Cibus Nordic Real Estate AB (publ)

Hello, welcome. My name is Stina Lindhög and I'm a CEO at CBUS and with me I have Pia-Lemma Olofsson, CFO. We live in a very turbulent and unpredictable world right now and with that comes also a volatile stock market. So with that said, I'm glad to present a stable quarter for Sibus and that we can continue to distribute monthly dividend by over 6% yield on actual share price. Sibus mainly focuses on grocery properties and other so listed daily goods real estate company in the Nordic. The aim is to create stable cash flows and the company has been listed since 2018 and has grown from owning food properties only in Finland to now having operation in seven countries. As you see on the picture here, this is a good start to continue growth in existing markets and also investigate new markets in Europe. The blue and red dots you see here, except for the They are the new acquired properties announced this morning. Net operating income increased by 16% to 42.6 million compared with the previous year. And the underlying business here remains stable. Profit from property management increased by 13% to 20.9 million euro and that's excluding non-recurring items and currency effects. Worth mentioning is that profit from property management this quarter is partly charged with interest expenses linked to the financing of transactions completed after the quarter and also some costs related to the refinancing of the bonds. Market value. slightly down during the quarter, depending on that market rents were adjusted downwards in a few properties in Finland, resulting in a marginal decline in property values of 0.50% in the existing portfolio. And this is not a general trend. And in other countries, the values are unchanged or slightly higher. The average yield is still 6.4%. The total portfolio has grown and is increasing and amounted to 13 euros per share. The earning capacity is unchanged at 108 per share. Some key takeaways. As I said, stable underlying business, no surprises in the net operating income and the occupancy rate is slightly up 95.6. We have a continued growth during the quarter. This morning we announced a transaction of 23 properties in Denmark, Finland, Norway and Sweden. at a value of 103 million euro. I will give you some more flavor on that later on. Earnings capacity in line with last quarter, as I said. And also in this quarter, we see a strong capital market. Despite the turbulence in the global economy, the credit market has shown continued appetite And during the quarter, both bond loans and hybrid capital were refinanced at significantly lower levels than before. And in connection with the refinancing and linked to good terms, we took the opportunity to increase the hybrid by an additional 30 million euro and the bond increased by 25 million euro, which has been a part of the financing for the acquisition announced this morning. And also just mention it was decided at the AGM for unchanged monthly dividend of 0.9 per share. During the quarter, we have sold two properties, one in Finland and one in Berlin, and bought one property, and that sums up to 671 properties. The total market value has increased slightly since last quarter, up to 2.7 billion euro. Net operating income from earning capacity totals close to 170 million euro, giving a yield of 6.4% at today's value. Our tenant mix is more or less intact, but worth mentioning is that TocMoney continues to convert the TocMoney store to Eurospar, which means that they even more focus on grocery than before. And now we have eight properties in our portfolio converting to Eurospar. Stable cash flow, our rent that comes from daily good tenants has increased up to 82% from 81%. And still 95% of the properties are owned by grocery tenants. Still 99% of the leases are CPI linked. And the average contract length is now 5.9 years. More than 90% have net or triple net leases and the average property is 2,100, which means that the exposure to each property is relatively small. In addition, we protect the cash flow through a hedging rate of 98%. With our 671 properties, there are always discussions with tenants. This picture shows an example where we practically replaced K-supermarket with Rusta, close to 3,000 square meters in Siljandjärvi in Finland. At the same time, we increased the lease length by 10 years. some more flavor about their transactions. We continue to grow with those five transactions in existing markets and we did those with five separate transactions with a price for 104 million euro. The annual rent income is 7.3 million euro and the properties are located in Finland, Norway, Sweden and Denmark, with an average contract length of 7.8 years. The occupancy rate altogether was 99.5% and the properties have a little bit of area of approximately 60,000 square meter. And the anchor tenants is Tokman i Lidl in Finland, Real Mathusen in Norway and Denmark, and Ilka in Sweden. To give you some more flavor, one of the bigger transactions was a portfolio in Finland with 13 properties. And the biggest tenants are Tokmoney in that portfolio, which Cebus has an established relationship with for many years. Other tenants in that portfolio are Lidl, Justa and also Puilo. Kuvilo, which might be less known, is a listed discount retailer specialized in do-it-yourself tools, pretty much like Bauhaus. More to know is that eight of 13 properties are located in growing cities in this portfolio. In the smaller cities, the micro location is good and the business well suited for chocolate money and low price retail in general. 10 of 13 of those properties are built after 2019 and the vault is over seven years. So that was the biggest of transactions. Another one was one in Denmark, where we bought four properties in growing cities with very functional Rema 2000 stores, which have an average contract length of 8.6 years. In Norway, we also bought four Rema 2000 stores with long leases. over seven years in a bit smaller cities, but with a good micro location and a strong turnover. And except those three, we also made two transactions, one in Sweden and one in Finland. So I see this as a good example how we believe that we can continue with transaction going forward, use our existing platform to find right opportunities. But of course, we also look at the same time in Europe. Over to you, Jelena.

Thank you, Stina. So let's start off with some key events during the quarter. We refinanced the 50 million euro bond by issuing a new 85 million euro bond with a long maturity of four years and a significantly lower margin of 210 basis points down from 400 basis points. Then in February, we refinanced the hybrid bond with a new 60 million euro perpetual hybrid bond at a fixed rate of 6.25%, redeeming early the old hybrid bond in March. Then we announced that I will be leading Sibus in July, and Anne-Sofie Lindloth will take over as CFO. Anne-Sofie is an experienced CFO, so Sibus will be in very good hands. After the period, we held our AGM in April, where we changed the company name by removing Nordic, reflecting our transition to a pan-European company. So the new name was Real Estate AB. We also got appointed two new board members, Louise Wishnow and Stefan Dagbo. Then Sibos has announced acquisitions that Sina already has covered in this presentation. So looking at the P&L, net operating income amounted to 42.6 million euros. Profit from property management was impacted by non-recurring administration costs related to management change. Net financials include a positive exchange rate change of plus 0.3 million euros, but also of minus 0.9 million euros related to early repayment of the old 50 million euro bond. The repayment cost is not considered non-recurring as CBUS is an active and recurring issue on the bond market. Profit from property management excluding non-recurring items and FX was 20.9 million euros. Property values were largely stable and the portfolio yield remained at 6.4%. Interest rate derivatives contributed positively due to market rate movements. Looking at the current earnings capacity, rental income increased due to acquisitions and indexation. Net financial items rose following new acquisition financing, some of which will be included in the earnings capacity from the second quarter. The new hybrid bond is excluded as it will finance acquisition not yet reflected in the earnings capacity. Profit from property management excluding non-cash items plus expenses for the old hybrid bond increased by 4% compared to last year to 1.08 euros per share. Looking at the like for like, net operating income now include four estates since it was acquired in January 2025. The portfolio was negatively affected by higher property costs driven by the increased vacancy. Vacancy had a negative impact of 3 million euros and a large part is the previously in Q4 announced property in Finland. Also three Terminated furniture retail leases increased the vacancy in the quarter. And this was partly offset by a positive net lease contribution in the grocery and daily goods segment. And this is exactly why we focus on the stable grocery and daily goods tenants. Tenant transition reduced income by minus 0.5 million euros. reflecting proactive asset management to support future earnings. The case study, Rusta Silvinjärvi, that Stina presented earlier, being one of these transitions. Indexation contributed with 2 million euros or plus 1.3%, where particularly Finland has low inflation. Overall like-for-like declined by minus 1.2%, World acquisitions drove total net operating income growth by plus 8.2% to 169.2 million euros. Silver segments are defined by country. Finland remains the largest market, accounting for 46% of the net operating income, although its share of the total has declined. Belgium and Denmark are the second largest market, each representing 16% of the NOI. Moving on to the balance sheet, property value amounted to 2.7 billion euros. Secured debts totaled 1.3 billion euros, corresponding to a secured loan-to-value of 49.5%. Silbus has unsecured bonds of 309 million euros. As proceeds from the newly issued bonds have not yet been utilized for acquisitions, the cash position is elevated, resulting in a net loan-to-value ratio of 57.2%. EFRA NRV remains stable at 13 euros per share. Looking at the vault, the average remaining lease term continues also to be very stable and was 5.9 years at the end of the first quarter. Overall, over to funding, the average interest rate decreased to 4% down 0.2 percentage point year on year, driven by lower margins on refinancing bank loans and bonds. The old 50 million euro bond was refinanced at a significantly lower margin and extended to a four-year maturity with the bond volume increased to 85 million euros. In addition, a new 60 million euro hybrid bond was issued at a fixed rate of 6.25% and the previous hybrid bond has been fully repaid of which the last 8.5 million euros was done after the quarter on the 1st of April. Sibus remains 98% hedged against interest rate risk using a combination of caps, swaps and fixed rate loans. We proactively manage interest rate hedging and seek to enter hedging during favorable market windows. During the quarter, we entered into a new four-year interest rate swap at 2.34% and extended an existing swap by four years at a fixed rate of 2.7%. Since a portion of the hedges consists of caps, higher market interest rates have a lower negative impact than lower market interest rates have on earnings, as you can see on the sensitivity analysis to the graphs. Looking at our key credit metrics, all remain well within both internal targets and covenant levels, providing solid headroom. Net LTV was lower than usual as proceeds from recently issued bonds had not yet been deployed for acquisitions. Net debt to EBITDA was slightly lower to 10.4 times this quarter. This metric typically increases during acquisition intensive periods. Debt rises immediately while EBITDA is built over time and declines during periods of low acquisition activity. On a forward-looking basis, net debt to Ebitda was 9.8 times. The interest cover ratio remained stable at 2.4 times. CIBUS continued to deepen dialogue with tenants, particularly around energy efficiency, health and safety, and support for tenant sustainability initiatives. Progress in the energy transition continues with one finished property converting from natural gas to district heating and two additional properties transitioning to renewable heating solutions. Solar installation expanded further with panels now installed at 82 properties. The value of taxonomy-compliant assets increased to 1,134 billion euros. Over to you, Stina.

Thank you. Just a last slide about how to move forward. We will continue to invest in food and grocery properties with stable cash flows. And we will have focus on profitable growth which should, in the longer perspective, increase profit from profit management per share. We will continue to work with the refinancing and hedging to keep the stable cash flow. Overall, I think it's been a stable quarter for Cebus operations. It feels great that we have completed acquisitions after the quarter that both developed the standard of CBUS portfolio and also the earnings per share. We want to continue to develop CBUS in this direction. Thank you.