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Third party research

Eastnine: Operationally sound - ABG

Eastnine

This is a third party research report and does not necessarily reflect our views or values

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Minor negative revisions following Q1 report
Earnings growth of ~40% in '25e
Trading ~20% below sector average on P/CEPS


We trim our CEPS forecasts by 3% for '26e-'27e

Eastnine delivered a Q1 report with adj. recurring PTP -9% vs. ABGSCe (rental income included a positive one-off of EUR 0.13m), where most items were slightly below our expectations. The earnings capacity was solid and increased 2.3% q-o-q, but it could not fully offset, which leads us to trim our CEPS by ~3% for '26e-'27e. Value changes were solid (up 2.1%), driven by higher market rents in Warsaw and lower valuation yields in Poland. Management also highlights positive underlying demand in its markets. Poland/Lithuania/Latvia have seen their real GDP growth clearly outperform the European average during the past ~25 years, and macro forecasts imply continued outperformance in the next ~4-5 years.
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