GAP Vassilopoulos Public Ltd reported an 81.1 per cent increase in profit attributable to shareholders for the first half of 2025, despite only modest growth in revenue, according to its interim management report approved on Monday.

The company reported that profit attributable to shareholders rose to €1.49 million in the six months to June 30, 2025, from €821,746 in the corresponding period of 2024.

In addition, the company’s revenue increased by 1.61 per cent year-on-year to €35.89 million, from €35.32 million.

Earnings before interest, taxation, depreciation and amortisation (EBITDA) rose by 20.5 per cent to €2.99 million, compared with €2.48 million in the first half of 2024.

The group’s results after depreciation of fixed assets and leases, which are not cash outflows, increased to €2.32 million from €1.80 million.

Gross profit also edged higher to €11.13 million from €11.10 million, while the gross profit margin remained unchanged at 31 per cent.

The results were approved by the company’s board at a meeting on September 14, 2026, and had not been audited by the company’s external auditors.

GAP Vassilopoulos and its subsidiaries provide a broad range of services, including tourism, hotel services, logistics and transport, including money transfers, as well as insurance services.

The group said its main activities had not changed during the period compared with the year ended December 31, 2024.

The company said that management’s main objectives include steady growth and strengthening of its overseas operations, while maintaining and reinforcing its leading position in its main areas of activity.

Particular emphasis is being placed on the logistics sector in the Cyprus market, the report added.

However, the group warned that the economic impact of the current global crisis and its effects on overall business activity could not yet be reasonably assessed because of the pace at which conflicts were expanding and the high level of uncertainty surrounding geopolitical developments.

It said rising energy prices, fluctuations in exchange rates, concerns in financial markets, supply chain disruptions and increasing inflationary pressures could affect its operations.

The consequences would depend on the scale and duration of the crisis and remained uncertain, according to the group.

Management said it would continue to monitor developments closely and assess whether additional corrective measures were required if the period of disruption were prolonged.

The group also identified a number of risks and uncertainties that could affect its operations.

Economic developments in Cyprus, England, Israel, Germany, the Netherlands, Luxembourg and Belgium were identified as having a direct impact on the group’s activities.

The board said it regularly assessed trends in these economies and acted accordingly to minimise any potential negative effects on the group’s operations.

The group also operates by providing services on behalf of foreign organisations in Cyprus, creating a potential risk from the loss of a representation agreement.

However, management said it did not consider such a loss to be a significant threat because its customer base was primarily connected to the group itself rather than the organisation it represented.

A lost representation could therefore be replaced relatively quickly with another representation in the same sector, it said.

Competition was another key risk, with the group’s activities affected by the competitive environment across the sectors in which it operates.

Its strategy for dealing with competitors is based on providing customers with a broad range of high-standard services through a so-called “one-stop shop” model, the report explained.

The group said its exposure to credit risk relating to amounts owed by customers was limited because of its large and diversified customer base across different sectors of the economy.

It nevertheless remained exposed to foreign exchange risk arising from fluctuations between foreign currencies and the euro, which is the functional and presentation currency of its consolidated financial statements.

Finally, the group also said that it faces interest rate risk relating to cash flows arising from its long-term borrowing, as well as liquidity risk.