Link Prop Investment (LINKAB) H2 2024 earnings summary

Executive summary

• Reported stable financials for H2 2024 despite a decline in rental income due to increased vacancies; financial position remains strong compared to peers.

• Main property, Idédebatten 3, is 93% leased, primarily to multinational, high-credit tenants in R&D sectors.

• Sectra expanded its lease by 800 sqm and Qualcomm extended its lease to 2028; active efforts underway to fill remaining vacancies.

Financial highlights

• H2 2024 rental income: 20.5 MSEK (22.2), operating surplus: 13.7 MSEK (21.4), management result: 7.9 MSEK (17.8), net profit: 2.4 MSEK (10.2).

• Full-year 2024 rental income: 40.8 MSEK (43.8), operating surplus: 26.0 MSEK (37.8), management result: 14.1 MSEK (30.0), net profit: 3.3 MSEK (16.3).

• Lower results mainly due to higher vacancies, increased energy/maintenance costs, and higher financial expenses; 2023 included a one-off rent of 6.6 MSEK.

• Market value of property: 499 MSEK (474).

Outlook and guidance

• Expect stronger rental income in H1 2025 based on current lease agreements.

• No major lease expirations in the next 18 months; positive impact anticipated if market interest rates fall.

• Board proposes 8 SEK/share dividend for 2024, paid quarterly.