NPRO: 4Q and full year 2023 - Acquistion of the Telegrafen property and very strong underlying operations

01 Feb 2024 19:36 CET

·
Revenues for the fourth quarter were MNOK 292, increasing from MNOK 268 in the
same quarter last year.

·
Operating profit before value adjustments and JVs was MNOK 232 for the fourth
quarter

·
This is up 17% compared with same quarter last year, and an approvement of 9%
for the whole year

·
Profit before income tax and value adjustments was MNOK 51 for the fourth
quarter, corresponding to NOK 0.08 per share for the quarter.

·
Negative fair-value adjustments for the properties of NOK 895 million (-3.6 %)
and negative changes for the derivatives of NOK 86 million.

·
The net loss was NOK 815 million for the fourth quarter which corresponds to an
earnings per share (EPS) of NOK -1.27.

·
The net amount of rent for all new, renegotiated and terminated rental contracts
amounted to NOK 10 million.

·
EPRA NRV (Long-term net reinstatement value) is NOK 20 per share.

Bent Oustad, CEO, says about the quarter:

" The acquisition of the 25 000 sqm Telegrafen property in central Oslo was
completed in the fourth quarter, and is in line with Norwegian Property's
ambition for growth. The property is newly renovated and the offices are fully
let. It is BREEAM in use certified as Excellent. The acquisition was financed
with a new NOK 1 000 million green bond and new equity from our owners.

It is particularly satisfying to see that the operation of our company is going
well. The operating result before value changes and JVs shows a very good
improvement of 9% compared to the whole of 2022 and a full 17% improvement
compared to the fourth quarter of last year. Strong cost control and a strong
rental market with high activity and positive net rental for the whole of 2023
give us strong figures and good but humble faith in the future.

Since the peak, the cap rate has been adjusted up by a full 1.5% points, which
has had an isolated negative effect on property values by 34%. Good operations
and the strong rental market have had the opposite effect, and the net write
-down of our property portfolio has been 16% in the same period.

We finalized and signed new loan agreements with our relationship banks to
refinance all 2024 bond maturities. We are optimistic for more opportunities
ahead."

For further information, please contact:

Bent Oustad, CEO, mob: +47 4801 6082, e-mail: bo@npro.no
Haavard Rønning, CFO, mob. +47 400 200 19, e-mail: hr@npro.no

Norwegian Property is a focused and fully integrated office property company
with properties located mainly in the Oslo area in Norway. The portfolio is
characterized by central location and attractive premises with high quality
tenants. The group's properties consist largely of office premises, associated
warehousing and car parking, as well as retail and catering space. The company
has identified four value drivers for long-term value creation; Marketing &
letting, Property management, Property development and Transactions & finance.
www.npro.no

More information:
Access the news on Oslo Bors NewsWeb site

609717_2023_12_31_NPRO_Interim_report.pdf
609717_2023_12_31_NPRO_4Q_2023_Presentation.pdf