KMC Properties ASA, a real estate company focusing on industrial and logistic properties, recorded a strong fourth quarter 2022, with net operating income increasing 11 per cent to NOK 61.7 million from the previous quarter. For the full year, rental income came in at NOK 226.1 million.
“We continued to deliver on our ambitious growth strategy in the period, adding two attractive production facilities in Norway to our portfolio, while progressing on our development projects according to schedule and budget. Like most of our properties, the new projects benefit from having strategic locations, modern facilities, long lease agreements and solid counterparties operating in attractive industries, in line with our investment strategy,” says Liv Malvik, CEO of KMC Properties.
For the fourth quarter, KMC Properties posted an income of NOK 61.7 million, up from NOK 57.7 million for the third quarter. Net income from property management ended at NOK 23.7 million, up from NOK 22.2 million for the previous quarter. At year-end, the group’s property portfolio value stood at NOK 4.0 billion, up from NOK 3.1 billion at the end of last year, and from NOK 3.7 at the end of the third quarter.
KMC Properties announced the acquisition of two production facilities in the fourth quarter, both with solid tenants. The first was a modern industrial property at Ågotnes near Bergen, with a lease agreement of which there was 8.4 years left of the initial lease term with the tenant PSW Technology AS. The total consideration was approximately NOK 128 million, with a gross yield of 7.0 per cent on the total investment cost. The facility has a strong environmental profile, which played an important role in the investment decision. Further, in December, KMC Properties acquired a production facility in Fredrikstad for NOK 52 million, with a 12-year lease agreement with Biobe AS, owned by BEWI Invest.
In 2021, KMC Properties announced a total of five acquisitions and three development projects, growing the portfolio by approximately 30 per cent. The company’s growth journey shows no signs of slowing down in 2022, with two additional acquisitions announced in January and February 2022. The company’s pipeline of new investment opportunities across Northern Europe continues to develop, with several attractive leads firming up.
“2021 was eventful for KMC Properties and we are proud of what we accomplished over the course of our first year. We enter 2022 with a strong organisation, a solid financial platform, an increasingly diversified property portfolio, and an attractive pipeline of opportunities, enabling us to continue to deliver on our growth ambitions. Our strategic target of achieving a NOK 8 billion real estate portfolio by the end of 2025 is well within reach,” Malvik concludes.
For more information, please see the full report and presentation for the fourth quarter 2021 attached.
CEO Liv Malvik and CFO Kristoffer Holmen will present the company’s financial results for the fourth quarter 2021 on Thursday 24 February 2022 at 10:00 CET. The presentation, which is open to all, will be hosted by Pareto Securities, at the 11th floor of Dronning Mauds gate 3 in Oslo. The presentation can also be followed by a live webcast from www.kmcp.no/en/investors
The presentation will be held in English and questions can be submitted throughout the event. The streaming event is available from the company’s website: www.kmcp.no/en/investors
For further information, please contact:
Liv Malvik, CEO of KMC Properties ASA, tel. +4748003175
Kristoffer Holmen, CFO KMC Properties ASA, tel. +4792814862
Charlotte Knudsen, IR and Communications KMC Properties ASA, tel. +4797561959
About KMC Properties ASA
KMC Properties is an Oslo Børs-listed real estate company focusing on industrial- and logistic properties. The company has a diversified portfolio of properties in the Nordics and the Netherlands, as well as an office building in Moscow, Russia. The properties are strategically located and have long lease agreements with solid tenants. KMC Properties has an ambitious strategy to grow the portfolio through further development of existing properties, as well as M&A initiatives.
The information is such that KMC Properties ASA is required to disclose in accordance with the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 07:00 CET on 24 February 2022.