European Science Park Group (ESPG AG), a real estate company specializing in science parks, reported positive Group Earnings of EUR 0.5 million for the 2025 financial year, marking its first return to profitability since 2022. The company attributed the turnaround to significantly reduced financing costs and stable operational performance, despite a persistently challenging market environment.
Adjusted Gross Rental Income remained relatively stable at EUR 15.9 million, compared to EUR 16.4 million in the previous year. The company’s equity increased to EUR 83.1 million as of December 31, 2025, up from EUR 79.5 million in 2024, reflecting a 4.6% rise. The loan-to-value ratio (LTV) stood at 58.3%, slightly higher than the prior year’s 57.3%, indicating a solid financial structure.
The value of ESPG’s real estate portfolio remained virtually unchanged at EUR 214.5 million, underscoring its stability in value. This stability is primarily attributable to the quality of locations within established science clusters and a focus on tenants from technology and research-oriented sectors. The company noted that the portfolio’s resilience was demonstrated despite a volatile market environment.
“After two challenging years, we have achieved a financial turnaround,” said Ralf Nocker, Member of the Management Board of ESPG AG, in a statement. “Both the significant relief on the interest side and the stable operational performance have contributed to ESPG not only reaching break-even in the first half of 2025 but also reporting a balanced Group result for the full year.”
The reported figures exclude significant one-off effects, including a EUR 2.8 million penalty payment from a tenant and restructuring expenses of approximately EUR 0.9 million. Comparative figures for 2024 are presented on a pro forma basis and include effects from restructuring measures. All figures are preliminary, with audit certification expected in the third quarter of 2026.
Looking ahead to 2026, ESPG anticipates increased investment requirements due to tenant departures that occurred in the fourth quarter of 2025. However, the company has made progress in pre-letting vacant space and has already concluded several new lease agreements with companies such as Silicon Labs and Helmsauer, in addition to letting additional space in Science Park Ulm. ESPG expects further lease agreements covering several thousand square meters in the near future.
The company’s 2024 financial report is available on its website at https://espg.space/investor_relations/financial-statements/.
