Peab

Quarterly Report • Oct 24, 2025

Improved profit and strong cash flow

In this report amounts and comments are based on segment reporting if not otherwise specified. The Group has different accounting principles in segment reporting compared to reporting according to IFRS for our own housing development projects and for IFRS 16 (previously operational leasing contracts). For more information on our accounting principles and the differences between segment reporting and reporting according to IFRS, see note 1 and 3. For information on alternative performance measures, see the section Alternative performance measures and definitions.

Summary according to segment reporting

July - September 2025

• Net sales SEK 15.602 million (15.539)
• Operating profit SEK 1,148 million (995)
• Operating margin 7.4 percent (6.4)
• Pre-tax profit SEK 1,067 million (902)
• Earnings per share before and after dilution SEK 3.01 (2.59)
• Orders received SEK 10,223 million (10,135)
• Cash flow before financing SEK 2,792 million (1,195)

January - September 2025

• Net sales SEK 41,464 million (41,912)
• Operating profit SEK 1,630 million (1,508)
• Operating margin 3.9 percent (3.6)
• Pre-tax profit SEK 740 million (1,242). The settlement agreement regarding Mall of Scandinavia affected net financial items by SEK -611 million
• Earnings per share before and after dilution SEK 1.97 (3.62)
• Orders received SEK 39,980 million (44,458)
• Order backlog SEK 48.279 million (47.026)
• Cash flow before financing SEK 1,869 million (882)
• Net debt SEK 7,991 million (8,439)
• Net debt/equity ratio 0.5 (0.5)

Group

Cioup	Jul-Sep	Jul-Sep	Jan-Sep	Jan-Sep	Oct-Sep	Jan-Dec
MSEK	2025	2024	2025	2024	2024/2025	2024
Segment reporting
Net sales	15,602	15,539	41,464	41,912	58,249	58,697
Operating profit	1,148	995	1,630	1,508	2,885	2,763
Operating margin, %	7.4	6.4	3.9	3.6	5.0	4.7
Pre-tax profit	1,067	902	740	1,242	1,923	2,425
Profit for the period	865	745	572	1,043	1,609	2,080
Earnings per share before and after dilution, SEK	3.01	2.59	1.97	3.62	5.60	7.25
Return on equity, % 1)	9.9	6.4	9.9	6.4	9.9	13.3
Return on capital employed, % 1)	11.1	6.8	11.1	6.8	11.1	10.7
Net debt	7,991	8,439	7,991	8,439	7,991	9,118
Net debt/equity ratio, multiple	0.5	0.5	0.5	0.5	0.5	0.5
Equity/assets ratio, %	36.4	34.3	36.4	34.3	36.4	37.1
Cash flow before financing	2,792	1,195	1,869	882	3,588	2,601
Average number of employees	13,146	13,632	12,339	12,872	12,505	12,899
Reporting according to IFRS
Net sales, IFRS	15,358	15,720	41,246	44,098	58,431	61,283
Operating profit, IFRS	1,118	992	1,626	1,794	2,995	3,163
Pre-tax profit, IFRS	1,026	888	701	1,495	1,986	2,780
Profit for the period, IFRS	829	734	534	1,274	1,648	2,388
Earnings per share before and after dilution, IFRS, SEK	2.89	2.54	1.84	4.42	5.74	8.32
Net debt, IFRS	10,224	11,762	10,224	11,762	10,224	11,253
Equity/assets ratio, IFRS, %	33.9	31.2	33.9	31.2	33.9	34.6
Cash flow before financing, IFRS	2,349	1,446	1,880	3,698	4,926	6,744

¹⁾ Calculated on rolling 12 months

Net sales

Operating profit

Orders received

Comments from the CEO

The trend from previous quarters remains strong with continued good development in civil engineering and paving operations as well as in premise construction. Peab is reporting a slight increase in net sales, improved operating margin and a strong cash flow for the third quarter.

Group development

Group net sales contracted somewhat during the period January-September 2025 and amounted to SEK 41,464 million (41,912). Operating profit increased to SEK 1,630 million (1,508) and the operating margin improved to 3.9 percent (3.6). Civil engineering operations, premise construction and large sections of business area Industry continued to develop well while the low level of housing construction impacted operations in project development, construction system and crane rentals. Cash flow before financing was strong during the quarter and amounted to SEK 2.8 billion (1.2). During the quarter Peab received a billion kronor as a result of the settlement agreement with Unibail Rodamco Westfield concerning the lengthy dispute about the construction contract for Mall of Scandinavia in Solna. The agreement meant that our accessible liquidity increased by the same amount but net debt remained unchanged. Net debt per September 30, 2025 amounted to SEK 8.0 billion (8.4) and the net debt/equity ratio was 0.5 (0.5).

The level of orders received continued to be stable during the third quarter including several new orders in business area Civil Engineering. The level of orders received for the for the period January-September 2025 amounted to SEK 40.0 billion (44.5). The comparable period included several billion kronor orders, among them development of the New Bodø Airport worth NOK 3.3 billion. Order backlog per September 30, 2025 increased and was SEK 48.3 billion (47.0). We also had a stable level of incoming phase 1 contracts which are preliminary agreements that can lead to construction contracts. The potential value of final construction contracts at the end of the third quarter was around SEK 17 billion over the next two years (SEK 13 billion per December 31, 2024).

Business area development

Net sales contracted slightly in business area Construction due to lower activity in new production of homes which other kinds of projects have not been able to fully compensate for. As the level of housing construction has drastically dropped there has been a rise in premise construction, primarily for public customers. We are also just about to start on a number of major industrial projects such as the ones in Ludvika and Västerås for Hitachi. The operating margin improved in the period to 2.2 percent (1.9).

Activity continued to be high in business area Civil Engineering in both Sweden and Norway. Several Nordic governments have announced major investments in infrastructure, both new investments and operation and maintenance. In addition, public projects are being carried out in areas such as water and sewage and power supply as well as in investments related to the ongoing climate transition. Net sales increased by six percent and the operating margin improved to 3.9 percent (3.1).

In total, the operating margin for the construction contract businesses was 2.9 percent (2.3).

In business area Industry net sales contracted by seven percent. The decrease is primarily related to Finnish and Norwegian paving operations. Operating profit increased in the period to SEK 870 million (818) and the operating margin improved to 5.8 percent (5.1). Mineral aggregates and concrete improved operating profit during the period while profitability in construction system and rentals was lower. Operating profit in paving was relatively unchanged during the period.

Business area Project Development continues to be marked by the lower demand for housing in the Nordic region. Net sales in Project Develop ment for January-September 2025 amounted to SEK 2,634 million (2,533). Operating profit was SEK 118 million (207) and the operating margin was 4.5 percent (8.2). Capital gains of SEK 220 million resulting from the sales of Peab's shares in the joint venture Tornet Bostadsproduktion were included in the comparable period. The low level of production starts and few ongoing housing projects in production contributed to the operating margin in Housing Development landing at -1.0 percent (-3.3).

The housing market seems to have landed on a new level where in recent years production starts of homes are significantly fewer than there used to be. We are adjusting and wherever the market is that's where we are. At the same time we see that the trend of sales increasing as a project approaches completion continues.

As of 2025 we work from the strategy of – given our financial targets – more production of own housing developments on our own balance sheet to later on convert them into tenant-owner apartments. This largely concerns projects in metropolitan areas. In total, during the period January – September 2025 we production-started 803 (245) of own developed homes. Of these, 555 (245) were tenant-owner apartments/condominiums of which 236 were converted from homes on our own balance sheet. During the quarter we converted an ongoing housing project with 111 homes in Gothenburg. Starting projects on our own balance sheet increases tiedup capital and defers profit effects in segment reporting compared to our traditional method of pre-sales before production starts of our own development projects.

Target outcome

After the third quarter 2025 we report on three of our nine external targets: operating margin, net debt/equity ratio and serious accidents. The operating margin was 5.0 percent calculated on a rolling twelve month basis, which can be compared to 4.7 for the full year 2024 and our target of six percent. The net debt/equity ratio was 0.5 (0.5) at the end of September, which is in the middle of the target interval 0.3-0.7. The trend in the level of serious accidents is lower compared to the full year 2024 and the number of serious accidents over a rolling twelve month period per September 30, 2025 was 29 (33 per December 31, 2024). We will continue to work with unabated intensity to maintain a contracting trend in serious accidents.

Market and prospects for the future

Geopolitical unpredictability continues to result in a cautious market, uncertainty concerning investments and consumers with tight purse strings. Macroeconomic recovery is therefore proceeding slower than previously expected despite lower inflation and interest rates along with real wage growth. At the same time the effects of ongoing infrastructure investments and the fact that governments in the Nordic countries have announced substantial plans for both investments and maintenance are palpable.

In certain aspects Peab's business can benefit from the volatile world around us such as an increase in funding for the police, the penal system, security and defense related projects as well as NATO-related infrastructure projects. Prospects for the Nordic construction and civil engineering markets are on the whole positive. Housing markets are expected to improve even if it takes longer than previously thought. Expected premise construction development also points to a continued positive market, although this is more diversified among the Nordic countries. Continued good growth is expected for the civil engineering market.

External and market developments favor Peab and our broad business model. Thanks to our four business areas we are highly capable of taking advantage of the demand in the various product segments and geographic markets we operate in.

Jesper Göransson President and CEO

Net sales and profit

July – September 2025

Group net sales increased slightly during the third quarter 2025 and amounted to SEK 15,602 million (15,539).

Net sales in business area Construction increased by two percent compared to the same quarter last year. Business area Civil Engineering has had a high production rate during the quarter and net sales increased by eleven percent. Net sales in business area Industry decreased by eight percent. The decrease is mainly related to paving in Finland where volumes were higher in the corresponding quarter last year due to a positive effect from the Finnish government's extra appropriations and to paving in Norway where a review of operations has been carried out. Net sales in Project Development increased slightly compared to the same quarter last year.

Group operating profit increased during the third quarter and amounted to SEK 1,148 million (995) and the operating margin improved to 7.4 percent (6.4).

The operating margin improved in business area Construction to 2.2 percent (1.9) and in business area Civil Engineering the operating margin improved to 4.0 percent (3.1). All in all, the operating margin for construction contract operations amounted to 3.0 percent (2.4). Operating profit in business area Industry increased and the operating margin improved to 12.6 percent (11.3). Operating profit in mineral aggregates and rental operations was higher compared to the third quarter 2024. Operating profit in paving was lower since the corresponding quarter last year was positively affected by the Finnish government's extra appropriations. Construction system was affected by the weak housing market and reported lower profitability. Operating profit in business area Project Development amounted to SEK 36 million (-6) due to a positive effect from higher profit contributions from joint ventures in Property Development. There were no major property transactions in Property Development during the quarter, nor in the corresponding quarter last year. Activity in Housing Development continued to be low and the operating margin was -5.7 percent (-1.9).

Depreciation and write-downs for the third quarter were SEK -362 million (-362).

Elimination and reversal of internal profit in our own projects affected operating profit during the quarter by net SEK 14 million (2).

Net financial items amounted to SEK -81 million (-93) of which net interest was SEK -94 million (-104).

Pre-tax profit was SEK 1,067 million (902). Profit for the quarter was SEK 865 million (745).

Operating profit and operating margin, per quarter

January – September 2025

Group net sales decreased by one percent during January-September 2025 and amounted to SEK 41,464 million (41,912). Net sales for the latest rolling 12 month period amounted to SEK 58,249 million compared to SEK 58,697 million for the full year 2024. The share of public sector customers in net sales calculated on a rolling 12 month basis increased and accounted for 56 percent (54) and private customers for 44 percent (46).

Net sales in business area Construction decreased by four percent compared to the same period last year. The decrease is due to less activity in new housing production that has not been fully compensated for by other types of projects. Activity in business area Civil Engineering continued to be high during the period and net sales increased by six percent. Net sales in business area Industry decreased by seven percent. The decrease is mainly related to paving in Finland which in the corresponding period last year had higher volumes due to the Finnish government's extra appropriations and to paving in Norway where a review of operations has been carried out. In addition, there has been less activity in construction system as a result of the weak housing market. In Project Development net sales increased by four percent and the increase is attributable to Property Development.

Group operating profit increased to SEK 1,630 million (1,508) and the operating margin improved to 3.9 percent (3.6). We have increased earnings in several of our operations during the period. The first quarter last year included a positive effect of SEK 220 million in business area Project Development as a result of the divestment of the shares in the joint venture Tornet Bostadsproduktion.

The operating margin improved in business area Construction to 2.2 percent (1.9) during the period and in business area Civil Engineering the operating margin improved to 3.9 percent (3.1). All in all, the operating margin for construction contract operations amounted to 2.9 percent (2.3). Operating profit in business area Industry improved during the period and the operating margin was 5.8 percent (5.1). Operating profit improved in mineral aggregates and concrete during the period while both construction system and rental operations were affected by the weak housing market and reported lower profitability. The operating profit in paving was relatively unchanged compared to the corresponding period last year. Operating profit in business area Project Development amounted to SEK 118 million (207) and the operating margin was 4.5 percent (8.2). Capital gains from divestitures of properties and shares in joint ventures in Property Development contributed by SEK 64 million (271). The comparable period included a capital gain of SEK 220 million from the sale of shares in the joint venture Tornet Bostadsproduktion. Profit contributions from joint venture companies have increased and amounted to SEK 116 million (56). A number of production starts in Housing Development had a positive effect during the period, although activity continued to be low. The operating margin in Housing Development was -1.0 percent (-3.3).

Depreciation and write-downs for the period were SEK -1,071 million (-1,066).

Elimination and reversal of internal profit in our own projects affected operating profit during the period by net SEK 30 million (3).

Net financial items amounted to SEK –890 million (-266) of which net interest was SEK -258 million (-315). The effect of the settlement regarding Mall of Scandinavia affected net financial items by SEK -611 million. For more information about the settlement see the section Other information.

Pre-tax profit was SEK 740 million (1,242). Profit for the period was SEK 572 million (1,043).

Operating profit and operating margin, rolling 12 months

Seasonal variations

Group operations, particularly in Industry and Civil Engineering, are normally affected by fluctuations that come with the cold weather during the winter half of the year. The first quarter is usually weaker than the rest of the year.

Financial position and cash flow

Financial position

Total assets according to segment reporting per September 30, 2025 were SEK 44,791 million (45,677). Equity amounted to SEK 16,296 million (15,650), which entails an equity/assets ratio of 36.4 percent (34.3).

Interest-bearing net debt amounted to SEK 7,991 million (8,439) per September 30, 2025. During the period dividends of SEK 1,100 million were received from Fastighets AB Centur, which was offset against interest-bearing debt that arose in connection with the acquisition of properties from Fastighets AB Centur during the fourth quarter of 2024. Net debt includes project financing of the unsold part of our own housing developments while they are in production. At the end of the period the unsold part amounted to SEK 1,823 million (2,042). Interest-bearing receivables amounted to SEK 566 million (2,604). The comparable period included, among others, an interest-bearing receivable of SEK 1,067 million on Unibail-Rodamco-Westfield regarding Mall of Scandinavia. The arbitration was settled during the second quarter 2025 and Peab received payment on July 2, 2025. For more information regarding the settlement of Mall of Scandinavia, see the section Other information. The average interest rate in the loan portfolio was 4.5 percent (5.6) on September 30, 2025.

Group liquid funds according to IFRS, including unutilized credit facilities but excluding project financing, were SEK 8,921 million at the end of the period compared to SEK 8,822 million on December 31, 2024.

As a consequence of Peab consolidating Swedish tenant-owner associations according to IFRS, surety for tenant-owner associations under production is not reported. When homebuyers take possession of their apartments and the tenantowner association is no longer consolidated in Peab's accounts, Peab then reports the part of surety that covers unsold homes. Peab has a guarantee obligation to acquire unsold homes six months after completion. Group contingent liabilities, excluding joint and several liabilities in trading and limited partnerships, amounted to SEK 1,578 million at the end of the period compared to SEK 2,193 million on December 31, 2024. Surety for credit lines in tenant-owner associations regarding the unsold part after deconsolidation made up SEK 269 million of contingent liabilities compared to SEK 508 million on December 31, 2024.

Investments and divestments

Group investments during the third quarter in tangible and intangible fixed assets amounted to SEK 286 million (74). The investments mainly refer to investments in machines and cranes in business area Industry. Group investments during the period January-September in tangible and intangible fixed assets amounted to SEK 693 million (463). The investments mainly refer to investments in machines in business area Industry. During the quarter tangible and intangible fixed assets of SEK 58 million (19) were divested. During the period January-September tangible and intangible fixed assets of SEK 174 million (222) were divested.

Project and development properties

Project and development properties, which are reported as inventory items, amounted to SEK 17,205 million as of September 30, 2025, compared to SEK 16,828 million per December 31, 2024. The net change during January – September was SEK 377 million (682) and is mainly due to more capital tied up in housing projects in ongoing production. The change during the same period the previous year is largely explained by the acquisition of building rights in Nacka through the purchase of Sicklaön Bygg Invest AB.

Net debt

MSEK	Sep 30 2025	Sep 30 2024	Dec 31 2024
Bank loans	3,550	4,713	3,790
Commercial papers	99	623	642
Bonds	4,128	3,705	3,722
Financial leasing liabilities	776	752	733
Project financing, unsold part of housing projects	1,823	2,042	2,237
Other interest-bearing liabilities	17	52	1,115
Interest-bearing receivables	-566	-2,604	-1,643
Liquid funds	-1,836	-844	-1,478
Net debt, segment reporting	7,991	8,439	9,118
Additional leasing liabilities according to IFRS 16	1,319	1,441	1,460
Project financing, sold part of housing projects	914	1,882	675
Net debt, IFRS	10,224	11,762	11,253

Net debt and net debt/equity ratio

Cash flow

July – September 2025

Cash flow from current operations was strong and amounted to SEK 1,957 million (1,200) during the third quarter 2025, of which cash flow from changes in working capital was SEK 577 million (-347). All business areas contributed to the positive cash flow in the quarter, although most of it was generated in business area Industry.

Cash flow from investment activities was positive and amounted to SEK 835 million (-5) where payment of the interest-bearing receivable relating to the settlement of Mall of Scandinavia had an impact of SEK 979 million. Investments in the quarter consisted mainly of machines, cranes and vehicles in business area Industry.

Cash flow before financing improved to SEK 2,792 million (1,195).

Cash flow from financing operations amounted to SEK -1,407 million (-1,837), of which the repurchase of own shares amounted to SEK -160 million (-) and repayment of loans amounted to SEK -1,247 million (-1,837).

January – September 2025

Cash flow from current operations improved during the period and amounted to SEK 1,136 million (388), of which cash flow from changes in working capital was SEK -792 million (-1,467). The negative cash flow from changes in working capital is related to business area Industry and Project Development. For business area Project Development more capital tied up in housing projects in ongoing production has charged cash flow.

Cash flow from investment activities was SEK 733 million (494), of which payment of interest-bearing receivables relating to the settlement of Mall of Scandinavia had a positive effect of SEK 1,000 million. At the same time divestitures of shares in joint ventures in business area Project Development also had a positive effect on cash flow. Investments have increased compared to the corresponding period last year and mainly consisted of machines, cranes and vehicles in business area Industry. Last year cash flow was positively affected by the sale of shares in the joint venture Tornet Bostadsproduktion in business area Project Development.

Cash flow before financing was SEK 1,869 million (882).

Cash flow from financing operations amounted to SEK -1,510 million (-1,284), of which dividends of SEK -431 million (-431) were paid to shareholders and own shares were repurchased for SEK -160 million (-). Loan repayment amounted to SEK -916 million (-855).

Cash flow before financing

Order situation

July – September 2025

Orders received were stable during the third quarter 2025 and amounted to SEK 10,223 million (10,135). The level of orders received rose in business area Civil Engineering during the quarter while it fell in business area Construction and Industry.

January – September 2025

Orders received during the period January-September 2025 amounted to SEK 39,980 million (44,458). The level of orders received increased in business area Construction during the period while the level of orders received contracted in business area Civil Engineering. The level of orders received in business area Civil Engineering was high in the comparable period when several large, billion kronor projects were registered, including New Bodø Airport in Norway worth NOK 3.3 billion, the Haga-Rosenlund stage of the West Link in Gothenburg worth about SEK 1.5 billion, a new dock in Skellefteå worth about SEK 1.1 billion and operation and maintenance contracts for about SEK 1.1 billion. The level of orders received in business area Industry was somewhat lower but still on high level. Business area Project Development started production of more tenant-owner apartments/condominiums compared to the same period last year, which had a positive effect on the level of orders received. There is a large portion of projects for the public sector in orders received for the Group.

Preliminary agreements

(79) of the order backlog.

Operations in business areas Construction and Civil Engineering often participate in dialogues with customers at an early stage prior to planned projects, so-called phase 1 contracts. Through these preliminary agreements Peab is contracted to arrive at, together with the customer, an optimal product with the right quality and also deal with risks and uncertainties. As of 2024, we present the potential value of the final construction contracts generated by these preliminary agreements.

Order backlog yet to be produced at the end of the period grew and amounted to SEK 48,279 million (47,026). Of the total order backlog, 77 percent (77) is expected to be produced after 2025 (2024). Swedish operations accounted for 82 percent

At the beginning of 2025 the potential value was around SEK 13 billion. During the period several projects went from phase 1 to phase 2, which means that the projects have been converted into construction contracts and included in Peab's orders received. At the same time, we see that new projects have flowed into phase 1 while a few have fallen away. During the period several new projects were added to both business areas, but especially to the business area Construction. The value of the construction contracts generated from these phase 1 contracts at the end of September was around SEK 17 billion, and these orders will potentially be received over the next two years.

Orders received

MSEK	Jul-Sep 2025	Jul-Sep 2024	Jan-Sep 2025	Jan-Sep 2024	Oct-Sep 2024/2025	Jan-Dec 2024
Construction	3,994	4,489	19,380	15,899	25,705	22,224
Civil Engineering	4,384	3,051	13,337	19,224	16,566	22,453
Industry	2,440	3,245	9,905	10,672	12,996	13,763
Project Development	339	327	1,937	967	3,183	2,213
Eliminations	-934	-977	-4,579	-2,304	-6,418	-4,143
Group	10,223	10,135	39,980	44,458	52,032	56,510

Order backlog

	Sep 30	Sep 30	Dec 31
MSEK	2025	2024	2024
Construction	26,211	23,154	23,188
Civil Engineering	20,855	21,596	19,853
Industry	4,907	4,460	4,282
Project Development	1,631	1,217	1,536
Eliminations	-5,325	-3,401	-3,953
Group	48,279	47,026	44,906

Project size of order backlog, September 30, 2025

Order backlog allocated over time

We received a number of major construction projects and contracts in the third quarter, including:

• Construction of Sunnerby School in Sunnerby in Nynäshamn Municipality. The customer is Nynäshamn Municipality. The contract is worth SEK 197 million.
• Renewed confidence regarding framework agreement for local network services by E.ON Energidistribution AB. The contract runs for five years with an option of a one-year extension. The contract is worth SEK 1,150 million.
• Construction of a nursing home in Helsingborg. The customer is Helsingborgshem Fyra AB. The contract is worth SEK 173 million.

• Construction of 72 rental apartments in Kalmar. The customer is PPE Fastigheter. The contract is worth SEK 112 million.

• Construction of Hitachi Energy's new campus at Finnslätten in Västerås. The customer is Hitachi Energy. The contract is worth SEK 1.1 billion.

• Construction of new main pipes for drinking water and sewage between Ramundberget and Bruksvallarna in Härjedalen. The customer is Vatten och Miljöresurs. The contract is worth SEK 100 million.
• Renovation and extension of an office building in Helsinki. The customer is S-Pankki Kiinteistövarainhoito. The contract is worth EUR 24 million.
• Five of Peab's operation contracts for road maintenance with the Swedish Transport Administration have been extended through the exercise of two-year options. The contracts have a total value of approximately SEK 660 million.

In the third quarter own housing developments of tenant-owner/condominium apartments were productionstarted or converted and therefore reported as orders, including:

Brf Indigo in Gothenburg comprising 111 apartments. The property will be Swan ecolabeled and construction will be focused on natural materials and solutions that generate better climate performance. The project was converted from homes on our own balance sheet to tenant-owner apartments and is expected to be completed in the summer of 2027.

We received a number of paving contracts in the third quarter, including:

• Two-year federal contract in Region Øst for the extension of the highway in Hillerød worth DKK 82 million.
• Two-year municipal contract in Danderyd worth SEK 26 million.

Overview business areas

The Peab Group is presented in four different business areas: Construction, Civil Engineering, Industry and Project Development. The business areas are also operating segments.

For more information regarding the differences between segment reporting and reporting according to IFRS, see note 1 and note 3.

In addition to the business areas central companies, certain subsidiaries and other holdings are presented as Group functions. The central companies primarily consist of the parent company Peab AB and Peab Finans AB.

Net sales and operating profit per business area

Net sales	Operating profit

MSEK	Jul-Sep 2025	Jul-Sep 2024	Jan-Sep 2025	Jan-Sep 2024	Oct-Sep 2024/2025	Jan-Dec 2024	Jul-Sep 2025	Jul-Sep 2024	Jan-Sep 2025	Jan-Sep 2024	Oct-Sep 2024/2025	Jan-Dec 2024
Construction	5,238	5,130	16,514	17,276	23,055	23,817	116	96	364	320	460	416
Civil Engineering	4,248	3,810	12,349	11,646	17,242	16,539	169	117	487	359	627	499
Industry	6,953	7,528	14,914	15,972	20,490	21,548	875	848	870	818	1,467	1,415
Project Development	892	758	2,634	2,533	4,371	4,270	36	-6	118	207	639	728
– of which Property Development	48	6	141	50	777	686	84	8	144	290	677	823
– of which Housing Development	844	752	2,493	2,483	3,594	3,584	-48	-14	-26	-83	-38	-95
Group functions	349	333	1,057	1,007	1,400	1,350	-62	-62	-239	-199	-381	-341
Eliminations	-2,078	-2,020	-6,004	-6,522	-8,309	-8,827	14	2	30	3	73	46
Group, segment reporting	15,602	15,539	41,464	41,912	58,249	58,697	1,148	995	1,630	1,508	2,885	2,763
Adjustment housing to IFRS	-244	181	-218	2,186	182	2,586	-41	-14	-37	261	66	364
IFRS 16' additional leases	–	–	–	–	–	–	11	11	33	25	44	36
Group, IFRS	15,358	15,720	41,246	44,098	58,431	61,283	1,118	992	1,626	1,794	2,995	3,163
Of which construction contract businesses according to segment reporting (Construction and Civil Engineering)	9,486	8,940	28,863	28,922	40,297	40,356	285	213	851	679	1,087	915

Operating margin

Percent	Jul-Sep 2025	Jul-Sep 2024	Jan-Sep 2025	Jan-Sep 2024	Oct-Sep 2024/2025	Jan-Dec 2024
Construction	2.2	1.9	2.2	1.9	2.0	1.7
Civil Engineering	4.0	3.1	3.9	3.1	3.6	3.0
Industry	12.6	11.3	5.8	5.1	7.2	6.6
Project Development	4.0	-0.8	4.5	8.2	14.6	17.0
– of which Property Development	175.0	133.3	102.1	580.0	87.1	120.0
– of which Housing Development	-5.7	-1.9	-1.0	-3.3	-1.1	-2.7
Group functions
Eliminations
Group, segment reporting	7.4	6.4	3.9	3.6	5.0	4.7
Adjustment housing to IFRS
IFRS 16' additional leases
Group, IFRS	7.3	6.3	3.9	4.1	5.1	5.2
Of which construction contract businesses according to segment reporting (Construction and Civil Engineering)	3.0	2.4	2.9	2.3	2.7	2.3

Business area Construction

With local roots close to customers business area Construction does construction work for both external and internal customers. Construction projects include everything from new production of housing, public and commercial premises to renovations and extensions as well as construction maintenance.

Operations in business area Construction are run via some 150 local offices around the Nordic region, organized in eleven regions in Sweden, three in Norway and two in Finland. There are specialized housing production units in Stockholm, Gothenburg and the Öresund region. Construction maintenance is a nationwide organization in Sweden focused on major cities. Other regions are responsible for all types of construction projects in their geographic area.

Net sales and profit

July – September 2025

Net sales for the third quarter 2025 increased by two percent and amounted to SEK 5,238 million (5,130). Operating profit increased during the quarter and amounted to SEK 116 million (96) and the operating margin improved to 2.2 percent (1.9).

January – September 2025

Net sales for January-September 2025 decreased by four percent and amounted to SEK 16,514 million (17,276). The decrease is due to less activity in new housing production that has not been fully compensated by other types of projects.

The proportion of housing construction in net sales has fallen sharply while premise construction, primarily for the public sector, has increased. Calculated on a rolling 12 month basis, per September 30, 2025 housing accounted for 24 percent (29) of net sales.

Operating profit increased during the period and amounted to SEK 364 million (320) and the operating margin improved to 2.2 percent (1.9). The operating margin for the latest rolling 12 month period was 2.0 percent compared to 1.7 percent for the full year 2024.

Orders received and order backlog

July – September 2025

The level of orders received during the third quarter was 3,994 SEK million (4,489). Orders received in the quarter include construction of Hitachi Energy's new campus at Finnslätten in Västerås for SEK 1.1 billion.

January – September 2025

The level of orders received increased during the period and amounted to SEK 19,380 million (15,899). There is a large portion of projects for the public sector in orders received. Calculated on a rolling 12 month period the level of orders received was 111 percent of net sales.

Order backlog on September 30, 2025 was SEK 26,211 million (23,154). The proportion of housing projects at the end of the period was 29 percent (27).

Net sales

per product area, rolling 12 months

per geographic market, rolling 12 months

Order backlog, September 30, 2025

per product area

per project size

	Jul-Sep	Jul-Sep	Jan-Sep	Jan-Sep	Oct-Sep	Jan-Dec
	2025	2024	2025	2024	2024/2025	2024
Net sales, MSEK	5,238	5,130	16,514	17,276	23,055	23,817
Operating profit, MSEK	116	96	364	320	460	416
Operating margin, %	2.2	1.9	2.2	1.9	2.0	1.7
Orders received, MSEK	3,994	4,489	19,380	15,899	25,705	22,224
Orders received/net sales, %	76	88	117	92	111	93
Order backlog, MSEK	26,211	23,154	26,211	23,154	26,211	23,188
Operating cash flow, MSEK	1,343	-74	1,649	90	1,556	-3
Average number of employees	4,192	4,476	4,184	4,519	4,228	4,477

Business area Civil Engineering

Business area Civil Engineering is a leading actor in Sweden and one of the larger players in Norway. Civil Engineering works with landscaping and pipelines, builds and maintains roads, railroads, bridges and other infrastructure as well as does foundation work. Operations are organized in five geographic regions, one region for foundations and one specialized nationwide region in Sweden for operation and maintenance.

Local market in business area Civil Engineering works with landscaping, streets, pipelines, foundation work as well as construction of different kinds of facilities and water line and pipeline systems. Infrastructure and heavy construction builds roads, railroads, bridges, tunnels and ports. Operation and maintenance handles national and municipal highways and street networks, tends parks and outdoor property as well as operates water and sewage networks.

Net sales and profit

July – September 2025

Activity was high during the third quarter 2025 in business area Civil Engineering in both Sweden and Norway. Net sales increased by eleven percent to SEK 4,248 million (3,810). Operating profit increased to SEK 169 million (117) and the operating margin improved to 4.0 percent (3.1).

January – September 2025

Activity was high during January-September 2025 in business area Civil Engineering in both Sweden and Norway. Several Nordic governments have announced major investments in infrastructure, both new investments and operation and maintenance. In addition, public projects are being carried out in areas such as water and sewage and power supply as well as in investments related to the ongoing climate transition. Net sales increased by six percent to SEK 12,349 million (11,646). Adjusted for divested operations and exchange rate effects, net sales increased by seven percent.

Operating profit increased and amounted to SEK 487 million (359) and the operating margin improved to 3.9 percent (3.1). The operating margin for the latest rolling 12 month period was 3.6 percent compared to 3.0 percent for the full year 2024.

Orders received and order backlog

July – September 2025

The level of orders received increased during the third quarter 2025 and amounted to SEK 4,384 million (3,051). Orders received for the quarter include a framework agreement for local network services for E.ON Energidistribution AB worth SEK 1,150 million. The contract runs for five years with an option for a one-year extension.

January – September 2025

The level of orders received was lower during January-September 2025 and amounted to SEK 13,337 million (19,224). The level of orders received in the comparable period was high and included West link's Haga-Rosenlund stage in Gothenburg worth around SEK 1.5 billion, a new dock in Skellefteå worth about SEK 1.1 billion, operation and maintenance contracts for about SEK 1.1 billion and New Bodø Airport worth NOK 3.3 billion. Calculated on a rolling 12 month period the level of orders received was 96 percent of net sales.

Order backlog on September 30, 2025 amounted to SEK 20,855 million (21,596). Roads and other infrastructure make up the largest portion of the order backlog at 37 percent (45).

Net sales

per product, rolling 12 months

per geographic market, rolling 12 months

Order backlog, September 30, 2025

per product

per project size

	Jul-Sep 2025	Jul-Sep 2024	Jan-Sep 2025	Jan-Sep 2024	Oct-Sep 2024/2025	Jan-Dec 2024
Net sales, MSEK	4,248	3,810	12,349	11,646	17,242	16,539
Operating profit, MSEK	169	117	487	359	627	499
Operating margin, %	4.0	3.1	3.9	3.1	3.6	3.0
Orders received, MSEK	4,384	3,051	13,337	19,224	16,566	22,453
Orders received/net sales, %	103	80	108	165	96	136
Order backlog, MSEK	20,855	21,596	20,855	21,596	20,855	19,853
Operating cash flow, MSEK	295	-48	814	445	1,066	697
Average number of employees	3,199	3,291	3,139	3,221	3,175	3,235

Business area Industry

Business area Industry provides products and services needed to carry out construction and civil engineering projects on the Nordic market that are more sustainable and cost-efficient. With local roots we work with both external and internal customers.

Business area Industry offers everything from mineral aggregates, concrete, paving and temporary electricity to prefabricated concrete elements and frame assembly. The business area also assists with crane, barrack and machine rental, distribution of binder to the concrete industry, transportation and recycling surpluses from the construction and civil engineering industry. The business area is run in six product areas: mineral aggregates, paving, concrete, transportation and machines, rentals and construction system.

Net sales and profit

Business area Industry has a very clear seasonal pattern where the first quarter is characterized by substantial deficits since the paving season begins in the second quarter.

July – September 2025

Net sales for the third quarter 2025 decreased by eight percent to SEK 6,953 million (7,528). The decrease is mainly related to paving in Finland, where in the same quarter last year volumes were higher due to the Finnish government's extra appropriations' positive effect and to paving in Norway, where a review of operations has been carried out due to low earnings for some time.

Operating profit increased during the third quarter and amounted to SEK 875 million (848) and the operating margin improved to 12.6 percent (11.3). Operating profit in mineral aggregates and rental operations was higher compared to the third quarter 2024. The operating profit for paving was lower than the same quarter last year since it was positively affected by the Finnish government's extra funds for road maintenance. Construction system was affected by the weak housing market and reported lower profitability.

January – September 2025

Net sales for January-September 2025 decreased by seven percent to SEK 14,914 million (15,972).

The decrease is mainly related to paving in Finland where volumes were higher in the same period last year due to the Finnish government's extra appropriations and to paving in Norway where a review of operations has been carried out. In addition, there has been less activity in construction system as a result of the weak housing market.

Operating profit during the period increased and amounted to SEK 870 million (818) and the operating margin improved to 5.8 percent (5.1). Operating profit improved in mineral aggregates and concrete during the period while both construction system and rental operations were affected by the weak housing market and reported lower profitability. The operating profit in paving was relatively unchanged compared to the corresponding period last year. For the latest rolling 12 month period the operating margin for the business area amounted to 7.2 percent compared to 6.6 percent for the full year 2024.

Capital employed at the end of the period decreased and was SEK 10,034 million compared to SEK 10,688 million at the end of the same period last year. The decrease is primarily due to an improvement in working capital.

Orders received and order backlog

July – September 2025

The level of orders received decreased during the third quarter and amounted to SEK 2,440 million (3,245). The reduction is related to Finnish and Swedish paving operations.

January – September 2025

The level of orders received during the period was slightly lower and amounted to SEK 9,905 million (10,672). The decline in orders received is related to Finnish and Norwegian paving operations. Order backlog on September 30, 2025 amounted to SEK 4,907 million (4,460).

Net sales

per product area, rolling 12 months

per geographic market, rolling 12 months

	Jul-Sep 2025	Jul-Sep 2024	Jan-Sep 2025	Jan-Sep 2024	Oct-Sep 2024/2025	Jan-Dec 2024
Net sales, MSEK	6,953	7,528	14,914	15,972	20,490	21,548
Operating profit, MSEK	875	848	870	818	1,467	1,415
Operating margin, %	12.6	11.3	5.8	5.1	7.2	6.6
Orders received, MSEK	2,440	3,245	9,905	10,672	12,996	13,763
Order backlog, MSEK	4,907	4,460	4,907	4,460	4,907	4,282
Capital employed at the end of the period, MSEK	10,034	10,688	10,034	10,688	10,034	9,920
Operating cash flow, MSEK	1,209	1,436	592	859	2,057	2,324
Average number of employees	5,063	5,148	4,324	4,372	4,406	4,441
3 1) Concrete, thousands of m	231	225	646	655	907	916
1) Paving, thousands of tons	2,823	3,058	4,853	5,173	6,351	6,671
1) Mineral aggregates, thousands of tons	7,353	7,522	18,267	20,079	26,018	27,830

Refers to sold volume 1)

Business area Project Development

Business area Project Development, which comprises Housing Development and Property Development, develops sustainable and vibrant urban environments with residential, commercial and public property.

The business area Project Development is responsible for the Group's property acquisitions and divestitures as well as project development which generates contract work for the other business areas. Project Development works through wholly owned companies or in collaboration with other partners in joint ventures.

Housing Development offers a broad range of housing forms including apartment buildings with tenant-owner apartments, condominiums and apartments for rent.

Property Development develops office buildings, premises and sometimes entire city districts in collaboration with municipalities and other partners. Operations are primarily concentrated to metropolitan areas throughout the Nordic region.

Net sales and profit

July – September 2025

Net sales in Project Development amounted to SEK 892 million (758) during the third quarter 2025. Operating profit amounted to SEK 36 million (-6) and the operating margin improved to 4.0 percent (-0.8).

January – September 2025

Net sales in Project Development during January-September 2025 were SEK 2,634 million (2,533). Operating profit amounted to SEK 118 million (207) and the operating margin was 4.5 percent (8.2).

Capital employed in Project Development at the end of the period amounted to SEK 19,138 million (18,229).

Capital employed

MSEK	Sep 30 2025	Sep 30 2024	Dec 31 2024
Operations property	33	41	34
Investment property	35	36	36
Project and development property	17,437	15,323	17,017
of which housing development rights	9,176	8,718	9,344
of which commercial development rights	1,573	1,053	1,671
of which ongoing housing projects	3,335	2,903	2,740
of which ongoing commercial projects	303	869	115
of which completed and repurchased homes	1,754	866	1,895
of which completed commercial property	1,296	914	1,252
Shares in joint ventures	1,716	2,325	2,880
Loans to joint ventures	500	1,410	484
Working capital and other	-583	-906	-684
Total	19,138	18,229	19,767
of which Property Development	4,538	4,859	6,165
of which Housing Development	14,600	13,370	13,602

	Jul-Sep 2025	Jul-Sep 2024	Jan-Sep 2025	Jan-Sep 2024	Oct-Sep 2024/2025	Jan-Dec 2024
Net sales, MSEK	892	758	2,634	2,533	4,371	4,270
of which Property Development	48	6	141	50	777	686
of which Housing Development	844	752	2,493	2,483	3,594	3,584
Operating profit, MSEK	36	-6	118	207	639	728
of which Property Development	84	8	144	290	677	823
of which Housing Development	-48	-14	-26	-83	-38	-95
Operating margin, %	4.0	-0.8	4.5	8.2	14.6	17.0
of which Property Development	175.0	133.3	102.1	580.0	87.1	120.0
of which Housing Development	-5.7	-1.9	-1.0	-3.3	-1.1	-2.7
Capital employed at the end of the period, MSEK	19,138	18,229	19,138	18,229	19,138	19,767
Orders received, MSEK	339	327	1,937	967	3,183	2,213
Order backlog, MSEK	1,631	1,217	1,631	1,217	1,631	1,536
Operating cash flow, MSEK	77	174	-370	218	-165	423
Average number of employees	123	142	128	161	131	155

Housing Development

July – September 2025

Net sales in the third quarter 2025 amounted to SEK 844 million (752). Operating profit was SEK -48 million (-14) and the operating margin was -5.7 percent (-1.9).

As of 2025 our own housing development projects are divided into three categories: Tenant-owner apartments/condominiums where net sales and profit in segment reporting are successively reported as the projects are completed. Orders received and order backlog are also reported for this type of property. Rental apartments, which are built on our own balance sheet and where net sales and profit are reported at one point in time when Peab sells the property to an external party. Homes on our own balance sheet are projects that are productionstarted and built on our own balance sheet and can then be converted into tenant-owner apartments/condominiums or sold as rental apartments. Net sales and profit are reported first when the housing project is reclassified either as tenant-owner apartments/condominiums and then successively reported as the project is completed, or sold and turned over as rental apartments.

During the quarter 111 (108) tenant-owner apartments/condominiums were started, all of which were converted from homes on our own balance sheet, which means that no new housing projects were started in net terms during the third quarter. During the third quarter last year all 108 homes were new production starts. The number of sold homes during the quarter was 301 (300), of which 91 (141) were tenant-owner apartments/condominiums, 191 (159) were rental apartments and 19 (–) were homes on our own balance sheet under production.

January – September 2025

The weak demand on the Nordic housing market in recent years is clearly noticeable in Housing Development. Net sales were relatively unchanged and amounted to SEK 2,493 million (2,483) during the period. Operating profit was SEK -26 million (-83) and the operating margin was -1.0 percent (-3.3). The operating margin for the latest rolling 12-month period was -1.1 percent compared to -2.7 percent for the full year 2024.

Production started on a total of 803 (245) own developed homes during the period. Of these 555 (245) were tenant-owner apartments/condominiums, of which 236 were converted from homes on our own balance sheet. Two of the housing projects are located in Stockholm, one on Kvarnholmen in Nacka and one in Råsunda in Solna. This demonstrates that it is possible to start tenant-owner housing projects with pre-sales in unique locations. Production started on 190 (–) rental apartments and on 58 (–) homes as new housing projects on our own balance sheet. The total number of homes sold during the period was 904 (741), of which 467 (443) were tenant-owner apartments/condominiums, 357 (298) were rental apartments and 80 (–) were homes on our own balance sheet under production.

The total number of homes in production at the end of the period was 1,990 (1,754), of which 1,226 (1,051) were tenant-owner apartments/condominiums, 270 (80) were homes in rental apartment projects and 494 (623) were homes on our own balance sheet. The sales rate for the total number of homes in production at the end of the period was 42 percent (33). The sales rate for tenantowner apartments/condominiums was 45 percent (55). The total number of completed and repurchased homes was 543 (532), of which 347 (226) were tenantowner apartments/condominiums and 196 (306) were rental apartments.

Sales of our own developed homes continued to be at a low level during the period, even though we are selling at an even pace. The housing market seems to have landed on a new level where during the past years production starts of homes are significantly fewer than there used to be. We are adjusting and wherever the market is that's where we are. At the same time we see that the trend of sales increasing as a project approaches completion continues. Since the beginning of the year we have therefore been working on the strategy of – given our financial targets – increasing our own housing development production on our own balance sheet and later on converting it into tenant-owner apartments. This is particularly the case for projects in metropolitan areas. Starting projects on our own balance sheet increases our tied-up capital and entails deferred effects on profits according to segment reporting, compared with our traditional method of advance sales before production starts of our own developed projects.

There is an underlying need for new housing although aspects like high construction costs and downward revised forecasts regarding population growth make it harder to assess demand in the medium-term.

Capital employed amounted to SEK 14,600 million (13,370) at the end of the period.

Peab develops and builds nursing home in Stockholm

Peab and Heba will together in the newly formed company Villa Primus AB develop a nursing home on Lilla Essingen in Stockholm. The nursing home will have room for 160 housing units and one sheltered accommodation with six beds. The project contributes to Stockholm's growing need for modern and safe housing for the elderly. The property comprises 12,000 m GFA with more than 10,000 m of lettable area and is designed with a strong focus on functionality, accessibility and sustainability. Heba will take possession of its share in the joint company in the autumn of 2025. The company will own the project until completion, which is expected to occur in 2028. After that, Heba will acquire the nursing home. Both the nursing home and the sheltered accommodation are fully leased on 20 year leases to the care group Ambea. Villa Primus will be certified according to Miljöbyggnad Silver 4.0 and achieve energy class B or better. The building will be built with climate-improved concrete and the roof will be equipped with sedum and solar panels to further reduce its energy and climate footprint. 2 2

Net sales

per geographic market, rolling 12 months

Development rights for housing

	Sep 30	Sep 30	Dec 31
Number, approx.	2025	2024	2024
Development rights on our own balance sheet	23,300	22,200	24,000
Development rights via joint ventures	4,900	4,000	3,700
Development rights via options etc.	5,500	6,700	7,400
Total	33,700	32,900	35,100

Number of sold homes

Number	Jul Sep 2025	Jul Sep 2024	Jan Sep 2025	Jan Sep 2024	Oct-Sep 2024/2025	Jan Dec 2024
Tenant-owner apartments/condominiums	91	141	467	443	734	710
Rentals	191	159	357	298	357	298
Homes on our own balance sheet	19	–	80	–	103	23
Total number of homes	301	300	904	741	1,194	1,031

Number of started-up homes

Number	Jul Sep 2025	Jul Sep 2024	Jan Sep 2025	Jan Sep 2024	Oct-Sep 2024/2025	Jan Dec 2024
Tenant-owner apartments/condominiums	111	108	555	245	967	657
– of which converted from homes on our own balance sheet	111	–	236	–	445	209
Rentals	–	–	190	–	190	–
Homes on our own balance sheet	-111	–	58	–	-129	-187
– of which converted to tenant-owner apartments/condominiums	-111	–	-236	–	-445	-209
Total number of homes	0	108	803	245	1,028	470

Number of homes in ongoing production

	Sep 30	Sep 30	Dec 31
Number	2025	2024	2024
Tenant-owner apartments/condominiums	1,226	1,051	1,056
– of which sold share	45%	55%	45%
Rentals	270	80	80
– of which sold share	91%	0%	100%
Homes on our own balance sheet	494	623	436
– of which sold share	8%	0%	4%
Total number of homes	1,990	1,754	1,572
– of which sold share	42%	33%	37%

Number of completed and repurchased homes

	Sep 30	Sep 30	Dec 31
Number	2025	2024	2024
Tenant owner apartments/condominiums	347	226	266
Rentals	196	306	306
Total number of homes	543	532	572

Time of completion of our own ongoing housing developments

Property Development

Net sales and operating profit from operations are derived from acquisitions, development, running and managing wholly owned property, shares in profit from joint ventures as well as capital gains/losses from the divestiture of completed property and shares in joint ventures.

July – September 2025

Net sales for the third quarter 2025 were SEK 48 million (6) and operating profit was SEK 84 million (8). No major property transactions have taken place during the quarter, nor during the corresponding quarter last year. Profit contributions from joint ventures were SEK 81 million (22).

January – September 2025

Net sales for January-September 2025 were SEK 141 million (50) and operating profit was SEK 144 million (290). Capital gains from property divestitures and participations in joint ventures amounted in total to SEK 64 million (271). The comparable period included capital gains of SEK 220 million from the sale of shares in the joint venture Tornet Bostadsproduktion. Profit contributions from joint ventures have increased and amounted to SEK 116 million (56).

At the end of the period capital employed in Property Development was SEK 4,538 million (4,859). Capital employed consists of shares in joint ventures, loans to joint ventures and ongoing and completed property projects. During the period Fastighets AB Centur distributed a dividend of SEK 1,100 million which was offset against an interest-bearing liability generated in connection with the acquisition of properties from Fastighets AB Centur in the fourth quarter 2024.

The table below presents major property projects per September 30, 2025.

Property projects

					Adopted
Type of project	Location	Rentable 2 area in m	Degree rented, %	Recognized value, MSEK	investment, MSEK	Completion time point	Completion level, %
Ongoing
Retail, office building and parking	Malmö	8,300	43	212	592*	Q3-2027	36
Retail	Malmö	8,600	100	52	164	Q4-2026	32
Preschool	Upplands Väsby	1,200	100	21	67	Q4-2026	31
Completed
Office building	Gothenburg	12,900	69	556
Apartment hotel	Malmö	4,200	100	136
Office building	Malmö	2,500	100	139
Office building	Malmö	3,600	100	129
Office building	Malmö	4,900	100	257

^* The amount includes approximately 17,000 m of parkering space

Significant joint ventures

Peab's significant joint ventures Fastighets AB ML4, Point Hyllie Holding AB and Skiab Invest AB are developing well and via them Peab has built up considerable indirect holdings in investment property and development property for both commercial and residential purposes. Regular returns are in the form of shares in the profit from joint ventures recognized in operating profit and interest income from lending. Changes in market values that affect book values in the joint ventures are not included in Peab's accounts.

Fastighets AB ML4

Own and manage the research facility Max IV. The facility is rented to Lund University.

Peab's share: 50 percent Partner: Wihlborgs Geography: Lund

Recognized value on properties September 30, 2025: SEK 1,803 million (1,855)

Major ongoing projects: No major ongoing projects

Point Hyllie Holding AB

Own and manage the office property The Point as well as the hotel property Värdshuset 5 (Operator Quality Hotel View).

Peab's share: 50 percent

Partner: Volito

Geography: Hyllie, Malmö

Recognized value on properties September 30, 2025: SEK 1,317 million (1,352)

Major ongoing projects: No major ongoing projects

Skiab Invest AB

Develop, own and manage commercial property and housing in the Scandinavian mountains.

Peab's share: 50 percent

Partner: SkiStar

Geography: Scandinavian mountains

Recognized value on properties September 30, 2025 : SEK 2,260 million (2,140) Peab's portion of unrecognized fair value exclusive tax : SEK 87 million (53) 1) 1)

Major ongoing projects: 37 condominiums, Trysil Suites in Trysil, 100 apartments, Wasakölen in Lindvall, Sälen

Valued at market price in joint ventures. Market prices on properties that affect the recognized values in the joint ventures are not included in Peab's accounts.

Non-financial targets and sustainability

Every day Peab contributes to sustainable social development and works to improve everyday life for people in their local communities. We do this by building everything from homes, schools and hospitals to bridges, roads and other infrastructure. Working sustainably is a strategic matter for Peab that primarily takes place locally, connected to everyday life based on our core values, business concept, mission, strategic targets and Code of Conduct.

We monitor our business based on nine external targets – both financial and nonfinancial – that also identify our material sustainable aspects. These are found in the strategic targets Best workplace and Leader in social responsibility. We report the targets quarterly, semi-annually or annually. In this report we report the outcome of three of these targets: the operating margin, net debt/equity ratio, our target concerning our vision of zero workplace accidents and a contracting trend in serious workplace accidents.

Most satisfied customers

It is imperative for a long-term, sustainable relationship that Peab deliver on its obligations to customers. A satisfied customer is a customer that comes back and is vital to marketing our company. Our annual customer survey is an important measure of how well we are meeting our customers' expectations while also indicating where there is room for improvement.

In our measurement method of Customer Satisfaction Index (CSI) each business area equals a fourth of the rating for the Group's compiled CSI result. In 2024 CSI amounted to 78 which is a continued good result and bit over our target of at least 75.

In connection with the CSI survey we also ask customers how they perceive Peab based on a number of factors. Both private and business customers give Peab's personnel the highest rating while reliability increased the most. Almost 2,400 customers participated in the autumn survey. Now we will continue to work together with our customers – and strive for early and close dialogues – to achieve the highest possible value for customers and their greatest satisfaction with Peab.

The next target update will be after the fourth quarter in the year-end report 2025.

Best workplace

Peab's business is founded on a strong corporate culture. Employees can make a difference by building the local community in the places all over the Nordic region where they live and work. Every employee has a great deal of personal responsibility, and should have both good working conditions and development opportunities as well as safe and inclusive workplaces.

Serious accidents

A safe work environment is the foundation of our business. Everyone at our workplaces should be able to be there under safe and secure conditions, despite the fact that there are risks involved in the work we do. Peab has a vision of zero workplace accidents. We continuously develop our quality-assured work methods and train our employees to reinforce our safety culture. The focus is on preventive work, remediation of reported incidents and risk observations, and learning from them.

In order to reach our vision of zero workplace accidents, we have a target of a contracting trend in serious accidents* that includes everyone at our workplaces. The development of serious accidents has continued to be on a lower level compared to 2023 and 2024 and the number of serious accidents was 29 over a rolling twelve month period per September 30, 2025, which can be compared to 33 for the full year 2024. During the third quarter 2025 there were six serious accidents, of which two involved our own employees and four employees of subcontractors.

We also monitor the number of workplace accidents with more than four days absence, excluding the day of injury (LTI4), and workplace accidents according to the same definition per one million hours worked (LTIF4) for our own employees. During the third quarter of the year the number of LTI4 was 28 (30 in the second quarter 2025) and the LTIF4 frequency rate over a rolling 12 month period was 5.5 (5.9 for full year 2024). Now we will continue with unabated intensity to reduce the number of accidents.

Attractive employers (eNPS)

We should be the best workplace in the industry and thereby the obvious choice of employer. Twice a year we hold our personnel survey The Handshake so that co-workers and teams can continuously develop. The questions mainly concern productivity, the team's sustainability and employees' willingness to recommend Peab as an employer (eNPS). The latter is also one of our nine external targets and it should be above the benchmark for the industry and manufacturing trade.

In the spring survey the eNPS value for the Group notably increased and continued to be far above the Nordic benchmark. We increased by four points to 32 (28) even though last year was full of external challenges. At the same time the benchmark rose by one point to 18 (17). The eNPS value rose among our skilled workers in all our four countries. In the survey employees rated collaboration with coworkers, community and Peab's core values as some of the company's greatest strengths. The negative trend was strain. Participation was once again the highest in Peab's history with 90.9 percent (90.2), displaying the record high interest our employees have in contributing to the development of our business.

The next target update will be after the fourth quarter in the year-end report 2025.

* For a definition see section Alternative performance measures and definitions.

Leader in social responsibility

Carbon dioxide intensity

As the Nordic Community Builder we have a big responsibility for reducing the considerable climate impact of the construction and civil engineering industry at the rate required by the Paris Agreement. Peab impacts the environment and the climate through our own operations and for the impact of our value chains upstream and downstream. Operations primarily cause emissions of greenhouse gases by using various materials in production like concrete, steel and asphalt. Two other major sources of carbon emissions in production are energy consumption and transportation. So these are the areas we prioritize our emission reduction activities. As community builders we also have a comprehensive perspective on our climate work and strive to contribute to a sustainable society on the whole by building, for example, solar power plants and railroads or by building in such a way that people can live more sustainably. It is an advantage that we can supply our construction contract operations and the projects we develop ourselves with input goods and raw material through business area Industry, which augments our ability to actively steer towards lower carbon emissions.

In 2045 Peab will be climate neutral. Our sub-targets by 2030 are to reduce carbon dioxide intensity by at least 60 percent in our own operations (Scope 1 and 2) and for input goods and purchased services (Scope 3) by at least 50 percent compared to base year 2015. The outcome after 2024 revealed that developments are going in the right direction although to different degrees. Carbon dioxide intensity in our own operations has gone down by 50 percent. Carbon dioxide intensity for input goods and purchased services, where the scope and extent of reported data has improved in 2024, has decreased by 12 percent since 2015. Using more ECO-products in operations and a higher degree of reuse and recycling of waste contribute to the reduction although this positive effect is diminished due to the change in Sweden as of 2024 of the reduction obligation. There might also be a certain delay in revision of emission factors as a result of the changed reduction obligation on our fuel-related products. In 2024 in absolute figures (tCO e) Scope 1 amounted to 176,000, Scope 2 (market based) was 14,500 and Scope 3 was 910,000. These figures show that we are well on the road to converting the production we ourselves have control over but the greater challenge is when we are dependent on other parties for a reduction in our carbon footprint. It is therefore vital that together with our customers we continue to make explicit and stringent demands for the climate improvement measures in order to reduce emissions. We work actively to better the quality of our metrics of greenhouse gases emissions, particularly in Scope 3 reporting, and we have also increased the scope of reported data in 2024. 2

The next target update will be after the fourth quarter in the year-end report 2025.

Equal opportunity recruitment

The construction and civil engineering industry has a major role to play in taking advantage of all the competence society has to offer. As one of the largest Nordic community builders we have a responsibility to nudge the entire industry forward. The portion of women that graduate with, for Peab, degrees in relevant, practical education in the Nordic region has increased to around eight percent from previously six percent. Our target is that the percentage of women recruited to Peab for our core skills to always be higher than the percentage of women who have graduated with, for us, relevant degrees on the education markets. Therefore we have raised our target for 2025 to at least 8.0 percent. We are focused on core skills in production (skilled workers) as well as in production management and production support (white-collar workers).

At the end of 2024 the percentage of women in new recruitments was 10.6 percent in production and processing compared to our target of at least 6.0 percent. New recruitment in production management and production support rose to 39.1 percent compared to our target of at least 30.0 percent. There have been relatively few recruitments during the past year because of the current market situation.

The next target update will be after the fourth quarter in the year-end report 2025.

Activities during the third quarter

• Peab participated in the groundbreaking ceremony for SSAB's new fossil free steel mill in Luleå where Peab will build the steel mill's roughly 27 acre cold rolling complex. The new steel mill will be an electrified steel mill equipped with two electric arc furnaces, an integrated hot rolling mill and a cold rolling complex. The project will enable one of Sweden's foremost industries to drastically reduce their climate emissions. When the new steel mill starts up in 2029 it will reduce Sweden's total emissions by about seven percent. •
• Peab Asphalt introduced its first all electric group of machines to further strengthen sustainability in its production chain. The entirely emission free machine group is the first of its kind in Sweden and consists of a caterpillardriven asphalt paver, vibro roller, electric compactor, smaller vibro roller and soon an electric gluing scooter. Zero emission machines are important for customers striving to achieve their own climate targets. •
• Lambertsson continues to transition its machinery and began using a new electric crane. The 160 ton crane is run on a battery packet and can run four to six hours on one charge. •

• Swerock launched the world's first all electric concrete pump in Sweden. The concrete pump is silent and emission-free and has been developed together with Volvo Trucks and Putzmeister. •

• Peab Asfalt and Lappeenranta-Lahti University of Technology LUT began a new research collaboration to develop even more sustainable raw material, technology and processes involved in manufacturing asphalt. •

• Peab held its annual work environment week. This year's theme was safety and how we together create safer workplaces. During work environment week a number of activities were arranged throughout the Swedish organization. •
• Peab is participating in a study from the Karolinska Institute that examines the organizational and social work environment in the construction industry with particular focus on mental health. The results will be used to develop better guidelines for the work on the organizational and social work environment and, for instance, form the basis for better national regulations and guidelines from the Swedish Work Environment Authority. In addition to participation from industry colleagues the Swedish Work Environment Authority, the Swedish Building Workers' Union, Ledarna, the Swedish Construction Federation and Maintain Zero are partners in the study. •
• Peab published an investor report on the green bonds with a total worth of 2.0 billion Swedish kronor that were outstanding at the end of 2024. The report describes the projects financed through the bonds and how the assets were dispersed among them. Financing through green bonds is an important part of our work to make our business climate neutral. •

Summary external targets

In order to further promote value creation Peab updated its targets as of 2021 – everything from our mission, business concept and strategic target areas to internal and external financial and non-financial targets. We report the performance of our business by monitoring nine external targets, of which three are financial and based on segment reporting and six are non-financial targets. We consider the external targets particularly important and they are a subset of our internal targets and action plans. At the beginning of 2024, Peab communicated that all nine targets will remain unchanged for the period 2024 – 2026.

Both the internal and external financial and non-financial targets are categorized under the strategic targets: Most satisfied customers, Best workplace, Most profitable company and Leader in social responsibility. All targets relate to the industry. For a more detailed description of each target please see www.peab.com/targets.

Most satisfied customers

We are close to our customers and meet their needs with sustainable offers. Quality permeates our work methods and end results. The right expertise in the right place is key to success.

>75 CSI always over 75

Best workplace

We are a safe, secure and inclusive workplace rooted in a strong company culture. Leadership takes responsibility and is close to operations. Employees have value-creating and developing work assignments that they complete together.

eNPS always over benchmark

Zero Vision serious accidents Through a contracting trend

Most profitable company

We take on the right projects and have the right business mix. Employees work according to quality-ensured work methods that are efficient in every aspect. Through our own resources and internal collaboration we maintain a high degree of value creation. We take advantage of our size and experience.

>6% Operating margin

0.3–0.7 Net debt/equity ratio

Dividend >50% of profit for the year

Leader in social responsibility

As the Nordic Community Builder we drive developments in our industry in matters concerning the climate and environment, ethics, and equal opportunity and inclusion. We work well together with stakeholders in the world around us and stride every day towards a sustainable value chain. With our extensive local presence we are also an important actor in the local community.

-60% Carbon dioxide intensity

Reduction of emissions from our own production by 2030 (Scope 1+2).

-50% Carbon dioxide intensity

Reduction of emissions from input goods and purchased services by 2030 (Scope 3).

Equal opportunity recruitment

Share of women recruited always over the education market

Target and target fulfilment

Most profitable company

Operating margin

Target: >6% according to segment reporting (reported quarterly)

* Years 2017-2018 not translated according to changed accounting principles for own housing development projects. **Operating mar gin 4.5 % excl. the effect of the distribution of Annehem Fastigheter (SEK 952 million). *** Calculated on rolling 12 month per September 30, 2025

Most profitable company

Net debt/equity ratio

Target: 0.3-0.7 according to segment reporting (reported quarterly)

* Years 2017-2018 not translated according to changed accounting principles for own housing development projects.** Per September 30. 2025.

Most profitable company

Dividend

Target: >50% of profit for the year according to segment reporting (reported annually)

* Years 2017-2018 not translated according to changed accounting principles. ** For 2019, no cash dividend has been paid. The value of the distribution of Annehem Fastigheter at the time of the distribution in December 2020 amounted to 97 percent of the profit for the year 2019. *** The proportion is calulated without the effect of SEK 952 million on profit due to the distribution of Annehem Fastigheter

Best workplace

Serious accidents

Target: Zero fatal accidents and contracting trend, rolling 12 months, serious accidents classification 4 (reported quarterly)

Best workplace

Target: > over benchmark (reported semiannually)

eNPS stands for employee Net Promoter Score and measures employee engagement. The score can vary between -100 and 100.

Customer Satisfaction Index (CSI)

Target: > 75 (reported annually)

CSI stands for Customer Satisfaction Index and measures how satisfied Peab's customers are. CSI is a weighted measurement between 0 and 100.

Leader in social responsibility

Carbon dioxide intensity: Climate targets for our own production

Target: Reduced emissions of GHG Scope 1+2* (tons CO₂e/MSEK) by 60% until 2030 (reported annually)

$^{\star}$ Direct and indirect emissions as a result of using fuel and energy in our own production

Leader in social responsibility

Carbon dioxide intensity: Climate targets for input goods and purchased services

Target: Reduced emissions of GHG Scope 3* (tons CO₂e/MSEK) by 50% until 2030 (reported annually)

* Includes concrete/cement, asphalt/bitumen, transportation and machine services, steel, waste and business trips

Leader in social responsibility

Equal opportunity recruitment

Target: Share of women recruited > the education market (reported annually)

Production management and production support (white-collar workers), %

• Actual -- Target

Production and processing (skilled workers), %

— Actual - Target

Construction market

Sweden

The macroeconomic situation is characterized by continued geopolitical tensions, trade-related issues and low appetite among households. The cautious attitude of households due to uncertainty about the world around us is currently hampering stronger development, even though their disposable income has grown as interest rates and taxes have gone down and wages have gone up.

Housing construction recovery is expected to continue, although from a low level and slightly slower than indicated by previous forecasts. An upturn is forecasted for newly built premises in 2026. While some industrial investments have not materialized construction of new premises is being supported by politically driven investments in the justice system and defense forces. In the same vein, the overall development in the renovation market is expected to be slightly positive in housing and stable growth in premises.

Total civil engineering investments are expected to continue to increase in 2026. This is primarily due to expansion of the electricity grid, both local and regional grids and transmission grids, as well as more road maintenance and investments in railroads. In addition, investments in defense facilities, ports and shipping lanes are expected to be historically high going forward.

Norway

Activity is expected to increase in the Norwegian economy in part driven by the surprising interest rate reduction in June. Real wage growth and low unemployment are expected to boost purchasing power and benefit development in the construction market.

Housing construction is forecasted to slowly increase although somewhat higher construction costs than expected will delay recovery. Home renovations are expected to grow significantly after several years of weak development.

The continued high cost of financing and construction along with supply challenges will likely impact premise construction short-term. However, the large existing building stock needs to be maintained and rebuilt which will gradually increase the need for renovations, leading to growth in 2026. Higher military investments and good development in certain sections of the industry also contribute to development of the premise market.

An upturn is expected in the civil engineering market in 2026. Investments are expected to grow primarily in power and energy plants, railroad and streetcar facilities as well as municipal technique facilities.

Finland

Inflation in Finland is presumed to continue to stay clearly under two percent going forward, which together with higher wages and falling interest rates, are expected to improve consumers' purchasing power in the coming years. GNP is expected to grow cautiously but it is hampered by slower economic growth, global turbulence and the rate of unemployment. Private consumption, investments in industry and the service sector, including the construction industry, as well as exports are the contributors to GNP growth.

The housing market has yet to begin to seriously recover, hindered by too much supply and continued sluggish home sales. Premise construction is expected to increase going forward and is the source of new production in the construction industry. Office and industrial buildings along with data centers and defense projects are the driving forces. Green investments also contribute to higher premise construction. Renovations have developed weakly in recent years and are now expected to grow somewhat, particularly regarding homes, as the need for them increases.

After declining for several years investments in civil engineering are on the rise, mainly due to higher infrastructure investments. Zero growth is estimated in operation and maintenance even though the need for them is great.

Housing

	2025	2026	2027
Sweden
Norway
Finland

Forecast for production-started housing investments, new production and renovations

Premise investments

	2025	2026	2027
Sweden
Norway
Finland

Forecast for production-started premise investments, new production and renovations

Civil engineering

	2025	2026	2027
Sweden
Norway
Finland

Forecast for civil engineering investments

• Same forecast compared to the previous interim report
• Better forecast compared to the previous interim report
• Worse forecast compared to the previous interim report

As of 2025 Prognoscentret provides market forecasts. Construction is divided into housing construction (new homes and renovation) and premise construction (new premises and renovation). Premises comprise all buildings except homes and agricultural buildings. Civil engineering includes new investments and operations and maintenance. The color of the arrows shows the comparison with Prognoscentret's previous forecast.

Explanation	Symbol
Increase by more than 10%
Increase by 3-10%
Unchanged ± 2%
Reduction by 3-10%
Reduction of more than 10%

Risks and uncertainty factors

Peab's business is exposed to several different types of risks but Peab's four business areas, operations in four countries and customers in both the private and public sectors provide the foundation for spreading risks well. Some risks are out of Peab's control but can have various impacts on the conditions for running a business. These are, for example, developments in the economy, interest rate trends, customer behavior, climate impact and political decisions. There are other risks Peab can in different ways affect by reducing their impact or eliminating them entirely. These are primarily risks in operations that are handled in the line organization in the business areas based on established procedures, processes and governance systems. Group risks are divided into four risk categories: operative risks, financial risks, strategic risks as well as compliance risks.

There are always operative risks in a project-related business like Peab's and managing these risks is a continuous process due to the large number of projects the Group is always starting up, carrying out and completing. Peab's project operations work with a number of different contract forms where risk levels vary depending on the type of contract. However, with any type of contract ambiguities can arise concerning the terms, which can lead to delimitation issues that create a dispute with the customer.

Financial risks are primarily associated with the company's need for capital, tiedup capital and access to financing. Financial risks are managed on Group level.

Strategic risks are risks linked to our mission, our long-term targets and our strategy. The increasing geopolitical unpredictability contributes to a more cautious market and uncertainty concerning investments, inflation and economic development in general. Higher uncertainty impacts the construction industry regarding investments and how prices and access to materials and energy evolve. We constantly work on developing our employees, construction methods and new climate smart construction material in order to meet market needs.

Compliance risks concern, for example, lack of compliance with laws, contracts or internal regulations and guidelines. Other examples are involvement in corruption or improper competition. Compliance risks are not only found in Peab's own organization but in our supply chains as well. The consequences of compliance risks include fines, damaged trust, failed projects and exclusion from procurements.

For further information about risks and uncertainty factors, see the Annual and Sustainability Report 2024.

Other information

Significant events during the period

Green bond issue

On March 11, 2025 Peab issued green bonds for a total value of SEK 500 million. The bonds have a maturity of 3 years with a variable interest rate of 3 months Stibor (the Stockholm Interbank Offered Rate) plus 1.50 percentage points. Funds from the issue will be used to finance investments in green and energy buildings, ECO efficient and circular products and production processes, sustainable transportation and water management and measures for avoiding and limiting pollution. The green bonds were issued within the framework of Peab's Swedish MTN program and the framework for green financing.

Peab Industri Oy is cooperating with the Competition and Consumer Authority in an ongoing investigation

In May 2025 the Competition and Consumer Authority in Finland launched a socalled competition law compliance audit of several companies active on the asphalt paving market in Finland, among them Peab's subsidiary Peab Industri Oy. Peab is cooperating fully with the authority. The fact that the authority has initiated an audit does not mean that Peab Industri Oy is guilty of any anticompetitive conduct and the result of the investigation should not be pre-empted. The Peab Group has zero tolerance of any forms of irregularities.

Settlement agreement regarding Mall of Scandinavia

Through a settlement agreement Peab and Unibail-Rodamco-Westfield (URW) have agreed on a final resolution of all transactions regarding the contract for Mall of Scandinavia in Solna. The agreement entailed that Peab's liquidity increased by one billion Swedish kronor in the third quarter, that net financial items in the second quarter 2025 were charged with SEK 611 million and that net debt remained the same.

On June 30, 2023 an arbitral award in the case regarding the contract for Mall of Scandinavia was rendered. The arbitral tribunal concurred with Peab's claims for compensation for added expenses generated by extensive changes in the project made during the production phase and ruled that Peab was entitled to compensation of approximately one billion Swedish kronor for construction costs as well as SEK 390 million, in default interest. URW then challenged the award to Svea Court of Appeal which on May 28, 2025 rendered a judgment entitling Peab to compensation for the work incurred by changes and additions along with compensation for disorder and disruption. The arbitral award was set aside concerning URW's claim for liquidated damages for certain delays and Peab's claims for the costs of the arbitration procedures.

Since no payment was made as required by the judgment Peab initiated bankruptcy proceedings against the project company Rodamco Projekt AB in order to demand payment. URW announced on June 3, 2025 that it intended to initiate a new arbitration procedure regarding its claim for liquidated damages for certain delays and Peab intended to initiate a new arbitration procedure regarding its claim for the costs of the arbitration procedures.

On June 22, 2025 the parties agreed to a settlement entailing a payment of one billion Swedish kronor from URW to Peab which was paid on July 2, 2025. The settlement agreement further entailed that each party retracted all processes, that the contract is considered finally settled and that the parties have no claims against each other, including warranty obligations. The settlement agreement thereby entails that there are no remaining risks for Peab regarding the contract for Mall of Scandinavia.

Expanded framework for MTN program

Peab has a MTN program with an original framework of SEK 5 billion. The program was expanded in June 2025 by SEK 2.5 billion to SEK 7.5 billion. More information concerning the loan program can be found on Peab's website.

Significant events after the period

No significant events occurred after the end of the reporting period.

Holdings of own shares

At the beginning of 2025 Peab's holding of its own shares was 8,597,984 B shares which corresponds to 2.9 percent of the total number of shares. The Board of Directors of Peab AB (publ) has, through the authorization given by the Annual General Meeting on May 6, 2025, decided to repurchase its own shares. The repurchases will be carried out continuously until the Annual General Meeting in 2026. The purpose of the repurchasing is to safeguard costs and deliveries connected to implementing the company's long-term Performance Share Program and to be able to use the repurchased shares in financing acquisitions. Repurchasing will take place with consideration to the company's financial position and capital structure. The shares will be repurchased on Nasdaq Stockholm according to the Nordic Main Market Rulebook for Issuers of Shares – Nasdaq Stockholm (Supplement D) and implemented in accordance with EU Parliament's and Council's EU regulation nr. 596/2014 on market abuse (MAR). According to the Board's decision shares may be repurchased during the period for a maximum of SEK 500 million and a number of shares so that the company's holding of its own shares after the repurchasing does not exceed one tenth of all shares in the company. The shares may only be repurchased at a price per share within the price interval registered at any given time on Nasdaq Stockholm, meaning the interval between the current highest buy price and the lowest sell price published by Nasdaq Stockholm. The acquired shares will be paid for in cash. During the period until September 30, 2025, 2,115,000 B shares have been repurchased for a total amount of SEK 160 million. After the repurchase, Peab holds 10,712,984 own B shares corresponding to 3.6 percent of the total number of shares.

Dividend

At Peab's Annual General Meeting on May 6, 2025 the AGM decided on a total dividend to shareholders for the financial year 2024 of SEK 2.75 per share divided into two payments. In the first installment, which was in May 2025, SEK 1.50 per share was paid out. In the second installment, which has the record date Tuesday, October 28, 2025, SEK 1.25 per share will be paid. The second dividend payment is expected to be issued by Euroclear on Friday, October 31, 2025.

Related parties

The character and extent of transactions with related parties is presented in the Annual and Sustainable Report 2024, note 36. For more information about transactions with related parties during the period see business area Project Development. No other new significant transactions have occurred during the period January-September 2025.

Report on the Group income statement, IFRS

Group net sales according to IFRS amounted during the period January-September 2025 to SEK 41,246 million (44,098). The adjustment of our own housing development projects to the completion method affected net sales by SEK -218 million (2,186).

Operating profit according to IFRS for the period January-September 2025 amounted to SEK 1,626 million (1,794) and the operating margin was 3.9 percent (4.1). The adjustment of our own housing development projects to the completion method affected operating profit by SEK -37 million (261).

During the period Peab and Unibail-Rodamco-Westfield agreed to a settlement regarding Mall of Scandinavia, which affected net financial items by SEK -611 million. For more information, see section Other information.

MSEK	Jul-Sep 2025	Jul-Sep 2024	Jan-Sep 2025	Jan-Sep 2024	Oct-Sep 2024/2025	Jan-Dec 2024
Net sales	15,358	15,720	41,246	44,098	58,431	61,283
Production costs	-13,647	-14,174	-37,431	-40,463	-52,370	-55,402
Gross profit	1,711	1,546	3,815	3,635	6,061	5,881
Sales and administrative expenses	-668	-613	-2,436	-2,257	-3,368	-3,189
Other operating income	83	46	285	435	332	482
Other operating costs	-8	13	-38	-19	-30	-11
Operating profit	1,118	992	1,626	1,794	2,995	3,163
Financial income	20	66	113	193	179	259
Financial expenses	-112	-170	-1,038	-492	-1,188	-642
Net finance	-92	-104	-925	-299	-1,009	-383
Pre-tax profit	1,026	888	701	1,495	1,986	2,780
Tax	-197	-154	-167	-221	-338	-392
Profit for the period	829	734	534	1,274	1,648	2,388
Profit for the period, attributable to:
Shareholders in parent company	829	732	528	1,271	1,649	2,392
Non-controlling interests	0	2	6	3	-1	-4
Profit for the period	829	734	534	1,274	1,648	2,388
Key ratios, IFRS
Earnings per share before and after dilution, SEK	2.89	2.54	1.84	4.42	5.74	8.32
Average number of outstanding shares, million	286.6	287.5	287.2	287.5	287.2	287.5
1) Return on capital employed, %	10.8	7.8	10.8	7.8	10.8	10.8
1) Return on equity, %	10.3	10.1	10.3	10.1	10.3	15.7

Calculated on rolling 12 months 1)

Report on the Group income statement and other comprehensive income in summary, IFRS

MSEK	Jul-Sep 2025	Jul-Sep 2024	Jan-Sep 2025	Jan-Sep 2024	Oct-Sep 2024/2025	Jan-Dec 2024
Profit for the period	829	734	534	1,274	1,648	2,388
Other comprehensive income
Items that can be reclassified or have been reclassified to profit for the period
Translation differences for the period from translation of foreign operations	-14	-74	-133	-12	-80	41
Changes in fair value of cash flow hedges for the period	-2	-16	-17	-2	-2	13
Shares in joint ventures' other comprehensive income	-3	-6	-2	-7	-3	-8
Tax referring to items that can be reclassified or have been reclassified to profit for the period	0	3	3	0	0	-3
Other comprehensive income for the period	-19	-93	-149	-21	-85	43
Total comprehensive income for the period	810	641	385	1,253	1,563	2,431
Total comprehensive income for the period, attributable to:
Shareholders in parent company	810	639	379	1,250	1,564	2,435
Non-controlling interests	0	2	6	3	-1	-4
Total comprehensive income for the period	810	641	385	1,253	1,563	2,431

Balance sheet for the Group in summary, IFRS

Total assets on September 30, 2025 were SEK 47,168 million (49,129). Equity amounted to SEK 15,993 million (15,316), which generated an equity/assets ratio of 33.9 percent (31.2). The Annual General Meeting on May 6, 2025 decided on a total dividend of SEK 790 million would be distributed to shareholders. During the second quarter SEK 431 million (431) was distributed and the remaining amount, SEK 357 million, will be distributed in the fourth quarter. During the quarter, repurchases of own shares were made in the amount of SEK 160 million (–).

MSEK	Sep 30 2025	Sep 30 2024	Dec 31 2024
Assets
Intangible assets	3,581	3,754	3,727
Tangible assets	7,471	7,783	7,653
Investment property	59	59	59
Interest-bearing long-term receivables	539	1,448	516
Other long-term receivables	1,669	2,265	2,889
Deferred tax recoverables	48	78	48
Total fixed assets	13,367	15,387	14,892
Project and development properties	18,713	17,342	18,342
Inventories	1,799	1,845	1,612
Interest-bearing current receivables	27	1,156	1,127
Other current receivables	11,426	12,555	10,317
Liquid funds	1,836	844	1,478
Total current assets	33,801	33,742	32,876
Total assets	47,168	49,129	47,768
Equity
Equity attributable to shareholders in parent company	15,968	15,287	16,482
Non-controlling interests	25	29	22
Total equity	15,993	15,316	16,504
Liabilities
Interest-bearing long-term liabilities	6,320	7,685	6,094
Interest-bearing long-term liabilities, project financing	5	15	53
Deferred tax liabilities	518	576	544
Other long-term liabilities	1,672	1,983	1,657
Total long-term liabilities	8,515	10,259	8,348
Interest-bearing current liabilities	3,569	3,601	5,368
Interest-bearing current liabilities, project financing	2,732	3,909	2,859
Other current liabilities	16,359	16,044	14,689
Total current liabilities	22,660	23,554	22,916
Total liabilities	31,175	33,813	31,264
Total equity and liabilities	47,168	49,129	47,768
Key ratios, IFRS
Capital employed	28,619	30,526	30,878
Equity/assets ratio, %	33.9	31.2	34.6
	10,224	11,762	11,253
Net debt Equity per share, SEK	55.96	53.18	57.34

Report on changes in Group equity in summary, IFRS

MSEK	Sep 30 2025	Sep 30 2024	Dec 31 2024
Equity attributable to shareholders in parent company
Opening equity on January 1	16,482	14,453	14,453
Profit for the period	528	1,271	2,392
Other comprehensive income for the period	-149	-21	43
Total comprehensive income for the period	379	1,250	2,435
Cash flow hedge transferred to cost of inventory	2	-1	-1
Tax on cash flow hedge	0	1	0
Contribution from, and value transferred to, owners
Share-based payments settled with equity instruments	53	15	26
Repurchase of own shares	-160	–	–
Paid dividends	-788	-431	-431
Total contribution from, and value transferred to, owners	-895	-416	-405
Closing equity	15,968	15,287	16,482
Non-controlling interests
Opening equity on January 1	22	17	17
Comprehensive income for the period	6	3	-4
Contribution from, and value transferred to, owners
Paid dividends	-3	–	–
New issues	–	9	9
Total contribution from, and value transferred to, owners	-3	9	9
Closing equity	25	29	22
Total closing equity	15,993	15,316	16,504

Report on Group cash flow in summary, IFRS

MSEK	Jul-Sep 2025	Jul-Sep 2024	Jan-Sep 2025	Jan-Sep 2024	Oct-Sep 2024/2025	Jan-Dec 2024
Cash flow from current operations before changes in working capital	1,443	1,623	2,182	2,362	3,483	3,663
Increase (-) / Decrease (+) of project and development properties	-99	201	-567	921	-304	1,184
Increase (-) / Decrease (+) of inventories	271	220	-221	-134	27	114
Increase (-) / Decrease (+) of current receivables / current liabilities	-101	-593	-247	55	236	538
Cash flow from changes in working capital	71	-172	-1,035	842	-41	1,836
Cash flow from current operations	1,514	1,451	1,147	3,204	3,442	5,499
Sale of subsidiaries / businesses, net effect on liquid funds	11	–	11	28	11	28
Acquisition of fixed assets	-314	-90	-799	-758	-973	-932
Sale of fixed assets	1,138	85	1,521	1,224	2,446	2,149
Cash flow from investment operations	835	-5	733	494	1,484	1,245
Cash flow before financing	2,349	1,446	1,880	3,698	4,926	6,744
Repurchase of own shares	-160	–	-160	–	-160	–
Shareholder contribution non-controlling interests	–	–	–	2	–	2
Increase (+) / Decrease (-) of interest-bearing liabilities	-1,245	-1,697	-774	-462	-2,174	-1,862
Increase (+) / Decrease (-) of interest-bearing liabilities, project financing	441	-391	-153	-3,209	-1,171	-4,227
Dividend distributed to shareholders in parent company	–	–	-431	-431	-431	-431
Dividend distributed to non-controlling interests	–	–	-3	–	-3	–
Cash flow from financing operations	-964	-2,088	-1,521	-4,100	-3,939	-6,518
Cash flow for the period	1,385	-642	359	-402	987	226
Cash at the beginning of the period	453	1,490	1,478	1,243	844	1,243
Exchange rate differences in cash	-2	-4	-1	3	5	9
Cash at the end of the period	1,836	844	1,836	844	1,836	1,478

Parent company

The parent company Peab AB's net sales for January-September 2025 amounted to SEK 774 million (666) and mainly consisted of internal Group services. Profit for the period amounted to SEK 658 million (990). The period's results included dividends from subsidiaries of SEK 700 million (990).

The parent company's assets mainly consist of participations in Group companies amounting to SEK 10,339 million (10,433). The assets have been financed from equity of SEK 13,115 million (12,383). During the period, the parent company reported share-based payments of SEK 53 million (15) in equity and repurchases of own shares of SEK 160 million (–).

As of February 1, 2024 Peab's Swedish support functions are run in Peab AB. The change has been implemented through a so-called business transition, which meant that all employees in Peab Support AB (Shared Service Centre) and Peab Utveckling AB were offered a transfer of employment to Peab AB.

The parent company is indirectly affected by the risks described in the section Risks and uncertainty factors.

Report on the parent company income statement in summary

MSEK	Jul-Sep 2025	Jul-Sep 2024	Jan-Sep 2025	Jan-Sep 2024	Oct-Sep 2024/2025	Jan-Dec 2024
Net sales	253	238	774	666	1,018	910
Administrative expenses	-286	-259	-944	-802	-1,308	-1,166
Other operating income	0	0	0	1	-1	0
Operating profit	-33	-21	-170	-135	-291	-256
Result from financial investments
Profit from participation in Group companies	–	–	700	990	532	822
Other financial items	39	50	117	137	161	181
Result after financial items	6	29	647	992	402	747
Appropriations	–	–	–	–	1,452	1,452
Pre-tax profit	6	29	647	992	1,854	2,199
Tax	-1	-7	11	-2	-238	-251
1) Profit for the period	5	22	658	990	1,616	1,948

Profit/loss for the period corresponds to comprehensive profit/loss for the period and therefore only one income statement is presented and no separate one for comprehensive profit/loss 1)

Balance sheet for the parent company in summary

MSEK	Sep 30 2025	Sep 30 2024	Dec 31 2024
Assets
Fixed assets
Intangible assets	249	328	300
Tangible assets	49	37	48
Financial assets
Participation in Group companies	10,339	10,433	10,339
Receivables from Group companies	67	14	23
Deferred tax recoverables	109	86	106
Total financial assets	10,515	10,533	10,468
Total fixed assets	10,813	10,898	10,816
Current assets
Current receivables
Receivables from Group companies	5,411	4,420	5,734
Current tax receivables	127	146	–
Other receivables	171	73	61
Total current receivables	5,709	4,639	5,795
Cash and bank	0	0	0
Total current assets	5,709	4,639	5,795
Total assets	16,522	15,537	16,611
Equity and liabilities
Equity
Restricted equity	1,884	1,884	1,884
Non-restricted equity	11,231	10,499	11,468
Total equity	13,115	12,383	13,352
Untaxed reserves	2,798	2,919	2,798
Provisions
Other provisions	48	46	44
Total provisions	48	46	44
Current liabilities
Liabilities to Group companies	7	3	112
Current tax liabilities	–	–	89
Other liabilities	554	186	216
Total current liabilities	561	189	417
Total liabilities	561	189	417
Total equity and liabilities	16,522	15,537	16,611

Note 1 – Accounting principles

The quarterly report has been prepared according to the IFRS standards that have been adopted by EU as well as the interpretations of the valid standards adopted by EU, IFRICs. This report for the Group has been prepared according to IAS 34, Interim financial reporting as well as applicable regulations in the Annual Accounts Act. The parent company quarterly report has been prepared according to chapter 9 in the Annual Accounts Act, Quarterly reports and RFR 2, Accounting rules for legal entities. The Group and parent company have applied the same accounting principles and conditions as in the latest Annual and Sustainability Report.

In addition to the financial reports and their accompanying notes further information according to IAS 34.16A can be found in other sections of the quarterly report.

Differences in segment reporting and reporting according to IFRS

The Group is reported in the four business areas Construction, Civil Engineering, Industry and Project Development. The business areas are also operating segments. Segment reporting is the model Peab believes best describes Peab's business regarding both internal steering and risk profile, and it is also how the Board and executive management monitor operations.

For Peab's construction contract businesses, Construction and Civil Engineering, revenue and profit are recognized over time in both segment reporting and reporting according to IFRS. For business area Industry revenue and profit are recognized both over time and at a certain point in time, and reporting is the same in both segment reporting and reporting according to IFRS. For business area Project Development in segment reporting within the unit Housing Development revenue and expenses are recognized over time as the projects are successively completed. This applies to Swedish tenant-owner associations and own single homes, Norwegian condominiums and share housing and Finnish residential limited companies. In reporting according to IFRS, housing projects are recognized when the final homebuyers take possession of their apartments. In business area Project Development and the unit Property Development revenue and profit are recognized at a certain point in time in both segment reporting and reporting according to IFRS.

Group functions are reported in addition to the business areas and consist of central companies, certain subsidiaries and other holdings. Central companies consist primarily of the parent company Peab AB and Peab Finans AB. There is no difference in segment reporting and reporting according to IFRS regarding Group functions.

In segment reporting leasing fees for the lessee are recognized linearly over the leasing period for leasing contracts that by the counterparty (lessor) are classified as operational leasing contracts. IFRS 16 Leases is applied in the consolidated accounts according to IFRS which entails that the lessee recognizes depreciation and interest attributable to leasing assets respectively leasing liabilities. Leasing contracts that by the counterparty (lessor) are classified as financial leasing contracts are recognized in Peab's segment accounting according to the principles that correspond with those for the lessee according to IFRS 16.

Reporting on internal projects between business areas Construction and Project Development

Business area Construction recognizes revenue and profit referring to the construction contract part of our own housing developments, rental project developments and other property development projects for business area Project Development. Recognition takes place over time as the projects are completed. Business area Project Development recognizes revenue for both the construction contract and developer part of our own housing development projects. Recognized profit consists of the profit in the developer part over time. Internal net sales between business area Construction and business area Project Development regarding the construction cost of our own housing development projects are eliminated in consolidated reporting. Internal profit is returned when the project is divested.

Reporting on property projects on our own balance sheet

The underlying sales value of property projects on our own balance sheet, recognized as project and development property, that are sold in the form of a company via shares, is recognized as revenue and the book value on the balance sheet is recognized as an expense. When property projects recognized as operations property or investment property are divested the net effect on profit is recognized as other operating income or other operating cost. Recognition of property projects is the same in both segment reporting and reporting according to IFRS.

Financial key ratios in segment reporting

Financial key ratios such as capital employed, total assets, equity, equity/assets ratio, net debt, net debt/equity ratio, cashflow before financing and earnings per share are presented in segment reporting with consideration taken to the above prerequisites. Net debt in segment reporting includes project financing for the unsold portion of ongoing own housing development projects. This is because Peab has an obligation to acquire unsold homes six months after completion.

Note 2 – Revenue allocation

Group Jan-Sep 2025		Civil		Project	Group		Group	Differences in accounting
MSEK	Construction	Engineering	Industry	Development	functions	Eliminations	Segment	1) principles	Group IFRS
Allocation per external/internal
External sales	14,932	11,468	12,402	2,621	41		41,464	-218	41,246
Internal sales	1,582	881	2,512	13	1,016	-6,004	–		–
Total	16,514	12,349	14,914	2,634	1,057	-6,004	41,464	-218	41,246
Allocation per country
Sweden	12,581	10,915	8,606	2,038	838	-5,369	29,609	-129	29,480
Norway	1,957	1,434	962	379	105	-308	4,529	-48	4,481
Finland	1,976		4,258	217	110	-322	6,239	-41	6,198
Denmark			1,071		4	-5	1,070		1,070
Other			17				17		17
Total	16,514	12,349	14,914	2,634	1,057	-6,004	41,464	-218	41,246
Allocation per type of customer
Public sector	9,193	9,058	4,705	41	32		23,029		23,029
Private customers	5,739	2,410	7,697	2,580	9		18,435	-218	18,217
Internal customers	1,582	881	2,512	13	1,016	-6,004	–		–
Total	16,514	12,349	14,914	2,634	1,057	-6,004	41,464	-218	41,246
Allocation per point in time
At one point in time	51	7	4,364	603	38	-761	4,302	1,611	5,913
Over time	16,453	12,330	9,091	1,904	846	-4,150	36,474	-1,829	34,645
2) Rent revenue	10	12	1,459	127	173	-1,093	688		688
Total	16,514	12,349	14,914	2,634	1,057	-6,004	41,464	-218	41,246
Allocation per type of revenue
Construction contracts	16,453	12,330	9,091	1,904	17	-3,321	36,474	-1,829	34,645
Sales of goods			3,533			-400	3,133		3,133
Sales of property projects				546			546	1,611	2,157
Transportation services			730			-337	393		393
Administrative services					829	-829	–		–
2) Rent revenue	10	12	1,459	127	173	-1,093	688		688
Other	51	7	101	57	38	-24	230		230
Total	16,514	12,349	14,914	2,634	1,057	-6,004	41,464	-218	41,246

Refers to differences in accounting principles regarding our own housing development projects. In segment reporting revenue is recognized over time while in reporting according to IFRS it is at the time of possession.

Rent revenue is recognized according to IFRS 16. 2)

Group Jan-Sep 2024		Civil		Project	Group		Group	Differences in accounting
MSEK	Construction	Engineering	Industry	Development	functions	Eliminations	Segment	1) principles	Group IFRS
Allocation per external/internal
External sales	15,330	10,801	13,226	2,513	42		41,912	2,186	44,098
Internal sales	1,946	845	2,746	20	965	-6,522	–		–
Total	17,276	11,646	15,972	2,533	1,007	-6,522	41,912	2,186	44,098
Allocation per country
Sweden	13,354	10,322	8,770	1,869	804	-5,911	29,208	1,621	30,829
Norway	2,104	1,324	1,173	336	97	-396	4,638	378	5,016
Finland	1,818		5,040	328	106	-214	7,078	187	7,265
Denmark			985			-1	984		984
Other			4				4		4
Total	17,276	11,646	15,972	2,533	1,007	-6,522	41,912	2,186	44,098
Allocation per type of customer
Public sector	9,116	8,618	5,488	9	34		23,266		23,266
Private customers	6,214	2,183	7,738	2,504	8		18,646	2,186	20,832
Internal customers	1,946	845	2,746	20	965	-6,522	–		–
Total	17,276	11,646	15,972	2,533	1,007	-6,522	41,912	2,186	44,098
Allocation per point in time
At one point in time	38	15	4,419	1,043	41	-802	4,754	3,733	8,487
Over time	17,227	11,620	10,061	1,412	796	-4,565	36,551	-1,547	35,004
2) Rent revenue	11	11	1,492	78	170	-1,155	607		607
Total	17,276	11,646	15,972	2,533	1,007	-6,522	41,912	2,186	44,098
Allocation per type of revenue
Construction contracts	17,227	11,620	10,061	1,412	29	-3,799	36,550	-1,547	35,003
Sales of goods			3,471			-577	2,894		2,894
Sales of property projects				1,024			1,024	3,733	4,757
Transportation services			865			-203	662		662
Administrative services					767	-766	1		1
2) Rent revenue	11	11	1,492	78	170	-1,155	607		607
Other	38	15	83	19	41	-22	174		174
Total	17,276	11,646	15,972	2,533	1,007	-6,522	41,912	2,186	44,098

Refers to differences in accounting principles regarding our own housing development projects. In segment reporting revenue is recognized over time while in reporting according to IFRS it is at the time of possession.

Rent revenue is recognized according to IFRS 16. 2)

Group Jan-Dec 2024		Civil		Project	Group		Group	Differences in accounting 1)
MSEK	Construction	Engineering	Industry	Development	functions	Eliminations	Segment	principles	Group IFRS
Allocation per external/internal
External sales	21,290	15,384	17,725	4,243	55		58,697	2,586	61,283
Internal sales	2,527	1,155	3,823	27	1,295	-8,827	–		–
Total	23,817	16,539	21,548	4,270	1,350	-8,827	58,697	2,586	61,283
Allocation per country
Sweden	18,405	14,510	12,299	3,363	1,075	-7,975	41,677	2,166	43,843
Norway	2,872	2,028	1,549	372	131	-535	6,417	403	6,820
Finland	2,540	1	6,248	535	143	-314	9,153	17	9,170
Denmark			1,440		1	-3	1,438		1,438
Other			12				12		12
Total	23,817	16,539	21,548	4,270	1,350	-8,827	58,697	2,586	61,283
Allocation per type of customer
Public sector	12,884	12,222	7,045	382	45		32,578		32,578
Private customers	8,406	3,162	10,680	3,861	10		26,119	2,586	28,705
Internal customers	2,527	1,155	3,823	27	1,295	-8,827	–		–
Total	23,817	16,539	21,548	4,270	1,350	-8,827	58,697	2,586	61,283
Allocation per point in time
At one point in time	66	26	6,227	1,599	58	-1,141	6,835	5,127	11,962
Over time	23,738	16,499	13,288	2,561	1,065	-6,124	51,027	-2,541	48,486
2) Rent revenue	13	14	2,033	110	227	-1,562	835		835
Total	23,817	16,539	21,548	4,270	1,350	-8,827	58,697	2,586	61,283
Allocation per type of revenue
Construction contracts	23,738	16,499	13,288	2,561	38	-5,097	51,027	-2,541	48,486
Sales of goods			4,890			-817	4,073		4,073
Sales of property projects				1,573			1,573	5,127	6,700
Transportation services			1,218			-290	928		928
Administrative services					1,027	-1,027	–		–
2) Rent revenue	13	14	2,033	110	227	-1,562	835		835
Other	66	26	119	26	58	-34	261		261
Total	23,817	16,539	21,548	4,270	1,350	-8,827	58,697	2,586	61,283

Refers to differences in accounting principles regarding our own housing development projects. In segment reporting revenue is recognized over time while in reporting according to IFRS it is at the time of possession. 1)

Rent revenue is recognized according to IFRS 16. 2)

Note 3 – Operating segment and reconciliation between segment reporting and reporting according to IFRS

Group Jan-Sep 2025		Civil		Project	Group		Group	Differences in accounting	Group
MSEK	Construction	Engineering	Industry	Development	functions	Eliminations	Segment	principles 1)	IFRS
External sales	14,932	11,468	12,402	2,621	41		41,464	-218	41,246
Internal sales	1,582	881	2,512	13	1,016	-6,004	-		-
Total revenue	16,514	12,349	14,914	2,634	1,057	-6,004	41,464	-218	41,246
Operating profit	364	487	870	118	-239	30	1,630	-4	1,626
Operating margin, %	2.2	3.9	5.8	4.5			3.9		3.9
Financial income							113		113
Financial expenses							-1,003	-35 2)	-1,038
Net finance							-890	-35	-925
Pre-tax profit							740	-39	701
Tax							-168	1	-167
Profit for the period							572	-38	534
Capital employed (closing balance)	-2,065	-695	10,034	19,138	277 3)		26,689	1,930	28,619
Total assets							44,791	2,377 4)	47,168
Equity							16,296	-303	15,993
Equity/assets ratio, %							36.4		33.9
Net debt							7,991		10,224
Cashflow before financing	1,649 5)	814 5)	592 5)	-370 5)	-816 6)		1,869	11	1,880

$^{^{1)}}$ For more information about the allocation of revenue and profit items see note 2 and the section Overview business areas.

⁶⁾ Unallocated cash flow.

Group Jan-Sep 2024		Civil		Project	Group		Group	Differences in accounting	Group
MSEK	Construction	Engineering	Industry	Development	functions	Eliminations	Segment	principles 1)	IFRS
External sales	15,330	10,801	13,226	2,513	42		41,912	2,186	44,098
Internal sales	1,946	845	2,746	20	965	-6,522	-		-
Total revenue	17,276	11,646	15,972	2,533	1,007	-6,522	41,912	2,186	44,098
Operating profit	320	359	818	207	-199	3	1,508	286	1,794
Operating margin, %	1.9	3.1	5.1	8.2			3.6		4.1
Financial income							193		193
Financial expenses							-459	-33 2)	-492
Net finance							-266	-33	-299
Pre-tax profit							1,242	-253	1,495
Tax							-199	-22	-221
Profit for the period							1,043	231	1,274
Capital employed (CB)	-498	-263	10,688	18,229	-619 3)		27,537	2,989	30,526
Total assets							45,677	3,452 4)	49,129
Equity							15,650	-334	15,316
Equity/assets ratio, %							34.3		31.2
Net debt							8,439	3,323	11,762
Cashflow before financing	90 5)	445 5)	859 5)	218 5)	-730 6)		882	2,816	3,698

$^{^{1)}}$ For more information about the allocation of revenue and profit items see note 2 and the section Overview business areas.

$^{^{\}rm 2)}$ Refers to IFRS 16, additional leases SEK -35 million.

^<sup>3) Unallocated capital employed.

^<sup>4) Divided between IFRS 16, additional leases SEK 1,269 million and housing projects SEK 1,108 million.

^<sup>5) Refers to operating cash flow. For definition, see section Alternative performance measures and definitions.

$^{^{\}rm 2)}$ Refers to IFRS 16, additional leases SEK -33 million.

³⁾ Unallocated capital employed.

^<sup>4) Divided between IFRS 16, additional leases SEK 1,399 million and housing projects SEK 2,053 million.

^<sup>5) Refers to operating cash flow. For definition, see section Alternative performance measures and definitions.

⁶⁾ Unallocated cash flow.

								Differences in
Group Jan-Dec 2024 MSEK	Construction	Civil Engineering	Industry	Project Development	Group functions	Eliminations	Group	accounting principles 1)	Group IFRS
MJEK	Construction	Engineering	illuustry	Development	Tunctions	Etiminations	Segment	principles	IFKS
External sales	21,290	15,384	17,725	4,243	55		58,697	2,586	61,283
Internal sales	2,527	1,155	3,823	27	1,295	-8,827	-		-
Total revenue	23,817	16,539	21,548	4,270	1,350	-8,827	58,697	2,586	61,283
Operating profit	416	499	1,415	728	-341	46	2,763	400	3,163
Operating margin, %	1.7	3.0	6.6	17.0			4.7		5.2
Financial income							259		259
Financial expenses							-597	-45 2)	-642
Net finance							-338	-45	-383
Pre-tax profit							2,425	355	2,780
Tax							-345	-47	-392
Profit for the year							2,080	308	2,388
Capital employed (CB)	-215	-370	9,920	19,767	-103 3)		28,999	1,879	30,878
Total assets							45,226	2,542 4)	47,768
Equity							16,760	-256	16,504
Equity/assets ratio, %							37.1		34.6
Net debt							9,118	2,135	11,253
Cashflow before financing	-3 5)	697 5)	2,324 5)	423 5)	-840 6)		2,601	4,143	6,744

¹⁾ For more information about the allocation of revenue and profit items see note 2 and the section Overview business areas.

^<sup>2) Refers to IFRS 16, additional leases SEK -45 million.

³⁾ Unallocated capital employed.
4) Divided between IFRS 16, additional leases SEK 1,411 million and housing projects SEK 1,131 million.

⁵⁾ Refers to operating cash flow. For definition, see section Alternative performance measures and definitions.
6) Unallocated cash flow.

Note 4 – Financial assets and liabilities valued at fair value

The table below shows the allocated level for financial assets and financial liabilities recognized at fair value in the Group's balance sheet. Measurement of fair value is based on a three level hierarchy;

• Level 1: prices that reflect quoted prices on an active market for identical assets.
• Level 2: based on direct or indirect inputs observable to the market not included in level 1.
• Level 3: based on inputs unobservable to the market.

For a description of how fair value has been calculated see the Annual and Sustainability Report 2024, note 32. The fair value of financial assets and liabilities recognized as their amortized cost is estimated to be, in principle, the same as their recognized values.

Group		Sep 30, 2025			Sep 30, 2024		Dec 31, 2024
MSEK	Level 2	Level 3	Total	Level 2	Level 3	Total	Level 2	Level 3	Total
Financial assets
Securities held as fixed assets		42	42		45	45		45	45
Of which unlisted funds		1	1		4	4		4	4
Of which unlisted shares and participations		41	41		41	41		41	41
Other current receivables	3		3	1		1	10		10
Of which commodity hedging with futures	2		2	1		1	9		9
Of which currency derivatives	1		1			–	1		1
Total financial assets	3	42	45	1	45	46	10	45	55
Financial liabilities
Other current liabilities	14		14	17		17	1		1
Of which currency derivatives	1		1	1		1			–
Of which commodity hedging with futures	13		13	16		16	1		1
Total financial liabilities	14	–	14	17	–	17	1	–	1

The tables below are a reconciliation between the opening and closing balance for assets and liabilities included in level 3.

Net finance -2

	Securities held as fixed asset
	Unlisted funds		Unlisted shares and participations
Sep 30, 2025	Sep 30, 2024	Dec 31, 2024	Sep 30, 2025	Sep 30, 2024	Dec 31, 2024
4	5	5	41	41	41
1
-2	-1	-1

Group	Contingent consideration
MSEK	Sep 30, 2025	Sep 30, 2024	Dec 31, 2024
Opening balance	–	6	6
Payments during the period		-6	-6
Closing balance	–	–	–

Closing balance 1 4 4 41 41 41

Future financial information

• Capital Markets Update

• Year-end report January – December 2025

• Annual and Sustainability Report 2025

Interim report January – March 2026 and Annual General Meeting

• Interim report January - June 2026

• Interim report January - September 2026

November 25, 2025 February 4, 2026

April, 2026

April 29, 2026

July 14, 2026

October 28, 2026

Förslöv, October 24, 2025

Jesper Göransson CEO and President

Presentation of the interim report

This interim report will be presented digitally and on a phone conference Friday October 24, 2025 at 09.00 p.m. by the President and CEO Jesper Göransson and CFO Niclas Winkvist. The presentation will be held in Swedish and is available via https://www.peab.com/financial-info/.

Click on one of the links to participate in the presentation.

Participate in the web broadcast:

https://peab.events.inderes.com/q3-report-2025

Participate via telephone conference:

https://conference.inderes.com/teleconference/?id=5008775

For further information, please contact:

Jesper Göransson, President and CEO of Peab, is reached through Juha Hartomaa, Head of Investor Relations Peab, +46 725 33 31 45 $\,$

This information is information that Peab AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, on October 24, 2025, at 08:00 a.m. CET.

Review report

We have reviewed the condensed interim financial information (interim report) for Peab AB (publ) as of September 30, 2025 and for the nine-month period which ended on this date. The Board of Directors and the CEO are responsible for the preparation and presentation of this interim report in accordance with IAS 34 and the Swedish Annual Accounts Act. Our responsibility is to express a conclusion on this interim report based on our review.

We conducted our review in accordance with the International Standard on Review Engagements, ISRE 2410 Review of Interim Financial Statements Performed by the Independent Auditor of the Entity. A review consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing and other generally accepted auditing standards in Sweden.

The procedures performed in a review do not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Based on our review, nothing has come to our attention that causes us to believe that the interim report is not prepared, in all material respects, in accordance with IAS 34 and the Swedish Annual Accounts Act regarding the Group, and in accordance with the Swedish Annual Accounts Act regarding the Parent Company.

Förslöv, October 24, 2025 Ernst & Young AB

Jonas Svensson Authorized Public Accountant

Quarterly data

Group, IFRS

MSEK	Jul-Sep 2025	Apr-Jun 2025	Jan-Mar 2025	Oct-Dec 2024	Jul-Sep 2024	Apr-Jun 2024	Jan-Mar 2024	Oct-Dec 2023	Jul-Sep 2023
Net sales	15,358	15,063	10,825	17,185	15,720	16,928	11,450	17,365	15,159
Production costs	-13,647	-13,369	-10,415	-14,939	-14,174	-15,281	-11,008	-16,139	-13,765
Gross profit	1,711	1,694	410	2,246	1,546	1,647	442	1,226	1,394
Sales and administrative expenses	-668	-985	-783	-932	-613	-885	-759	-843	-600
Other operating income	83	88	114	47	46	60	329	91	100
Other operating costs	-8	-7	-23	8	13	-8	-24	-3	17
Operating profit	1,118	790	-282	1,369	992	814	-12	471	911
Financial income	20	39	54	66	66	59	68	61	56
Financial expenses	-112	-753	-173	-150	-170	-167	-155	-173	-198
Net finance	-92	-714	-119	-84	-104	-108	-87	-112	-142
Pre-tax profit	1,026	76	-401	1,285	888	706	-99	359	769
Tax	-197	-4	34	-171	-154	-110	43	-148	-145
Profit for the period	829	72	-367	1,114	734	596	-56	211	624
Profit for the period, attributable to:
Shareholders in parent company	829	72	-373	1,121	732	596	-57	211	623
Non-controlling interests	0	0	6	-7	2	0	1	0	1
Profit for the period	829	72	-367	1,114	734	596	-56	211	624
Key ratios, IFRS
Earnings per share before and after dilution, SEK	2.89	0.25	-1.30	3.90	2.54	2.08	-0.20	0.74	2.17
Average number of outstanding shares, million	286.6	287.5	287.5	287.5	287.5	287.5	287.5	287.5	287.5
Capital employed (CB)	28,619	28,644	29,646	30,878	30,526	31,962	33,016	32,888	35,805
Equity (CB)	15,993	15,316	16,001	16,504	15,316	14,666	14,481	14,470	14,405

MSEK	Jul-Sep 2025	Apr-Jun 2025	Jan-Mar 2025	Oct-Dec 2024	Jul-Sep 2024	Apr-Jun 2024	Jan-Mar 2024	Oct-Dec 2023	Jul-Sep 2023
Net sales
Construction	5,238	5,959	5,317	6,541	5,130	6,358	5,788	7,029	5,789
Civil Engineering	4,248	4,433	3,668	4,893	3,810	4,278	3,558	4,454	3,491
Industry	6,953	5,678	2,283	5,576	7,528	6,033	2,411	5,056	6,780
Project Development	892	751	991	1,737	758	720	1,055	1,456	856
– of which Property Development	48	36	57	636	6	21	23	453	7
– of which Housing Development	844	715	934	1,101	752	699	1,032	1,003	849
Group functions	349	362	346	343	333	345	329	377	343
Eliminations	-2,078	-2,246	-1,680	-2,305	-2,020	-2,502	-2,000	-2,733	-2,523
Group, segment reporting	15,602	14,937	10,925	16,785	15,539	15,232	11,141	15,639	14,736
Adjustment of housing to IFRS	-244	126	-100	400	181	1,696	309	1,726	423
IFRS 16, additional leases
Group, IFRS	15,358	15,063	10,825	17,185	15,720	16,928	11,450	17,365	15,159
Operating profit
Construction	116	137	111	96	96	123	101	-358	96
Civil Engineering	169	204	114	140	117	165	77	180	110
Industry	875	544	-549	597	848	449	-479	476	588
Project Development	36	-1	83	521	-6	-33	246	17	46
– of which Property Development	84	11	49	533	8	21	261	63	21
– of which Housing Development	-48	-12	34	-12	-14	-54	-15	-46	25
Group functions	-62	-121	-56	-142	-62	-79	-58	-159	-33
Eliminations	14	-3	19	43	2	-6	7	-23	-21
Group, segment reporting	1,148	760	-278	1,255	995	619	-106	133	786
Adjustment of housing to IFRS	-41	20	-16	103	-14	190	85	330	115
IFRS 16, additional leases	11	10	12	11	11	5	9	8	10
Group, IFRS	1,118	790	-282	1,369	992	814	-12	471	911
Operating margin, %
Construction	2.2	2.3	2.1	1.5	1.9	1.9	1.7	-5.1	1.7
Civil Engineering	4.0	4.6	3.1	2.9	3.1	3.9	2.2	4.0	3.2
Industry	12.6	9.6	-24.0	10.7	11.3	7.4	-19.9	9.4	8.7
Project Development	4.0	-0.1	8.4	30.0	-0.8	-4.6	23.3	1.2	5.4
– of which Property Development	175.0	30.6	86.0	83.8	133.3	100.0	1,134.8	13.9	300.0
– of which Housing Development Group functions	-5.7	-1.7	3.6	-1.1	-1.9	-7.7	-1.5	-4.6	2.9
Eliminations
Group, segment reporting	7.4	5.1	-2.5	7.5	6.4	4.1	-1.0	0.9	5.3
Adjustment of housing to IFRS
IFRS 16, additional leases
Group, IFRS	7.3	5.2	-2.6	8.0	6.3	4.8	-0.1	2.7	6.0
Key ratios, segment reporting, MSEK
Earnings per share before and after dilution, SEK	3.01	0.20	-1.24	3.63	2.59	1.48	-0.45	-0.25	1.85
Capital employed (CB)	26,689	27,104	27,673	28,999	27,537	28,719	27,721	27,639	29,072
Equity (CB)	16,296	15,572	16,285	16,760	15,650	14,992	14,976	15,082	15,239
Orders received	10,223	13,183	16,574	12,052	10,135	16,434	17,889	10,527	11,034
Order backlog at the end of the period	48,279	51,757	51,955	44,906	47,026	50,578	47,808	39,060	41,669

Alternative performance measures and definitions

Alternative performance measures are used to describe the development of operations and to enhance comparability between periods. These are not defined under IFRS but correspond to the methods applied by executive management and Board of Directors to measure the company's financial performance. Alternative performance measures should not be viewed as a substitute for financial information presented in accordance with IFRS but rather as a complement.

The difference between segment reporting and reporting according to IFRS is described in more detail in note 1. The difference primarily consists of differences in accounting principles for our own housing development projects where revenue and profit are recognized over time in segment reporting and at one point in

time, when homebuyers take over their homes, in reporting according to IFRS. In segment reporting leasing fees for the lessee are recognized linearly over the leasing period for leases that are classified by the counterparty (the lessor) as operational leases. IFRS 16 Leases is applied in Group reporting according to IFRS, which entails that lessees recognize depreciation and interest attributable to leasing assets and liabilities. As a result the difference between segment reporting and reporting according to IFRS even affects the items on the balance sheet, including net debt. Nonetheless, in the key ratios below the method of calculation is the same for both segment reporting and reporting according to IFRS. For more information and calculations, see Peab's website

www.peab.com/alternative-keyratios.

Financial definitions

Available liquidity

Liquid funds and short-term investments along with unutilized credit facilities, excluding unutilized credit facilities for project financing. Shows the Group's available liquidity.

Capital employed for the business areas

Total assets in the business area at the end of the period reduced by deferred tax recoverables and internal receivables from the internal bank Peab Finans with deductions for non-interest-bearing liabilities and deferred tax liabilities. The measurement is used to measure capital utilization and its effectiveness for the business areas, and is only presented as a net amount per business area.

Capital employed for the Group

Total assets at the end of the period less non-interest-bearing operating liabilities and provisions. The measurement is used to measure capital utilization and its effectiveness.

Earnings per share, before and after dilution

Profit for the period attributable to shareholders in parent company divided by the average number of outstanding shares during the period. Shows earnings per share.

Equity/assets ratio

Equity as a percentage of total assets at the end of the period. Shows financial position.

Equity per share

Equity attributable to shareholders in parent company divided by the number of outstanding shares at the end of the period. Shows equity per share.

Net debt

Interest-bearing liabilities including provisions for pensions less liquid funds and interest-bearing assets. Shows financial position.

Net debt, segment reporting

Interest-bearing liabilities including provisions for pensions less liquid funds and interest-bearing assets. As of January 1, 2019 liabilities concerning unsold part of ongoing own housing development projects is included in net debt. Shows financial position for segment.

Net debt/equity ratio

Interest-bearing net debt in relation to equity. Shows financial position.

Operating margin

Operating profit as a percentage of net sales. Shows profitability in the business.

Operative cash flow

Cash flow before financing according to segment reporting. The cash flow does not include received internal Group interest, paid interest and paid tax that is not allocated to the business areas but only reported for the Group. Investments via leasing charge cash flow from investment operations in the business areas. Operative cash flow is only calculated for the business areas. Shows the cash flow generated per business area.

Order backlog

The value at the end of the period of the remaining income in ongoing production plus orders received yet to be produced. Order backlog is based on segment reporting. Shows how much will be produced in the future.

Orders received

The sum of orders received during the period. Measures how new orders replace produced work. Regarding our own housing development projects, tenantowner associations and housing companies are considered external customers.

Return on capital employed

Pre-tax profit for the rolling 12 month period with the addition of financial expenses in percent of the average (last four quarters) capital employed. The measurement is used to measure capital efficiency and to allocate capital for new investments and shows the Group's earning capacity independent of financing.

Return on equity

Profit for the rolling 12 month period attributable to shareholders in the parent company divided by the average (last four quarters) equity attributable to shareholders in the parent company. The measurement is used to create efficient business and a rational capital structure and show how the Group has multiplied shareholders' equity.

Non-financial definitions

Average number of employees

The sum of the number of hours Peab has paid for, divided by the annual working time.

CSI

CSI stands for Customer Satisfaction Index and measures how satisfied Peab's customers are. CSI is a weighted measurement between 0 and 100 and is based on three questions: 1) Total satisfaction, 2) In relation to expectations 3) In relation to ideal supplier.

eNPS

eNPS stands for employee Net Promoter Score and measures employee engage ment. The score can vary between -100 and 100 and is based on the question to employees: "How probable is it that you would recommend your employer to a friend or acquaintance?"

LTI4 and LTIF4

LTI4 refers to the number of workplace accidents with more than four days absence for the employeer, excluding the day of injury, and LTIF4 refers to the frequency rate per one million hours worked according to the same definition. LTI stands for Lost Time Injury.

Project and development property

Holdings of undeveloped land and decontamination property for future development, property with buildings for project development, processing and thereafter divestiture within Peab's normal business cycle.

Risk observations

A risk observation means at a workplace noticing behavior, risks or shortcomings that could lead to an incident or accident.

Serious accidents

Peab uses the Swedish Work Environment Authority's definition of a serious accident as an accident where one or more persons are injured at a workplace or a place they have visited for work. Serious accidents can be injuries such as bone fractures, effusive bleeding or nerve, muscle or tendon damage, injuries to inner organs or second or third degree burns. Serious accidents that occur in our other Nordic countries are categorized by the same definition.

The Nordic Community Builder

Local and close to our customers

Peab works locally where our customers are and where people live their lives. Every day our employees contribute through four collaborating business areas to community building in Sweden, Norway, Finland and Denmark. Together we build homes, schools, retirement homes, hospitals, swimming pool facilities, museums, offices, airports and ports. We build and maintain roads, railroads, bridges, parks and much, much more.

Peab has contributed to locally produced community building for more than 60 years. Now the journey continues. Long-lastingly and responsibly we are forging ahead, and improving everyday life where it's lived.

Net sales, appr.

SEK 58 billion

Employees, appr.

13,000

Four

Business areas

Construction Civil Engineering Industry Project Development

Peab is the Nordic Community Builder with some 13,000 employees and net sales of approximately SEK 58 billion. The Group has strategically located offices in Sweden, Norway, Finland and Denmark. Group headquarters are in Förslöv on the Bjäre Peninsula in Skåne. The share is listed on Nasdaq Stockholm.

Contact

Peab AB (publ) Margretetorpsvägen 84 SE-269 73 Förslöv Phone +46 431-890 00

peab.com

Photographers: Andreas Lindgren, Erik Bodén, Inger Bertilsdotter, Johan Marklund, Kuvatoimisto Kuvio Oy, Lars Ardavre, Mette Ottosson, Samuel Unéus, Semren Månsson and Thurston Empson. Peab takes work environment matters very seriously and works systematically to create safe workplaces. The kind of safety equipment used varies depending on national regulations and the type of operations. A risk analysis is always performed for each workplace before any exception is made. The people pictured in this publication are wearing personal safety equipment required by regulations valid for the operations and country they are in.