Castellum Ab · OMXSTO:CAST
Castellum Ab — Q1 2024 Earnings Presentation
24 slides from Castellum Ab's earnings presentation, May 3, 2024
Slide 1: Interim report January-March 2024
Interim report January-March 2024 Q1
Slide 2: Summary January-March
Summary January-March Income NOI Income from property Changes in property management values -0.1% +5.3% +13.2% - 0.7% SEK 2,449 M SEK 1,618 M SEK 1,148 M SEK – 1,019 M Net leasing Total contract value Economy occupancy Property sales rate SEK 3 M SEK 9,684 M 91.6% SEK 246 M 2 CASTELLUM 3/5/2024 INTE
Slide 3: Castellum in brief
Castellum in brief ▪ One of the largest listed property companies in the Nordic region ▪ Property value SEK 159 Bn* Helsinki – of which 76% in metropolitan areas ▪ 5.5 million sq. m. lettable area Oslo Stockholm ▪ 65% of property value and 52% of sq. m. sustainability certified ▪ Yearly contract val
Slide 4: Revised financial targets and dividend policy
Revised financial targets and dividend policy ▪ Return on equity will total at least 10 per cent per year over a business cycle ▪ The dividend will total at least 25 per cent of income from property management, unless the company's financial position justifies otherwise 4 CASTELLUM 3/5/2024 INTERIM
Slide 5: Operational focus
Öskaret 1, Stockholm Operational focus ▪ Retain existing tenants and lease vacant spaces ▪ Recycling capital through divestments of non-strategic assets ▪ Reinvesting proceeds into our existing project portfolio ▪ Streamlining to realise synergies and benefit from economy of scale 5 CASTELLUM 3/5/20
Slide 6: Castellum's tenants
Castellum’s tenants Contract value, Largest tenants SEK M S&P rating 1 A selection of tenants in our Contract value from public The Swedish Police Authority 222 AAA well-diversified customer sector tenants AFRY 191 Not rated base ABB 159 A The Swedish Social Insurance Agency 157 AAA The Swedish Nati
Slide 7: P&L in brief
P&L in brief 2024 2023 Change, Change, ▪ Divestments SEK M Jan-Mar Jan-Mar SEK M % and vacancies reduced Income 2,449 2,451 -2 -0.1 income, while CPI Direct property costs -652 -729 77 -10.6 indexations and projects Lease and property administration expenses -179 -186 7 -3.8 contributed Net operatin
Slide 8: Development of operating income
Development of operating income 2024 2023 Change, Increase in NOI, SEK M Development of income, SEK M Jan-Mar Jan-Mar % Like-for-like holdings 2,208 2,145 2.9% Development properties 193 149 Like-for-like holdings 116 Transactions 6 109 Group adjustment 42 48 Total income 2,449 2,451 -0.1% Developme
Slide 9: Divestments beginning to impact rental income
Divestments beginning to impact rental income Rental income 2018-2024, SEK M Net leasing 2018-2024, SEK M 12,000 120 100 10,000 80 8,000 60 40 6,000 20 4,000 0 -20 2,000 -40 , -60 2018 2019 2020 2021 2022 2023 2024 Rental income, rolling annual value Net leasing, quarterly value 9 CASTELLUM 3/5/2024
Slide 10: Changes in property values
Changes in property values SEK M Changes in property values during the quarter: Acquisitions SEK -1,019 M 33 New constructions, extensions and reconstructions 448 Divestments -236 Property portfolio 31 March 2024: Unrealised changes in value -1 029 SEK 137,244 M Currency translation 476 -1 200 -1 00
Slide 11: Property values
Property values SEK Bn Per cent 55 8 50 7 45 6 40 5 35 30 4 25 3 20 2 15 1 10 5 0 0 -1 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Unrealised value changes, SEK Bn Castellum valuation yield, % SE GVB 5Y , % 11 CASTELLUM 3/5/2024 INTERIM REPORT JANUARY-MARCH 2024
Slide 12: Highlights – financing Q1 (Q4 2023)
Highlights – financing Q1 (Q4 2023) LTV ICR Average effective rate Credit rating 38.2% 3.2 3.1% Baa3 Stable (37.4) (3.0) (3.0) Outlook Average debt maturity Average fixed Hedge ratio (>1Y) Interest-bearing excl. RCFs interest rate liabilities 4.3 years 3.3 years 64% SEK 61,120 M (4.2) (3.3) (73) (61
Slide 13: Debt maturity structure
Debt maturity structure SEK M SEK 24.6 Bn in cash and 12,000 unutilised credit facilities 10,047 10,000 9,323 8,694 8,249 8,000 6,421 6,000 5,530 3,948 4,000 2,932 2,583 2,137 2,000 1,094 162 0, 2024 2025 2026 2027 2028 >2028 Bonds & Commercial papers Bank loans 13 CASTELLUM 3/5/2024 INTERIM REPORT
Slide 14: Largest ongoing projects
Amperen 1, Västerås Largest ongoing projects Rental Remaining Area, value, Econ. occ. Total inv., to invest, Property Category Location Completed sq. m. SEK M rate , % SEK M SEK M Finnslätten 1 (part of) O/I Västerås Q2-24 21,000 28 72 205 21 Bollbro 15 P Helsingborg Q2-24 5,000 7 92 125 20 Tusenskö
Slide 15: Tusenskönan 2, Mölndal – Blå Stjärnan veterinary hospital
Category Public sector Type of investment New construction Completed Q1 2025 Area, sq. m. 10,600 Rental value, SEK M 27 Economic occupancy 100 rate, % Tusenskönan 2, Mölndal /Blå Stjärnan veterinary hospital
Slide 16: Backa 20:6, Gothenburg – Police centre
Category Public sector Type of investment New construction Completed Q4 2025 Area, sq. m. 9,000 Rental value, SEK M 40 Economic occupancy 100 rate, % Backa 20:6, Gothenburg /Police centre
Slide 17: Project pipeline
Gateway Säve, Gothenburg Infinity, Stockholm Project pipeline ▪ Large profit potential in future projects ▪ Potential to develop 700,000 sq. m. over the coming years ▪ Total investment volume of approximately SEK 40 Bn ▪ During 2024 expected to start projects Noon, Gothenburg e.g. in Stockholm and G
Slide 18: Sustainability performance
Sustainability performance ▪ -3% energy efficiency, like-for-like portfolio, LTM (normalised) ▪ 52% of sq. m. sustainability-certified properties ▪ 110 solar PV systems installed Exciting steps towards more Fossil-free steel ventilation ducts installed climate-efficient construction CASTELLUM
Slide 19: Key takeaways
Werket, Jönköping Key takeaways ▪ Strong financial position ▪ Retain existing tenants and lease vacant spaces ▪ Good growth from projects and exciting project pipeline ▪ Revised financial targets and dividend policy 19 CASTELLUM 3/5/2024 INTERIM REPORT JANUARY-MARCH 2024
Slide 20: Half-year report January-June 2024 – Q&A
Sjustjärnan, Malmö Half-year report January-June 2024 16 July Q&A Please use the chat function or notify the host for questions
Slide 21: Thank you!
Thank you! Contact: joacim.sjoberg(at)castellum.se jens.andersson(at)castellum.se
Slide 22: Appendix
Appendix 22 CASTELLUM 3/5/2024 INTERIM REPORT JANUARY-MARCH 2024
Slide 23: Condensed consolidated statement of comprehensive income
Condensed consolidated statement of comprehensive income 2024 2023 LTM 2023 SEK M Jan-Mar Jan-Mar April 2023-Mar 2024 Jan-Dec Income 2,449 2,451 9,804 9,806 Operating costs -440 -506 -1,451 -1,517 Maintenance expenses -68 -74 -343 -349 Property tax -144 -149 -585 -590 Lettings and property administr
Slide 24: Condensed consolidated balance sheet
Condensed consolidated balance sheet SEK M 31 Mar 2024 31 Mar 2023 31 Dec 2023 ASSETS Investment properties 137,244 148,214 137,552 Goodwill 4,443 4,839 4,495 Leases, right-of-use 1,460 1,557 1,441 Associated companies 9,450 12,493 10,008 Derivatives 2,701 3,475 1,948 Other fixed assets 227 308 224