Atrium Ljungberg (ATRLJ) Q3 2024 earnings summary

Executive summary

• Strong net letting continued in Q3, with SEK 51 million net letting in Q3 and SEK 143 million for Q1–Q3, and SEK 118 million for Jan–Sept, supported by major new investment decisions in Slakthusområdet.

• Rental income rose to SEK 2,249 million for Jan–Sept 2024, up 6.5% year-over-year, with a 4.3% increase in a comparable portfolio.

• Net operating income reached SEK 1,634 million, up 7.8% year-over-year, with a 5.3% increase in a comparable portfolio.

• Net profit for the period was SEK 614 million, a turnaround from SEK -404 million last year.

• Property portfolio is concentrated in Stockholm, with 80% of assets and a focus on offices (69%).

Financial highlights

• Profit from property management grew 8% for Q1–Q3, reaching SEK 1,110 million (SEK 8.80/share); Q3 profit stable at SEK 365 million (SEK 2.90/share).

• Net operating income like-for-like increased 5% for Q1–Q3 and 2% in Q3, excluding one-offs.

• Net asset value stands at SEK 269 per share.

• Q3 rental income was SEK 741 million (up from SEK 700 million), with a 2.9% increase in a comparable portfolio.

• Changes in property value were marginal, with a 0.1% increase (+SEK 75 million) in Q3.

Outlook and guidance

• Expected interest rate cuts and tax relief are anticipated to support a more optimistic housing market and growth in 2025.

• Ongoing and future projects in Stockholm, including major urban development, are expected to drive growth.

• The company is well-positioned for further investments, supported by a strong financial base and diversified portfolio.