Arise

Annual Report • Feb 16, 2023

Year-end report 1 January–31 December 2022

FOURTH QUARTER (1 OCTOBER–31 DECEMBER 2022)

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FULL-YEAR (1 JANUARY–31 DECEMBER 2022)

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SIGNIFICANT EVENTS AFTER THE END OF THE REPORTING PERIOD

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CEO's statement

A profitable quarter for production and a record year for Arise!

2022 was, by a good margin, the company's most profitable year to date. A main reason for this is, of course, the successful sale of the Kölvallen project in the third quarter. At the same time, EBIT from our own production nearly doubled compared with 2021.

Production posted strong earnings for the fourth quarter. However, annual production was 15% lower than budget as the result of low winds during the second half of the year, although this was offset by high sales prices.

The investment market remains strong and the values of projects remain high. There is some imbalance in the market, since there is a deficit of good projects in relation to the access to capital, due to the drawn-out permit process.

It appears that the European energy system will survive this winter without the need for comprehensive emergency measures. Gas stocks in Europe are relatively full, the hydrological balance has improved, nuclear availability has improved and energy consumption is lower than last year. The market has adapted to new conditions, but the electricity system is still sensitive to disruptions, such as cold weather combined with low wind power production. We also expect the high prices and high volatility in the market to continue, though not as extreme as in 2022.

The current market situation highlights the need for new electricity production, not to mention that the comprehensive investments planned for the Swedish export industry require better access to cost-effective electricity production. Demand for new, quickly realisable, cost-effective and clean electricity production has never been greater in modern times. Wind power and solar power, and particularly onshore wind power, meet the above criteria and make substantial contribution to the solution.

We are also continuing to expand our organisation, with a focus on growing the project portfolio substantially which we hope to see results from in 2023.

In conclusion, I can say that Arise is now well positioned to deliver on our strategy of diversifying the company in terms of geographies and technologies as well as creating growth in all of our business seqments.

2023 has every possibility for becoming yet another successful year.

Halmstad, 16 February 2023

Per-Erik Eriksson CEO

"2022 was, by a margin, the company's most profitable year to date. A main reason for this is, of course, the successful sale of the Kölvallen project during the third quarter"

Net sales and results

MSEK	Q4 2022	Q4 2021	12m 2022	12m 2021
Profit before items affecting com- parability
Net sales	106	79	1,164	341
EBITDA	52	46	851	157
EBIT	37	31	790	93
EBT	50	28	821	79
Items affecting comparability
Effect from lease of wind farms 2013-2016, (operating expenses) Exch. rate diff. loans in for. currency,		$-14$		$-14$
(financial items)	$-14$	$-1$	$-49$	$-7$
Recognised profit
EBITDA	52	32	851	143
EBIT	37	17	790	79
EBT	36	13	772	58
Profit after tax	36	13	772	57

Items affecting comparability comprise exchange rate differences on bank loans, bond loans and unallocated bond proceeds, all in foreign currencies. Items affecting comparability for the comparative year of 2021 also include non-recurring costs for wind-farm leases between 2013 and 2016.

COMMENTS ON THE FOURTH QUARTER

Income for Development increased in the quarter due to revenue recognition from Kölvallen. Income from Solutions also increased due to the project and asset management assignments concerning Kölvallen. For Production, the quarter was characterised by continued high market prices, but also by weaker winds than normal.

Net sales increased to MSEK 106 (79), mainly driven by higher income in Development. Production generated 79 GWh (82) green electricity while the average realised price increased to SEK 857 per MWh (812), which is the result of higher market prices compared with the year-earlier quarter. Operating expenses amounted to MSEK-56 [-48], of which MSEK-16 [-5] pertained to costs for the Group's variable remuneration programme for 2022.

EBITDA increased to MSEK 52 [32] after items affecting comparability. Depreciation amounted to MSEK -15 [-15], resulting in EBIT of MSEK 37 (17) after items affecting comparability.

Net financial items, before items affecting comparability, increased to MSEK 13 [-3], positively impacted by exchange rate differences connected to the consideration received in EUR for Kölvallen. The company's electricity production assets are valued in EUR and income is received in EUR. The company therefore chose to take financing in EUR, creating a natural hedge. Changes to the EUR/SEK exchange rate will continue to affect comparable net financial items, whereby a

strengthening of SEK will improve the net and vice versa. In the fourth quarter, the comparability of net financial items was impacted by exchange rate differences for bank loans, bond loans and unallocated bond proceeds in foreign currencies of MSEK-14 due to the EUR strengthening against the SEK. In accordance with IFRS, the production assets are not recognized at market value but the company tests for impairment annually. In the most recent impairment test, the value in use exceeded the carrying amount by approximately MEUR 85¹⁾, corresponding to approximately MSEK 950.

Recognised profit before and after tax amounted to MSEK 36 (13).

COMMENTS ON THE FULL YEAR

The sale of Kölvallen in the third quarter had a significant impact on income from Development. At the same time, income in Production increased as a result of higher market prices for electricity despite weaker production during the second half of the year. In total, 292 GWh (282) of green electricity was produced, and the average price for production totalled SEK 720 per MWh (614). Income from Solutions also increased due to new asset management assignments. Net sales increased to MSEK 1,164 (341). Operating expenses amounted to MSEK-322 (-204). EBITDA increased to MSEK 851 (143), and EBIT increased to MSEK 790 (79). Profit before tax, before items affecting comparability, totalled MSEK 821 [79]. During the year, the comparability of net financial items was impacted by exchange rate differences for bank loans, bond loans and unallocated bond proceeds in foreign currencies of MSEK-49 due to the EUR strengthening against the SEK. Recognised profit before tax thus improved to MSEK 772 (58). Profit after tax amounted to MSEK 772 $[57]$ .

$11$ Based on a discount rate of 7.4%, the company's forecasts and energy price forecasts prepared by external experts. A change in the discount rate of +/- one percentage point would affect the value by approximately MEUR 10.

COMMENTS ON THE FOURTH QUARTER

COMMENTS ON THE FULL YEAR

Development

MSEK	Q4 2022	Q4 2021	12m 2022	12m 2021
Income	29	6	927	145
Cost of sold projects			$-136$	-68
Other operating expenses and capitalised work	-6	$-1$	$-58$	$-20$
Operating profit before depreciation (EBITDA)	24	5	733	57
Operating profit (EBIT)	24	5	733	55
Comparable profit/loss before tax*	32	$\overline{2}$	753	45
Recognised profit/loss before tax	26	$\overline{2}$	738	45

*Comparable profit before tax adjusted for exchange rate differences on bond loans and unallocated bond proceeds, in foreign currencies.

COMMENTS ON THE FOURTH OUARTER

Income increased during the quarter due to revenue recognition in the Kölvallen project that was successfully divested in the third quarter of 2022.

Construction of the Lebo project continued during the quarter, a project which will initially be financed by Arise, providing the flexibility to sell or keep it in the production portfolio once the project is in commercial operation.

Development activities continued for the HT Skogar portfolio, with the potential for more than 1,500 MW. The company also strengthened the development organisation in Sweden in order to secure new project rights. After the end of the year, an agreement was also signed with Persson Invest for development rights for a large portion of their land, with an estimated potential of approximately 500 MW. In the UK, work continued to develop the major solar project (approximately 200 MW and potentially 80 MW of battery storage) and to secure new project rights. For the Tormsdale project in Scotland, the permit application and application for grid connection have been submitted and are in process. Development activities related to the 50 MW solar project in southern Sweden continued during the quarter. In total, the company now has a portfolio of renewable energy projects totalling more than 3,000 MW at its disposal, including the estimated potential from Persson Invest, which is presented in more detail under the Portfolio section. Work in Finland to secure project rights intensified during the quarter.

Income increased to MSEK 29 (6). The cost of sold projects amounted to MSEK 0 (0). Other operating expenses and capitalised work totalled MSEK -6 [-1]. EBITDA increased to MSEK 24 (5). Depreciation and amortisation amounted to MSEK 0 (0), whereby EBIT amounted to MSEK 24 (5). Net financial items, excluding items affecting comparability, amounted to MSEK 9 [-2] and comparable profit/loss before tax thus increased to MSEK 32 (2). In the fourth quarter, the comparability of net financial items was impacted by exchange rate differences for bond loans and unallocated bond proceeds of MSEK -6 due to the EUR strengthening against the SEK. Recognised profit before tax thus amounted to MSEK 26 (2).

COMMENTS ON THE FULL YEAR

PORTFOLIO

Arise's development portfolio is presented below, totalling over 3,000 MW. The consolidated carrying amount was approximately MSEK 70, excluding Lebo, at the end of the period. Fully developed, the portfolio would equate to an investment level of about SEK 30 - 40 billion.

The portfolio is divided into projects in later developmental phases, which amount to a total of approximately 300 MW, and projects in early developmental phases, which amount to a total of more than 2,800 MW. The company is working actively to expand the project portfolio particularly concerning wind power and solar power in the Nordic countries and in the UK. Activities in Poland and Norway are evaluated in light of potential new regulatory conditions. Efforts to expand the project portfolio include greenfield projects and acquisitions of projects at varying stages. The organisation is continuing to expand as part of the company's growth strategy.

In working to increase its project portfolio, Arise has evaluated a number of different conceivable projects. The vast majority of the projects evaluated do not qualify for further development as they are not deemed realisable given their production conditions (wind and solar conditions), permit risks, electricity grid capacity and economic potential. These primary factors were determined to be promising for the projects below. While individual projects may not always be realised, the overall project portfolio represents high potential value for the company, with relatively little capital tied-up and low risk.

Projects - late developmental phases		MW
Fasikan, SE 2		100
Finnåberget, SE 2		120
Tormsdale, Scotland	長事	70
Total		~100
Projects - early developmental phases		MW
Sweden*		~2,200
Sweden	筆	$~1$ ~50
Norway		$\sim$ 200
UK		~120
UK	፞ ፝ ∰	~280
Total		>2,800

*] Including the estimated potential from the agreement with Persson Invest, which was signed after the end of the reporting period.

† Wind power ^* Solar power F Battery storage

Production

MSEK	Q4 2022	04 2021	12m 2022	12m 2021
Income	68	67	211	173
Operating expenses	$-18$	$-26$	$-51$	-59
Operating profit before depreciation (EBITDA)	50	41	160	114
Operating profit (EBIT)	35	26	101	55
Comparable profit before tax*	35	40	99	65
Recognised profit before tax	27	25	65	43

*Comparable profit before tax adjusted for exchange rate differences on loans in foreign currencies and non-recurring costs for wind-farm leases between 2013 and 2016 for the comparative figures in 2021.

COMMENTS ON THE FOURTH QUARTER

Winds were weaker than normal during the period and production at the company's wind farms amounted to 79 GWh (82). At the same time, average income for electricity increased to SEK 850 per MWh (803) and average income for guarantees of origin amounted to SEK 7 per MWh (9). The volatility in the market remained high, with high price levels during low-production hours. Average income for electricity was therefore 48% below the market price for electricity (weighted average for SE3 and SE4) during the period and was also impacted by price hedging on lower levels than the market average price.

Income amounted to MSEK 68 (67), in line with the year-earlier period. The specific operating expense increased compared with the year-earlier period (adjusted for non-recurring costs in 2021) to SEK -232 per MWh [-142]. The increase is due to additional costs related to the company's GE wind farms, which corresponded to approximately SEK -100 per MWh. The arbitration process for these wind farms is ongoing.

EBITDA increased to MSEK 50 (41) compared with the fourth quarter of 2021. Depreciation amounted to MSEK -15 [-14] and EBIT thus increased to MSEK 35 (26).

Net financial items, excluding items affecting comparability, amounted to MSEK 0 [-1]. Profit before tax, before items affecting comparability, therefore amounted to MSEK 35 [40]. In the fourth quarter, the comparability of net financial items was impacted by exchange rate differences for loans in foreign currencies of MSEK -8 due to the EUR strengthening against the SEK. Recognised profit before tax thus amounted to MSEK 27 (25).

In accordance with IFRS, the production assets are not recognized at market value but the company tests for impairment annually. In the most recent impairment test, the value in use exceeded the carrying amount by approximately MEUR 85¹⁾, corresponding to approximately MSEK 950.

Based on a discount rate of 7.4%, the company's forecasts and energy price forecasts prepared by external experts. A change in the discount rate of +/- one percentage point would affect the value by approximately MEUR 10. $1$

Hedged electricity prices	012023	02 2023	03 2023	04 2023	2024
MWh, SE 4	34.500	26,200	26,500	26,500	52,700
EUR/MWh, SE4	12.9	124	124	124	113

In addition to the above hedging, the company has CfD contracts, in which the full area price has not yet been hedged. With the high volatility and uncertainty as well as low liquidity at the end of the period, the market value amounted to MSEK-15.

COMMENTS ON THE FULL YEAR

Production at the company's wind farms increased to 292 GWh (282) due to slightly stronger winds than in the year-earlier period, especially in the first quarter. At the same time, average income for electricity amounted to SEK 713 per MWh (606) and to SEK 6 per MWh (9) for electricity certificates and guarantees of origin. Average income for electricity was markedly below the market price for electricity (weighted average for SE3 and SE4) during the period, impacted by the high price volatility and price hedging at lower levels than average.

Income amounted to MSEK 211 (173), an increase largely due to a higher realised price than the previous year. The specific operating expense (adjusted for non-recurring costs for 2021) amounted to SEK-174 per MWh (-160) and EBITDA therefore amounted to MSEK 160 (114). Depreciation amounted to MSEK -59 [-59] and EBIT thus increased to MSEK 101 [55]. Net financial items, excluding items affecting comparability, amounted to MSEK -2 [-4], while the comparability of net

MSEK	Q4 2022	Q4 2021	12m 2022	12m 2021
	11	7	33	27
	-9	-7	-34	-24
	1	0	-1	3
	1	-1	-1	2
	1	-1	-1	2

COMMENTS ON THE FOURTH QUARTER

COMMENTS ON THE FULL YEAR

OTHER SIGNIFICANT EVENTS

RELATED-PARTY TRANSACTIONS

CONTINGENT LIABILITIES

SIGNIFICANT EVENTS AFTER THE END OF THE REPORTING PERIOD

OUTLOOK

RISKS AND UNCERTAINTIES

OWNERSHIP STRUCTURE

Parent Company

The Parent Company's operations comprise project development (identifying suitable locations, signing land lease agreements, producing impact assessments, preparing detailed development plans and permits), divesting projects, contracts and project management of new projects, managing internal and external projects (technically and financially) and managing the Group's electricity and electricity-certificate trading activities.

The Parent Company manages the Group's production plans and electricity hedges in accordance with the adopted financial policy.

During the year, the Parent Company's total income amounted to MSEK 40 [30] and purchases of electricity and certificates, personnel and other external expenses, capitalised work on own account and depreciation of non-current assets totalled MSEK-95 [-82], resulting in EBIT of MSEK -55 (-52). A net financial expense of MSEK -22 (-22) and Group contributions of MSEK 113 (69) led to net profit/loss after tax of MSEK 36 [-5]. The Parent Company's net investments amounted to MSEK - 307 (-20).

ACCOUNTING POLICIES

DIVIDENDS

ANNUAL GENERAL MEETING

REVIEW BY THE AUDITOR

FINANCIAL CALENDAR

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Per-Erik Eriksson

FOR FURTHER INFORMATION, PLEASE CONTACT

Per-Erik Eriksson, CEO

Markus Larsson, CFO

CONSOLIDATED INCOME STATEMENT

	2022	2021	2022	2021
	Q4	Q4	FY	FY
	106	79	1,164	341
	1	0	5	0
Total income	107	79	1,169	341
	1	2	4	5
	-30	-17	-63	-46
	-	-	-136	-68
	-26	-32	-124	-91
Operating profit before depreciation (EBITDA)	52	32	851	143
	-15	-15	-61	-63
Operating profit/loss (EBIT)	37	17	790	79
	-1	-4	-17	-22
Profit/loss before tax	36	13	772	58
	0	-1	0	-1
Net profit/loss for the period	36	13	772	57
	0.80	0.33	18.60	1.51
	0.80	0.33	18.60	1.49

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

	2022	2021	2022	2021
	Q4	Q4	FY	FY
Net profit/loss for the period	36	13	772	57
Items that may be reclassified to the income
statement
	0	0	0	0
	336	-103	45	-164
	-69	21	-9	34
Other comprehensive income for the period,
net after tax	267	-82	36	-130
Total comprehensive income for the period	303	-69	807	-73

CONSOLIDATED BALANCE SHEET

	2022	2021
	31 Dec	31 Dec
	25	25
	1,218	1,223
	190	50
Total non-current assets	1,432	1,298
	0	1
	263	141
	1,220	70
Total current assets	1,483	212
TOTAL ASSETS	2,916	1,511
Equity	1,616	676
	980	425
	62	49
Total non-current liabilities	1,042	474
	29	150
	228	211
Total current liabilities	258	361
TOTAL EQUITY AND LIABILITIES	2,916	1,511

CONSOLIDATED CASH FLOW STATEMENT

	2022	2021	2022	2021
	Q4	Q4	FY	FY
Cash flow from operating activities before changes in
working capital	50	33	964	211
	-53	-10	-41	-68
Cash flow from operating activities	-3	23	923	143
	-67	-33	-176	-124
	-6	-	-130	-
Cash flow from investing activities	-73	-33	-305	-124
	-7	-9	-18	-18
	-	-	523	-
	-1	-1	-6	-6
	-12	-2	-33	-12
	3	0	3	0
	0	-	-9	-
	3	-	3	-
Cash flow from financing activities	-14	-12	464	-36
Cash flow for the period	-90	-22	1,082	-17
	1,287	91	70	86
	23	1	68	2
Cash and cash equivalents at the end of the period	1,220	70	1,220	70
	952	516	952	516
	-27	-18	-27	-18
Net debt	-296	428	-296	428

GROUP EQUITY

	2022	2021
	31 Dec	31 Dec
	676	703
	772	57
	36	-130
	132	46
	-	0
Closing balance	1,616	676

KEY PERFORMANCE INDICATORS FOR THE GROUP

	2022	2021	2022	2021
	Q4	Q4	FY	FY
Operational key performance indicators
	139.2	139.2	139.2	139.2
	79.0	82.0	292.2	281.7
	41	30	41	30
Financial key performance indicators
	0.80	0.33	18.60	1.51
	0.80	0.33	18.60	1.49
	48.4%	40.9%	72.8%	41.7%
	34.2%	21.8%	67.6%	23.2%
	42.0%	6.4%	42.0%	6.4%
	67.4%	8.2%	67.4%	8.2%
	2,567	1,192	2,567	1,192
	1,880	1,233	1,880	1,233
	1,616	676	1,616	676
	1,146	689	1,146	689
	-296	428	-296	428
	55.4%	44.8%	55.4%	44.8%
	neg	0.6	neg	0.6
	36	18	39	18
	36	18	39	18
	44,440,041	38,567,246	44,440,041	38,567,246
	44,440,041	38,555,063	41,503,644	37,505,484
	44,440,041	44,616,001	41,503,644	44,616,001

NOTE 1 – NET SALES

	2022	2021	2022	2021
	Q4	Q4	FY	FY
	67	66	208	171
	1	1	2	2
	29	6	924	143
	10	6	30	25
Total	106	79	1 ,164	341

GROUP SEGMENT REPORTING

	Develop		Unallocated
Quarter 4	ment		Production		Solutions		rev./exp.		Eliminations			Group
	Q4 2022	Q4 2021	Q4 2022	Q4 2021	Q4 2022	Q4 2021	Q4 2022	Q4 2021	Q4 2022	Q4 2021	Q4 2022	Q4 2021
	29	6	68	67	10	6	-	-	-	-	106	79
	-	-	-	-	1	1	-	-	-1	-1	-	-
	1	0	0	0	0	0	0	0	-	-	1	0
Total income	29	6	68	67	11	7	0	0	-1	-1	107	79
	1	1	-	-	-	-	-	-	-	-	1	1
	-7	-3	-18	-26	-9	-7	-23	-13	1	1	-56	-48
Operating profit/loss be fore depr./imp. (EBITDA)	24	5	50	41	1	0	-23	-13	-	0	52	32
	0	0	-15	-14	0	0	0	0	-	-	-15	-15
Operating profit/loss (EBIT)	24	5	35	26	1	-1	-23	-14	-	0	37	17
	2	-2	-8	-2	0	0	5	0	-	-	-1	-4
Profit/loss before tax (EBT)	26	2	27	25	1	-1	-18	-13	-	0	36	13
Intangible and tangible fixed assets	183	145	1,058	1,101	0	0	1	2	-	-	1,243	1,248

NOTE 2 – DEPRECIATION AND IMPAIRMENT OF INTANGIBLE AND TANGIBLE FIXED ASSETS

	0	0	-15	-14	0	0	0	0	-	-	-15	-15
	-	-	-	-	-	-	-	-	-	-	-	-
Depreciation and impair ment	0	0	-15	-14	0	0	0	0	-	-	-15	-15

	Develop		Unallocated
12 months	ment		Production		Solutions		rev./exp.		Eliminations			Group
	2022	2021	2022	2021	2022	2021	2022	2021	2022	2021	2022	2021
	924	145	210	173	30	24	-	-	-	-	1,164	341
	-	-	-	-	3	3	-	-	-3	-3	-	-
	4	0	1	0	0	0	0	0	-	-	5	0
Total income	927	145	211	173	33	27	0	0	-3	-3	1,169	341
	4	5	-	-	-	-	-	-	-	-	4	5
	-198	-93	-51	-59	-34	-24	-42	-31	3	3	-322	-204
Operating profit/loss be fore depr./imp. (EBITDA)	733	57	160	114	-1	3	-42	-31	-	0	851	143
	0	-2	-59	-59	0	0	-2	-2	-	-	-61	-63
Operating profit/loss (EBIT)	733	55	101	55	-1	2	-44	-33	-	0	790	79
	4	-10	-36	-12	0	0	14	0	-	-	-17	-22
Profit/loss before tax (EBT)	738	45	65	43	-1	2	-30	-33	-	0	772	58
Intangible and tangible fixed assets	183	145	1,058	1,101	0	0	1	2	-	-	1,243	1,248

GROUP SEGMENT REPORTING

NOTE 3 – DEPRECIATION AND IMPAIRMENT OF INTANGIBLE AND TANGIBLE FIXED ASSETS

	0	0	-59	-59	0	0	-2	-2	-	-	-61	-61
	-	-2	-	-	-	-	-	-	-	-	-	-2
Depreciation and impair ment	0	-2	-59	-59	0	0	-2	-2	-	-	-61	-63

	2022	2021	2022	2021
	Q4	Q4	FY	FY
Interest income
	5	0	6	0
Interest expense
	-1	-1	-5	-5
	-10	-2	-21	-9
Other financial items
	-1	-1	-3	-3
	-18	-1	-67	-7
	-1	-1	-5	-3
	25	2	78	5
Total	-1	-4	-17	-22

NOTE 4 – PROFIT/LOSS FROM FINANCIAL ITEMS

NOTE 5 – FAIR VALUE OF FINANCIAL INSTRUMENTS

FAIR VALUE HIERARCHY

	2022	2021
	31 Dec	31 Dec
Assets
	26	6
Liabilities
	-133	-158

NOT E 6 – NET DEBT

	2022	2021
	31 Dec	31 Dec
	1 ,042	474
	925	370
	258	361
	27	146
	952	516
	- 1 ,220	-70
	-27	-18
Net debt	-296	428

PARENT COMPANY INCOME STATEMENT

	2022	2021	2022	2021
	Q4	Q4	FY	FY
	-	-	1	0
	11	7	35	29
	1	0	4	0
Total income	11	8	40	30
	0	1	1	3
	0	-	-1	0
	-2	-2	-9	-5
	-26	-15	-55	-42
	-7	-20	-31	-35
Operating profit/loss before depreciation (EBITDA)	-23	-29	-54	-50
	0	0	0	-3
Operating profit/loss (EBIT)	-23	-29	-55	-52
	-12	-22	-22	-22
Profit/loss after financial items	-35	-52	-76	-74
	46	36	113	69
Profit/loss before tax	11	-15	37	-4
	0	-1	0	0
Net profit/loss for the period	11	-16	36	-5

PARENT COMPANY BALANCE SHEET

	2022	2021
	31 Dec	31 Dec
	25	25
	45	38
	1,013	704
Total non-current assets	1,083	767
	49	50
	293	47
	342	97
TOTAL ASSETS	1,424	865
	764	596
	768	599
	548	-
	108	133
	108	266
TOTAL EQUITY AND LIABILITIES	1,424	865

PARENT COMPANY EQUITY

	2022	2021
	31 Dec	31 Dec
	599	557
	36	-5
	132	46
Closing balance	768	599

NOTE 1 – PROFIT/LOSS FROM FINANCIAL ITEMS

	2022	2021	2022	2021
	Q4	Q4	FY	FY
Interest income
	-	0	0	0
	2	-	3	-
Interest expense
	-1	-1	-3	-2
	-10	-2	-21	-9
Other financial items
	-11	-	-33	-
	-	-20	-	-20
	0	0	2	7
	-1	0	-2	-1
	7	1	32	3
Total	-12	-22	-22	-22

DEFINITIONS OF KEY RATIOS

EBITDA margin EBITDA as a percentage of total income.

Operating margin EBIT as a percentage of total income.

Return on capital employed Rolling 12-month EBIT as a percentage to average capital employed.

Return on equity Rolling 12-month net profit as a percentage to average equity.

Equity per share Equity divided by the average number of shares.

Equity per share after dilution Equity adjusted for conversion of convertibles divided by the average number of shares after dilution.

Net financial items Financial income less financial expenses.

Average equity Rolling 12-month average equity.

Average capital employed Rolling 12-month average capital employed.

Items affecting comparability

Exchange rate differences on bank loans, bond loans and unallocated bond proceeds in foreign currency. For the comparison year 2021, also one-off costs related to the rental of wind farms during 2013-2016.

Operating cash flow

Cash flow from operating activities after changes in working capital.

Net debt

Interest-bearing liabilities, excl. lease liabilities, less cash and blocked cash and cash equivalents.

Debt/equity ratio

Net debt as a percentage of equity.

Specific operating expenses, SEK per MWh

Operating expenses for electricity production divided by electricity production during the period.

Equity/assets ratio

Equity as a percentage of total assets.

Capital employed Equity plus interest-bearing debt.

GENERAL INFORMATION ABOUT KEY FIGURES

In its reporting, Arise applies key ratios based on the company's accounting. The reason that these key ratios are applied in the reporting is that Arise believes that it makes it easier for external stakeholders to analyse the company's performance.

ROUNDING

Figures in this interim report have been rounded while calculations have been made without rounding. Hence, it can appear like certain tables and fiqures do not add up correctly.

Arise AB, Box 808, 301 18 Halmstad
Telephone +46 (0) 10-450 71 00 | www.arise.se