side, administrative costs almost doubled to €1.15 million compared to €0.60 million in H1 2024. These include higher levels of provisions for housing maintenance costs. Consequently, operating profit fell by 5.2% to €4.02 million (H1 2024: €4.23 million).

Meanwhile, the financial performance of Malita was positively impacted by a fair value increase in investment property of €1.42 million in contrast to a negative movement of €2.36 million recorded in the first half of 2024.

Finance income decreased by 5.4% to €2.60 million whilst finance costs surged by 21.7% to €1.75 million.

Profit before tax almost doubled to €6.28 million (H1 2024: €3.18 million). After accounting for a tax expense of €1.0 million, the net profit for the period under review amounted to €5.28 million compared to €3.17 million in the first half of 2024.

The condensed Statement of Financial Position as at 30 June 2025, compared to the corresponding figures as at 31 December 2024, shows that total assets increased by 1.8% (or €6.1 million) to €352.4 million, principally composed of investment property of €254.2 million and the recognition of the assets related to the Affordable Housing Project totalling €90.5 million. Meanwhile, total liabilities increased by 3.2% (or €4.7 million) to €149.1 million, which include borrowings amounting to €82.6 million and lease liabilities of €3.5 million. Total equity grew by 0.7% (or €1.42 million) to €203.3 million, which translates into a net asset value per share of €0.976 (31 December 2024: €0.970).

Dividend

The Directors resolved that no interim dividend will be declared for the current financial period and will undertake an assessment on dividend distribution when reviewing the full-year results. The decision reflects the substantial cash requirement for the completion of the Luqa project where three new blocks will be completed annually from 2026-2028. The company noted that cash flow requirements for its development projects have increased beyond original projections due to certain project delays and increases in project costs. These factors have necessitated a reassessment of the company’s funding requirements and strategic approach.

Updates related to the Affordable Housing Project

In their commentary, the Directors explained that up until the first half of 2025, Malita completed a total of 392 units pertaining to the Affordable Housing Project, complemented with 290 garages or car spaces.

Looking ahead, Malita expects another 69 units in Cospicua will be completed by December 2025 and a further 28 units in Qrendi by March 2026. Meanwhile, the Luqa site comprising 267 units and 287 garage spaces is projected to be fully completed by December 2028. The Luqa project will be delivered in three phases as Blocks A, B and C are expected to be delivered in 2026, 2027, and 2028 respectively.

The Directors explained that there are financing arrangements that are currently being negotiated and other that are finalised in order to address the funding gap attributable to capital expenditure required for the completion of the Housing Project.