Slide 1: Q1 2024 results
Q1 2024 resu Fs
Slide 2: Net sales, adjusted operating margin and cash flow
24,699 MSEK 1,781 MSEK Net cash flow from operations 13.4% Net sales | Adjusted operating margin
Slide 3: Soft customer demand across regions
Soft customer demand across regions Q1 sales by and Organic growth / EMEA Americas China & NEA 11.0 SEK bn 7.3 SEK bn 4.0 SEK bn -4.9% -9.9% -11.2% EMEA: Europe, Middle East and Africa; NEA: North-East Asia; SEA: South-East Asia___ Organic growth: year-over-year me, Slide 3 oKF. India & SEA 2.4 SEK
Slide 4: Improved value chain flexibility in China is key to respond to demand fluctuations
oKF. Improved value chain flexibility in China is key to respond to demand fluctuations Increasing localized production Enabling greater resilience * Responding faster to demand Localization rate fluctuations - 61% Improved lead time and availability 55% Refocusing mainly to Heavy Industries to off-
Slide 5: Q1 summary: Strong earnings performance in a soft market
m SKF. Qi summary: Strong earnings performance in a soft market Industrial Automotive -6.2% _ 7 4 és 1 6 4 of Granveesecwtt Organic sales growth Adjusted operating margin 6 * '@) % Adjusted operating margin ‘SKF First-quarter report 2024
Slide 6: Executing our strategy
Executing our strate ol Create competitive & intelligent value chains Slide 6 O02 Manage and restructure our portfolio ‘SKF First-quarter report 2024
Slide 7: Leveraging technology expertise driving profitable growth in railway
oKF. Leveraging our technology expertise driving profitable growth in high growth segment railway * A global leader New designs of railway drives with ceramic solutions ¢ Continuously outgrown the market - ~9% sales growth vs. ~3% market growth (CAGR 2020-2023) ¢ Innovative solutions driving fleet e
Slide 8: Fulfilling customer demand on being more sustainable through low embodied CO2 bearings
Fulfilling customer demand on being more sustainable through low embodied CO, bearings Own operations Customer operations Lightweight and low friction Resourcing of new materials Changing manufacturing location with lower CO, footprint ‘SKF First-quarter report 2024
Slide 9: Transforming into a more resilient and competitive SKF
nsforming into a more resilient and competitive SKF Diligent strategy execution Improved resilience Decentralized organization increasing responsiveness Adjusted operating margin and Organic growth, % 13.1 13.3 ¢ Active portfolio management 10 | + Continuous cost management * Investing for the futur
Slide 10: SKF First-quarter report
‘SKF First-quarter report
Slide 11: Net sales declining
SKF. Net sales declining Net sales, SEK bn Percent, year-over-year Boe 208 : 24.7 24.7 01% ia -7.09 70% 0.0% Qi Q2 Q3 Q4 Qi Q1 2023 Structure Organic* Currency Qi 2024 *Organic: volume, price and mix. 2023 2024 Slide 11 ‘SKF First-quarter report 2024
Slide 12: Strong profit performance despite sales decline
Strong profit performance despite sales decline oKF. Adjusted operating profit, MSEK Adjusted operating profit, MSEK 3478 47 outs ae = 550 3303 26 o ( | | Currency Organic* Qi 2024 Qi Q2 Q3 Q4 Ql Q1 2023 Structure Cost 2023 2024 *Organic: volume, price and mix. Slide 12 ‘SKF First-quarter report 202
Slide 13: Solid cash flow
Solid cash flow Net cash flow from operations, MSEK 3937 3 664 3435 2747 | 1781 Qi Q2 Q3 Q4 Ql 2023 2024 Slide 13 oKF. Net cash flow from operations, MSEK 1095 2993 - -726 1781 -1581 Operating Non-cash Taxes NWC_ Operating profit items cash-flow Q1 2024 Q1 2024 ‘SKF First-quarter report 2024
Slide 14: Strong balance sheet and improving return on capital
oKF. Strong balance sheet and improving return on capital Net debt*, SEK bn ROCE adjusted 12 month rolling, % 2023 2024 15.1% al Q2 Q3 Q4 al | 13.0% . | Qi Q2 Q3 Q4 Qi mg Whereof Leasing ZS) 2023 2024 *Net debt excluding Post-employment benefits, net Slide 14 ‘SKF First-quarter report 2024
Slide 15: Outlook
Outlook * Looking into the second quarter of 2024, we expect a mid single-digit organic sales decline, y-o-y. * For the full year of 2024, we expect a low single-digit organic sales decline, compared to 2023. Cautionary statement esentation contains forward-looking statements that are based on the c
Slide 16: Q1: Strong earnings performance despite sales decline
Q1: Strong earnings performance despite sales decli Continued execution of ongoing strategic in * Create competitive and intellige « Manage and restructure o + Gear up for intellige
Slide 17: ‘SKF First-quarter report 2024
‘SKF First-quarter report 2024
Slide 18: okKF:
okKF: