Treasure ASA

Annual report

2024

Content

Directors’

report

Directors’ report

for 2024

MAIN DEVELOPMENT AND STRATEGIC DIRECTION

The Treasure ASA group (Treasure or group) owns 8,250,000 (11.0%) shares in Hyundai Glovis Co., Ltd. (Hyundai Glovis), a global transportation and logistics provider based in Seoul, Rebublic of Korea (Korea).

The group’s ambition is to generate significant shareholder return from investments within the maritime and logistics industries, either by increasing the market value of its shares, through dividends, or other distributions to shareholders. In May 2024, the company distributed NOK 0.75 per share in dividends, followed by an additional dividend of NOK 0.25 per share, paid in December 2024. This adds up to a total of NOK 1.00 per share in cash dividends distributed during the full year 2024. The company did not buy back any of its own shares during the calendar year.

Whereas the primary focus is on managing the shareholding in Hyundai Glovis, the financial capability of the group is strong. The board and management continue to enhance the

relationship with the Hyundai Group and other stakeholders.

FINANCIAL SUMMARY – THE GROUP FINANCIAL ACCOUNTS

Going concern assumption

Pursuant to section 4, sub-section 5, confer section 3, sub-

section 3a of the Norwegian Accounting Act, it is confirmed that the annual accounts have been prepared under the

assumption that the enterprise is a going concern and that

the conditions are present.

Income statement

The group’s financial accounts for 2024 showed a profit before tax of USD 90 million (2023: USD 88 million). The profit before tax includes a share of profit from Hyundai Glovis of USD 90 million (2023: USD 89 million). Tax was included with an expense of USD 3.0 million (2023: USD 3.6 million) and profit for the year was USD 87.3 million in 2024 (2023: USD 84.3 million).

Balance sheet

Total assets for Treasure ASA group at the end of 2024 was

USD 672.5 million (2023: USD 679.7 million), of which USD 0.9 million (2023: USD 4.4 million) in cash and cash equivalents. The group has no interest-bearing debt.

Hyundai Glovis

Revenues and profitability of Hyundai Glovis are intricately linked to the performance of its main customer, Hyundai Motor Group. The Hyundai Glovis share price increased by 27.6% (adjusted for dividend) during 2024, beating the general Korean market, which was down 8.4% in comparison (represented by the KOSPI Index).

In 2024, Hyundai Glovis issued bonus shares to its shareholders at a 1:1 ratio. Consequently, the number of shares held by

the Company in Hyundai Glovis doubled from 4,125,000 to 8,250,000. Despite this increase, the ownership percentage remained unchanged at 11.0%.

Cash flow, liquidity, and debt

The Treasure ASA group experienced a net decrease in cash and cash equivalents of USD 3.6 million for the year (2023: USD decrease of 5 million). This change reflects the net dividends received from Hyundai Glovis, tax paid and the dividends paid out by the company.

RISK

The shareholding in Hyundai Glovis, through its capital

intensity and cyclical exposure to demand and supply of

vehicles, dominates the risk of Treasure ASA group. Changes

in trade conditions and global demand for Hyundai and Kia

vehicles may affect transportation flows and thereby the

financial performance and the volatility in the share price of Hyundai Glovis.

Operational risk

The group has no employees. Corporate functions such as general management, accounting, investor relations, legal, tax, communication, ESG-reporting etc. are covered via detailed Service Level Agreements (SLA) with Wilh. Wilhelmsen

Holding ASA and Wilhelmsen New Energy AS. The board is familiar and confident with the quality of these services.

Financial risk

The group remains exposed to a range of financial risk factors, particularly stemming from the equity market conditions globally and in Korea as well as from movements in the Korean Won.

Climate Risk

The group’s investment is exposed to climate risk over the short and medium term:

• Physical risks stemming from more extreme weather and rising water levels impacting the logistics and maritime assets and operations of Hyundai Glovis.

• Transition risks (regulatory, reputational, market, and

technology) stemming from implementation of national and international climate policy measures, the energy transition and the decarbonisation of shipping and logistics.

• The Korean government’s climate program coupled with

the International Maritime Organisation’s (IMO) greenhouse gas (GHG) emissions ambition, other regional and national

government’s climate measures and energy transition

priorities, as well as stakeholder’s increased attention on environmental, social, and governance (ESG) issues, all

exemplify the changing climate risk and opportunity

landscape for Hyundai Glovis.

Internal control and risk management

The group is committed to manage risks related to its investments in a sound and professional manner. This commitment spans monitoring of the current environment, implementation of measures to mitigate risks and responding to risks to mitigate consequences.

The group’s exposure to and management of financial risk

are further described in Note 7 of the accounts. This includes foreign exchange rate risk, credit risk and liquidity risk.

While the main investment is of a long-term nature, any

fluctuations in values will have impact on the net asset value and solidity of the group and may affect profitability.

CORPORATE GOVERNANCE, CONTROL AND COMPLIANCE

Treasure ASA group observes the Norwegian Code of Practice for corporate governance, in addition to requirements as

specified in the Norwegian Public Companies Act and the

Norwegian Accounting Act.

It is the board’s view that, given the company’s business model, the company has an appropriate governance structure and that it is managed in a satisfactory way.

The board’s corporate governance report can be found as an integrated part of this report.

HEALTH, SAFETY, WORKING ENVIRONMENT

AND GENDER DIVERSITY

Health, safety and working environment

The group does not have any employees. The CEO and CFO who form the management of Treasure ASA are employed by Wilh. Wilhelmsen Holding ASA and Wilhelmsen New Energy AS and are engaged based on Service Level Agreements. In 2024, there were no reports of any material issues or alleged violations concerning health, safety or working environment stemming from these services.

Gender diversity

Two of four board members are female (50%), while the CEO and CFO are both men (100%).

A separate remuneration report has been prepared by the

board and can be found as an integrated part of this report.

The report will be proposed to the Annual General Meeting

for an advisory vote.

SUSTAINABILITY

Environmental, Social and Governance (ESG) matters

A responsible business model must be sustainable. The group includes environmental, social, and corporate governance issues in its investment analysis, business decisions, ownership practises, and financial reporting.

The group has clearly expressed its ESG expectations to Hyundai Glovis as an active shareholder. The expectations are to reduce environmental impact; contribute to promote human rights, sound working standards; and work towards eliminating

corruption in own operations and investments, as well as the operations of suppliers and business partners. The group has also expressed expectations and support for Hyundai Glovis’ green growth and active role in the decarbonisation of the

maritime and logistics sector.

The group’s 2024 ESG- and Transparency act report can be found as an integrated part of this report.

DIRECTORS AND OFFICERS LIABILITY INSURANCE

Directors and Officers Liability Insurance (D&O) is for the 2024 accounting year placed with AIG, AXA XL, Risk Point and If. The insured is Wilh. Wilhelmsen Holding ASA and includes any subsidiaries world-wide not excluded in the policy, including Treasure ASA. The D&O insurance provides financial protection for the directors and officers of a company in the event that they are being sued in conjunction with the performance of their duties as they relate to the company. The insurance comprises the directors’ and officers’ personal legal liabilities, including defence- and legal costs. The cover also includes employees in managerial positions or employees who become named in a claim or investigation or is named co-defendant.

ALLOCATION OF PROFIT, DIVIDEND AND BUY BACK

The board’s proposal for allocation of the net profit for the year is as follows:

The board is proposing to the Annual General Meeting a

NOK 0.70 dividend per share payable during the first half of 2025, representing a total payment of NOK 153.5 million.

In addition, the board is proposing that the Annual General Meeting authorises the board to declare a second dividend up to NOK 0.20 per share.

PROSPECTS AND OUTLOOK

Treasure ASA is an investment company with currently one

asset. The underlying value of the group correlates strongly with the general development of the Hyundai Glovis financial and share price performance.

The main customers of Hyundai Glovis - Hyundai Motor Group and Kia Motor Group - are experiencing an increasing global demand for their vehicles. Hyundai Glovis is continuously extending its maritime footprint into zero-emission and

hydrogen initiatives, new value chain and energy segments through a combination of partnerships and direct investments, which is viewed as positive.

Extensive information on Hyundai Glovis can be found on ir.glovis.net

In 2025, Treasure ASA will continue to build and extend its strategic relationship with Hyundai Glovis.

The board expects the underlying value of the group’s main asset to fluctuate in line with the general equity indexes of the Korean Stock Exchange.

Lysaker, 10 February 2025

The board of directors of Treasure ASA

Thomas Wilhelmsen (chair)

Marianne Hagen

Marianne Lie

Christian Berg

Magnus Sande (CEO)

Accounts

and notes

– Group

Lysaker, 10 February 2025

The board of directors of Treasure ASA

Electronically signed:

Thomas Wilhelmsen (chair)

Marianne Hagen

Marianne Lie

Christian Berg

Magnus Sande (CEO)