Slides
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Q3 2026 presentation 23 October 2026
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This is Instalco 2 A leading northern European group within heating and plumbing, electricity, ventilation, industry and technical consulting Project planning, installation, service and maintenance of systems installed at properties and facilities Highly decentralised structure – specialised local companies >7,000 employees Driving the green transformation – strong underlying market drivers
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14,604 Net sales, million SEK EBITA, million SEK 1,001 Cash flow from operations, million SEK 723 Order backlog, million SEK 11,746 EBITA margin, % 6.9 Cash conversion, % 74 Key financials, LTM 3
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Quarterly summary 4 • Continued organic growth and improved profitability • Strong performance in Sweden, challenges remain in Norway • Instalco 2.0 driving operational improvements and business development • Fabri consolidated, establishing Germany as a fourth market EBITA SEK254 million EBITA margin 7.2 % Net sales SEK3,526 million Key financials Q3 2026 4
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• Net sales growth of 16.4% to SEK 3,526 (3,028) million • Organic growth of 8.2% (-3.3), acquired growth contributed 6.8%, FX impact of 1.4% • Order backlog growth of 30.1%, 14.2% organically, and 12.7% from acquisitions • Service made up 36% of sales in the quarter Net sales and order backlog (SEK million) 5 3,028 3,526 Q3 2025 Acquisitions Organic FX Q3 2026 0 500 1,000 1,500 2,000 2,500 3,000 3,500 4,000 1.4% 6.8% 8.2% 37% 37% 33% 35% 36% .0 5000.0 10000.0 15000.0 Q3 2025 Q4 2025 Q1 2026 Q2 2026 Q3 2026 Order backlog Net sales R12M Service as % of net sales in quarter
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• EBITA amounted to SEK 254 (180) million • EBITA margin of 7.2% (6.0) – The improvement was primarily driven by Sweden EBITA development (SEK million and margin %) 6 0% 1% 2% 3% 4% 5% 6% 7% 8% 9% 0 50 100 150 200 250 300 350 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25 Q2'25 Q3'25 Q4'25 Q1'26 Q2'26 Q3'26 EBITA EBITA margin
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Segment Sweden 7 • Net sales amounted to SEK 2,437 (2,075) million Organic growth of 15.2% Acquired growth of 2.2% • EBITA amounted to SEK 179 (105) million, corresponding to a margin of 7.4% (5.0) 7 EBITA SEK179 million EBITA margin 7.4 % Order backlog SEK7,316 million Net sales SEK2,437 million Key financials Q3 2026
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Segment Norway 8 • Net sales amounted to SEK 553 (518) million, positively impacted by FX Organic development of -1.7% • EBITA amounted to SEK 20 (28) million, corresponding to a margin of 3.5% (5.4) 8 EBITA SEK20 million EBITA margin 3.5 % Order backlog SEK2,585 million Net sales SEK553 million Key financials Q3 2026
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Segment Finland & Germany 9 • Net sales amounted to SEK 536 (435) million, positively impacted by one month of Fabri consolidation Organic growth of -13.3% Acquired growth of 36.9% • EBITA amounted to SEK 56 (48) million, corresponding to a margin of 10.4% (11.0) 9 EBITA SEK56 million EBITA margin 10.4 % Order backlog SEK1,845 million Net sales SEK536 million Key financials Q3 2026
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Cash generation (SEK million) • Operating cash flow impacted by longer payment terms in industrial projects and high invoicing at quarter end • Receivables with established customers and no increase in overdue receivables • Net debt increased following the Fabri acquisition and purchase of minority shares 10 -25% 0% 25% 50% 75% 100% 125% 150% -100 0 100 200 300 400 500 600 Q3 2024 Q4 2024 Q1 2025 Q2 2025 Q3 2025 Q4 2025 Q1 2026 Q2 2026 Q3 2026 CFFO per Q R12M cash conversion SEKm Q3 2026 Q3 2025 EBITDA 366 282 Change in net working capital -281 -60 Cash flow from operating activities (CFFO) -66 133 Cash conversion (R12M) 74% 112% Cash flow from investing activities -270 -91 Cash flow from financing activities 504 -413 Cash flow for the period 167 -371
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≥10% Growth Cash conversion 100% Dividend policy 30% Profitability 8% Capital structure (Net Debt/EBITDA) 2.5x Climate target 50% Strategic targets 11 Average sales growth should be at least 10% per year over a business cycle. Growth will take place both organically and through acquisitions Instalco aims to deliver an EBITA margin of 8.0% Instalco’s net debt in relation to EBITDA shall not exceed a ratio of 2.5Instalco aims to achieve a cash conversion ratio of 100%, measured over a rolling twelve-month period over a business cycle Instalco targets a dividend payout ratio of 30% of net profit Reduction of GHG emission intensity in Scope 1 and 2 by 2030, with 2020 as base year
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För att infoga en bakgrundsbild, högerklicka och välj ”Formatera bakgrund”. Välj ”Bild eller strukturfyllning”. CEO’s theme The Economics of Installations 12
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13 Market conditions shape project margins Stronger market Weaker market More projects to choose from Fewer projects available Greater pricing power Increased price competition More selective bidding Pressure on tender assumptions Market conditions influence both pricing and the assumptions behind project estimates.
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14 Project execution is where margins are made 1 Tendering & estimation • Realistic cost assumptions • Project selection & risk 2 Planning • Resource planning • Customer coordination 3 Execution • Right first time • Continuous financial follow-up 4 Completion • Change-order management • Documentation Continuous financial monitoring throughout the project lifecycle
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15 What really drives profitability? Not necessarily Technical discipline Service vs. projects Project size More important Customer and end-market Specialisation and experience Project and contract characteristics Customer collaboration Profitability is driven by the characteristics of the business, not simply its category.
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16 Turning discipline into performance Project selection & estimation • Greater discipline in project selection • Stronger focus on risk and realistic costing Project execution • Improved project monitoring and follow-up • Earlier identification of deviations Operational excellence • Sharing best practices across the group • Strengthening local management capabilities Instalco 2.0 – Building stronger, more profitable businesses
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• Organic growth and higher margin in a seasonally weak quarter • Sweden drove the improvement, Norway held back by delayed project starts • Order backlog strengthened further, organically and through Fabri • Weaker cash flow, working capital a clear priority • Market activity gradually increasing, but uneven • Instalco 2.0 continues to deliver • Fabri consolidated, Germany our fourth market Summary Q3 17
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Full power installations from a powerful team Q&A