Trianon (TRIAN) Q3 2024 earnings summary

Executive summary

• Q3 2024 rental income grew 10% to 198 Mkr, with 6% growth in comparable properties; operating surplus rose 7% to 143 Mkr, and management result increased 20% to 49 Mkr, but net result was -47 Mkr due to negative value changes.

• For Jan–Sep 2024, rental income increased 4% to 573 Mkr, operating surplus rose 5% to 395 Mkr, and management result grew 14% to 133 Mkr; net result was 25 Mkr (0.09 kr per share).

• Property value increased to 13,038 Mkr after acquiring 500 apartments in Ystad and Skurup; zero vacancy in residential portfolio and strong regional demand.

• New business plan for 2025–2030 adopted, focusing on growth, value creation, sustainability, and updated financial/dividend targets.

Financial highlights

• Rental income Q3: 198 Mkr (+10%); Jan–Sep: 573 Mkr (+4%).

• Operating surplus Q3: 143 Mkr (+7%); Jan–Sep: 395 Mkr (+5%).

• Management result Q3: 49 Mkr (+20%); Jan–Sep: 133 Mkr (+14%).

• Net result Q3: -47 Mkr; Jan–Sep: 25 Mkr; EPS Q3: -0.24 kr; Jan–Sep: 0.09 kr.

• Surplus ratio: 72.3% in Q3, 69.0% Jan–Sep.

Outlook and guidance

• New business plan targets 12% annual growth in management result per share and ROE over 10% through the cycle.

• Loan-to-value to remain below 55% and interest coverage above 1.75x; dividend up to 30% of management result after tax.

• Malmö rent increases of 4.9% from January 2025 already negotiated.

• Proforma 2025 earnings capacity: rental income 852 Mkr, management result 257 Mkr, earnings per share 1.28 kr.