Outlook and strategic targets
Kojamo’s outlook for 2023
As stated in the Kojamo plc’s Interim Report 1 January–30 June 2023
Kojamo estimates that in 2023, the Group’s total revenue will increase by 7–9 per cent (previously 7–10 per cent) year-on-year. In addition, Kojamo estimates that the Group’s FFO for 2023 will amount to between EUR 158–167 million, excluding non-recurring costs (previously EUR 153–165 million).
The outlook is based on the management’s assessment of total revenue, property maintenance costs and repairs, administrative expenses, financial expenses, taxes to be paid and new development to be completed, as well as the management’s view on future developments in the operating environment.
The outlook takes into account the estimated occupancy rate and rises in rents as well as the number of apartments to be completed. In addition, the outlook takes into account the result of the repurchase of eurobonds and the effect on FFO of the possible premature financing of the eurobond due in 2024 (previously does not take into account the impact on FFO of potential premature funding of the eurobond due in 2024).
The outlook does not take into account the impact of potential acquisitions or disposals on total revenue and FFO.
The management can influence total revenue and FFO through the company’s business operations. In contrast, the management has no influence over market trends, the regulatory environment or the competitive landscape.
Strategic targets 2020–2023
| Strategic targets 2020–2023 | 1-6/ 2023 | 2022 | 2021 | 2020 | Target |
| Annual growth of total revenue, % | 8.6 | 5.5 | 2.0 | 2.3 | 4–5 |
| Annual investments, M€ | 116.3 | 501.6 | 356.9 | 371.2 | 200–400 |
| FFO/total revenue, % | 37.1* | 38.9 | 39.1 | 39.5 | > 36 |
| Loan to Value (LTV), % | 43.8 | 43.7 | 37.7 | 41.4 | < 50 |
| Equity ratio, % | 45.3 | 45.3 | 49.0 | 45.6 | > 40 |
| Net Promoter Score (NPS)** | 52 | 45 | 20 | 36 | 40 |
** The calculation method has changed 2022 for example including digital services in calculation. Target and actual for years 2021 and 2020 have not been adjusted to reflect the current calculation method.
Strategic targets until 2020
| FINANCIAL TARGETS | Actual 2019 | Actual 2018 | Actual 2017 | Actual 2016 | Actual 2015 |
| Equity ratio over 40% | 46.9% | 43.0% | 41.3% | 40.7% | 41.1% |
| Loan to Value (LTV) less than 50% | 40.5% | 45.9% | 46.0% | 47.1% | 39.8% |
| Funds from Operations (FFO) over 32% of total revenue | 37.5% | 32.4% | 32.0% | 31.9% | 34.9% |
| OPERATING TARGETS | Actual 2019 | Actual 2018 | Actual 2017 | Actual 2016 | Actual 2015 |
| Fair value of investment property portfolio EUR 6 billion | 5.1 | 5.1 | 4.7 | 4.3 | 4.0 |
| Number of apartments appr. 38,000 | 35,272 | 34,713 | 34,383 | 34,974 | 41,153 |
| Net Promoter Score: 40 | 33 | 35 |
Page updated 17 August 2023