Hagar Hf. · OMXICE:HAGA
Hagar Hf — Q2 2025/26 Earnings Presentation
34 slides from Hagar Hf's earnings presentation, Oct 17, 2025
Slide 1: Investor Presentation Q2 2025/26
Investor Presentation Q2 2025/26 Strong performance and a new retail center in the Faroe Islands Finnur Oddsson, CEO Guðrún Eva Gunnarsdóttir, CFO 17 October, 2025
Slide 2: Overview
Overview Operational Overview Business Updates Financial Statements Status and Outlook 2
Slide 3: Quarter at a Glance: Key Figures
Quarter at a Glance: Key Figures Q2 2025/26 (changes from Q2 2024/25*) 51.8 b.ISK 5.5 b.ISK 2.6b.ISK sales EBITDA profit 11.2% 36.6% 48.3% 24.8% 15.0% 36.3% gross margin OPEX ratio equity ratio 3.0 pp 1.5 pp 1.4 pp * P/F SMS became part of Hagar Group in Q4 2024/25 and therefore the impact is not re
Slide 4: External factors: Inflation and USD decline – oil prices decrease but volatile
External factors: Inflation and USD decline – oil prices decrease but volatile Consumer price index, YoY change, % 12.5 Inflation declined in 10.0 the period and ended 7.9 8.0 7.7 7.5 6.7 6.6 6.8 6.0 6.2 5.8 6.3 6.0 at 3.8% - inflation is 5.4 5.1 4.8 4.8 4.6 5.0 4.2 3.8 4.2 3.8 4.2 4.0 3.8 4.1 low
Slide 5: Operations: Key takeaways from the quarter
Operations: Key takeaways from the quarter Operations during Q2 went well and were above expectations - management’s EBITDA guidance for the financial year has been raised by ISK 1 billion and is now ISK 17.0 - 17.5 billion All main business units are performing well - Q2 shows improved results
Slide 6: Operating segment #1: Increased activity and solid performance
Operating segment #1: Increased activity and solid performance Stores & Warehouses (Iceland) – Income Statement Q2 2025/26 (m.ISK) Q2 '25/26 Q2 '24/25 Δ %Δ Revenue 34.436 32.257 2.179 +6,8% Revenue from “Stores & Warehouses (Iceland)” was ISK 34.4 billion, up 7% year-over- Expenses -31.311 -29.283
Slide 7: Bónus: Customer visits increase by over 6%
Bónus: Customer visits increase by over 6% Q2 revenue amounted to just under ISK 25.3 billion, an increase of nearly 8% YoY - operations performed well and profitability was broadly in line with the prior year Sales volumes continued to increase, and the number of customers grew by over 6% year-
Slide 8: Hagkaup: Innovation supports strong operations
Hagkaup: Innovation supports strong operations Q2 revenue amounted to just under ISK 6 billion, increasing by over 4% year-over-year - profitability also strengthened in percentage terms The summer started slowly, but visits and units sold increased in July and August A record number of custom
Slide 9: Operating segment #2: Strong quarter – new services & revenue streams
Operating segment #2: Strong quarter – new services & revenue streams Olís - Income Statement Q2 2025/26 (m.ISK) Revenue in Q2 amounted to just over ISK 14 billion, a Q2 '25/26 Q2 '24/25 Δ %Δ decline of 4.5% - global market prices are lower than last Revenue 14.087 14.756 -669 -4,5% year, as well
Slide 10: Operating segment #3: Strong performance and new store openings
Operating segment #3: Strong performance and new store openings Stores & Warehouses (Faroe Islands) - Income Statement Q2 2025/26 (m.ISK) Revenue in Q2 amounted to just over ISK 4 billion - Q2 '25/26 Q2 '24/25 Δ %Δ EBITDA totaled ISK 593 million, or 14.7% of sales, Revenue 4.037 0 4.037 - and prof
Slide 11: Overview
Overview Operational Overview Business Updates Financial Statements Status and Outlook 11
Slide 12: General Overview: Selected operational highlights
General Overview: Selected operational highlights “Barnabox / Barnabónus” Store Renovation Over 3,500 families have Renovation work has progressed received the “Barnabox”, with well in recent periods, with many more to be delivered soon Bónus and Hagkaup stores now The initiative will be repea
Slide 13: General Overview: Selected operational highlights
General Overview: Selected operational highlights „Refurinn“ at Hagkaup Expansion at Olís Continuous product development Olís has expanded its operations at Hagkaup in recent years - with two new ÓB stations and “Refurinn” is the latest addition two Glans car wash facilities Customers buy an i
Slide 14: General Overview: Selected operational highlights
General Overview: Selected operational highlights “Sjálfbærnivísir PwC” Loyalty Program in Faroe Hagar ranks among the leaders Bónus in the Faroe Islands in the “PwC Sustainability Index” recently launched a customer for transparency and emission loyalty program reduction The reception has bee
Slide 15: Digital Transformation: IT infrastructure has strengthened significantly
Digital Transformation: IT infrastructure has strengthened significantly Focus in recent years has been on strengthening Hagar’s infrastructure to support its digital transformation and enhance internal operations and enable new customer-facing products and services The digital journey has progr
Slide 16: Loyalty Program: Hagar will introduce a loyalty program for customers
Loyalty Program: Hagar will introduce a loyalty program for customers Hagar has placed strong emphasis on business development in recent periods to enhance services and create new revenue streams - digital initiatives play a major role in this effort, opening up a wide range of opportunities New
Slide 17: Loyalty Program: Customers will experience enhanced service
Loyalty Program: Customers will experience enhanced service The loyalty program will allow customers to enjoy a level of service comparable to what is common in neighboring countries and in the markets that Hagar benchmarks itself against The program is simple and efficient to use and will offer
Slide 18: Loyalty Program: The system will be a platform for continued growth
Loyalty Program: The system will be a platform for continued growth The loyalty program marks a major step forward for Hagar and its customers - creates new opportunities to better understand and serve customers, especially through: - Gain a detailed overview of the company’s customer base, both a
Slide 19: Overview
Overview Operational Overview Business Updates Financial Statements Status and Outlook 19
Slide 20: Operations in Q2 were strong and exceeded management’s budget
Operations in Q2 were strong and exceeded management’s budget Income Statement Q2 2025/26 (m.ISK) Q2 '25/26 Q2 '24/25 Δ %Δ Sales in Q2 amounted to 51.8 b.ISK, Sales 51.817 46.579 5.238 +11,2% increasing by 11.2% YoY - an increase of 3.0% excl. SMS Gross profit 12.874 10.174 2.700 +26,5% Gross pr
Slide 21: A strong first half of the year with increased profit
A strong first half of the year with increased profit Income Statement 6M 2025/26 (m.ISK) 6M '25/26 6M '24/25 Δ %Δ Sales for 6M amounted to 99.9 b.ISK, an Sales 99.932 90.646 9.286 +10,2% increase of 10.2% YoY - 2.0% growth excl. SMS Gross profit 24.493 19.711 4.782 +24,3% Sales growth for store
Slide 22: Profitability ratios improve and gross margin strengthens
Profitability ratios improve and gross margin strengthens Key operational metrics (6M 2021/22 – 6M 2025/26) Strong YoY sales growth, driven by Sales (m.ISK) Gross margin (%) the impact of SMS and solid growth in Sales and 99,9 24,5 81,6 86,8 90,6 21,3 19,5 20,7 21,7 Icelandic stores and warehouses
Slide 23: Cash from operating activity amounted to 9.2 b.ISK at the end of Q2
Cash from operating activity amounted to 9.2 b.ISK at the end of Q2 Cash Flow Statement 6M 2025/26 (m.ISK) 6M 2025/26 6M 2024/25 Change Cash from operating activity Profit for the period 3.721 2.573 1.148 amounted to 9.2 b.ISK at the end of August, an increase of 3.6 b.ISK from Adjustments 5.868 4
Slide 24: Strong financial position at the end of August
Strong financial position at the end of August Balance Sheet 31 August 2025 (m.ISK) Non-current assets amounted 81.2 31.08. 28.02. 31.08. 28.02. 2025 2025 %Δ 2025 2025 %Δ b.ISK, decreasing by 722 m.ISK during the period Property, plant and equipment 36.367 35.632 +2% Borrowings 17.146 17.137 +0%
Slide 25: Return on equity increases significantly during the period
Return on equity increases significantly during the period Key financial metrics (6M 2021/22 – 6M 2025/26) Return on equity (%) Equity ratio (%) Return on equity was 28.9% over the Share- 28,9 40,7 past 12 months, showing a significant holders 38,2 36,3 34,9 36,3 increase compared to the same peri
Slide 26: Overview
Overview Operational Overview Business Updates Financial Statements Status and Outlook 26
Slide 27: Share price and largest shareholders
Share price and largest shareholders Price Share price 31.08.2025: 104,0 ISK / share 120 100 80 60 40 1.7.2020 1.1.2021 1.7.2021 1.1.2022 1.7.2022 1.1.2023 1.7.2023 1.1.2024 1.7.2024 1.1.2025 1.7.2025 Date Largest shareholders, shares held at 31.08.2025 1. Gildi - lífeyrissjóður 16,9% 6. Birta lífey
Slide 28: Earnings per share continue to strengthen
Earnings per share continue to strengthen Accumulated basic earnings per share for the past 12 months (ISK per share) Earnings per share (EPS) continue to increase, amounting to ISK 6.58 for the 227% (273%**) 47% (67%**) past 12 months, or ISK 7.49 per 7,49 share when including one-off 6,75 0,91*
Slide 29: Status and outlook
Status and outlook External challenges, but operations are going well and outlook for H2 is good - Continued uncertainty in the global business environment with increased geopolitical tension and tariffs - geopolitical conflicts create uncertainty about development of oil prices - Economic develop
Slide 30: Questions?
Questions? 30
Slide 31: Companies within the Hagar Group in Iceland
Companies within the Hagar Group in Iceland ASSOCIATES WITHIN THE GROUP Bónus is a chain of discount Hagkaup is a leading Olís specialises in the sale and Eldum rétt offers it’s customers stores that, from its founding, department store which service of fuel and other oil meal kits – available throu
Slide 32: Companies within the Hagar Group in Faroe Islands
Companies within the Hagar Group in Faroe Islands Bónus is a nationwide chain of Miklagarður is a hypermarket Mylnan is a combination of a SMS operates four restaurants affordable grocery stores in the offering a wide range of convenience store and a in the main shopping mall, i.e. Faroe Islands, kn
Slide 33: Disclaimer
Disclaimer On behalf of Hagar, attention is drawn to the fact that the statements and information in this presentation are based on, as appropriate, the plans and estimates of the company's directors, but not on facts that may be verified at the time of publication or by any discussion by the compan
Slide 34: Slide 34