Eik fasteignafélag hf. Reports Strong Financial Performance
News related to:Eik fasteignafélag hf · 3 min read
Eik fasteignafélag hf., a property management company, has released its condensed financial statements for the first nine months of 2026, detailing its financial performance and operations. The Interim Consolidated Financial Statements were approved by the Company’s Board of Directors and CEO, Hreiðar Már Hermannsson, on November 3, 2026. The report includes comprehensive information on the company’s operations, which have seen a significant increase in income from operations, with rental income accounting for a substantial portion of the total.
The company’s income from operations for the period from January 1 to September 30, 2026, amounted to ISK 11,132 million, marking a 19.8% increase from the same period in 2025. Of this, rental income stood at ISK 9,718 million, highlighting the company’s strong presence in the property rental market. Operating expenses, however, increased by 11.1% year-on-year to ISK 3,848 million, resulting in a slight decrease in the Net Operating Income (NOI) ratio to 72.9% from 71.0% in the corresponding period of the previous year.
The company’s operating profit before fair value change, sales gain, and depreciation (EBITDA) for the period amounted to ISK 7,284 million, representing a 24.9% increase from the same period in 2025. Adjusting for one-off items in 2025, the increase in EBITDA was 22.7%. The total comprehensive profit for the period was ISK 3,307 million, with net cash from operations amounting to ISK 4,238 million. The book value of investment properties stood at ISK 184,140 million, and the change in fair value of investment properties was recorded at ISK 6,121 million, resulting in a sales gain on investment properties of ISK 125 million.
Eik fasteignafélag hf. reported cash and cash equivalents of ISK 5,246 million, with interest-bearing debt totaling ISK 114,558 million. The company’s loan-to-value ratio, a measure of financial leverage, was 59.3%, indicating a relatively low level of debt relative to the value of its real estate, building permits, and plots. The earnings per share for the period were reported at ISK 0.97, reflecting the company’s financial performance to its shareholders.
The company’s economic occupancy rate was 95.1%, while the total occupancy rate was 93.5%. The weighted indexed interest was 3.81%, and the weighted unindexed interest was 9.17%. In terms of its financial position, the company’s total assets amounted to ISK 196,369 million, with investment properties valued at ISK 184,140 million. The equity of the company stood at ISK 54,350 million, and the total liabilities amounted to ISK 142,019 million, with interest-bearing debt accounting for ISK 114,558 million and the income tax liability for ISK 16,379 million.
In the quarter, Eik fasteignafélag hf. continued its strategy of acquiring and selling properties, adding Dalvegur 6-8 to its portfolio and selling smaller units where its ownership share was negligible. The conversion of Eyravegur in Selfoss has been completed, with the building fully let, including for sports activities. The company has also been active in the bond market, issuing bonds for ISK 18.7 billion across all series, including ISK 6.7 billion in the long series, and has announced an issuance plan for 2027.
The company’s portfolio continues to be simplified, with acquisitions of two properties for approximately ISK 4.0 billion, including the acquisition of properties for Brimborg and Kraftvélar. The net impact of the acquisitions and sales is estimated to increase annualised EBITDA by approximately ISK 260 million. The company’s outlook for 2026 is expected to be in the range of ISK 9,450-9,640 million, based on the consumer price index for October 2026.
The company has organized an open presentation meeting for market participants on November 4, 2026, at 8:30 AM, at the Company’s offices on the 18th floor of Smáratorg 3, where Hreiðar Már Hermannsson, CEO, and Lýður H. Gunnarsson, CFO, will present the results and answer questions following the presentation. Participants will receive an email with further information after registering.