Slides
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1 Six Months Results 2026 Investor Presentation
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2 2 16.1% Revenue Growth Following Significant Investments Investments in Core Areas Drive Real Revenue Growth ▪ Rental income grew by 16.1% year-on-year and total operating income by 15.4% ▪ EBITDA totaled ISK 5,830m, increasing by 14.6% year-on- year. ▪ Net profit of ISK 4,568m. ▪ The earnings guidance for the year has been updated to reflect inflation and the development of rental income.. Strong Real Revenue Growth ▪ The equity ratio remains strong at approximately 32.1%. ▪ The LTV ratio remains moderate at 61.6%. ▪ Total investment year-to-date amounted to just over ISK 6bn. ▪ Financing of investment projects and the extensive refinancing carried out during the year has been completed. ▪ The Green Financing Framework has been renewed. Strong Financial Position ▪ Investment in high-quality properties in core areas is the key driver of real revenue growth. ▪ Treasury shares purchased for approximately ISK 1bn in the first half of the year, in addition to an ISK 780m dividend payment. ▪ The total purchase value of treasury shares could amount to approximately ISK 2 billion during the year. Clear Strategy in Word and in Action
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3 3 58% 60% 62% 64% 74% 0% 20% 40% 60% 80% 100% 4bn 6bn 8bn 10bn 2021 2022 2023 2024 2025 Heimar – An Attractive Investment With Solid Fundamentals EBITDA EBITDA/Rental Income 74% of rental income comes from properties located in core areas Proportion of Green Assets Proportion of Green Financing Change in Carbon Footprint per m2 from 2019 43% 44% -8% EBITDA Development Rental Income from Core Areas Key Sustainability MetricsLTV Ratio Resilient Revenue Base Inflation-linked revenues tied to long-term leases. Strengthening Sustainable Revenues Examples include revenues from parking, EV charging, and advertising displays. Eight Core Areas Identified Core areas with strong value growth potential in the capital region and Akureyri. Diversified Assets a Key Focus Shaping vibrant urban environments through a mix of commerce, services, housing, and leisure. Driving Sustainability Forward 43% of the company’s portfolio qualifies as green assets, with an even higher share targeted. Green Assets Lower costs, enable green bond issuance, and boost appeal to global investors and lenders. Deleveraging Objective Reduces risk in a rising interest rate environment. Strong Financial Position Creates increased capacity for dividends along with flexibility to seize market opportunities. A Reliable and Responsible Investment Opportunity Core Areas, Clear Strategy and Strong Execution Sustainability and Social ResponsibilityModerate LTV Ratio
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4 Strong Revenue Growth: 11.3% Real Growth Year-on-Year Key Operating and Balance Sheet Metrics Remain Strong Operations 16.1% (11.3% real growth) Rental Income Increases year- on-year 14.6% (9.7%real growth) EBITDA Increasesyear-on-year 70.0% (71.0%) EBITDA % of Rental Income 96.0% (97.0%) Occupancy Rate Profitability 7.7bn (1.4bn) Fair Value Adjustment of Investment Properties 4.6bn (1.1bn) Profit after Tax 5.1% (5.3%) Yield of Investment Properties 11.8% (3.5%) Return on Equity Financial Position 146bn (131bn) Interest-Bearing Liabilities 243bn (219bn) Investment Properties 61.6% (61.6%) LTV Ratio 32.1% (32.2%) Equity Ratio (6M 2025)
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5 EV Charging Stations 185 Average Lease Terms 6 years Total Squaremeters 392 (thousand) Rental Income from Core Areas 74% Proportion of Green Buildings (m2) 43% Customers 420 Occupancy Rate 96% Properties in the Portfolio 98 Proportion of Green Financing 44% Public Entities and Listed Companies 42% m2 Located Within Core Areas 69% Investment Properties 243 (ISK bn) Purposeful Steps Toward Clear Goals Clear Strategic Focus Delivers Measurable Results
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6 The Company’s Strategy is Clear and Delivers Strong Results Disciplined Operations and Strategic Investments % of Rental Income Long Term Goal In recent years, Heimar has focused on investing in properties in designated core areas. According to the company’s investment strategy, property location is a key factor in investment decisions. 74% 70 - 80% Core Areas A strong client base reduces counterparty risk for Heimar. The company has invested in recent years to increase the number of listed companies among its clients. 11% 10 - 15% Listed Companies Heimar established early on a vision to place special emphasis on collaboration with public entities. 31% 30 - 40% Public Entities Heimar are committed to being leaders in the development of core areas, with a focus on sustainable property management that promotes community welfare, improved quality of life, and the environment for residents. 44% 50% Green Assets
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Finance and Operations
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8 Income Statement, ISK million 6M 2026 6M 2025 Δ % Rental Income 8,325 7,169 16.1% Other Income 420 409 2.7% Operating Income 8,745 7,578 15.4% Operating Costs of Investment Properties -1,780 -1,464 21.6% Operations Within Real Estate -655 -599 9.3% Administrative Costs -480 -427 12.4% Operating Profit Before Fair Value Adjustment(EBITDA) 5,830 5,088 14.6% EBITDA as Proportion of Rental Income 70.0% 71.0% Fair Value Change and Depreciation 7,634 1,382 Operating Profit After Valuation Change 13,463 6,471 Net Financial Expenses -7,784 -5,092 52.9% Share in the Profits of Associates 31 -13 Profit Before Income Tax 5,710 1,393 309.9% Income Tax -1,142 -279 Profit for the Period 4,568 1,114 310.1% Strong Nominal and Real Revenue Growth Profit Increases Year-on-Year Rental Income ISK million EBITDA ISK million 4.6 billion Profit For the Period 6M 24 6M 25 6M 26 7,169 8,325 +16.1% 6M 24 6M 25 6M 26 5,088 5,830 +14.6% 6,831 4,871
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9 337 223 597 Real Revenue Growth Revenue Development Million ISK 6M 2025 – 6M 2026 ▪ Rental income grew by 16.1% year-on-year. ▪ Price levels increased by 4.9% year-on-year. ▪ Real revenue growth of 11.3% year-on-year. ▪ Changes in the property portfolio positively affect year on- year revenue growth . ▪ Revenue growth of 8.1% on a like-for-like portfolio . ▪ Real revenue growth of 3.1% on a like-for-like portfolio . ▪ The expiry of sublease agreements reduces rental income by 1%. ▪ 26 lease agreements were signed in Q2 2026 for approximately 9,100 square meters. Investments Driving Strong Revenue Growth 7,169 8,325 6M 2025 Inflation Increase Above Inflation Change in Property Portfolio, Net 6M 2026 +16.1%
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10 622 568 685 492 62 70 146 257 High-Quality Properties Reliable Tenants Low Write-Offs Accounts Receivable: Strong Tenant Mix Mitigates Risk 2023 2024 2025 6M 2026 684 638 Receivables > 30 Days Overdue Receivables ≤ 30 Days Overdue High-Quality Tenant Base with Strong Oversight Accounts Receivable, Net at Period End Million ISK 3 15 35 Write-Offs Million ISK 832 749 32
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11 30.06.26 31.12.25 Investment Properties and Associates 248,661 234,621 Other Assets 1,040 1,036 Current Assets 6,563 4,748 Total Assets 256,263 240,405 Interest-Bearing Liabilities 145,939 134,468 Other Liabilities 28,040 26,455 Total Liabilities 173,978 160,922 Equity 82,284 79,483 Balance Sheet Million ISK Equity Ratio Development LTV Ratio Development High Equity Ratio and Low Leverage Ratio 31.0% 31.0% 31.8% 31.9% 32.2% 32.4% 33.1% 32.3% 32.1% 6M24 9M24 12M24 3M25 6M25 9M25 12M25 3M26 6M26 63.0% 63.5% 62.5% 62.8% 61.6% 60.6% 60.3% 61.4% 61.6% 6M24 9M24 12M24 3M25 6M25 9M25 12M25 3M26 6M26 Net LTV Ratio 59.6% Net LTV Ratio Including Associates 58.1%
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12 12 Positive Fair Value Change of ISK 7.7bn ▪ Inflation the primary driver of valuation changes. ▪ WACC at the end of the quarter was 6.47% compared to 6.48% at year-end 2025. ▪ ISK 6.2bn invested year-to-date.
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13 Interest Rate Reductions Positively Impact Portfolio Valuations and Lower Interest Expenses Impact on the Value of Investment Properties Reduction in Interest Rates → Lower Yield Requirement Yield Requirement – WACC 0.50% Valuation of Investment Properties ISK 19bn 0.00% -0.25% -0.50% -0.75% -1.00% -2.00% ISK 0-371mImpact on Interest Payments A simple illustrative example of the impact of lower interest rates The question is: What impact will falling interest rates have on Heimar’s operations and balance sheet?
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14 0bn 2bn 4bn 6bn 8bn 10bn 12bn 14bn 16bn 18bn 2026 2027 2028 2029 2030 2031 ▪ No refinancing requirement through year-end 2026. ▪ The bond series HEIMAR50 GB was increased by ISK 2,500m and HEIMAR230628 GB by ISK 1,400m during the quarter. ▪ Approximately 44% of the company’s total interest- bearing debt qualifies as green financing. ▪ Approximately 27% of interest-bearing loans are bank loans. ▪ The effective average interest rate on indexed loans was 3.48% at the end of the quarter, an increase of 4 bps since year-end. ▪ Refinancing of bank loans maturing in 2027 has been fully completed. No Refinancing Need in 2026 Final Maturities* 2026-2031 *Financing maturing in 2032-2050 is not included in the graph. Green Financing 44% of Interest-Bearing Debt Bonds Bank Loans
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15 15 Heimar's 2026 Earnings Guidance – Updated ▪ The earnings guidance for the year has been updated to reflect inflation and the development of rental income. ▪ EBITDA is operating profit before fair value adjustment. ISK 16,850-17,200m Projected Rental Income ISK 12,050-12,400m Projected EBITDA Earnings guidance shifted by ISK 250m
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Shareholders
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17 - 0,20 0,40 0,60 0,80 1,00 1,20 7.2025 10.2025 1.2026 4.2026 7.2026 82 20 154 Shareholder-Focused: Intrinsic Value is the Buyback Benchmark P/B Ratio Adjusted For Non-Interest-Bearing Deferred Tax Liability ISK 102bn Equity + Deferred Tax Liability Adjusted P/B P/B Ratio P/B Ratio Development Over Time 52.5ISK/Share Intrinsic Value Adjusted For Deferred Tax Liability Other Liabilities Deferred Tax Liability Equity 256 Equity and Liabilities Billion ISK ISK 1,500m Share Buyback 0.67 ISK 1,000m Share Buyback Total purchase value of treasury shares since July 2025: ISK 2,500m 0.83 1.2 1 0.8 0.6 0.4 0.2 0
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18 Omega fasteignir ehf. Túnsteinn ehf. Sigla ehf. Brimgarðar ehf. Kristinn ehf. FM eignir 1 ehf. FM eignir 2 ehf Lífeyrissjóður starfsmanna ríkisins Lífeyrissjóður verzlunarmanna Birta lífeyrissjóður Gildi - lífeyrissjóður Brú lífeyrissjóður Stapi lífeyrissjóðu r Almenni- Lífsverk lífeyrissjóður Frjálsi lífeyrissjóðurinn Söfnunarsjóður lífeyrisréttinda Aðrir EinkafjárfestarLífeyrissjóðir 20 Largest Shareholders of Heimar Distribution Nr. Name Shares % ∆* 1 Omega fasteignir ehf. 252,273,929 13.01% - 2 Lífeyrissjóður starfsmanna ríkisins 192,787,919 9.94% - 3 Lífeyrissjóður verzlunarmanna 163,778,141 8.44% - 4 Birta lífeyrissjóður 140,998,187 7.27% 5 Gildi - lífeyrissjóður 132,395,988 6.83% 6 Brú lífeyrissjóður 126,874,687 6.54% 7 Stapi lífeyrissjóður 80,064,062 4.13% 8 Túnsteinn ehf. 70,000,000 3.61% - 9 Sigla ehf. 67,000,000 3.45% - 10 Almenni-Lífsverk lífeyrissjóður 64,498,644 3.33% - 11 Vanguard 61,817,584 3.19% 12 Brimgarðar ehf. 57,924,483 2.99% - 13 Frjálsi lífeyrissjóðurinn 51,441,414 2.65% - 14 Íslandsbanki hf. 47,787,131 2.46% 15 Söfnunarsjóður lífeyrisréttinda 39,493,269 2.04% - 16 Arion banki hf. 34,331,550 1.77% 17 Stefnir hf. 32,142,519 1.66% 18 Kristinn ehf. 28,000,000 1.44% - 19 FM eignir 1 ehf. 25,771,241 1.33% - 20 FM eignir 2 ehf 25,771,240 1.33% - 20 Largest 1,695,151,988 87.4% Shareholders on 21.08.2026 * Change in number of shares since 08,05,2026 5.0% Pension Funds Private Investors Other Shareholders Foreign Shareholders
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19 30 31 32 33 34 35 36 37 38 31.3.2026 30.4.2026 31.5.2026 30.6.2026 Heimar’s Shares Share Price Down 1.2% in the Second Quarter -1.2% 33.8 Heimar‘s Share Price Development Closing Price in ISK – Q2 2026 Most Actively Traded Shares on Nasdaq Iceland Average Daily Turnover in million ISK – Q2 2026 Heimar had the 15th highest avg daily turnover in Q2 2026 664 400 158 155 144 144 117 106 76 75 70 67 60 56 55 ISB ARION FESTI BRIM HAGA REITIR OCS KVIKA ALVO AMRQ SIMINN SKAGI SJOVA ICEAIR HEIMAR
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20 Heimar's Financial Calendar Q3 2026 Results Annual Results 2026 Annual General Meeting 2027 November 5, 2026 February 11, 2027 March 11, 2027
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Building Tomorrow Today
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APPENDIX Leasing
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24 24 26 Lease Agreements Signed in Q2 2026 Renewed Agreements ~5,030 m2 17 New Agreements ~4,040 m2 26 Total Agreements ~9,070 m2 9 Tryggja ehf. Vottunarst ofan Tún ehf.Ríkiseignir Nox Medical ehf . Unio Digital ehf. BBA Fjeldco ehf. App Dynamic ehf. Klasi ehf. Sigla ehf. Sunnuhlíðar apótek ehf. Epal Design ehf. Bitter ehf. Líf og List ehf. Tiger Ísland ehf. Skrifstofa Verslun og þjónustaOffices Commercial
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25 IHCP ehf. Silfursmári 12 510 Q3 FSRE/HSN Sunnuhlíð 12 247 Q3 Elko Smáralind 210 Q3 Metta Sport Sunnusmári 2 654 Q3 Sjúkraþjálfun Akureyrar Sunnuhlíð 12 170 Q3 Newbie Smáralind 181 Q3 Indverska torgið ehf. Hafnartorg 14 Q4 Ríkiseignir Sunnuhlíð 12 154 Q4 Wise lausnir ehf. Dvergshöfði 4 3,267 Q1 27 Kópavogsbær Smáralind 900 Q1 27 Sunnuhlíðar Apótek ehf. Sunnuhlíð 12 228 Q1 27 Öldungur, expansion Sóltún 2 3,513 Q3 27 Rarik ohf. Dvergshöfði 4 2,450 Q3 27 Tenant Square MetersProperty Revenue Generating New Revenue Upcoming Deliveries 12,498 m2
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APPENDIX Other Matters
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27 Major Projects with Secured Revenues Sóltún 2 ▪ In June 2025, a new long-term lease agreement was signed for the Sóltún nursing home. ▪ The agreement includes a 3,500 m 2 expansion of the existing nursing home, adding 67 care rooms and bringing the total number of rooms to 159 upon completion . ▪ Construction has commenced , with completion scheduled for autumn 2027. Dvergshöfði 4 ▪ Dvergshöfði 4 will be a 10,300 m 2 high-quality office building across seven floors, plus a parking basement, totaling approximately 14,000 m 2. ▪ Ideally located within Heimar’s new core area at Borgarhöfði; agreements are signed for approximately 60% of the property. ▪ First lease spaces are expected to be delivered in early 2027 under signed agreements. 100% Leased 60% Leased
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28 Smáralind’s Position Continues to Strengthen Continued Growth in Sales and Footfall ▪ The year got off to a strong start at Smáralind , with an even stronger second quarter. ▪ Following the opening of Garðurinn, footfall and tenant sales increased, and the growth continues. ▪ Demand for lease space is strong, and new, attractive stores opened during the quarter. 20% 27% 1F 26 2F 26 18% 21% 1F 26 2F 26 YoY Increase in Visitors YoY Increase in Tenant Sales at Smáralind
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29 Silfursmári 12 High-Quality Office and Commercial Space ▪ Silfursmári 12, approximately 2,700 m 2 of office and commercial space in Smárinn, was added to the portfolio during the quarter. ▪ This is the first property the company has acquired out of Klasi. The site was among the assets the company contributed to Klasi when it acquired a one -third stake in the company. ▪ The acquisition further strengthens Smárinn's position as one of the key core areas in the company's portfolio. ▪ The building is already fully let, reflecting strong demand for rental space in the area.
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30 In early 2025, the company began focused work to identify opportunities and challenges in implementing ancillary revenues. This work is already having a significant impact on operations, and ancillary revenues have evolved from a pilot project into an independent and growing revenue stream. Alongside the 2025 half-year results, the company published an ambitious forecast for ancillary revenues in the coming years. One year later, the outlook for 2026 is approximately ISK 230m and ancillary revenues on an annualised basis approximately ISK 300m, fully in line with the published forecast. The forecast for ancillary revenues is based on realistic implementation in existing properties and infrastructure, with limited investment and low operating costs. 0m 100m 200m 300m 400m 500m 600m 2024 2025 2026 2027 2028 Ancillary Revenue Forecast Base Case High Case Low Case Ancillary Revenues Enhanced Service and New Revenue Streams Outlook for 2026 Annualised Revenues ~ISK 230m ~ISK 300m Ancillary Revenues in Line with the Company’s Plans
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31 Heimar‘s Core Areas 96% 98% Properties acquired from 2018 88,000 m2 | 19 properties Sold Properties 41,000 m2 | 42 properties Properties acquired in 2026 Properties in Core Areas Acquired/Built Before 2018 Acquired Properties Within Core Areas 96% Sold Properties Outside Core Areas 98% 61,000 m2 33,000 m2 80,000 m2 12,000 m2 22,000 m2 56,000 m2
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32 Heimar‘s Largest Properties are in the Heart of Core Areas Key Properties in the Capital Area Gróska Offices, Retail and Services – 24,800 m2 Smáralind Iceland‘s largest shopping center – 62,100 m2 Höfðatorg Offices – 37,867 m2 Egilshöll Sport and entertainment – 33,057 m2 Hafnartorg Retail and services – 11,354 m2 Total 169,000 m2
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33 Other Significant Assets High-Quality Properties in Prime Locations Tryggvagata 14 Hotels and Tourism – 5,004 m2 Mjölnisholt 12-14 Hotels and Tourism – 6,742 m2 Litlatún 3 Retail and Services – 5,261 m2 Austurstræti 16 Hotels and Tourism – 2,773 m2 Áslandsskóli Eduaction and Sports – 6,162 m2 Suðurhraun 3 Offices – 5,963 m2 Total 32,000 m2
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34 Diverse Properties for Public Entities Number of Properties in Core Areas Leased and Operated for Public Entities Primary Schools: • Áslandsskóli in Hafnarfjörður Preschools: • Tjarnarás Hafnarfirði • Hörðuvellir Hafnarfirði • Sjáland Garðabæ • Múlaborg Reykjavík Egilshöll in Reykjavík: • Football Hall • Gymnastics Center • Multipurpose Sports Hall • Ice Rink • Shooting Range • Track and Field Facilities • In addition to leasing the Egilshöll facility, Heimar manages all operations and staffing. Number of institutions rent offices from Heimar for their operations: ▪ Reykjavíkurborg ▪ Akureyrarbær ▪ Landsvirkjun ▪ Vegagerðin ▪ Sýslumaðurinn á höfuðborgarsvæðinu ▪ Tryggingastofnun ▪ RARIK • The National Museum – Conservation and Research Center, Tjarnarvellir 11 • Guesthouse for Refugees and Asylum Seekers. • Icelandic Museum of Design and Applied Art, Garðabær • Sóltún Nursing Home Schools Sport Facilities Offices Other
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APPENDIX Sustainability
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36 A Sustainable Property Portfolio Green Financing Framework Updated ▪ Heimar’s Green Financing Framework has been updated and published . ▪ The Framework defines which projects and assets are eligible for green financing . ▪ The Framework was developed taking into account developments in market practices across the Nordic region . ▪ Focus on the development and operation of environmentally certified properties and improved energy efficiency . The update supports the continued build-up of a sustainable property portfolio , environmental initiatives and responsible financing . BREEAM – Certifications ▪ Egilshöll completed its first In -Use recertification during the period, having been certified originally in 2023. ▪ Initial certification of Dvergshöfði 4 is in progress. ▪ Recertification of Gróska and Katrínartún 2 has commenced.
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37 Improved ESG Performance for Heimar Total score of 85 points in Reitun’s 2026 sustainability assessment ▪ An improvement of one category year - on-year, now rated A3, alongside a 2 - point increase. ▪ Increased accuracy in environmental accounting, publication of a climate policy, and emphasis on environmentally responsible material selection in the sustainability policy. ▪ The company maintains its position on social factors despite increased requirements. ▪ Proud employees and a high NPS score. ▪ An improvement of by one category year-on-year, now rated A3, alongside a 2-point increase. ▪ Rules of procedure and policies updated, a new sustainability policy, and supplier assessment extending beyond tier one. B3 B1 B1 B1 B1 B1 A3 1 2 3 4 5 6 7 8 9 10 2020 2021 2022 2023 2024 2025 2026 Einkunn A1 A2 A3 B1 B2 B3 C1 C2 C3 D 8 15 7 5 4 4 0 5 10 15 20 D C3 C2 C1 B3 B2 B1 A3 A2 A1 Fjöldi útgefenda 6 17 12 2 5 1 0 5 10 15 20 D C3 C2 C1 B3 B2 B1 A3 A2 A1 Fjöldi útgefenda B1 B1 B1 B1 B1 B1 B1 1 2 3 4 5 6 7 8 9 10 2020 2021 2022 2023 2024 2025 2026 Einkunn 1 2 14 16 5 5 0 5 10 15 20 D C3 C2 C1 B3 B2 B1 A3 A2 A1 Fjöldi útgefenda B2 B2 B1 B1 B1 B1 A3 1 2 3 4 5 6 7 8 9 10 2020 2021 2022 2023 2024 2025 2026 Einkunn Environmental Social Governance Development of the Company’s Rating Year-on-Year Rating Distribution of Icelandic Issuers A1 A2 A3 B1 B2 B3 C1 C2 C3 D A1 A2 A3 B1 B2 B3 C1 C2 C3 D 86 points 84 points 86 points
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38 Exemplary Company in Corporate Governance For the eighth consecutive year, Heimar has received Stjórnvísi’s recognition as an Exemplary Company in Corporate Governance. The recognition reflects the company’s emphasis on sound corporate governance , responsible operations and sustainability .
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39 Disclaimers This presentation is based on information from Heimar hf. (hereafter “Heimar”), the company’s management’s plans and assessments, and public information where applicable. This presentation is intended solely for informational purposes and should not be used as part of or the basis for decision-making by its recipients. Heimar therefore cannot guarantee that the information in this presentation is accurate and/or that any conclusions drawn from such information are fully accurate. Under no circumstances can Heimar be held liable for any damage arising from the information presented herein or for any damage that may be directly or indirectly attributed to its use. Any statements referring to projected future performance, intentions, or scenarios describe future outlooks and are subject to various uncertainties and risk factors. Thus, the performance, future developments, and actual outcomes regarding matters presented here may differ from those described, such as if risk factors materialize. Heimar cannot, in any way, be held responsible for any plans, projections, or forecasts coming to fruition. For this reason, recipients are encouraged to take all future projections and intentions in this presentation with caution, and they should not be considered promises of future operational success. Heimar holds the copyright to this presentation and the presentation of information contained herein. Heimar is not obligated to update the presentation, provide further information, or correct any errors that may become apparent, even if the information underlying the presentation changes. Please note that in case of discrepancy in the English and the Icelandic versions, the Icelandic version shall prevail .