Borgestad ASA

Investor Presentation • Oct 31, 2025

Presentation Q3 2025

1. October 2025

1	Highlights and Key Figures
2	Introduction
3	Real Estate Segment Review
4	Industry Segment Review
5	Financials
6	Outlook

Highlights and Key Figures

Highlights

• In Q3'25, Borgestad Group delivered a result before tax of MNOK 47.0, compared to MNOK 44.1 in Q3'24. 1
• Höganäs Borgestad delivered a better quarter compared to Q3'24, reporting revenues of MNOK 333.3 and an EBIT of MNOK 49.6, compared to MNOK 340.4 and MNOK 45.5 Q3'24. 2
• Agora Bytom delivered an EBITDA of MNOK 10.3 in Q3'25, compared to MNOK 10.3 in Q3'24 3

Key Figures

	3rd qı	uarter	First 9	months
MNOK	2025	2024	Adj. 2025*	2024
Operating income	354	360	876	919
EBITDA	65	63	103	117
Depreciation & impa. of intang. ass.	11	11	29	28
Operating profit (EBIT)	54	52	74	89
Profit before tax	47	44	49	73

MNOK	30.09.2025	30.09.2024
Cash	133	132
Available liquidity at end of period	145	162
IBD	497	474
NIBD	363	364
NIBD/ adj. EBITDA LTM	2.9	2.5
Equity ratio	51%	53%

1	Highlights and Key Figures
2	Introduction
3	Real Estate Segment Review
4	Industry Segment Review
5	Financials
6	Outlook

Borgestad ASA is an industrial investment company focused on real estate and refractory, aiming to expand into niche segments in the future

• Operate as a publicly listed investment company, currently focused on real estate and the refractory industry
• Strengthen existing investments through operational improvements
• Expand into niche segments with consolidation potential
• Leverage the networks and expertise of management and the Board to unlock new opportunities

Strategy Key tools

The right team

Effective use of capital

Measure everything and develop KPI's

M&A

Our portfolio includes the shopping center Agora Bytom and the refractory company Höganäs Borgestad, both dominant in their respective markets

Agora Bytom shopping center in Poland is the largest investment of the Group, accounting for over half of the balance sheet. Agora Bytom is centrally located in the Silesian region of Poland and holds a strong market position in its primary catchment area

Höganäs Borgestad is a manufacturer and supplier of refractory quality products, installations and solutions that are essential for industrial high-temperature processes exceeding 1,200°C in various industries such as steel, cement, and aluminum

Gross area 52,000 m² Parking spaces 820

BOR share 100%

Refractory production since 1825

Presence NOR, SWE, FIN

Lettable area 33,630 m² Annual visitors 4.8 million

Employees 350+

BOR share 69.7%

1	Highlights and Key Figures
2	Introduction
3	Real Estate Segment Review
4	Industry Segment Review
5	Financials
6	Summary and outlook

Agora Bytom delivers increased revenue and EBITDA, and continue to increase occupancy rate.

Latest trends and developments

• Margin improvements through revenue growth and cost reductions increased EBITDA from MNOK 41.3 in 2024 to MNOK 43.5 in Q3 LTM'25.
• As of September 30, 2025, occupancy based on signed leases was at 95.5 percent, an increase of 0.7 percent since June 30. Per September 30, 2025 the total leasable area stands at 33,630 sqm
• At the date of this report the estimated occupancy based on signed leases stands at 97.0 percent and leasable area increased to 33.980 sqm, by converting common area.
• Occupancy rate is estimated to stabilize going forward. Focus is shifting toward renegotiating or replacing lower leases to increase the actual rent per sqm per month
• Borgestad expects revenue and EBITDA to increase slightly in the years to come.

Continued improvement in retail sales and basket, and the Polish economy shows a positive trend

Retail sales (Agora Bytom's tenants' turnover 2022-2025)

Footfall (Agora Bytom's monthly footfall 2022-2025)

Comments

• Tenant turnover increased by 3.7 % in Q3'25 compared to Q3'24, and has increased with 6.2 percent LTM.
• Agora Bytom recorded 4.7 million visitors LTM Q3'25, same as in 2024.

Macroeconomic environment

• Poland's reference interest rate was decreased to 4.5% as of October 2025, a decrease of 125 bps. Since 31.12.24.
• GDP grew by 3.4% YoY in June 2025.
• Registered unemployment stood at 5.5% in September 2025.
• Inflation is decreasing to 2.9 % YoY in September 2025, down from 4.7% in December 2024.
• Consumer confidence increased to -8.3 points in September 2025, compared to -16.7 points in December 2024.

BORGESTAD ASA

Agora Bytom has a diverse tenant base and a healthy weighted average unexpired lease term, ensuring low contract duration risk

Highly diversified tenant base

Lettable area per tenant

Comments WAULT by area: 4.14 years WAULT by income: 3.64 years 000 Due date for top ten tenants are spread, first due date in Q1 2028 Several ongoing negotiations with potential new tenants Expect to enhance space utilization in the coming quarters to drive income growth

1	Highlights and Key Figures
2	Introduction
3	Real Estate Segment Review
4	Industry Segment Review
5	Financials

Profitability increased year-on-year and outlook remains positive with expected profitability growth supported by backlog and implemented improvement measures

Latest trends and developments

• In Q3'25, Höganäs Borgestad delivered a record high EBIT of MNOK 49.6 and an EBIT margin in the quarter of 14.9 percent
• Strong performance continues in Norway and Finland, while subsidiaries in Sweden are starting to show improvements
• Subsidiary managements changes were made, effective from September 1, to boost sales and improve operation efficiency
• Outlook for Q4'25 and 2026 remains good, with a good order backlog and planned activities to increase profitability

The Nordic refractory market is highly seasonal, with Q3 as peak demand – Q3'25 was the strongest quarter ever reported by Höganäs Borgestad

Historical quarterly average revenue share (2021-2024)

Revenue share (% of annual rev.)

Quarterly development of revenue and EBIT¹

Comments

• The Nordic refractory market is highly seasonal, with low activity in Q1 and Q4 due to cold weather, and peak demand in Q3 as customers schedule maintenance during the holiday season
• Seasonality is partly mitigated by using subcontractors and temporary resources during peak periods, helping to manage fixed costs
• After a weak Q1 and Q2 below target level, Q3 delivered record high EBIT despite lower revenue compared to 2024. EBIT-margin above target levels, with a margin of 14.9% for the quarter
• With project lead times of 6–12 months, the impact of current initiatives is expected to materialize through 2026, supported by ongoing costreduction efforts to lower operational leverage

Renewed commercial focus, cost-saving measures, and stronger cross-group cooperation position the group for profitable growth and improved efficiency

LTM turnover and EBIT development¹

Comments

• LTM figures stabilized through Q3'25, and the underlying development is good, following a slowdown in Sweden through first half of 2025
• Structured commercial efforts are underway in Sweden, Finland, and Norway to secure high utilization in the 2025/2026 low season
• Cost-saving initiatives have been implemented to support profitability, and increased focus on cost efficiency will be maintained going forward

Focus going forward

• Drive revenue and profitability with a mid-term EBIT target of 10% or higher through revenue growth and cost cutting measures
• Optimize operational working capital to improve capital efficiency
• Enhance operations by strengthening cross-group cooperation and synergies, while capturing the benefits of recently implemented organizational changes

The municipality's previously announced appeal has been formally accepted for review by the Court, with a decision expected around year-end

Backdrop

• In Q4 2023, Höganäs Borgestad agreed to sell two properties housing the Group's refractory production to Bjuv Municipality, with an option to lease them back for up to five years
• The transaction was later delayed following a complaint claiming the purchase price was too high, leading to a review by the Administrative Court in Malmö
• In March 2025, the Administrative Court ruled to revoke Bjuv Municipality's approval of the transaction, citing insufficient documentation to support the valuation of the two properties

Status

• Bjuv Municipality appealed the Administrative Court's ruling in March, submitting updated documentation in early April
• Initial feedback was received prior to the summer, confirming that the appeal has been accepted for review with an estimated processing time of 9–10 months from the date of submission
• Bjuv Municipality and Höganäs Borgestad have extended the Long Stop Date from 31.12.25 to 31.12.26

BORGESTAD ASA

1	Highlights and Key Figures
2	Introduction
3	Real Estate Segment Review
4	Industry Segment Review
5	Financials
6	Outlook

Profit increase in Q3'25 compared to Q3'24, driven by increased profitability in Höganäs Borgestad

Comments

• Over the last twelve months Borgestad Group has a revenue of MNOK 1,126.2 and an adjusted EBITDA of MNOK 125.0
• Borgestad Group's EBITDA was MNOK 64.7, an increase from MNOK 63.3 in Q3'24. The increase in EBITDA was due to a good performance within refractory segment in the quarter.
• Net financials were better compared to the same period last year, mainly due to decreased interest rates.

(NOK 1 000) (Unaudited)	Q3'25	Q3'24	First 9 months '25 adj.	First 9 months '24
Revenue and other income	353,503	359,830	876,139	919,316
Materials, supplies and subcontracting	159,133	175,637	400,944	429,951
Salary and personnel expenses	100,747	99,304	284,002	295,598
Other expenses	28,950	21,557	88,547	77,084
Depreciation	10,685	11,110	29,122	27,588
Impairment of intangible assets	-	-	-0	-
Operating cost and expenses	299,514	307,607	802,615	830,221
Operating income/(loss)	53,989	52,222	73,523	89,095
Financial items	-	-
Foreign currency gain/(loss)	-169	168	-231	571
Interest expenses	7,703	9,219	22,808	19,864
Other financial income/(expenses)	903	927	-1,507	2,713
Net financial items	-6,969	-8,124	-24,546	-16,580
Profit before tax	47,020	44,098	48,978	72,515
Income tax	3,678	11,612	9,168	14,641
Profit/(loss) for the period	43,342	32,486	39,810	57,874

17

Working capital stabilized after entering high season, expecting decrease in working capital by end of the year

Comments

• Booked value of investment property decreased due to a weaker NOK against Euro.
• Working capital increased to MNOK 352.1 compared to MNOK 334.8 as of September 30, 2024, mainly due to increase in trade receivables.
• Total interest-bearing debt stood at MNOK 496.7 (474.1 as of September 30, 2025, with net interest-bearing debt at MNOK 363.5 (341.7).
• Debt financing of both Höganäs Borgestad and Agora Bytom with due dates in 2028.
• The property in Bjuv remains classified as held for sale, pending expected court decision.

(NOK 1 000) (Unaudited)	Q3'25	Q3'24	Q4'24
Investment property	719,784	729,419	729,553
Land, buildings	13,862	18,926	12,502
Fixtures, machinery and vehicles	44,289	35,434	42,667
Licences, trade marks and similar rights	11,668	40,153	26,032
Right-of-use assets	37,266	26,993	35,751
Goodwill	100,218	90,487	90,082
Other financial assets	5,682	757	6,248
Deferred tax asset	21,655	17,311	8,941
Total non-current assets	954,424	959,478	951,777
Inventories	143,401	137,172	126,254
Trade receivables	278,626	269,472	139,214
Other receivables	19,688	10,405	11,185
Cash and cash equivalents	133,272	132,342	220,462
Total current assets	574,987	549,390	497,115
Non-current assets classified as held for sale	14,330	16,782	13,907
Total assets	1,543,741	1,525,650	1,462,799

(NOK 1 000) (Unaudited)	Q3'25	Q3'24	Q4'24
Total equity	790,422	806,795	809,032
Interest-bearing debt	342,814	345,895	343,600
Other non-current liabilities	8,910	10,510	10,713
Lease liability	27,736	28,545	24,730
Pension liabilities	5,875	6,040	5,813
Deferred tax	16,417	10,727	8,288
Total non-current liabilities	401,753	401,718	393,144
Interest-bearing debt	52,449	52,233	51,900
Lease liability	15,166	18,424	16,986
Bank overdraft	58,569	28,992	-
Trade payables	69,961	71,809	68,489
Tax payables	11,996	24,754	11,928
Public duties payable	46,341	48,064	28,991
Other short-term liabilities	97,085	72,861	82,330
Total current liabilities	351,567	317,137	260,623
Total equity and liabilities	1,543,741	1,525,650	1,462,799

Negative cash flow from operations and investments, but stabile cash position year-on-year, expect cash to increase before year end

Comments

• The Group's year-to-date cash flow from operating activities was negative with MNOK 63.4 compared to positive MNOK 23.0 in 2024
• Cash flow from investing activities was negative MNOK 28.4 compared to negative MNOK 21.3
• In Q2'25 the Group closed the acquisition of 100 percent of the shares in Emcothech AB. The acquisition a total of MNOK 16.0 was paid. The transaction was settled with a payment of MNOK 11.0 for the shares at closing, subject to adjustment for deviations from historically seasonal working capital levels and net debt as of closing.
• Cash flow from financing activities was positive with MNOK 4.6 year-to-date (negative MNOK 22).
• Available liquidity as of September 30, 2025, was MNOK 145.3 (MNOK 161.6), which includes MNOK 26.3 of undrawn credit facilities.

(NOK 1 000) (Unaudited)	First 9 months '25	First 9 months '24	FY 2024
Cash flow from operating activities before balance changes	64,444	90,873	104,871
+/- Balance changes	-127,873	-67,910	44,430
Net cash flow from operating activities	-63,429	22,963	149,301
Acquisitions of property, equipment and intangible assets	-12,477	-8,415	-12,220
Acquisitions of subsidiaries	-16,027	-13,169	-13,194
Sale of fixed assets	142	253	6,079
Net cash flow from investing activities	-28,362	-21,331	-19,335
Proceeds from borrowings	9,555	-	-
Repayment of borrowings	-13,265	-14,410	-17,161
Net change bank overdraft	58,569	4,894	-24,098
Dividend paid to equity holders of the parent	-28,050	-	-
Dividend paid to minority interests	-6,579	-	-
Payment of principal portion of lease liabilities	-15,629	-12,462	-20,933
Net cash flow from financial activities	4,601	-21,978	-62,192
Cash flow for the period	-87,190	-20,347	67,774
Cash and cash equivalent at beginning of period	220,462	152,688	152,688
Cash and cash equivalent at the end of the period	133,272	132,342	220,462

6	Outlook
5	Financials
4	Industry segment review
3	Real estate segment review
2	Introduction
1	Highlights and key figures

Outlook and Priorities

Höganäs Borgestad remains focused on operational improvements, capital efficiency, and cash flow gains in 2025 and for 2026

Revenue and EBITDA for Agora Bytom are expected to increase slightly in the years ahead, with the impact of increased occupancy rate. Focus is shifting toward renegotiating or replacing lower leases to increase the actual rent per sqm per month

Borgestad will continuously review strategic M&A opportunities and other liquidity events for Agora Bytom while also exploring add -on acquisitions to further strengthen Höganäs Borgestad's position in the Nordic refractory market

Looking ahead, the Board expects the Group to deliver improved underlying results and stronger cash flow, with continued positive margin development in both the refractory and property segments over time. However, progress may vary quarter by quarter due to seasonality, cyclical swings, one -off items, and variations in project activity and potential trade barriers.

Alternative Performance Measures

In order to enhance investors' understanding of the Group's performance the Company presents in this Presentation certain alternative performance measures ("APMs") as defined by the European Securities and Markets Authority its Guidelines on Alternative Performance Measures 2015/1057. The APMs used by the Group, and relevant reconciliations, are set out in the Company's Q3 2025 financial statements on page 24-25.

Disclaimer

Certain statements in this presentation are forward-looking and reflect the Company's current views on future events, financial performance, and operations. These statements can be identified by terms such as "anticipates," "believes," "expects," "intends," "may," "plans," "will," and similar expressions, including negatives or variations thereof.

Forward-looking statements cover the Company's financial position, backlog, pipeline, operating results, liquidity, strategic initiatives, market expansion, and overall business development. They are not guarantees of future performance, and actual outcomes may differ materially due to various risks, uncertainties, and assumptions.

The Company cannot ensure that its expectations will materialize, as forward-looking statements are subject to known and unknown risks, changing circumstances, and external factors beyond its control.