Eastnine: Operational excellence - ABG

Strong on every single operational metric
MFG is still in play
12x earnings without MFG potential


Another round of positive estimate revisions

The Q1 report had NOI slightly above expectations, which in combination with lower net financial expenses filtered through to a significant IFPM beat. Occupancy increased by 30bps q-o-q to 96.6%, the NOI margin expanded by 4.2pp y-o-y to 92.5%, net letting was positive, and the outlook for vacancies/rents in Eastnine's markets was either unchanged or revised for the better. We raise NOI by ~3% thanks to the proven operating leverage and CEPS by ~9-7% for 2023-2025e.

Länk till analysen i sin helhet: https://cr.abgsc.com/foretag/eastnine/Equity-research/2023/5/eastnine---operational-excellence/