European Science Park Group (ESPG AG), a real estate company specializing in science parks, achieved a positive Group Earnings in 2025, returning to profitability for the first time since 2022. The company reported Group Earnings of EUR 0.5 million for the full year 2025, compared to EUR -24.8 million in the previous year, according to preliminary financial results released on March 31, 2026.
Adjusted Gross Rental Income remained stable at EUR 15.9 million (2024: EUR 16.4 million), reflecting consistent operational performance. The significant improvement in earnings was driven by reduced financing costs and stable portfolio values. The real estate portfolio value held steady at EUR 214.5 million, underscoring the resilience of science park assets in a volatile market.
ESPG strengthened its balance sheet, with equity increasing to EUR 83.1 million from EUR 79.5 million in 2024, a rise of approximately 4.6%. The loan-to-value ratio (LTV) stood at 58.3%, compared to 57.3% in the prior year, indicating a solid financial structure.
“After two challenging years, we have achieved a financial turnaround. 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 2025,” said Ralf Nocker, Member of the Management Board. “This development is the result of our consistent and successful operational work as well as improvements on the financing side.”
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. Audit certification by the external auditor is expected in the third quarter of 2026.
Looking ahead to 2026, ESPG expects solid operational performance but anticipates higher vacancy levels in the first months due to tenant departures in the fourth quarter of 2025. This will lead to increased investment requirements. However, the company has made good progress in pre-letting vacant space and has already concluded several new lease agreements with well-known companies such as Silicon Labs and Helmsauer, and has let additional space in Science Park Ulm.
“For 2026, we expect higher vacancy levels in the first months in connection with existing investment needs within our portfolio. At the same time, this creates opportunities for us to unlock targeted value enhancement potential within our science park portfolio,” Nocker added.
ESPG considers itself well positioned to actively drive the next phase of portfolio development and value enhancement and expects further lease agreements covering several thousand square meters in the near future. The 2024 financial report is available on the company’s website at https://espg.space/investor_relations/financial-statements/.
