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Investing.com -- Catena AB (ST:CATE) on Friday reported a 32% rise in profit from property management for the first half of 2025, supported by higher rental income and property acquisitions in Sweden and Denmark.
Profit from property management rose to SEK 801 million from SEK 608 million a year earlier, according to the company’s interim report.
Rental income increased 26% to SEK 1.29 billion, driven mainly by project completions and acquisitions. The net operating surplus climbed 31% to SEK 1.09 billion, up from SEK 827 million.
Total (EPA:TTEF) profit for the period was SEK 671 million, compared with SEK 365 million last year. Earnings per share rose to SEK 11.11 from SEK 6.89.
Unrealized changes in property value were SEK 174 million, reversing a loss of SEK 161 million in the same period of 2024.
Derivative values decreased by SEK 129 million, compared with a gain of SEK 22 million the previous year.
The value of Catena’s investment properties increased to SEK 42.35 billion, up from SEK 41.56 billion at year-end 2024.
The company held 134 properties with a total lettable area of 3,026,000 square meters.
The economic occupancy rate was 96.5%, and the average lease term was 6.6 years. Certified properties accounted for 54% of the lettable area.
In the second quarter, Catena acquired a 25,400-square-meter logistics facility in Brøndby, Denmark, valued at SEK 414 million and leased to PostNord.
An additional agreement was signed for a distribution center in Jönköping with Elgiganten as tenant, set to transfer in September.
Three smaller properties were sold during the quarter for SEK 98 million, generating a net loss of SEK 3 million.
Investments during the first half totaled SEK 570 million. Projects included the final phase of Logistics Position Ramlösa in Helsingborg and a 14,000-square-meter facility for Rugvista in Malmö. As of June 30, projects in progress were valued at SEK 1.17 billion.
Interest-bearing liabilities totaled SEK 16.73 billion. The loan-to-value ratio was 38.6%, with an equity ratio of 51.7%. The average interest rate was 3.2%, down from 3.4% at year-end. Available liquidity stood at SEK 3.14 billion.
Green financing made up 73% of total debt. The company expanded its medium-term note program to SEK 8 billion.
Fixed-rate loans and derivatives accounted for 61% of total debt, with average debt maturity at 4.8 years. Outstanding unsecured bonds under the MTN program totaled SEK 3.15 billion.
EPRA net asset value per share rose to SEK 427.62 from SEK 396. Cash flow before working capital changes was SEK 6.62 per share, up from SEK 5.83.
The share price closed at SEK 482.60 on June 30, a 2% increase from year-end 2024. A dividend of SEK 9.00 per share was paid in two installments.
Danish operations contributed SEK 230 million in rental income, up from SEK 91 million.
Tenants such as DSV, DHL and ICA remained the largest. Environmental performance included energy intensity of 84 kWh per square meter and renewable energy output of 23,505 MWh.