Jm Ab · OMXSTO:JM
Jm Ab — Q3 2023 Earnings Presentation
32 slides from Jm Ab's earnings presentation, Oct 25, 2023
Slide 1: Interim Report January–September 2023
Interim Report January–September 2023 O C TO B E R 2 5 , 2 0 2 3
Slide 2: JM Group
1) JM Group Revenue: SEK 10.4 billion Total assets: SEK 16.8 billion No. of building rights: 39,900 No. of employees: 2,239 11 % Market Cap: SEK 8.6 billion 2) 18 % 71 % Norway Sweden Finland 1) According to segment reporting over a 12-month period 2) SEK 133 per share, October 24, 2023 2 Investor p
Slide 3: Group Summary
Group Summary 1) J A N U A RY – S E P T E M B E R 2 0 2 3 SEK m % • Revenue amounted to SEK 10,444m (11,233). 2 500 20 • Operating profit decreased to SEK 822m (1,297). 2 000 16 • Operating margin decreased to 7.9 percent (11.6). • Profit before tax decreased to SEK 746m (1,249). 1 500 12 • Earnings
Slide 4: Group Summary
Group Summary J A N U A RY – S E P T E M B E R 2 0 2 3 • Number of residential units sold decreased to 1,128 (2,197). • Number of housing starts decreased to 869 (2,215). • Number of residential units in current production decreased to 6,188 (7,962). • Residential building rights portfolio amounted
Slide 5: Focus on cash flow in a challenging housing market
Focus on cash flow in a challenging housing market • Continued low demand and activity level during the third quarter in all our markets, resulting in decline in sales. • Revenue, operation profit and margin decreased throughout the Group, and continued challenges regarding cost level in projects. •
Slide 6: Operating profit and operating margin
Operating profit and operating margin January – September According to 2023 2022 segment reporting SEK m % SEK m % JM Residential Stockholm 230 7.1 532 14.7 JM Residential Sweden 210 7.6 512 15.3 JM Norway 115 6.3 187 7.7 JM Finland 94 8.1 111 9.1 JM Property Development 202 18.0 -20 - JM Constructi
Slide 7: Prices on the existing home market
Prices on the existing home market Tenant-owned apartment prices in cities in Sweden and SEK, NOK/sq.m. freehold units in Oslo Municipality and Helsinki capital region EUR/sq.m 120 000 6 000 100 000 5 000 80 000 4 000 60 000 3 000 40 000 2 000 20 000 1 000 0 0 Q3 Q3 Q3 Q3 Q3 Q3 Q3 Q3 Q3 Q3 2014 2015
Slide 8: Very low level of sold residential units
Very low level of sold residential units J A N U A RY – S E P T E M B E R Number of units 3 500 3,279 320 3 000 642 2 500 2,197 2 000 466 320 427 1 500 901 1,128 1 000 854 218 35 292 500 950 596 392 0 191 2021 2022 2023 JM Residential Stockholm JM Residential Riks JM Norway JM Finland JM Property De
Slide 9: Very low level of housing starts
Very low level of housing starts J A N U A RY – S E P T E M B E R Number of units 2 700 2,544 2 400 389 2,215 2 100 96 390 373 1 800 1 500 416 877 1 200 869 900 874 155 34 600 249 888 300 298 456 0 133 2021 2022 2023 JM Residential Stockholm JM Residential Riks JM Norway JM Finland JM Property Devel
Slide 10: Sköndalshöjden
Sköndalshöjden S TO C K H O L M Number of housing starts Q3 2023 77 Completed in 2025 10 Investor presentation 10/25/2023 © JM AB
Slide 11: Myrvoll Stasjon
Myrvoll Stasjon N O R D R E F O L L O , N O R W AY Number of housing starts Q3 2023 68 Completed in 2025 11 Investor presentation 10/25/2023 © JM AB
Slide 12: Number of residential units in production 6,188
Number of residential units in production 6,188 1) P E R C E N TA G E S O L D / R E S E R V E D I M P L I C AT E S N O R M A L R I S K I N C U R R E N T P R O D U C T I O N I N Q 3 2 0 2 3 Number 10 000 100% 9 000 8 000 80% 7 000 6 000 60% 5 000 4 000 40% 3 000 2 000 20% 1 000 0 0% Q3 Q4 Q1 Q2 Q3 Q4
Slide 13: Percentage of sold and reserved residential units in production
Percentage of sold and reserved residential units in production G RO U P 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Reserved residential units Sold residential units Sold/reserved residential units 13 Investor presentation 10/25/2023 © JM AB
Slide 14: Residential units in current production
Residential units in current production G RO U P Sep 30 Sep 30 Dec 31 2023 2022 2022 Number of residential units 1) 2) 6,188 7,962 8,078 Number of residential units sold 3,010 4,811 4,508 Number of residential units reserved 185 347 250 Sold residential units, % 53 64 59 Reserved residential units,
Slide 15: JM Residential Stockholm
JM Residential Stockholm January – September Full year SEK m 2023 2022 2022 Revenue 3,226 3,622 4,966 Operating profit 230 532 720 Operating margin, % 7.1 14.7 14.5 Number of available building rights 12,500 12,700 12,400 Number of residential units in current production 2,174 2,598 2,665 Number of
Slide 16: JM Residential Sweden
JM Residential Sweden January – September Full year SEK m 2023 2022 2022 Revenue 2,750 3,345 4,500 Operating profit 210 512 682 Operating margin, % 7.6 15.3 15.2 Number of available building rights 12,100 11,100 11,500 Number of residential units in current production 1,642 2,246 2,234 Number of hou
Slide 17: JM Norway
JM Norway January – September Full year SEK m 2023 2022 2022 Revenue 1,838 2,432 3,392 Operating profit 115 187 238 Operating margin, % 6.3 7.7 7.0 Number of available building rights 6,500 7,300 7,100 Number of residential units in current production 1,006 1,240 1,335 Number of housing starts 249 4
Slide 18: JM Finland
JM Finland January – September Full year SEK m 2023 2022 2022 Revenue 1,154 1,223 1,729 Operating profit 1) 94 111 158 Operating margin, % 8.1 9.1 9.2 Number of available building rights 7,200 6,100 6,800 Number of residential units in current production 704 1 441 1,337 Number of housing starts 34 3
Slide 19: JM Property Development
JM Property Development January – September Full year SEK m 2023 2022 2022 Revenue 1,123 160 1,224 Operating profit 1) 202 -20 306 Operating margin, % 18.0 - 25.0 Number of available building rights 1,600 1,800 1,700 Number of residential units in current production 662 437 507 Number of housing sta
Slide 20: JM Construction
JM Construction January – September Full year SEK m 2023 2022 2022 Revenue 632 825 1,077 Operating profit 1) 7 12 12 Operating margin, % 1.1 1.4 1.1 1) Of which intra-Group 279 375 505 • Demand was stable, with competition for the assignments, but somewhat more cautious market. • The operating margi
Slide 21: Available building rights portfolio
Available building rights portfolio No. of building rights 1) Region 9/30/2023 9/30/2022 2) 2) Stockholm 14,100 14,500 Malmö/Lund 3,700 3,400 Gothenburg 3) 3,700 3,600 Uppsala 4) 4,700 4,100 Norway 6,500 7,300 Finland 7,200 6,100 Total 39,900 39,000 1) Rounded to the nearest hundred 2) Of which 1,60
Slide 22: Slightly increased level of development properties
Slightly increased level of development properties BUILDING RIGHTS IN BALANCE SHEET Jan-Sep SEK m 2020 2021 2022 2023 Opening balance 8,938 7,831 8,205 8,465 New purchases 1,022 1,754 1,700 1,188 Transferred to production -1,888 -1,388 -1,538 -561 Other -241 8 97 -78 Closing balance 7,831 8,205 8,46
Slide 23: Approx. 13 years production in Balance Sheet
Approx. 13 years production in Balance Sheet No. of residential building rights In Balance Housing Average 1) 2) 9/30/2023 Sheet starts period, years JM Residential Stockholm 6,700 398 16.8 JM Residential Sweden 8,300 446 18.6 JM Norge 3,900 438 8.9 JM Finland 3,700 260 14.2 JM Property Development
Slide 24: 167 unsold residential units in Balance Sheet, SEK 751m
167 unsold residential units in Balance Sheet, for an amount of SEK 751m SEK m 800 751 700 600 503 500 400 363 339 308 300 200 100 0 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 24 Investor presentation 10/25/2023 © JM AB
Slide 25: Unsold residential units in Balance Sheet
Unsold residential units in Balance Sheet 800 700 600 500 400 300 200 100 0 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 2009 2010 2010 2011 2011 2012 2012 2013 2013 2014 2014 2015 2015 2016 2016 2017 2017 2018 2018 2019 2019 2020 2020 2021 2021 2022 2022 20
Slide 26: Cash flow
Cash flow Cash flow statement, SEK m Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 From operating activities 1) 2) 3) -363 354 792 -1,143 -101 From investing activities - -28 1 -1 - From financing activities -219 -394 -39 -737 138 Total cash flow for the quarter -582 -68 753 -1,881 37 Cash and cash equiva
Slide 27: Strong financial position
Strong financial position Net interest-bearing liability(+)/receivable(−) 1) SEK m Times • Equity/Assets ratio 1) 53 percent (49). 2 000 0,8 1,587 • Available liquidity SEK 3,542m (4,702) 1 500 0,6 of which cash and cash equivalents SEK 742m (1,902). 1 000 0,4 • Unutilized overdraft facilities and c
Slide 28: Components of profit/loss – housing business
Components of profit/loss – housing business P E R C E N TA G E O F C O M P L E T I O N M E T H O D ( G R O S S ) Q 3 2 0 2 3 ( Q 2 2 0 2 3 ) Cost-based effect SEK 201m (313) + Revaluation effect SEK 80m (168) + Sales effect SEK 8m (-24) Always positive Usually positive Positive / negative Recognize
Slide 29: Revaluation effects – housing business
Revaluation effects – housing business SEK m Q3 2023 Q2 2023 Q1 2023 Q4 2022 Q3 2022 Group 80 168 231 434 352 Business segment Q3 2023 Q2 2023 Q1 2023 Q4 2022 Q3 2022 JM Residential Stockholm 10 27 53 134 120 JM Residential Sweden 15 70 118 188 173 JM Norway 29 49 39 73 45 JM Finland 26 22 21 38 14
Slide 30: Sustainability
Sustainability P R O G R E S S W I T H I N C L I M AT E W O R K • Tests of 40 per cent climate-improved concrete are being carried out. • Containers for burnable waste abolished at JM’s Swedish construction sites. • Construction waste decreasing in the Group. • Completed residential units in finaliz
Slide 31: JM today
JM today • Customer focused – strong brand • 39,900 building rights in attractive locations • Good long-term conditions • Gradual broadening of geographic scope • Sustainable urban planning • Cautious housing market • Cost inflation • Strong balance sheet offers freedom of action • Well-balanced ris
Slide 32: Thank you
Thank you