Genova Property Group AB (publ)

We're starting the year in a good way. Our business is still stable and in good speed. We see that the transaction market is still strong, which is great. The administration is working hard. We're increasing our rental revenues and strengthening our net profit. We continue to work with financing costs and we note that we have lower financing costs today, despite a larger portfolio. We reduce the administrative cost per share, both as a result of lower value changes in interest companies, but we also continue to increase our substance value. So overall, a good start to the year. The administrative business in Genova is the core of our business and it continues to deliver. The plan and ambition for us is to increase it successively all the time and strengthen the cash flow. Today we have a good mix in strong regions. And what we see and are happy about is that we are now, during this quarter, increasing both rental revenues and net profit, and we have a degree of employment that is unchanged. In addition, it should be mentioned that we see an essentially much higher activity on the employment side, where we have several ongoing dialogues that we hope will materialize during the year. An important part of Genova's value creation relates to our development. Of course, it is always dependent on the development in the transaction market. It is exciting to say that already during Q4, we made a major replacement of housing in Knivsta. We continue on the same path even during the first quarter. in cooperation with Urban Partners, sell 50% of our project in Viby, which is a long-term and important project for us. It contributes to and frees liquidity, it lowers our debt and it will increase our profitability in the long term. So this is an important and interesting part of our business where we will continue to develop building rights for low acquisition values and will be an important way in how we drive value forward for Genova. An important part of being able to support and contribute to the work both within the administration and development is our focus on sustainability. And that will also be an important prerequisite for Innova if we are to be a modern and relevant real estate company when we look forward. Now, during this quarter, we have set up a new sustainability framework with ambitious sustainability goals. which will contribute to both reduced costs and to create greater conditions for Genova to develop as a company. We will continue to optimize the capital structure and work actively with our balance sheet. It is a very important part of how we drive the business forward. The joy is that we have worked to handle our convertibles, we have reduced our hybrid obligations, we have repurchased shares. All of this will lead to strengthening our key numbers and increasing profitable shares, which is the main message. We are actively working to lower the financing costs, which in turn will strengthen our cash flow. And overall, it feels very positive that the conditions also in the market, that there is both access to obligations and to bank financing, it feels positive. It has been a relatively turbulent environment. We have seen large movements in the interest market, which of course affects the real estate market. But the joy is that we continue to see a very stable financing market, both on the bank and on the obligation side. In addition, we have a well-functioning transaction market, which is extremely important. So overall, I would say that we still have a pretty positive view of opportunities to create value for Genova's shareholders during 2026. And as a reflection, I can just say that what is happening today in the direct market and in the real estate market, it is not really reflected in the stock market. And that is also something positive to look forward to.