Corem Property Group (CORE) Q1 2025 earnings summary

Executive summary

• Stable property management operations in Q1 2025 despite turbulent market conditions, with a focus on cost control, portfolio optimization, and sustainable management.

• Portfolio consists of 275 properties across 11 cities, totaling 2,205 tsq.m and valued at SEK 54bn.

• Divested 14 properties, including the entire Halmstad portfolio, freeing up SEK 834m in capital.

• Major leasing successes in New York and Copenhagen, with key project properties nearing full occupancy.

• Focus on long-term tenant relationships and in-house sustainable property management.

Financial highlights

• Income for Q1 2025 was SEK 896m, with profit from property management at SEK 222m, up 3% year-over-year.

• Operating margin improved to 63%; operating surplus was SEK 562m.

• Net loss for the period was SEK -81m, or SEK -0.18 per ordinary share A/B.

• Net letting was -SEK 37m, but +6m excluding a major lease termination.

• NAV per ordinary share A/B was SEK 15.44.

Outlook and guidance

• Continued focus on improving occupancy rate, operating margin, and optimizing financial structure.

• Selective approach to new projects, prioritizing those supporting new lettings and environmental goals.

• Planned divestments of at least SEK 5bn in 2025, with potential US portfolio divestment under consideration.

• Optimism for future performance based on divestments, extended leases, and new lettings.