Outlook and financial targets
Kojamo’s outlook for 2020
As given in the Financial Statements Release 2019
Kojamo estimates that in 2020, the Group’s total revenue will increase by 2–6 per cent year-on-year. In addition, the company estimates that the Group’s FFO for 2020 will amount to between EUR 142–156 million, excluding one-off items.
The outlook takes into account the effects of the completed housing divestments and acquisitions, the estimated occupancy rate and rises in rents, as well as the number of apartments to be completed. The outlook is based on the management’s assessment of total revenue, net rental income, 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.
Additionally,
the outlook is based on strong demand sustained by migration, which will
increase Like-for-Like rental income. 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
Kojamo published updated strategic targets in connection with Financial Statements Release 2019 on 13 February 2020.
| Strategic targets 2020–2023 | Target |
| Annual growth of total revenue, % | 4–5% |
| Annual investments, M€ | 200–400 M€ /year |
| FFO/total revenue, % | > 36 |
| Loan to Value (LTV), % | < 50 |
| Equity ratio, % | > 40 |
| Net Promoter Score (NPS) | 40 |
Previous strategic targets
| FINANCIAL TARGETS | Actual Jan–Sep 2019 | Actual 2018 | Actual 2017 | Actual 2016 | Actual 2015 |
| Equity ratio over 40% | 42.0% | 43.0% | 41.3% | 40.7% | 41.1% |
| Loan to Value (LTV) less than 50% | 46.7% | 45.9% | 46.0% | 47.1% | 39.8% |
| Funds from Operations (FFO) over 32% of total revenue | 37.9% | 32.4% | 32.0% | 31.9% | 34.9% |
| OPERATING TARGETS | Actual Jan–Jun 2019 | Actual 2018 | Actual 2017 | Actual 2016 | Actual 2015 |
| Fair value of investment property portfolio EUR 6 billion | 5.4 | 5.1 | 4.7 | 4.3 | 4.0 |
| Number of apartments appr. 38,000 | 35,061 | 34,713 | 34,383 | 34,974 | 41,153 |
| Net Promoter Score: 40 | 33 | 35 |
Page updated 13 February 2020