Kongsberg Automotive Asa · OSL:KOA
Kongsberg Automotive Asa — Kongsberg Automotive New — Q3 2025 Earnings Presentation
26 slides from Kongsberg Automotive Asa's earnings presentation, Nov 5, 2025
Slide 1: Q3 2025 Earnings Call Presentation
Q3 2025 EARNINGS CALL PRESENTATION NOVEMBER 05, 2025
Slide 2: Forward-Looking Statements and Non-IFRS Measures
2 Kongsberg Automotive Q3 2025 Earnings Call FORWARD-LOOKING STATEMENTS AND NON-IFRS MEASURES FORWARD-LOOKING STATEMENTS This presentation contains certain “forward-looking statements”. These statements are based on management’s current expectations and are subject to risks, uncertainty and changes
Slide 3: Today's Presenters and Agenda
3 Kongsberg Automotive Q3 2025 Earnings Call TODAY’S PRESENTERS AGENDA EXECUTIVE SUMMARY FINANCIAL UPDATE SUMMARY & OUTLOOK Q&A TROND FISKUM ERIK MAGELSSEN PRESIDENT & CEO CFO
Slide 4: Executive Summary
4 EXECUTIVE SUMMARY
Slide 5: EBIT Growth and Significant Cash Flow Improvements Despite Challenging Market
5 Executive summary EBIT GROWTH AND SIGNIFICANT CASH FLOW IMPROVEMENTS DESPITE CHALLENGING MARKET > Q3 revenue was MEUR 162.9, Q3 2024 was MEUR 181.6 > Revenue 10,3 % lower in Q3 2025 > Q3 EBIT was 4.9 MEUR (3.0%), Q3 2024 was 1.1 MEUR (0.6%) > EBIT 445 % higher in Q3 2025 > Q3 cash flow was 6.6 MEU
Slide 6: Q3 Financials – Increase in EBIT on Lower Revenue Level
6 Executive summary Q3 FINANCIALS – INCREASE IN EBIT ON LOWER REVENUE LEVEL - POSITIVE CASH FLOW AND SIGNIFICANT INCREASE IN 12-MONTH TREND REVENUES MEUR 181.6 185.2 190.0 192.4 > Revenues: Down 10.3% vs. Q3 2024, impacted by 162.9 a negative currency effect of MEUR 5.4, primarily due to a weaker US
Slide 7: Improved Cost Base
7 Executive summary IMPROVED COST BASE REDUCTION IN INDIRECT COST BASE ONGOING > 42 MEUR in improved annual cost base which will give, when fully MEASURES IN 2024 implemented, an EBIT improvement of 4-5% points with > OVERHEAD COST REDUCTION stable revenues ~17 M€ > SUPPORT FUNCTION OPTIMIZATION The
Slide 8: Business Wins Q3 2025
8 Executive summary BUSINESS WINS Q3 2025 LIFETIME REVENUES, MEUR 33.8M€ PER BUSINESS AREA PER CUSTOMER SEGMENT AFTERMARKET 8.2 FLOW CONTROL 25.4 SYSTEMS 14.9 8.9 TRUCK, TRAILER, INDUSTRIAL 8.4 BUS DRIVE CONTROL SYSTEMS 0.8 1.0 PASSENGER CARS OFF-ROAD* > Tariffs and market uncertainty has led to a s
Slide 9: Warranty Costs Remain a Concern
9 Executive summary WARRANTY COSTS REMAIN A CONCERN > Comprehensive review after Q2 issues revealed risk of additional future liabilities > Problems stem primarily from historically unfavorable contracts and suboptimal warranty management practices > Individuals responsible are no longer with KA, we
Slide 10: Tariffs Impact and Effective Mitigation Actions
10 Executive summary TARIFFS IMPACT AND EFFECTIVE MITIGATION ACTIONS > KA has previously informed that we expect to recover 100% of tariff costs. Process is taking some time due to customer documentation requirements and commercial discussion > KA has maintained a firm and consistent position in all
Slide 11: Acquisitions and Loan Facility Renewal
11 Executive summary ACQUISITIONS AND LOAN FACILITY RENEWAL ACQUISITION OF CHASSIS AUTONOMY ACQUISITION OF 25% OF KAMS RENEWAL OF MEUR 25 LOAN FACILITY > The acquisition of Chassis Autonomy > KA completed the purchase of the > KA agreed to renew its MEUR 25 loan was completed in August 2025, giving
Slide 12: New Strategic Direction for KA Under Development
12 Executive summary NEW STRATEGIC DIRECTION FOR KA UNDER DEVELOPMENT > In September 2025, KA conducted a review of its strategy and long-term objectives together with its Board of Directors > A key outcome of this review is that Driveline is no longer considered as non-core business. Instead, it is
Slide 13: Key Priorities 2025
13 Executive summary KEY PRIORITIES 2025 RESTRUCTURING OUR COST BASE TO WITHSTAND VOLATILE MARKET CONDITIONS > KA continues to take decisive steps to deliver on these priorities GENERATE POSITIVE CASH FLOW > 2026 priorities, long-term STRENGTHENING THE LEADERSHIP TEAMS goals and strategies to be sha
Slide 14: Financial Update
14 FINANCIAL UPDATE
Slide 15: Drive Control Systems (Including Driveline)
15 Financial update Q3 2025 vs. Q3 2024 DRIVE CONTROL SYSTEMS (INCLUDING DRIVELINE) BUSINESS AREA UPDATE The Driveline segment is now reported as part of the Drive Control Systems Business area and is no longer defined as “non-core”. REVENUES, MEUR Revenues: 110.2 111.7 110.6 110.3 95.1 > Negative c
Slide 16: Flow Control Systems
16 Financial update FLOW CONTROL SYSTEMS BUSINESS AREA UPDATE Q3 2025 vs. Q3 2024 > Revenues: REVENUES, MEUR > Negative currency translation effects of MEUR -1.8 79.3 82.2 > Declining sales in the European passenger car market 71.4 73.4 67.8 and in the North American commercial vehicle market > High
Slide 17: EBIT Bridge (Q3 & YTD Q3)
17 Financial update EBIT BRIDGE (Q3 & YTD Q3) Q3 2025 vs. Q3 2024 COST SAVINGS OFFSETTING MARGIN LOSS FROM LOWER SALES VOLUME & MIX > Reduced contribution due to lower revenue levels in EBIT (Q3), MEUR Drive Control Systems and Flow Control Systems, -1.7 +4.9 partially offset by positive mix effects
Slide 18: Net Income Bridge (Q3 & YTD Q3)
18 Financial update NET INCOME BRIDGE (Q3 & YTD Q3) SIGNIFICANT IMPROVEMENT IN NET INCOME IN Q3 2025 NET INCOME (Q3), MEUR +1.6 +2.0 NET INTERESTS > Lower net interest cost in Q3 2025 due to lower +3.2 interest rate level than in 2024. +0.8 +0.1 CURRENCY GAINS/LOSSES +3.8 > The net currency loss in
Slide 19: Free Cash Flow
FREE CASH FLOW 19 Financial update Q3 2025 Q3 2024 FREE CASH FLOW Operating activities +16.7 +11.9 POSITIVE CASH FLOW IN Q3 25 – UPLIFT IN 12M TREND Investing activities -3.0 -5.1 Financing activities -8.2 -7.6 FREE CASH FLOW 1 , MEUR 12M Trend3 Currency and translation effects on cash flow +1.1 -4.
Slide 20: Net Interest-Bearing Debt (NIBD) & Leverage Ratio
20 Financial update NET INTEREST-BEARING DEBT (NIBD) & LEVERAGE RATIO IMPROVED CASH FLOW AND PROFITABILITY REDUCING LEVERAGE RATIO NET-INTEREST BEARING DEBT, MEUR NIBD/ Adjusted EBITDA (LTM)1 Adjusted EBITDA (LTM)1 NIBD LEVERAGE RATIO Leverage ratio per bond term definition 2 3.7 3.1 3.1 3.0 2.7 2.6
Slide 21: Financial Ratios
21 Financial update FINANCIAL RATIOS IMPROVEMENTS IN LEVERAGE RATIO, FOCUS ON FURTHER REDUCTIONS IN CAPITAL EMPLOYED LEVERAGE RATIO, NIBD 1/ ADJUSTED EBITDA 4 , LTM ROCE 2, %, LTM NIBD/ Adjusted EBITDA (LTM) Leverage ratio per bond term definition 5.8 3.7 3.1 3.1 3.0 3.3 2.4 2.5 2.7 2.6 2.1 2.1 1.7
Slide 22: Summary & Outlook
22 SUMMARY & OUTLOOK
Slide 23: Summary
23 Summary & Outlook SUMMARY > EBIT growth and significantly improved cash flow in spite of challenging market > Cost reduction programs progress according to schedule > Tariff costs were fully mitigated in the quarter > Increased risk of certain warranty liabilities, more information will be provid
Slide 24: Outlook
24 Summary & Outlook OUTLOOK > EBIT margin for H2 2025 is expected to surpass both H1 2025 and H2 2024 levels, supported by continued execution of cost-saving initiatives and operational efficiencies > For the last quarter of 2025, the market outlook is stable. The outlook for 2026 remains cautiousl
Slide 25: A Kongsberg Automotive
25 A KONGSBERG AUTOMOTIVE
Slide 26: kongsbergautomotive.com
KONGSBERGAUTOMOTIVE.COM Kongsbergautomotive.com KONGSBERGAUTOMOTIVE.COM © Kongsberg Automotive, 2025 // All rights reserved. This presentation and its content are protected by copyright laws. Unauthorized use or reproduction of any part of this presentation without prior written permission is strict
Kongsberg Automotive New — Q3 2025 Earnings Presentation on 6ix