During the second quarter, the effects of Covid-19 on our earnings became visible through rent rebates and decreased property values. However, our projects progressed as planned, without any larger disruptions. Net letting during the first half of 2020 amounted to SEK 20m. The renegotiations decreased in volume due to the pandemic but contributed positively to the rental value. During the quarter, two properties were acquired.
- Rental income decreased to SEK 1,409m (1,449). The decrease was mainly due to property sales and SEK 18m in granted discounts as a result of the covid-19 pandemic. In an identical portfolio, income rose by approximately 4 per cent (19).
- Net operating income decreased to SEK 1,046m (1,063). In an identical portfolio, net operating income rose by approximately 6 per cent (19).
- The surplus ratio was 74 per cent (73).
- Profit from property management decreased SEK 728m (741).
- Realised and unrealised changes in value amounted to SEK 1,550m (3,122)
- After-tax profit for the period amounted to SEK 1,559m (2,790), corresponding to SEK 4.73 per share (8.44).
- Net lettings during the period totalled SEK 20m (-87).
- The equity / assets ratio was 55 percent (52) and the loan-to-value ratio was 32 percent (36).
“Of course, the market will look different after the pandemic, but today it is too early to draw any conclusions about customers' changing behaviors. We believe the office will continue to play an important role in creating strong brands, a sense of community and loyalty among employees; as a place for meetings and creativity and and its importance for business development, even if we expect remote working to continue after the pandemic. We are confident that together with our customers, we will develop our offering to respond to the demands of tomorrow at a modern, flexible workplace that can meet the requirements of any situation”, comment CEO Stefan Dahlbo.
Fabege AB (publ)
Presentation of the report
Today at 09:30 CET Stefan Dahlbo, CEO and Åsa Bergström, CFO present the report. The Swedish presentation can be followed via webcast or phono: SE +46 8 50558350 UK:+44 33 33009266 US:+1 83 35268382
An English conference call will also be held at 11:00 am CET. Follow it via webcast or phono:
SE: +46 8 50558368 UK: +44 33 33009263 US: +1 83 35268395
More information is available from:
Stefan Dahlbo, CEO, +46 (0) 8 555 148 10, email@example.com
Åsa Bergström, CFO, +46 (0) 8 555 148 29, firstname.lastname@example.org
This information is information that Fabege AB is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was submitted for publication, through the agency of the contact person set out above, at 07:30 CET on 6 July 2020.
This information is also such information that Fabege AB is obliged to publish in accordance with the Swedish Securities Market Act. The information was submitted for publication on 6 July 2020, at 07:30 CET.
We are the property company focusing on city district development and commercial properties. We develop attractive and sustainable districts with modern offices, housing and a broad range of services - together with strategic partners. Both our perspective and approach to ownership are long term and our passion is creating the right conditions for all those living, working and visiting our areas. We have a presence in a limited number of high-growth submarkets in the Stockholm region. Fabege’s shares are listed on Nasdaq Stockholm, in the Large Cap segment. For more information, please visit us at: www.fabege.com