“The fourth quarter results confirm the positive trend we saw during the year. At the same time, we have strengthened our positions in Malmö, Gothenburg and the Stockholm area. An improved letting ratio has resulted in increased profit from property management and allowed us to continue to generate strong cash flow. This enables us to grow further with new projects in order to develop our portfolio.”
16 February 2018, 8.00 a.m.
I am pleased to be able to say that Catena has again delivered in 2017. We succeeded in improving our letting ratio during the year, from 93 percent for 2016 to 94.7 percent by the end of 2017. A higher letting ratio, together with among other things, energy-enhancing measures in our properties, led to an increase in net operating surplus. Together with an improved financing structure, this entails that we can report stronger profit from property management. The farther down the income statement we get, the better it gets. Rental income for the full year is up 13 percent, net operating surplus up 16 percent and profit from property management is up 39 percent. This is according to plan and a prerequisite for continuing to grow and develop our portfolio of modern logistics properties. During the year, Catena became included in the EPRA, which has attracted new international investors.
Catena has a stated objective to grow through projects and acquisitions. We have prioritised active project development where we are well-equipped through strong finances and a land allocation of 1.7 million square metres but we also grow through acquisitions when there are opportunities to acquire strategically attractive items. A major and important acquisition during the fourth quarter was the five logistics properties in the Stockholm region we acquired from Kilenkrysset with a total lettable area of approximately 91,500 square metres.
2017 was the year when e-commerce, in absolute terms, grew faster than the traditional retail in Sweden. Not least Black Friday, Cyber Monday and the ensuing Christmas retail season mapped out the future trend, where upward of 40 percent of the retail activity was online. E-commerce in regard to FMCG and dining out is also expected to grow strongly over the next few years. I see us continuing with new production in strategic locations and engaging further in conversion and expansion projects. This way, we can broaden our customer offering, increase our income, reduce expenses and improve our performance. By being well-informed, curious and responsive, we will continue to drive the logistics solutions of the future.” Says CEO Benny Thögersen in his comments on the Interim Report.
For further information, please contact
Benny Thögersen, CEO, Tel. +46 706-60 83 50, email@example.com
Peter Andersson, Deputy CEO and CFO, Tel. +46 730-70 22 44, firstname.lastname@example.org