Financial
Review 2024
Contents
About this report
Accounting policies and key estimates and
assumptions regarding business activities
are presented together with the relevant note.
The aim is to improve the presentation of how
operating result was formed, what assets were
used to achieve the business profits and how
business and asset transactions were financed.
The accounting policies have been marked with
a grey background.
Information on the key estimates and assumptions
have been marked with a beige background.
CFO Eero Sihvonen comments on significant
items during the reporting period.
Information to shareholders ..........................................................3
Citycon in brief ..................................................................................... 4
CEO’s interview .................................................................................... 5
Key figures ............................................................................................. 7
How we create value .........................................................................8
Report by the Board of Directors ................................................9
EPRA performance measures ................................................... 21
Operational key figures ................................................................. 28
(Re)development projects in progress .................................. 33
Risk and risk management ......................................................... 34
Shares and shareholders ............................................................. 36
Key figures and financial development for five years ...38
Formulas for key figures and ratios ........................................ 39
Citycon Oyj’s consolidated financial statements ���������41
Consolidated income statement, IFRS ................................. 41
Consolidated statement of other comprehensive
income, IFRS ...................................................................................... 41
Consolidated statement of financial position, IFRS ...... 42
Consolidated cash flow statement, IFRS ...........................43
Consolidated statement of changes in
shareholders’ equity, IFRS .......................................................... 44
Notes to the consolidated financial statements ���������� 45
1. Operating performance ����������������������������������������������������� 47
1.1. Segment information ..............................................................47
1.2. Gross rental income ...............................................................49
1.3. Revenue from contracts with customers ....................50
1.4. Property operating expenses ............................................ 51
1.5. Administrative expenses ......................................................52
1.6. Employee benefits and personnel expenses .............52
1.7. Other operating income and expenses ........................ 55
1.8. Earnings per share ................................................................. 55
2. Property portfolio and assets ����������������������������������������55
2.1. Investment properties and related liabilities .............. 55
2.2. Assets held for sale ................................................................ 59
2.3. Right-of-use assets .............................................................. 60
2.4. Investments in joint ventures and associates .......... 61
3. Financing �������������������������������������������������������������������������������63
3.1. Equity ............................................................................................ 63
3.2. Net financial income and expenses ..............................64
3.3. Classification of financial instruments ........................65
3.4. Loans ............................................................................................67
3.5. Financial risk management ...............................................67
3.6. Derivative financial instruments ..................................... 71
3.7. Commitments and contingent liabilities ......................73
3.8. Cash and cash equivalents ................................................73
3.9. Other non-current assets ....................................................73
4. Other notes to the accounts ������������������������������������������� 73
4.1. Income taxes ..............................................................................73
4.2. Deferred tax assets and liabilities ................................. 74
4.3. Intangible assets .....................................................................75
4.4. Trade and other receivables ..............................................75
4.5. Trade and other payables .................................................. 76
5. Consolidation ������������������������������������������������������������������������ 77
5.1. Acquisitions and disposals ..................................................78
5.2. Goodwill ....................................................................................... 79
5.3. Acquisition of non-controlling interests ..................... 80
5.4. Related party transactions and changes in
group structure ................................................................................. 81
5.5. Changes in IFRS and accounting policies .................. 82
5.6. Events after the reporting date ........................................ 82
Parent company financial statements, FAS �������������������83
Notes to the parent company’s financial
statements, FAS ............................................................................... 86
Signatures to the financial statements ................................90
Auditor’s report .................................................................................. 91
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Financial statementsFinancial review Financial Review 2024
Information to shareholders
Listing of Citycon’s shares
Citycon Oyj’s shares are listed on the Nasdaq Helsinki Ltd.
Large Cap list until 31 December 2024 and on the Mid Cap
list from 1 January 2025 onwards under the trading code
CTY1S. Citycon has one series of shares, and each share
entitles its holder to one vote at the General Meeting of
shareholders and to an equal dividend.
Annual General Meeting
Citycon Oyj’s Annual General Meeting will be held on
3 April 2025 at 12:00 noon. The notice, topics discussed
in the meeting, proposals made for the Annual General
Meeting, as well as the instructions on how to register
will be found on Citycon’s website.
Changes of address
Shareholders are requested to notify their book-entry
account operator or Euroclear Finland Ltd., whichever
holds the shareholder’s book-entry account, of any
changes to their name or address.
Publication of financial information
Citycon publishes financial information in English and
Finnish. All materials are available on Citycon’s website.
Subscription to publications
Citycon’s financial reports, stock exchange releases and
press releases can be ordered by registering an e-mail
address on Citycon’s website at citycon.com/newsroom.
Investor relations contacts
Citycon’s Investor Relations function assists in all
investor relations related questions. The primary contact
is the Investor Relations Manager, Anni Torkko
Asset distribution
The Board of Directors proposes to the Annual General
Meeting that the Board of Directors will be authorized
to decide on the distribution of assets from the invested
unrestricted equity fund.
Based on this authorization, the maximum total amount
of equity repayment distributed from the invested
unrestricted equity fund shall not exceed EUR 0.30
per share. Based on the current total number of issued
shares in the company (184,231,295), the authorization
would equal to a maximum of EUR 55,269,389 in equity
repayment.
The authorization is valid until the opening of the next
Annual General Meeting.
As disclosed on 15 November 2024, the Board of
Directors of Citycon Oyj has unanimously decided that
it will not use its authorization and no dividend or equity
repayment will be distributed until year end 2025. The
decision has been made to further increase the long-
term financial stability, and to strengthen the balance
sheet and the credit profile of the company.
Financial calendar 2025
Financial Statements Bulletin
and Financial Statements 2024 26 February
Interim Report
January–March 2025 13 May
Half-yearly Report
January–June 2025 6 August
Interim Report
January–September 2025 5 November
AGM 3 April
3
Financial statementsFinancial review Financial Review 2024
Citycon in brief
2
2
1
4
5
2
4
We create cities full of life�
For people� For communities�
For development� For growth�
Citycon is the leading owner and developer of urban hubs in
the Nordics and Baltics. Our 28 mixed-use, necessity-based centres
are located in the major cities in Finland, Sweden, Norway, Denmark
and Estonia. We transform unique locations into sustainable
communities and cities full of life, serving 125 million people each
year and delivering long-term share value.
Tot a l
3.6
Billion
Balanced Nordic portfolio
% of total value
Finland
Norway
Sweden
Denmark & Estonia
23%
8%
25%
44%
28
urban hubs
in 5 countries
serving 125 million
people each year�
Shopping centre
Bergen
Stockholm
Oslo
Gothenburg
Copenhagen
Helsinki
Tallinn
Denmark
& Estonia
3
urban hubs
Finland
9
urban hubs
Norway
10
urban hubs
Sweden
6
urban hubs
4
Financial statementsFinancial review Financial Review 2024
CEO’s interview
How would you summarize
the year 2024?
In 2024, we continued to demonstrate the strength
and stability of Citycon’s necessity-based strategy as
our assets continued to perform very well. The positive
operating results reflect the quality of our grocery-
anchored properties, which have a high proportion
of municipal and necessity tenants, connected to
transportation situated in convenient locations in
the largest Nordic cities. Our long-stated strategy of
creating mixed-use urban hubs is paying operational
dividends and driving traffic to our centres.
Citycon enjoyed strong growth in its operational
business in 2024 posting EUR 184 million in direct
operating profit. On the back of this strong performance,
total direct operating profit grew by +12.0% for Q1–
Q4/2024, adjusted EPRA Earnings by +12.1% and
total net rental income by +10.3% (all measured with
comparable FX) compared to the same period in 2023.
Excluding e.g. divested assets and acquisitions like-for-
like net rental income grew +4.6% compared to year
2023 (in comparable FX).
2024 was also the year in which we continued our
progress in solidifying the balance sheet. On the
transaction front, we continued to demonstrate the
inherent value and liquidity of Citycon’s portfolio.
Additionally, we actively managed the balance sheet
through multiple credit- and equity-related transactions
throughout the year.
How would you describe Citycon’s
operational performance in this past year?
The retail occupancy rate increased +20 bps over the
prior quarter to 95.3% and average rents increased
4.6% to 25.0 EUR/sq.m. The company signed over
175,000 sq.m. of leases during 2024, with new tenant
openings including a 7,300 sq.m. Prisma hypermarket in
Myyrmanni, a 3,200 sq.m. Selver grocery store in Rocca
al Mare, an over 1,800 sq.m. gym at Rocca al Mare and
the first Nike concept store in Helsinki suburban area
in Iso Omena. In December, Citycon announced that it
has signed a lease agreement with Terveystalo for an
over 4,000 sq.m. medical centre-hospital in Trio. The
strong leasing results reflect the quality of our grocery/
municipality anchored urban hubs and resulted in a rent
collection rate of 99%.
In 2024, Citycon completed important measures to
restructure its operations, reduce expenses, and improve
its balance sheet. Actions to reduce costs included
the outsourcing of accounting, and decentralization of
day-to-day decision making to the country level. These
actions completed in 2024 provide for a reduction in
G&A overhead to approximately EUR 23 million for
5
Financial statementsFinancial review Financial Review 2024
2025 onwards. In addition, the company significantly
reduced capital expenditures for 2024 and planned
further reductions in capital expenditures for 2025 to
approximately EUR 21 million.
What measures were taken in 2024 to
strengthen the balance sheet?
Additional measures were taken in 2024 to strengthen
the balance sheet, including asset disposals of EUR
354 million with proceeds used to repay debt. Total
divestments as of year-end 2024 reached EUR 475
million since the publication of our EUR 950 million
divestment target by 2026 which is 50% of our stated
goal. We anticipate another approximately 250 million
divestments through 2025 and intend to meet our full
divestment target in 2026.
The company also made the decision to suspend
dividend payments and repay short-term debt to push
out the average maturity schedule. In addition, Citycon
issued two new bonds during the year with outsized
demand from the market as the bonds were seven
and ten times oversubscribed and further improved
the debt maturity profile. These steps led S&P to
reaffirm our investment grade rating on November
19. The expansion in yields impacted the valuation
of the portfolio during 2024, which was partially
offset by realized rent growth occurring in our assets
resulting in an increase in the market rents used in the
valuation models within all of our main markets. For
the year, the book value of our assets decreased by
EUR -74.6 million. As interest rates continue to decline,
spreads should tighten which should positively impact
valuations for 2025.
What are Citycon’s areas of focus 2025?
As we begin 2025, the new operating model is up and
functioning, with country teams that now have full local
P&L accountability as well as separate Board oversight
for each country. While the company’s operational
results are among some of the best within the peer
group, Citycon still has room to further accelerate rent
growth. The company’s occupancy cost ratio is one
of the lowest in the industry at 9.4% and our tenants
continue to experience sales growth (like-for-like
+2.5% for 2024), which provides Citycon with ample
headroom for compounding rent growth. Taken together,
these factors give us confidence that 2025 results will
continue to build on the strong performance in 2024 and
our guidance reflects the ongoing belief in our unique
necessity-based urban hubs. As a result, the outlook for
2025 EPRA EPS is in the range of EUR 0.41–0.53 and
EPRA EPS excluding hybrid interests EUR 0.60–0.72.
Lastly, I want to welcome Mr. Oleg Zaslavsky to Citycon
as the new CEO starting on the first of March. As a
professional with over 20 years of experience in the real
estate sector, I am confident that he will bring valuable
expertise to Citycon and lead the company towards
even greater financial and operational results. I along
with the rest of the Board of Directors will be supporting
Mr. Zaslavsky during the transition period and moving
forward.
F� Scott Ball
Vice Chairman
and Interim Chief Executive Officer
We will continue to focus on
delivering on our strategy
of creating and operating
necessity-based retail hubs
in top Nordic locations�
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Financial statementsFinancial review Financial Review 2024
Key figures
Key figures 2024 2023
Net rental income, MEUR 214.7 195.7
Like-for-like net rental income growth 4.6% 6.5%
EPRA Earnings per share (basic) 0.620 0.651
EPRA NRV per share 7.87 9.30
Average interest rate 3.60% 2.61%
Tot a l
214.7
MEUR
Net rental income by segments
MEUR
Finland
Norway
Sweden
Denmark & Estonia
Other
80.9
30.9
60.5
42.4
Q1
2024
Q2
2024
Q3
2024
Q4
2024 2024
Rent collection rate
%
98%
98%
99%
99%
99%
2022 2023 2024
Tenant sales development
1
%
Like-for-like
Total
1
Sales figures include estimates. Sales figures exclude VAT and the change
has been calculated using comparable exchange rates. Including Kista
Galleria 100% in 2024. Kista Galleria 50% not included in 2022–2023
numbers.
5.2
3.4
-0.4
-1.1
2.5
0.0
2022 2023 2024
Net rental income development
MEUR
214.7
203.6
195.7
2023 Q3 2024 Q4 2024
Retail occupancy rate
1
%
95.3
95.1
95.4
1
Including Kista Galleria 100%.
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Financial statementsFinancial review Financial Review 2024
How we create value
How we create value?
Focusing on prime assets that we...
Assets in Nordic
prime locations
• Top 2 cities in each
country with strong
urbanisation
• Connection to public
transportation
Necessity-
based tenant mix
• Grocery anchored centres,
a large share of necessity
tenants
• Mixed-use hubs with
growing share of
municipalities
Proven asset
management
• Long lasting relationship
with municipalities
• Continued dialogue with
surrounding communities
• Sustainability embedded
in the operating model
Active capital
recycling
• Proceeds used to
repay debt
• Strengthen investment
grade balance sheet
Citycon – urban
convenience in the
heart of communities
…own,
• Strong portfolio of 28
convenience based centres
• Located in growing urban areas
in Nordic and Baltic cities
• Long-term investor
…manage,
• In-house real estate expertise
throughout the centre value chain
• Retail experts in 5 countries
• Pan-Nordic approach with
synergies and a cross-border
leasing team
…develop.
• Area development – creating
attractive places for living,
working and socializing
• Improved commercial
attractiveness and
competitiveness and better
places for our tenants to operate
We bring value to communities by developing urban hubs for
living, working, socialising and shopping. We have extensive
experience as an urban developer and use our expertise
when we create mixed-use centres that include retail, offices,
hotels, housing, food & beverage as well as healthcare,
culture and leisure services.
A stable core
business with
attractive
opportunities for
value creation
8
Financial statementsFinancial review Financial Review 2024
Report by the Board of Directors
Citycon continued to demonstrate the strength and
stability of its Nordic portfolio. Citycon’s operational
performance showed continued improvement
throughout the year as like-for-like net rental income
increased by 4.6%. The overall financial performance
remained solid in 2024 and reported Direct Operating
Profit, EPRA Earnings per share, and Adjusted EPRA
Earnings per share were EUR 183.6 million, EUR 0.620,
and EUR 0.491, respectively. Rent collection rate was
high at 99% for 2024 and reflects the high quality
and creditworthiness of Citycon’s tenants. Combined
with Citycon’s low occupancy cost ratio (9.4%) and
increasing tenant sales, there is ample headroom for
rent indexations also in 2025. Like-for-like tenant sales
increased 2.5% and like-for-like footfall 1.1% compared
to the previous year.
During year 2024, Citycon continued its active capital
management and further improved its balance sheet.
Actions included issuing equity, issuing two new bonds,
repaying debt and divesting assets. Bond issues further
improved the debt maturity profile as shorter term debt
was repaid with the funds. Both the EUR 300 million
bond issued in March and the EUR 350 million bond
issued in December had outsized market demand being
seven and ten times oversubscribed. Also funds from
the divestments will be used for repaying debt.
Main events in 2024
General:
• Citycon continued to demonstrate strong operational
performance.
• Citycon divested EUR 354 million of assets, funds
from divestments will be used to repay debt.
• Citycon was selected as one of Europe’s Climate
Leaders for the fourth consecutive year according to
the list drafted by the Financial Times and German
research company Statista. Citycon is the only Finnish
real estate company included in the list.
Operational performance:
• Q1–Q4/2024 like-for-like tenant sales 2.5%.
• Q1–Q4/2024 LFL footfall 1.1%
• Q4/2024 retail occupancy 95.3%, +20 bps vs.
Q3/2024
• Q1–Q4/2024 collection was 99%
• Q1–Q4/2024 average rent per sqm increased EUR 1.1
to EUR 25.0 (comparable FX)
• Q1–Q4/2024 positive leasing spread of 0.8%
• Q4/2024 9.4% LFL occupancy cost ratio
Key Figures
Citycon Group 2024 2023 % FX Adjusted %
1
Net rental income MEUR 214.7 195.7 9.7% 10.3%
Like-for-like net rental income development % 4.6% 6.5% - -
Direct operating profit
2
MEUR 183.6 164.8 11.4% 12.0%
IFRS Earnings per share (basic)
3
EUR -0.40 -0.70 42.8% 42.9%
Fair value of investment properties MEUR 3,627.8 3,858.2 -6.0% -
Loan to Value (LTV)
2
% 47.3 46.3 2.2% -
EPRA based key figures
2
EPRA Earnings MEUR 113.0 109.6 3.1% 3.8%
Adjusted EPRA Earnings
4
MEUR 89.5 80.6 11.0% 12.1%
EPRA Earnings per share (basic) EUR 0.620 0.651 -4.8% -4.1%
Adjusted EPRA Earnings per share (basic)
4
EUR 0.491 0.479 2.5% 3.4%
EPRA NRV per share
5
EUR 7.87 9.30 -15.4% -
1
Change from previous year (comparable exchange rates). Change-% is calculated from exact figures.
2
Citycon presents alternative performance measures according to the European Securities and Markets Authority (ESMA) guidelines. More information is
presented in Basis of Preparation and Accounting Policies in the notes to the accounts.
3
The key figure includes hybrid bond coupons, amortized fees and gains/losses and expenses on hybrid bond repayments.
4
Starting from the beginning of 2024, Citycon excludes reorganisation and one-time costs (Q1–Q4/2024: EUR 9.6 million) from Adjusted EPRA Earnings. Due to
this, Adjusted EPRA Earnings is not fully comparable with the previous year. The adjusted key figure includes hybrid bond coupons and amortized fees.
5
The effect of currency rates to EPRA NRV/share was EUR -0.16.
Outlook for 2025
EPRA Earnings per share (basic) EUR 0.41–0.53
EPRA Earnings per share excluding hybrid interests (basic) EUR 0.60–0.72
The outlook assumes that there are no major changes in macroeconomic factors and no major disruptions from the war in Ukraine. These
estimates are based on the existing property portfolio as well as on the prevailing level of inflation, the EUR–SEK and EUR–NOK exchange
rates, and current interest rates.
EPRA Earnings per share (basic) and EPRA Earnings per share excluding hybrid interests (basic) for 2025 are based on updated EPRA Best
Practices Recommendations (BPR) Guidelines published on the 1st of October 2024 and are not fully comparable with 2024 EPRA EPS key figures.
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Financial statementsFinancial review Financial Review 2024
Business environment
The Nordic economies, like the rest of the global
economy, are impacted by the uncertainty related
mainly to politics and structural forces challenging the
economies. The common denominator for the Nordic
countries is their strong financial position, thanks to high
personal savings, strong public finances and robust job
creation, which continue to persist. This provides these
economies a buffer and some degree of resilience.
The tenant mix of Citycon’s assets, consisting mainly
of grocery and service-oriented tenants, is less reliant
on consumer discretionary spending and the strategy
has already demonstrated its strength and resilience
throughout a variety of market conditions. In addition,
95% of the Company’s leases are tied to indexation.
(Source: SEB Nordic Outlook)
Balance sheet:
• In February, Citycon completed a directed share
issue of approximately EUR 48.2 million to
strengthen its balance sheet.
• In March, Citycon issued a 5-year EUR 300 million
green bond with a fixed coupon of 6.5% to refinance
its October 2024 bond maturity of EUR 310.3 million.
With this issue Citycon’s debt maturity profile was
significantly improved and refinancing risk was
further reduced.
• In June, Citycon finalised a hybrid exchange offer to
holders of the outstanding EUR 292 million green
capital securities (hybrid bond) that what was
coming to call in November 2024. An aggregate
principal amount of EUR 265,721,000 was accepted
in the exchange offer and thereby exchanged into a
new non-call 5.25-year hybrid bond with a 7.875%
coupon.
• In December, Citycon issued a 5.25-year EUR 350
million green bond with a fixed coupon of 5.0% to
repay its existing short-term debt. With this issue
Citycon’s debt maturity profile is significantly
improved and refinancing risk is further reduced.
• In December, Citycon tendered almost all its NOK
1,000 million and NOK 1,300 million outstanding
notes due in September 2025. The rest of the two
2025 NOK bonds were prepaid in a make-whole
exercise during January 2025.
Financial performance:
• Like-for-like net rental income in Q1–Q4/2024
increased 4.6%
• Total net rental income was EUR 214.7 million (Q1–
Q4/2023: EUR 195.7 million).
• EPRA Earnings were EUR 113.0 million (Q1–Q4/2023:
EUR 109.6 million). EPRA Earnings per share (basic)
was EUR 0.620 (Q1–Q4/2023: EUR 0.651)
• Adjusted EPRA earnings were EUR 89.5 million
(Q1–Q4/2023: EUR 80.6 million)
• IFRS earnings per share was EUR -0.40
(Q1–Q4/2023: EUR -0.70).
• The Board of Directors proposes to the Annual
General Meeting that the Board of Directors will be
authorized to decide on the distribution of assets from
the invested unrestricted equity fund. Based on this
authorization, the maximum total amount of equity
repayment distributed from the invested unrestricted
equity fund shall not exceed EUR 0.30 per share.
Based on the current total number of issued shares in
the company (184,231,295), the authorization would
equal to a maximum of EUR 55,269,389 in equity
repayment. The authorization is valid until the opening
of the next Annual General Meeting. As disclosed on
15 November 2024, the Board of Directors of Citycon
Oyj has unanimously decided that it will not use its
authorization and no dividend or equity repayment will
be distributed until year end 2025. The decision has
been made to further increase the long-term financial
stability, and to strengthen the balance sheet and the
credit profile of the company.
Business environment key figures
Finland Norway Sweden Denmark Estonia Euro area
GDP growth, 2024 -0.3% 2.3% 0.5% 2.8% -0.9% 0.8%
Unemployment, 2024 8.4% 4.0% 8.4% 5.9% 7.5% 6.4%
Inflation, 2024 1.0% 3.7% 1.9% 1.4% 3.7% 2.8%
Retail sales growth, 12/2024
1
2.3% 0.7% 5.3% 0.5% 1.1% 1.9%
1
% change compared with the same month of the previous year
Sources: SEB Nordic Outlook (February 2025)
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Financial statementsFinancial review Financial Review 2024
Net rental income
Total net rental income for Q1–Q4/2024 grew by +9.7%
and was EUR 214.7 million (Q1–Q4/2023: EUR 195.7
million). Kista Galleria increased the total net rental income
by EUR 12.2 million.
Like-for-like net rental income in Q4 increased 3.1%
compared to Q4/2023.
Like-for-like net rental income in Q1–Q4/2024 increased
by 4.6%.
Like-for-like net rental income from the Finnish operations
increased by 2.8% in Q1–Q4/2024. Like-for-like net rental
income from Norwegian operations increased by 4.8%
in Q1–Q4/2024. Like-for-like net rental income from the
Swedish operations increased by 9.1% in Q1–Q4/2024.
Like-for-like net rental income from the Danish & Estonian
operations increased by 4.8% in Q1–Q4/2024.
Occupancy, Sales and Footfall
The retail occupancy rate was 95.3% in Q4/2024 and was
10 bps lower versus the same time last year (Q4/2023:
95.4%). Economic occupancy for Q4/2024 was 94.1%
(Q4/2023: 94.3%). Furthermore, the average rent per
sq.m. increased by 1.0 EUR to 25.0 EUR (Q4/2023: 24.0
EUR). With comparable FX rates, average rent per sq.m
increased by 1.1 EUR. In Q1–Q4/2024 Citycon leased over
175,000 sq.m. with a positive leasing spread of 0.8%.
Like-for-like tenant sales increased 2.3% in Q4/2024 and
2.5% for Q1–Q4/2024 compared to the same time last
year.
Like-for-like footfall increased by 2.7% in Q4/2024 and
1.1% in Q1–Q4/2024 compared to the same period last
year.
Net rental income and gross rental income breakdown
Net rental income
Gross rental
income
MEUR Finland Norway Sweden
Denmark &
Estonia Other Total Total
2023 76.4 62.5 27.8 29.3 -0.4 195.7 215.3
Acquisitions - - 12.2 - - 12.2 16.7
(Re)development projects 2.7 -0.5 0.6 0.6 - 3.3 2.8
Divestments - -2.6 0.0 0.7 - -1.9 -2.3
Like-for-like properties
1
1.9 2.4 2.0 0.3 - 6.6 4.2
Other (incl. exchange rate differences) -0.1 -1.3 -0.1 0.0 0.3 -1.1 -1.2
2024 80.9 60.5 42.4 30.9 0.0 214.7 235.4
1
Like-for-like properties are properties held by Citycon throughout two full preceding periods and exclude properties under (re)development or extension.
Like-for-like and total net rental income development, 2024 vs. 2023
%
Like-for-like NRI Development
(at comparable exchange rates)
Total NRI Development
(at actual exchange rates)
Total NRI Development
(at comparable FX rates)
Finland Norway Sweden
Denmark &
Estonia Tot a l
4.6
9.7
10.3
2.8
9.1
52.5
52.0
5.9
5.9
4.8
5.4
5.4
4.8
-3.2
-1.4
Personnel key figures
2024 2023 2022
FTE at the end of the reporting
period 164 234 251
Wages and salaries, EUR million 19.3 19.1 18.9
Financial result Q1–Q4/2024 vs.
Q1–Q4/2023
Operating profit (IFRS) was EUR 29.8 million
(Q1–Q4/2023: EUR -38.0 million).
Administrative expenses were EUR 33.2 million
(Q1–Q4/2023: EUR 31.1 million) and included EUR 9.6
million of reorganisation and one-time costs. At the end
of the reporting period, Citycon Group employed a total
of 164 (31 December 2023: 234) full-time employees
(FTEs) of whom 36 worked in Finland, 45 in Norway,
30 in Sweden, 5 in Denmark & Estonia and 48 in Group
functions.
Net financial expenses (IFRS) increased to EUR 76.1
million (Q1–Q4/2023: EUR 47.7 million). EUR 20.3
million increase relates to higher interest expenses
on refinanced bond debt and consolidation on Kista
interest expenses, which was partially offset by FX
hedging gains and losses. In addition, an amount of
EUR 8.9 million indirect net losses (Q1–Q4/2023:
EUR 2.8 million loss) was booked related to fair value
changes of derivatives not under hedge accounting.
The company also recorded EUR 0.8 million gain on
early redemption of debt (Q1–Q4/2023: EUR 2.9 million
gain).
Share of loss of joint ventures and associated
companies totalled EUR -0.7 million (Q1–Q4/2023:
EUR -36.7 million) mainly due to the completion of the
transaction to acquire the remaining interest in Kista
Galleria at the end of February 2024 after which Kista
has no longer been treated as a joint venture.
Result for the period was EUR -37.9 million
(Q1–Q4/2023: EUR -115.0 million).
11
Financial statementsFinancial review Financial Review 2024
Tenant sales development, 2024 vs. 2023
1
%
1
Sales figures include estimates. Sales figures exclude VAT and the change has been calculated
using comparable exchange rates. Including Kista Galleria 100%.
Like-for-like sales
Total sales
(including impact of
divested assets)
4.0
2.8
1.4
0.0
2.5
-2.5
-3.4
1.3
11.3
-0.3
Finland Sweden
Denmark
& Estonia
Norway Tot a l
Footfall development, 2024 vs. 2023
1
%
1
Footfall figures include estimates. Including Kista Galleria 100%.
Like-for-like footfall
Total footfall
(including impact of
divested assets)
0.7
6.5
2.3
0.0
1.1
-8.5
3.1
-0.5
8.0
-2.4
Finland Sweden
Denmark
& Estonia
Norway Tot a l
Occupancy rate
1
%
1
Including Kista Galleria 100%.
31 December 2023
31 December 2024
Retail economic
Occupancy rate
31 December 2024
Finland Sweden
Denmark
& Estonia
Norway Tot a l
95.0
95.2
90.8
97.2
94.3
94.8
95.0
91.1
97.3
94.1
95.3
Occupancy Cost Ratio
1
%
1
The rolling twelve month occupancy cost ratio for like-for-like shopping centres. Including Kista Galleria 100%.
31 December 2023
31 December 2024
Occupancy Cost Ratio
without Groceries
31 December 2024
10.2
8.3
8.6
8.7
9.1
10.4
8.7
8.8
8.2
9.4
11.6
Finland Sweden
Denmark
& Estonia
Norway Tot a l
12
Financial statementsFinancial review Financial Review 2024
Property portfolio summary
31 December 2024
No� of
properties
Gross
leasable area
Fair value�
MEUR
Properties held
for sale� MEUR Portfolio� %
Shopping centres, Finland 9 335,805 1,574.5 67.4 44%
Other properties, Finland 1 2,191 3.6 - 0%
Finland, total 10 337,996 1,578.1 67.4 44%
Shopping centres, Norway 9 277,788 814.1 - 22%
Rented shopping centres, Norway
1
1 14,440 - - -
Other properties, Norway 1 8,126 - 13.7 0%
Norway, total 11 300,354 814.1 13.7 22%
Shopping centres, Sweden 6 264,888 902.2 - 24%
Sweden, total 6 264,888 902.2 - 24%
Shopping centres, Denmark & Estonia 3 96,259 292.9 - 8%
Other properties, Denmark & Estonia 1 - 3.1 - 0%
Denmark & Estonia, total 4 96,259 296.0 - 8%
Shopping centres, total 28 989,180 3,583.7 67.4 98%
Other properties, total 3 10,317 6.8 13.7 1%
Investment properties, total 31 999,497 3,590.5 81.1 99%
Right-of-use assets classified as
investment properties (IFRS 16) - - 37.3 - 1%
Investment properties in the statement of
financial position, total 31 999,497 3,627.8 81.1 100%
1
Value of rented properties is recognised within IFRS 16 investment properties based on IFRS rules.
Fair value changes
MEUR 2024 2023
Finland -58.0 -68.4
Norway -23.1 -64.5
Sweden 19.5 -35.3
Denmark & Estonia -5.7 -25.5
Investment properties, total -67.3 -193.7
Right-of-use assets classified as investment properties (IFRS 16) -7.4 -6.6
Investment properties in the statement of financial position, total -74.6 -200.3
Kista Galleria (50%) - -40.8
Investment properties and Kista Galleria (50%), total -74.6 -241.1
Lease portfolio summary
1
31 December
2024
31 December
2023
Number of leases pcs 3,831 4,153
Average rent
2
EUR/sq.m./
month 25.0 23.9
Average remaining
length of lease
portfolio years 3.3 3.5
1
Kista Galleria 100% included.
2
Comparison periods with comparable FX-rate.
At period-end, Citycon had a total of 3,831 (4,153)
leases, of which the average remaining length was 3.3
years (3.5).
Leasing activity
1
Q1–Q4/2024 Q1–Q4/2023
Total area of leases started sq.m. 200,342 258,414
Total area of leases ended sq.m. 293,406 259,458
1
Leases started and ended do not necessarily refer to the same premises.
Kista Galleria 100% included.
Property portfolio value development
From year-end, the fair value of investment properties
decreased by EUR 230.4 million to EUR 3,627.8
million (31 December 2023: EUR 3,858.2 million). Net
investments, including both acquisitions and disposals
and development projects increased the fair value by
EUR 321.3 million. In addition, changes in right-of-use
–assets increased the value of investment properties
by an additional EUR 4.2 million. Fair value losses
decreased the value of investment properties by EUR
74.6 million, exchange differences by EUR 70.2 million
and transfers into assets held for sale by EUR 411.1
million.
Q1–Q4/2024 fair value change of investment properties
amounted to EUR -74.6 million (Q1–Q4/2023:
EUR -200.3 million) mainly due to increase in yield
requirements in all segments. The application of IFRS
16 standard had an impact of EUR -7.4 million (Q1–
Q4/2023: EUR -6.6 million) to the fair value change of
investment properties during the January-December
reporting period.
External appraisers, CBRE (in Denmark, Estonia and
Norway) and JLL (in Finland and Sweden) measure the
fair values for annual financial statements. Citycon
measures the fair values of the properties internally in
the Q1–Q3. All internal valuation periods are subject to
yield and market commentary from Citycon’s current
external appraisers in its respective markets.
CBRE’s and JLL’s valuation statements are available on
Citycon’s website below Investors.
13
Financial statementsFinancial review Financial Review 2024
Capital recycling
In Q1/2024, Citycon completed the transaction to
acquire the remaining interest in Kista Galleria in
Stockholm, Sweden. Citycon has managed the centre
since 2012 and before the transaction owned 50%
of the asset. After the transaction, Citycon has 100%
ownership. Kista Galleria had approximately SEK 2,400
million of debt and following the transaction Citycon
assumed seller’s share of existing debt (approximately
SEK 1,200 million) and made a cash payment (approx.
Completed (re)development projects on 2024
Location Area before/ after, sq�m�
Actual gross investment
by 31 December 2024,
MEUR Completion
Barkarby,
residentials
1
Stockholm,
Sweden -/12,950 66.9 2024
1
Citycon divested the property in December 2024 simultaneously with the purchase of the property from the developer
Capital expenditure
MEUR 2024 2023
Acquisitions of properties
1
341.0 -
Property development 40.2 92.8
Other investments 1.0 3.1
Total capital expenditure incl� acquisitions 382.3 95.9
Capital expenditure by segment
Finland 15.1 46.6
Norway 5.6 21.2
Sweden 351.2 15.1
Denmark & Estonia 9.3 11.0
Group administration 1.0 2.0
Total capital expenditure incl� acquisitions 382.3 95.9
Divestments
2 3
389.9 -
1
Acquisition of properties in 2024 comprise of acquisition of the remaining 50% interest of Kista Galleria and residential property in Sweden. Acquisition of
properties takes into account deduction in the purchase price calculations and FX rate changes.
2
Divestments in 2024 comprise of sale of three non-core centres in Norway and one centre in Estonia as well sale of residential property in Sweden.
3
Excluding transfers into ‘Assets held for sale’ -category.
Acquisitions and divestments Q1–Q4/2024
Location Gross leasable area, sq�m� Date
Divestments
Kongssenteret Shopping centre Kongsvinger, Norway 18,000 31 May 2024
Trekanten Shopping centre Oslo, Norway 23,900 30 September 2024
Barkarby Residentials Stockholm, Sweden 13,200 12 December 2024
Stopp Tune Shopping centre Sarpsborg, Norway 13,400 16 December 2024
Kristiine keskus Shopping centre Tallinn, Estonia 45,300 19 December 2024
Divestments, total 113,800
Location Gross leasable area, sq�m� Date
Acquisitions
Kista Galleria
1
Shopping centre Stockholm, Sweden 46,250 28 February 2024
1
Citycon has managed the centre since 2012 and before the transaction owned 50% of the asset. After the transaction, Citycon has 100% ownership.
EUR 2.5 million). The new loan is secured by additional
two assets located in Sweden.
In Q2/2024, Citycon completed the transaction to divest
Kongssenteret shopping centre in Kongsvinger, Norway.
In Q3/2024, Citycon divested Trekanten shopping
centre in Oslo, Norway. In Q4/2024, Citycon divested
three properties, a residential property in Stockholm,
Sweden, Kristiine Keskus shopping centre in Tallinn,
Estonia and Stopp Tune shopping centre in Sarpsborg,
Norway.
Strengthening the balance sheet remains a key priority
for the company. During Q1–Q4/2024 Citycon sold
assets for EUR 354 million. Funds from divestments will
be used to repay debt.
(Re)development projects
Further information on the company’s completed,
ongoing and planned (re)developments can be found on
page 33 in the Financial Review 2024.
Shareholders’ equity
Equity per share was EUR 10.09 (31 December 2023:
EUR 11.56). Loss for the period, paid equity return
and translation losses decreased equity per share. In
addition, equity per share was impacted by the directed
share issues during 2024, where a total of 12.2 million
new shares were carried out.
At period-end, shareholders’ equity attributable to
parent company’s shareholders was EUR 1,265.7 million
(31 December 2023: EUR 1,380.1 million).
14
Financial statementsFinancial review Financial Review 2024
Key financing figures
MEUR 31 December 2024 31 December 2023
Nominal debt outstanding MEUR 2,116.3 1,840.4
Interest-bearing liabilities, carrying value
1
MEUR 2,131.5 1,864.4
Available liquidity MEUR 767.2 434.3
Average loan maturity years 3.4 2.7
Loan to Value (LTV)
2
% 47.3 46.3
Interest cover ratio (financial covenant > 1.8) x 2.7 3.7
Net debt to total assets (financial covenant < 0.60) x 0.41 0.44
Solvency ratio (financial covenant < 0.65) x 0.42 0.45
Secured solvency ratio (financial covenant < 0.25) x 0.12 0.08
1
Including EUR 35.3 million (Q4/2023: EUR 38.8 million) IFRS 16 lease liabilities
2
Hybrid bond treated as equity as according to IFRS. Excluding both right-of-use assets recognized as part of investment properties, as well as lease liabilities
pertaining to these right-of-use assets, which are based on IFRS 16 requirements.
Financing
In February, Citycon Oyj successfully completed a
directed share issue of 11.9 million new shares, raising
gross proceeds of approximately EUR 48.2 million. The
subscription price for the shares offered in the placing
was EUR 4.05 per share and the issue was four times
oversubscribed, supported by both core shareholders G
City and Ilmarinen. The proceeds from the placing were
aimed at strengthening the company’s balance sheet
and improving its capital structure in the current market
environment.
Following the share issue, Citycon Group placed a
EUR 300 million green bond in order to refinance its
October 2024 bond maturity of EUR 310.3 million. The
5-year senior unsecured fixed rate EUR-denominated
bond matures on 8 March 2029 and pays a fixed
coupon of 6.500%. The demand for the bond was very
strong with an orderbook approximately seven times
oversubscribed. With this issue Citycon’s debt maturity
profile is significantly improved and refinancing risk is
further reduced.
Simultaneously with the bond issue, Citycon launched
a tender offer for its EUR 310.3 million outstanding
notes due in October 2024. As a result, the company
successfully tendered EUR 213.3 million of the 2024
notes at a discount below par.
In April, the company exercised its one-year extension
option on the EUR 650 million credit facility, including
a EUR 400 million syndicated committed credit facility
and a EUR 250 million term loan. The new maturity date
for the facility is in April 2027.
In May, Citycon renegotiated the SEK 2,060 million term
loan that was acquired with Kista Galleria and extended
its tenor to five years. The term loan is now maturing in
May 2029. Extending Citycon’s revolving credit facility
and term loans were important actions to improve
the company credit maturity profile and demonstrate
Citycon’s access to bank financing.
In June, the company finalised a hybrid exchange offer
to holders of the outstanding EUR 292 million green
capital securities (hybrid bond) that what was coming to
call in November 2024. An aggregate principal amount
of EUR 265,721,000 was accepted in the exchange offer
and thereby exchanged into a new non-call 5.25 year
hybrid bond with a 7.875% coupon. The company also
offered a 4.75% cash compensation paid on the nominal
amount accepted for exchange, amounting to EUR
12.6 million. With exchange acceptance by over 90%
of holders the successful execution of the transaction
confirms Citycon’s access to capital markets and marks
a significant milestone in securing the company a stable
credit profile.
In addition, Citycon redeemed the remaining
outstanding EUR 97 million of the October 2024 bond
using funds from the EUR 300 million bond issued
in March. The bond was redeemed in a make-whole
executed at par.
In December, Citycon Group placed a EUR 350 million
green bond with use of proceeds to prepay its existing
debt. The 5.25-year senior unsecured fixed rate EUR-
denominated bond matures on 11 March 2030 and pays
a fixed coupon of 5.000%. The demand for the bond was
extremely strong with an orderbook approximately ten
times oversubscribed. With this issue Citycon continues
to improve its debt maturity profile and further reduce
refinancing risk.
Simultaneously, with the bond issue, Citycon launched
a tender offer for its NOK 1,000 million and NOK 1,300
million outstanding notes due in September 2025. As a
result, in December, the company successfully tendered
NOK 962 million and NOK 1,295 million of the 2025
notes respectively. With this, EUR 193.3 million of the
December bond issue funds were used to prepay short-
term debt. The rest of the two 2025 NOK bonds were
prepaid in a make-whole exercise during January 2025.
The Annual General Meeting authorized the Board
of Directors to decide quarterly in its discretion on
the distribution of equity repayment with an annual
maximum total amount of EUR 0.30 per share. The
annual maximum distribution was thereby reduced
by EUR 0.20 per share compared to last year. The
equity repayment paid in March, June, September and
December was mainly financed by operative cash flow.
15
Financial statementsFinancial review Financial Review 2024
Tot a l
2,116.3
MEUR
Breakdown of loans
%
Bank loans
Bonds
Commercial papers
75.1%
24.4%
0.5%
2025 2026 2027 2028 2029 2030 2031
250
242
350
10
4
400
345
300
177
1
350
89
Debt maturities
MEUR
Bank loans 516.1
Bonds 1,590.2
Commercial papers 10.0
Undrawn committed credit facilities 400.0
1
Yearly amortizations on Kista term loan, approx. 5 MEUR per year
Financial expenses key figures
MEUR 2024 2023
Financial expenses MEUR -100.6 -61.1
Financial income MEUR 25.3 13.5
Net gains/losses on foreign exchange -0.8 -0.1
Net financial expenses (IFRS) MEUR -76.1 -47.7
-/+ Early close-out gains/costs of debt and financial instruments 0.8 2.9
-/+ Fair value gains/losses of financial instruments -8.9 -2.8
Direct net financial expenses (EPRA) MEUR -68.0 -47.7
Weighted average interest rate
1
% 3.60 2.61
Weighted average interest rate excluding derivatives % 3.93 3.13
Year-to-date weighted average interest rate
1
% 3.17 2.57
1
Including interest rate swaps, cross-currency swaps and interest rate options
Interest-bearing debt
The outstanding amount of interest-bearing debt
increased in 2024 by EUR 275.9 million to EUR 2,116.3
million, mainly following the fact that approx. EUR 212.4
million of Kista bank debt was consolidated into the
group balance sheet when Citycon purchased 50% of
the Kista joint venture in Q1/2024. The carrying amount
of interest-bearing liabilities in the balance sheet was
EUR 2,131.5 million including IFRS 16 liabilities of EUR
35.3 million.
The weighted average loan maturity increased during
the quarter following the 5.25-year new bond issue and
prepayment of short-term debt and stands at 3.4 years.
LTV (IFRS) decreased slightly during the quarter to
47.3%, as a result of decreased property values and
lower net debt following asset divestments.
Financial expenses
Direct net financial expenses (EPRA) Q1–Q4/2024
were EUR 20.3 million higher than last year, mainly
following increased cost of debt by EUR 22.2 million
from consolidation on Kista interest expenses starting
from end of February and bond refinancing at higher
interest level. These were partially offset by EUR 2.7
million gains on close out of equity FX hedges and other
FX losses of EUR 0.6 million.
Net financial expenses (IFRS) increased to EUR 76.1
million (Q1–Q4/2023: EUR 47.7 million). EUR 20.3
million increase relates to higher interest expenses
on refinanced bond debt and consolidation on Kista
interest expenses, which was partially offset by FX
hedging gains and losses. In addition, an amount of EUR
8.9 million indirect net losses (Q1–Q4/2023: EUR 2.8
million loss) was booked related to fair value changes of
derivatives not under hedge accounting, EUR 6.1 million
more than during the comparison period. The company
also recorded EUR 0.8 million gain on early redemption
of debt (Q1–Q4/2023: EUR 2.9 million gain), EUR 2.1
million less than in the corresponding period.
Financial income mainly consisted of interest income
on cash held at bank, interest income on a loan to Kista
Galleria, fair value gains on hedging derivatives and
gains on debt repurchased at a discount. The interest
income on the shareholder loan to Kista Galleria ceased
to be booked as external income as Kista was acquired
and consolidated as a 100% subsidiary at the end of
February 2024.
The period-end weighted average interest rate was
3.6%.
16
Financial statementsFinancial review Financial Review 2024
In November 2024, Citycon announced that the
company’s Board of Directors has resolved to appoint
member of the company’s Board of Directors Eero
Sihvonen as Citycon’s Chief Financial Officer and
member of the Corporate Management Committee.
Mr. Sihvonen served as Citycon’s Chief Financial Officer
between years 2005-2021. Sakari Järvelä, Citycon’s
Chief Financial Officer and member of the Corporate
Management Committee departed the company
on December 31, 2024 to pursue new opportunities
outside the company. Mr. Järvelä started as Citycon’s
Chief Financial Officer on February 1, 2024 as Bret D.
McLeod, previous Chief Financial Officer of Citycon,
announced in December 2023 his intention to resign
from his position effective January 31, 2024, to pursue
another opportunity back in his native United States.
Additionally, Jussi Vyyryläinen, Citycon’s Senior Vice
President, Leasing, and member of the Corporate
Management Committee will depart the company on
May 15, 2025 to pursue new opportunities.
Mr Vyyryläinen will continue in his role until December
31, 2024 and thereafter, he will act as an advisor to
Citycon until May 15, 2025.
Sustainability
Citycon’s strategy is to be a forerunner in sustainable
shopping centre management. Citycon’s sustainability
strategy was updated in 2023 and Citycon has set
ambitious targets that extend to 2030.
In its sustainability reporting, Citycon applies the GRI
Standards, European Public Real Estate Association
(EPRA) Best Practice Recommendations on
Sustainability Reporting (3rd Edition) and Citycon’s
own internal reporting principles (Criteria). Citycon’s
sustainability strategy, targets and measures are
described in detail in the upcoming Sustainability
Accounts 2024.
Financial risk management
Citycon uses interest rate swaps to hedge the floating
interest rate risk exposure. According to the company’s
treasury policy, the currency net transaction risk
exposure with profit and loss impact is fully hedged
through currency forwards and cross-currency swaps
that convert EUR debt into SEK and NOK. During
H2/2024, the company also used currency forwards to
hedge its SEK and NOK denominated equity.
Changes in corporate management
In February 2024, Kirsi Simola-Laaksonen, Citycon’s
Chief Information Officer and member of the Corporate
Management Committee decided to leave the company
to pursue new opportunities outside the company.
In March 2024, Helen Metsvaht was appointed Citycon’s
new Chief Operating Officer and member of the
Corporate Management Committee as of April 1, 2024.
Henrica Ginström, the former Chief Operating Officer
was appointed the new Chief Executive Officer of
Citycon as of April 1, 2024.
In October 2024, Citycon announced that the
company’s Board of Directors has resolved to appoint
the Vice Chairman F. Scott Ball to become the interim
Chief Executive Officer, simultaneously Ms Ginström
will step down from her position as the Chief Executive
Officer and member of the Corporate Management
Committee of Citycon having served as Citycon’s Chief
Executive Officer since April 1, 2024. Mr Ball (who
previously served as the Chief Executive Officer in 2019-
2024) will serve as the interim Chief Executive Officer
of Citycon until the new Chief Executive Officer and
member of the Corporate Management Committee Oleg
Zaslavsky starts in his position in March 2025.
Citycon’s Annual and Sustainability Report 2023 was
awarded as one of the best within the industry. Citycon
received the EPRA Gold Award in the Sustainability Best
Practices series for the eleventh year in a row. Citycon
has received a rating of AA in the MSCI ESG Ratings
assessment. Citycon also has the ISS-Oekom “Prime”
rating, awarded to companies that achieve the best ESG
scores among their sector peers.
Key environmental indicators 2024:
• Citycon’s total energy consumption (incl. electricity
consumption in common areas, heating and cooling)
amounted to 178 gigawatt hours (Q1–Q4/2023: 185
GWh
1
). Shopping centre energy intensity (kWh/sq.m)
decreased by 2% compared to previous year.
• The carbon footprint totalled 4,051 thousand carbon
equivalent tonnes (Q1–Q4/2023: 5,425 tCO
2
e). The
carbon intensity of shopping centres is 2 kgCO
2
e/
sq.m.
• The recycling rate in shopping centres remained at the
same level as the previous year and was 99%.
Citycon uses BREEAM In-Use to assess and develop the
sustainable management of its shopping centres. 83%
of Citycon’s shopping centres, measured by fair value,
had acquired the certification at period-end.
Disclosure according to the Taxonomy Regulation
Delegated Act:
Citycon’s sustainability and finance teams have
classified the company’s activities by mapping Citycon
group’s consolidated IFRS income statement accounts
based on whether they are covered by a NACE code
included in the Taxonomy. Based on this classification
98% of Citycon’s total turnover, 95% of capital
expenditure and 73% of operational expenditure is
derived from Taxonomy-eligible activities.
Citycon is not obliged to report information according
to the taxonomy regulation, and for that reason Citycon
does not report on the taxonomy alignment of the
company’s operations for the year 2024.
Risks and uncertainties
The most significant near-term risks and uncertainties
in Citycon’s business operations are associated with the
general development of the economy and consumer
confidence in the Nordic countries and Estonia, and
how this affects fair values, occupancy rates and rental
levels of the shopping centres and, thereby, Citycon’s
financial results. Increased competition locally or from
e-commerce might affect demand for retail premises,
which could lead to lower rental levels or increased
vacancy, especially outside capital city regions. Costs
of development projects could increase due to rising
construction costs or projects could be delayed due
to unforeseeable challenges. Rising interest rates
could also put pressure on investment yields, which
could potentially impact fair values. The war in Ukraine
continue to pose risks to economic health in Europe as
well.
The main risks that can materially affect Citycon’s
business and financial results, along with the main
risk management actions, are presented in detail on
pages 67-70 in the Financial Statements 2024, in Note
3.5 A) as well as on Citycon’s website in the Corporate
Governance section.
Legal proceedings
Certain lawsuits, claims and legal disputes based on
various grounds are pending against Citycon relating to
the company’s business operations. In the company’s
1
Number for comparison period has been corrected.
17
Financial statementsFinancial review Financial Review 2024
view, it is improbable that the outcome of these lawsuits,
claims and legal disputes will have a material impact on
the company’s financial position.
General meeting
Annual General Meeting 2024
Citycon’s Annual General Meeting 2024 (AGM) was
held virtually, without a meeting venue using remote
connection in real time on 19 March 2024. The General
Meeting approved all the proposals made by the Board
of Directors to the General Meeting. The AGM adopted
the company’s Financial Statements and discharged the
members of the Board of Directors and the CEO from
liability for the financial year 2023 and decided to adopt
the Remuneration Report for the governing bodies.
The General Meeting decided that no dividend is
distributed by a resolution of the AGM and authorised
the Board of Directors to decide in its discretion on the
distribution of assets from the invested unrestricted
equity fund. Based on the authorisation, the maximum
amount of equity repayment to be distributed from
the invested unrestricted equity fund shall not exceed
EUR 0.30 per share. The authorisation is valid until the
opening of the next AGM.
The AGM decisions and the minutes of the AGM are
available on the company’s website at
citycon.com/agm2024.
Extraordinary General Meetings 2024
Citycon’s Extraordinary General Meeting (EMG) held on
12 November 2024 decided to increase the number of
members of the board to ten (10) until the close of the
next Annual General Meeting. Further, Mr Eero Sihvonen
was elected as new member of the Board of Directors.
Shareholders 31 December 2024
% of shares and voting rights
Nominee-registered
shareholdings
(124.7 million shares)
Directly registered
shareholdings
(59.5 million shares)
67.7%
32.3%
Shares and share capital
MEUR 2024
Share capital at period-start MEUR 259.6
Share capital at period-end MEUR 259.6
Number of shares at period-start 171,994,204
Number of shares at period-end 184,231,295
Citycon’s Extraordinary General Meeting (EMG) held on
18 June 2024 resolved that the net amount of the annual
fees of the members of the Board of Directors and the
Chairmen of the Board of Directors’ Committees after
deduction of taxes and charges, resolved upon at the
Annual General Meeting 2024, shall be paid in Citycon
Oyj shares, which are either new shares or treasury
shares held by the Company.
Further information available on the company’s website
at citycon.com/EGM2024.
Board of Directors
Under the Articles of Association, the Board of Directors
of the company consists of a minimum of five and a
maximum of ten members, elected by the General
Meeting for a term of one year that will end at the close
of the following Annual General Meeting.
The AGM resolved the number of members of the Board
of Directors to be nine. Chaim Katzman, Yehuda (Judah)
L. Angster, F. Scott Ball, Zvi Gordon, Alexandre (Sandy)
Koifman, David Lukes, Per-Anders Ovin, Ljudmila
Popova and Adi Jemini were re-elected to the Board of
Directors.
Citycon’s EGM 2024 set the number of Board members
at ten. Mr Eero Sihvonen was elected as new member of
the Board of Directors.
Chaim Katzman was the Chairman of the Board of
Directors in 2024. Alexandre (Sandy) Koifman and F.
Scott Ball were Vice Chairmen of the Board of Directors.
Auditor
Since 2024, the company’s auditor has been Deloitte
Oy, a firm of authorised public accountants, which had
designated Authorized Public Accountant Anu Servo to
act as the responsible auditor of Citycon in 2024.
Chief Executive Officer (CEO)
From 8 October 2024 onwards, F. Scott Ball has been
the company’s interim CEO. Mr Ball’s personal details,
career histories and positions of trust can be found on
the company’s website at citycon.com/management.
Information on the CEO’s executive contract and its
terms and conditions are available on pages 52–54 of
the Financial Statements.
Corporate governance statement
Citycon has published Citycon Group’s Corporate
Governance Statement 2024 as a separate report,
distinct from the Report by the Board of Directors.
The statement is prepared in accordance with the
recommendations of the Finnish Corporate Governance
Code 2025 and is available on the company’s website at
citycon.com/corporate-governance.
Shares, share capital and shareholders
The company has a single series of shares, with each
share entitling to one vote at a General Meeting of
shareholders. At the end of reporting period, the total
number of shares outstanding in the company was
184,231,295. The shares have no nominal value.
In February 2024, Citycon completed directed share
issue of 11,900,000 new shares raising EUR 48.2
million. The subscription price was recorded in full to
the Company’s invested unrestricted equity reserve.
Additionally, during January–December, Citycon issued
and transferred a total of 147,091 new shares as part of
the remuneration of Board and a total of 190,000 shares
part of the company’s share-based incentive plans.
18
Financial statementsFinancial review Financial Review 2024
At the end of December 2024, Citycon had a total of
25,660 registered shareholders (Q4/2023: 27,738
shareholders), of which 10 were account managers of
nominee-registered shares. Holders of the nominee-
registered shares held approximately 124.7 million
(Q4/2023: 120.8 million) shares, or 67.7% of shares and
voting rights in the company (Q4/2023: 70.2%). The
most significant registered shareholders can be found
on company’s website citycon.com/major-shareholders.
Further information of the company’s stock listing,
trading volume, share price, market cap, share capital,
most significant registered shareholders, of the
distribution of ownership and of the issue-adjusted
average number of shares can be found on on pages
36–37 of the Financial Review.
Board authorisations
In addition to the above explained asset distribution
authorisation of the Board of Directors, the Board of
Directors of the company had two valid authorisations
at the period-end granted by the AGM held on 19 March
2024:
• The Board of Directors may decide on an issuance
of a maximum of 16 million shares or special rights
entitling to shares referred to in Chapter 10 Section 1
of the Finnish Companies Act, which corresponded to
approximately 8.70% of all the shares in the company
at the period-end. The authorisation is valid until the
close of the next AGM, however, no longer than until
30 June 2025.
• The Board of Directors may decide on the repurchase
and/or on the acceptance as pledge of the company’s
own shares in one or several tranches. The amount
of own shares to be repurchased and/or accepted
as pledge shall not exceed 30 million shares, which
corresponded to approximately 16.31% of all the
shares in the company at the period-end. The
authorisation is valid until the close of the next AGM,
however, no longer than until 30 June 2025.
During January – December 2024, the Board of
Directors used three times its authorisation to
repurchase its own shares and issue them by conveying
repurchased shares. Additionally, the Board of Directors
decided to issue new shares for LTI payments and Board
annual fees. During January–December, Citycon issued
and transferred a total of 147,091 new shares as part of
the remuneration of Board. The issuance, repurchases
and conveyances made for payment of rewards earned
under the company’s share plans in accordance with the
terms and conditions of the plans were made as follows:
Matching Share Plan 2022-2024
• On 25 March 2024, the company repurchased a total
of 10,674 of its own shares and conveyed them on 27
March 2024 to two key persons of the company.
Restricted Share Plan 2020–2022
• On 2 April 2024, the company repurchased a total of
6,500 of its own shares and conveyed them on 4 April
2024 to six key persons of the company.
Performance Share Plan 2020–2022
• On 2 April 2024, the company repurchased a total
of 15,000 of its own shares and conveyed them on 4
April 2024 to two key persons of the company.
CEO Restricted Share Plan 2021–2025
• On 21 May 2024, the company decided on issuance of
190,000 new shares to the former CEO for payment
of reward shares in accordance with the terms and
conditions of the CEO Restricted Share Plan 2021-
2025.
Dividends and equity repayments paid on 31 December 2024
1
MEUR Record date Payment date EUR / share
Equity repayment Q1 21 March 2024 28 March 2024 0.075
Equity repayment Q2 20 June 2024 28 June 2024 0.075
Equity repayment Q3 23 September 2024 30 September 2024 0.075
Equity repayment Q4 20 December 2024 31 December 2024 0.075
Total 0.30
1
Board decision based on the authorisation issued by the AGM 2024.
19
Financial statementsFinancial review Financial Review 2024
Additionally, the meeting of the Board of Directors of
the Company held on 22 February 2024 resolved to
issue 11,900,000 Shares in the Placing based on the
authorisation granted to the Board of Directors by the
Company’s Annual General Meeting held on 21 March
2023.
Own shares
During the reporting period, the company held a total
of 32,174 of the company’s own shares, which were
conveyed to implement payments of rewards earned
under the company’s share plans as described in the
section Board authorisations. At the end of the period,
the company or its subsidiaries held no shares in the
company.
Flagging notices
In Q1/2024, Citycon received one flagging notification
on 23 February 2024 according to which G City Ltd.’s
holding of shares in Citycon has decreased below fifty
(50) percent. Due to the dilutive effect of the directed
share issue announced by Citycon Oyj on 22 February
2024 and completed on 23 February 2024, the
aggregate total shareholding of G City Ltd. in Citycon
Oyj decreased to approximately 49.64% following the
registration of the new shares on 23 February 2024.
In Q2–Q4/2024, the company did not receive any
notifications of changes in shareholding.
Incentive plans
Long-term Share-based Incentive Plans
Citycon has nine long-term share-based incentive plans
for the Group key employees:
• CEO Restricted Share Plan 2024–2027
• Option Plan 2024 A-C (CEO)
• Option Plan 2024 (Corporate Management
Committee)
• CFO Performance Share Plan 2024–2026
• Performance Share Plan 2020–2022 (Corporate
Management Committee excl. the CEO)
• Performance Share Plan 2023–2025 (Corporate
Management Committee excl. the CEO)
• Matching Share Plan 2022–2024 (Corporate
Management Committee excl. the CEO)
• Restricted Share Plan 2020–2022 (Key employees,
excl. Corporate Management Committee) and
• Restricted Share Plan 2023–2025 (Key employees,
excl. Corporate Management Committee)
In February 2024, the Board of Directors established
a new share-based incentive plan for the new
CFO of the company. In March 2024, the Board of
Directors launched a new stock option plan for four
key employees and two new long-term share-based
incentive plans for the new CEO: Stock Option Plan
2024A-C and Restricted Share Plan 2024–2027.
The main terms of the long-term share-based incentive
plans are explained in the Note 1.6 on pages 52–54 of
the Financial Statements.
More information on the share-based incentive plans
is available on the company’s website at citycon.com/
remuneration.
Shares held by members of the board
of directors and by the company
management
The members of the Board of Directors of Citycon, the
CEO, the other Corporate Management Committee
members held a total of 772,732 company shares on
31 December 2024. These shareholdings represented
0.4% of the company’s total shares and total voting
rights.
Details of the shareholdings of the members of the
Board of Directors, the CEO and the other members of
the Corporate Management Committee are available on
the company’s website at
www.citycon.com/managers-holdings-shares.
Events after the reporting period
In Q1/2025, Citycon received one flagging notification
on 29 January 2025 according to which Phoenix
Financial Ltd.’s holding of shares in Citycon has
increased above five (5) percent.
On 26 February 2025 Citycon announced that Erik
Lennhammar, Chief Development Officer and member
of the Corporate Management Committee, will depart
Citycon to pursue new opportunities. Mr. Lennhammar
will step down from the corporate Management
Committee but works for the company until 31 May
2025.
Helsinki, 26 February 2025
Citycon Oyj
Board of Directors
20
Financial statementsFinancial review Financial Review 2024
EPRA performance measures
EPRA (European Public Real Estate Association) is a
common interest group for listed real estate companies
in Europe. Citycon is an active member of EPRA.
EPRA’s objective is to encourage greater investment
in European listed real estate companies and strive
for ‘best practices’ in accounting, financial reporting
and corporate governance in order to provide high-
quality information to investors and to increase the
comparability of different companies. The best practices
also create a framework for discussion and decision-
making on the issues that determine the future of the
sector. In addition, EPRA publishes the FTSE EPRA/
NAREIT index in association with FTSE, which tracks
the performance of the largest European and North-
American listed real estate companies. Citycon is
included in the FTSE EPRA index, which increases
international interest towards Citycon as an investment.
Citycon applies the best practices policy
recommendations of EPRA for financial reporting and
also for sustainability reporting. This section in Citycon’s
financial statements presents the EPRA performance
measures and their calculations. For more information
about EPRA and EPRA’s best practice policies please
visit EPRA’s web page: www.epra.com.
EPRA performance measures
Note 2024 2023 2022 2021 2020
EPRA Earnings, MEUR 1 113.0 109.6 122.6 124.4 136.6
Adjusted EPRA Earnings, MEUR
1
1 89.5 80.6 92.1 100.0 120.3
EPRA Earnings per share (basic), EUR 1 0.620 0.651 0.730 0.703 0.767
Adjusted EPRA Earnings per share (basic), EUR
1
1 0.491 0.479 0.548 0.565 0.676
EPRA NRV per share, EUR 2 7.87 9.30 11.01 12.15 11.48
EPRA NAV per share, EUR 2 - - - - 11.30
EPRA Cost Ratio (including direct vacancy costs), % 3 19.5 19.3 16.8 18.1 18.3
EPRA Cost Ratio (excluding direct vacancy costs), % 3 16.8 17.2 14.5 14.9 15.6
EPRA Net Initial Yield (NIY), % 4 5.5 5.3 5.3 5.2 5.4
EPRA 'topped-up' NIY, % 4 5.5 5.3 5.3 5.2 5.4
EPRA vacancy rate, % 5 5.9 5.1 5.5 6.6 6.1
EPRA Property related capex MEUR 6 381.2 95.2 175.7 193.7 341.3
EPRA LTV % 7 61.2 61.6 57.4 - -
EPRA Earnings for five years, MEUR 8 113.0 109.6 122.6 124.4 136.6
1
Starting from the beginning of 2024, Citycon excludes reorganisation and one-time costs (Q1–Q4/2024: EUR 9.6 million) from Adjusted EPRA Earnings. Due to
this, Adjusted EPRA Earnings is not fully comparable with the previous year. The adjusted key figure includes hybrid bond coupons and amortized fees.
2020 2021 2022 2023 2024
Development of EPRA NRV per share
during 2020–2024
EUR
11.48
12.15
11.01
9.30
7.87
2020 2021 2022 2023 2024
Development of EPRA Cost Ratio during
2020–2024
%
19.5
18.3
18.1
16.8
19.3
21
Financial statementsFinancial review Financial Review 2024
1. EPRA earnings and EPRA earnings per share (basic)
EPRA Earnings presents the underlying operating performance of a real estate company excluding all so called non-
recurring items such as net fair value gains/losses on investment properties, profit/loss on disposals and other non-
recurring items. EPRA Earnings is especially important for investors who want to assess the extent to which dividends
are supported by recurring income.
2024 2023
MEUR
Average
number
of shares
(1,000)
per share,
EUR MEUR
Average
number
of shares
(1,000)
per share,
EUR
Earnings in IFRS Consolidated Income Statement -37.9 182,316 -0.208 -115.0 168,285 -0.683
+/- Net fair value losses/gains on investment
property 74.6 182,316 0.409 200.3 168,285 1.190
-/+ Net gains/losses on disposal of investment
property 79.3 182,316 0.435 2.3 168,285 0.014
+/- Indirect other operating expenses -0.1 182,316 -0.001 0.3 168,285 0.002
+ Early close-out costs of debt and financial
instruments -0.8 182,316 -0.004 -2.9 168,285 -0.017
-/+ Fair value gains/losses of financial instruments 8.9 182,316 0.049 2.8 168,285 0.017
+/- Indirect losses/gains of joint ventures and
associated companies 0.0 182,316 0.000 32.0 168,285 0.190
-/+ Change in deferred taxes arising from the items
above -11.1 182,316 -0.061 -10.2 168,285 -0.060
EPRA Earnings (basic) 113.0 182,316 0.620 109.6 168,285 0.651
-/+ Hybrid bond coupons and amortized fees -33.1 182,316 -0.182 -28.9 168,285 -0.172
+ Reorganisation and one-time costs 9.6 182,316 0.053 - 168,285 -
Adjusted EPRA Earnings (basic) 89.5 182,316 0.491 80.6 168,285 0.479
EPRA Earnings can also be calculated from the statement of comprehensive income from top to bottom. The EPRA
Earnings calculation is presented in the next table with this different method, which also presents the Direct Operating
profit.
2024 2023
MEUR
Average
number
of shares
(1,000)
per share�
EUR MEUR
Average
number
of shares
(1,000)
per share�
EUR
Net rental income (NRI) 214.7 182,316 1.178 195.7 168,285 1.163
Direct administrative expenses -33.2 182,316 -0.182 -31.1 168,285 -0.185
Direct other operating income and expenses 2.2 182,316 0.012 0.3 168,285 0.002
Direct Operating profit 183.6 182,316 1.007 164.8 168,285 0.980
Direct net financial income and expenses -68.0 182,316 -0.373 -47.7 168,285 -0.284
Direct share of profit/loss of joint ventures and
associated companies -0.7 182,316 -0.004 -4.7 168,285 -0.028
Direct current taxes -2.1 182,316 -0.011 -2.9 168,285 -0.017
Change in direct deferred taxes 0.1 182,316 0.001 0.1 168,285 0.001
EPRA Earnings (basic) 113.0 182,316 0.620 109.6 168,285 0.651
Hybrid bond coupons and amortized fees -33.1 182,316 -0.182 -28.9 168,285 -0.172
+ Reorganisation and one-time costs 9.6 182,316 0.053 - 168,285 -
Adjusted EPRA Earnings (basic) 89.5 182,316 0.491 80.6 168,285 0.479
EPRA Earnings was EUR 113�0 million and EPRA EPS was EUR 0�620�
EPRA earnings increased mainly due to the acquisition of the remaining 50% interest of Kista Galleria shopping
centre in February 2024.
2023 1 2 3 4 5 6 7 8 9 2024
Change in EPRA earnings
MEUR
1.9
-2.1
-20.3
4.1
9.6
-33.1
19.0
0.8
113.0
89.5
109.6
1 Net rental income
2 Direct net financial income and expenses
3 Direct administrative expenses
4 Direct other operating income and expenses
5 Direct current and deferred taxes
6 Other direct items
7 EPRA Earnings 2024
8 Hybrid bond coupons and amortized fees
9 Reorganisation and one-time costs
22
Financial statementsFinancial review Financial Review 2024
2. EPRA net asset value metrics
EPRA NAV metrics present the fair value of net assets of
a real estate company.
The EPRA NRV scenario, aims to represent the value
required to rebuild the entity and assumes that no selling
of assets takes place. EPRA NRV intends to reflect the
fair value of a business on a going-concern basis, all
items arising from future disposals (e.g. deferred taxes
on disposals), the fair value of financial instruments
are excluded from EPRA NRV. The transfer tax cost to
rebuild the portfolio increases EPRA NRV.
The EPRA NTA is focused on reflecting a company’s
tangible assets and assumes that entities buy and
sell assets, thereby crystallising certain levels of
unavoidable deferred tax liability.
EPRA NDV aims to represent the shareholders’ value
under an orderly sale of business, where deferred tax,
financial instruments and certain other adjustments are
calculated to the full extent of their liability, net of any
resulting tax. EPRA NDV is a measure of the real estate
company’s “spot” fair value at the balance sheet date.
Spot fair value means that EPRA NDV reflects the fair
value of net assets of the company at a particular day
as opposed to EPRA NRV, which reflects the fair value
of net assets on a going-concern basis. However, EPRA
NDV is not a liquidation NAV as the fair values of assets
and liabilities are not based on a liquidation scenario.
Citycon considers EPRA NRV to be the most relevant
measure for its business and hence presents it as the
primary net asset metric.
Closing share price of Citycon was 3.22 EUR per share
on 31 December 2024.
The next tables present calculation of the three new
EPRA net asset value measures NRV, NTA and NDV.
EPRA NRV per share decreased by EUR 1�43 to
EUR 7�87 (9�30) mainly due to weaker NOK and
SEK currency rates, investment property fair
value losses and higher hybrid bond interests
that lowered equity� The impact of weaker
currency rates was EUR -0�16 per share�
EPRA Net Asset Value measures
31 December 2024 EPRA NRV EPRA NTA EPRA NDV
Equity attributable to parent company shareholders 1,265.7 1,265.7 1,265.7
Deferred taxes from the difference of fair value and fiscal value of investment properties
3
203.8 101.9 -
Fair value of financial instruments 1.3 1.3 -
Goodwill as a result of deferred taxes -44.7 - -
Goodwill as per the consolidated balance sheet - -89.9 -89.9
Intangible assets as per the consolidated balance sheet - -9.7 -
The difference between the secondary market price and carrying value of bonds
1
- - 22.2
Real estate transfer taxes
2
23.5 - -
TOTAL 1,449.6 1,269.3 1,198.0
Number of ordinary shares at balance sheet date, million 184.2 184.2 184.2
Net Asset Value per share 7.87 6.89 6.50
31 December 2023
Equity attributable to parent company shareholders 1,380.1 1,380.1 1,380.1
Deferred taxes from the difference of fair value and fiscal value of investment properties
3
246.3 123.1 -
Fair value of financial instruments 1.4 1.4 -
Goodwill as a result of deferred taxes -61.5 - -
Goodwill as per the consolidated balance sheet - -111.4 -111.4
Intangible assets as per the consolidated balance sheet - -10.7 -
The difference between the secondary market price and carrying value of bonds
1
- - 153.0
Real estate transfer taxes
2
33.8 - -
TOTAL 1,600.1 1,382.7 1,421.8
Number of ordinary shares at balance sheet date, million 172.0 172.0 172.0
Net Asset Value per share 9.30 8.04 8.27
1
When calculating the EPRA NDV in accordance with EPRA’s recommendations, the shareholders’ equity is adjusted using EPRA’s guidelines so that bonds
are valued based on secondary market prices. The difference between the secondary market price and the carrying value of the bonds was EUR 22.2 million
(secondary market price lower) as of 31 December 2024. In the comparison period 31 December 2023, the difference was EUR 153.0 million (secondary market
price lower).
2
The real estate transfer tax adjustment in EPRA NRV calculation is based on the transfer tax cost for the buyer for share deal in Finland. Share deals are not
subject to transfer tax in other group operating countries.
3
In the EPRA NTA formula, 50% of the deferred tax liability related to investment property fair value is added back, according to EPRA guidelines.
23
Financial statementsFinancial review Financial Review 2024
MEUR 2024 2023
Include:
Administrative expenses
1
33.2 31.1
Property operating expenses and other expenses from leasing operations less service charge
costs 74.8 68.0
Net service charge costs/fees 17.9 14.4
Management fees less actual/estimated profit element 0.4 -0.2
Other operating income/recharges intended to cover costs less any related profit -7.5 -7.5
Share of joint venture expenses 0.0 2.3
Exclude:
Ground rent costs -6.7 -6.1
Service charge costs recovered through rents but not separately invoiced -67.7 -57.3
Share of joint venture investment property depreciation, ground rent costs and service charge
costs recovered through rents but not separately invoiced 0.0 -2.6
EPRA Costs (including direct vacancy costs) (A) 44.6 42.3
Direct vacancy costs -6.1 -4.7
EPRA Costs (excluding direct vacancy costs) (B) 38.5 37.5
Gross rental income less ground rent costs 228.7 209.2
Add: share of joint ventures (Gross rental income less ground rent costs less service fees in GRI) 0.0 9.3
Gross Rental Income (C) 228.7 218.5
EPRA Cost Ratio (including direct vacancy costs) (A/C, %) 19.5 19.3
EPRA Cost Ratio (excluding direct vacancy costs) (B/C, %) 16.8 17.2
1
Administrative expenses are net of costs capitalised of EUR 1.5 million in 2024 and EUR 4.6 million in 2023. Citycon’s policy is to capitalise, for example,
expenses related to property development projects and major software development projects.
2023 1 2 3 4 5 2024
Change of net reinstatement value (EPRA NRV)
EUR
EPRA
NRV
EPRA
NRV
1 EPRA Earnings
2 Indirect result
3 Translation reserve
4 Dividends paid and equity return
5 Other
-0.30
-0.17
-1.02
0.62
-0.56
7.87
9.30
3. EPRA cost ratios
EPRA Cost Ratios reflect the relevant overhead
and operating costs of the business and provide a
recognized and understood reference point for analysis
of a company’s costs. The EPRA Cost Ratio (including
direct vacancy costs) includes all administrative and
operating expenses in the IFRS statements including
the share of joint ventures’ overheads and operating
expenses (net of any service fees). The EPRA Cost Ratio
(excluding direct vacancy costs) is calculated as above,
but with an adjustment to exclude vacancy costs. Both
EPRA Cost Ratios are calculated as a percentage of
Gross Rental Income less ground rent costs, including a
share of joint venture Gross Rental Income less ground
rent costs.
24
Financial statementsFinancial review Financial Review 2024
4. EPRA net initial yield (NIY), % and EPRA ‘topped-up’ NIY, %
EPRA initial yields present property portfolio’s ability to generate rent.
EPRA NIY, % is calculated by dividing the net rental income for the completed property portfolio, based on the valid
lease portfolio on the balance sheet date, by the gross market value of the completed property portfolio.
In EPRA ‘topped-up’ NIY, the net rental income is ‘topped-up’ to reflect rent after the expiry of lease incentives such as
rent free periods and rental discounts.
MEUR 31 December 2024 31 December 2023
Fair value of investment properties determined by the external appraiser 3,643.2 3,779.3
Less (re)development properties, unused building rights and properties which valuation is
based on the value of the building right -64.7 -83.5
Completed property portfolio 3,578.5 3,695.7
Plus the estimated purchasers' transaction costs 58.8 62.1
Gross value of completed property portfolio (A) 3,637.3 3,757.8
Annualised gross rents for completed property portfolio 278.9 272.1
Property portfolio's operating expenses -79.5 -73.4
Annualised net rents (B) 199.4 198.7
Plus the notional rent expiration of rent free periods or other lease incentives 2.2 0.8
Topped-up annualised net rents (C) 201.6 199.5
EPRA Net Initial Yield (NIY), % (B/A) 5.5 5.3
EPRA 'topped-up' NIY, % (C/A) 5.5 5.3
EPRA NIY and EPRA ‘TOPPED-UP’ NIY increased slightly
EPRA initial yields increased during the year mainly due to negative fair value development and changes in net
rental income.
5. EPRA vacancy rate, %
The EPRA vacancy rate presents how much out of the full potential rental income is not received because of vacancy.
The EPRA vacancy rate is calculated by dividing the estimated rental value of vacant premises by the estimated rental
value of the whole property portfolio if all premises were fully leased. The EPRA vacancy rate is calculated using the
same principles as the economic occupancy rate, which Citycon also discloses.
MEUR 31 December 2024 31 December 2023
Annualised potential rental value of vacant premises 16.5 13.6
÷ Annualised potential rental value for the whole property portfolio 278.4 264.7
EPRA vacancy rate, % 5.9 5.1
EPRA vacancy rate remained low but increased slightly from last year’s level
The EPRA vacancy rate at the end of 2024 for the entire property portfolio was 5.9%.
6. Property related capex
2024 2023
Group
(excl� Joint
ventures)
Joint ventures
(proportionate
share) Total
Group
(excl� Joint
ventures)
Joint ventures
(proportionate
share) Total
Acquisitions 341.0 341.0 - -
(Re)development 14.2 - 14.2 50.0 2.4 52.4
Investment properties
No incremental lettable space 1.5 1.5 15.3 15.3
Tenant incentives 24.1 24.1 27.0 27.0
Capitalised interest 0.4 0.4 0.5 0.5
Total capital expenditure
1
381.2 - 381.2 92.8 2.4 95.2
Conversion from accrual to cash basis -271.1 - -271.1 1.5 0.3 1.9
Total capital expenditure on cash basis
1
110.1 - 110.1 94.4 2.7 97.1
1
Include only investment properties and investment properties classified as held for sale related capex.
Investments include both income-producing and maintenance capex.
25
Financial statementsFinancial review Financial Review 2024
7. EPRA LTV
31 December 2024
MEUR
Citycon group as
reported MEUR
Share of Joint
Ventures MEUR
Share of Material
Associates MEUR
Non-controlling
Interests MEUR
Combined
MEUR
Include
Borrowings from Financial Institutions 509.5 - - - 509.5
Commercial paper 9.9 - - - 9.9
Hybrids 592.8 - - - 592.8
Bond loans 1,576.8 - - - 1,576.8
Foreign currency derivatives -18.0 - - - -18.0
Net payables -39.1 - - - -39.1
Exclude
Cash and cash equivalents 358.5 - - - 358.5
Net Debt (a) 2,273.5 - - - 2,273.5
Owner-occupied property 0.6 - - - 0.6
Investment properties at fair value 3,590.5 - - - 3,590.5
Properties held for sale 81.1 - - - 81.1
Intangibles 9.7 - - - 9.7
Financial assets 32.5 - - - 32.5
Total Property Value (b) 3,714.3 - - - 3,714.3
LTV (a/b) 61.2% 61.2%
31 December 2023
MEUR
Citycon group as
reported MEUR
Share of Joint
Ventures MEUR
Share of Material
Associates MEUR
Non-controlling
Interests MEUR
Combined
MEUR
Include
Borrowings from Financial Institutions 336.5 108.0 - - 444.5
Commercial paper 46.5 - - - 46.5
Hybrids 607.3 - - - 607.3
Bond loans 1,442.6 - - - 1,442.6
Foreign currency derivatives -10.9 - - - -10.9
Net payables 28.9 7.2 - - 36.1
Exclude
Cash and cash equivalents 25.2 3.7 - - 29.0
Net Debt (a) 2,425.8 111.5 - - 2,537.2
Owner-occupied property 2.4 - - - 2.4
Investment properties at fair value 3,817.7 172.9 - - 3,990.5
Properties held for sale - - - - 0.0
Intangibles 10.7 - - - 10.7
Financial assets 116.0 - - - 116.0
Total Property Value (b) 3,946.7 172.9 - - 4,119.6
LTV (a/b) 61.5% 64.5% 61.6%
Most significant difference between EPRA LTV and IFRS LTV is the classification of hybrid bonds. In EPRA LTV hybrid
bonds are presented as 100% debt whereas in IFRS LTV hybrid bonds are presented as 100% equity. Credit agencies
classify hybrid bonds as 50% debt and 50% equity.
In addition, EPRA LTV includes company’s share of joint venture’s selected assets and liabilities whereas IFRS LTV
excludes them.
26
Financial statementsFinancial review Financial Review 2024
8. EPRA earnings for five years
MEUR 2024 2023 2022 2021 2020
Earnings in IFRS Consolidated Income Statement -37.9 -115.0 5.1 121.0 -28.0
+/- Net fair value losses/gains on investment property 74.6 200.3 56.5 -48.6 146.9
-/+ Net gains/losses on disposal of investment property 79.3 2.3 4.3 6.5 -0.7
-/+ Indirect other operating expenses -0.1 0.3 26.7 0.4 -
-/+ Fair value gains/losses of financial instruments and early close-out
costs of debt and financial instruments 8.1 -0.1 1.0 8.2 5.8
+/- Indirect losses/gains of joint ventures and associated companies 0.0 32.0 21.0 2.3 27.2
-/+ Change in deferred taxes arising from the items above -11.1 -10.2 8.0 34.6 -14.7
+/- Non-controlling interest arising from the items above - - 0.0 - -
EPRA Earnings (basic) 113.0 109.6 122.6 124.4 136.6
-/+ Hybrid bond coupons and amortized fees -33.1 -28.9 -30.5 -24.3 -16.2
+ Reorganisation and one-time costs 9.6 - - - -
Adjusted EPRA Earnings (basic) 89.5 80.6 92.1 100.0 120.3
Issue-adjusted average number of shares, million 182,316 168,285 168,011 177,033 177,998
EPRA Earnings per share (basic), EUR 0.620 0.651 0.730 0.703 0.767
Adjusted EPRA Earnings per share (basic), EUR 0.491 0.479 0.548 0.565 0.676
EPRA Earnings can also be calculated from the consolidated income statement from top to bottom. The EPRA
Earnings calculation is presented in the next table with this different method, which also presents the Direct Operating
profit.
MEUR 2024 2023 2022 2021 2020
Net rental income 214.7 195.7 203.6 202.3 205.4
Direct administrative expenses -33.2 -31.1 -28.7 -26.1 -25.9
Direct other operating income and expenses 2.2 0.3 0.2 0.0 0.9
Direct operating profit 183.6 164.8 175.2 176.1 180.4
Direct net financial income and expenses -68.0 -47.7 -47.0 -46.8 -46.0
Direct share of profit/loss of joint ventures and associated companies -0.7 -4.7 -3.6 -4.0 -0.8
Direct current taxes -2.1 -2.9 -2.1 -3.3 -1.8
Change in direct deferred taxes 0.1 0.1 0.2 2.4 4.8
Direct non-controlling interest - - 0.0 0.0 -0.1
EPRA Earnings 113.0 109.6 122.6 124.4 136.6
Hybrid bond coupons and amortized fees -33.1 -28.9 -30.5 -24.3 -16.2
+ Reorganisation and one-time costs 9.6 - - - -
Adjusted EPRA Earnings 89.5 80.6 92.1 100.0 120.3
Issue-adjusted average number of shares, million 182,316 168,285 168,011 177,033 177,998
EPRA Earnings per share (basic), EUR 0.620 0.651 0.730 0.703 0.767
Adjusted EPRA Earnings per share (basic), EUR 0.491 0.479 0.548 0.565 0.676
27
Financial statementsFinancial review Financial Review 2024
Operational key figures
Shopping Centres
1
Location GLA, sq�m� Retail GLA, sq�m�
Economic
occupancy rate,
31 December 2024 Year of acquisition
Year built/latest
year of renovation
Finland
Shopping centres, Helsinki area
Heikintori Espoo 9,233 7,005 - 1998–2021 1968
Isomyyri Vantaa 11,536 8,204 - 1999 1987
Iso Omena Espoo 102,036 84,620 97% 2007, 2014 2001/2016, 2017
Lippulaiva Espoo 55,880 37,769 95% 2022–2023 2022–2023
Myyrmanni Vantaa 43,537 33,784 97% 1999, 2006 1994/2016
Shopping centres, other areas in Finland
IsoKarhu Pori 15,018 12,656 79% 1999 1972/2014
IsoKristiina Lappeenranta 17,016 12,701 96% 1999, 2005 1987, 1993/2015
Koskikeskus Tampere 35,215 30,128 93% 1999, 2003 1988/2012
Trio Lahti 46,335 27,501 87% 1999, 2007 1977, 1992/2010
Shopping centres, total - 335,805 254,367 95% - -
Other properties, total - 2,191 715 - - -
Finland, total - 337,996 255,082 95% - -
Norway
Shopping centres, Oslo area
Kolbotn Torg Kolbotn 18,835 16,655 100% 2015 2008
Liertoppen Kjøpesenter Lierskogen 26,504 24,486 98% 2015 1987/1990
Linderud Senter Oslo 21,148 16,395 99% 2015 1967/2009
Stovner Senter Oslo 42,703 31,611 94% 2020 1975/2016
28
Financial statementsFinancial review Financial Review 2024
Location GLA, sq�m� Retail GLA, sq�m�
Economic
occupancy rate,
31 December 2024 Year of acquisition
Year built/latest
year of renovation
Shopping centres, other areas in Norway
Herkules Skien 50,013 44,122 97% 2015 1969/2013
Kilden Kjøpesenter Stavanger 23,233 19,344 96% 2015 1989/2015
Kremmertorget Elverum 20,220 17,087 76% 2015 1979/2012
Oasen Kjøpesenter Fyllingsdalen 49,952 26,769 96% 2015 1971/2014
Solsiden
2
Trondheim 14,440 13,709 100% 2015 2000
Storbyen Sarpsborg 25,181 23,159 82% 2015 1999/2015
Shopping centres, total - 292,228 233,336 95% - -
Other properties, total - 8,126 7,006 - - -
Norway, total - 300,354 240,342 95% - -
Sweden
Shopping centres, Stockholm area
Jakobsbergs Centrum Järfalla 42,174 25,759 81% 2006 1959/1993
Kista Galleria, 100% Stockholm 91,766 58,360 89% 2013, 2024 1977,2002/ 2014
Liljeholmstorget Galleria Stockholm 41,306 27,199 98% 2006 1973/2009
Åkersberga Centrum Åkersberga 27,500 21,484 91% 2005, 2015 1985/2011
Shopping centres, Gothenburg area
Stenungstorg Centrum Stenungsund 35,806 22,425 88% 2006 1967/2016
Mölndals Galleria Mölndal 26,337 24,222 91% 2014/2018 2018
Shopping centres, total - 264,888 179,448 91% - -
Sweden, total - 264,888 179,448 91% - -
Shopping centres, Denmark
Albertslund Centrum Copenhagen 19,423 14,113 96% 2012 1965/2015
Strædet Køge 19,019 17,332 96% 2017, 2018 2017, 2018
Shopping centres, Estonia
Rocca al Mare Tallinn 57,817 56,498 98% 2005 1998/2009
Shopping centres, total - 96,259 87,942 97% - -
Other properties, total - - - - - -
Denmark & Estonia, total - 96,259 87,942 97% - -
Total - 999,497 762,814 94% - -
1
Including Kista Galleria 100%.
2
Rented property.
29
Financial statementsFinancial review Financial Review 2024
Fair value
No� of properties Fair value, EUR million
Fair value change,
EUR million Average yield requirement, %
Average market rent,
EUR/sq�m�/month
31 December 2024 31 December 2024 31 December 2023 2024 31 December 2024 31 December 2023 31 December 2024
Shopping centres, Finland 9 1,574.5 1,683.9 -57.2 - - -
Other properties, Finland 1 3.6 4.4 -0.8 - - -
Finland, total 10 1,578.1 1,688.3 -58.0 5.9 5.5 30.3
Shopping centres, Norway 9 814.1 1,077.1 -22.6 - - -
Rented shopping centres, Norway
1
1 - - - - - -
Other properties, Norway 1 - - -0.5 - - -
Norway, total 11 814.1 1,077.1 -23.1 6.7 6.2 21.1
Shopping centres, Sweden
2
6 902.2 610.8 19.5 - - -
Other properties, Sweden - - 6.7 0.0 - - -
Sweden, total 6 902.2 617.5 19.5 6.0 5.8 25.5
Shopping centres, Denmark & Estonia 3 292.9 434.8 -6.3 - - -
Other properties, Denmark & Estonia 1 3.1 - 0.6 - - -
Denmark & Estonia, total 4 296.0 434.8 -5.7 7.1 7.2 21.9
Shopping centres, total 28 3,583.7 3,806.6 -66.6 - - -
Other properties, total 3 6.8 11.1 -0.7 - - -
Investment properties, total 31 3,590.5 3,817.7 -67.3 6.2 6.0 25.4
Right-of-use assets classified as investment properties (IFRS 16) - 37.3 40.5 -7.4 - - -
Investment properties in the statement of financial position, total 31 3,627.8 3,858.2 -74.6 6.2 6.0 25.4
Kista Galleria, 50% - - 173.2 - - - -
Investment properties in the statement of financial position and Kista Galleria (50%), total 31 3,627.8 4,031.4 -74.6 6.2 5.9 25.4
1
Value of rented properties is recognised within IFRS 16 investment properties based on IFRS rules.
2
31 December 2024 includes Kista Galleria 100%
30
Financial statementsFinancial review Financial Review 2024
Like-for-like portfolio
No� of properties Fair value, EUR million
Fair value change,
EUR million Average yield requirement, %
Average market rent,
EUR/sq�m�/month
31 December 2024 31 December 2024 31 December 2023 2024 31 December 2024 31 December 2023 31 December 2024
Shopping centres, Finland 5 1,341.2 1,440.1 -45.9 - - -
Other properties, Finland - - - - - - -
Finland, total 5 1,341.2 1,440.1 -45.9 6.0 5.5 32.1
Shopping centres, Norway 8 794.9 842.8 -11.6 - - -
Rented shopping centres, Norway
1
1 - - - - - -
Norway, total 9 794.9 842.8 -11.6 6.6 6.1 21.7
Shopping centres, Sweden 3 452.6 461.4 1.0 - - -
Other properties, Sweden - - - - - - -
Sweden, total 3 452.6 461.4 1.0 5.7 5.6 30.5
Shopping centres, Denmark & Estonia 2 115.0 110.8 2.9 - - -
Other properties, Denmark & Estonia - - - - - - -
Denmark & Estonia, total 2 115.0 110.8 2.9 6.4 6.4 19.1
Shopping centres, total 19 2,703.7 2,855.2 -53.5 - - -
Other properties, total - - - - - - -
Like-for-like properties, total 19 2,703.7 2,855.2 -53.5 6.1 5.8 26.9
Right-of-use assets classified as like-for-like properties (IFRS 16) - 36.1 40.2 -6.7 - - -
Like-for-like properties in the statement of financial position, total 19 2,739.8 2,895.4 -60.2 6.1 5.8 26.9
1
Value of rented properties is recognised within IFRS 16 investment properties based on IFRS rules.
Citycon’s five largest properties
1
Average rent,
EUR/sq�m�/
month
Gross rental
income,
EUR million
Net rental
income,
EUR million
Fair
value,
EUR million
Fair value
change,
EUR million
31 December
2024 2024 2024
31 December
2024 2024
Iso Omena 39.3 37.6 36.9 788.6 -20.6
Kista Galleria 24.8 16.7 12.2 308.4 22.4
Liljeholmstorget Galleria 37.6 15.9 15.5 306.8 3.4
Lippulaiva 29.1 15.1 14.4 297.0 -8.9
Myyrmanni 27.5 10.7 10.9 204.0 -8.4
Five largest properties, total 32.0 95.9 89.8 1,904.8 -12.2
1
Including Kista Galleria 100% and IFRS 16 assets
31
Financial statementsFinancial review Financial Review 2024
Average rent
1
Average remaining
length of lease
agreements, years
Average remaining
length of lease
agreements, years
Average rent,
EUR/sq�m�/month
Average rent,
EUR/sq�m�/month
31 December 2024 31 December 2023 31 December 2024 31 December 2023
Finland 4.1 4.5 28.6 27.9
Norway 2.9 2.9 21.5 20.9
Sweden 2.4 2.5 25.1 23.7
Denmark & Estonia 3.4 3.4 23.1 23.1
Total 3.3 3.5 25.0 24.0
1
Including Kista Galleria 100%
Rental income by business units
1
Gross rental income, EUR million Net rental income, EUR million
2024 2023 2024 2023
Finland 84.5 81.6 80.9 76.4
Norway 65.4 67.7 60.5 62.5
Sweden 52.5 33.8 42.4 27.8
Denmark & Estonia 33.0 32.2 30.9 29.3
Other - - 0.0 -0.4
Investment properties, total 235.4 215.3 214.7 195.7
1
2024 Including Kista Galleria 100%
Top ten tenants
1
Proportion of rental income based on valid rent roll at 31 December 2024, %
S Group 5.5%
Kesko Group 5.1%
ICA Group 2.3%
Varner Group 2.3%
NorgesGruppen 1.7%
Coop 1.6%
Lindex Group 1.5%
SATS 1.4%
Normal 1.4%
Tryg Forsikring 1.3%
Total 24.2%
1
Including Kista Galleria 100%
Leasing activity, investment properties
1
Number of lease
agreements Leased area, sq�m�
Average rent, EUR/
sq�m�/month
31 December 2023 4,153 983,733 24.0
Leases started 1,222 200,342 20.2
Leases ended 1,544 293,406 23.4
Acquisitions - - 0.0
Other changes - 438 -
31 December 2024 3,831 891,107 25.0
1
Including Kista Galleria 100%
Rental Income by Category, %
1
Finland Norway Sweden
Denmark
& Estonia Total
Groceries 27.0 13.2 15.0 21.6 19.8
Fashion and Accessories 14.9 20.7 17.1 23.4 17.8
Home and Sporting Goods 10.8 24.0 11.1 21.3 15.4
Services and Offices 15.5 16.8 16.9 10.2 15.7
Cafes and Restaurants 11.9 8.1 13.3 7.7 10.8
Cosmetics and Pharmacies 6.8 10.4 10.4 7.1 8.7
Wellness 3.8 5.5 8.2 3.2 5.3
Specialty Stores 3.2 1.2 1.2 3.2 2.1
Residentials and Hotels 4.5 - 5.8 - 3.2
Leisure 1.6 0.2 0.8 2.4 1.1
Total 100.0 100.0 100.0 100.0 100.0
1
Including Kista Galleria 100%
32
Financial statementsFinancial review Financial Review 2024
(Re)development projects in progress
Completed (re)development projects on Q1–Q4/2024
Location Area before/after, sq�m�
Actual gross investment by
31 December 2024, MEUR Completion
Barkarby,
residentials
1
Stockholm,
Sweden -/12,950 66.9 2024
1
Citycon divested the property in December 2024 simultaneously with the purchase of the property from the developer.
33
Financial statementsFinancial review Financial Review 2024
Risk and risk management
The objective of Citycon’s risk management is to
ensure that the business targets are achieved by
identifying, assessing and monitoring key risks
which may threaten these targets, and to the extent
possible, avoid, transfer or mitigate these risks.
Risk management principles
Citycon is exposed to various risks through the normal
course of its activities. No business can be conducted
without accepting a certain risk level, and expected
gains are to be assessed against the involved risks.
Successful risk management implemented in the
business processes decreases the likelihood of risk
realization and mitigates the negative effects of
realised risk. Many of the risks and threats have not
only potential negative effects, but could also develop
in a favourable manner, or if effective proactive
measures are taken, be turned into opportunities for
Citycon.
The Board of Directors determines Citycon’s strategic
direction and is jointly with the Management
Committee responsible for the long term and overall
management of strategic risks. The operational risks,
financial risks and hazard risks are managed in the
various functions as a part of operational management.
Each function has a dedicated person who is the owner
of the risks in that area and also responsible for the
reporting of the risks, the mitigation plans and the
follow-up on their implementation.
Risk reporting
The risk management and reporting process involves
identifying, assessing, quantifying, mitigating and
monitoring risks in all main business operations and
processes. The process also includes evaluation of
existing, and the planning of new, risk mitigation plans
for the identified risks in order to continuously improve
risk management processes.
The risk reporting process gathers data on risks and
the respective mitigation plans into one group-wide
risk register. A Risk Steering Committee is responsible
for the risk reporting process and evaluates which risks
to present to Citycon’s Board of Directors to facilitate
discussion and inform about the major risks in the
company. This is done during the budgeting process so
that the risks are linked to the annual targets. In order
to evaluate the importance of each risk and to improve
the comparativeness, an estimate of the loss associated
with each risk is determined together with the
probability of risk realization. The realised risks during
the previous year are also estimated and reported.
Identify
Assess &
quantify
Create
mitigation
plans
Report risks
and mitigation
plans to the
board
Monitor
Insurances
To transfer certain operational and hazard risks, Citycon
maintains a comprehensive insurance coverage to cover
damages, claims and liabilities potentially arising from
the Group’s business. The properties are insured under
the property damage policy to their full reconstruction
value, including business interruption insurance and
third-party liability insurance. Citycon also have other
customary insurance policies.
Board of Directors
Risk Report
Risk management
as part of continuous operational management
in Management Committee
• Operations
• Leasing
• Business development
• Property transactions
• Property development
• Reporting and accounting
• Property valuations
Business operations and functions
• Tax
• Funding
• Financial risk management
• Communication and IR
• Legal
• IT
• HR
Internal auditInternal control
34
Financial statementsFinancial review Financial Review 2024
Risk and impact Risk management measures
Leasing • The economic development in Citycon’s operating countries impacts consumer confidence which could affect demand for
retail premises. This may lead to lower rental levels or increased vacancy. It could also increase the risks for credit losses or
decrease turnover based rental income.
• Continued high inflation environment and increased energy costs could affect negatively to consumer purchase power and
increase the risk of tenant bankruptcies and weaken tenant’s capability to pay rent which could increase Citycon’s vacancy and
weaken results.
• The growing online retailing that affects customer behavior, or increased local competition may affect demand for retail
premises and put pressure on rental levels or increase vacancy, especially in less urban locations.
• Citycon’s strategy to focus on grocery anchored, urban shopping centres connected to public transportation with necessity-driven
retail has proven its stability in various market conditions with steady cash flows, occupancy and low credit losses also during a
downturn. This strategy also decreases the negative effects of the increasing online retailing.
• The fact that most of the company’s assets are in AAA/AA+ rated countries decreases the risk of a major downturn affecting the
retail sector.
• Citycon is continuously following and analysing tenants to identify risk tenants, and requires a rent collateral.
• Tenant diversification has improved considerably through focused leasing efforts and through pan-Nordic strategy and the share
of risk tenants has actively been decreased.
Property
Development
& transactions
• The planned divestments of centers may be delayed due to the weak market conditions and the low liquidity of secondary
assets.
• Increased costs in development projects due to rising construction costs or delays due to unforeseeable challenges.
• Reduced demand for new retail space could result in a low occupancy rate or lower than planned rent levels in new premises.
• Maintaining relatively low level of development exposure and keeping no landbank.
• Construction costs are managed through competitive tendering, careful project monitoring of costs and by entering into contracts
with price caps when appropriate.
• Leasing risks are minimised by having strict pre-leasing requirements prior to project start, by signing agreements with key anchor
tenants at an early stage and by carrying out developments in proven retail locations with strong and growing demographics.
Operations • A major accident, system failure, or terrorist incident could threaten the safety of shoppers and retailers, leading to loss of
consumer confidence and thereby loss of income and extra costs.
• Risk of increased operating cost for e.g. maintenance, energy or security. In some lease agreements the rent paid by the
lessee is not affected by changed operating expenses, and a rise in operating expenses higher than inflation would decrease
the profitability. Also, when the higher costs can be passed to tenants, rising operating expenses may reduce tenants’ rental
payment capacity.
• Governmental restrictions due to new pandemic could threaten footfall and tenants’ ability to conduct business.
• Risk of accidents and incidents mitigated by adequate security plans and incident procedures supported by crisis case exercises
for personnel.
• Comprehensive insurance coverage.
• Citycon tries to minimize the impact of rising operating expenses by lease contracts with specified rent components when possible
and charging tenants based on actual operating costs.
• Efficient centralized procurement, frame contracts with service providers and suppliers, cost monitoring and cost benchmarking
between shopping centres.
• To mitigate the risk of energy price hikes, electricity prices are fixed according to a hedging policy, and energy efficiency actions
have been implemented.
Property
values
• The value of the properties can decrease for a number of reasons: a weaker economic environment impacting consumer
purchase power, changes in -competition and consumer behaviour towards internet shopping, reduced availability and higher
cost of financing and the relative attractiveness of other asset classes. The changes may lead to higher yield requirements,
decreased market rents and increased vacancy rates.
• While many of the factors affecting property values cannot be influenced, Citycon seeks to impact the fair market value through
active shopping centre management and optimising the profitability of its centres.
• Citycon’s strategy to focus on urban mixed-use centres with necessity-driven retail and services in strong and growing locations
results in relatively stable property valuations throughout the economic cycle.
• Citycon’s presence in five highly rated countries gives country risk diversification and decreases the volatility of the total property
values.
Environment • Environmental concerns, customer expectations or legislation might restrict or impact Citycon’s business, land use and
construction.
• Risks associated with e.g. climate change might affect Citycon’s business environment. For example, extreme weather
conditions and regulation implemented to mitigate and adapt to climate change can increase energy, maintenance and
construction costs.
• Environmental impact assessments are conducted in connection with major projects.
• Ensuring the environmental compliance of our buildings through energy investments, internal management practices, green
energy purchase and production as well as external standards and certifications.
• A sustainability strategy with clear short-term and long-term goals.
People • An expert organisation of Citycon’s nature relies heavily on its personnel for success, and therefore it is crucial to attract and
retain the right people, develop competencies and ensure clear roles and targets.
• Citycon sees good leadership as essential to reduce personnel related risks and places great emphasis on target-setting and
performance management, competence development, career advancement, and commitment of key employees.
Financing • Both bank and bond financing have been available for Citycon, but willingness to lend at competitive terms could decline due to
credit rating downgrades, turmoil in financial markets, tightening regulation or other reasons, which could affect the availability
or cost of debt financing.
• If interest rates continue to be at high level, it will inevitably increase Citycon’s financial expenses over time.
• Citycon has a conservative but active financing policy, with a focus on long-term financing, a solid balance sheet and keeping
70–90% of debt tied to fixed interest rates to reduce the effects of increased interest rates.
• Investment grade credit rating by Standard & Poor’s (BBB-) supports the availability and cost of financing. Several long-term bond
issues have reduced the refinancing risk and dependency on bank financing.
35
Financial statementsFinancial review Financial Review 2024
Shares and shareholders
Listing
Market place Nasdaq Helsinki
Listed since 1988
Trading currency euro
Segment Large Cap
Sector Financials
Sub-industry Real Estate Operating Companies
Trading code CTY1S
ISIN code FI4000369947
Shares and share capital
Citycon Oyj’s shares are listed on Nasdaq Helsinki.
Citycon has one series of shares and each share entitles
its holder to one vote at the General Meeting and to an
equal dividend. The shares have no nominal value.
At year-end 2024, Citycon’s total number of shares was
184,231,295. The market capitalisation of Citycon at
the end of 2024 was EUR 0.6 billion based on the stock
price of EUR 3.22.
In 2024, approximately 75.5 million Citycon shares
were traded on the Helsinki Stock Exchange. The
daily average trading volume was 300,778 shares,
representing a daily average turnover of approximately
EUR 1.2 million.
Shareholders
The number of registered shareholders at year-end
2024 was 25,660 (27,738). Shares owned by nominee-
registered parties equaled 67.7% at year-end 2023
(70.2%). Citycon is one of the companies on the Helsinki
Stock Exchange with the most international ownership
base.
Largest shareholders
Citycon’s largest shareholders according to Euroclear
Finland are listed in the table below.
In total, G City Ltd. and its wholly-owned subsidiary
Gazit Europe Netherlands own 49.54% of the total
shares and votes in the company (91,259,016 shares
as of 31 December 2024). Their shareholdings are
mostly nominee-registered. The above-mentioned
shareholdings include their direct ownership mentioned
on the table above.
Dividend payout
The Board of Directors proposes to the Annual General
Meeting that the Board of Directors will be authorized
to decide on the distribution of assets from the invested
unrestricted equity fund.
Based on this authorization, the maximum total amount
of equity repayment distributed from the invested
unrestricted equity fund shall not exceed EUR 0.30
per share. Based on the current total number of issued
shares in the company (184,231,295), the authorization
Share price and trading
2024 2023 2022 2021 2020
Number of shares traded
1
1,000 x 75,495 61,626 84,382 94,293 68,046
Stock turnover % 41.0 35.8 50.2 56.0 38.2
Share price, high
1
EUR 5.21 7.01 7.57 8.18 9.99
Share price, low
1
EUR 3.13 4.89 5.96 6.67 5.22
Share price, average
1
EUR 4.03 5.93 6.81 7.37 7.19
Share price, closing
1
EUR 3.22 5.20 6.26 7.00 7.93
Market capitalisation, period-end MEUR 592.9 894.4 1,050.9 1,179.5 1,411.5
Number of shares, period-end 1,000 x 184,231 171,994 168,009 168,499 177,999
1
Comparative figures adjusted to reflect the reverse split on March 18, 2019.
6
5
4
3
Share price and volume
Number of shares, thousands
Citycon share price
Citycon share volume
2,500
2,000
1,500
1,000
500
0
January 2024 December 2024
EUR
36
Financial statementsFinancial review Financial Review 2024
would equal to a maximum of EUR 55,269,389 in equity
repayment.
The authorization is valid until the opening of the next
Annual General Meeting.
As disclosed on 15 November 2024, the Board of
Directors of Citycon Oyj has unanimously decided that
it will not use its authorization and no dividend or equity
repayment will be distributed until year end 2025. The
decision has been made to further increase the long-
term financial stability, and to strengthen the balance
sheet and the credit profile of the company.
Major shareholders 31 December 2024
In total, G City Ltd. (former Gazit-Globe Ltd.) and its
wholly-owned subsidiary Gazit Europe Netherlands
own 49.54% of the total shares and votes in the
company (91,259,016 shares as of 31 December 2024).
Their shareholdings are mostly nominee-registered.
The above-mentioned shareholdings include their
direct ownership mentioned on the list below. More
information on ownership of G City Ltd and Gazit Europe
Netherlands BV is available on company’s website:
citycon.com/investors/major-shareholders
Major shareholders 31 December 2024
Shares %
Ilmarinen Mutual Pension Insurance Company 13,299,139 7%
G City Ltd
1
4,882,174 3%
The State Pension Fund 1,400,000 1%
Elo Mutual Pension Insurance Company 1,340,000 1%
OP-Henkivakuutus Ltd. 836,686 0%
Zeroman Oy 816,666 0%
Nordea Life Assurance Finland Ltd. 623,867 0%
Pakkanen Mikko Pertti Juhani 500,000 0%
eQ Nordic Small Cap Mutual Fund 493,624 0%
Rantalainen-Yhtiöt Oy 450,000 0%
10 largets shareholders, total 24,642,156 13%
Nominee-registered shares 124,692,914 68%
Others 34,896,225 19%
Total 184,231,295 100%
1
Includes non-nominee-registered ownership. In total, G City Ltd. and its wholly-owned subsidiary Gazit Europe Netherlands own 49.54% of the total shares and
votes in the company (91,259,016 shares as of 31 December 2024).
Shareholders by ownergroup 31 December 2024
Number of shareholders % Number of shares %
Financial and insurance corporations 33 0% 119,994,319 65%
Corporations 1,074 4% 7,509,024 4%
Households 24,343 95% 25,631,149 14%
General government 5 0% 16,110,647 9%
Foreign 66 0% 13,083,273 7%
Non-profit institutions 129 1% 1,902,883 1%
Total 25,650 100% 184,231,295 100%
Shareholdings by number of shares 31 December 2024
Number of shares Number of shareholders % Number of shares %
1–100 8,378 33% 365,835 0%
101–1,000 12,262 48% 4,883,243 3%
1,001–10,000 4,489 17% 12,818,912 7%
10,001–100,000 487 2% 12,101,367 7%
100,001–1,000,000 36 0% 10,625,624 6%
1,000,001 + 8 0% 143,436,314 78%
Total 25,660 100% 184,231,295 100%
37
Financial statementsFinancial review Financial Review 2024
Key figures and financial development for five years
Formula 2024 2023 2022 2021 2020
Income statement data
Gross rental income 235.4 215.3 222.3 222.2 224.3
Net rental income
Finland 80.9 76.4 68.6 66.5 66.2
Norway 60.5 62.5 78.9 77.8 74.1
Sweden 42.4 27.8 30.4 32.0 39.0
Denmark & Estonia 30.9 29.3 26.0 26.0 26.0
Other 0.0 -0.4 -0.3 0.0 0.1
Net rental income total 214.7 195.7 203.6 202.3 205.4
Other operating income and expense 2.3 0.0 -26.5 -0.4 0.9
Operating profit/loss 29.8 -38.0 87.7 217.8 34.1
Result before taxes -47.0 -122.3 15.1 156.5 -45.7
Result for the period attributable to parent company shareholders -37.9 -115.0 5.3 121.0 -28.0
Statement of financial position data
Investment properties 3,627.8 3,858.2 4,040.1 4,189.2 4,152.2
Current assets
1
411.3 99.4 135.9 145.0 77.8
Total equity 1,858.5 1,987.5 2,310.3 2,489.5 2,166.0
Equity attributable to parent company shareholders 1,265.7 1,380.1 1,618.8 1,800.1 1,818.6
Non-controlling interest 0.0 0.0 0.0 0.3 0.2
Interest-bearing liabilities 2,131.5 1,864.4 1,807.7 1,878.5 2,121.2
Total liabilities 2,444.6 2,220.9 2,150.5 2,313.5 2,514.0
Total liabilities and shareholders’ equity 4,303.1 4,208.4 4,460.7 4,803.0 4,680.0
Number of properties
2
31 34 34 37 41
1
Current assets for 31 December 2023 has been revised by reclassifying a deferred payment of EUR 17.1 million related to asset divested in December 2022 from
long-term receivables to short-term receivables due to payment being due for payment at the end of December 2024. Previously reported amount was EUR
82.3 million.
2
Kista Galleria 50% not included in 2020-2023 numbers.
3
LTV 2021 changed due to correction related to presentation of IFRS 16 assets. Previously reported LTV for 2021 was 40.7.
4
The Board of Directors proposes to the Annual General Meeting that the Board of Directors will be authorized to decide on the distribution of assets from the
invested unrestricted equity fund. Based on this authorization, the maximum total amount of equity repayment distributed from the invested unrestricted equity
fund shall not exceed EUR 0.30 per share. Based on the current total number of issued shares in the company (184,231,295), the authorization would equal to a
maximum of EUR 55,269,389 in equity repayment. The authorization is valid until the opening of the next Annual General Meeting. As disclosed on 15 November
2024, the Board of Directors of Citycon Oyj has unanimously decided that it will not use its authorization and no dividend or equity repayment will be distributed
until year end 2025. The decision has been made to further increase the long-term financial stability, and to strengthen the balance sheet and the credit profile
of the company.
Formula 2024 2023 2022 2021 2020
Key performance ratios
Equity ratio, % 1 43.3 47.4 51.8 52.0 46.4
Loan to value (LTV), %
3
2 47.3 46.3 41.4 40.3 46.9
Return on equity, % (ROE) 3 -2.7 -7.5 0.3 6.6 0.0
Return on investment, % (ROI) 4 0.7 -1.9 1.5 4.8 2.8
Quick ratio 5 4.8 0.2 0.7 2.6 0.7
Gross capital expenditure, MEUR 382.3 95.9 177.0 224.1 344.4
% of gross rental income 162.4 44.5 79.6 100.9 153.5
Per-share figures and ratios
Earnings per share, EUR 6 -0.40 -0.70 -0.15 0.55 -0.25
Earnings per share, diluted, EUR 7 -0.40 -0.70 -0.15 0.54 -0.25
Net cash from operating activities per share, EUR 8 0.71 0.75 0.59 0.72 0.71
Equity per share, EUR 9 10.09 11.56 13.75 14.80 12.17
P/E (price/earnings) ratio 10 - - - - -
Return from invested unrestricted equity fund per share,
EUR
4
0.30 0.50 0.50 0.45 0.49
Dividend per share, EUR
4
- - - 0.05 0.05
Dividend and return from invested unrestricted equity fund
per share total, EUR
4
0.30 0.50 0.50 0.50 0.54
Dividend and return of equity per earnings, % 11 - - - 91.6 -
Effective dividend and return of equity yield, % 12 9.3 9.6 8.0 7.1 6.8
Issue-adjusted average number of shares (1,000)
5
182,316 168,285 168,011 177,033 177,998
Issue-adjusted number of shares at the end of financial
year (1,000)
5
184,231 171,994 168,009 168,202 177,999
Operative key ratios
Occupancy rate (economic), %
2
13 94.1 94.9 94.5 93.4 93.9
Citycon's GLA, sq.m.
2
999,497 1,011,490 1,013,390 1,059,090 1,136,390
Personnel (at the end of the period) 164 234 251 251 246
5
Issue-adjusted number of shares excluding Treasury shares held by the company.
Formulas are presented on section Formulas for key figures and ratios.
38
Financial statementsFinancial review Financial Review 2024
Formulas for key figures and ratios
1) Equity ratio, % Total Equity
X 100
Balance sheet total - advances received
2) Loan to value (LTV), % Interest bearing liabilities – lease liabilities (IFRS 16) – cash and cash equivalents
X 100
Fair value of investment properties + assets held for sale + investments in joint ventures -
right-of-use assets classified as investment properties (IFRS 16)
3) Return on equity (ROE), % Result for the period
X 100
Total Equity attributable to parent company shareholders (weighted average)
4) Return on investment (ROI), % Result before taxes + interest and other financial expenses
X 100
Balance sheet total (average) - non-interest-bearing liabilities (average)
5) Quick ratio Current assets
Short-term liabilities
6) Earnings per share (EPS), EUR
1
Result for the period attributable to parent company shareholders
X 100
Average number of shares for the period
7) Earnings per share, diluted, EUR
1
Result for the period attributable to parent company shareholders
X 100
Diluted average number of shares for the period
8) Net cash from operating activities
per share, EUR
Net cash from operating activities
X 100
Average number of shares for the period
9) Equity per share, EUR Total equity
Number of shares on the balance sheet date
10) P/E ratio (price/earnings) Closing price at year-end
EPS
11) Dividend and return of equity
per earnings, %
Dividend and return of equity per share
X 100
EPS
12) Effective dividend and
return of equity yield, %
Dividend and return of equity per share
X 100
Closing price at year-end
13) Occupancy rate (economic), % Gross rental income as per leases
X 100
Estimated market rent of vacant premises + gross rental income as per leases
1
Transaction costs and coupons on hybrid bond are deducted from the result for the period attributable to parent company shareholders, despite the recognition
date (coupons are recorded based on the commitment to the payment). In addition, gains/losses and expenses on hybrid bond repayments are included in the
calculation.
39
Financial statementsFinancial review Financial Review 2024
Financial
statements
Citycon Oyj’s consolidated financial statements ������ 41
Consolidated income statement, IFRS ..............................41
Consolidated statement of
other comprehensive income, IFRS .....................................41
Consolidated statement of financial position, IFRS ....42
Consolidated cash flow statement, IFRS ..........................43
Consolidated statement of changes
in shareholders’ equity, IFRS .................................................... 44
Notes to the consolidated financial statements ��������� 45
Parent company financial statements, FAS ���������������� 83
Notes to the parent company‘s financial
statements, FAS ............................................................................. 86
Signatures to the financial statements ..............................90
Auditor’s report ...............................................................................91
40
Financial statementsFinancial review Financial Review 2024
Citycon Oyj’s consolidated financial statements
Consolidated income statement, IFRS
MEUR Note 2024 2023
Gross rental income 1.2. 235.4 215.3
Service charge income 1.3. 85.9 74.7
Property operating expenses 1.4. -104.5 -92.8
Other expenses from leasing operations -2.1 -1.6
Net rental income 1.1. 214.7 195.7
Administrative expenses 1.5. -33.2 -31.1
Other operating income and expenses 1.3, 1.7. 2.3 0.0
Net fair value gains/losses on investment property 2.1. -74.6 -200.3
Net gains/losses on sale of investment property 1.1., 5.1. -79.3 -2.3
Operating profit/loss 29.8 -38.0
Financial income 76.5 87.7
Financial expenses -152.7 -135.3
Net financial income and expenses 3.2. -76.1 -47.7
Share of profit/loss of associated companies and joint ventures 2.4. -0.7 -36.7
Result before taxes -47.0 -122.3
Current taxes 4.1. -2.1 -2.9
Change in deferred taxes 4.2. 11.2 10.3
Income taxes 9.2 7.4
Result for the period -37.9 -115.0
Result attributable to
Parent company shareholders -37.9 -115.0
Non-controlling interest 0.0 0.0
Earnings per share attributable to parent company shareholders:
1
Earnings per share (basic), EUR 1.8. -0.40 -0.70
Earnings per share (diluted), EUR 1.8. -0.40 -0.70
1
The key figure includes hybrid bond coupons (both paid and accrued not yet recognized), amortized fees and gains/losses and expenses on hybrid bond
repayments.
Consolidated statement of other comprehensive income, IFRS
MEUR Note 2024 2023
Result for the period -37.9 -115.0
Other comprehensive income/expenses
Items that may be reclassified to profit or loss in subsequent periods
Net gains/losses on cash flow hedges 3.2. 0.2 -3.4
Share of other comprehensive income of associated companies and
joint ventures 0.0 0.0
Exchange gains/losses on translating foreign operations -31.1 -51.7
Net other comprehensive income that may be reclassified to profit
or loss in subsequent periods -30.9 -55.0
Other comprehensive income/expenses for the period, net of tax -30.9 -55.0
Total comprehensive profit/loss for the period -68.8 -170.0
Total comprehensive profit/loss attributable to
Parent company shareholders -68.8 -170.0
Non-controlling interest 0.0 0.0
Operational performance increased in 2024
Net rental income increased in 2024 mainly due
to acquisition of the remaining 50% interest of
Kista Galleria shopping centre in February 2024.
Operating profit was EUR 29.8 million positive.
Result for the period in 2024 was impacted by
higher financial expenses
Overall financial performance was negatively
impacted by the net fair value loss from
investment properties of EUR 74.6 million and
the disposals made during 2024 together with
increased financial expenses.
2023 1 2 3 4 5 2024
Change in operating profit
MEUR
1 Change in net rental income
2 Change in administrative expenses
3 Change in other operating income and expenses
4 Change in fair value gains/losses
5 Change in gains/losses on sale
125.6
2.3
-2.1
19.0
-38.0
-77.0
29.8
41
Financial statementsFinancial review Financial Review 2024
Consolidated statement of financial position, IFRS
MEUR Note 31 December 2024 31 December 2023
ASSETS
Non-current assets
Investment properties 2.1. 3,627.8 3,858.2
Goodwill 5.2. 89.9 111.4
Investments in associated companies and joint ventures 2.4. 3.4 72.4
Intangible assets 4.3. 9.7 10.7
Property, plant and equipment 0.6 2.4
Deferred tax assets 4.2. 16.4 16.5
Derivative financial instruments 3.6. 30.0 37.2
Other non-current assets
1
3.9. 32.9 0.4
Total non-current assets
1
Assets held for sale 2.2. 81.1 0.0
Current assets
Derivative financial instruments 3.6. 6.5 0.1
Current tax receivables 4.1. 0.3 0.6
Trade and other receivables
1
3.3., 4.4. 46.1 73.4
Cash and cash equivalents 3.8. 358.5 25.2
Total current assets
1
Total assets 4,303.1 4,208.4
1
Consolidated statement of financial position for 31 December 2023 has been revised by reclassifying a deferred payment of EUR 17.1 million related to asset
divested in December 2022 from long-term receivables to short-term receivables due to payment being due for payment at the end of December 2024.
MEUR Note 31 December 2024 31 December 2023
EQUITY AND LIABILITIES
Equity 3.1.
Share capital 259.6 259.6
Share premium fund 131.1 131.1
Fair value reserve -1.3 -1.4
Invested unrestricted equity fund 589.4 596.8
Translation reserve -271.1 -240.0
Retained earnings 558.0 634.1
Total equity attributable to parent company shareholders 1,265.7 1,380.1
Hybrid bond 3.1. 592.8 607.3
Non-controlling interest 0.0 0.0
Total equity 1,858.5 1,987.5
Long-term liabilities
Loans 3.3., 3.4. 2,110.7 1,502.8
Derivative financial instruments 3.3., 3.6. 12.7 22.6
Deferred tax liabilities 4.2. 208.4 247.8
Other liabilities 3.3. 0.2 0.2
Total long-term liabilities 2,331.9 1,773.4
Short-term liabilities
Loans 3.3., 3.4. 20.8 361.6
Derivative financial instruments 3.3., 3.6. 3.9 5.3
Current tax liabilities 4.1. 1.8 2.4
Trade and other payables 3.3., 4.5. 86.2 78.3
Total short-term liabilities 112.6 447.5
Total liabilities 2,444.6 2,220.9
Total liabilities and equity 4,303.1 4,208.4
Investment property values decreased
Fair value of investment properties decreased due to fair value losses of EUR 74.6 million, changes in exchange
rates EUR 70.2 million and transfers into held for sale assets EUR 411.1 million, investments and acquisitions
increased the value of investment properties by EUR 321.3 million. Citycon acquired the remaining 50% interest
of Kista Galleria shopping centre in February 2024, after which Kista Galleria has been consolidated to Citycon
Group increasing both total assets and total liabilities.
2024 2023
Assets
MEUR
5,000
4,000
3,000
2,000
1,000
0
Other current assets
Cash and cash equivalents
Assets held for sale
Other non-current assets
Goodwill
Investment in associated
companies and joint ventures
Investment properties
2024 2023
Equity and liabilities
MEUR
5,000
4,000
3,000
2,000
1,000
0
Other short-term liabilities
Other long-term liabilities
Deferred tax liabilities
Loans
Total equity
42
Financial statementsFinancial review Financial Review 2024
Consolidated cash flow statement, IFRS
MEUR Note 2024 2023
Cash flow from operating activities
Result before taxes -47.0 -122.3
Adjustments 233.1 290.3
Cash flow before change in working capital 186.1 168.0
Change in trade and other receivables 4.4. 13.0 0.1
Change in trade and other payables 4.5. -10.1 5.7
Change in working capital 2.9 5.8
Cash generated from operations 189.0 173.8
Interest expenses and other financial expenses paid -63.0 -51.0
Interest income and other financial income received 5.8 1.7
Taxes paid -2.2 2.4
Net cash from operating activities 129.6 126.8
Cash flow from investing activities
Acquisition of investment properties and subsidiaries,
less cash acquired 2.1., 2.2., 5.1. -62.7 -
Capital expenditure on investment properties 2.1., 2.2. -48.1 -94.4
Capital expenditure on investments in joint ventures, intangible
assets and PP&E 2.4., 4.3. -1.0 -2.3
Sale of investment properties and subsidiaries 2.2., 5.1. 299.9 -0.4
Net cash from/used in investing activities 188.1 -97.1
Cash flow from financing activities
Proceeds from short-term loans 3.4. 256.1 357.3
Repayments of short-term loans 3.4. -800.5 -433.8
Proceeds from long-term loans 3.4. 641.6 405.3
Repayments of long-term loans 3.4. -29.9 -257.5
Hybrid bond repayments 3.1. - -39.2
Hybrid bond interest and expenses 3.1. -48.7 -29.1
Proceeds and costs from share issue 3.1. 46.6 -
Dividends and return from the invested unrestricted equity fund 3.1. -55.2 -84.4
Realised exchange rate gains and losses 7.7 9.4
Net cash from/used in investing activities 17.7 -72.0
Net change in cash and cash equivalents 335.4 -42.3
Cash and cash equivalents at period-start 3.8. 25.2 69.2
Effects of exchange rate changes -2.2 -1.6
Cash and cash equivalents at period-end 3.8. 358.5 25.2
MEUR Note 2024 2023
Adjustments:
Depreciation and amortisation 1.5., 4.3. 2.9 3.0
Net fair value gains/losses on investment property 2.1. 74.6 200.3
Gains/losses on disposal of investment property 1.1., 5.1. 79.3 2.3
Financial income 3.2. -76.5 -87.7
Financial expenses 3.2. 152.7 135.3
Share of profit/loss of associated companies and joint ventures 2.4. 0.7 36.7
Share-based payments 1.6. -0.6 1.7
Other adjustments 0.1 -1.3
Total 233.1 290.3
MEUR Note 2024 2023
Net cash from operating activities 129.6 126.8
Average number of shares (1,000) 182,316 168,285
Net cash from operating activities per share 0.71 0.75
Net cash from operating activities increased slightly to EUR 129�6 million from previous year
During 2024 Citycon invested EUR 110.8 million in acquisitions and investment properties, including the
acquisition of Kista and acquisition cost of residential property in Sweden, which was divested on the same day.
Investments were financed by cash generated from operations and divestments. Net cash from operations per
share decreased to EUR 0.71 due to directed share issues during 2024, where a total of 12.2 million new shares
were carried out. During 2024, Citycon issued two bonds total of EUR 750 million, the proceeds were used to
repay short-term Eurobonds of EUR 310 million and NOK bonds of EUR 193 million.
2023 1 2 3 4 5 6 7 8 2024
Cash needs and cash proceeds
MEUR
299.9
-48.7
46.6
-55.2
67.3
-111.8
129.6
25.2
5.6
358.5
1 Cash from operations
2 Acquisitions and investments
3 Sale of properties
4 Net of proceeds and repayments of loans
5 Hybrid bond interest and expenses
6 Proceeds and costs from share issue
7 Dividends and equity returns
8 Other
43
Financial statementsFinancial review Financial Review 2024
Consolidated statement of changes in shareholders’ equity, IFRS
Equity attributable to parent company shareholders
MEUR
Share
capital
Share
premium
fund
Fair
value
reserve
Invested
unrestricted
equity fund
Translation
reserve
Retained
earnings Total Hybrid bond
Non-
controlling
interest Total equity
Balance at 1 January 2023 259.6 131.1 1.9 660.2 -188.3 754.3 1,618.8 691.5 0.0 2,310.3
Result for the period 2023 -115.0 -115.0 -115.0
Net gains on cash flow hedges (Note 3.2.) -3.4 -3.4 -3.4
Exchange gains/losses on translating foreign operations -51.7 -51.7 -51.7
Total other comprehensive income/expenses for the period,
net of tax -3.4 -51.7 -55.0 -55.0
Total comprehensive profit/loss for the period -3.4 -51.7 -115.0 -170.0 -170.0
Hybrid bond repayments (Note 3.1.) 0.0 -85.9 -85.9
Gains on hybrid bond repayments (Note 3.1.) 25.8 25.8 25.8
Hybrid bond interest and expenses (Note 3.1.) -30.7 -30.7 1.8 -28.9
Share issue and costs (Note 3.1.) 20.9 20.9 20.9
Dividends paid and equity return (Note 3.1.) -84.4 -84.4 -84.4
Share-based payments (Note 1.6.) -0.3 -0.3 -0.3
Other changes 0.0 0.0 0.0
Balance at 31 December 2023 259.6 131.1 -1.4 596.8 -240.0 634.1 1,380.1 607.3 0.0 1,987.5
Result for the period 2024 -37.9 -37.9 -37.9
Net gains on cash flow hedges (Note 3.2.) 0.2 0.2 0.2
Exchange gains/losses on translating foreign operations -31.1 -31.1 -31.1
Total other comprehensive income/expenses for the period,
net of tax 0.2 -31.1 -30.9 -30.9
Total comprehensive profit/loss for the period 0.2 -31.1 -37.9 -68.8 -68.8
Gains/losses on hybrid bond repayments (Note 3.1.) -2.2 -2.2 -2.2
Hybrid bond interest and expenses (Note 3.1.) -34.7 -34.7 -14.5 -49.2
Share issue and costs (Note 3.1.) 47.8 47.8 47.8
Dividends paid and equity return (Note 3.1.) -55.2 -55.2 -55.2
Share-based payments (Note 1.6.) -1.3 -1.3 -1.3
Other changes 0.0 0.0 0.0
Balance at 31 December 2024 259.6 131.1 -1.3 589.4 -271.1 558.0 1,265.7 592.8 0.0 1,858.5
Result for the period and hybrid bond interest
and expenses decreased equity
Result for the period was EUR -37.9 million. A total
of EUR -49.2 million of hybrid bond interest and
expenses were recognized in total equity. During
2024, Citycon paid an equity return of EUR 0.30
per share from the invested unrestricted equity
fund. Distributed equity return in total was EUR
55.2 million. Translation losses were EUR -31.1
million. During 2024, Citycon also completed one
directed share issue to Finnish and international
institutional and other qualified investors and in
total three directed share issues for the payment
of the company’s share-based incentive plans and
remuneration to the Board of Directors.
1 4 72023
2024
2 5 83 6
Development of equity per share
MEUR
-0.01
-0.77
-0.01
-0.30
0.26
-0.21
-0.17
-0.27
10.09
11.56
1
Result for the period
2
Translation differences
3
Share issue and costs
4
Dividends and equity return
5
Gains on hybrid bond
repayments
6 Hybrid bond interest and
expenses
7 Effect of share issue on share
amount
8 Other changes
Equity/shareEquity/share
44
Financial statementsFinancial review Financial Review 2024
Notes to the consolidated financial statements
Accounting Policy Note Number IFRS
Segment information Segment information 1.1. IFRS8
Revenue recognition, other income and trade
and other receivables
Gross rental income, Revenue from contracts
with customers, Other operating income and
expenses, Trade and other receivables
1.2., 1.3., 1.7., 4.4. IFRS16, IFRS15, IFRS9
Employee benefits and share-based payments Employee benefits and personnel expenses 1.6. IAS19, IFRS2
Earnings per share Earnings per share 1.8. IAS33
Investment property Investment properties and related liabilities,
Right-of-use assets
2.1., 2.3. IAS40, IFRS13, IFRS16
Assets held for sale Assets held for sale 2.2. IAS40, IFRS5
Investments in associates and joint ventures Investments in joint ventures, Investments in
associates
2.4. IAS28, IFRS11, IFRS12
Financial Instruments: Disclosures, Presentation,
Recognition and Measurement
Equity, Net financial income and expenses,
Classification of financial instruments, Loans,
Financial risk management, Derivative financial
instruments, Cash and cash equivalents,
Other non-current assets, Trade and other
receivables, Trade and other payables
3.1., 3.2., 3.3., 3.4., 3.5., 3.6., 3.8., 3.9., 4.4., 4.5. IAS32, IFRS7, IFRS9, IFRS16
Provisions, Contingent Liabilities, Contingent Assets Commitments and contingent liabilities 2.1., 3.7. IAS37
Consolidated Financial Statements, Business Combination Acquisitions and disposals, Goodwill,
Acquisition of non-controlling interests
5.1., 5.2., 5.3. IAS40, IFRS10, IFRS3
Related Party Disclosures Related party transactions and changes in
group structure
5.4. IAS24
Impairment of Assets Goodwill, Intangible assets, Trade and other
receivables
4.3., 4.4., 5.2. IAS36, IFRS9
Income taxes Income taxes, Deferred tax assets and liabilities 4.1., 4.2. IAS12
Intangible assets Intangible assets 4.3. IAS38
Events after the Reporting Period Post balance sheet date events 5.6. IAS10
Contingent liabilities Capital Commitments, VAT refund liabilities,
Securities and Pledges
2.1., 3.7. -
45
Financial statementsFinancial review Financial Review 2024
46
Financial statementsFinancial review Financial Review 2024
1. Operating performance
47
Financial statementsFinancial review Financial Review 2024
48
Financial statementsFinancial review Financial Review 2024
49
Financial statementsFinancial review Financial Review 2024
50
Financial statementsFinancial review Financial Review 2024
Tot a l
XXX,X
Meur
Operating expenses 2024
MEUR
Heating and electricity -29.2
Maintenance expenses -34.9
Property personnel expenses -9.6
Administrative and management fees -1.9
Marketing expenses -7.0
Property insurances -1.8
Property taxes -10.0
Repair expenses -6.2
Other property operating expenses -4.0
Tot a l
-104.5
MEUR
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53
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54
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2. Property portfolio and assets
55
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56
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2023 1 2 3 4 5 6 7 8 2024
Investment properties 2024
MEUR
3,858.2
3,627.8
1 Acquisitions
2 Investments and capitalised interest
3 Fair value gains
4 Fair value losses
5 Valuation gains and losses
from Right-of-Use-Assets
6 Exchange differences
7 Changes in right-of-use assets classified as
investment properties (IFRS 16)
8 Transfers between items
4.2
51.0
-70.2
39.6
-7.4
281.8
-118.3
-411.1
2022 1 2 3 4 5 6 2023
Investment properties 2023
MEUR
4,040.1
3,858.2
1 Investments and capitalised interest
2 Fair value gains
3 Fair value losses
4 Valuation gains and losses
from Right-of-Use-Assets
5 Exchange differences
6 Changes in right-of-use assets classified
as investment properties (IFRS 16)
-6.6
-216.5
22.8
1.8
92.8
-76.2
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3. Financing
63
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4. Other notes to the accounts
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5.1. Acquisitions and disposals
Acquisitions
In Q1/2024, Citycon completed the transaction to
acquire the remaining interest in Kista Galleria in
Stockholm, Sweden. Citycon has managed the centre
since 2012 and before the transaction owned 50%
of the asset. After the transaction, Citycon has 100%
ownership.
Kista Galleria acquisition has been treated as an asset
acquisition according to IAS 40 Investment Property,
rather than a business acquisition. Judgement is made
based on the fact that related asset management
activities are already performed by Citycon prior to
the acquistion. The acquistion cost and allocation
to individual identifiable assets and liabilities are
presented in the next tables. Cost allocation is on
the basis of their relative fair values at the date of
purchase [IFRS 3:2(b)]. Subsequent fair value change
of investment property is presented in the net fair
value gains/losses on investment property. Translation
differences accumulated prior to acquisition have been
reclassified through P&L. Deferred tax asset/liability
is not recognized with initial recognition of the asset.
Net cash outflow (EUR 3.5 million, including the total
consideration paid and net cash at acquisition date)
is presented in the consolidated cash flow statement
on row acquisition of investment properties and
subsidiaries, less cash acquired.
In Q4/2024, Citycon completed back-to-back
transaction related to upcoming residential property in
Barkarbystaden, Stockholm, Sweden. Citycon signed
a forward commitment agreement to acquire the
property in 2022. Divestment of the asset was executed
in December 2024 back-to-back, simultaneously with
Citycon’s purchase of the asset from the developer. Total
consideration paid in cash for the asset acquisition was
EUR 59.3 million and it is presented in the consolidated
cash flow statement on row acquisition of investment
properties and subsidiaries, less cash acquired.
There were no acquisitions during the financial year
2023.
Kista Galleria acquisition cost and allocation to
identifiable assets and liabilities
Acquisition cost
MEUR
Investment in joint venture before the acquisition 73.8
Consideration paid for the shares 2.5
Consideration paid for the agreed cash balance 2.7
Transaction costs 0.2
Total 79.1
Asset acquisition
MEUR
Investment property 284.9
Cash 1.7
Other assets 10.9
Liabilities -218.5
Total 79.1
Cash flow impact (consideration paid, less cash
acquired) 3.5
Disposals
In Q2/2024, Citycon completed the transaction to divest
Kongssenteret shopping center in Kongsvinger, Norway.
In Q3/2024, Citycon divested Trekanten shopping
center in Oslo, Norway. In Q4/2024, Citycon divested
three properties, a residential property in Stockholm,
Sweden, Kristiine keskus shopping center in Tallinn,
Estonia and Stopp Tune shopping center in Sarpsborg,
Norway.
Norwegian disposals have been booked as sale of
subsidiary according to IFRS 10 Consolidated Financial
Statements. Total consideration received in cash from
the sale of subsidiaries was EUR 100.6 million and it is
presented in the consolidated cash flow statement on
row sale of investment properties and subsidiaries. A
total amount of EUR 32.5 million of vendor notes given
to third parties related to Norwegian asset disposals are
recognized in other non-current assets.
Sale of Kristiine Keskus in Estonia and sale of the
residential property in Sweden have been booked as
sale of investment properties according to IAS 40
Investment properties. Total consideration received in
cash from the sale of investment properties was EUR
182.0 million and it is presented in the consolidated cash
flow statement on sale of investment properties and
subsidiaries.
There were no disposals during the financial year 2023,
but Citycon booked gain/loss adjustments related to
divestments executed in previous years. In December
2024, Citycon received in cash deferred payment of EUR
17.0 million related to Down Town, which was divested in
December 2022. This is presented in the consolidated
cash flow statement on sale of investment properties
and subsidiaries.
Net gains/losses on sale of investment
properties and subsidiaries
MEUR 2024 2023
Investment properties disposed -389.9 -
Deferred tax liability disposed 26.7 -
Net of other items related to disposed assets -2.7 -
Reduction of goodwill allocated to disposed
assets -18.8 -
Translation differences reclassified to income
statement -8.2 -
Transaction costs -2.3 -
Consideration received 315.2 -
Adjustments to gains/losses related to sales
in previous years 0.7 -2.3
Net gains/losses on sales total -79.3 -2.3
Deferred payment (vendor notes given) 32.5 -
Cash received from current year disposal 282.6 -
Cash received from prior years disposals 17.3 -0.4
Total cash flow impact 299.9 -0.4
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Parent company financial statements, FAS
Parent company income statement, FAS
MEUR Note
1 January –
31 December 2024
1 January –
31 December 2023
Service charge income 6.3 5.8
Turnover 2 6.3 5.8
Administrative expenses 3,4 -92.0 -20.0
Other operating income and expenses 5 0.0 -0.2
Operating profit -85.7 -14.3
Financial income 153.5 183.0
Financial expenses -151.4 -143.3
Net financial income and expenses 6 2.1 39.7
Profit/loss before appropriations and taxes -83.6 25.3
Group contributions 12.0 6.0
Income tax expense 7 -0.1 0.0
Profit/loss for the period -71.8 31.3
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Parent company balance sheet, FAS
MEUR Note 31 December 2024 31 December 2023
ASSETS
Non-current assets
Intangible assets 8 8.6 9.7
Tangible assets 9 0.2 0.3
Investments
Shares in subsidiaries 10 1,132.6 1,286.3
Loan receivables and derivative contracts 11 958.8 1,544.1
Total investments 2,091.5 2,830.4
Total non-current assets 2,100.3 2,840.4
Current assets
Short-term receivables 13 1,366.2 586.0
Cash and cash equivalents 180.1 0.1
Total current assets 1,546.3 586.1
Total assets 3,646.6 3,426.4
MEUR Note 31 December 2024 31 December 2023
LIABILITIES AND SHAREHOLDERS’ EQUITY
Shareholders’ equity 14
Share capital 259.6 259.6
Share premium fund 133.1 133.1
Invested unrestricted equity fund 607.1 612.8
Retained earnings -34.5 -65.9
Profit for the period -71.8 31.3
Total shareholders’ equity 893.4 970.8
Liabilities 15
Long-term liabilities
Hybrid bond 595.9 607.8
Other long-term liabilities 1,852.3 1,301.9
Total long-term liabilities 2,448.2 1,909.7
Short-term liabilities
Short-term liabilities 305.0 545.9
Total short-term liabilities 305.0 545.9
Total liabilities 2,753.2 2,455.6
Total liabilities and shareholders’ equity 3,646.6 3,426.4
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Parent company cash flow statement, FAS
MEUR
1 January –
31 December 2024
1 January –
31 December 2023
Cash flow from operating activities
Profit before taxes -83.6 25.3
Adjustments:
Depreciation and impairment loss 70.2 2.1
Net financial income and expenses -2.1 -39.7
Cash flow before change in working capital -15.5 -12.2
Change in working capital -13.2 -0.7
Cash generated from operations -28.7 -13.0
Interest expense and other financial expenses paid -101.8 -85.8
Interest income and other financial income received 122.1 105.4
Realised exchange rate gains and losses 7.5 9.4
Net cash flow from operating activities -0.8 16.0
Cash flow used in investing activities
Investment in tangible and intangible assets -1.0 -2.0
Loans granted
1
-636.7 -156.3
Repayments of loans receivable
1
411.3 92.1
Received equity return from subsidiaries 85.6 -
Net cash from investing activities
1
-140.8 -66.2
Cash flow from financing activities
Proceeds from share issue 48.2 -
Proceeds from short-term loans
1
254.5 365.6
Repayments of short-term loans
1
-290.7 -366.3
Proceeds from long-term loans 646.2 317.5
Repayments of long-term loans
1
-391.4 -258.6
Proceeds from hybrid bond 265.7 -
Repayments of hybrid bond -265.7 -39.2
Received group contributions 6.0 0.8
Dividends paid and return from the invested unrestricted equity fund -55.2 -84.4
Net cash used in financing activities
1
217.5 -64.5
Net change in cash and cash equivalents 75.9 -114.6
Cash and cash equivalents at period-start -120.6 -6.0
Cash and cash equivalents at period-end
2
-44.8 -120.6
1
The presentation of the cash flow statement has been changed. Intra-group loans are now presented under financing activities instead of investing activities.
The comparative figures for 2023 have been changed accordingly.
2
Cash and cash equivalents of Citycon Oyj EUR -44.8 million consist of EUR 180.1 million cash and bank receivables in the balance sheet and Group cash pool
account EUR -224.9 million. Cash pool balance of EUR -224.9 million has been recognised in the parent company’s balance sheet under short-term liabilities.
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Notes to the parent company’s financial statements, FAS
1. Accounting policies
The parent company’s financial statements are
prepared in accordance with the Finnish law.
Income statement format
The income statement is presented in accordance with
the function-based format.
Non-current assets
Non-current assets are recognised in the balance
sheet at acquisition cost less impairment losses and
depreciation/amortisation.
Intangible assets
Intangible assets include IT software and other non-
current assets, including office improvement expenses.
IT software is depreciated over 3–10 years as straight
line basis and office improvement expenses are
depreciated over the term of the lease agreement.
Tangible assets
Tangible assets include machinery and equipment and
construction in progress. Machinery and equipment is
depreciated at over 3–7 years as straight line basis.
Pension schemes
The company’s employee pension cover is based on
statutory pension insurance.
Foreign currency receivables and payables
Receivables and payables denominated in foreign
currencies as well as forward rate agreements are
measured at the exchange rate quoted on the balance
sheet date. Any exchange rate differences resulting from
currency translations are recognised as exchange rate
differences in the income statement.
Income taxes
Current taxes are recognised on an accrual basis.
Deferred taxes arising from temporary differences
between the book and fiscal values have been
recognised separately in the income statement and the
balance sheet.
Derivatives
All derivatives are valued according to the Finnish
bookkeeping act KPL 5.2a at fair value.
Important note
Individual figures and sum totals presented in the
financial statements have been rounded to the nearest
hundreds thousands of euros; this may cause minor
discrepancies between the sum totals and the sums of
individual figures as given.
2. Turnover
MEUR 2024 2023
Turnover by country:
Finland 1.7 2.1
Other countries 4.6 3.7
Total 6.3 5.8
Parent company turnover includes the following
administrative fees received from Group
companies:
MEUR 2024 2023
Administrative fees from Group
companies 6.3 5.8
3. Personnel expenses
MEUR 2024 2023
Average number of employees during
period 39 51
Personnel expenses
Wages and salaries -9.8 -9.7
Pension charges -1.4 -1.3
Other social charges -1.5 -2.0
Total -12.7 -12.9
The items presented above include previous CEO’s
statutory pension payments, EUR 0.0 million in
2024(0.0).
Personnel expenses include the following
management wages and salaries:
MEUR 2024 2023
CEO’s wages and salaries -0.9 -1.3
Board remuneration -1.1 -0.6
Total -2.0 -2.0
The wages and salaries of the CEO includes the gross
base salary and a yearly performance bonus. In addition,
the CEO is included in the Restricted Share Plan and has
been rewarded under the plan during the year 1.2 million
(2023 EUR 1.5 million).
F. Scott Ball served as the company’s CEO until March
31, 2024, and as the interim CEO starting October 8,
2024. Henrica Ginström served as the company’s CEO
from April 1 to October 8, 2024.
4. Depreciation and amortisation
and impairments
The following depreciation and amortisation
as well as impairments are included in the
administrative expenses:
MEUR 2024 2023
Amortisation on intangible assets -2.0 -1.9
Impairments of shares -68.1 -
Depreciation on machinery and
equipment -0.1 -0.2
Total -70.2 -2.1
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5. Other operating income and expenses
MEUR 2024 2023
Other operating income 0.0 -0.2
Total 0.0 -0.2
6. Net financial income and expenses
MEUR 2024 2023
Interest and other financial income
From Group companies 117.2 113.8
Foreign exchange gains 16.7 41.3
Other interest and financial income 19.6 27.8
Total 153.5 183.0
Total financial income 153.5 183.0
Interest and other financial expenses
To Group companies 52.7 41.2
Foreign exchange losses 28.8 53.3
Interest and other financial expenses 69.9 48.8
Total financial expenses 151.4 143.3
Net financial income and expenses 2.1 39.7
7. Income tax expense
MEUR 2024 2023
Income tax expense -0.1 0.0
Total -0.1 0.0
Income taxes for the financial year consist of the income
tax of the Swedish branch of Citycon Oyj.
The parent company has taxable losses (including not
yet confirmed year 2024) of EUR 98.2 million from which
the parent company has not recognized deferred tax
asset of EUR 19.6 million.
8. Intangible assets
MEUR 2024 2023
Intangible rights
Acquisition cost 1 January 20.9 18.9
Additions during the period 0.9 2.0
Accumulated acquisition costs 31
December 21.9 20.9
Accumulated depreciation 1 January -11.7 -10.0
Depreciation for the period -1.9 -1.8
Accumulated depreciation 31 December -13.6 -11.7
Net carrying amount 31 December 8.2 9.2
Other non-current assets
Acquisition cost 1 January 2.7 2.7
Additions during the period 0.0 0.0
Accumulated acquisition costs 31
December 2.7 2.7
Accumulated depreciation 1 January -2.1 -2.0
Depreciation for the period -0.2 -0.2
Accumulated depreciation 31 December -2.3 -2.1
Net carrying amount 31 December 0.4 0.6
Total intangible assets 31 December 8.6 9.7
9. Tangible assets
MEUR 2024 2023
Machinery and equipment
Acquisition cost 1 January 2.4 2.3
Additions during the period 0.1 0.0
Accumulated acquisition costs 31
December 2.4 2.4
Accumulated depreciation 1 January -2.2 -2.0
Depreciation for the period -0.1 -0.2
Accumulated depreciation 31 December -2.3 -2.2
Net carrying amount 31 December 0.2 0.3
Total tangible assets 31 December 0.2 0.3
10. Shares in subsidiaries
MEUR 2024 2023
Acquisition cost 1 January 1,286.3 1,275.0
Additions during the period - 11.2
Decreases -85.6 -
Impairments -68.1 -
Net carrying amount 31 December 1,132.6 1,286.3
11. Long-term loan receivables and
derivative contracts
MEUR 2024 2023
Loan receivables from Group companies 932.0 1,506.9
Derivative financial instruments, from
outside the Group 26.8 37.2
Total other investments 31 December 958.8 1,544.1
Total investments 31 December 2,091.5 2,830.4
12. Subsidiaries and associated
companies
Parent company’s subsidiaries and associated
companies are presented in the Note 5.4. Related Party
Transactions in the Notes to the Consolidated Financial
Statements.
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13. Short-term receivables and cash and
cash equivalents
MEUR 2024 2023
Receivables from outside the Group
Trade receivables 0.1 0.1
Derivative financial instruments 6.5 0.1
Other receivables 0.0 0.0
Interest receivables 7.4 -
Cash and cash equivalents 180.1 0.1
Accrued income and prepaid
expenses 2.6 4.8
Total 196.7 5.1
Receivables from Group companies
Trade receivables 0.4 0.6
Loan receivables 1,323.2 555.1
Other receivables 1.4 1.5
Total other receivables 1,324.6 556.6
Interest receivables 12.7 17.7
Group contributions receivables 12.0 6.0
Total 1,349.6 580.9
Total short-term receivables 1,546.3 586.1
14. Shareholders’ equity
MEUR 2024 2023
Share capital at 1 January 259.6 259.6
Share capital at 31 December 259.6 259.6
Share premium fund at 1 January 133.1 133.1
Share premium fund at 31 December 133.1 133.1
Invested unrestricted equity fund
at 1 January 612.8 676.0
Equity return from the invested
unrestricted equity fund -55.2 -84.4
Share issue 49.6 21.1
Invested unrestricted equity fund
at 31 December 607.1 612.8
Retained earnings at 1 January -34.5 -65.9
Profit for the period -71.8 31.3
Retained earnings at 31 December -106.3 -34.5
Total shareholders’ equity at 31
December 893.4 970.8
The company has a single series of shares, with each share
entitling to one vote at a General Meeting of shareholders. During
the reporting period, Citycon completed one directed share
issue to Finnish and international institutional and other qualified
investors and in total three directed share issues for the payment
of the company’s share-based incentive plans and remuneration
to the Board of Directors. At the end of reporting period, the total
number of shares outstanding in the company was 184,231,295.
Calculation of distributable unrestricted equity
MEUR 2024 2023
Invested unrestricted equity fund 607.1 612.8
Retained earnings -34.5 -65.9
Profit for the period -71.8 31.3
Total distributable unrestricted equity
31 December 500.8 578.2
15. Liabilities
A) Long-term liabilities
MEUR 2024 2023
Long-term interest-bearing liabilities
Loans from financial institutions 247.4 247.3
Hybrid bond 595.9 607.8
Loans from Group companies 1,592.2 1,031.9
Total 2,435.5 1,887.1
Derivative financial instruments 12.7 22.6
Total long-term liabilities 2,448.2 1,909.7
Loans maturing later than 5 years 350.0 -
B) Short-term liabilities
MEUR 2024 2023
Short-term interest-bearing liabilities
Commercial paper 9.9 46.5
Loans from Group companies 234.6 437.2
Total 244.6 483.6
Short-term non-interest-bearing
liabilities
Payables to outside the Group
Accounts payable 1.3 1.2
Derivative financial instruments 2.7 5.2
Total other payables 2.7 5.2
Interest liability 15.7 15.4
Other accrued expenses and
deferred income 7.2 7.2
Total accrued expenses and
deferred income 22.9 22.6
Total 26.9 29.0
Payables to Group companies
Accounts payable 0.5 0.5
Other payables 0.8 16.0
Interest liability 32.3 16.8
Total accrued expenses and
deferred income 32.3 16.8
Total 33.6 33.3
Total short-term liabilities 305.0 545.9
Total liabilities 2,753.2 2,455.6
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Financial statementsFinancial review Financial Review 2024
The company has a syndicated revolving credit facility,
which matures in 2027. In addition, the company has
three hybrid bonds issued in November 2019, June 2021
and June 2024, which are reported under long term
liabilities. The hybrid bond is unsecured, subordinated
to all debt and senior only to ordinary share capital. A
holder of hybrid bond notes has no shareholder rights.
Citycon has the right to postpone interest payment on
its hybrid bonds if it does not distribute dividend or any
other equity to its shareholders. The hybrids has no set
maturity date, but the company has the right to redeem
it after five years from the issue date and thereafter on
every yearly interest payment date.
Derivative financial instruments are used in Citycon
group in accordance with the Treasury Policy to hedge
the interest rate risk of interest bearing liabilities and
foreign currency risk. All Group external derivative
financial instruments in Citycon are executed by the
parent company Citycon Oyj. Citycon Oyj values
derivatives according to the Finnish bookkeeping
act KPL 5.2a fair value model and fair value changes
are booked through profit and loss. The fair value
definition of derivatives are presented in note 3.6 of the
consolidated Financial Statements.
16. Contingent liabilities
A) Lease liabilities
MEUR 2024 2023
Payables on lease commitments
Maturing next financial year 0.5 0.4
Maturing later 0.7 1.3
Total 1.1 1.7
Citycon’s finance leases mainly apply to computer
hardware, machinery and equipment and cars.
B) Guarantees given
MEUR 2024 2023
Guarantees 1,832.3 1,518.8
Of which on behalf of Group
companies 1,832.3 1,518.8
Guarantees in 2024 and in 2023 mainly relate to issued
bonds of subsidiaries which Citycon Oyj has guaranteed
via parent guarantee or alternatively other parent
company guarantees.
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Signatures to the report by the Board of Directors
and Financial Statements
Signatures to the Report by the Board of Directors and Financial Statements 1 January–31 December 2024
The financial statements, prepared in accordance with applicable accounting regulations, give a true and fair view of the assets, liabilities, financial position, and profit or loss of
both the company and the group of companies included in its consolidated financial statements.
The report of the Board of Directors contains a fair review of the development and performance of the business operations of both the company and the group of companies
included in its consolidated financial statements, as well as a description of the most significant risks and uncertainties and other aspects of the company’s condition.
Helsinki, 26 February 2025
Chaim Katzman Alexandre Koifman
Chairman Deputy Chairman of the Board
Judah Angster Zvi Gordon
Member Member
Adi Jemini David Lukes
Member Member
Per-Anders Ovin Ljudmila Popova
Member Member
Eero Sihvonen F� Scott Ball
Member Interim CEO, deputy Chairman of the Board
We have today submitted the report
on the conducted audit.
Helsinki, 26 February 2025
Deloitte Oy
Authorized Public Accountant Firm
Anu Servo
Authorized Public Accountant
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Auditor’s report
To the Annual General Meeting
of Citycon Oyj
Report on the Audit of
the Financial Statements
Opinion
We have audited the financial statements of Citycon Oyj
(business identity code 0699505-3) for the year ended
31 December, 2024. The financial statements comprise
the consolidated income statement, statement of
comprehensive income, balance sheet, statement of
changes in equity, statement of cash flows and notes,
including material accounting policy information, as
well as the parent company’s balance sheet, income
statement, statement of cash flows and notes.
In our opinion
• the consolidated financial statements give a true and
fair view of the group’s financial position, financial
performance and cash flows in accordance with IFRS
Accounting Standards as adopted by the EU.
• the financial statements give a true and fair view of
the parent company’s financial performance and
financial position in accordance with the laws and
regulations governing the preparation of financial
statements in Finland and comply with statutory
requirements.
Our opinion is consistent with the additional report
submitted to the Audit and Governance Committee.
(Translation of the Finnish original)
Basis for Opinion
We conducted our audit in accordance with good
auditing practice in Finland. Our responsibilities under
good auditing practice are further described in the
Auditor’s Responsibilities for the Audit of the Financial
Statements section of our report.
We are independent of the parent company and of
the group companies in accordance with the ethical
requirements that are applicable in Finland and are
relevant to our audit, and we have fulfilled our other
ethical responsibilities in accordance with these
requirements.
In our best knowledge and understanding, the non-audit
services that we have provided to the parent company
and group companies are in compliance with laws
and regulations applicable in Finland regarding these
services, and we have not provided any prohibited non-
audit services referred to in Article 5(1) of regulation (EU)
537/2014. The non-audit services that we have provided
have been disclosed in note 1.5 to the consolidated
financial statements.
We believe that the audit evidence we have obtained
is sufficient and appropriate to provide a basis for our
opinion.
Key Audit Matters
Key audit matters are those matters that, in our
professional judgment, were of most significance in our
audit of the financial statements of the current period.
These matters were addressed in the context of our
audit of the financial statements as a whole, and in
forming our opinion thereon, and we do not provide a
separate opinion on these matters.
We have also addressed the risk of management
override of internal controls. This includes consideration
of whether there was evidence of management bias
that represented a risk of material misstatement due to
fraud.
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Responsibilities of the Board of Directors and the
Managing Director for the Financial Statements
The Board of Directors and the Managing Director are
responsible for the preparation of consolidated financial
statements that give a true and fair view in accordance
with IFRS Accounting Standards as adopted by the
EU, and of financial statements that give a true and
fair view in accordance with the laws and regulations
governing the preparation of financial statements in
Finland and comply with statutory requirements. The
Board of Directors and the Managing Director are also
responsible for such internal control as they determine
is necessary to enable the preparation of financial
statements that are free from material misstatement,
whether due to fraud or error.
In preparing the financial statements, the Board of
Directors and the Managing Director are responsible
for assessing the parent company’s and the group’s
ability to continue as going concern, disclosing, as
applicable, matters relating to going concern and using
the going concern basis of accounting. The financial
statements are prepared using the going concern basis
of accounting unless there is an intention to liquidate
the parent company or the group or cease operations, or
there is no realistic alternative but to do so.
Auditor’s Responsibilities for
the Audit of Financial Statements
Our objectives are to obtain reasonable assurance on
whether the financial statements as a whole are free
from material misstatement, whether due to fraud or
error, and to issue an auditor’s report that includes
our opinion. Reasonable assurance is a high level
of assurance, but is not a guarantee that an audit
conducted in accordance with good auditing practice
will always detect a material misstatement when it
exists. Misstatements can arise from fraud or error and
are considered material if, individually or in aggregate,
they could reasonably be expected to influence the
economic decisions of users taken on the basis of the
financial statements.
As part of an audit in accordance with good auditing
practice, we exercise professional judgment and
maintain professional skepticism throughout the audit.
We also:
• Identify and assess the risks of material misstatement
of the financial statements, whether due to fraud
or error, design and perform audit procedures
responsive to those risks, and obtain audit evidence
that is sufficient and appropriate to provide a
basis for our opinion. The risk of not detecting a
material misstatement resulting from fraud is higher
than for one resulting from error, as fraud may
involve collusion, forgery, intentional omissions,
misrepresentations, or the override of internal control.
• Obtain an understanding of internal control relevant
to the audit in order to design audit procedures that
are appropriate in the circumstances, but not for the
purpose of expressing an opinion on the effectiveness
of the parent company’s or the group’s internal
control.
• Evaluate the appropriateness of accounting policies
used and the reasonableness of accounting estimates
and related disclosures made by management.
• Conclude on the appropriateness of the Board of
Directors’ and the Managing Director’s use of the
going concern basis of accounting and based on
the audit evidence obtained, whether a material
uncertainty exists related to events or conditions that
may cast significant doubt on the parent company’s
or the group’s ability to continue as a going concern.
If we conclude that a material uncertainty exists, we
are required to draw attention in our auditor’s report
to the related disclosures in the financial statements
Key audit matter How our audit addressed the key audit matter
Valuation of investment property
Refer to Note 2.1 in the consolidated financial statements.
The value of investment properties in the consolidated financial
statements 31.12.2024 is 3.627,8 million euros (3.858,2 million euros).
Investment properties are properties in accordance with the IAS 40
standard, which are measured at fair value as referred to in IFRS 13.
The key factors of the fair value of investment properties are the yield
requirement, market rents, vacancy rate and operating expenses.
The valuation of investment property has been considered as a
key audit matter of consolidated financial statements because the
determination of the fair value of investment properties requires
management judgement and estimates.
This matter is a significant risk of material misstatement referred to
in EU Regulation No 537/2014, point (c) of Article 10(2).
In our audit, we have evaluated and challenged the principles and
methods applied in determining fair values.
Among other things, we have carried out the following audit activities:
• assessing the appropriateness of valuation methods and the
reasonableness of the assumptions used by management.
• testing the mathematical accuracy of the valuation method used by
the company.
• comparison of the valuation of investment properties by region with
external market information sources.
• assessment of the accuracy of the valuation calculation
parameters.
• ensuring the competence and objectivity of an external evaluator
used by management.
We have assessed the appropriateness of presentation in the
consolidated financial statements.
Goodwill valuation
Refer to Note 5.2 in the consolidated financial statements.
Goodwill in the consolidated balance sheet is 89,9 million euros (EUR
111,4 million euros). All goodwill has been allocated to the Norwegian
business unit.
Management assesses the need for impairment of goodwill annually.
The present value of the recoverable amount of a cash-generating
unit is based on calculations in use. Recoverable amount is
particularly affected by assumptions about the discount rate and net
rental income.
Goodwill has been considered as a key audit matter of the
consolidated financial statements, as impairment testing involves
significant management judgement and assumptions, especially in
determining recoverable amounts.
In our audit, we have evaluated impairment testing models prepared
by the management and approved by the Board of Directors and
evaluated impairment testing controls.
We have discussed with management of the bases used in
the forecasts and evaluated significant assumptions used by
management:
• We have compared growth and profitability assumptions with
historical development.
• We have compared the input data and estimates used in the
calculations with the budgets approved by the Board of Directors.
• In assessing the accuracy of discount rates, we have compared
the input data used to determine the discount rate with external
sources and mirrored the change in interest rates to the previous
year, assessing its accuracy.
• We have tested the mathematical accuracy of the impairment test
calculation.
We have also assessed the appropriateness of the notes on
impairment testing.
We have no key audit matters to report with respect to our audit of the parent company financial statements. There are no significant
risks of material misstatement referred to in EU regulation No 537/241, point (c) of Article 10(2) relating to the parent company’s financial
statements.
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or, if such disclosures are inadequate, to modify our
opinion. Our conclusions are based on the audit
evidence obtained up to the date of our auditor’s
report. However, future events or conditions may
cause the parent company or the group to cease to
continue as a going concern.
• Evaluate the overall presentation, structure and
content of the financial statements, including the
disclosures, and whether the financial statements
represent the underlying transactions and events so
that the financial statements give a true and fair view.
• Plan and perform the group audit to obtain sufficient
appropriate audit evidence regarding the financial
information of the entities or business units within
the group as a basis for forming an opinion on the
group financial statements. We are responsible for
the direction, supervision and review of the audit work
performed for purposes of the group audit. We remain
solely responsible for our audit opinion.
We communicate with those charged with governance
regarding, among other matters, the planned scope
and timing of the audit and significant audit findings,
including any significant deficiencies in internal control
that we identify during our audit.
We also provide those charged with governance with
a statement that we have complied with relevant
ethical requirements regarding independence, and
communicate with them all relationships and other
matters that may reasonably be thought to bear on
our independence, and where applicable, related
safeguards.
From the matters communicated with those charged
with governance, we determine those matters that
were of most significance in the audit of the financial
statements of the current period and are therefore the
key audit matters. We describe these matters in our
auditor’s report unless law or regulation precludes public
disclosure about the matter or when, in extremely rare
circumstances, we determine that a matter should not
be communicated in our report because the adverse
consequences of doing so would reasonably be
expected to outweigh the public interest benefits of
such communication.
Other Reporting Requirements
Information on our audit engagement
We were first appointed as auditors by the Annual
General Meeting on 19.3.2024, and our appointment
represents a total period of uninterrupted engagement
of 1 year.
Other Information
The Board of Directors and the Managing Director
are responsible for the other information The other
information comprises the report of the Board of
Directors and the information included in the Annual
Report but does not include the financial statements
and our auditor’s report thereon. We have obtained the
report of the Board of Directors prior to the date of this
auditor’s report, and the Annual Report is expected to be
made available to us after that date.
Our opinion on the financial statements does not cover
the other information
In connection with our audit of the financial statements,
our responsibility is to read the other information
identified above and, in doing so, consider whether the
other information is materially inconsistent with the
financial statements or our knowledge obtained in the
audit, or otherwise appears to be materially misstated.
With respect to the report of the Board of Directors, our
responsibility also includes considering whether the
report of the Board of Directors has been prepared in
compliance with the applicable provisions.
In our opinion, the information in the report of the Board
of Directors is consistent with the information in the
financial statements and the report of the Board of
Directors has been prepared in compliance with the
applicable provisions.
If, based on the work we have performed on the other
information that we obtained prior to the date of this
auditor’s report, we conclude that there is a material
misstatement of this other information, we are required
to report that fact. We have nothing to report in this
regard.
Helsinki, 26th of February 2025
Deloitte Oy
Audit Firm
Anu Servo
Authorised Public Accountant (APA)
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