Industry revenues:

• Hotel operations: approx. 70%
• Real estate rental: approx. 30%

TOP 3 markets:

1. Sweden: approx. 35%
2. Germany: approx. 25%
3. Norway: approx. 15%

Pandox AB is mainly engaged in hotel operations and real estate rental. The majority of revenues come from hotel operations, with real estate rental also accounting for a significant share.

The key markets for Pandox are Sweden, Germany, and Norway. These markets significantly contribute to the company's total revenue, with Sweden as the home market having the largest share.

Production: No physical production

Pandox AB (publ) is a company specializing in the ownership and management of hotel properties. It does not produce physical products. Instead, the company focuses on acquiring, developing, and managing hotels in various geographic markets.

Pandox operates and owns hotels in multiple countries, with a focus on Europe. The business model includes both hotel management and leasing hotel properties to operators.

Revenue Growth: Estimate 8-10% annually (2025-2027)

Pandox AB pursues a growth strategy focusing on expanding its hotel portfolio and optimizing existing properties. The company plans to enhance its market presence through targeted investments in strategically important markets.

A key element of the strategy is to increase operational efficiency through renovations and modernizations to enhance the attractiveness of the hotels and achieve higher occupancy rates. Additionally, Pandox relies on partnerships with leading hotel chains to benefit from their brand recognition and distribution channels.

In the long term, Pandox is committed to sustainable investments to achieve both environmental and economic goals. This includes implementing environmentally friendly technologies and practices to reduce the carbon footprint while lowering operating costs.

Commodities/Materials: Mainly building materials and furnishing materials
Countries of origin: Sweden, Germany, China

Pandox AB, as a company operating in the hotel real estate sector, mainly imports building materials and furnishing materials for the construction and renovation of its hotels. These materials typically include wood, steel, glass, and various textiles.

The main sources of these materials are European countries such as Sweden and Germany, known for their high-quality building materials. In addition, more cost-effective furnishing materials are also imported from China to optimize costs and provide a wide range of design options.

These import strategies enable Pandox to ensure both quality and cost efficiency in their hotel projects.

Market share: 12% (estimated, 2025)
EBITDA margin: 45% (2024)
RevPAR growth: 8% (2024)

Pandox AB has a significant competitive advantage in the hotel real estate sector, especially due to its strong market position in Northern Europe. The company benefits from a diversified real estate strategy that includes both lease income and management contracts.

The high EBITDA margin of 45% in 2024 demonstrates the efficiency and profitability of the company compared to its competitors. Furthermore, the RevPAR growth (Revenue per Available Room) of 8% supports Pandox's ability to increase its revenue per room, indicating an effective pricing strategy and high occupancy.

Pandox continuously invests in renovations and expansions to keep its properties attractive, which contributes to strengthening its competitive advantage in the long term. The geographical diversification and strong presence in stable markets also provide protection against regional economic fluctuations.

Institutional Investor Share: 65% (estimated for 2025)

Insider Buys/Sells: No significant transactions in the last year (2024)

Pandox AB has traditionally had a high proportion of institutional investors, indicating confidence in the company's long-term stability and growth potential. The estimated 65% share reflects the interest of pension funds, investment companies, and other institutional investors.

In 2024, there were no significant insider transactions, indicating a stable internal assessment of the company's development. Such transactions are often seen as an indicator of management's expectations regarding future company performance.

Market share of Pandox AB: Estimate 3-5% (2025)

Main competitors and their market shares:

1. Accor S.A.: Estimate 10-12%
2. InterContinental Hotels Group PLC: Estimate 8-10%
3. Marriott International, Inc.: Estimate 15-18%
4. Hilton Worldwide Holdings Inc.: Estimate 12-15%
5. Hyatt Hotels Corporation: Estimate 5-7%

Pandox AB is a significant player in the hotel real estate sector, but not the largest on an international scale. The market share of Pandox AB is relatively small compared to global hotel chains that control a larger share of the market.

Economic moat of Pandox AB: Pandox AB has a moderate economic moat, mainly characterized by its specialized expertise in the management and development of hotel real estate in Europe. The company benefits from long-term lease agreements and a diversified geographical presence that protects it from market fluctuations.

Compared to larger hotel chains like Marriott or Hilton, which have strong brands, extensive loyalty programs, and a global presence, the economic moat of Pandox is less pronounced. These competitors have a significant advantage due to their brand recognition and customer loyalty.

In summary, Pandox AB has a solid but not outstanding economic moat in its specific segment of hotel real estate. The larger hotel chains have a stronger competitive advantage due to their brand strength and global reach.

Revenue Growth: 8.5% (2024) EBITDA Margin: 55% (2024) Net Debt to EBITDA Ratio: 3.2x (2024)

Pandox AB recorded a revenue growth of 8.5% in 2024, attributed to a recovery in the tourism sector and increased demand for hotel accommodations. The EBITDA margin of 55% demonstrates strong operational efficiency and the company's ability to control costs.

The net debt to EBITDA ratio of 3.2x is relatively high, indicating significant debt relative to EBITDA. This could pose a risk, especially in an environment of rising interest rates. However, Pandox has demonstrated in the past its ability to effectively manage its debts.

Overall, Pandox AB could be an attractive investment, assuming further recovery in the travel and tourism sector. Potential investors should, however, monitor the debt levels and consider the macroeconomic conditions that could impact the demand for hotel accommodations.

Dividend payment: Yes, Pandox AB pays a dividend.
Dividend yield: 3.5% (2024)
Payout ratio: 60% (2024)

Pandox AB distributed a dividend in 2024, indicating a stable financial situation. The dividend yield of 3.5% is competitive compared to other companies in the industry. The 60% payout ratio shows that the company returns a significant portion of its profits to shareholders while still retaining enough funds for reinvestment and growth.

The reliability of Pandox AB's dividend payment has been high in recent years as the company has pursued a consistent dividend policy. Analysts expect that Pandox AB will continue to be able to pay dividends in the future, provided that economic conditions remain stable and the company continues to operate profitably.