Summary of 2025
The CEO statement
Despite a challenging global environment for renewables and lower than planned sales in 2025, Magnora delivered positive results, including a net profit of NOK 9.5 million. The Group held NOK 166.4 million in cash at year‑end. We also completed a successful exit from Hermana Holding ASA, marking the conclusion of our legacy business. At the same time, we responded to market changes by expanding into the data center industry in Norway and Sweden, a strategic move that strengthens our growth platform. By year-end, our overall development portfolio reached 9.9 GW of potential capacity.
During 2025, we increased our footprint in South Africa, Germany and Italy, and we scaled our battery energy storage systems (BESS) portfolios while preparing for grid-capacity auctions. Our South African business advanced several solar, BESS and wind projects, including the Red Sands BESS project, which reached financial close and became Africa’s largest standalone BESS project to do so.
A major strategic milestone was our entry into the data center industry this year. We established Magnora Data Center AB in Sweden and acquired a majority stake in Storespeed AS in Norway. Furthermore, we established Magnora Scale Averøya as a model for data center development through partnerships, and we gained a beach head in Finland where the foundations were laid for the Hämeenlinna fast-track project announced a week into 2026. These moves positioned us to develop a greenfield portfolio of land with grid agreements and permits for hyperscale data centers, leveraging our core competencies in site identification, permitting, and grid access.
While observing shifts in demand in various segments, our experience is a market with an overall strong and persistent demand for quality projects. Underlying drivers like the need for climate action, digitalisation, and lower costs in the value chain drive demand. Supply also varies, but high-quality projects with short lead-time are not abundant. We believe the economics imply that ready-to-build projects will remain in high demand and with limited new supply.
In some markets, we see longer lead times and changing criteria for grid connections, which we prefer to resolve by involving local stakeholders in our development process and though partnering in more mature projects. At the same time, today’s political uncertainty is pushing governments to reassess their dependence on external technology and energy sources. Many are now taking steps to secure greater self‑reliance in both areas.
Our commitment to sustainability remains central. Magnora contributes to the energy transition and the digitalisation of the society by developing projects that deliver environmental and social value. The way we operate is equally important. The Group has a structured approach to sustainability in project development, including the environmental assessments made and the attention on compliance in all our business conduct.
Globally, there is also the environmental aspect of the data center industry. While the industry is accelerating at a remarkable pace, the build‑out of renewable energy is not keeping up. With the expected surge in AI adoption, demand for climate-friendly data centers will continue to rise, and so will the need for clean energy to power them.
Looking ahead, Magnora expects continued income from milestone payments, and we remain focused on profitability, disciplined capital allocation, and delivering high quality projects that contribute meaningfully to the energy and digital transitions.
I would like to thank our employees, investors, customers, partners, and other stakeholders for your dedication and collaboration. Together, we are building a resilient and impactful company for the future.
Erik Sneve, CEO
Key figures 2025 (Group consolidated)
| Measure | 2025 | 2024 | 2023 |
|---|---|---|---|
| Project portfolio and sales: | |||
| Projects/companies portfolio capacity¹ (GW) | 9.9 | 5.7 | 7.2 |
| Sold projects/companies capacity¹ (GW) | - | 0.6 | 0.6 |
| Sold projects/companies proceeds (NOK million) | 58 | 395 | 240 |
| Coverage, employees, environment: | |||
| Countries present (number) | 8 | 8 | 6 |
| Employees (full-time equivalents) | 43 | 33 | 19 |
| Share, female employees (%) | 37 | 42 | 33 |
| Sick leave (%) | 1.4 | 0.6 | 1.0 |
| Lost Time Incidents (number) | 1 | 0 | 0 |
| Environmental Impact Assessments (number) | 11 | 13 | 10 |
| Cash and equity: | |||
| Net cash flow from investment activities (NOK million) | 52.6 | 352.1 | 304.9 |
| Net cash flow from operating activities (NOK million) | -10.0 | -104.9 | 3.0 |
| Cash and cash equivalents, year-end (NOK million) | 166.4 | 254.1 | 347.6 |
| Book equity, year-end (NOK million) | 369.4 | 402.2 | 552.3 |
| Profit and book return: | |||
| Net profit for the year (NOK million) | 9.5 | 579.4 | 178.9 |
| Return on year-end book equity (%) | 3 | 66 | 32 |
| Cash return per share (NOK) | 0.56 | 4.56 | 0.38 |
| ¹ Magnora’s share, including associated companies |
Significant events in 2025
Entry into the data center sector
In 2025, Magnora advanced its position in the digital infrastructure space by entering the data center industry. The company first established Magnora Data Center AB in partnership with one of the Helios co-investors, Peter Nygren, where Magnora has a 67% owner share and has strengthened its development capabilities in Sweden. Later the same year, Magnora and Blix Solutions acquired 75% and 5%, respectively, of Storespeed AS, a Norwegian operator with several years’ track record in efficient and resilient data center operations. In early December, we launched Magnora Scale Averøya, a project to build a high-density AI-ready data center with potential for 100 MW close to Kristiansund. Later in December, we launched 120 MW data center project in Hämeenlinna near Helsinki in Finland.
Financial close reached on large-scale BESS project in South Africa
In South Africa, the 153 MW / 612 MWh Red Sands BESS project reached financial close in July 2025, triggering the final milestone payment to Magnora. Financial close represents the last major step before entering the construction phase. At the time, Red Sands was the largest standalone BESS project in Africa to reach financial close, underscoring both the scale of the development and Magnora’s role in advancing grid‑supporting infrastructure on the continent.
Sale of shares in Hermana Holding ASA
In 2024, Magnora completed the demerger of its legacy business, which generated licence revenue from the design of circular hulls. As part of the transaction, Magnora shareholders received 70 per cent of the shares in the newly established, Hermana Holding ASA, which was listed on the main list of the Oslo Stock Exchange on 18 June 2024. Magnora retained a 30% ownership stake in Hermana following the demerger and subsequently sold its remaining shares on 16 June 2025 after a bid for the shares. As part of the sales process, the Board decided to offer the Hermana shares at the same terms to all Magnora shareholders.
Final milestone payment from legacy business received
The Group received the last payments from the Penguins FPSO, operating on the Penguins field in the UK North Sea. The payments were triggered by production milestones, namely “first oil” and cumulative production of four million barrels of oil equivalent, which was the last milestone of this licensing contract. These proceeds were transferred to Hermana Holding ASA thus settling the demerger receivable established in 2024. The milestone payments amounted to NOK 44.9 million in May and NOK 43.8 million in November, totalling NOK 88.7 million.
Solid growth in project portfolio and multiple sales-ready projects
The project portfolio grew approximately 60% during the year reaching 9.9 GW. This includes both the current projects and the sold projects with further milestone payments expected. Multiple projects are sales-ready, experienced market interest is high, and sales discussions are ongoing in Magnora’s markets and technologies.