This article first appeared on GuruFocus .
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Full Year Revenue:Approximately EUR1.8 billion.
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Adjusted Operating Profit:Increased to EUR54 million, representing 3.1% of total revenue.
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Full Year Operating Profit:Improved to EUR45 million, approximately EUR100 million more than in 2024.
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Net Debt Reduction:EUR120 million reduction year-on-year, net debt at EUR560 million.
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Q4 Revenue Growth:Driven by Residential CEE and infrastructure segments.
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Q4 Adjusted Operating Profit:Increased from EUR13 million to EUR25 million, with a margin of 4.5%.
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Return on Capital Employed:3.9% at the end of Q4, up from 2.1% year-on-year.
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Operating Cash Flow After Investment:EUR111 million for Q4, EUR65 million for the full year 2025.
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Gearing:Decreased to 71%, close to the strategic target of 30%-70%.
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Residential CEE Sales:Sold 873 homes in Q4, with 286 sold directly to consumers.
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Infrastructure Segment Revenue:Increased by over 30% in 2025, exceeding EUR500 million.
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Building Construction Capital Release:EUR51 million from Tripla Mall in Q4.
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Guidance for 2026:Adjusted operating profit expected between EUR70 million and EUR100 million.
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Release Date: February 06, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
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YIT Oyj ( STU:YIT ) improved its adjusted operating profit margin and return on capital employed in 2025.
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The company reduced its net debt by EUR120 million, strengthening its financial position.
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Residential CEE segment saw a 30% increase in apartment sales, with a record level of new project starts.
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Infrastructure segment revenue increased by over 30%, driven by successful tendering and higher industrial construction volumes.
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YIT Oyj ( STU:YIT ) achieved a significant capital release, including EUR51 million from the Tripla Mall, improving capital efficiency.
Negative Points
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Revenue for YIT Oyj ( STU:YIT ) decreased in 2025, despite improvements in operating profit.
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The Residential Finland segment faced limited market activity and higher-than-preferred inventory levels in the capital region.
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Building construction revenue declined year-over-year, indicating challenges in this segment.
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The company anticipates a low amount of completions in Residential Finland for 2026, limiting profit generation.
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YIT Oyj ( STU:YIT ) needs to pursue additional operational efficiencies to align with market conditions, particularly in Residential Finland and building construction segments.
Q & A Highlights
Q: What measures are being taken to reduce the number of unsold apartments in Finland? A: Heikki Vuorenmaa, CEO, explained that YIT has been applying various campaigns over the past couple of years to significantly reduce inventory levels, especially outside the capital area. However, in the capital region, inventory levels remain elevated, and project-specific actions are needed to boost sales.
Q: What assumptions are behind the EBIT guidance for 2026, and where will the expected increase come from? A: Heikki Vuorenmaa noted that the increase in EBIT is expected from a 50% rise in completions in the Residential CEE business compared to 2025, along with improved operative performance in both contracting segments. However, market conditions in Residential Finland are not expected to improve in 2026.
Q: What is the timing for the EUR50 million cost savings, and will it impact 2026? A: Heikki Vuorenmaa stated that change negotiations have been initiated, and further details and specific outcomes will be communicated in future quarterly results as progress is made towards the target.
Q: How should we think about financing expenses in 2026? A: Markus Pietikaeinen, Interim CFO, mentioned that financing costs will largely depend on the progress of the capital release program, particularly the disposal of EUR340 million in non-strategic assets by 2029. The timing of these disposals will significantly impact financing costs.
Q: What are the strategic changes planned for the Digital Infrastructure business unit? A: Heikki Vuorenmaa highlighted that YIT intends to reorganize its energy and industrial construction operations into a new Digital Infrastructure business unit. This shift aims to enhance focus on core capabilities and provide greater flexibility to scale the business in response to market demand.
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
