Swedish property company Wallenstam AB on Tuesday reported a sharp rise in third-quarter profit, swinging back from a loss a year ago, helped by a positive revaluation of its financial derivatives.
The Gothenburg-based landlord posted a net profit of 682 million Swedish kronor for the three months ending Sept. 30, compared with a loss of 269 million kronor in the same period last year, the company said.
The result was boosted by a positive change of 159 million kronor in the value of its financial instruments, a significant reversal from the second quarter when a large loss on these derivatives wiped out the company's profit.
Income from property management, a measure of core operational performance, rose to 344 million kronor from 316 million kronor a year earlier.
Wallenstam's net asset value per share, a key indicator of a property company's worth, increased to 59.70 kronor from 57.50 kronor at the end of 2024.
"The business is performing strongly and delivering – income from property management rose by almost 14 percent compared to the previous year and the net asset value increased by SEK 2.20 per share since year-end," CEO Hans Wallenstam said in a statement.
The company is working toward its recently revised net asset value goal of 80 kronor per share by 2030, which it lowered from 100 kronor in September due to challenging economic conditions.
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