Du är här

2014-04-23

Klövern AB (publ) : Interim Report January - March 2014

Income increased by 9 per cent to SEK 587 million (541).

The operating surplus increased by 15 per cent to SEK 368 million (321).

Profit from property management increased by 15 per cent to SEK 163 million
(142).

Changes in value of properties amounted to SEK 157 million (-56), of
derivatives to SEK -156 million (157) and share in earnings of associated
companies amounted to SEK -45 million (-).

Net profit amounted to SEK 87 million (200), corresponding to SEK 0.24 (0.92)
per common share.

Taking possession of 2 properties for SEK 276 million and sale of 3 properties
for SEK 33 million.

Globen City was acquired and taken possession of at the beginning of the
second quarter.

Statement by the CEO

A good first quarter
"
Klövern reported a strong profit from property management for the first
quarter of the year. This was partly due to a mild winter but also a result
of successful letting work and good cost control. The quarter was otherwise
characterized by continued transaction activity, not least in the form of
intensive work with the acquisition of Globen City.

Income continued to develop well, partly due to the high level of moving in at
the end of 2013. Moving-in continued to be high during the first quarter of
2014 with a contract value of almost SEK 50 million per year.

We are also happy that we, after the end of the first quarter, have signed a
12-year lease with Tele2 regarding 20,000 sq. m. of office space in Kista.
The premises will be part of a newly constructed 27,000 sq. m. office
building and clearly illustrate the attractiveness of Kista.

A general focus on cost management, in combination with the mild winter, has
allowed Klövern to produce a strong operating surplus. The operating margin
in the first quarter was 63 per cent, compared to 59 per cent for the same
period in 2013.

The market for property transactions has stayed strong. This is partly because
of a greater willingness to lend among banks but also because of an
increasing amount of new investors in the property market. Properties today
provide a, in many cases, far better return on investment than for example
the bond market.

The largest transaction of the past quarter was Globen City, but since the
acquisition occurred on 11 April, the transaction is not included in the
accounts for the period. The transaction includes the properties Arenan 2, 3,
6 and 8 in Stockholm as well as Startboxen 3 in Solna. Total lettable area
amounts to around 140,000 sq.m. and mainly consists of offices. We believe
that the Globen district will have an even more central status in the
expanding Söderstaden area and that it will form one of the truly attractive
office locations south of Stockholm's city.

During the quarter we completed the acquisition of the property Idéskaparen 2
in Linköping. It is a modern office property of 23,600 sq.m., wholly rented
on a 10 year lease contract. Klövern also signed a contract for the
acquisition of the property Köpmannen 5 in Västerås from IKEA Fastigheter.
The property is being completely refurbished and will consist of almost
17,000 sq.m. of retail space with, among others, Systembolaget, Willys and
Rusta as tenants.

With a view to securing financing for above all the Globen acquisition,
Klövern issued an uncovered bond loan in February with a duration of four
years. The bond loan has a variable interest rate of three-month Stibor +
2.25 per cent. In comparison with Klövern's October 2012 uncovered bond issue
with a duration of four years and three months at three-month Stibor + 4.00
per cent, it is clear that the bond market has matured. Although bank loans
are normally the cheapest form of financing, the cost for bonds are now
almost on par with bank loans.

In conclusion, the result of the first quarter of the year is positive as
regards both operating activities and attractive acquisitions", says Klöverns
CEO Rutger Arnhult.

For further information, please contact:
Rutger Arnhult, CEO, +46 70-458 24 70,rutger.arnhult@klovern.se

Lars Norrby, IR, +46 76-777 38 00, lars.norrby@klovern.se
Klövern is a real estate company committed to working closely with customers
to offer them efficient premises in Swedish growth regions. As of 31 March
2013, the value of the properties totalled approximately SEK 24.6 billion and
the rental value on an annual basis was around SEK 2.6 billion. Klövern is
listed on Nasdaq OMX Stockholm Mid Cap. For further information,
seewww.klovern.se.

Klövern AB (publ), Box 1024, SE-611 29 Nyköping, Sweden. Phone: +46 155-44 33
00, fax: +46 155-44 33 22,
e-mail: info@klovern.se.

This information is such that Klövern AB (publ) is obliged to disclose under
the Securities Market Act and/or the Financial Instruments Trading Act. The
information was made available for publication on 23 April 2014.

Klövern AB (publ): Interim Report January - March 2014
http://hugin.info/134084/R/1778732/607556.pdf

---------------------------------------

This announcement is distributed by NASDAQ OMX Corporate Solutions on behalf of NASDAQ OMX Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: Klövern AB (publ) via Globenewswire

HUG#1778732

Författare Hugin

Tala om vad ni tycker

Tala om vad ni tycker

Ni är just nu inne på en betaversion av nya aktiespararna. Lämna gärna feedback på vad ni tycker i formuläret nedan.