Slides
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Welcome to the Arjo PowerPoint template! In this template, most image place- holders use an Arjo Blue fill to make it easy to create a blue-tinted image effect. After inserting an image, you can adjust the image transparency to 85-95% to create the tint. Set to 85-95% Arjo Brand Portal For guidance on how to use our color palette and graphic elements, please see the Arjo Brand Portal. Solid growth and a strategy for greater value creation ANDRÉAS ELGAARD, PRESIDENT & CEO CHRISTOFER CARLSSON , CFO OCTOBER 22, 2026 ARJO Q3 REPORT 2026
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We exist for the most vulnerable moments in care. Our solutions empower movement while protecting caregivers and enabling safer, more efficient care. GUIDED BY A STRONG PURPOSE
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Experts in improving mobility in care settings OUR STARTING POINT Healthcare systems are under growing pressure to do more with less – Arjo helps improve patient outcomes, caregiver safety and operational efficiency through solutions that enhance mobility across the care journey. >100 Sales in more than hundred countries 1957 Founded in Eslöv by Arne Johansson ~ 7,000 Number of employees globally 11 billion Turnover 2025 (SEK) 5 Production facilities across three continents
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Business overview Q3 2026
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Solid growth and a strategy for greater value creation Q 3 2 0 2 6 K E Y T A K E A W A Y S • Strong Q3 performance with 6% organic growth • Tariff effects supported earnings, while underlying profitability continued to improve • Net financial items impacted by revaluation of assets in Atlas Mobility and Veplas • New strategy sets the direction for improved performance and profitable growth, with an initial 350 MSEK operating profit improvement commitment • Strengthened Group Management – new members to Arjo Management Team • Introduction of new segment reporting: North America, Europe and International Net sales organic growth 6.0% Adjusted EBIT 247MSEK Gross margin 43.0% Cash conversion 100.4%
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Commercial development per segment North America, 6.4% organic growth (3.2% YTD) • US organic growth exceeded 7%, driven by patient handling, service and diagnostics. • Continued positive momentum in Canada. Europe, 7.4% organic growth (4.9% YTD) • Strong demand for rental solutions and services. • France, Italy, Poland and the Netherlands performed well, while sales were slightly weaker in the UK. International, 0.5% organic growth (9.3% YTD) • Continued good sales performance in markets such as Australia and India. Europe 47% North America 38% International, 15% Share of Q3 sales Q 3 2 0 2 6 K E Y T A K E A W A Y S
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Financial performance Q3 2026
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Gross margin improves, supported by positive mix and tariff effects HIGHLIGHTS IN Q3 2026 • Gross margin increased to 43.0% (41.1%) • Positive mix effects offset higher freight costs • Tariff refunds added approx 35 MSEK and 1.2 p.p in margin • Excluding tariff benefits, gross margin improved slightly year-on-year GROSS PROFIT BRIDGE – Q3 2026 vs. Q3 2025 (MSEK) Q3 2025 68 Volume effect 19 Margin effect 35 US tariff refund 16 Currency Q3 2026 1,088 1,226 +138 41.1% 43.0%N/A +1.2 p.p. -0.0 p.p.+0.7 p.p.
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Adj. EBIT increases, with improved profitability even when excluding tariff refunds Q3 2025 Gross profit OPEX Other operating income and expenses Currency Q3 2026 165 121 -49 -5 15 247 +82 HIGHLIGHTS IN Q3 2026 • Adj. EBIT increased to 247 MSEK (165) • Underlying profitability improved even when excluding tariff refunds • Good demand, a stronger gross margin and continued focus on efficiency supported profitability • Positive development of OPEX-to-Net Sales ratio even if operating expenses increased slightly, mainly due to higher variable selling costs • Total FX impact of +15 MSEK on adjusted EBIT ADJ. EBIT BRIDGE – Q3 2026 vs. Q3 2025 (MSEK) 6.2% 8.7%
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Improving operating cash flow trend Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 250 512 565 734 256 344 437 479 184 205 446 600 237 257 485 Q1 +9% 96 Q1 95 Q2 86 Q3 77 Q4 82 Q1 79 Q2 78 Q3 84 Q4 81 Q1 83 Q2 82 Q3 76 Q4 83 Q1 87 Q2 88 Q3 OPERATING CASH FLOW (MSEK) 2023 2024 2025 2026 WORKING CAPITAL (DAYS) 2023 2024 2025 2026
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Strategic direction and what to expect from us in the coming years
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A plan to put Arjo back on track • Build a stronger, more focused portfolio and accelerate speed-to-market • Commercial excellence to accelerate value generation • Become a digital and AI-enabled care partner • Own and expand leadership in Long-Term Care • Strengthen and scale in Acute Care • Expand selectively into new care settings • Establish a fit-for-growth operating model • Build a purpose-driven performance culture • Contribute to better and more sustainable healthcare Win where we have the right to play Simplify to amplify Working better, together MAKE THE MOVE. TOGETHER.
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Unlocking the potential of being Arjo – a plan we know we can deliver A strategy focusing on our strengths while building a platform for the future Establish a customer-centric operating model with empowered regions – better leveraging group diversity and scale A firm commitment: Profitability improvement of ~350 MSEK vs. 2025 delivered by mid 2029 350 MSEK profit improvement
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~350 MSEK EBIT improvement vs. 2025 by mid 2029 Operating model & re-engineered cost structure • Simpler & clearer accountabilities • Harmonized ways-of- working • Empowered regions & lean Group functions Procurement spend reduction • Supplier & spend consolidation • Sourcing & specification optimization • Capability improvements to sustain Commercial excellence • Under-penetrated segments • Pricing & value capture • Differentiated GTM / distributor models Product portfolio optimization • Sharper portfolio choices • SKU rationalization • Focused R&D investment & governance Supply chain optimization • Manufacturing network & productivity • Inventory & planning • Logistics & distribution Capital efficiency • Working capital discipline • Rental fleet productivity • Optimized CAPEX allocation Growth & capability- enhancing M&A • Strengthen core product leadership • Selective adjacent, segment & geographic expansion ~350 MSEK EBIT* improvement vs. 2025 delivered by mid 2029 *Applies regardless of whether it is based on reported or adjusted EBIT Driven mainly by a more effective operating model and enhanced procurement focus – and not dependent on future growth Further value creation potential…
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Majority of EBIT impact realized by 2028, enabled by ~370 MSEK restructuring, largely over the coming 18 months EBIT* IMPROVEMENT FROM STRATEGIC INITIATIVES 2025 2026 2027 2028 2029 ~1.5x ~350 MSEK • EBIT* improvement ramps progressively from 2027 • Majority of targeted impact realized by 2028 – full impact expected by mid 2029 • Restructuring costs of ~370 MSEK to enable EBIT improvement – largely over the coming 18 months EBIT baseline in 2025 (MSEK) Yearly EBIT improvement from initiatives Accumulated EBIT improvement from initiatives ~370 MSEK in restructuring *Applies regardless of whether it is based on reported or adjusted EBIT
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A stronger core to create a platform for expansion from 2029 2026-2029 2029- Unlock the potential of Arjo Re-connect to core strengths and establish a fit-for-growth platform Expand from a stronger core Scale from a core platform, and expand into selected geo markets, segments, product categories Allowing us to… M&A in core and adjacent markets We will selectively act on strategic targets as they become actionable
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New financial targets in Q1 ‘27 and regular updates on progress Year-end report 2026 January 28, 2027 New financial targets Q1 2027 Q1 report 2027 April 16, 2027
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Q&A
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Forward looking information This document contains forward-looking information based on the current expectations of Arjo’s management. Although management deems that the expectations presented by such forward-looking information are reasonable, no guarantee can be given that these expectations will prove correct. Accordingly, the actual future outcome could vary considerably compared with what is stated in the forward- looking information, due to such factors as changed conditions regarding business cycles, market and competition, changes in legal requirements and other political measures, and fluctuations in exchange rates.