Housing investment company Housing portfolio said on Wednesday evening that it would change its dividend policy, update its financial goals and clarify its financial guidelines.
According to the release, according to Asuntosalku’s new dividend policy, the company’s aim is to increase shareholder value in the long term. There are no defined goals for the distribution of profits, and the dividend policy is not a guarantee of distribution of profits in the future or every year.
The dividend distribution proposal is formed on a case-by-case basis.
In accordance with the previous dividend policy, the company’s aim was to increase the total dividend amount annually in the long term, taking into account the company’s financial position.
According to the updated financial goals, Asuntosalkku now aims for the combined fair value of Tallinn’s completed and under-construction apartments to reach the fair value of Finland’s completed and under-construction apartments in 2027.
The goal is also to set the lending ratio at 35–65 percent.
Previously, the company aimed for the combined fair value of finished and under-construction apartments in Estonia to reach the situation in Finland by the end of the fiscal year ending in 2025. The credit ratio target remained unchanged.
The instructions became more detailed
Asuntosalkku specifies its outlook for the fiscal year ending on September 30, 2024 and estimates the realized profit to be EUR 0.3–1.0 million.
The company also updated the background assumptions of its financial guidance. Asuntosalkku removed the uncertainty related to the price of interest rate protection from the mentioned uncertainties and stated that the harmonization of the accounting period of the Estonian subsidiary has been implemented and the non-recurring costs related to the loan refinancing process as a factor influencing the guidelines.
With the new guidelines, Asuntosalkku now estimates the group’s turnover to be EUR 17.5–20.0 million in the financial period ending on September 30. The company does not make a forecast of unrealized profit or loss from the valuation of investment properties to fair value.
The company estimates the realized profit of the ending financial year to be EUR 0.3–1.0 million.
The company previously said that it would refine its outlook later in the financial year by publishing an estimate of the realized profit.