RMH posts heavy FY2025 loss as Atterbury impairment eclipses gains from monetisation strategy

Key topics:R3.56bn returned to shareholders since 2020; headline loss improves 86% despite large accounting charges.Atterbury delivers strong operational results, low vacancies and healthier balance sheet.NAV falls 28% after R272m impairment; arbitration and Integer 3 losses add further uncertainty.Sign up for your early morning brew of the BizNews Insider to keep you up to speed with the content that matters. The newsletter will land in your inbox at 5:30am weekdays. Register here.Support South Africa’s bastion of independent journalism, offering balanced insights on investments, business, and the political economy, by joining BizNews Premium. Register here.If you prefer WhatsApp for updates, sign up to the BizNews channel here. .BizNews Reporter.RMB Holdings (RMH) has reported a sharply widened loss for the year ended 30 September 2025, as a substantial non-cash impairment on its investment in Atterbury overshadowed continued progress in winding down the group’s property portfolio and returning capital to shareholders.The listed holding company — which shifted to a three-to-five-year monetisation strategy in 2020 — is in the final stages of unwinding its property-related investments. While that strategy has delivered strong long-term returns for shareholders, RMH’s latest results reveal the financial volatility that accompanies major disposals and asset revaluations.Shareholder payouts exceed original market capSince initiating its monetisation plan, RMH has returned R3.56bn in special dividends — more than the company’s R2.4bn market capitalisation when the strategy was announced in June 2020. Shareholders have realised total returns of 72% over the period.In the reporting year, RMH paid out a further R427m via three special dividends (January, June and September 2024). Management says Atterbury Property Fund’s recent purchase of a 28.35% stake in RMH marks a “significant step” in concluding the monetisation programme.Underlying performance improves despite accounting lossAlthough RMH posted a steep Total Comprehensive Loss of R245m for FY2025 — more than double the prior year’s R119m loss — its Headline Loss improved by 86%, from R140m to R19m. The improvement reflects the exclusion of the major impairment charge related to Atterbury.Liquidity strengthened, rising to R154m from R106m, consisting of unrestricted cash and listed unit trusts. The board says RMH remains comfortably a going concern..Atterbury delivers operational strengthRMH’s portfolio remains heavily concentrated, with 92% of its property exposure tied to Atterbury, the group’s largest asset. The developer’s underlying NAV increased 2%, and RMH’s share of profits from associates and joint ventures swung to a R73m profit, from a R77m loss the prior year.Atterbury completed R938m in disposals during the year at prices roughly 4% above carrying value, while reducing its Loan-to-Value ratio from 61.6% to 57.4%. Commercial vacancies remain exceptionally low at 4.1%, compared with the market’s 13.3% (SAPOA Q2 2025). Excluding planned strategic vacancies at Newtown Junction, total vacancies fall to just 1.5%.Cost base cut as leadership roles consolidatedRMH streamlined its organisational structure by combining the CEO and Financial Director roles. The move will reduce annual operating expenses from R21m to R16m, improving cash retention during the final monetisation phase.NAV slump as R272m Atterbury impairment bitesThe standout negative in the results is RMH’s 28% decline in NAV, sliding from R919m to R662m. This was primarily caused by a R272m non-cash impairment of its Atterbury holding, triggered by an unsolicited offer for the asset at a valuation below RMH’s proportionate NAV.RMH applied a 34.6% valuation discount to account for minority status and lack of marketability — a calculation that materially reduced the recoverable value of the investment.The group also entered an arbitration process with Atterbury on 8 October 2025 regarding shareholder approval requirements tied to intercompany loan agreements. Management says the outcome cannot yet be reliably estimated.Integer 3 remains a dragRMH’s smaller property exposure, Integer 3, continued to underperform. The expected credit loss on its shareholder loan rose by R34m to R75m, driven by weak pricing for the Millennium Big Tree Estate development, where cost overruns and delays pushed selling prices below project costs. The remaining recoverable loan balance stands at R22m, and the interest-bearing shareholder loan (prime +10%) is not being serviced.A holding company in its final, turbulent stretchRMH continues to deliver on its commitment to return capital and simplify its structure, but FY2025 results highlight the challenges of realising maximum value from complex property assets in a difficult economic environment. With monetisation now nearing completion, investors face a final stretch marked by valuation adjustments and legal uncertainty, even as cash returns remain strong..Read the results in full by downloading the PDF below

RMH posts heavy FY2025 loss as Atterbury impairment eclipses gains from monetisation strategy

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