K-Fast Holding AB (publ)

A warm welcome to our presentation of the third quarter of the first nine months. My name is Jakob Karlsson, I am the CEO of K-Fastigheter. And with me today is my very eminent CFO Martin Larsson. In my CEO speech, I say that it has been a relatively unhappiness quarter. But the period both before and after Q3 has been more than well eventful. We have totaled three businesses. which provides the company with 1.1 billion in net liquidity and where approximately 600 million of this net liquidity is added after the end of the period. Many in so-called forward sales, where we take part in projects for completion, which takes place from spring 26 to spring 27. Just before the summer, we have added a larger project in Järfälla Väderstad. Our largest individual project so far is 330 homes and 782 m2 of local area. We are working frenetically to bring about construction law actions and expect the start-up project during 2026. So far this year we have had a rather modest start out of apartments and I will return to that. You can expect a lot more start-ups during the coming year. In addition, we have joined the Eskilstuna administrator, also a building manager in the middle of central Eskilstuna. We have happily landed a very nice joint venture together with Ahlheim, which we have worked with before, where we together will build 260 apartments in Gothenburg with expected construction start during Q1 2026, and where we will get the first two quarters of the building permit already. In addition, we have been able to create a powerful detailed plan for a detailed plan in Långeberga, Eastern Ramlösa, Helsingborg, where we will both build land flats, which we expect to be replaced with a state-of-the-art housing rights, as well as about 150 rental rights. Moreover, we are far-reaching in the dialogue with ByggVästa, a fantastic partner, to work together to develop one large project in Malmö and one large project in Stockholm. During the period and after the start of the period, we have completed a project in Ballerup, Denmark, which we transfer to Brinova. The last move and complete completion of Ballerup took place on November 1st. In addition, in Strängnäs, together with our joint venture with Kilenkrysset, we have completed one stage, just like in Ale. The project in Ale is covered by this Forward Seal, which I will return to. The big news, and what I'm most happy about, is the big deal. It's a joint venture with Vega Real Estate. As our loyal shareholders know, we landed a big deal with VIGA in the summer of 2023, when we debited a portfolio of about 1.1 billion SEK in Copenhagen to VIGA Real Estate. There and then there was a dispute between the parties, and we realized that together we could certainly create more value. The VIGA business has two tracks. The first is that we hook arms and go in as a 40% shareholder in VIGA Real Estate's investment in Sweden, where we become a shareholder in the asset management company. In addition, we sell a portfolio of about 1.9 billion to VIGA, which is the basis for the first fund in Sweden. What we want to try to create with this, apart from a business that provides liquidity, is to create a structure where we as housing developers always have a target. Most of the developers in the Swedish market are completely dependent on whether you should be able to sell real estate rights or that the succession market for ownership rights and real estate rights works. Our goal and our specialty is to develop effective rental rights and with the new collaboration with VIGA, we can find a target in early stages and where we can also continue to manage in the long term. I would say that this is the key to the future of K-families with a significantly more capital-efficient project and development. With that in mind, we could handle the turbulent time behind us in a completely different way. But as Peter Stordalen says, success is something you have had and can get again. Our upcoming success is completely based on how we take care of the future. What we see ahead of us, if you look at Boverkets prognosis regarding population growth that has been revised, is that the population until 2034 will grow with 200,000 people net. But you have to dive into the numbers to understand them better. If we look at the category 65 years and up, you see an increase of 400,000 people and in that category the average age is 1.9 people. In the category of 20-year-olds up to 64-year-olds, the population growth will be plus or minus zero, while in the category of 0-20-year-olds, we see a decrease of 200,000 people. So what we have to wait for is partly an increased population, mainly among the older category. Moreover, we see that the powerful urbanization continues. In the current situation, the population is reduced by two thirds of Sweden's municipalities and only one third of Sweden's municipalities have a growing population. This means that in the new business model that Co-Facilitar presented in the spring of 2024, we will open up to remove access to the right to be able to reinvest. From having previously only made a judgment on whether there is a market to rent out our products, we must now also consider whether there is a market to remove our projects. when they are well completed. What you can expect in the future is that we will almost exclusively build in metropolitan regions, as well as in the cities where we are already established with our strong cooperation with Kilenkrysset. We will choose profitability over volume, which means that it is not at all certain that we will reach these 1,000 start-ups. What we will focus on is maximum profitability for each start-up project. A new capital letter KFASTIHETER with higher conversion speed depends on the project we start. Our long-term property owners will be channeled to the K-fast source and Brinova, where our long-term ambition is to share Brinova. What we have also done during the third quarter is to initiate a savings program. There are about 30 services that are covered and full effect will be given first in the first quarter of 2026, but where the annual savings are around 30 million, set at the annual salary level of 2025. In addition, we are working during the fourth quarter to reduce the general costs, where the target is 15%. Vi kommer anpassa vår affär efter en lägre befolkningstillväxt, en stark urbanisering och där vi kommer prioritera lönsamhet framför volym. To make sure that today we have 1,900 apartments in ongoing production. And that is the reason why we have not started more projects. As you saw on the previous slides, we are sitting with attractive projects in our balance sheet. And in some cases we even have finished construction laws. But we must finish projects before our resources start new projects. Not to build an organization, but vice versa. Try to reduce our organization to the smallest possible level. The management of a company has as one of its most important tasks to drive the business as effectively as possible forward. K-Fastigheter has, after the business with Brenova, Forza is a different structure. You see on the right side, and it's up to the viewer to decide if you see us as an entrepreneurial company, with property companies, or if you actually see us as an investment company. But in order to be able to grab our business, you have to do a summer for part. Somewhere we have Projectutveckling, Bygg och Prefab as full-owned subsidiaries. And then we have majority owners in the property management companies Brinova and K-Fast Kilen. But where we fully consolidate both Brinova and Kilen. In addition, we now have the proud collaboration with Viga, which I have just presented. We have a venture with Alhem and we also have minority-owned offices in Norrbom social housing as well as in Mjölbäck Entreprenad. And with those words, I would like to hand it over to Martin.

Thank you, Jacob. We will start directly with the business area Entreprenad. Total revenues increased during the period from 12% to 1,437,000,000 SEK, driven by increased revenues in our prefab business, where the value increased by 30% and revenues by 51% to 503,000,000 SEK compared to the corresponding period the previous year. Revenues from concept houses decreased marginally by 2% compared to the previous year to 934,000,000 SEK. Aktiviteten ligger på motsvarande nivå som föregående år, men färre antal byggstater leder till lägre success i vinstavverkning, vilka i segmentsredovisningen redovisas som bruttointäkt. Totalt minskade vinstavverkningen med 65% till 83 miljoner kronor. Bruttoresultatet i affärsområdet entreprenad minskade för året till 133 miljoner kronor primärt drivet av de färre byggstaterna samt även negativ kostnadsutveckling i några enskilda projekt. Resultatet före värdeförändringar uppgick till 53 miljoner kronor vilket är en minskning med 78% jämfört med motsvarande period föregående år. It is still the operational result that affects the negative result development. To a certain extent compensated by positive contributions from our interest companies. The result corresponds to 0.21 kronor per share, which is a decrease of 77% compared to the corresponding period the previous year. In the future, we see that the result will be improved, not least with regard to the order status in prefab, increased building status as Jacob has just mentioned, and stabilized cost status. Further to the business area administration, which now for the second quarter comprises Brinova properties, which K-Fastigheter owns to 58%. Total revenue increased by 68% to SEK 766 million, primarily driven by consolidation of Brnova properties. Furthermore, the number of apartments under management during the period has increased by a net of 65 apartments, and at the end of the period 7,685 apartments were managed. The gross profit increased by 75% to SEK 533 million, again including Brnova properties. The result is primarily driven by a higher surplus rate, which for the period went up to 69.3%. The surplus rate was improved despite the fact that we experienced a challenging market during the period, where the exit rate gradually decreased to 93.9%. However, at the end of Q3, we can see a certain change, which feels good. The administrative result increased by 94% to 198 million, primarily driven by the operational result. Further, lower average interest rates during the period have been positively affected and the result corresponds to 0.52 kronor per share corrected for content without specific influence. During the period, we have also experienced negative value changes on properties of a total of 144 million kronor, which primarily is due to declines in connection with completed and at the end of the period agreed but not completed sales, i.e. primary business with Wilhelm and Vega Real Estate. The company's interest rate, however, has decreased in value during the period to 82 million kronor, which is due to lower market interest. In summary, the value change in properties and derivatives means that the positive operating result is turned into a negative result before the tax on minus 27 million kronor. In the future, we see that the result will be positively affected by improved expenditure and surplus rate as well as stabilized interest rates. If we move on to the concerns, the central administration for the period has increased by 28% compared to the corresponding period the previous year. Cleaning costs in Brnova properties, however, reduced costs by 13% and the expectation is that our ongoing savings program will reduce these costs further during next year. The interest rates have increased by 62% at the interest rate level, primarily due to the increase of interest-bearing debts by 60% and which is also compensated by successive lower interest rates. In the past year, the interest rate reached 3.5% at the end of the period, against 3.7% at the beginning of the year, and the interest rate level measured at 12 months is at the interest rate level of 1.6, which is the same level as at the beginning of the year. In total, the period result of the company goes up to minus 38 million, or minus 0.36 kronor per share, among other things affected by value changes of minus 141 million kronor. Then we move on to the financial position and balance calculation of the company. The total value of the company's administrative properties increases during the period from 58% to 24.6 billion, where the main part, 85%, is made up of finished properties. The remaining measures are building rights and ongoing redevelopment, where ongoing redevelopment during the period increased by 26% to 2.9 billion. During the period, the company has net sold administrative facilities for a total of 0.6 billion and invested 1 billion in new and renovated buildings. The direct deposit requirement in implemented values has been stable during the period and was low at the end of the period at 4.7% for the entire property portfolio and 4.5% for housing. Revenue-bearing debts have increased by 54% to 15.9 billion SEK during the period. Primarily, it is the mortgage loan that has increased by a total of 67% to 12.5 billion SEK, driven by the consolidation of Renova Estates. In the midst of the increase in the completion of new buildings, construction loans have also increased, and the period ended at 1.9 billion SEK. During the period, we have also continued to invest in real estate and real estate loans, which for the period decreased by 35% to 0.9 billion SEK. We have also, during the period, issued our first obligation of a total of 500 million SEK, as well as established a green framework for financing, where we will work successively in the future to restore green financing in time for new loans and the transfer of loans and loans. The debt rate and the loan rate have been stable during the period and rose to 59, respectively 61%. Equivalent funds, including unused consumer limits, rose during the period to roughly 400 million, of which roughly half is controlled by K-states. Own capital rose to SEK 7.8 billion, of which SEK 5.2 billion fell to the shareholder of the real estate company, and the solidity for the period ended at 29% compared to 30% for the year's income. Substance value, adjusted for the Benova deal, rose to SEK 6.1 billion, or SEK 24.67 per share, which is a decrease of 2% since the change of year. In summary, a decline for the period that is characterized by weak operational development within the enterprise and negative value development as a result of completed business, but where the administrative business is developed in a stable and positive way despite a relatively challenging supply market. However, we see many positive indicators in terms of improved order conditions and several upcoming construction starts within the enterprise area, not least in the business that Jacob mentioned earlier in this presentation. Further, we experience an improved rate of return and lower interest rates in the business area and administration. And make sure that we are now done with several important transactions and collaborations that will strengthen the financial position and liquidity of the company in the future. And we believe that the end of 2025, but especially 2026, will mean a marked positive turn in the development of the results. And with those words, I leave it to Jakob.

Stort tack för det Martin. Vi är tacksamma för att ni aktieägare har stått med oss under året som har varit händelserikt och där har vi arbetat hårt med att anpassa både balansräkning och förutsättningarna för att 2026 återigen kunna starta fler projekt, skapa bättre lönsamhet och generera aktieägarvärlden. Vid eventuella frågor så är ni varmt välkomna att mejla dem på ir.k-fastigheter.se Eventuella frågor inklusive svar kommer vi publicera på hemsidan så att de är tillgängliga för alla. Stort tack för er tid och att ni har tagit er tiden att lyssna på oss.