Flsmidth & Co. A/s · OMXCOP:FLS

Flsmidth & Co. A/s — Flsmidth & Co A/S B Shs — Q2 2025 Earnings Presentation

24 slides from Flsmidth & Co. A/s's earnings presentation, Aug 20, 2025

  1. Slide 1: Investor Presentation

    Investor Presentation 20 August 2025

  2. Slide 2: Today's speakers and contents

    Today’s speakers Mikko Keto Roland M. Andersen Chief Executive Officer Chief Financial Officer Contents 01 02 03 04 05 Key highlights for Q2 2025 Sustainability Highlights for 012025 Market overview Service performance Products Performance 06 07 08 09 PC&V Performance Consolidated financial performa

  3. Slide 3: Updated reporting structure to reflect transition to pure-play mining technology and service provider

    Updated reporting structure to reflect transition to pure- play mining technology and service provider PREVIOUS SEGMENTATION NEW SEGMENTATION FLSMIDTH MINING SERVICE PRODUCTS FLSMIDTH CEMENT 25% PC&V-related 75% PC&V-related aftermarket Cement Service Cement Products equipment ° wee FLS 3 20 Aug. 20

  4. Slide 4: Q2 2025 highlights

    Q2 2025 highlights macroeconomic and geopolitical uncertainties ©) Continued and disciplined execution of our strategic priorities despite 4 We om Further reduction in SG&A costs driving strong progression in Adj. EBITA. Full-year 2025 profitability guidance upgraded on 14 August 2025 Solid organic

  5. Slide 5: Sustainability performance and highlights for Q2 2025

    Sustainability performance and highlights for Q2 2025 HIGHLIGHTS * Continued progression on all key sustainability KPIs + EcoVadis iver medal awarded for sustainability performance + Future new corporate headquarters has the highest sustainability certification in the DGNB system * Women managersKP!

  6. Slide 6: Overall market conditions were unchanged in Q2 2025

    Overall market conditions were unchanged in Q2 2025 compared to prior quarters * Service market activity remained stable, with continued customer interest in productivity-enhancing solutions offsetting regional delays linked to tariff-related cost uncertainties * Market activity in Products remained

  7. Slide 7: Service order intake impacted by delays to certain larger modernisation projects in North America

    Service order intake impacted by delays to certain larger modernisation projects in North America GROWTH IN SERVICE ORDER INTAKE AND REVENUE Organic and total growth versus Q2 2024 -1% -3% Organic Total Revenue Comments + Activity in theservice market has remained broadly in line with levels seen at

  8. Slide 8: Continued improvement in Service

    Continued improvement in Service EBITA margins SERVICE EBITA AND EBITA MARGIN DKKmand percent of revenue 19.9% 20.3% 19.9% 17.3 19.0% 17.0% 19.2 19.6% 16.2% 16.7% 16.7% 403 421 388 oS 333 012024 022024 032024 042024 012025 022025 MM EBITA Adj, EBITA EBITA margin Adj EBITA margin Note: To illustrate

  9. Slide 9: Continued softness in market for Products, with delays to certain orders adversely impacting revenue

    Continued softness in market for Products, with delays to certain orders adversely impacting revenue GROWTH IN PRODUCTS ORDER INTAKE AND REVENUE Organic and total growth versus Q2 2024 Order intake +53% +44% Organic Total Revenue -39% -43% Organic Total Comments * Market activity remained soft durin

  10. Slide 10: Products EBITA margins adversely impacted by low revenue

    Products EBITA margins adversely impacted by low revenue PRODUCTS EBITA AND EBITA MARGIN DKKmand percent of revenue 12024 Q2 2024 32024 04 2024 12025 Q2 2025 24 “31 m1 O96" or 69 21 -90 -2.6% 9 ae 2.6% 37%, 8.1% 88% ass 9.7% 401% 9.7% 10.2% i 10.256" EBITA Adj. EBITA EBITA margin Adj. EBITA margin s

  11. Slide 11: Solid traction in PC&V order intake

    Solid traction in PC&V order intake GROWTH IN PC&V ORDER INTAKE AND REVENUE Organic and total growth versus Q2 2024 +13% +7% Organic Total Order intake +24% +17% Organic Total Revenue Comments * Overall stable market conditions, providing solid platform for continued growth in the PC&V business + Ac

  12. Slide 12: PC&V EBITA reflects investments into commercial front-end

    PC&V EBITA reflects investments into commercial front-end PC&V EBITA AND EBITA MARGIN DKKmand percent of revenue 27.3% 27.41% Ea oa nw 5 24.7% pave 26.1% 24.0% 26.3% 27.0% 23.7% 22.1% eae 25 012024 02 2024 03 2024 04 2024 12025 02 2025 EBITA Adj. EBITA EBITA margin Adj. EBITA margin Note: To illustr

  13. Slide 13: Consolidated financial performance in Q2 2025

    Consolidated financial performance in Q2 2025 CONSOLIDATED FINANCIALS Km) a2 2) Q2 2024 Order intake 3,517 3,430 Revenue 3,378 3,827 Gross profit margin* 35.5% 31.3% SG&A* -677 -805 Other operating net income 59 4 Adjusted EBITA 513 394 Adjusted EBITA margin 15.2% 10.3% EBITA 522 335 EBITA margin 15

  14. Slide 14: Gross margin improved by 4.2%-points in Q2 2025 driven by revenue mix

    Gross margin improved by 4.2%-points in Q2 2025 driven by revenue mix GROSS PROFIT Gross margin improved by 4.2%p versus 02 2024 DKKm Gross margin 1,500 40% 35.5% 35% 1,200 30% 900 25% 20% 600 15% 10% 300 5% ar24 02'24 Q3'24 04'24 ares 02 2025 IM Gross profit. — Gross profit margin COMMENTS * Gross

  15. Slide 15: SG&A costs down by 16% year-on-year reflecting good progression on business simplification efforts

    SG&A costs down by 16% year-on-year reflecting good progression on business simplification efforts SG&A COSTS COMMENTS SG&A ratio down by 1.0%p vs. 02 2024 + SG&A costs amounted to DKK 677m in Q2 2025 compared to DKK DkKm = SGBA ratio 805m in Q2 2024 900 25% * Positiveeffects from ongoing simplifica

  16. Slide 16: Continued improvements in underlying profitability driven by higher gross margin and lower SG&A

    Continued improvements in underlying profitability driven by higher gross margin and lower SG&A EBITA AND ADJUSTED EBITA DKKm and margins (%) ADJUSTED EBITA MARGIN 10.3% 2 2024* ~~ 10.3% 8.8% Q2 2025 Adjusted for DKK 50m of transformation and separation costs and DKK 59m of Other area 02'24 03/24 04

  17. Slide 17: Development in NWC reflects divestment of Cement, improved cash collection and currency developments

    Development in NWC reflects divestment of Cement, improved cash collection and currency developments NET WORKING CAPITAL (NWC) AND NWC RATIO DKKm and ratio relative to revenue DKKm 2,500 2,000 1,500 1,000 500 7 12.0% Tele ar24 20 Aug. 2025 224 a3'24 424 ares Net working capital — Net working capital

  18. Slide 18: Improved cash flow from operations driven by higher earnings and reduction in net working capital

    Improved cash flow from operations driven by higher earnings and reduction in net working capital GROUP CASH FLOW -400 ~600 ar24 02°24 03°24 04'24 ar25 02'25 Mi crro Free cash flow, adjusted for M&A. * PPE = Property, plant and equipment 18 20 Aug. 2025 Hi 2025 Financial Report | Investor presentati

  19. Slide 19: Leverage ratio remains comfortably below target

    Leverage ratio remains comfortably below target DEVELOPMENT IN NIBD AND LEVERAGE STATUS OF SBB DKKm and leverage ratio (NIBD/EBITDA) PROGRAMME DKKm NIBD/EBITDA, 1,400 25 Capital structure target of NBD/EBITDA<20x | 1,286 1.5 1.0 MI N8D — NIBD/EBITDALTM Remaining under SBB programme IM Status 19 Aug

  20. Slide 20: Financial guidance updated on August 2025

    Financial guidance updated on 14 August 2025 THE ADJUSTED EBITA MARGIN EXCLUDES: * Transformation and separation costs of around DKK 200m for the full year 2025 + Other Operating Net Income (DKK 77m year-to-date as of end-Q2 2025) Notes: The financial guidance was updated on 14 August 2025 (ref. Com

  21. Slide 21: SAVE THE DATE

    SAVE THE DATE Capital Markets Day 11 March 2026

  22. Slide 22: Questions

    Questions & answers

  23. Slide 23: Head of Investor Relations

    Head of Investor Relations Phone: +45 2485 0384 Email: andh@fismidth.com SVP, Head of Corporate Affairs & IR Phone: +45 2169 6657 Email: li@flsmidth.com FLS 20 Aug. 2025 Hi 2025 Financia feport | Investor presentation

  24. Slide 24: Follow us here

    Follow us here @)@O® FLSmidth & Co. A/S Vigerslev Allé 77 2500 Valby, Copenhagen Denmark Phone: +45 3618 1000 Email: info@FLSmidth.com www.flsmidth.com CVR: 58180912

Flsmidth & Co A/S B Shs — Q2 2025 Earnings Presentation on 6ix