Stendörren: Sector-high earnings growth - ABG

CEPS miss on one-off tax item
Halving hybrid leads to higher CEPS
'24e-'26e CEPS CAGR of ~14% vs sector at ~9%


Divestment triggered one-off tax

Stendörren reported Q1'24 rental income and NOI in line with expectations adjusted for one-off income from an insurance payment (~SEK 8m). During the quarter, Stendörren divested a logistics property in Botkyrka for SEK 202m to the Swedish Transport Administration, comprising 14,825 sqm (~1.8% of total lettable area). The property was to be affected by a major highway renovation, and had it not been sold voluntarily it could have been subject to eminent domain. Due to the sale being structured as a property transaction (as opposed to the customary sale of a subsidiary) the transaction triggered capital gains tax, causing a one-off spike in current tax for the quarter and a 16% miss on CEPS.

Länk till analysen i sin helhet: https://cr.abgsc.com/foretag/stendorren/Equity-research/2024/5/stendorren---sector-high-earnings-growth/