Definitions of Key Indicators

Definitions of Key Indicators and Financial Ratios

Equity/share = (Equity-Equityrelatedhybridbond – Accumulated interest expenses on hybrid bond) / Issue-adjusted number of shares on reporting date

Equity Ratio, % = 100 x ((Equity + Non-controlling interests / (Total assets – Advances received))

Return on Equity (ROE), % = 100 x ((Result before taxes – taxes) / (Equity + non-controlling interests for year, average))

Return on Investment (ROI), % = 100 x ((Result before taxes  + Interest expenses and other financial expenses) / ( Total assets – Non-interest-bearing liabilities))

Earnings/share, basic = (Profit to parent company shareholders + interest expenses on hybrid bond during the period) / Average issue-adjusted number of shares during year

Earnings/share, diluted = (Profit to parent company shareholders + interest expenses on hybrid bond during the period) / Average number of shares adjusted for dilutive effect during year

Dividend/share = Dividend / Issue-adjusted number of shares on Dec 31

Dividend Payout Ratio, % = 100 x (Dividend/share) / (Earnings/share)

Effective Dividend Yield, % = 100 x ((Issue-adjusted dividend / share) / (Issue-adjusted share price on Dec 31)

Price/earnings (P/E) Ratio = Issue-adjusted share price on Dec31 / (Earnings/share)

Loan to Value, % = 100 x Interest-bearing liabilities / Fair value of investment properties (completed + under construction) on reporting date

Interest Coverage Ratio = EBITDA / Accrual-based interest expenses

Cash flow from operations/share = Cash flow from operations / Issue-adjusted number of shares, diluted, on reporting date

Net Debt/equity (Gearing), % = 100x ((Interest-bearing debt – Cash, bank and financial securities) / (Equity + Non-controlling interests))

EBITDA = Operating profit + depreciation +/- change in fair values of investment properties

EBITDA % = 100 x (EBITDA / Net sales)

EPRA-figures

Net Rental Revenue of Property Portfolio, % (EPRA Net Initial Yield) =100 x ((Rental income from Group-owned properties – Direct expenses from Group-owned properties) / Fair value of completed investment properties on reporting date)

EPRA Like for like rental growth, % = 100 x (Rental revenue from comparable properties / Rental revenue from comparable properties in previous period)

EPRA Net Asset value (ERPA NAV) = Equity to parent company shareholders – Hedging reserve + Deferred taxes from investment properties – Equity related bond

EPRA Net Asset value/share = EPRA Net Asset Value / Issue-adjusted number of shares, basic, on reporting date

Financial Occupancy Ratio, % = 100 x ((Rental income of leased space) / (Estimated market rent of vacant space + Rental income of leased space))

EPRA Vacancy Rate = 100% – Financial occupancy rate, %