K-Fast Holding AB (publ)

Welcome to our presentation of the third quarter of 2024. We can see that the conditions are moving better and better, where the interest rates are falling and inflation is beginning to establish itself at an increasingly controlled level. Nevertheless, we must also continue to wear a large dose of humbleness when the recovery occurs from low levels. In our daily work, we work hard to enable and enable the new business plan, which extends to the end of the year. As part of enabling the new business plan, during the third quarter we have fronted our one portfolio in Copenhagen, consisting of 311 apartments and a underlying property value of close to SEK 1.1 billion. In addition, we have fronted a couple of smaller development properties, as well as sold a property consisting of 100 apartments in Nyköping to our joint company together with Kilenkrysset, i.e. a partial sale. Moreover, sales processes for additional properties occur in accordance with the goals in the new business plan. As a shareholder, you can expect that the new normal means that we will constantly have ongoing sales processes. This as a guide is to deliver on the new business plan, which means deductions on behalf of self-financed development activities, and where we hopefully can present additional sales within a not too distant future. In addition to the progress of the Danish portfolio that I mentioned on the previous page and the partial sale in Nyköping to K-Fast Kilen, our joint company with Kilenkrysset, we also bought off our prefab factory in Strängnäs from Kilenkrysset. This means that we now own all the factory properties where we operate our prefab business today. We are also happy that we are promoting the collaboration with Killingkrysset, a collaboration that gives us great joy and not least a good experience and competence exchange with a very strong actor in Mälardalen. During the quarter, we started the construction of the three emergency offices in Malmö, which consist of 154 apartments in a laminate house, and completed a total of 140 apartments in projects located in Gothenburg, Hässleholm and Höganäs. In addition to the start of the emergency office in Malmö, we started a project consisting of 74 apartments in Valentina, a half-owned joint venture with Titania. Since we do not consolidate this project, we provide it as external production. I am extra proud that despite tougher market conditions, we managed to reach production cost levels, which means that both the project in Malmö, but also the joint project in Vallentina, shows yield and cost over 6% and a PTV, or production to value ratio, on levels from 69% in Malmö to 76% in Vallentina. In the area of business administration, everything starts to struggle for a fantastic employee to bear fruit. Despite the fact that we during the quarter completed a project with a certain immigration vacancy, we reduce the total vacancy and leave the quarter with an exit rate of 95.3% compared to 91.9% at the beginning of 2023. Vi kommer inte färdigställa fler lägenheter under resterande del av året, varpå jag känner mig trygg i att vi innan årets utgång ska lyckas nå närmare en mer normaliserad vakansgrad i vår portfölj av färdigställda fastigheter. Periodens resultat uppgick till minus 12,7 miljoner, vilket belastades av negativ värdeutveckling på bland annat derivat som inte slår på utveckling av substansvärde som utvecklades positivt till 24,80 per aktie. The administrative result ended up at 42 euros per share, and the result per share in the enterprise area Entreprenad ended up at 94 euros per share. During the quarter, we have, as previously mentioned, launched a project in Kirseberg, Malmö, on the property Sjukskontoret 3, which we have acquired from Ikanu and also contributed during the quarter. The project comprises 154 rooms and the project calculation shows a yield cost of 6.42% and a ratio between production costs to value of 69%. Levels we are very proud of and are the fruit of hard work from skilled and responsible employees. In addition, we have a joint venture with Titania, built in Valentina-Rickeby. A project comprising 74 apartments and where we reach a yield cost of 6.16% and a ratio between the production cost and value of 76%. In total, we have built 621 apartments during the first nine months of the year. And then we do not include the apartments that are included in the joint venture with Titania. In total, we have at the end of the quarter, 745 apartments in ongoing production, divided into 15 different projects. During the quarter, we have also completed 140 apartments divided into three projects, where some single stages of larger projects have been completed. These projects are in Gothenburg, Hässlerholm and Höganäs. However, we have no projects that will be completed during the fourth quarter of the year. In addition to projects that have already started, our project development organization has provided building permits for one project in central Lund, Fatert Sandryggen, one project in Örebro, in the city of Alnby, and one project in Gävle, in the city of Sätra. In our entrepreneurial business, Prefab has gone through a tough period, but thanks to hard sales work, it has managed to turn the development around. Prefab's order book amounted to 990 million SEK per quarter, which should be compared to 457 million SEK at the corresponding time last year. We are now working hard to scale up after a period with less investment, to now get into the fourth quarter with significantly better investment and support, where we in Prefab in total work with 76 ongoing large enterprises. Vår byggverksamhet, avseende Koncepthus, har efter en topp i färdigställande under sista kvartalet 2023 haft en period med något lägre tempo. Jag kan dock leden konstatera att vi även inom byggverksamheten håller på att växla upp med nära 200 fler lägenheter byggnation nu än vid årsskiftet. Och där vi byggstartade hela 621 lägenheter hittills i år, plus de 74 lägenheterna ihop med Titania. At the end of the period, we had 1745 properties in ongoing construction plus the 74 with Titania and thus a remaining order value of almost 1.6 billion. Our project development organization actively works with our project bank, which at the beginning of the quarter consisted of 2,257 properties As we mentioned earlier, Erhållet Bygglov has three different projects that have not yet started construction and comprise 572 apartments. This gives us a certain relationship with the upcoming project start-up. Finally, we delivered a gross profit of SEK 311 million for the first nine months of the year in relation to a gross profit of SEK 416 million for the entire year 2023. In the area of business administration, we decreased the number of apartments under administration by the second quarter, as a result of the fact that we left 311 apartments in Denmark and only completed 140 apartments during the quarter. Thus, 4987 apartments under administration at the end of the quarter. Compared to the corresponding time last year, the rent value has increased by 25% to over 655 million. Per kvartals utgång var den ekonomiska utgångsgraden 95,3%, att jämföra med 94,3% vid andra kvartals utgång och 91,9% vid årets ingång. Att vi kunnat fortsätta minska vakansgraden samtidigt som vi tillfört nyproduktion med viss inflytningsvakans ser jag som ett kvitto på att det målmedvetna arbetet inom förvaltningsorganisationen bär frukt. I see that we have good conditions that by the beginning of the year we will reach a more normalised level of sending vacancies. This is by continuing the hard work with the renting and the fact that no more apartments will be completed during the remaining part of the year. The rental revenues for the first nine months of the year rose to 452.9 million SEK and the administrative results to 102.2 million SEK, an improvement of 13% since the corresponding period last year. The successfully improved rate of income and lower interest rates contributed to strengthening the results in the administration. Even the surplus damage, which has increased to 67.1%, will gradually improve in the event of an increase in emissions. We continue to squeeze, crown after crown, to reduce the cost base in the administration while we reduce the vacancy damage. The administration has a track where each crown is counted and where the cost inflation in recent years, together with higher interest rates, has hit us, together with our business colleagues, hard. On the income side, it looks like the rent increases between 2024 and 2025 will fall in the range of 4-5%, which will help to compensate for increased costs during the coming year. For reasons above, it is realistic that we will successively deliver better results in administration during the coming quarter, if one winter and a half year tends to be a little heavier in terms of costs which should be taken into account. Med det sagt skulle jag önska att lämna över ordet till Martin.

Tack Jakob och en riktigt god morgon till våra lyssnare. Även om det är en grå oktoberdag här i Hässleholm idag så känner vi som är verksamma inom fastighetsbranschen att solen har börjat värna från en allt klarare himmel. Förvaltningsverksamheten skuttas som en kalv på grönbete och entreprenadverksamheten börjar tina upp efter en lång vinter. Om vi då övergår från vädleksrapporten till vår periodrapport så börjar vi med förvaltningsverksamheten. There, our rental income for the period increased by 29% to 457 million SEK. And despite the fact that we sold a Danish portfolio with 311 apartments during July, the number of managed apartments during the period increased by 22% to 4,987 apartments at the end of the period. At the same time, the rental value increased by 25% to 655 million SEK. The joy is that we have been able to increase our rental income during 2024. We entered the year with over 92%, which is followed by a high inflation rate at the end of 2023 and is now up to 95% despite previously mentioned growth during the year. We have continued to focus on the expansion and believe we will be able to cut a few more percentages towards the end of the year. The increased rental revenues and the expansion rate bring with them both the rate of surplus and the administrative result upwards. The surplus rate for the period ended at 67% compared to 65% for the corresponding period 2023. The administrative result for the period ended at 102 million, which is an increase of 13% compared to the corresponding period the previous year, which in itself corresponds to 0.42 kronor per share. The administrative result increases despite increased interest rates, where the financial net worth for the period rose to 185 million kronor, which is an increase of 35% compared to the corresponding period in the previous year. The interest rates are driven by increased interest-bearing debt, which is due to more housing in the administration, as well as higher average interest rates, even if the rate of increase in the average interest rate now decreases, which is due to lower market interest rates. We will return to this a little later. During the period, we have value changes for completed administrative properties of a total of minus 153 million, divided by minus 208 million related to deductions in completed transactions, where the sale of the Danish portfolios is the most essential, plus 55 million in unreliable value changes for our completed administrative properties. Direktavkastningskravet för färdigställda förvaltningsfastigheter har varit relativt stabilt under perioden och låg vid dess utgång på 4,4% mot drygt 4,3% vid årets ingång. En väsentlig post under kvartalet är värdeförändring på derivat, där nedgången i långa marknadsräntor lett till att värdet på koncernens räntederivat successivt minskat. Totalt minskar värdet under perioden med 115 miljoner. All in all, however, we are very pleased with our administrative business, and above all the increase in the level of employment, and our hope is that we will be able to improve the results further in the future, as the level of employment increases further. The entrepreneurial business has a heavy period behind it, with a heavily reduced income level. The total amount of income is 1,281,000,000 SEK, which is a reduction of 30% compared to the corresponding period the previous year. I byggnationen av egna koncepthus är aktiviteten dock fortsatt hög även om intäkterna för perioden följt till 948 miljoner, inkluderat orealiserad värdeförändring om 239 miljoner kronor. Vi byggstartade 621 lägenheter och färdigställde 425 lägenheter under perioden och antaget lägenheter i byggnation vid slutet av perioden var 1745 lägenheter, vilket är drygt 200 fler än i årsskiftet. The fact that the revenue still decreases is primarily due to the fact that many of our construction projects are in a relatively early phase of construction, which does not drive revenue in the same extent as later in the project. Under the period, we have increased the remaining order value to 1,592,000,000 kronor, or 35%, compared to the corresponding period last year. This is due to good income and result development in the future. In the construction of other enterprises, which primarily is the company's external prefab business, the income decreased by 30% to 333,000,000 kronor. This is completely and completely related to the weak construction economy in recent years, and especially the decrease in housing construction. With that said, we see that construction is starting to take off more and more, and the value for other entrepreneurs has increased to 990 million during the period compared to 457 million at the beginning of the same period last year, i.e. an increase of more than 100%. Even here, we can see a brighter future ahead. In total, Verksamhetsområdet Entreprenad is showing a result before value changes of SEK 230 million, equivalent to SEK 0.94 per share. Based on the increased value of VFR, it is our view that this result will lift significantly in the future. If we take a quick look at the company's results, this was raised to minus SEK 13 million compared to minus SEK 239 million for the corresponding period 2023. That the result is negative, despite the stable positive development in the underlying operating business, primarily depends on value changes in derivatives, as I mentioned earlier. The interest rate went up by the end of the period to 1.5 in the last 12 months, and with the positive result development in the administrative business and the successively improved order situation in the entrepreneurial business, we see that these goals will be improved in the future. If we move on to the financial position of the company, the value of the company's management capacity increased by 1% during the period to SEK 15 billion. This includes the sale of the Danish portfolio during the month of July, which corresponds to a value of approximately SEK 1.1 billion. As I have described earlier during the result development for the primary entrepreneurship business, it is the ongoing new construction that is the primary driving force for continued growth. Revenue-bearing debts decrease during the period from 2% to 9.9 billion SEK. The revenue-bearing debts continue to increase as we switch from construction financing to long-term financing in connection with the completion of new administrative facilities. However, during the period we have had a continuous high rate of amortization. In addition to this, we have amortized liabilities of approximately SEK 330 million, and in connection with the sale of the Danish portfolio, we amortized loans of approximately SEK 900 million. In total, the company's debt rate rose to 58% at the end of the period, to 60% at the end of the year, and if we isolate the loan rate for the company's completed administration facilities, it rose to 61% at the end of the period, to 61% at the end of the year. Concernens egna kapital ökade under perioden med 2% till 5,2 miljarder och långsiktigt substansvärde med 2% till 6,1 miljard motsvarande 24,8 kronor per aktie. Soliditeten förbättrades under perioden till 31% mot 30% vid årets ingång. Det vill säga våra finansiella nyckeltal fortsätter att förbättras. This leads us unsearched into the financing of the company. I have previously mentioned the development in interest-bearing debt, which primarily is driven by new construction and completion during the period, as well as amortization related to acquisition financing and in connection with the sale of the Danish property portfolio. We continue to maintain a high rate of insurance for our completed administrative properties and by the end of the period the rate of insurance went up to 80%. However, we have chosen to be a bit cautious when drawing new interest rates, which is a result of the successively decreasing market interest rates, and therefore the average interest rate falls as time goes by. Also the average capital interest rate falls, which partly has to do with the fact that we in the current market situation put ourselves a little shorter in our financing, partly because financing related to the Danish real estate portfolio was relatively long and drew up the average. I will now return to the average interest rate that I mentioned earlier. This increases during the period from 3.2% to 3.5% despite reduced market interest rates. This is completely due to the fact that the number of keys is increasing in succession as we switch from construction financing to long-term financing, where mobile long-term financing at the moment is around 4.5%. In summary, we are coming out of a tough period for our entrepreneurial business with a good value for money and we have a good speed in our administrative business with increased efficiency and improved administrative results, where our view is that both business areas will develop positively in the future on the back of the current development. In addition, all of our financial keys are being developed in the right direction. I would therefore like to say that we have not only passed the autumn harvest, but are approaching dinner, even if there is a bit left for full dinner. And with that, I would like to thank our listeners. I wish you a fantastic autumn day and stundande helg. And for those of you who are going to have autumn holidays next week, I hope you can really enjoy it. And with that, I'll hand it over to Jakob.

Thank you, Martin. In summary, a lot should turn to the better, even though there are still some challenges on the way. but where we strive to become a little better and stronger for each quarter that passes. We have begun to deliver on the new business plan, which means deductions to companies for self-financed development, where the quarter's share of the Danish portfolio of 1.1 billion was a step in the right direction. The commitment increases entrepreneurship and we are working hard to increase efficiency and speed in search of new higher volumes. In administration, it is worked on to reduce vacancies and costs in favor of a stronger result. It has also carried out upcoming rent reductions in a welcome effort. And with that, I would like to thank you for your interest.