Lumo (LUMO) Q4 2024 earnings summary

Executive summary

• Total revenue and net rental income increased in 2024, despite a challenging rental market with continued oversupply, especially in the capital region.

• FFO declined due to higher finance and maintenance expenses, but the balance sheet and liquidity remained strong.

• Occupancy improved in Q4 compared to Q3, though the annual financial occupancy rate declined year-over-year.

• Savings Program targets were achieved, with significant reductions in investments and operating costs.

• The Board proposes no dividend for 2024 to support credit rating and financial stability.

Financial highlights

• Total revenue increased by 2.3% to EUR 452.4 million; net rental income rose 1.9% to EUR 302.9 million.

• FFO decreased by 11.4% to EUR 148.2 million; profit before taxes was EUR 26.3 million (2023: -112.3 million).

• Gross investments reduced by 72.3% to EUR 52.8 million; equity ratio at 43.2%; LTV at 43.9%.

• Net rental income margin was 66.9%; EPRA NRV per share EUR 18.51.

• Cash and cash equivalents at year-end totaled EUR 333.6 million; committed credit lines of EUR 375 million.

Outlook and guidance

• 2025 revenue growth expected between 1% and 4%; FFO guidance set at EUR 135–145 million, excluding non-recurring costs.

• Top-line growth to be driven mainly by improved occupancy and moderate rent increases.

• No major completions expected to impact revenue in 2025; guidance excludes potential impacts from acquisitions or disposals.

• Modernization investments to increase from last year but remain below 2023 levels; repairs to be in line with 2024.