Second quarter and half-year 2025

Operating revenue for the quarter amounted to NOK 2.3 million, compared to NOK 2.8 million in the same quarter last year. The decrease reflects a slightly lower level of activities under management service agreements with affiliated companies.

Other income totalled NOK 6.7 million in the quarter, down from NOK 58.9 million in Q2 2024.

The current quarter’s income includes contingent consideration from a previously divested project in South Africa, income from structured funding awarded to support targeted development initiatives in emerging markets, and net gain from the divestment of the Group’s 30% interest in Hermana Holding ASA. No additional earn-out income was recognised from other prior divestments during the period.

The current quarter’s income includes contingent consideration from a previously divested project in South Africa, income from structured funding awarded to support targeted

The Group’s business model focuses on developing and monetising renewable energy projects, with income primarily generated through project divestments. As such, a significant portion of the Group’s earnings is recognised under other income, rather than through conventional operating revenue streams.

Operating expenses for the quarter was NOK 14.5 million, compared to NOK 17.3 million in the same quarter last year.

The decrease primarily reflects elevated costs in the previous year related to the restructuring activities undertaken during first half of 2024 to facilitate the carve-out of Magnora’s legacy licensing business.

Development and M&A costs in Q2 2025 totalled NOK 19.0 million, compared to NOK 13.1 million in the same quarter last year. The increase is attributable to a moderately higher level of activity across the project portfolio.

Net financial items improved to NOK 5.6 million, compared to a net expense of NOK 3.1 million in Q2 2024. The result includes a foreign exchange gain of NOK 5.2 million, reversing prior period losses. Although these items are not tied to operating performance, they contributed positively to the Group’s overall result for the quarter.

The Group recorded a net loss from continued operations of NOK 22.2 million, compared to a net profit of NOK 60.1 million in the same quarter last year. The variance is largely due to the lower level of other income, as the prior year period included significant earnings from project divestments and income from associated companies. The result also reflects increased development spending in support of the Group’s long-term growth ambitions.

As of 30 June 2025, the Group’s cash and cash equivalents amounted to NOK 223.4 million, compared to NOK 229.6 million as of 31 March 2025.

Cash flow from operating activities was a negative NOK 28.2 million, compared to negative NOK 23.2 million in the same quarter of the previous year. The decline reflects increased development spending as the Group continues to build out its project pipeline in both new and existing markets.
Cash flow from investing activities amounted to NOK 35.8 million, up from NOK 27.6 million in Q2 2024. The increase was primarily driven by proceeds of NOK 39.9 million from the divestment of the Group’s 30% interest in Hermana Holding ASA.

Cash flow from financing activities was a negative NOK 13.7 million, compared to a negative NOK 1.1 million in the same period last year. This includes a capital distribution of NOK 11.9 million to shareholders and share repurchases totalling NOK 1.6 million.

Group equity by the end of the quarter was NOK 393.9 million (NOK 402.2 million as of 31 December 2024), representing an equity ratio of 78 percent, up from 70 percent at the end of 2024. The decrease in equity during the quarter is primarily attributable to the distribution of capital to shareholders and share buybacks, partially offset by an increase in share capital resulting following a change in par value.
As of the report date, the Group has undrawn overdraft facilities of NOK 150 million.