Kojamo plc Insider information, 15 July 2024 at 11:45 a.m. EEST

HELSINKI, July 15, 2024 /PRNewswire/ -- Kojamo lowers its outlook for 2024 for total revenue and for Funds From Operations (FFO).

New outlook for 2024

Kojamo estimates that in 2024, the Group's total revenue will increase by 2-4 per cent year-on-year. In addition, Kojamo estimates that the Group's FFO for 2024 will amount to between EUR 142-152 million, excluding non-recurring costs.

Previous outlook for 2024 (according to the Kojamo plc's Interim report 1 January - 31 March 2024)

Kojamo estimates that in 2024, the Group's total revenue will increase by 4-7 per cent year-on-year. In addition, Kojamo estimates that the Group's FFO for 2024 will amount to between EUR 152-164 million, excluding non-recurring costs.

Background for the outlook change

There is still plenty of supply on the market, and the competitive situation is tough. The correction of the oversupply situation has been delayed especially due to the completion of previously started projects concentrating in the first half of the current year, and the unsold new apartments from owner-occupied housing having been moved into the rental market. The population growth has continued in Helsinki, Tampere and Turku regions due to internal migration and immigration, and the number of new residential start-ups has remained exceptionally low, which will be reflected in the small number of market-based apartments to be completed in 2025 and 2026. These factors are still expected to balance the demand and supply of rental apartments as well as to lead to a reduction in the supply of rental apartments on the market.

The market situation has an impact on Kojamo's total revenue growth and FFO. Additionally, FFO is affected by the cold weather at beginning of the year as well as the VAT increase taking effect in September.

The company's saving programme is progressing according to the plan.

Preliminary non-audited information about the development in H1 2024

Based on the preliminary non-audited information of initial calculations, the company's total revenue during the first half of the year 2024 was 225.6 (H1 2023: 217.1) million euros and its growth against the comparison period was 3.9 per cent. Correspondingly, the group's funds from operations (FFO) during the first half of the year was 68.2 (H1 2023: 80.5) million euros.

Kojamo plc's Half-Year Financial Report for January-June 2024 will be published on Thursday, 15 August 2024 at approximately 8:00 a.m. EEST. On the same day, there will be a news conference for institutional investors, analysts and media, in which it is possible to ask questions. The further details on the news conference will be published at Kojamo's website: https://kojamo.fi/en/