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B A L C O / R I I K K U / B A L C O A L T A N E R / R K T E K N I K / S Ö D E R Å S E N / S U O M E N O H U T L E V Y A S E N N U S Q3 Report 2026 January - September JOHAN DYBERG, Acting PRESIDENT & CEO VIKTOR ARVIDSSON, CFO
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Snapshot of Balco Group REVENUE PER MARKET (2025) Page 2 | Balco Group Q3 Report 1 January – 30 September 2026 The Group • Balco Group was founded in 1987 and consists of the companies Balco, Riikku, RK Teknik, Balco Altaner, Söderåsens Mur & Kakel and Suomen ohutlevyasennus. • The head office is in Växjö, and the group has approximately 500 employees. The offering • Balco operates in two main segments: renovations and new build. • The core expertise is supplying glazed balconies and balcony solutions, primarily on the renovation market and to tenant-owner associations and replacing existing balconies with new glazed balconies according to the Balco method. • However, the group has a broad offering of balcony solutions, including both open and glazed balconies, as well as complementary offerings such as façade renovations. The market • Balco Group is the market leader in the Nordics with key markets being Sweden, Denmark, Norway and Finland. • Strong challenger position on other northern European markets. Energy-savings • All glazing of a balcony results in energy savings. Simpler glazing provides 5 to 10 percent energy savings, while Balco's patented glazing provides a documented energy saving of 20 to 30 percent. • Facade renovation with additional insulation give energy savings of up to 10 percent. 45% 40% 15% Sweden Other Nordics Other Europé
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Q3 highlights Page 3 | Balco Group Q3 Report 1 January – 30 September 2026 Q3 2026 Net Sales 295 MSEK Jul - Sep 2026 277 MSEK Jul - Sep 2025 Order intake • 1% below corresponding period last year: 220 MSEK (222). • Order backlog +14% vs. Q3 2025. Net sales and profitability • Net sales increased by 6%, (FX impact 1%) • Net sales: 295 MSEK (277). • Items affecting comparison of -88 MSEK whereof impairment / write down of assets -79 MSEK Organization and structural measures • Charlotte Mattsson has been appointed as the new CEO, starting Q1 2027 • Extensive measures implemented, reduction of workforce by approx. 60 employees • TBO-Haglinds has been integrated into RK Teknik • Stora Fasad Entreprenad has been integrated into Balco AB • Balco has discontinued its local operations in the Netherlands • The property previously owned by TBO-Haglinds has been sold
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Quarterly results • Net sales amounted to 295 MSEK (277). Organic growth was +6 percent and currency effect was 1 percent. • Net sales YTD amounted to 963 MSEK (924). • Adjusted operating result (EBITA) amounted to 1 MSEK (3), corresponding to an adjusted EBITA-margin of 0.5 percent (1.1). • Adjusted operating profit (EBITA) YTD amounted to 14 MSEK (6), corresponding to an adjusted operating margin (EBITA-margin) of 1.4 percent (0.7). • Order intake amounted to 220 MSEK (222). • Order intake YTD increased by 7 percent to 1,090 MSEK (1,016). • Order backlog increased by 14 percent to 1,571 MSEK (1,377). • Adjusted earnings per share amounted to -0.21 SEK (-0.23). • Adjusted earnings per share YTD amounted to 0.01 SEK (-0.46). Earnings per share amounted to -3.23 SEK (-0.23). • Earnings per share YTD amounted to -3.33 SEK (-1.53). • Operating cash flow amounted to -12 MSEK (3). Operating cash flow YTD amounted to -42 MSEK (-26). Page 4 | Balco Group Q3 Report 1 January – 30 September 2026
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Renovation • Net sales in the quarter amounted to 226 MSEK (206), which corresponds to 77 percent (75) of the total net sales. Net sales YTD amounted to 729 MSEK (696). • Order intake in the quarter amounted to 165 MSEK (188), which corresponds to 75 percent (85) of the total order intake. Order intake YTD increased by 9 percent to 850 MSEK (782). • Adjusted operating profit (EBITA) in the quarter amounted to 4 MSEK (2), corresponding to an adjusted operating margin of 1.7 percent (1.2). Adjusted operating profit (EBITA) YTD amounted to 13 MSEK (4), corresponding to an adjusted operating margin (EBITA-margin) of 1.7 percent (0.6). • Order backlog amounted to 1,109 MSEK (1,107) which corresponds to 71 percent (80) of the total order backlog. Page 5 | Balco Group Q3 Report 1 January – 30 September 2026 Jul-Sep Jul-Sep Jan-Sep Jan-Sep Oct-Sep Jan-Dec Renovation, MSEK 2026 2025 2026 2025 2025/26 2025 Net Sales 226 206 729 696 1019 986 Adjusted operating profit (EBITA) 4 2 13 4 20 11 Adjusted operating margin (EBITA), % 1,7 1,2 1,7 0,6 2,0 1,1 Order intake 165 188 850 782 1 079 1 011 Order backlog 1 109 1 107 1 109 1 107 1 109 1 059
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New Build Page 6 | Balco Group Q3 Report 1 January – 30 September 2026 • Net sales in the quarter amounted to 68 MSEK (70), which corresponds to 23 percent (25) of the total net sales. Net sales YTD amounted to 234 MSEK (228). • Order intake in the quarter amounted to 55 MSEK (33), which corresponds to 25 percent (15) of the total order intake. Order intake YTD increased by 3 percent to 240 MSEK (234). • Adjusted operating profit (EBITA) in the quarter amounted to -3 MSEK (1), corresponding to an adjusted operating margin of -3.9 percent (1.0). Adjusted operating profit (EBITA) YTD amounted to 0 MSEK (4), corresponding to an adjusted operating margin (EBITA-margin) of 0.1 percent (1.6). • Order backlog amounted to 462 MSEK (269) which corresponds to 29 percent (20) of the total order backlog. Jul-Sep Jul-Sep Jan-Sep Jan-Sep Oct-Sep Jan-Dec New Build, MSEK 2026 2025 2026 2025 2025/26 2025 Net Sales 68 70 234 228 316 309 Adjusted operating profit (EBITA) -3 1 0 4 2 5 Adjusted operating margin (EBITA), % -3,9 1,0 0,1 1,6 0,6 1,6 Order intake 55 33 240 234 533 526 Order backlog 462 269 462 269 462 464
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Financial position • At the end of the quarter, the Group’s equity amounted to 668 MSEK (744). Equity/assets ratio at 43 percent (44). • Interest-bearing net debt including leasing debt in relation to adjusted EBITDA amounted to 6.7 times (6.8). • A supplementary agreement was signed earlier this year with the Group's main bank, which entails time-limited easing of the loan terms. Page 7 | Balco Group Q3 Report 1 January – 30 September 2026
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Outlook • We remain confident in our strong order backlog supported by a sufficient order intake. • We expect a gradual improvement in the Group's operational and financial results as impact from the structural measures evolve. • The simplified Group structure frees up resources to focus on our core business in our prioritized markets. • We continue to focus on higher margins, increased efficiency and to reduce tied-up capital. Balco Group has a strong market position with high quality and long durability. Concluding remarks Page 8 | Balco Group Q3 Report 1 January – 30 September 2026
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Q&A