Finland's Lumo Kodit Q3 revenue rises on portfolio acquisition

Overview

• Finland residential landlord's Q3 revenue rose 12% yr/yr

• Q3 FFO increased 4.7% yr/yr

• Company posted large Q3 pretax loss due to negative property revaluation

Outlook

• Lumo Homes sees 2026 total revenue between EUR 488 mln and EUR 493 mln

• Company expects 2026 FFO at EUR 147 mln to EUR 152 mln, excluding non-recurring costs

• Outlook excludes impact of potential future acquisitions or disposals

Result Drivers

• PORTFOLIO ACQUISITION - Co said revenue and net rental income growth were driven by the portfolio acquired in April and improved occupancy

• HIGHER OCCUPANCY - Co said occupancy rate improvement and strong leasing activity supported results

• MARKET CONDITIONS - Co cited declining rental supply, low construction, and population growth as supporting rental market balance

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 3 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the real estate rental, development & operations peer group is "buy"

• Wall Street's median 12-month price target for Lumo Kodit Oyj is €8.10, about 10.9% above its November 4 closing price of €7.31

• The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 14 three months ago

Reuters Recommended Reads

• Nov 4 - Canada's Killam Apartment REIT Q3 net income rises 23%

• Nov 3 - Canada's Boardwalk REIT Q3 FFO per unit falls; tightens 2026 guidance

• Nov 4 - Canada's CAPREIT Q3 revenue misses estimates, FFO per unit down 1.7%

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)