Interim report 1 Jan–31 Mar 2025
"During Q1 2025, we completed two projects in the Göteborg area consisting of 540 residences. Furthermore, during the period, we sold our share in a joint venture project, which comprised 409 residencies under production and 713 completed residencies. In April, a housing project in Kista Äng, Stockholm, was sold via a forward funding transaction. The project consisted of 310 residences, a small number of commercial premises and 117 parking spaces, and construction will start shortly. This is the first pure forward funding sale in some time, which makes the transaction particularly pleasing. During the year, we estimate that around 1,900 residencies will be completed. In terms of results, Q1 has shown an improvement compared to the previous quarter, despite a continued challenging market."
Johan Tengelin,
CEO
"During Q1 2025, we completed two projects in the Göteborg area consisting of 540 residences. Furthermore, during the period, we sold our share in a joint venture project, which comprised 409 residencies under production and 713 completed residencies. In April, a housing project in Kista Äng, Stockholm, was sold via a forward funding transaction. The project consisted of 310 residences, a small number of commercial premises and 117 parking spaces, and construction will start shortly. This is the first pure forward funding sale in some time, which makes the transaction particularly pleasing. During the year, we estimate that around 1,900 residencies will be completed. In terms of results, Q1 has shown an improvement compared to the previous quarter, despite a continued challenging market.
At the start of the quarter, we successfully issued a new bond of SEK 825 million. In connection with this, we redeemed our three previous bonds totalling SEK 1,226 m, thereby reducing our debt. At the same time, we received additional capital contributions from our owners, which has given the company a stable financial foundation. At the same time, we implemented further cost savings and replaced our regional offices with two central units, a business development unit and a project development unit.
We announced new goals in Q1. In accordance with our goals and established business plan, we will create stable, long-term and continuous value growth by developing attractive, sustainable living environments in Sweden's metropolitan areas. Our focus remains on developing homes for sale - a segment where we see long-term demand. We note growing interest in housing projects among investors, domestic and international, and several forward funding transactions were completed during the period. Overall, this gives the market a strong signal, even if recovery is taking place slowly.
Since it started in 2009, the company has delivered over 13,500 residencies to the Swedish market and we now look forward to continuing to sell, develop and deliver top-quality, sustainable, energy-efficient homes to our customers.
Johan Tengelin,
CEO
January-March 2025
As an urban developer, we put people in focus and start from a life cycle perspective where environmental factors and security play a major role.
