28 Financial Assets
Financial Assets
Dec. 31, 2024 | Dec. 31, 2025 | ||||||||
in € million | non-current | current | non-current | current | |||||
Derivatives | 781.6 | 6.5 | 734.0 | 12.9 | |||||
Loans to associates and joint ventures | – | 522.0 | – | 92.8 | |||||
Other investments | 267.2 | – | 273.0 | – | |||||
Other non-current loans | 5.8 | – | 5.1 | – | |||||
Loans to other investments | 49.7 | – | 49.3 | – | |||||
Receivables from finance leases | 66.0 | 11.1 | 61.6 | 10.0 | |||||
Non-consolidated subsidiaries | 4.4 | – | – | – | |||||
Securities | 6.4 | 327.2 | 5.6 | 317.3 | |||||
1,181.1 | 866.8 | 1,128.6 | 433.0 | ||||||
Accounting Policies
Financial assets are recognized in the balance sheet when Vonovia becomes a contracting party of the financial instrument. A financial asset is derecognized when the contractual rights to the cash flows from a financial asset expire, or the financial asset is transferred and Vonovia neither retains control nor retains material risks and rewards associated with ownership of the financial asset.
In accordance with IFRS 9, the classification of financial assets takes into account both the business model in which financial assets are held and the characteristics of the cash flows of the assets in question. These criteria determine whether the assets are measured at amortized cost using the effective interest method or at fair value.
With regard to the business model criterion, all financial investments at Vonovia are to be assigned to the “hold to collect” model pursuant to IFRS 9.4.1.2(a). Whenever financial investments are categorized as equity instruments, Vonovia has exercised the irrevocable option to state future changes to the fair value in other comprehensive income in equity. Gains and losses recognized in other comprehensive income are never reclassified from total equity to the income statement on their disposal.
The carrying amount of financial assets corresponds to maximum risk of loss as of the reporting date.
Due to the subsequent measurement of the call options that Vonovia received as part of the sale of two minority stakes in the Südewo portfolio in Baden-Württemberg and in the northern Germany portfolio, the balance sheet value fell by € 60.0 million to € 671.0 million as of December 31, 2025 (December 31, 2024: € 731.0 million). The adjustment as of December 31, 2025 was determined primarily by the dividends already paid and the change in the WACC. In a sensitivity analysis, the WACC was changed by +0.5%/-0.5% for the call options, which would result in a change in equity affecting net income of € -76.0 million/€ +86.0 million (December 31, 2024: € -89.0 million/€ +108.0 million).
In addition, positive market values from cash flow hedges in the amount of € 63.0 million (December 31, 2024: € 50.6 million) were reported under non-current derivatives.
The loans to associates and joint ventures relate primarily to loan receivables from the QUARTERBACK Immobilien-Group with a nominal value of € 108.6 million at the end of the year (December 31, 2024: € 836.1 million) that are recognized in the amount of € 18.7 million (December 31, 2024: € 476.8 million) after taking account of the expected credit loss. These loans are classified as current in full. The loans were granted in line with standard market conditions.
In the reporting year, Vonovia concluded purchase agreements with QUARTERBACK Immobilien AG both for the acquisition of land to build on and for the selective acquisition of property management units. Loan receivables were offset as a component of the purchase price when the transactions closed in the 2025 fiscal year. The drop in loan receivables as of December 31, 2025 is therefore due, first of all, to the offsetting of loan receivables as part of the acquisition of land to build on and property management units from the QUARTERBACK Immobilien Group in the amount of € 417.2 million (2024: € - million). Second, impaired receivables with a nominal volume of € 258.3 million (2024: € - million) were sold for one euro to the QUARTERBACK Immobilien Group. In addition, impaired receivables with a nominal volume of € 52.0 million (2024: € - million) were transferred to the capital reserves of QUARTERBACK Immobilien AG.
The value of the receivables outstanding after the transactions were closed had to be reassessed. This resulted in a corresponding impairment loss of € 48.5 million (2024: € 319.9 million) being recognized in the 2025 fiscal year. In total, the impairment of the outstanding loan principal as of December 31, 2025 amounts to € 89.9 million (December 31, 2024: € 340.0 million).
As part of a review of the recoverability of the loan to QUARTERBACK New Energy Holding GmbH with a nominal value of € 90.0 million at the end of the year (December 31, 2024: € 90 million), no further need for impairment was identified (2024: € 45.0 million).
In addition, loans to associates and joint ventures include loan receivables totalling € 27.8 million (December 31, 2024: € - million), for which no impairments were identified in the 2025 fiscal year (2024: € - million).
Other investments include the most significant individual investment, namely the shares in the Vesteda Residential Fund FGR, Amsterdam, in the amount of € 206.5 million (December 31, 2024: € 190.2 million). The increase is due to a change in the fair value of the shares that was reported without affecting net income in accordance with the option provided for in IFRS 9.
The loans to other investments not yet due largely relate to a loan to the property fund DB Immobilienfonds 11 Spree-Schlange von Quistorp KG. Impairment losses of € 23.2 million (2024: € 10.3 million) were recognized on those non-current loans.
Receivables from finance leases amounted to € 71.6 million as of the balance sheet date (December 31, 2024: € 77.1 million) and result from the leasing of broadband cable networks (coax networks).
The year-on-year drop in receivables from finance leases (€ -5.5 million) is primarily due to received cable network charges.
With effect from January 1 as well as April 1, 2025, Vonovia leased further coax broadband networks under long-term agreements, recognizing receivables from finance leases and revenue of € 5.0 million. The resulting proceeds amounted to € 2.4 million in the reporting year.
The finance income resulting from the interest capitalization of the receivables from finance leases amounted to € 3.0 million in the reporting year (2024: € 1.2 million). Moreover, revenue amounting to € 11.8 million (2024: € 5.9 million) was recognized as part of a variable revenue-sharing arrangement in the 2025 fiscal year.
The maturity profile of the receivables is as follows:
Debt Maturity Profile of Receivables from Finance Leases
in € million | Dec. 31, 2024 | Dec. 31, 2025 | |||
Nominal value of outstanding lease payments | 89.1 | 84.4 | |||
thereof due within one year | 13.4 | 12.6 | |||
thereof due between 1 and 2 years | 9.9 | 9.9 | |||
thereof due between 2 and 3 years | 9.2 | 9.6 | |||
thereof due between 3 and 4 years | 8.9 | 9.6 | |||
thereof due between 4 and 5 years | 8.8 | 9.6 | |||
thereof due after more than 5 years | 38.9 | 33.1 | |||
plus unguaranteed residual values | – | – | |||
less unrealized financial income | -12.0 | -12.8 | |||
Present value of outstanding lease payments | 77.1 | 71.6 | |||
€ 321.0 million (December 31, 2024: € 334.0 million) of the securities are restricted with regard to their use. These largely relate to government bonds (€ 315.8 million).