Malta Properties Company plc - Updated Financial Analysis Summary

On 21 May 2025, Malta Properties Company plc published an updated Financial Analysis Summary. The following are the main highlights of the company’s expected financial performance and position in 2025:

• Revenues are expected to decrease by 11.5% to €5.04 million (2024: €5.69 million) since following the expiration of a number of leases, certain properties will be vacant and undergoing renovations in the anticipation of new tenants. MPC explained that GO’s previous head office at Fra Diego Street Marsa will become partly occupied during the second half of the year. Furthermore, the Swatar property will become fully occupied during the second quarter of 2025. Meanwhile, the final stage of the works in The Exchange office building at Marsa will be finished by the third quarter of 2025 and it will then be fully leased out to Government of Malta entities.
• Operating expenses are expected to rise by 10.8% to €1.98 million due to additional maintenance and repair works as well as ongoing maintenance of the tenanted areas.
• EBITDA is anticipated to decrease by 21.7% to €3.09 million and the EBITDA margin is expected to ease to 61.3% (2024: 69.3%).
• Net finance costs are forecasted to rise by 14.0% to €1.22 million reflecting lower finance income in view of reduced amounts of short-term deposits since cash will be utilised for the refurbishment of vacated properties.  As a result, the interest cover is expected to drop to 2.5 times compared to 3.7 times in the previous year.
• Total debt is projected drop by 3% to €29.4 million (31 December 2024: €30.2 million). As such, the gearing ratio is anticipated to ease to 33.8% compared to 34.5% as at the end of 2024. Similarly, the debt-to-asset ratio is forecasted to decline to 0.29 times (31 December 2024: 0.30 times).
• The net asset value per share as at 31 December 2025 is anticipated to amount to €0.568, unchanged from the previous year.