Growth in Castellum's income from property management 6%

  • Rental income for the period January - June 2007 amounted to SEKm
   * Net income after tax for the year amounted to SEKm 674 (668),
     equivalent to SEK 4.11 (4.07) per share.
   * Income from property management improved by 6% to SEKm 442 (417),
     equivalent to SEK 2.70 (2.54) per share.
   * Net leasing has continued its strong trend during the period and
     amounted to SEKm 58 (41).
   * The level of investments has remained high during the period and
     was SEKm 1,492 (834).

Income from property management for the period, i.e. net income
excluding changes in value and tax, amounted to SEKm 442 (417),
equivalent to SEK 2.70 (2.54) per share. The improvement amounts to

During the period changes in value on properties and derivatives
amounted to, respectively SEKm 374 (325) and SEKm 120 (168). After
deduction for tax of SEKm 262 (242) net income for the period was
SEKm 674 (668), equivalent to SEK 4.11 (4.07) per share.

During the period investments totalling SEKm 1,492 (834) were made,
of which SEKm 995 (361) were acquisitions and SEKm 497 (473) new
construction, extensions and refurbishment. Further, 2 (7) properties
were sold for a total of SEKm 6 (126) which gave SEKm 2 (29) in
realized result.

"The project portfolio has a positive development with many major and
minor projects which in the long run will improve income from
property management" comments Castellum's CEO, Håkan Hellström. "In
the short term we now see negative effects of increasing market
interest rates" adds Håkan Hellström.

Enclosure: Half-year Report January - June 2007