Good morning, and welcome to the presentation of Taaleri's results for the fourth quarter and financial year 2025. My name is Linda Tierala, and I'm heading investor relations at Taaleri.

Presenting today, we have our CEO, Ilkka Laurila, and our CFO, Lauri Lipsanen. In addition, we have a special treat for you today since we have Antti Salmela, who is investment director at Taaleri, and Saara Kujala, who is CEO of Ren-Gas, and they will present Taaleri's latest investment in Ren-Gas.

We also have a Q&A session at the end of this webcast, and if you would like to ask a question, you may do so at any time through the chat box in the webcast platform. With that, it's my pleasure to hand over to Ilkka.

Please go ahead.

Thank you, Linda. Good morning on my behalf as well.

It's, like usually at this time of the year, it's time to go through some of the highlights and the recent development in '25, as well as go through our financial development during the last quarter. Starting with the, with the highlights.

Continuing earnings grew that 17%. That was obviously mainly driven by renewable energy and the, and the final close of the, of the SolarWind III fund.

With, and in Taaleri Energia, the earnings grew that 28%. Following that, like we have already earlier communicated, the, the SolarWind III fund achieved its final close with a, great achievement of €630 million in investment capacity, out of which that €557 million is fee-generating AUM.

That is still, like, like said earlier, that is the biggest private equity fund investing in infrastructure here in, in, in Finland. Followed by that, Garantia strengthened its market position.

Already 1 in 8 housing transactions completed in Finland utilize Garantia's residential mortgage guaranty and Garantia services. That's, that has increased quite significantly during the last year even though that we haven't actually published the actual, actual number, but, but that, that's where we can see the, the kind of the uptake of, of Garantia's development.

Even though that the housing market has been in a, in a, in a turmoil, the Garantia has been able to increase its relative position in housing transactions. Then that has led to a situation that Garantia's income has also developed positively, so, so that insurance service result grew that 8% and followed that by, by the nice investment income in, in P&L-recognized level, the €3 million during the last quarter.

Then, like we also have already communicated, the, the first investments which is aligned with our updated development capital strategy was executed during the last quarter. We invested in Ren-Gas, which is power-to-gas solution provider in renewable e-methane, and, and you will hear more, more on that investment later during today's presentation.

We were able to increase activity in real estate as the market is slightly recovering, that Eden Living, which is the JV with, with Finnish pension institution Keva, they have been able to execute more transactions in that, and, and that is progressing quite, quite significantly during the fourth quarter as well. Then, if we kind of compare our achievement during the last year versus the, the strategic priorities, you just maybe note that that in our Capital Markets we, we published the strategic priority priorities for, from '26 to '28, but already during '25 we have been able to, to gain great progress when it comes to strategic priorities.

Like said, in Garantia, market share in residential mortgage guaranties increased significantly, 1 in 8 transactions utilizing services. In addition to that, Garantia completed its first non-payment insurance transaction outside Finland, we have they've been able to take first steps to internationalize the business, which is one of the strategic goals and priorities for, for, for Garantia's strategy period '26 to '28.

In Private Asset Management, like, like said, the, the SolarWind III fund got its final, reached its final, final close. The notable is that 64% of the, of the commitments actually came from international investors, so, it is highly, highly international, and, and, and, and good kind of statement from international investors that they trust in our, our product and, and services and, and investment capabilities in there.

In addition to that, the joint venture with Keva, €300 million established at the beginning of '25, by the year-end three investments had been made, and that there are several more under negotiations. It is progressing quite nicely, especially considering the, the market environment that we are we are facing and, and, and walking towards in in real estate business.

Finally, our Development Capital segment, kind of we have been first of all, we have kind of restructured and reorganized the whole development capital function during the year. We have kind of renewed the organization as well in, in that that part of our business, and with that we were able to to finalize and complete first first development in that category.

That is also progressing already quite nicely, even though that the strategy was only published at the beginning of of September. Then if we take a look at the then the key figures and the, and the highlights from the numbers perspective, and if we would concentrate on the lower side of the slide for the full-year numbers: continuing earnings, €42.4 million, growth 4.4%; revenue, €61.2 million, negative development in 13.2%, and that is mainly driven by the investment income decline which we have said that, and which which is obviously fluctuating quite significantly between different financial years.

In '24 we had a quite exceptional year for, for, for investment income and investment result. Operating profit, reflecting that change in our investment revenue, ended up having €25.9 million.

The earnings per share for the financial year is that 59 cents. Then if you take a closer look of the of the different business areas and and segments, starting with with Garantia.

Like said, the insurance service result during the last quarter was that €3.6 million. The investment income combined, meaning that is includes the the P&L-recognized investment income as well as the investment income which is recognized in the comprehensive income part of the financial statement, that totaled at €2.9 million compared to €1.8 million last year.

Then then I would like to highlight the the graph on the, or on the columns on the on the right-hand side of the of the slide, which is presenting the premiums we have received compared to last year as compared to to insurance revenue and how that has been developing. The kind of the premiums received is a good proxy for the cash flow, how much kind of customers are paying the, the fees when they when they are kind of having a contract with with with Garantia.

That is then in, in a P&L perspective, that is then recognized under the IFRS in a more stable revenue development. As you can see, actually the incoming cash flow as a proxy has developed but by that 27.3%.

Quite significant increase in, in cash flow considering, again, you know what kind of market environment that we are operating. To to kind of summarize, in 1 in 8 and actually more than 1 in 8 in mortgage transaction or the housing transaction are actually utilizing Garantia's services at the moment, and in addition to that, strategic progress in internationalization, been able to complete first insurance transaction outside Finland in the Nordics with one of the most most significant Nordic financial institutions.

Then if you take a look at the balance sheet side of the Garantia's business, the the insurance portfolio increased from from €1.7 billion to €1.8 billion, 84% now is consumer exposure related to to mortgage loans and 17% related to to corporate exposure and corporate loans, as well as the non-payment insurance type of type of services. Investment portfolio increased from €158 million to €166 million, and that increase is is also partly driven by increased equity exposure.

If you if you take a look at, so, the share and funds proportion is now 25%, and if you add that the real estate and private equity funds, the total equity exposure is is close to 30%, and that has been one of the one of the kind of drivers, obviously, as the stock market has developed quite quite nicely, especially during the fourth quarter of the of the last year. Then moving on to Private Asset Management, starting with the renewable energy segment or or the business.

Revenue increased from €7.6 million to to €8.1 million, but operating profit declined from €3.4 million to to €2.4 million. Key levers on on that during the last quarter was was that there was actually more pass-through invoicing, which is recognized both in a in a revenue line item as well as in in in a costs.

In addition to that, the the cost structure, that there is more costs cost accruals related to variable personal expenses. AUM increased now from that €1.7 million to €1.8 billion.

The, and if we take a look at the last vintage of the of of the SolarWind III fund, here is couple of pie chart that describes the the kind of the split between different categories, how you want to look at it. Like said, 64% of the of the commitments came from international investors.

75% came from existing existing investors, meaning that they still trust in our business and haven't increased their commitments, but then on the other hand, 25% came from the new investors, we've been able to increase the share of wallet of existing LPs, and addition in addition to that, attract new investors to our our funds. 84% of the AUM and the and the commitments came from the institutional investors and 16% of of the high-net-worth individuals.

Then moving on to other Private Asset Management business. Quite stable number, you could say.

Revenue, continuing earnings, as well as operating profit, very stable numbers compared to last year last year numbers. Obviously, much more happening under the hood, and and hopefully we are able to to kind of proceed with with our and have a clear progress with our strategy during this financial years, and therefore able to kind of have a more more significant movement in this numbers during '26 as well.

Then again, moving on to to Investment segment. The revenue is is now that €0.3 million, which is quite significantly different compared to to last year, and that is obviously driven by the development portfolio sales in the in the in the last quarter last year, and that also is clearly reflected in the in the operating profit numbers of of that segment.

Moving on, if you take a look at the investment portfolio's fair value, quite significant, actually 25% increase in the in the fair value. At the end of last year, the fair value was was €55 million, now it's €69 million.

So 25% increase in in fair value in our direct investment portfolio. Obviously, now new addition to our development portfolio is that Ren-Gas, 2% of the total portfolio, and and the rest of the of the development you can and and the the investments you can see there in the in the pie chart.

Then if you take a look at the the especially the the development capital investment highlights, and and maybe highlighting some of the development, not going through all of these. If we would concentrate on on on Fintoil, first of all, the biofuel market is developing quite positively, and the there has been increased demand, and and we believe that it it will continue in '26 as well.

Then, on the other hand, the less significant segment, the biochemicals, there the demand has been quite quite more weaker, and and the price development has been also also quite weak in in there. All in all, year-to-date numbers at the end of September increased that that 46% versus year ago, quite significant volume increase in in Fintoil's operations.

Unfortunately, we are not able to publish the full-year numbers in Fintoil, but, but as you can see, that already the first nine months of of last year developed quite significantly on a positive territory when it comes to that, especially the volume, which is obviously critical in in that kind of refinery business. Then maybe a couple of highlights from from Toriparkki, which is another big investment in our our balance sheet.

That is the the kind of the parking facility located under Turku's Market Square. Volume increased by by 7%, very stable business, but continuously growing, and EBITDA by 15% during 2025, and and most likely we are able to to return cash flow also in the future from from that investment.

Then, obviously, you will hear more on the recent highlights and and and development in in Ren-Gas and and Ren-Gas operations shortly. Then it's time to to hand over to to Lauri, who will walk you through with the with the recent financial development of of of Taaleri.

Thanks, Ilkka. Hello.

My name is Lauri Lipsanen, Taaleri's Group CFO, and today I present Q4 financials to you. In the Capital Markets held in September, we published our financial targets for the strategy period 2026-2028.

As a recap, we aim for 12% average annual growth in operating profit from continuous earnings, at least 15% return on equity target at fair fair value on average, as well as a dividend payout ratio of 50% minimum, however, taking possible capital requirements into account. As visible, growth in op- operating profit from continuing earnings was modest in 2025, return on equity was 11%, and the proposed dividend payout ratio is in line with target.

Taaleri has four sources of revenue. Continuing earnings create a strong foundation for profitability, while other revenue sources are more fluctuating.

For instance, no positive performance fees were recognized in 2025. Full-year revenue in 2025 was €61.2 million, and operating profit amounted to €25.9 million.

During the last quarter of the year, operating profit was €5.7 million. This level was lower compared to the strong comparison period year, when operating profit was €9.4 million.

Continuing earnings grew by 17%, driven by mainly SolarWind III fund final closing, further impacted by Garantia's strong operating performance. However, as stated, only a minor negative performance fee adjustment was recorded in Q4 '25, whereas year ago the performance fee of €1.8 million was recognized.

In addition, investment income was lower than in the comparison period, as the comparison period was positively impacted by the development fee of €5.8 million. When comparing full-year operating profits, the big picture is that continuing earnings from Private Asset Management grew by 17%, mainly because of the successful fundraising for Taaleri SolarWind III fund.

However, net income from investment operations declined from the previous year almost by €12 million. The net investment results in 2024 contained renewable energy-related development gains of roughly €14 million, and also Garantia's investment result was positively impacted by the declined interest rates in 2024.

As a result, operating profit declined to €26 million for 2025. As visible on the left-hand chart, quarterly continuing earnings clearly increased in Q4 '25, however, the total revenue continued to fluctuate.

This fluctuation has been largely driven by changes in net investment income, which have further impacted in quarterly operating profit. On a last-12-month basis, the composition of revenue is more balanced.

Continuing earnings have been growing by 4.4% on average, while other than continuing earnings have declined on an LTM basis. The decline in net investment income has been, for instance, due to 2024 operating profit was positively impacted by aforementioned renewable energy development portfolio gains.

Also, 2024 was impacted by performance fee of €1.8 million. Then we will have a look on Garantia.

The extended weak development of the Finnish housing market in recent years has reflected in Garantia's result. However, as visible from the left-hand chart, insurance revenue has have has remained quite stable over a longer period, whilst insurance service expenses have increased slightly.

The total operating profit of Garantia has declined on an LTM basis, mainly because of strong investment results in 2024 and increased insurance service expenses. This is how the reported profit and lo- loss looks like.

However, the underlying performance has been stronger. Growth in premiums received was 27% in 2025.

However, as visible, insurance revenue increased only slightly, as changes in premiums received in Garantia's insurance revenue comes with a delay because of IFRS accounting principles. Also, there have been contractual changes creating delays in revenue recognition in terms of IFRS.

Combined annual ratio has remained strong despite the increase it it increased last year, driven by increased claims ratio. Roughly half of the claims ratio in- increase was related to the impact of new claims, as in contracts in 2024 claims ratio was positively impacted by changes in estimates of claims that have incurred during previous financial years.

Garantia's return on equity at fair value is at an excellent level, and solvency ratio has remained strong. Garantia's board of directors proposes that a dividend of €18 million will be paid for the financial year financial year 2025 to the parent company, Taaleri Plc.

What comes to Private Asset Management, continuing earnings growth increased from 13% to 17% on an LTM basis, mostly driven by the SolarWind III final closing. The LTM operating profit, however, declined for Q4, mostly due to the lack of performance fees recognized during 2025, whereas, for instance, Q3 '25 LTM operating profit margin was still positively impacted by the performance fee of €1.8 million booked for Q4 '24.

Investment segment's investment portfolio grew by €2.2 million during the last quarter of 2025. There were four main levers impacting this change.

The fair value of Trast- Trastskog Tilland Eastwind increased by €2 million, driven by positive fund NAV change. Secondly, we invested in Nordic Ren-Gas Oy.

Thirdly, the value of Alisa Bank shares increased by 35% during Q4 '25, whereas half of the Taaleri Bio-coal Development Ky investment was written down in Q4. It should be noted that when looking at this table, the fair value of the investment may deviate from the book value of in in balance sheet depending on the basis basis of accounting.

For instance, we consider that Turun Toriparkki's fair value is currently €60 million, whereas its book value is €10.8 million. In other words, we consider that this investment contains hidden value which is not visible in our balance sheet or P&L statement.

Then finally, a so- short outlook on Taaleri's balance sheet. Both balance sheet and equity ratio have remained strong, total assets amounting to €306 million and equity ratio to 73%.

Total investments increased almost by €20 million to €227 million, accounting for almost 75% of total assets. Out of these investments, €44 million were related to development capital, €20 million to fund and other investments, and the remaining €164 million to Garantia's investment portfolio.

Total liquidity was €51 million, including the unused revolving credit facility of €30 million and overdraft facility of €10 million. Taaleri distributed the second dividend tranche of €7 million in early October, and the board of directors proposes that a dividend of 30 cents will be paid in two installments for the financial year 2025.

Now, Ilkka will present an outlook for 2026.

Outlook for '26. Starting with Private Asset Management.

Renewable energy continuing earnings is expected to decline compared to '25, and that is due to the fact that subsequent management fees were recognized in '25. In addition to that, obviously, the timing of the exits for the old vintage funds will have a meaningful impact for the EBIT development.

Then when it comes to other Private Asset Management, obviously we are investing in that segment quite heavily at the moment, and therefore the operating profit for '26 is expected to remain negative in other Private Asset Management business. Then Investment segment, profit will depend obviously, among other things, quite significantly how the fair value changes will develop.

Then on the other hand, obviously as well, how the timings of different exits, if so, will happen in during the '26. Garantia, insurance revenue is expected to grow slightly in '26, and profitability expected to remain stable level.

With the given environment that we are operating, the investment fair value is expected to remain steady level as well in during '26. Finally, when it comes to the cost structure and the operating expenses, no major changes is expected during the financial year, even though that we are targeting new initiatives and significant growth.

With that, I will hand over to Antti Salmela, who is our investment director in Development Capital, who will walk you shortly through the Ren-Gas investment from the Taaleri's perspective, and then followed by Saara, CEO of Ren-Gas, who will then present their view and the latest development of the Ren-Gas. Please, Antti.

Thank you, Ilkka. My name is Antti Salmela.

I serve as an investment director at Taaleri. I am responsible for the direct investments at Taaleri, including our development capital portfolio.

I joined Taaleri at the time of the strategy update in August last year, and I've been doing private equity investments since 2007. Today I'm pleased to introduce Taaleri's first development capital investment, and today I'm joined by Ren-Gas CEO, Saara Kujala, who will walk you through the company and its plans in more detail.

Shortly from Taaleri's perspective, Ren-Gas is the leading e-methane project developer in Europe, not only in Finland, but also on a wider context. In December last year, Ren-Gas closed the financing round of €60 million, and we were really happy to join the investment round.

Ren-Gas has a strong group of Finnish and international investors: existing investors Allianz Global Investors and Suomen Tavara ja Raha, which is an investment company owned by Ilkka Herlin, the existing investors joined the investment round; and Taaleri and Tesi, Finnish Industry Investments, are new investors who joined the company with this round. From Taaleri's perspective, the key reasons why we wanted to invest in Ren-Gas are that Ren-Gas's solutions are really accelerating the energy transition, and as a consequence, they deliver substantial emissions reductions.

The industry is growing, and the growth is driven by the regulation, which favors clean fuels, both in Finland and also on European level. Finally, and most importantly, the Ren-Gas team is widely regarded as very experienced in the industry and also very ambitious, which is, of course, critical for us.

With that, I'm happy to hand over to Saara to continue with the introduction of the company.

Thank you, Antti, and thank you for having the opportunity to be here. My name is Saara Kujala, and I'm the CEO of Ren-Gas.

Of course, on behalf of the Ren-Gas, but also personally, I'm really happy to have Taaleri to join us an investor and partner on our journey. Currently we are happy to say leading e-methane project developer in Europe, but of course going forward, also the leading e-methane producer with our projects.

E-methane, very shortly, it's a renewable fuel that we will produce in our production facilities first by producing renewable hydrogen, biogenic CO2, and combining these together we have a molecule, e-methane, that actually has the similar benefits, similar chemical properties as biogas, but we tap into EU renewable hydrogen markets, having as a very unique, interesting business case as we can also utilize the existing infrastructure, LNG trucks, where we will have this product as a fuel, and also later on to the marine segment. Currently, Ren-Gas has six e-methane projects in development in Finland.

On the left-hand side you'll see logos of our partners. These projects are Ren-Gas projects, but we collaborate closely with Finnish municipal energy companies, where we source the CO2 that we need for the production process, but we also collaborate in utilizing the waste heat that are born in our production process to have a no-emission heating source for the cities.

Currently, we are a team of 30 people. We are a strong team, as this is a new industry, but also we are preparing on having a long-term business case as we will have competencies also to operate, maintain, optimize these assets over the long term, which is a very valuable service for the assets and wider for the hydrogen industry as well.

About the investors, Antti already introduced them. Initially in our previous financing round, we were preparing on taking the portfolio forward to a certain step with the funding from Allianz.

Now with this recent financing round, preparing to first of all take the Tampere project to the construction phase and also enlarge the portfolio development and having also the next projects forward to the construction. The first project is located in Tampere, already in ready-to-build stage, nearing the investment decision, and 2029 is the projected first year of operation, where we will have our e-methane going through the gas pipeline network to the market.

One of the very significant milestone in this industry is that, before this project, we have already selected the key equipment suppliers, our EPC partner, which is very important to having a bankable operational model, good technologies that actually support the low-risk implementation of the project and the good business case going forward. Then finally, kind of the two two last milestones that are very important for implementation of our plans: on the debt financing side, we already have a €230 million loan framework board approved at the EIB; and for the first three of our projects in Tampere, Lahti, and Kotka, we also have the subsidy elements in place since these first projects will still be quite capital heavy, the ability to attract subsidies is a very very important part of the business case.

I would say this is an overview on kind of the key milestones, who we are as a company, what are some of the kind of key assets that are pushing us forward, and very happy to be working together with Taaleri, other investors, and the value chain partners to take first the Tampere and rest of the projects forward together.

Thank you so much to all of our presenters. Now we have time for a Q&A, and both Ilkka, Lauri, and Antti are happy to take questions, either regarding Taaleri, our fourth-quarter results, or the investment in Ren-Gas.

If we have questions here live, you please use the microphone to do so so that everyone also online can hear the question. Questions over the webcast platform can be submitted at any time.

We have a question from Sauli Vilén from Inderes. Please go ahead.

Yes, thank you. Sauli from Inderes.

About Garantia, the share of equity in your portfolio, it has historically been 10% to 15%. I think the long-term average is like 16% or something.

Now it's close to 30%, as you said. Should we think this 30% as a new normal?

Obviously, you have the balance sheet to do it if you want to.

In their investment policy, the 25% actually a neutral position. They have been kind of underutilized the equity risk opportunity earlier, but now during the year, it has increased quite a bit, and at the end of the year it achieved that almost 30% level because of the fact that the stock market has increased quite significantly.

There's no, I would say, expected any major difference on to, because the kind of the policy has still remained the same. Obviously, their investment professionals kind of try to optimize the allocation, obviously considering the risk and return opportunities in the market when it comes to fixed income versus the equity market.

Thanks. Then about the Joensuu, the bioplant there.

Can you walk us through a little bit more detail the write-down? It was kind of a drastic one.

You kind of cut your stake in half, which implies that the overall fair value of the plant has halved overnight basically. Yeah.

Can you shed some more light on this, how big surprise of this energy issue, to speak, were?

Yeah. The facility itself, like said, it has been in a ramp-up phase during the year, and it has faced some technical issue, which is quite, you could say, that sometimes happen when you implement new technologies, and that has happened with Joensuu case as well.

There is a clear issues with the energy balance, and, like we said, it requires additional investments to be operational. Our people and our engineers are kind of investigating the opportunities currently with the service providers and technology providers, and that's the current status where it is at the moment, and, well, yeah.

Like said, let's put it that way, that's the exact summary of that.

In more detail, how are you going to refinance the operation? Obviously, it is through the co-investment vehicle, which I don't think has any major excess capital.

Do you need to pile in more cash, or do you seek outside equity injection, or how we should look at?

That is under negotiations. Obviously there's external sources and internal sources and discussions ongoing at the moment, but that is under negotiations, and depends also on the technical solutions that is then identified.

Can you give any ballpark figures, how much investments the plant actually needs in order to ramp up on the face? Are we talking single millions, or tens of millions, or?

Yes, single millions, most likely. Obviously, like said, the technical solution is not yet finalized, but most likely, yes, single millions.

Still continuing this. We are talking about single million investments, and they are what I hear from you, they are this hiccups, to speak.

They are not like any super drastic things. They, as you said, they happen when you ramp up new technologies.

Still you cut the book value of your investment in half. That implies much more drastic than what you actually say.

Is it just because of the leverage, or why just so drastic?

Obviously comes from the let's say the financial principles and the kind of the uncertainty that is related to that investments, because obviously, as you said yourself, the entity as such has not that sort of financings kind of available at the moment. It requires additional financing, and there is obviously clear uncertainty related to that additional financing.

That's the kind of the background of that write-down.

Has this situation, to speak, changed your view regarding the Canadian biocoal plant?

The Canadian operations, the purpose of that was that we would be able to utilize to the Joensuu plant as a proof of concept and to utilize the same technology. Obviously, if there is then obstacles and difficulties with the existing technology, so that will obviously have an impact for the Canadian operations.

There are globally available other technologies as well, and which we have already investigated, but obviously we haven't made any decisions because we are still kind of trying to tackle the issues in Joensuu.

Yes, thanks. Then one one for one more for me.

About the Ren-Gas investment, it was €1.6 million in your balance sheet at the end of the Q4. I think your stake is higher than that obviously, is it just that it will grow when the company needs capital, or how we should look at this?

It was €1.5 million, and there's certain milestone that would trigger the earn-out payment, additional payment.

That's clear. Thanks.

Hi, it's Patrick Campbell from Nordea. Firstly, congratulations on closing of SolarWind III.

Perhaps looking ahead and reflecting your guidance, what kind of new funds will be in focus this year, and perhaps reflecting the Private Asset Management as a whole?

All in all, obviously it depends, I think, it's the short answer. In short when it comes to, let's start with the renewable energy.

Our target is to proceed already if things develop positively, and favorably our target is already to initiate SolarWind IV during the financial year, and at least kind of start the kind of the activities on that. Then if you take a look at the bioindustry, that is still, like we said in the Capital Markets Day, the fundraising will not happen in '26, but our target is to finalize the investment period in '26, and then the fundraising will then initiate in '27 for the next vintage.

In real estate, we are in the middle of different kind of phases of different project development when it comes to separate mandate accounts and when it comes to the new kind of new funds, but I think especially when it comes to the real estate segment and real estate market, we all know that it is the quite stickity the market situation there, and it depends on the LPs how that will progress. When it comes to the new initiatives, like we have said, our target is to launch several new strategies during the period '26 to '28.

Let's formulate it that way, that I would be quite disappointed if we would not be able to initiate any of those during '26. That's the clear goal that we internally have.

All right. Thank you.

Then maybe my second question related to poor performance fees. It seems that you didn't book any performance fees this or last year, and maybe looking at this year, and considering that some funds are in the exit phase, do you expect to book any performance fees this year?

We test those every quarter, and those are recognized accordingly. We haven't stated any, say, forward-looking statement when it comes to the performance fees, but that is kind of take a close look on that every quarter, and it depends on the development of the funds, obviously.

All right. Thank you.

Yes, still Sauli from Inderes, if I may continue. About the Garantia's bond portfolio, can you remind us what is your running yield on there, like roughly?

That I don't have the exact number in my head. It had changed a bit during the year, maybe I'm not giving any numbers because I would indicate it incorrectly.

Okay. Then about the outlook on other Private Asset Management.

You are expecting operational loss there. I assume that is based on the assumption that you don't book any performance fees there.

Yes. Yeah.

Yes. Then again on the outlook, if I read correctly on your renewable energy outlook, you are implying that you are planning to divest the older wind assets this year.

Obviously, we know that the wind farm situation in Finland is kind of a difficult one. What gives you the confidence that the market situation actually improves during the year?

Because at current states, as you have previously said, there is no point of divesting them as we speak right now.

Actually those are in the market obviously, and we are investigating the opportunities continuously. I think, let's say, there's silent signals that actually the transaction market in the Nordics overall is developing more positively.

I think we have already seen the bottom, and now I'm talking about the Nordic level, and we faced quite kind of difficult situation when especially in the Northern Sweden they had had the setbacks with the financial investments. I think the market is and activity is picking up, and we are seeing already some assets moving in the market, even though that those are more related to Sweden and the distressed situation.

Still, I think we are start to see that market is moving toward more active level on the renewable energy exit market as well.

That's good. Then finally about the bioindustry fundraising outlook.

You obviously have had some difficulties in the fund itself with some of the larger investments there. Now you have difficulties with the Joensuu basically, which was supposed to be like a reference case, to speak.

On top of that, the market situation is obviously super difficult in that sector at the moment. How do you see the fundraising outlook overall currently?

It's good to make the difference between the Biocool and the Fintoil investments and the fund operational assets, because the fund strategy is related to bio-based or recycled materials mostly. That is investing in a kind of different asset category that it's not investing in bioenergy as such.

Shouldn't be kind of understood to have a major link between those different categories. Actually, if you take a look at the underlying development, and obviously when we have now, as we published last year, we took the Tier 2 and Tier 3 LP, and insourced that activity, and we have more and more dialogue with our LPs and our investors.

Actually, I think, even though that you said that the market is facing difficulties, we see actually that the LPs are seeing it, some LPs are seeing quite attractive market to investing at the moment. The kind of, let's put it that way, that the valuations actually are quite attractive at the moment, and the underlying factors when it comes to the climate change and need for replace the fossil-based material, that kind of assumption or the overall market has not changed at all, but I think it is actually developing and there's more companies coming up on that market in on European level.

Okay. Then finally, I'm not sure is this for Antti or Ilkka, but about your investment pipeline, to speak.

Obviously, I think in the report, you stated that you have some stuff there, but can you open a little bit more how much activity is going under the hood, to speak? How much capital deployment should we expect, for example, next 20 next 12 months or so?

I can maybe start, and Antti can then continue, and fulfill if I'm saying something completely incorrectly. I think that we are actually seeing that there is a clear demand for this kind of investments in Finland, especially.

There's clear market position that we have possibility to take, and that's what Antti continuously communicates to me as well that when Antti having a dialogue with so-called market, there's not that many companies that are doing this sort of minority-stake investments in a growing companies and in a sector-agnostic way without having a set timeline of the investments, and that has actually created quite strong pipeline, and there's a lot of opportunities. Obviously, like said, from the strategic perspective, it's a capital allocation tool for us, and we have to kind of balance the investment between the Private Asset Management and the development portfolio.

That's the job that we are doing, but maybe Antti can elaborate a bit. Sure.

I can confirm that the deal pipeline is very healthy. Given the short period of time after the strategy update, it sees that the strategy is working very well.

Our aim is to be co-investor with international investors, like in the Ren-Gas case. We are co-investor with Tesi, like in the Ren-Gas case, and we are co-investor with other institutional investors.

We nicely kind of compliment the Finnish equity capital markets structure. The pipeline is healthy, and as you said, we have not set any kind of goals about the speed of the deploy capital, which gives us room to be selective and tap the good opportunities.

Also, we are, like said in the Capital Markets Day, we are currently looking at possibilities to invest also into existing companies, which is naturally might be really attractive given we know the companies, we have been affecting the strategy, and we know the management, and we know the outlook. That's also something we are currently looking at.

That's all from me. Thank you very much.

Thank you.

Thank you. We have a few questions online as well.

First, we have Elsa Vismart from DNB Carnegie, who is wondering about the outlook for Garantia. Do you see that it's possible to take on even more market share, or do you believe that growth will primarily be with the market?

Yes, I think we have opportunity to increase market share both in corporate loans as well as in the mortgage loans as well. Like always when it comes to Garantia, it's all about risk management.

They are operating in a certain kind of risk envelope, and as long as we stay there and keep our risk management quite tight, we believe that we are able to increase the market share within that risk category without increasing our risk-taking significantly.

What is your perspective on the housing market in Finland? Will 2026 be the year of a final turnaround?

If I would know that. Anyway, I think if you read the statistics, if you read the articles and the news when it comes to real estate market, I think net result of that is that we are seeing slightly real estate market moving towards more and more positive territory, and that also applies to housing market.

We have seen lately quite significant transactions, which are not housing market as such, but quite significant transactions when the international investors have entered in the Finnish market, and have made a big big transaction in a real estate market, and that's historically at least has been a good proxy for the turning point when the positive market development typically has started when the international investors enter in the market.

Thank you. Do we have any further questions, either from the floor or online?

If no further questions, we are now almost at the top of the hour, I would like to thank all the presenters and then also for everyone listening, both over the webcast platform and for you here in the room with us for your time. Wish you all a pleasant rest of the day.

This concludes the webcast.

Thank you.

Thanks a lot.