Gothenburg, August 19, 1999

 
Castellum´s profit for first half-year SEK 223 million

 
Net income after tax for the first half of 1999 amounts to SEK 223 million compared with SEK 164 million for the first half of 1998.

Earnings per share was SEK 4.46 compared with SEK 3.29 during the corresponding period previous year.

Income from property management improved 27 % compared with the corresponding period previous year.

The net income after tax for the first half of 1999 amounts to SEK 223 million equivalent to SEK 4.46 per share. The cash flow including capital gain from property sales amounts to SEK 289 million equivalent to SEK 5.78 per share.

The improvement in net income is made up of both increased income from current property management and increased capital gain on property sales. The income from property management, i.e. the net income for the period excluding capital gain from property sales, amounted to SEK 140 million compared with SEK 110 million during the first half of 1998, an improvement of 27 %. The earnings improvement has been achieved through increased rental income due to raised rent levels and lower vacancies as well as lower property- and financial costs. Also implemented acquisitions and investments in existing properties have contributed to the increase in profit. The net profit for the first half-year has been influenced by capital gains of SEK 83 million compared with SEK 54 million during January-June previous year.

- "We account for an income from property management that is 27 % better than the correspon-ding period previous year ", says Castellum´s president, Thomas Alexandersson. "In the light of the positive market trend as well as our own investments which will gradually increase the growth of the company, I can foresee a continuously positive development for Castellum."



Enclosed: Interim Report January - June 1999

 

For further information, please contact
Håkan Hellström, CFO, tel +46 31 60 74 00 / mobile +46 705 60 74 56