SBB Norden (SBB) Stockholm Corporate Finance Conference 2025 summary

Key highlights and performance

• Property exposure increased by SEK 901 million, with a 3.7% rise in net operating income for comparable assets.

• New share issue reduced leverage, and Aker ASA became a major shareholder with 29% of votes.

• Central administration costs decreased by 23% year-over-year.

• Consolidated property value reached SEK 54.4 billion, with a loan-to-value ratio of 59%.

• Direct yield was 4.8%, and the interest coverage ratio stood at 2.3x.

Business segments and strategic focus

• Social infrastructure, residential, education, and development are the four core segments.

• Social infrastructure portfolio valued at SEK 40.0 billion, with 31% in elderly care and nearly all leases indexed to inflation.

• Residential exposure is SEK 28.6 billion, with rental income expected to outpace inflation and SEK 1.3 billion divested during the period.

• Education segment includes a leading platform in partnership with Brookfield, with long-term, state-backed leases and recent campus acquisitions.

• Development is limited to 10% of consolidated property value, focusing on projects in several Swedish cities.

Growth, efficiency, and financing

• Net operating income grew 26% in comparable assets since January 2022, driven by regulated rents and portfolio scale.

• Strategic development aims for at least 15% return on equity, with ongoing projects in multiple locations.

• Successful sale of a major correctional facility project improved liquidity by SEK 300 million.

• Most debt has been refinanced, with 75% maturing after 2026 and an average interest rate of 2.59%.

• Cost control and efficiency initiatives include reduced central admin and internal management improvements.