Slides
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Alleima Interim report Third quarter 2026 1 October 26, 2026 Göran Björkman, President & CEO Johan Eriksson, CFO
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Alleima Safety first At Alleima our objective is zero harm to our people, the environment we work in, our customers and our suppliers. Protective equipment First aid kit Assembly point Emergency number Psychological safety Emergency exit Alarm Health & well-being Speak Up 2
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Alleima Highlights Q3 2026 Volatile order intake ― Timing of projects ― Solid development in Industrial Heating and Medical ― Weak OCTG - market Earnings uplifted by Kanthal ― Under absorption effects from OCTG ― Slower production than planned in Nuclear ― Targeted measures yield according to plan Investing for profitable growth ― Next phase in Mehsana, India ― Industrial Heating in Sakura, Japan R12 order intake (SEK M) 17,976 Revenues (SEK M) 4,257 Adj. EBIT (SEK M) 202 R12 organic order intake growth - 1% Organic revenue growth - 2% Adj. EBIT margin 4.8% 3
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Alleima Sustainability – impacting through our offering and operations Health and safety R12 t otal recordable i njury f requency r ate, TRIFR, was 5.4 (5.3). The quarterly outcome was 6.9 (5.9). Recycled steel R12 share of recycled steel in the steel manufacturing amounted to 82.3% (80.7). The quarterly figure amounted to 84.0% (80.8). CO ₂ emissions R12 CO ₂ emissions amounted to 95.3 kton (89.2), an increase of 7%. Emissions for the quarter amounted to 16.2 kton (17.1), a decrease of 5%. Sustainable product portfolio The sustainable product portfolio’s R12 share of revenues amounted to 27.0% (23.8). 4 Share of revenues from the sustainable product portfolio continued to increase - driven by the Medical and Industrial Heating segments No. of injuries Thousand tons Frequency rate, R12 % Thousand tons, R12 % 0 2 4 6 8 0 5 10 15 20 25 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2024 2025 2026 TRI TRIFR, R12 76 78 80 82 84 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2024 2025 2026 Recycle rate, R12 % 84 86 88 90 92 94 96 98 0 5 10 15 20 25 30 35 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2024 2025 2026 Scope 2 Scope 1 - fuels Scope 1 - raw materials based Total CO₂ emissions, R12 22 23 24 25 26 27 28 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2024 2025 2026 Share of revenues, R12 %
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Alleima Market development ― Volatility persists ― Mixed market sentiment and geopolitical instability ― Continued momentum in key segments 5 Perceived year on year underlying market demand trend The large arrow shows year on year underlying demand trend, the small shows the estimation previous quarter.
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Alleima Impacts from the Middle East crisis 6 — Continues to challenge OCTG demand — Lower OCTG volumes affecting Tube’s earnings through reduced capacity utilization and fixed - cost under - absorption — Continued uncertainty affects visibility and customer decisions in the CAPEX - driven OCTG market — Other Alleima businesses remain largely unaffected; we are monitoring energy prices and shipping costs OCTG (Oil Country Tubular Goods) refers to production pipes used to transport oil or gas from boreholes
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Alleima Order intake and revenues 7 Order intake R12 ― Organic order intake growth of - 1% for rolling 12 months ― Organic revenue growth of - 2% ― R12 book - to - bill 99% SEK M % Order intake R12 (SEK M) 17,976 Revenues (SEK M) 4,257 SEK M Revenues and book - to - bill 0 20 40 60 80 100 120 0 1 000 2 000 3 000 4 000 5 000 6 000 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2024 2025 2026 Revenues Book-to-bill R12, % 0 5 000 10 000 15 000 20 000 25 000 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2024 2025 2026
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Alleima Earnings 8 Adjusted EBIT at SEK 202 million ― Margin of 4.8% ― Strong contribution from Kanthal ― FX headwind of SEK 3 million year over year Free operating cash flow of SEK 373 million ― Solid Kanthal performance ― Changes in working capital ― Cash flow normally higher in H2 Adjusted EBIT SEK M % 0 2 4 6 8 10 12 0 100 200 300 400 500 600 700 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2024 2025 2026 EBIT, adj. EBIT margin, adj. R12
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Alleima Tube 9 Mixed market sentiment ― R12 organic order intake growth of - 5% ― Organic revenue growth of - 6% ― R12 Book - to - bill of 96% Under absorption effects ― Adj. EBIT margin of 1.4% (1.7% excl. FX) ― Slower production than planned in Nuclear ― FX headwind of SEK 7 million yoy SEK M SEK M Revenues and Book - to - bill Adjusted EBIT % % SEK M Q3 2026 Q3 2025 Q1 - Q3 2026 Q1 - Q3 2025 Order intake, R12 11,938 12,793 - - Organic growth, R12 ,% - 5 - 6 - - Revenues 2,752 2,812 9,347 9,974 Organic growth, % - 6 - 3 - 6 1 Adj. EBIT 40 101 701 898 Margin, % 1.4 3.6 7.5 9.0 0 20 40 60 80 100 120 0 1 000 2 000 3 000 4 000 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2024 2025 2026 Revenues Book-to-bill R12, % 0 2 4 6 8 10 12 0 100 200 300 400 500 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2024 2025 2026 EBIT, adj. EBIT margin, adj. R12
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Alleima Kanthal 10 Double digit topline growth ― R12 organic order intake growth of 18% ― Organic revenue growth of 10% ― R12 Book - to - bill of 109% Broad earnings contribution ― Adjusted EBIT margin at 19.4% (19.1% excl. FX) ― Solid product mix ― FX tailwind of SEK 5 million yoy Revenues and Book - to - bill Adjusted EBIT SEK M SEK M % % SEK M Q3 2026 Q3 2025 Q1 - Q3 2026 Q1 - Q3 2025 Order intake, R12 4,626 4,162 - - Organic growth, R12 ,% 18 9 - - Revenues 1,165 1,042 3,282 3,015 Organic growth, % 10 7 13 - 2 Adj. EBIT 226 168 616 496 Margin, % 19.4 16.1 18.8 16.5 0 20 40 60 80 100 120 0 200 400 600 800 1 000 1 200 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2024 2025 2026 Revenues Book-to-bill R12, % 0 2 4 6 8 10 12 14 16 18 20 0 50 100 150 200 250 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2024 2025 2026 EBIT, adj. EBIT margin, adj. R12
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Alleima Strip 11 Declining order intake ― R12 organic order intake growth of - 15% ― Organic revenue growth of - 10% ― R12 Book - to - bill of 93% Negative product mix ― Adjusted EBIT margin of - 4.3% ( - 3.1% excl. FX) ― Some dilution from hydrogen business ― FX headwind of SEK - 4 million yoy Revenues and Book - to - bill Adjusted EBIT SEK M SEK M % % SEK M Q3 2026 Q3 2025 Q1 - Q3 2026 Q1 - Q3 2025 Order intake, R12 1,412 1,710 - - Organic growth, R12 ,% - 15 24 - - Revenues 340 368 1,100 1,147 Organic growth, % - 10 5 - 2 10 Adj. EBIT - 15 - 16 17 21 Margin, % - 4.3 - 4.2 1.5 1.8 0 20 40 60 80 100 120 140 0 100 200 300 400 500 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2024 2025 2026 Revenues Book-to-bill R12, % -4 -2 0 2 4 6 8 -20 -10 0 10 20 30 40 50 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2024 2025 2026 EBIT, adj. EBIT margin, adj. R12
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Alleima Financial summary 12 SEK M Q3 2026 Q3 2025 Q1 - Q3 2026 Q1 - Q3 2025 Order intake, R12 17,976 18,665 - - Revenues 4,257 4,222 13,729 14,136 Adj. EBIT 202 197 1,107 1,191 Adj. EBIT margin, % 4.8 4.7 8.1 8.4 Metal price effects 107 - 70 314 - 268 Items affecting comparability 5 0 0 0 EBIT 315 127 1,421 923 EBIT margin, % 7.4 3.0 10.3 6.5 Net financial items - 18 6 - 39 36 Normalized tax rate, % 29.8 25.8 23.6 24.1 NWC, % ¹ 41.8 39.5 37.1 35.4 Free operating cash flow 373 285 638 678 ROCE excl. cash, % ² 8.8 8.1 8.8 8.1 Adj. EPS, diluted 0.46 0.56 3.18 3.56 SEK M Order intake, R12 Revenues Q3 2025 18,665 4,222 Organic, % - 1 - 2 Structure, % 0 0 Currency, % - 4 1 Alloys, % 0 2 Total growth, % - 4 1 Q3 2026 17,976 4,257 Change compared to the same quarter last year 1) Quarter is quarterly annualized and the annual number is based on a four quarter average. 2) Based on rolling 12 months and a four - quarter average.
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Alleima 1 2 3 4 5 Bridge analysis, adjusted EBIT Leverage: N/A 13 ― Mixed picture ― Positive effect from targeted measures ― Under absorption effects Adj. EBIT margin 4.7% Adj. EBIT margin 4.8% Adj EBIT Q3 2025 Organic Currency Structure Adj EBIT Q3 2026 197 -3 20217 SEK M
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Alleima Capital efficiency 14 ― NWC amounted to SEK 7,088 million (6,541) ― Sequential NWC decrease due to seasonality ― NWC in relation to revenues at 41.8% (39.5) ― Capital employed excl. cash amounted to SEK 16,807 million (16,274) ― ROCE excl. cash of 8.8 % (8.1) in the quarter Net working capital Capital employed excl. cash SEK M SEK M % % Note: Based on rolling 12 months and a four - quarter average. 0 5 10 15 20 25 30 35 40 45 50 5 000 5 500 6 000 6 500 7 000 7 500 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2024 2025 2026 NWC NWC % of revenues 0 4 8 12 16 12 000 13 000 14 000 15 000 16 000 17 000 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2024 2025 2026 Capital employed excl. cash ROCE excl. cash
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Alleima Cash flow ― Free operating cash flow of SEK 373 million (285) ― Higher operating profit ― Negative changes in working capital 15 Free operating cash flow Free operating cash flow quarterly SEK M SEK M Q3 2026 Q3 2025 Q1 - Q3 2026 Q1 - Q3 2025 EBITDA 545 357 2123 1613 Non - cash items - 12 103 - 94 55 Changes in working capital 143 147 - 613 - 141 Capex - 263 - 289 - 658 - 745 Amortization, lease liabilities - 41 - 33 - 119 - 104 Free operating cash flow ¹ 373 285 638 678 1) Free operating cash flow before acquisitions and disposals of companies, net financial items and paid taxes. -100 0 100 200 300 400 500 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2024 2025 2026
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Alleima Strong financial position 16 SEK M Net debt and Financial net debt SEK M 566 (735) SEK M 390 (433) SEK M 1,527 (1,530) SEK M - 571 ( - 362 ) Net Pension liabilities Leasing liabilities (IFRS 16) Other cash less liabilities Net debt - 0.03 x ( - 0.02) - 0.24 x ( - 0.13) Net debt/ Equity Net debt/ Adj. EBITDA, R12 Capital structure 1 779 1 530 1 527 410 362 571 0 500 1 000 1 500 2 000 2 500 Q3 2024 Q3 2025 Q3 2026 Financial net debt (-) / Net cash (+) Net debt (-) / Net cash (+)
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Alleima Guidance ahead of the quarter and outcome 17 Outcome Q3 2026 Guidance ahead of Q3 2026 Capex (Cash) SEK 658 million YTD 2026 Approximately SEK 1,100 million in FY 2026 Currency transaction and translation effect SEK 1 million in Q3 Neutral effect in Q3 Total currency effect SEK - 3 million in Q3 - Metal price effect SEK 107 million in Q2 SEK 100 million in Q3 Tax rate, normalized 23.6% YTD 2026 23 - 25% in FY 2026
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Alleima Guidance Q4 2026 and FY 2026 18 Capex (cash) ― Estimated to approximately SEK 1,000 million for FY 2026 Currency effects (transaction and translation) ― Estimated SEK 100 million effect on operating profit (EBIT) for Q4 2026, compared to the corresponding period last year Metal price effects ― Neutral effect on operating profit (EBIT) for Q4 2026 Tax rate ― The normalized tax rate is estimated to 23 - 25% for FY 2026
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Alleima Outlook for Q4 2026 19 — Uncertain outlook expected to continue — Continued momentum in key segments — Mixed status in order backlog — Some effects due to slower production pace in Nuclear – order will be completed in Q4
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Alleima Summary 20 ― Challenging quarter in a mixed market ― Profitable organic growth in Kanthal ― Consistently adjusting to current market demand ― Stable financial position - staying with our long - term strategy
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Alleima Q&A 21
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Thank you alleima.com Alleima 22
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Alleima Disclaimer 23 This presentation contains “forward - looking” statements that reflect the company’s current expectations. Although the company believes that the expectations reflected in such forward - looking statements are reasonable, no assurance can be given that such expectations prove to have been correct as they are subject to risks and uncertainties that could cause actual results to differ materially due to a variety of factors. These factors include, but are not limited to, changes in consumer demand, changes in economic, market and competitive conditions, supply and production constraints, currency fluctuations, developments in product liability litigation, changes in the regulatory environment and other government actions. Forward - looking statements speak only as of the date they were made, and, other than as required by applicable law, the company undertakes no obligation to update any of them in light of new information or future events .