Kojamo Plc Reports Positive Performance in Q3 and Year-to-Date 2025

In its latest Interim Report covering the period from January 1 to September 30, 2025, Kojamo plc has demonstrated a solid performance characterized by increased occupancy rates, an uptick in both total revenue and net rental income, indicating a strong operational trajectory in Finland's residential real estate sector.

Overview of Performance

Kojamo's report highlights an increase in total revenue from EUR 338.8 million in the previous year to EUR 343.6 million in 2025, marking a 1.4% growth. The net rental income followed suit, boosted by a similar 1.4% increase, resulting in a current total of EUR 231.6 million. The company’s net rental income, which is crucial to its financial health, represented 67.4% of its overall revenue. Despite these gains, the company's profit before taxes saw fluctuations, improving to EUR 9.1 million from a loss of EUR 14.3 million the previous year, though notable challenges remain with property valuation impacts reflected in the numbers.

Key Financial Highlights

In the recent quarter (July to September 2025), total revenue slightly increased by 0.4%, reaching EUR 113.6 million, while net rental income came in at EUR 86.0 million, showing a 0.3% increase. Earnings per share during this period were reported at EUR 0.11, compared to EUR 0.16 in the same quarter last year. The funds from operations (FFO) decreased by 3.3% to EUR 44.1 million, underscoring challenges related to financial costs and necessary repairs that impacted profitability.

Strengthening Market Position

At the end of the review period, Kojamo's financial occupancy rate stood at a commendable 94.4%, a significant leap from the previous year’s 91.5%. This increase can be attributed to consistent tenant engagement and a decrease in tenant turnover, which collectively support the occupancy rate. In particular, the occupancy rate rose to 96.1% during the third quarter, aided by robust market conditions and effective property management strategies.

Strategic Investments and Property Management

Kojamo reported gross investments amounting to EUR 27.7 million during the first nine months, which reflects an increase compared to EUR 21.6 million from the previous year. Notably, the company completed the sale of 44 residential properties in July, significantly streamlining its portfolio while utilizing EUR 200 million from the sales to reduce debt, thus improving its financial leverage and liquidity position.

CEO's Perspective

CEO Reima Rytsölä expressed satisfaction with the company’s operational development, confirming that the groundwork laid across the year positions Kojamo favorably for future growth. He emphasized the company's stable balance sheet, absence of severe fluctuations in property value, and willingness to further engage in strategic reviews to refine existing operations and expansions. As part of this strategic outlook, Kojamo has planned a share buyback program to bolster shareholder value further.

Looking Ahead

For the remainder of 2025, Kojamo forecasts a modest revenue growth of 0–2% compared to the previous year, with expected FFO of EUR 135–141 million excluding non-recurring costs. This outlook considers ongoing market dynamics such as property supply adjustments and rental income fluctuations, aligning their strategies accordingly to mitigate potential risks while seizing opportunities for expansion.

Kojamo continues to navigate the complexities of the urban housing market, focusing on maintaining high occupancy rates and enhancing property value through strategic investments and service developments tailored to meet customer needs. As the leading private residential real estate entity in Finland, Kojamo remains committed to fostering better urban living environments, ensuring that it stands at the forefront of the housing sector.