Selvaag Bolig ASA

Investor Presentation • Aug 10, 2023

Oslo, 10 August 2023

Sverre Molvik, CEO Christopher Brunvoll, CFO

Q2 2023

Agenda

Highlights

Operational update

Financial update

Market

Summary

Highlights

• · Stronger sales than second half of last year
• · Satisfactory result considering challenging market conditions
• · Acquired new land in Stockholm for 175 units in Q2, land bank increased by 1 000+ units year to date
• · Introducing first CITY*-project in Stockholm
• · Dividend of NOK 1.00 per share for H1'23

Key financials Q2 and H1 2023

* EBITDA is profit before interest, taxes, depreciation and amortization. EBITDA adjusted is excluding financial expenses included in project costs. ** EBITDA is operating profit before depreciation, gains (losses) and profit from associated companies.

Agenda

Highlights

• Operational update
• Financial update
• Market
• Summary

Operational news

Operating model	• Risk-minimizing sales model Minimum presale of 60% before construction start - Fixed construction cost secured for all units under construction - Temporary adjustment to operating model, adapting to market uncertainty • Additional contractual reservation: Construction start subject to construction cost -
Construction costs	Construction costs trending downwards, further decrease expected • Positive sales development for Langhus- and Solberg projects where contractual reservations have been made - regarding sustainable construction costs Outlook to sign construction contracts at lower cost in H2 -
Land bank	Acquired land plots in H1'23, including attractive site for first City concept in Stockholm • Sandsli, Bergen ~600 units - Tangen, Drammen ~250 units - - Stockholm ~175 units

New land plot in Stockholm for new urban living concept

CITY – A Selvaag Pluss Concept

• Urban compact living for all ages
• Improved economics for individuals and
  • Lower BOA reduce entry-cost Less for more
  • Shared facilities More space for everyone
  • Optimized project area-utilisation
  • Sustainable housing development
• Improved quality of life
  • Social networks, security and belonging

~175 units with attractive location at Hornsberg on Kungsholmen

Sales value and units sold

Note: Sales value is adjusted for Selvaag Bolig's share in joint ventures. Units sold are sales contracts entered into with customers pursuant to the Norwegian Housing Construction Act. In accordance with the IFRS, they are recognised as income on delivery.

Rolling sales value and units sold

Note: Sales value is adjusted for Selvaag Bolig's share in joint ventures.

*Total columns show Selvaag Bolig's gross sales. **Columns excluding dotted areas show Selvaag Bolig's net sales.

Units sold are sales contracts entered into with customers pursuant to the Norwegian Housing Construction Act. In accordance with the IFRS, they are recognised as income on delivery.

Construction starts and completions

Construction starts and completions per quarter

Units

Note: Number of units are adjusted for Selvaag Bolig's share in joint ventures.

Units under construction and completions

• · 68% of units under construction sold by Q2 2023
• · 86% of construction volume in Greater Oslo Area* in Q2 2023

· Expected completions for the full year 2023: 744

· 83% of 2023 completions sold by Q2 2023

Note: Sales value and number of units are adjusted for Selvaag Bolig's share in joint ventures. * Includes: Oslo, Lørenskog, Follo, Tønsberg, Asker.

Agenda

Highlights

Operational update

Financial update

Market

Summary

Income statement highlights Q2 2023 (IFRS)

^* EBITDA is profit before interest, taxes, depreciation and amortization. EBITDA adjusted is excluding financial expenses included in project costs.

Q2 2023 proforma figures including proportionate share of JV

Operating revenues (IFRS)

^* EBITDA is profit before interest, taxes, depreciation and amortization.

^** EBITDA adjusted is excluding financial expenses included in project costs. The difference compared to reported EBITDA is due to interest, taxes, depreciation and amortization in JVs.

Income statement highlights H1 2023 (IFRS)

Operating revenues (IFRS)

* EBITDA is profit before interest, taxes, depreciation and amortization. EBITDA adjusted is excluding financial expenses included in project costs.

H1 2023 proforma figures including proportionate share of JV

* EBITDA is profit before interest, taxes, depreciation and amortization.

** EBITDA adjusted is excluding financial expenses included in project costs. The difference compared to reported EBITDA is due to interest, taxes, depreciation and amortization in JVs.

Income statement highlights Q2 2023 (NGAAP)

^* Construction costs are exclusive of financial expenses in the segment reporting (NGAAP). Note: EBITDA is operating profit before depreciation, gains (losses) and profit from associated companies.

Cash flow development Q2 2023

NOK million

Note: Items of less than NOK 60 million are excluded from the cash flow overview.

• · Cash flow from operations positive at NOK 98.4m driven by decreased inventories
• · Cash flow from investing activities positive at NOK 5.2m
• · Cash flow from financing activities negative at NOK 122.7m mainly due to a dividend payment

-187

Dividends paid to equity holders of Selvaag Bolig ASA Cash and cash equivalents at 30 June 2023

Balance sheet highlights Q2 2023

Balance sheet composition

Inventories (property) Q2 2023

Q1 2023 vs Q2 2023 Inventory value development

• · Land value down NOK 38m
• · Work in progress down NOK 328m
  • Mainly due to high number of units completed and fewer construction starts
• · Finished goods up NOK 83m

NOK million

Debt structure

	Loan facility	Drawn at 30.6.23 (NOKm)	Interest rate margin*
1	Construction loan facilities from a range of Nordic credit institutions	1 750	1.65% - 2.40%
2	Debt to Urban Property**	487	3.75%***
3	Land loan facilities from a range of Nordic credit institutions	200	1.50% - 2.95%
4	NOK 300 million revolving credit facility from DNB maturing in 2025	0	2.50% - 3.00%
5	NOK 150 million working capital facility from DNB with annual renewal	0	2.10%

Interest-bearing debt at 30.6.23

NOK million

* Margin added to 3m NIBOR.

** Repurchase agreements portfolio B and seller credits. *** + 2.00% fee at property repurchase.

Earnings and dividend per share since IPO

Accumulated dividend and earnings per share* Aiming to maximize shareholder return

* Including EPS of NOK 11.01 and DPS of NOK 22 from UP transaction ** Excluding EPS of NOK 11.01 and DPS of NOK 22 from UP transaction

Selvaag Bolig's ambition is to pay high and stable dividends to its owners

· The company aims to pay dividends of minimum 60 per cent of net annual profit

· Dividend will be weighed against the company's liquidity forecasts and capital

· Dividend of NOK 1.00 per share in H1 2023

• adequacy
• • Pay out ratio of 80%

· Average payout ratio of 68%** since listing

Return on equity (IFRS)

12-month rolling net income (NOKm) ROE (%)

* Net income attributable to shareholders in Selvaag Bolig ASA.

** Based on equity at the start of the period (attributed to shareholders in Selvaag Bolig ASA).

Q1 2020 Net income excluding Other gains of NOK 1 029m

Agenda

Highlights Operational update Financial update Market

Summary

Estimated completions in Oslo well below forecasted need

Sources: Historic data: Statistics Norway (SSB), Forecasted housing completions: Hawii Analyse, Forecasted housing need next 5 years: Prognosesenteret. Note: Number of persons per household in Oslo: 1.90.

Note: Housing need calculated on parameters such as number of persons per household, lag on housing development, housing demolition. Note: Completions exclusive of student- and senior housing.

* Estimates based on actual sales, future sales starts, and historical data.

** Uncertainty due to project lead-time.

Estimated completions in Akershus*

Sources: Historic data: Statistics Norway (SSB), Forecasted housing completions: Hawii Analyse, Forecasted housing need next 5 years: Prognosesenteret. Note: Housing need calculated on parameters such as number of persons per household, lag on housing development, housing demolition. Note: Completions exclusive of student- and senior housing.

* Akershus county = Viken county ex. Buskerud and Østfold.

** Estimates based on actual sales, future sales starts, and historical data.

*** Uncertainty due to project lead-time.

Newbuild market update

Source: Hawii analyse. * Including withdrawls

Newbuild market update

Source: Hawii analyse.

* Including withdrawals

** includes Stavanger, Sandnes, Sola, Randaberg.

Regional Newbuild availability on 1 August, 2021-23

Source: Hawii analyse

• * Akershus county = Viken ex. counties Buskerud and Østfold.
• ** Includes Stavanger, Sola, Sandnes, Randaberg.

29 *** Population at YE 2022.

Regional Second-hand availability on 1 August, 2021-23

30

Source: Eiendomsverdi, Statistics Norway.

Incudes projects with 2 units or more

* Akershus county = Viken ex. counties Buskerud and Østfold.

** Includes Stavanger, Sola, Sandnes, Randaberg.

*** Population at YE 2022.

Regional price development 1.1-31.7, 2013-23

Source: Eiendom Norge.

* Includes Stavanger, Sola, Sandnes, Randaberg.

Regional price* development July, 2013-23

* Nominal price change.

** Includes Stavanger, Sola, Sandnes, Randaberg.

Market outlook

• · Housing shortage in Oslo area provides favorable conditions for new housing
• · Increased viewing activity and positive sales development so far in H1 2023
• · Expecting reduction in construction cost going forward
• · Well positioned for market recovery
  • · 350 units for sale at 1 August 2023
  • · Potential for soles start of app. 500 additional units in H2 dependent on project economics and market conditions

Selected ongoing projects

Lørenskog stasjonsby

~ 2 000 units total ~ 200 Pluss units ~ 800 units remaining for sale

Skårerbyen

~ 1 100 units total ~ 250 Pluss units ~ 400 units remaining for sale

Landås

~ 650 units total ~ 400 Pluss units ~ 450 units remaining for sale

Kaldnes Brygge

~ 1 500 units total (JV) ~500 Pluss units ~ 500 units remaining for sale

Stockholm

Selected ongoing projects

Stockholm

Trondheim Greater-Oslo Stavanger Bergen

Sandsli

~ 1 150 units total ~ 500 Pluss units ~ 1000 units remaining for sale

Ringve Pluss

~ 600 units total (JV) ~ 400 Pluss units ~ 500 units remaining for sale

Lervig Brygge

~ 800 units total ~ 200 Pluss units

~ 150 units remaining for sale

Solbergskogen Pluss

~ 300 Pluss units total ~ 250 units remaining for sale

Selected upcoming projects

Barkarby Pluss Stockholm ~ 220 Pluss units

Solheimsvatnet Pluss (JV) Bergen ~ 300 Pluss units

Ballerud Greater Oslo ~ 160 units Lørenvangen

Oslo

~ 200 units

Lilleaker Oslo ~ 150 units

Fornebu (JV) Greater Oslo ~ 2 000 units ~500 Pluss units

Bjerke Oslo ~ 1 500 units ~300 Pluss units

Robust project pipeline to meet long term demand

2023 2024 2025 2026 and 2027

Potential sales start

Slakhusområdet

Stockholm

~170 Pluss units

(2027)

Nacka Stockholm ~150 Pluss units

Jessheim (JV) Greater Oslo ~ 200 Pluss units

Agenda

Highlights Operational update Financial update Market

Summary

• · Stronger sales than second half of last year
• · Satisfactory result considering challenging market conditions
• · Acquired new land in Stockholm for 175 units in Q2, land bank increased by 1 000+ units year to date
• · Introducing first CITY*-project in Stockholm
• · Dividend of NOK 1.00 per share for H1'23

Summary

Thank you for your attention – follow us online!

Next event: 3rd quarter 2023 9 November 2023

Appendix

Estimated completions in Oslo and Akershus*

Sources: Historic data: Statistics Norway (SSB), Forecasted housing completions: Hawii Analyse, Forecasted housing need next 5 years: Prognosesenteret. Note: Number of persons per household in Oslo: 1.90.

Note: Housing need calculated on parameters such as number of persons per household, lag on housing development, housing demolition. Note: Completions exclusive of student- and senior housing.

* Akershus county = Viken county ex. Buskerud and Østfold.

** Estimates based on actual sales, future sales starts, and historical data.

41 *** Uncertainty due to project lead-time.

Revised dividend policy:

Selvaag Bolig's ambition is to pay high and stable dividends to its owners.

The company aims to pay dividends of minimum 60 per cent of net annual profit, paid in two instalments over the year. However, the size of the dividend will be weighed against the company's liquidity forecasts and capital adequacy.

Old dividend policy: Selvaag Bolig's ambition is to pay high and stable dividends to its owners.

The company aims to pay dividends of minimum 40 per cent of net annual profit, paid in two instalments over the year. However, the size of the dividend will be weighed against the company's liquidity forecasts and capital adequacy.

The company will maintain an equity ratio of minimum 30 per cent.

Dividend policy

Share performance since IPO in June 2012

Source: Oslo Børs

Share information

^* All numbers in brackets from previous quarter.

Largest shareholders at 30.6.2023

Shareholder	# of shares	% share
SELVAAG AS	50 180 087	53.5%
PARETO INVEST NORGE AS	4 671 772	5.0%
VERDIPAPIRFONDET ALFRED BERG GAMBA	3 266 051	3.5%
The Northern Trust Comp, London Br *	2 186 000	2.3%
JPMorgan Chase Bank, N.A., London *	1 911 395	2.0%
SANDEN EQUITY AS	1 600 000	1.7%
EGD CAPITAL AS	1 204 580	1.3%
MUSTAD INDUSTRIER AS	1 067 454	1.1%
Goldman Sachs International *	974 443	1.0%
HAUSTA INVESTOR AS	927 879	1.0%
The Northern Trust Comp, London Br *	840 200	0.9%
BANAN II AS	830 000	0.9%
Brown Brothers Harriman & Co. *	684 331	0.7%
J.P. Morgan SE *	646 269	0.7%
Skandinaviska Enskilda Banken AB *	613 995	0.7%
GÅSØ NÆRINGSUTVIKLING AS	530 599	0.6%
BNP Paribas *	530 000	0.6%
Brown Brothers Harriman & Co. *	509 989	0.5%
Skandinaviska Enskilda Banken AB *	477 692	0.5%
Sverre Molvik	387 905	0.4%
Total 20 largest shareholders	74 040 641	79.0%
Other shareholders	19 725 047	21.0%
Total number of shares	93 765 688	100.0%

* Further information regarding shareholders is presented at: http://sboasa.no/en

Substantial land bank in Norway's four largest growing urban areas

• Acquire the right mix of zoned and unzoned land in suitable locations
• Land acquisitions in defined core areas
• High degree of site utilisation and strategic land development
• Substantial land bank to accommodate targets/growth in core areas
• Good infrastructure and public transport
• Joint ventures (JVs)

Land bank exposure

Trondheim 267 units

Geographical spread

Stockholm 918 units

Greater-Oslo 8 234 units

Stavanger 664 units

Bergen 1 158 units

Land-bank strategy

Note: The numbers represent the size of the land portfolio at 31 December 2022. All numbers are adjusted for Selvaag Bolig's share in joint ventures. The total portfolio is ~10 550 units. Of these ~5 250 are options and obligations to buy.

Change in needs calls for new concepts

47

Selvaag Pluss

• Lifestyle concept
• Attractive common areas
• Professional hosting services
• Service offerings and good neighbourliness, make every day living easier
• Guestrooms for family and friends
• Work-out- and fitness centre

Selvaag City

• Urban lifestyle concept with compact apartments
• Attractive common areas
• Professional hosting services
  -
• Guestrooms for family and friends
• Work-out- and fitness centre

• Service offerings and good neighbourliness, make every day living easier

Oslo second-hand market update

Source: Eiendomsverdi.

Akershus* second-hand market update

Source: Eiendomsverdi.

* Akershus county = Viken county ex. Buskerud and Østfold.

Bergen second-hand market update

Source: Eiendomsverdi.

Trondheim second-hand market update

Source: Eiendomsverdi.

Stavanger-area* second-hand market update

Source: Eiendomsverdi.

* Includes Stavanger, Sola, Sandnes, Randaberg.

Regional price* development – July 2023

Area	% chg -1M	% chg. -1M seasonal adj.	% chg YtD	% chg -12m	% chg -5Y	% chg -10Y	Average price/sqm (NOK)	Average price (NOK)
Oslo	0.7%	0.5%	6.8%	0.5%	27.0%	85.6%	93 803	5 752 332
Bergen	-3.1%	-2.9%	4.2%	-3.7%	16.9%	36.0%	54 955	3 611 980
Trondheim	-2.3%	-0.4%	2.1%	-2.3%	17.7%	37.4%	55 601	3 938 457
Stavanger-area**	-0.4%	1.4%	9.9%	7.1%	23.0%	11.5%	44 161	3 990 195
Norway	-1.1%	0.2%	5.2%	-0.2%	22.1%	56.6%	48 449	3 944 271

Source: Eiendom Norge.

* Nominal price change.

** Includes Stavanger, Sola, Sandnes, Randaberg.

Land bank in Oslo and Greater Oslo at 30.6.23

*The numbers are adjusted for Selvaag Bolig's share in joint ventures

Lørenskog	1 576 units
Lørenskog Stasjonsby	613 units
Skårer Bolig	325 units
LSV	500 units
Pallplassen	138 units
Lillestrøm
Bjerke	1 400 units
Bjerke	1 400 units
Oslo South	315 units
Gjertsrud Stensrud	315 units
Follo/Østfold	1 532 units
Langhus	48 units
Ski	90 units
Grenseveien
Fredrikstad	314 units 900 units

Land bank in Stavanger area at 30.6.23

*The numbers are adjusted for Selvaag Bolig's share in joint ventures

Land bank in Bergen, Trondheim and Stockholm at 30.6.23

*The numbers are adjusted for Selvaag Bolig's share in joint ventures.

Cooperation with Urban Property from 1.1.2021

• How it works:

  • Urban Property has a right of first refusal (ROFR) to purchase all new land Selvaag Bolig wants to develop
  • Urban Property acquires land on Selvaag Bolig recommendations
  • Selvaag Bolig has an option to repurchase the land in stages
  • Fee structure:
    • 2.5% transaction fee
    • Annual option premium of NIBOR +375bp

• Eliminates need for equity when purchasing land, as SBO pay 50% of purchasing price at construction start and 50%

• Benefits for Selvaag Bolig:

  • at project completion
  • Increases return on equity
  • Allows for a higher dividend payout ratio

  • land plots

  • (break fee)

• More efficient and predictable funding of existing and new

• Increases competitiveness when making land purchases - Down-side risk for SBO limited to 48 months option premium

Selvaag Bolig sold most of its land bank to Urban Property in January 2020, entering a long-term and strategic partnership. Urban Property is a financially sound, well capitalized and predictable partner.

No equity investment in early phase through land bank cooperation with Urban Property

Cooperation between Selvaag Bolig and Urban Property

1) + 2.5% transaction fee and option price (Nibor + 375bps).

Business model securing healthy project margins

Delivery in accordance with expectations

	Acquire and refine land for development	Project design	Contracting, marketing and pre-sales	Construction and sales	Delivery to customers
Project margin 20%	· Buy (i) options on unzoned land or (ii) ready-to-build land · Opitmize project for zoning process	· Optimize project design Net/gross-factor - - Tailor to meet market demand price/quality · Plan and prepare for construction	· Pre-marketing · Competitive tender for construction · 60% pre-sale before construction start	· Fixed-price contracts · Prices on remaining 40% increased gradually · Construction financed with construction loans	· Target 100% sale at delivery
15%					Project margin 18%
10%
5%
0%
	Land acquired with minimum 10% project margin	Adding value through building permits and area utilisation	Value added when achieving 60% pre-sale	Maximising price in accordance with market	Delivery in accordance with expectations
	1) Assuming flat market development.

Margin development through project stages1

· Target 100% sale at delivery

Example project calculations before and after

Example apply a land ownership period in Urban Property of 3-4 years, and a finance cost of 4% on all capital employed in the project.

		PROJECT CALCULATIONS
	1	BEFORE URBAN PROPERTY	PROJECT CALCULATIONS 2 AFTER URBAN PROPERTY
Figures for illustration purposes only	MNOK	%	MNOK	%
Sales revenue	348.5	100.0%	348.5	100.0%
Construction cost	195.8	56.2%	195.8	56.2%
Land cost	69.7	20.0%	85.2	24.4%
Other costs	24.5	7.0%	24.5	7.0%
Project cost	290.0	83.2%	305.5	87.7%
Net finance (excluding Urban Property)	16.8	4.8%	5.3	1.5%
TOTAL REVENUE	348.5	100.0%	348.5	100.0%
TOTAL COST	306.8	88.0%	310.9	89.2%
PROFIT	41.7	12.0 %	37.7	10.8%
Internal rate of return (IRR)		12.2%		28.0%

1 Initial project margin and IRR before Urban Property when purchasing land at market value

2 Initial project margin and IRR with Urban Property as partner when purchasing land at market value (including option premium)

In total marginal lower project margins, but significantly increased IRR and RoE

Project margin development

* Includes project revenues only.

** Project margins are exclusive of overhead costs. Construction costs are exclusive of financial expenses in the segment reporting (NGAAP).

NOK million

Substantial portfolio for development

Total land bank Options and obligations to acquire Land bank in balance sheet

Total land bank portfolio at 30.6.2023

Units

Valuation of remaining land bank*

1 218

(60 Grader Næringsmegling)

NOK million

* SBO land bank not included in the UP transaction

Value of units sold - gross and net

Sales value of units sold

Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Q1 23 Q2 23 Sales value of sold units (net) Sales value of sold units (gross)

NOK million

Number of units sold - gross and net

Number of units sold

Untis sold net Gross-net

Units

Income statement IFRS

1H 2022	2022
1.322.2	2,896.4
(1,057.2)	(2,313.7)
(103.5)	(236.3)
96.2	85.7
257.6	432.1
(4.8)	(9.7)
252.8	422.4
(1.7)	2.7
251.2	425.1
(36.8)	(86.3)
214.4	338.9

(figures in NOK million)	Q2 2023	Q2 2022	1H 2023	1H 2022	2022
Total operating revenues	836.9	965.9	1,571.1	1,322.2	2,896.4
Project expenses	(708.6)	(804.1)	(1,288.5)	(1,057.2)	(2,313.7)
Other operating expenses	(55.2)	(57.2)	(113.1)	(103.5)	(236.3)
Associated companies and joint ventures	(7.2)	101.2	(15.9)	96.2	85.7
EBITDA	66.0	205.8	153.7	257.6	432.1
Depreciation and amortisation	(2.3)	(2.5)	(4.5)	(4.8)	(9.7)
Other gains (loss)	-	-	-	-	-
EBIT	63.7	203.4	149.1	252.8	422.4
Net financial expenses	6.0	0.5	6.6	(1.7)	2.7
Profit/(loss) before taxes	69.7	203.9	155.7	251.2	425.1
Income taxes	(18.2)	(27.1)	(39.0)	(36.8)	(86.3)
Net income	51.6	176.8	116.8	214.4	338.9

Balance sheet

(figures in NOK million)	Q2 2023	Q1 2023	2022
Intangible assets	383.4	383.4	383.4
Property, plant and equipment	9.9	9.6	8.2
Investments in associated companies and joint ventures	219.0	231.5	234.7
Other non-current assets	500.1	435.1	345.3
Total non-current assets	1,112.4	1,059.5	971.6
Inventories (property)	3,878.1	4,161.4	4,273.2
- Land	687.3	725.6	719.3
- Land held for sale
- Work in progress	2,960.1	3,287.9	3,384.2
- Finished goods	230.8	147.9	169.7
Other current receivables	338.5	115.1	92.1
Cash and cash equivalents	391.8	410.8	612.7
Total current assets	4,608.4	4,687.3	4,978.0
TOTAL ASSETS	5,720.7	5,746.8	5,949.6
Equity attributed to shareholders in Selvaag Bolig ASA*	2,272.0	2,408.1	2,338.1
Non-controlling interests	7.8	7.8	7.8
Total equity	2,279.8	2,415.9	2,345.9
Non-current interest-bearing liabilities	695.6	1,194.2	1,400.4
Other non-current non interest-bearing liabilities	448.2	439.5	404.2
Total non-current liabilities	1,143.9	1,633.7	1,804.6
Current interest-bearing liabilities	1,741.5	1,145.0	1,085.4
Other current non interest-bearing liabilities	555.5	552.2	713.7
Total current liabilities	2,297.0	1,697.2	1,799.1
TOTAL EQUITY AND LIABILITIES	5,720.7	5,746.8	5,949.6

Cash flow statement

(figures in NOK million)	1H 2023	1H 2022	2022
Net cash flow from operating activities	137.9	(11.0)	63.4
Net cash flow from investment activities	(57.4)	131.2	239.8
Net cash flow from financing activities	(301.3)	61.9	(218.0)
Net change in cash and cash equivalents	(220.9)	182.1	85.2
Cash and cash equivalents at start of period	612.7	527.4	527.4
Cash and cash equivalents at end of period	391.8	709.5	612.7

Operational highlights – key operating figures

	Q2 22	Q3 22	Q4 22	Q1 23	Q2 23
Units sold	120	83	44	116	79
Construction starts	190	68	146	5	83
Units completed	210	142	160	161	162
Units delivered	217	144	147	150	155
Units under construction	1,342	1,268	1,253	1,097	1,018
Proportion of sold units under construction	75 %	73 %	67 %	69 %	68 %
Completed unsold units	13	19	31	37	43
Sales value of units under construction (NOK million)	6,807	6,225	6,408	5,641	5,458

EBITDA Q2 2023

Note: EBITDA is operating profit before depreciation, gains (losses) and profit from associated companies.

Total
541.6
(430.3) (57.3) 54.0
836.9 (708.6) (55.2)
(7.2)
66.0
N/A N/A

(figures in NOK million)	Property	Other	Total
	development
Operating revenues	525.2	16.4	541.6
Project expenses	(429.9)	(0.4)	(430.3)
Other operating expenses	(10.2)	(47.1)	(57.3)
EBITDA (percentage of completion)	85.2	(31.1)	54.0
Note: Construction costs are exclusive of financial expenses in the segment reporting.
IFRS EBITDA for the quarter, per segment
Operating revenues	820.5	16.4	836.9
Project expenses	(708.1)	(0.4)	(708.6)
Other operating expenses	(10.2)	(45.0)	(55.2)
Share of income (losses) from associated companies
and joint ventures	(7.2)	-	(7.2)
Other gain (loss), net	-
EBITDA	95.0	(29.0)	66.0
Units in production	1,018	N/A	N/A
Units delivered	155	N/A	N/A

Norwegian housing market

· Low risk for housebuilders

• · Advance sales: banks require that 50-70% of homes are sold before construction starts
• · Binding offers: offer to purchase is a binding sales contract, and requires a minimum 10% cash deposit
• · High level of home ownership
  • · 85% (one of the world's highest)
• · Economic benefits for home owners
  • · 23% of mortgage loan interest payments are tax deductible
  • · Transfer stamp duty for new houses is lower than for second-hand homes
• · Strong population growth
  • · Norway's urban areas are among the fastest growing in Europe
  • · Good market for new homes

Source: Selvaag Bolig and Eurostat.

Total household debt and homeownership

Household debt in % of net disposable income (2021) Homeownership rate (2020)

Source: OECD, Statista.

Price development Norway and selected regions (2005-23)

Price development (rebased 1.1.2005)

Source: Eiendomsverdi.

* Stavanger area includes: Randaberg, Sandnes, Sola, Stavanger.

Population growth in Oslo and Akershus remains high

Share of total population in Oslo and Akershus Share of total population growth in Oslo and Akershus

Source: Statistics Norway.

Homeownership rate among immigrants in Norway (per year living in Norway)

Immigration increases demand over time

of years in Norway

Norway – relatively limited volatility

Population growth 2022 - 2030e and 2040e Interest rates* 2019 - 2026e**

Source: Bloomberg, IMF, UN

*Central bank policy rates **Market implied policy rates

76

Healthy macroeconomics

Wages & disposable income 2020 - 2026e Prices & interest rates 2020 - 2026e

Source: Monetary Policy Report 2|23, Central Bank of Norway.