Sweden's Pandox Q3 EBITDA beats on strong lease revenue growth

By Reuters News


Overview

  • Sweden hotel property owner's Q3 EBITDA rose 30% and beat analyst expectations

  • Q3 revenue from leases up 37% yr/yr; own operations revenue up 7%

  • Company to divest seven hotels in Denmark and Sweden above book value


Outlook

  • Pandox expects lower growth in Q4 due to strong prior-year comparison and higher interest expenses

  • Company says divestments of seven hotels reflect growing investor interest in hotel properties

  • Pandox aims to enter new lease agreements for German hotels after Revo Hospitality bankruptcy


Result Drivers

  • LEASES SEGMENT GROWTH - Co said strong development in Leases segment drove increases in total revenue and net operating income

  • GERMAN HOTEL RESTRUCTURING - Co established new operating models for nine German hotels after tenant bankruptcy, transferring six to Own Operations and three remaining in Leases segment

  • PROPERTY DIVESTMENTS - Co signed agreements to sell seven hotel properties in Denmark and Sweden above book value, reflecting increased investor interest


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Revenue from Property Management

SEK 1.49 bln

Q3 Cash Earnings

SEK 806 mln

Q3 Net Income

SEK 1.02 bln

Q3 EBITDA

Beat

SEK 1.56 bln

SEK 1.52 bln (4 Analysts)


Reuters Recommended Reads

  • Oct 21 - Fabege Q3 profit rises on residential development

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

  • Oct 21 - Corem Property Group returns to profit; asset gains offset property value declines


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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