Nivika Fastigheter AB (publ)

Hello and welcome to the second quarter report of the year 2025. With us to present are the CEO Sverke Källgård and CFO Daniel Karlsson. After the presentation there will be a question time. If you have any questions, you can write them in the question form to the right. With that said, you have the word Sverke.

Thank you for that and welcome to the presentation where we can summarize the first half of the year. As I said, my name is Sverke Källgård and I have been CEO for a year. For the first time today we have Daniel Karlsson with us. First a few slides about the company. We have some new acquaintances with us at the presentation. We are a business with small land roots that have aimed to develop high-end commercial properties and housing and create sustainable growth. We have an business idea that we should be local, we should be close to our tenants and our properties. We know that we are at our best when we have a concentrated management. We have a business and an office in four main markets. Jönköping, Värnamo, Växjö and Västkusten. Västkusten is our office in Varber. We have a diversified housing portfolio today. It has a housing value of 12.6 billion. Each of 64% is made up of commercial properties and 36% of housing. The commercial properties are mainly industrial, office and social properties. We have 220 properties, a rate of expansion of 96% and a maximum of 667,000 square meters of expansion area. Looking at New Vika today, we have set and executed a very clear growth strategy. We grow with primarily high-end commercial properties. We focus on, as you can see on the maps below, on something I call the West Swedish Triangle. It is made up of the roads E4, Riksväg 40 and E6. This is an extremely strong industrial region. It includes the Gnosjö region, as well as Ulriza, Hanbo and Rås. And the west coast with its industries. There are a huge number of companies that are very profitable and successful in the region. But this triangle is also important because the companies, our guest houses, are beginning to prioritize communication even more. Especially if you are able to deliver sustainable transports in the future, but also effective production and access to labor and competence. The sustainable transports are possible if you are following the big roads by building a charging network for long-term users. So it is very important and in good condition for our properties. We have a growing property portfolio and stable finances and good profitability. The 12.6 billion in property value is borrowed to a low of 49% today and is made up of 220 properties. Which means that it is a very diversified portfolio if it does not consist of a single property. We also have a growth in long-term substance value and a positive impact on our own capital. As I said, we are in a growth phase. We have a contract value per 30 June at 804 million SEK. We have a surplus of 72% in the half-year. And as you can see, we also have a very positive net tax. The first half-year we have a net tax of 24 million SEK. And the only biggest tax is a new contract that we signed during the spring. To Rosti AB, which is a north star company, where we will implement a new production property, an industrial property in Gislaved. And that building will be completed in the third quarter of 2026. We will now go into sustainability. It has been in focus since NIVICA was started in the year 2000. This is the property in Småländska and what is good for the guest of residence, the property and NIVICA, we have worked with since the start. Sun cells are always excellent when you have industrial properties, because when the sun shines on the day, the production goes full down in the factory. And it will be direct electricity bills in the industry, which means that we do not need expensive and expensive battery solutions. Looking at the stock market today, we are top ten among all Sweden's noted property companies, with a significant number of solar energy. If you put it in relation to how large our portfolio is, we are in the top ten. We have had focus on energy efficiency and it is seen that, if you look at the picture to the right, with the energy classes, that 50% of our property value has energy class A, B or C. This means that NIVICA has no sustainability debt built into the portfolio. As you can see also up to the right, .5% of our property has energy class G and F, and that is something that we have a plan for every property, how we will get them up to D or E. Looking at our housing stock, it is very modern and half of our almost 3000 apartments are built and developed by NIVICA. We have an ongoing process for the development of our goal according to Science Based Target. During the quarter we have held a very fun and nice prize, Symbiosis 2025, which is a recognition for companies that combine sustainable growth with environmental and social responsibility. Then, to leave the rest to you Daniel, you can go through both the quarter and the half of the year.

Thank you, we start with a summary of the second quarter 2025. The revenues rose to 193 million, an increase of 8% compared to the corresponding period 2024. We also delivered a drive network of 143 million, which corresponds to a surplus of 74% for the quarter and an increase in the drive network of 14% compared to Q2 2024. The management result in turn landed at 65 million, corresponding to an increase of 3% compared to the previous management result for the same period 2024. Compared to the corrected quarter of 2024, it was an increase of 16% and with the corrected comparison quarter, it was aimed at a periodization error in the finance network between the first and second quarter 2024, which in short means that the management result for the second quarter 2024 should have been about 7 million lower than now and thus the management result for the first quarter 2024 should have been 7 million higher than previously corrected. However, this has nothing to do with the management result for 2025 and refers to a release report for further details. The economic output level is still good, the increase to 96% for the whole portfolio and 95% for the commercial parts and 97% for the housing. Vacation in the housing sector has decreased by 1% since the previous quarter, driven by the removal of finished buildings that entered the administration during the first quarter of the year. The net removal for the quarter rose to 17 million. The quarter's largest individual removal is the one that Sverke mentioned earlier, Rosti, and there is a new building that is expected to be completed by Q3 of 2024, but it can be noted that it has also been excluded when the net removal is weakly positive. The average rate for the loan portfolio has continued to decline by .1% to .2% We have a ongoing stock purchase program, ranging from a maximum of 100 million which runs until 31 March 2026. During the recently completed quarter, we have bought back about 6 million shares and the total owned company about 1 million shares per 36th. If we then look at our target sales to the right on the picture, we can see that the value of the property portfolio has increased to 12.6 billion on the way to the target of 15 billion by the end of 2028. 64% is made up of commercial properties. We have a net loan rate of 49% and the rental technical rate is new at the target level of 2.0 We have a growth in management results per share of 11%. If we then look a little and summarize the first half of the year, the total revenues were 382 million, an increase of 11% compared to the corresponding period of 2024. The growth in revenues is the same as when we made a purchase during the last half of the year, 2024 and the first half of the year, 2025. The net profit rose to 271 million, which corresponds to a surplus rate of 71%, which can be compared to the surplus rate for the corresponding period of 2024, which has risen to 68%. The growth of the drive network corresponds to an increase of 16%. Here we clearly see the effects of the acquisition of high-cost properties with a higher surplus rate, which we have carried out in combination with the continuous work of the business on the cost side. Our financial net in the first half of the year rose to 127 million and was driven by a higher financial debt through average rent, which was previously mentioned, .2% and a rental technical rate was calculated for the following 12 months by 2.0 times. The management result for the first half of the year landed at 117 million, which corresponds to an increase of 15% compared to the first half of the year, 2024. The result is positively affected by the changes in the value of properties with 42 million, respectively negatively by the changes in the value of the rent derivative of 53 million kronor. The value changes in properties are mainly driven by improved drive networks and the value changes in the rent derivative are driven by improved market expectations. However, it is important to note that none of these posts are cash flow-affected. The result of the period was 87 million kronor, which corresponds to 0.9 kronor per share. However, it should be noted that when we compare the result per share with the outcome for 2024, which was 1.23 kronor, the calculation for 2024 will be against a lower average number of shares due to the new emission in the fall of 2023. In short, the property portfolio, including the project, the value of the property portfolio increases by 12.6 billion, approximately 95% of it, or 11.9 billion, is due to cash flow generating management properties. The remaining is ongoing construction and unoccupied market, including construction rights. The growth during the quarter is primarily driven by the acquisition, where we have added two properties with a value of about 230 million. They are both within the Lättindustri and add about 16 million in the value of the property and 20,000 square meters in the area. During the quarter, we have also completed three projects, which together add about 8 million in the annual value of the property. We have five ongoing projects, two larger buildings in Gislaved with construction in the fall of 2023, three smaller projects with construction in the last six months of the year. Finally, in short, the financing, the interest rates increase to about 6.4 billion and is about 90% of the insurance bank loan, the remaining part of the net and loan rate is 49%. The share of green financing increases to about 30%, where the rest is green bank loans and the remaining part is green obligations. We have interest savings in the form of primarily interest rates, but also a smaller share of traditional fixed interest loans. The share of the interest-safety loan is 60% with an average interest-saving of 2.7 years. The capital-saving is 3.0 years. The interest duration as well as the capital-saving has increased compared to the output of Q2 2024. We have a new financing that is about 540 million kronor and is in the form of credit, construction credit and reviving credit facilities. We had similar funds that amounted to 166 million kronor. If we look at our own capital, we have a capital of about 5.6 billion, which corresponds to a solidity of 44%. If we look at the long-term value of the substance, we have a gross amount of 6.4 billion, which corresponds to 67.2 kronor per share.

Thank you, Daniel. Let's summarize what we have for the outlook after the end of the quarter. We still have very good activity in our revenue activity, as you can see with our positive revenue. We still see very good opportunities to acquire properties at attractive waste levels. We have also prepared and reported acquisition after the end of the quarter. We bought a property portfolio in the storage and lighting industry on the west coast, where we plan to enter the beginning of the fourth quarter of the year. We have also entered an industrial property through a sale and leaseback business in Ljungby. At the same time, these businesses are estimated to add about 18 million kronor in annual rent value. We have also drawn an 11-year green triple net agreement with IT consulting company Netmine, which is the new building of their new facility for them on Breda Sten in Värnamo. The annual rent value is about 3.4 million kronor. We have sold and acquired construction rights for the construction of the construction site in Jönköping, to a agreement on a property value exceeding our book value. We have an ongoing process of minimizing the target according to ScienceBased Target, which is expected to be completed during the third quarter. That was our presentation, so now we are happy to answer questions.

Thank you for that presentation. Then we jump over to the Q&A. The first question here is how does the pipeline of potential acquisition objects look like, and how is the competition with these from other acquisition properties?

Good question. We have a very strong pipeline. Since we are so local, we have offices in these four places, which I described earlier in the presentation. We are local in society and involved in society both with sponsoring, but also in networking on market days or business days in the municipalities where we work, we are naturally taken by these types of properties. I also have the privilege of keeping Niklas, the founder of the company, in the company, and he works with the purchase and sales of properties. We have a very good relationship with him, which means that we get a lot of proposals from him. I would say that over -95% of all the business we do is off-market, which means that the competition is not at all big on those types of properties and the business we have done. I would say that the autumn looks very bright when it comes to continued growth.

Thank you for that answer. Next question then. How sustainable is growth in management results, since much of the growth is driven by acquisition and is there any risk with future growth that it will require continued aggressive acquisition?

As Daniel described, and this is something I am incredibly happy and satisfied with since this year that I have worked on, we have set a new strategy where we switch over and where growth occurs through the purchase of high-cost properties. We have done this for one year now and it is really visible in the numbers. All our key numbers are on the way to the right direction. We have a surplus degree that I am incredibly proud of when you consider that we have a relatively large number of properties in the portfolio. So this is sustainable growth. Since many companies are selling leaseback where they write very long rents, and many of the deals are also in triple net, so it is absolutely sustainable growth.

Thank you for that answer. Next question then. How does the company see future capital needs? Are further emissions planned or can the acquisition continue to be financed through internal cash flows?

We have an operational cash flow that is positive. Now a lot of it is used for value-making, maybe local adaptation or construction when the tenants want to grow. Unfortunately, that is not enough. I have grown by about a billion since I started and unfortunately we do not have a cash flow that can handle that growth. New emissions are not an alternative because we are dealing with a discount on the value of the substance. However, we have used the cash flow to increase the amount of money that is used for the development of the property. This is something we will evaluate in the fall if it is time to increase this type of funding.

Thank you. A question here. Given the transaction outlook during the fall and your payment that is a bit below the target, how do you think about increasing the payment rate?

We have a space of up to 55%. Then we have learned that we should not be too tight on our ceiling. Somewhere between 50 and 55% we feel very comfortable with it. The probability that we will increase in payment rate next year is relatively large.

Thank you. A last question here. The management result per share is in focus according to you. How should investors interpret this in relation to the falling profit per share and the carried out new emissions? How does the company plan to ensure value-making per share in

the future? The new emissions that were made had nothing to do with the falling profitability. It was a way to solve the obligation failure that existed when the interest rates dramatically decreased in 2022-2023. It had nothing to do with the profitability. The company had always had a high level of revenue and a healthy business in the background. It was a way to develop and also to drive projects in the high-cost properties, which means that we should remain at a high level of revenue but also a high level of revenue, which will fall to the management result per share and hopefully also show in the profit.

Thank you so much. Then we must thank you so much for the presentation and then we wish all viewers a nice summer.

Thank you and we will be back again in the fall.