Prisma Properties AB (publ)

Thank you and welcome everyone to today's presentation of our Q4, where Martin and I will provide an overview of our financial performance and key developments this quarter. Looking at the full year 24, Prisma have geared up for 25. One of the key highlights that we would like to start with is our successful refinancing of our loan with Swedbank and Norea, which we communicated this morning. This involves approximately 70% of our loan portfolio. This is fantastic news for Prisma and later in this presentation, Martin will go through the terms and explain how this will impact the company's earnings. In Q4, we continue to see strong rental income growth with an 18% increase year over year. Our rental income reached 102 million SEK, up from 87 million. This growth was driven by acquisitions, completed projects and CPI adjusted leases. Adjusted profit from property management amounted to 47 million SEK compared to 36 million last year, an increase of 31%. Currently, we have 130 properties with a total valuation of 7.3 billion SEK. We've added six properties this quarter. This includes City Grossinghör, a retail park in Gamelstaden in Gothenburg and a property in Mora, where we plan to develop 5,400 square meters of grocery and discount retail. In total, we have completed acquisitions of 525 million this quarter. Going forward, we aim to do more acquisitions while continuing focus on our project pipeline. Furthermore, we have signed several long lease agreements, strengthening our position in both Sweden and Denmark. This resulted in a net letting of 15 million SEK for the quarter, helping us to maintain a 99% occupancy rates. We are also pleased to sustain a high vault of 8.7 years, despite recent acquisitions that have impacted this metric on the downside. Next slide. There have been some changes among our top 10 tenants. We continue to grow with Ville, which is now our second largest tenant. And with Axfood's acquisition of City Gross, Axfood now represents 14% of our total rental income. With all acquisitions made June Q4, the share of rental income from grocery tenants has increased to 23%. And long term, we see that we're heading towards 30 to 40%. Our acquisitions in Q4 and the coming quarters will affect our vault. But our organization is working hard with renegotiating contracts set to expire in the coming years to be able to defend our high vault.

Looking on the property portfolio, we have increased the letting area from last quarter to this quarter by 11%. On the back of, of course, the acquisitions in Hör and Gothenburg, the valuations are up slightly from Q3, where we got 662 average exit yield and now 658. So a slight positive in the P&L there. And also we have talked about the acquisitions and it's been an active quarter with out of the 852 acquisitions you see there in the waterfall, 525 are actually from Q4. So a very active quarter.

When it comes to our ongoing projects, we currently have five with an expected average yield cost of 7.9. The first one, Hör, that in the Östhammar, it's an ongoing construction of a dollar store where we signed a loan lease agreement 15 years. Estimated completion is in Q4 this year. Then we have a project in Vändersborg where we have Koststa, there we have assigned a 10 year lease with estimated completion in Q4. Both our projects in Ljusdal and Eksjö are ongoing and both of them will be finalized now in March. And our project in Denmark in Stövring where we signed a loan lease agreement with Hårdarn Nyborg, that is an estimated completion in Q2. If we look at the construction starts the coming quarters, we continue to ramp up and plan to start as many projects as soon as possible. Some projects are planned to start earlier than expected and some have moved forward one quarter. This quarter we have added three new projects on the list that we plan to start later this year. This concerns Vilis in Lycksele where we signed a loan lease agreement that will start in Q1 this year. We have also signed a 20 year lease with McDonalds in Eksjö, that project will start in Q2. And then we have a fast food project in Värnamo that will start in Q3. One project have been taken away from this list, it's T-Stad in Denmark, which we plan not to go forward with.