Arendals Fossekompani

Interim / Quarterly Report • Aug 23, 2024

GENERATIONS FOR

GENERATIONS 2024 Q2

2024 GENERATIONS FOR

Q2 and Half-year Interim Report 2024

GENERATIONS

GENERATIONS

FOR GENERATIONS

For generations, Arendals Fossekompani has provided people and communities with clean energy and inspiration. Established in 1896 to harness the energy from an everlasting resource, water – we have utilized the benefits of this resource to build and develop high-tech companies. What started as a local producer of hydropower, has transformed into a global industrial investor.

While running water continues to power our business, we search for, invest in, and support companies that have the potential to make a difference. To enable the transition to a more sustainable future, we offer human and financial resources to renew and advance industries. Our competence is particularly strong in areas such as energy transition, electrification, materials, digitalisation, and big data analytics.

We are a proud builder and supporter of technology that impacts the world. This is our legacy, our history, our future. It is what we have done, and what we will continue to do.

For generations.

Highlights Q2 2024 and Subsequent Events

Lower electricity prices

Electricity prices were substantially lower in the second quarter, compared to the same quarter in 2023. As a result, AFK Vannkraft revenue was down 45% in the second quarter.

De-risking, optimizing and focusing the portfolio

AFK Group revenue growth of 20%

Total revenue increased by 20% compared to the same quarter the previous year, while the underlying profitablitiy in the portfolio was weakened in the quarter.

NOK 1.00 Dividend to be paid in September

Arendals Fossekompani will pay a quarterly dividend for the second quarter of NOK 1.00 per share.

10 June

Arendals Fossekompani exits Commeo investment

Arendals Fossekompani has ceased its investment in Commeo due to prolonged sales delays and a challenging market, resulting in an impairment of shareholding and shareholder loans. 12 July

Vergia sold to Swiss Life Asset Managers

Arendals Fossekompani sold its portfolio company Vergia to Swiss Life Asset Managers, which included shareholdings in Seagust, North Ammonia, and HydePoint.

8 July

Arendals Fossekompani, Advent and Generation offer to buy all shares in Volue

The proposed acquisition will see Volue transitioning from a public to a private entity under the new consortium. The partnership aims to enhance Volue's growth trajectory and support its ambitious goals.

AFK Property to build new facility for Kitron at Longum Næringspark

A new 7,500-square-meter production facility for Kitron will be developed by AFK Property and is set for completion in 2026.

Tekna ships first nano material order for MLCC trials

A first revenue-generating order for nano material was shipped to a customer for factory trials.

Financial Highlights Q2 2024

-807 36 23 31 ^{71 8 41}

OPERATING PROFIT (MNOK)

2022 2023 2024

PROFIT (-LOSS) FOR THE PERIOD (MNOK)

2022 2023 2024

FINANCIAL KPIs (MNOK)		Q2 2024	Q1 2024	Q2 2023
Arendals Fossekompani consolidated	Revenue and other income	1,682	1,435	1,404
	Operating profit	-660	111	148
	Margin	-	8%	11%
Operating profit	Volue	35	29	48
by company	NSSLGlobal	74	57	63
	Alytic	-7	-26	-19
	Tekna	-23	-24	-14
	ENRX	2	46	11
	AFK Parent (Vannkraft & Management)	26	74	95
	Ampwell	-781	-39	-30
	Vergia	-1	-2	-2
	AFK Property	15	-4	-4
	Operating profit	-660	111	148
	Profit before income tax	-751	110	148
	Profit (-loss) for the period	-807	8	41

Arendals Fossekompani Parent Company

(AFK Group Management and AFK Vannkraft), AFK Property Head office Arendal, Norway

Employees 43 Countries Norway

Volue

Head office Oslo, Norway

Employees 825 Countries Norway, Germany, Poland, Denmark,

Sweden, Switzerland, Finland, Japan, Spain

NSSLGlobal

Employees 249

Head office London, UK

Countries

United Kingdom, Germany, Norway, Denmark, Singapore, Netherlands, Poland, USA, Sweden

Alytic

Employees 123

Head office Arendal, Norway

Countries Norway, Germany, Netherlands

Tekna

Head office Sherbrooke, Canada

Employees 222 Countries Canada, France, China, South Korea

ENRX

Employees 1,103

Head office Skien, Norway

Countries

India, China, Norway, Germany, USA, Romania, France, United Kingdom, Poland, Brazil, Thailand, Malaysia, Italy, Japan, Sweden, Spain

Ampwell

Impaired as of 10 June Head office Arendal, Norway Employees 102 Countries Norway, Germany, Spain

Vergia

Divested as of 12 July Head office Arendal, Norway Employees 3 Countries Norway

NUMBER OF EMPLOYEES BY COUNTRY

Norway	790	USA	94	Brazil	12
Germany	339	France	76	Malaysia	8
India	251	Denmark	60	Japan	8
China	196	Finland	65	Italy	6
Canada	192	Sweden	52	Netherlands	7
United Kingdom	186	Spain	28	Singapore	6
Poland	156	Switzerland	22	South Korea	1
Romania	103	Thailand	13
Total					2,671

Dots on map reflect approximate locations.

Arendals Fossekompani Around the World

Arendals Fossekompani Group

Arendals Fossekompani has proud traditions in power production and owns and operates two hydropower plants. In addition, Arendals Fossekompani operates globally in many technology industries including 3D printing, algo trading, satellite services, software, digitalisation, battery and induction.

Head office Arendal, Norway

Chair Trond Westlie

Chief Executive Officer Benjamin Golding

Employees 2,671

Countries 24

Arendals Fossekompani is an industrial investment company holding nine core investments and a portfolio of financial investments. These operations employ approximately 2,700 people in 24 countries.

HIGHLIGHTS OF Q2 2024

(Figures in parentheses refer to the same period the previous year)

Total revenue for the Group amounted to NOK 1,682 million (1,404 million) in the second quarter. Consolidated earnings before tax came in at NOK -751 million (148 million). Ordinary profit after tax, but before non-controlling interests, totaled NOK -807 million (41 million).

Total revenue increased by 20% compared to the same quarter the previous year. The increase was largely driven by growth in portfolio companies Volue, NSSLGlobal and AFK Property, largely offset by lower electricity prices impacting revenue generation in AFK Vannkraft.

On 10 June, it was announced that Arendals Fossekompani decided to cease its investment in Commeo, resulting in an impairment of the entire book value of the shareholding and shareholder debt in Commeo and Ampwell, totalling EUR 83.6 million (NOK 961 million) in the quarter (reference Note 5 for details).

The reduced operating profit for AFK Group compared to the second quarter last year was mainly driven by the above-mentioned depreciation of assets, as well as lower electricity prices leading to lower profits from hydropower production.

Operating in international markets, AFK Group is naturally exposed to currency fluctuations. Revenue growth in NSSLGlobal was positively fueled by a stronger GBP compared to the second quarter of 2023, whereas the EUR and CAD remained at approximately the same levels.

VOLUE

Total operating revenues in Q2 were NOK 409 million (375 million), up 9% compared to Q2 2023. SaaS revenues reached NOK 135 million in the quarter, an increase of 38% compared to Q2 2023, representing 33% of total revenues. Annual recurring revenues (ARR) constituted 71% of total revenues, reaching NOK 291 million in the quarter. Consequently, ARR grew at a rate of 23% compared to Q2 2023. Adjusted EBITDA in the quarter totaled NOK 88 million (63 million), corresponding to an adjusted EBITDA margin of 22% (17%). Large ongoing changes in the energy markets drive growth and further business opportunities for Volue.

NSSLGLOBAL Revenues for the second quarter were GBP 29.3 million (22.9 million), GBP 5.6 million higher than Q2 last year, largely due to the catch-up and completion of several large government projects in the period. NSSLGlobal won new business estimated to GBP 6.1 million (GBP 16.3 million) during the quarter, of which 67% was government orders.

FINANCIAL FIGURES (MNOK)		Q2 2024	Q2 2023	YTD 2024	YTD 2023
	Revenue and other income	1,682	1,404	3,117	2,810
	Operating profit	-660	148	-549	350
	Operating margin	-39%	11%	-18%	12%
	Earnings before tax (EBT)	-751	148	-641	386
	Earnings after tax (EAT)	-807	41	-799	112
	Operating cash flow	-90	-277	205	-178
	NIBD	1,309	251	1,309	251
	Equity	2,796	3,898	2,796	3,898
	Equity ratio	34%	45%	34%	45%

Currency rates (NOK/CAD)

Average Q2 2024: 7.74. Average Q2 2023: 7.77. End Q2 2024: 7.77 End Q2 2023: 8.23.

Currency rates (NOK/GBP)

Average Q2 2024: 13.49. Average Q2 2023: 12.92. End Q2 2024: 13.46. End Q2 2023: 13.64. Currency rates (NOK/EUR)

Average Q2 2024: 11.42. Average Q2 2023: 11.32. End Q2 2024: 11.39. End Q2 2023: 11.70.

DEVELOPMENT LAST 5 QUARTERS

Revenue (MNOK) and operating margin

ENRX

Total operating revenues in Q2 amounted to EUR 36.9 million, in line with the same quarter in 2023. Sligthly reduced activity within the Heat division was offset by a pos itive contribution from the Charge division. The company experienced solid growth in North America and Europe compared to Q2 2023, while sliding deliveries held back performance in Asia. EBIT for the quarter ended at EUR 0,2 million, down from EUR 0,9 million in Q2 2023, corresponding to a margin of 0,5% versus 2,4% in Q2 2023. The decline in EBIT reflects lower revenues and increased operational costs, due to higher inflation and non-recurring costs related to internal projects. Total order intake for the quarter reached EUR 40.3 million compared to EUR 37.8 million in the same quarter last year. The heating products market remains strong, though ENRX anticipates continued uncertainty due to extended customer decision processes and deferred orders.

TEKNA

In Q2 2024, Tekna generated CAD 11.2 million in revenue, a 2% increase year-overyear. The revenue for the first half of 2024 decreased by 3% compared to the same period in 2023, falling short of company expectations. However, there was a 30% increase in revenue from Q1 to Q2. Adjusted EBITDA for Q2 2024 was CAD -1.5 million, down from CAD -0.6 million in Q2 2023. At the end of the second quarter, Tekna's order backlog was CAD 18.2 million, down from CAD 22.0 million in Q2 2023, largely due to lower order intake in Systems. The pipeline remains strong for the rest of the year. In the quarter, work to qualify Tekna's nano material for next-generation multilayer ceramic capacitators (MLCC) continues with the first revenue-generating order shipped to a customer for factory trials.

AMPWELL

Arendals Fossekompani has decided to cease investment in Commeo due to lack of cost competetiveness, prolonged sales delays, and a challenging market resulting in an impairment of shareholding and shareholder loans. Commeo, filed for insolvency in July, leading Arendals Fossekompani to depreciate EUR 83.6 million in Commeo and Ampwell. Arendals Fossekompani will now focus solely on the remaining invest ment, Cellect Energy.

AFK VANNKRAFT

Electricity prices in the quarter were significantly down from the same period last year, with the NO2 price area averaging EUR 44.8/MWh (EUR 82.4 MWh) in the quar ter. Power generation was comparable to the same period last year at 135.2 GWh (133.7 GWh). Lower prices reduced quarterly revenues and operating profit to NOK 70 million (NOK 127 million) and NOK 44 million (NOK 107 million), respectively.

Arendals Fossekompani's financial position remains solid. The company's avail able cash on 30 June amounted to NOK 837 million. In addition, the company has undrawn credit facilities of NOK 1123 million, securing available liquidity of NOK 1960 million as per end of the quarter

EVENTS AFTER THE CLOSE OF THE QUARTER

On July 8, Edison Bidco AS, a newly formed entity controlled by Arendals Fossekompani, Advent International L.P. and Generation Investment Management LLP, announced a voluntary cash offer to acquire all outstanding shares of Volue. The acquisition will privatize Volue and is anticipated to support its next phase of growth under the new consortium. In the contemplated transaction, Arendals Fossekompani intends to reduce its shareholding in Volue from 60% to 40%.

On 12 July, it was announced that Arendals Fossekompani sold portfolio company Vergia to Swiss Life Asset Managers. At the time of divestment, the Vergia port folio comprised three ownership positions: 48.1% ownership of the offshore wind energy developer, Seagust. 47.9% ownership of the green ammonia company, North Ammonia, and 30.4 % ownership of Power-to-X company, HydePoint.

The discontinuation of Commeo and the divestment of Vergia are measures Arendals Fossekompani have made to focus, de-risk and optimize the portfolio, while reducing exposure to capital intensive businesses in line with strategy.

OUTLOOK

There is ongoing uncertainty associated with geopolitical turmoil, supply chain constraints, inflation, interest rates, as well as the development of energy prices. In this unpredictable environment, Arendals Fossekompani's solid financial position enables continued support of the portfolio companies, both in handling short-term challenges but also with continued investments to strengthen their long-term com petitiveness. In light of the market's estimated power price trend for 2024, revenues and operating profit for AFK Vannkraft are expected to be lower in 2024 compared to 2023. Following high activity levels in all portfolio companies, AFK Group revenues are expected to be higher in 2024 than in 2023. Operating profit is expected to be lower than in 2023, largely driven by the impairment of assets in Ampwell and lower expected electricity prices in AFK Vannkraft.

SHARE PRICE

There was a total of 54,857,339 outstanding shares in the company at the end of the quarter. The share price on 28 June, 2024 was NOK 153.0 (NOK 182.0), correspond ing to a decrease of -16% since 30 June 2023. When including direct yield (dividend payouts) in the same period, total decrease in shareholder value was -14%. Arendals Fossekompani'ss total market capitalization was NOK 8.4 billion at the end of June 2024. For the 10-year period from March 2014 to March 2024, compounded annual return to Arendals Fossekompani's shareholders was 13% (23% including dividends).

SHARE PRICE LAST 10 YEARS (NOK)

6.30.14 6.30.15 6.30.16 6.30.17 6.30.18 6.30.19 6.30.20 6.30.21 6.30.22 6.30.23 6.30.24

Group Management

Arendals Fossekompani Group Management employs 18 people at the head office in Arendal. The team focuses on identification and development of new sustainable business opportunities, active ownership of portfolio companies and management of financial investments.

Head office Arendal, Norway

Chair Trond Westlie

Chief Executive Officer Benjamin Golding

Employees 21

Countries 1

Combining industrial, technological and capital markets expertise, Arendals Fossekompani's Group Management identifies and develops opportunities for value creation. As an active owner of our portfolio companies, we drive strategy developments, financing, restructuring and transactions to ensure long-term sustainable value creation.

Arendals Fossekompani has an attractive portfolio positioned in verticals driven by global megatrends such as the Energy transition, Digitalisation & Big Data Analytics, and Electrification & Materials. Our companies are both listed and privately owned, and Arendals Fossekompani is – as part of our strategy – the majority owner.

On 10 June, it was announced that Arendals Fossekompani decided to cease its investment in Commeo, resulting in an impairment of the entire book value of the shareholding and shareholder debt in Commeo and Ampwell, totalling EUR 83.6 million (NOK 961 million) in the quarter (reference Note 5 for details).

On 12 July, it was announced that Arendals Fossekompani sold portfolio company Vergia to Swiss Life Asset Managers. At the time of divestment, the Vergia portfolio comprised three ownership positions: 48.1% ownership of offshore wind energy developer Seagust, 47.9% ownership of green ammonia company North Ammonia, and 30.4 % ownership of Power-to-X company HydePoint.

The discontinuation of Commeo and the divestment of Vergia are measures Arendals Fossekompani have made to focus, de-risk and optimize the portfolio, while reducing exposure to capital intensive businesses in line with strategy.

Arendals Fossekompani Group Management continues to focus on developing the portfolio of companies through active ownership.

FINANCIAL POSITION

Arendals Fossekompani's financial position remains solid. The company's available cash on 30 June amounted to NOK 837 million. In addition, the company has undrawn credit facilities of NOK 1123 million, securing available liquidity of NOK 1960 million as per end of the quarter.

FINANCIAL FIGURES (MNOK)		Q2 2024	Q2 2023	YTD 2024	YTD 2023
	Revenue and other income	5	4	10	7
	Operating profit (EBIT)	-18	-12	-40	-30
	Operating margin	-	-	-	-
	Earnings before tax (EBT)	-991	27	-867	170
	Earnings after tax (EAT)	-986	29	-868	162

Electrification & Materials

Anything that can be electric, will be electric. As a result, demand for electricity and storage will grow, as will demand for new materials and additive manufacturing. We invest in companies that install intellegence into an electric future and who enable more efficient manufacturing of better products.

Head office Sherbrooke, Canada

AFK ownership 70% Market cap (30.06) NOK 765 million

Listed on Oslo Børs

AFK ownership 95%

Head office Skien, Norway

Energy Transition

We have produced hydropower for generations. As the world is shifting away from fossil fuels, we are looking to capitalize on our competence and history to contribute to more sustainable energy systems.

AFK ownership 100%

Head office Froland, Norway

Impaired as of 10 June

AFK ownership 100%

Head office Arendal, Norway

Divested as of 12 July AFK ownership 100%

Head office Arendal, Norway

Property

AFK ownership 100%

Head office Arendal, Norway

Digitalisation & Big Data Analytics

Anything that can be digital, will be digital. By enabling and assisting digital transformation and providing critical insight and commmunicaton services, our portfolio of companies are frontrunners in the digital space.

AFK ownership 60% Market cap (30.06) Head office Oslo, Norway Listed on Oslo Børs

NOK 4,309 million

AFK ownership 80%

Head office London, UK

AFK ownership 95%

Head office Arendal, Norway

Investments are made based on a long-term perspective and concentrated within four areas: Digitalisation & Big Data Analytics, Electrification & Materials, Energy Transition, and Property.

Arendals Fossekompani Assets

Our portfolio of Digitalisation & Big Data Analytics Companies

Anything that can be digital, will be digital. By enabling and assisting digital transformation and providing critical insight and communication services, our portfolio of companies are frontrunners

in the digital space.

AFK ownership 60% Market cap (30.06) NOK 4,309 million

Head office Oslo, Norway Listed on Oslo Børs

AFK ownership 80%

Head office London, UK

Head office Arendal, Norway

Volue Portfolio company

Based on 50 years of experience, Volue is a market leader in technologies and services that power the green transition. Over 800 employees work with more than 2,500 customers across energy, power grid, water and infrastructure projects that ensure a sustainable, flexible and reliable future. Volue operates within three segments, Energy, Power Grid, and Infrastructure. The company is active in 40+ countries.

Head office Oslo, Norway

Chair Benjamin Golding

Chief Executive Officer Trond Straume

Ownership 60%

Employees 825

Countries 9

FINANCIAL FIGURES (MNOK)		Q2 2024	Q2 2023	YTD 2024	YTD 2023
	Revenue and other income	409	399*	809	739
	EBITDA	81	80	153	127
	Adjusted EBITDA*	88	63	171	118
	Operating profit	35	48	64	72
	Operating margin	8%	12%	8%	10%
	Earnings before tax (EBT)	26	50	50	75
	Operating cash flow	-87	-77	377	146
	NIBD	143	73	143	73
	Equity	911	878	911	878
	Equity ratio	41%	43%	41%	43%

* Adjusted EBITDA: In order to give a better representation of underlying performance, EBITDA is adjusted for non-recurring items (not part of the ordinary business), such as M&A related costs, cost related to the share based remuneration schemes and external ERP implementation costs. Note that the revenue and other income in Q2 2023 included non-recurring other income of NOK 23 million related to the sale of Fire and Chimney product line within the Infrastructure segment.

DEVELOPMENT LAST 5 QUARTERS Revenue (MNOK) and operating margin

HIGHLIGHTS OF Q2 2024

(Figures in parentheses refer to the same period the previous year)

Volue continues to drive the transformation towards recurring revenues and Software-as-a-Service (SaaS). SaaS revenues reached NOK 135 million in the quarter, an increase of 38% compared to the second quarter of 2023, representing 33% of total revenues. Significant ongoing changes in the end market are driving growth and further business opportunities for Volue. Annual recurring revenues (ARR) constituted 71% of total revenues, reaching NOK 291 million in the quarter. Consequently, ARR grew at a rate of 23% compared to Q2 2023.

Total operating revenues in Q2 were NOK 409 million (375 million), up 9% compared to Q2 2023. Excluding effects from the Enerim acquisition, operating revenue were flat. Adjusted EBITDA in the quarter totaled NOK 88 million (63 million), corresponding to an adjusted EBITDA margin of 22% (17%).

The Energy Segment generated NOK 203 million in Q2, a 9% increase compared to Q2 2023. The organic growth was -9%. This revenue development is the result of a softer market for non-recurring volatility activities and a strategic focus of shifting these revenues to an ARR model, aimed at building a more resilient revenue base and enhancing profitability over time. The energy system continues shifting towards shorter, more volatile markets, a trend that Volue is well-positioned for. In Q2, Volue reached a milestone with its new AI-based wind model. The model allows for automated retraining and expanded range of weather inputs. It provides precise modelling for both onshore and offshore wind conditions and adapts to rapid changes in the distribution of renewable energy within a country.

Operating revenues in The Power Grid Segment in Q2 were NOK 98 million, up 11% compared to Q2 2023. The segment saw strong sales and good progress on project

deliveries.

The Infrastructure segment generated operating revenues of NOK 66 million in Q2, up 7% from NOK 62 million in Q2 2023. The segment continues to transitioning to ARR and SaaS models, with improved profitability, and the company is pleased to see this positive trend continue.

On 8 July, the newly established entity, Edison Bidco AS, announced an intention to launch a voluntary cash offer for all outstanding shares in Volue. Edison Bidco AS is controlled by Arendals Fossekompani, Advent International L. P. and Generation Investment Management LLP. The offer, at NOK 42 per share, represents a premium of 51% to the last traded price and 39% and 50% to the 3-month and 6-month volume weighted average price of the date preceding the date of the announcement, respectively. The proposed acquisition will see Volue transitioning from a public to a private entity under the new consortium. The partnership is expected to significantly advance Volue's next phase of growth.

OUTLOOK

Since listing, Volue has focused on strategic investments in its SaaS platform and expanding into new markets. This approach has impacted EBITDA in the short to mid-term as the company pursues new business opportunities. Measures are in place to counter margin effects, and Volue target year-by-year improvement in profitability and cash-conversion.

Volue provides the following long-term guidance:

• Annual long-term organic growth of 15%

• Active M&A agenda with 1-2 deals per year

-

• Year-by-year increase of adjusted EBITDA margin, 12% 7% -2% 6% 8% cash conversion, share of ARR and SaaS revenues

417 400 409

334

399

Q2 23 Q3 23

Q4 23

Q1 24 Q2 24

NSSLGlobal Portfolio company

HIGHLIGHTS OF Q2 2024

Revenues for the second quarter were GBP 29.3 million (GBP 22.9 million), GBP 6.5 million higher than the same quarter last year, largely due to the catchup and completion of several large government projects in the period. Operating profit (EBIT) in the quarter was GBP 5.6 million, compared to GBP 4.6 million in Q2 last year. This is due to higher margins in Q2 2024 and slightly lower operating costs.

Operating costs for Q2 2024 were GBP 4.2 million, lower than the same period last year, largely due to increased recharges due to higher than forecasted projects (GBP 0.5 million) and higher foreign exchange costs in Q2 2023 (GBP 0.2 million).

During the quarter, NSSLGlobal won GBP 6.1 million (GBP 16.3 million) of contracts across government and maritime sectors of which 67% was new business opportunities, were government orders.

After the end of the quarter, NSSLGlobal could finally announce the award of the Maritime Multi-Media (MMM) contract with the UK Ministery of Defence (UK MOD), delivering improved welfare services across the Royal Navy Fleet. NSSLGlobal assumed responsibility for the design, support and maintenance of crew Wi-Fi, as well as the upkeep of the fleet's TV systems, encompassing TVRO antennas and Ships Recreational Equipment (SRE). The contract was awarded in September 2023, and solidifies NSSLGlobal's position as a trusted partner to the Royal Navy and reinforces its commitment to delivering exceptional end-to-end welfare solutions.

OUTLOOK

NSSLGlobal expects 2024 revenues to be higher than in 2023. Operating profit is

expected to be in line with 2023.

NSSLGlobal is an independent provider of cyber secure satellite and mobile communications and IT support that delivers high-quality voice and data services across the globe, regardless of location or terrain. NSSLGlobal's activities are divided into four main areas: Airtime, Projects, Hardware and Service. Its main customers are within the maritime segment, the military and government sector, large international corporations and the energy sector.

Head office London, UK

Chair Arild Nysæther

Chief Executive Officer Sally-Anne Ray

Ownership 80%

Employees 248

Countries 10

FINANCIAL FIGURES (MNOK)		Q2 2024	Q2 2023	YTD 2024	YTD 2023
	Revenue and other income	397	309	687	606
	Operating profit	74	63	132	116
	Operating margin	19%	20%	19%	19%
	Earnings before tax (EBT)	77	63	139	114
	Operating cash flow	-23	90	26	46
	NIBD	-245	-271	-245	-271
	Equity	598	563	598	563
	Equity ratio	56%	54%	56%	54%

Currency rates (NOK/GBP)

Average Q2 2024: 13.49. Average Q2 2023: 12.92. End Q2 2024: 13.46. End Q2 2023: 13.64.

DEVELOPMENT LAST 5 QUARTERS

Revenue (MNOK) and operating margin

Alytic Portfolio company

HIGHLIGHTS OF Q2 2024

The Alytic portfolio continues to deliver on important strategic milestones as the portfolio companies launch new products and grow revenues. In each portfolio company, the initial focus has been to establish a foundation for growth and technological development. The results are becoming visible as the portfolio continues to grow annual recurring revenues (ARR). In the second quarter, ARR grew to NOK 48 million, which represents a 45% increase compared to Q2 2023.

KONTALI

Kontali grew ARR by 26% compared to Q2 2023. The company has further enhanced its online insight platform, Kontali Edge, with improved production and export forecasts and a new pelagic data offering. With a solid reputation in the salmon sector and the scalable seafood insights portal launched last year, Kontali is well-positioned for growth. The company expects continued growth for its salmon product, alongside the newly launched shrimp and pelagic products. Strong demand for Kontali consultants is also driving revenues.

VEYT

Veyt grew ARR by 58% compared to Q2 2023. With the launch of their EU ETS (Emissions Trading System) product, Veyt is enhancing its position in the low-carbon and renewable energy markets. Their expertise in delivering detailed data and insights helps businesses make informed decisions for decarbonization. During the second quarter, Veyt continued to develop its platform, offering leading market coverage of the renewable energy industry. Notable releases included the EU ETS2 (an expansion to cover new sectors such as building emissions and road transport), China ETS forecasts, short-term Guarantee of Origin forecasts, and biomethane production cost forecasts. Sales were strong, with larger contracts and substantial upselling of new products to existing customers. The growing sales pipeline indicates a positive outlook for the rest of the year.

FACTLINES

Factlines grew ARR by 94% compared to Q2 2023. During the second quarter, Factlines further strengthened its solutions for supply chain transparency and EU Taxonomy reporting. Factlines is continuing their growth journey as the first set of customers are adopting a new EU Taxonomy product.

UTEL

Utel's deep expertise in capturing and analyzing telecommunication network data is being applied to develop a general solution for anomaly detection, with a particular focus on fraud detection. With the development of a marketable fraud management solution as a key goal, Utel made further progress in the second quarter Q2 as the solution is being tested and developed with several key customers.

OUTLOOK

All portfolio companies are on a growth trajectory as a result of previous investments in competence and technology. Alytic expects continuous product launches and upgrades throughout 2024. With a strategic focus on sales and marketing teams, Alytic anticipates robust ARR growth in the coming quarters. The company continues to work closely with all portfolio companies and is actively seeking new investment and partnership opportunities within existing sectors.

Alytic invests in companies with strong domain competence and works actively with them to develop market scalable, data-rich products based on a SaaS business model. The current Alytic portfolio of companies includes Kontali, a worldleading aquaculture data and analyses provider. Veyt, a market intelligence provider for low carbon markets. Factlines, a technology provider for ESG reporting. And Utel, a provider of services for telecom network monitoring and analysis.

Head office Arendal, Norway

Chair Lars Peder Fensli

Chief Executive Officer Espen Zachariassen

Ownership 95%

Employees 122

Countries 3

FINANCIAL FIGURES (MNOK)		Q2 2024	Q2 2023	YTD 2024	YTD 2023
	Revenue and other income	18	10	32	21
	Operating profit	-7	-19	-33	-38
	Operating margin	-	-	-	-
	Earnings before tax (EBT)	-7	-19	-34	-39
	Operating cash flow	-15	-18	-36	-31
	NIBD	22	-9	22	-9
	Equity	151	144	151	144
	Equity ratio	62%	67%	62%	67%

-195% -174% -198% -197% -37%

18

13 12 13

10

Q2 23 Q3 23

Q4 23

Q1 24 Q2 24

DEVELOPMENT LAST 5 QUARTERS Revenue (MNOK) and operating margin Our portfolio of Electrification & Materials Companies

Anything that can be electric, will be electric. As a result, demand for electricity and storage will grow, as will demand for new materials and additive manufacturing. We invest in companies that install smartness into an electric future and that enable more efficient manufacturing of better products.

Head office Sherbrooke, Canada

AFK ownership 70% Market cap (30.06) NOK 765 million

Listed on Oslo Børs

Head office Skien, Norway

Tekna Portfolio company

HIGHLIGHTS OF Q2 2024

(Figures in parentheses refer to the same period the previous year)

In Q2 2024, Tekna generated CAD 11.2 million in revenue, a 2% increase year-overyear. However, the revenue for the first half of 2024 declined by 3% compared to the same period in 2023, falling short of company expectations. This shortfall has led management to consider additional strategic adjustments to better align with annual revenue targets. Despite the challenges, a 30% increase in revenue from Q1 to Q2 suggests that full-year 2024 revenue is likely to surpass that of previous years.

Systems revenue decreased by 2% compared to Q2 2023, due to the strong performance and revenue recognition of the PlasmaSonic system last year. As systems revenue is recognized based on project completion, fluctuations are to be expected.

Advanced Materials revenue increased by 4% year-over-year in Q2, though it did not meet company expectations. The slower growth reflects a broader industry slowdown in the first half, which management expects to be temporary.

Adjusted EBITDA for Q2 2024 was CAD -1.5 million, down from CAD -0.6 million in Q2 2023. The profitability was affected by one-off costs of CAD 0.5 million in part driven by efforts to reduce working capital. In addition, indirect costs were CAD 0.6 million higher due to the absence of services historically invoiced to the joint venture, Imphytek.

As of Q2's end, Tekna's order backlog was CAD 18.2 million, down from CAD 22.0 million in Q2 2023, largely due to lower order intake in Systems. Systems had an order intake of CAD 0.5 million (-68%) and a backlog of CAD 4.2 million (-62%). The pipeline remains strong for the rest of the year, with CAD 2 million in orders already secured in Q3 2024. Conversely, Advanced Materials showed strong demand with an order intake of CAD 5.9 million (+18%) and a backlog of CAD 14.0 million (+28%).

Work to qualify Tekna's nano material for next-generation multi-layer ceramic capacitators (MLCC) continues. A first revenue-generating order of 50kg was produced and shipped to a customer in April for factory trials. Additionally, factory trials with another prospective customer have commenced. Feedback from both prospective customers is anticipated later this year.

In the second quarter, Tekna secured a major win in an intellectual property case concerning competing patent rights to produce titanium powder in Canada. The losing party has limited time to appeal the judgement. Per the Federal Court process, Tekna is working to recoup a potentially significant part of its related legal costs.

OUTLOOK

Tekna's technology and products are well-positioned in a global market characterized by geopolitical uncertainty, economic instability, and a growing emphasis on sustainable production. Additive manufacturing remains Tekna's primary business focus, with the market projected to grow by up to 30%1 annually.

Looking forward, Tekna expects Q3 2024 to be impacted by seasonally lower activity due to the summer vacation period in North America and Europe, which may impact (DT1) delivered volume, revenue, and profitability. However, the ongoing cost-saving program is projected to contribute CAD 2 million to the adjusted EBITDA over the next six months, with the full effect anticipated in Q4 2024. Tekna continues to prioritize near-term revenue opportunities in additive manufacturing and systems, while exploring high-potential avenues in microelectronics and energy storage.

Tekna is a world-leading provider of advanced materials and plasma systems to several industries. Tekna produces high-purity metal powders for applications such as 3D printing in the aerospace, medical and consumer electronics sectors, as well as optimized induction plasma systems for industrial research and production.

Head office Sherbrooke, Canada

Chair Dag Teigland

Chief Executive Officer Luc Dionne

Ownership 70%

Employees 215

Countries 5

FINANCIAL FIGURES (MNOK)		Q2 2024	Q2 2023	YTD 2024	YTD 2023
	Operating revenue	88	87	156	159
	EBITDA	-17	-5	-32	-14
	Adjusted EBITDA*	-12	-5	-32	-14
	Operating profit	-23	-14	-47	-31
	Operating margin	-	-	-	-
	Earnings before tax (EBT)	-28	-20	-55	-39
	Operating cash flow	10	-52	-33	-77
	NIBD	179	87	179	87
	Equity	234	394	234	394
	Equity ratio	42%	65%	42%	65%

* Adjusted EBITDA: In order to give a better representation of underlying performance, EBITDA is adjusted for non-recurring items.

Currency rates (NOK/CAD)

Average Q2 2024: 7.74. Average Q2 2023: 7.77. End Q2 2024: 7.77 End Q2 2023: 8.23.

DEVELOPMENT LAST 5 QUARTERS

Revenue (MNOK) and operating margin

ENRX Portfolio company

Total operating revenues in the second quarter amounted to EUR 36.9 million, in line with the same quarter in 2023. Slightly reduced activity within the Heat division was offset by a positive contribution from the Charge division. The company experienced solid growth in North America and Europe compared to Q2 2023, while sliding deliv-

HIGHLIGHTS OF Q2 2024 eries held back performance in Asia.

Operating costs increased by 4% compared to Q2 2023, driven by higher inflation and non-recurring costs related to internal projects. Rising inflation underscores the importance of stringent cost control across all regions. Operating costs as a percentage of operating revenues rose to 45% compared to 43% in the same quarter last year.

EBIT for the quarter ended at EUR 0.2 million, down from EUR 0.9 million in Q2 2023, corresponding to a margin of 0,5% versus 2,4% in Q2 2023. The decline in EBIT reflects lower revenues and increased operational costs.

Total order intake for the quarter reached EUR 40,3 million compared to EUR 37.8 million in the same quarter last year. Total order backlog at end of Q2 2024 was EUR 75.6 million, down from EUR 94.2 million in Q2 2023 and up from EUR 74.3 million in Q1 2024. The reduction reflects high deliveries in Q4 2023 and Q1 2024, coupled with reduced order intake in the same period.

OUTLOOK

The heating products market remains strong; however, ENRX expects ongoing uncertainty in the months ahead due to prolonged customer decission processes

and deferred orders.

In 2024, activities in the Charge division primarily revolve around the Dynamic Road project in Florida, along with R&D initiatives focused on public transport charging, industrial low-power charging, and industrial high-power charging.

ENRX combines global market leadership for industrial induction heating systems (Heat) with leading technology in the high-growth market for wireless induction charging solutions for mobility and industrial applications (Charge). Industries served by ENRX include automotive, renewable energy/wind energy, pipe fabrication, electronics, cable and mechanical engineering. Leveraging decades of experience, ENRX was established in 2022 and has operations in 20 countries.

Head office Skien, Norway

Chair Benjamin Golding

Chief Executive Officer Bjørn E. Petersen

Ownership 95%

Employees 1,103 Countries

20

DEVELOPMENT LAST 5 QUARTERS

Revenue (MNOK) and operating margin

FINANCIAL FIGURES (MNOK)		Q2 2024	Q2 2023	YTD 2024	YTD 2023
	Operating revenue	428	434	955	893
	Operating profit	2	11	48	48
	Operating margin	1%	3%	5%	5%
	Earnings before tax (EBT)	-14	-2	17	26
	Operating cash flow	-43	-6	-54	-57
	NIBD	944	767	944	767
	Equity	438	397	438	397
	Equity ratio	20%	20%	20%	20%

Currency rates (NOK/EUR)

Average Q2 2024: 11.42. Average Q2 2023: 11.32. End Q2 2024: 11.39. End Q2 2023: 11.70.

Our portfolio of Energy Transition Companies

We have produced hydropower for generations. As the world is shifting away from fossil fuels, we are looking to capitalize on our competence and history to contribute to a more sustainable energy system.

AFK ownership 100%

Head office Froland, Norway

Impaired as of 10 June

AFK ownership 100%

Head office Arendal, Norway

Divested as of 12 July

AFK ownership 100%

Head office Arendal, Norway

AFK Vannkraft Portfolio company

AFK Vannkraft generates power at two sites along the Arendal watercourse: the Bøylefoss and Flatenfoss hydropower plants. Together, these plants produce on average more than 500 GWh annually. AFK Vannkraft has a strategy of selling its hydropower production in the day-ahead (spot) market.

Head office Froland, Norway

Chair Trond Westlie

Operating Manager Jan Roald Evensen

Employees 17

Countries 1

HIGHLIGHTS OF Q2 2024

(Figures in parentheses refer to the same period the previous year)

Hydropower production in Q2 2024 was approximately equal to Q2 2023, however prices fell from the high levels observed in 2022 and Q1 2023. Power generation in the second quarter amounted to 135.2 GWh (133.7 GWh). Precipitation and inflow year-to-date were respectively around 136% and 145% of the norm for the watercourse, and total reservoir levels in the watercourse were higher than normal by the end of the second quarter.

The second quarter was characterized by high total reservoir levels and large variations in weather and temperature. The high reservoir levels, coupled with a decline in power prices elsewhere, contributed to lower prices in NO2. The average price in the NO2 price area during the second quarter was 44.8 EUR/ MWh (82.4 EUR/MWh).

AFK Vannkraft has a small-scale hydropower project under construction, Kilandsfoss, which will contribute to annual power production of 38 GWh. In Q2 2024, the bridge over to the new Kilandsfoss hydropower plant was completed. Kilandsfoss hydropower plant is scheduled to start electricity production in 2026. Partners in the Kilandsfoss project are the municipalities of Froland and Åmli, each with one-third

ownership.

The chart below shows the weekly power prices (NO2) and power generation in the period 01/06/2021 – 30/06/2024.

OUTLOOK

Market estimates suggest that power prices for Q3 and beyond in 2024 will likely be lower than those in 2023. However, actual energy prices will depend on various factors including hydrological conditions, oil and gas prices, weather, and temperatures. Production in Q3 is anticipated to be typical for this period. Due to the lower prices, and revenues, operating profit for Q3 is expected to be reduced.

AFK Vannkraft has started the rehabilitation of the exterior of the Bøylefoss hydropower plant building. Further investments in the upcoming years will include upgrading the dam facilities and reinvestment in the Bøylefoss power plant. AFK Vannkraft is mandated by regulations to enhance the dam facilities to align with anticipated climate changes. The reconstruction of dams will start once detailed requirements have been established with the Norwegian Water Resources and Energy Directorate (NVE).

2.5 5.0 7.5 10.0 12.5 15.0

FINANCIAL FIGURES (MNOK)		Q2 2024	Q2 2023	YTD 2024	YTD 2023
	Revenue and other income	70	127	192	317
	Operating profit	44	107	140	268
	Operating margin	63%	84%	73%	85%
	Earnings before tax (EBT)	44	107	140	268
	Earnings after tax (EAT)	12	28	45	60

POWER PRICE & POWER GENERATION

Ampwell Portfolio company

(Figures in parentheses refer to the same period the previous year)

Commeo has faced decreased investment levels from its Commercial & Industrial (C&I) target segment and has been working to improve its cost position and promote its premium battery module solutions to customers needing more than standard storage solutions. Due to the challenging economic conditions in Germany, customer prospects are taking longer to make purchasing decisions and are also postponing

already signed project deliveries.

Due to the challenging market situation and the delayed sales, Commeos May forecast indicated a need for additional financial support beyond potential bank financing. In light of this, and a history of missed sales targets, Arendals Fossekompani's Board of Directors decided to cease its investment in Commeo. Shortly thereafter, Commeo was forced to file for insolvency in early July. An insolvency administrator has since been appointed. Commeos operations are currently continuing at a reduced level.

On 10 June, it was announced that Arendals Fossekompani anticipated a significant impairment of its interests in Commeo, impairing up to the entire book value of Arendals Fossekompani's shareholding, as well as its shareholder debt to Commeo. As a result, Arendals Fossekompani decided to impair the entire book value of shareholding and shareholder debt of EUR 81.3 million, in addition to shareholder debt of EUR 2.3 million in Ampwell. Total impairments are therefore EUR 83.6 million (equivalent to NOK 961 million). See Note 5 for detailed information.

The impairment is reflected in the financial statements for Q2 2024.

Given these developments and the current market situation, Arendals Fossekompani will focus solely on its remaining investment, Cellect Energy. Cellect Energy is a pre-revenue software company with a light-capital model, developing software solutions for the energy storage segment. The company is unaffected by the afore-

mentioned issues.

Neither Ampwell nor Cellect Energy will be separately reported in Arendals Fossekompani's quarterly reports moving forward.

Ampwell was established by Arendals Fossekompani in 2022 to build an eco-system for battery technology and a Battery-as-a-Service business model. Efficient energy storage solutions are needed to reduce energy costs and enable the green transition. With Ampwell, it is possible to fully utilize non-flexible power production, like wind and solar, to secure a functional and stable energy grid. Ampwell consists of the German energy storage provider Commeo and the Spanish software company Cellect Energy.

Impaired as of 10 June

Head office Arendal, Norway

Chair Torkil Mogstad

Chief Executive Officer Torkil Mogstad

Ownership 100%

Employees 102

Countries 3

FINANCIAL FIGURES (MNOK)		Q2 2024	Q2 2023	YTD 2024	YTD 2023
	Revenue and other income	20	37	29	72
	Operating profit	-781	-30	-820	-46
	Operating margin	-	-	-	-
	Earnings before tax (EBT)	-829	-37	-882	-60
	Operating cash flow	-34	-2	-93	-17
	NIBD	1,014	611	1,014	611
	Equity	-938	-51	-938	-51
	Equity ratio	-5,711%	-79%	-5,711%	-79%

Currency rates (NOK/EUR)

Average Q2 2024: 11.42. Average Q2 2023: 11.32. End Q2 2024: 11.39. End Q2 2023: 11.70. * Operating revenue in Q4 2023 was negative due to reclassifications between operating revenue and operating cost, with accumulated effect for the entire year 2023, but without any effect on operating profit.This impacts comparability between quarters.

DEVELOPMENT LAST 5 QUARTERS

Revenue (MNOK) and operating margin

Vergia Portfolio company

On 12 July it was announced that Arendals Fossekompani sold portfolio company Vergia to Swiss Life Asset Managers. At the time of divestment, the Vergia portfolio comprised three ownership positions: 48.1% ownership of offshore wind energy developer Seagust, 47.9% ownership of green ammonia company North Ammonia, and 30.4% ownership of Power-to-X company HydePoint.

Kilandsfoss Hydropower Plant (under construction), Glomsdam Hydropower Plant (project) and Bøylestad Energy Park (project) are now managed and reported under AFK Vannkraft and AFK Property respectively.

By divesting Vergia, Arendals Fossekompani is focusing, de-risking and optimizing the the portfolio, while reducing exposure to capital-intensive businesses in line with

strategy.

Established in 2022, Vergia is an Arendals Fossekompani initiative that combines all existing green infrastructure projects and related portfolio companies. Vergia is a strategic green energy enabler leveraging in-house competence with strategic partners to develop infrastructure projects in alternative verticals within the energy transition sphere.

Divested as of 12 July

Head office Oslo, Norway

Chair Benjamin Golding

Chief Executive Officer Martin Kjäll-Ohlsson

Ownership 100%

Employees 3

Countries

1

FINANCIAL FIGURES (MNOK)		Q2 2024	Q2 2023	YTD 2024	YTD 2023
	Revenue and other income	0	0	0	0
	Operating profit	-1	-2	-3	-3
	Operating margin	-	-	-	-
	Earnings before tax (EBT)	-5	-8	-10	-13
	Operating cash flow	-2	-2	-5	-11
	NIBD	30	32	30	32
	Equity	-13	-3	-13	-3
	Equity ratio	-67%	-9%	-67%	-9%

Our portfolio of properties

Arendal Fossekompani`s property portfolio includes an urban development project, an airport and center for aviation and other stand-alone properties. All property-related companies and property investments are comprised in AFK Property.

Head office Arendal, Norway

AFK Property Portfolio company

All property related companies and property investments are comprised in AFK Property.

Head office Arendal, Norway

Chair Lars Peder Fensli

Chief Executive Officer Tom Krusche Pedersen

Ownership 100%

Employees 5

Countries 1

BRYGGEBYEN

The largest company in the property portfolio is Vindholmen Eiendom, which is transforming an old shipyard area into a new urban residential and commercial zone under the name Bryggebyen. The transformation will take 10-15 years to complete and will establish 500–700 residential units in combination with exciting trade and

commerce offerings.

The third stage of the apartment complex at Bryggebyen is progressing according to plan, with 43 out of 48 apartments sold per end of the quarter. During the quarter, 41 apartments were handed over and accounted for as sold in the quarterly results. The planning process for the fourth stage has started.

AFK Property is also in the planning process to build an indoor swimming facility at Bryggebyen. Arendal municipality has signed a long-term rental agreement, and a final investment decision is expected near-term.

BØYLESTAD ENERGIPARK

In June 2024, the Ministry of Local Government and Regional Development approved the designation by Froland municipality of a 1600-hectare area at Bøylestad for industrial purposes. The site is one of the most important power hubs in the South of Norway and would make this area attractive for energy-intensive industry. The ministry has also emphasized the municipality's commitment to securing land for green industies and fostering local employment opportunities.

With a long-term and responsible perspective, AFK Property will work with the local stakeholders to make a sustainable plan for the development of Bøylestad

Energipark.

ARENDAL AIRPORT & PROPERTY GULLKNAPP

AFK Property is the majority owner of Gullknapp, which comprises an airport and an attractive 200,000 sqm industrial and commercial area. The main user of the airport facility is OSM Aviation Academy which runs a pilot school on the premises.

BØLEVEGEN 4

This property was acquired in 2020 and is located along the Skien River, just one kilometer south of downtown Skien. The 4,700 sqm building is fully lent to Arendals Fossekompani's portfolio company, ENRX, on a 15-year bare-house agreement. As the city of Skien expands, this 12,000 sqm riverfront property will be attractive both for commercial and residential development.

AFK Property has developed new facilities for ENRX, providing approximately 2,500 sqm of new office, production and storage space. The building process was completed in March 2024.

LONGUM PROPERTY

This 170,000 sqm property is located outside Arendal, close to the E18 highway and the main production site of the upcoming Morrow Batteries factory. In the quarter, it was announced that AFK Property will build and lease new production facilities for Kitron. The new industrial building will be approximately 7,500 square meters and is expected to be completed during the first half of 2026.

BEDRIFTSVEIEN 17 Bedriftsveien 17 is located in the middle of the emerging commercial area Krøgenes, three kilometers east of downtown Arendal. The 3,500 sqm building has been completely refurbished and is now fully leased to Scanmatic on a 25-year bare-house agreement. The area has grown in attractiveness following the completion of a new feed-in road to the E18 highway.

FINANCIAL FIGURES (MNOK)		Q2 2024	Q2 2023	YTD 2024	YTD 2023
	Revenue and other income	252	4	257	9
	Operating profit	15	-4	11	-5
	Operating margin	6%	-93%	4%	-61%
	Earnings before tax (EBT)	13	-5	6	-9
	Operating cash flow	224	-1	206	5
	NIBD	187	142	187	142
	Equity	188	198	188	198
	Equity ratio	37%	37%	37%	37%

-93% -72% -31% -78% 6%

Q2 23 Q3 23

Q4 23

Q1 24 Q2 24

252

4 4 5 5

DEVELOPMENT LAST 5 QUARTERS Revenue (MNOK) and operating margin Arendals Fossekompani is committed to maintaining an open dialogue with its shareholders, investors, analysts, and the financial markets in general. Our goal is to ensure that the share price reflects its underlying value by making all price-relevant information available to the market.

SHARES AND SHAREHOLDERS

There are a total of 55,995,250 shares in the company. At the end of the second quarter, a total of 1,137,911 were treasury shares. The share price was NOK 153.0 on 30 June 2024, compared to NOK 164.8 on 31 December 2023, and NOK 217.5 on 31 March 2023.

RISK AND UNCERTAINTIES

Arendals Fossekompani is exposed to credit risk, market risk and liquidity risk. These matters are described in detail in Note 16 to the annual financial statements for 2022.

RELATED PARTY TRANSACTIONS

The company's related parties comprise subsidiaries, associates and members of the Board of Directors and executive management. Transactions between Arendals Fosskekompani companies and other related parties are based on the principles of market value and arm's length distance. Transactions carried out between related parties are detailed in Note 4. None of these transactions are considered of material importance for the company's financial position or earnings.

OUTLOOK

AFK Group revenues are expected to be higher in 2024 than in 2023, driven by expected underlying growth in portfolio companies and revenue recognition of the third stage of the AFK Property development project, Bryggebyen. Lower expected power prices, partly offsets the growth. Operating profit is expected to be lower in 2024 compared to 2023, largely driven by depreciation of assets in Ampwell and Commeo. Note that there is uncertainty associated with geopolitical turmoil, supply chain constraints, inflation, interest rates, as well as the development of energy prices.

Shareholder Information Outlook

VOLUE

Volue expects revenues to be higher, and operating profit to be higher in 2024 com pared to 2023. Volue guides on long term organic growth of 15% and year-by-year increase of adjusted EBITDA margin, cash conversion, and share of ARR and SaaS

revenue.

ENRX ENRX expects revenues in 2024 to be in line with 2023. Operating profit is expected to increase compared to 2023.

NSSLGlobal expects 2024 revenues to be higher than in 2023. Operating profit is

NSSLGLOBAL expected to be in line to 2023.

Tekna expects revenues to be in line with 2023 and operating profit to improve in

TEKNA 2024 compared to 2023.

Alytic expects revenues to be higher in 2024 compared to 2023. Operating profit is expected to remain negative in 2024, as companies in the Alytic portfolio are still in

ALYTIC a growth phase.

AFK VANNKRAFT to 2023.

AFK Vannkraft expects revenue and operating profit to be lower in 2024 compared

AFK PROPERTY AFK Property expects revenue and operating profit to be higher in 2024 compared to 2023, as a large part of the third stage of the apartment development project in Bryggebyen is delivered.

The Board of Directors emphasises that significant uncertainty is associated with assessments of future circumstances.

Froland, 22 August 2024 The Board of Directors, Arendals Fossekompani ASA

Declaration by the Board of Directors and CEO

The Board of Directors and CEO have today discussed and approved the interim report for the first half and the condensed consolidated financial statements of Arendals Fossekompani ASA as at 30 June 2024 and for the period 1 January – 30 June 2024, including condensed consolidated comparative figures as of 30 June 2023 and for the first six months of 2023.

The interim financial statements have been prepared in accordance with the requirements of IAS 34, Interim Financial Reporting, as adopted by the EU, and additional disclosures pursuant to the Norwegian Securities Trading Act.

To the best of the knowledge of the Board and the CEO, these interim financial statements for the period 1 January – 30 June 2024 have been prepared in accordance with applicable accounting standards and the disclosures in the financial statements present fairly the Group's assets, liabilities, financial position and performance as at 30 June 2024 and 30 June 2023.

To the best of the knowledge of the Board and the CEO, these interim financial statements present fairly important events in the accounting period and their importance for these interim financial statements. To the best of the knowledge of the Board and the CEO, the description of the key risks and uncertainties facing the business in the next accounting period and the description of related parties' material transactions are also fairly presented.

Froland, 22 August 2024

Trond Westlie, Chairman

Stine Rolstad Brenna, Board Member

Lise Lindbäck, Board Member

Morten Bergesen, Board Member

Didrik Vigsnæs, Board Member

Anne Grethe Dalane, Board Member

Arild Nysæther, Board Member

Benjamin Golding, Chief Executive Officer

Financial Statements

CONSOLIDATED STATEMENT OF INCOME

(MNOK)

	Note	Q2 2024	Q1 2024	Q2 2023	YTD 2024	YTD 2023	Full year 2023
Revenue	6	1 675	1 432	1 378	3 107	2 780	5 400
Other Income		7	4	26	10	29	41
Revenue and other income		1 682	1 435	1 404	3 117	2 810	5 441
Materials and consumables used	5	869	448	446	1 317	898	1 814
Employee benefit expenses		508	552	501	1 060	989	1 868
Other operating expenses	2	261	230	230	491	424	1 006
Operating expenses		1 638	1 230	1 177	2 868	2 312	4 688
EBITDA		43	206	228	249	498	753
Depreciation	2	46	46	43	92	86	179
Amortisation		51	49	36	99	63	141
Impairment loss property, plant and equipment	3, 5	234	-	-	234	-	-
Impairment loss intangible assets	3, 5	372	-	-	372	-	-
Operating profit		-660	111	148	-549	350	433
Finance income		15	41	34	56	118	183
Finance costs		103	41	22	144	57	193
Net financial items		-89	1	13	-88	61	-11
Share of profit or loss of associates and joint ventures		-2	-2	-12	-5	-24	-31
Profit before income tax		-751	110	148	-641	386	391
Income tax expense	5	56	102	107	157	274	421
Profit (-loss)		-807	8	41	-799	112	-30
Attributable to:
Non-controlling interests		-339	-21	-3	-361	-8	-65
Equity holders of the company		-468	29	44	-438	119	35
Basic/diluted earnings per share (NOK)		-14,71	0,15	0,75	-14,56	2,04	-0,54
STATEMENT OF COMPREHENSIVE INCOME
(MNOK)
Items that may be reclassified to statement of income
Total Effect from Foreign Exchange		-21	80	57	59	168	85
Change on Cash flow hedges		8	-6	-1	2	-16	6
Tax on cash flow hedges that may be reclassified to P&L		-2	1	-	-	4	-1
Items that may be reclassified to statement of income		-15	75	56	61	155	89
Items that will not be reclassified to statement of income
Change in financial assets at fair value through OCI		3	6	4	9	5	2
Actuarial gains and Losses		-	-	-	-	-	-1
Tax on OCI that will not be reclassified to P&L		-	-	-	-	-	-
Items that will not be reclassified to statement of income		3	6	4	9	5	1
Total Other Comprehensive Income (OCI)		-12	82	60	69	160	90
Profit (-loss)		-807	8	41	-799	112	-22
Total Comprehensive Income		-819	90	101	-729	272	68
Attributable to: Non-controlling Interests		-347	-	10	-347	39	-36
Equity holders of the parent		-472	89	91	-383	233	103

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

(MNOK)
	Q2	Q1	Q2	Full year
Note	2024	2024	2023	2023
Assets
Property, plant and equipment	1 247	1 483	1 246	1 429
Intangible assets 5	2 096	2 486	2 312	2 377
Investments in associates and joint ventures	28	27	37	20
Net pension assets	35	29	26	28
Non-current receivables and investments	239	286	316	266
Deferred tax assets	145	134	126	128
Non-current assets	3 789	4 445	4 063	4 247
Inventories	1 069	1 398	1 155	1 280
Contract assets	319	288	271	182
Current receivables	1 288	1 328	1 239	1 421
Cash and cash equivalents	1 741	2 041	1 977	1 909
Derivatives - current assets	5	5	13	5
Financial assets at fair value through OCI	25	22	19	16
Current assets	4 448	5 083	4 674	4 813
Total assets	8 237	9 528	8 737	9 060
Equity and liabilities
Share capital	224	224	224	224
Other paid-in capital	26	26	25	26
Treasury shares	-113	-113	-111	-113
Other reserves	92	97	91	60
Retained earnings	2 271	2 799	2 974	2 804
Capital and reserves attributable to owners of the company	2 500	3 033	3 203	3 001
Non-controlling Interests	297	635	695	638
Total equity	2 796	3 668	3 898	3 638
Non-current bond loans	498	498	498	498
Non-current interest-bearing debt	1 871	1 854	1 254	1 745
Pension liabilities	42	36	26	37
Non-current provisions	22	22	29	31
Deferred tax liabilities	124	133	63	133
Non-current lease liabilities	232	237	205	227
Non-current liabilities	2 790	2 780	2 076	2 671
Current interest-bearing debt	56	264	23	235
Bank overdraft	344	170	144	169
Derivatives - current liabilities	2	10	26	4
Accounts payable	371	399	769	513
Payable income tax	224	300	315	370
Contract liabilities	458	584	478	240
Current lease liabilities	59	68	57	66
Current provisions	50	52	47	57
Other current liabilities	1 087	1 233	902	1 099
Current liabilities	2 651	3 080	2 763	2 751
Total liabilities and equity	8 237	9 528	8 737	9 060

CONSOLIDATED STATEMENT OF CASH FLOWS

(MNOK)

	2024
Cash flow from operating activities
Profit (-loss)	-799
Adjusted for
Depreciation, Impairment and Amortization	798
Net financial items	88
Share of profit from associates and joint ventures	5
Tax expense	157
Total after adjustments to net income	249
Change in Inventories	237
Change in trade and other receivables	11
Change in trade and other payables	-166
Change in other current assets	5
Change in other current liabilities	201
Change in employee benefits	-2
Total after adjustments to net assets	535
Tax paid	-330
Net cash from operating activities
Cash flow from investing activities
Interest received and realized FX gains	18
Dividends received
Proceeds from sales of PPE	2
Purchase of PPE and intangible assets	-252
Purchase of other investments	-25
Proceed from sale of other investments	6
Purchase of shares in subsidiaries	-17
Proceeds from the sales of shares in subsidiaries	-
Net cash from investing activities
Cash flow from financing activities
Equity payments from/to non controlling interests	-
New long-term borrowings	251
Repayment of long-term borrowings	-172
Cash Flow from issuance of receivables	-2
Cash Flow from Net change in current interest bearing debt	-1
Interest paid and realized FX losses	-82
Dividend paid	-137

	YTD	YTD
	2024	2023
Cash flow from operating activities
Profit (-loss)	-799	112
Adjusted for
Depreciation, Impairment and Amortization	798	148
Net financial items	88	-61
Share of profit from associates and joint ventures	5	24
Tax expense	157	274
Total after adjustments to net income	249	498
Change in Inventories	237	-242
Change in trade and other receivables	11	121
Change in trade and other payables	-166	-278
Change in other current assets	5	-28
Change in other current liabilities	201	217
Change in employee benefits	-2	1
Total after adjustments to net assets	535	290
Tax paid	-330	-422
Net cash from operating activities A	205	-132
Cash flow from investing activities
Interest received and realized FX gains	18	18
Dividends received	-	3
Proceeds from sales of PPE	2	2
Purchase of PPE and intangible assets	-252	-293
Purchase of other investments	-25	-23
Proceed from sale of other investments	6	-
Purchase of shares in subsidiaries	-17	-382
Proceeds from the sales of shares in subsidiaries	-	8
Net cash from investing activities B	-267	-669
Cash flow from financing activities
Equity payments from/to non controlling interests	-	-
New long-term borrowings	251	715
Repayment of long-term borrowings	-172	-61
Cash Flow from issuance of receivables	-2	-28
Cash Flow from Net change in current interest bearing debt	-1	52
Interest paid and realized FX losses	-82	-62
Dividend paid	-137	-139
Net cash from financing activities C	-144	478
Cash Flow A+B+C	-205	-324
Opening balance for cash and cash equivalents	1 909	2 212
FX effects on cash accounts	37	88
Closing balance for cash and cash equivalents	1 741	1 977

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

(MNOK)

	Share capital	Other paid-in capital	Treasury shares	Other reserves	Retained earnings	Capital and reserves attribut able to owners of the company	Non controlling Interests	Total equity
Opening balance at 01.01 2023	224	22	-110	-7	2 994	3 123	661	3 784
Profit (-loss)	-	-	-	-	120	120	-8	112
Total Other Comprehensive Income (OCI)	-	-	-	115	-2	113	47	160
Treasury shares	-	4	-1	-1	-	1	-	1
Other changes from subsidiaries	-	-	-	-16	-18	-35	20	-14
Dividends paid	-	-	-	-	-120	-120	-26	-145
Closing balance at 30.06	224	25	-111	91	2 974	3 203	695	3 898
Opening balance at 01.01 2024	2	26	-113	60	2 804	3 001	638	3 638
Profit (-loss)	-	-	-	-	-438	-438	-361	-799
Total Other Comprehensive Income (OCI)	-	-	-	56	-	55	14	69
Treasury shares	-	-	-	-	-	-	-	-
Other changes from subsidiaries	-	-	-	-23	15	-9	33	24
Dividends paid	-	-	-	-	-110	-110	-27	-137
Closing balance at 30.06	224	26	-113	92	2 271	2 500	297	2 796

(MNOK)
Note	Q2 2024	Q1 2024	Q2 2023	YTD 2024	YTD 2023	Full year 2023
Revenue	69	122	126	191	315	504
Other Income Revenue and other income	5 74	4 126	4 130	9 200	8 323	16 519
Materials and consumables used	-	-	-1	-	-1	2
Employee benefit expenses	14	22	11	36	31	76
Other operating expenses	31	27	21	57	48	92
Operating expense	44	48	32	93	77	170
EBITDA	29	78	98	107	245	350
Depreciation	3	3	3	7	6	13
Amortisation	-	-	-	1	1	2
Operating profit	26	74	95	100	238	335
Finance income and finance costs
Finance income 7	32	166	45	198	219	268
Finance costs 7	1 005	21	6	1 025	18	92
Net financial items	-973	145	39	-828	200	175
Profit before tax	-947	219	134	-728	438	510
Income tax expense	27	67	76	95	217	299
Profit (-loss)	-974	151	57	-823	221	211
Basic/diluted earnings per share (NOK)	-17,76	2,76	1,04	-15,00	4,04	3,85
Statement of comprehensive income
Profit for the period	-974	151	57	-823	221	211
Change in financial assets at fair value through OCI	3	6	4	9	5	2
Actuarial gains and Losses	-	-	-	-	-	-1
Tax on OCI that will not be reclassified to P&L	-	-	-	-	-	0
Items that will not be reclassified to statement of income	3	6	4	9	5	2
Total Other Comprehensive Income (OCI)	3	6	4	9	5	2
Total Comprehensive Income	-972	158	61	-814	227	213
Attributable to:
Equity holders of the parent	-972	158	61	-814	262	213

STATEMENT OF FINANCIAL POSITION PARENT COMPANY

(MNOK)
	Q2	Q1	Q2	Full year
Note	2024	2024	2023	2023
Assets
Property, plant and equipment	224	226	232	227
Intangible assets	6	6	8	7
Investment in associates	-	-	-	17
Investment in subsidiaries	1 853	1 848	1 805	1 795
Intercompany loans - non current	624	1 548	1 025	1 384
Net pension assets	13	13	12	13
Non-current receivables and investments	126	134	181	134
Deferred tax assets	46	46	47	46
Non-current assets	2 893	3 823	3 310	3 624
Current receivables	237	295	238	243
Cash and cash equivalents	837	1 064	1 062	1 064
Financial assets at fair value through OCI	25	22	19	16
Current assets	1 099	1 381	1 320	1 323
Total assets	3 992	5 204	4 629	4 947
Equity and liabilities
Share capital	224	224	224	224
Other paid-in capital	26	26	25	26
Treasury shares	-113	-113	-111	-113
Other reserves	8	6	3	-1
Retained earnings	1 958	2 987	3 009	2 890
Capital and reserves attributable to owners of the company	2 103	3 129	3 150	3 026
Total equity	2 103	3 129	3 150	3 026
Bond	498	498	498	498
Non-current interest-bearing debt	1 172	1 194	603	964
Pension liabilities	6	6	6	7
Provisions	-	-	2	-
Non-current lease liabilities	59	60	59	58
Non-current liabilities	1 736	1 757	1 167	1 527
Accounts payable	8	10	10	12
Payable income tax	94	203	237	272
Current interest-bearing debt, intercompany	-	36	25	36
Current lease liabilities	2	2	2	2
Other current liabilities	49	66	38	71
Current liabilities	153	318	312	394
Total liabilities and equity	3 992	5 204	4 629	4 947

STATEMENT OF CASH FLOWS PARENT COMPANY

(MNOK)

Cash flow from operating activities
Adjusted for
Net cash from operating activities
Cash flow from investing activities
Net cash from investing activities
Cash flow from financing activities
Net cash from financing activities

(MNOK)
	YTD	YTD
	2024	2023
Cash flow from operating activities
Profit (-loss)	-823	221
Adjusted for
Depreciation, Impairment and Amortization	7	7
Net financial items	828	-200
Tax expense	95	217
Total after adjustments to net income	107	245
Change in trade and other receivables	2	-7
Change in trade and other payables	-3	-2
Cash flow form Internal Accounts Payable and Receivable	5	9
Change in other current liabilities	-26	-41
Change in employee benefits	-1	-1
Total after adjustments to net assets	84	204
Tax paid	-273	-355
Net cash from operating activities A	-189	-151
Cash flow from investing activities
Interest received and realized FX gains	53	31
Dividends received	107	100
Purchase of PPE and intangible assets	-1	-9
Purchase of financial assets at fair value	-	-2
Purchase of other investments	-	-10
Proceed from sale of other investments	-1	-
Purchase of shares in subsidiaries	-42	-41
Proceeds from the sales of shares in subsidiaries	-	8
Net cash from investing activities B	117	77
Cash flow from financing activities
New long-term borrowings	188	426
Repayment of long-term borrowings	-1	-1
Cash Flow from Internal Loans and Borrowings	-188	-330
Interest paid and realized FX losses	-42	-24
Group Contribution Received	-	34
Dividend paid	-110	-107
Cash flow from treasury shares	-	2
Net cash from financing activities C	-155	-24
Cash Flow A+B+C	-227	-98
Opening balance for cash and cash equivalents	1 064	1 160
Closing balance for cash and cash equivalents	837	1 062

STATEMENT OF CHANGES IN EQUITY PARENT COMPANY

	(MNOK)

	Share capital	Other paid-in capital	Treasury shares	Other reserves	Retained earnings	Capital and reserves attribut able to owners of the company	Total equity
Opening balance at 01.01
2023	224	22	-110	-3	2 894	3 027	3 027
Profit (-loss)	-	-	-	-	221	221	221
Total Other Comprehensive Income (OCI)	-	-	-	5	-	5	5
Effect of share based payment	-	-	-	-	1	1	1
Dividends paid	-	-	-	-	-107	-107	-107
Closing balance at 30.06	224	25	-111	3	3 009	3 150	3 150
Opening balance at 01.01 2024	224	26	-113	-1	2 890	3 026	3 026
Profit (-loss)	-	-	-	-	-823	-823	-823
Total Other Comprehensive Income (OCI)	-	-	-	9	-	9	9
Effect of share based payment	-	-	-	-	1	1	1
Treasury shares	-	-	-	-	-	-	-
Dividends paid	-	-	-	-	-110	-110	-110
Closing balance at 30.06	224	26	-113	8	1 958	2 103	2 103

NOTE 3 ESTIMATES

Areas involving significant use of estimates include the valuation of companies in the share portfolio and measurement of goodwill/excess values in subsidiaries and associates, and of impairment indicators for property, plant and equipment and intangible assets. In the quarter these measurements have resulted in material impairment losses on assets and cash-generating units. We refer to Note 5.

Disclosures concerning related party transactions are given in the company's

NOTE 5 IMPAIRMENT OF SHAREHOLDING AND SHAREHOLDER DEBT IN COMMEO, INCLUDING GOODWILL

NOTE 4 RELATED PARTY TRANSACTIONS
	Annual Report for 2023, Note 24.
	AFK PARENT COMPANY

Commeo is a subsidiary of AFK's portfolio company, Ampwell. Ampwell was established in 2022 to build an eco-system for battery technology and a Battery-as-a-Service model. The investment in Commeo was made in April 2022. The Commeo companies in Germany have filed for insolvency in July 2024.

As a result of poor financial performance of Commeo, a German group company, the entire book value of AFK's shareholding and shareholder debt to Commeo has been impaired. The book value of AFK parent company's shareholder debt in Commeo was EUR 81.3 million, equivalent to NOK 935 million at exchange rate at the date of the related stock exhange notice of 10 June 2024. Further, the book value of AFK parent company's shareholder debt in Ampwell of EUR 2.3 million (NOK 26 million) has been impaired. Shareholding in Commeo has been impaired in Ampwell company accounts.

Sum impairment cost of shareholder debt in AFK Parent company is EUR 83.6 million (NOK 961 million) and has been recognized as Finance costs, not affecting EBITDA or EBIT (operating profit).

AFK GROUP

The entire goodwill of EUR 24.2 million (NOK 277 million) related to the acquisition of Commeo has been impaired in the consolidated group accounts. Capitalized R&D in Commeo has been impaired with EUR 8.3 million (NOK 95 million). Property, plant and equipment in Commeo has been impaired with EUR 20.4 million (NOK 234 million). In addition, Inventory in Commeo was written down with EUR 11.0 million (NOK 125 million) and has been recognized as Materials and consumables used.

Sum impairment cost related to Commeo exposure in the AFK Group accounts is EUR 63.9 million (NOK 731 million) whereof EUR 11.0 million (NOK 125 million) is affecting both EBITDA and EBIT in form of write down of inventory. Impairment of goodwill, capitalized R&D and property, plant and equipment are affecting EBIT, but not EBITDA.

NOTE 1 CONFIRMATION OF FINANCIAL FRAMEWORK

The financial statements for the quarter have been prepared in accordance with IAS 34 Interim Financial Reporting. The report does not include all the information required in full annual financial statements and should be read in conjunction with the consolidated financial statements for 2023.

NOTE 2 KEY ACCOUNTING POLICIES

The accounting policies for 2024 are described in the Annual Report for 2023. The financial statements have been prepared in accordance with EU-approved IFRS and associated interpretations, as well as the additional Norwegian disclosure requirements pursuant to the Norwegian Accounting Act and stock exchange regulations and rules, applicable as at 31 December 2023. The same policies have been applied in the preparation of the interim financial statements as at 30 June 2024.

New standards effective from 1 January 2024 have had no material effect on the financial statements.

NOTE 6 SEGMENT REPORTING

(MNOK)
	Group Management		AFK Vannkraft		Volue		NSSLGlobal		ENRX
Per 30.06	2024	2023	2024	2023	2024	2023	2024	2023	2024	2023
Sales at a point in time	-	-	191	315	137	127	687	605	448	453
Sales over time	-	-	-	-	671	587	-	-	507	440
Other Income	10	7	1	3	1	25	-	-	3	2
Revenue and other income	10	7	192	317	809	739	687	606	958	896
Operating expenses	48	36	46	43	656	612	545	480	871	807
Depreciation, amortization and impairment	1	1	6	6	89	55	11	9	39	40
Operating profit	-40	-30	140	268	64	72	132	116	48	48
Income from associates	-	-	-	-	-	-	1	-	-	-
Net financial items	-828	200	-	-	-14	3	6	-3	-30	-22
Income tax expense	-	8	95	208	12	22	35	24	12	12
Profit (-loss)	-868	162	45	60	39	52	104	90	5	15
Total assets	3 781	4 403	219	229	2 214	2 056	1 070	1 042	2 138	1 979
Total liabilities	1 784	1 230	112	252	1 303	1 178	472	479	1 700	1 582
Net interest bearing debt	73	-1 093	-	-	143	145	-245	-271	944	767

	Tekna		Alytic		Property		Vergia		Ampwell
Per 30.06	2024	2023	2024	2023	2024	2023	2024	2023	2024	2023
Sales at a point in time	109	114	30	21	253	3	-	-	29	71
Sales over time	45	44	-	-	-	-	-	-	-	-
Other Income	6	1	2	-	4	5	-	-	1	1
Revenue and other income	160	159	32	21	257	9	-	-	29	72
Operating expenses	192	173	52	53	238	8	4	4	228	106
Depreciation, amortization and impairment	15	16	13	6	8	6	-	-	621	12
Operating profit	-47	-31	-33	-38	11	-5	-3	-3	-820	-46
Income from associates	-	-6	-	-	-	-	-5	-8	-	-1
Net financial items	-8	-3	-1	-	-5	-3	-1	-1	-62	-13
Income tax expense	3	-	-	-	3	-	-	-	-3	-
Profit (-loss)	-59	-39	-34	-38	3	-9	-10	-13	-879	-60
Total assets	564	604	242	213	505	535	19	37	245	775
Total liabilities	329	210	91	70	317	337	32	40	1 196	826
Net interest bearing debt	179	87	22	-9	187	142	30	32	1 014	611

Eliminations Total

Per 30.06	2024	2023	2024	2023
Sales at a point in time	-	-	1 884	1 710
Sales over time	-	-	1 222	1 071
Other Income	-17	-16	10	29
Revenue and other income	-17	-16	3 117	2 810
Operating expenses	-12	-11	2 868	2 312
Depreciation, amortization
and impairment	-4	-4	798	148
Operating profit	-1	-1	-549	350
Income from associates	-	-10	-5	-24
Net financial items	855	-108	-88	61
Income tax expense	-	-	157	274
Profit (-loss)	854	-109	-799	112
Total assets	-2 754	-3 136	8 237	8 737
Total liabilities	-1 891	-1 364	5 440	4 839
Net interest bearing debt	-1 038	-90	1 309	323

NOTE 7 FINANCE INCOME, PARENT COMPANY

(MNOK)

Interest income Currency exchange income Gain on partial sale of subsidiaries Dividend income Dividend income I/C an group contribution	Interest income, I/C
	Total

	YTD 2024	YTD 2023
Interest income, I/C	49	25
Interest income	25	21
Currency exchange income	17	70
Gain on partial sale of subsidiaries	-	4
Dividend income	-	3
Dividend income I/C an group contribution	107	96
Total	198	219

FINANCE COST, PARENT COMPANY

terest expense
mpairment I/C loans (*)

(MNOK)
	YTD 2024	YTD 2023
Interest expense	51	15
Impairment I/C loans (*)	961	-
Impairment financial assets	11	-
Other finance cost	2	3

Total 1025 18

(*) As a result of poor financial performance in the company's German subsidiary Commeo, the related inter-company loans of EUR 81,3m (NOK 935m) have been impaired by the parent company. In addition, inter-company loans regarding Ampwell of EUR 2,3m (NOK 26m) have been impaired. Sum impairment inter-company loans is EUR 83,6m (NOK 961m). We refer to note 5 in this report.

VISITING ADDRESS Langbryggen 9 4841 Arendal

POSTAL ADDRESS Box 280 4803 Arendal

+47 37 23 44 00 firmapost@arendalsfoss.no