Olav Thon Eiendomsselskap (OLT) Q2 2025 earnings summary

Executive summary

• Q2 2025 pre-tax profit was NOK 357 million, up from NOK 286 million in Q2 2024; H1 pre-tax profit reached NOK 1,362 million, up 24% year-over-year.

• Retail sales in shopping centers increased by 3.6–4% year-over-year in Q2 2025.

• Net rental income for Q2 was NOK 839 million (Q2 2024: NOK 829 million); H1 net rental income was NOK 1,757 million (H1 2024: NOK 1,694 million).

• Equity ratio at 50–50.5% and liquidity reserves at NOK 7,420 million at the end of H1 2025.

• Profit dampened by value declines in financial instruments and higher maintenance costs compared to Q2 2024.

Financial highlights

• Q2 2025 pre-tax profit: NOK 357 million; H1 2025 pre-tax profit: NOK 1,362 million.

• H1 2025 gross rental income: NOK 1,982 million (up 4% from H1 2024).

• Fair value adjustments of investment properties in Q2: NOK 26 million (Q2 2024: NOK -328 million).

• Dividend of NOK 7.25 per share paid in Q2; share price up 34% over 12 months.

• Market value of properties at 30.06.2025: NOK 59,767 million (up from 56,641 a year earlier).

Outlook and guidance

• Solid market position and strong financials expected to support continued good operating results.

• Norges Bank cut policy rate to 4.25% in June 2025, with further cuts likely in H2 2025.

• Lower interest rates and high wage growth anticipated to boost disposable income and private consumption.

• Transaction activity in real estate expected to rise as investor sentiment improves.

• Persistent geopolitical uncertainty and high interest rates continue to create macroeconomic uncertainty.