Bilia — Interim / Quarterly Report 2024

Apr 24, 2024

First quarter 2024

Stable Service Business and strong cash flow

First quarter 2024

• Net turnover amounted to SEK 9,371 M (9,871), a decrease of 5 per cent.
• Operational earnings amounted to SEK 333 M (431).
• The result for the Service Business was stable and amounted to SEK 281 M (297). The Car Business reported a decreased profit amounting to SEK 76 M (158), of which sales of used cars accounted for SEK 69 M (82).
• Operating profit amounted to SEK 287 M (380).
• Net profit for the period amounted to SEK 156 M (251). Earnings per share amounted to SEK 1.70 (2.73).
• Operating cash flow amounted to SEK 400 M (–308).

	First quarter		April 23–	Full year
SEK M	2024	2023	March 24	2023
Net turnover	9,371	9,871	38,014	38,514
Operational earnings 1)	333	431	1,525	1,623
Operational margin, %	3.6	4.4	4.0	4.2
Operating profit	287	380	1,323	1,416
Operating margin, %	3.1	3.8	3.5	3.7
Profit before tax	201	320	1,041	1,159
Net profit for the period	156	251	837	931
Earnings per share, SEK 2)	1.70	2.73	9.10	10.12

1) For reconciliation of operational earnings with operating profit, see Note 3.

2) The number of shares used in the calculation is shown in the Consolidated Statement of Income and Other Comprehensive Income.

Stable Service Business and good demand for used cars

First quarter

Operational earnings for the quarter amounted to SEK 333 M, with a margin of 3.6 per cent. The result for the Service Business was stable and amounted to SEK 281 M, which was on a par with the previous year considering there were fewer working days. The Car Business reported a result of SEK 76 M, of which sales of used cars accounted for SEK 69 M. Order intake were higher than in the previous year, and the order backlog for new cars was at a normal level historically speaking. Operating cash flow improved on the previous year and amounted to SEK 400 M for the quarter.

A changing business

Our Service Business is stable across business cycles, and previous year represented 62 per cent of our operational earnings. We are focusing on expansion of servicing for all car brands in our MobiliaCare operational area, in order to extend and diversify our existing service offering. We are responsive to the kind of services customers require, and ensuring our customers are satisfied is a sustainability goal we are working on in all parts of the operation.

We have diversified our brand portfolio and currently work with almost 20 attractive car brands when it comes to servicing and sales of new and used cars, transport vehicles and trucks.

We are also diversifying our business with what is a new role for us, official importers in Sweden and Norway of the Jaguar and Land Rover brands Range Rover, Defender and Discovery. By establishing a new area of expertise, we want to be a potential partner for future collaborations. The new importer business began on 2 April.

Carefully selected new family members

During the quarter, we signed an agreement to acquire another full-service operation for Volkswagen Group car brands: Bil AB Ove Olofsson with five facilities in Stockholm. The acquisition doubles our market share in Volkswagen Group in Sweden, and we look forward to evolving this company moving forward.

Furthermore, at the beginning of the year we took over B MotorGroup Stockholm AB, thus complementing our Swedish dealer operations with Jaguar and Land Rover car brands. We conduct operations at two facilities in Stockholm, where we will offer customers high-quality servicing and sales of new and used cars.

During the quarter we expanded our operations with XPENG in Sweden and Norway, and during the second quarter we are continuing to open new sales points in our existing facilities in response to customers' interests.

Signals of a better economy

During the quarter, private individuals remained cautious in buying new cars bearing in mind high interest rates. Demand for used cars, however, was stable at a good level. The used car market is one of our focus areas, and we are actively working to boost our range. Demand for servicing remained stable, as our customers continue to maintain their cars even in these tough times.

We believe we can discern some positive signals among our customers based on lower inflation and anticipated interest rate reductions in the future. Bilia's order intake for new cars have historically been impacted negatively early on in times of recession, but have also been quick to improve once the economy recovers.

Per Avander Managing Director and CEO

Group results

Net turnover and earnings

First quarter 2024

Net turnover amounted to SEK 9,371 M (9,871). Adjusted for acquired and divested operations and for exchange rate fluctuations, net turnover decreased by 6 per cent. Exchange rate fluctuations did not have a material impact on net turnover compared to the previous year.

Operating profit amounted to SEK 287 M (380). Operational earnings amounted to SEK 333 M (431), and the operational margin was 3.6 per cent (4.4). Western Europe reported higher operational earnings, while Sweden and Norway reported lower results.

The Service Business reported a result of SEK 281 M, compared to SEK 297 M in the previous year. Adjusted for the lower number of working days, the result was on a par with the previous year. The Car Business reported a result of SEK 76 M, compared to SEK 158 M the previous year. The lower result was attributable to foremost sales of new cars. The Fuel Business reported a result of SEK 13 M compared to SEK 8 M.

The operation in Sweden reported a result of SEK 274 M (348). The margin was 4.3 per cent (5.8). The operation in Norway reported a result of SEK 35 M (69). The margin was 1.9 per cent (2.4). The operation in Western Europe reported a result of SEK 61 M (47). The margin was 5.5 per cent (4.7). In Sweden, the lower result was attributable to the Car Business. In Norway, the lower result was attributable to both the Service Business and Car Business. The lower result in Norway was mainly due to less than half the number of delivered cars and a challenging market situation, both for us and other players on the market. In Western Europe, the higher result was primarily attributable to the Car Business.

Bilia's financial targets

• Total yearly growth higher than 5 per cent during a business cycle.
• Operating margin of 5 per cent during a business cycle.
• Net debt in relation to EBITDA, excluding IFRS 16, over time max 2.0 times.
• Dividend share of at least 50 per cent of earnings per share.

Net financial items amounted to SEK -85 M (-60). This higher figure was attributable to higher interest expenses.

Tax amounted to SEK –45 M (–69), and the effective tax rate was 22 per cent (22).

Net profit for the period amounted to SEK 156 M (251). Earnings per share amounted to SEK 1.70 (2.73). Exchange rate fluctuations did not have a material impact on net profit for the period compared to the previous year.

The number of employees, adjusted for acquired operations, increased by 59 during the quarter and totalled 5,284.

The operating result for the Parent Company during the quarter amounted to SEK –41 M (–39).

Operational earnings and margin

THE GROUP

Net turnover by geographic market

	First quarter		April 23–	Full year
SEK M	2024	2023	March 24	2023
Sweden	6,385	6,036	25,002	24,653
Norway	1,880	2,841	8,802	9,763
Western Europe	1,098	986	4,181	4,069
Parent Company, other	8	8	29	29
Total	9,371	9,871	38,014	38,514

Operational earnings by geographic market

	First quarter		April 23–	Full year
SEK M	2024	2023	March 24	2023
Sweden	274	348	1,291	1,365
Norway	35	69	143	177
Western Europe	61	47	242	228
Parent Company, other	–37	–33	–151	–147
Total	333	431	1,525	1,623

Operational margin by geographic market

	First quarter		April 23–	Full year
Per cent	2024	2023	March 24	2023
Sweden	4.3	5.8	5.2	5.5
Norway	1.9	2.4	1.6	1.8
Western Europe	5.5	4.7	5.8	5.6
Total	3.6	4.4	4.0	4.2

A better experience

At Bilia we strive for continuous development, to be a little better each day, whatever our title or position. Working in a goal-conscious way founded on our vision, core values and customer promise creates a positive spiral, enabling us to exceed expectations and provide a better experience for customers and colleagues alike.

Operating cash flow

Operating cash flow for the quarter amounted to SEK 400 M (–308). The quarter's operating cash flow has been positively affected by lower working capital, mainly related to inventory. After acquisitions and divestment of operations and changes in financial assets, cash flow for the quarter amounted to SEK 156 M (–308).

Financial position

The balance sheet total increased by SEK 51 M during the year and amounted to SEK 19,446 M. Equity increased by SEK 170 M, amounting to SEK 5,011 M. The total holding of own shares as of 31 March 2024 was 4,315,709 shares. The equity/assets ratio amounted to 26 per cent (26).

Net debt increased by SEK 385 M during the year and amounted to SEK 7,074 M. Excluding lease liabilities attributable to IFRS 16, net debt amounted to SEK 2,676 M, an increase of SEK 233 M since December 2023. The ratio of net debt to EBITDA, excluding IFRS 16, amounted to 1.5 times compared with 1.3 times at the end of 2023.

At the end of the quarter, SEK 1,355 M of Bilia's credit with the banks (Nordea and DNB) was utilised. The credit facility with Nordea and DNB totals SEK 2,300 M, and was refinanced during the quarter with substantially unchanged terms. The revolving credits have a term of 3 years with possibility of extension with one year plus one year after creditors' approval.

Investments excluding right-of-use assets

Acquisitions of non-current assets during the quarter amounted to SEK 122 M (75) excluding lease vehicles and SEK 502 M (354) including lease vehicles. Broken down by geographical market, the investments amounted to SEK 246 M (300) in Sweden, SEK 206 M (21) in Norway, SEK 6 M (17) in Western Europe and SEK 44 M (16) for the Parent Company and other central operations.

Operating cash flow

Net debt and net debt/EBITDA, excl. IFRS 16

Investments in non-current assets, excl. IFRS 16

Notable events

Events during the first quarter

• On 23 February Bilia signed an agreement to acquire Bil AB Ove Olofsson and Olofsson Däckcenter AB in Stockholm, a dealer of Volkswagen, Audi, Skoda, Seat and Cupra cars as well as Volkswagen transport vehicles with associated sales of used cars and service operations with associated tire operations. The operation is conducted in five facilities in Stockholm. The agreement is conditional on approval from the Swedish Competition Authority. The deal is expected to be effectuated on 2 May 2024. During 2023 the turnover amounted to approximately SEK 1.3 Bn, with an operating margin of 3.2 percent. The capital employed plus agreed surplus values amounts to approximately SEK 200 M. Bilia är en One Stop Shop, med ett brett utbud av produkter och tjänster. Genom bilköpet knyter
• On 27 March Bilia refinanced its current revolving loan and credit facility of SEK 2.3 Bn with final maturity during the first quarter of 2025. The new credit facility

consists of SEK 1.7 Bn revolving loans and SEK 0.6 Bn overdraft. The revolving credits have a term of 3 years with possibility of extension with one year plus one year after creditors' approval. Bilia är en One Stop Shop, med ett brett utbud av produkter och tjänster. Genom bilköpet knyter vi kunderna till oss. Våra anläggningar och digitala kanaler är de centrala kontaktytorna. Bilia är en One Stop Shop, med ett brett utbud av produkter och tjänster. Genom bilköpet knyter vi kunderna till oss. Våra anläggningar och digitala kanaler är de centrala kontaktytorna. Bilia är en One Stop Shop, med ett brett utbud av produkter och tjänster. Genom bilköpet knyter vi kunderna till oss. Våra anläggningar och digitala kanaler är de centrala kontaktytorna.

Bilia är en One Stop Shop, med ett brett utbud av produkter och tjänster. Genom bilköpet knyter vi kunderna till oss. Våra anläggningar och digitala kanaler är de centrala kontaktytorna.

Bilia är en One Stop Shop, med ett brett utbud av produkter och tjänster. Genom bilköpet knyter vi kunderna till oss. Våra anläggningar och digitala kanaler är de centrala kontaktytorna.

Bilia är en One Stop Shop, med ett brett utbud av produkter och tjänster. Genom bilköpet knyter vi kunderna till oss. Våra anläggningar och digitala kanaler är de centrala kontaktytorna.

Bilia är en One Stop Shop, med ett brett utbud av produkter och tjänster. Genom bilköpet knyter vi kunderna till oss. Våra anläggningar och digitala kanaler är de centrala kontaktytorna.

Events after the balance sheet date vi kunderna till oss. Våra anläggningar och digitala kanaler är de centrala kontaktytorna.

• On 2 April Bilia announced that as a result of growing interest in XPENG, additional facilities in Sweden and Norway are opened.

Further information about the above mentioned events along with other press information is available at bilia.com. Butik Tillbehör, reservdelar och e-handel. lackbehandling samt tillbehörs- & däckförsäljning.

försäljning och verkstadstjänster.

Servicecenter Originalservice, personlig servicetekniker och reparationer We offer services for everything related to car ownership during the car's entire life cycle, from the purchase of a new car to recycling parts from a dismantled car.

Servicecenter Originalservice, personlig servicetekniker och reparationer Service Original service, personal service technicians and repairs. Butik Tillbehör, reservdelar och e-handel.

Skadecenter Rekonditionering och AC- rengöring och vindrutebyten. repair and windscreen replacement. Bilvård Drivmedel och biltvätt. Drivmedel och biltvätt.

Glascenter

Bilköp

Däckcenter Däckhotell, däckbyte, däckförsäljning och verkstadstjänster.

Bilköp

Stationer Drivmedel och biltvätt.

Glasbehandling, glasreparation och vindrutebyten.

Finansiering, försäkring, biliakort, serviceabonnemang, däckhotell, lackbehandling samt tillbehörs- & däckförsäljning.

Finansiering, försäkring, biliakort, serviceabonnemang, däckhotell,

Affärsmodell och strategi

Stationer Drivmedel och biltvätt.

Vägassistans, plåtverkstad,

Kundservice Telefon och online.

Skadecenter Vägassistans, plåtverkstad, lackverkstad, buckelborttagning och

bildemontering.

Hyrbilar Uthyrning och Flexlease

Kundservice Telefon och online.

Stationer Drivmedel och biltvätt.

Bilvård

Skadecenter Vägassistans, plåtverkstad, lackverkstad, buckelborttagning och

bildemontering.

Hyrbilar Uthyrning och Flexlease

Bilvård

Stationer Drivmedel och biltvätt.

Rekonditionering och AC- rengöring

Rekonditionering och AC- rengöring

lackverkstad, buckelborttagning och bildemontering. Skadecenter Vägassistans, plåtverkstad, lackverkstad, buckelborttagning och Däckcenter Däckhotell, däckbyte, däckförsäljning och verkstadstjänster. Rekonditionering och AC- rengöring Car care Reconditioning and AC-cleaning. Bilvård Rekonditionering och AC- rengöring Bilvård Rekonditionering och AC- rengöring Skadecenter Vägassistans, plåtverkstad, lackverkstad & buckelborttagning

Kundservice Hyrbilar Uthyrning och Flexlease servicetekniker och reparationer bildemontering. bildemontering. body shop, paint shop and dent removal. lackverkstad, buckelborttagning och bildemontering.

Hyrbilar Uthyrning och Flexlease

bildemontering.

Telefon och online. Kundservice Telefon och online. Hyrbilar Uthyrning och Flexlease Hyrbilar Uthyrning och Flexlease Hyrbilar Uthyrning och Flexlease Rental cars Rentals and Flexlease. Kundservice Telefon & online.

Kundservice Telefon och online.

Kundservice Telefon och online. Kundservice Telefon och online. Kundservice Telefon och online. Reuse Bildemontering & bildelar Car dismantling Dismantling, reuse and sales of used car parts.

BILIA ÅRSREDOVISNING 2019 7

Stable result for the Service Business

First quarter 2024

• Turnover amounted to SEK 2,363 M (2,257), an increase of 5 per cent.
• Operational earnings amounted to SEK 281 M (297).
• The margin was 11.9 per cent (13.2).

Turnover and earnings

First quarter 2024

During the quarter, the turnover for the Service Business increased organically by 8 per cent. The organic growth is adjusted for acquired and divested operations, exchange rate changes and the number of working days compared to last year. The lower growth in Norway is explained by less than half the number of delivered new cars than in the previous year, which had a negative impact on turnover.

This year the Easter break fell during the first quarter, while in 2023 it was in the second quarter. This means that there were three fewer working days in Norway, two fewer in Sweden, and one fewer in Belgium and Luxembourg; this had an impact on quarter-on-quarter turnover and results compared to the previous year.

Growth in the Service Business

Per cent	First quarter
	Sweden	Norway	Western Europe	Total
Reported growth	7.4	–3.9	10.5	4.7
Underlying growth	6.2	–0.7	9.6	4.8
Calendar effect	3.1	4.6	1.5	3.4
Organic growth	9.3	3.9	11.1	8.1

Operational earnings for the Service Business amounted to SEK 281 M (297) and was on a par with last year considering the number of working days during the quarter.

In Sweden, operational earnings amounted to SEK 228 M (226). In Norway operational earnings amounted to SEK 32 M (54). The figures in Norway were affected by the fact that less than half the number of new cars were delivered than in the previous year. In Western Europe, operational earnings amounted to SEK 21 M (17). The margin in Sweden and Western Europe was at a stable level, while in Norway it was lower than the previous year. Improvement activities are being implemented in Norway and have begun to make an impact.

Our target is to grow the turnover and profitability of our Service Business. Since 2013 the turnover for the first quarter has increased with 140 per cent and the operational earnings with 330 per cent. The margin has during the same period increased from 6.6 per cent to 11.9 per cent.

Service Business - First quarter

	2013	2014	2015	2016	2017	2018	2019	2020	2021	2022	2023	2024
Net turnover, SEK M	984	1,039	1,048	1,223	1,500	1,561	1,704	1,796	1,880	2,056	2,257	2,363
Operational earnings, SEK M	65	93	102	130	193	169	218	263	319	315	297	281
Operational margin, %	6.6	9.0	9.7	10.6	12.9	10.8	12.8	14.7	16.9	15.3	13.2	11.9

Turnover in the Service Business comes from different services that are updated according to customers' needs and expectations. Services encompass service centers, repair workshops, wheel storage and tyre sales, glass repair and replacement, car dismantling and sales of used spare parts.

At the end of the quarter, the number of service subscriptions amounted to 119,000 (119,000 at year-end 2023) compared with our long-term target of 130,000. The number of wheels stored on behalf of our customers amounted to 375,000 (391,000 at year-end 2023) compared with our long-term target of 1,000,000.

Turnover Service Business, %

Operational earnings and margin

Turnover by geographic market

		First quarter		Full year
SEK M	2024	2023	March 24	2023
Sweden	1,632	1,519	6,158	6,045
Norway	563	586	2,159	2,182
Western Europe	168	152	654	638
Total	2,363	2,257	8,971	8,865

Operational earnings by geographic market

		First quarter		Full year
SEK M	2024	2023	March 24	2023
Sweden	228	226	878	876
Norway	32	54	116	138
Western Europe	21	17	87	83
Total	281	297	1,081	1,097

Margin by geographic market

Per cent		First quarter		Full year
		2023	March 24	2023
Sweden	14.0	14.9	14.3	14.5
Norway	5.7	9.2	5.4	6.3
Western Europe	12.4	11.2	13.2	13.0
Total	11.9	13.2	12.0	12.4

Higher order intake and stable business for used cars

First quarter 2024

• Turnover amounted to SEK 7,329 M (7,913), a decrease of 7 per cent.
• Operational earnings amounted to SEK 76 M (158).
• The margin was 1.0 per cent (2.0).

Turnover and earnings

First quarter 2024

The Car Business's deliveries of new and used cars, adjusted for acquired and divested operations, were 18 and 2 per cent lower respectively during the quarter compared with the previous year. The lower deliveries of new cars was mainly attributable to Norway where underlying deliveries was 57 per cent lower compared with the previous year.

The order intake of new cars for the Group was 13 per cent higher than the previous year adjusted for acquired and divested operations, primarily attributable to Norway, which experienced order cancellations in the previous year due to new tax regulations. Adjusted for cancellations, orders in Norway were twice what they were in the previous year. In Sweden and Western Europe, the underlying order intake was 8 and 11 per cent lower respectively than in the previous year.

The order backlog amounted to 14,460 cars, which was lower than the previous year but at a normal level historically. Adjusted for acquired and divested operations, the order backlog was around 8,900 cars lower than the previous year, but somewhat higher compared with the year-end 2023.

Adjusted for acquired and divested operations and exchange rate fluctuations, turnover during the quarter was 9 per cent lower than the previous year. The lower turnover is explained by the lower number of delivered cars.

New cars by geographic market

	Deliveries				Order backlog
Number of	First quarter
	2024	2023	April 23– March 24	Full year 2023	31 March 2024	31 March 2023
Sweden 1)	6,639	7,479	29,419	30,259	8,581	15,560
Norway 2)	1,245	2,548	6,836	8,139	2,944	4,007
Western Europe	1,438	1,644	5,630	5,836	2,935	3,969
Total	9,322	11,671	41,885	44,234	14,460	23,536

1) Acquired operations are included in deliveries during the quarter with 209 and with 112 in order backlog.

2) Acquired operations are included in deliveries during the quarter with 154 and with 263 in order backlog.

Operational earnings from sales of used cars remained at a good level and amounted to SEK 69 M (82). The lower figure compared to the previous year was attributable to a lower gross profit margin.

Operational earnings from sales of new cars amounted to SEK 7 M (76). The lower figure is primarily attributable to fewer delivered new cars.

Operational earnings for the Car Business in Sweden amounted to SEK 33 M (113), the decrease relating to sales of both new and used cars. The result from sales of used cars amounted to SEK 32 M (84). The lower result was attributable to a lower gross profit margin. The number of used cars in stock was deemed to be at a good level at the end of the quarter. The result from sales of new cars amounted to SEK 1 M (29). The lower result was attributable to a lower gross profit margin.

Operational earnings for the Car Business in Norway amounted to SEK 3 M (15). The lower result was attributable to sales of new cars which reported a loss of SEK –27 M (21). The result is explained by fewer delivered new cars as well as a challenging market situation, both for us and other players on the market. The lower number of delivered new cars resulted in lower turnover. The result from sales of used cars amounted to SEK 30 M (–6). The higher profit was attributable to a higher gross profit margin. The number of used cars in stock was deemed to be at a good level at the end of the quarter.

Operational earnings for the Car Business in Western Europe amounted to SEK 40 M (30). The higher profit was primarily attributable to higher turnover for new cars. The result from sales of used cars amounted to SEK 6 M (4). The result from sales of new cars amounted to SEK 34 M (26).

Deliveries of used cars by geographic market

	First quarter		April 23–	Full year
Number of	2024	2023	March 24	2023
Sweden 1)	8,517	8,144	30,612	30,239
Norway	2,992	3,253	12,492	12,753
Western Europe	646	903	2,557	2,814
Total	12,155	12,300	45,661	45,806

1) Acquired operations are included during the quarter with 138.

Operational earnings and margin

CAR BUSINESS

Turnover by geographic market

		First quarter		Full year
SEK M	2024	2023	March 24	2023
Sweden	4,929	4,594	19,276	18,941
Norway	1,451	2,463	7,163	8,175
Western Europe	949	856	3,609	3,516
Total	7,329	7,913	30,048	30,632

Operational earnings by geographic market

		First quarter		Full year
SEK M	2024	2023	March 24	2023
Sweden	33	113	388	468
Norway	3	15	27	39
Western Europe	40	30	155	145
Total	76	158	570	652

Margin by geographic market

	First quarter		April 23–	Full year
Per cent	2024	2023	March 24	2023
Sweden	0.7	2.5	2.0	2.5
Norway	0.2	0.6	0.4	0.5
Western Europe	4.2	3.5	4.3	4.1
Total	1.0	2.0	1.9	2.1

Lower volumes but higher results

First quarter 2024

• Turnover amounted to SEK 225 M (277), a decrease of 19 per cent.
• Operational earnings amounted to SEK 13 M (8).
• The margin was 5.7 per cent (2.7).

Turnover and earnings

First quarter 2024

The Fuel Business encompasses fuel stations and car washes and is concentrated to Sweden. The result for the quarter amounted to SEK 13 M (8). The higher result during the quarter can be explained by higher bonus from suppliers.

–5 0 5 10 15 Q2 22 Q3 22 Q4 22 Q1 23 Q2 23 Q3 23 Q4 23 Q1 24 –1.0 0.0 1.0 2.0 3.0

Operational earnings and margin

Operational earnings SEK M

Fuel Business

	First quarter		April 23–	Full year
	2024	2023	March 24	2023
Turnover, SEK M	225	277	1,077	1,129
Operational earnings, SEK M	13	8	26	21
Margin, per cent	5.7	2.7	2.5	1.9

Margin %, R12

Sustainability

The automotive and transport industry is facing major challenges, for instance with the transition to vehicles that run on sustainable fuels. Another challenge is taking greater overall responsibility along the entire value chain, and finding new ways to reduce the use of resources. These challenges are regulated by international laws and objectives but are also expected and demanded by business partners and customers. We all have a responsibility. When selling new cars, Bilia supports companies and individuals in the transition to vehicles with lower carbon dioxide emissions, while our workshops and dismantling centres contribute to a more circular economy through repair and reuse.

Sustainability at Bilia

We are working to make sustainability an increasingly integral part of Bilia's operation. Our business concept is to create a sustainable business through consideration and pride by offering attractive and innovative solutions for the mobile human being. We do this not only to provide added value for our customers, but also because we regard sustainability as a vital part of our business. Our business concept enables us to grow while contributing to the major societal changes happening in the world.

Our circular business model

Bilia is a full-service supplier during the car's entire life cycle. The focus is on developing new services relating to reuse and renovation of spare parts. As part of this strategy, we have acquired car dismantling companies and rim repair companies. In addition to car dismantling and reuse of spare parts, dismantled parts are also recycled.

Activities during the quarter related to Bilia's sustainability targets

The sustainability targets are the basis for specific improvement activities in this year's action plan. Examples of activities during the quarter were:

• Sustainable growth ongoing efforts regarding the gap analysis of the double materiality analysis and future reporting requirements.
• Circular economy goals for using used parts for repair jobs in Sweden have been established, and preparations are under way to implement them in the operation.
• Human care performance appraisals focusing on core values, leadership expectations and the working environment have been conducted.
• Climate care planning for the drafting of a climate strategy in line with the Paris Agreement. Assessment regarding establishment of SBTi.

Sustainable growth

• Customer satisfaction to be 3 percentage points higher than the average for each brand in their country.
• Proportion of women in sales operations should exceed 30 per cent.

Circular economy

• Share of 12 per cent used spare parts for repair cases in Sweden in 2028.

Human care

• Proportion of committed employees above the benchmark.

Climate care

• Contribute to lower climate impact among our customers when using the products and services we provide.
• Reduced carbon dioxide emissions associated with energy use in own operations.

Nine key SDGs in the 2030 Agenda

Bilia has four focus areas for our sustainability work: Human care, Climate care, Sustainable growth and Circular business model. The focus areas are linked to the following of the UN's global Sustainable Development Goals in the 2030 Agenda.

Global SDGs	Bilia Focus areas	Global SDGs	Bilia Focus areas
	Human care		Climate care
	Human care		Circular economy
	Climate care		Sustainable growth
	Sustainable growth		All four areas
	Climate care

Other information

Risks and opportunities

Risks and risk takings are a natural part of Bilia's business operations. A good understanding of the risks together with an efficient way of identifying, evaluating and managing the risks are important for Bilia's short-term and long-term success. Bilia has a formal yearly process at Group level to identify, plan and reduce identified risks in the business. Please refer to the Annual Report for a description of the risks and Bilia's risk management.

The events that have transpired in the wider world since publication of the annual report are not judged to entail any new material risks or changes in working methods compared with the description in the Annual Report for 2023.

Seasonal variations and number of working days

Bilia's business and operating profit are affected by seasonal variations to a limited extent. The number of working days for the reporting periods is affected by when national holidays fall in different years. Business and operating profit in mainly the Service Business, but also the Car Business, are affected by the number of working days.

Related party transactions

For a description of related party transactions, see page 101, "Note 30" of the 2023 Annual Report.

Parent Company

Bilia AB is responsible for the Group's management, strategic planning, purchasing, public relations, business development, legal, marketing, HR, real estate activities, accounting and financing.

Annual General Meeting 2024

The Annual General Meeting is held on 24 April 2024.

The Board proposes a dividend of SEK 6.60 (8.80) per share, to be paid in four instalments of SEK 1.65 per share. The proposed dividend is in line with historical levels of dividend share and in accordance Bilia's dividend policy.

The best service company in the business – through consideration for customers, colleagues and the world we live in.

Bilia will create a sustainable business through consideration and pride by offering attractive and innovative solutions for the mobile human being.

VISION AND BUSINESS IDEA CULTURE AND CORE VALUES CUSTOMER PROMISE

Dedication, Competence, Genuine, Respect.

At Bilia we are engaged in the meeting with customers, with each other and with suppliers. Competence gives solutions and suggestions that benefit the customer the most. Being genuine and showing respect build confidence in Bilia and our employees.

A better experience.

Our general goal is to create an experience that exceeds the customer's expectations, and adds value that distinguishes Bilia from its competitors.

OUR CAR BRANDS

Consolidated Statement of Income and Other Comprehensive Income

	First quarter		April 23–	Full year
SEK M	2024	2023	March 24	2023
Net turnover	9,371	9,871	38,014	38,514
Costs of goods sold	–7,867	–8,307	–31,934	–32,374
Gross profit	1,504	1,565	6,080	6,140
Other operating income	9	5	50	46
Selling and administrative expenses	–1,224	–1,183	–4,766	–4,724
Other operating expenses	–3	–7	–41	–45
Operating profit 1)	287	380	1,323	1,416
Financial income	2	1	17	15
Financial expenses	–103	–81	–382	–360
Profit from shares in associated companies	16	20	83	88
Profit before tax	201	320	1,041	1,159
Tax	–45	–69	–204	–228
Net profit for the period	156	251	837	931
Other comprehensive income
Items that can be reclassified to profit or loss
Translation differences attributable to foreign operations	28	–67	3	–93
Change in fair value of cash flow hedges, net after tax	–11	–38	–19	–45
Other comprehensive income after tax	17	–105	–15	–138
Comprehensive income for the period	173	146	821	793
Net profit attributable to:
- Parent Company's shareholders	156	251	837	931
- Non-controlling interests	0	0	0	0
Comprehensive income attributable to:
- Parent Company's shareholders	173	146	821	793
- Non-controlling interests	0	0	0	0
Basic earnings per share, SEK	1.70	2.73	9.10	10.12
Diluted earnings per share, SEK	1.70	2.73	9.08	10.10
Average number of shares, '000	91,984	91,984	91,984	91,984
Average number of shares, after dilution, '000	92,200	92,086	92,216	92,188
1) Amortisation and depreciation according to plan by asset class:
– Intellectual property	–53	–52	–210	–209
– Land and buildings	–22	–20	–86	–84
– Equipment, tools, fixtures and fittings	–39	–38	–146	–145
– Leased vehicles	–106	–85	–401	–380
– Right-of-use assets	–147	–146	–586	–585
Total	–366	–341	–1,428	–1,404

Consolidated Statement of Financial Position, Summary

SEK M	31 March 2024	31 December 2023	31 March 2023
Assets
Non-current assets
Intangible assets
Intellectual property	932	972	1,100
Goodwill	1,509	1,496	1,503
	2,441	2,468	2,603
Property, plant and equipment
Leased vehicles	2,542	2,515	2,422
Right-of-use assets	4,112	3,960	4,241
Other tangible assets	2,042	1,968	1,777
	8,696	8,443	8,440
Financial assets	749	726	700
Deferred tax assets	38	150	175
Total non-current assets	11,924	11,788	11,918
Current assets
Inventories	4,734	4,789	5,030
Other receivables	2,421	2,554	2,474
Cash and cash equivalents	367	264	257
Total current assets	7,522	7,607	7,761
TOTAL ASSETS	19,446	19,395	19,679
Equity and liabilities
Equity	5,011	4,841	5,033
Non-current liabilities
Bond issue	1,295	1,295	498
Interest-bearing liabilities	34	24	56
Lease liabilities	3,953	3,791	3,831
Other liabilities and provisions	1,335	1,332	1,647
Deferred tax liabilities	540	698	670
	7,156	7,139	6,703
Current liabilities
Bond issue	—	—	800
Interest-bearing liabilities	2,069	1,762	1,604
Lease liabilities	848	818	831
Other liabilities and provisions	4,361	4,835	4,708
	7,279	7,415	7,943
TOTAL EQUITY AND LIABILITIES	19,446	19,395	19,679

Statement of Changes in Group Equity, Summary

SEK M	First quarter 2024	Full year 2023	First quarter 2023
Opening balance	4,841	4,887	4,887
Decided dividend	—	–809	—
Incentive programme	–3	2	1
Revaluation of put option	—	–32	–1
Comprehensive income for the period	173	793	146
Equity at end of period	5,011	4,841	5,033
Equity attributable to:
- Parent Company's shareholders	5,011	4,841	5,033
- Non-controlling interests	0	0	0

Consolidated Statement of Cash Flows

	First quarter	April 23–	Full year
SEK M	2024	2023	March 24	2023
Operating activities
Profit before tax	201	320	1,041	1,159
Depreciation and impairment losses	368	341	1,434	1,407
Other items not affecting cash	–59	–56	–182	–179
Tax paid	–106	–147	–340	–380
Change in inventories	167	5	436	274
Change in operating receivables	200	154	215	169
Change in operating liabilities	–163	–772	–250	–859
Cash flow from operating activities	609	–155	2,355	1,591
Investing activities
Acquisition of non-current assets (intangible and tangible)	–122	–75	–568	–520
Disposal of non-current assets (intangible and tangible)	5	0	47	41
Acquisition of leased vehicles	–381	–279	–1,671	–1,569
Disposal of leased vehicles	288	200	1,172	1,084
Operating cash flow	400	–308	1,335	627
Investment in financial assets	–7	0	–9	–2
Disposal of financial assets	0	—	23	23
Acquisition of operations	–238	—	–266	–29
Transactions with shareholders with non-controlling interest	1	—	1	—
Cash flow from investing activities	–453	–154	–1,271	–972
Financing activities
Borrowings	—	1	839	840
Repayment of loans	0	–4	–838	–842
Repayment of lease liabilities	–172	–100	–609	–538
Net change in short-term credit facilities	314	396	439	521
Dividend paid to the company's shareholders	–203	–184	–810	–791
Cash flow from financing activities	–61	109	–979	–810
Change in cash and cash equivalents,
excl. translation differences	95	–199	104	–191
Exchange difference in cash and cash equivalents	7	0	6	–1
Change in cash and cash equivalents	103	–199	111	–192
Cash and cash equivalents at start of period	264	456	257	456
Cash and cash equivalents at end of period	367	257	367	264

Comparative periods have been reclassified for comparability.

Note 1 Accounting principles

This interim report has been prepared in accordance with International Financial Reporting Standards (IFRS) IAS 34 and applicable provisions of the Annual Accounts Act. The interim report for the Parent Company has been prepared in accordance with Chapter 9 of the Annual Accounts Act, "Interim Reports". The same accounting policies and calculation methods have been applied for the Group and the Parent Company as in the most recent Annual Report.

New or revised IFRS standards to be used in future are not expected to have any material effect on the consolidated financial statements.

Disclosures in accordance with IAS 34, paragraph 16, are made not only in the financial statements and related notes, but also in other parts of this interim report.

Note 2 Fair value of financial instruments

Valuation principles and classifications of Bilia's financial instruments as described in the annual report for 2023 have been applied consistently during the reporting period.

To hedge electricity costs, Bilia has decided to use electricity derivatives to even out price variations on the electricity market. Bilia hedges gradually up to five years and builds up the volume of electricity contracts for each delivery date. The hedges meet the requirements for effectiveness, which means that the changes in value are recognised in other comprehensive income. The forward agreements used to hedge contracted purchases of electricity are classified as cash flow hedges and amounted to a liability of SEK 9 M.

Bilia's financial instruments in the form of currency derivatives are valued at fair value over the statement of income and are valued according to valuation level 2. The value of the currency derivatives was not material and did not constitute a significant item in the statement of financial position for the Group. Valuation of the currency derivatives at fair value has resulted in a cost of SEK 1 M, which was matched by an income for the revaluation of assets in foreign currency. The effect on the Group's result was therefore SEK 0 M.

Bilia's financial instruments valued at fair value over equity consist of put/call options issued in connection with acquisitions and are valued at fair value based on future exercise price according to valuation level 3. The option is reported as provisions in the statement of financial position and amounted to SEK 40 M.

Note 3 Revenues and costs that affect comparability

Acquisition-related expenses and value adjustments relate to costs for acquiring operations.

SEK M		First quarter	April 23–	Full year
		2023	March 24	2023
Operational earnings	333	431	1,525	1,623
– Structural costs etc.	0	–5	–16	–21
– Acquisition-related items and value adjustments	0	0	0	—
– Amortisation of surplus values	–47	–46	–186	–186
Operating profit	287	380	1,323	1,416

Note 4 Group's operating segments

First quarter 2024

SEK M	Service	Car	Fuel	Total	Segment reconciliation	Group
Net turnover
External sales	1,809	7,329	225	9,363	8	9,371
Internal sales	554	—	—	554	–554	—
Total net turnover	2,363	7,329	225	9,917	–546	9,371
Depreciation/amortisation	–140	–210	0	–350	–16	–366
Operational earnings/Operating profit	281	76	13	370	–83	287
Revenue and costs that affect comparability:
– Structural costs etc.	0	—	—	0	—	0
– Acquisition-related items and value adjustments	0	—	—	0	—	0
– Amortisation of surplus values	–24	–23	—	–47	—	–47
Total	–24	–23	—	–47	—	–47

	Service			Car
SEK M	Sweden	Norway Western Europe		Sweden	Norway Western Europe
Net turnover
External sales	1,231	429	149	4,929	1,451	949
Internal sales	401	134	19	—	—	—
Total net turnover	1,632	563	168	4,929	1,451	949
Depreciation/amortisation	–97	–31	–12	–142	–57	–11
Operational earnings	228	32	21	33	3	40
Revenue and costs that affect comparability:
– Structural costs etc.	0	—	—	—	—	—
– Acquisition-related items and value adjustments	—	—	0	—	—	—
– Amortisation of surplus values	–12	–5	–7	–13	–5	–5
Total	–12	–5	–7	–13	–5	–5

First quarter 2023

					Segment
SEK M	Service	Car	Fuel	Total	reconciliation	Group
Net turnover
External sales	1,673	7,913	277	9,863	8	9,871
Internal sales	584	—	—	584	–584	—
Total net turnover	2,257	7,913	277	10,447	–576	9,871
Depreciation/amortisation	–142	–181	–1	–324	–17	–341
Operational earnings/Operating profit	297	158	8	464	–84	380
Revenue and costs that affect comparability:
– Structural costs etc	–2	–1	0	–3	–2	–5
– Acquisition-related items and value adjustments	0	0	—	0	—	0
– Amortisation of surplus values	–23	–23	—	–46	—	–46
Total	–25	–24	0	–49	–2	–51

		Service		Car
SEK M	Sweden	Norway Western Europe		Sweden	Norway Western Europe
Net turnover
External sales	1,165	378	130	4,594	2,463	856
Internal sales	354	208	22	—	—	—
Total net turnover	1,519	586	152	4,594	2,463	856
Depreciation/amortisation	–90	–39	–13	–131	–39	–11
Operational earnings	226	54	17	113	15	30
Revenue and costs that affect comparability:
– Structural costs etc	–1	0	–1	–1	0	0
– Acquisition-related items and value adjustments	0	0	0	0	0	0
– Amortisation of surplus values	–12	–5	–6	–12	–5	–6
Total	–13	–5	–7	–13	–5	–6

Note 5 Acquisitions and divestments of operations

Acquisitions in 2024

On 26 October 2023 Bilia reached an agreement to acquire B MotorGroup Stockholm AB. The business is conducted in two modern facilities with sales and service of Jaguar and Land Rover. During 2022 turnover amounted to approximately SEK 450 M with an operating margin of 1.1 per cent. The number of employees were 45 at the end of 2022. The acquisition was effectuated on 2 January 2024. The acquisition analysis is preliminary pending the final completion of the financial statements for the day of taking possession.

On 23 February the option was exercised regarding the remaining minority of 10 percent in Bilia Holding S.à r.l. The paid amount of EUR 10.7 M corresponds to the reported provision.

One facility for Jaguar and Land Rover in Norway, two facilities for XPENG in Sweden and two facilities for XPENG in Norway have been acquired in 2024. These have not entailed any significant impact on the group's financial position.

Acquisitions in 2023

On 1 November Bilia acquired the operations in Bilcentergruppen Sörmland AB, which conducts sales and service operations for Mercedes-Benz cars and transport vehicles. The acquired operations had a turnover of approximately SEK 100 M in 2022. The number of employees was 24 at the end of 2022. Acquired customer relations of SEK 14 M are reported as intangible assets and are amortised over 10 years.

Note 6 Specification of interest-bearing net debt and EBITDA

Specification of interest-bearing net debt
SEK M	31 March 2024	31 December 2023	31 March 2023
Current interest-bearing liabilities	2,234	1,934	2,579
Non-current interest-bearing liabilities	1,572	1,515	663
Lease liabilities IFRS 16	4,397	4,246	4,379
Cash and cash equivalents	–367	–264	–257
Interest-bearing assets	–83	–76	–112
Shares in associated companies	–680	–665	–611
Net debt at end of the period	7,074	6,689	6,642
Net debt at end of the period, excluding IFRS 16	2,676	2,443	2,262

The ratio of net debt to EBITDA

Net debt to EBITDA ratio excluding IFRS 16, times	1.5	1.3	1.1
EBITDA excluding IFRS 16	1,786	1,888	2,101
– depreciation of right-of-use assets	–586	–585	–542
– depreciation of leased vehicles with repurchase agreements	–311	–288	–252
Total depreciation and amortisation	1,428	1,404	1,293
Result from sale of operations, structural costs, acquisition costs and impairment losses	16	21	–125
Operating profit excluding IFRS 16	1,239	1,337	1,727
Net debt to EBITDA ratio, times	2.9	2.6	2.4
EBITDA	2,456	2,552	2,714
– depreciation of leased vehicles with repurchase agreements	–311	–288	–252
Total depreciation and amortisation	1,428	1,404	1,293
Result from sale of operations, structural costs, acquisition costs and impairment losses	16	21	–125
Operating profit	1,323	1,416	1,798
SEK M	April 23– March 24	Full year 2023	April 22– March 23

Income Statement for Parent Company

	First quarter	April 23–	Full year
SEK M	2024	2023	March 24	2023
Net turnover	202	191	792	781
Other operating income	2	0	2	0
Administrative expenses	–243	–230	–956	–943
Operating result 1)	–39	–39	–162	–162
Result from financial items
Profit from shares in Group companies	—	—	–10	–10
Interest income and similar line items	38	28	141	131
Interest expenses and similar line items	–52	–28	–193	–169
Result after financial items	–53	–39	–224	–209
Appropriations	—	—	980	980
Result before tax	–53	–39	756	771
Tax	5	4	–159	–160
Net result for the period	–48	–35	597	611
1) Amortisation and depreciation according to plan by asset class:
- Buildings	–6	–6	–25	–25
- Equipment, tools, fixtures and fittings	–1	–1	–2	–2
Total	–7	–7	–27	–27

Balance Sheet for Parent Company, Summary

SEK M	31 March 2024	31 December 2023	31 March 2023
Assets
Non-current assets
Property, plant and equipment	276	246	184
Shares in Group companies	3,326	3,140	3,136
Receivables from Group companies	447	447	—
Other tangible assets	72	76	73
Total non-current assets	4,121	3,908	3,393
Current assets
Receivables from Group companies	2,319	3,083	2,126
Other receivables	269	196	215
Cash and cash equivalents	1	1	8
Total current assets	2,589	3,280	2,350
TOTAL ASSETS	6,710	7,188	5,743
Equity and liabilities
Equity	1,166	1,216	1,379
Untaxed reserves	1,553	1,553	1,418
Provisions
Deferred tax liability	—	9	10
	—	9	10
Non-current liabilities
Bond issue	1,295	1,295	498
Liabilities to Group companies	447	447	—
Other liabilities	139	139	148
	1,881	1,881	646
Current liabilities
Bond issue	—	—	800
Short-term interest bearing liabilities	1,423	1,136	900
Liabilities to Group companies	257	816	140
Other liabilities	429	577	449
	2,110	2,529	2,289
TOTAL EQUITY AND LIABILITIES	6,710	7,188	5,743

The Group

	Q2 2022	Q3 2022	Q4 2022	Q1 2023	Q2 2023	Q3 2023	Q4 2023	Q1 2024
Net turnover, SEK M	8,945	7,291	10,425	9,871	9,826	8,708	10,108	9,371
EBITDA, SEK M	709	547	788	670	677	562	643	573
EBITDA excl. IFRS 16, SEK M	561	399	638	503	550	412	423	401
Operational earnings, SEK M	498	334	574	431	444	335	414	333
Operational margin, %	5.6	4.6	5.5	4.4	4.5	3.8	4.1	3.6
Operating profit, SEK M	521	386	511	380	394	288	354	287
Operating margin, %	5.8	5.3	4.9	3.8	4.0	3.3	3.5	3.1
Profit before tax, SEK M	491	359	470	320	330	216	293	201
Profit/loss for the period, SEK M	385	285	358	251	262	169	250	156
The ratio of net debt to EBITDA excl. IFRS 16, times 1)	0.2	0.4	0.8	1.1	1.1	1.1	1.3	1.5
Return on capital employed, % 1)	21.9	21.4	21.5	17.4	15.7	14.3	12.5	11.4
Return on equity, % 1)	37.1	35.8	36.2	27.8	25.5	22.4	23.2	17.6
Equity/assets ratio, %	25	28	24	26	23	24	25	26
Earnings per share, SEK	4.15	3.14	3.89	2.73	2.85	1.83	2.71	1.70
Equity per share, SEK	45	49	53	55	49	51	53	54
Average number of shares, '000	92,976	91,984	91,984	91,984	91,984	91,984	91,984	91,984
Outstanding number of shares, '000	91,984	91,984	91,984	91,984	91,984	91,984	91,984	91,984
Holdings of own shares, '000	4,316	4,316	4,316	4,316	4,316	4,316	4,316	4,316

1) Rolling 12 months.

Business area – Service Business

	Q2 2022	Q3 2022	Q4 2022	Q1 2023	Q2 2023	Q3 2023	Q4 2023	Q1 2024
Turnover, SEK M	2,033	1,712	2,291	2,257	2,190	1,933	2,485	2,363
Operational earnings, SEK M	286	192	368	297	275	205	320	281
Margin, %	14.1	11.2	16.1	13.2	12.5	10.6	12.9	11.9
Reported growth, %	6.3	–2.9	–1.7	9.8	7.7	12.9	8.5	4.7
Organic growth, %	0.7	3.8	10.2	10.0	10.2	10.5	9.4	8.1

Business area – Car Business

	Q2 2022	Q3 2022	Q4 2022	Q1 2023	Q2 2023	Q3 2023	Q4 2023	Q1 2024
Turnover, SEK M	6,993	5,686	8,438	7,913	7,832	6,920	7,967	7,329
Operational earnings, SEK M	239	155	240	158	198	151	144	76
Margin, %	3.4	2.7	2.8	2.0	2.5	2.2	1.8	1.0
New cars delivered, number	10,323	7,499	13,611	11,671	11,655	9,547	11,361	9,322
Order backlog of new cars, number	29,023	29,429	26,325	23,536	19,847	17,858	14,262	14,460
Used cars delivered, number	11,216	10,055	10,133	12,300	11,729	10,926	10,851	12,155

Business area – Fuel Business

	Q2 2022	Q3 2022	Q4 2022	Q1 2023	Q2 2023	Q3 2023	Q4 2023	Q1 2024
Turnover, SEK M	359	312	307	277	287	288	277	225
Operational earnings, SEK M	5	–2	3	8	5	6	3	13
Margin, %	1.3	–0.6	1.0	2.7	1.6	2.2	1.0	5.7

Definitions and performance measures

Bilia applies guidelines from ESMA (European Securities and Markets Authority) concerning alternative performance measures (APMs). Even though these performance measures are not defined or specified by IFRSs, Bilia believes that they provide valuable information to investors and Bilia's management as a complement to IFRSs for assessing Bilia's performance.

Acquisition-related costs and value adjustments

Pertains to costs for legal consultants and other external costs associated directly with an acquisition, and value adjustments regarding acquired inventory assets, which are depreciated over the turnover rate of the asset.

Amortisation of surplus values

Occurs in connection with acquisitions of operations and is recognised under intangible assets. Normally these surplus values are amortised over a 10-year period.

Capital employed

Balance sheet total less non-interest-bearing liabilities and provisions as well as deferred tax liabilities.

Comparable operations

Financial information and number of units that are adjusted for operations that have been acquired or disposed of during one of the periods.

Deliveries

Cars that have been physically turned over to the customer and invoiced and are included in reported net turnover.

EBITDA

Operational earnings plus total depreciation/amortisation less amortisation of surplus values and depreciation of leased vehicles with repurchase agreements.

Equity/assets ratio

Equity in relation to balance sheet total.

Excluding IFRS 16

Information excluding the accounting standard IFRS 16 Leases.

Gain from sale of operation

Difference between purchase consideration and the operation's consolidated carrying amount, less selling costs.

Growth

Increase or decrease of net turnover in relation to the preceding year.

Liquidity

Unutilised credit with Nordea and DNB and cash and cash equivalents.

Net debt

Net debt consists of interest-bearing liabilities less cash and cash equivalents, interest-bearing current and longterm receivables, interests in associated companies and leased vehicles. Performance measures that include interest-bearing liabilities are calculated excluding the

effect of transaction costs and premium calculated according to the effective interest method.

Operating cash flow

Cash flow from operating activities plus investments in and disposals of intangible assets and property, plant and equipment.

Operating margin

Operating profit in relation to net turnover.

Operational earnings

Operating profit, excluding revenues and costs that affect comparability between accounting periods and/ or operating segments. They include, but are not limited to, acquisition-related expenses, value adjustments, restructurings and amortisation of surplus values. For the business areas operational earnings are the only result measurement.

Operational margin

Operational earnings in relation to net turnover. For the business areas the operational margin is called "Margin".

Order backlog

New cars ordered by the customer but not yet delivered.

Organic growth

Net turnover is adjusted for operations that have been acquired or disposed of during one of the periods. Adjustment is also made for exchange rate differences and for calendar effect. Organic growth reported under Quarterly review for the Service Business relates to Sweden and Norway.

Return on capital employed

Operating profit plus interest expense included in the business and financial income in relation to average capital employed.

Return on equity

Net profit for the year in relation to average equity.

Service subscriptions

Service subscriptions where customers have or are thought to have their servicing done at a Bilia facility.

Structural costs

Costs that significantly alter the thrust and/or scope of the operations. Examples of structural costs may be costs for reducing the number of employees and costs for vacating a leased facility before the expiration of the lease.

Underlying values

Values that are adjusted for operations that have been acquired or disposed of during one of the periods. Adjustment is made for exchange rate differences, where applicable.

Reconciliation of performance measures can be found at bilia.com/en/investors/financial-information/

Additional disclosures

Press and analyst meeting

On Wednesday 24 April 2024 Bilia arranges press and analyst meetings via Financial Hearings, where CEO Per Avander and CFO Kristina Franzén will present the report and answer questions.

The presentation starts at 09:00 CEST. If you wish to participate via webcast, please use the link below. Via the webcast you can ask written questions. https://ir.financialhearings.com/bilia-q1-2024

If you wish to participate via teleconference, please register on the link below. After registration you will be provided phone numbers and a conference ID to access the conference. You can ask questions verbally via the teleconference.

https://conference.financialhearings.com/teleconference/?id=5005913

Contact

For further information please contact:

Carl Fredrik Ewetz, Investor Relations +46 (0) 10 497 07 73, carl.fredrik.ewetz@bilia.se Per Avander, Managing Director and CEO +46 (0)10 497 70 00, per.avander@bilia.se Kristina Franzén, CFO +46 (0)10 497 73 40, kristina.franzen@bilia.se

Auditor review

This interim report has not been subject to review by the auditors

Prospective information

Prospective information in this report is based on management's expectations at the time of the report. Even if the Board of Directors and management find the expectations to be reasonable, there is no guarantee that these expectations are or will turn out to be correct. Consequently, future outcomes may vary considerably compared with those foreseen in the prospective information due to such circumstances as a changed market situation for the Group's services or more generally changed conditions relating to the economy, markets and competition, changes in legal requirements and other political measures, as well as fluctuations in exchange rates. The company does not undertake to update or correct such prospective information other than what is stipulated by law.

Translation

This document is a translation of the Swedish original. In the event of any discrepancies between this translation and the Swedish original, the latter should prevail.

Calendar

Interim Report April–June 2024:	18 July 2024
Interim Report July–September 2024:	23 October 2024
Year-end Report October–December 2024:	5 February 2025
Interim Report January–March 2025:	25 April 2025

This is information that Bilia AB (publ) is obliged to make public pursuant to the EU's Market Abuse Regulation and the Securities Markets Act. The information was submitted for publication, through the agency of the contact persons set out above, on 24 April 2024, at 08:00 CEST.

Bilia is one of Europe's largest full-service suppliers for everything related to car ownership, with a leading position in servicing and sales of cars, transport vehicles and trucks. We offer the car owner service, repair, fuel, car wash, rental cars, tyres and wheels, rim repair, car accessories, car care, paint work, windscreen replacements, car dismantling and more. Bilia has about 170 facilities in Sweden, Norway, Luxembourg and Belgium plus one online auction site in Sweden.

Bilia's Service Business comprises a well-developed range of services and service concepts that are continuously developed to simplify car ownership for the customers. Bilia offers accessories and spare parts, original services and repairs, tyre hotels, rim repair, car glass repair along with other workshop services, store sales and e-commerce.

Bilia's Car Business comprises sales of new and used cars, transport vehicles and trucks, plus supplementary services such as financing and insurance. Bilia sells cars from Volvo, BMW, MINI, Toyota, Lexus, Mercedes-Benz, Porsche, Volkswagen, Audi, Skoda, Seat, Cupra, Nissan, Jaguar, Land Rover, XPENG as well as transport vehicles from Toyota, Mercedes-Benz, Volkswagen, Nissan and trucks from Mercedes-Benz.

Bilia's Fuel Business comprises fuel sales and car washes in Sweden.

Bilia AB (publ) Box 9003, SE-400 91 Gothenburg, Sweden Visiting address: Norra Långebergsgatan 3, Västra Frölunda Telephone: +46 (0)10 497 70 00 bilia.com

Corporate ID No.: 556112-5690

BILIA AB | INTERIM REPORT 1 JANUARY–31 MARCH 2024 27 (27)