Slide 1: Q1 2025
Q1 2025 April 29, 2025 Helena Hedblom, President and CEO Håkan Folin, CFO
Slide 2: Largest contract ever won
Largest contract ever won Autonomous and electric-powered equipment • April 15, 2025: Largest contract in Epiroc’s history • MAUD 350 (SEK 2.2 billion) over 5 years • MSEK 100 expected to be booked in Q2 2025 • Fleet of fully autonomous and electric surface mining equipment to Fortescue in Australia
Slide 3: Highlights Q1 2025
Highlights Q1 2025 • Strong mining demand and very strong equipment orders, +29% organically • MSEK 600 (400) in large orders • MSEK 280: Hindustan Zinc (underground trucks and rigs) • MSEK 100: Hudbay Minerals (underground BEV fleet) • Mixed infrastructure • Solid tunneling and civil engineering •
Slide 4: Group orders received: Strong mining
Group orders received: Strong mining • Orders received +17% • Strong mining • +10% organic growth • MSEK 16 586 (14 162) • Mixed infrastructure • +7% acquisition growth Orders received +6% organic Organic growth Orders received bridge 17 500 +17% 10 18 000 10 9 17 000 16 349 16 182 16 586 16 586 16
Slide 5: Innovation
Innovation Showcasing the future of Strong demand for new Success for mixed fleet deconstruction, recycling, product family of underground automation underground at quarrying and tunneling at the utility vehicles; the reliable, Newmont Cadia, which world's largest construction durable, and high- han
Slide 6: Film: Taking automation to new levels
Film: Taking automation to new levels 2m28s Q1 2025 6
Slide 7: Aftermarket
Aftermarket • High mining activity • Weak construction Revenue split Recurring aftermarket revenues 14 000 12 000 10 960 10 439 10 054 10 506 10 909 10 443 24% (21) 10 000 9 738 9 612 9 453 T&A 33% (33) Equipment 8 000 6 000 Aftermarket 67% (67) 4 000 2 000 0 43% (46) Q123 Q223 Q323 Q423 Q124 Q224 Q
Slide 8: Operational excellence
Operational excellence • Agile, fast paced and global organization, used to adapt when market conditions changes • Optimize logistics and distribution flows • Leverage our global manufacturing footprint • Explore alternative suppliers • Discuss potential pricing impact with customers • Efficiency ac
Slide 9: Sustainability: People
Sustainability: People • Improved safety • Focus on a strong safety culture • Total recordable injury frequency rate decreased to 4.3 (4.6) • Employees up 5% to 19 042 (18 157) • Acquisitions • Increased number and proportion of women • Employees 20.0% (19.0) • Managers 24.5% (23.5) • New tools and
Slide 10: Sustainability: Planet
Sustainability: Planet • CO2e emissions from operations* -11% to 22 074 (24 793) tonnes • Higher share of renewable energy purchased • Installation of solar panels on own facilities • Energy efficiency activities in facilities and processes • CO2e emissions from transport* +3% to 101 961 (98 801) to
Slide 11: Group revenues and operating profit
Group revenues and operating profit Revenues +10%, MSEK 15 536, +3% organic Adj. EBIT +7%, MSEK 3 099, 19.9% (20.4) • 67% aftermarket (67) and 43% service (46) • Organic: Lower share of service EBIT +12%, MSEK 3 088, 19.9% (19.5) • Currency: Positive currency impact on internal profit • IAC -11 (-12
Slide 12: Equipment & Service: Orders received
Equipment & Service: Orders received • Orders received +12% • Strong mining activity • +12% organic growth • MSEK 12 377 (11 025) • Large orders MSEK 600 (400) • +29% for equipment • +1% for service Orders received Organic growth Orders received bridge 5% organic +12% 14 000 12 800 12 276 12 388 12
Slide 13: Equipment & Service: Revenues and operating profit
Equipment & Service: Revenues and operating profit Revenues +4%, MSEK 11 704, +4% organic Adj. EBIT +9%, MSEK 2 724, 23.3% (22.3) • 43% equipment (42), +8% organic • Organic: Lower share of service, but increased • 57% service (58), +2% organic efficiency EBIT +9%, MSEK 2 724, 23.3% (22.3) • Currenc
Slide 14: Tools & Attachments: Orders received
Tools & Attachments: Orders received • Orders received +34% • Demand from construction • +2% organic growth • Acquisitions of Stanley customers challenging, but • +32% acquisition growth Infrastructure and ACB+ sequential improvement • Last quarter with Stanley • MSEK 4 187 (3 122) • Mining activity
Slide 15: Tools & Attachments: Revenues and operating profit
Tools & Attachments: Revenues and operating profit Revenues +29%, MSEK 3 811, -3% organic Adj. EBIT +/- 0%, MSEK 461, 12.1% (15.6) • Structure/other +32%, mainly Stanley Infrastructure • Organic: Weak construction and lower revenues EBIT +38%, MSEK 461, 12.1% (11.4) • Currency: Positive revaluation
Slide 16: Costs, net financials and tax
Costs, net financials and tax • Administration, marketing and R&D Administration, marketing and R&D expenses • Administration costs: Costs related to +4% efficiency measures increased admin 3 000 30 2 746 2 742 2 714 costs temporarily in Q1. Excluding this, 2 564 2 557 2 552 2 500 2 410 2 411 25 adm
Slide 17: Operating cash flow
Operating cash flow Operating cash flow and cash conversion rate, % • Operating cash flow at MSEK 1 569 (1 778) 4 500 130 • Increased operating profit 4 000 3 956 120 110 • Build-up in working capital and currency 3 500 104 100 100 impacted negatively 3 000 90 90 88 80 83 • Cash conversion rate 100%
Slide 18: Net working capital
Net working capital • Net working capital -3% Net working capital Working capital to MSEK 22 729 (23 520) • Excluding currency and 23 520 22 729 20 442 acquisitions, net working 35 000 36.7 36.9 40 capital was flat 30 000 32.8 35 20 592 18 273 18 930 • 36.9% (36.7) of revenues 25 000 23 520 22 729 3
Slide 19: Capital efficiency
Capital efficiency Net debt and Net debt/EBITDA Capital employed and ROCE • Net debt at MSEK 12 317 (6 076) 2.00 25 000 80 000 60 • Acquisitions 1.75 20 000 70 000 55 1.50 64 008 50 60 896 • Net debt/EBITDA 0.76 (0.39) 1.25 12 317 15 000 60 000 45 1.00 0.76 40 7 281 47 401 • ROCE 20.3% (24.5) 0.75 0
Slide 20: Summary
Summary • Strong mining (78% of orders) • Strong organic equipment order growth: 29% • Mixed infrastructure (22% of orders) • Stable tunneling and civil engineering • Demand from construction customers remained challenging, but positive sequential seasonality for Attachments. • Higher revenues and o
Slide 21: Looking ahead
Looking ahead In the near term, we expect underlying mining demand, both for equipment and aftermarket, to remain at a high level. The construction demand is, however, expected to remain weak. Q1 2025 21
Slide 22: Q&A
Q&A ir@epiroc.com Q1 2025 22
Slide 23: Appendix
Appendix Q1 2025 23
Slide 24: Leading productivity and sustainability partner with roots from 1873
Leading productivity and sustainability partner with roots from 1873 Orders received Orders received Revenues in 64 637 ~150 countries 62 213 58 899 Europe ~ 19 000 North America 13% 53 222 employees 29% 45 648 39 400 39 492 EBIT margin* 36 579 19.6% Africa/ Asia / Australia Middle East 30% South Am
Slide 25: Our strategy is our investment case
Our strategy is our investment case We accelerate the productivity We have a high proportion We have a well-proven and sustainability transformation of recurring business business model in our industry Operational Operational Attractive niches Innovation Aftermarket Outperformance excellence excelle
Slide 26: Financial goals at a glance
Financial goals at a glance Goals Description Q1 2025 2024 2015-2024 Growth Annual revenue growth of 8% over a business cycle. 10% 5% 9% Industry-best operating margin, with strong 19.9% 19.5% 20.3% Profitability (EBIT) resilience over the cycle. Adj. 19.9% Adj. 19.8% Adj. 20.8% Improve capital effi
Slide 27: 2030 goals for people and planet
2030 goals for people and planet • No work-related injuries • Balanced workforce and double the number of women in operational roles • Have all employees and business partners comply with our Code of Conduct and Responsible Sales Assessment Process implemented • Halve CO2e emissions in operations* •
Slide 28: Debt information and maturity profile
Debt information and maturity profile Maturity profile 6 000 5 338 • Net debt/EBITDA: 0.76 • S&P rating: BBB+ Stable outlook • External financing: BSEK 17.4 4 000 • 95% long term financing 3 000 • 47% green or sustainability linked 2 000 • 4.5 years average tenor (long-term) 2 000 1 695 1 500 1 500
Slide 29: The profit bridge currency effect
The profit bridge currency effect What you see in What you get in Impact The details you our report our key figures Q125 cannot see… Income statement effect 1a. Translation converting subsidiaries to SEK 1. Translation MSEK +516 Income statement effect from balance sheet Total 1b. Internal profit op
Slide 30: United. Inspired.
United. Inspired. Performance unites us, innovation inspires us, and commitment drives us to keep moving forward. Count on Epiroc to deliver the solutions you need to succeed today and the technology to lead tomorrow. epiroc.com
Slide 31: Disclaimer
Disclaimer - Some statements in this presentation, or in conclusion to it, are forward-looking and the actual outcome may be different. In addition to the factors explicitly commented upon, the actual outcome may be affected by other factors such as macroeconomic conditions, movements in foreign exc