Solnaberg Property (SOLNA) H1 2024 earnings summary

Executive summary

• Rental income for Jan–Jun 2024 was SEK 40.4m, up from SEK 37.7m year-over-year, mainly due to rent indexation.

• Operating surplus increased to SEK 33.2m (SEK 28.9m), and management result rose to SEK 17.7m (SEK 14.8m).

• Net profit for the period was SEK 0.2m, compared to a loss of SEK -1.6m in the same period last year.

• Property occupancy remains high at 98%, with only minor basement vacancies.

• No unforeseen events occurred during the period; business developed as planned.

Financial highlights

• Rental income increased by SEK 2.8m year-over-year, primarily from rent indexation.

• Operating surplus margin improved to 82.1% from 76.7% year-over-year.

• Interest expenses rose to SEK 13.8m, up SEK 2.1m from last year.

• Cash flow from operations was SEK 17.7m (SEK 15.1m), and available liquidity at period end was SEK 28.6m (SEK 9.5m).

• Net asset value per share was SEK 184.8, down from SEK 190.3 year-over-year.

Outlook and guidance

• Maintenance costs are expected to impact results in the second half of 2024.

• Solar panel installation and zoning process for healthcare use are ongoing, with completion expected in H2 2024.