Neobo Fastigheter (NEOBO) investor relations material

Executive summary

• Jan–Sep rental income was SEK 704m, up 3% like-for-like; profit from property management was SEK 156m. Q3 profit from property management rose to SEK 69m from SEK 59m.

• Portfolio value was SEK 13.6bn across 254 properties and 8,100 apartments; residential assets represented 94% of value.

• Focused leasing reduced residential vacancy to 4.4%, a record low, and total vacancy to 6.1%.

Financial highlights

• Jan–Sep rental income was SEK 704m versus SEK 702m; like-for-like growth was 3.0%.

• Jan–Sep NOI was SEK 386m versus SEK 395m, while Q3 NOI rose to SEK 141m from SEK 135m.

• Jan–Sep profit from property management was SEK 156m versus SEK 161m; Q3 increased to SEK 69m from SEK 59m, supported by higher NOI and lower central administration costs.

• Jan–Sep profit from property management per share was SEK 1.13, up 2%; Q3 per-share profit increased 22% YoY.

• Jan–Sep net profit was SEK 48m versus SEK 61m; property value changes were -SEK 131m, including -SEK 129m unrealized changes.

Outlook and guidance

• Earnings capacity as of October 1 showed rental income of SEK 964m, NOI of SEK 546m, profit from property management of SEK 226m and SEK 1.63 per share; it is a point-in-time illustration, not a forecast.

• The Board intended to launch a new buyback program of up to SEK 100m after completing the current SEK 50m program; SEK 7–8m remained on the current program.

• Long-term target is return on equity above 10%; management cited prospects for positive NOI growth amid uncertain market conditions.