Annual report 2019/20
16 December 2020
Announcement no. 2 2020/21

The Board of Directors of Investeringsselskabet Luxor A/S has today considered and approved the Company’s Annual Report for 2019/20.

The Annual Report:

·The Group’s core earnings for 2019/20 amounted to DKK 42.4 million (DKK 29.0 million), which was in line with the most recent profit guidance set out in company announcement no. 1, 2020/21 of 10 November 2020. 

Core earnings are calculated as profit for the year before tax adjusted for fair value adjustments of financial assets, interest rate swaps and mortgage loans.

·Consolidated profit before tax was DKK 46.3 million (DKK 19.7 million). After tax for the year of DKK 10.3 million (DKK 4.4 million), the consolidated profit for the year amounted to DKK 36.0 million (DKK 15.3 million).

Consolidated profit before tax exceeded core earnings by DKK 3.9 million, due to:

• A negative amount of DKK 1.1 million from fair value adjustment of securities and market value losses on equities;
• DKK 0.2 million from fair value adjustment of investment properties;
• DKK 4.8 million from fair value adjustment of interest rate swaps and fair value adjustment of amounts owed to mortgage credit institutions and expenses related to the raising of mortgage loans.

Core earnings and profit for the year were not materially impacted by Covid-19.

Dividend:

·The Board of Directors proposes to the annual general meeting that dividend of DKK 25 million (DKK 23 million, or DKK 25 (DKK 23) per share, be distributed, which corresponds to a pay-out ratio of 5.8%.

Q4

• Quarterly core earnings amounted to DKK 11.0 million (DKK 6.6 million).
   
• Consolidated profit before tax amounted to DKK 10.9 million (DKK 3.8 million).

Expected core earnings for 2020/21:

• For the coming financial year 2020/21, the Group expects core earnings of around DKK 37 million.
• Fair value adjustment of interest rate swaps, which is not included in core earnings, would at 10 December 2020 reduce consolidated profit before tax by DKK 0.2 million.

So far, core earnings have not been affected in any material degree by Covid-19.

The Company’s performance is to some extent dependent on the societal impact of Covid-19 and we regularly assess whether adjustments are required in this respect.

For additional information about the Annual Report, please contact Jannik Rolf Larsen, CEO
(tel: +45 33325015).