Samhallsbyggnadsbolaget I Norden Ab Class B · OMXSTO:SBB_B
Samhallsbyggnadsbolaget I Norden Ab Class B — Q3 2022 Earnings Presentation
16 slides from Samhallsbyggnadsbolaget I Norden Ab Class B's earnings presentation, Oct 27, 2022
Slide 1: The Social Infrastructure Champion in Europe
THE SOCIAL INFRASTRUCTURE CHAMPION IN EUROPE 27 October, 2022 Skellefteå Perseus 6 – Cultural center Linköping Adjunkten 2 – Elderly care Apx. 2 PERCENT OF THE SWEDISH POPULATION IS NOW A SHAREHOLDER IN THE SOCIAL INFRASTRUCTURE CHAMPION IN EUROPE Sigtuna 2:227 – Pre-school
Slide 2: The Group's Earnings Capacity Going Forward – Rolling 12 Months
THE GROUP’S EARNINGS CAPACITY GOING FORWARD – ROLLING 12 MONTHS Current earnings capability for the Group for 12 months SEKm Surplus ratio: 74% 8 000 7 178 3.03 7 000 SEK per ordinary 3.29 Class A and B SEK per ordinary 979 99 share Class A and B 6 000 share 392 5 000 1 850 200 4 000 1 807 3 000 5 3
Slide 3: Strategic Update Visualizing Our Ability to Adapt to a Changed Environment
STRATEGIC UPDATE VISUALIZING OUR ABILITY TO ADAPT TO A CHANGED ENVIRONMENT 1 Disposals • SEK 3.1bn from completed transactions to be paid in addition to the announced LOI of SEK 9bn • Further planned disposals of JV and associated companies during Q4 of SEK 2bn 2 Diversified financing • Good relatio
Slide 4: Comparison - Earnings Capacity and Reported Numbers
COMPARISON - EARNINGS CAPACITY AND REPORTED NUMBERS Earnings capacity Q3 of which of which Q3 of which Key take away’s – Consolidated income statement Total cash quarter Reported numbers cash Rental income 7 178m 7 178m 1 794m 1 888m 1 888m Operating costs -1 146m -1 146m -287m -312m -312m Maintenan
Slide 5: Highlights for Third Quarter 2022
HIGHLIGHTS FOR THIRD QUARTER 2022 1 Ability to adapt: i) Disposals ii) Diversified financing iii) A new residential company to be distributed to the shareholders iv) Minority owner with long-term institutional capital 2 Focus on core business 3 Highest net operating income ever - high interest cover
Slide 6: Key Ratios for the Third Quarter 2022
KEY RATIOS FOR THE THIRD QUARTER 2022 Key take away’s – Consolidated income statement Q3 2022 Q3 2021 Difference Rental income for the quarter 1,888m 1,459m +29% Net operating income 1,333m 1,089m +22% Cash flow from operating activities before changes in working capital 884m 608m +45% Profit from p
Slide 7: Net Operating Income
NET OPERATING INCOME Period Quarter Full year 1 Jan 22 – 1 Jan 21 – SEKm Q3 2022 Q3 2021 2021 30 Sept 22 30 Sept 21 Rental income 5,597m 4,235m 1,888m 1,459m 5,930m Operating costs -1,116m -767m -312m -215m -1,114m Maintenance -259m -212m -84m -71m -322m Property administration -348m -195m -130m -50
Slide 8: Profit from Property Management
PROFIT FROM PROPERTY MANAGEMENT Period Quarter Full year 1 Jan 22 – 1 Jan 21 – SEKm Q3 2022 Q3 2021 2021 30 Sept 22 30 Sept 21 Net operating income 3,776m 2,965m 1,333m 1,088m 4,047m Central administration -320m -238m -43m -38m -290m Acquisition, restructuring and other costs -46m -40m -66m -11m -86
Slide 9: Profit Before Tax
PROFIT BEFORE TAX Period Quarter Full year 1 Jan 22 – 1 Jan 21 – SEKm Q3 2022 Q3 2021 2021 30 Sept 22 30 Sept 21 Profit from property management 620m 2,437m -679m 995m 5,690m Changes in value, property -981m 11,982m -2,507m 4,578m 21,360m Dissolution of goodwill after property sales -192m -9m - -1m
Slide 10: Debt Portfolio
DEBT PORTFOLIO Bond portfolio break down Cost of debt EUR bonds - maturity profile Weighted SEKbn 57.2 950 average 4.3 4.8 4.7 4.8 4.2 4.2 4.2 4.1 3.9 4.0 4.0 750 maturity 700 700 (years) 1.1 521 500 4.0 120 4,00% 50 6.9 94,966 95,626 95,376 3,50% 100 87,995 2024 2025 2026 2027 2028 2029 2040 3,00%
Slide 11: To Summarize…
TO SUMMARIZE… 1 Disposals • SEK 3.1bn from completed transactions to be paid in addition to the announced LOI of SEK 9bn • Further planned disposals of JV and associated companies during Q4 of SEK 2bn 2 Diversified financing • Good relationships with the leading global and Nordic banks • Signed new
Slide 12: Thank You!
THANK YOU! SBB Samhdllsbyggnadsbolaget {sBB) :
Slide 13: Appendix - SBB Overview and Key Highlights
APPENDIX - SBB OVERVIEW AND KEY HIGHLIGHTS Company snapshot Company snapshot Portfolio book value by country Major city regions ✓ SBB operates in the world’s safest real estate asset classes – community service properties in the Nordics where 100% of tenants are sovereign or public-financed tenants
Slide 14: Appendix - Rental Income Originates from AAA Assets
APPENDIX - RENTAL INCOME - ORIGINATES FROM “AAA” ASSETS Income overview by category – rolling 12 months Sovereign credit risk exposure in community service Sovereign credit rating Category Rental Income, SEKm % of Total Regulated rent residentials 2 299 32 Cash flows originating from the most Build
Slide 15: Appendix - Vision 2030 - Becoming Climate Positive in the Entire Value Chain
APPENDIX - VISION 2030 - BECOMING CLIMATE POSITIVE IN THE ENTIRE VALUE CHAIN Vision 2030 ✓ Climate positive in the entire value chain ✓ At least 90% social assets in the property portfolio ✓ Climate-adapted property portfolio that can cope with climate risks E Environmental targets S Social targets
Slide 16: Appendix - Recognition of ESG Performance
APPENDIX - RECOGNITION OF ESG PERFORMANCE ESG ratings Upgraded from BB to A 30% 20% 10% 0% CCC B BB BBB A AA AAA Risk reduced by 2.4 to 11.5, threshold for negligible ESG-Risk is 10.0 Peers (Market cap $7.6-$9.6bn) Exposure Management ESG-Risk Rating 40% 1. Samhällsbyggnadsbolaget i Norden AB 27.2 L
Samhällsbyggnadsbolaget i Norden AB (SBB) — Q3 2022 Earnings Presentation on 6ix