Slide 1: Q3 Report
» Q3 REPORT. * October 25; 2024 Daniel Ljunggren Viveca Johnsson CEO & President y CFO A - Continued strong order intake and Improved ¢: cash flow A ‘y \
Slide 2: Highlights Q3
HIGHLIGHTS Q3 = New long-term profitability target = Long-term demand drives strong interest in MilDef’s portfolio = Strong order intake = Continued improved free cash flow = Significant premise contract signed in Stockholm for expanded capacity = Record high order backlog at end of third quarter Mi
Slide 3: Quarter 3, 2024
QUARTER 3, 2024 250 NET SALES, SEK M 10% increase Q3 31.1 EBITA, SEK M MilDef sales have established on a new higher, historical level and we expect further growth from there. Increased EBITA due to higher net sales & improved operational efficiency. Gross margin stable on 50%. OPEX nearly flat comp
Slide 4: Q3 – High News Beat
Q3 — HIGH NEWS BEAT NEW TARGET wecoWeTO MIG ‘CAPITA CORPORATE NEWS PROFITABILITY | 15% X4 integration Magnus Hagman EBITA-margin First ever CMD services Stockholm new VP Nordics BUSINESS NEWS European military BAE Systems Bofors Norwegian CV90 DALO order, vehicle programme, additional order, 18 comp
Slide 5: What, to Whom & How We Sell
Slide 6: The MilDef Footprint
THE MILDEF FOOTPRINT GRRE 9 countries Sweden Norway Finland Denmark UK US Germany Switzerland Australia *LTM rounded (Last 12 months). Other countries 3%. ASMILDEF
Slide 7: Customer Segments
CUSTOMER SEGMENTS GOVERNMENT DEFE NSE CRITICAL INFRASTRUCTURE 80% of sales . 20% of sales ————* ASMILDEF
Slide 8: Hardware Solutions
HARDWARE SOLUTIONS 70% of sales 25% of sales AAMILDEF WE ARMOR TT
Slide 9: Financial Summary
Slide 10: The MilDef Growth Journey
THE MILDEF GROWTH JOURNEY Net Sales (SEKm) 1400 1200 1000 800 MSEK 600 400 200 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 AAMILDEF WE ARMOR TT
Slide 11: Net sales by quarter
+34% 1 600 1 445 1 400 1 200 1 076 1 000 881 800 600 400 200 0 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2021 2022 2023 2024
Slide 12: Gross margin and order intake by quarter
50,0% 1 200 1 136 49,4% 49,4% 1 114 49,1% 1 000 48,3% 48,0% 48,1% 47,7% 47,6% 47,7% 800 624 47,0% 600 46,6% 46,3% 46,0% 400 200 44,7% 0 44,0% Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2021 2022 2023 2024 2021 2022 2023 2024
Slide 13: EBITA by quarter
1 800 1 627 1 600 1 400 1 272 1 218 1 200 1 000 800 600 400 200 0 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2021 2022 2023 2024
Slide 14: Backlog Duration
BACKLOG DURATION Beyond 2026* Duration of the order backlog 2024* (SEKm) per September 30, 2024, based on planned deliveries 2026* *Important information Forward-looking statements do not guarantee future results or development and the actual outcome could differ materially from the forward-looking
Slide 15: Financial Goals Upgrade
FINANCIAL GOALS UPGRADE GROWTH At least 25% growth per year NEW TARGET PROFITABILITY | CAPITAL STRUCTURE | At least 15% EBITA margin Net debt shall not exceed 2.5x EBITDA DIVIDEND POLICY Distribute 20-40% of the net profit — Outcome 2023 56% Growth 12.2% EBITA margin 1.7x Net debt-to-EBITDA ~30% Div
Slide 16: Free cash flow by quarter
160 130,7 126,6 120 80 37,4 40 0 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2021 2022 2023 2024
Slide 17: Working capital and net debt/EBITDA
8 6 5,7 5,3 450 45,0% 400 40,0% 4 3,5 350 36,5% 35,0% 300 2,2 2,4 33,2% 30,0% 2 2,1 2,0 34,8% 1,8 250 1,4 25,0% 200 20,0% 0 150 15,0% -1,1 100 50 10,0% -2 0 5,0% -2,8 -50 0,0% -3,4 -4 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Inventory Other Net WC % of Net Sales LTM 20
Slide 18: Future Outlook
Slide 19: Outlook 2025 & Beyond
OUTLOOK 2025 & BEYOND 1) Long-term demand drives strong interest for MilDef’s portfolio 5» End-user needs drives innovation and volumes - great demand for digitalization 3) Active M&A agenda - strategic acquisitions create value
Slide 20: Q&A & upcoming events
Follow our journey on ‘in| Q&A & upcoming events Year-End 2024 — February 6, 2025 Q1 2025 — April 29, 2025 AGM 2025 — May 22, 2025 Q2 2025 — July 18, 2025 ASMILDEF