Doxa (DOXA) Q4 2024 earnings summary

Executive summary

• Completed sale of Serneke Group's contracting business to Mutares and Doxa Fastigheter to Balder, totaling over SEK 5 billion in transactions.

• 2024 marked by major asset divestments, a shift in accounting principles, and significant financial losses driven by negative portfolio revaluations and the Serneke Sverige AB bankruptcy.

• Strategic shift from investment company to focused real estate company, emphasizing project development in major metropolitan regions.

• Doxa no longer qualifies as an investment company under IFRS 10 as of December 31, 2024; subsidiaries are now consolidated in the balance sheet.

• Leadership changes with Christian Lindgren appointed as CEO in early 2025.

Financial highlights

• Net result for 2024 was a loss of SEK 1,575.2 million, compared to a profit of SEK 291.9 million in 2023.

• Revenue for 2024: -1,205.6 MSEK (312.1 MSEK in 2023), mainly due to negative portfolio revaluations.

• NAV reported at SEK 2,457.5 million (SEK 1.91 per share) as of April 2024.

• Major negative items: -1,240.2 MSEK write-down in Doxa Projektutveckling, 254.6 MSEK provision for Serneke Sverige AB bankruptcy, and 88.1 MSEK write-down on receivables from Ola Serneke.

• Cash flow for 2024: -90.4 MSEK (51.9 MSEK in 2023); cash at year-end: 70.6 MSEK (111.9 MSEK in 2023).

Outlook and guidance

• Focus for 2025 is on value creation through project development in the retained property portfolio.

• Transition to new accounting principles as a real estate company from January 2025.

• Ongoing monitoring of potential further guarantee claims related to Serneke Sverige AB bankruptcy.

• No dividend proposed for 2024.