RNS Number : 1564J
First Property Group PLC
27 November 2025
 

Date:

27 November 2025

On behalf of:

First Property Group plc ("First Property" or the "Group" or the "Company")

Embargoed:

0700hrs

 

First Property Group plc

 

Interim results for the six months to 30 September 2025                                                                              

 

First Property Group plc (AIM: FPO), the award-winning property fund manager and investor with operations in the United Kingdom and Central Europe, today announces its interim results for the six months ended 30 September 2025.

 

Highlights:

·      Profit before tax: £1.48 million (30 September 2024: £1.16 million);

·      Cash at 30 September 2025: £3.29 million (31 March 2025: £4.82 million);

·      Group cash as at 31 October 2025 increased to circa £7 million following the sale of two directly held Group Properties which generated circa £4 million of cash;

·      Net debt at 30 September 2025: £10.09 million (31 March 2025: £19.55 million);

·      Net assets at market value at 30 September 2025: £56.47 million (31 March 2025: £52.99 million) representing an adjusted NAV per Share at 30 September 2025 of 38.07p (31 March 2025: 35.72p);

·      Total AUM at 30 September 2025: £193 million (31 March 2025: £220 million);

·      Weighted average unexpired fund management contract term at 30 September 2025: 4 years, 5 months (31 March 2025: 3 years, 4 months).

 

Financial summary:

 


Unaudited

six months to

30 Sep 2025

Unaudited

six months to

30 Sep 2024

Percentage change

Audited

year to

31 Mar 2025

Income Statement:





Statutory profit before tax 

£1.48m

£1.16m

+27.6%

£3.03m

Diluted earnings per share*

0.79p

0.91p

-13.2%

1.64p

Total dividend per share

-

-

-

-

Average €/ £ rate

1.1643

1.1833

-

1.1911

 

 




 

Unaudited

as at

30 Sep 2025

Audited

as at

31 Mar 2025

Percentage change

Unaudited

as at

30 Sep 2024

Balance Sheet at period end:

 




Investment properties at book value

£37.78m

£46.76m

-19.2%

£44.90m

Investment properties at market value

£47.01m

£56.04m

-16.1%

£50.52m


 




Trading property at book value

£0.57m

-

+100%

-

Trading property at market value

£1.48m

-

+100%

-


 




Associates and investments at book value

£22.39m

£21.73m

+3.0%

£20.66m

Associates and investments at market value

£24.20m

£22.60m

+7.1%

£20.90m


 




 

Cash balances

£3.29m

£4.82m

-31.7%

£5.89m

Cash per share

2.23p

3.26p

-31.7%

3.98p

Gross debt

£13.38m

£24.37m

-45.1%

£24.54m

Net debt

£10.09m

£19.55m

-48.4%

£18.65m


 




Gearing ratio at book value**

22.15%

35.08%

-

36.39%

Gearing ratio at market value***

19.16%

31.50%

-

33.98%


 




Net assets at book value

£47.03m

£45.09m

+4.3%

£42.88m

Net assets at market value

£56.47m

£52.99m

+6.6%

£47.66m

Adjusted net assets per share (EPRA basis)

38.07p

35.72p

+6.6%

31.79p


 




Period end €/ £ rate

1.1450

1.1949

-

1.2019

 

 




 

* The weighted average number of Ordinary Shares in issue includes 36,960,777 new Ordinary Shares issued following completion of the open offer on 23 September 2024.

** Gearing ratio = Gross debt divided by Gross assets.

*** Gearing ratio at market value = Gross debt divided by gross debt plus net assets with properties at market value.

 
















Commenting on the results, Ben Habib, Chief Executive of First Property, said:

 

"I am pleased by these results which reflect continued improvement in the Group's underlying assets and operations. The economic and market turmoil set in train by lockdowns, changing working habits, damaging government policies, increases in interest rates and a marked withdrawal of capital from the sector has made it very challenging for investors in commercial property. We have however, navigated these difficult times relatively well.

 

"The markets and economy continue to be challenging.

 

Notwithstanding this, I anticipate we will successfully go on protecting asset values as best as possible and adding value whenever the opportunity to do so arises."

 

Investor presentation:

 

A briefing for analysts and investors will be held at 11.00hrs today via Investor Meet Company. To participate it is necessary to register at https://www.investormeetcompany.com/first-property-group-plc/register-investor and select to meet the Company. Those who have already registered and selected to meet the Company will be automatically invited. A copy of the accompanying investor presentation and a recording of the call will be posted on the Group's website.

 

For further information please contact:

 

First Property Group plc  

Tel: +44 (20) 7340 0270

Ben Habib (Chief Executive Officer)

Laura Howarth (Group Finance Director)

Jeremy Barkes (Director, Business Development)

www.fprop.com

[email protected]

Jill Aubrey (Compliance Director and Company Secretary)

 

 

Allenby Capital (NOMAD & Broker)

Tel: + 44 (0) 20 3328 5656

Nick Naylor / Piers Shimwell (Corporate Finance)

Amrit Nahal / Tony Quirke (Sales and Corporate Broking)


 

Notes to Investors and Editors:

 

First Property Group plc is an award-winning property fund manager and investor with operations in the United Kingdom and Central Europe. Its focus is on higher yielding commercial property with sustainable cash flows. The Company is flexible and takes an active approach to asset management. Its earnings are derived from:

 

·      Group Properties - principal investments by the Group, to earn a return on its own capital, usually in partnership with third parties. Investments include five directly held properties in Poland, and non-controlling interests in nine of the eleven funds managed by FPAM.

 

·      Fund Management - via its FCA regulated and AIFMD approved subsidiary, First Property Asset Management Ltd ("FPAM"), which earns fees from investing for third parties in property. FPAM currently manages eleven funds which are invested across the United Kingdom, Poland and Romania.

 

Quoted on AIM, First Property has offices in London and Warsaw. Further information about the Group and its properties can be found at: www.fprop.com.

 

 


 

CHIEF EXECUTIVE'S STATEMENT

 

Financial performance:

 

I am pleased to report interim results for the six months ended 30 September 2025.

 

Revenue earned by the Group during the period was £3.65 million (30 September 2024: £3.94 million), yielding a profit before tax of £1.48 million (30 September 2024: £1.16 million). The increase in profit was mainly a result of higher rent and service charge income from Blue Tower, Warsaw and a reduction in operating expenses to £2.04 million (30 September 2024: £2.39 million).  

 

Diluted earnings per share amounted to 0.79 pence (30 September 2024: 0.91 pence). Despite the increase in profit after tax, diluted earnings per share reduced due to an increase in the average weighted number of shares in issue during the period.

 

The Group ended the period with net assets calculated under the cost basis of accounting of £47.03 million (31 March 2025: £45.09 million), equating to 31.81 pence per share (31 March 2025: 30.50 pence per share). When adjusted to their market value less any deferred tax liabilities (EPRA basis), net assets at 30 September 2025 totalled £56.47 million, or 38.07 pence per share (31 March 2025: £52.99 million, or 35.72 pence per share). The market values of the Group's properties are independently assessed once a year, as at 31 March.

 

Gross debt reduced to £13.38 million by the period end (31 March 2025: £24.37 million), due to the impact of placing Fprop Gdynia Sp. Zoo into administration on 30 April 2025 and the resulting deconsolidation of this entity from the accounts of the Group. Of the debt remaining, £3.98 million is non-interest bearing. All remaining debt is secured against five commercial properties in Poland.

 

Net debt at 30 September 2025 reduced to £10.09 million (31 March 2025: £19.55 million).

 

The Group's gearing ratio at 30 September 2025 was 19.16% (31 March 2025: 31.50%) when measured against the Group's assets at market values.

 

The Group's cash balance at 30 September 2025 stood at £3.29 million (31 March 2025: £4.82 million), equivalent to 2.23 pence per share (31 March 2025: 3.26 pence per share). The reduction in cash from the financial year end was due to the payment of £1.02 million of deferred consideration in respect of Blue Tower, Warsaw, the purchase of a commercial property in the United Kingdom for £0.57 million, and the repayment of £0.45 million of bank loans.

 

Shortly after the period end, two Group properties were sold, one being the commercial property purchased in the UK during the period and the other being the Felix office block in Bucharest, Romania. The combined sales consideration for these two properties amounted to £4.1 million which, after sales costs, increased the Group's cash balance by £4.0 million. The gain on sales before tax amounted to circa £1.2 million.

 

Dividend:

 

The Directors have resolved not to pay an interim dividend (30 September 2024: £nil).

 



 

REVIEW OF OPERATIONS

 

 

GROUP PROPERTIES DIVISION

 

At 30 September 2025 the Group Properties division comprised:

 

1.     Seven directly owned commercial properties of which six were classified as investment properties (five in Poland and one in Romania) and one property in the United Kingdom which was classified as a trading property. These had a combined market value of £48.49 million (31 March 2025: £56.04 million) and equity invested in them of £35.11 million (31 March 2025: £31.67 million); and

 

2.     Interests in nine of the eleven funds managed by First Property Asset Management ("FPAM") (classified as Associates and Investments) valued at £24.20 million (31 March 2025: £22.60 million).

 

The division contributed a profit of £1.83 million before tax and unallocated central overheads (30 September 2024: £1.44 million). The increase was mainly attributable to higher rent and service charge income earned on a new lease in Blue Tower, Warsaw.

 

1.     Directly owned properties (all accounted for under the cost model):

 

The book value of the Group's seven directly owned properties was £38.35 million. Their market value at 30 September 2025 was £48.49 million.

 

Country

Sector

Property/ fund name

No. of properties as at 30 Sep

 2025

Book value as at 30 Sep 2025

Market value as at 30 Sep 2025

*Contribution to Group profit before tax -

 period to
30 Sep 2025

*Contribution to Group profit before tax -

period to
30 Sep 2024

 

 

 

 

£m.

£m.

£m.

£m.

Poland

Offices

Blue Tower

1

25.12

31.79

0.87

0.48

Poland

Offices

Gdynia**

-

-

(0.10)

Poland

Supermarkets

Praga

1

0.05

0.04

Romania

Office

Dr Felix

1

0.12

0.14

Poland                    Office/Retail

5PT

3

0.26

0.22

United Kingdom      Office

Newbury***

1

0.57

1.48

-

-

Total

 

7

38.35

48.49

1.30

0.78

 

*Prior to the deduction of unallocated central overhead expenses.

**On 30 April 2025, the Group's wholly owned subsidiary, Fprop Gdynia Sp. Zoo ("GDY"), owner of an office building in Gdynia, Poland, was put into administration, the impact of which has been to deconsolidate the entity from the Group. See further information on note 5 to the accounts.

***Included within trading property on the balance sheet.

 

Of the Group's seven directly owned properties held at 30 September 2025, Blue Tower accounted for 66% (£31.79 million) of the total market value. It is an office building in Warsaw in which the Group's 80.3% shareholding totals 18,000 square metres. The equity invested in it at market value was £22.61 million, equating to 64% of the £35.11 million of equity at market value invested in all seven Group properties.

 

Total debt at 30 September 2025 amounted to £13.38 million (31 March 2025: £24.37 million), of which £9.40 million was interest bearing. It was secured against five of the Group's seven directly owned properties. 

 

Deferred consideration of PLN 19.40 million (£3.98 million) remains to be paid in respect of the purchase in 2022 of an additional 32% or 7,171 square metres in Blue Tower. Payment is due in instalments until August 2028. Around half of the original liability has been paid. The next instalment of £1.00 million is due in August 2026.

 

Interest costs on the Group's debt during the six months ended 30 September 2025 amounted to £0.25 million (30 September 2024: £0.40 million). This equates to an average borrowing cost of 3.7% per annum when expressed as a percentage of the Group's debt of £13.38 million, or 5.3% per annum on the debt which is interest bearing.

 

 

 


 

 

All four bank loans are held in separate non-recourse special purpose vehicles and are not guaranteed by the Group.

 

Directly owned Properties

30 Sep 2025

31 Mar 2025

Book value

£38.35m

£46.76m

Market value

£48.49m

£56.04m

Gross debt (all non-recourse to the Group)

£13.38m

£24.37m

LTV at book value %

34.89%

52.12%

LTV at market value %

27.59%

43.49%

Average borrowing cost (including non-interest-bearing loans)

3.7%

2.8%

 

The vacancy rate across all six investment properties is 9.25%.

 

The Weighted Average Unexpired Lease Term ("WAULT") of the six investment properties as at 30 September 2025 was 4 years, 4 months (31 March 2025: 4 years, 10 months).

 

2.     Associates and Investments ("A&I's")

 

These comprised non-controlling interests in nine of the eleven funds managed by FPAM, of which five are accounted for as Associates and held at the lower of cost or fair value (the "cost model") and four are accounted for as Investments in funds and held at fair value.

 

Their contribution to Group profit before tax and unallocated central overheads was £0.88 million (30 September 2024: £1.34 million).

 

The main contributor to the profit of this segment was £0.65 million, earned from the Group's 45.71% shareholding in Fprop Opportunities plc ("FOP") (30 September 2024: £0.03 million). This apparent increase in earnings was mainly due to the non-repeat of a fair value impairment of £0.46 million in the prior year's earnings.

 

At the period-end the A&Is were valued at £22.39 million (31 March 2025: £21.73 million), as set out in the table below: 

Fund

Country of investment

% owned by

First Property

Group

Book value of First Property's share in

fund

Current market value of holdings

Group's

 share

of post-tax profits earned by fund

30 Sep 2025

Group's

 share

of post-tax profits earned by fund

30 Sep 2024


 

%

£'000

£'000

£'000

£'000

a) Associates







FOP

Poland

45.71

14,132

14,835

648

26

FGC

Poland

29.09

3,279

4,202

160

103

FKR

Poland

18.07

965

1,034

3

(9)

FPL

UK

23.78

1,713

1,713

(43)

941

FCL

Romania

21.17

649

759

(26)

13

Sub Total

 

 

20,738

22,543

742

1,074








b) Investments







UK PPP

UK

0.94

-

-

13

40

FULCRUM

UK

0.99

144

144

117

-

SPEC OPPS

UK

11.07

1,171

1,171

-

221

OFFICES

UK

1.64

338

338

6

-

Sub Total



1,653

1,653

136

261

Total

 

 

22,391

24,196

878

1,335

 

 


 

PROPERTY FUND MANAGEMENT ("First Property Asset Management Ltd" or "FPAM")

 

Third party assets under management at the period end decreased by 12% to £144.8 million (31 March 2025: £164.0 million). The decrease was largely attributable to the loss of control of one property valued at £27.5 million and the sale of another property for £2.55 million in the United Kingdom, offset by the purchase of one property in the United Kingdom for £7.06 million and foreign currency revaluation gains of £4.84 million.

 

71% of third-party assets under management were in Poland, 23% in the UK and 6% in Romania.

 

Revenue earned by this division during the six months ended 30 September 2025 decreased to £0.80 million (30 September 2024: £1.17 million), resulting in profit before unallocated central overheads and tax of £0.08 million (30 September 2024: £0.41 million).

 

At the period end fund management fee income, excluding performance fees, was being earned at an annualised rate of £1.30 million (31 March 2025: £1.20 million). The Group expects the revenue from the Fulcrum contract to grow over time.

 

FPAM's weighted average unexpired fund management contract term at the period end was 4 years, 5 months (31 March 2025: 3 years, 4 months).

 

The reconciliation of movement in third party funds under management during the period is shown below:

 


Funds managed for third parties (including funds in which the Group is a minority shareholder)


UK

£m.

CEE

£m.

Total

£m.

No. of prop's

As at 1 Apr 2025

56.77

107.14

163.91

18

Property purchases

7.06

-

7.06

1

Property sales

(2.55)

-

(2.55)

(1)

Capital expenditure

-

0.12

0.12

-

Property revaluation

(0.85)

0.04

(0.81)

-

Loss of control

(27.5)

-

(27.5)

(1)

FX revaluation

-

4.84

4.84

-

As at 30 Sep 2025

32.93

111.84

144.77

17

 

An overview of the value and maturity of each of the funds managed by FPAM is set out below:

 

Fund

Country of investment

Fund expiry

Assets under management at market value at

   30 Sep 2025

No of properties

% of total third-party assets under management

Assets under management at market value at

31 Mar 2025

 

 

£m.

 

%

£m.

OFFICES

UK

  Jun 2024

-

-

-

27.5

SIPS

UK

Jan 2026

3.5

1

2.4

3.5

UK PPP

UK

Jan 2027

-

-

-

2.6

SPEC OPPS

UK

Jan 2027

8.9

3

6.1

9.5

FKR

Poland

Mar 2027

16.2

1

11.2

15.5

FGC

Poland

Dec 2027

24.9

1

17.2

23.9

FCL

Romania

Jun 2028

8.4

1

5.8

8.0

FPL

UK

Jun 2028

-

-

-

-

FOP

Poland

Oct 2030

62.4

5

43.1

59.8

FULCRUM

UK

Indefinite

20.5

5

14.2

13.7

Total Third Party AUM

144.8

17

100.0

164.0

 



 

The sub sector weightings of investments in FPAM funds is set out in the table below:

 


UK

Poland

Romania

Total

% of Total


£m.

£m.

£m.

£m.

 

Offices

22.2

37.7

8.4

68.3

47.2

Retail warehousing

10.8

-

-

10.8

7.4

Shopping centres

-

12.4

-

12.4

8.6

Supermarkets

-

53.3

-

53.3

36.8

Total

33.0

103.4

8.4

144.8

100.0

% of Total

22.8

71.4

5.8

100.0

 

 

 

Commercial Property Market Outlook

 

Poland:

 

Polish GDP grew by 3.4% year-on-year (YoY) in Q2 and 3.7% in Q3. This acceleration marked the strongest economic expansion since Q3 2022, driven primarily by robust household consumption and a recovery in public investment.

 

The National Bank of Poland's policy interest rate was cut in November 2025 to 4.25%, bringing to 1.5% the total reduction in interest rates in the year to date.

 

Occupational demand for commercial property and investment demand remains weak but is not deteriorating. There are signs of improvement. Some €2.6 billion of commercial property was transacted during the first three quarters of 2025, a similar level to the same period in 2024.

 

United Kingdom:

 

The value of transactions in commercial investment property remains below the five-year average but is forecast to be higher in 2025 than they were in 2024. Values for prime and secondary assets continue to diverge. If interest rates decline further, agents expect transaction volume and values to climb in response.

 

 

 

Current Trading and Prospects

 

I am pleased by these results which reflect continued improvement in the Group's underlying assets and operations. The economic and market turmoil set in train by lockdowns, changing working habits, damaging government policies, increases in interest rates and a marked withdrawal of capital from the sector has made it very challenging for investors in commercial property. We have however, navigated these difficult times relatively well.

 

The markets and economy continue to be challenging. Our government seems intent on damaging as much as possible the private sector and wealth creation in the UK.

 

Notwithstanding this, I anticipate we will successfully go on protecting asset values as best as possible and adding value whenever the opportunity to do so arises.

 

Ben Habib

Chief Executive

 

 




 

CONSOLIDATED INCOME STATEMENT

for the six months to 30 September 2025

 

 

 


Notes

Six months to 30 Sep 2025

(unaudited)

Six months to

30 Sep 2024

(unaudited)

Year to

31 Mar 2025

(audited)



£'000

£'000

£'000



 



Revenue

2

3,645

3,935

7,552

Cost of sales


(1,020)

(1,446)

(2,728)

Gross profit

 

2,625

2,489

4,824



 



Operating expenses


(2,036)

(2,392)

(4,317)

Operating profit


589

97

507

Share of results in associates

11a

742

1,536

2,827

Share of associates' revaluation loss

11a

-

(462)

(38)

Profit from the loss of control of subsidiaries

5

149

-

-

Investment income


136

261

422

Interest income

3

112

124

245

Interest expense

3

(248)

(400)

(695)

Loss from impairment of investment properties


-

-

(242)

Profit before tax


1,480

1,156

3,026

Tax charge

4

(201)

(55)

(684)

Profit for the period


1,279

1,101

2,342



 



Attributable to:


 



Owners of the parent


1,165

1,033

2,139

Non-controlling interests


114

68

203



1,279

1,101

2,342






Earnings per share





Basic

7

0.79p

0.92p

1.65p

Diluted

7

0.79p

0.91p

1.64p

 

 

All operations are continuing.

 

 

 

 



 

CONSOLIDATED STATEMENT OF

COMPREHENSIVE INCOME

 

for the six months to 30 September 2025

 

 


Notes

Six months to 30 Sep 2025

Six months to

30 Sep 2024

Year to

31 Mar 2025



(unaudited)

(unaudited)

(audited)



£'000

£'000

£'000



 



Profit for the period


1,279

1,101

2,342



 



Other comprehensive income


 



Items that may subsequently be reclassified to profit or loss:


 



Exchange differences on retranslation of foreign subsidiaries


568

(145)

985

Net profit/ (loss) on financial assets at fair value through Other Comprehensive Income

11b

147

(144)

(258)

Taxation


-

-

-

Total comprehensive income for the period


1,994

812

3,069



 



Total comprehensive income for the period attributable to:


 



Owners of the parent


1,883

805

2,759

Non-controlling interests


111

7

310



1,994

812

3,069

 

 

All operations are continuing.

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

 

As at 30 September 2025

 


Notes

As at

30 Sep 2025 (unaudited)

 

As at

31 Mar 2025 (audited)

As at

30 Sep 2024

 (unaudited)

 



£'000

£'000

£'000



 



Non-current assets


 



Investment properties

9

37,775

46,759

44,902

Right of use Asset


-

-

-

Property, plant and equipment


8

15

26

Investment in associates

11a

20,738

20,064

18,349

Other financial assets at fair value through OCI

11b

1,653

1,670

2,308

Goodwill


153

153

153

Deferred tax assets


367

1,117

1,000

Total non-current assets

 

60,694

69,778

66,738



 



Current assets


 



Trading property

10

574

-

-

Current tax assets


15

170

46

Right of use assets


-

-

-

Trade and other receivables 

12

3,871

3,939

3,513

Cash and cash equivalents


3,292

4,824

5,889

Total current assets


7,752

8,933

9,448



 



Current liabilities


 



Trade and other payables

13

(2,044)

(2,743)

(3,343)

Provisions


(365)

(332)

(300)

Lease liabilities


-

-

-

Financial liabilities

14

(859)

(5,143)

(5,247)

Other financial liabilities

15

(1,024)

(11,042)

(10,956)

Current tax liabilities


(40)

(22)

(31)

Total current liabilities 


(4,332)

(19,282)

(19,877)

Net current assets


3,420

(10,349)

(10,429)

Total assets less current liabilities


64,114

59,429

56,309






Non-current liabilities





Financial liabilities

14

(8,536)

(4,307)

(4,562)

Other financial liabilities

15

(2,959)

(3,875)

(3,770)

Lease liabilities


-

-

-

Deferred tax liabilities


(3,271)

(3,930)

(3,152)

Net assets


49,348

47,317

44,825



 



Equity


 



Called up share capital

6

1,536

1,536

1,536

Share premium


8,222

8,222

8,222

Share-based payment reserve


1,163

1,105

960

Foreign exchange translation reserve


149

(422)

(1,491)

Purchase of own shares reserve


(2,440)

(2,440)

(2,440)

Investment revaluation reserve


(2,049)

(2,451)

(2,337)

Retained earnings


40,450

39,540

38,434

Equity attributable to the owners of the parent


47,031

45,090

42,884

Non-controlling interests


2,317

2,227

1,941

Total equity


49,348

47,317

44,825



 



Net assets per share

7

31.81p

30.50p

29.01p

 

 

 



 

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

 

for the six months to 30 September 2025

 

 

Share

Capital

Share Premium

 

Share- Based

Payment Reserve

Foreign Exchange Translation Reserve

Purchase of Own Shares

Investment

Revaluation

Reserve

 

Retained Earnings



Non-Controlling Interests

 

Total

 

£'000

£'000

£'000

£'000

£'000

£'000

£'000

£'000

£'000

At 1 Apr 2024

1,166

5,635

815

(1,407)

(2,440)

(2,193)

37,401

1,954

40,931

Profit for the period

-

-

-

-

-

-

1,101

-

1,101

Net gain/ (loss) on financial assets at fair value through other comprehensive income

-

-

-

-

-

(144)

-

-

(144)

Exchange differences arising on translations of foreign subs

-

-

-

(84)

-

-

-

(61)

(145)

Change in the proportion held in non-controlling interests

-

-

-

-

-

-

-

-

-

Movement on foreign exchange

-

-

-

-

-

-

-

-

-

Total Comprehensive Income

-

-

-

(84)

-

(144)

1,101

(61)

812

Share issue

370

2,587

-

-

-

-

-

-

2,957

Share options charge

-

-

145

-

-

-

-

-

145

Non-controlling interests

-

-

-

-

-

-

(68)

68

-

Dividends paid

-

-

-

-

-

-

-

(20)

(20)

At 30 Sep 2024

1,536

8,222

960

(1,491)

(2,440)

(2,337)

38,434

1,941

44,825

Profit for the period

-

-

-

-

-

-

1,241

-

1,241

Net (loss) on financial assets at fair value through other comprehensive income

-

-

-

-

-

(114)

-

-

(114)

Exchange differences arising on translations of foreign subs

-

-

-

1,069

-

-

-

168

1,237

Total Comprehensive Income

-

-

-

1,069

-

(114)

1,241

168

2,364

Share options charge

-

-

145

-

-

-

-

-

145

Non-controlling interests

-

-

-

-

-

-

(135)

135

-

Dividends paid

-

-

-

-

-

-

-

(17)

(17)

At 1 Apr 2025

1,536

8,222

1,105

(422)

(2,440)

(2,451)

39,540

2,227

47,317

Profit for the period

-

-

-

-

-

-

1,279

-

1,279

Net gain on financial assets at fair value through other comprehensive income

-

-

-

-

-

147

-

-

147

Exchange differences arising on translations of foreign subs

-

-

-

571

-

-

-

(3)

568

Change in the proportion held in non-controlling interests

-

-

-

-

-

-

-

-

-

Recycled to retained earnings

-

-

-

-

-

255

(255)

-

-

Total Comprehensive Income

-

-

-

571

-

402

1,024

(3)

2,015

Share options charge

-

-

58

-

-

-

-

-

58

Non-controlling interests

-

-

-

-

-

-

(114)

114

-

Dividends paid

-

-

-

-

-

-

-

(21)

(21)

At 30 Sep 2025

1,536

8,222

1,163

149

(2,440)

(2,049)

40,450

2,317

49,348



 

CONSOLIDATED CASH FLOW STATEMENT

 

for the six months to 30 September 2025

 


Notes

Six months to

 30 Sep 2025 (unaudited)

Six months to 30 Sep 2024 (unaudited)

Year to

31 Mar 2025

 (audited)

 



£'000

£'000

£'000

 

Cash flows from/ (used in) operating activities


 



 

Operating profit


589

97

507

 

Adjustments for:


 



 

Depreciation of property, plant & equipment


5

13

24

 

Depreciation of investment property

9

230

202

417

 

Share options charge


58

145

290

 

Decrease in trade and other receivables


101

745

217

 

(Decrease) in trade and other payables


(716)

(268)

(506)

 

Other non-cash adjustments


59

(108)

101

 

Cash generated from operations


326

826

1,050

 

Income taxes paid


62

(29)

(194)

 

Net cash flow from operating activities


388

797

856

 



 



 

Cash flow from/ (used in) investing activities

 

 



 

Capital expenditure on investment properties

9

(399)

(191)

(1,423)

 

Purchase of property, plant and equipment


(1)

(15)

(15)

 

Purchase of trading property

10

(574)

-

-

 

Proceeds from investments in funds

11b

164

171

695

 

Proceeds from Investment in shares of associates

11a

92

-

-

 

Investments in associates

11a

(24)

-

-

 

Interest received

3

112

124

245

 

Investment income


136

261

422

 

Net cash flow (used in)/ from investing activities


(494)

350

(76)

 



 



 

Cash flow from/ (used in) financing activities

 

 



 

Gross proceeds from open offer


-

2,957

2,957

 

Repayment of bank loans


(455)

(418)

(831)

 

Repayment of deferred consideration


(1,020)

(1,970)

(1,970)

 

Interest paid

3

(248)

(400)

(695)

 

Dividends paid


-

-

-

 

Dividends paid to non-controlling interests


(21)

(20)

(37)

 

Net cash flow (used in)/ from financing activities


(1,744)

149

(576)

 



 



 

Net (decrease)/ increase in cash and cash equivalents


(1,850)

1,296

204

Cash and cash equivalents at the beginning of period


4,824

4,628

4,628

Currency translation gains/ (losses) on cash and cash equivalents


318

(35)

(8)

Cash and cash equivalents at the end of the period


3,292

5,889

4,824



NOTES TO THE ACCOUNTS

 

for the six months ended 30 September 2025

 

 

1.     Basis of Preparation

 

·     These interim consolidated financial statements for the six months ended 30 September 2025 have not been audited or reviewed and do not constitute statutory accounts within the meaning of section 435 of the Companies Act 2006. They have been prepared in accordance with the Group's accounting policies as set out in the Group's latest annual financial statements for the year ended 31 March 2025 and are in compliance with IAS 34 "Interim Financial Reporting". These accounting policies are drawn up in accordance with UK-adopted International Accounting Standards.

 

·     The comparative figures for the financial year ended 31 March 2025 are not the full statutory accounts for the financial year but are abridged from those accounts which were prepared under IFRS and which have been reported on by the Group's auditors and delivered to the Registrar of Companies. The report of the auditors was unqualified, did not include references to any matter to which the auditors drew attention by way of emphasis without qualifying their report and did not contain a statement under section 498 (2) or (3) of the Companies Act 2006.

 

·     These interim financial statements were approved by the Audit Committee on 26 November 2025.

 

 

 


 

 

 

 

NOTES TO THE ACCOUNTS

 

for the six months ended 30 September 2025

 

2.     Segmental Analysis 

 

Segment reporting for the six months to 30 September 2025

 

 

Fund Management Division

Group Properties Division

 

 


Property

fund management

Group properties

Associates and investments

Unallocated central overheads

TOTAL


£'000

£'000

£'000

£'000

£'000

Rental income

-

2,007

-

-

2,007

Service charge income

-

841

-

-

841

Asset management fees

797

 

-

-

-

797

Total revenue

797

2,848

-

-

3,645






 

Depreciation and amortisation 

(3)

(2)

-

-

(5)






 

Operating profit

80

1,035

-

(526)

589






 

Share of results in associates

-

-

742

-

742

Profit on deconsolidation of Gdynia

-

149

-

-

149

Investment income

-

-

136

-

136

Interest income

-

20

-

92

112

Interest expense

-

(248)

-

-

(248)

Profit/ (loss) before tax

80

956

878

(434)

1,480






 

Analysed as:





 

Underlying profit/ (loss) before tax before adjusting for the following items:

80

808

618

(434)

1,072

Interest on loans to associates

-

-

-

58

58

Share option charge

-

-

-

(58)

(58)

Profit on deconsolidation of Gdynia following loss of control

-

149

-

-

149

UK fund distributions following property sales

-

-

260

-

260

Realised foreign currency (losses)/ gains

-

(1)

-

-

(1)

Profit/ (loss) before tax

80

956

878

(434)

1,480

 

 

Revenue for the six months to 30 September 2025 from continuing operations consists of revenue arising in the United Kingdom 5% (30 September 2024: 15%) and Central and Eastern Europe 95% (30 September 2024: 85%) and all relates solely to the Group's principal activities.

 

Direct costs incurred by the Company relating to the cost of the Board and the related share listing costs are shown separately under unallocated central costs.

 

 

 

 

 

 

NOTES TO THE ACCOUNTS

 

for the six months ended 30 September 2025

 

 

Segment reporting for the six months to 30 September 2024

 

 

Fund Management Division

Group Properties Division

 

 


Property

fund management

Group properties

Associates and investments

Unallocated central overheads

TOTAL


£'000

£'000

£'000

£'000

£'000

Rental income

-

2,014

-

-

2,014

Service charge income

-

747

-

-

747

Asset management fees

1,174

-

-

-

1,174

Total revenue

1,174

2,761

-

-

3,935






 

Depreciation and amortisation 

(8)

(5)

-

-

(13)






 

Operating profit

409

378

-

(690)

97






 

Share of results in associates

-

-

1,536

-

1,536

Fair value adjustment to associate

-

-

(462)

-

(462)

Investment income

-

-

261

-

261

Interest income

-

124

-

-

124

Interest expense

-

(400)

-

-

(400)

Profit/ (loss) before tax

409

102

1,335

(690)

1,156






 

Analysed as:





 

Underlying profit/ (loss) before tax before adjusting for the following items:

108

83

595

(399)

387

Interest on loan to associates

-

-

-

69

69

Share option charge

-

-

-

(145)

(145)

Open offer costs

-

-

-

(184)

(184)

Payment in lieu of management fees

300

-

-

-

300

UK fund distributions following property sales

-

-

261

-

261

Uplift in the Group's value of an associate following property trading

-

-

941

-

941

Fair value adjustment to associate

-

-

(462)

-

(462)

Realised foreign currency (losses)/ gains

1

19

-

(31)

(11)

Profit/ (loss) before tax

409

102

1,335

(690)

1,156

 

 



 

NOTES TO THE ACCOUNTS

 

for the six months ended 30 September 2025

 

 

 

Segment reporting for the year to 31 March 2025

 

Fund Management Division

Group Properties Division


 


Property

fund management

Group properties

Associates and investments

Unallocated central overheads

TOTAL


£'000

£'000

£'000

£'000

£'000

Rental income

-

3,578

-

-

3,578

Service charge income

-

1,712

-

-

1,712

Asset management fees

2,262

-

-

-

2,262

Performance related fee income

-

-

-

-

-

Total revenue

2,262

5,290

-

-

7,552






 

Depreciation and amortisation 

(15)

(9)

-

-

(24)

 





 

Operating profit

1,040

853

-

(1,386)

507

Share of results in associates

-

-

2,827

-

2,827

Fair value adjustment on associates

-

-

(38)

-

(38)

Property impairment

-

(242)

-

-

(242)

Investment income

-

-

422

-

422

Interest income

-

38

-

207

245

Interest expense

-

(695)

-

-

(695)

1,040

(46)

3,211

(1,179)

3,026






 

Analysed as:





 

Underlying profit/ (loss) before tax before adjusting for the following items:

633

213

1,094

(941)

999

Interest received on loan to associate

-

-

-

207

207

Open offer costs

-

-

-

(142)

(142)

Fair value adjustment on associates

-

-

(38)

-

(38)

Property impairment

-

(242)

-

-

(242)

One-off income generated from an associate

91

-

1,733

-

1,824

One-off distribution income from UK investments

-

-

422

-

422

Payment in lieu of management fees

300

-

-

-

300

Share option charge

-

-

-

(290)

(290)

Realised foreign currency (losses)/ gains

16

(17)

-

(13)

(14)

1,040

(46)

3,211

(1,179)

3,026






 

Assets - Group

993

50,590

1,670

5,394

58,647

Share of net assets of associates

-

-

20,064

-

20,064

Liabilities

(49)

(31,345)

-

-

(31,394)

Net assets

944

19,245

21,734

5,394

47,317

 

 

Additions to non-current assets

 

 

 

 

 

 

Property, plant and equipment

-

15

-

-

15

Investment properties

-

1,423

-

-

1,423













 

NOTES TO THE ACCOUNTS

 

for the six months ended 30 September 2025

 

 

3.     Interest Income/ (Expense)

 

 

Six months

ended

30 Sep 2025

Six months

ended

30 Sep 2024

Year

ended

31 Mar 2025


£'000

£'000

£'000

Interest income - bank deposits

49

46

104

Interest income - other

63

78

141

Total interest income

112

124

245

 

 

Six months

 ended

30 Sep 2025

Six months

ended

30 Sep 2024

Year

ended

31 Mar 2025


£'000

£'000

£'000

Interest expense - property loans

(246)

(334)

(617)

Interest expense - bank and other

(2)

(66)

(78)

Total interest expense

(248)

(400)

(695)

 

 

4.     Tax Expense

 

The tax charge is based on a combination of actual current and deferred tax charged at an effective rate that is expected to apply to the profits for the full year.

 

 

Six months

 ended

30 Sep 2025

Six months

ended

30 Sep 2024

Year

ended

31 Mar 2025


£'000

£'000

£'000

Current tax

(133)

(90)

(127)

Deferred tax

(68)

35

(557)

Total

(201)

(55)

(684)

 

 

5.     Loss of control

 

On 30 April 2025 the decision was taken to place Fprop Gdynia Sp. Zoo ("GDY") into administration following the Company's failure to agree restructuring terms with its principal creditor, as announced by RNS. As a result of this action it was deemed the Group had lost control of this entity and its assets and liabilities were deconsolidated from the accounts of the Group.

 

On 31 July 2025, the Group sold GDY Property (1) Ltd (formerly Fprop Gdynia Podolska Limited) and GDY Property (2) Ltd (formerly Fprop Gdynia Limited), the 100% shareholders of GDY, for a consideration of £1 respectively.

 

As a result of the loss of control of these entities, the Group recognised a one-off gain on disposal of £0.15 million.

 



Net liabilities/(assets) disposed:

£'000

Investment property

(10,042)

Debtors

(919)

Trade creditors

53

Deferred consideration

10,042

Other creditors

1,015

Gain on disposal of subsidiaries

149

 

 



 

NOTES TO THE ACCOUNTS

 

for the six months ended 30 September 2025

 

6.     Called-Up Share Capital

 

 

 

Six months

ended

30 Sep 2025

Six months

ended

30 Sep 2024

Year

 ended

31 Mar 2025

 

£'000

£'000

£'000

Authorised

 



240,000,000 (2024: 240,000,000) Ordinary Shares of 1 pence each

2,400

2,400

2,400

 

 



Issued and fully paid

 



153,561,892 (2024: 153,561,892) Ordinary Shares of 1 pence each of issued share capital, of which 5,718,783 Ordinary Shares (2024: 5,718,783) are held in treasury

1,536

1,536

1,536

 

 

 

Ordinary

Shares

Number

Treasury

Shares

Number  

Share

Options

Number

1 April 2025

147,843,109

5,718,783

12,560,000

Purchase of shares into treasury

-

-

-

Exercise of share options

-

-

-

Issue of new shares

-

-

-

Issue of share options

-

-

-

Lapse of share options

-

-

-

30 September 2025

147,843,109

5,718,783

12,560,000

                                                                                                               

 

7.     Earnings/ NAV Per Share

 

 

Six months

ended

30 Sep 2025

Six months

ended

30 Sep 2024

Year

 ended

31 Mar 2025

Basic earnings per share

0.79p

0.92p

1.65p

Diluted earnings per share

0.79p

0.91p

1.64p

 

The basic earnings per ordinary share is calculated on the profit on ordinary activities after taxation and after excluding non-controlling interests on the weighted average number of ordinary shares in issue, during the period.

 

Figures in the table below have been used in the calculations.

 

 

 

£'000

£'000

£'000

Basic earnings per share

1,165

1,033

2,139

Notional interest on share options assumed to be exercised

3

8

3

Diluted earnings assuming full dilution

1,168

1,041

2,142

 

 

 

Number

Number

Number

Weighted average number of Ordinary Shares in issue

(used for basic earnings per share calculation)

147,843,109

112,296,132

130,020,926

Number of Share options

500,000

2,110,000

500,000

Total number of Ordinary Shares used in the diluted earnings per Share calculation

148,343,109

114,406,132

130,520,926

 

For the purpose of calculating diluted earnings/(loss) per share, the number of Ordinary Shares is the weighted average number of Ordinary Shares, plus the weighted average number of Ordinary Shares that would be issued on the conversion of all the dilutive potential Ordinary Shares into Ordinary Shares. Options have a dilutive effect only when the average market price of the Ordinary Shares during the period exceeds the exercise price of the options and thus they are 'in the money'.

 

The weighted average number of Ordinary Shares in issue includes 36,960,777 new Ordinary Shares issued following completion of the Open Offer on 23 September 2024.

 

NOTES TO THE ACCOUNTS

 

for the six months ended 30 September 2025

 

 

 

Six months

ended

30 Sep 2025

Six months

ended

30 Sep 2024

 

Year

 ended

31 Mar 2025

Net assets per share

31.81p

29.01p

30.50p

Adjusted net assets per share

38.07p

31.79p

35.72p

 

 

The following numbers have been used to calculate both the net assets and adjusted net assets per share:

 

 

 

Six months

ended

30 Sep 2025

Six months

ended

30 Sep 2024

Year

 ended

31 Mar 2025


£'000

£'000

£'000

For adjusted net assets per share

 



Net assets excluding non-controlling interests

47,031

42,884

45,090

Uplift of investment properties at fair value net of deferred taxes

7,603

4,213

6,966

Uplift of investments in associates and other financial investments to fair value

1,777

243

872

Other items

58

323

58

Total

56,469

47,663

52,986

 

 

8.     Share Based Payments

 

The Company has a share-based payment arrangement scheme in place which will be fully vested by 31 March 2026 as described below:

 

Date of grant

31 March 2023

Number granted

10,450,000

Contractual life

10 years to 31 March 2033

Vesting conditions

The options vest as follows:

 

·      33.3% on the first anniversary of grant;

·      33.3% on the second anniversary of grant; and

·      the remainder on the third anniversary of grant.

 

 

The estimated fair value of each share option granted has been calculated using the Black-Scholes pricing model. The model inputs were the share price at grant date and the exercise price based on the mid-market closing price on 30 March 2023 of 23.5 pence per Ordinary Share, expected volatility of 30%, a dividend yield of 1%, a contractual life of 10 years and a risk-free interest rate of 4.25%.

 

 

Six months

ended

30 Sep 2025

Six months

ended

30 Sep 2024

Year ended

31 March 2025


£'000

£'000

£'000

Expenses arising from share based payments

58

145

290

 

 

9.     Investment Properties

 

 

Six months

ended

30 Sep 2025

Year

 ended

31 Mar 2025

Six months

 ended

30 Sep 2024


£'000

£'000

£'000

1 April

46,759

45,756

45,756

Property impairment

-

(242)

-

Loss of control

(10,042)

-

-

Purchases

-

-

-

Capital expenditure

399

1,423

191

Disposals

-

-

-

Depreciation

(230)

(417)

(202)

Foreign exchange translation

889

239

(843)

Total at end of period

37,775

46,759

44,902

 

Investment properties owned by the Group are stated at cost less depreciation and accumulated impairment losses.

 

NOTES TO THE ACCOUNTS

 

for the six months ended 30 September 2025

 

10.   Trading Property

 

 

 

Six months

ended

30 Sep 2025

Year

 ended

31 Mar 2025

Six months

 ended

30 Sep 2024


£'000

£'000

£'000

1 April

-

-

-

Purchases

574

-

-

Capital expenditure

-

-

-

Disposals

-

-

-

Total at end of period

574

-

-

 

 

11.   Investments in associates and other financial assets and investments

 


Six months ended

30 Sep 2025

Year

ended

31 Mar 2025

Six months

ended

30 Sep 2024

 

£'000

£'000

£'000

a) Associates

 



Cost of investment at beginning of period

20,064

17,275

17,275

Additions

24

-

-

Disposals

-

-

-

Repayment of shareholder loan

(92)

-

-

Share of associates profit after tax  

742

2,827

1,536

Share of associates revaluation gains

-

(38)

(462)

Dividends received

-

-

-

Cost of investment at end of period

20,738

20,064

18,349

 

The Group's investments in associated companies are accounted for under the "cost model" under IAS40 whereby the

Group's share is held at cost plus its share of subsequent accumulated profits less dividends received. It comprises the following:

 

 

Six months ended

30 Sep 2025

Year

ended

31 Mar 2025

Six months

ended

30 Sep 2024

 

£'000

£'000

£'000

Investments in associates

 



Fprop Galeria Corso Ltd

3,279

3,211

3,071

Fprop Krakow Ltd

965

962

1,081

Fprop Cluj Ltd

649

676

691

Fprop Phoenix Ltd

1,713

1,733

941

Fprop Opportunities plc

14,132

13,482

12,565


20,738

20,064

18,349

 

 

 

Six months ended

30 Sep 2025

Year

 ended

31 Mar 2025

Six months

ended

30 Sep 2024

 

£'000

£'000

£'000

b) Other financial investments

 



At 1 April

1,670

2,623

2,623

Additions

-

-

-

Repayments

(164)

(695)

(171)

Increase/ (decrease) in fair value during the period

147

(258)

(144)

Cost of investment at end of period

1,653

1,670

2,308

 

The Group holds four unlisted investments in funds managed by FPAM. Each is designated at fair value through "Other Comprehensive Income" (OCI) as per IFRS 9. The Directors consider their fair value to not be materially different from their carrying value.

 

Fair value has been calculated by applying the Group's percentage holding in the investments to the fair value of their net assets.

 

 

 

NOTES TO THE ACCOUNTS

 

for the six months ended 30 September 2025

 

12.   Trade and Other Receivables

 


Six months ended

30 Sep 2025

Year

 ended

31 Mar 2025

Six months

ended

30 Sep 2024

 

£'000

£'000

£'000

Current assets

 



Trade receivables

1,199

1,312

1,655

Less provision for impairment of receivables

(164)

(109)

(366)

Trade receivables net

1,035

1,203

1,289

Other receivables 

2,036

1,948

1,728

Prepayments and accrued income 

800

788

496

Total at end of period

3,871

3,939

3,513

 

 

13.   Trade and Other Payables

 


Six months ended

30 Sep 2025

Year

 ended

31 Mar 2025

Six months

ended

30 Sep 2024

 

£'000

£'000

£'000

Current liabilities

 



Trade payables 

803

1,839

922

Other taxation and social security  

247

178

191

Other payables and accruals 

962

631

2,119

Deferred income

32

95

111

Total at end of period

2,044

2,743

3,343

 

 

14.   Financial Liabilities

 


Six months ended

 30 Sep 2025

Year

 ended

31 Mar 2025

Six months

ended

30 Sep 2024

 

£'000

£'000

£'000

Current liabilities

 



Bank loans

859

5,143

5,247

Total at end of period

859

5,143

5,247


 



Non-current liabilities

 



Bank loans

8,536

4,307

4,562

Total at end of period

8,536

4,307

4,562

 

 



Total obligations under financial liabilities    

 



Repayable within one year

859

5,143

5,247

Repayable within one and five years

7,634

3,218

2,118

Repayable after five years

902

1,089

2,444

Total at end of period

9,395

9,450

9,809

 

Four bank loans (all denominated in Euros) totalling £9.40 million (31 March 2025: £9.45 million) are secured against five investment properties owned by the Group. These bank loans are otherwise non-recourse to the Group's assets.

 



 

NOTES TO THE ACCOUNTS

 

for the six months ended 30 September 2025

 

The interest rate profile of the Group's financial liabilities at 30 September 2025 and at 31 March 2025 was as follows:

 


Interest bearing

Non-

interest

bearing

Total

 


£'000

£'000

£'000

Financial liabilities

9,395

-

9,395

Other financial liabilities

-

3,983

3,983

At 30 Sep 2025

9,395

3,983

13,378

 

 

 

 

Financial liabilities

9,450

-

9,450

Other financial liabilities

-

14,917

14,917

At 31 Mar 2025

9,450

14,917

24,367

 

A one percentage point increase in interest rates would increase the annual interest rate bill by £0.09 million per annum (31 March 2025: £0.09 million per annum).

 

 

15.   Other Financial Liabilities

 

 


Six months ended

 30 Sep 2025

Year

 ended

31 Mar 2025

Six months

ended

30 Sep 2024

 

£'000

£'000

£'000

Current liabilities

1,024

11,042

10,956

Non-current liabilities

2,959

3,875

3,770

Total at end of period

3,983

14,917

14,726

 

 



Total obligations under financial liabilities    

 



Repayable within one year

1,024

11,042

10,956

Repayable within one and five years

2,959

3,875

3,770

Repayable after five years

-

-

-

Total at end of period

3,983

14,917

14,726

 

 

Other financial liabilities decreased to £3.98 million (31 March 2025: £14.92 million). The reduction was largely due to Fprop Gdynia Sp. Zoo ("GDY") being put into administration following the Company's failure to agree restructuring terms with its principal creditor, as announced by RNS on 30 April 2025. This resulted in the entity being deconsolidated from the accounts of the Group. See note 5 for further information on loss of control.

 

The balance of £3.98 million relates to the Group's additional investment in Blue Tower, Warsaw, which was originally financed by deferred consideration totalling £7.20 million (debt denominated in Polish Zloty, PLN 40.40 million). This liability, which is non-interest bearing, is payable in seven instalments, the first four instalments have been paid. The next instalment is due in August 2026.

 

During the six month period to 30 September 2025 Sterling weakened against the Polish Zloty by 2.4% which increased our liability in respect of Blue Tower by £0.10 million.

 

 

The interim results are being circulated to all shareholders and can be downloaded from the company's website - www.fprop.com. Further copies can be obtained from the registered office at 32 St James's Street, London SW1A 1HD.

 

 

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