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

Wihlborgs Fastigheter AB

Yesterday 06:09

Overview
Sweden commercial property firm's rental income up 7% for Jan-Sep, operating surplus rises 8%
Net income and EPS rose yr/yr for the nine-month period
Company says rental income growth driven by renegotiations, new leases and projects

Outlook
Company says number and volume of ongoing lease discussions are higher than in recent years
Wihlborgs expects to capitalise on strengthened market position as growth begins to pick up

Result Drivers
RENOGIATIONS AND NEW LEASES - Co said most of the rental income increase stemmed from renegotiations, leases and projects
DANISH PORTFOLIO IMPACT - Net lettings were negative, mainly due to a late lease termination in the Danish portfolio, with ongoing negotiations to fill the space
CUSTOMER SATISFACTION - Co reported a rise in its customer satisfaction index, citing tenant appreciation for personal service

Company press release: ID:nWkr7ZKTSc

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
9M Rental Income
 
SEK 3.48 bln
 
9M EPS
 
SEK 5.01
 
9M Net Income
 
SEK 1.54 bln
 
9M Operating Surplus
 
SEK 2.51 bln
 
9M Profit From Property Management
 
SEK 1.60 bln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "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 Wihlborgs Fastigheter AB is SEK90.00, about 27.8% above its October 20 closing price of SEK70.45
The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 11 three months ago

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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.)