Catena (CATE) Q3 2025 earnings summary

Executive summary

• Rental income increased by 25% year-over-year to SEK 1,963 million, mainly driven by acquisitions and CPI-linked contracts.

• Profit from property management rose 32% year-over-year to SEK 1,202 million, with EPS from property management up 18.7% to SEK 19.91.

• Net operating surplus increased by 28% to SEK 1,633 million.

• EPRA NRV per share rose to SEK 438.

• The property portfolio expanded by 7% in lettable area, with 58% of total area environmentally certified.

Financial highlights

• Loan-to-value ratio at 39.2% and equity ratio at 51%.

• Net debt/EBITDA at 7.8x, interest coverage at 3.9x, and average cost of debt at 3.2%.

• EPRA NIY at 5.6%, weighted exit/valuation yield at 5.9%.

• Letting ratio at 96.6%, WALE at 6.5 years.

• EPRA Earnings per share were SEK 18.93.

Outlook and guidance

• Management expects continued strong cash flows and sees many upcoming opportunities in the transaction market.

• New business plan targets at least 10% annual compounded growth in profit from property management per share and at least 12% annual compounded growth in net asset value per share over five years.

• Sustainability targets updated: net zero GHG emissions across all scopes by 2040, with at least 50% reduction by 2030.

• Fitch confirmed the BBB credit rating with stable outlook.

• Policy allows LTV up to 50%, providing headroom for further investments.