Slide 1: Fourth Quarter 2023 Presentation
Fourth Quarter 2023 Presentation 16. February 2024
Slide 2: Agenda
Agenda Highlights and key figures In brief Segment review Financials Summary and outlook 02 BORGESTAD ASA
Slide 3: Highlights and key figures
Highlights and key figures Highlights Rolling quarterly revenue and EBITDA development for the Cashflow from operations improved by MNOK 210 in 2023, from negative Group 1 MNOK 52 in 2022 to positive MNOK 158 in 2023. Significant improved 2 capital efficiency in Höganäs Borgestad during 2023, NWC1 r
Slide 4: Borgestad is an investment company focused on real estate and refractory
Borgestad is an investment company focused on real estate and refractory Real Estate Refractory Agora Bytom shopping center in Poland is the Höganäs Borgestad is a manufacturer largest investment of the Group, accounting and supplier of refractory quality for over half of the balance sheet products,
Slide 5: Borgestad to be an industrial investment company with significant operational improvement potential
Borgestad to be an industrial investment company with significant operational improvement potential Strategy Key tools • Borgestad ASA stands as a powerhouse of The right team investment, where Real Estate and Refractory constitute the two most significant areas of operation • Continually improve op
Slide 6: Segment property/ Agora Bytom
Segment property/ Agora Bytom 06 BORGESTAD ASA
Slide 7: Continued increase of activity in Agora Bytom and new long-term financing secured
REAL ESTATE: AGORA BYTON Continued increase of activity in Agora Bytom and new long-term financing secured Latest trends and developments Revenue development Growth NOKm1 • 2023 has been a year for further stabilization -7% 11% 14% 19% 22% after Covid, with focus on prolongations and secure future r
Slide 8: Continued improvement in retail sales and footfall and the Polish economy has a positive trend
REAL ESTATE: AGORA BYTON Continued improvement in retail sales and footfall and the Polish economy has a positive trend Retail sales (turnover 2021-2023) Comments PLN • Turnover among the tenants increased with 25 000 000 3.7% in 2023 compared to 2022. 20 000 000 15 000 000 • With 4.9 million visito
Slide 9: Diversified tenant base
REAL ESTATE: AGORA BYTON Diversified tenant base Highly diversified tenant base Comments Highly diversified tenant base Lettable area per tenant Lettable area per tenant 100% Retail Other WAULT by area: 3.49 years 59% 6,8% 3,4% Office & warehouse 2% 2% 3% 3% 8,6% 4% 4% Fashion 5% 4% 37,8% WAULT by i
Slide 10: Höganäs Borgestad
Höganäs Borgestad 10 BORGESTAD ASA
Slide 11: Continued growth in revenues and EBITDA
REFRACTORY: HÖGANÄS BORGESTAD Continued growth in revenues and EBITDA Latest trends and developments Revenue development Growth NOKm1 • In Q4 2023, the refractory segment had a 6% 2% 23% -3% 6% turnover of MNOK 211.3. • Normal order backlog both within installation 1072,2 855,3 870,8 business and se
Slide 12: Höganas Borgestad's position in the Nordics – significant market share
REFRACTORY: HÖGANÄS BORGESTAD Höganas Borgestad’s position in the Nordics – significant market share – underpreforming on profitability, but trend is good: Höganäs Borgestad EBIT Position in the Nordics Historical performance below Nordic peers margin trend is good:1 Revenue (SEKm) Market share % Re
Slide 13: Turnover
REFRACTORY: HÖGANÄS BORGESTAD Development turnover and EBITDA last three years, excluding positive Arbitration effect on EBITDA in 2023, show a positive trend Rolling 12-month turnover and EBITDA NOKm 1 200 50 Turnover 12 mth EBITDA 12 mth 45 Focus forward: 1 000 40 • Focus on increasing profitabili
Slide 14: Borgestad – Group P&L, balance sheet and cash flow
Borgestad – Group P&L, balance sheet and cash flow 14 BORGESTAD ASA
Slide 15: Income statement
FINANCIALS Income statement NOK 1,000 01.10- 31.12.2023 01.10- 31.12.2022 YTD 2023 YTD 2022 Revenue 229 246 211 808 1 141 366 931 726 COGS -105 079 - 83 954 -587 570 -260 555 Personnel -88 772 -66 583 -347 108 -292 525 Other OPEX -26 727 -51 125 -90 132 -326 352 EBITDA 8 668 10 146 116 556 52 293 De
Slide 16: Balance sheet
FINANCIALS Balance sheet NOK 1,000 31.12.2023 31.12.2022 NOK 1,000 31.12.2023 31.12.2022 Equity 784 521 507 873 Intangible assets 118 607 121 689 Provisions / reserve for liabilities 6 369 5 987 Buildings, fixtures, machinery and vehicles 88 850 87 382 Secured debt 335 742 480 258 Investment propert
Slide 17: Cash flow statement
FINANCIALS Cash flow statement NOK 1,000 01.01-31.12.2023 01.01-31.12.2022 Cash flow from operating activities before balance changes1 94 992 -13 963 +/- Balance changes 63 662 -36 624 Cash flow from operating activities 158 654 -50 588 Payments to other investments -15 616 -19 133 Inflows from othe
Slide 18: Summary
Summary Strong operations in Q4 2023 • The group's revenue increased by 8.5 percent in the fourth quarter of 2023 compared to the same period in 2022. • EBITDA ended at MNOK 8.7. Strengthened balance and liquidity situation New equity, after transaction costs, of MNOK 296.7. Gross interest-bearing d
Slide 19: Outlook and priorities
Outlook and priorities Operational improvements are key focus and Borgestad expects gradual further improvement of profitability capital efficiency and cash flow within its refractory business Borgestad estimates revenue and EBITDA going forward for Agora Bytom will be relatively stable Review and i
Slide 20: Alternative performance measures
Appendix Alternative performance measures In order to enhance investors' understanding of the Group's performance the Company presents in this Presentation certain alternative performance measures ("APMs") as defined by the European Securities and Markets Authority its Guidelines on Alternative Perf
Slide 21: Gunnar Knudsensveg 144 3712 Skien Norway
Gunnar Knudsensveg 144 +47 35 54 24 00 3712 Skien post@borgestad.no Norway borgestad.no BORGESTAD ASA