JANUARY–SEPTEMBER 2026

• Rental income increased to SEK 704 m (702). For the like-for-like portfolio, rental income increased by 3.0 percent.
• Net operating income fell to SEK 386 m (395) due to the absence of net operating income from divested properties and the fact that the year’s first quarter was colder and snowier compared to the preceding year.
• Profit from property management decreased to SEK 156 m (161), primarily attributable to divested properties and increased costs in the like-for-like portfolio.
• Profit from property management per share outstanding on the balance sheet date increased to SEK 1.13 (1.11), due primarily to completed share repurchases.
• The property portfolio’s value at the end of the period increased to SEK 13,564 m (13,562) and the change in value of the properties amounted to SEK -131 m (14) for the period.
• Net profit for the period decreased to SEK 48 m (61).
• The net asset value increased to SEK 48.16 per share (47.19).

JULY–SEPTEMBER 2026

• Rental income decreased to SEK 235 m (236) as a net effect of divestments and increased rental income in the like-for-like portfolio.
• Net operating income increased to SEK 141 m (135), due primarily to lower property management costs in the like-for-like portfolio despite the loss of net operating income from divested properties.
• Profit from property management increased to SEK 69 m (59), driven by higher net operating income and lower central administration costs despite the negative impact from completed divestments.

SIGNIFICANT EVENTS DURING AND AFTER THE THIRD QUARTER

• In September, Neobo divested all properties in Skara, Skövde and Mariestad at an underlying property value of SEK 480 m. Closing will take place in November.
• The Board of Directors announced its intention to launch a new share repurchase program of up to SEK 100 m until the 2027 Annual General Meeting, once the current SEK 50 m repurchase program has been completed.
• The commercial property Vikingen 13 in Helsingborg was divested in September. The sale price was SEK 25.4 m, and closing took place in October.
• During the quarter, 1.7 million own shares were repurchased at a value of SEK 31.3 m. Following the cancellation of 5.2 million shares in July, Neobo holds approximately 2.3 million shares, corresponding to 1.6 percent of the total number of registered shares.
• After the end of the quarter, a loan of SEK 1.1 billion was refinanced at a credit margin that falls below the average margin in the loan portfolio.

CEO COMMENT
Higher profit from property management per share and record-low vacancies
The external environment continued to be characterised by geopolitical uncertainty during the third quarter. At the same time, long-term interest rates increased in Sweden and internationally, driven by stronger growth prospects and growing concerns about higher inflationary pressures going forward.

Neobo’s business continued to perform positively, and profit from property management per share increased by 22 percent in the third quarter compared with the preceding year, despite the absence of net operating income from divested properties. This improvement is attributable to higher net operating income and lower central administration costs.

Our focused leasing efforts continue to deliver results, with residential vacancy decreasing significantly during the quarter to 4.4 percent, the lowest level reported by Neobo to date. Commercial vacancy also improved during the quarter, primarily driven by two new lettings in Falköping and Strängnäs, contributing to a reduction in Neobo’s overall vacancy rate to 6.1 percent.

Strategic divestments strengthen the portfolio and enable value-generating capital allocation
Two strategic transactions were completed during the quarter to maximize shareholder value and optimize the property portfolio.

In September, we divested all properties in Skara, Skövde and Mariestad at an underlying property value of SEK 480 m, which was 16 percent below the book value as at June 30, 2026. With this divestment, we have exited three municipalities and wound down one of our local offices. This divestment is a key step in efforts to create a more concentrated and efficient portfolio from a property management perspective, while also unlocking capital for active, value-generating capital allocation. Proceeds from the transaction will be used to repurchase own shares for the purpose of creating an attractive yield for our shareholders.

As part of the ongoing optimization of the portfolio, the non-strategic commercial property Vikingen 13 in Helsingborg has been divested. The sale was completed at an underlying property value of SEK 25.4 m, which corresponds to the book value as at June 30, 2026, and closing took place in October.

Over the last 12 months, we have repurchased own shares for SEK 142 m, corresponding to 5.1 percent of the total number of shares in Neobo one year ago. The buy-back has improved our key metrics per share while showing that we have faith in the long-term potential of Neobo.

In conjunction with the divestment of the property portfolio in Skaraborg, the Board of Directors announced its intention to use the cash proceeds from the transaction for further share repurchases. Once the ongoing SEK 50 million share repurchase program has been completed, the Board intends to initiate a new share repurchase program of up to SEK 100 million through the 2027 Annual General Meeting.

This divestment is a key step in efforts to create a more concentrated and efficient portfolio from a property management perspective, while also unlocking capital for active, value-generating capital allocation.

Refinancing on attractive terms
Our financial position is strong, with stable cash flows and good prospects for positive growth in net operating income going forward. The value of the property portfolio is SEK 13.6 billion and the loan-to-value ratio is 50 percent.

After the end of the quarter, a loan of SEK 1.1 billion was refinanced on attractive terms. The continued strong access to capital, in combination with Neobo’s financial position, enabled refinancing at credit margins below the average margin in our loan portfolio.

Although market conditions have not been the most favorable, we have focused on the factors that we can control. Through divestments, leasing and refinancing, we have strengthened Neobo and created greater financial flexibility. I am convinced that Swedish rental apartments will remain an attractive investment going forward – and with that in mind, we will continue to leverage the opportunities available to us for gradually making Neobo an even better company.

Stockholm, October 21, 2026
 
Ylva Sarby Westman, CEO