Vasakronan´s year-end report 2022

Stable results and high net lettings for the full year

• Rental revenue increased 10% (6) to a total of SEK 8,167 million (7,425). In comparable property holdings, the increase in rental revenue was 6% (2).
• New lettings were contracted corresponding to 159,000 square metres (124,000) and an annual rent of SEK 915 million (592). Net lettings amounted to SEK 279 million (negative: 56) for the full year.
• The price change after renegotiations averaged 5%, compared with 8% last year. Renegotiations were completed in the period corresponding to an annual rent of SEK 1,078 million (1,326).
• The occupancy rate was 91.2% (91.4) at the end of the period. Of total vacancies, 1.2 percentage points (1.1) were attributable to ongoing projects and development properties.
• Operating surplus increased 8% (7) to a total of SEK 5,968 million (5,533). For comparable property holdings, the increase in operating surplus was 3% (2).
• Income from property management amounted to SEK 4,481 million (4,193), up 7% (11).
• The change in the property value amounted to SEK 4,917 million (15,255), corresponding to a 2.8% (9.5) increase. For the fourth quarter, the value change was a decline of SEK 6,111 million (increase: 7,176) corresponding to a negative 3.1 per cent (positive: 4.2) as a result of raised assessed yield requirements.
• The property portfolio value at the end of the period thus amounted to SEK 188 billion (182).
•  The value change in financial instruments amounted to SEK 1,291 million (938), which was due to the increase in long-term market interest rates.
• Profit after tax was SEK 8,465 million (16,359).
• The Board of Directors proposes to the Annual General Meeting that no dividend (SEK 4,000 million) be distributed.

“We are reporting stable results for the underlying operations,” says Johanna Skogestig, CEO. “The uncertain market conditions have resulted in a decline in property values during the second half of the year. At the same time, we have managed to maintain a high letting rate and to bring several large projects into property management during the year, which has positively impacted cash flow. This, combined with the fact that we have properties in in-demand locations, strong finances and dedicated employees, means that we are well-positioned even in a more challenging market.”

For further information, please contact:

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

Christer Nerlich 
CFO
Tel: +46 (0) 70-968 15 40
E-mail: christer.nerlich@vasakronan.se 

This information is of such a kind that Vasakronan AB (publ) is legally required to disclose pursuant to the EU’s Market Abuse Regulation and the Swedish Securities Market Act. The information was submitted for publication through the agency of the above contact people on 3 February 2023, at 1:00 p.m. CET.

Vasakronan is Sweden’s largest property company with a portfolio valued at around SEK 188 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 166 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. Read more at www.vasakronan.se

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