Capital Market Day November 25 2014

Peter WågströmCEO

2014-11-25 NCC AB 1

2014-11-25 NCC AB 2

January-September 2014 in brief

• Improved orders receivedSEK 42,910 M (42,617 )

• Order backlog on a high levelSEK 54,609 M (51,065)

• Net sales SEK 38,106 M (36,749 )

• Profit after financial itemsSEK 1,217 M (929 )

2014-11-25 NCC AB 3

NCC Construction UnitsIncreased orders received will have a positive effect on net sales

0

5 000

10 000

15 000

20 000

25 000

30 000

35 000

40 000

45 000

2010Q1

Q2 Q3 Q4 2011Q1

Q2 Q3 Q4 2012Q1

Q2 Q3 Q4 2013Q1

Q2 Q3 Q4 2014Q1

Q2 Q3

Order backlog Orders received, R12 Net sales, R12MSEK

2014-11-25 NCC AB 4

NCC Construction UnitsEBIT margin – more to do

0

1

2

3

4

5

2010Q1

Q2 Q3 Q4 2011Q1

Q2 Q3 Q4 2012Q1

Q2 Q3 Q4 2013Q1

Q2 Q3 Q4 2014Q1

Q2 Q3

EBIT %, R12

2014-11-25 NCC AB 5

NCC Roads Stable volumes

0

5 000

10 000

15 000

20 000

25 000

30 000

35 000

2010Q1

Q2 Q3 Q4 2011Q1

Q2 Q3 Q4 2012Q1

Q2 Q3 Q4 2013Q1

Q2 Q3 Q4 2014Q1

Q2 Q3

Stone materials AsphaltTTON, R12

2014-11-25 NCC AB 6

NCC HousingIncreased level units of recognized in profit

0

500

1 000

1 500

2 000

2 500

3 000

3 500

4 000

4 500

5 000

2012Q1

Q2 Q3 Q4 2013Q1

Q2 Q3 Q4 2014Q1

Q2 Q3

Units recognized in profit R12

2014-10-24 NCC AB 7

-500

50100150200250300350400450500

Q12012

Q2 Q3 Q4 Q12013

Q2 Q3 Q4 Q12014

Q2 Q3

0500

1 0001 5002 0002 5003 0003 500

Q12012

Q2 Q3 Q4 Q12013

Q2 Q3 Q4 Q12014

Q2 Q3

Net salesSEK M

SEK M Operating profit/loss

NCC Property DevelopmentSales and earnings linked to the project portfolio

2014-10-24 NCC AB 8

Increased portfolio – Sweden a larger partLeasable space, m2, in ongoing or completed projects not recognized in profit

0

50 000

100 000

150 000

200 000

250 000

300 000

Q12013

Q2 Q3 Q4 Q12014

Q2 Q3

Sweden

Norway

Denmark

Finland

14

No. of projects22

25

17

24

1617

2014-11-25 NCC AB 9

Market environment

2014-11-25 NCC AB 10

Good market positions in all three businesses

Industrial Construction and civil engineering Development

2014-11-25 NCC AB 11

Market Outook 2015

Stone material, asphalt and road service

• Higher demand for stone material

• Potential for growth in asphalt

Construction and civil engineering

Nordic market growth – stronger in Sweden and Norway, challenging in Finland

Housing development

• Good demand – especially in Sweden and Germany

• Weak demand in Finland

Property development

• Stable interest for Nordic properties

Stone material, asphalt and road service

Construction and civil engineering Housing development

Property development

2014-11-25 NCC AB 12

Construction normally follows GDP

-2

-1

0

1

2

3

4

5

6

7

2010 2011 2012 2013 2014 2015 2016

%

OutlookForecast

SwedenNorwayDenmarkFinlandGermany

Source: Euroconstruct

This strategy period

2014-11-25 NCC AB 13

Mega trends

Climate change

2014-11-25 NCC AB 14

Urbanization New technologyGlobalization War for talent

What have we achieved so far?

2014-11-25 NCC AB 15

2014-11-20 NCC AB 16

Strategy 2012–2015Profitable growth

Customer focus Marketleader Costs One NCC Housing Sustainability

Construction and civil engineering Development

≥ double GDP growth rate≥ double GDP growth rate ≥ 7,000 housing units

Industrial

Strategy 2012 – 2015 Profitable growthWe focus on three strategic growth priorities

Growth in Norway within all business areas

Establishing a presence in the civil engineering

market in Finland

Expansion of the housing development

business in all markets2014-11-25 NCC AB 17

Our vision

2014-11-25 NCC AB 18

To renew our industry and providesuperior sustainable solutions

2014-11-25 NCC AB 19

Our values

Honesty Respect Trust Pioneering spirit

2014-11-25 NCC AB 20

New strategy 2016-2020 based on current strategy

Will be communicated autumn 2015 and implemented January 1, 2016

2014-11-25 NCC AB 21

NCC Construction Denmark2010 – R12, Q3 2014 • Net sales 2,906 – 4,136 MSEK• EBIT 124 – 249 MSEK

The Construction Denmark Case