Second quarter and half-year 2026

Magnora

Cash and cash equivalents amounted to NOK 814.1 million as at 30 June 2026 (30 June 2025: NOK 223.4 million). Cash flow from operating activities reflected continued investments in project development and origination activities. Investing activities were limited during the quarter, while financing activities were primarily driven by the net proceeds received from the Magnora ASA private placement completed in May 2026 and the listing of Magnora Data Center ASA.

Total equity amounted to NOK 1,010 million as at 30 June 2026 (31 December 2025: NOK 369.4 million), corresponding to an equity ratio of 92.8%. The increase primarily reflects the private placement completed in May 2026 and the Group's continued strategic focus on expanding its data center business, including the listing of Magnora Data Center ASA during the quarter. Cash and cash equivalents totalled NOK 814.1 million, providing substantial financial capacity for continued project development and investments.

The Group remains exposed to a range of financial, operational, and strategic risks, which are actively monitored and managed across all levels of the organisation. As of the end of the second quarter of 2026, there have been no material changes to the Group’s overall risk exposure or assessment compared to those outlined in the 2025 Annual Report.

The Group is directly and indirectly exposed to fluctuations in electricity prices, auctions, inflation, interest rates, and currency exchange rates, which can all impact investment returns and asset valuations. To mitigate these risks, the Group continuously monitors market developments and forecasts, and proactively adjusts its internal strategies, economic assumptions, and valuation models to reflect changing conditions.

As the Group increases its exposure to capital-intensive projects, it faces elevated liquidity and financing risks. These risks are actively managed through robust financial planning, close collaboration with financing partners, and a phased investment strategy aligned with project milestones and planned divestments.

Changes in renewable energy policies, tax regimes, or regulatory frameworks may impact project timelines and profitability. The Group actively monitors policy developments and government signals to ensure timely adjustments to strategic plans and financial forecasts. Risks related to licensing, municipal veto rights, and concession approvals are mitigated through early stakeholder engagement and geographic diversification, which help reduce exposure to localised regulatory hurdles.

 Ongoing geopolitical tensions and conflicts continue to contribute to volatility across several markets. These developments may disrupt supply chains, alter regulatory environments, and impact trade agreements. The Group actively monitors geopolitical developments and regional market dynamics, updating strategic plans and financial forecasts to mitigate potential impacts. This includes scenario planning, geographic diversification, and close engagement with stakeholders to ensure resilience.

Risks such as delays in permitting, grid access, and land acquisition remain material and can impact project timelines. In addition, global supply chain constraints such as limited availability of key components, may lead to increased costs and scheduling disruptions. The Group mitigates these risks through rigorous due diligence, flexible development timelines, and diversification across geographies and technologies to ensure resilience and execution agility.

Environmental considerations, including biodiversity, habitat protection, and land use can significantly influence permitting processes and project design. At the same time, climate change and the global energy transition continue to drive long-term demand for renewable energy, reinforcing the Group’s strategic direction. The Group integrates environmental factors early in project development and actively engages with stakeholders to ensure compliance and minimise ecological impact.

The Group is exposed to risks related to fraud, corruption, and noncompliance. These are mitigated through a robust internal control framework that includes a code of conduct, anti-corruption policies, IT security protocols, and supplier screening procedures. While exposure to fraud remains limited, the Group maintains vigilance through regular training, oversight, and reporting mechanisms. Compliance is followed up mainly by management on various levels, assisted by central Group functions. Magnora also has a whistleblowing channel on its website.

Cyberattacks and to some extent physical interference targeting infrastructure and businesses has been increasing the recent years. Power production and data centers are natural targets. The Group actively monitors threat intelligence and maintains its cybersecurity posture to safeguard operations, data integrity, and stakeholder trust. In both project development and operations, security receives high and increasing attention. This is increasingly relevant for data centers and renewable energy.

The Group’s performance is closely tied to the expertise and continuity of its highly specialised team. The potential loss of key personnel remains an ongoing risk, particularly in areas requiring deep technical, regulatory, or market knowledge. This risk is mitigated through proactive succession planning, targeted recruitment efforts, and initiatives to retain and develop talent across the organisation.

The renewable energy sector is becoming increasingly competitive, with growing interest from established players and new entrants alike. The Group manages this risk through disciplined project selection and execution, rigorous cost control, and a strong market-oriented approach. By focusing on high-quality, strategically located projects and maintaining operational agility, the Group aims to preserve its competitive edge and deliver sustainable value in a dynamic market environment.

Cash flows from subsidiaries and associated companies are dependent on effective operational execution and the timely achievement of project milestones, introducing both timing and counterparty risk. These risks are mitigated through contractual safeguards, active participation at the board level, and diversification of revenue streams across geographies, technologies, and counterparties to reduce dependency and enhance financial resilience.

The Group maintains a robust risk management framework and continues to focus on the most material uncertainties that could affect financial and operational performance. Risk exposures are reviewed regularly across all business units and governance levels. As of the end of the second quarter of 2026, the Group’s overall risk profile remains consistent with the disclosures provided in the 2025 Annual Report.

We continue to see strong interest from power producers and infrastructure funds in projects with a clear path to grid connection and low permitting risk, though buyers have grown more selective than in previous years. We expect to sell 1–2 projects/clusters per year through 2033, increasing as grid capacity is expanded further.

The data center business is drawing strong attention from investors, customers, and partners. Magnora Data Center ASA became the first pure-play data center share listed in Europe when it began trading on Euronext Growth Oslo on 8 June 2026. The listing delivers better value recognition and gives Magnora Data Center more resources and flexibility to pursue the substantial market opportunity ahead. Magnora ASA remains the largest shareholder, with an active 52.7% stake, and Magnora Data Center now has its own strong, independent Board.

Involving and engaging skilled people is core to Magnora. At our Annual General Meeting in May, the Board of Directors was expanded from three to five members, all with strong technology and commercial expertise: John Hamilton (chair, ex-Panoro CEO), Lars Schedin (CEO at Granode Materials), Jean-François Berche (CTO at GreenScale), Hilde Ådland (Vår Energi), and Hilde Hukkelberg (heading Innovation Norway in the UK). I want to express my sincere gratitude to Torstein Sanness, who stepped down as chairman, for his significant contributions, leadership, and commitment during many years on our Board.

Magnora ASA has in the last quarter transformed from a renewable-energy developer to a diversified energy and data center group. In the renewables segment we have entered a harvesting period with low costs going forward, and all project sales proceeds will appear directly in our net result. In the data center segment, we continued to grow, executed a spin-off, and listed this business separately on Euronext Growth Oslo. Building this business, Magnora Data Center ASA, represents a value creation of NOK 650 million since our first investment in the segment in September 2025. After raising the same amount in the IPO, the company was listed with a NOK 1.3 billion market cap. This was great teamwork, adding to our track record of executing on opportunities, yet most of them still lie ahead of us.

I look forward to continuing to deliver on our ambitions and on our stakeholders' expectations. Please do not hesitate to reach out to me or my colleagues with any questions, ideas or feedback.

Magnora Data Center ASA was listed on Euronext Growth Oslo (ticker: MDATA) on 8 June 2026, becoming the first pure-play data center (DC) share listed in Europe, following a NOK 650 million private placement in the subsidiary that was multiple times oversubscribed. Magnora ASA holds 52.7% of the shares.

The data center IPO displayed a shareholder value creation of NOK 650 million in nine months since Magnora’s first investment in the sector in September 2025. It also enables a more substantial sum-of the-parts valuation of the Magnora share. Mathematically, a 1 NOK share price movement in MDATA impacts Magnora share with a NOK 0.73 price movement in the same direction.

Magnora has as part of the reorganisation during the quarter streamlined the renewable portfolio and reduced its cost base, with fixed costs now approximately NOK 5 million per quarter, excluding development expenses. Costs are expected to amount to approximately NOK 10–15 million per quarter. Having entered a harvest phase in several markets, the Group is prioritising sales dialogues and positive cash flow in the coming quarters. The new group and cost structure provides significant operating leverage, such that new sales and earnouts will impact the bottom line directly.

Additional DC projects were established during the quarter, taking the DC portfolio to gross 650 MW. With three new projects in the Milan area, the DC business area now spans Norway, Finland, Sweden, and Italy.

Magnora ASA completed a private placement on 5 May 2026, raising gross proceeds of NOK 238 million through the issuance of 6,578,182 new shares and the transfer of 1,621,818 treasury shares, at an offer price of NOK 29 per share.

The Annual General Meeting was held on 12 May 2026 and elected a strengthened Board of Directors, chaired by John Hamilton, with new members Jean-François Berche, Lars Schedin and Hilde Hukkelberg, and Hilde Ådland re-elected. Torstein Sanness stepped down as chairman following a long period of service.

The Board of Directors of Magnora Data Center ASA was elected on 26 May 2026 ahead of the IPO, chaired by Erik Sneve, with board members Lars Schedin, Lars-Erik Sjöberg, Wendy Lam and Adele Norman Pran.

Magnora launched a new share buyback programme on 10 June 2026, authorising the repurchase of up to 6,578,182 shares for a maximum aggregate consideration of NOK 50 million. Under the programme, Magnora repurchased a total of 787,227 shares during the quarter at an average price of NOK 23.72. The company held 891,850 treasury shares (1.2% of shares outstanding) at the end of the quarter.

Cash and cash equivalents totalled NOK 814.1 million as of 30 June 2026 (31 December 2025: NOK 166.4 million), primarily reflecting proceeds from the private placement completed in May and the Magnora Data Center IPO, partly offset by continued project development expenditure across both the renewable energy and data center segments.

The Group reported a net loss of NOK 34.9 million for the second quarter 2026, compared to a net loss of NOK 22.2 million in the same quarter last year.

On 7 August 2026, Magnora Data Center ASA entered into a 50/50 joint venture with Blix Group AS to acquire a 581 sqm commercial space in Oslo and develop it into an AI data center, with 1 MW of initial capacity, scalable to 9 MW subject to grid connection. The Company will establish a wholly owned operating company to build and run the facility.

On 12 August 2026, Magnora Data Center ASA announced that it had agreed to acquire its local partner's remaining 30% stake in the Hämeenlinna site in Finland, taking full ownership of the project. All conditions precedent were subsequently fulfilled. The week after, a network (grid) connection agreement for the Hämeenlinna project was entered into, with connection scheduled for Q1 2029, potentially already in H2 2028. Also, a Letter of Intent was signed with the local utility regarding district heating, back-up power and additional electricity. With this in place, the project is sales ready.

Sales processes for renewable energy projects:


that ongoing sales processes materialise in sales during the coming months. The project portfolio continues to develop, with over 2,500 MW of renewable energy projects either already in a sales process or ready for the process to commence. In several markets, electricity supply is under pressure from high temperatures, reduced water availability for reactor cooling, and weak wind conditions, pushing electricity prices higher. Also, the geopolitical environment across our markets continues to strengthen the strategic case for domestic renewable capacity. Although experiencing extended timelines in some processes, we have live dialogues with credible bidders across our regions and technologies and remain confident that the quality of our portfolio will be reflected in the outcomes we achieve.

Oslo, Norway, 25 August 2026
The Board of Directors of Magnora ASA

Our South Africa subsidiary remains a significant contributor to our sales pipeline and illustrates both the scale and complexity of our business. Our view is that continued Eskom tariff escalation and declining renewable energy production costs should continue driving utility-led expansion and procurement over the longer term, which is positive for us as a developer. Near term demand should favour wind and solar-plus-storage hybrids in less constrained inland nodes and curtailment tolerant Cape wind projects. This is supported by wind and solar’s projected increase from 19% in 2026 to 33% in 2030, alongside substantial long-term growth in electricity demand. Combined, these near- and long-term market dynamics support the attractiveness of Magnora’s diversified wind and solar PV and BESS portfolio. Broader wind deployment should accelerate as the transmission backbone expands, and although progressing, grid de-risking and de-bottlenecking will take time.

The Group's cash position remains solid following the private placement in May and listing of Magnora Data Center ASA in June. At the end of Q2 2026, Magnora ASA held NOK 188.9 million in cash in the parent and renewable businesses, while Magnora Data Center ASA held NOK 625.2 million following the NOK 650 million private placement completed in connection with the listing. Combined, the Group's cash resources provide a strong platform to fund committed and planned investments across the project portfolio, including the ongoing data center build-out, while retaining flexibility to pursue new opportunities as they arise. Furthermore, after the restructuring of the Group, separating out the data center business, the cost base of the renewable business has improved significantly. The operating expenses for the second quarter 2026 was NOK 4.3 million for the renewable energy segment, net of internal revenues from management services, and we expect to maintain this level for the next quarters.

Future income from sold projects expected over the next years:


Earnouts, revenue-sharing arrangements and milestone payments from previously sold projects and companies are expected to provide Magnora with substantial income through to 2029.

As of 30 June 2026, Magnora’s share price was NOK 24.00, corresponding to a market capitalisation of NOK 1.7 billion. Magnora repurchased a total of 787,227 shares during the quarter and held 891,850 treasury shares at the end of the quarter. The Board of Directors will evaluate cancellation of these shares in alignment with Magnora’s capital allocation strategy. The Board continues to identify attractive growth opportunities in the short to medium term, consistent with the Group’s long-term growth strategy and will consider various financial alternatives.

The data center project portfolio grew from gross 96 MW to 650 MW during the first half of 2026. The high growth continues and projects are progressing well. Our renewable energy project portfolio surpassed 10 GW in January 2026. We remain disciplined with capital, directing it to the most advanced and highest-value projects.

Magnora and its subsidiaries (“the Group”) account for investments in portfolio companies based on the level of control or significant influenced exercised in accordance with IFRS.

Entities controlled by the Group are fully consolidated, with 100% of their income, expenses, assets and liabilities recognised in the consolidated financial statements, while the share of attributable to other shareholders is presented as non-controlling interests. This includes the Magnora Data Center Group, in which Magnora holds a 52,7% ownership interest and has control.

Investments over which the Group has significant influence, but not control, are accounted for using the equity method, with the Group recognising its proportional share of net profit or loss. Overview of investments is presented in Note 7 Investment overview.

Development costs in consolidated subsidiaries are, in accordance with IFRS, expensed as incurred, reflecting the Group’s project development model, where projects are monetised prior to reaching the ready-to-build stage.

Operating revenue for the quarter amounted to NOK 1.6 million (Q2 2025: NOK 2.3 million). Other income totalled NOK 0.5 million (Q2 2025: NOK 6.7 million).

The Group’s business model focuses on developing and monetising renewable energy and data center projects. Consequently, revenue and earnings may vary between periods depending on the timing of project divestments and milestone events.

Operating expenses amounted to NOK 18.5 million (Q2 2025: NOK 14.5 million), reflecting increased activity and organisational growth, particularly within the Group's data center business, which is fully consolidated. Out of the NOK 18.5 million operating expenses, NOK 14.2 million is related to the recently established data center segment. Reflecting project origination and resources to scale the new business.

With the new group structure, we hold almost NOK 1 billion of cash when including the NOK 150 million credit line. Operating and development expenses for the renewable business are down to NOK 10–15 million per quarter, from NOK 25–30 million last year, following optimisation, cost reductions, and more selective growth. New sales and earnouts will flow straight to the bottom line.

Development and M&A expenses totalled NOK 17.6 million (Q2 2025: NOK 19.0 million), reflecting continued investment in the Group's project portfolio. Reflecting the continued advancing of the Group’s existing project portfolio, assessing new opportunities and securing new projects.

Net financial income amounted to NOK 1.6 million (Q2 2025: NOK 5.6 million), primarily reflecting foreign exchange gains.

The Group reported a net loss of NOK 34.9 million (Q2 2025: NOK 22.2 million loss). The result reflects lower gains from project divestments and continued investment in the expansion of the Group's data center business, including the successful listing of Magnora Data Center ASA during the quarter.

Second quarter and half-year 2026

Letter from the CEO