Flsmidth & Co. A/s · OMXCOP:FLS
Flsmidth & Co. A/s — Flsmidth & Co A/S B Shs — Q1 2026 Earnings Presentation
26 slides from Flsmidth & Co. A/s's earnings presentation, May 13, 2026
Slide 1: Q1 2026 Interim Financial Report
Q1 2026 Interim Financial Report Investor Presentation 13 May 2026
Slide 2: Contents
Contents Today’s speakers 01 Q1 2026 highlights 06 Products performance 02 Update on compliance case 07 PC&V performance Toni Laaksonen Roland M. Andersen Chief Executive Officer Chief Financial Officer 03 Q1 2026 sustainability highlights 08 Consolidated financial performance Forward - looking stat
Slide 3: Highlights in Q1 2026
Highlights in Q1 2026 Market and commercial Financial Strategic and corporate highlights highlights highlights Service business reporting very strong 19% Revenue declined organically by 7% driven by Sale of former corporate headquarter organic growth in order intake in Q1 2026 timing and order mix i
Slide 4: Update on investigation of potential non-compliance with sanctions regulations
Update on investigation of potential non - compliance with sanctions regulations • FLSmidth has identified potential sanctions - related compliance matters as part of an ongoing internal investigation related to pre - contract tender activities connected to a limited number of projects in Kazakhstan
Slide 5: Mixed results within our key sustainability targets
Mixed results within our key sustainability targets Scope 1 & 2 Greenhouse Scope 3 Economic intensity Spend with suppliers with gas emissions (use of sold products) science - based targets 7,032 2,793 28.1 tCO 2 e (market - based) tCO 2 e/DKKm order intake % Q1 2026 HIGHLIGHTS Scope 3 intensity and
Slide 6: Overall market conditions were unchanged in Q1 2026
Overall market conditions were unchanged in Q1 2026; gradually improving outlook as project pipeline progresses • Overall market conditions were unchanged in Q1 2026 with stable and active market conditions for Service and PC&V and continued softness in the Products market • Sustained focus on solut
Slide 7: Service: Strong commercial performance in Q1'26
Service: Strong commercial performance in Q1’26 with 19% organic growth in order intake; revenue impacted by timing GROWTH IN SERVICE ORDER INTAKE AND REVENUE SERVICE ORDER INTAKE AND REVENUE Organic and total growth DKKm and ratio Q1 2026 vs. Q1 2025 DKKm % Order intake + 19% + 14% 3,000 140 Organi
Slide 8: Lower Service margins driven by low revenue
Lower Service margins driven by low revenue, mix and input cost inflation SERVICE EBITA AND EBITA MARGIN DKKm and percent of revenue 22.4% 20.3% 19.6% 19.2% 21.2% 17.5% 19.9% 19.2% 19.0% 16.6% 16.7% 16.4% 531 502 420 443 388 411 404 370 367 372 331 336 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026
Slide 9: Products: Q1 2026 development reflect subdued demand
Products: Q1 2026 development reflect relatively strong comparative quarter and subdued market demand GROWTH IN PRODUCTS ORDER INTAKE AND REVENUE PRODUCTS ORDER INTAKE AND REVENUE Organic and total growth DKKm and ratio Q1 2026 vs. Q1 2025 DKKm % Order intake - 28 % - 31% 1,800 140 Organic Total 120
Slide 10: Products margin up on cost initiatives and project close-out
Products margin up on cost initiatives and project close - out PRODUCTS EBITA AND EBITA MARGIN DKKm and percent of revenue Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 6.8% 4.2% -3.4% 63 -0.7% -2.6% 39 -4 -4 -44 -31 -26 -50 -59 -45 -81 -81 -3.7% -8.2% -5.9% -10.1% -9.7% EBITA Adj. EBITA EBITA mar
Slide 11: PC&V: Strong 16% organic growth in order intake
PC&V: Strong 16% organic growth in order intake in Q1 2026 reflects clear market share gains GROWTH IN PC&V ORDER INTAKE AND REVENUE PC&V ORDER INTAKE AND REVENUE Organic and total growth DKKm and ratio Q1 2026 vs. Q1 2025 DKKm % Order intake +16% +12% 1,200 140 Organic Total 121.7% 1,000 120 105.2%
Slide 12: PC&V Adj. EBITA margin remained stable
PC&V Adj. EBITA margin remained stable and in line with expectations PC&V EBITA AND EBITA MARGIN DKKm and percent of revenue 28.0% 27.4% 24.6% 23.9% 24.5% 24.0% 27.0% 25.0% 23.3% 23.7% 23.5% 22.7% 213 221 213 178 178 184 194 169 161 169 165 168 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 EBITA A
Slide 13: Consolidated financial performance in Q1 2026
Consolidated financial performance in Q1 2026 CONSOLIDATED FINANCIALS COMMENTS (DKKm) Q1 2026 Q1 2025 Change FY 2025 • Order intake increased organically by 8% compared to Q1 Order intake 3,898 3,777 +3 % 15,045 2025 (total increase of 3%) Revenue 3,279 3,708 -12% 14,612 Gross profit margin 36.1% 35
Slide 14: Gross margin remains high due to current revenue mix
Gross margin remains high due to current revenue mix GROSS PROFIT Gross margin improved by 0.9%p versus Q1 2025 DKKm Gross margin 1,800 40% 35.2% 36.1% 34.6% 35% 1,500 30% 1,200 25% 900 20% 1,409 15% 600 1,304 1,185 10% 300 5% - - Q4’24 Q1’25 Q2’25 Q3’25 Q4’25 Q1’26 Gross profit Gross profit margin
Slide 15: SG&A costs down by 18% year-on-year
SG&A costs down by 18% year - on - year, while SG&A ratio remained higher due to lower level of revenue SG&A COSTS COMMENTS SG&A ratio down by 1.4%p vs. Q1 2025 • SG&A costs amounted to DKK 622m in Q1 2026 compared to DKK DKKm SG&A ratio 755m in Q1 2025: 1,200 25% • This included one -off costs rela
Slide 16: Adjusted EBITA margin improved versus Q1 2025
Adjusted EBITA margin improved versus Q1 2025 but was adversely impacted by the low level of revenue EBITA AND ADJUSTED EBITA DKKm and margins (%) Comments 35.6% • Adj. EBITA margin of 15.2% in Q1 2026 versus 14.6% in Q1 2025 • Margin was adversely impacted by the low level of revenue in the quarter
Slide 17: NWC driven higher by increase in inventories
NWC driven higher by increase in inventories reflecting the high order intake and the timing of revenue conversion NET WORKING CAPITAL (NWC) AND NWC RATIO NET WORKING CAPITAL AT END - Q1 2026 DKKm and ratio relative to revenue DKKm Q1 2026 Q4 2025 Change DKKm NWC ratio 3,000 21% Inventories 3,707 3,
Slide 18: Solid cash flow from operations in Q1 2026
Solid cash flow from operations in Q1 2026, while free cash flow supported by sale of former headquarter GROUP CASH FLOW Consolidated Group, DKKm Q1 2026 Q1 2025 DKKm EBITDA, continuing activities 1,244 567 800 EBITDA, discontinued business - 97 Adjustment for gain on sale of PPE 2 and other non -ca
Slide 19: Leverage provides solid platform for M&A and further shareholder returns
Leverage provides solid platform for M&A and further shareholder returns DEVELOPMENT IN NIBD AND LEVERAGE DKKm and leverage ratio (NIBD/EBITDA) DKKm NIBD/EBITDA 2,500 2.5 Capital structure target of NIBD/EBITDA <2.0x 2,014 2,000 1,929 2.0 1,500 1.5 1,043 1,000 1.0 0.8x 0.6x 0.5x 500 0.5 - - Q4’24 Q1
Slide 20: The financial guidance for 2026 is maintained
The financial guidance for 2026 is maintained 1 Organic revenue growth - 1% to 4% Adj. EBITA margin 15.5% to 16.5% 1 Ref. Company Announcement no. 09 -2026 20 13 May 2026 Q1 2026 Interim Financial Report | Investor presentation
Slide 21: Detailed full-year 2026 revenue bridge
Detailed full - year 2026 revenue bridge 2026 revenue bridge Key assumptions for the revenue outlook for the full year 2026 2% to 5% • FLSmidth targets organic revenue growth of - 1% to 4%: • Service revenue is expected to increase organically by 2 - 5% • Products revenue is expected to decline orga
Slide 22: Detailed full-year 2026 Adj. EBITA margin bridge
Detailed full - year 2026 Adj. EBITA margin bridge 2026 Adj. EBITA margin bridge (approximate development) Key assumptions for the Adj. EBITA margin outlook for the full year 2026 ~19-20% • FLSmidth targets an Adj. EBITA margin of 15.5% to 16.5% • The Adj. EBITA is expected to benefit from: ~5.0% p
Slide 23: Capital Markets Day November 2026
Capital Markets Day 17 November 2026 FLS offices in Copenhagen, Denmark 23 13 May 2026 Q1 2026 Interim Financial Report | Investor presentation
Slide 24: Questions & answers
Questions & answers 24 13 May 2026 Q1 2026 Interim Financial Report | Investor presentation
Slide 25: Investor information
Investor information 2026 FINANCIAL CALENDAR INVESTOR CONTACTS 19 August 2026: H1 2026 Interim Financial Report ANDREAS HOLKJÆR SANDAGER 11 November 2026: Q3 2026 Interim Financial Report Head of Investor Relations 17 November 2026: Capital Markets Day 2026 Phone: +45 2485 0384 Email: andh@flsmidth.
Slide 26: Thank you
Follow us here Thank you FLSmidth & Co. A/S Havneholmen 2, 1-3 2450 Copenhagen SV Denmark Phone: +45 3618 1000 Email: info@ FLSmidth .com www.flsmidth.com CVR: 58180912 26 13 May 2026 Q1 2026 Interim Financial Report | Investor presentation
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