Baltic Sea Properties

Quarterly Report • May 15, 2025

Quarterly report - Q1 2025

Operational and financial highlights

31 st March 2025 (Q1)

• Q1 marks another period of growth and resilient cash flow development, despite external challenges.
• Rental income increased significantly in Q1 compared to same period last year, driven by CPI adjustments and the January handover of Building C to ESO in our Retail & Buisness Park development Liepų Parkas in Klaipėda.
• EBITDA grew by 10% and our Income from Property Management rose by 52% compared to same period last year. The main drivers behind these figures were higher income, operational efficiency and lower financing costs.
• We continued to grow in line with our investment strategy, supported by a strong balance sheet and active asset management.
• Development of Liepų Parkas' 2nd and 3rd stages is progressing on schedule, while our pipeline continues to grow across both development and acquisitions projects.
• Our 2025 focus includes completing key developments, sourcing new acquisitions, refinancing our portfolio, identifying and pursuing M&A opportunities
• We remain committed to long-term value creation, maintaining dividend capacity, advancing M&A and institutional investor processes, and strengthening our ESG performance.

2

Guide to Terms & Abbreviations

• Average interest rate = The average interest rate across the loan portfolio, including the impact of any derivatives.
• EBITDA = Earnings Before Interest, Tax, Depreciation, and Amortisation: A measure of a company's operational profitability.
• EURIBOR = Euro Interbank Offered Rate: The average interest rate at which major European banks lend to each other, commonly used as a benchmark for loans and financial contracts in Euros.
• Fair value of portfolio = Valuation of the real estate assets at market value.
• IFPM = Income From Property Management: Profit/loss before tax excluding depreciation, profit/loss or value movements on properties, realised investments, currency effects, and other financial instruments.
• Interest Coverage Ratio = ICR Group: Group EBITDA divided by all interest paid; measures ability to cover interest obligations.
• Interest Coverage Ratio = ICR SPV finance: Consolidated EBITDA of real estate subsidiaries divided by interest paid on real estate-specific financing.
• IBD = Interest-Bearing Debt: All outstanding debt to credit institutions and/or other credit facilities.
• LTV = Loan-to-Value ratio: A measure of financial leverage, calculated as total debt divided by the market value of the asset or portfolio.
• M&A = Mergers & Acquisitions: Business transactions involving the consolidation or transfer of companies or assets.
• NAV = Net Asset Value: The total value of a company's assets minus its liabilities, often used to represent the per-share value of a real estate or investment company.
• Net rent = Income from rental activity from the property portfolio minus all unrecovered property expenses (not including internal property management fees).
• NOI = Net Operating Income: Income from the property portfolio after operating expenses, including internal property management expenses.
• NOI yield = NOI divided by the market value of the investment portfolio, excluding development land (land bank); used to assess investment performance.
• ROE = Return on Equity: Profit for the period/year as a percentage of average equity; indicates how efficiently equity is being used.
• Run rate = Method of annualising current financial or operational figures by projecting existing numbers over a 12-month period, assuming the same performance continues
• SPV = Special Purpose Vehicle: A legal entity created for a specific, limited purpose
• WAULT = Weighted Average Unexpired Lease Term: The average remaining lease term of all tenants in a property or portfolio, weighted by rental income, used to assess income stability and risk.

BSP Park – Vilnius A1 | 6.9 hectare strategically located land, next to our Oribalt terminal

Key Figures

31 st March 2025 (Q1)

Per share	31 Mar 2025	31 Dec 2024	31 Mar 2024
Net Asset Value (NAV) in NOK	71.12	72.52	72.99
NAV in EUR	6.23	6.15	6.25
YTD Return NAV incl. dividend (NOK)*	-1.93 %	16.78%	5.85%
YTD Return NAV incl. dividend (EUR) *	1.35 %	11.22%	1.84%
Dividend distributed (NOK)	-	1.75	-
Dividend distributed (EUR)	-	0.15	-
Last transaction price per date (NOK)	54.50	49.46	49.40
Number of shares issued	8 696 077 *	8 696 077 *	6 688 232
EURNOK rate, balance sheet date 1	11.41	11.80	11.68
EURNOK rate, YTD average 2	11.65	11.63	11.42

1) EURNOK rate per balance sheet date is used when converting balance sheet figures.

2) EURNOK YTD average rate is used when converting P&L figures.

*No provisions made for dividend per 31/03/2025. The NAV return for 2024 has been adjusted to account for 2,007,848 new shares being issued in 2024 (at NOK 49 each), with the return KPI based on the operational return for 2024, excluding cash proceeds and the new issued shares.

Group key figures	31 Mar 2025	31 Dec 2024	31 Mar 2024
Fair value of portfolio (MNOK)	1 282	1 316	1 170
Fair value of portfolio (MEUR)	112.3	111.6	100.2
Value of equity based on NAV - BSP method (MNOK)	618	630	487
Value of equity based on NAV - BSP method (MEUR)	54.2	53.4	41.7
Annualised contracted rent (MNOK)	105.1	105.1	102.2
Annualised contracted rent (MEUR)	9.0	9.0	8.9
Net income from property management (IFPM) (MNOK)	10.2	28.3	6.6
Net income from property management (IFPM) (MEUR)	0.9	2.4	0.6
NOI yield (investment projects)	8.00%	8.00%	8.05%
Dividend yield (NAV)	-	2.39%*	-
Occupancy rate	100%	100%	100%
WAULT (years)	8.4 yrs	8.6 yrs	9.16 yrs
IBD (incl. mezzanine facility) (NOK)	673	702	673
IBD (incl. mezzanine facility) (EUR)	59.0	59.5	57.6
LTV investment portfolio (incl. mezzanine facility)	52.98 %	53.32 %	57.48%
Net LTV (inc. Cash)	46.51%	47.17 %	53.94%
Interest coverage ratio (ICR) - Group	2.10	1.74	1.71
Interest coverage ratio (ICR) - SPV finance	2.68	2.27	2.11

EBITDA & IFPM	Jan - Mar 2025	Jan - Dec 2024	Jan - Mar 2024	Jan - Mar 2025	Jan - Dec 2024	Jan - Mar 2024
	EUR	EUR	EUR	NOK	NOK	NOK
	thousands	thousands	thousands	thousands	thousands	thousands
Rental income	2 309	8 292	2 065	26 896	96 413	23 577
Property expenses ex mng	-112	-285	-96	-1 300	-3 314	-1 034
Net rent	2 197	8 007	1 969	25 595	93 099	22 543
Other operating income	62	67	15	721	785	169
Administration cost	-381	-1 501	-302	-4 437	-17 457	-3 443
Other operating cost	-204	-513	-157	-2 374	-5 966	-1 796
EBITDA	1 674	6 060	1 525	19 505	70 461	17 474
Net realised interest cost & finance expenses	-798	-3 624	-950	-9 291	-42 139	-10 840
IFPM	877	2 436	576	10 214	28 322	6 634
Changes in value of investment properties	142	3 554	195	1 659	41 323	2 228
Changes in value of financial instruments	-8	-41	25	-98	-479	288
Realised changes in value of investment properties	-	-	-	-	-	-
Depreciation, amortisation and impairment	-20	-60	-15	-238	-699	-166
Net currency exchange differences	-100	29	6	-1 162	341	65
Profit before tax	891	5 918	787	10 375	68 808	9 049
Current tax	-	54	-	-	626	-
Deferred tax	-178	-1 213	-75	-2 074	-14 108	-854
Profit from continued operations	712	4 758	713	8 301	55 325	8 196

Net Asset Value (NAV)	31 Mar 2025	31 Dec 2024	31 Mar 2024	31 Mar 2025	31 Dec 2024	31 Mar 2024
Currency	EUR	EUR	EUR	NOK	NOK	NOK
	thousands	thousands	thousands	thousands	thousands	thousands
Equity as recognised in balance sheet	52 878	52 170	40 789	603 492	615 340	476 520
Pr share	6.08	6.01	6.11	69.44	70.83	71.34
Equity as recognised in balance sheet	52 878	52 170	40 789	603 492	615 340	476 520
Deferred tax according to balance sheet (-)	5 707	5 534	4 483	65 132	65 277	52 371
Equity excluding deferred tax	58 584	57 704	45 272	668 625	680 617	528 891
Deferred tax according to BSP orignal NAV definition (-)	4 429	4 289	3 551	50 545	50 589	41 488
Net asset value - BSP Method	54 156	53 415	41 721	618 079	630 028	487 403
Pr share	6.23	6.15	6.25	71.12	72.52	72.99
Number of outstanding shares	8 696 077	8 696 077	6 688 233	8 696 077	8 696 077	6 688 233

Financing

31 st March 2025 (Q1)

Debt & maturity	Amount (EUR)	Share	Base interest rate	Interest margin	Total interest rate	Total interest (EUR)
Senior debt - bank loans			3m Euribor	Fixed		Annualised
0-1 year
1-3 years	54 634 292	92.60 %	2.34 %	2.18 %	4.50 %	2 466 913
4-5 years
Hedging of senior debt
0-1 year	905 281		0.70 %		-1.60 %	-14 629
Total senior debt	54 634 292
Mezzanine debt2
1-3 years	4 380 969	7.40 %			9.30 %	407 430
Total debt	59 015 261	100 %			4.85 %	2 859 714

Notes

1) Run rate figures, i.e interest is annualised over a 12 month period assuming same EURIOBOR and based on a snap shot as at 31/03/2025.

2) The principal of the mezzanine debt is MNOK 50.0. NOK amounts in the table are converted to EUR at exchange rate as at 31/03/2025.

Loan financing	31 Mar 2025	31 Dec 2024	31 Mar 2024
Interest-bearing debt incl. mezzanine debt (MEUR)	59.02	59.50	57.60
LTV incl. mezzanine debt1	52.98%	53.32%	57.48%
Interest-bearing debt excl. mezzanine debt (MEUR)	54.63	55.26	52.40
LTV excl. mezzanine debt1	49.06 %	49.53%	52.36%
12-month running interest margin credit loans excl. mezzanine (margin)2	2.18%	2.18%	2.82%
Interest rate hedging ratio	1.61%	3.72%	4.35%
Interest rate coverage (ICR) — group	2.10	1.74	1.71
Interest rate coverage (ICR) — SPV finance3	2.68	2.27	2.11
Time until maturity interest-bearing debt (weighted)	2.1 yrs	2.4 yrs	3.1 yrs
Time until maturity interest hedging contracts (weighted)	0.3 yrs	0.3 yrs	1.0 yrs

Notes

1) LTV in this table does not include cash position.

2) Excl. 3-months EURIBOR & swap agreements.

3) Includes all internal management fees

(MEUR)	31 Mar 2025	31 Dec 2024	31 Mar 2024
Interest-bearing debt, total	59.02	59.50	57.58
Interest-bearing debt, bank loan	54.63	55.26	52.45
Interest-bearing debt, mezzanine	4.38	4.23	4.29
Interest-bearing debt, seller credit	0.00	0.00	0.85
Cash	6.93	6.87	3.54
Net LTV, total1	46.51%	47.17%	53.94%

1) Net LTV include cash position

BSP Group — ICR	Jan-Mar 2025	Jan-Dec 2024	Jan-Mar 2024
	EUR	EUR	EUR
EBITDA	1 674 242	6 059 796	1 530 684
Interest payable	745 540	3 481 225	895 385
ICR - group	2.10	1.74	1.71
Net realised interest cost & finance expenses
Interest on real estate portfolio	664 963	3 136 481	818 391
SWAP costs	-1 203	-	3 660
SWAP income	-4 189	-92 546	-39 385
Interest mezzanine incl. contract fee	99 785	468 716	102 967
Interest seller's credit	-	27 706	16 553
Interest income	-13 816	-59 132	-6 800
Sum interest expenses	745 540	3 481 225	895 385

Consolidated SPV-financed entities — ICR	Jan-Mar 2025	Jan-Dec 2024	Jan-Mar 2024
	EUR	EUR	EUR
EBITDA (incl. internal management cost)	2 361 072	6 711 761	1 644 782
Interest payable	677 636	2 955 028	778 816
ICR - SPV finance	2.68	2.27	2.11
Net realised interest cost & finance expenses
Interest on real estate portfolio	683 028	3 047 574	818 201
SWAP costs	-1 203	-	915
SWAP income	-4 189	-92 546	-39 385
Sum interest expenses	677 636	2 955 028	2 368 988

Loan-to-Value ratio	31 Mar 2025	31 Dec 2024	31 Mar 2024
	EUR	EUR	EUR
Net nominal interest-bearing debt excl. mezzanine loan	54 634 292	55 262 258	52 451 369
Mezzanine	4 380 969	4 239 084	4 279 906
Seller's credit	-	-	852 653
Net nominal interest-bearing debt incl. mezzanine loan & seller's credit1	59 015 261	59 501 342	57 583 928
Valuation of real estate portfolio	112 333 845	111 582 984	100 176 902
Loan to value excl. cash	52.98%	53.32%	57.48 %
Cash	6 927 519	6 866 446	3 543 647
Loan to value incl. cash (Net LTV)	46.51%	47.17%	53.94%

Notes

1) Interest-bearing debt per 31/12/2024 here includes MEUR 1.2 in construction cost which in the annual accounts are presented as debt to suppliers but will be financed with bank loan.

Contact

Lars Christian Berger

CEO +47 930 94 319 LCB@BalticSea.no

Sigitas Jautakis

Director, Vilnius +370 652 47 287 SJ@BalticSea.no

James Andrew Clarke

Chairman & CIO +370 612 37 515 JAC@BalticSea.no

Rolandas Jonuška

Director, Klaipėda +370 618 87 270 Rolandas.Jonuska@BalticSea.no

www.balticsea.no

Oslo Tollbugata 8A 0152 Oslo Norway

Klaipėda Pramones str. 8A LT-94102 Klaipėda Lithuania

Vilnius Didzioiji str. 10A-29 LT-01128 Vilnius Lithuania

Appendices

1) Consolidated Statements

• Consolidated statement of profit or loss
• Consolidated statement of comprehensive income
• Consolidated statement of financial position

2) Reconciliation of APM's*

* Alternative Performance Measures

• IFPM & EBITDA
• Loan-to-Value ratio (LTV)
• Net Asset Value (NAV)
• Interest Coverage Ratio (ICR)

Disclaimer:

This report has been prepared by Baltic Sea Properties AS in good faith and to our best ability with the purpose to give the company's shareholders updated information about the company's operations and status. This document must not be understood as an offer or encouragement to invest in the company. The financial figures presented are unadited and may thus include discrepancies. Baltic Sea Properties AS further makes reservations that errors may have occurred in its calculations of key figures or in the development of the report which may contribute to an inaccurate impression of the company's status and/or operations. The report also includes descriptions and comments which are based on subjective assumptions and considerations, and thus must not be understood as a guarantee of future events or future profits.

Consolidated statement of profit or loss

Amounts in NOK thousand

For the period	Jan-Mar 2025	Jan-Dec 2024	Jan-Mar 2024
Rental income	26 896	96 413	23 577
Other income	721	785	169
Total operating income	27 616	97 198	23 746
Payroll and related costs	4 437	17 457	3 443
Depreciation, amortisation and impairment	238	699	166
Other operating expenses	3 674	9 280	2 830
Total operating expenses	8 349	27 436	6 438
Change in fair value of investment properties	1 659	41 323	2 228
Operating profit	20 926	111 085	19 536
Change in fair value of financial instruments	-98	-479	288
Financial income	161	688	78
Financial expenses	-9 452	-42 827	-10 918
Net currency exchange differences	-1 162	341	65
Net financial income (cost)	-10 552	-42 276	-10 487
Profit before income tax	10 375	68 809	9 049
Income tax expense	-	-626	-
Change in deferred tax liability/asset	2 074	14 108	854
Profit for the period	8 301	55 325	8 196
Earnings per share	Jan-Mar 2025	Jan-Dec 2024	Jan-Mar 2024
Basic	1	6	1
Diluted	1	6	1

Profit is attributable to:	Jan-Mar 2025	Jan-Dec 2024	Jan-Mar 2024
Owners of Baltic Sea Properties group	8 301	55 325	8 196
Non-controlling interests	-	-	-

Consolidated statement of comprehensive income

Amounts in NOK thousand

For the period	Jan-Mar 2025	Jan-Dec 2024	Jan-Mar 2024
Profit for the period	8 301	55 325	8 196
Other comprehensive income not to be reclassified to profit and loss
Foreign currency translation differences	-20 279	26 202	18 263
	-20 279	26 202	18 263
Total comprehensive invome for the period	-11 978	81 528	26 460
Total comprehensive income is attributable to:
- Owners of Baltic Sea Properties group	-11 978	81 528	26 460
- Non-controlling interests	-	-	-
	-11 978	81 528	26 460

Consolidated statement of financial position

Amounts in NOK thousand

For the period that ended on	31 Mar 2025 31 Dec 2024		31 Mar 2024
Assets
Investment property	1 310 648	1 345 746	1 199 913
Other operating assets	1 485	1 654	1 621
Right-of-use assets	-	-	97
Financial derivatives, non-current	-	-	406
Long-term receivables	2 428	2 509	2 485
Total non-current assets	1 314 562	1 349 911	1 204 523
Trade receivables	6 026	3 271	3 411
Financial derivatives, current	69	171	310
Other receivables and other current assets	1 578	2 087	3 706
Cash and cash equivalents	79 064	80 990	41 399
Total current assets	86 738	86 519	48 826
Investment property held for sale	-	-	-
Total assets	1 401 299	1 436 429	1 253 348

Consolidated statement of financial position

Amounts in NOK thousand

For the period that ended on	31 Mar 2025	31 Dec 2024	31 Mar 2024
Equity
Share capital	870	870	669
Share premium	214 031	214 031	118 788
Other paid-in equity	-1	-1	-1
Total paid-in equity	214 900	214 900	119 456
Retained earnings	388 592	400 440	357 064
Total equity	603 492	615 340	476 520
Liabilities
Deferred tax liabilities	65 132	65 277	52 371
Interest-bearing liabilities	649 947	657 058	640 268
Lease liabilities, non-current	29 488	30 381	30 243
Total non-current liabilities	744 567	752 715	722 882
Lease liabilities, current	99	103	241
Interest-bearing liabilities, current	24 269	30 433	33 193
Trade payables	13 268	14 171	5 542
Other current liabilities	15 604	23 665	14 952
Total current liabilities	53 240	68 372	53 946
Total equity and liabilities	1 401 299	1 436 429	1 253 348

Disclaimer:

This report has been prepared by Baltic Sea Properties AS in good faith and to our best ability with the purpose to give the company's shareholders updated information about the company's operations and status. This document must not be understood as an offer or encouragement to invest in the company. The financial figures presented are unadited and may thus include discrepancies. Baltic Sea Properties AS further makes reservations that errors may have occurred in its calculations of key figures or in the development of the report which may contribute to an inaccurate impression of the company's status and/or operations. The report may also include descriptions and comments which are based on subjective assumptions and considerations, and thus must not be understood as a guarantee of future events or future profits.

IFPM & EBITDA

Reconciliation

Reconciliation with IFRS figures
(TNOK)	Jan-Mar 2025	Jan-Dec 2024	Jan-Mar 2024	Source
Rental income	26 896	96 413	23 577	Consolidated Profit/Loss Statement
Other income	721	785	169	Consolidated Profit/Loss Statement
Payroll and related costs	-4 437	-17 457	-3 443	Consolidated Profit/Loss Statement
Other operating expenses	-3 674	-9 280	-2 820	Consolidated Profit/Loss Statement
EBITDA	19 505	70 461	17 474
Financial income	161	688	78	Consolidated Profit/Loss Statement
Financial expenses	-9 452	-42 827	-10 918	Consolidated Profit/Loss Statement
IFPM	10 214	28 322	6 634

Loan-to-Value ratio (LTV)

Reconciliation

Reconciliation with IFRS figures
(TNOK)	31 Mar 2025	31 Dec 2024	31 Mar 2024	Source
Interest-bearing liabilities (non-current)	649 947	657 058	640 268	Consolidated statement of financial position
Interest-bearing liabilities (current)	24 269	30 433	33 193	Consolidated statement of financial position
Other adjustments1	-675	14 327	-748	Internal calculation
Net nominal interest-bearing debt	673 541	701 818	672 713
Cash	79 064	80 990	41 399	Consolidated statement of financial position
Net nominal interest-bearing debt - Cash		620 829	631 314
Investment property	1 310 648	1 345 746	1 199 913	Consolidated statement of financial position
- IFRS adjustments (periodisation & amortisation)	-28 582	-29 624	-29 596	Internal calculation / Note 4 of annual report
Fair value of investment property	1 282 066	1 316 121	1 211 715
LTV	52.98%	53.32%	57.48%
Net LTV	46.51%	47.17%	52.10%

1 Interest-bearing debt per 31.12.2024 here includes MEUR 1.2 in construction cost which in the annual accounts are presented as debt to suppliers but will be financed with bank loan.

Net Asset Value (NAV)

Reconciliation

Reconciliation with IFRS figures
	31 Mar 2025	31 Dec 2024	31 Mar 2024	Source
Total equity (TNOK)	603 492	615 340	476 520	Consolidated statement of financial position
+ Deferred tax liabilities (TNOK)	65 132	65 277	52 371	Consolidated statement of financial position
- Deferred tax according to BSP original NAV definition (TNOK)	-50 545	-50 589	-41 488	(See description on cited page)
Net Asset Value (TNOK)	618 079	630 028	487 402
Number of issued shares (excl. own shares)	8 690 312	8 687 466	6 679 622	VPS
NAV per share*	71.12	72.52	72.99

* In late June 2024, the company issued 1,781,394 new shares in a direct share issue at NOK 49 per share. Additionally, in July, BSP issued another 226,450 shares in a repair issue. Due to the lower subscription price of the newly issued shares compared to the existing NAV per share, the NAV per share has been diluted.

Interest Coverage Ratio (ICR)

Reconciliation

Reconciliation with IFRS figures
(TNOK)	Jan-Mar 2025	Jan-Dec 2024	Jan-Mar 2024	Source
EBITDA (Group)	19 505	70 461	17 474	Own calculaltions
Interest income	-161	-688	-78
Interest expenses payable (incl. hedge effect)	8 847	41 166	10 298
Net interest expenses	8 686	40 478	10 221
ICR (Group)	2.10	1.74	1.71

Disclaimer

This report has been prepared by Baltic Sea Properties AS in good faith and to our best ability with the purpose to give the company's shareholders updated information about the company's operations and status. This document must not be understood as an offer or encouragement to invest in the company. The financial figures presented are unadited and may thus include discrepancies. Baltic Sea Properties AS further makes reservations that errors may have occurred in its calculations of key figures or in the development of the report which may contribute to an inaccurate impression of the company's status and/or operations. The report may also include descriptions and comments which are based on subjective assumptions and considerations, and thus must not be understood as a guarantee of future events or future profits.