LHN - Maybank Research 2024-12-02: Core Earnings A Beat; Make Yourself At Home

• Excluding fair value gains and other non-recurring items, LHN (SGX:41O)'s FY24 core PATMI of S$29m beat our/market expectation at 116%/106% of MIBG/street full year estimates. The stellar performance was mainly driven by strong demand for its co-living segment, which achieved a high occupancy rate of 97.5%, coupled with stable rental rates.
• - Read this at SGinvestors.io -

Co-living business the key growth driver

• Notably, the co-living business in Singapore remains the primary growth driver for LHN, with revenue jumping by 85.5% y-o-y to S$52.4m in FY24. This arose primarily from
  1. - Read this at SGinvestors.io -
  2. full contribution at 2 Mount Elizabeth Link and Lavender Collection; as well as
  3. services provided under Coliwoo’s management.
• LHN targets to add about 800 new rooms every year via master Lease or selective acquisition (including the ongoing conversion of floors in the GSM Building to residential spaces).

Moving towards an asset-light model

• Read more at SGinvestors.io.

Eric Ong Maybank Research | https://www.maybank.com/ 2024-12-02 SGinvestors.io

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