Real estate group Kojamo to drop dividend, shares slip
17/08/2023 08:40
** Shares in Kojamo KOJAMO.HE fall more than 3% after the
Finnish residential real estate group decided to ditch dividend
distribution for 2023 as part of its cost saving programme
** Kojamo says it expects uncertainty on the market, higher
interest rate to hit its interest expenses, threatening
profitability
** It also reports Q2 pre-tax profit falling by a fourth and
narrows down its revenue guidance
** Noting the stock is down more than 40% year-to-date, J.P
Morgan analysts say expectations were already low
** "But the proposition that no dividend be paid for 2023
was not among them", the broker says
** Though JPM sees the dividend withdrawal as a "sensible
decision", it points out to the 37% of Kojamo's loan book
maturing by 2025
(Reporting by Boleslaw Lasocki)
((boleslaw.lasocki@thomsonreuters.com))