SATO Corporation’s Half-Year Report 1 January to 30 June 2023: Stable occupancy rate in a competitive market
SATO Corporation, Half-Year Report 18 July 2023 at 9:00 am
*Summary for 1 January to 30 June 2023 (1 January to 30 June 2022)*
· *The economic occupancy rate was **95**.****% (94.8).*
· *Net sales totalled EUR **142**.**4* *million **(147.2)**.*
· *Net rental income was EUR **93**.**4** million** (**98.4**)**.*
· *Profit before taxes was EUR **-101**.**2** million **(144.5)**.*
· *The **unrealised **change in the fair value of investment properties included in the result was EUR **-122**.**** million (**40**.**3**)**.*
· *Housing investments amounted to EUR **92**.**7* *million** (**68**.5)**. *
· *Invested capital at the end of the review period was EUR **4**,**554**.**9** million** (4,613.5)**.*
· *Return on invested capital was **-3**.****% **(**7.3**)**. *
· *Equity was EUR **2**,**400**.**9** million (2,462.2), or EUR **42**.**41** per share (43.49).*
· *Earnings per share were **EUR **-1**.**51** (2.04)**.*
· *A total **of **648** (**191**) **rental apartments were acquired or completed.*
· *A total of 679 new rental apartments (1,001) and 0 owner-occupied homes (0) and 0 **FlexHomes** (52) are under construction. *
· *SATO completed the divestment of the housing business in Russia on 14 April 2023. The transaction had no significant effect on SATO Corporation’s result. *
· *Despite the challenging competitive situation, SATO has succeeded in improving the occupancy rate. *
*Summary for 1 April to 30 June 2023 (1 April to 30 June 2022)*
· *The economic occupancy rate was **95**.****% (95.0).*
· *Net sales totalled EUR **71**.**5** million (72.5). *
· *Net rental income was EUR **52**.**5** million** (**54.0**). *
· *Profit before taxes was EUR **-69**.**1** million (37.6).*
· *The **unrealised **change in the fair value of investment properties included in the result was EUR **-75**.**1** million (**-42**.**3**).*
· *Housing investments amounted to EUR **46**.**5 **million** (44.7).*
· *Earnings per share were EUR **-1**.**05** (0.54).*
· *A total of **513** (191) rental apartments were acquired or completed.*
· *A total of 679 new rental apartments (1,001), 0 owner-occupied homes (0) and 0 **FlexHomes** (52) are under construction. *
· *In April 118 and in June 104 SATO rental homes were completed in **Veräjämäki**, **Oulunkylä**, Helsinki. In April 132 rental homes were completed in **Hervantajärvi**, Tampere, and in June 159 rental homes were completed in **Keimolanmäki**, Vantaa. Following full renovation, 95 rental homes were completed in Kallio, Helsinki, and 30 rental homes were completed in **Etelä-Haaga**, Helsinki. *
*President and CEO Antti Aarnio:*
- During the period under review, SATO’s occupancy rate improved and was 95.0% (94.8). After the coronavirus pandemic, demand for SATO rental homes has been picking up since spring 2022 and there is demand for rental homes in growth centres. Spurred by the war in Ukraine, the economic uncertainty and higher consumer prices and interest rates are also in part reflected in the rising demand for rental homes.
- There has been a significant decline in the volume of new housing construction projects commenced, but previously started projects will still result in a large number of new homes being completed this year, maintaining intense competition for good tenants. Due to the competitive situation, it has not been possible to transfer the higher maintenance and interest rate costs in full to apartment rents, but the increase in demand, higher costs and, on the other hand, a significant decline in new construction may result in higher rents in the future.
- As the level of inflation and interest rates appears to be staying higher than was anticipated, there may be upward pressure on the return requirement for real property. Going forward, this may affect the fair value of investment assets.
- A large number of rental apartments were completed during the 1 April to 30 June 2023 review period: in April 118 and in June 104 SATO homes were completed in Veräjämäki, Helsinki, in April 132 homes in Hervantajärvi, Tampere, and in June 159 homes were completed in Keimolanmäki, Vantaa. Following full renovation, 95 rental homes were completed in Kallio, Helsinki, and 30 in Etelä-Haaga, Helsinki, both in June.
- This year will see the completion of a total of 978 SATO rental homes. The industry-wide volume of new construction projects commenced is, however, at a historically low level, and the supply of new rental homes will decrease over the years ahead. The full renovation of a total of 545 SATO homes will be completed this year.
- We completed the divestment of our housing business in Russia on 14 April 2023. SATO had operated in St Petersburg since 2007 and owned 522 rental apartments. Following the transaction, SATO no longer has operations in Russia. The transaction had no significant effect on SATO Corporation’s result.
- SATO is strongly invested in increasing its presence close to customers and in digital services. During the first half of this year, we continued to build a consistent and seamless customer service experience. We have developed and reformed our digital operating environment and our operational information systems that enable us to operate more efficiently and serve our customers even better at any time of the day.
- In April, we outsourced SATO’s rent payments process to Ropo Capital Oy, which is now responsible for functions including sending our rent invoices, processing payments and customer service relating to payments.
- Director for Marketing and Communications at SATO since 2020, Laura Laamanen, MA, was appointed Chief Commercial Officer and member of the Corporate Management Group effective 11 May 2023.
- I would like to thank SATO employees for their great work to develop customer satisfaction and the housing comfort of our residents.
*Operating environment*
Over the reporting period, SATO’s operating environment was affected especially by inflation and the continued high level of rental housing supply. Inflation has remained high despite the price pressure having become more moderate after the winter months thanks to lower energy prices in particular. Core inflation has, however, persisted at a high level and clearly above the two per cent target of the central banks. The European Central Bank still continued to hike rates in June. The market expects the interest rate hikes to still continue in July. Inflation is projected to slow to below two per cent in 2024.
The persistently high inflation has weakened consumers’ purchasing power, but the good employment situation has maintained service sector demand and stimulated the economy. Due to the increased interest rates, Finland will likely drift into a mild recession this year, and GDP is projected to grow by approximately one per cent in 2024 thanks to slower inflation and higher income growth.
The economic uncertainty, persistently high interest rate level and increases in living costs have affected the number of housing transactions. In 2023, transaction volumes of both new and old homes have been exceptionally low, which has had a strong impact on the number of housing construction projects commenced. The Confederation of Finnish Construction Industries RT forecast of 29 March projects that the volume of new housing construction will decline by almost a third this year to around 27,000 homes. According to a housing production survey published on 1 June, the number of new housing construction projects started will be clearly lower than that anticipated in March. Projects started in 2021 and in early 2022 will still maintain the supply of new homes at a high level in the Helsinki Metropolitan Area throughout 2023, which means competition for good tenants will be intense and rent increases moderate. Higher maintenance costs will be reflected in more substantial rent increases in the future.
With the good employment situation continuing, migration to large growth centres has continued and Helsinki region’s migration gain in 2022 was 17,420 people. This is reflected in the demand for rental homes in growth centres. The economic uncertainty and the climbing home loan interest rates coupled with increasing energy and other costs may also contribute towards growth in demand for rental housing. Some of those looking for a home to buy are now also considering a rental home as an option.
The urbanisation trend continues and dense urban housing is becoming increasingly popular in Finland. There is demand for rental homes in growth centres close to good public transport connections and services. The Helsinki Metropolitan Area (HMA), Tampere and Turku continue to enjoy strong growth, while at the same time Statistics Finland forecasts a downturn in the nationwide population trend in 2031. The HMA is projected to grow by more than 200,000 new residents by 2040. Almost 80% of HMA residents already live in households with one to two members, and the number of small households continues to grow. The proportion of immigrants is projected to increase in the HMA from the current 17% to 25% by 2030. The ageing population is moving to growth centres providing access to services and expects more and more housing-related services. The demographic change and the price development of owner-occupied homes create a stable foundation for rental housing demand, especially in the HMA, Tampere and Turku.
*REVIEW PERIOD 1 JANUARY TO 30 JUNE 2023 (1 JANUARY TO 30 JUNE 2022)*
*Net sales and profit*
In January–June 2023, SATO Corporation’s consolidated net sales totalled EUR 142.4 million (147.2).
Operating profit was EUR -68.6 million (166.8). Operating profit without the change in the fair value of investment properties was EUR 53.4 million (126.5). The change in fair value through profit or loss was EUR -122.0 million (40.3).
Net financing expenses totalled EUR -32.6 million (-22.3).
Profit before taxes was EUR -101.2 million (144.5). Cash earnings (free cash flow after taxes excluding changes in fair value) in January–June amounted to EUR -9.6 million (84.6).
Earnings per share were EUR -1.51 (2.04).
*Financial position and financing*
The consolidated balance sheet total at the end of June was EUR 5,091.9 million (5,164.9). Equity totalled EUR 2,400.9 million (2,462.2). Equity per share was EUR 42.41 (43,49).
The Group’s equity ratio at the end of June was 47.2% (47.7). EUR 180,0 million in new long-term financing was drawn and the solvency ratio at the end of June was 42.0% (41.2).
The Group’s annualised return on equity was -7.0% (9.6). Return on invested capital was -3.0% (7.3).
Interest-bearing liabilities at the end of June totalled EUR 2,153.9 million (2,151.4), of which loans on market terms amounted to EUR 2,019.8 million (1,980.5). The average loan interest rate was 3.2% (1.8). Net financing expenses totalled EUR -32.6 million (-22.3).
The calculated impact of changes in the market value of interest hedging on equity was EUR -2.6 million (31.4).
The proportion of loans without asset-based securities was 87.9% (83.5) of all loans. At the end of June, unencumbered assets accounted for 89.8% (88.8) of total assets.
*Housing business*Our housing business includes rental activities, customer service, lifecycle management and maintenance. Effective rental activities and digital services provide home-seekers with quick access to a home, and the Group with a steadily increasing cash flow. High-quality maintenance operations ensure the comfort of residents and that the apartments stay in good condition and maintain their value. We serve our customers in daily housing issues through our customer-oriented service organisation.
Rental income was EUR 142.4 million (147.2). On average, the economic occupancy rate of apartments was 95.0% (94.8%) and the external tenant turnover 26.1% (27.6).
At the end of the reporting period, the average monthly rent of SATO rental homes was EUR 18.05/m^2 (17.84).
Net rental income from apartments totalled EUR 93.4 million (98.4).
*Investment properties *
On 30 June 2023, SATO owned a total of 25,143 homes (24,949). The reporting period saw the completion of 648 rental homes (191). The number of divested rental apartments totalled 525. The period under review saw the divestment of SATO’s housing assets, a total of 522 rental homes, in St Petersburg.Fair value
The development of the value of rental apartments is a key factor for SATO. Its housing stock is concentrated in areas and apartment sizes which are expected to be the focus, in the long term, of increasing rental apartment demand. The allocation of building repairs is based on life-cycle plans and repair need specifications.
At the end of June, the fair value of investment properties came to a total of EUR 4,956.0 million (4,976.7). The change in the value of investment properties, including the rental apartments acquired and divested during the reporting period, was EUR -88.2 million (-56.0).
The value of properties funded with ARAVA loans or interest-subsidised loans would be EUR 280 million higher when valuated with income value method.
At the end of June, the commuting zone of the Helsinki Metropolitan Area accounted for around 87.5% and Tampere and Turku together made up around 12.5% of the value of apartments.
Investments, divestments and property development
Investment activities are used to manage the housing portfolio and prepare the ground for growth. Since 2000, SATO has invested more than EUR 3 billion in non-subsidised rental apartments. SATO may acquire and build entire rental buildings and single rental apartments. Property development allows for new investments in rental apartments. The rental potential and value of rental apartments owned by SATO are developed through renovation activities.
Investments in rental apartments totalled EUR 92.7 million (68.5). The Helsinki Metropolitan Area represented 88.2% of all investments during the period under review. New apartments accounted for 54.0% of the total. In addition, on 30 June 2023 there were binding purchase agreements to a total of EUR 57.7 million (133.8).
In April 118 and in June 104 SATO rental homes were completed in Veräjämäki, Oulunkylä, Helsinki. Jokiniementie 46 and 48 are Osta vastuullisesti homes ranked by an independent sustainability panel, which means they are an above-average choice in terms of sustainability. The design of these energy-efficient buildings of energy class A caters for ease of use and maintenance as well as adaptability. The buildings have geothermal heating. In April, 132 rental homes were also completed in Heittoniitynkuja, Hervantajärvi, Tampere. The design of Heittoniitynkuja 5 takes account of energy efficiency and building solutions that will last for decades. The heat source for the buildings is geothermal heat.
In June, 159 rental homes were completed in Lincolninaukio, Keimolanmäki, Vantaa. Located close to nature in Keimolanmäki, this Osta vastuullisesti property is in energy class A and heated with geothermal heat. The ground floor of the Lincolninaukio building features 12 dual-purpose innovation apartments with a ceiling height of around 4 metres that can be used as business premises or homes.
June saw the completion of the full renovation of the Castréninkatu property in Kallio, Helsinki, that took around a year and a half. The modernisation involved the replacement of the property’s water and drain pipes, electrical and building automation and control systems as well as the kitchens, bathrooms and other rooms of the apartments. Constructed in the 1930s, the apartment building now has 95 fully refurbished rental homes. In addition, the full renovation of 30 rental homes in Ansaritie, Etelä-Haaga, Helsinki, was completed in June.
Earlier in the year, in February 135 apartments were completed in Runoratsunkatu, Vermonniitty, Espoo, and in January the full renovation of 30 homes was completed in Ansaritie, Etelä-Haaga and in March 42 homes in Piispantie, Reimarla, Pitäjänmäki, Helsinki.
The book value of the plot reserve owned at the end of June totalled EUR 48.2 million (42.2). The value of new plots acquired by the end of June totalled EUR 0.0 million (7.7).
Permitted building volume for around 1,400 homes is being developed for plots in the company’s housing portfolio. This allows SATO to utilise existing infrastructure, create a denser urban structure and thus bring more customers closer to services and public transport connections.
During the period under review, 648 rental homes (191), 0 owner-occupied homes (0) and 0 FlexHomes (0) were completed. On 30 June 2023, a total of 679 rental homes (1,001), 0 owner-occupied homes (0) and 0 FlexHomes (52) were under construction.
A total of EUR 14.9 million (11.3) was spent on repairing apartments and improving their quality.
During the period under review, 3 (2,015) rental homes were divested. Their total value amounted to EUR 0.5 million (208.3).
SATO completed the divestment of the housing business in Russia on 14 April 2023. SATO had operated in St Petersburg since 2007 and owned 522 rental apartments. The transaction had no significant effect on SATO Corporation’s result.
*Personnel*At the end of June, the Group had 358 (342) employees, of whom 294 (294) had a permanent employment contract. The average number of personnel in January–June was 332 (329).
*REVIEW PERIOD 1 APRIL TO 30 JUNE 2023 (1 APRIL TO 30 JUNE 2022)*
*Net sales and profit*
In April–June 2023, SATO Corporation’s consolidated net sales totalled EUR 71.5 million (72.5).
Operating profit was EUR -51.5 million (48.8). Operating profit without the change in the fair value of investment properties was EUR 23.6 million (91.2). The change in fair value through profit or loss was EUR -75.1 million (-42.3).
Net financing expenses totalled EUR -17.6 million (-11.2).
Profit before taxes was EUR -69.1 million (37.6). Cash earnings (free cash flow after taxes excluding changes in fair value) in April–June amounted to EUR -11.3 million (58.8).
Earnings per share were EUR -1.05 (0.54).
*Housing business *
Our housing business includes rental activities, customer service, lifecycle management and maintenance. Effective rental activities and digital services provide home-seekers with quick access to a home, and the Group with a steadily increasing cash flow. High-quality maintenance operations ensure the comfort of residents and that the apartments stay in good condition and maintain their value. We serve our customers in daily housing issues through our customer-oriented service organisation.Rental income was EUR 71.5 million (72.5). On average, the economic occupancy rate of apartments was 95.0% (95.0) and the external tenant turnover 26.4 % (29.0).
At the end of the reporting period, the average monthly rent of SATO rental homes was EUR 18.05/m^2 (17.84).
Net rental income from apartments totalled EUR 52.5 million (54.0).
*Investment properties *
On 30 June 2023, SATO owned a total of 25,143 homes (24,949). The reporting period saw the completion of 513 rental homes (191). The number of divested rental apartments totalled 522.
Fair value
The development of the value of rental apartments is a key factor for SATO. Its housing stock is concentrated in areas and apartment sizes which are expected to be the focus, in the long term, of increasing rental apartment demand. The allocation of building repairs is based on life-cycle plans and repair need specifications.
At the end of June, the fair value of investment properties came to a total of EUR 4,956.0 million (4,976.7). The change in the value of investment properties, including the rental apartments acquired and divested during the reporting period, was EUR -88.9 million (-152.3).
The value of properties funded with ARAVA loans or interest-subsidised loans would be EUR 280 million higher when valuated with income value method.
At the end of June, the commuting zone of the Helsinki Metropolitan Area accounted for around 87.5% and Tampere and Turku together made up around 12.5% of the value of apartments.Investments, divestments and property development
Investment activities are used to manage the housing portfolio and prepare the ground for growth. Since 2000, SATO has invested more than EUR 3 billion in non-subsidised rental apartments. SATO may acquire and build entire rental buildings and single rental apartments. Property development allows for new investments in rental apartments. The rental potential and value of rental apartments owned by SATO are developed through renovation activities.
Investments in rental apartments totalled EUR 46.5 million (44.7). The Helsinki Metropolitan Area represented 89.5% of all investments during the period under review. New apartments accounted for 48.6% of the total. In addition, on 30 June 2023, there were binding purchase agreements to a total of EUR 57.7 million (133.8).
In April 118 and in June 104 SATO rental homes were completed in Veräjämäki, Oulunkylä, Helsinki. Jokiniementie 46 and 48 are Osta vastuullisesti homes ranked by an independent sustainability panel, which means they are an above-average choice in terms of sustainability. The design of these energy-efficient buildings of energy class A caters for ease of use and maintenance as well as adaptability. The buildings have geothermal heating. In April, 132 rental homes were also completed in Heittoniitynkuja, Hervantajärvi, Tampere. The design of Heittoniitynkuja 5 takes account of energy efficiency and building solutions that will last for decades. The heat source for the buildings is geothermal heat.
In June, 159 rental homes were completed in Lincolninaukio, Keimolanmäki, Vantaa. Located close to nature in Keimolanmäki, this Osta vastuullisesti property is in energy class A and heated with geothermal heat. The ground floor of the Lincolninaukio building features 12 dual-purpose innovation apartments with a ceiling height of around 4 metres that can be used as business premises or homes.
June saw the completion of the full renovation of the Castréninkatu property in Kallio, Helsinki, that took around a year and a half. The modernisation involved the replacement of the property’s water and drain pipes, electrical and building automation and control systems as well as the kitchens, bathrooms and other rooms of the apartments. Constructed in the 1930s, the apartment building now has 95 fully refurbished rental homes. In addition, the full renovation of 30 rental homes in Ansaritie, Etelä-Haaga, Helsinki, was completed in June.
The book value of the plot reserve owned at the end of June totalled EUR 48,2 million (42.2). The value of new plots acquired by the end of June totalled EUR 0.0 million (7.7).
Permitted building volume for around 1,400 homes is being developed for plots in the company’s housing portfolio. This allows SATO to utilise existing infrastructure, create a denser urban structure and thus bring more customers closer to services and public transport connections.
During the period under review, 513 rental homes (191), 0 owner-occupied homes (0) and 0 FlexHomes (0) were completed. On 30 June 2023, a total of 679 rental homes (1,001), 0 owner-occupied homes (0) and 0 FlexHomes (52) were under construction.
A total of EUR 8.0 (6.2) million was spent on repairing apartments and improving their quality.
During the reporting period, 0 (2015) rental homes were divested. Their total value amounted to EUR 0.0 million (207.4).
SATO completed the divestment of the Russian housing business on 14 April 2023. SATO had operated in St Petersburg since 2007 and owned 522 rental apartments. The transaction had no significant effect on SATO Corporation’s result.
*Personnel*At the end of June, the Group had 358 (342) employees, of whom 294 (294) had a permanent employment contract. The average number of personnel in April–June was 340 (336).
*Events after the review period*
There are no material events after the review period.
*Short-term risks and uncertainties *Risk management is used to ensure that risks impacting the company’s business are identified, managed and monitored. The main risks of SATO’s business are risks related to the business environment and financial risks.
The war in Ukraine is a short-term risk affecting the operating environment, the duration and impacts of which on the Finnish economy are difficult to estimate. The war’s biggest impacts have been seen in the prices of energy, food and materials as well as in supply chains. The surge in prices has resulted in a rapid increase in the interest rate level. The increase in price level may slow economic growth, continue to considerably increase the interest rate level, and have a negative effect on the purchasing power of consumers as well as on their capacity to perform their obligations. Such a decline in the economy or economic activity may have an adverse effect on the financial performance or activities, finance costs or value of SATO-owned properties.
The highest risks in apartment rental are to do with cyclical movements and changes in supply and demand. The market risk may push the supply of rental homes higher than their demand. This would result in idle rental housing stock and pressure for rents to level off or fall, especially as regards old housing stock.
A decline in the housing market may have a negative effect on the market value of SATO’s housing stock. In line with its strategy, SATO has been focusing in its investments on growth centres and on renovating and repairing existing housing stock and, consequently, ensuring the rentability and value development of the apartments.
Changes in regulation by the authorities and in legislation and related uncertainty may have a significant impact on the reliability of the investment environment and, consequently, on SATO’s business. SATO monitors and anticipates these changes and also calls attention to what it considers to be negative impacts of regulation.
The management of financial risks is steered by the Group’s treasury policy. Our risk management principles have been defined in the treasury policy adopted by SATO’s Board of Directors. Our most significant financial risks relate to liquidity, refinancing and interest rates. We manage our liquidity and refinancing risks by diversifying the financing sources and maturity of our loan portfolio, and by holding sufficient liquidity reserves in the form of committed credit facilities and other financing commitments. The company has in place an EUR 2.0 billion Euro Medium Term Notes (EMTN) Programme, under which SATO has issued bonds in the total amount of EUR 750.0 million.
The means for managing liquidity risk at SATO include cash assets, a bank account limit, EUR 700.0 million in committed credit facilities and a EUR 400.0 million commercial paper programme. We increase the amount of reserves as the funding requirements grow. Our objective is to keep the liquidity requirements of the next 12 months covered by committed agreements.
Floating rate loans represent an interest rate risk which we manage by balancing the share of fixed and floating rate loans either by fixed rate debt arrangements or interest rate derivatives. In accordance with our treasury policy, our aim is for fixed-rate loans, including interest rate derivatives, to account for more than 60% of our debt portfolio. At the end of the review period, the fixed rate portion of the loan portfolio after hedging was 62.9% (excluding short-term loans).
For a broader description of risks and risk management, see the Group’s website and Annual Report for 2022 at www.sato.fi/en.
*Outlook *
In the operating environment, SATO’s business activities are mainly affected by consumer confidence, development of purchasing power, rent and price development for apartments, competitive situation and interest rate level. Inflation has remained high despite the price pressure having become more moderate after the winter months thanks to lower energy prices in particular. Core inflation has, however, persisted at a high level and clearly above the two per cent target of the central banks. The European Central Bank still continued to hike rates in June. The market expects the interest rate hikes to still continue in July. Inflation is projected to slow to below two per cent in 2024.
The persistently high inflation has weakened consumers’ purchasing power, but the good employment situation has maintained service sector demand and stimulated the economy. Due to the increased interest rates, Finland will likely drift into a mild recession this year, and GDP is projected to grow by approximately one per cent in 2024 thanks to slower inflation and higher income growth.
With the volume of new housing construction projects commenced declining, the supply of rental homes is also projected to decrease in the next few years. This is anticipated to improve the occupancy rate and opportunities to transfer the higher costs to apartment rents. Higher maintenance costs will be reflected in more substantial rent increases in the future.
The urbanisation trend continues and dense urban housing is becoming increasingly popular in Finland. There is demand for rental homes in growth centres close to good public transport connections and services. The economic uncertainty and the climbing home loan interest rates coupled with increasing energy and other costs also contributes towards growth in demand for rental housing. Some of those looking for a home to buy are now also considering a rental home as an option.
In line with its majority shareholder’s operating model, SATO Corporation will not publish guidance on its 2023 earnings. The parent company of Balder Finska Otas AB is Fastighets AB Balder, which is quoted on the Stockholm Stock Exchange.
*SATO Corporation’s shareholders on 30 June 2023 *
Largest shareholders and their holdings
Number of shares *%*
Balder Finska Otas AB (Fastighets AB Balder)
31,971,535 56.3%
Stichting Depositary APG Strategic Real Estate Pool
12,811,647 22.6%
Elo Mutual Pension Insurance Company
7,233,081 12.7%
State Pension Fund of Finland
2,796,200 4.9%
Valkila Erkka
385,000 0.7%
SATO Corporation
166,000 0.3%
Entelä Tuula
159,000 0.3%
Heinonen Erkki
146,684 0.3%
Tradeka Invest Ltd
126,500 0.2%
Research Foundation of the Pulmonary Diseases
120,000 0.2%
Others (117 shareholders) 867,420 1.5%
On 30 June 2023, SATO had 56,783,067 shares and 127 shareholders registered in the book-entry system. The share turnover rate was 0.0% for the period from 1 January to 30 June 2023.
*For media enquiries please contact:*
Antti Aarnio, President and CEO, phone: +358 201 34 4200
Markku Honkasalo, CFO, phone: +358 201 34 4226
www.sato.fi/en
*ENCLOSURES*
Half-Year Report 1 January to 30 June 2023
Half-Year Report presentation 1 January to 30 June 2023
*DISTRIBUTION*
NASDAQ Helsinki Ltd, Euronext Dublin, main media, www.sato.fi/enSATO Corporation is an expert in sustainable rental housing and one of Finland’s largest rental housing providers. SATO owns around 25,000 rental homes in the Helsinki Metropolitan Area, Tampere and Turku.
SATO aims to provide an excellent customer experience and a comprehensive range of urban rental housing alternatives with good access to public transport and services. We promote sustainable development and work in open interaction with our stakeholders. SATO invests profitably, sustainably and with a long-term view. We increase the value of our assets through investments, divestments and repairs.
In 2022, SATO Group’s net sales totalled EUR 291.2 million, operating profit EUR 198.9 million and profit before taxes EUR 151.9 million. The value of SATO’s investment properties is around EUR 5 billion. www.sato.fi
*Attachments*
· Half-year report 1 January - 30 June 2023
· Half-year report presentation 1 January - 30 June 2023