Cibus Nordic - Operating profit as expected
Cibus posted Q3 results largely in line with expectations. Operating income (rental income less property and central administration expenses), at EUR 11.3m, was close to our EUR 11.5m estimate. Larger than expected financial expense items meant profit from property management was a little soft as Cibus is developing its own organization.
- Q3 rental income amounted to EUR 13.2m vs our EUR 13.3m estimate.
- Net rental income stood at EUR 12.5m, compared to our EUR 12.4m expectation.
- Operating income was recorded at EUR 11.3m while we expected EUR 11.5m.
- Net operating income (profit from property management) was EUR 7.3m, falling short of our EUR 8.5m projection due to higher than expected financial expense items. Cibus is in the process of transitioning administration as well as asset management back to the company from third-parties.
- Annual net rental income capacity stands at EUR 49.9m (unchanged).
- The property portfolio is valued at EUR 862m, which translates to an EPRA NAV of EUR 11.4 (previously EUR 11.3) per share.
- Net debt LTV ratio was 58.9% (previously 59.0%) at the end of Q3.
- Occupancy rate stood at 94.5% (94.3% in Q2’19).