Vasakronan’s interim report January–March 2024

Stable income from property management

• Rental revenue increased 5% to a total of SEK 2,338 million (2,221). The increase was primarily due to indexation. In comparable property holdings, the increase in rental revenue was 5%.
• New lettings corresponding to 28,000 square metres (23,000) and annual rent of SEK 180 million (121) were contracted. Net lettings amounted to negative SEK 25 (negative: 46).
• The occupancy rate was 90.1% at the end of the period and was 90.9% at the end of 2023.
• Operating surplus increased 8% to a total of SEK 1,751 million (1,620). For comparable property holdings, the increase was 7%.
• Net financial items amounted to an expense of SEK 468 million (expense: 409). The increase was due to higher short market interest rates during the quarter.
• The interest coverage ratio for the last 12 months deteriorated to a multiple of 3.7 (4.4), due to higher interest expenses.
• Income from property management amounted to SEK 1,200 million (1,147), up 5%. The increase was due to a higher operating surplus.
• The change in comparable property value amounted to a decrease of SEK 458 million (decrease: 5,048) for the period, or down 0.3%.

“Despite a more challenging lettings market, our revenue increased and we reported improved income from property management compared with the year-earlier period,” says Johanna Skogestig, CEO of Vasakronan.

“We completed the quarter’s largest transaction together with Nasdaq, who are leasing a total of 8,300 square metres at Klara Zenit in Stockholm. Nasdaq is an excellent example of the trend we’re noting in the market, namely that location has always been important, but today it is a central factor. People also want high-quality premises in a larger context, ideally in city centre locations. This is favourable to a company such as Vasakronan.”

For further information, please contact:

Johanna Skogestig
CEO of Vasakronan 
Tel: +46 (0)73 068 75 17
E-mail: johanna.skogestig@vasakronan.se

Johnny Engman
Chief Financial Officer 
Tel: +46 (0)70 355 59 27
E-mail: johnny.engman@vasakronan.se

Vasakronan is Sweden’s leading property company with a portfolio valued at around SEK 175 billion. The portfolio is focused on centrally located office and retail properties in the growth regions of Stockholm, Uppsala, Gothenburg and Malmö. In terms of city retail, Vasakronan is the largest in all regions. The property portfolio comprises 167 properties with a total area of about 2.4 million square metres. The company is owned in equal shares by the First, Second, Third and Fourth Swedish national pension funds. Our assignment is to generate a high, risk-weighted return. Though never at the expense of the environment and people. Read more at www.vasakronan.se

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