Akelius Residential Property (AKEL) Q2 2024 earnings summary

Executive summary

• Residential portfolio fair value was €5,901m at 30 Jun 2024, down 4% year over year, with 19,887 apartments across the US, Canada and Europe; capitalization rate was 4.78%.

• Rental income rose 7.9% to €176m and NOI rose 19.2% to €97m, with like-for-like growth of 7.6% and 18.7%, respectively; NOI margin was 55.4%.

• EBITDA grew 24% to €90m; net loss was €58m, mainly due to negative revaluations and financial items.

• Portfolio focus remained on central metropolitan locations; prime properties represented 60% of the portfolio.

Financial highlights

• Rental income was €176m, versus €163m year over year; NOI was €97m, versus €82m.

• EBITDA was €90m, versus €72m year over year; net loss improved to €58m from €69m.

• Net asset value was €3,349m, down from €4,347m year over year.

• Property investments were €79m, including a €67m Montreal acquisition; three Paris property sales generated €3m, and seven further Paris properties were signed for sale.

Segment performance

• Fair value allocation: US 39%, Canada 37% and Europe 24%.

• Portfolio location quality: prime 60%, mid 32% and entry 8%; luxury and discount categories were each 0%.

• Europe recorded €19m NOI and a 2.0% property return; the US recorded €48m and 4.1%; Canada recorded €30m and 1.6%.

• Montreal acquisition added 193 apartments.