Wihlborgs Fastigheter AB (publ)

So welcome to the presentation of Vidbois 9 month 24. Our tenants continue to need development and as long as we continue to develop at least at the same pace, we will continue to be relevant. A really good volume of the rental business also in Q3 and Q4 has already started in a good way. But nothing is done by itself and now it's important for several businesses to be persistent. Every day has new challenges and new opportunities. I love the Japanese expression kaizen, and of course, I love billboards. Let's go to our report and a summary of Q3. A new record in rental income for one quarter, 1 billion 43 million. Net letting positive and record gross letting for third quarter. The demand for good quality in good location continues. Higher financing costs, but ECR 2.5 times and average interest rate declining quarter on quarter. And we continue with our investments for future growth. The results for nine months, 24 rental income increased by 7% to 3 billion, 150 million and operating surplus also increased by 7% to 2 billion, 244 million. Income from property management amounted to 1,329,000,000 and the result for the period amounts to 846,000,000 corresponding to 2.75 krona per share and EFRA NRV has increased by 5% to 90.47 krona per share adjusted for paid dividend. A comparison of the rental income first nine months, 23 and first nine months, 24. Indexation plus 137 million. Termination fees from the Danish portfolio, 31 million. Acquisition plus 9 million. Property tax has increased in Denmark and that gives extra income of 10 million. Currency effect minus five. Supplementary billing and income from canteens decreased by 12 million. And completed projects, new leases and renegotiations plus 33 million. We have signed new leases for the last quarter of 96 million, which is a record high level for a third quarter, normally with a bit lower activity due to the summer holiday. In total, 367 million in the period and actually 530 million for the last 12 months. The positive net letting for the quarter is 28 million and 78 million for the period. Pretty high activity. continues in all four cities and I'm very grateful to the whole organization that we work hard, are close to our customers and sometimes find what I would call brilliant solution. Arm in Lund is one of my absolute favorites from Q3 and Q4 have started really good with the Tule agreement in the Dokkan area. Moving around tenants is a special kind of game. For Dockporten 1 with Thule, I really appreciate that we could find a solution for the current tenant, Mercedes, so that they accepted to leave Dockporten earlier than the plan was. And by that, we can start the refurbishment for Thule right away. That means that Mercedes will move twice in a year, a bit of a challenging exercise. We're very grateful for their flexibility and we thank them. them by a rent-free period during 25 until they enter our project vista and the new permanent address i think the pretty high activity continues and i'm positive also ahead we have a lot of interesting discussion ongoing and here are some of the tenants that we have signed during q3 Some of them are new and other have new leases. And as always, a widespread of many tenants in many sectors and they contribute to a growing market. We have lawyers, consultants, public prosecutors and tech companies represented, for example. Here we have a net letting in a historical perspective, letting in light green termination in light blue and dark blue stacks are the net letting. Now 38 positive quarters in a row and definitely a record on volume for new leases the last 12 months, as I mentioned, 513 million. And I keep repeating myself on this slide, no promises ahead, but we do everything we can every single day to continue. We love our core operation, and this is the heart of the core. And the list of our 10 largest tenants in alphabetic order, strong customers, and they contribute with 90% of rental income. 7 out of 10 are governmental tenants. The rental income from public tenants is in total 23%. and they contribute to long-term stability in cash flow. The rental value as of 1st of October is 4 billion 562 million per year and rental income 4 billion 186 million plus 6.8%. A good part is of course indexation and let's remember that indexation in Denmark and Sweden have been quite different during 2023. Approximately 1% in Denmark and 6.5% in Sweden. In Sweden, the indexation is made once a year with October CPI as the base. But in Denmark, the indexation is made all year round, depending on when the lease was signed. So low inflation in Denmark affects these figures. Looking at like for like figures, comparing all the properties we owned a year ago with updated figures, we can see that the rental value is up 6.1% and rental income is up 5.7%. If you just look at offices in Sweden, the rental value is up 6.9% and rental income is up 6.8% in the like for like portfolio. And changes in market value of our properties.

We started the year with 55 billion.

872 million in accordance with our external 100% valuation. Acquisition adds on 201 million. Investments, 1,250,000. one billion five hundred thirty eight million divestment minus five changes in valuation plus seventy one million and together with currency transactions of two hundred twenty one million. That's summarized to a value of fifty seven billion eight hundred ninety eight million Swedish krona. The value of the portfolio has developed, as you can see on this slide, since 2005, without raising any new equity. With investments, new leases and a few transactions, we have also, during the last year, been able to increase the value somewhat. Valuation is interesting, but most of all, it's interesting to measure how will we actually perform in relation to these values. And these figures, the running yield, show how we actually perform. So this is not the valuation yield. For the whole portfolio, the occupancy rate is 93% excluding project and land and with an operating surplus of 3,173,000,000 that gives a running yield of 5.8%. Fully let, the portfolio would give a running yield of 6.4%. Good earnings capacity in relation to the value of the portfolio. In the office portfolio, the market value is now 46.9 billion and overall the occupancy rate is 93%, 96% in Malmö, 90% in Helsingborg, 91% in Lund and 94% in Copenhagen. When we add new projects to the market or we buy vacancy, that can affect the figures downwards a bit, but we have kept the numbers at good levels despite that. In the best day, we can approve a bit, except in Malmö maybe, but we see positive changes over time, not least in Lund, where the improvement has been ongoing for some years, and I'm sure that will continue. The operating surplus from offices summarized to 2 billion 648 million Swedish krona and a running yield of 5.7%, 6.2% fully let, brings stability, of course, and resilience. The demand for logistic and production continues to be good. Occupancy 94% in Malmö, 87% in Helsingborg, improved somewhat, but still a bit lower than we want it to be, mainly due to changes between tenants. 99% in Lund and 98% in Copenhagen. 90% occupancy rate as a whole, with a running yield of 6.6%, 7.5% for Ollet, and a total value of 7,991,000,000. My take on this segment is the same as before. The logistics sector asks for high flexibility and changes at a faster pace, while production seems to be a bit more persistent and focused on high quality. Our total portfolio running yield 5.8% brings stability, not least since the portfolio overall has a high quality.

and good location.

As noticed before, a quick increase of the running yield since 21. ESG performance on this slide. We continue with our certification program. 85% of the Swedish office portfolio is approved and additional 8% is ongoing.

I'm convinced that we will reach our goal for 2025 and we will continue with certification. programs for the rest of the properties at same time. Energy savings.

also of high importance but always a bit tricky to measure in exact terms in a shorter time perspective but improving and that's good the carbon dioxide figures are at low levels for scope one and two but we are dependent on our energy suppliers especially in denmark to reach our targets we continue to work on this together with them other sustainability highlights in q3 A high score in GRESP with improved numbers, five stars and now number one in listed diversified properties, office industrial globally. We have a new sustainability linked loan together with Handelsbanken where our total emissions in scope one, two and three are measured and taken in as a factor. And we have also been targeted as one of Skåne's best workplaces

all industries, all sizes. An important factor also for being relevant to our tenants.

correlation between having a good workplace with satisfied employees and our customers satisfaction we have very high scores on both and keep working to improve this never end and let's remember that really good results doesn't mean that everybody's happy every single day but the correlation is interesting a catalog of our value and properties in

In all four cities, 40% of the value is in Malmo. In Copenhagen.

I have already repeatedly talked about the massive ongoing infrastructure investment in Denmark and the construction of the Fremont Belt Tunnel. So this time I would like to mention the strategically important increase in the number of direct flights to and from Copenhagen Airport. All of this doesn't automatically contribute to lower carbon emission, but it will definitely contribute to the attractiveness of our region. There are flights to 184 cities in the world and 52 countries. I also would like to comment the growth in workplaces where the development seems to look a bit different in different regions. Part of this could of course be timing, but this shows an interest

in growth in the southern parts of Sweden.

I'm convinced that the demand for the best workplaces continues and that the trend we see today when companies ask for higher presence at office, we will see increased needs for areas rather than the opposite.

There must be room for focused work at workplaces Anything else is a failure by the employer. And time for financials. Over to you, Arvid. Thank you very much, Ulrika. And good morning, everyone.

Looking at the income statement for the third quarter isolated, you could see that rental income amounted to $1.43 billion, up 7%, versus the same quarter previous year. The operating surplus was $762 million, also up 7%. Income from property management amounted to $445 million, up 3% despite the financial net being 35 million higher than Q3 2023. We had positive value changes in properties of 102 million in the quarter and negative value changes in our derivatives portfolio, minus 335 million. All in all, a profit for the period of 148 million. Looking at the balance sheet on the next slide, investment properties now have a value of 57 billion 898 million. That is up approximately 1.9 billion in a 12-month period. Equity stands at 22.3 billion Swedish kronor, a touchdown versus 12 months previously. We have, of course, during the year paid almost a billion in dividends to our shareholders. Borrowings amounts to 29. billion, 641 million as of the end of September. Using those metrics to look at key figures, the equity assets ratio now stands at 37.6%, slightly down versus 12 months, but the same number as in Q2. The leverage or the LTV at 51.2% is slightly weaker than 12 months ago, slightly stronger than three months ago. And the interest cover ratio at 2.5 times. NRV, as Ulrike mentioned, in a 12-month period increased by 5%, adjusted for paid dividend to 90.47 kroner.