Petri Roininen, the managing director of Investors House, a real estate investment company, announced the release of the company’s financial statements for the past year and disclosed its results for the October-December period. During this time, Investors House experienced a decline in turnover from 2.1 million euros to 1.8 million euros compared to the same period in the previous year. The net income also decreased from 0.65 million euros to 0.55 million euros while the operating result went down from 0.36 million euros to 0.34 million euros.
The decrease in performance during the last quarter was primarily due to several factors, including a decrease in fully owned property values by around 1.0 million euros and a goodwill write-down of subsidiary Juhola Asset Management by 0.6 million euros. Additionally, incentive fees totaling 0.03 million euros added to this decline.
However, on a positive note, changes in value of investment properties owned by associated companies contributed approximately 1.5 million euros to the overall result.
Investors House’s EPRA NRV (Net Present Value of Real Estate) at end of December stood at 5.76 euro per share compared to 6.23 at end of previous year.
Looking ahead, Investors House projected that its results for next year would be similar to those of last year despite challenges such as COVID-19 pandemic, inflation and rising interest rates.
Roininen commented on the success of strategic plan 2020-23 stating that despite challenges such as COVID-19 pandemic and rising interest rates, the company achieved almost all its established goals while maintaining strong equity and liquidity through meaningful partnerships with customers.
Regarding real estate valuations, Investors House faced challenges due to increase in yield requirements resulting from rising interest rates which led to decreased property values.
However, Roininen highlighted that Investors house countered this challenge by improving occupancy rates , implementing full rent increases and engaging in real estate development line with its strategic objectives .