Hermana (HERMA) Q4 2025 earnings summary

Executive summary

• First full year as a listed company delivered a 48% shareholder return, with focus on royalty proceeds, capital allocation, and investment evaluation.

• Received NOK 88.7 million from Shell Penguins FPSO royalties, completing all proceeds from this asset.

• Western Isles FPSO royalty rights remain, with potential for long-term revenue as redeployment is anticipated.

• Cash and cash equivalents at year-end exceeded NOK 100 million, with no long-term debt.

• Evaluated around 40 investment opportunities, maintaining a patient, opportunity-driven approach.

Financial highlights

• 2025 revenue was NOK 1.2 million, down from NOK 3.9 million in 2024 due to lower royalty income.

• Operating profit was negative NOK 5.3 million; net loss was NOK 13.4 million, impacted by a NOK 9.3 million FX loss.

• Cash flow from operations was negative NOK 4.5 million; investing activities contributed NOK 88.7 million.

• Year-end cash and cash equivalents were NOK 104.3 million; equity ratio stood at 99.3%.

• Market capitalization at year-end was NOK 228.8 million.

Outlook and guidance

• Anticipates significant, long-term revenue from Western Isles FPSO royalties once redeployed.

• Continues to evaluate value-accretive investment opportunities, with disciplined capital allocation.