Genova Q3 rental income rises on higher occupancy

By Reuters News


Overview

  • Sweden property company's Q3 rental income rose 12% yr/yr

  • Income from property management per share more than doubled in Q3

  • Company completed first part of SEK 673 mln Stockholm property portfolio acquisition


Outlook

  • Genova raises target for income from property management per share to at least 25% annual growth

  • Company lowers long-term net asset value per share target to at least 15%

  • Company expects occupancy rate to continue improving in coming quarters


Result Drivers

  • ACQUISITIONS AND NEW LETTINGS - Co said Q3 earnings were boosted by acquisition of Stockholm property portfolio and new lettings

  • HIGHER OCCUPANCY - Co reported increased occupancy rate to 93% in Q3

  • LOWER FINANCING COSTS - Co said refinancing and bond issuance reduced financing costs and strengthened balance sheet


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Rental Income

SEK 137 mln

Q3 EPS

SEK 2.17

Q3 Net Income

SEK 109 mln

Q3 Operating Income

Beat

SEK 106 mln

SEK 92.50 mln (2 Analysts)

Q3 Income From Property Management

SEK 36 mln


Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 1 "hold" and no "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 Genova Property Group AB is SEK48.00, about 54.8% above its October 22 closing price of SEK31.00

  • The stock recently traded at 19 times the next 12-month earnings vs. a P/E of 21 three months ago


Reuters Recommended Reads

  • Oct 21 - Sweden's Wihlborgs 9-month rental income rises on new leases, projects and renegotiation

  • Oct 23 - Sweden's Dios Fastigheter Q3 rental income falls on lower summer demand

  • Oct 23 - Stendorren nine-month rental income rises on acquisitions


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(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.)

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