Bergman & Beving

Interim / Quarterly Report • Nov 7, 2013

Interim Report

1 April – 30 September 2013 (6 months)

• Revenue amounted to MSEK 3,734 (3,827).
• Operating profit increased to MSEK 152 (93).
• Profit after net financial items increased to MSEK 122 (56).
• Profit after taxes increased to MSEK 90 (39).
• Earnings per share increased to SEK 3.20 (1.40).
• Return on equity for the most recent 12-month period increased to 13 percent (8).
• Cash flow from operating activities totalled MSEK 127 (–47).
• The equity/assets ratio at the end of the reporting period was 42 percent (33).

B&B TOOLS provides the industrial and construction sectors in northern Europe with industrial consumables, industrial components and related services.

The Group has annual revenue of approximately SEK 7.6 billion and approximately 2,700 employees.

Second quarter (1 July–30 September 2013)

• Revenue for comparable units, measured in local currency, decreased by –2 percent during the second quarter.
• Operating profit amounted to MSEK 87 (67) during the quarter.

B&B TOOLS in summary

		3 months ending			6 months ending			12 months ending
	30 Sep 2013	30 Sep 2012	Change	30 Sep 2013	30 Sep 2012	Change	30 Sep 2013	30 Sep 2012	Change
Revenue, MSEK	1,769	1,818	–3%	3,734	3,827	–2%	7,573	8,004	–5%
Operating profit, MSEK	87	67	+30%	152	93	+63%	348	300	+16%
of which non-recurring items	–	–		–	–		+51	+6
Profit after net financial items, MSEK	72	50	+44%	122	56	+118%	282	216	+31%
Profit for the period (after taxes), MSEK	53	36	+47%	90	39	+131%	273	154	+77%
Earnings per share, SEK	1.90	1.30	+46%	3.20	1.40	+129%	9.70	5.50	+76%
Operating margin	4.9%	3.7%		4.1%	2.4%		4.6%	3.7%
Profit margin	4.1%	2.8%		3.3%	1.5%		3.7%	2.7%
Return on equity							13%	8%
Equity per share, SEK				75.30	67.00	+12%
Equity/assets ratio				42%	33%
Number of employees at the end of the period				2,718	2,842	–4%

President's statement

The second quarter of the financial year was marked by a continued lag in demand in Sweden and Finland. While our operations in the Norwegian market reported a positive trend, due the weakening of the Norwegian krona (NOK) this positive development was not fully reflected in the Group's revenue translated into Swedish krona (SEK).

The decline in revenue was offset by slightly higher contribution ratios and lower operating expenses during the quarter compared with the year-earlier period. In total, operating profit increased for the quarter, with a particularly strong earnings trend reported for the Business Areas Luna, Skydda and Essve. At the same time, working capital continued to decline and the Group's profitability, measured as operating profit in relation to working capital* (P/WC), continued to develop positively during the quarter and amounted to 19 percent (15) for the most recent 12-month period. This has contributed to a strong cash flow for the reporting period.

By strengthening our customer focus and increasing efficiency through the use of our new IT and logistics solutions the efforts to improve our operating profit and decrease our funds tied up in working capital continue.

Stockholm, November 2013

Ulf Lilius

President & CEO

* Working capital = Inventories + Accounts Receivable – Accounts Payable.

Profit and revenue

Profit

Operating profit for the B&B TOOLS Group during the reporting period amounted to MSEK 152 (93). Operating profit was charged with depreciation and impairment losses of MSEK –19 (–21) on tangible non-current assets and amortisation and impairment losses of MSEK –3 (–9) on intangible non-current assets.

The operating margin for the period increased by 1.7 percentage points to 4.1 percent (2.4).

Profit after net financial items amounted to MSEK 122 (56). Net financial items totalled MSEK –30 (–37) and the profit margin was 3.3 percent (1.5).

Exchange-rate translation effects had a net impact of MSEK –5 (+0) on recognised operating profit for the period.

Profit after taxes amounted to MSEK 90 (39). Earnings per share totalled SEK 3.20 (1.40).

Revenue

Revenue declined by –2 percent to MSEK 3,734 (3,827). Exchange-rate translation effects had a negative impact of MSEK –62 (–28) on revenue during the reporting period.

Consolidated revenue for comparable units, measured in local currency, declined by approximately –1 percent (–4) for the entire reporting period. For the second quarter (July–September), revenue for comparable units, measured in local currency, decreased by approximately –2 percent (–4).

Revenue, MSEK

Operations

Group	3 months ending		6 months ending		Full-year
MSEK	30 Sep 2013	30 Sep 2012	30 Sep 2013	30 Sep 2012	Rolling 12 months	2012/ 2013
Revenue	1,769	1,818	3,734	3,827	7,573	7,666
Operating profit	87	67	152	93	348	289
Operating margin, %	4.9	3.7	4.1	2.4	4.6	3.8
Adjustment for non-recurring items	–	–	–	–	–51	–51
Adjusted operating profit	87	67	152	93	297	238
Adjusted operating margin, %	4.9	3.7	4.1	2.4	3.9	3.1

TOOLS

TOOLS is the B&B TOOLS Group's market channel for industrial consumables and industrial components for Nordic industry. Via TOOLS, the Group has a presence in some 200 locations in Sweden, Norway and Finland.

TOOLS	3 months ending		6 months ending		Full-year
MSEK	30 Sep 2013	30 Sep 2012	30 Sep 2013	30 Sep 2012	Rolling 12 months	2012/ 2013
Revenue	1,172	1,221	2,506	2,585	5,126	5,205
Operating profit	36	40	69	62	34	27
Operating margin, %	3.1	3.3	2.8	2.4	0.7	0.5
Adjustment for non-recurring items	–	–	–	–	+97	+97
Adjusted operating profit	36	40	69	62	131	124
Adjusted operating margin, %	3.1	3.3	2.8	2.4	2.6	2.4

Revenue for comparable units within TOOLS, measured in local currency, decreased by a total of –3 percent during the second quarter. For the entire reporting period, revenue declined by –1 percent.

TOOLS Momentum and TOOLS Norway continued to report favourable earnings trends, with strong operating margins for both the second quarter and the entire reporting period. Revenue for comparable units in Norway, measured in local currency, rose by 7 percent during the second quarter, including increases in such areas as the offshore industry. The weak economic situation experienced by Finnish industry during the financial year to date had a negative impact on TOOLS Finland's sales and earnings performance and additional measures are implemented to turn the earnings trend around.

Revenue for TOOLS Sweden decreased by –7 percent during the second quarter and the unit reported an operating loss of MSEK –10 (–13) for the quarter. The operations further strengthened their focus on various initiatives to boost sales and attract new customers, and a number of new customer agreements were signed during the period. The joint IT and logistics solutions introduced in recent years, combined with other costsaving measures, have had a positive impact on the earnings trend.

Refer also to the specification of TOOLS, including and excluding non-recurring items, in Appendices B and C, respectively, on pages 13-15.

Business Areas

The Group's four Business Areas – Luna (Tools & Machinery), Skydda (Personal Protective Equipment), Essve (Fastening Elements) and Gigant & Grunda (Work Environment & Consumables) – supply TOOLS and other market channels with industrial consumables and related services.

Business Areas	3 months ending		6 months ending		Full-year
MSEK	30 Sep 2013	30 Sep 2012	30 Sep 2013	30 Sep 2012	Rolling 12 months	2012/ 2013
Revenue	903	876	1,870	1,829	3,739	3,698
Operating profit	51	30	92	60	184	152
Operating margin, %	5.6	3.4	4.9	3.3	4.9	4.1
Adjustment for non-recurring items	–	–	–	–	+7	+7
Adjusted operating profit	51	30	92	60	191	159
Adjusted operating margin, %	5.6	3.4	4.9	3.3	5.1	4.3

Revenue for comparable units, measured in local currency, for the Group's Business Areas increased by a total of 4 percent during both the quarter and the entire reporting period.

The Business Areas Skydda (Personal Protective Equipment), Luna (Tools & Machinery) and Essve (Fastening Elements) continued to report a robust earnings trend. These units also strengthened their positions in their customer markets, and revenue for comparable units, measured in local currency, increased by between 4 and 6 percent during the quarter. The earnings trend for Gigant & Grunda (Work Environment & Consumables) was negatively impacted by continued weak demand, particularly in the area of workplace equipment. Efforts to reduce the Business Areas' inventories (working capital) are still under way and have generated positive results to date.

Refer also to the specification of Business Areas, including and excluding non-recurring items, in Appendices B and C, respectively, on pages 13-15.

Group-wide and eliminations

Operating profit for "Group-wide" totalled MSEK –1 (–26) for the reporting period.

The Parent Company's revenue amounted to MSEK 19 (26) and profit after net financial items to MSEK 433 (95). These results include Group contributions, intra-Group dividends and other similar items totalling MSEK 390 (90).

Eliminations for intra-Group inventory gains had an impact of MSEK –8 (–3) on earnings during the period.

Corporate acquisitions

No corporate acquisitions took place during the reporting period.

Profitability, cash flow and financial position

The return on consolidated capital employed for the most recent 12-month period was 10 percent (8) and the return on equity was 13 percent (8). Calculated based on profit excluding non-recurring items for the most recent 12-month period, the return on capital employed was 8 percent and the return on equity was 8 percent.

The return on working capital, P/WC (operating profit in relation to working capital*), amounted to 19 percent (15) for the most recent 12-month period.

Cash flow from operating activities before changes in working capital for the reporting period totalled MSEK 99 (24). Funds tied up in working capital decreased by MSEK 28 (preceding year: an increase by MSEK 71). During the period, the Group's inventories decreased by MSEK 66, while operating receivables declined by MSEK 2. Operating liabilities decreased by MSEK 40. Accordingly, cash flow from operating activities for the period amounted to MSEK 127 (–47). Cash flow was adversely impacted in a net amount of MSEK –19 (–24) by the acquisition and sale of tangible non-current assets.

The Group's operational net loan liability at the end of the reporting period totalled MSEK 901 (1,574). Interest-bearing liabilities amounted to MSEK 984 (1,650), excluding expensed pension commitments totalling MSEK 398 (483). Liabilities to credit institutions amounted to MSEK 905 (1,579), net. Combined cash and cash equivalents, including unutilised granted credit facilities, totalled MSEK 379 (209). In addition to these available funds of MSEK 379, there are credit facilities agreements with banks for an additional MSEK 200.

The equity/assets ratio at the end of the reporting period was 42 percent, compared with 39 percent at the beginning of the financial year.

Equity per share totalled SEK 75.30 at the end of the reporting period, compared with SEK 73.50 at the beginning of the financial year.

* Working capital = Inventories + Accounts Receivable – Accounts Payable.

Employees

At the end of the reporting period, the number of employees in the Group amounted to 2,718, compared with 2,780 at the beginning of the financial year.

Share structure and repurchase of own shares

Share capital at the end of the reporting period totalled MSEK 56.9. The distribution by classes of shares is as follows:

Classes of shares	As of 30 September 2013
Class A shares	1,067,812
Class B shares	27,368,604
Total number of shares before repurchasing	28,436,416
Less: Repurchased Class B shares	–340,000
Total number of shares after repurchasing	28,096,416

As of 31 March 2013, the number of Class B shares held in treasury totalled 340,000. During the reporting period, there were no changes to the holding of treasury shares. Accordingly, on 30 September 2013, the holding of Class B treasury shares amounted to 340,000 shares, corresponding to 1.2 percent of the total number of shares and 0.9 percent of the total number of votes.

Following a resolution passed by the Annual General Meeting in August 2013, 13 members of senior management were offered an opportunity to acquire a maximum of 169,000 call options on repurchased Class B shares. The programme was fully subscribed. When fully exercised, the number of outstanding Class B shares will increase by 169,000, corresponding to 0.6 percent of the total number of shares and 0.4 percent of the votes. The call options have been conveyed at a price of SEK 10.00 per call option, equivalent to the market value of the options according to an external valuation performed by Nordea Bank. The redemption price of the call options is SEK 101.90 and the redemption period is from 12 September 2016 until 9 June 2017, inclusive. The issued call options have not resulted in any dilution effect as of 30 September 2013. The share price on 30 September 2013 amounted to SEK 89.75.

There have been no changes in the holding of treasury shares after the end of the reporting period.

Accounting policies

The Interim Report for the Group was prepared in accordance with IFRS and by applying IAS 34 Interim Financial Reporting, the Swedish Annual Accounts Act and the Swedish Securities Market Act. The Interim Report for the Parent Company was prepared in accordance with the Swedish Annual Accounts Act and the Swedish Securities Market Act, which conforms to the provisions detailed in RFR 2 Accounting for Legal Entities.

As of 1 April 2013, B&B TOOLS applies the updated IAS 19 standard, with full retroactive application. For B&B TOOLS, this entails an immediate increase in net pension commitments (classified as a financial liability) and an equivalent decrease – taking tax effects into account – of earnings brought forward. The updated standard also includes new rules regarding the recognition of a special payroll tax. Had the new rules been applied as of 31 March 2013, B&B TOOLS' net pension commitments would have been MSEK 55 higher, including a special payroll tax of MSEK 10. Taking into account deferred tax, the updated standard would have had an impact on earnings brought forward that was MSEK 43 less than the amount that was recognised as of 31 March 2013. Except for other comprehensive income, the impact on the consolidated income statement was immaterial and has thus not been reported separately. As a result of the changes in the recognition of pensions as described above and the increased volatility it causes, as of 1 April 2013, B&B TOOLS recognises a so-called operational net debt/equity ratio, whereby the net loan liability is calculated excluding pension provisions. As of 2013, the Group applies the new IFRS 13 Fair Value Measurement standard and amendments to IFRS 7 Financial Instruments: Disclosures. The prescribed information is presented on page 10.

In all other respects, the same accounting policies and bases of judgement as in the Annual Report for 2012/2013 have been applied.

Transactions with related parties

No transactions having a material impact on the Group's position or earnings occurred between B&B TOOLS and its related parties during the reporting period.

Events after the end of the reporting period

No significant events affecting the Group have occurred after the end of the reporting period.

Risks and uncertainties

During the reporting period, no significant changes occurred with respect to risks and uncertainty factors, for either the Group or the Parent Company. For information about the Group's risks and uncertainty factors, refer to page 28 of B&B TOOLS' Annual Report for 2012/2013.

Affirmation

The Board of Directors and the President & CEO deem that this Semi-Annual Report provides a true and fair overview of the operations, position and earnings of the Parent Company and the Group, and that it describes the significant risks and uncertainty factors to which the Parent Company and the companies within the Group are exposed.

Stockholm, 7 November 2013

Anders Börjesson Tom Hedelius Chairman Vice Chairman

Director Director Director

Per Axelsson Roger Bergqvist Charlotte Hansson

Joakim Rubin Lillemor Svensson Anette Swanemar Director Director – Employee Representative Director – Employee Representative

Ulf Lilius President & Chief Executive Officer

This report has not been subject to special review by the Company's auditors.

Contact information

Ulf Lilius, President & CEO, Tel: +46 10 454 77 00 Mats Karlqvist, Head of Investor Relations, Tel: +46 70 660 31 32

Comprehensive contact information for B&B TOOLS and forthcoming information dates are presented on page 16.

This document is in all respects a translation of the Swedish original Interim Report. In the event of any differences between this translation and the Swedish original, the latter shall prevail.

Reporting by operating segment

REVENUE	3 months			6 months		Full-year
	Jul – Sep	Jul – Sep	Apr – Sep Apr – Sep		Rolling	2012/
MSEK	2013	2012	2013	2012	12 months	2013
TOOLS	1,172	1,221	2,506	2,585	5,126	5,205
Business Areas	903	876	1,870	1,829	3,739	3,698
Group-wide	163	155	331	304	638	611
Eliminations	–469	–434	–973	–891	–1,930	–1,848
Total	1,769	1,818	3,734	3,827	7,573	7,666

Revenue by quarter	2013/2014				2012/2013
MSEK	Q2	Q1	Q4	Q3	Q2	Q1
TOOLS	1,172	1,334	1,264	1,356	1,221	1,364
Business Areas	903	967	898	971	876	953
Group-wide	163	168	144	163	155	149
Eliminations	–469	–504	–455	–502	–434	–457
Total	1,769	1,965	1,851	1,988	1,818	2,009

OPERATING PROFIT/LOSS	3 months			6 months	Full-year
	Jul – Sep	Jul – Sep	Apr – Sep Apr – Sep		Rolling	2012/
MSEK	2013	2012	2013	2012	12 months	2013
TOOLS	36	40	69	62	34	27
Business Areas	51	30	92	60	184	152
Group-wide	5	–3	–1	–26	141	116
Eliminations	–5	0	–8	–3	–11	–6
Total	87	67	152	93	348	289

Operating profit/loss by quarter		2013/2014				2012/2013
MSEK	Q2	Q1	Q4	Q3	Q2	Q1
TOOLS	36	33	32	–67	40	22
Business Areas	51	41	55	37	30	30
Group-wide	5	–6	–19	161	–3	–23
Eliminations	–5	–3	0	–3	0	–3
Total	87	65	68	128	67	26

Adjusted operating profit/loss excluding non-recurring items

ADJUSTED OPERATING	3 months			6 months	Full-year
PROFIT/LOSS	Jul – Sep	Jul – Sep	Apr – Sep	Apr – Sep	Rolling	2012/
MSEK	2013	2012	2013	2012	12 months	2013
TOOLS	36	40	69	62	131	124
Business Areas	51	30	92	60	191	159
Group-wide	5	–3	–1	–26	–14	–39
Eliminations	–5	0	–8	–3	–11	–6
Total	87	67	152	93	297	238

Adjusted operating profit/loss by quarter		2013/2014				2012/2013
MSEK	Q2	Q1	Q4	Q3	Q2	Q1
TOOLS	36	33	29	33	40	22
Business Areas	51	41	52	47	30	30
Group-wide	5	–6	–13	0	–3	–23
Eliminations	–5	–3	0	–3	0	–3
Total	87	65	68	77	67	26

Group summary

INCOME STATEMENT	3 months		6 months		Full-year
	Jul – Sep	Jul – Sep	Apr – Sep	Apr – Sep	Rolling	2012/
MSEK	2013	2012	2013	2012	12 months	2013
Revenue	1,769	1,818	3,734	3,827	7,573	7 666
Shares in profit/loss of associated co's	0	–1	0	–1	1	0
Other operating income	2	2	2	4	251	253
Total operating revenue	1,771	1,819	3,736	3,830	7,825	7,919
Goods for resale	–1,050	–1,092	–2,218	–2,305	–4,534	–4,621
Personnel costs	–358	–382	–795	–841	–1,681	–1,727
Depreciation, amortisation, impairment
losses & reversal of impairment losses	–11	–15	–22	–30	–58	–66
Other operating expenses	–265	–263	–549	–561	–1,204	–1,216
Total operating expenses	–1,684	–1,752	–3,584	–3,737	–7,477	–7,630
Operating profit	87	67	152	93	348	289
Financial income and expenses	–15	–17	–30	–37	–66	–73
Profit after net financial items	72	50	122	56	282	216
Taxes	–19	–14	–32	–17	–9	6
Profit for the period	53	36	90	39	273	222
Of which attributable to:
Parent Company shareholders	53	36	90	39	273	222
Non-controlling interest	0	0	0	0	0	0
Earnings per share, SEK
– before dilution	1.90	1.30	3.20	1.40	9.70	7.90
– after dilution	1.90	1.30	3.20	1.40	9.70	7.90

Refer also to summary of income statement on Adjusted operating profit excluding non-recurring items in Appendix A on page 13.

STATEMENT OF COMPREHENSIVE		3 months	6 months		Full-year
INCOME MSEK	Jul – Sep 2013	Jul – Sep 2012	Apr – Sep 2013	Apr – Sep 2012	Rolling 12 months	2012/ 2013
Profit for the period	53	36	90	39	273	222
Other comprehensive income for the period
Components that will not be reclassified to profit for the year
Actuarial gains (losses) attributable to defined-benefit pension plans	66	12	65	3	87	25
Tax attributable to components that will not be reclassified	–14	–3	–14	–1	–22	–9
	52	9	51	2	65	16
Components that will be reclassified to profit for the year
Translation differences	–19	–35	–9	–27	–19	–37
Translation differences from non-controlling interest	–	0	–	0	–	–
Effects of hedge accounting	0	–1	1	–1	2	0
Tax attributable to components that may be reclassified	0	6	–1	3	–6	–2
	–19	–30	–9	–25	–23	–39
Comprehensive income for the period	86	15	132	16	315	199
Of which attributable to:
Parent Company shareholders	86	15	132	16	315	199
Non-controlling interest	0	0	0	0	0	0

BALANCE SHEET
MSEK	30 Sep 2013	30 Sep 2012	31 Mar 2013
Assets
Intangible non-current assets	1,788	1,799	1,781
Tangible non-current assets	251	407	252
Financial non-current assets, pension funds	3	4	6
Financial non-current assets, other interest-bearing	4	5	4
Shares in associated companies	11	10	11
Deferred tax assets	115	148	118
Inventories	1,380	1,653	1,443
Accounts receivable	1,163	1,270	1,192
Other current receivables	259	300	218
Cash and cash equivalents	79	71	214
Total assets	5,053	5,667	5,239
Equity and liabilities
Equity	2,115	1,882	2,065
Non-current interest-bearing liabilities	809	1,236	1,129
Pension provisions	398	483	465
Other non-current liabilities and provisions	121	180	106
Current interest-bearing liabilities	175	414	3
Accounts payable	801	817	823
Other current liabilities	634	655	648
Total equity and liabilities	5,053	5,667	5,239
Specifications:
Inventories plus accounts receivable less accounts payable	1,742	2,106	1,812
Other working capital items, net	–375	–355	–430
Working capital	1,367	1,751	1,382
Operational net loan liability *	901	1,574	914

* Interest-bearing current and non-current liabilities, excluding net pension provisions, less cash and cash equivalents and interest-bearing provisions.

STATEMENT OF CHANGES IN EQUITY
MSEK	30 Sep 2013	30 Sep 2012	31 Mar 2013
Opening equity	2,065	2,009	2,009
of which non-controlling interest	–	0	0
Amendment in accounting policies	–	–59	–59
Dividend, Parent Company shareholders	–84	–84	–84
Sale of call options	2	–	–
Comprehensive income for the period attributable to:
– Parent Company shareholders	132	16	199
– Non-controlling interest	–	0	–
Closing equity	2,115	1,882	2,065
of which non-controlling interest	–	0	–

CASH-FLOW STATEMENT	3 months			6 months	Full-year
MSEK	Jul – Sep 2013	Jul – Sep 2012	Apr – Sep 2013	Apr – Sep 2012	Rolling 12 months	2012/ 2013
Operating activities before changes in working capital	80	42	99	24	231	156
Changes in working capital	15	–44	28	–71	205	106
Cash flow from operating activities	95	–2	127	–47	436	262
Acquisition of intangible and tangible non-current assets	–12	–15	–20	–25	–43	–48
Sales of intangible and tangible non-current assets	1	1	1	1	7	7
Acquisition of subsidiaries and other business units	–	–	–	–	–	–
Sales of subsidiaries and other business units	–	–	–	–	375	375
Cash flow before financing Financing activities	84 –87	–16 10	108 –243	–71 58	775 –765	596 –464
Cash flow for the period	–3	–6	–135	–13	10	132
Cash and cash equivalents at the beginning of the period Exchange-rate difference in cash and cash equivalents	84 –2	81 –4	214 0	85 –1	71 –2	85 –3
Cash and cash equivalents at the
end of the period	79	71	79	71	79	214

B&B TOOLS measures financial instruments at fair value or cost in the balance sheet depending on their classification. In addition to items in the financial net debt, financial instruments also include accounts receivable and accounts payable. According to IFRS 7, financial instruments measured at fair value in the balance sheet are included in level 2 of the fair value hierarchy. The carrying amounts for financial assets and liabilities correspond to fair value in all material respects.

OPERATING SEGMENTS	External revenue		Revenue from internal customers		Total revenue			Operating profit/loss
MSEK	Apr–Sep 2013	Apr–Sep 2012	Apr–Sep 2013	Apr–Sep 2012	Apr–Sep 2013	Apr–Sep 2012	Apr–Sep 2013	Apr–Sep 2012
TOOLS	2,480	2,560	26	25	2,506	2,585	69	62
Business Areas	1,251	1,265	619	564	1,870	1,829	92	60
Total operating segment	3,731	3,825	645	589	4,376	4,414	161	122
Group-wide	3	2	328	302	331	304	–1	–26
Eliminations	–	–	–973	–891	–973	–891	–8	–3
Group	3,734	3,827	0	0	3,734	3,827	152	93

The Group's operating segments comprise TOOLS and the Group's four Business Areas. The operating segments are consolidations of the operational organisation, as used by Group management and the Board of Directors to monitor operations.

TOOLS comprises the Group's reseller operations in Sweden, Norway and Finland (which operate within the framework of TOOLS) and TOOLS Momentum, which together form the Group's market channel for industrial consumables and industrial components for Nordic industry.

The Group's four Business Areas conduct operations in various product and application areas (Tools & Machinery, Personal Protective Equipment, Fastening Elements and Work Environment & Consumables) and provide TOOLS and other market channels with industrial consumables and related services.

Group-wide includes the Group's management, accounting, support functions, infrastructure operations and property management. The support functions include HR, internal communications, IR, legal and business development. Infrastructure operations comprise IT, supply chain and master data management (MDM).

Intra-Group pricing between the operating segments occurs on market terms.

There are no assets in the operating segments that are affected by material changes compared with the most recent Annual Report. The accounting policies are the same as those applied in the consolidated financial statements.

KEY PER-SHARE DATA1	3 months		6 months			Full-year
SEK	Jul – Sep 2013	Jul – Sep 2012	Apr – Sep 2013	Apr – Sep 2012	Rolling 12 months	2012/ 2013
Earnings before dilution	1.90	1.30	3.20	1.40	9.70	7.90
Earnings after dilution	1.90	1.30	3.20	1.40	9.70	7.90
Equity, at the end of the period			75.30	67.00		73.50
Equity after dilution, at the end of the period			75.30	67.00		73.50
NUMBER OF SHARES
Number of shares outstanding before dilution	28,096	28,096	28,096	28,096	28,096	28,096
Weighted number of shares outstanding before dilution	28,096	28,096	28,096	28,096	28,096	28,096
Weighted number of shares outstanding after dilution	28,096	28,096	28,096	28,096	28,096	28,096

¹ As of 30 September 2013, no dilution effect had arisen based on the issued call options on repurchased Class B shares.

Parent Company summary

INCOME STATEMENT	3 months			6 months	Full-year
MSEK	Jul – Sep 2013	Jul – Sep 2012	Apr – Sep 2013	Apr – Sep 2012	Rolling 12 months	2012/ 2013
Revenue	10	13	19	26	41	48
Operating expenses	–9	–13	–22	–34	–92	–104
Operating profit/loss	1	0	–3	–8	–51	–56
Financial income and expenses	413	83	436	103	421	88
Profit after net financial items Appropriations	414 –	83 –	433 –	95 –	370 46	32 46
Profit before taxes	414	83	433	95	416	78
Taxes	–6	2	–10	–1	–12	–3
Profit for the period	408	85	423	94	404	75

STATEMENT OF COMPREHENSIVE	3 months			6 months	Full-year
INCOME MSEK	Jul – Sep 2013	Jul – Sep 2012	Apr – Sep 2013	Apr – Sep 2012	Rolling 12 months	2012/ 2013
Profit for the period	408	85	423	94	404	75
Other comprehensive income for the period
Effects of hedge accounting	1	–2	3	–2	9	4
Taxes attributable to other comprehensive income	0	0	–1	0	–2	–1
Comprehensive income for the period	409	83	425	92	411	78

BALANCE SHEET
MSEK	30 Sep 2013	30 Sep 2012	31 Mar 2013
Assets
Intangible non-current assets	1	1	1
Tangible non-current assets	2	6	3
Financial non-current assets	3,936	4,031	3,784
Current receivables	22	30	280
Cash and cash equivalents	31	–	142
Total assets	3,992	4,068	4,210
Equity and liabilities
Equity	1,604	1,275	1,261
Untaxed reserves	201	247	201
Provisions	49	50	50
Non-current liabilities	997	1,449	1,426
Current liabilities	1,141	1,047	1,272
Total equity, provisions and liabilities	3,992	4,068	4,210

Appendix

A. Summary of income statement – Adjusted operating profit excluding nonrecurring items

ADJUSTED INCOME STATEMENT	3 months			6 months	Full-year
excluding non-recurring items MSEK	Jul – Sep 2013	Jul – Sep 2012	Apr – Sep 2013	Apr – Sep 2012	Rolling 12 months	2012/ 2013
Revenue	1,769	1,818	3,734	3,827	7,573	7,666
Shares in profit/loss of associated co's	0	–1	0	–1	1	0
Other operating income	2	2	2	4	6	8
Total operating revenue	1,771	1,819	3,736	3,830	7,580	7,674
Goods for resale	–1,050	–1,092	–2,218	–2,305	–4,479	–4,566
Personnel costs	–358	–382	–795	–841	–1,618	–1,664
Depreciation, amortisation, impairment losses and reversal of impairment losses	–11	–15	–22	–30	–46	–54
Other operating expenses	–265	–263	–549	–561	–1,140	–1,152
Total operating expenses	–1,684	–1,752	–3,584	–3,737	–7,283	–7,436
Adjusted operating profit	87	67	152	93	297	238
Contribution ratio, %	40.6%	39.9%	40.6%	39.8%	40.9%	40.4%
Operating margin, %	4.9%	3.7%	4.1%	2.4%	3.9%	3.1%

B. Specification – TOOLS and Business Areas including non-recurring items

			Revenue, MSEK
	3 months ending		6 months ending		Full-year
	30 Sep 2013	30 Sep 2012	30 Sep 2013	30 Sep 2012	Rolling 12 months	2012/ 2013
TOOLS
Sweden	421	454	913	982	1,914	1,983
Norway	376	369	795	754	1,619	1,578
Finland	166	178	349	382	692	725
TOOLS Momentum	220	228	471	483	945	957
Eliminations	–11	–8	–22	–16	–44	–38
TOOLS TOTAL	1,172	1,221	2,506	2,585	5,126	5,205
BUSINESS AREAS
Luna (Tools & Machinery)	262	252	525	511	1,071	1,057
Skydda (Personal Protective Equipment)	260	252	553	532	1,100	1,079
Essve (Fastening Elements)	188	179	378	376	710	708
Gigant & Grunda (Work Environment & Consumables)	196	193	417	410	865	858
Eliminations	–3	0	–3	0	–7	–4
BA TOTAL	903	876	1,870	1,829	3,739	3,698
GROUP-WIDE	163	155	331	304	638	611
ELIMINATIONS	–469	–434	–973	–891	–1,930	–1,848
GROUP	1,769	1,818	3,734	3,827	7,573	7,666

B. Specification – TOOLS and Business Areas including non-recurring items – cont.

				Operating profit/loss, MSEK
	3 months ending		6 months ending		Full-year
	30 Sep 2013	30 Sep 2012	30 Sep 2013	30 Sep 2012	Rolling 12 months	2012/ 2013
TOOLS
Sweden	–10	–13	–25	–31	–128	–134
Norway	19	19	36	26	71	61
Finland	–2	5	0	7	–20	–13
TOOLS Momentum	28	29	59	60	113	114
Eliminations	1	0	–1	0	–2	–1
TOOLS TOTAL	36	40	69	62	34	27
BUSINESS AREAS
Luna (Tools & Machinery)	21	18	37	34	87	84
Skydda (Personal Protective Equipment)	18	9	37	25	76	64
Essve (Fastening Elements)	11	5	20	7	18	5
Gigant & Grunda (Work Environment & Consumables)	1	–3	–2	–6	2	–2
Eliminations	0	1	0	0	1	1
BA TOTAL	51	30	92	60	184	152
GROUP-WIDE	5	–3	–1	–26	141	116
ELIMINATIONS	–5	0	–8	–3	–11	–6
GROUP	87	67	152	93	348	289

			Operating margin, %
	3 months ending		6 months ending		Full-year
	30 Sep 2013	30 Sep 2012	30 Sep 2013	30 Sep 2012	Rolling 12 months	2012/ 2013
TOOLS
Sweden	–2.4	–2.9	–2.7	–3.2	–6.7	–6.8
Norway	5.1	5.1	4.5	3.4	4.4	3.9
Finland	–1.2	2.8	0.0	1.8	–2.9	–1.8
TOOLS Momentum	12.7	12.7	12.5	12.4	12.0	11.9
Eliminations	–	–	–	–	–	–
TOOLS TOTAL	3.1	3.3	2.8	2.4	0.7	0.5
BUSINESS AREAS
Luna (Tools & Machinery)	8.0	7.1	7.0	6.7	8.1	7.9
Skydda (Personal Protective Equipment)	6.9	3.6	6.7	4.7	6.9	5.9
Essve (Fastening Elements)	5.9	2.8	5.3	1.9	2.5	0.7
Gigant & Grunda (Work Environment & Consumables)	0.5	–1.6	–0.5	–1.5	0.2	–0.2
Eliminations	–	–	–	–	–	–
BA TOTAL	5.6	3.4	4.9	3.3	4.9	4.1
GROUP-WIDE	–	–	–	–	–	–
ELIMINATIONS	–	–	–	–	–	–
GROUP	4.9	3.7	4.1	2.4	4.6	3.8

C. Specification – TOOLS and Business Areas excluding non-recurring items

		Proforma Operating profit/loss, MSEK
	3 months ending		6 months ending		Full-year
	30 Sep 2013	30 Sep 2012	30 Sep 2013	30 Sep 2012	Rolling 12 months	2012/ 2013
TOOLS
Sweden	–10	–13	–25	–31	–46	–52
Norway	19	19	36	26	71	61
Finland	–2	5	0	7	–5	2
TOOLS Momentum	28	29	59	60	113	114
Eliminations	1	0	–1	0	–2	–1
TOOLS TOTAL	36	40	69	62	131	124
BUSINESS AREAS
Luna (Tools & Machinery)	21	18	37	34	88	85
Skydda (Personal Protective Equipment)	18	9	37	25	76	64
Essve (Fastening Elements)	11	5	20	7	18	5
Gigant & Grunda (Work Environment & Consumables)	1	–3	–2	–6	8	4
Eliminations	0	1	0	0	1	1
BA TOTAL	51	30	92	60	191	159
GROUP-WIDE	5	–3	–1	–26	-14	–39
ELIMINATIONS	–5	0	–8	–3	–11	–6
GROUP	87	67	152	93	297	238

			Proforma Operating margin, %
	3 months ending		6 months ending		Full-year
	30 Sep 2013	30 Sep 2012	30 Sep 2013	30 Sep 2012	Rolling 12 months	2012/ 2013
TOOLS
Sweden	–2.4	–2.9	–2.7	–3.2	–2.4	–2.6
Norway	5.1	5.1	4.5	3.4	4.4	3.9
Finland	–1.2	2.8	0.0	1.8	–0.7	0.3
TOOLS Momentum	12.7	12.7	12.5	12.4	12.0	11.9
Eliminations	–	–	–	–	–	–
TOOLS TOTAL	3.1	3.3	2.8	2.4	2.6	2.4
BUSINESS AREAS
Luna (Tools & Machinery)	8.0	7.1	7.0	6.7	8.2	8.0
Skydda (Personal Protective Equipment)	6.9	3.6	6.7	4.7	6.9	5.9
Essve (Fastening Elements)	5.9	2.8	5.3	1.9	2.5	0.7
Gigant & Grunda (Work Environment & Consumables)	0.5	–1.6	–0.5	–1.5	0.9	0.5
Eliminations	–	–	–	–	–	–
BA TOTAL	5.6	3.4	4.9	3.3	5.1	4.3
GROUP-WIDE	–	–	–	–	–	–
ELIMINATIONS	–	–	–	–	–	–
GROUP	4.9	3.7	4.1	2.4	3.9	3.1

D. Compilation of key financial ratios

KEY FINANCIAL RATIOS		12 months ending
	30 Sep 2013	31 Mar 2013	31 Mar 2012	31 Mar 2011
Revenue, MSEK	7,573	7,666	8,201	7,885
Operating profit, MSEK	348	289	409	347
Profit after net financial items, MSEK	282	216	318	280
Profit for the period, MSEK	273	222	227	194
Operating margin	4.6%	3.8%	5.0%	4.4%
Profit margin	3.7%	2.8%	3.9%	3.6%
Return on capital employed	10%	8%	11%	9%
Return on equity	13%	11%	12%	11%
P/WC (Operating profit/Working capital*)	19%	15%	21%	19%
Operational net loan liability (closing balance), MSEK	901	914	1,414	1,407
Equity (closing balance), MSEK	2,115	2,065	1,950	1,840
Equity/assets ratio	42%	39%	35%	34%
Operational net debt/equity ratio	0.43	0.44	0.73	0.76
Number of employees at the end of the period	2,718	2,780	2,880	2,840

* Working capital = Inventories + Accounts Receivable – Accounts Payable.

KEY PER-SHARE DATA	12 months ending
	30 Sep 2013	31 Mar 2013	31 Mar 2012	31 Mar 2011
Earnings, SEK	9.70	7.90	8.10	6.90
Earnings after dilution, SEK	9.70	7.90	8.10	6.90
Cash flow, SEK	15.50	9.30	4.05	3.65
Equity, SEK	75.30	73.50	69.40	65.50
Share price, SEK	89.75	85.00	59.25	113.50

Dates for forthcoming financial information

Interim Report for 1 April – 31 December 2013 will be presented on 12 February 2014. Financial Report for 1 April 2013 – 31 March 2014 will be presented on 15 May 2014.

Visit www.bbtools.com to order reports and press releases.

The information in this report is such that it shall be disclosed by B&B TOOLS in accordance with the Swedish Securities Market Act, the Swedish Financial Instruments Trading Act or requirements imposed in the Rulebook for Issuers on NASDAQ OMX Stockholm. This information was submitted for publication on 7 November 2013 at 11:00 a.m.

B&B TOOLS AB (publ)

Mail address PO Box 10024 SE-100 55 Stockholm Sweden Visit Linnégatan 18 Stockholm Tel +46 10 454 77 00 Fax +46 10 454 77 01 Org No 556034-8590 Reg office Stockholm Web www.bbtools.com