Cibus is reporting its Q1 results on 12 May. We expect net operating income of EUR 17.7m, up 6% q/q and 36% y/y owing to acquisitions conducted during the past year. We expect income from property management (IFPM) of EUR 11.0m, up 18% q/q and 61% y/y. We are largely in line with Infront consensus on the Q1 numbers. Cibus currently trades at a 46% premium to Q4 EPRA NAV, ie at a clear premium to the Nordic real estate sector. Cibus's infrastructure-like exposure to daily goods- and grocery-anchored retail assets provides a stable stream of rental income with only a limited threat from e-commerce, which creates a stable dividend profile and warrants a premium valuation. We keep our peer-, P/EPRA NAV- and DCF-based fair value range of SEK 160-180, corresponding to a 2021E dividend yield of 5.5-6.2% and a 2021E adjusted P/E range of 14.5-16.4x. Marketing material commissioned by Cibus. Marketing material commissioned by Cibus.

equityresearch@nordea.com

Nordea Research