PATRIZIA Reports Strong 9M 2025 Financial Performance and Raises Full-Year Guidance

PATRIZIA reported significant financial improvement in the first nine months of 2025, with EBITDA surging to €44.6 million compared to €6.7 million in the same period last year. The company's EBITDA margin reached 22.1%, representing an 18.6 percentage point increase from the previous year's 3.5%. This substantial improvement was primarily driven by strong cost discipline and an enhanced co-investment result, demonstrating the company's operational resilience amid evolving market conditions.

Management fees of €174.0 million returned to growth and comfortably exceeded operating expenses of €166.0 million. The company achieved remarkable cost efficiency, reducing total operating expenses by 17.1% from €200.3 million in the previous year. Staff costs decreased by 14.9% to €111.4 million, while other operating expenses fell by 25.2% to €41.8 million. These efficiency measures contributed significantly to the improved profitability and positioned the company for sustainable growth.

Assets under management showed positive momentum, increasing slightly to €56.3 billion as of September 30, 2025, from €55.9 billion at the end of June. This quarter-on-quarter growth was supported by organic net AUM growth and slightly positive real asset valuations in the third quarter. The company's investment activities demonstrated clear signs of market recovery, with closed acquisitions surging by 41.0% to €1.8 billion, indicating renewed investor confidence in real assets.

CEO Asoka Wöhrmann emphasized the strategic progress, stating that the company has successfully integrated its real estate and infrastructure investment platforms, creating a smart real assets platform designed for growth in the new cycle. He highlighted infrastructure as a compelling long-term investment opportunity for modernizing Europe's aging infrastructure and identified modern Living as a key future growth area. The company's 40-year track record positions it to offer attractive investment opportunities in these sectors.

Based on the strong performance through September, PATRIZIA raised its full-year guidance, now expecting EBITDA between €50.0-65.0 million, up from the previous range of €40.0-60.0 million. The EBITDA margin guidance was subsequently increased to 19.0-24.0% from 15.2-20.8%. The AUM guidance was specified to €56.0-60.0 billion, reflecting current market dynamics including equity raising levels and currency effects.

CFO Martin Praum noted that the improved financial results demonstrate the company's ability to decouple profitability from market-driven investment timing and performance fees. This strategic achievement provides a foundation for further profitable growth in a market environment characterized by stabilization and gradual recovery in client activity. The company's operating cash flow strengthened significantly to €40.2 million, well exceeding dividend payments and enabling strategic co-investments while maintaining financial flexibility.

The improved financial performance and guidance revision signal broader implications for the real assets investment industry. PATRIZIA's success in navigating challenging market conditions through operational efficiency and strategic platform integration serves as a positive indicator for the sector's recovery. The increased investment activity, particularly in international real estate and infrastructure, suggests growing investor confidence in real assets as valuations stabilize and market conditions become more favorable. For more information about PATRIZIA's operations and investment approach, visit https://www.patrizia.ag.