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ER - Selvaag Bolig ASA: Q2 2025: Solid sales and record-high value of homes under construction - Attachment: Presentation 2nd Quarter 2025.pdf

Company: Selvaag Bolig ASA Date: 2025-08-07 Language: English Register to download
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### Oslo, 7 August 2025

### Sverre Molvik, CEO Christopher Brunvoll, CFO

## Q2 2025

![](_page_1_Picture_0.jpeg)

2

## Agenda

### Highlights

- Operational update
- Financial update
- Market
- Summary

![](_page_1_Picture_7.jpeg)

- Satisfactory results given very few deliveries reflecting good cost control and efficient business model
- Sold homes worth more than NOK 2 bn in H1, and reduced inventory of completed units by NOK 400 m yoy
- Strong pipeline with order backlog of NOK 8.2 bn
- Landbank increased by 800 units
- Dividend decision for 2025 postponed until the full year results are concluded

## Highlights Q2 2025

![](_page_2_Picture_6.jpeg)

![](_page_2_Picture_7.jpeg)

## Proforma key financials\* Q2 and H1 2025

| Q2<br>2025                                |                                     | First<br>half<br>2025                     |
|-------------------------------------------|-------------------------------------|-------------------------------------------|
| 349                                       | 7.2                                 | 543                                       |
| Operating revenues<br>NOK million         | Adjusted EBITDA* margin<br>Per cent | Operating revenues<br>NOK million         |
| 839                                       | 12.2                                | 1 568                                     |
| Operating revenues (NGAAP)<br>NOK million | EBITDA** margin (NGAAP)<br>Per cent | Operating revenues (NGAAP)<br>NOK million |

![](_page_3_Figure_6.jpeg)

\* Proforma figures: Including SBO share of JV projects

\*\* 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

![](_page_4_Picture_5.jpeg)

### Operational news

| Operating<br>model                | Cost efficient business operations Risk-minimizing sales model<br>•<br>-<br>Minimum presale of 60% before construction start<br>-<br>Fixed price contracts and stable overhead cost<br>-<br>Contractual reservation with buyers: Construction start subject to construction cost |
|-----------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Sales &<br>construction<br>starts | •<br>Improving market momentum, expecting further interest rate cuts<br>-<br>Sales start of 438 units during H1<br>-<br>Planning for 450 sales starts in H2, depending on market conditions<br>-<br>Increased production with 1 165 units under construction by quarter end      |
| Land bank                         | •<br>Added 800 units in Greater Oslo area in Q2<br>Utilizing market conditions to develop landbank, expecting further additions in H2 2025<br>•                                                                                                                                  |

## 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.

![](_page_6_Figure_1.jpeg)

### Rolling sales value and units sold

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

\*\*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 and the Swedish Bostadsrätsslagen. In accordance with the IFRS, they are recognised as income on delivery.

![](_page_7_Figure_1.jpeg)

## 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.

# 

![](_page_8_Figure_3.jpeg)

## Units under construction and completions

![](_page_9_Figure_13.jpeg)

### · 62% of units under construction sold by Q2 2025

· 75% of construction volume in Greater Oslo Area\* in Q1 2025

![](_page_9_Figure_4.jpeg)

· Expected completions for the full year 2025: 393

Note: Sales value and number of units are adjusted for Selvaag Bolig's share in joint ventures.

![](_page_9_Figure_1.jpeg)

\* Includes: Oslo, Lørenskog, Follo, Tønsberg, Asker.

\*\* Including share of partially owned projects

114

261

![](_page_9_Figure_12.jpeg)

![](_page_10_Picture_0.jpeg)

![](_page_10_Picture_1.jpeg)

![](_page_11_Picture_7.jpeg)

![](_page_11_Figure_1.jpeg)

<sup>\*</sup> Include SBO share of JV projects

<sup>\*\*</sup> 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.

<sup>\*\*\*</sup> EBITDA is profit before interest, taxes, depreciation and amortization.

## Proforma\* income statement highlights H1 2025 (IFRS)

![](_page_12_Picture_7.jpeg)

![](_page_12_Figure_1.jpeg)

<sup>\*</sup> EBITDA is profit before interest, taxes, depreciation and amortization.

<sup>\*\*</sup> 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.

## Proforma\* income statement highlights Q2 2025 (NGAAP)

![](_page_13_Figure_1.jpeg)

<sup>\*</sup> Include SBO share of JV projects

<sup>\*\*</sup> 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 2025

NOK million

Note: Other items <NOK 10 million < NOK -10 million are excluded from the cash flow overview.

- · Cash flow from operations negative at NOK 345m as higher production increases inventories
- · Cash flow from investing activities was positive NOK 13m related to loan repayments from associated companies
- · Cash flow from financing activities positive at NOK 278m, primarily increased construction loans

### -117

![](_page_14_Figure_2.jpeg)

![](_page_14_Picture_11.jpeg)

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

## Balance sheet highlights Q2 2025

### Balance sheet composition

![](_page_15_Figure_2.jpeg)

## Inventories (property) Q2 2025

### Q1 2025 vs Q2 2025 Inventory value development

- · Land value down NOK 143m
- · Work in progress up NOK 656m
- · Finished goods down NOK 91m
	- 40 unsold completed units by quarter end
	- 11 sold and completed units, but not delivered

NOK million

![](_page_16_Figure_9.jpeg)

### Debt structure

|   | Loan facility                                                              | Drawn<br>at<br>30.06.25<br>(NOKm) | Interest<br>rate<br>margin* |
|---|----------------------------------------------------------------------------|-----------------------------------|-----------------------------|
| 1 | Construction loan facilities from<br>a range of Nordic credit institutions | 2 284                             | 1.55% -<br>2.40%            |
| 2 | Debt to Urban Property**                                                   | 782                               | 3.75%***                    |
| 3 | Land loan facilities from a range of<br>Nordic credit institutions         | 33                                | 1.50% -<br>2.95%            |
| 4 | NOK 300 million revolving credit<br>facility from DNB maturing in 2027     | 0                                 | 2.50% -<br>3.00%            |
| 5 | NOK 150 million working capital<br>facility from DNB with annual renewal   | 0                                 | 2.10%                       |

![](_page_17_Figure_4.jpeg)

![](_page_17_Figure_3.jpeg)

### Interest-bearing debt at 30.06.25

NOK million

<sup>\*</sup> Margin added to 3m NIBOR.

<sup>\*\*</sup> Repurchase agreements portfolio B and seller credits. \*\*\* + 2.00% fee at property repurchase.

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

![](_page_18_Figure_2.jpeg)

\* 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 1.25 per share in 2024

- 
- adequacy
- - Pay-out ratio of 66%
- results are concluded

· Due to macro economic uncertainty, the board has decided to postpone dividend considerations for H1 2025 until the full year

## Earnings and dividend per share since IPO

## 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).

![](_page_19_Figure_2.jpeg)

![](_page_20_Picture_0.jpeg)

Highlights

Operational update

Financial update

Market

Summary

![](_page_20_Picture_6.jpeg)

![](_page_21_Figure_1.jpeg)

Sources: Historic data: Statistics Norway (SSB), Forecasted housing completions: Plot.ai, 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 Oslo 2025-27

![](_page_22_Figure_1.jpeg)

Sources: Historic data: Statistics Norway (SSB), Forecasted housing completions: Plot.ai, 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.

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

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

## Estimated completions in Akershus 2025-27

![](_page_23_Figure_1.jpeg)

Sources: Historic data: Statistics Norway (SSB), Forecasted housing completions: Plot.ai, 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.

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

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

## Estimated completions in Oslo and Akershus 2025-27

Sources: Historic data: Statistics Norway (SSB), Forecasted housing completions: Plot.ai, Forecasted housing need next 5 years: Prognosesenteret. Note: Number of persons per household in Berger: 2.0.

![](_page_24_Figure_1.jpeg)

Note: Housing need calculated on parameters including population growth, number of persons per household, lag on housing development and 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 Bergen 2025-27

![](_page_25_Figure_1.jpeg)

Sources: Historic data: Statistics Norway (SSB), Forecasted housing completions: Plot.ai, 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 Stavanger-region

### Newbuild market update

![](_page_26_Figure_1.jpeg)

Source: Plot.ai \* Including withdrawals

### Newbuild market update

![](_page_27_Figure_1.jpeg)

Source: Plot.ai.

\*\* includes Stavanger, Sandnes, Sola, Randaberg.

## Regional Newbuild availability on 1 Aug, 2022-25

Source: Plot.ai

![](_page_28_Figure_1.jpeg)

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

29 \*\*\* Population at 31.03.2025.

![](_page_29_Figure_1.jpeg)

Source: Eiendomsverdi, Statistics Norway.

## Regional Second-hand availability\* 1 August, 2021-25

- \* Number of unsold units with less than 180 days in the market
- \*\* Includes Stavanger, Sola, Sandnes, Randaberg.
- 30 \*\*\* Population at 31.03.2025.

### Regional price\* development Jan – Jul 2020-25

Source: Eiendom Norge.

\* Nominal price change.

\*\* Includes Stavanger, Sola, Sandnes, Randaberg.

![](_page_30_Figure_1.jpeg)

![](_page_30_Figure_3.jpeg)

![](_page_30_Figure_2.jpeg)

### Regional price\* development July 2020-25

Source: Eiendom Norge.

\* Nominal price change.

\*\* Includes Stavanger, Sola, Sandnes, Randaberg.

![](_page_31_Figure_1.jpeg)

![](_page_32_Picture_1.jpeg)

**Snøbyen, Lørenskog stasjonsby | Greater Oslo** ~ 2 000 units total ~ 200 Pluss units ~ 680 units remaining

### **Skårerbyen | Greater Oslo**

- ~ 1 100 units total ~ 250 Pluss units
- ~ 250 units remaining

![](_page_32_Picture_10.jpeg)

### **Landås | Greater Oslo**

- ~ 650 units total ~ 400 Pluss units
- ~ 400 units remaining

![](_page_32_Picture_17.jpeg)

![](_page_32_Picture_3.jpeg)

**Kaldnes Brygge| Greater Oslo** ~ 1 500 units total (JV) ~500 Pluss units ~ 500 units remaining

![](_page_32_Picture_5.jpeg)

![](_page_32_Picture_6.jpeg)

### **Sandsli | Bergen** ~ 1 200 units total ~ 500 Pluss units ~ 950 units remaining

![](_page_32_Picture_12.jpeg)

![](_page_32_Picture_13.jpeg)

### **Barkarby | Stockholm**

- ~ 220 Pluss units total
- ~ 210 units remaining

### **Lervig Brygge | Stavanger**

- ~ 800 units total ~ 200 Pluss units
- ~ 100 units remaining

### **Solbergskogen | Greater Oslo**

~ 350 units total ~ 230 Pluss units ~ 240 units remaining

### **Solheimsvatnet Pluss (JV) | Bergen**

- ~ 160 Pluss units
- ~ 50 units remaining

![](_page_32_Picture_21.jpeg)

## Selected ongoing projects

## Bringing attractive projects to market in Bergen

![](_page_33_Picture_1.jpeg)

- 
- -
	-

• SBO was the most selling residential developer in Bergen in H1 with ~20% market share\*

### • **Solheimsvatnet Pluss** (JV), Minde

- 160 Pluss units (JV), successful sales results since launch in Q4 2024. - In production, delivery in 2026-2027.

### • **Sandsliåsen Hageby**, Sandsli

- 58 apartments and town houses successfully

- launched in 2024.
- 

- In production, delivery in 2026.

### • **Sandsliåsen Park**, Sandsli

- 72 apartments, with successful sales start in Q1

- Construction start in Q2 2025, delivery in

- 2025.
- 2026/2027.
- 

• Solid pipeline of upcoming projects in both Sandsli and Minde areas

## Selected upcoming projects

![](_page_34_Picture_2.jpeg)

**Lørenvangen | Oslo** ~ 200 units (2025)

![](_page_34_Picture_13.jpeg)

**Lilleaker | Oslo** ~ 150 units (2026)

![](_page_34_Picture_15.jpeg)

![](_page_34_Picture_4.jpeg)

**Fornebu (JV) | Greater Oslo** ~ 2 000 units ~500 Pluss units (2026)

![](_page_34_Picture_6.jpeg)

![](_page_34_Picture_9.jpeg)

**Fredrikstad (JV) | Greater Oslo** ~ 2 000 units ~400 Pluss units (2026)

Robust project pipeline to meet long term demand

2026 2026/2027

Potential sales start

**Slakthusområdet | Stockholm** ~190 Pluss units (2027)

![](_page_34_Picture_7.jpeg)

**Rådhushagen (JV)| Greater Oslo** ~ 180 units (2025)

**Hornsberg| Stockholm** ~ 190 CITY units (2027)

![](_page_34_Picture_21.jpeg)

![](_page_34_Picture_22.jpeg)

2025/2026

![](_page_34_Picture_11.jpeg)

**Terrasskvarteret | Stockholm** ~ 200 Pluss units (2026)

![](_page_34_Picture_20.jpeg)

### Developing pipeline in key Oslo and Stockholm markets

![](_page_35_Picture_1.jpeg)

- Strong landbank in high growth areas.
- Examples of pipeline in Oslo and Stockholm:
- **Lørenvangen**, Oslo
	-
	- Zoning approved, planning for sales start in Q4 2025
	- High interest among potential buyers

- ~200 apartments in Løren

### • **Terrasskvarteret Pluss**, Stockholm

- ~175 Pluss units in Norra Djurgårdsstaden

- 
- Zoning approved
- Sales start planned for Q1 2026
- High interest among potential buyers

## Highlights Operational update Financial update

![](_page_36_Picture_0.jpeg)

Market

![](_page_36_Picture_3.jpeg)

## Outlook

- Housing shortage in all SBO core regions gives favorable conditions for new housing
- Expect increased purchasing power to enhance sales with interest rates trending down
- Improved macro conditions, fueling demand in Stockholm
- Selvaag Bolig is well-positioned with a robust land portfolio to capitalize on a recovering market
- Strong land purchasing capacity through Urban Property

![](_page_37_Picture_6.jpeg)

## Summary

- Satisfactory results given very few deliveries reflecting good cost control and efficient business model
- Sold homes worth more than NOK 2 bn in H1, and reduced inventory of completed units by NOK 400 m yoy
- Strong pipeline with order backlog of NOK 8.2 bn
- Landbank increased by 800 units
- Dividend decision for 2025 postponed until the full year results are concluded

![](_page_38_Picture_6.jpeg)

### Thank you for your attention

Next event: 3rd quarter 2025 6 November 2025

![](_page_40_Picture_0.jpeg)

Selvaag Bolig is a housing development company which focuses on the growth areas in and around Greater Oslo, Bergen, Stavanger and Stockholm

![](_page_41_Picture_1.jpeg)

## This is Selvaag Bolig

**VISION** Making cities of the future better

**MISSION** Making it easier for more people to live better

**AMBITION** Contributing to inclusive local communities and facilitating sustainable lifestyles

**PROMISES** Being a safe, solid and competent partner, always delivering on promises. Selvaag Bolig shall develop smart, sustainable and profitable projects

**VALUES** Care and creativity

### Led by experienced management team

![](_page_43_Picture_8.jpeg)

![](_page_43_Picture_1.jpeg)

**Sverre Molvik** Chief Executive Officer

![](_page_43_Picture_3.jpeg)

**Christopher Brunvoll** Chief Financial Officer

![](_page_43_Picture_5.jpeg)

**Øystein Klungland** Chief Operating Officer

### **Line Lian Mjell** EVP Marketing, strategy and sustainability

### Selvaag Bolig is a story about development

![](_page_44_Picture_1.jpeg)

50 000 homes completed

## Efficient and flexible value chain

with construction loans

![](_page_45_Figure_1.jpeg)

## Costs and majority of sales value fixed pre-construction

Illustrative risk profile at construction start of a NOK 100 million project with a 12% margin

### **Limited equity risk**

• Construction starts after minimum 60% pre-sale

• Remaining risk very limited

![](_page_46_Picture_8.jpeg)

![](_page_46_Figure_2.jpeg)

## Costs and majority of sales value fixed pre-construction

Illustrative risk profile at construction start of a NOK 100 million project with a 20% margin

### **Limited equity risk**

• Construction starts after minimum 60% pre-sale

• Remaining risk very limited.

![](_page_47_Picture_8.jpeg)

![](_page_47_Figure_2.jpeg)

### Strategic priorities

## Strategic positioning driving healthy profits

**Competitive housing offering, targeting growth regions**

> **Efficient and flexible cost structure**

**Capital-efficient business model backed by strong balance sheet**

**Large, actively-managed land bank, owned by partner Urban Property** 

- Presence in fast-growing urban regions with high demand and large market depth
- Competitive prices and defined housing concepts, aimed at wide range of consumers
- Energy and area efficient buildings with low life-cycle environmental footprint
- · Value appreciation through refinement of land for housing development
- · Flexibility to develop thousands of homes in growing urban regions
- · Active asset management
- · Partnership reduces invested capital and strengthens ability to buy land
- · No in-house construction arm; improves flexibility and cost optimisation
- · Project-based business model improves flexibility and reduces risk
- · Economies of scale through large projects
- · Lean organisation reduces overhead
- · Partnering strategy for land acquisition reduces capital employed and interest rate sensitivity
- · 60% pre-sale before construction start lowers project financing need and inventory risk
- · Sound debt structure and financial flexibility

### Value drivers

### ~9 700 homes completed since IPO…

![](_page_49_Figure_5.jpeg)

![](_page_49_Figure_2.jpeg)

Units completed

Note: Completed ~50 000 units from 1948 to 2011.

### …for a total value of NOK ~38 billion

![](_page_50_Figure_4.jpeg)

![](_page_50_Figure_2.jpeg)

NOK billion

![](_page_51_Figure_2.jpeg)

### Project margin development

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

NOK million

<sup>\*</sup> Includes project revenues only.

### Share performance since IPO in June 2012

![](_page_52_Figure_1.jpeg)

Source: Oslo Børs

### Share information as at 30.06.25

![](_page_53_Figure_8.jpeg)

- · Total number of shares: 93.8 million
- · Number of shareholders: 6 899 (6 928)
	- 20 largest controlling 81.1% (80.5%)
	- Selvaag AS largest shareholder 53.5%
- · Trading
	- 2.1 million shares during the quarter (4.6), 2.2% of total shares outstanding (4.9%)
	- Share turnover totaled NOK 72.4 million (163.0)

![](_page_53_Figure_9.jpeg)

### 20 largest shareholders

Note: Numbers in brackets from the previous quarter.

| Shareholder                          | # of shares | % share |
|--------------------------------------|-------------|---------|
| SELVAAG AS                           | 50 180 087  | 53.5%   |
| Skandinaviska Enskilda Banken AB *   | 4 680 572   | 5.0%    |
| PERESTROIKA AS                       | 3 848 312   | 4.1%    |
| VERDIPAPIRFONDET ALFRED BERG GAMBA   | 3 096 726   | 3.3%    |
| The Northern Trust Comp, London Br * | 2 186 000   | 2.3%    |
| EGD CAPITAL AS                       | 1 704 752   | 1.8%    |
| SANDEN EQUITY AS                     | 1 660 000   | 1.8%    |
| HAUSTA INVESTOR AS                   | 1 484 500   | 1.6%    |
| MUSTAD INDUSTRIER AS                 | 1 067 454   | 1.1%    |
| MATTISHOLMEN AS                      | 886 964     | 0.9%    |
| The Northern Trust Comp, London Br * | 840 200     | 0.9%    |
| Brown Brothers Harriman & Co. *      | 684 331     | 0.7%    |
| Sverre Molvik                        | 573 272     | 0.6%    |
| Øystein Klungland                    | 573 272     | 0.6%    |
| VERDIPAPIRFONDET ALFRED BERG NORGE   | 505 298     | 0.5%    |
| Brown Brothers Harriman & Co. *      | 488 703     | 0.5%    |
| VARDE NORGE AS                       | 410 904     | 0.4%    |
| MELESIO INVEST AS                    | 410 866     | 0.4%    |
| KBC Bank NV *                        | 386 569     | 0.4%    |
| CATILINA INVEST AS                   | 368 070     | 0.4%    |
| Total 20 largest shareholders        | 76 036 852  | 81.1%   |
| Other shareholders                   | 17 728 836  | 18.9%   |
| Total number of shares               | 93 765 688  | 100.0%  |

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

- · Nearly 60 000 homes over the last 70 years
- · Housing for all
- · Focus on fast growing urban regions
- · Large projects with more than 150 units

## Addressing the long-term housing need

**Greater-Oslo** 

![](_page_54_Figure_5.jpeg)

![](_page_54_Picture_6.jpeg)

**Stockholm** 1 197 units

### 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

![](_page_55_Figure_10.jpeg)

Land-bank strategy

**Trondheim** 42 units

> **Stockholm** 1 197 units

**Greater-Oslo**  7 700 units

**Stavanger** 537 units

![](_page_55_Figure_11.jpeg)

Note: The numbers represent the size of the land portfolio at 30 June 2025. All numbers are adjusted for Selvaag Bolig's share in joint ventures. The total portfolio is ~10 650 units. Of these ~5 250 are options and obligations to buy.

### Oslo second-hand market update

Source: Eiendomsverdi

![](_page_56_Figure_1.jpeg)

### Akershus second-hand market update

Source: Eiendomsverdi.

![](_page_57_Figure_1.jpeg)

### Bergen second-hand market update

Source: Eiendomsverdi.

![](_page_58_Figure_1.jpeg)

### Trondheim second-hand market update

Source: Eiendomsverdi.

![](_page_59_Figure_1.jpeg)

### Stavanger-area\* second-hand market update

Source: Eiendomsverdi.

\* Includes Stavanger, Sola, Sandnes, Randaberg.

![](_page_60_Figure_1.jpeg)

## Regional price\* development – July 2025

| Area             | % chg -1M | % chg. -1M<br>seasonal<br>adj. | % chg<br>YtD | % chg<br>-12m | % chg<br>-5Y | % chg<br>-10Y | Average<br>price/sqm (NOK) | Average price<br>(NOK) |
|------------------|-----------|--------------------------------|--------------|---------------|--------------|---------------|----------------------------|------------------------|
| Oslo             | -0.7%     | -0.3%                          | 2.9%         | 3.0%          | 24.7%        | 67.3%         | 102 145                    | 5 888 173              |
| Bergen           | 0.7%      | 1.7%                           | 9.0%         | 12.8%         | 34.7%        | 46.8%         | 65 788                     | 4 400 213              |
| Trondheim        | -2.1%     | -0.9%                          | 3.0%         | 1.6%          | 16.1%        | 33.5%         | 57 619                     | 3 880 836              |
| Stavanger-area** | -0.4%     | 1.1%                           | 11.5%        | 14.6%         | 43.4%        | 37.2%         | 51 717                     | 4 809 180              |
| Norway           | -1.0%     | 0.2%                           | 5.6%         | 5.4%          | 24.4%        | 54.8%         | 52 564                     | 4 269 904              |

Source: Eiendom Norge.

\* Nominal price change.

\*\* Includes Stavanger, Sola, Sandnes, Randaberg.

### Land bank in Oslo and Greater Oslo at 30.6.25

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

![](_page_62_Picture_1.jpeg)

|                | Lørenskog            | 1 204 units |
|----------------|----------------------|-------------|
|                | Lørenskog Stasjonsby | 534 units   |
|                | Skårer Bolig         | 150 units   |
|                | LSV                  | 400 units   |
|                | Pallplassen          | 120 units   |
| 1 204<br>units | Lillestrøm           |             |
|                | Bjerke               | 1 250 units |
|                | Bjerke               | 1 250 units |
|                |                      |             |
|                | Oslo South           | 315 units   |
|                | Gjertsrud Stensrud   | 315 units   |
|                | Follo/Østfold        | 2 255 units |
|                | Ski                  | 90 units    |
|                | Grenseveien          | 156 units   |
|                | Mellomåsveien 1      | 525 units   |
|                | Fredrikstad          | 900 units   |
|                | Vestby               | 184 units   |
|                | Rabekkgata 4-6       | 400 units   |
|                |                      |             |

### Land bank in Stavanger area at 30.6.25

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

![](_page_63_Figure_1.jpeg)

## Land bank in Bergen, Trondheim and Stockholm at 30.6.25

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

![](_page_64_Figure_1.jpeg)

### Cooperation with Urban Property

### • **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 the option to repurchase the land in stages
- Fee structure:
	- 2.5% transaction fee
	- Annual option premium of NIBOR +375bp
- Covenants
	- Equity > NOK 1.5bn
	- Net leverage\* < 50%
	- Leverage ratio\*\* < 3
	- Max 2.5 years accumulated non-paid option premium

### • **Benefits for Selvaag Bolig:**

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

- More efficient and predictable funding of existing and new land

- completion
- Increases return on equity
- Allows for a higher dividend payout ratio
- plots
- 
- fee)

- Increases competitiveness when making land purchases

- Down-side risk for SBO limited to 48 months option premium (break

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

<sup>\*</sup> Net debt/(Net debt+Equity)

<sup>\*\*</sup> Net debt/ 12m rolling EBITDA

### Re-negotiated covenants with Urban Property

- 1. Equity > NOK 1.5bn
- 2. Debt ratio < 50%
- 3. Net debt / 12 months rolling EBITDA according to IFRS < 3
- 4. Max 2.5 years accumulated unpaid option premium

3. Net debt / 12 months rolling earnings before depreciation

4. Max 2.5 year accumulated unpaid option premium

- 1. Equity > NOK 1.8bn
- 2. Debt ratio < 40%
- and tax according to NGAAP < 3
- 
- 5. > 500 units under production
	- Calculated as an average over the last 12 months
	- For joint ventures, SBO's share of the projects is used
- 6. Sales ratio > 60% for units under production
- 7. Outstanding seller credits < 50% of the SBO equity
	- facilities, to cover 10% of outstanding seller credits
	- \* See note 11 in the Q3 2024 report for additional information

- SBO must have free liquidity available, including available credit

### Before 1.1.2025 From 1.1.2025\*

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

![](_page_67_Figure_2.jpeg)

### 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<br>land for development                                                                            | Project design                                                                                                                                           | Contracting, marketing<br>and pre-sales                                                                             | Construction and sales                                                                                                                     | Delivery to customers                       |
|--------------------------|-----------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------|
| Project<br>margin<br>20% | ·<br>Buy (i) options on unzoned<br>land or (ii) ready-to-build<br>land<br>·<br>Opitmize project for zoning<br>process | ·<br>Optimize project design<br>-<br>Net/gross-factor<br>-<br>Tailor to meet market<br>demand price/quality<br>·<br>Plan and prepare<br>for construction | ·<br>Pre-marketing<br>·<br>Competitive tender for<br>construction<br>·<br>60% pre-sale before<br>construction start | ·<br>Fixed-price contracts<br>·<br>Prices on remaining 40%<br>increased gradually<br>·<br>Construction financed with<br>construction loans | ·<br>Target 100% sale at delivery           |
| 15%                      |                                                                                                                       |                                                                                                                                                          |                                                                                                                     |                                                                                                                                            | Project margin<br>18%                       |
| 10%                      |                                                                                                                       |                                                                                                                                                          |                                                                                                                     |                                                                                                                                            |                                             |
| 5%                       |                                                                                                                       |                                                                                                                                                          |                                                                                                                     |                                                                                                                                            |                                             |
| 0%                       |                                                                                                                       |                                                                                                                                                          |                                                                                                                     |                                                                                                                                            |                                             |
|                          | Land acquired with minimum<br>10% project margin                                                                      | Adding value through<br>building permits and<br>area utilisation                                                                                         | Value added when achieving<br>60% pre-sale                                                                          | Maximising price in<br>accordance with market                                                                                              | Delivery in accordance with<br>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 | PROJECT CALCULATIONS      |        |  |
|----------------------------------------|----------------------------|----------------------|---------------------------|--------|--|
|                                        | 1<br>BEFORE URBAN PROPERTY |                      | 2<br>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**

**2**

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

![](_page_69_Picture_3.jpeg)

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

## Substantial portfolio for development

![](_page_70_Figure_3.jpeg)

![](_page_70_Picture_9.jpeg)

![](_page_70_Figure_4.jpeg)

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

### Total land bank portfolio at 30.6.2025

Units

### Number of units sold - gross and net

### Number of units sold

![](_page_71_Figure_3.jpeg)

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 Q3 23 Q4 23 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Q2 25

Units sold net Gross-net

Units

![](_page_71_Figure_8.jpeg)

### Value of units sold - gross and net

### Sales value of units sold

![](_page_72_Figure_3.jpeg)

574

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 Q3 23 Q4 23 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Q2 25

Sales value of sold units (net) Gross-net

NOK million

![](_page_72_Figure_8.jpeg)

## Income statement highlights Q2 2025 (IFRS)

![](_page_73_Figure_1.jpeg)

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

## Income statement highlights H1 2025 (IFRS)

![](_page_74_Figure_1.jpeg)

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

## Income statement highlights Q2 2025 (NGAAP)

![](_page_75_Figure_1.jpeg)

<sup>\*</sup> 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.

## Proforma\* income statement highlights H1 2025 (NGAAP)

![](_page_76_Figure_1.jpeg)

<sup>\*</sup> Include SBO share of JV projects

<sup>\*\*</sup> 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.

### Income statement IFRS

![](_page_77_Picture_3.jpeg)

| (figures in NOK million)                | Q2 2025 | Q2 2024 | 1H 2025 | 1H 2024   | 2024      |
|-----------------------------------------|---------|---------|---------|-----------|-----------|
| Total operating revenues                | 261.4   | 620.2   | 428.4   | 1 247.9   | 1 971.0   |
| Project expenses                        | (208.2) | (489.9) | (339.0) | (1 005.8) | (1 580.3) |
| Other operating expenses                | (61.7)  | (58.8)  | (121.9) | (119.6)   | (255.0)   |
| Associated companies and joint ventures | 6.2     | 27.4    | 0.3     | 44.3      | 72.3      |
| EBITDA                                  | (2.2)   | 98.9    | (32.2)  | 166.8     | 208.0     |
| Depreciation and amortisation           | (1.6)   | (2.4)   | (3.2)   | (4.6)     | (9.8)     |
| Other gains (loss)                      | -       | -       | -       | -         | -         |
| EBIT                                    | (3.9)   | 96.6    | (35.4)  | 162.2     | 198.2     |
| Net financial expenses                  | 4.8     | (4.7)   | 6.1     | (3.3)     | 11.0      |
| Profit/(loss) before taxes              | 1.0     | 91.9    | (29.3)  | 158.9     | 209.2     |
| Income taxes                            | 0.6     | (12.5)  | 9.9     | (23.6)    | (32.2)    |
| Net income                              | 1.6     | 79.4    | (19.4)  | 135.3     | 177.0     |

### Balance sheet

![](_page_78_Picture_3.jpeg)

| (figures in NOK million)                                | Q2 2025 | Q1 2025 | Q2 2024 | 2024    |
|---------------------------------------------------------|---------|---------|---------|---------|
| Intangible assets                                       | 383.4   | 383.4   | 383.4   | 383.4   |
| Property, plant and equipment                           | 6.8     | 7.4     | 12.2    | 7.9     |
| Investments in associated companies and joint ventures  | 284.5   | 277.3   | 244.0   | 276.6   |
| Other non-current assets                                | 803.3   | 757.2   | 650.3   | 766.8   |
| Total non-current assets                                | 1 478.1 | 1 425.3 | 1 290.0 | 1 434.6 |
| Inventories (property)                                  | 4 653.0 | 4 228.3 | 2 933.4 | 3 257.8 |
| - Land                                                  | 493.3   | 635.3   | 633.5   | 641.1   |
| - Land held for sale                                    |         |         |         |         |
| - Work in progress                                      | 3 915.6 | 3 258.6 | 1 651.9 | 2 150.2 |
| - Finished goods                                        | 244.2   | 334.4   | 647.9   | 466.5   |
| Other current receivables                               | 96.0    | 85.1    | 120.6   | 83.0    |
| Cash and cash equivalents                               | 264.3   | 319.1   | 198.9   | 383.6   |
| Total current assets                                    | 5 013.4 | 4 632.6 | 3 252.9 | 3 724.4 |
| TOTAL ASSETS                                            | 6 491.4 | 6 057.9 | 4 542.8 | 5 159.0 |
|                                                         |         |         |         |         |
| Equity attributed to shareholders in Selvaag Bolig ASA* | 2 250.7 | 2 365.9 | 2 340.3 | 2 385.4 |
| Non-controlling interests                               | 7.9     | 7.9     | 7.9     | 7.9     |
| Total equity                                            | 2 258.6 | 2 373.8 | 2 348.1 | 2 393.2 |
| Non-current interest-bearing liabilities                | 1 485.7 | 1 075.6 | 336.9   | 935.4   |
| Other non-current non interest-bearing liabilities      | 691.3   | 673.3   | 562.8   | 630.6   |
| Total non-current liabilities                           | 2 177.0 | 1 748.9 | 899.6   | 1 566.0 |
| Current interest-bearing liabilities                    | 1 613.6 | 1 582.5 | 881.0   | 677.7   |
| Other current non interest-bearing liabilities          | 442.2   | 352.7   | 414.1   | 522.0   |
| Total current liabilities                               | 2 055.8 | 1 935.2 | 1 295.1 | 1 199.7 |
| TOTAL EQUITY AND LIABILITIES                            | 6 491.4 | 6 057.9 | 4 542.8 | 5 159.0 |

## Cash flow statement

![](_page_79_Picture_3.jpeg)

| (figures in NOK million)                                                                | 1H 2025          | 1H 2024         | 2024           |
|-----------------------------------------------------------------------------------------|------------------|-----------------|----------------|
| Net cash flow from operating activities                                                 | (1 384.5)        | 235.0           | 87.1           |
| Net cash flow from investment activities                                                | (16.9)           | 25.9            | 23.2           |
| Net cash flow from financing activities                                                 | 1 282.0          | (328.4)         | 6.8            |
| Net change in cash and cash equivalents<br>Cash and cash equivalents at start of period | (119.3)<br>383.6 | (67.6)<br>266.5 | 117.1<br>266.5 |
| Cash and cash equivalents at end of period                                              | 264.3            | 198.9           | 383.6          |

### Operational highlights – key operating figures

|                                                       | Q2 24 | Q3 24 | Q4 24 | Q1 25 | Q2 25 |
|-------------------------------------------------------|-------|-------|-------|-------|-------|
| Units sold                                            | 207   | 100   | 122   | 169   | 106   |
| Construction starts                                   | 95    | 43    | 298   | 183   | 171   |
| Units completed                                       | 105   | 5     | 168   | -     | 18    |
| Completed unsold units                                | 119   | 87    | 81    | 50    | 40    |
| Completed sold units pending delivery                 | 41    | 23    | 26    | 23    | 11    |
| Units delivered                                       | 127   | 54    | 172   | 34    | 40    |
| Units under construction                              | 661   | 700   | 829   | 1 012 | 1 165 |
| Proportion of sold units under construction           | 66 %  | 67 %  | 61 %  | 64 %  | 62 %  |
| Sales value of units under construction (NOK million) | 4 211 | 4 495 | 6 134 | 7 153 | 8 223 |

### EBITDA Q2 2025

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

|                                                                                        | Property    |        |         |
|----------------------------------------------------------------------------------------|-------------|--------|---------|
| (figures in NOK million)                                                               | development | Other  | Total   |
| Operating revenues                                                                     | 583.3       | 15.6   | 598.9   |
| Project expenses                                                                       | (479.9)     | 0.2    | (479.7) |
| Other operating expenses                                                               | (14.7)      | (47.8) | (62.5)  |
| EBITDA (percentage of completion)                                                      | 88.7        | (31.9) | 56.8    |
| Note: Construction costs are exclusive of financial expenses in the segment reporting. |             |        |         |
| IFRS EBITDA for the quarter, per segment                                               |             |        |         |
| Operating revenues                                                                     | 245.8       | 15.6   | 261.4   |
| Project expenses                                                                       | (208.4)     | 0.2    | (208.2) |
| Other operating expenses                                                               | (14.7)      | (47.0) | (61.7)  |
| Share of income (losses) from associated companies                                     |             |        |         |
| and joint ventures<br>Other gain (loss), net                                           | 6.2         | -      | 6.2     |
| EBITDA                                                                                 | 28.9        | (31.1) | (2.2)   |
| Units in production                                                                    | 1 165       | N/A    | N/A     |
| Units delivered                                                                        | 40          | 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 cash deposit
- · High level of home ownership
	- · 82% (one of the world's highest)
- · Economic benefits for home owners
	- · 22% of mortgage loan interest payments are tax-deductible
	- · Transfer stamp duty for new houses is significantly lower than for secondhand homes
- · Strong population growth
	- · Norway's urban areas are among the fastest-growing in Europe
	- · Good market for new homes

![](_page_82_Picture_14.jpeg)

Source: Selvaag Bolig and Eurostat.

### Total household debt and homeownership

![](_page_83_Figure_1.jpeg)

Source: OECD, Statista.

## Price development Norway and selected regions (2005-25)

Price development (rebased 1.1.2005)

Source: Eiendomsverdi.

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

![](_page_84_Figure_2.jpeg)

## Population growth in Oslo and Akershus remains high

![](_page_85_Figure_1.jpeg)

Source: Statistics Norway, per Q4 2024

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

## Immigration increases demand over time

# of years in Norway

![](_page_86_Figure_2.jpeg)

Source: Statistics Norway.

### Norway – relatively limited volatility

### GDP growth 2022 - 2027e Unemployment 2022 - 2027e

### Population growth 2024 - 2030e and 2040e Interest rates\* 2021 - 2026e

Source: Bloomberg, UN

![](_page_87_Figure_6.jpeg)

![](_page_87_Figure_2.jpeg)

![](_page_87_Figure_7.jpeg)

![](_page_87_Figure_8.jpeg)

![](_page_87_Figure_4.jpeg)

\*Central bank policy rates

### Healthy macroeconomics

Real economy 2020 - 2027e Demand 2020 - 2027e

### Wages & disposable income 2020 - 2027e Prices & interest rates 2019 - 2027e

![](_page_88_Figure_7.jpeg)

![](_page_88_Figure_2.jpeg)

### 10% 15%

![](_page_88_Figure_4.jpeg)

![](_page_88_Figure_9.jpeg)

![](_page_88_Figure_6.jpeg)