Arlandastad Group AB (publ)

Hello and welcome to the presentation of the fourth quarter of 2025. My name is Mattias Karlsson and I will be moderating today's broadcast. With me in the studio is the CEO of Ditesand and CFO Henrik Morén. Welcome.

Thank you.

And before we start the presentation, I would like to remind you who are listening that you can ask questions in the chat and then we will take them into a joint Q&A session after the presentation. So with those words, I will hand over the word and picture to you Dieter and Henrik.

Here we go. Then I start. Dieter Sandheter, I have been the CEO of Al-Andastad Group since 2010. I would like to thank everyone we have worked with during 2025. It has been a fantastic year for us and the company. Vi ska väl dra de viktigaste delarna i det nu. Alla som går upp, vad är vi för något? Vi är ett fastighetsutvecklingsbolag och vi driver Sveriges två största utvecklingsprojekt. We operate both in Arlanda city, where we have a land ownership of almost 3 million square meters. Direct connection to Arlanda airport. And in Nyköping, Skavsta. Around Skavsta, where we have a land area of 4.8 million square meters. Two large projects have a construction portfolio of about 45-50 billion. When you run large projects in the long run, it is important to have close cooperation with the state and municipality, which we have both up in Arlanda and down in Skavsta. Our business model is to add value to areas where we see potential. We often run We often buy land where we run plans, develop ideas and concepts, build houses. And what we then do with the house, either we own and manage our own energy, or if there is a situation and the timing is right, we can also sell them. And it's not just that we develop our own, but after a while we have also increased our share of joint venture companies, where we cooperate with other companies in development. 2025, a fantastic year. We have increased almost everything except the costs. We have had a cost savings concern of about 30 million kronor. We have had an increased income that has gone from 338 million to 376 million. And what I especially want to emphasize is that we have activated over 200,000 m2 of building rights. What does that mean? For us, it means that it is either a sold-out building right, a building right that we have started working with in a JV-constellation, or one that we develop on our own. In previous years, the average rate of activated building rights was somewhere between 10,000 to 20,000 m2 per year. We have an increased rent value. på cirka 7 miljoner kronor. Det är vårt egna bestånd och cirka 10 miljoner i vårt bestånd med en JV-bolag. Årets resultat, 133 miljoner. And about 185 of them are converted to unrealized value changes. And it is unrealized value changes that are due to good rental agreements that are signed during the year. Not unrealized value increases that are based on the fact that our construction costs have increased. And we have realized value changes of about 40 million. And the realized value changes are mainly due to the sale of land in Arlandastad and in Nyköping Skavsta. During the autumn, our board has set up a new division goal, which is to divide 5% of our own capital. Normalized, it gives approximately 200 million per year. But in the first quarter of 2026, before 2025, the exchange rate was suggested to be 98 million. And I think it's a clear mark from the board that you can see that a lot of things are happening up in Arlanda and down in Skavsta. It's a belief in the ability of the business to develop and realize the world. The world that has been built up since the start of 2010. Some important agreements during the quarter. But first. What makes us increase the pace is that we have, from having the main focus on developing businesses where we have built and managed our own management, now we are expanding more and more to also sell off land and enter JV companies. The three parts together have made that it has taken off seriously both up in Arlanda stad and in Skavsta. At the same time, we are of course focusing on costs and cost efficiency, which we can express as increased flexibility. Let's look at the quarter. Uppe i Arlanda stad har vi tecknat en avsiktsförklaring med ett bolag som fortfarande inte vill namnges för att det är en DD-process som pågår där. Det är 37 200 kvadratmeter byggrätt där vi säljer marken för ett underliggande värde om 5000 kronor per kvadratmeter. Så där frigör vi 186 miljoner. Vi har ett stort utvecklingsprojekt tillsammans med Swiss Life där vi utvecklar ett område på 125 000 kvadratmeter. I det området har vi under kvartalet tecknat två nya hyresavtal. Ett med Ram Rent och ett med Emil Lundgren. Det här gör att vi kör igång etapp två i F60. Produktionsstart nu inflytt januari 2027. And we have also signed a plan in Skavsta with Fortum. A very exciting project, where we worked together on whether Fortum can produce both hydrogen gas and sustainable fuel, SAF. and battery storage. Fortum has pointed out the location Skavsta or Arlanda just to have the opportunity to sell the fuel to Skavsta or Arlanda, and they have chosen Skavsta, which we are very happy about. To mention some of the ongoing projects that we are working on. We have, as I mentioned earlier, We are building one of Sweden's largest charging stations with about 120 charging stations. Connected to these charging stations, we are very happy that Pontus Fritjof with Pontusgruppen will open a restaurant in early September. I think it's extra nice as an electric car. There are not many places in Sweden where you can actually refuel the electric car and eat well at the same time. Vi håller på att bygga en ny rekondanläggning och 1200 parkeringsplatser åt ett bolag som heter Autohero. Vi köper din bil. Och vi håller nere i Skavsta på att bygga yrkesgymnasium åt Nyköpingskvun. Ett 15-årigt hyresavtal där vi bygger åt bygg, transport och flyg. Man väljer att flytta ut alla sina praktiska linjer till flygplatsen där vi har mark. Two current IV-projects. The one I mentioned is the one up in Arlanda city together with Swiss Life. 125,000 square meters that we are developing. We have a project down in Skavsta where we are running a detailed plan. It is the western terminal area. The area is 500,000 square meters large. We expect to create about 200,000 to 250,000 square meters of buildings and have a preliminary estimate time for that plan in exactly four quarters. And then we have another IV project down in Skavsta, together with an actor, where we develop four factory-industry buildings of a total of 10,000 square meters. Here we have two tenants at the moment, Ramirent and Lambertsson. I think this picture is interesting in many different aspects. Today we have a property value of SEK 7.2 billion. In 2020 we had a property value of SEK 5.7 billion. The little beige top of the four stacks from 2022 to 2025 shows the value we have created, our share of the value we have created in JV companies. And if we look at 5.7 and 7.2, then we can sum up to 1.5 million in value increase. And then we have actually sold land for 0.5 billion. And yet we have a value increase of 1.5 billion. Then we have invested in these properties with 0.8 billion. Which makes the net worth 1.2 billion during this period. Which is very, very strong. Now I leave my warm hand to you, Henrik.

Thank you. As usual, I would like to look at a number of figures and key figures that we highlight on the back of this development that we have seen. We can start by stating that the market value of the property portfolio has gone up by about 3%. And that is connected to what Dieter said earlier, that we have succeeded in doing that because at the same time as we work with sales, we also work with development and with attracting new tenants to our areas. This means that the underlying property values increase despite the fact that we sell a lot. This does not mean that we have a gill compression or lower casting requirements. It is simply a greater flow and greater interest for our areas. I want to touch on one point that is in the middle on this side, and that is the other revenues that have been positively affected by a calculation of part projects that are completed within the framework of the replacement we have received from the Trafikverket for preparing work for Ostlänken down at Skavsta. The result of the calculation gives a positive effect of 48.5 million. This is an example of how we in our core business, property development, work effectively to achieve the functionality that we strive for. This is an example of how good we are at what we do in our core business. At the bottom it says that we have reduced our costs. It is also important to highlight that despite the fact that we do more business, we get more clients, we develop more projects ourselves or together with others, we have managed to reduce our costs and we deliver on the cost savings program that we have previously communicated and agreed to do. Since we have positive results, NAV per share increases by approximately 3%. Again, I think you should see this in relation to the fact that we are actually doing business, which means that we are reducing the base, but we are also starting new businesses. I would also like to underline the light blue screen here. It indicates, as Dieter mentioned earlier, that we have increased our rental value. We have increased the rental value by about 4% in the companies where we run J-Vent together with other parties. And we have increased the rental value in our own portfolio by almost 3%. Det där är drygt 16 miljarder i ökade hyresvärde under året. Miljoner. Miljoner, menar jag. If we look a little closer at the results calculation, I think we can summarize this by saying that we have higher revenues and lower costs. I usually try to maintain that it is easy to talk about only costs or only revenues. This is an example that you can actually work with both parameters. And we are a little proud to be able to show that we have actually succeeded in this. Then you should also remember that there is a little asterisk on this side on the property costs. They look like they have gone up quite a bit, but then there is a one-off cost in the property costs in 2025 for a rent of 7 million. So de facto, the property costs have actually gone down. If you look a little further down, you can see what our financial costs are. And they go down due to lower interest rates this year, of course. Today, we have a stable base to work with when it comes to our financing. And we have reasonable interest rates. We are constantly looking at our financial structure. Our understanding right now is that the banks are a little more positive in talking about the future and development, and we are trying to work actively with that. For those who follow us closely know that we have not insured our interest rates historically. We suffered a little bit of that in 2023-2024. Of course, we are looking at how such interest rates can look in the future. We have positive value changes, and we have touched on this earlier, but I would still like to point out that we are creating underlying values, and we create them with our new tenants and the value we create. But we also realize the world. That is to say, if we look at our real world, we manage to realize the world that is above the real world. So we create the world both realized and unrealized, which is also very positive. If we look at our balance sheet today, we still think that the solidity is very strong and we have a low reward rate. We present in our report that we are working now, as we have always worked with, to try to keep a low financial risk in the business. And that's something I want to highlight here. It also takes place in liquid materials. We have a safe liquid situation and we have always had that and we want to continue to work that way. One thing I would like to highlight here is the proportion of interest companies. They have risen. Why is that important? Well, it underlines what we have said, that when we develop our areas, it creates a ring on the water. There are more people who see what we do, there are more people who want to be involved and look and work in those areas and establish themselves there. When we work in the way we do, in our own books or in JVN, we bring both financial and industrial capacity and competence into our work. It is not least visible down in Skavsta where we work, in the Jive structure, but also up in Arlanda city. So it is a strength, we think, to work on these three, according to these three, on these three ways we work. I will also mention that there are a number of prerequisites here. This is how we prepare the prerequisites we have received from the Trafikverket for the work with Ostlänken. There is still a prerequisite in our balance calculation, despite the fact that we have finished calculating a number of subprojects there, as you saw earlier in the result calculation. Det här är en bild över finansieringen. Det man möjligtvis kan poängtera är As we mentioned earlier, we still have a low rate of compensation, despite the fact that we are working with development and sales. This is due to the fact that we continue to create value. So the financial risk that I mentioned earlier has not increased. I will also mention, as you can see here, that the average working hours on the company's loans have decreased. It is so that an absolute majority of our loans lie with security assets. And they are closed for a longer period. Most of our real estate loans expire during the second quarter next year. And we are in the process of negotiating extensions there. Finally, I can start here so maybe DT will fill in later. What are we aiming for in the future? What is it that is in the map in the future? Yes, actually it is what I want to highlight here as the first point in the second section. That is, we continue to develop at a high pace. We continue to do more of the same as we have done during 2025 in the ambition to do 2026 and forward. And what opportunities do we have to do that? Yes, I think we see good market conditions for that, both macro, the interest rates are more stable, The financing market is brighter, and there are also indications of gradual recovery in the transaction market, but also micro. We see, as we were talking about earlier, further new establishments in our development areas, and we see increased interest in participating in what we are developing, both in Skavsta and Arlanda.

And I don't need to add to that, but I was talking about something else. We have made three major transactions in the market this year, and it is important to understand that we get liquidity between 9 and 12 months after we have done the market sales. So we have the different cases that I have mentioned, where it is liquidity that has not yet come to companies that have exceeded 300 million. If you now look and say, oh, do you have 185 or 186 or whatever it was, it is 300 on the way in.

Perfect, thank you very much for that presentation Dieter and Henrik. We will start the Q&A session and we have actually received a question from Martin on the chat. Can you explain why the rental income has decreased to 40 million kronor from 49 kronor and millions from previous years, despite the fact that more houses will be completed?

There is an explanation for that in the presentation. It is a periodization effect. The periodization for the housing revenues Q4-24 is not exactly the same as the periodization for the housing revenues Q4-25. Those two figures look like a big change, but in practice it is not a big change. It is simply a periodization effect.

The big news, even though you sold a lot of land here in Q4 for 186 million kronor, you took away your previous financial goals and clearly set a single financial goal, which is to share 5% of your own capital. It's an extraordinary financial goal in many ways, so I think we should focus on that first and foremost. And then I think, first and foremost, what is the 5% goal in practice for how you prioritize and drive the business forward?

But first and foremost, I think it is a very good assessment of our board that determines that we can actually make this division. We start there. And that means that we have to find a balance in transactions, JV projects and self-development so that we can meet this goal.

Okay, and is this 5% goal a permanent annual target or is it a long-term target that can vary?

Exactly as you say in the question, it is a goal. Okay. In the first year, we divided it up to 98 million.

And the idea for the year after that?

5% of our own capital. We are running a number of large detailed plans that will of course affect this. We have a detailed plan up in Arlanda city that we plan to complete within four quarters. There will be around 200,000 square meters of construction and a detailed plan down in Skavsta that we will also complete within four quarters. where there will also be 200,000 square meters of building rights with all that it means, both in possible sales, but also value increases and increased equity.

If you look directly at the casting now, it is at 8.5, if it were to be so that you will share 3.50 next year. So it is quite important from a shareholder perspective, how stable this goal is. Because it will of course also affect the investment opportunities.

If you listen to our board, it is a very clear goal and a very clearly stated ambition to achieve that goal.

And you would not have set such a goal if you had not thought that we could live up to it.

No, good. And if you think about it, you talked about how you have received a lot of cash flows. But how are you going to generate enough cash flow to cover this annual expansion of 5% of your own capital? And then I think above all that your business this year generates a negative cash flow of 132 million. From a shareholder perspective, how should we generate cash flow?

I think it's about finding the balance in market transactions, in JV development and self-development. Do you have pure market transactions or do you simply have pure money? JV companies are a way for us to actually build up value together with a partner and we use the liquid part that you buy into the JV company with top financing. So it's a way for us to develop property liquidity-neutrally. And then the space that exists to develop your own. We do not need to own the buildings that we actually build over time. If the buildings have long rents without further transfer potential, then we can actually get rid of them in case we need it.

De som har färdt oss en stund har ju noterat att vi lägger ännu större krut idag på det som är vårt kärnaffär, det vill säga fastighetsutveckling. Vi gör affärer idag i mycket högre omfattning än tidigare och att bara utveckla för att få fram en fastighet som vi sen ska förvalta... That's not how we work anymore. It's a much clearer focus on capitalizing on the assets we've built up over a long time. And there are values there. And if our core business is to develop rather than to manage in the long run, that's what we should focus on. And development means that we create these values that we can then capitalize on. So that's the idea.

And then, considering that externally you don't have a financial goal, but internally, how do you decide if it's going to be a JV or if you're going to sell the land? What are the internal requirements that are set in the decisions?

It will be considered from fall to fall. One reason why we work with JV companies is that it is cost-neutral property development for us. It can often be that someone comes with a tenant. We want to buy land from you. We see good potential in this. No, we do not sell the land, but you can buy a JV construction. Or you can choose to sell the land. So it will be from fall to fall.

Henrik, you mentioned that the loan rate is relatively low, 24%, and on the other hand, you have many assets that are not in your account either, considering all the building rights. But is there room to use the balance sheet in a more aggressive way?

That's a good question. The ambition is not to start borrowing balance sheets to be able to distribute the money, if that was your question.

I'm thinking more development-wise.

That changes in the market, what the market presupposes. We have always said that we want to work with low financial risk. What does that mean for the margin? It can certainly mean that one is a little higher from time to time, and in other cases a little lower, but we will work with low financial risk. Of course, we want to take advantage of the current situation in the market to make our loan portfolio more efficient. We are actively working on that. We will see exactly what that means. But we have no ambition to increase the financial risk.

You said in the beginning of 2025 that you would accelerate the development, and you have done that with Roge, considering that you have activated 200,000 square meters of construction, compared to 15-20. Is it a special year or do you think that it will be on these levels in the future?

You can imagine that we have definitely increased the pace and that has been because we have been more flexible in our business model. Everything from transactions to HV upgrades to self-development. And we have built up that type of value that it is time to realize now. So definitely a much higher development pace or activation of building rights, as we call it today, than it has been historically, definitely. Then if it's a figure that's called 200,000 or 300,000 or 100,000, I'll let it be unsaid.

Yes, we have looked into the market outlook as well, but it has been a better market in 2025 compared to 2024. What do you think of the outlook for 2026?

One reflection I've made is that it's exciting to work with property development, because you meet customers who look forward, who want to create something new to build. So quite early in our industry, you notice what interest there is in the large economy, to build something new or create something. And there we think it's exciting to see that there is interest. We always get propositions. It's probably an effect of us showing that our areas are exciting to take part in and be a part of developing. But it's probably also an effect of We believe that the economy in general can develop positively in Sweden in the coming years. And that is something that we hope to believe in and see the effects of actually a little already now.

And in addition to that, you should remember that we have two very large areas. If we develop 15,000 square meters in the area, then it looks like we are not doing anything. But if we have this big increase in development that we now have, then the environment sees that something is happening. The snowball is rolling. One gives birth to the other. That's my assessment.

We have another question from Martin here. How has the operational business in Skavsta Airport developed lately and is it beginning to approach break even?

It has not come close to break even. It is constantly developing in the same way as Henrik said that we are trying to work with and reduce costs has become incredibly much more effective than it was when we acquired the company. And then we work with a passenger flow. Then there is always a hope that the passenger flow will be huge, but it has not been so far. We work on both fronts, both cost reduction and income increase. What is important to remember about Skavsta is that it is Sweden's largest preparatory airport. So it's not just income streams of charter planes from Wizz Air or TUI or Ving, but it's also other income that comes due to the fact that it is a preparatory airport and is used by state authorities.

I was just going to add to that. Now the question was about the operational activities at Skavsta, but if you look at the Skavsta area in general, it is a very interesting area if you consider, among other things, the environment. It is a place of strategic importance, and that contributes to the fact that when we look at the interests in our two areas today, not least the interest in Skavsta, there is a lot of interest in Skavsta to take part in the development of that area.

Okay. I can follow up with Martin's question about Skavsta. Is your operating business, it is not, I mean, it is in the cash flow today, but is it mainly an operating business that should support the business or the development business, or is it also the idea that it will one day become cash flow positive?

There I want to go back to what we do. We have two huge land areas where we go in with the potential of the world, that is, we acquire it for zero and not. And our ambition and what we have come very far with is to change people's perception of how the areas are, that they should be more attractive. And if you have two giant areas to develop, then you must have an incentive for people to come to these seemingly unattractive areas. And if you have a business that drives the flow of people to the areas, read mötes i väntanläggning, read Sveriges största utbildningsföretag inom fordonsindustrin, read Flygplats. Then it is a way to get people to get to the place, then you can build on and capitalize on the flow that these businesses create. So it is a part of changing people's perception of an area over time. Then maybe we should not own and run these businesses necessarily over time, but to get people to change their perception of the area is central.

And it's important to point out that if you look at those companies stand-alone, then that analysis is correct. But that's not how companies work for us. As Dieter used to say, if we have an event business, then it draws people to the area. People who eat at our restaurants, live at our hotels, pay for parking for their cars. That contributes to the revenue to the corporation, which is not seen in the operating company. You have to see it from a larger perspective.

Kristallklart. Bra. Du pratade om låneportföljen här på ett och ett halvt års löptid och att ni håller på att refinansiera. Hur påverkar den här utdelningsambitionen de här förhandlingarna om just refinansiering av lån?

Not our ambition. If you think about the goal, the answer is no. It should be seen in relation to what we need for continued development. The ambition is to maintain a low financial risk. Then that we negotiate and aim to extend loan defaults. It's just part of our running business. It's not original. It's something we do. But even in between. So it's more business as usual, you could say.

Okay. Last question then. You have a substance value of 87 kronor today. And the share is around 40. What is it then? 49 is it really? What are the most important factors to continue to reduce the discount?

Do as we have done in 2025. Okay. Continue with that. Keep that pace. Realize profits. Show that it's time to harvest. Simply. What we have built up over a long time.

I think in addition to that, when we show that we have the world and can create the world, Then another interesting question arises, which values do we have in the books? If now half of our available building rights that are booked is an average of 3,200 kronor, that is what is at the base for these 87 kronor per share in NAV. If we consequently sell to 5,000 kronor per square meter, then it is not NAV 87 anymore, then it is something higher. Vi har det till 3200 kronor, för det är vad våra värderare säger att de tycker att det är värt. Men vi tänker ju att kan vi bevisa att vi säljer det här en bra bit över våra bokförda värden, då borde man kunna få ännu större trovärdighet i att de värden vi har i böckerna är riktiga och möjliga att kapitalisera på.

Maybe even a little conservative now.

Maybe conservative. Okay, good. Then we'll see how the business is progressing during 2026. It will be very exciting to follow. And with that, I thank Dieter and Henrik for this question time and the presentation as well.

Thank you very much.

And thank you to everyone who has listened. Have a nice day.