Kongsberg Gruppen

Investor Presentation • Oct 27, 2023

Investor presentation Q3 2023

Protechting people and planet

Geir Håøy, President & CEO Mette Toft Bjørgen, EVP & Group CFO

KONGSBERG PROPRIETARY: This document contains KONGSBERG information which is proprietary and confidential. Any disclosure, copying, distribution or use is prohibited if not otherwise explicitly agreed with KONGSBERG in writing. Any authorised reproduction in whole or in part, must include this leg end. © 2023 KONGSBERG – All rights reserved.

Disclaimer

This presentation contains certain forward-looking information and statements. Such forward-looking information and statements are based on the current, estimates and projections of the Company or assumptions based on information currently available to the Company. Such forwardlooking information and statements reflect current views with respect to future events and are subject to risks, uncertainties and assumptions. The Company cannot give assurance to the correctness of such information and statements. These forward-looking information and statements can generally be identified by the fact that they do not relate only to historical or current facts. Forward-looking statements sometimes use terminology such as "targets", "believes", "expects", "aims", "assumes", "intends", "plans", "seeks", "will", "may", "anticipates", "would", "could", "continues", "estimate", "milestone" or other words of similar meaning and similar expressions or the negatives thereof.

By their nature, forward-looking information and statements involve known and unknown risks, uncertainties and other important factors that could cause the actual results, performance or achievements of the Company to differ materially from any future results, performance or achievements that may be expressed or implied by the forward-looking information and statements in this presentation. Should one or more of these risks or uncertainties materialize, or should any underlying assumptions prove to be incorrect, the Company's actual financial condition or results of operations could differ materially from that or those described herein as anticipated, believed, estimated or expected.

Any forward-looking information or statements in this presentation speak only as at the date of this presentation. Except as required by the Oslo Stock Exchange rules or applicable law, the Company does not intend, and expressly disclaims any obligation or undertaking, to publicly update, correct or revise any of the information included in this presentation, including forward-looking information and statements, whether to reflect changes in the Company's expectations with regard thereto or as a result of new information, future events, changes in conditions or circumstances or otherwise on which any statement in this presentation is based.

Given the aforementioned uncertainties, prospective investors are cautioned not to place undue reliance on any of these forward-looking statements

The world is changing, so are we

Continue – Exploit - Execute

Highlights

• Continued growth across all business areas
  • Business area growth ranging from 21% to 41%
• Investing for further growth
• NOK 16bn Coastal Defence System order from Poland
• Strong exposure towards current major trends
  • Sustainability, security and digitalization

Business update | Kongsberg Maritime

• NOK 5.5bn order intake and 1.21 book/bill
• Main drivers were Seaborne and LNGcarrier segments
• Another strong aftermarket quarter, accelerated by increased regulation and demand for emission reducing solutions

Order backlog (NOK bn)

Order intake (NOK bn) Order backlog distribution

Business update | Kongsberg Defence & Aerospace

• NOK 4.64bn order intake and book/bill 1.28
• Increased weapon station deliveries
  • CROWS largest program in Q3
• Record-high NOK 45.7 bn order backlog

Major contracts signed

Several significant orders secured in the quarter, among others:

• F-35 components to Lockheed Martin NOK 1.2 bn
• CROWS to US Army NOK 1.0 bn
• C-UAS to International UK Fund for Ukraine NOK 0.75 bn

Order intake (NOK bn) Order backlog (NOK bn)

Order backlog distribution

Business update | Kongsberg Discovery

• NOK 1.1 bn order intake and 1.19 book/bill
• Largest contributor was Ocean Technologies
• Signed several substantial contracts within research segment
• Strong opportunities ahead in markets such as energy, fisheries, research, security and surveillance

Order intake (NOK bn)

Order backlog (NOK bn) Order backlog distribution

Business update | Kongsberg Digital

• Continued roll-out of digital twins and onboarding of new users on existing solutions

• 30 digital twins in operation

• Largest Vessel Insight customer expands agreement

Financial status

Mette Toft Bjørgen, EVP & Group CFO

KONGSBERG PROPRIETARY: This document contains KONGSBERG information which is proprietary and confidential. Any disclosure, copying, distribution or use is prohibited if not otherwise explicitly agreed with KONGSBERG in writing. Any authorised reproduction in whole or in part, must include this leg end. © 2023 KONGSBERG – All rights reserved.

Revenue

(NOK bn)

0.14

Q3 22 Q4 22 Q1 23

Q2 23

0.19

Q3 23

EBIT and EBIT-margin

(NOK bn, %)

Net working capital

Kongsberg Defence & Aerospace

1) NOK 2.5bn and NOK 1.8bn in NWC for Kongsberg Maritime and Kongsberg Discovery respectively 2) 13.2% and 49.9% for Kongsberg Maritime and Kongsberg Discovery respectively

Cash flow development 1.7 - 30.9

Numbers in NOK bn

Associated companies

and EBIT are presented with the corresponding periodization.

NOK 5.7bn in order backlog end of Q3 23 EUR 1.9bn in order backlog

All numbers excluding Kongsberg Digital

2025 Targets

From Capital Markets Day 2022:

Revenue development

Outlook

Kongsberg Defence & Aerospace

• Record-high backlog secures growth in 2023 and beyond
• Ongoing marketing, tendering and negotiations related to multiple programs
• Continued focus on building capacity for the future

• Green shift and increased regulation will drive performance
• Continued high activity in aftermarket
• Current backlog and momentum secures growth

• Solid demand from areas such as fishery, marine research operations, energy, security and surveillance
• Continued growth expected based on solid backlog and strong positions in growing markets

• Continued increase in recurring revenues
• High sales activity and strong demand
• Investing in development and rollout

Solid balance sheet and NOK 69.2bn in order backlog, whereof more than NOK 10.5bn is for delivery in remaining 2023

KONGSBERG Protechting people and planet

From deep sea to outer space