Slide 1: Q4 2023 earnings presentation
04 2025 February 9 Asa Bergman, President & CEO Olof Stalnacke, CFO
Slide 2: Sweco - Europe's leading architecture and engineering consultancy
Sweco - Europe’s leading architecture and engineering consultancy Operations in three segments Drivers for success Eight geographical Business areas Net sales by segment in 2023, % Net sales by business area in 2023, % \: + Sweden: 29 f = Buildings & Urban areas: 37 “WY 22,000 experts * Belgium: 13
Slide 3: A strong year for Sweco
287525 Net Sales, SEK million 8% Organic growth 2,091 EBITAPSEK million 8.9% EBITA margin sweco 2 A strong year for Sweco Net sales SEK 28,523 million (24,296) * Organic growth of 8 per cent (6) * Acquired growth 6 per cent (2) EBITA SEK 2,531 million (2,225) * EBITA-margin 8.9 per cent (9.2) * 6 ou
Slide 4: Continued profitable growth
Continued profitable growth CAGR 2013-2023 Net Sales SEK billion 28.5 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 SWECO ra} EBITA SEK million 2,056 2,070 1,631 1,482 1,492 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
Slide 5: Quarter highlights
Quarter highlights Net sales increased to SEK 7,717 million (6,732) * Organic growth 6 per cent (8), adjusted for calendar effect * Total growth 15 per cent (14) EBITA decreased to SEK 654 million (709) ° Decreasing 4 per cent adjusted for calendar * EBITA margin 8.5 per cent (10.5) The negative EBI
Slide 6: Operations highlights
Operations highlights Mixed development in the quarter * Solid organic and acquired growth 6 out of 8 Business areas reported positive organic growth Improved pricing Double digit margins in 4 out of 8 Business areas UK and Finland impacted EBITA negatively 3/8 Business areas increased EBITA 6/8 Bus
Slide 7: Weaker demand in transport infrastructure and UK
UK Weaker demand in transport infrastructure and residential & commercial buildings Significant negative project adjustments Restructuring actions in the UK * Additional lay-offs (total for 2023 ~100 FTE) * Closure of departments and office space reductions Focus on repositioning and getting back on
Slide 8: Market overview
sweco 2% Market overview Demand for services connected to Europe’s green transition remains good Segments ° Water, Energy and Industry — good demand, fueled by Europe’s green transition * Transport infrastructure — good demand, driven by latent structural needs in the transformation of our societies
Slide 9: Summary result 2023
Summary result 04 2023 Net sales SEK 7,717 million (6,732) Organic growth 6 per cent, adj. for calendar effect Acquired growth 7 per cent Currency effects 2 per cent EBITA SEK 654 million (709) EBITA-margin of 8.5 per cent (10.5) Net Debt/EBITDA 1.1x (0.4x)
Slide 10: Q4: Net Sales - organic growth in 6 out of 8 Business areas
Q4: Net Sales — organic growth in 6 out of 8 Business areas * SEK 7,717 million (6,732) * 15 per cent total growth (14) * 6 per cent organic growth, adj. for calendar (8) Net Sales affected by ° Higher average fees and FTE growth had a positive impact * Higher negative project adjustments and lower
Slide 11: Q4: EBITA decreased in comparison to a strong last year
SWECO % Q4: EBITA decreased in comparison to a strong 04 LY * SEK 654 million (709) EBITA in 04 2023 by Business area, MSEK EBITAmargin, % * 4per cent decrease, adj. for calendar * 8.5 per cent group margin (10.5) Group P| 8.5 (10.5) SE ee 13.4 (14.4) No | 5.3 (8.3) il |__| 5.0 (11.7) DK ; 10.9 (15.
Slide 12: Q4: 3 of 8 Business areas increased EBITA adjusted for calendar
SWECO % Q4: 3 of 8 Business areas increased EBITA adjusted for calendar EBITA affected by * Higher average fees * Contributions from acquisitions * Higher expenses, higher negative project adjustments, and a lower billing ratio had a negative effect 2 less working hours * Corresponding to SEK 25 mil
Slide 13: Q4: Net Debt increase driven by acquisitions
sweco 2 Q4: Net Debt increase driven by acquisitions SEK 2,961 million Net Debt (1,075) Net debt, 04 2018-04 2023 (SEK million) 5000 of SEK 2,504 million (2,515) ‘oon 2000 ° M&A cash outflows of SEK 1,686 1000 I | | i | | | million (610) , i , Hl . al | . al a. a 18 19 20 21 22 23 * Strong seasonal
Slide 14: Stable increase of dividend and pay-out ratio
SWECO ra} Stable increase of dividend and pay-out ratio > 50% — Payout ratio, % Hl ps, sek % 100 50 <50.0- Policy 1.43 1.17 weer : 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Proposal Note: Numbers restated for share split in rights issue in 2015 and share split 2020.
Slide 15: Acquisitions in 2023
10 acquisitions in 2023 ¢ Adding over 1,200 new experts and SEK 1.8 billion in annual net sales in 7 markets * Combination of broad engineering and architecture services to experts within climate-tech, biodiversity and digitalization * Securing long-term market leadership position and entry to new h
Slide 16: First acquisition in 2024
First acquisition in 2024 Econsultancy * Acquiring one of the Netherlands’ leading environmental consulting agencies * Net Sales of SEK 160 million — adding over 200 experts * Strengthening Sweco’s position as a leading advisor in Europe’s green transition
Slide 17: Q4 Projects
Q4 Projects The green transition in Europe continues to be a core driver for Sweco Major investment programs on EU level Growth opportunities within: + Energy transition + Transport transition + Industrial transition + Urban transition Stockholm Metro Sweco won a new SEK 250 million contract in conn
Slide 18: Major project win in 2024
Major project win in 2024 Client is energy operator Gasunie in the Netherlands Development of a new energy infrastructure, 1,200 kilometers pipelines for hydrogen, with the capacity of 3.5 GW Transition from transportation of natural gas to hydrogen, C02, renewable gas, and heat Sweco provides consu
Slide 19: Capture market opportunities and accelerate cost control
Capture market opportunities and focus Accelerate cost control and on attractive growth segments efficiency measures Lo Execute on Continuing measures in M&A strategy the UK and Finland
Slide 20: Thank you!
THANK YOU! 2024 Annual General Meeting April 19 at 3:00 PM Fotografiska Museet, Stockholm
Slide 21: Transforming society together
e SWECO ra) Transforming society together