Eastnine: Higher occupancy and earnings capacity - ABG

NOI +17% y-o-y and in-line with ABGSCe (+0.4%)
Positive value changes (0.2%), net LTV at 35%
EC IFPM +4.2% q-o-q, stable operational figures


NOI in line, rec PTP looks temporary burdened

Eastnine delivered a Q3 report with rental income of EUR 10.7m (+1.9% vs ABGSCe) and NOI of EUR 9.9m (+0.4% vs ABGSCe). Central admin came in broadly in line with expectations, while net financials were slightly above ABGSCe, leading to rec. PTP of EUR 5.5m being -8% vs ABGSCe. Looking at the net financial expenses per the Q2 and Q3 earnings capacities, Q3 actual figures is above both (+3.4% vs Q2 and +10.5% vs Q3), meaning we don't believe one should extrapolate higher net financials. Occupancy came up 0.8 pp sequentially to 94.4% and the like-for-like rental income growth is basically flat y-o-y (was negative by 0.4% as of Q2). The earnings capacity IFPM increased to EUR 23.9m, which is +4.2% q-o-q (driven by both better NOI and net financials) and +5.1% vs. ABGSCe 2024e.

Länk till analysen i sin helhet: https://cr.abgsc.com/foretag/eastnine/Equity-research/2024/10/eastnine---higher-occupancy-and-earnings-capacity/