Slides
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Interim report third quarter 2026
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Summary Q3 Strong revenues and profit margin – Broad-based demand and strong operational execution, profit margin above target range and record-high cash flow – Total order intake grew by 20% year on year. Organic order intake growth of 17% – Total revenues increased by 29% year on year. Organic revenue growth of 25% – Adjusted EBITA amounted to SEK 8.5 Bn (5.5), corresponding to a margin of 22.5% (19.0), adjusted EBITA margin R12 at 21.3 % (19.3) – Adjusted profit for the period amounted to SEK 5.8 Bn (3.5) – Free operating cash flow of SEK 7.2 Bn (5.6) corresponding to a cash conversion of 87% Overview 2 0.9 Adjusted EBITA margin Financial net debt/EBITDA Revenue growth at fixed exchange rates 26% 22.5%
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Key strategic highlights in the quarter Overview New standardized screen range – Compact Screens – Pre-engineered models based on proven designs – Enables faster specification and reduces project-specific engineering effort Future of surface mining – Surface concept machine – Fully autonomous and battery- electric, combining AI, robotics, electrification and digital connectivity – Demonstrates technologies that can support safer, more productive and sustainable surface mines Connecting the dots at IMTS – One of world’s largest trade show – First time represented as Sandvik across all software brands – Showcased Manufacturing lifecycle Management (MLM), connecting design, machining and quality data across entire manufacturing life cycle Interim report for the third quarter 2026 32026-10-22 Solid carbide end mills – Xill·tec® Aero MC331 & MC333 – Universal use with expanded focus on aerospace applications for titanium and stainless steel – Up to 50% longer tool life in titanium application Rock Processing Machining Mining Intelligent Manufacturing
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Mining market Market development Interim report for the third quarter 2026 4 – High commodity prices continue to underpin strong activity in the mining market and robust demand for equipment and aftermarket – High utilization rate and an aging fleet drives consumption demand for parts and services – Interest in digital and automation solutions remained solid – Increased activity in downstream mining DownstreamUpstream 2026-10-22
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Infrastructure market Market development Interim report for the third quarter 2026 5 Aggregates Demolition & recycling Europe North America Asia 2026-10-22
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General industry Aerospace & defense Light vehicles Mining & energy Transport- ation Medical & electronics Europe North America China India Rest of world Industrial manufacturing market Market development 2026-10-22 Interim report for the third quarter 2026 6
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Cutting tools organic order intake development Market development 7. General industry Aerospace & defense Light vehicles Mining & energy Transport- ation Medical & Electronics Europe ++++ ++++ +++ ++++ ++++ ++++ North America ++++ ++++ ++++ ++++ ++++ - China -- ++++ ---- -- ++++ ++++ India ++++ ++++ ++++ Rest of world ++++ ++++ + Total ++++ ++++ +++ ++++ ++++ ++++ 0 = Flat + (-) = Low single-digit ++ (--) = Mid single-digit +++ (---) = High single-digit ++++ (----) = Double-digits 2026-10-22 Interim report for the third quarter 2026
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0 5 10 15 20 25 30 35 40 0 20 40 60 80 100 120 140 160 SEK Bn Q1 2024 Q2 Q3 Q4 Q1 2025 Q2 Q3 Q4 Q1 2026 Q2 Q3 Order intake and revenues Group results Interim report for the third quarter 2026 8 Order intake, reported Revenues, reported Order intake R12 Revenues R12 36,948 Order intake Reported (MSEK) 37,728 Revenues Reported (MSEK) 98% Book-to-bill 2026-10-22
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Growth in order intake and revenues Group results 9 Growth Q3 2026 Order intake Revenue Organic 17% 25% Structure 0% 1% Growth at fixed exchange rates 17% 26% Currency 3% 3% Total 20% 29% Order intake Revenue Organic % Structure % -10% 0% 10% 20% 30% Q1 2024 Q2 Q3 Q4 Q1 2025 Q2 Q3 Q4 Q1 2026 Q2 Q3 -10% 0% 10% 20% 30% Q1 2024 Q2 Q3 Q4 Q1 2025 Q2 Q3 Q4 Q1 2026 Q2 Q3 Interim report for the third quarter 20262026-10-22
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Mining Business Area results 2026-10-22 Interim report for the third quarter 2026 10 Order intake and revenues – Demand remained strong for both equipment and aftermarket – Good organic order intake growth, driven by strong growth across all aftermarket divisions. Excluding major orders, equipment grew by 23% – Total order intake increased by 15%. At fixed exchange rates, order intake grew by 11%, of which organic 11% – Excluding major orders of SEK 0.7 billion (1.6) organic order intake increased by 18% Profitability – Adjusted EBITA was SEK 4,259 million (3,059), and profit margin of 21.8% (20.1) – Organic operating leverage of 31% – Currency had a positive impact on EBITA of SEK 87 million year on year, but the higher impact on revenues diluted the margin by 40 basis points Order intake, revenues & adj. EBITA % Share of orders % (Q3 2026) Equipment vs. Aftermarket (Q3 2026) Order intake Revenues Adj. EBITA % 55 13 32 Brownfield Greenfield Replacements Equipment Aftermarket Organic order intake growth 0% 16% Share of revenues 33% 67% 52% share of revenues 2025 0% 5% 10% 15% 20% 25% 0 5 10 15 20 25 Q1 2024 Q2 Q3 Q4 Q1 2025 Q2 Q3 Q4 Q1 2026 Q2 Q3 SEK Bn
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Rock Processing Business Area results 11 Order intake and revenues – Underlying demand in mining robust, and positive market sentiment in demolition and recycling – Total order intake decreased by 2%. At fixed exchange rates, order intake decreased by 6%, of which organic was negative by 8% – No major orders in the quarter. Excluding major orders of SEK 189 million in the year earlier period, organic order intake growth was negative by 1% Profitability – Adjusted EBITA was SEK 418 million (392), corresponding to a margin of 15.0% (15.1) – Organic operating leverage was negative in the quarter – Currency had a positive impact of SEK 16 million year on year, corresponding to a margin accretion of 10 bps Order intake, revenues & adj. EBITA % Share of orders, % (2025) Equipment vs. Aftermarket (Q3 2026) Order intake Revenues Adj. EBITA % 58 31 11 Mining Aggregates Demolition & recycling Equipment Aftermarket Organic order intake growth -27% 7% Share of revenues 39% 61% 9% share of revenues 2025 SEK Bn 0% 4% 8% 12% 16% 0 1 2 3 4 Q1 2024 Q2 Q3 Q4 Q1 2025 Q2 Q3 Q4 Q1 2026 Q2 Q3 2026-10-22 Interim report for the third quarter 2026
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Machining Business Area results 12 Order intake and revenues – Positive demand in general industry, and continued strong momentum in aerospace and defense – Total order intake increased by 35%. At fixed exchange rates, order intake increased by 33% of which organic 33%. Cutting tools grew 19% – Daily order intake for cutting tools was stable in the first two weeks of October versus the second quarter, taking normal seasonality into account Profitability – Adjusted EBITA was SEK 3,720 million (2,010), corresponding to a profit margin of 25.7% (19.0). Higher volumes, Powder Solutions, and savings of SEK 82 million contributed positively – The temporary timing effect from tungsten price development was SEK +104 million, corresponding to an in-quarter effect of 70 bps – Organic operating leverage was 45% in the quarter – Currency had a positive impact of SEK 53 million year on year, corresponding to a margin accretion of 10 bps Order intake, revenues & adj. EBITA % Share of revenue, % (2025) Order intake Revenues Adj. EBITA % Order intake growth Revenue growth Cutting tools ++++ ++++ Powder Solutions ++++ ++++ 36% share of revenues 2025 6412 9 7 6 2 General industry Light vehicles Aerospace & defense Transportation Medical & electronics Mining & energy Organic order intake and revenue (Q3 2026) 0% 5% 10% 15% 20% 25% 30% 0 12 3 6 9 15 18 Y Axis Q1 2025 Q2 Q3 Q4 Q1 2026 Q2 Q3 SEK Bn 2026-10-22 Interim report for the third quarter 2026
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Intelligent Manufacturing Business Area results 13 Order intake and revenues – Positive broad-based demand across regions and segments. Strongest demand in aerospace and defense – Double-digit organic order intake growth in licenses and subscriptions – Total order intake increased by 25%. At fixed exchange rates, order intake increased by 24% of which organic 12% Profitability – Adjusted EBITA was SEK 258 million (171), profit margin of 27.1% (22.0) and leverage of 33% – Currency had a neutral impact year on year, corresponding to a margin dilution of 20 bps – Acquisitions had an accretive effect on the margin of 420 bps Order intake, revenues & adj. EBITA % Share of revenue, % (2025) Order intake and revenues (Q3 2026) 63 29 8 ARR* Licenses Order intake Revenues Underlying organic growth 14% 13% Subscription transition impact -2% -2% Organic growth 12% 11% 3% share of revenues 2025 Services & hardware *ARR: Maintenance and subscription SEK Bn 2026-10-22 Interim report for the third quarter 2026 0% 5% 10% 15% 20% 25% 30% 0.0 0.2 0.4 0.6 0.8 1.0 1.2 Q1 2025 Q2 Q3 Q4 Q1 2026 Q2 Q3 Order intake Revenues Adj. EBITA %
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Cecilia Felton CFO 14Interim report for the third quarter 20262026-10-22
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Financial summary Third quarter financials 2026-10-22 Interim report for the third quarter 2026 15 MSEK Order intake Revenues Q3 ’26 36,948 37,728 Adjusted EBITA 8,477 Adjusted EBITA margin 19.0% 22.5% Net financial items -304 Tax rate excluding IAC 24.3% NWC 29.3% 27.2% Free operating cash flow 7,167 ROCE 15.1% 19.1% ROCE excl. amortization of surplus values 20.4% 1 1 25.0% 16.5% 30,769 29,218 5,539 -396 5,603 Adjusted EPS, diluted 2.81 4.64 1 1) R12 revenues and R12 month average NWC / ROCE Q3 ’25
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Adj. EBITA margin: 22.5% Profitability development Third quarter financials 2026-10-22 Interim report for the third quarter 2026 1616 0% 3% 6% 9% 12% 15% 18% 21% 24% 27% 0 1 2 3 4 5 6 7 8 9 SEK Bn Q1 2024 Q2 Q3 Q4 Q1 2025 Q2 Q3 Q4 Q1 2026 Q2 Q3 Adj. EBITA Adj. EBITA % Adj. EBITA % R12 – Adj. EBITA SEK 8,477 million (5,539) – Higher volumes, Powder Solutions and savings – Timing effect from tungsten price development estimated to SEK 104 million, corresponding to an in-quarter effect of 30 bps – Organic leverage of 37% – Currency dilution of 20 bps – R12 adj. EBITA margin 21.3% (19.3)
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MSEK Q3 2025 Organic Currency Structure Q3 2026 Revenues 29,218 7,336 1000 174 37,728 Adjusted EBITA 5,539 2,690 158 90 8,477 Adjusted EBITA margin 19.0% 37% 22.5% Accretion/dilution 3.6% -0.2% 0.1% Bridge analysis Third quarter financials 2026-10-22 Interim report for the third quarter 2026 17
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Net financials Third quarter financials 2026-10-22 Interim report for the first quarter 2026 18 MSEK Interest net Q3 ’25 Q3 ’26 -195 Pension -11 Bank charges -22 Other financial income and cost -37 Leases IFRS16 -66 Fx and other asset classes 27 Total -304 Total yield cost, R3 4.0% -201 -20 -23 -14 -70 -68 -396 Total yield cost, R12 3.9% 3.5% 4.0%
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Tax rate Third quarter financials 2026-10-22 Interim report for the third quarter 2026 19 – Normalized tax rate: In line with guidance of 23-25% MSEK Reported Q3 ’25 Q3 ’26 24.3% Excluding IAC 24.3% Normalized 24.3% 25.8% 25.0% 25.0%
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Third quarter financials Interim report for the third quarter 2026 20 Net working capital 2026-10-22 -20% 0% 25% 30% 35% 40% -25% Q1 2024 Q2 Q3 Q4 Q1 2025 Q2 Q3 Q4 Q1 2026 Q2 Q3 Rock Processing, % of rev., R12 Intelligent Manufacturing, % of rev., R12 Machining,% of rev., R12 Mining,% of rev., R12 20 25 30 35 40 45 50 0% 26% 27% 29% 30% 28% 31% 32% 0 33% 5 34% 10 15 Q1 2024 Q2 Q3 Q4 SEK Bn Q2 Q3 Q4 Q1 2026 Q1 2025 Q3Q2 NWC % of revenue, R3 % of revenue, R12 Machining and Intelligent Manufacturing ,% of rev., R12
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Free operating cash flow Third quarter financials 2026-10-22 Interim report for the third quarter 2026 21 0% 20% 40% 60% 80% 100% 120% 140% 160% 0 1 2 3 4 5 6 7 8 Q1 2024 Q2 Q3 Q4 Q1 2025 Q2 Q3 Q4 Q1 2026 Q2 Q3 Free operating cash flow Cash conversion, R12 *Includes rental equipment, lease payments and proceeds from asset sales SEK Bn NWC -1,203 FOCF 7,167 MSEK Q3 ’25 Q3 ’26 EBITDA 9,870 Non-cash and other items* -501 Capex -998 EBITDA adj for non-cash and other items 9,368 6,984 -664 6,320 -817 100 5,603 Cash Conversion 105% 87%
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Net debt Third quarter financials 2026-10-22 Interim report for the third quarter 2026 22 0 10 20 30 40 50 60 0.0 0.3 0.6 0.9 1.2 1.5 1.8 RATIO Q1 2024 Q2 Q3 Q4 Q1 2025 Q2 Q3 Q4 Q1 2026 Q2 Q3 Financial net debt Net pension liability Leases Financial net debt / R12 EBITDA Financial net debt/R12 EBITDA – Financial net debt SEK 30 billion – Net debt SEK 37 billion SEK Bn 0.9
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Outcome versus guidance Third quarter financials 2026-10-22 Interim report for the third quarter 2026 23 Outcome Q3 Guidance Q3 Currency YoY effect (MSEK) 158 200 Temporary timing effect from tungsten price (MSEK) 104 200 Outcome Q1-Q3 Guidance FY26 Capex (BSEK) 2.8 4-4.5 Interest net (BSEK) -0.5 -0.6 Normalized tax rate (%) 24.2% 23-25%
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Guidance Q4 and FY 2026 Guidance 2026-10-22 Interim report for the third quarter 2026 24 Currency effect Given currency rates per September 30, the effect on adjusted EBITA from transaction and translation would be SEK +0.6 Bn for Q4 2026 compared to the year-earlier period Temporary timing effect from tungsten price development Based on tungsten prices per September 30, the effect is estimated to have a limited impact on adjusted EBITA for Q4 2026, compared with the year-earlier period Tariff refund Estimated impact on revenues and order intake SEK -0.4 billion for Q4 2026. No impact on absolute adjusted EBITA CAPEX (Cash) Estimated to SEK 4.0-4.5 Bn for 2026 Interest net Underlying interest net is estimated to SEK -0.7 Bn for 2026 Tax rate The normalized tax rate is estimated to 23-25% for 2026
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Conclusion Summary 2026-10-22 Interim report for the third quarter 2026 25 Financial performance – Order intake grew double digits and strong execution led to 26% revenue growth – Profit margin above target range and record cash flow – 65% EPS growth in the quarter Strategic progress – Innovations launched in strategically important areas such as digital and surface mining – Demonstrated strong innovation progress at manufacturing trade show IMTS – Closing of Diemme® Filtration Markets & macro – Strong demand in upstream mining. Increased activity in downstream – Positive demand in cutting tools – Supply constraints and high market activity continues to support strong tungsten demand Advancing to 2030 – Consistent delivery each quarter, while building long-term strength – Agility and speed in responding to macro-economic developments – Proven strength of business portfolio, strategy and operating model
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Q&A 26Interim report for the third quarter 20262026-10-22
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Backup slides 27Interim report for the third quarter 20262026-10-22
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Tungsten price dynamics Machining 2026-04-22 Interim report for the third quarter 2026 28 Powder business • Sourcing: 10-15% own mine, 55% recycled material, 30-35% external virgin tungsten (outside of China) • Price-cost gap: • Price: Based on a mix of APT and Argus price in many powder contracts (with 1-month lag) • Costs: average inventory cycle is ~3 months • 1/3 of produced tungsten powder sold internally, 2/3 externally -3 -1 Temporary powder price-cost gap ~2 months Cutting tool costs – 9 month Metal cutting • List price increases done with a notice period of 3 months to distributors • Cost lag: • The average inventory cycle for tools is ~6 months on top of ~3 months in the powder business Cost lag cutting tools ~3 + 6 months -3-9 Time lag, months Cutting tools powder – 3 month Powder price – 1 month Costs inventory – 3 months -2-4-5-6-7-8 -1 0-2 0 Time lag, months Disclaimer: This is a simplified model for the tungsten price dynamics, subject to deviations
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Adjusted EBITA bridge, per BA MSEK Q3 2025 Organic Currency Structure Q3 2026 Mining Revenues 15,240 3,555 731 - 19,525 Adjusted EBITA 3,059 1,113 87 0 4,259 Adjusted EBITA margin 20.1% 31% 21.8% Accretion/dilution 2.1% -0.4% 0.0% Rock Processing Revenues 2,600 -11 94 108 2,791 Adjusted EBITA 392 -17 16 27 418 Adjusted EBITA margin 15.1% 152% 15.0% Accretion/dilution -0.6% 0.1% 0.4% Machining Revenues 10,560 3,707 166 26 14,459 Adjusted EBITA 2,010 1,650 53 7 3,720 Adjusted EBITA margin 19.0% 45% 25.7% Accretion/dilution 6.6% 0.1% 0.0% Intelligent Manufacturing Revenues 774 85 9 84 952 Adjusted EBITA 171 28 0 59 258 Adjusted EBITA margin 22.0% 33% 27.1% Accretion/dilution 1.0% -0.2% 4.2% Comments and numbers refer to continuing operations unless otherwise stated. 29Interim report for the third quarter 20262026-10-22
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Loan and duration profile MSEK Amount Duration Bonds MTN 13,701 3.2 years Bank Loans 9,174 4.8 years Commercial papers 5,277 2.7 years Bonds MTN 6,172 0.7 years Bank Loans 98 0.5 years Total 34,421 3.1 years Long term: 82% Short term: 18% Committed Credit facilities SEK 11,474 million 30Interim report for the third quarter 20262026-10-22
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Loan maturity profile 0 2 000 4 000 6 000 8 000 2026 2027 2028 2029 2030 2031 2032 2033 Average interest rate: ~2.9% SEK M 31 (excluding swap costs) Interim report for the third quarter 20262026-10-22
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Disclaimer statement Some statements herein are forward-looking, and the actual outcome could be materially different. In addition to the factors explicitly commented upon, the actual outcome could be materially affected by other factors for example, the effect of economic conditions, exchange-rate and interest-rate movements, political risks, impact of competing products and their pricing, product development, commercialization and technological difficulties, supply disturbances, and the major customer credit losses.