Heimar (HEIMAR) investor relations material

Executive summary

• Revenue for the first six months grew by 16.1% year-over-year to ISK 8,745 million, driven by investments in core areas and high-quality properties.

• EBITDA increased by 14.6% year-over-year to ISK 5,830 million, with net profit reaching ISK 4,568 million, a significant rise from the prior year.

• The company maintains a high occupancy rate of 96% and a diversified, high-quality tenant base.

• Fair value changes in investment properties totaled ISK 7.7 billion, driven by price increases and inflation.

• The company holds a strong financial position with an equity ratio of 32.1% and LTV ratio of 61.6%.

Financial highlights

• Rental income rose 16.1% year-over-year to ISK 8,325 million, with total operating income up 15.4%.

• EBITDA margin as a percentage of rental income reached 70%.

• Net profit for the period was ISK 4,568 million, up 310.1% year-over-year.

• Earnings per share for the period were ISK 2.34, up from ISK 0.62 year-over-year.

• Fair value adjustments of investment properties totaled ISK 7.7 billion, with a property yield of 5.1%.

Outlook and guidance

• Earnings guidance for the year was raised, projecting rental income of ISK 16,850–17,200 million and EBITDA of ISK 12,050–12,400 million.

• No refinancing needs through year-end 2026; refinancing for 2027 maturities completed.

• Falling interest rates and inflation trends are expected to positively impact property valuations and reduce interest expenses.

• 94% of rental income is indexed, providing stability against inflation.