Cityvarasto Q4 2025, Summary

Cityvarasto Delivers Strong Q4 2025 Results Following Successful Stock Exchange Listing

Finnish self-storage company Cityvarasto reported robust fourth-quarter and full-year 2025 financial results, with both revenue and EBITDA growth exceeding company expectations. The performance culminated in a successful listing on the Helsinki Stock Exchange's First North marketplace during the quarter.

Strong Financial Performance Across Key Metrics

For the fourth quarter of 2025, Cityvarasto achieved revenue growth of 25.4% and adjusted EBIT growth of 19.5%. The full fiscal year performance was equally impressive, with revenue increasing 21.1% to 27.1 million euro and adjusted EBIT growing 20.1% to 12.1 million euro. Both metrics exceeded the company's previously issued guidance, prompting a positive profit warning in January.

Operational earnings per share reached 0.85 euro, representing approximately 23% growth compared to the previous year. The company's fair value of owned investment properties stood at approximately 209 million euro, showing growth of just under 8% compared to the end of the previous year.

Successful Capital Raise Strengthens Balance Sheet

The company's listing on the Helsinki Stock Exchange's First North marketplace generated approximately 15 million euro in gross proceeds during the fourth quarter. Combined with the broader share issue of approximately 50 million euro, Cityvarasto significantly strengthened its financial position, ending the year with net debt of approximately 33 million euro excluding IFRS 16 lease liabilities and an equity ratio of almost 65%.

The loan-to-value ratio stood at approximately 20% at year-end, well below the company's target of maintaining LTV below 35%, providing substantial capacity for future growth investments.

Expansion Strategy Drives Growth

During fiscal year 2025, Cityvarasto executed an ambitious expansion strategy, acquiring seven properties and opening six new locations while expanding five existing facilities. The company added approximately 6,000 square meters of self-storage floor space, representing about 10% growth compared to the previous year.

New locations were established in Helsinki, Espoo, Kerava, Hyvinkää, Tampere, and Uusikaupunki, while expansions occurred in Roihupelto, Malmi, Konala, Vantaa, and Kotka. Property acquisitions included locations in Helsinki, Yritysmaa, Rihtimäki, Lohja, Porvoo, and Kokkola.

Ancillary Services Drive Exceptional Growth

The company's ancillary services segment delivered outstanding performance, with van rental operations showing quarterly growth of over 50% in the fourth quarter and approximately 47% for the full year. The Property business segment grew 15% quarterly and just under 13% for the full fiscal year.

Cityvarasto's moving services expanded through acquisitions, with Opiskelijamootot completing over 2,400 moves in southern Finland and the acquisition of YAKI Mootot strengthening capabilities in larger renovation project moves. The company now operates over 500 rental vans across more than 50 locations.

Market Position and Growth Potential

CEO Ville Stenroos highlighted that approximately 60% of Finns live within 15 minutes of the nearest Cityvarasto facility, positioning the company as the closest to customers in the market. Customer satisfaction remains high, with approximately 90% of customers reporting satisfaction or high satisfaction with services.

The company's existing property portfolio offers significant expansion potential, with capacity to increase self-storage space by over 20,000 square meters at current locations alone. Finland continues to lag peer countries in self-storage capacity, with Nordic countries averaging 50% higher capacity per capita, Britain more than double, and the United States approximately 15 times higher.

2026 Guidance and Strategic Outlook

For fiscal year 2026, Cityvarasto projects revenue of 29.9-31.2 million euro, representing 10-15% growth compared to 2025. Adjusted EBIT is estimated at 12.7-13.9 million euro, with growth of 5-15% year-over-year.

The company expects more moderate growth in ancillary services compared to 2025's exceptional performance, particularly in van rental operations. Growth investments in the self-storage business are expected to temporarily impact relative profitability during 2026, while the recent acquisition of Yakimotos moving business may slightly affect ancillary services profitability.

Dividend Growth Continues

The Board of Directors proposed a dividend of 0.11 euro per share for fiscal year 2025, totaling just under 900,000 euro. This represents the 11th consecutive year of growing dividend payments, aligning with the company's dividend policy of prioritizing growth investments while maintaining moderate dividend growth.

Medium-Term Financial Targets

Cityvarasto maintains ambitious medium-term financial targets through 2029, including average annual revenue growth of at least 12%, EBIT margin exceeding 50%, average annual investments of at least 10 million euro, and maintaining LTV below 35%. The company's 2025 performance showed progress toward these goals, with 21.1% revenue growth, 44.6% EBIT margin, 9.5 million euro in investments, and 20.3% LTV ratio.

With 26 consecutive years of revenue growth and a strengthened balance sheet following the successful listing, Cityvarasto appears well-positioned to capitalize on structural growth trends including urbanization, increasing possessions, decreasing apartment sizes, and growing affluence in Finnish markets.


This summary was written by our AI Analyst Tim! If you find something that does not seem right let us know and we will correct him.

Hello, my name is Ville Stenroos and I serve as CEO of Cityvarasto. Welcome to follow our company's fourth quarter virtual earnings presentation. This time Matti and I are not present in quite the traditional format, but rather our digital versions are speaking. We thought that this way we can be in multiple places at the same time, in one place virtually and in another physically. Together we will go through the quarter's key figures and events. We hope you enjoy being with us. The fiscal year 2025 was strong for us. Both revenue and EBITDA growth exceeded our expectations. In the fourth quarter our revenue grew 25.4% an adjusted EBIT 19.5%. For the full fiscal year, revenue grew 21.1% and adjusted EBIT 20.1%, meaning both exceeded our previously issued guidance. For revenue, we indeed issued a positive profit warning in January. In the fourth quarter, Cityvarasto listed on the Helsinki Stock Exchange's First North marketplace, and raised approximately €15 million in gross proceeds in the listing offering. During the fiscal year, we acquired seven properties, opened six new locations, and expanded five existing locations. Approximately 60% of Finns live on average within 15 minutes of the nearest Cityvarasto, which means we are clearly closest to the customer. Our additional services support this offering. Pakuovelle is Finland's largest and best-known van rental service, and we have over 500 rental vans in over 50 locations. Opiskelijamuutot completed over 2,400 moves in southern Finland last year. The acquisition of Ja-Ki strengthens our expertise in larger renovation project moves and adds more larger trucks to our fleet. During the fiscal year we acquired properties in Helsinki, Yritysmaa, Rihtimäki, Lohja, Porvoo and in the fourth quarter also in Kokkola. New locations were opened in Helsinki, Espoo, Kerava, Hyvinkää, Tampere and Uusikaupunki and we expanded our locations in Roihupelto, Malmi, Konala, Vantaa and Kotka. Self-storage floor space grew by approximately 6,000 square meters or about 10% compared to a year ago. Our property portfolio also has significant additional potential. We can increase our self-storage capacity by over 20,000 square meters in our existing locations alone. Self-storage meets the growing space needs of cities by offering customers flexible, cost-effective and secure additional space when needed, without permanent commitments. This is reflected in customer satisfaction. Approximately 90% of our customers are satisfied or very satisfied with our service. Industry growth is supported by strong structural trends: urbanization, increase in amount of possessions, decrease in apartment sizes, increase in number of households, aging population and growing affluence. Finnish major cities are also growing even faster than their European peers. Finland still has significantly fewer self-storage facilities than our peer countries. In other Nordic countries, capacity is on average about 50% higher. In Britain, over double the amount, and in the United States, even about 15 times the amount per capita. Cityvarasto's business model is also environmentally sustainable. We recycle industrial and commercial buildings by converting them into modern self-storage facilities, while extending the building's life cycle. We utilize solar energy, optimize energy efficiency, and the electricity we use is fossil free. Cityvarasto is an exceptional company because its revenue has grown throughout its entire 26-year existence, every single year. Our goal is to grow by an average of over 12% annually during the review period, extending to 2029. Growth comes from optimizing rental rates and occupancy rates at existing locations, building additional floor space at current properties, acquiring new properties, corporate acquisitions, and growing additional services that support self-storage. Next, our CFO Matti Lehnonen will go through the company's financial review. Thank you, Ville. Next we will go through Cityvarasto's most important financial figures for 2025 and the fourth quarter. Key figures for 2025, if we start from the left with the income statement figures. Revenue for 2025 was 27.1 million euro, which was growth of 21.1% compared to the previous year. An adjusted EBIT 12.1 million euro with growth of 20.1% compared to the previous year. The third highlight from the income statement is operational earnings per share, €0.85 per share, with growth of approximately 23% compared to the previous year. From the balance sheet, the fair value of owned investment properties was approximately €209 million, with growth of just under 8% compared to the end of the previous year. Net asset value per share €23.35, growth of 3% and return on equity for 2025 7.5%. Additionally, the net debt position at year-end was approximately €33 million, excluding IFRS 16 lease liabilities. And naturally, there was a significant decrease during the fourth quarter due to the listing completed in the fourth quarter and the share issue conducted in connection with it. Considering this and an LTV of approximately 20%, we entered 2026 with a very strong balance sheet to implement our growth strategy. In terms of revenue, fourth quarter revenue grew over 25% compared to the comparison period and was approximately 7.2 million. And indeed for the full year 2025, growth was 21.1% compared to 2024. By segment, the Property business grew 15% on a quarterly basis and just under 13% for the full fiscal year. And above all, strong growth last year came from our ancillary services, particularly van rental operations, where quarterly growth was even over 50% in the fourth quarter and approximately 47% for the full year. Regarding adjusted EBIT, we view adjusted EBIT as the most important operational metric for our business. Adjusted EBIT grew just under 20% in the fourth quarter and slightly over 20% for the full fiscal year. By segment, adjusted EBIT in the Property business grew approximately 7% in the fourth quarter, and Ancillary services significantly more, so the quarter was very good, with growth driven specifically by van rental operations at almost 90% compared to the fourth quarter of 2024. The relative profitability of the property business was somewhat burdened during the quarter by elevated administrative costs during and after the listing, as well as a single more significant credit loss related to a commercial tenant. Regarding adjusted operational earnings per share, this is the metric we report from which changes in the fair value of investment properties have been adjusted out. So this figure better reflects Cash flow based earnings per share. Growth was approximately 23 in both the fourth quarter and the full fiscal year. Very stable. Regarding the quarters, perhaps it's worth noting the seasonality related to our different business operations. Summer periods are more profitable for our businesses than winter periods. In terms of investments, fourth quarter investments were very stable compared to previous quarters' investments, just over 2 million euro, most of which was allocated to the property business, annual investments and some historical annual data. Last year we invested approximately €9.5 million, which is very much in line with previous years' investment levels as well as the investment level according to our medium-term financial targets. Perhaps as a note compared to 2024, in 2024 we made significant investments in van rental business and in 2025 these investments were considerably more moderate. Investments in the property business were at a stable level at approximately €8 million for the fiscal year. A few words about our financial position. We completed a share issue of approximately €50 million during the fourth quarter, which is clearly visible in the quarterly development of net debt and equity ratio. At year-end, the equity ratio was almost 65% and net debt excluding lease liabilities approximately €33 million. During the fourth quarter, we used the share issue proceeds from the listing to to some extent to repay higher interest loans, and on the other hand for safe short-term liquidity investments, from which we intend to use the money in coming years for investments in accordance with our growth strategy. Eltäv, that is step level relative to the value of owned properties, was approximately 20% at year-end. Development of occupancy rates in the property business by quarter. Blue bars are occupancy rates for the self-storage business and red bars are occupancy rates for the commercial space business. Occupancy rates developed positively both throughout 2025 and during the fourth quarter. Particularly considering that in the self-storage business we opened a significant amount of new rentable space during 2025. We succeeded in renting out over 7,000 square meters net and for this reason the occupancy rate for the entire portfolio increased by approximately 4 percentage points during the year despite new openings. Regarding the development of rents per square meter and rentable floor space: Rents per square meter in the self-storage business were stable, with some decline seen during the past year. The main reason for this was that during the year we focused specifically on new sales in the self-storage business. I.e. Sales of rentable square meters. This was somewhat reflected in prices per square meter. On the commercial space side, rental levels and rentable floor space were stable. Next, our guidance for 2026 and the Board's profit distribution proposal. Our guidance for 2026 is as follows: Revenue is estimated to be €29.9-31.2 million. With growth of 10-15% compared to fiscal year 2025. Adjusted EBIT is estimated to be 12.7-13.9 million, with growth of 5-15% compared to fiscal year 2025. Background to the guidance For the property business, revenue growth is estimated to be stable. For ancillary services, revenue growth is estimated to be more moderate compared to the previous year's growth. The background to this is specifically the situation with van rental operations, i.e. we do not expect a similar growth percentage as in 2025. We also did not make similar investments as in 2024 that would support similar growth. Growth investments already made and planned in the self-storage business support future profitable growth, but they are estimated to have a temporary decreasing effect on the relative profitability of the property business during the 2026 fiscal year. Additionally, the acquisition of Yakimotos moving business completed at the beginning of the year is expected to have a slight negative impact on the relative profitability of ancillary services. The guidance is based on the assumption that no significant changes occur in the operating environment during the fiscal year. Regarding the profit distribution proposal, Cityvarasto's Board will propose to the Annual General Meeting that a dividend of €0.11 per share be distributed for fiscal year 2025, totalling just under €900,000. And this would mark the 11th consecutive year that Cityvarasto pays a growing dividend to its owners. The profit distribution proposal is in accordance with the company's dividend policy, where we have stated that the primary use of business cash flows is investments and ensuring growth in accordance with our growth strategy during the coming fiscal year, while at the same time we aim to pay a moderate growing dividend. Finally, as a reminder, our medium-term financial targets for the period ending at the end of fiscal year 2029. Revenue growth on average at least 12% annually from 2025, 21.1% growth was achieved. In terms of profitability, EBIT margin exceeds 50% during the review period. In fiscal year 2025, the EBIT percentage was 44.6%. Regarding investments, average investments would be at least 10 million euro annually. Last year, investments were 9.5 million. And finally that the loan to value ratio, i.e. LTV, remains below 35% during the review period. The year-end situation was 20.3%. So we enter 2026 with a very strong balance sheet. You can submit questions through the interactive report on our investor page until February 24th at 3 pm. We will answer the questions during the same day. Please note that the name of the person asking the question will be mentioned in connection with published answers. To submit questions, registration is required. Instructions can be found on our website. Thank you.

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