A quarter with two distinct halves

The year began with new record levels for rents, property prices and yield requirements. However, during the second half of the quarter, a black swan in the form of Covid-19 flew in and darkened the world. Despite this, Fabege can report a strong first quarter.

• Rental income decreased to SEK 711m (718). The decrease was due to property divestments. In an identical portfolio, rental income increased by approximately 6 per cent (19).
• Net operating income increased to SEK 520m (509). In an identical portfolio, net operating income increased by approximately 9 per cent (19).
• The surplus ratio amounted to 73 per cent (71).
• Profit from property management decreased to SEK 369m (366).
• Realised and unrealised changes in the value of properties amounted to SEK 1,854m (1,324).
• Net profit after tax for the period amounted to SEK 1,574m (1,148), corresponding to SEK 4.78 per share (3.47).
• Net letting amounted to SEK 15m (-107).
• The equity / assets ratio was 55 percent (52) and the loan-to-value ratio was 32 percent (36).

“We are obviously affected by the covid-19 pandemic and by what is happening, irrespective of how robust we are. We are well-prepared, together with our tenants, to get through this and to also take advantage of the opportunities that such a crisis can create. In the current uncertain situation, I am thankful that we have long-standing and good relationships with banks and other financiers. Our strategy of spreading our financing among many sources is a strength ‒ even though some of the financing cost us more in a period when capital market financing has been very cost-effective,” says Stefan Dahlbo CEO.

Fabege AB (publ)

Presentation of the report
At 09:00 am today, Stefan Dahlbo, CEO, and Åsa Bergström, CFO, will hold a telephone conference in Swedish. Follow it via webcast or using the following phone numbers SE: +46 8566426 95 UK: +44333300 92 67 US: +1833823 058

A telephone conference in English will be held at 11:00 am. Follow it via webcast or using the following phone numbers: UK: +44333300 90 35 US: +1833249 8403 SE: +46 8566427 06

For further information, please contact:
Stefan Dahlbo, CEO, Fabege, +46 8 555 148 10, stefan.dahlbo@fabege.se
Åsa Bergström, Deputy CEO and CFO, +46 8 555 148 29, asa.bergstrom@fabege.se

This information is information that Fabege Ab is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Market Act. The information was submitted for publication, through the agency of the contact person set out above, at 07:30 CET on April 21 2020

Fabege is a property company that focuses on urban development and commercial properties. We work with strategic partners to develop attractive and sustainable city districts with modern offices, residential units and a wide range of services. We adopt a long-term perspective and approach to ownership, and we are passionate about creating the right conditions for everyone who lives, works and spends time in our areas. We have a presence in a select number of fast-growing submarkets in the Stockholm area. The Fabege share is listed on Nasdaq Stockholm, in the Large Cap segment. For further information, please visit us at www.fabege.se