Doxa (DOXA) Q2 2024 earnings summary

Executive summary

• Q2 2024 marked by the strategic divestment of Serneke's contracting business and a major rights issue to strengthen the financial position, aligning with the strategy to focus on property ownership and project development.

• Ongoing efforts to streamline operations and reinforce the balance sheet, with a focus on existing assets and cautious approach to new investments.

Financial highlights

• Q2 2024 operating income was 4.4 mSEK (237.7), mainly due to neutral value development in portfolio holdings; Q2 net profit was 6.0 mSEK (213.7).

• H1 2024 operating income was -314.3 mSEK (216.8), with a net loss of -314.1 mSEK (186.1), driven by a -285.7 mSEK write-down in Serneke and -38.0 mSEK in other property holdings.

• Equity at period end was 3,107.0 mSEK (2,785.4); adjusted for the July rights issue, equity was 3,718.6 mSEK.

• NAV at period end was 3,199.2 mSEK (2,871.1); adjusted NAV post-issue was 3,810.8 mSEK.

• Cash flow for H1 2024 was -100.1 mSEK (93.3).

Outlook and guidance

• The company expects continued recovery in the Swedish property market, supported by declining inflation and interest rate cuts.

• Focus remains on strengthening the balance sheet, completing ongoing projects, and selective new investments.