Slide 1: Quarter Presentation Q4 2024
Quarter Presentation Q4 2024 28. February 2025
Slide 2: Agenda
Agenda 1 Highlights and key figures 2 Introduction 3 Real estate segment review 4 Industry segment review 5 Financials 6 Summary and outlook BORGESTAD ASA
Slide 3: Highlights and key figures
Highlights and key figures Highlights Key figures 2024 was a transformational year for Borgestad, marked by continued 1 positive operational development across the two business segments. Borgestad Group reports a full year 2024 profit before tax of MNOK 82.3, 2 up from MNOK -37.3 in 2023. Höganäs Bo
Slide 4: Agenda
Agenda 1 Highlights and key figures 2 Introduction 3 Real estate segment review 4 Industry segment review 5 Financials 6 Summary and outlook BORGESTAD ASA
Slide 5: Borgestad ASA is an industrial investment company focused on real estate and refractory
INTRODUCTION | STRATEGY AND APPROACH Borgestad ASA is an industrial investment company focused on real estate and refractory, aiming to expand into niche segments in the future Strategy Key tools • Operate as a publicly listed investment company, currently focused on real estate and the refractory i
Slide 6: Our portfolio includes the shopping center Agora Bytom and the refractory company Höganäs Borgestad
INTRODUCTION | INVESTMENT PORTFOLIO Our portfolio includes the shopping center Agora Bytom and the refractory company Höganäs Borgestad, both dominant in their respective markets Real Estate Refractory Agora Bytom shopping center in Poland is Höganäs Borgestad is a manufacturer and the largest inves
Slide 7: Agenda
Agenda 1 Highlights and key figures 2 Introduction 3 Real estate segment review 4 Industry segment review 5 Financials 6 Summary and outlook BORGESTAD ASA
Slide 8: Agora Bytom delivers increased revenue and EBITDA
REAL ESTATE | HIGHLIGHTS FROM AGORA BYTOM Agora Bytom delivers increased revenue and EBITDA Latest trends and developments Revenue development Growth NOKm • Agora Bytom maintains a strong local market position with a consistently high occupancy rate. 11% 14% 4% 22% 9% 69,1 76,6 • Margin improvements
Slide 9: Continued improvement in retail sales and basket, and the Polish economy shows a positive trend
REAL ESTATE | RETAIL SAILS AND FOOTFALL AT AGORA BYTOM Continued improvement in retail sales and basket, and the Polish economy shows a positive trend Retail sales (Agora Bytom's tenants' turnover 2021-2024) Comments PLN • Tenant turnover increased by 3.9% in Q4’24 25 000 000 compared to Q4’23. 20 0
Slide 10: Agora Bytom has a diverse tenant base and a healthy weighted average unexpired lease term
REAL ESTATE | TENANT BASE AT AGORA BYTOM Agora Bytom has a diverse tenant base and a healthy weighted average unexpired lease term, ensuring low contract duration risk Highly diversified tenant base Comments Highly diversified tenant base Lettable area per tenant Lettable area per tenant 100% Other
Slide 11: Agenda
Agenda 1 Highlights and key figures 2 Introduction 3 Real estate segment review 4 Industry segment review 5 Financials 6 Summary and outlook BORGESTAD ASA
Slide 12: Höganäs Borgestad continues its positive development with record-high revenue and EBIT
REFRACTORY | HIGHLIGHTS FROM HÖGANÄS BORGESTAD Höganäs Borgestad continues its positive development with record- high revenue and EBIT, and a healthy order backlog Latest trends and developments Revenue development Growth NOKm1 • EBIT margin increased from 3.1%¹ in 2% 23% 1,4% 6,2% 6,6% FY2023 to 7.
Slide 13: The Nordic refractory market is highly seasonal, but recent initiatives have boosted low-season revenues
REFRACTORY | SEASONALITY OF THE NORDIC REFRACTORY MARKET The Nordic refractory market is highly seasonal, but recent initiatives have boosted Höganäs Borgestad’s low-season revenues and profits Historical quarterly average revenue share (2021-2024) Comments Revenue share (% of annual rev.) • The Nor
Slide 14: Höganäs Borgestad continues its positive momentum with a solid Q4
REFRACTORY | REVENUE AND PROFITABILITY DEVELOPMENT OF HÖGANÄS BORGESTAD Höganäs Borgestad continues its positive momentum with a solid Q4, emphasizing efficiency, utilization and profitability LTM turnover and EBIT development Comments Revenue (SEKm) EBIT (SEKm) • Höganäs Borgestad continues its pos
Slide 15: The previously announced sale-leaseback with Bjuv municipality is pending a court decision
REFRACTORY | UPDATE ON SALE -LEASEBACK IN BJUV The previously announced sale-leaseback with Bjuv municipality is pending a court decision, expected soon Backdrop • In Q4 2023, Höganäs Borgestad agreed to sell two properties housing the Group’s refractory production to Bjuv municipality, with an opti
Slide 16: Agenda
Agenda 1 Highlights and key figures 2 Introduction 3 Real estate segment review 4 Industry segment review 5 Financials 6 Summary and outlook BORGESTAD ASA
Slide 17: Strong financial performance in 2024 was driven by revenue growth and operational improvements
FINANCIALS | PROFIT AND LOSS Strong financial performance in 2024 was driven by revenue growth and operational improvements in both business areas Comments • Revenue increased by 7.1% in Q4’24 and by 2.5% for the full year 2024. • A gain of MNOK 5.5 was recognized in Q4’24 following the completion o
Slide 18: Financial position remained stable, supported by increased property value and reduced net debt
FINANCIALS | BALANCE Financial position remained stable, supported by increased property value, lower working capital, and reduced net debt Comments • The booked value of investment property increased due to a weaker NOK against the Euro. • Working capital decreased to MNOK 197.0 from MNOK 239.3 as
Slide 19: Solid cash flow in 2024 strengthened liquidity, supporting the proposed ordinary dividend
FINANCIALS | CASH FLOW AND LIQUIDITY Solid cash flow in 2024 strengthened liquidity, supporting the proposed ordinary dividend and reflecting the operational stability Comments • Net cash flow for 2024 was positive at MNOK 67.8, an improvement from MNOK 61.6¹ in the same period last year. • Cash flo
Slide 20: Agenda
Agenda 1 Highlights and key figures 2 Introduction 3 Real estate segment review 4 Industry segment review 5 Financials 6 Summary and outlook BORGESTAD ASA
Slide 21: Summary
Summary Strengthened operations • Borgestad ASA recorded a profit before tax of MNOK 9.8 in Q4 2024 and MNOK 82.3 for FY2024 • Höganäs Borgestad Group continued its positive momentum, achieving a record-high EBIT margin of 7.5 % and a solid order backlog for 2025. • Agora Bytom reported an EBITDA of
Slide 22: Outlook and priorities
Outlook and priorities Höganäs Borgestad remains focused on operational improvements, with expectations of further profitability, capital efficiency, and cash flow gains in 2025 Revenue and EBITDA for Agora Bytom are expected to increase slightly in the years ahead, with the impact of cost-cutting m
Slide 23: Alternative Performance Measures Disclaimer
APPENDIX | ALTERNATIVE PERFORMANCE MEASURES AND DISCLAIMER 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 Ma
Slide 24: BORGESTAD ASA
BORGESTAD ASA