Increased rental levels and a strong result
Profit after tax for the period increased to SEK 2,730m (1,535), corresponding to earnings per share of SEK 16.51 (9.28). Profit before tax for the period increased to SEK 3,115m (1,951). In an identical portfolio, rental income rose by 7 per cent and net operating income increased by just over 5 per cent.
Conditions on Stockholm’s property market are currently very good. Higher rent levels and lower yield requirements on the property market also resulted in persistently rising property values.
- Both the property and rental markets remain strong, with accelerating rent levels and rising property values. We achieved high earnings in the first half of the year and the conditions are in place for strong earnings for the full year 2016. More completed projects will increase rental volumes which, combined with continued operational efficiency and low interest expense, is expected to generate better profit from property management, comments Fabege’s CEO, Christian Hermelin.
For further information, please contact:
Christian Hermelin, CEO, phone 46 (0)8 555 148 25, 46 (0)73 387 18 25
Åsa Bergström, Deputy CEO and CFO, phone 46 (0)8 555 148 29, 46 (0)70 666 13 80
This information is information that Fabege AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 08.00 CET on 8 July 2016.
Fabege AB (publ) is one of Sweden’s leading property companies focusing mainly on letting and managing office premises and property development. Fabege owns properties with a carrying amount of SEK 42.4bn. The portfolio is concentrated in the Stockholm region and has an annualised rental value of SEK 2.3bn and a lettable area of 1.1m sqm. Fabege’s shares are listed on Nasdaq OMX Stockholm, Large Cap segment.