Corem Property Group (CORE) Q4 2024 earnings summary

Executive summary

• Achieved positive net letting in 2024 despite a challenging rental market, with a continued focus on financial stability and operational efficiency.

• Portfolio consists of 289 properties across 12 cities, with a property value of SEK 55 billion and a lettable area of 2,268,000 sq.m.

• Maintained strong customer satisfaction (NKI 75, up 3 points) and a proven track record in sustainability and property development.

• Net loss for the year was SEK -1,058 million, a significant improvement from SEK -7,999 million in 2023, with earnings per share at SEK -1.43 (A/B shares).

• 37 properties were divested for SEK 3.1 billion, and a directed share issue raised over SEK 1 billion to strengthen the balance sheet.

Financial highlights

• Income for 2024 reached SEK 3,695 million; profit from property management was SEK 914 million.

• Comparable portfolio income increased by 3% year-over-year.

• NAV per ordinary share of Class A/B was SEK 15.97.

• Economic occupancy rate stood at 86%.

• Operating margin for the year was 64% (68%).

Outlook and guidance

• Focus remains on improving occupancy rate, operating margin, and optimizing financial structure.

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

• ICR expected to improve going forward, with continued attention to liquidity and debt reduction.

• Entering 2025 with a strengthened financial position and clear strategy to address market challenges and maximize shareholder value.

• Board proposes an unchanged dividend: SEK 0.10 per ordinary share A/B and SEK 20.00 per class D and preference share.