Investeringsselskabet Luxor A/S : 12. juni 2019 Halvårsrapport for 1. halvår 1/10 2018 - 31/3 2019 (offentliggjort på engelsk)

Investeringsselskabet Luxor A/S

Frederiksborggade 50, 4. 1360 København K

Telefon [phone] - CVR-nr. 49 63 99 10

Nasdaq Copenhagen A/S	Announcement No 5, 2018/19
Nikolaj Plads 6	page 1 of 20
PO Box 1040	date 27 May 2019
DK-1007 Copenhagen K	ref. IK

Half-year Report

as at 31 March 2019

The Supervisory Board of Investeringsselskabet Luxor A/S has today adopted the Half-year Report as at 31 March 2019.

Second quarter 2018/19:

• Basic earnings amount to DKK 7.9 million (DKK 4.2 million).
• The Group's profit before tax amounts to DKK 3.2 million (DKK 6.5 million).
  Profit before tax for the quarter is DKK 4.7 million lower than basic earnings, primarily due to fair value adjustments of interest swaps.
• The Group's profit after tax amounts to DKK 2.5 million (DKK 5.0 million).

Half-year 2018/19:

• Basic earnings for the half-year amount to DKK 15.9 million (DKK 9.2 million).
• The Group's profit before tax for the half-year amounts to DKK 8.4 million (DKK 9.4 million).
  For the half-year, results before tax are negatively affected by fair value adjustments of interest swaps and financial assets of DKK 7.5 million; similarly, results before tax for the half-year 2017/18 were positively affected by DKK 0.2 million. Adjusted for these items, profit before tax amounts to DKK 15.9 million for the half-year 2018/19 compared to DKK 9.2 million for the half-year 2017/18.

Expected basic earnings 2018/19:

• At present, basic earnings of approx. DKK 28 million are expected for the financial year 2018/19, which is in accordance with the most recent announcement made in Company Announcement No 4, 2018/19 of 22 February 2019.
• Fair value adjustments of interest swaps and financial assets are not included in basic earnings and will from the beginning of the financial year until 16 May 2019 affect results for the year before tax by DKK -9.0 million. The amount is distributed with DKK -7.5 million for the half-year and DKK -1.5 million for the period 1 April - 16 May 2019.

For additional information concerning this Half-year Report, please contact Jannik Rolf Larsen, CEO (tel: [phone]).

Investeringsselskabet Luxor A/S

HALF-YEAR REPORT page 2 of 20

Announcement No 5 of 27 May 2019
Half-year Report for the period 1 October 2018 - 31 March 2019
Contents
	Page
Financial Highlights of the Group..........................................................	3
Half-year Report.....................................................................................	4 - 7
Management's Statement .......................................................................	8
Consolidated Statement of Comprehensive Income ..............................	9
Consolidated Balance Sheet ...................................................................	10 - 11
Statement of Changes in Equity .............................................................	12
Cash Flow Statement..............................................................................	13
Segment Reporting.................................................................................	14 - 15
Significant Notes ....................................................................................	15 - 20

The Company's main activities are distributed on interest-bearing securities and properties, for which the Company has adopted a flexible investment strategy within a number of specific investment frameworks.

The overall objective of the Group is to achieve the best possible long-term return on investments for the shareholders by investing shareholders' equity and debt capital in capital investments within the risk frameworks established.

Investeringsselskabets Luxor A/S intends to distribute annual dividend to the investors to the extent this is appropriate in view of results for the year and other circum- stances.

Pursuant to the Danish Act on Alternative Investment Fund Managers, Investerings- selskabet Luxor A/S is permitted to invest in mortgage deeds, bonds and properties and has been granted an exemption in respect of being permitted to manage shares received in connection with full or partial conversion of a corporate bond.

Investeringsselskabet Luxor A/S

HALF-YEAR REPORT page 3 of 20

FINANCIAL HIGHLIGHTS OF THE GROUP
				OCTOBER - MARCH
DKK million	2018/19		2017/18		2016/17		2017/18
	half-year	half-year	half-year	full year
Key figures
Income ................................................................	37.8	29.8	40.7	69.3
Gross earnings ....................................................	32.8	24.7	36.1	61.6
Profit/loss before tax...........................................	8.4		9.4		23.4	29.6
Net profit/loss for the period ..............................	6.6		7.3		18.2	23.3
Basic earnings.....................................................	15.9	9.2		13.1	27.1
Assets..................................................................	878.7	869.8	811.6	867.1
Equity .................................................................	337.1	337.6	349.6	353.6
Investment in property, plant and equipment .....	0.0		0.3		0.0		0.3
Profit/loss for analytical purposes:
Net profit/loss for the period (after tax)..............	6.6		7.3		18.2	23.3
Ratios
Values per DKK 100 share
Earnings per share (EPS) (DKK)........................	6.55	7.31	18.21	23.32
Net asset value per share in circulation (DKK) ..	337.12	337.56	349.56	353.57
Return on equity in percentage p.a. ....................	3.80	4.24	10.32	6.61
Equity share in percentage..................................	38.37	38.81	43.07	40.77
Share capital
Nominal share capital,
end of period (DKK million) ..............................	100.0	100.0	100.0	100.0
Number of shares in circulation (DKK million).	100.0	100.0	100.0	100.0

Official price on the Stock Exchange per DKK 100 share:

Lowest ................................................................	416	401	333	405
Highest................................................................	555	460	420	460
End of period ......................................................	438	424	385	426
Volume of trade on the Stock Exchange,
number of shares.................................................	6,994	7,953	7,512	13,249
Listed on the Stock Exchange,
number of shares.................................................	825,000	825,000	825,000	825,000

The key figures have been calculated in accordance with "Recommendations & Ratios January 2018" issued by the Danish Society of Financial Analysts. EPS and diluted EPS are in accordance with IAS 33.

Investeringsselskabet Luxor A/S

HALF-YEAR REPORT page 4 of 20

Basic earnings and results for the period

The Group's basic earnings for the half-year amount to DKK 15.9 million (DKK 9.2 million).

Basic earnings are calculated as profit before tax for the half-year adjusted for fair value adjustments of interest swaps and financial assets.

The Group's profit before tax for the half-year amounts to DKK 8.4 million (DKK 9.4 million).

Profit before tax for the half-year is DKK 7.5 million lower than basic earnings, primarily due to fair value adjustments of interest swaps.

Similarly, profit before tax for the half-year 2017/18 was DKK 0.2 million higher than basic earnings, primarily due to fair value adjustments of interest swaps and debt to mortgage credit institutes.

After recognition of tax for the half-year of DKK 1.8 million (DKK 2.1 million), the profit after tax for the half-year amounts to DKK 6.6 million (DKK 7.3 million).

Business areas

The Group's balance sheet, which compared with the same time last year has increased from DKK 869.8 million to DKK 878.7 million, includes the following business areas:

	2018/19		2017/18
	DKK million	DKK million
Mortgage deeds ..................................................	658.3		647.6
Bonds..................................................................	0.0		2.2
Shares .................................................................		0.7			0.9
Total securities....................................................		659.0			650.7
Investment properties .........................................		187.9			184.1
Total....................................................................		846.9			834.8

Below, the individual business areas are described. The financing and the effect of currency hedging as well as currency exposure and hedging of currency risk are described in the section financing and debt.

Investeringsselskabet Luxor A/S

HALF-YEAR REPORT page 5 of 20

Mortgage deeds

The fair value of the Group's portfolio of mortgage deeds amounts to DKK 658.3 million (DKK 647.6 mil- lion), and the nominal value amounts to DKK 720.5 million (DKK 723.8 million).

The fair value of the Group's portfolio of mortgage deeds is distributed with DKK 490.4 million (DKK

472.5 million) in fixed-interest mortgage deeds and DKK 167.9 million (DKK 175.1 million) in floating-rate cibor mortgage deeds.

The return on the portfolio of mortgage deeds for the financial year is specified as follows:

	2018/19		2017/18
	DKK million	DKK million
Interest income.........................................................			26.6					25.0
Capital gains, mortgage deeds .................................			3.8					2.5
Fair value adjustment ...............................................			0.2					-0.5
			30.6					27.0
Direct expenses, mortgage deeds .............................			0.8					1.0
Realised losses on mortgage deeds, fair value
adjustment for credit risk as well as expenses
relating to the sale of mortgages in default ..............	-3.8				-8.2
Bad debts recovered .................................................	3.3		-0.5		3.1			-5.2
			29.3					20.8

Fixed-interest mortgage deeds of a nominal amount of DKK 492.9 million have been measured in the balance sheet at fair value on the basis of an effective interest rate of 8.5% p.a. (8.5% p.a.). Fixed-interest mortgage deeds of a nominal amount of DKK 36.9 million and cibor mortgage deeds of a nominal amount of DKK 190.7 million are measured at fair value, which substantially corresponds to the cost of the mortgage deeds. At the measurement of the portfolio of mortgage deeds at fair value, adjustment for credit risk has been deducted.

The Group's portfolio of mortgage deeds has an average fair value per mortgage deed of kDKK 301.0 (kDKK 295.9).

Net loss/gain, mortgage deeds amounts to DKK -0.5 million (DKK -5.2 million), which is lower than ex- pected.

Net loss/gain, mortgage deeds includes:

• realised net losses on mortgage deeds and mortgage deed receivables of DKK -3.8 million (DKK -8.2 million), including adjustment to meet credit risk on mortgage deeds and mort- gage deed receivables as well as expenses relating to the sale of mortgages in default;
• bad debts recovered of DKK 3.3 million (DKK 3.1 million).

The total fair value adjustment of credit risk on mortgage deeds amounts to DKK 14.7 million (DKK 20.6 million), corresponding to 2.2% (3.1%) of the portfolio.

For the current financial year, the Group expects a small increase in the mortgage deed portfolio.