SBB, Year-end Report 2018: Earnings per share SEK 2.07 and increasing dividend

SAMHÄLLSBYGGNADSBOLAGET I NORDEN AB (PUBL): YEAR IN BRIEF

• Rental income increased to SEK 1,680m (1,339).
• Net operating income increased to SEK 1,071m (877).
• Profit before tax was SEK 1,904m (3,131), of which:
• Income from property management is included with SEK 321m (338). The management result includes costs for early redemption of loans and other non-recurring financing costs of SEK -205m.
• Unrealized changes in the value of properties excluding building rights are included with SEK 1,340m (2,041).
• Unrealized changes in value as a result of building rights are included with SEK 177m (749).
• Realized value changes relating to properties are included with SEK 58m (7).
• Unrealized changes in value of derivatives are included with SEK 8m (-4).
• Net income after tax for the period was SEK 1,690m (2,429) after deductions for deferred tax of SEK -212m (-662) and current tax of SEK -2m (-40), corresponding to earnings per ordinary share of class A and B of SEK 2.07 (3.60) before dilution.
• The value of the property portfolio increased by SEK 2.2bn during the year to SEK 25.2bn (23.0).
• Long-term net asset value (EPRA NAV) increased to SEK 8,736m (7,120), corresponding to SEK 11.55 (9.65) per share.
• The Board proposes a dividend of SEK 0.25 (0.10) per A- and B ordinary share, SEK 2 per D ordinary share and SEK 35.00 (35.00) per preference share.

THE FORTH QUARTER IN BRIEF

•  Rental income increased to SEK 453m (384).
•  Net operating income increased to SEK 274m (257).
•  Profit before tax was SEK 700m (493), of which the profit from property management was SEK 28m (87). The profit from property management result includes costs for early redemption of loans and other non-recurring financing costs of SEK -125m. Changes in value for properties included by SEK 671m (409).
•  Net income after tax for the quarter amounted to SEK 691 million (381), corresponding to earnings per share of SEK 0.83 (0.48) before dilution.

”We delivered a net income after tax for the quarter of SEK 691 million (381) corresponding to earnings per A- and B ordinary share of SEK 0.83 (0.48). 2018 became SBB best year so far and we end it with a good quarter. A strong net income after tax, strengthened financial position and reduced financing cost create an opportunity to propose an increased dividend from SEK 0.10 to SEK 0.25 per A- and B ordinary share. SBB's estimated earnings capacity on a rolling 12-month basis at the end of the year was SEK 770 million, an increase with 32 percent from SEK 582m at the end of 2017. The financial key ratios speak for them self. At year end, we report total equity of SEK 11,197m. The loan-to-value ratio was 53 percent and the adjusted equity ratio was 44 percent.”

Ilija Batljan
CEO and Founder

Attachment: Year-end Report 2018

For further information, please contact:

Ilija Batljan, CEO and Founder of Samhällsbyggnadsbolaget i Norden AB, +46 70 518 39 67, ilija@sbbnorden.se

This information is information that Samhällsbyggnadsbolaget i Norden AB (publ) 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 on February 20, 2019, at 08:00 CET.

About Samhällsbyggnadsbolaget i Norden AB (publ)

The company’s strategy is to own, manage and develop community service properties throughout the Nordic region and rental apartments in growth regions in Sweden. Through the company's commitment and engagement in community participation and social responsibility, municipalities and other stakeholders find the company an attractive long-term partner. At the beginning of 2018, SBB was named the winner of the Real Estate Company of the Year Award for 2017. The company’s series B shares (short name SBB B), D shares (short name SBB D) and preference shares (SBB PREF) are listed on Nasdaq First North Premier. Certified Adviser is Erik Penser Bank (contact: certifiedadviser@penser.se / +46 84638300). More information about the company is available at www.sbbnorden.se.