New legal structure creates optimal conditions for the company’s real estate and fashion business

1 January – 31 March  2021

  • Total revenues increased by 9 percent to MSEK 73.2 (67.0), of which the fashion business accounted for MSEK 57.0 (64.3) and the real estate business for MSEK 16.2 (2.6).
  • Gross profit margin increased to 59.7 percent (52.3).
  • Operating profit amounted to MSEK 3.0 (-5.9).
  • Changes in value of properties amounted to MSEK 3.1 (0.0).
  • Profit after tax amounted to SEK -0.3 million (-7.3).
  • Earnings per share amounted to SEK -0.00 (-0.20).
  • During the quarter, three properties were acquired at a total property value of MSEK 59.4. All acquisitions constitute of asset acquisitions.
  • After completed acquisitions, rental income from current property portfolio amounts to MSEK 67.8 and net operating income from the real estate business amounts to MSEK 56.4 on a twelve-month basis. This should not be equated with a forecast for the next 12 months as the scope and conditions of the business could change.

Significant events during the quarter and after its end

  • As of January 1, 2021, a legal reorganization was made in which the fashion business was transferred to the subsidiary Odd Molly Sverige AB. At the same time, the subsidiary Used By International AB was transferred to Odd Molly Sverige AB. Odd Molly Denmark ApS was discontinued during the quarter and the remaining subsidiaries in the fashion business, Odd Molly Inc and Odd Molly Finland OY, are in a liquidation process. The real estate business continues to be conducted in the fully owned subsidiaries of the parent company Odd Molly International AB. Odd Molly International AB is primarily a holding company.
  • During the first quarter, most of the Group’s short- and long-term liabilities were refinanced. A new loan agreement was signed with a larger Swedish bank with better loan terms. The refinancing project resulted in that large parts of the short-term liabilities were reclassified as long-term debt.
  • On January 13, it was announced that Odd Molly signed a letter of intent to acquire a modern warehouse and logistics property in Varberg with an underlying property value of MSEK 84. The property generates annual rental income of approximately MSEK 5.5 during a 10-year triple-net agreement with net operating income of approximately MSEK 4.9.
  • On January 26, it was announced that Johanna Palm had informed the Board of Directors and CEO that she wishes to leave her role as Deputy CEO and CFO of Odd Molly. The process of appointing a successor has begun and the transfer will take place no later than July 2021.
  • On March 26, it was announced that Odd Molly entered into an agreement with We aRe Spin Dye (“WRSD”) regarding the sale of Odd Molly’s subsidiary Odd Molly Sverige AB and Used By International AB. As consideration for the companies, Odd Molly receives shares in WRSD which Odd Molly intends to distribute to existing shareholders during the third quarter of 2021, after approval from Nasdaq Stockholm and resolution at the Extraordinary General Meeting. After the transactions, Odd Molly becomes a clean real estate company with a focus on warehouses and logistics properties.
  • On March 31, it was announced that Odd Molly had signed an agreement to acquire three modern warehouses and logistics properties in Borås with an underlying property value of MSEK 137. The properties generate annual rental income of MSEK 10.3 with net operating income of MSEK 9.0 and were acquired as planned on April 15.
  • On April 6, it was announced that Odd Molly had entered into a letter of intent with a leading e-commerce business to acquire its current central warehouse in Borås with an underlying property value of MSEK 63. Odd Molly also intends to build an extension of a new modern logistics facility adjacent to existing property of approximately 8,400 square meters for the tenant, which gives a total lettable area of approximately 21,100 square meters.
  • On April 14, the Board of Directors, pursuant to authorization, resolved to issue 2,400,000 shares in connection with the closing of the three properties in Borås for which agreements were signed on March 31.

For further information please contact:

Jennie Högstedt Björk, CEO

+46 8-522 28 509

jennie.hogstedtbjork@oddmolly.com

Johanna Palm, CFO and Deputy CEO

+46 760-10 24 55

johanna.palm@oddmolly.com

This is an extract translation of the original Swedish language report. In the event of discrepancies, the original Swedish wording shall prevail.

For the full report, see attached PDF (in Swedish).

This information is information that Odd Molly International AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted, through the agency of the above contact persons, for publication on 7 May 2021 at 08:00 CET.

Odd Molly International AB, Kornhamnstorg 6, 111 27 STOCKHOLM, Switchboard: +46 8 522 28 500

www.oddmolly.com