Akelius Residential Property (AKEL) Q3 2024 earnings summary

Executive summary

• Rental income rose 7.4% year-over-year to EUR 265 million, with like-for-like growth of 7.2% driven by higher occupancy and rent levels.

• Net operating income increased 16.7% to EUR 148 million, with a margin of 55.7%.

• Profit for the period was EUR -25 million, mainly due to EUR -122 million in unrealized property revaluations.

• Loan-to-value improved to 35% from 42% at year-end, and the average interest rate fell to 1.12%.

• Equity increased to EUR 3,233 million, supported by a EUR 502 million share issue.

Financial highlights

• EBITDA rose 21.2% year-over-year to EUR 137 million.

• Net asset value stood at EUR 3,256 million.

• Cash flow from operating activities was EUR 85 million; cash and equivalents at period-end were EUR 154 million.

• Property fair value declined 2.1% to EUR 5,674 million, with a capitalization rate increase to 4.92%.

• Interest coverage ratio was 5.2x; net debt/EBITDA was 9.9x.

Outlook and guidance

• Management expects continued rental income growth, supported by strong demand, higher occupancy, and ongoing capital projects.

• No significant events occurred after the reporting period.