The first quarter at the ERBUD Group was characterised by an increase in the profitability of services for industry, stable results in the building construction business and higher sales in almost every area. The Management Board expects acceleration in the coming months.
In the first quarter of 2025, the ERBUD Group generated sales of PLN 733.1 million, compared to PLN 644.3 million a year earlier (+13.8% y/y). At the same time, the company had a gross sales margin of PLN 36.9 million, compared to PLN 42.7 million in the same period of 2024. (-13.6% y/y). The Group's EBITDA amounted to PLN 3.3 million, compared to PLN 24.9 million in the first quarter of 2024. The net result for the reporting period was PLN -15.6 million, compared to PLN 9.7 million in the corresponding quarter of the previous year.
The highest sales in the first quarter of this year were achieved by the building segment, which generated PLN 394.4 million in revenue, i.e. 15.3% more than in the same period of 2024. The industrial services segment also performed well, increasing its revenue by approximately 30% year-on-year to PLN 148 million (including approximately PLN 100 million abroad). At the same time, the industrial segment had the largest share in the EBIT generated by the ERBUD Group in Q1 2025. It amounted to PLN 3.8 million, compared to a loss of approximately PLN 1.7 million in the same period last year.
- The industrial services segment is one of the four pillars of our strategy – and the strongest one in this quarter. We are seeing very high sales growth and maintaining attractive margins. We also see great potential for development – this market is highly fragmented; installations are often serviced by internal teams in a cost-inefficient manner. We can offer a comprehensive service in many locations in Poland and abroad, which builds our competitive advantage. We hope that this area of our business will maintain double-digit growth in the coming years, - says Dariusz Grzeszczak, President of ERBUD.
The beginning of 2025 was more challenging for the renewable energy and infrastructure segment represented by the subsidiary ONDE. A 10% year-on-year decline in revenue, which amounted to PLN 152.1 million, and the lack of sales of development projects in this period resulted in the company generating an operating loss of PLN 3.9 million in Q1 2025, compared to a profit of PLN 22.1 million in Q1 2024.
‘It should be remembered that in construction, the beginning of the year is usually marked by seasonality,’ explains Jacek Leczkowski, Vice-President of ERBUD. "We expect that the current year will ultimately be at least satisfactory – we are currently negotiating a number of larger construction contracts, as well as the sale of renewable energy projects with a total potential of approximately 300 MW. We also hope that the amendment to the distance law and other proposed legislative changes will finally come into force, which will be a real game changer in the coming years," adds Jacek Leczkowski, Vice-President of ERBUD.
MOD21, a start-up specialising in prefabricated timber construction, a new and innovative area of activity for the Group, almost doubled its revenue in Q1 2025 compared to the same period last year, to nearly PLN 38 million. The company is continuing to develop its expertise and build a specialised team so that next year's growing sales will translate into operating profitability. The first quarter ended with an EBIT of PLN -11.9 million.
"We are still at the investment stage – no longer so much in fixed assets, but in expertise and operational efficiency. Having learned from our experience to date, we want to move forward step by step, improving and optimising production, as well as increasing supervision over the construction of these projects,’ – says Dariusz Grzeszczak, President of ERBUD. “Wooden modules have a number of applications and allow for great flexibility in terms of changing the purpose of buildings. This opens the way for us to enter, among others, the defence market, where the needs are enormous, amounting to hundreds of billions of PLN, and largely related to building infrastructure. We are talking about both the Polish and German markets," explains Dariusz Grzeszczak.
At the end of March 2025, the Group's external order portfolio was worth approximately PLN 3 billion. In addition, there is almost PLN 1 billion in ONDE Group's own renewable energy projects.
"ONDE is currently focusing on expanding its portfolio of development projects through acquisitions, hybridisation – including energy storage – and, at the same time, developing its expertise in other technologies, mainly photovoltaics. If it finalises the sale of the projects it has already developed, which are currently under negotiation, it will most likely also start the construction of several farms from its own investment portfolio," adds Jacek Leczkowski.
In 2025, the ERBUD Group signed contracts totalling over PLN 1 million.