Neobo Fastigheter

Interim / Quarterly Report • Jul 9, 2025

INTERIM REPORT

JANUARY–JUNE 2025

• Rental income increased to SEK 466 m (454). For the like-for-like portfolio, rental income increased by 3.9 percent.
• Net operating income increased to SEK 260 m (229). For the like-for-like portfolio, net operating income increased by 12.3 percent due to both higher rental income and lower property management costs.
• Profit from property management increased by 49.5 percent to SEK 102 m (68) despite the absence of net operating income from seven properties that were divested during the preceding year.
• The property portfolio's value at the end of the period amounted to SEK 13,821 m (13,701) and change in value of the properties amounted to SEK 11 m (-220) for the period.
• Net profit for the period amounted to SEK -1 m (-110).
• The net asset value amounted to SEK 45.40 per share (44.68).

APRIL–JUNE 2025

• Rental income increased to SEK 236 m (227) as a result of rent increases.
• Net operating income increased to SEK 152 m (139) due to higher rental income and lower property management costs.
• Profit from property management for the second quarter increased to SEK 74 m (58) as a result of higher net operating income and reduced central administration costs.

SIGNIFICANT EVENTS DURING AND AFTER THE SECOND QUARTER

• Neobo's CEO Ylva Sarby Westman was elected to the European Public Real Estate Association (EPRA) Advisory Board at its annual general meeting on June 17.
• In July, a building right relating to part of the Träkolet 16 property in Sollentuna was divested at an underlying property value of SEK 19.5 m. The sales price slightly exceeded the most recent external valuation of the building right.

	2025	2024	2025	2024	2024/2025	2024
Summary 1)	Apr–Jun	Apr–Jun	Jan–Jun	Jan–Jun	Jul–Jun	Jan–Dec
Rental income, SEK m	236	227	466	454	920	908
Net operating income, SEK m	152	139	260	229	503	473
Change in value of investment properties, SEK m	2	-89	11	-220	-65	-296
Profit from property management, SEK m	74	58	102	68	186	152
Profit from property management, SEK/share	0.51	0.40	0.70	0.47	1.28	1.05
Net profit/loss for the period, SEK m	-30	-82	-1	-110	-85	-193
Net profit/loss for the period, SEK/share	-0.20	-0.56	-0.01	-0.75	-0.58	-1.33
Market value of properties, SEK m	13,821	13,742	13,821	13,742	13,821	13,701
Market value, SEK/sq. m.	19,749	19,412	19,749	19,412	19,749	19,574
Loan-to-value ratio, %	50.7	50.7	50.7	50.7	50.7	50.9
Interest coverage ratio, multiple	2.2	1.9	1.8	1.6	1.8	1.6
EPRA NRV, net asset value, SEK/share	45.40	44.70	45.40	44.70	45.40	44.68
Economic occupancy rate, %	92.5	93.0	92.5	93.0	92.5	92.8
Surplus ratio, %	65	61	56	51	55	52
Return on equity, % 1) For the complete table of key metrics, see pages 21–23 and for definitions of key metrics see page 20.	-0.5	-1.3	-0.0	-1.7	-1.4	-3.1

Profit from property management +50% Net operating income, LFL +12%

Interest coverage ratio, LTM

1.8x

Loan-to-value ratio

50.7%

On the right track – profit from property management grows by 50%

Since Neobo was founded, we have worked purposefully to increase the return from our properties, and it is gratifying to see that our efforts have yielded results and that we are on the right path.

Profit from property management increased by 50 percent in the first six months of the year, despite seven properties being divested last year, and net operating income rose by 12 percent in the like-for-like portfolio. The surplus ratio improved to 65 percent (61) and the interest coverage ratio to a multiple of 2.2 (1.9) during the quarter. These are the highest figures noted for both key metrics since Neobo's formation.

VALUE-CREATING REFINEMENT

Since year-end, we have invested SEK 109 m in value-creating measures that have increased our net operating income and made our residential areas more attractive and secure. This includes our renovation of about 39 apartments and a number of sustainability investments that have moved us one step closer to achieving our long-term sustainability targets.

There is much talk of an increase in the number of vacant rental apartments in Sweden and for us, residential vacancies increased by 27 apartments during the quarter. However, currently, around 30 apartments are being renovated in areas with good occupancy rates, and we expect to lease them out immediately upon completion.

READY TO RAMP UP TRANSACTION PACE

In July, we signed an agreement to divest a building right in Sollentuna, allowing for the development of approximately 80 student apartments, corresponding to just over 2 ,500 square meters of habitable gross area. The sales price of SEK 19.5 m is just over the most recent external valuation of the building right and the divestment will unlock capital that can be reinvested in strategic properties.

As the transaction market is now starting to recover, we are ready to ramp up the pace of our optimization efforts to leverage opportunities in the market.

"Profit from property management increased by 50 percent in the first six months of the year, despite seven properties being divested last year"

STABLE BALANCE SHEET IN A TURBULENT EXTERNAL ENVIRONMENT

Considerable uncertainty continues to dominate the external environment. In June, the Swedish Central Bank cut the policy rate by 0.25 percentage points and several forecasters are now predicting further cuts in the autumn.

With a robust financial base comprising equity and secured bank financing, we are maintaining a stable financial position, which puts us in a good position to navigate the fluctuations in the market and to continue implementing our strategy for value creation.

For the first six months of the year, we are reporting positive unrealized changes in value in the property portfolio of SEK 11 m (-216) as a result of stabilized yield requirements and increased net operating income. The average yield requirement that has been used in the property valuations has remained unchanged at 5.0 percent over the last five quarters.

CONTINUED FOCUS ON INCREASED PROFITABILITY

Our strategy has yielded results. By maintaining our focus on increased profitability and with the strong commitment of our employees, we are continuing the path we have embarked upon to develop attractive and sustainable living environments and to optimize our property portfolio. I am convinced that this is the right way to create value for our tenants and shareholders.

Stockholm, July 9, 2025

for everyone Homes for

for

Strategic focus and targets

VISION

We create attractive and sustainable living environments where people can thrive and feel secure

STRATEGY

• Long-term ownership, management and refinement of residential properties with stable cash flows in order to generate an attractive total yield.
• Sustainability activities are an integrated part of all of our operations and are continuously adapted to meet the requirements of stakeholders and future legislation.
• A local property management organization that works closely with the customer with a focus on leasing and value-creating refinement.
• A geographically well-diversified property portfolio in municipalities with population growth and a housing deficit.

BUSINESS MODEL

FINANCIAL TARGETS SELECTED SUSTAINABILITY TARGETS

Return on equity over time to exceed	10%	Reduced GHG emissions by 2030, Scope 1 and 2	-50%
The loan-to-value ratio shall not exceed	65%	Reduced energy use by 2030	-20%
Interest coverage ratio (LTM) shall exceed	1.5x	Tenant turnover by year, 2030	<20%
		Employee commitment (eNPS), 2030	>20%
Interim report January–June 2025			5

4

Property portfolio

Neobo owns, manages and refines residential properties in 39 municipalities in Sweden. The portfolio consists of 260 properties with a total leasable area of 700,000 sq. m. Residential properties account for 95 percent of the properties, with 8,300 rental apartments. The remainder mainly consist of community service properties.

The property management organization is divided into three regions – North, Central and South – to ensure a local presence in proximity to our tenants. Customercentric property management supports a high occupancy rate and is a prerequisite to conduct active and value-creating property management.

RENTAL VALUE AND CUSTOMERS

The annual rental value amounted to SEK 1,038 m on July 1, 2025 and consisted of 77 percent residential properties, 20 percent commercial and community service premises, and 3 percent other properties.

Rent negotiations for 2025 are complete, with an average rent increase of 4.8 percent. Just over half of the agreed rent increases took full effect as of January 1, and the remainder entered force on April 1.

Our tenants mainly comprise private individuals, and a number of corporate customers who lease stores, restaurants and offices on the ground floors of the residential properties, or are customers in one of our community service properties. We also have four apartment hotels with residential apartments in Sollentuna, Knivsta, Sundsvall and Helsingborg. Our largest commercial tenants include Sala Municipality and Timrå Municipality.

ECONOMIC OCCUPANCY RATE

The economic occupancy rate in the residential portfolio is 94.5 percent. The residential vacancy rate of 5.5 percent includes all unoccupied apartments, meaning those that are rented but not yet occupied, as well as apartments currently under renovation or vacant pending renovation.

The economic occupancy rate for our commercial premises declined somewhat during the interim period to 86.1 percent, as a number of tenants have vacated their premises since the start of the year.

The six-year rental contract that was signed with the Swedish Prison and Probation Service in the Träkolet 16 property in Sollentuna, Stockholm with an annual rental value of SEK 10 m will preliminarily enter force on September 1 when the tenant adaptations in the property have been completed. In conjunction with occupancy, the commercial vacancy rate in Neobo will fall by 2.9 percentage points relative to the second quarter of 2025 and the total rental value will increase by SEK 5 m.

	Total occupancy rate Residential occupancy rate
95,0%	94,9%	94,9%	94,9%	94,5%
93,0%	92,8%	92,8%	92,7%	92,5%
Q2 2024	Q3 2024	Q4 2024	Q1 2025	Q2 2025

SEGMENTS

Starting on January 1, 2025 the two former segments – North Region and South Region – have been divided into three segments: North Region, Central Region and South Region. The reorganization was carried out to ensure customer-centric property management with a focus on long-term value creation and to reflect how management monitors the operations since the start of the year. All comparative figures for earlier periods have been restated to reflect the new segment division.

	Total Neobo		North Region		Central Region		South Region
January–June	2025	2024	2025	2024	2025	2024	2025	2024
Market value of properties, SEK m	13,821	13,742	3,692	3,702	6,258	6,216	3,870	3,824
Market value, SEK/sq. m.	19,749	19,412	21,773	20,830	19,633	19,508	18,300	18,078
Rental value, SEK m	1,038	1,003	267	268	472	450	299	285
Rental value, SEK/sq. m.	1,484	1,417	1,577	1,511	1,480	1,411	1,415	1,348
Rental income, SEK m	466	454	118	118	209	207	139	129
Net operating income, SEK m	260	229	65	55	116	108	78	66
Surplus ratio, %	56	51	55	47	56	52	56	51
Occupancy rate, %	92	93	90	92	92	93	95	94
Number of properties	260	261	82	83	86	86	92	92
Number of apartments	8,310	8,309	1,949	1,949	3,758	3,758	2,603	2,602
Floor area, thousand sq. m.	700	708	170	178	319	319	212	212

PROPERTY VALUATION

At the end of the period, the property portfolio was valued at SEK 13,821 m (13,701). The assessments are confirmed every quarter by independent, external and authorized property assessors. All property values have been assessed in accordance with IFRS 13 Level 3 and are based on the specific rental and market situation of the properties. The valuations are conducted using analyses of future cash flows, taking current contracts, rental levels, operating and maintenance costs, the properties' investment requirements and the market's yield requirement into account.

The yield requirements in the assessments are individual for the property and are based on comparative transactions as well as the locations, condition and market positions of the properties. At the end of the period, the average weighted yield requirement for all properties in the portfolio was 5.0 percent (5.0).

The property value includes SEK 93 m (98) for building rights that were valued by applying the location-price method, which means that the value was assessed on the basis of comparisons of prices for similar building rights. Accordingly, fair value was measured according to IFRS 13, Level 3.

VALUE GROWTH IN THE LIKE-FOR-LIKE PORTFOLIO

CHANGE IN PROPERTY VALUES

The unrealized change in value during the interim period amounted to SEK 11 m (-216), corresponding to an increase in value of 0.1 percent (-1.5). The increase in value is attributable primarily to higher levels of assessed future rental income and investments being made in the portfolio to increase net operating income. During the period, SEK 109 m (84) was invested in existing properties.

	Region North	Region Central	Region South	Total Neobo
	2025	2025	2025	2025	2024	2024
Amounts in SEK m	Jan–Jun	Jan–Jun	Jan–Jun	Jan–Jun	Jan–Jun	Jan–Dec
Fair value, opening balance	3,656	6,165	3,880	13,701	14,018	14,018
Acquisitions	0	0	0	0	0	0
Investments	24	63	22	109	84	164
Divestments	0	0	0	0	-116	-180
Unrealized change in value	13	30	-32	11	-216	-301
Reclassifications	0	0	0	0	0	0
Fair value, closing balance	3,692	6,258	3,870	13,821	13,742	13,701

SENSITIVITY ANALYSIS

The property valuations were performed according to generally accepted principles based on market-aligned assumptions and assessments. The table below presents the effect on the market value of the investment properties in conjunction with changes to individual parameters. There may be an interconnection between the parameters and they rarely move in isolation. Shifts in one or more parameters in reality are likely to result in a greater or lesser value impact in relation to the sensitivity analysis presented below.

	Change in assumption	Value impact, SEK m	Value impact, %
Rental value	+/-5%	+1,008/-1,010	+/-7
Operating and maintenance costs	+/-5%	-340/+342	+/-2
Yield requirement	+/-0.5 percentage point	-1,204/+1,499	-9/+11
Cost of capital	+/-1% percentage point	-984/+1,085	-7/+8
Long-term vacancy rate	+/-2% percentage points	-347/+253	-3/+2

SENSITIVITY ANALYSIS, CHANGE IN VALUE

The table below illustrates how changes in the market value of investment properties, not taking into account deferred tax, impact earnings and the relevant key metrics.

	Change in the market value of properties	Impact	Impact, %
Earnings	+/-10%	+/-1,382	+/-94,228
Equity	+/-10%	+/-1,382	+/-22
Loan-to-value ratio	+/-10%	-5% percentage points/+6% percentage points	-9/+11

Current earnings capacity

The current earnings capacity on a 12-month basis, based on Neobo's property portfolio at each date.

Current earnings capacity is not a forecast of the coming 12 months; it is an instantaneous impression intended to illustrate annualized income and expenses based on the property portfolio, financial expenses, capital structure and organization at each respective point in time.

The current earnings capacity does not include an assessment of the future trends in rents, vacancy rate, property management costs, interest rates, changes in value, purchases or sales of properties nor other parameters. The Group's earnings capacity does not include the earnings effect of unrealized and realized changes in value.

NEOBO'S EARNINGS CAPACITY

BASIS FOR CALCULATING EARNINGS CAPACITY

The current earnings capacity has been based on annualized contractual rental income, including supplements and other property-related income based on rental contracts that enter force on each date. Agreed rent increases applicable on each date are included and all vacancies, including temporary vacancies, have been indexed on an annualized basis.

Property management costs consist of budgeted costs for a normal year and include operating and maintenance costs as well as property administration. Property tax has been calculated on the basis of the current tax assessment value of the properties on each date.

Central administration expenses are based on budgeted costs for a normal year.

Net financial items are defined as interest costs, which have been calculated by applying, on top of Neobo's indebtedness, the contractual financing terms and conditions subject to the variable market conditions applying as on each date, including the effects of derivatives. Any interest income on cash and cash equivalents and non-recurring costs have not been taken into account.

Amounts in SEK m	Jul 1, 2025	Apr 1, 2025	Jan 1, 2025	Oct 1, 2024	Jul 1, 2024
Rental value	1,038	1,036	1,017	994	1,003
Vacancy	-78	-76	-73	-71	-71
Rental income	960	961	944	923	933
Property management costs	-402	-402	-402	-393	-396
Property tax	-23	-23	-23	-24	-24
Net operating income	536	537	520	506	512
Central administration	-62	-62	-62	-60	-60
Net financial items	-240	-247	-227	-232	-237
Profit from property management	234	228	230	213	215

Sustainability

We wish to contribute to a better society, with attractive and sustainable living environments where people can thrive and feel secure. Our sustainability strategy is based on the following two perspectives:

• Sustainable living environments attractive and sustainable living environments where people can thrive and feel secure.
• Corporate social responsibility consideration and respect for employees, tenants, investors and the society in which we operate

More information on our identified material sustainability aspects and the targets we are working toward is provided in our 2024 Sustainability Report, Sustainability report - Neobo.

Reducing the company's total water consumption is an integral part of our sustainability efforts. During the quarter, we therefore launched a pilot project to reduce water consumption in our laundry rooms. Read more on the right. ➡️

WATER PROJECT IN NYNÄSHAMN

As part of our efforts to reduce water consumption and our environmental footprint, a pilot project was launched in Nynäshamn during the quarter. We have installed an innovative water recycling solution in the Ratten 2 property. As part of the solution, a unit has been connected to the property's washing machines to recycle water and energy, while simultaneously filtering out microplastics that would otherwise be discharged into the wastewater system.

The pilot project was launched in one of Neobo's properties in Nynäshamn, where the laundry room is frequently used. Already after 910 washes, the solution has shown clear results:

• 15,200 liters of water have been saved
• 1,800 grams of microplastics have been filtered out.
• CO2 emissions have been reduced

The plan is to expand the pilot project after the summer and install units in a number of other selected properties. We will continue to monitor the results of the pilot project during the year to evaluate this solution.

Financing

In the second quarter of 2025, uncertainty continued to dominate market conditions, particularly concerning the global economy and inflation. In June, the Swedish Central Bank chose to cut the policy rate by 0.25 percentage points to 2.00 percent in response to declining inflation and signs of weaker economic activity. Several forecasters are now predicting that a further cut may be necessary in the autumn.

With a robust financial base comprising equity and secured bank financing, we are maintaining a stable financial position. This puts us in a good position to navigate the fluctuations in the market and to continue implementing our long-term strategy for value creation.

INTEREST-BEARING LIABILITIES

Neobo's borrowing is distributed across seven Nordic banks using mortgage deeds as underlying collateral.

Interest-bearing liabilities in the Group amounted to SEK 7,109 m (7,115) at the end of the period. The loan-to-value ratio was 50.7 percent (50.9) and the average debt maturity was 2.4 years (2.8). The average fixed rate period was 2.7 years (2.4) on June 30 and the hedge ratio was 83 percent (76).

At the end of the period, the average interest rate, including derivative instruments, was 3.4 percent (3.4).

DERIVATIVE INSTRUMENTS

Neobo strives to minimize the impact on its cash flow from sudden and unforeseen changes in market rates. Interest rate derivatives are used to manage interest rate risk.

To increase the predictability of future cash flows and mitigate the financial risk, Neobo signed interest rate swap agreements for SEK 1,646 m during the quarter that will start at future dates.

At the end of the period, the aggregated nominal value of active interest rate derivatives was SEK 5,891 m (5,409) with maturities of between one and six years.

In accordance with the accounting rules in IFRS 9, derivatives are recognized at market value. If the agreed interest rate deviates from the market interest rate, a surplus or deficit value arises for the interest rate derivatives, and this non-cash change in value is recognized in profit or loss as long as the underlying derivative is not realized prematurely. At periodend, interest rate derivatives had a fair value of SEK -34 m (63).

	Debt maturity		Fixed interest term		Interest rate derivative
Remaining					Nominal
maturity,	Liability,	Percentage,	Liability,	Percentage,	amount,	Average
years	SEK m	%	SEK m	%	SEK m	interest, %
0-1	1,033	15	1,418	20	700	0.24
1–2	3,756	53	481	7	1,626	0.63
2–3	2,219	31	1,364	19	1,364	1.96
3–4	0	0	1,903	27	600	2.56
4–5	0	0	1,542	22	1,200	2.49
5–	101	1	400	6	400	2.74
Total	7,109	100	7,109	100	5,891	1.61

Interest rate derivatives, future start

Start	Maturity	Nominal amount, SEK m	Interest rate, %
2025–08	2028–08	500	2.32
2026–08	2028–09	422	2.20
2026–08	2029–03	382	2.26
2026–08	2029–09	342	2.31

Condensed consolidated income statement

	2025	2024	2025	2024	2024/2025	2024
Amounts in SEK m	Apr–Jun	Apr–Jun	Jan–Jun	Jan–Jun	Jul–Jun	Jan–Dec
Rental income	236	227	466	454	920	908
Operating costs	-59	-56	-148	-157	-293	-302
Maintenance	-7	-6	-17	-18	-42	-43
Property administration	-12	-20	-29	-37	-61	-68
Property tax	-6	-6	-12	-12	-22	-23
Property management costs	-84	-87	-206	-224	-417	-435
Net operating income	152	139	260	229	503	473
Central administration	-15	-17	-36	-38	-72	-75
Profit before financial items	138	123	224	192	430	398
Net financial items	-64	-64	-122	-123	-244	-246
Profit from property management	74	58	102	68	186	152
Change in values on properties	2	-89	11	-220	-65	-296
Change in value of financial instruments	-95	-56	-97	-27	-177	-108
Profit/loss before tax	-19	-86	16	-179	-56	-251
Current tax	-5	-5	-9	-10	-17	-19
Deferred tax	-6	9	-9	79	-11	77
Net profit/loss for the period	-30	-82	-1	-110	-85	-193
Average number of shares before dilution	145,400,737	145,400,737	145,400,737	145,400,737	145,400,737	145,400,737
Average number of shares after dilution*	145,616,687	145,648,587	145,624,966	145,605,707	145,682,667	145,675,498
Earnings per share before dilution, SEK	-0.20	-0.56	-0.01	-0.75	-0.58	-1.33
Earnings per share after dilution, SEK	-0.20	-0.56	-0.01	-0.75	-0.58	-1.32

*For further information, refer to "Related-party transactions" under Other information on page 17.

Consolidated statement of comprehensive income

	2025	2024	2025	2024	2024/2025	2024
Amounts in SEK m	Apr–Jun	Apr–Jun	Jan–Jun	Jan–Jun	Jul–Jun	Jan–Dec
Net profit/loss for the period	-30	-82	-1	-110	-85	-193
Other comprehensive income	-	–	-	–	-	–
Total comprehensive income for the period	-30	-82	-1	-110	-85	-193

The net profit/loss for the period and total comprehensive income for the period are in their entirety attributable to Parent Company shareholders.

Comments on the consolidated income statement

NET OPERATING INCOME

Net operating income increased by SEK 31 m to SEK 260 m (229) as a result of both higher rental income and lower property management costs. For the like-for-like portfolio, net operating income increased by 12.3 percent.

RENTAL INCOME

Rental income increased to SEK 466 m (454) during the period, which was a net effect of higher income in the like-for-like portfolio and the absence of income from the seven divested properties. The like-for-like portfolio showed an increase in rental income of 3.9 percent. The increase in income was due to the annual rent increases, which in the residential portfolio averaged 4.8 percent, and rent increases as a result of apartment renovations, which were offset somewhat by a higher vacancy rate.

PROPERTY MANAGEMENT COSTS

Total property management costs decreased by SEK 18 m to SEK -206 m (-224) year-on-year. The decrease was attributable to cost-saving measures in property operation and energy, as well as a milder winter compared to the preceding year. Costs for maintenance were on a par with the year-earlier period. Excluding items affecting comparability in the preceding year, property administration costs decreased by SEK 6 m as part of efficiency measures in property management operations.

PROFIT FROM PROPERTY MANAGEMENT

The interim period's profit from property management increased by 49.5 percent to SEK 102 m (68) despite the absence of net operating income from seven properties that were divested during the preceding year.

CENTRAL ADMINISTRATION

Central administration costs amounted to SEK -36 m (-38). Excluding items affecting comparability during the previous year, central administration costs increased SEK 3 m as a result of the operation now being fully established and the entire organization now being in place.

NET FINANCIAL ITEMS

Net financial items amounted to SEK -122 m (-123) during the period and the average interest rate was 3.4 percent (3.4) at the end of the period, in line with the preceding year.

NET PROFIT/LOSS FOR THE PERIOD

Net profit for the period amounted to SEK -1 m (-110), due to negative changes in the value of financial instruments amounting to SEK -97 m (-27) .

CHANGES IN VALUE

Changes in value of the properties for the period amounted to SEK 11 m (-220). The change in value was attributable primarily to the implementation of investments to increase net operating income in the portfolio.

Changes in value of financial instruments amounted to SEK -97 m (-27), driven by falling market interest rates.

TAX

Reported tax during the period amounted to SEK -18 m (69), of which SEK -9 m (-10) was current tax and the remainder comprises deferred tax.

Condensed consolidated balance sheet

Amounts in SEK m	Jun 30, 2025	Jun 30, 2024	Dec 31, 2024
ASSETS
Investment properties	13,821	13,742	13,701
Intangible assets	5	0	5
Other non-current assets	3	3	3
Derivatives	31	122	63
Total non-current assets	13,859	13,867	13,772
Derivatives	3	32	13
Current assets	64	51	47
Cash and cash equivalents	84	113	146
Total current assets	151	196	206
Total assets	14,011	14,063	13,978
EQUITY AND LIABILITIES
Equity	6 212	6,296	6,213
Deferred tax liabilities	356	348	347
Interest-bearing liabilities	6,076	6,091	6,267
Derivatives	67	10	13
Other non-current liabilities	2	1	2
Total non-current liabilities	6,501	6,450	6,630
Interest-bearing liabilities	1 033	1,042	847
Other current liabilities	265	275	288
Total current liabilities	1,298	1,317	1,135
Total equity and liabilities	14,011	14,063	13,978

Condensed consolidated change in equity

	Attributable to Parent Company shareholders
Amounts in SEK m	Share capital	Other contributed capital	Retained earnings	Total equity
Opening balance at January 1, 2024	752	5,141	512	6,405
Net profit/loss for the period			-110	-110
Closing balance at June 30, 2024	752	5,141	402	6,296
Net profit/loss for the period			-83	-83
Closing balance at December 31, 2024	752	5,141	319	6,213
Net profit/loss for the period			-1	-1
Closing balance at June 30, 2025	752	5,141	318	6,212

Comments on the consolidated balance sheet

CASH AND CASH EQUIVALENTS

Cash and cash equivalents on the balance sheet date amounted to SEK 84 m (146).

EQUITY

Interim report January–June 2025 14

Consolidated equity attributable to Parent Company shareholders totaled SEK 6,212 m (6,213) at the end of the period.

DEFERRED TAX

Deferred tax is calculated based on a nominal tax rate of 20.6 percent on the difference between carrying amounts and the tax-assessment values of assets and liabilities, and taking tax loss carry forwards into account. The deferred tax liability at the end of the period was SEK 356 m (347) and was largely attributable to investment properties.

INTEREST-BEARING LIABILITIES

At the end of the period, interest-bearing liabilities amounted to SEK 7,109 m (7,115) and the loan-tovalue ratio to 50.7 percent (50.9).

In order to limit the interest rate risk associated with liabilities at a floating interest rate and to increase the predictability of profit from property management, interest rate derivatives are used. The value of the derivative portfolio was SEK -34 m (63) at the end of the period. For further information, see the Financing section on page 11.

Condensed consolidated cash flow statement

	2025	2024	2025	2024	2024/2025	2024
Amounts in SEK m	Apr–Jun	Apr–Jun	Jan–Jun	Jan–Jun	Jul–Jun	Jan–Dec
Operating activities
Net operating income	152	139	260	229	503	473
Central administration	-15	-17	-36	-38	-72	-75
Add back, depreciation	1	0	1	0	2	1
Other non-cash items	0	0	0	0	0	0
Cash flow from operating activities	138	123	225	192	432	399
before interest and tax
Interest paid	-75	-37	-151	-96	-456	-401
Interest received	12	0	32	0	186	154
Income tax paid	-12	-10	-35	-58	-33	-56
Cash flow before changes in working capital	63	75	71	37	130	96
Cash flow from changes in working capital
Increase (-)/Decrease (+) of operating receivables	15	11	4	34	13	43
Increase (+)/Decrease (-) of operating liabilities	-35	-34	-23	-67	-5	-49
Cash flow from operating activities	43	52	52	4	138	90
Investing activities
Investments in existing properties	-68	-32	-108	-56	-216	-164
Acquisition of properties	0	0	0	0	0	0
Divestment of properties	0	-3	0	110	73	183
Other intangible and tangible assets	0	0	-1	0	-1	0
Cash flow from investing activities	-68	-35	-109	54	-144	19
Financing activities
Borrowings	0	0	19	0	83	65
Repayment of loans	-12	-22	-23	-145	-105	-227
Cash flow from financing activities	-12	-22	-5	-145	-22	-162
Cash flow for the period	-36	-5	-62	-87	-28	-53
Cash and cash equivalents at the beginning of
the period	121	118	146	199	113	199
Cash and cash equivalents at the end of the
period	84	113	84	113	84	146

Comments on the cash flow statement

The cash flow statement was prepared using the indirect method, which means that the net operating income is adjusted for transactions that did not involve incoming or outgoing payments during the period and for any income and expenses attributable to investment or financing activity cash flows.

Operating cash flow after changes in working capital amounted to SEK 52 m. SEK 109 m was invested in existing properties during the period, of which SEK 1 m related to interest paid that has been capitalized. During the first quarter, new loans of SEK 19 m were raised. No loans were raised in the second quarter. Cash and cash equivalents on the balance sheet date amounted to SEK 84 m.

Parent Company income statement

	2025	2024	2025	2024	2024/2025	2024
Amounts in SEK m	Apr–Jun	Apr–Jun	Jan–Jun	Jan–Jun	Jul–Jun	Jan–Dec
Net sales	18	20	35	40	84	89
Personnel costs	-3	-2	-7	-5	-11	-9
Other operating expenses	-16	-19	-31	-37	-79	-85
Operating profit/loss	-1	-1	-3	-2	-6	-6
Profit from financial items
Profit from participations in Group companies	0	-22	0	-22	-206	-227
Interest income and similar items	16	32	32	40	81	88
Interest costs and similar items	-10	-23	-20	-26	-52	-59
Profit/loss after financial items	6	-13	10	-10	-183	-203
Appropriations	0	0	0	0	2	2
Profit/loss before tax	6	-13	10	-10	- 181	-201
Tax	0	0	0	0	0	0
NET PROFIT/LOSS FOR THE PERIOD	6	-13	10	-10	-181	-201
	2025	2024	2025	2024	2024/2025	2024
Amounts in SEK m	Apr–Jun	Apr–Jun	Jan–Jun	Jan–Jun	Jul–Jun	Jan–Dec
Net profit/loss for the period	6	-13	10	-10	-181	-201
Other comprehensive income	–	–	–	–	–	–
Total comprehensive income for the period	6	-13	10	-10	-181	-201

Parent Company balance sheet

Amounts in SEK m	Jun 30, 2025	Jun 30, 2024	Dec 31, 2024
ASSETS
Tangible and intangible assets	5	0	5
Financial assets	5,639	5,844	5,639
Current assets	651	632	649
Total assets	6,295	6,476	6,293
EQUITY AND LIABILITIES
Restricted equity	756	756	756
Non-restricted equity	5,531	5,712	5,521
Total equity	6,288	6,468	6,278
Current liabilities	7	8	15
Total equity and liabilities	6,295	6,476	6,293

Comments on the Parent Company

Interim report January–June 2025 16

Operations in the Parent Company Neobo Fastigheter AB (publ) consist of Groupwide functions and organization for managing the properties owned by the subsidiaries. No properties are owned directly by the Parent Company.

Income in the Parent Company amounted to SEK 35 m (40) during the period and pertained primarily to the Parent Company's invoicing to subsidiaries for services rendered. Profit before tax amounted to SEK 10 m (-10).

Cash and cash equivalents at the end of the period amounted to SEK 78 m (101).

Other information

ACCOUNTING POLICIES

The interim report was prepared in accordance with IAS 34 Interim Financial Reporting and the Swedish Annual Accounts Act. Disclosures in accordance with IAS 34 Interim Financial Reporting are contained in the notes and elsewhere in the report. The Parent Company applies RFR 2 Accounting for legal entities and the Swedish Annual Accounts Act. The accounting policies applied correspond to what is indicated in the 2024 Annual Report.

VALUATION METHOD FOR INVESTMENT PROPERTIES

Investment properties are measured at fair value in the balance sheet. The valuation was conducted in accordance with level 3 of the IFRS valuation hierarchy.

VALUATION METHOD FOR DERIVATIVES

Derivatives are measured at fair value in the balance sheet. Using the IFRS valuation hierarchy, the fair value of derivatives was measured in accordance with level 2.

VALUATION OF RECEIVABLES AND LIABILITIES

The Group's and the Parent Company's financial receivables and liabilities are recognized at amortized cost less loss reserves or fair value through profit or loss. For financial assets and liabilities measured at amortized cost, the carrying amount is considered to be a good approximation of the fair value as the receivables and liabilities either run over a shorter period of time or, in the case of a longer period, run with a short fixed interest rate.

SEASONAL EFFECTS

Net operating income is influenced by seasonal variations in operating costs. As a general rule, costs are higher during the first and last quarters of the year, mainly caused by higher costs for heating and property upkeep.

ROUNDING DIFFERENCES

As a result of rounding, figures presented in this interim report may in certain cases not exactly add up to the total and the percentage may differ from the exact percentage.

COMPARATIVE FIGURES

Comparative figures in parentheses refer to the year-earlier period except in sections that describe financial position when the comparisons refer to the end of the preceding year.

RISKS AND UNCERTAINTIES

Neobo's operations, earnings and financial position are impacted by a number of risk factors. These are mainly related to properties, tax and financing. The company actively strives to identify and manage the risks and opportunities that are of great importance for operations. More information about Neobo's risks and management of these can be found in the 2024 Annual Report on pages 48–51.

RELATED-PARTY TRANSACTIONS

Remuneration was paid to Board members and senior executives for work performed. Apart from this remuneration, no material related-party transactions took place with any related company or private individual.

Neobo has a warrant program for the company's CEO and certain senior executives. At the balance sheet date, the warrant holders owned 630,067 warrants of series 2023/2026:1, which runs for three years.

The warrants were acquired by the holders at a price of SEK 0.79 per warrant. The price was calculated using the Black & Scholes model. Each warrant grants the holder the right to subscribe for one (1) share in the company in the period from May 1, 2026 up to and including May 25, 2026.

The warrants will become valuable when the share price exceeds the strike price of SEK 10.83. The maximum number of shares added can be 630,067 in total, corresponding to approximately 0.4 percent of the total number of shares and votes in the company, provided that all warrants are fully subscribed and fully exercised. In that case, the increase in share capital will total a maximum of SEK 3,259,096.

When calculating earnings per share after dilution, the average number of shares is adjusted to take into account the effects of dilutive potential shares. Taking into account the warrants, the weighted average number of shares outstanding for the interim period was 145,624,966.

EVENTS AFTER THE BALANCE SHEET DATE

In July, a building right relating to part of the Träkolet 16 property in Sollentuna was divested at an underlying property value of SEK 19.5 m. The sales price slightly exceeded the most recent external valuation of the building right.

SIGNING OF THE REPORT

The Board of Directors and the CEO affirm that this interim report provides a true and fair view of the company's and the Group's operations, position and earnings, and describes the significant risks and uncertainties impacting the Parent Company and the companies included in the Group.

Stockholm, July 9, 2025

Jan-Erik Höjvall

Chairman of the Board

Board member Board member Board member Board member

Mona Finnström Anneli Lindblom Ulf Nilsson Jakob Pettersson

Ylva Sarby Westman

Chief Executive Officer

This interim report has not been examined by the company's auditor.

This document is a translation of a Swedish language original report. In case of any discrepancy between the two versions, the original shall take the precedence.

The share

Neobo's market value, meaning the value of all listed shares outstanding, totaled SEK 2,489 m on June 30, 2025. The number of shares outstanding totaled 145,400,737 and the number of known shareholders was 90,769.

TRADING AND TURNOVER

Neobo's share is listed on Nasdaq Stockholm. Share turnover over the last twelve-month period totaled 136 million shares. Turnover, meaning the number of shares sold divided by the number of shares outstanding at the balance sheet date, was 93 percent.

SHARE PRICE AND TRADING VOLUME

SHARE PRICE PERFORMANCE AND TOTAL YIELD

Neobo's share price closed at SEK 17.12 (17.55) at the end of the period. The total yield of the share over the last twelvemonth period was -2 percent, compared to -4 percent for OMX Stockholm Real Estate GI.

EPRA NRV, NET ASSET VALUE

The net asset value is the accumulated capital that the company manages on behalf of its owners. On the basis of this capital, Neobo intends to create a stable return and growth at low levels of risk. Since Neobo's properties are recognized at fair value, the net asset value can be calculated on the basis of the equity in the balance sheet. However, items that do not entail any payments in the immediate future – in Neobo's case, derivatives and deferred tax liability – should be taken into account.

LARGEST SHAREHOLDERS AS OF JUNE 30, 2025

		Share capital
	No. of	and voting
Shareholders	shares	rights, %
Avanza Pension	20,151,222	13.9
ICA-handlarnas Förbund	15,000,000	10.3
Martin Larsén	11,000,418	7.6
Länsförsäkringar Fonder	5,530,000	3.8
Swedbank Försäkring	4,655,541	3.2
Y.E.T.I Holding AB	3,332,206	2.3
Futur Pension	3,243,822	2.2
Handelsbanken Fonder	3,160,777	2.2
Handelsbanken Liv Försäkring AB	2,962,884	2.0
Nordnet Pensionsförsäkring	2,489,236	1.7
Total 10 largest	71,526,106	49.2
Other	73,874,631	50.8
Total	145 400 737	100.0

Net asset value at the end of the period amounted to SEK 45.40 per share (44.68). The share price at the balance sheet date thus amounted to 38 percent of the net asset value.

Calculation of EPRA NRV, net asset value	SEK m	SEK/share
Equity according to the balance sheet	6,212	42.72
Add back according to the balance
sheet:
Derivatives	34	0.23
Deferred tax	356	2.45
EPRA NRV, net asset value	6,601	45.40

OWNERSHIP STRUCTURE AS OF JUNE 30, 2025

Size	No. of shares	Capital and voting rights, %	No. of known shareholders	Proportion of known shareholders, %
1–500	5,329,154	3.7	82,964	91.4
501–1,000	2,543,725	1.8	3,396	3.7
1,001–5,000	7,204,296	5.0	3,313	3.7
5,001–10,000	3,820,548	2.6	520	0.6
10,001–20,000	4,235,984	2.9	291	0.3
20,001–	108,415,893	74.6	285	0.3
Anonymous ownership	13,851,137	9.5	0	0.0
Total	145,400,737	100	90,769	100

Source: Modular Finance AB. Compiled and processed data from Euroclear, Morningstar, the Swedish Financial Supervisory Authority, etc.

Definitions

ALTERNATIVE PERFORMANCE MEASURES

Neobo applies the European Securities and Markets Authority's (ESMA) guidelines on alternative performance measures. Under these guidelines, an alternative performance measure is defined as a financial metric on the historical or future performance of earnings, financial position, financial results or cash flows that is not defined or stated in the applicable financial reporting rules: IFRS and the Swedish Annual Accounts Act.

It has been determined that Neobo's alternative performance measures provide valuable supplementary information when assessing the company's performance. Because not all companies calculate financial performance measures in the same way, these are not always comparable with the performance measures used by other companies. Neobo is also a member of the European Public Real Estate Association (EPRA), which is why the financial key metrics EPRA EPS, EPRA NRV and EPRA vacancy rate are reported.

Number of properties

Number of properties at the end of the period.

Number of sq. m. Total area in the property portfolio at the end of the period.

Number of shares outstanding The number of shares outstanding at the end of the period.

Return on equity, %

Net profit/loss for the period in relation to average equity for the period.

Loan-to-value ratio, %

Interest-bearing liabilities in relation to total assets at the end of the period.

Investment yield, %

Net operating income according to earnings capacity in relation to the sum of the properties' fair value at the end of the period excluding the property value of building rights and development properties.

Net operating income, SEK Rental income less property management costs.

Economic occupancy rate, %

Contracted annual rent at the end of the period in relation to the rental value according to earnings capacity.

EPRA EPS, SEK

Profit from property management less attributable current tax per share.

EPRA NRV, net asset value, SEK

Recognized equity attributable to shares, with the reversal of recognized deferred tax liabilities and interest rate derivatives.

EPRA vacancy rate, %

Annual rent for vacant floor area at the end of the period in relation to rental value at the end of the period.

Profit from property management, SEK

Profit before changes in value and tax.

Average number of shares

The number of shares outstanding weighted over the period.

Average interest rate, %

Weighted average contracted interest for interest-bearing liabilities at the end of the period excluding unutilized credit facilities.

Rental income, SEK

Rents for the period plus surcharges.

Items affecting comparability

Items that are not recurring and that distort comparison with other periods.

Like-for-like portfolio

Relates to properties owned for the full period and the full comparative period.

Cash flow from operating activities, SEK

Cash flow from operating activities before changes in working capital according to the cash flow statement.

Market value of properties, SEK

Fair value of the properties at the end of the period.

Earnings per share, SEK

Net profit/loss for the period in relation to the average number of shares.

Interest coverage ratio, multiple

Profit from property management after reversal of net interest, excluding ground rent, which is recognized as interest expense under IFRS 16, in relation to net interest.

Equity/assets ratio, % Equity in relation to total assets.

Surplus ratio, %

Net operating income as a percentage of rental income for the period.

Derivation of key metrics

	2025	2024	2025	2024	2024/2025	2024
	Apr–Jun	Apr–Jun	Jan–Jun	Jan–Jun	Jul–Jun	Jan–Dec
RETURN ON EQUITY 1)
Net profit/loss for the period	-30	-82	-1	-110	-85	-193
Equity, average	6,227	6,337	6,213	6,351	6,254	6,309
Return on equity, %	-0.5	-1.3	-0.0	-1.7	-1.4	-3.1
LOAN-TO-VALUE RATIO 1)
Total assets	14,011	14,063	14,011	14,063	14,011	13,978
Interest-bearing liabilities	7,109	7,133	7,109	7,133	7,109	7,115
Loan-to-value ratio, %	50.7	50.7	50.7	50.7	50.7	50.9
INVESTMENT YIELD 1)
Net operating income according to earnings capacity	536	512	536	512	536	520
Investment properties	13,821	13,742	13,821	13,742	13,821	13,701
Building rights	93	113	93	113	93	98
Property value, excl. building rights	13,728	13,629	13,728	13,629	13,728	13,603
Investment yield, %	3.9	3.8	3.9	3.8	3.9	3.8
ECONOMIC OCCUPANCY RATE 1)
Rental income according to earnings capacity	960	933	960	933	960	944
Rental value according to earnings capacity	1,038	1,003	1,038	1,003	1,038	1,017
Economic occupancy rate, %	92.5	93.0	92.5	93.0	92.5	92.8

1) Alternative performance measures, refer to definitions on page 20 for further information.

Derivation of key metrics

	2025	2024	2025	2024	2024/2025	2024
	Apr–Jun	Apr–Jun	Jan–Jun	Jan–Jun	Jul–Jun	Jan–Dec
EARNINGS PER SHARE
Net profit/loss for the period	-30	-82	-1	-110	-85	-193
Average number of shares before dilution	145,400,737	145,400,737	145,400,737	145,400,737	145,400,737	145,400,737
Average number of shares after dilution	145,616,687	145,648,587	145,624,966	145,605,707	145,682,667	145,675,498
Earnings, SEK/share, before dilution	-0.20	-0.56	-0.01	-0.75	-0.58	-1.33
Earnings, SEK/share, after dilution*	-0.20	-0.56	-0.01	-0.75	-0.58	-1.32
INTEREST COVERAGE RATIO 1)
Profit from property management	74	58	102	68	186	152
Add back, net interest income, excluding ground rent	63	64	121	122	243	244
Total	137	122	223	191	429	397
Net interest income, excluding ground rent	63	64	121	122	243	244
Interest coverage ratio, multiple	2.2	1.9	1.8	1.6	1.8	1.6
EQUITY/ASSETS RATIO 1)
Equity	6,212	6,296	6,212	6,296	6,212	6,213
Total assets	14,011	14,063	14,011	14,063	14,011	13,978
Equity/assets ratio, %	44.3	44.8	44.3	44.8	44.3	44.5
SURPLUS RATIO1)
Net operating income	152	139	260	229	503	473
Rental income	236	227	466	454	920	908
Surplus ratio, % 1) Alternative performance measures, refer to definitions on page 20 for further information.	65	61	56	51	55	52

Derivation of EPRA key metrics

	2025	2024	2025	2024	2024/2025	2024
	Apr–Jun	Apr–Jun	Jan–Jun	Jan–Jun	Jul–Jun	Jan–Dec
EPRA EPS 1)
Profit from property management	74	58	102	68	186	152
Current tax	-5	-5	-9	-10	-17	-19
Tax attributable to EPRA adjustments	0	0	0	0	1	1
Add back of items affecting comparability2)	0	5	0	7	8	16
Tax attributable to items affecting comparability2)	0	-1	0	-2	-2	-3
EPRA Earnings, SEK m	69	58	94	64	177	147
EPRA EPS, SEK/share, before dilution	0.48	0.40	0.64	0.44	1.21	1.01
EPRA EPS, SEK/share, after dilution*	0.48	0.40	0.64	0.44	1.21	1.01
EPRA NRV, NET ASSET VALUE1)
Number of shares outstanding, thousands	145,401	145,401	145,401	145,401	145,401	145,401
Equity	6,212	6,296	6,212	6,296	6,212	6,213
Add back of deferred tax	356	348	356	348	356	347
Add back of derivatives	34	-144	34	-144	34	-63
EPRA NRV, net asset value, SEK m	6,601	6,500	6,601	6,500	6,601	6,497
EPRA NRV, net asset value, SEK/share	45.40	44.70	45.40	44.70	45.40	44.68
EPRA VACANCY RATE 1)
Rental income according to earnings capacity	960	933	960	933	960	944
Rental value according to earnings capacity	1 038	1,003	1 038	1,003	1 038	1,017
EPRA vacancy rate, %	7.52	7.03	7.52	7.03	7.52	7.22

1) Alternative performance measures, refer to definitions on page 20 for further information.

2) Items affecting comparability comprise costs linked to the switch to Nasdaq Stockholm's main list and the reorganization.

* For further information, refer to "Related-party transactions" under Other information on page 17.

Financial calendar

Interim report for the period January–September 2025	Oct 22, 2025
Year-end report 2025	Feb 12, 2026
Interim report for the period January–March 2026	Apr 22, 2026
Interim report for the period January–June 2026	Jul 8, 2026

neobo.se

On Neobo's website, you can download and subscribe for press releases and financial statements.

The information in this interim report is information that Neobo Fastigheter AB (publ) is obligated to make public pursuant to the EU Market Abuse Regulation and the Swedish Securities Market Act . The information was issued for publication on July 9, 2025, at 7:00 a.m. CEST through the agency of the contact persons stated below.

Contact

For further information, please contact

Ylva Sarby Westman, CEO, + 46 70 690 65 97, ylva.sarby.westman@neobo.se Maria Strandberg, CFO, + 46 70 398 23 80, maria.strandberg@neobo.se

Invitation to presentation of interim report

CEO Ylva Sarby Westman will present the interim report in a webcast/teleconference on July 9, at 9:00 a.m. CEST. The presentation will be held in English and there will be an opportunity to ask questions after the presentation.

To participate via the webcast, with an opportunity to ask questions in writing, use the link below.

Webcast: Neobo Q2 Report

To participate by telephone with an opportunity to ask questions verbally, use the link below. After registration, you will be issued with a telephone number and a conference ID for logging in to the conference.

Teleconference: Neobo Q2 Report

Presentation material and a link to a recorded version of the webcast will be made available on Neobo's website after the presentation.

Neobo Fastigheter AB (publ) Corporate Registration Number: 556580-2526 Mäster Samuelsgatan 42, SE-111 57 Stockholm, Sweden neobo.se