Magnolia Bostad reports on the first quarter of 2016

The Company is reporting an operating profit/loss for the period of SEK 99.5
million (146.1). Profit/loss after tax was SEK 85.8 million (138.7), which
adjusted for items affecting comparability is the company’s best result to date.
– The first months of 2016 were characterized by strong sales and intensive
business activity, says Fredrik Lidjan, CEO of Magnolia Bostad. I am also
pleased to announce that we have successfully conducted a bond issue of SEK 600
million.

The first quarter in brief:

  · Operating profit/loss: SEK 99.5 (146.1) million
  · Profit/loss after tax: SEK 85.8 (138.7) million
  · Earnings per share: SEK 2.01 (4.43)

Operating profit for Q1 2015 was positively impacted by approximately SEK 153
million as a result of the revaluation of the Senapsfabriken project during the
transfer from associated company to subsidiary.

Significant events during the quarter

  · Magnolia Bostad expands its organization in Stockholm and Helsingborg with
the addition of seven staff members.
  · Magnolia Bostad signs a cooperation agreement with Västerkulla Hotel. Under
the agreement, Västerkulla Hotell Holding AB has the possibility to acquire the
hotels that Magnolia Bostad develops.
  · Magnolia Bostad acquires the Antikvarien 1 and Arkeologen 1 properties in
Mariastaden from Helsingborg Municipality. At the same time, it sells the 345
rental apartments that will be developed on these properties to SPP Fastigheter.
  · Magnolia Bostad and Helsingborg Municipality sign a declaration of intent to
collaborate on the development of new rental apartments with reasonable rents.
  · Magnolia Bostad signs a land allotment agreement for 600 apartments in the
Norra Kajen harbor area in Sundsvall.
  · The sales target was achieved for the Varvet block of the Kanikenäsholmen
project in Karlstad.
  · Magnolia Bostad annuls contracts concerning the Huvudkontoret project, which
consists of 90 tenant-owned apartments in Uppsala, since it was prevented from
starting work on the property by the seller, Bergsporten AB.


The full report is available at: www.magnoliabostad.se/investorrelations/

For more information, please contact:
Fredrik Lidjan, CEO
+46 70 223 43 47, fredrik.lidjan@magnoliabostad.se

Erik Rune, CFO
+46 73 399 40 30, erik.rune@magnoliabostad.se


Magnolia Bostad develops efficient, attractive and functional residential
properties, including rental apartments, tenant-owned apartments and hotels, in
attractive locations primarily in Sweden’s growth areas. Our work is based on a
holistic approach where the operations are conducted in a manner that promotes
long-term, sustainable urban development. Magnolia Bostad's share (MAG) is
listed on Nasdaq First North. Erik Penser Bank is the Certified Adviser for the
Company. More information is available at www.magnoliabostad.se