Q3 2024

160

Interim report Q3 2024

October 25, 2024

Epiroc AB Interim Report January – September 2024 1 (28)

 Q3 2024
Table of Contents
Epiroc interim report Q3 .............................................................................................................................................................. 3
Financial overview ............................................................................................................................................................. 3

CEO comments ................................................................................................................................................................. 4

Profits and returns ............................................................................................................................................................. 6

Balance sheet .................................................................................................................................................................... 7

Cash flow........................................................................................................................................................................... 7

Leading productivity and sustainability partner ................................................................................................................... 8

Equipment & Service ......................................................................................................................................................... 9

Tools & Attachments ........................................................................................................................................................ 11

Sustainability: People & Planet ........................................................................................................................................ 13
January – September in summary ............................................................................................................................................. 14
Other information ...................................................................................................................................................................... 15
Key risks ................................................................................................................................................................................... 15
Signature of the President ......................................................................................................................................................... 15

Financial Statements................................................................................................................................................................. 16
Condensed consolidated income statement ..................................................................................................................... 16
Condensed consolidated statement of comprehensive income ........................................................................................ 16
Condensed consolidated balance sheet ........................................................................................................................... 17
Condensed consolidated statement of changes in equity ................................................................................................. 18
Condensed consolidated statement of cash flows ............................................................................................................ 19
Condensed parent company income statement ............................................................................................................... 20
Condensed parent company balance sheet ..................................................................................................................... 20
Condensed segments quarterly ....................................................................................................................................... 21
Geographical distribution of orders received .................................................................................................................... 22
Geographical distribution of revenues .............................................................................................................................. 22

Group notes .............................................................................................................................................................................. 23

Note 1: Accounting principles ........................................................................................................................................... 23
Note 2: Acquisitions and divestments............................................................................................................................... 23

Note 3: Fair value of derivatives, earn-out and borrowings ............................................................................................... 25

Note 4: Share buybacks and divestments ........................................................................................................................ 25

Note 5: Transactions with related parties ......................................................................................................................... 25

Key figures ................................................................................................................................................................................ 26

Epiroc in brief ............................................................................................................................................................................ 27
About this report ........................................................................................................................................................................ 27
Further information .................................................................................................................................................................... 28

Financial calendar ..................................................................................................................................................................... 28

On the cover: PowerROC T45 is a tophammer drill rig optimized for larger construction work and quarry applications where simple flexibility in
positioning is required. The straightforward design, with excellent hydraulic base drill and productivity, makes it a powerful, reliable, and operator
friendly rig.

Epiroc AB Interim Report January – September 2024 2 (28)

 Q3 2024

Epiroc interim report Q3

• Orders received increased 8% to MSEK 15 520 (14 360). The organic increase was 6%.
o Large orders amounted to MSEK 1 400 (1 000).
• Revenues increased 5% to MSEK 15 699 (14 997). The organic increase was 3%.
• Operating profit amounted to MSEK 3 277 (3 260), including items affecting comparability
of MSEK 191 (-12)*. The operating margin was 20.9% (21.7).
• The adjusted operating profit was MSEK 3 086 (3 272), corresponding to an adjusted
operating margin of 19.7% (21.8).
• Basic earnings per share were SEK 1.92 (1.85).
• Operating cash flow was MSEK 1 789 (1 889).
• Net debt/EBITDA ratio was 0.97 (0.49).
• The acquisitions of ASI Mining (remaining shares) and ACB+ were completed.

Financial overview

2024 2023 2024 2023

MSEK Q3 Q3 Δ,% Jan-Sep Jan-Sep Δ,%
Orders received 15 520 14 360 8 46 031 44 511 3
Revenues 15 699 14 997 5 46 353 44 775 4
EBITA 3 896 3 533 10 10 064 10 512 -4
EBITA margin, % 24.8 23.6 21.7 23.5
Operating profit, EBIT 3 277 3 260 1 8 958 9 834 -9
Operating margin, EBIT, % 20.9 21.7 19.3 22.0
Profit before tax 3 013 2 929 3 8 313 9 321 -11
Profit margin, % 19.2 19.5 17.9 20.8
Profit for the period 2 323 2 244 4 6 377 7 190 -11
Operating cash flow 1 789 1 889 -5 5 176 3 776 37
Basic earnings per share, SEK 1.92 1.85 4 5.27 5.94 -11
Diluted earnings per share, SEK 1.92 1.85 4 5.27 5.94 -11
Return on capital employed, %, 12 months 21.5 27.8 21.5 27.8
Net debt/EBITDA, ratio 0.97 0.49 0.97 0.49

* For further information, see pages 6 and 21.

Epiroc AB Interim Report January – September 2024 3 (28)

 Q3 2024
CEO comments

Strong mining demand Strategy for resilient, recurring and

In the third quarter, orders received increased 8% to profitable growth
MSEK 15 520 (14 360), corresponding to an organic In September, in conjunction with the world’s largest
growth of 6%. The demand from mining customers mining exhibit, MINExpo, we hosted our Capital
was strong and several large mining equipment Markets Day. The main purpose of the event was to
orders were won. In total, large orders were record- provide insight into how Epiroc is positioned for
high at MSEK 1 400 (1 000), contributing to an profitable, resilient growth in an ever-changing
organic order growth for equipment of 11%. For world. We provided updates on the progress of our
construction, as anticipated, demand remained financial and sustainability goals. Within safety, both
weak, especially for attachments, where orders when it comes to our offering and our own
slowed further in the United States. improvements, we have seen particularly good
progress. We shared details of our market-leading
In the near term, we expect that the underlying position in electrification and automation, which
mining demand, both for equipment and aftermarket, includes more than 600 electric vehicles and 3 100
will remain at a high level, while demand from vehicles with our safety and mixed fleet
construction customers is expected to remain weak. automation solutions.

Revenues and profitability Innovation highlights at the MINExpo

Our revenues increased 5% to SEK 15.7 billion, At MINExpo in Las Vegas, with over 44 000 guests
driven by organic growth in Equipment & Service from 126 countries, we showcased many of our
and by acquisitions in Tools & Attachments. Our groundbreaking innovations. One innovation that
EBIT increased slightly to MSEK 3 277 (3 260) and attracted significant interest was the large-capacity
included items affecting comparability of Minetruck MT66 S eDrive, a hybrid with both an
MSEK 191 (-12). electric drivetrain and a powerful diesel engine.
Epiroc aims to remain in the forefront of a rapidly
The adjusted operating margin, EBIT, was 19.7%
changing industry by offering the most effective
(21.8). The lower margin compared to the previous
solutions within automation, electrification and
year is mainly explained by mix effects within
digitalization.
Equipment & Service, where we have stronger
revenue growth in equipment than in the traditional Passionate people create exceptional things
service business, as well as dilution from the During my visit at MINExpo, I had the pleasure to
acquisition of Stanley Infrastructure. On a Group interact with many customers and it is clear that our
level, the dilution from acquisitions was -1.3 approach to partnership is highly valued. I applaud
percentage points. the efforts of our passionate employees to provide
our customers with solutions that make their
Sequentially, efficiency measures have yielded
operations safer, more productive and more energy
results, and the organic contribution to the margin
efficient, while at the same time strengthening
was positive. The workforce was reduced by 450 in
Epiroc for the future.
the quarter and by 1 000 year-to-date for
comparable units. Several efficiency measures are Helena Hedblom
ongoing, including the consolidation of sites in the President and CEO
United States.

Cash flow and working capital

Operating cash flow was MSEK 1 789 and the net
working capital was MSEK 24 395. Sequentially, the
net working capital was reduced with MSEK 650,
driven mainly by lower inventory, which was reduced
by MSEK 1 171.

Photo from MINExpo

Epiroc AB Interim Report January – September 2024 4 (28)

 Q3 2024
Orders and revenues

Orders received
16 349 Financial overview
15 520
14 360 14 388 14 162 2024 2023
MSEK Q3 Q3 Δ,%
Orders received 15 520 14 360 8
Revenues 15 699 14 997 5
EBITA 3 896 3 533 10
EBITA margin, % 24.8 23.6
Adj. operating profit, EBIT 3 086 3 272 -6
Q323 Q423 Q124 Q224 Q324 Adj. operating margin, EBIT, % 19.7 21.8
Orders received, MSEK
Operating profit, EBIT 3 277 3 260 1
Operating margin, EBIT, % 20.9 21.7

Orders received
Revenues and book-to-bill Orders received increased 8% to MSEK 15 520 (14 360). The organic
16 511
14 997
15 568 15 699 increase was 6%. Customer activity remained high in mining. On the
14 143
construction side, demand remained weak, especially for attachments,
where orders received weakened even further in the United States.
Structure (acquisitions) impacted the growth positively with 6%, while
100 99 99 currency impacted negatively with -4%.
96 92

Compared to the previous year, orders received in local currency,

including acquisitions, increased in Europe, Asia/Australia, South America
and North America, while it decreased in Africa/Middle East. The
Q323 Q423 Q124 Q224 Q324
comparable period, Q3 2023, in Africa/Middle East includes Epiroc’s
Revenues, MSEK
Book-to-bill, % largest equipment order in history, MSEK 700.

Mining customers represented 78% (86) of orders received in the quarter

Revenues by business type and construction customers 22% (14). The increase in construction
compared to the previous year is mainly explained by the acquisition
of Stanley Infrastructure.
24% (21) 33% (33) Sequentially, compared to the previous quarter, orders received
Aftermarket
decreased -3% organically.
67% (67)

Revenues
Revenues increased by 5% to MSEK 15 699 (14 997), corresponding to
43% (46)
an organic increase of 3%. Acquisitions impacted revenues positively with
6%, while currency impacted negatively with -4%. The book-to-bill ratio
Aftermarket was 99% (96).
Equipment Service Tools & Attachments
The aftermarket represented 67% (67) of revenues in the quarter.

Sales Bridge Orders received Revenues

MSEK,Δ,% MSEK,Δ,%
Q3 2023 14 360 14 997
Organic 6 3
Currency -4 -4
Structure/other 6 6
Total 8 5
Q3 2024 15 520 15 699

Epiroc AB Interim Report January – September 2024 5 (28)

 Q3 2024
Profits and returns

Profit bridge Operating profit

Operating profit and margin MSEK,Δ Margin,Δ,pp
21.7 21.5
Q3 2023 3 260 21.7
20.9
19.5
17.7 Organic -130 -1.3
3 260 3 349 3 277
Currency -53 0.5
2 760 2 921
Structure/other* 200 0.0
Total 17 -0.8
Q3 2024 3 277 20.9
Q323 Q423 Q124 Q224 Q324
Operating profit, MSEK * Includes operating profit/loss from acquisitions and divestments and items affecting
Operating margin, % comparability (incl. change in provision for share-based long-term incentive programs).

Operating profit, EBIT, amounted to MSEK 3 277 (3 260), including items

affecting comparability of MSEK 191 (-12). These include a positive
Adjusted operating profit and revaluation effect of the shares held prior to the acquisition of ASI Mining
margin and an impairment of acquisition-related intangible assets in Equipment &
21.8
Service for a net effect of MSEK 208 (see page 21), as well as a change
20.7 20.4 19.7 19.7
in provision for the share-based long-term incentive programs of
3 272 3 229 3 246 3 086 MSEK -17 (-19). The operating margin, EBIT, was 20.9% (21.7).
2 887

The adjusted operating margin, excluding items affecting comparability,

was 19.7% (21.8). Compared to the previous year, the negative margin
Q323 Q423 Q124 Q224 Q324
development is mainly explained by dilution from acquisitions. In addition,
Adj. operating profit, MSEK
the margin was also negatively impacted by mix effects, such as a higher
Adj. operating margin, %
share of revenues from equipment. Currency contributed positively to the
margin. The dilution from acquisitions was -1.3 percentage points.
Sequentially, efficiency measures have yielded results, and the organic
Capital employed and return on
capital employed contribution to the margin was positive.
62 285
60 896 60 750
51 437 Net financial items amounted to MSEK -264 (-331). Net interest increased
60 000 40

51 181 35
50 000

40 000
30
to MSEK -250 (-146), explained by higher interest-bearing debt and an
25

30 000 27.8 27.0 20 increased average interest rate.

24.5
20 000
22.4 21.5 15

10

10 000
5
Profit before tax was MSEK 3 013 (2 929). Income tax expense amounted
- 0
to MSEK -690 (-685). The effective tax rate was 22.9% (23.4). Profit for
Q323 Q423 Q124 Q224 Q324
Capital employed, MSEK, period end
the period totaled MSEK 2 323 (2 244). Basic earnings per share were
SEK 1.92 (1.85).
Return on capital employed, %, 12 months

Return on capital employed was 21.5% (27.8), negatively impacted

mainly by increased intangible assets, such as goodwill from acquisitions.
The return on equity was 22.6% (27.9).

Epiroc AB Interim Report January – September 2024 6 (28)

 Q3 2024
Balance sheet

Net working capital Net working capital

36.7 37.8 38.0
34.8 35.2 Compared to the previous year, net working capital increased 6% to
22 978 23 520 25 045 24 395 MSEK 24 395 (22 978). The increase is mainly explained by lower
21 736
payables. Sequentially however, the net working capital was reduced
with MSEK 650, driven mainly by lower inventory. The average net
working capital in relation to revenues in the last 12 months
was 38.0% (34.8).
Q323 Q423 Q124 Q224 Q324

Net working capital, MSEK, period end

Average net working capital/revenues,

%, 12 months

Net debt Net debt

1.04
0.97 Epiroc ended the quarter with a cash and cash equivalents position of
MSEK 7 129 (6 330). The net debt was MSEK 15 152 (7 643). The net
0.49 0.49 debt/EBITDA ratio increased to 0.97 (0.49), driven by an increased debt
0.39
level after acquisitions. Sequentially, the net debt/EBITDA decreased.

7 643 7 824 6 076 15 801 15 152 The average tenor of Epiroc’s long-term debt was 4.3 years. The
Q323 Q423 Q124 Q224 Q324
average interest duration was 20 months (19) and the average interest
rate at the end of the quarter was 4.41% (4.16).
Net debt (+) / net cash (-), MSEK, period end

Net debt, period end/EBITDA, 12 months

Cash flow

Operating cash flow

Operating cash flow
Operating cash flow amounted to MSEK 1 789 (1 889). It was negatively
7 651 7 711 7 611
impacted by lower operating profit adjusted for non-cash items, while
6 211
5 295
positively impacted by a lower build-up of working capital.
2 435
1 889
Acquisitions and divestments
1 778 1 789
1 609
The net cash flow from acquisitions and divestments was
MSEK -1 080 (-7).

Q323 Q423 Q124 Q224 Q324

Operating cash flow, MSEK
Operating cash flow, MSEK, 12 months

Epiroc AB Interim Report January – September 2024 7 (28)

 Q3 2024
Leading productivity and sustainability partner

Innovations, acquisitions, and partnerships strengthen Epiroc’s position as a leading global productivity and
sustainability partner. Below are some highlights from the quarter.

Acquisitions – Creating options for the future

Two acquisitions were completed in the quarter. See note 2.
• ASI Mining provides mining automation systems, incl. fully
autonomous solutions. Its solutions are OEM agnostic, meaning
they work regardless of machine brand and fit well for mixed fleets.
During 2018, Epiroc acquired 34% of the shares and on July 3,
2024, the remaining 66% outstanding shares were acquired.
• ACB+ manufactures attachments and quick couplers used on
excavators for construction and scrap recycling/deconstruction,
and strengthens Epiroc’s offering within Attachments. The
acquisition was completed September 4.

Minetruck MT66 S eDrive

The Minetruck MT66 S eDrive, launched during MINExpo in Las
Vegas in September, is the first large-capacity mine truck with both
an electric drivetrain and a powerful diesel engine (hybrid). It
combines the cost-effectiveness of a traditional mine truck with the
productivity of an electric one, without requiring change to a mine’s
infrastructure. Customers enjoy 15% boost in productivity, 11% faster
ramp speed and 7% fuel reduction compared to previous versions.

Large order for underground mining equipment, including

battery-electric vehicles
Epiroc won a large order, MSEK 350, for underground mining
equipment, including battery-electric vehicles, from Eurasian
Resources Group (ERG) in Kazakhstan. Several of the machines will
be operated driverless (tele-remotely), and all of the equipment will
be supplied with a collision avoidance system.

A breath of fresh air

While battery-electric equipment reduces the ventilation needs in an
underground mine, sufficient ventilation for people to work in the
mine is still needed. With Epiroc’s Ventilation on Demand technology,
customers can significantly reduce energy consumption.

Epiroc AB Interim Report January – September 2024 8 (28)

 Q3 2024
Equipment & Service

Equipment & Service provides rock drilling equipment, equipment for rock excavation, rock reinforcement, loading
and haulage, ventilation systems, drilling equipment for exploration, water and energy, exploration tools and
solutions, as well as related spare parts and service for the mining and construction industries. The segment also
provides solutions for automation, digitalization and electrification.

Financial overview
Orders received 2024 2023
MSEK Q3 Q3 Δ,%
12 388
11 311 11 551 11 830 Orders received 11 830 11 311 5
11 025
Revenues 11 875 11 729 1
EBITA 3 468 3 105 12
EBITA margin, % 29.2 26.5
Adj. operating profit, EBIT 2 715 2 861 -5
Adj. operating margin, EBIT, % 22.9 24.4
Operating profit, EBIT 2 923 2 868 2
Q323 Q423 Q124 Q224 Q324 Operating margin, EBIT, % 24.6 24.5
Orders received, MSEK
Orders received
Orders received increased 5% to MSEK 11 830 (11 311). The organic
increase was 9% while currency impacted negatively with -4%.
Revenues and book-to-bill
12 558 12 516 Compared to the previous year, orders received in local currency, including
11 729 11 875
11 212
acquisitions, increased in South America, Asia/Australia and Europe, while it
decreased in Africa/Middle East and North America. The strongest
development was in South America, supported by large equipment orders.
96 98 99 100
92 For equipment, orders received amounted to MSEK 5 170 (4 739),
corresponding to an organic increase of 11%. The large orders, i.e. orders
above MSEK 100, totaled MSEK 1 400 (1 000). The share of orders from
Q323 Q423 Q124 Q224 Q324
Revenues, MSEK
equipment was 44% (42).
Book-to-bill, %
For service, orders received increased 1% to MSEK 6 660 (6 572). The
organic growth was 6% and reflected a continued high activity level and a
good demand for digital solutions, including mixed-fleet automation solutions,
Revenue split as well as high demand for mid-life upgrades. The share of orders from
service was 56% (58).

Sequentially, orders received decreased -2% organically for the segment.

58 53 58 56 56
Revenues
Revenues amounted to MSEK 11 875 (11 729), corresponding to an organic
growth of 5%. Currency impacted negatively with -4%. Equipment revenues
42 47 42 44 44
increased 8% organically, while service revenues increased 3% organically.
The share of revenues from service was 56% (58). The book-to-bill ratio was
Q323 Q423 Q124 Q224 Q324
100% (96).
Equipment, % Service, %

Epiroc AB Interim Report January – September 2024 9 (28)

 Q3 2024
Equipment & Service

Equipment & Service Equipment Service

Sales Bridge Orders received Revenues Orders received Revenues Orders received Revenues
MSEK,Δ,% MSEK,Δ,% MSEK,Δ,% MSEK,Δ,% MSEK,Δ,% MSEK,Δ,%
Q3 2023 11 311 11 729 4 739 4 870 6 572 6 859
Organic 9 5 11 8 6 3
Currency -4 -4 -4 -4 -4 -4
Structure/other 0 0 2 2 -1 -1
Total 5 1 9 6 1 -2
Q3 2024 11 830 11 875 5 170 5 178 6 660 6 697

Operating profit and margin

Operating profit and margin Operating profit, EBIT, increased 2% to MSEK 2 923 (2 868). Items
25.6
affecting comparability amounted to MSEK 208 (7), including a positive
24.5 24.6
22.3 22.1 revaluation effect of the shares held prior to the acquisition of ASI Mining
3 211 and impairment of acquisition-related intangible assets. See page 21. The
2 868 2 763
2 503 2 923 operating margin, EBIT, was 24.6% (24.5).

The adjusted operating margin, excluding items affecting comparability,

was 22.9% (24.4). The negative organic impact is mainly explained by the
higher proportion of equipment invoiced, as well as negative mix effects
Q323 Q423 Q124 Q224 Q324
within service. Cost measures initiated earlier this year yielded positive
Operating profit, MSEK
results in the quarter, but not enough to compensate for the mix effects.
Operating margin, %
Currency contributed positively to the margin. There was no margin
impact from acquisitions.
Adjusted operating profit and Profit bridge Operating profit
margin
MSEK,Δ Margin,Δ,pp
24.4 Q3 2023 2 868 24.5
23.3 22.3 23.2 22.9
Organic -137 -2.4
Currency -18 0.8
2 861 2 931 2 905
2 715 Structure/other
2 503 210 1.7
Total 55 0.1
Q3 2024 2 923 24.6

Acquisitions
Q323 Q423 Q124 Q224 Q324
In the quarter, the acquisition of the remaining shares (66%) of ASI
Adj. operating profit, MSEK
Mining was completed, leading to a positive revaluation effect of the
Adj. operating margin, %
shares held prior to the acquisition. See note 2.

Epiroc AB Interim Report January – September 2024 10 (28)

 Q3 2024
Tools & Attachments

Tools & Attachments provides rock drilling tools, ground engaging tools and hydraulic attachments that are
attached to machines used mainly for drilling, deconstruction and recycling as well as rock excavation. It also
provides related service, spare parts and digital solutions, and serves the mining and construction industries.

Financial overview
Orders received 2024 2023
3 947
3 656 MSEK Q3 Q3 Δ,%
3 122 Orders received 3 656 2 924 25
2 924 2 827
Revenues 3 809 3 195 19
EBITA 505 516 -2
EBITA margin, % 13.3 16.2
Adj. operating profit, EBIT 429 481 -11
Adj. operating margin, EBIT, % 11.3 15.1
Operating profit, EBIT 429 481 -11
Q323 Q423 Q124 Q224 Q324 Operating margin, EBIT, % 11.3 15.1
Orders received, MSEK
Orders received
Orders received increased 25% to MSEK 3 656 (2 924), driven by
acquisitions. The organic development was flat. It was supported by the
Revenues and book-to-bill
3 991 demand for ground engaging tools from mining customers, whereas the
3 809
demand from construction customers remained weak, impacting mainly
3 195
2 985 2 949 Attachments, but also Tools to some extent. Structure (acquisitions)
106 impacted the growth positively with 28%, whereas currency impacted
95 99 96
92 negatively with -3%.

Compared to the previous year, orders received in local currency,

including acquisitions, increased in North America, Europe,
Q323 Q423 Q124 Q224 Q324 Asia/Australia and Africa/Middle East, while it decreased in South
Revenues, MSEK America. The growth in Asia/Australia was driven by the demand for
Book-to-bill, %
ground engaging tools.

Sequentially, orders received decreased -6% organically for the

segment.

Revenues
Revenues increased 19% to MSEK 3 809 (3 195), corresponding to an
organic decrease of -5%. Acquisitions contributed with 27% while
currency impacted revenues negatively with -3%. The book-to-bill ratio
was 96% (92).

Sales Bridge Orders received Revenues

MSEK,Δ,% MSEK,Δ,%
Q3 2023 2 924 3 195
Organic 0 -5
Currency -3 -3
Structure/other 28 27
Total 25 19
Q3 2024 3 656 3 809

Epiroc AB Interim Report January – September 2024 11 (28)

 Q3 2024
Tools & Attachments

Operating profit and margin

Operating profit and margin Operating profit, EBIT, amounted to MSEK 429 (481) and the operating
15.1 margin, EBIT, was 11.3% (15.1).

11.4 11.3 The adjusted operating margin was 11.3% (15.1). Acquisitions impacted
481
8.1
7.1
the margin negatively, while the organic contribution was positive. The
429
dilution from acquisitions was -3.9 percentage points. Actions to improve
335
243
283 efficiency are ongoing, including the consolidation of manufacturing sites
in the United States.
Q323 Q423 Q124 Q224 Q324
Profit bridge Operating profit
Operating profit, MSEK
MSEK,Δ Margin,Δ,pp
Operating margin, %
Q3 2023 481 15.1
Organic -6 0.6
Adjusted operating profit and Currency -33 -0.6
margin
Structure/other -13 -3.8
15.6
Total -52 -3.8
15.1
13.4 Q3 2024 429 11.3
11.2 11.3

481
Acquisitions
460 448
401 429
In the quarter, Epiroc completed the acquisition of ACB+. See note 2.

Q323 Q423 Q124 Q224 Q324

Adj. operating profit, MSEK

Adj. operating margin, %

Epiroc AB Interim Report January – September 2024 12 (28)

 Q3 2024
Sustainability: People & Planet

Employees and proportion of Employees

women
19 081
Compared to the third quarter 2023, the number of employees increased
18 146 18 211 18 157 18 908
to 18 908 (18 146). External workforce decreased to 1 592 (1 795). For
comparable units, the total workforce decreased by -802 compared to the
23.4 23.4 23.5 23.6 24.0 previous year and by -450 sequentially, as part of efficiency measures
19.2 19.6 taken. The largest reduction was within service and manufacturing.
18.8 19.0 19.0

The proportion of women employees and women managers increased to

Q323 Q423 Q124 Q224 Q324
19.6% (18.8) and 24.0% (23.4), respectively.
Employees, number, period end
Women employees, % India's first all-women mine rescue team triumphs on global stage
Women managers, %
In the XIII International Mine Rescue Competition in Colombia, organized
by the National Mining Agency, history was made. 26 elite teams from
across the world joined the competition, and among them, Hindustan Zinc
Limited's first-ever all-women underground mine rescue team. In this
team, Alka Chindaliya, a service engineer from Epiroc India, joined, and
the team secured an extraordinary 2nd place. These women have not
only made history, but they have also set the stage for an even more
inclusive and diverse future in mining.

Safety and health

The total recordable injury frequency rate (TRIFR) per one million
working hours the last 12 months decreased to 4.4 (5.1). Actions are
continuously taken to reduce injuries. The sick leave increased somewhat
to 2.2% (2.1).
Sick leave and TRIFR
CO2e emissions from operations
5.1 5.1 The CO2e emissions from operations for comparable units* the last 12
4.6 4.7
4.4
months decreased -24% to 16 295 (21 531) tonnes. The improvement is
driven by higher share of renewable energy purchased and installation of
2.1 2.1 2.2 2.2 2.2 solar panels on own facilities.

* Comparable units are production companies, distribution centers and our largest customer
centers 2022.
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CO2e emissions from transport
Sick leave %, 12 months
TRIFR, 12 months
The CO2e emissions from transport for comparable units* the last 12
months increased 18% to 106 070 (89 881) tonnes.

CO₂e emissions * Comparable units are production companies and distribution centers in 2022.

Silver medal in EcoVadis sustainability rating

21.5
18.9 With 89% target fulfilment in EcoVadis’ sustainability classification, Epiroc
17.3 16.3
15.7 received a silver medal. This performance is well above the industry
93.3 97.0 102.3 106.1 average, and Epiroc is among the top 11% of companies.
89.9

Q323 Q423 Q124 Q224 Q324

CO₂e operations, '000 tonnes, 12 months

Transport CO₂e, '000 tonnes, 12 months

Epiroc AB Interim Report January – September 2024 13 (28)

 Q3 2024
January – September in summary

The orders received the first nine months increased 3% to MSEK 46 031
Orders received, Jan-Sep
(44 511), corresponding to an organic increase of 2%. Revenues
44 511 46 031 increased 4% to MSEK 46 353 (44 775), of which 2% organically.
39 517
34 005 Sales Bridge Orders received Revenues
27 250
MSEK,Δ,% MSEK,Δ,%
Jan-Sep 2023 44 511 44 775
Organic 2 2
Currency -3 -3
2020 2021 2022 2023 2024 Structure/other 4 5
Orders received, MSEK, Jan-Sep Total 3 4
Jan-Sep 2024 46 031 46 353

Revenues and book-to-bill, Jan-Sep Operating profit, EBIT, was MSEK 8 958 (9 834), including items affecting
comparability of MSEK -261 (-54). See page 21. The operating margin,
44 775 46 353
EBIT, was 19.3% (22.0), negatively impacted by increased cost, mix, and
35 758
dilution from acquisitions, while currency impacted positively.
28 472
26 316

119
The adjusted operating margin was 19.9% (22.1). Efficiency measures
104 111
99 99 have been carried out, and for comparable units, the workforce has been
reduced by 1 000 year-to-date.

2020 2021 2022 2023 2024 Profit bridge Operating profit

Revenues, MSEK, Jan-Sep MSEK,Δ Margin,Δ,pp
Book-to-bill, %, Jan-Sep
Jan-Sep 2023 9 834 22.0
Organic -1 123 -2.7
Operating profit and margin, Jan-Sep Currency 389 1.4
23.6 Structure/other -142 -1.4
23.0 22.1
20.5 19.9 Total -876 -2.7
22.5 22.1 22.0
Jan-Sep 2024 8 958 19.3
19.6 19.3
9 834 8 958
7 912 Profit before tax was MSEK 8 313 (9 321). Profit for the period totaled
6 401
5 170
MSEK 6 377 (7 190).

2020 2021 2022 2023 2024

Basic earnings per share were SEK 5.27 (5.94).
Operating profit, MSEK, Jan-Sep
Operating margin, %, Jan-Sep
Operating cash flow was MSEK 5 176 (3 776).
Adj. operating margin, %, Jan-Sep

Epiroc AB Interim Report January – September 2024 14 (28)

 Q3 2024
Other information

In the quarter

• 2024-07-03 – Epiroc completed acquisition of remaining share of autonomous solutions

provider ASI Mining.
• 2024-08-22 – Epiroc’s main community engagement initiative “Water for All” celebrated 40
years of changing lives.
• 2024-09-04 – Epiroc completed acquisition of French manufacturer of excavator attachments, ACB+.
• 2024-09-04 – Epiroc to expand rock drilling tools manufacturing facility and opens innovation center
in Hyderabad, India.
• 2024-09-09 – Epiroc won a large mining equipment order in Australia.
• 2024-09-24 – Epiroc hosted a Capital Markets Day (CMD) for institutional investors,
analysts, and financial media in Las Vegas, United States.

After the period end

• 2024-10-03 – Epiroc announced Nomination Committee for the Annual General Meeting 2025.
• 2024-10-07 – Epiroc diversified its financing with sustainability-linked NIB loan of MUSD 150
(MSEK 1 555).
• 2024-10-08 – Epiroc announced a large mining equipment order in Australia of MSEK 335
(reported in Q3).
• 2024-10-08 – Epiroc announced a large mining equipment order in Kazakhstan of MSEK 350
(reported in Q3).

Key risks

Epiroc is exposed to strategic, operational, legal and compliance as well as financial risks. The key risks include
climate change and environment, competition, geopolitical and regulatory, market, corruption and fraud, cyber
security and information risk, employees, product development, production, reputation, safety and health, and
supply chain. Further information on risks, opportunities and risk management can be found in Epiroc’s Annual
and Sustainability Report 2023.

Signature of the President

The President and CEO of Epiroc AB declares that the interim report gives a fair view of the business
development, financial position and result of operation of the Parent Company and the consolidated Group,
and describes significant risks and uncertainties that the Parent Company and its subsidiaries are facing.

Nacka, Sweden, October 25, 2024

Helena Hedblom
President and CEO, Epiroc AB

The company’s auditors have not reviewed this report.

Epiroc AB Interim Report January – September 2024 15 (28)

 Q3 2024
Financial Statements

Condensed consolidated income statement

2024 2023 2024 2023

MSEK Q3 Q3 Jan-Sep Jan-Sep
Revenues 15 699 14 997 46 353 44 775
Cost of sales -9 874 -9 218 -29 397 -27 377
Gross profit 5 825 5 779 16 956 17 398
Administrative expenses -1 069 -974 -3 430 -3 014
Marketing expenses -1 075 -1 001 -3 159 -2 939
Research and development expenses -771 -517 -1 769 -1 466
Other operating income and expenses 367 -27 360 -145
Operating profit 3 277 3 260 8 958 9 834
Net financial items -264 -331 -645 -513
Profit before tax 3 013 2 929 8 313 9 321
Income tax expense -690 -685 -1 936 -2 131
Profit for the period 2 323 2 244 6 377 7 190
Profit attributable to
- owners of the parent 2 318 2 235 6 368 7 170
- non-controlling interests 5 9 9 20
Basic earnings per share, SEK 1.92 1.85 5.27 5.94
Diluted earnings per share, SEK 1.92 1.85 5.27 5.94

Condensed consolidated statement of comprehensive income

2024 2023 2024 2023

MSEK Q3 Q3 Jan-Sep Jan-Sep
Profit for the period 2 323 2 244 6 377 7 190

Other comprehensive income

Items that will not be reclassified to profit or loss
Remeasurements of defined benefit pension plans 105 114 104 70
Income tax relating to items that will not be reclassified -22 -24 -25 -15

Total items that will not be reclassified to profit or loss 83 90 79 55

Items that may be reclassified subsequently to profit or loss

Translation differences on foreign operations -890 -421 459 408
Hedge of net investments in foreign operations 94 - 178 -
Cash flow hedges -106 -19 -293 -112
Income tax relating to items that may be reclassified 3 4 24 23

Total items that may be reclassified subsequently to profit or loss -899 -436 368 319

Other comprehensive income for the period, net of tax -816 -346 447 374

Total comprehensive income for the period 1 507 1 898 6 824 7 564
Total comprehensive income attributable to
- owners of the parent 1 506 1 900 6 804 7 548
- non-controlling interests 1 -2 20 16

Epiroc AB Interim Report January – September 2024 16 (28)

 Q3 2024
Condensed consolidated balance sheet

2024 2023 2023

Assets, MSEK Sep 30 Sep 30 Dec 31
Intangible assets 24 131 16 472 15 843
Rental equipment 1 602 1 597 1 582
Other property, plant and equipment 7 546 5 924 6 032
Investments in associated companies and joint ventures 27 59 49
Other financial assets and other receivables 2 226 2 118 1 649
Deferred tax assets 1 553 1 535 1 509
Total non-current assets 37 085 27 705 26 664
Inventories 20 202 20 031 18 747
Trade receivables 10 883 10 832 10 455
Other receivables 3 764 3 390 3 093
Current tax receivables 1 187 698 721
Financial assets 1 315 1 559 1 703
Cash and cash equivalents 7 129 6 330 6 401
Assets held for sale - 95 -
Total current assets 44 480 42 935 41 120
Total assets 81 565 70 640 67 784

Equity and liabilities, MSEK

Share capital 500 500 500
Retained earnings 38 725 36 141 36 322
Total equity attributable to owners of the parent 39 225 36 641 36 822
Non-controlling interest 405 502 388
Total equity 39 630 37 143 37 210
Interest-bearing liabilities 18 051 10 798 11 822
Post-employment benefits 134 144 251
Other liabilities and provisions 635 598 576
Deferred tax liabilities 1 500 953 922
Total non-current liabilities 20 320 12 493 13 571
Interest-bearing liabilities 4 470 3 096 2 153
Trade payables 5 314 6 210 5 902
Current tax liabilities 378 543 483
Other liabilities and provisions 11 453 11 155 8 465
Total current liabilities 21 615 21 004 17 003
Total equity and liabilities 81 565 70 640 67 784

Epiroc AB Interim Report January – September 2024 17 (28)

 Q3 2024
Condensed consolidated statement of changes in equity

Equity attributable to

owners of the non-controlling

MSEK parent interests Total equity
Opening balance, Jan 1, 2024 36 822 388 37 210
Total comprehensive income for the period 6 804 20 6 824
Dividend -4 590 -2 -4 592
Transactions with non-controlling interests 0 -1 -1
Acquisition and divestment of own shares 257 - 257
Share-based payments, equity settled -68 - -68
Closing balance, Sep 30, 2024 39 225 405 39 630

Opening balance, Jan 1, 2023 33 020 488 33 508

Total comprehensive income for the period 7 548 16 7 564
Dividend -4 102 -2 -4 104
Acquisition and divestment of own shares 254 - 254
Share-based payments, equity settled -79 - -79
Closing balance, Sep 30, 2023 36 641 502 37 143

Opening balance, Jan 1, 2023 33 020 488 33 508

Total comprehensive income for the period 7 706 10 7 716
Dividend -4 103 -3 -4 106
Transactions with non-controlling interests 1 -107 -106
Acquisition and divestment of own shares 279 - 279
Share-based payments, equity settled -81 - -81
Closing balance, Dec 31, 2023 36 822 388 37 210

Epiroc AB Interim Report January – September 2024 18 (28)

 Q3 2024
Condensed consolidated statement of cash flows

2024 2023 2024 2023

MSEK Q3 Q3 Jan-Sep Jan-Sep
Cash flow from operating activities
Operating profit 3 277 3 260 8 958 9 834
Adjustments for depreciation, amortization and impairment 1 168 701 2 629 1 980
Adjustments for capital gain/loss and other non-cash items -480 279 -674 -201
Net financial items received/paid -109 -472 -10 -619
Taxes paid -773 -849 -2 527 -2 849
Pension funding and payment of pension to employees -19 -16 -53 -52
Change in working capital -573 -840 -1 501 -3 319
Increase in rental equipment -131 -236 -674 -812
Sale of rental equipment 141 90 368 388
Net cash flow from operating activities 2 501 1 917 6 516 4 350

Cash flow from investing activities

Investments in other property, plant and equipment -201 -222 -616 -675
Sale of other property, plant and equipment - 9 15 35
Investments in intangible assets -343 -106 -709 -431
Sale of intangible assets - - - 3
Acquisition of subsidiaries and associated companies -1 080 -7 -9 374 -3 324
Proceeds to/from other financial assets, net -106 -45 -260 -492
Net cash flow from investing activities -1 730 -371 -10 944 -4 884

Cash flow from financing activities

Dividend - - -2 295 -2 051
Dividend to non-controlling interest -1 -1 -2 -2
Sale/Repurchase of own shares 26 45 257 254
Change in interest-bearing liabilities -141 -149 7 190 1 354
Net cash flow from financing activities -116 -105 5 150 -445

Net cash flow for the period 655 1 441 722 -979
Cash and cash equivalents, beginning of the period 6 598 4 949 6 401 7 326
Exchange differences in cash and cash equivalents -124 -60 6 -17
Cash and cash equivalents, end of the period 7 129 6 330 7 129 6 330

2024 2023 2024 2023

Operating cash flow* Q3 Q3 Jan-Sep Jan-Sep
Net cash flow from operating activities 2 501 1 917 6 516 4 350
Net cash flow from investing activities -1 730 -371 -10 944 -4 884
Acquisitions and divestments, net 1 080 7 9 374 3 324
Other adjustments -62 336 230 986
Operating cash flow 1 789 1 889 5 176 3 776

* Operating cash flow is not defined according to IFRS.

Epiroc AB Interim Report January – September 2024 19 (28)

 Q3 2024
Condensed parent company income statement

2024 2023 2024 2023

MSEK Q3 Q3 Jan-Sep Jan-Sep
Administrative expenses -52 -74 -203 -220
Marketing expenses -7 -5 -23 -21
Other operating income and expenses 42 39 138 115
Operating profit/loss -17 -40 -88 -126
Financial income and expenses -10 -16 -46 -60
Profit/loss before tax -27 -56 -134 -186
Income tax 8 17 38 46
Profit/loss for the period -19 -39 -96 -140

Condensed parent company balance sheet

2024 2023 2023

MSEK Sep 30 Sep 30 Dec 31
Total non-current assets 56 872 55 331 56 334
Total current assets 9 858 3 543 5 013
Total assets 66 730 58 874 61 347

Total restricted equity 503 503 503

Total non-restricted equity 44 928 44 819 49 425
Total equity 45 431 45 322 49 928

Total provisions 171 212 204

Total non-current liabilities 15 569 8 984 9 982
Total current liabilities 5 559 4 356 1 233
Total equity and liabilities 66 730 58 874 61 347

Epiroc AB Interim Report January – September 2024 20 (28)

 Q3 2024
Condensed segments quarterly

Epiroc has two reporting segments; Equipment & Service and Tools & Attachments. In addition, Epiroc reports
common Group functions, including Financial Solutions, Group Management, support functions and eliminations.

As from January 1, 2024, Epiroc will not include orders on hand (order book) in orders received when acquiring
companies. The previously reported orders received in the first quarter 2023 of MSEK 15 148 included orders on
hand from acquired companies of MSEK 433. Figures in this report have been restated, unless otherwise stated.
The table below has not been restated.

2023 2023 2024

Orders received, MSEK Q1 Q2 Q3 Q4 FY Q1 Q2 Q3
Equipment & Service 11 570 12 276 11 311 11 551 46 708 11 025 12 388 11 830
Equipment 5 151 5 404 4 739 4 924 20 218 4 404 5 406 5 170
Service 6 419 6 872 6 572 6 627 26 490 6 621 6 982 6 660
Tools & Attachments 3 535 3 180 2 924 2 827 12 466 3 122 3 947 3 656
Common group functions 43 -20 125 10 158 15 14 34
Epiroc Group 15 148 15 436 14 360 14 388 59 332 14 162 16 349 15 520

Revenues, MSEK
Equipment & Service 10 733 12 510 11 729 12 558 47 530 11 212 12 516 11 875
Equipment 4 120 5 489 4 870 5 931 20 410 4 708 5 547 5 178
Service 6 613 7 021 6 859 6 627 27 120 6 504 6 969 6 697
Tools & Attachments 3 125 3 418 3 195 2 985 12 723 2 949 3 991 3 809
Common group functions 10 -18 73 25 90 -18 4 15
Epiroc Group 13 868 15 910 14 997 15 568 60 343 14 143 16 511 15 699

Operating profit, EBIT, and profit before tax, MSEK

Equipment & Service 2 718 2 995 2 868 3 211 11 792 2 503 2 763 2 923
Tools & Attachments 532 524 481 243 1 780 335 283 429
Common group functions -89 -106 -89 -105 -389 -78 -125 -75
Epiroc Group 3 161 3 413 3 260 3 349 13 183 2 760 2 921 3 277
Net financial items -197 15 -331 -435 -948 -116 -265 -264
Profit before tax 2 964 3 428 2 929 2 914 12 235 2 644 2 656 3 013

Operating margin, EBIT, %

Equipment & Service 25.3 23.9 24.5 25.6 24.8 22.3 22.1 24.6
Tools & Attachments 17.0 15.3 15.1 8.1 14.0 11.4 7.1 11.3
Epiroc Group 22.8 21.5 21.7 21.5 21.8 19.5 17.7 20.9

Items affecting comparability, MSEK*

Change in provision for LTIP** 26 16 19 2 63 2 18 17
Items in Equipment & Service - - -7 -280 -287 - 142 -208
Items in Tools & Attachments - - - 158 158 125 165 -
Epiroc Group 26 16 12 -120 -66 127 325 -191

Adj. margin for items affecting comparability, EBIT, %

Adjusted operating margin, E&S, % 25.3 23.9 24.4 23.3 24.2 22.3 23.2 22.9
Adjusted operating margin, T&A, % 17.0 15.3 15.1 13.4 15.2 15.6 11.2 11.3
Adjusted operating margin, % 23.0 21.6 21.8 20.7 21.7 20.4 19.7 19.7

* Items affecting comparability are shown with reverse sign. I.e. a positive number indicates a cost and vice versa.
- In Q3, Equipment & Service included items affecting comparability of net MSEK 208 (positive revaluation effect of the shares held prior to the
acquisition of ASI Mining MSEK +554 and impairments of intangible assets related to acquisitions of MSEK -346).
- In Q2, Equipment & Service included items affecting comparability of MSEK -142 (earn-out for the acquisition of RCT of MSEK -73 and
restructuring costs of MSEK -69). Tools & Attachments included items affecting comparability of MSEK -165 (transaction and integration costs for
acquisitions of MSEK -130 and restructuring costs of MSEK -35).
- In Q1 2024, Tools & Attachments included items affecting comparability of MSEK -125, which was transaction costs related to acquisitions.
** Change in provision for long-term incentive programs is reported as administrative expenses.

Epiroc AB Interim Report January – September 2024 21 (28)

 Q3 2024
Geographical distribution of orders received

As from January 1, 2024, Epiroc will not include orders on hand (order book) in orders received when acquiring
companies. The previously reported orders received in the first quarter 2023 of MSEK 15 148 included orders on
hand from acquired companies of MSEK 433. Figures in this report have been restated, unless otherwise stated.
The tables below have not been restated.

MSEK 2023 2023 2024 Δ,%

% currency adjusted Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Y-o-Y
Epiroc Group 15 148 15 436 14 360 14 388 59 332 14 162 16 349 15 520 14%
North America 3 608 3 651 3 825 3 676 14 760 3 611 4 734 4 087 13%
South America 1 803 2 257 1 937 2 436 8 433 2 023 1 690 2 147 21%
Europe 2 304 2 120 1 589 1 761 7 774 2 191 2 327 1 836 23%
Africa/Middle East 2 561 2 885 2 919 2 020 10 385 2 094 2 635 2 597 -6%
Asia/Australia 4 872 4 523 4 090 4 495 17 980 4 243 4 963 4 853 21%

Equipment & Service 11 570 12 276 11 311 11 551 46 708 11 025 12 388 11 830 10%
North America 2 511 2 735 2 769 2 767 10 782 2 608 2 943 2 506 -3%
South America 1 427 1 862 1 664 2 242 7 195 1 747 1 494 1 914 26%
Europe 1 613 1 599 1 108 1 199 5 519 1 525 1 619 1 249 21%
Africa/Middle East 2 015 2 359 2 342 1 498 8 214 1 532 2 100 2 028 -8%
Asia/Australia 4 004 3 721 3 428 3 845 14 998 3 613 4 232 4 133 23%

Tools & Attachments 3 535 3 180 2 924 2 827 12 466 3 122 3 947 3 656 30%
North America 1 065 929 945 899 3 838 1 002 1 788 1 558 72%
South America 376 396 272 194 1 238 276 196 233 -8%
Europe 680 535 472 564 2 251 650 699 575 27%
Africa/Middle East 548 524 577 523 2 172 561 536 569 2%
Asia/Australia 866 796 658 647 2 967 633 728 721 12%

Geographical distribution of revenues

MSEK 2023 2023 2024 Δ,%
% currency adjusted Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Y-o-Y
Epiroc Group 13 868 15 910 14 997 15 568 60 343 14 143 16 511 15 699 10%
North America 3 759 3 954 3 817 3 898 15 428 3 927 4 860 4 348 20%
South America 1 985 2 116 2 194 2 176 8 471 1 737 2 122 1 809 -10%
Europe 2 155 2 426 1 850 2 195 8 626 2 022 2 249 2 086 18%
Africa/Middle East 2 048 2 786 2 611 2 455 9 900 2 254 2 725 2 759 12%
Asia/Australia 3 921 4 628 4 525 4 844 17 918 4 203 4 555 4 697 6%

Equipment & Service 10 733 12 510 11 729 12 558 47 530 11 212 12 516 11 875 7%
North America 2 706 2 960 2 803 2 958 11 427 2 995 3 006 2 694 2%
South America 1 716 1 772 1 798 1 915 7 201 1 473 1 898 1 588 -3%
Europe 1 463 1 713 1 299 1 616 6 091 1 489 1 550 1 482 21%
Africa/Middle East 1 545 2 219 2 013 1 935 7 712 1 718 2 199 2 146 14%
Asia/Australia 3 303 3 846 3 816 4 134 15 099 3 537 3 863 3 965 6%

Tools & Attachments 3 125 3 418 3 195 2 985 12 723 2 949 3 991 3 809 23%
North America 1 056 1 028 956 928 3 968 924 1 847 1 650 79%
South America 269 344 396 261 1 270 264 223 221 -40%
Europe 681 701 539 571 2 492 557 702 593 14%
Africa/Middle East 504 566 597 521 2 188 536 526 613 5%
Asia/Australia 615 779 707 704 2 805 668 693 732 6%

Epiroc AB Interim Report January – September 2024 22 (28)

 Q3 2024
Group notes

Note 1: Accounting principles

The interim report is prepared in accordance with IAS 34 Interim financial reporting. The accounting principles
applied in the preparation of this interim report apply to all periods and comply with the accounting principles
presented in the Annual and Sustainability Report 2023. No new and revised standards and interpretations
effective from January 1, 2024, are considered to have any material impact on the financial statements.

Accounting principles of the Parent Company

The interim financial statements of Epiroc AB have been prepared in accordance with the Swedish Annual
Accounts Act and the recommendation RFR 2, Accounting for Legal Entities, issued by the Swedish Financial
Reporting Board. The accounting principles applied in the preparation of this interim report apply to all periods
and comply with the accounting principles presented in the Annual and Sustainability Report 2023, note A1 in the
Parent Company accounts. No new and revised standards and interpretations effective from January 1, 2024, are
considered to have any material impact on the Parent Company´s financial statements.

Note 2: Acquisitions and divestments

Date Completed acquisitions Divestments Segment Revenues Employees

2024 Sep 4 ACB+ T&A 325 140
2024 Jul 3 ASI Mining E&S 300 49
2024 Jun 17 Yieldpoint Inc. T&A - 10
2024 May 3 Weco Proprietary Limited E&S 90 80
2024 Apr 1 Stanley Infrastructure T&A 4 725 1 380
2023 Apr 3 AARD Mining Equipment E&S 650 200
2023 Feb 2 CR T&A 1 700 400
2023 Feb 2 Mernok Elektronik (Pty) Ltd E&S 50 45
The table presents annual revenues in MSEK and employees at the time of the acquisition.

Acquisitions completed in 2024

• Stanley Infrastructure designs, manufactures, and sells attachments, typically used on excavators, and
handheld hydraulic and battery-powered tools for applications in infrastructure, construction, scrap recycling,
deconstruction, and railroad infrastructure. Its strong and innovative brands include LaBounty, Paladin,
Pengo and Dubuis. The acquisition strengthens Epiroc’s presence especially in the United States.
Stanley Infrastructure had revenues in 2023 of MUSD 447 (MSEK 4 725), an adjusted EBITA margin of 16%
and 1 380 employees. The acquisition was announced on December 15, 2023, and was completed on April
1, 2024. Revenues from the acquisition are reported in “Tools & Attachments”. The purchase price
(Enterprise Value) amounted to MUSD 760 (MSEK 8 200) and is mainly allocated to intangible assets and
goodwill. The acquisition was an all-cash transaction. The acquisition will dilute the Group’s and the Tools &
Attachments’ full year 2024 adjusted EBITA margins with approximately 0.6-0.8 and 1.6-1.8 percentage
points respectively. Integration and transaction costs amounted to MSEK -255 in the first nine months 2024
(booked in Q1 and Q2).

• Weco Proprietary Limited manufactures precision-engineered rock drilling parts and provides related
repairs and services in the Southern African region. The company has approximately MSEK 90 in annual
revenues and 80 employees. The acquisition was announced on December 12, 2023, and was completed on
May 3, 2024. Revenues from the acquisition are reported in “Service”.

Epiroc AB Interim Report January – September 2024 23 (28)

 Q3 2024
• Yieldpoint designs, manufactures and sells advanced digital geotechnical instruments, and has customers
worldwide. The products, which include ground movement sensors and telemetry solutions, are primarily
used for underground mining, tunnelling, and civil construction applications. The company has 10 employees.
The acquisition was announced on May 28 and was completed on June 17. Revenues from the acquisition
are reported in “Tools & Attachments”.

• ASI Mining (new product name: LinkOA) provides mining automation systems, such as remote control,
teleoperation, and fully autonomous solutions. Its solutions are OEM agnostic, meaning they work regardless
of machine brand and fit well for mixed fleets. The company has approximately MSEK 300 in annual
revenues. Epiroc already owned 34% of ASI Mining, which it acquired in 2018. The acquisition of the
remaining 66% of the company was completed on July 3. Revenues from the acquisition are reported in
“Equipment”. The transaction has led to a positive revaluation effect of the ownership held prior to the
acquisition in the segment Equipment & Service. The gain has been reported as an item affecting
comparability of MSEK +554 in the third quarter 2024.

• ACB+ manufactures attachments and quick couplers used on excavators for construction as well as related
areas such as scrap recycling and deconstruction. Quick couplers are used with carriers, typically
excavators, to enable safe and efficient change of attachments, such as buckets and hydraulic tools. The
company is market leading in France and has customers throughout Europe. The company has
approximately MSEK 325 in annual revenues and 140 employees. Revenues from the acquisition are
reported in “Tools & Attachments”.

Financial effect of acquisitions as per September 30, 2024

The completed acquisitions have had a total cash flow effect of MSEK 9 025. According to the preliminary
purchase price allocation, intangible assets amount to MSEK 3 063 and goodwill amounts to MSEK
5 786. The acquired entities during 2024 have contributed to revenues with MSEK 1 887 and operating profit
with MSEK 41 since the respective dates of acquisition.

Fair value of acquired assets and liabilities 2024, MSEK whereof Stanley
Net assets identified including tax 1 276 1 407
Intangible assets 3 063 2 559
Goodwill 5 786 4 014
Total consideration 10 125 7 980
Net cash outflow 9 025 7 944
- related to to prior years acquisitions 349

Epiroc AB Interim Report January – September 2024 24 (28)

 Q3 2024
Note 3: Fair value of derivatives, earn-out and borrowings

The carrying value and fair value of the Group’s outstanding derivatives, earn-out and borrowings are shown in
the tables below. The fair values of bonds are based on level 1, the fair values of derivatives and other loans are
based on level 2 and the fair values of earn-out are based on level 3 in the fair value hierarchy. Compared to
2023, no transfers have been made between different levels in the fair value hierarchy and no significant changes
have been made to valuation techniques, inputs or assumptions.

Outstanding derivatives recorded to fair value 2024 2023

MSEK Sep 30 Dec 31
Non-current assets and liabilities
Assets 377 4
Liabilities 6 5
Current assets and liabilities
Assets 119 512
Liabilities 250 63

Carrying value and fair value 2024 2024 2023 2023

MSEK Sep 30 Sep 30 Dec 31 Dec 31
Carrying value Fair value Carrying value Fair value
Earn-out 642 642 176 176
Bonds 11 578 12 071 5 992 6 123
Other loans 10 942 11 091 7 983 8 151
Total 23 162 23 804 14 151 14 450

Note 4: Share buybacks and divestments

The Board of Directors has been authorized to purchase, transfer and sell Epiroc shares in relation to Epiroc’s
share-based long-term incentive programs.

A share B share Total

Total number of shares 823 765 854 389 972 849 1 213 738 703
Whereof shares held by Epiroc 5 520 471

Change in the quarter

Purchased (+) / divested (-) shares, number -129 726
Value of purchased (+) / divested (-) shares, SEK -25 746 682

Note 5: Transactions with related parties

In the quarter, no material changes have taken place, and no significant related-party transactions were made.

Epiroc AB Interim Report January – September 2024 25 (28)

 Q3 2024
Key figures

2024 2023 2024 2023 2023

Q3 Q3 Jan-Sep Jan-Sep FY
Growth
*Orders received, MSEK 15 520 14 360 46 031 44 511 58 899
Revenues, MSEK 15 699 14 997 46 353 44 775 60 343
*Total revenue growth, % 5 17 4 25 21
*Organic revenue growth, % 3 7 2 11 9

Profitability
*Gross margin, % 37.1 38.5 36.6 38.9 38.4
*EBITDA margin, % 28.3 26.4 25.0 26.4 26.3
*EBITA margin, % 24.8 23.6 21.7 23.5 23.3
*Adjusted operating margin, EBIT, % 19.7 21.8 19.9 22.1 21.7
*Operating margin, EBIT, % 20.9 21.7 19.3 22.0 21.8
*Profit margin, % 19.2 19.5 17.9 20.8 20.3

Capital efficiency
*Return on capital employed, % 21.5 27.8 21.5 27.0
*Net debt / EBITDA, ratio 0.97 0.49 1.0 0.49
*Net debt / equity, %, period end 38.2 20.6 38.2 21.0
*Average net working capital / revenues, % 38.0 34.8 38.0 35.2

Cash generation
*Operating cash flow, MSEK 1 789 1 889 5 176 3 776 6 211
*Cash conversion rate, %, 12 months 96 55 96 66

Equity information
Basic number of shares outstanding, millions 1 208 1 207 1 208 1 206 1 206
Diluted number of shares outstanding, millions 1 209 1 208 1 208 1 207 1 207
*Equity per share, SEK, period end 32.8 30.8 32.8 30.8
Basic earnings per share, SEK 1.92 1.85 5.27 5.94 7.82
*Return on equity, % 22.6 27.9 22.6 26.8
*Operating cash flow per share, SEK 1.48 1.57 4.29 3.13 5.15
Dividend per share, SEK 3.80
Payout ratio, % 49

People & Planet

Employees, period end 18 908 18 146 18 908 18 211
Women employees, %, period end 19.6 18.8 19.6 19.0
Women managers, %, period end 24.0 23.4 24.0 23.4
Total recordable injury frequency rate, TRIFR, 12 months 4.4 5.1 4.4 5.1
Sick leave, %, 12 months 2.2 2.1 2.2 2.1
CO2e emissions from operations, tonnes, 12 months 16 295 21 531 16 295 18 879
CO2e emissions from transport, tonnes, 12 months 106 070 89 881 106 070 93 258

Several key figures in this report are not defined according to IFRS. The alternative performance measures are
marked with a *. They provide complementary information aiming to help readers to analyze the company’s
operations and facilitate an evaluation of the performance. Since not all companies calculate financial perfor-
mance measures in the same manner, these are not always comparable with measures used by other compa-
nies. These financial performance measures should therefore not be regarded as a replacement for measures as
defined according to IFRS. For a list of financial definitions, non-IFRS measures and calculations, visit the Epiroc
Group website.

Epiroc AB Interim Report January – September 2024 26 (28)

 Q3 2024
Epiroc in brief

Epiroc is a global productivity partner for mining and construction customers, and accelerates the transformation
toward a sustainable society. With ground-breaking technology, Epiroc develops and provides innovative and safe
equipment, such as drill rigs, rock excavation and construction equipment and tools for surface and underground
applications. The company also offers world-class service and other aftermarket support as well as solutions for
automation, digitalization and electrification. Epiroc is based in Stockholm, Sweden, had revenues of more than
SEK 60 billion in 2023, and has around 19 000 passionate employees supporting and collaborating with
customers in around 150 countries.

Financial goals Our vision

• To achieve annual revenue growth of 8% over a Dare to think new.
business cycle and to grow faster than the
Our mission
market. Growth will be organic and supported by
Drive the productivity and sustainability transformation
selective acquisitions.
in our industry.
• To have an industry-best operating margin, with
strong resilience over the cycle. Our core values
• To improve capital efficiency and resilience. Innovation, Commitment and Collaboration.
Investments and acquisitions shall create value.
Strategy
• To have an efficient capital structure and the
By being in attractive niches and prioritizing inno-
flexibility to make selective acquisitions. The goal
vation, aftermarket and operational excellence, we
is to maintain an investment grade rating.
strive to achieve outperformance. Our success is rein-
• To provide long-term stable and rising dividends
forced by our strong company culture and our inte-
to its shareholders. The dividend should
grated approach to sustainability.
correspond to 50% of net profit over the cycle.
Our investment case
Sustainability ambition and KPIs
• We focus on attractive niches with
Epiroc has four prioritized areas within sustainability:
structural growth.
• We live by the highest ethical standards.
• We drive the productivity and sustainability
• We invest in safety and health.
transformation in our industry.
• We grow together with passionate people and
• We have a high proportion of recurring business.
courageous leaders.
• We have a well-proven business model.
• We use resources responsibly and efficiently.
• We create value for our stakeholders.
For each area there are several targets and key • Our success is based on sustainability and
performance indicators, including the long-term goals a strong corporate culture.
for 2030 that further advance the Group’s ambitions
See Epiroc’s Annual and Sustainability report for more
on e.g. climate change and diversity.
information.

About this report

Forward-looking statements Totals and roundings

Some statements in this report are forward looking, and the Totals quoted in tables and statements may not always be
actual outcomes could be materially different. In addition to the exact sum of the individual items because of rounding
the factors explicitly discussed, other factors could have a differences. The aim is that each line item should correspond
material effect on the actual outcomes. to its source, and rounding differences may therefore arise.

Language This information is information that Epiroc AB is obliged to

In the event of inconsistency or discrepancy between the make public pursuant to the EU Market Abuse Regulation.
English and the Swedish version of this publication, the The information was submitted for publication, through the
Swedish version shall prevail. agency of the contact persons on the next page, at 08:00
CEST on October 25, 2024.

Epiroc AB Interim Report January – September 2024 27 (28)

 Q1 2021

Further information Financial calendar

Analysts and investors Webcast & conference call

Karin Larsson At 10:00 CEST on October 25, Epiroc will host a
Vice President Investor Relations & Media telephone conference for investors, analysts and
E-mail: ir@epiroc.com media. The report will be presented by President
Tel: +46 10 755 0106 and CEO Helena Hedblom and CFO Håkan Folin.

Alexander Apell Webcast link and presentation material can be

IR Controller found here:
E-mail: ir@epiroc.com www.epirocgroup.com/en/investors/financial-
Tel: +46 10 755 0719 publications

Journalists and media

Ola Kinnander Upcoming investor events
Media Relations Manager • January 30, 2025: Q4 2024 results
E-mail: media@epiroc.com • April 29, 2025: Q1 2025 results
Tel: +46 70 347 2455 • May 8, 2025, Annual General Meeting in
Nacka at 4 PM
Epiroc AB (publ) • July 18, 2025: Q2 2025 results
Reg. No. 556041-2149 • October 29, 2025: Q3 2025 results
Box 4015
SE-131 04 Nacka, Sweden
Tel: +46 10 755 0000

www.epirocgroup.com/en/investors

Epiroc AB Interim Report January – December 2023 28 (28)