Bure Equity

Annual Report • Feb 20, 2020

Year-end report 2019

Interim period January – December 2019

• Net asset value was SEK 196.6 per share compared to SEK 137.1 at the beginning of the year, which corresponds to an increase of 43.5 per cent.
• Bure's net asset value was SEK 13,563M compared to SEK 9,454M at the beginning of the year.
• Total return on the Bure share was 97.9 per cent compared to the SIX Return Index that increased 35.0 per cent.
• Consolidated profit after tax amounted to SEK 4,229M (1,821). Earnings per share amounted to SEK 61.3 (26.3).

Fourth quarter 2019

• Net asset value per share was SEK 196.6 compared to SEK 159.2 at the start of the quarter, which corresponds to an increase of 23.5 per cent.
• Bure divested shares in Mercuri to the company's management team at book value which corresponds to reported net asset value. Mercuri also acquired ProSales, a leading Swedish research and consultancy firm specialising in B2B sales training. In conjunction with this transaction, the ProSales management team acquired new-issue shares in Mercuri. Bure's holding in Mercuri amounted to 90.4 per cent following these transactions.
• Bure Growth acquired additional shares in ScandiNova Systems for SEK 10M increasing its holding to 27.8 per cent.

Subsequent events

• Net asset value amounted to SEK 187.5 per share on 19 February 2020 which corresponds to a decrease of 4.7 per cent since the beginning of the year.
• The Board of Directors proposes that the Annual General Meeting approve an ordinary dividend of SEK 2.00 per share (2.00) and an extra dividend of SEK 0.50 per share (0.00).

Henrik Blomquist CEO

2019 was another successful year for Bure. Net asset value per share increased 43.5 per cent to end the year at around SEK 13.5 billion. Despite economic uncertainty, the majority of our portfolio companies achieved sales growth and improvements in profitability. Bure's two largest holdings, Mycronic and Vitrolife, accounted for the two single largest increases in net asset value in 2019, which is fantastic. The unlisted segment of the portfolio also contributed to net asset value growth during the year. Our holding in cyber security company Yubico was Bure's third largest holding at the end of the year following a revaluation under IFRS 9.

The year included several changes to the portfolio. Firstly, Cavotec and Ovzon conducted rights issues in which Bure increased its holding. During the first quarter, we also launched a new focus on active asset management under the new-old name Atle. Today, Atle is part-owner of a number of successful asset management funds and was, for example, involved in the launch of the year's perhaps most high-profile fund, TIN Fonder. In the beginning of March, a modest amount of our holding in Mycronic and Vitrolife was divested. This was done to create financial scope for new investments. During the second quarter, we invested in two exciting growth companies. Bure was a so-called anchor investor for the stock market listing of Mentice and acquired a large minority holding in Scandinova.

Similar to the previous year, 2019 ended in dramatic fashion. But in contrast to the steep falls we experienced in 2018, the stock market jumped a record 10 per cent in the fourth quarter of 2019. Bure's share price increased 47.2 per cent in the last quarter alone, which resulted in a total return for the year of 97.9 per cent. Naturally, this is extremely reassuring, and taken together with growth in net asset value, I believe this reinforces our conviction that a long-term approach, presence in and commitment to the portfolio companies ensures that Bure is a good owner.

Bure's net asset value and holdings

			2018-12-31					2019-12-31
SEK M		% of capital	Net asset value	Value change, (+/-)1)	Investment	Disposal	Net asset value	% of net asset value	Net asset value per share,SEK
2) L I S T E D	Cavotec3)	27.1%	264	138	76	-2	476	3.5%	6.9
	MedCap4)	22.3%	245	176	–	-3	418	3.1%	6.1
	Mentice5)	10.1%	0	60	120	–	180	1.3%	2.6
	Mycronic6)	27.9%	3,462	1,857	8	-270	5,056	37.3%	73.3
	Ovzon7)	14.3%	75	124	113	–	311	2.3%	4.5
	Vitrolife8)	19.0%	3,321	1,126	–	-384	4,063	30.0%	58.9
	Xvivo Perfusion9)	15.8%	566	148	–	–	715	5.3%	10.4
	Total listed holdings		7,933	3,630	316	-659	11,219	82.7%	162.7
U	Atle Investment Management10)	93.0%	89	-3	7	-7	86	0.6%	1.2
N L	Bure Growth11)	100.0%	490	507	135	–	1,132	8.4%	16.4
I S	Investment AB Bure12)	100.0%	178	11	–	–	189	1.4%	2.7
T E	Mercuri International Group13)	90.4%	135	–	–	-7	128	0.9%	1.9
D	Total unlisted holdings		892	515	142	-14	1,535	11.3%	22.3
	Total holdings		8,824	4,144	458	-673	12,754	94.0%	184.9
T R E A	Cash and cash equivalents, short-term investments and
S U R Y	other assets14)		630		178		809	6.0%	11.7
	Total treasury		630		178		809	6.0%	11.7
	Total net asset value		9,454	4,144	637	-673	13,563	100.0%	196.6

1) Change in value including exit gains/losses.

2) Bures number of shares at 31 December 2019: Cavotec 25,579,935, MedCap 3,006,017, Mentice 2,448,000, Mycronic 27,317,163, Ovzon 4,799,698, Vitrolife 20,573,285 and

Xvivo Perfusion 4,205,504.

3) Cavotec conducted a rights issue valued at SEK 204M in January 2019. Bure's net acquisition of shares was SEK 74M.

4) Bure divested 75,000 shares for SEK 3M in connection with the exercise of options, which generated an exit result of SEK 2M.

5) Bure acquired 2.45 million shares for SEK 120M in June 2019.

6) Bure's net divestment of 2 million shares in Mycronic for SEK 263M generated an exit result of SEK 245M during 2019.

7) Ovzon conducted a rights issue of SEK 748M in January 2019. Bure subscribed for shares valued at SEK 113M.

8) Bure divested 2 million shares in Vitrolife for SEK 384M which generated an exit result of SEK 370M in March 2019.

9) Bure divested 85,979 shares in connection with the exercise of options, which generated an exit result of SEK -2M.

10) Bure divested 7 per cent of its shares in Atle Investment Management, (formerly Bure Financial Services), to the incoming CEO for SEK 6.6M – a valuation equivalent to the

company's net asset value. Atle Investment Management's net asset value decreased SEK 3M to SEK 86M. During 2019, additional investments were made in Atle Investment Services and Teknik Innovation Norden Fonder. The company's consolidated balance sheet includes valuations of associated Atle companies, Alcur Fonder, Fondbolaget Fondita and Teknik Innovation Norden Fonder, amounting to SEK 75M according to the equity method.

11) Bure Growth's net asset value increased SEK 642M to SEK 1,123M following the acquisition of shares in ScandiNova Systems and Yubico and a revaluation of the holding in Yubico in line with IFRS 9. The company's consolidated balance sheet includes valuations of associated companies BioLamina, Life Genomics, My Driving Academy and ScandiNova Systems in Bure Growth amounting to SEK 138M according to the equity method.

12) Refers to net assets.

13) Refers to the book value of equity and interest-bearing receivables.

14) Cash and cash equivalents, participations in funds and short-term investments in market-listed assets, other unlisted companies, interest-bearing receivables and other net assets.

Net asset value at 31 December 2019

Net asset value, 12 months 2019

Net asset value was SEK 13,563M, an increase of SEK 4,108M since the beginning of the year.

Net asset value per share amounted to SEK 196.6 which corresponds to an increase of 43.5 per cent since the beginning of the year.

Net asset value per share increased by 44.9 per cent adjusted for paid dividends.

Listed portfolio companies, 12 months 2019

The value of listed portfolio companies increased during the year by SEK 3,287M to SEK 11,219M. Of this value increase, value changes and exit gains accounted for SEK 3,630M, acquisitions for SEK 316M and disposals for SEK -659M.

Listed portfolio companies' value change and exit gains, 12 months 2019

						Mycronic SEK 1,857M
					Vitrolife	SEK 1,126M
					MedCap	SEK 176M
					Xvivo
					Perfusion	SEK 148M
					Cavotec	SEK 138M
					Ovzon	SEK 124M
					Mentice	SEK 60M
0	250	500	750	1,000	1,250	1,500 1,750

The value of the holding in Mycronic increased by SEK 1,594M to stand at SEK 5,056M at the end of the year. Value increases and exit gains amounted to SEK 1,857M. During the year, a total of 2.0 million shares were divested for SEK 263M with an exit gain of SEK 245M. The share price increased 56.7 per cent during the year.

The value of the holding in Vitrolife increased SEK 743M to stand at SEK 4,063M at the end of the year. Value increases and exit gains amounted to SEK 1,126M. During the year, 2.0 million shares were divested for SEK 384M with an exit gain of SEK 370M. The share price increased 34.4 per cent during the year.

The value of the holding in MedCap increased SEK 173M to SEK 418M. During the year, 75,000 shares were divested for SEK 3M in conjunction with the exercise of options. The share price increased 75.1 per cent during the year. The value of the holding in Xvivo Perfusion increased SEK 148M to SEK 715M at the end of the year. During the

year, 85,979 shares were divested in conjunction with the exercise of options. The share price increased 28.8 per cent during the year.

The value of the holding in Cavotec increased SEK 212M to SEK 476M. During the year, shares were acquired in Cavotec for a total of SEK 74M. The share price increased 40.4 per cent during the year.

The value of the holding in Ovzon increased SEK 236M to SEK 311M. During the year, shares were acquired in Ovzon for SEK 113M. The share price decreased 12.5 per cent during the year.

The value of the holding in Mentice was SEK 180M at the end of the year. Bure acquired shares in Mentice for SEK 120M in conjunction with the company's stock market listing. The share price increased 50.0 per cent following its listing in June 2019.

Listed portfolio companies accounted for 82.7 per cent of net asset value compared to 83.9 per cent at the end of 2018.

Unlisted portfolio companies, 12 months 2019

The value of unlisted portfolio companies increased SEK 643M to SEK 1,535M compared to SEK 892M at the end of 2018.

Atle Investment Management's net asset value decreased SEK 3M to SEK 86M following additional investments in Atle Investment Services and Teknik Innovation Norden Fonder and the disposal of 7 per cent of Atle Investment Management. Atle Investment Management received share dividends of SEK 10M from Fondita and SEK 3M in dividends from Alcur Fonder.

Bure Growth's net asset value increased SEK 642M to SEK 1,132M due to the revaluation of financial assets to a market valuation of SEK 507M and acquisitions of shares in Yubico for SEK 54M and shares in ScandiNova Systems for SEK 81M. The value of the holding in Yubico was adjusted upwards to correspond with the price used in the most recent major transaction in the share which was made during the summer of 2019.

Investment AB Bure's net asset value increased SEK 11M to SEK 189M.

Mercuri's book value decreased SEK 7M to SEK 128M following the divestiture of shares to the company's management team at book value.

Unlisted portfolio companies accounted for 11.3 per cent of net asset value compared to 9.4 per cent at the end of 2018.

Treasury, 12 months 2019

The value of assets in Treasury increased SEK 178M to SEK 809M. During the period, Bure divested financial assets for SEK 668M and acquired financial assets for SEK 464M. Bure received dividends from listed portfolio companies and associated companies amounting to SEK 109M and paid out dividends totalling SEK 138M. Other changes totalling SEK 4M resulted from guarantee commissions, value changes in short-term investments and administrative costs. Assets in Treasury accounted to 6.0 per cent of net asset value compared to 6.7 per cent at the end of 2018.

The Bure share

The total number of Bure shares stands at 68,971,921. The 2019 Annual General Meeting authorised the Bure board of directors to decide whether or not buyback up to 10 per cent of the total number of outstanding shares. As of 31 December 2019, no shares had been repurchased. Bure's share price on 31 December 2019 was SEK 212.0, which corresponds to a total return of 97.9 per cent since the beginning of the year.

	19 Feb 2020	31 Dec 2019	31 Dec 2018	31 Dec 2017
Share price, SEK	200.5	212.0	108.4	98.3
Dividend per share, SEK	–	2.0	2.0	2.0
Total return since year-end1)	-5.4%	97.9%	12.7%	-3.3%
Net asset value per share, SEK	187.5	196.6	137.1	111.7
Development of NAV per share	-4.7%	43.5%	22.7%	9.8%
SIX Return Index	7.9%	35.0%	-4.4%	9.5%

1) Including dividends of SEK 2.00 per share for 2019, 2018 and 2017.

Increase in Bure's net asset value and market price per share

Portfolio companies Jan – Dec 2019 and 2018

Listed, SEK M		2019	2018
	Net sales	n/a	1 887
	EBIT	n/a	-133
	EBIT margin	n/a	-7.1%
	Holding	27.1%	25.4%
	Net sales	757	709
	EBIT	85	44
	EBIT margin	11.2%	6.3%
	Holding	22.3%	22.9%
	Net sales	n/a	166
	EBIT	n/a	16
	EBIT margin	n/a	9.7%
	Holding	10.1%	–
	Net sales	4 307	3 781
	EBIT	1 124	1 020
	EBIT margin	26.1%	27.0%
	Holding	27.9%	29.9%
	Net sales	232	208
	EBIT	11	-18
	EBIT margin	4.9%	-8.4%
	Holding	14.3%	12.0%
	Net sales	1 480	1 151
	EBIT	488	394
	EBIT margin	33.0%	34.2%
	Holding	19.0%	20.8%
	Net sales	221	188
	EBIT	4	14
	EBIT margin	1.8%	7.5%
	Holding	15.8%	16.3%
Unlisted, SEK M1)		2019	2018
	Net sales	34	14
	EBIT	18	10
	EBIT margin	55.0%	67.6%
	Holding	93.0%	100.0%
	Net sales	486	235
	EBIT	486	235
	EBIT margin	100.0%	100.0%
	Holding	100.0%	100.0%
	Net sales	22	16
	EBIT	11	-1
	EBIT margin	48.8%	-8.1%
	Holding	100.0%	100.0%
	Net sales	347	402
	EBIT	10	27
	EBIT margin	2.9%	6.6%
	Holding	90.4%	99.1%

1) See page 9 and 10 for additional information.

Listed portfolio companies

Share of Bure's net asset value 3.5%

www.cavotec.com

Cavotec is a leading engineering group that designs and manufactures automated connection and electrification systems for ports, airports and industrial applications worldwide.

Nyckeltal1)	Q4	Q4
EUR m	2019	2018	2019	2018	2017
Net sales	n/a	49	n/a	197	212
Operating expenses	n/a	-60	n/a	-211	-230
EBIT	n/a	-11.1	n/a	-13.9	-18.0
EBIT margin		n/a -22.8%	n/a	-7.1%	-8.5%
Net financial items	n/a	-1.5	n/a	-1.4	-4.9
Profit/loss before tax	n/a	-12.7	n/a	-15.3	-23.1
Income tax expense	n/a	-0.7	n/a	-3.1	-8.7
Profit/loss for the period	n/a	-13.4	n/a	-18.5	-31.8
Net loan debt (-)/receivable (+)			n/a	-32	-20
Total assets			n/a	230	211
Equity			n/a	100	104
Cash flow from operating activities			n/a	1	13
Average no. of employees			n/a	896	970

Largest shareholders
Bure Equity	27.1%
Fjärde AP-fonden	9.8%
Others	63.1%

1) Cavotec will publish the interim report on 21 February 2020.

The quarter in brief

• The share price increased 44.2 per cent during the fourth quarter 2019.

Share of Bure's net asset value 3.1%

www.medcap.se

MedCap owns and develops companies with significant expansion potential in the Life Science sector.

Key figures SEK M	Q4 2019	Q4 2018	2019	2018	2017
Net sales	211	188	757	709	596
Operating expenses	-189	-179	-673	-665	-574
EBIT	22.6	8.7	84.6	44.4	21.4
EBIT margin	10.7%	4.6%	11.2%	6.3%	3.6%
Net financial items	-1.9	0.6	-11.4	-4.2	-2.0
Profit/loss before tax	20.7	9.3	73.2	40.2	19.4
Income tax expense	-5.9	-8.1	-14.1	-13.8	-4.3
Profit/loss for the period continuing operations	14.9	1.2	59.1	26.4	15.1
Profit/loss for the period discontinued operations	0.0	-9.3	-1.5	-23.8	-7.5
Profit/loss for the period	14.9	-8.1	57.6	2.7	7.6
Net loan debt (-)/receivable (+)			-305	-145	-105
Total assets			849	669	600
Equity			334	274	267
Cash flow from operating activities			115	90	93
Average no. of employees			278	270	324

Facts at 31 December 2019	Largest shareholders
Book value: SEK 418M	Bengt Julander	22.8%
Acquisition date: 2012	Bure Equity	22.3%
	Karl Tobieson	4.1%
Board member from Bure: Henrik Blomquist, board member	Others	50.8%

• Net sales increased by 12.5 per cent to SEK 211M (188).
• Operating profit increased to SEK 22.6M (8.7) equivalent to an operating margin of 10.7 per cent (4.6).
• The share price was unchanged during the fourth quarter 2019.

net asset value 1.3%

Mentice develops and sells turn-key simulation solutions targeting the fast-growing market for endovascular procedures.

Key figures1) SEK M	Q4 2019	Q4 2018	2019	2018	2017
Net sales	n/a	n/a	n/a	166	n/a
Operating expenses	n/a	n/a	n/a	-150	n/a
EBIT	n/a	n/a	n/a	16.1	n/a
EBIT margin	n/a	n/a	n/a	9.7%	n/a
Net financial items	n/a	n/a	n/a	-2.3	n/a
Profit/loss before tax	n/a	n/a	n/a	13.8	n/a
Income tax expense	n/a	n/a	n/a	6.3	n/a
Profit/loss for the period	n/a	n/a	n/a	20.1	n/a
Net loan debt (-)/receivable (+)			n/a	18	n/a
Total assets			n/a	131	n/a
Equity			n/a	67	n/a
Cash flow from operating activities		n/a	16	n/a
Average no. of employees			n/a	69	n/a

Facts at 31 December 2019	Largest shareholders
Book value: SEK 180 M	Karin Howell-Bidermann	36.0%
Acquisition date: 2019	Bure Equity	10.1%
	Priveq Investment Fund	5.0%
Board member from Bure:	Others	48.9%
Gösta Johannesson, board member

1) Mentice will publish the interim report on 27 February 2020.

The quarter in brief

• Mentice was listing on the Nasdaq First North Premier on 18 June 2019.
• The share price decreased 13.7 per cent during the fourth quarter

net asset value 37.3% Share of Bure's

www.mentice.com www.mycronic.com

Mycronic creates world-leading production equipment for electronics and display manufacturing.

Key figures SEK M	Q4 2019	Q4 2018	2019	2018	2017
Net sales	1,181	1,052	4,307	3,781	3,000
Operating expenses	-977	-901	-3,183	-2,761	-2,156
EBIT	204	151	1,124	1,020	844
EBIT margin	17.3%	14.3%	26.1%	27.0%	28.1%
Net financial items	-1	-2	-2	-9	-9
Profit/loss before tax	203	148	1,122	1,011	836
Income tax expense	-51	-18	-263	-219	-212
Profit/loss for the period	152	130	859	793	623
Net loan debt (-)/receivable (+)			337	827	800
Total assets			4,800	4,199	3,244
Equity			2,987	2,379	1,780
Cash flow from operating activities		545	702	984
Average no. of employees			1,349	1,175	962

Facts at 31 December 2019	Largest shareholders
Book value: SEK 5 056M	Bure Equity	27.9%
Acquisition date: 2010 via	Fjärde AP-fonden	8.9%
Skanditek	SEB fonder	8.6%
Board member from Bure: Patrik Tigerschiöld, chairman	Others	54.6%

• Order intake during the fourth quarter increased 31 per cent to SEK 1,706M (1,303).
• Order intake in the Assembly Solutions business unit increased to SEK 703M (608). Order intake in Pattern Generators was SEK 1,004M (695). Combined order book at the end of the year was SEK 2,164M (1,904).
• Net sales during the fourth quarter were SEK 1,181 (1,052) which corresponds to an increase of 12 per cent.
• Operating profit amounted to SEK 204M (151), which corresponds to an operating margin of 17.3 per cent (14.3).
• The share price increased 51.8 per cent during the fourth quarter.

Share of Bure's net asset value 2.3%

www.ovzon.com

Ovzon offers a revolutionary mobile broadband service via satellite that combines high data speeds with high degrees of mobility.

Key figures	Q4	Q4
SEK M	2019	2018	2019	2018	2017
Net sales	65	53	232	208	201
Operating expenses	-52	-50	-220	-225	-177
EBIT	13.7	3.1	11.4	-17.5	24.0
EBIT margin	20.9%	5.9%	4.9%	-8.4%	11.9%
Net financial items	-16.2	1.9	27.4	-7.1	-16.2
Profit/loss before tax	-2.5	5.0	38.8	-24.6	7.8
Income tax expense	-2.9	-1.0	-9.6	-1.0	-1.7
Profit/loss for the period	-5.4	4.0	29.2	-25.6	6.1
Net loan debt (-)/receivable (+)			250	40	-119
Total assets			892	131	95
Equity			796	73	-121
Cash flow from operating activities			10	-60	35
Average no. of employees			25	19	14

Facts at 31 December 2019	Largest shareholders
Book value: SEK 311M	Investment AB Öresund	14.9%
Acquisition date: 2018	Bure Equity	14.3%
	AFA Försäkring	11.6%
Board member from Bure: Patrik Tigerschiöld, board member	Others	59.2%

The quarter in brief

• Net sales during the fourth quarter increased 24 per cent to SEK 65M (53).
• Operating profit amounted to SEK 13.7M (3.1), equivalent to an operating margin of 20.9 per cent (5.9).
• Ovzon has signed a distributor agreement with Gomedia Satcom, in which Gomedia will represent and sell Ovzon's innovative satellite communication services in Italy. Gomedia has also secured an initial order from an Italian customer.
• The share price decreased 1.8 per cent during the fourth quarter.

www.vitrolife.com

Vitrolife is an international medtech group that develops, produces, and markets fertility treatment products.

Key figures	Q4	Q4
SEK M	2019	2018	2019	2018	2017
Net sales	409	320	1,480	1,151	1,046
Operating expenses	-278	-218	-992	-757	-705
EBIT	131.0	101.7	487.9	393.9	340.9
EBIT margin	32.0%	31.8%	33.0%	34.2%	32.6%
Net financial items	-7.9	5.8	4.7	4.7	0.1
Profit/loss before tax	123.1	107.5	492.7	398.6	340.9
Income tax expense	-26.7	-23.3	-108.9	-87.9	-76.3
Profit/loss for the period	96.4	84.1	383.8	310.7	264.6
Net loan debt (-)/receivable (+)		660	491	396
Total assets			2 ,139	1,697	1,422
Equity			1,798	1,496	1,229
Cash flow from operating activities		413	349	312
Average no. of employees			398	363	355

Facts at 31 December 2019	Largest shareholders
Book value: SEK 4,063M	William Demant Invest A/S 25.9%
Acquisition date: 2010 via	Bure Equity	19.0%
Skanditek	Capital Group	4.6%
Board member from Bure: Henrik Blomquist, board member	Others	50.5%

• Net sales during the fourth quarter increased 28 per cent to SEK 409M (320). In local currencies, net sales increased 21 per cent, of which 11 per cent was organic growth.
• Operating profit before depreciation (EBITDA) amounted to SEK 160M (135), equivalent to a margin of 39 per cent (42). Currency changes affected operating profit before depreciation (EBITDA) positively by SEK 7M.
• Operating profit amounted to SEK 131.0M (101.7), equivalent to an operating margin of 32.0 per cent (31.8).
• The share price increased 22.7 per cent during the fourth quarter.

Share of Bure's net asset value 5.3%

www.xvivoperfusion.com

Xvivo Perfusion is an international medtech company that develops solutions for organ, tissue and cells during transplantation procedures.

Key figures	Q4	Q4
SEK M	2019	2018	2019	2018	2017
Net sales	62	58	221	188	148
Operating expenses	-61	-52	-217	-174	-141
EBIT	1.6	6.1	3.9	14.0	7.1
EBIT margin	2.6%	10.5%	1.8%	7.5%	4.8%
Net financial items	-3.8	1.2	1.4	3.5	0.3
Profit/loss before tax	-2.2	7.3	5.3	17.5	7.5
Income tax expense	0.3	-2.4	-0.4	-4.8	-1.2
Profit/loss for the period	-1.9	4.9	4.9	12.7	6.3
Net loan debt (-)/receivable (+)			154	187	195
Total assets			634	587	539
Equity			578	540	504
Cash flow from operating activities			30	24	22
Average no. of employees			53	37	30

Facts at 31 December 2019	Largest shareholders
Book value: SEK 715M	Bure Equity	15.8%
Acquisition date: Lex Asea distribution from Vitrolife in 2012	Swedbank Robur Fonder	6.1%
	Eccenovo AB	5.6%
Board member from Bure: Gösta Johannesson, chairman	Others	72.5%

• Net sales during the fourth quarter 2019 increased 7 per cent to SEK 62M (58). This increase corresponds to 0 per cent in local currencies.
• Operating profit before depreciation (EBITDA) amounted to SEK 8.5M (10.5), equivalent to a margin of 14 per cent (18).
• Operating profit amounted to SEK 1.6M (6.1), equivalent to an operating margin of 2.6 per cent (10.5).
• The FDA granted XVIVO's Heart Preservation System its Breakthrough Device designation.
• The share price decreased 1.7 per cent during the fourth quarter.

Unlisted portfolio companies

Share of Bure's

Atle Investment Management is a subsidiary that invests in financial operations and assets. The company owns 32.5 per cent of Alcur Fonder AB, 100 per cent of Atle Investment Services, 20.1 per cent of Fondbolaget Fondita and 37.4 per cent of Teknik Innovation Norden Fonder.

Atle Investment Management koncern

Key figures	Q4	Q4
SEK M	2019	2018	2019	2018	2017
Revenue/value adjustments	12.2	1.1	33.6	14.3	11.0
Operating expenses	-5.1	-3.0	-15.1	-4.7	0.0
EBIT	7.1	-1.9	18.5	9.7	11.0
EBIT margin	58.4%	n/m	55.0%		67.6% 100.0%
Net financial items	0.0	0.0	0.0	0.0	0.0
Profit/loss before tax	7.1	-1.9	18.5	9.7	11.0
Income tax expense	0.0	-0.1	0.0	-0.1	0.0
Profit/loss for the period	7.1	-1.9	18.5	9.6	11.0
Net loan debt (-)/receivable (+)			8	133	135
Total assets			88	201	187
Equity			87	199	187
Cash flow from operating activities			8	12	17
Average no. of employees			4	4	0

1) Of which, SEK 0.2M is liable to the Parent Company as at 31 December 2019.

Facts at 31 December 2019	Largest shareholders
Book value: SEK 86M	Bure Equity	93.0%
Acquisition date: Established 2014 Gustav Ohlsson		7.0%
Board member from Bure: Patrik Tigerschiöld, chairman Henrik Blomquist, board member Max Jonson, board member

The quarter in brief

• Revenue/value adjustments during the fourth quarter 2019 of SEK 12.2M relate to participations in Alcur Fonder, Fondbolaget Fondita and Teknik Innovation Norden Fonder, revenues from the Atle Investment Services subsidiary and exit gains of SEK -1.6M from the disposal of shares in Idevall & Partners Holding.
• Bure Equity divested 7.0 per cent of its shares in Atle Investment Management to the company's incoming CEO for SEK 6.6M – a valuation equivalent to the company's net asset value. The transaction resulted in an exit gains of SEK 6.6M.

Bure Growth is a wholly owned company that invests in development companies. The company owns 28.9 per cent in BioLamina, 23.7 per cent in Life Genomics, 25.1 per cent in My Driving Academy Sweden, 27.8 per cent in ScandiNova Systems and 18.7 per cent in Yubico.

Bure Growth koncern

Key figures SEK M	Q4 2019	Q4 2018	2019	2018	2017
Revenue/value adjustments	-1.0	-0.4	486.2	235.4	1.0
Operating expenses	0.0	0.0	0.0	0.0	0.0
EBIT	-1.0	-0.4	486.2	235.4	1.0
EBIT margin	n/m			n/m 100.0% 100.0% 100.0%
Net financial items	0.1	0.0	0.1	0.0	0.5
Group contributions	–	–	–	–	-0.5
Profit/loss before tax	-1.0	-0.4	486.3	235.4	1.0
Income tax expense	0.0	0.0	0.0	0.0	0.0
Profit/loss for the period	-1.0	-0.4	486.3	235.4	1.0
Net loan debt (-)/receivable (+)			-353	-218	-177
Total assets			1,127	482	197
Equity			755	264	20
Cash flow from operating activities			0	0	0
Average no. of employees			0	0	0

1) Of which, SEK 353.6M is liable to the Parent Company as at 31 December 2019.

Facts at 31 December 2019	Largest shareholders
Book value: SEK 128M	Bure Equity	100.0%
Acquisition date: Established 2015
Board member from Bure: Henrik Blomquist, chairman Max Jonson, board member

• Revenue/value adjustments during the fourth quarter 2019 of SEK -1.1M relate to participations in BioLamina, Life Genomics, My Driving Academy and ScandiNova Systems.
• Bure Growth acquired additional shares in ScandiNova Systems for SEK 10M and increased its holding to 27.8 per cent.

Share of Bure's net asset value 1.4%

www.bure.se

Investment AB Bure is a wholly owned subsidiary that owns and manages the lease of locomotives. The business was established in January 2013.

Key figures	Q4	Q4
SEK M	2019	2018	2019	2018	2017
Net sales	5.6	7.8	22.2	16.2	11.2
Operating expenses	0.1	-4.2	-11.4	-17.5	-22.1
EBIT	5.7	3.6	10.8	-1.3	-10.9
EBIT margin	101.4%	46.5%	48.8%	-8.1%	neg
Net financial items	-0.9	-0.7	-3.4	-2.9	-2.9
Profit/loss before tax	4.8	2.9	7.4	-4.2	-13.8
Income tax expense	0.0	0.0	0.0	0.0	0.0
Profit/loss for the period	4.8	2.9	7.4	-4.2	-13.8
Net loan debt (-)/receivable (+)			-87	-103	-102
Total assets			195	183	186
Equity			71	63	68
Cash flow from operating activities			21	1	-9
Average no. of employees			0	0	0
1) Of which, SEK 113.9M is liable to the Parent Company as at 31 December 2019.

Facts at 31 December 2019	Largest shareholders
Book value: SEK 189M1)	Bure Equity	100.0%
Acquisition date: Established 2012
Board member from Bure: Henrik Blomquist, chairman Philip Nyblaeus, board member
1) Refers to net assets in Investment AB Bure.

The quarter in brief

• Net sales during the fourth quarter 2019 were SEK 5.6M (7.8).
• Operating profit before depreciation was SEK 7.4M (5.4).
• Operating profit was SEK 5.7M (3.6).

Mercuri International is Europe's leading sales and management training consultancy and is present worldwide.

Key figures	Q4	Q4
SEK M	2019	2018	2019	2018	2017
Net sales	106	100	347	402	443
Operating expenses	-95	-85	-337	-376	-411
EBITA	10.8	14.8	9.9	26.5	31.9
EBITA margin	10.1%	14.8%	2.9%	6.6%	7.2%
Impairment of intangible fixed assets	–	–	–	–	-11.4
EBIT	10.8	14.8	9.9	26.5	20.5
EBIT margin	10.1%	14.8%	2.9%	6.6%	4.6%
Net financial items	-3.2	-0.9	-2.5	-1.4	-13.6
Profit/loss before tax	7.6	13.9	7.4	25.1	6.9
Income tax expense	-4.5	-3.6	-5.1	-4.1	-5.8
Profit/loss for the period	3.1	10.3	2.3	21.0	1.1
Net loan debt (-)/receivable (+)			-80	-2	-35
Total assets			354	315	338
Equity			163	156	130
Cash flow from operating activities			-13	20	14
Average no. of employees			216	225	265

1) Of which, SEK 29.8M is liable to the Parent Company as at 31 December 2019.

Facts at 31 December 2019	Largest shareholders
Book value: SEK 128M1)	Bure Equity	90.4%
Acquisition date: 1998	Others	9.6%
Board member from Bure: Henrik Blomquist, chairman

1) Relates to book value of equity and interest-bearing receivables.

• Net sales during the fourth quarter 2019 were SEK 106M (100).
• Operating profit was SEK 10.8M (14.8) and operating margin amounted to 10.1 per cent (14.8).
• Bure divested shares in Mercuri to the company's management team at book value which corresponds to reported net asset value. Mercuri also acquired ProSales, a leading Swedish research and consultancy firm specialising in B2B sales training. In conjunction with this transaction, the ProSales management team acquired new-issue shares in Mercuri. Bure's holding in Mercuri amounted to 90.4 per cent following these transactions.
• The increase in net debt relates to the introduction of IFRS 16 and the acquisition of ProSales.

Interim report January – December 2019

	Bure is an investment company, which means that the Group's composition of subsidi aries and associated companies varies in line with its acquisitions and divestitures. Since this makes the Group's consolidated statements difficult to analyse, the development and financial position of the companies should also be analysed on an individual basis. More detailed information on portfolio companies are presented on pages 5–10.
GROUP
Results for the fourth quarter 2019	Consolidated income from operating and investment activities was SEK 2,715M (937). Subsidiaries' net sales amounted to SEK 116M (108). Dividends amounted to SEK 0M (0). Exit gains were SEK-6M (0). Capital gains/losses from short-term investments were SEK 0M (-9). Fair value changes amounted to SEK 2,594M (835), of which listed portfolio companies accounted for SEK 2,576M: Cavotec SEK 146M, MedCap SEK 0M, Mentice SEK -29M, Mycronic SEK 1,726M, Ovzon SEK -6M, Vitrolife SEK 751M and Xvivo Perfusion SEK -13M
	and value changes in other companies and short-term investments of SEK 18M.
	Shares in profits of associated companies amounted to SEK 8M (1).
	Consolidated operating profit for the period amounted to SEK 2,599M (829).
	Net financial items amounted to SEK -7M (-1).
	Consolidated profit after financial items amounted to SEK 2,592M (827).
	Profit after tax amounted to SEK 2,588M (824). Other comprehensive income included translation differences of SEK 10M (2).
Results for January – December 2019	Consolidated income from operating and investment activities amounted to SEK 4,648M (2,281).
	Subsidiaries' net sales amounted to SEK 382M (416).
	Dividends amounted to SEK 99M (94), of which Mycronic accounted for SEK 82M and Vitrolife SEK 17M.
	Exit gains amounted to SEK 607M (45), of which SEK 245M derived from the divestiture of shares in Mycronic, SEK 370M from the divestiture of shares in Vitrolife and SEK -7M from other divestments.
	Capital gains/losses from short-term investments were SEK -43M (-49).
	Fair value changes amounted to SEK 3,576M (1,754) of which listed portfolio companies accounted for SEK 3,016M: Cavotec SEK 140M, MedCap SEK 175M, Mentice SEK 60M, Mycronic SEK 1,611M, Ovzon SEK 124M, Vitrolife SEK 757M and Xvivo Perfusion SEK 150M, revaluation of Yubico amounting to SEK 507M and value changes in other companies and short-term investments of SEK 53M.
	Shares in profits of associated companies amounted to SEK 21M (11).
	Consolidated operating profit for the period amounted to SEK 4,235M (1,826).
	Net financial items amounted to SEK -1M (-1). Consolidated profit after financial items amounted to SEK 4 234M (1 825). Profit after tax amounted to SEK 4,229M (1,821).
	Other comprehensive income included translation differences of SEK 19M (17).
Financial position	Consolidated equity at the end of the period amounted to SEK 13,573M (9,462) and the equity/ assets ratio stood at 98 per cent (98). At the end of the period, the Group had reported net loan receivables of SEK 648M (373), which consisted of interest-bearing assets of SEK 715M (403) and interest-bearing liabilities of SEK 67M (30). Consolidated equity per share at the end of the period amounted to SEK 196.79 compared to SEK 136.48 per share on 31 December 2018.

PARENT COMPANY

Results for the fourth quarter 2019	Profit after tax was SEK 2,604M (813). Dividends amounted to SEK 27M (0).
	Exit gains amounted to SEK -4M (0).
	Capital gains/losses from short-term investments amounted to SEK 0M (-9).
	Fair value changes amounted to SEK 2,594M (835), of which listed portfolio companies accounted for SEK 2,576M: Cavotec SEK 146M, MedCap SEK 0M, Mentice SEK -29M, Mycronic SEK 1,726M, Ovzon SEK -6M, Vitrolife SEK 751M and Xvivo Perfusion SEK -13M and value changes in other companies and short-term investments of SEK 18M. Administrative costs amounted to SEK 13M (14). Net financial items totalled SEK 1M (1).
	Profit after tax amounted to SEK 3,850M (1,609).
Results for January – December 2019	Dividends amounted to SEK 231M (94), of which Atle Investment Management accounted for SEK 132M, Mycronic SEK 82M and Vitrolife SEK 17M.
	Exit gains amounted to SEK 609M (46), of which SEK 245M derived from the divestiture of shares in Mycronic, SEK 370M from the divestiture of shares in Vitrolife and SEK -6M from other divestments.
	Capital losses from short-term investments amounted to SEK -43M (-49).
	Fair value changes amounted to SEK 3,088M (1,566), of which listed portfolio companies accounted for SEK 3,016M: Cavotec SEK 140M, MedCap SEK 175M, Mentice SEK 60M, Mycronic SEK 1 611M, Ovzon SEK 124M, Vitrolife SEK 757M and Xvivo Perfusion SEK 150M and value changes in other companies and short-term investments of SEK 72M.
	Administrative costs amounted to SEK 45M (52). Net financial items totalled SEK 9M (3).
Financial position	Equity in the Parent Company at the end of the period amounted to SEK 12,662M (8,950) and the equity/assets ratio was 100 per cent (100). At the end of the period, the Parent Company had reported net loan receivables of SEK 803M (345), which consisted of interest-bearing assets of SEK 806M (345) and interest-bearing liabilities of SEK 3M (0). External interest bearing receivables amounted to SEK 4M (6). Receivables from subsidiaries amounted to SEK 497M (362).
Group acquisitions and divestitures	Bure made net acquisitions in Cavotec amounting to 5.7 million shares for SEK 74M increasing its holding to 27.1 per cent.
	Bure divested 75,000 shares in MedCap for SEK 3M in conjunction with the exercise of share options that resulted in an exit gain of SEK 2M.
	Bure acquired 2.45 million shares in Mentice for SEK 120M in conjunction with the company's stock market listing, equating to a holding of 10.1 per cent.
	Bure divested a total of 2.0 million shares in Mycronic for SEK 270M, which resulted in an exit gain of SEK 245M.
	Bure acquired an additional 3.8 million shares in Ovzon for SEK 113M, increasing its holding to 14.3 per cent.
	Bure Growth acquired 27.8 per cent of shares in ScandiNova Systems for SEK 81M. Bure divested 2.0 million shares in Vitrolife for SEK 384M, resulting in an exit gain of SEK 370M. Bure divested 85,979 shares in Xvivo Perfusion relating to an exercise of options, which resulted in an exit loss of SEK -2M.
	Bure Growth acquired 0.2 million shares in Yubico for SEK 54M.
	Bure divested 7.0 per cent of its shares in Atle Investment Management to the incoming CEO for SEK 6.6M, a valuation equivalent to the company's net asset value. The transaction resulted in an exit gain of SEK 6.6M.
	Bure divested shares in Mercuri to the company's management team at book value which corresponds to reported net asset value. Mercuri also acquired Prosales, a leading Swedish research and consultancy firm, specialising in B2B sales training. In conjunction with this transaction, Prosales management team acquired new issue shares in Mercuri. Bure's holding in Mercuri amounts to 90.4 per cent following these transactions.

Group loss carryforwards	At year-end, consolidated loss carryforwards amounted to SEK 985M, of which SEK 673M related to the Parent Company. Losses attributable to Sweden amounted to SEK 907M, and are perpetual. Deferred tax assets based on loss carry forwards in the Group have been valued at SEK 7M (6).
Currency exposure	The majority of consolidated revenue is denominated in SEK and EUR. Underlying costs are generally incurred in the same currency as revenues, thereby limiting transaction exposure. Since the Group has investments outside Sweden via its subsidiaries, the consolidated balance sheets and income statements are subject to translation differences arising from the translation of foreign subsidiaries' accounts. Listed portfolio companies that generate a substantial proportion of their sales outside Sweden are subject to currency exposure primarily in EUR and USD.
Related party transactions	No related party transactions were conducted during the period.
Ownership structure	Bure's largest shareholders on 31 December 2019 were Patrik Tigerschiöld with 11.2 per cent, the Björkman family including foundations with 9.0 per cent and Nordea Investment Funds with 8.1 per cent. According to Euroclear, the number of shareholders on 31 December 2019 was 34,830.
Subsequent events	There have been no subsequent events that would have a material impact on the interpretation of the financial information presented in this report.
Significant risks and uncertainty	In view of the rapid on the financial markets, special emphasis is placed on monitoring the effects of Bure's investments and their valuations. Bure has a number of basic principles regarding the management of risk. Bure's financial policy states that the Parent Company shall be essentially debt-free. Furthermore, each portfolio company shall be financially independent from the Parent Company, which means that the Parent Company is not financially liable for portfolio companies' obligations, and that portfolio companies are responsible for their own financing. Financing of respective portfolio companies shall be appropriate to each company's specific circumstances, such that overall risk is managed through a balance between operational and financial risk. Bure's 2018 annual report provides a detailed description of the Group's risk exposure and risk management in the administration report and in Note 21. Bure's assessment is that no significant risks have arisen other than those described in the annual report and in this interim report. This year-end report has not been reviewed by the Group's auditors. Stockholm 20 February 2020 Bure Equity AB (publ)
Patrik Tigerschiöld (Chairman)	Carl Björkman	Carsten Browall
Bengt Engström	Charlotta Falvin	Sarah McPhee
	Henrik Blomquist (CEO)
Financial calendar	Interim report January – March 2020 Annual General Meeting Interim report January – June 2020	28 April 2020 6 May 2020 19 August 2020
For additional information contact	Henrik Blomquist, CEO Max Jonson, CFO	+46 (0)8-614 00 20 +46 (0)8-614 00 20

Statement of financial position, Group

SEK M	Q4 2019	Q4 2018	Full year 2019	Full year 2018
Operating income
Net sales	116.3	108.3	381.6	415.5
Other operating income	1.8	1.7	4.9	10.7
Dividends:
Portfolio companies	–	–	99.4	93.5
Other companies	–	–	–	–
Short-term investments	–	–	–	–
Exit gains/losses	-5.9	0.1	607.3	45.4
Capital gains/losses on short-term investments	0.3	-8.9	-43.0	-49.3
Fair value:
Portfolio companies	2,576.2	836.0	3,016.3	1,737.6
Other companies	11.0	0.0	11.0	–
Short-term investments	6.7	-1.3	549.1	16.9
Shares in profit/loss of associates	8.5	1.0	21.4	10.7
Total operating income	2,714.9	936.9	4,648.0	2,281.0
Operating expenses
Other external expenses	-45.7	-44.6	-147.1	-172.2
Personnel costs	-61.8	-59.3	-236.9	-266.8
Depreciation and impairment of property, plant and equipment	-6.6	-2.7	-25.0	-10.5
Depreciation and impairment of Intangible assets	-0.4	–	-1.4	-1.3
Other operating expenses	-1.4	-1.8	-2.8	-4.0
Total operating expenses	-115.9	-108.3	-413.2	-454.8
Operating profit/loss	2,598.9	828.6	4,234.8	1,826.2
Interest income and similar profit/loss items	-6.5	-1.3	6.4	1.5
Interest expenses and similar profit/loss items	-0.4	-0.1	-7.3	-3.0
Profit/loss after financial items	2,592.0	827.2	4,233.9	1,824.8
Tax on income for the period	-4.5	-3.6	-5.1	-4.2
Income for the period	2,587.5	823.5	4,228.8	1,820.6
Other comprehensive income
Items that can be subsequently re-entered onto the income statement
Translation differences	10.2	2.3	19.5	16.6
Other comprehensive income for the period, after tax	10.2	2.3	19.5	16.6
Total income for the period	2,597.7	825.8	4,248.3	1,837.2
Profit/loss attributable to non-controlling interests	1.5	0.1	1.5	0.2
Profit/loss attributable to owners of the Parent Company	2,586.0	823.4	4,227.3	1,820.4
Comprehensive income attributable to non-controlling interests	1.5	0.1	1.5	0.2
Comprehensive income attributable to owners of the Parent Company	2,596.2	825.7	4,246.7	1,837.0
Average number of shares outstanding, thousands1)	68,972	69,168	68,972	69,245
Attributable to owners of the Parent Company, SEK	37.49	11.91 11.91	61.29	26.29
Earnings per share, SEK1)	37.49	11.91	61.29	26.29

1) No dilutive effect at 31 December 2019 or at 31 December 2018.

Statement of financial position, Group

	31 December	31 December
SEK M	2019	2018
Assets
Intangible assets	127.3	97.6
of which goodwill	119.8	95.0
Property, plant and equipment	200.7	177.5
Financial assets	12,452.4	8,512.5
Inventories	0.1	0.1
Current receivables	126.5	143.9
Prepaid expenses and accrued income	26.4	29.7
Short-term investments	142.3	265.0
Cash and cash equivalents	710.5	397.2
Total assets	13,786.0	9,623.5
of which, interest-bearing assets1)	714.8	402.7
Equity and liabilities
Equity attributable to owners of the Parent Company	13,553.6	9,461.1
Equity attributable to non-controlling interests	19.1	1.3
Total equity	13,572.7	9,462.4
Non-current liabilities	86.2	39.6
Current liabilities	127.2	121.5
Total liabilities	213.3	161.1
Total equity and liabilities	13,786.0	9,623.5
of which, interest-bearing liabilities1)	67.2	29.5

1) See note 5.

Statement of changes in equity, Group

Group SEK M	Share capital	Other contributed capital	Retained earnings incl. profit for the year	Non controlling interests	Total equity
Opening balance equity at 1 January 2018	535.5	714.6	6,550.4	1.1	7,801.5
Profit/loss for the year	–	–	1,820.4	0.2	1,820.6
Other comprehensive income	–	–	16.6	–	16.6
Cash dividend	–	–	-138.7	–	-138.7
Capital buy-back	–	–	-37.7	–	-37.7
Closing balance equity at 31 December 2018	535.5	714.6	8,211.0	1.3	9,462.4
Opening balance equity at 1 January 2019	535.5	714.6	8,211.0	1.3	9,462.4
Profit/loss for the year	–	–	4,227.3	1.5	4,228.8
Other comprehensive income	–	–	19.5	–	19.5
Cash dividend	–	–	-137.9	–	-137.9
Cancellation of shares	-2.8	–	–	–	-2.8
Bonus issue	2.8	–	–	–	2.8
Divestment of shares in Group companies	–	–	-16.4	16.4	0.0
Closing balance equity at 31 December 2019	535.5	714.6	12,303.5	19.1	13,572.7

Statement of cash flows, Group

SEK M	Q4	Q4 2018	Full year 2019	Full year 2018
	2019
Cash flow from operating activities before change in working capital	12.4	-5.4	683.4	73.9
Cash flow from change in working capital	-23.0	-43.7	15.9	-43.2
Cash flow from operating activities	-10.6	-49.1	699.2	30.7
Cash flow from investing activities	-30.9	-11.8	-248.6	-180.0
Cash flow from financing activities	-8.6	-25.0	-156.9	-174.2
Cash flow for the period	-50.1	-86.0	293.8	-323.5
Cash and cash equivalents at beginning of period	750.4	480.9	39 397.2	704.1
Cash flow for the period	-50.1	-86.0	293.8	-323.5
Translation differences	10.2	2.3	19.5	16.6
Cash and cash equivalents at end of period	710.5	397.2	710.5	397.2

Income statement, Parent Company

SEK M	Q4 2019	Q4 2018	Full year 2019	Full year 2018
OPERATING INCOME
Investing activities
Dividends:
Portfolio companies	–	–	99.4	93.5
Other companies	26.8	–	131.8	–
Short-term investments	–	–	–	–
Exit gains/losses	-4.3	0.1	608.9	45.6
Capital gains/losses on short-term investments	0.0	-8.9	-43.3	-49.3
Fair value:
Portfolio companies	2,576.1	836.0	3,016.3	1,499.2
Other companies	11.0	0.0	11.0	50.1
Short-term investments	6.7	-1.3	60.9	16.9
Other income	0.0	0.6	0.7	2.3
Total operating income	2,616.3	826.4	3,885.7	1,658.3
Operating expenses
Personnel costs	-5.9	-7.3	-24.4	-27.4
Other external expenses	-6.9	-6.6	-17.8	-24.2
Depreciation of property, plant and equipment	-0.6	-0.2	-2.5	-0.7
Total operating expenses	-13.4	-14.0	-44.8	-52.3
Operating profit/loss	2,602.9	812.4	3,841.0	1,606.0
Financial income and expenses
Interest income and similar profit/loss items	1.1	1.0	10.0	4.9
Interest expenses and similar profit/loss items	-0.3	-0.4	-1.3	-1.6
Total financial income and expenses	0.9	0.6	8.7	3.3
Profit/loss before tax	2,603.8	813.0	3,849.7	1,609.3
Income tax expense	0.0	0.0	0.0	0.0
Profit/loss for the period1)	2,603.8	813.0	3,849.7	1,609.3
Average basic number of shares, thousands2)	68,972	69,168	68,972	69,245
Basic earnings per share, SEK2)	37.75	11.75	55.82	23.24
Average number of employees	7	6	6	7

1) Corresponds to comprehensive income.

2) No dilutive effect at 31 December 2019 or at 31 December 2018.

Statement of financial position, Parent Company

	31 December	31 December
SEK M	2019	2018
Assets
Property, plant and equipment	5.3	2.8
Financial assets	11,369.6	8,090.9
Current receivables	507.6	418.9
Prepaid expenses and accrued income	5.2	2.0
Short-term investments	142.3	265.0
Cash and cash equivalents	657.7	195.9
Total assets	12,687.8	8,975.4
of which, interest-bearing assets1)	805.7	345.1
Equity and liabilities
Equity	12,661.5	8,949.8
Non-current liabilities	12.3	8.5
Current liabilities	13.9	17.2
Total equity and liabilities	12,687.8	8,975.4
of which, interest-bearing liabilities1)	3.1	–
1) See note 5.

Statement of cash flows, Parent Company

SEK M	Q4	Q4 2018	Full year 2019	Full year 2018
	2019
Cash flow from operating activities before change in working capital	11.4	-21.4	765.0	43.1
Cash flow from change in working capital	-5.3	-43.3	36.7	-42.7
Cash flow from operating activities	6.1	-64.7	801.7	0.4
Cash flow from investing activities	8.1	4.3	-201.5	-140.6 -140.6
Cash flow from financing activities	-0.4	-24.5	-138.4	-176.3
Cash flow for the period	13.9	-84.9	461.8	-316.5
Cash and cash equivalents at beginning of period	643.9	280.8	195.9	512.4
Cash flow for the period	13.9	-84.9	461.8	-316.5
Cash and cash equivalents at end of period	657.7	195.9	657.7	195.9

Statement of changes in equity, Parent Company

SEK M	Q4 2019	Q4 2018	Full year 2019	Full year 2018
Opening balance, equity	10,057.8	8,161.2	8,949.8	7,516.8
Cancellation of shares	–	–	-2.8	–
Bonus issue	–	–	2.8	–
Cash dividend	–	–	-137.9	-138.7
Capital buy-back	–	-24.5	–	-37.7
Profit/loss for the period	2,603.8	813.0	3,849.7	1,609.3
Closing balance, equity	12,661.5	8,949.8	12,661.5	8,949.8

NOTE 1 – Accounting policies

Bure applies International Financial Reporting Standards (IFRS) as endorsed for application in the EU. This interim report has been prepared in compliance with IAS 34, Interim Financial Reporting, the Swedish Annual Accounts Act and the Swedish Financial Reporting Board's recommendation RFR 2, Accounting for Legal Entities. The Group's accounting and valuation policies are described in Note 1 in the annual report 2018.

New accounting principles were introduced on 1 January 2019; the Group has applied IFRS 16 from 1 January 2019. The Group applies the simplified transition method and has not recalculated comparative figures. New issue rights are valued at amounts that correspond to leasing liabilities adjusted for prepaid and accrued leasing fees. When the standard came into effect, new rights issue assets amounted to SEK 33M and leasing liabilities of SEK 33M. From 1 January 2019, the Group has applied IFRS 9. Use of the new standard did not result in any changes in the valuation of financial assets at the time the standard entered force. From 1 January 2019, the Group has applied IFRS 15. The new standard had only a marginal impact on the Group's equity when the standard came into effect.

NOTE 2 – Segment reporting

Reporting by operating segment

Bure has previously accounted for segments in a similar manner and no changes have taken place in the basis for segmentation or in calculation of profit/loss in the segments compared to the previous year's annual report. Consolidation adjustments relating to positive and negative goodwill have been attributed to the respective companies. Transactions between the various segments are insignificant in scope and are equal to less than 0.1 per cent of total sales. Dormant companies or companies not classified as portfolio companies are reported under the heading "Other companies". No customer accounted for more than 10 per cent of net sales during the periods.

					Atle
	Mercuri		Investment AB Bure		Investment Management		Bure Growth		Other companies		Eliminations, etc.		Parent Company		Total
SEK M	2019	2018	2019	2018	2019	2018	2019	2018	2019	2018	2019	2018	2019	2018	2019	2018
Operating income
Total operating income	347	402	22	11	13	3	0	0	0	0	–	–	0	0	382	416
Profit/loss
Shares in profit/loss	1	2	–	–	22	12	-2	-3	–	–	–	–	–	–	21	11
Profit/loss by segment	9	25	11	-1	-2	-2	0	–	–	–	–	–	1	2	18	24
Administrative expenses	–	–	–	–	–	–	–	–	–	–	–	–	-45	-52	-45	-52
Fair value/impairment losses	–	–	–	–	–	–	488	238	–	–	–	-50		3,088 1,566		3,576 1,754
Dividends	–	–	–	–	–	12	–	–	–	–	-132	-12	231	94	99	94
Exit gains/losses/capital gains/losses on short term investments	–	0	–	–	-2	–	–	–	–	–	–	–	566	-4	564	-4
Operating profit/loss	10	27	11	-1	18	22	486	235	0	0	-132	-62		3,841 1,606		4,235 1,826
Net financial items															-1	-1
The period's income tax expense															-5	-4
Profit/loss for the period																4,229 1,821

SEK M	Mercuri 31 Dec31 Dec 2019	2018	Investment AB Bure 31 Dec31 Dec 2019	2018	Atle Investment Management 31 Dec31 Dec 2019	2018	Bure Growth 31 Dec31 Dec 2019	2018	Other companies 31 Dec31 Dec 2019	2018	Eliminations, etc. 31 Dec31 Dec 2019	2018	Parent Company 2019	2018	Total 31 Dec31 Dec 31 Dec31 Dec 2019	2018
Assets	222	178	167	155	13	136	968	406	0	0	-502	-363			12,688 8,975 13,556 9,489
Equity in associates	17	16	–	–	75	64	138	55	–	–	–	–	–	–	230	135
Total assets	239	194	167	155	88	201	1,106	461	0	0	-502		-363 12,688 8,975 13,786 9,623
Liabilities
Unallocated liabilities	191	159	124	120	1	1	373	218	0	0	-502	-363	26	26	213	161
Total liabilities	191	159	124	120	1	1	373	218	0	0	-502	-363	26	26	213	161
Investments	33	5	0	0	0	3	0	0	–	–	–	–	0	0	33	7
Amortisation/ depreciation	17	4	7	7	0	0	0	0	–	–	–	–	3	1	26	12

NOTE 2 – Segment reporting, cont.

IFRS 15 Revenue from Contracts with Customers is a new revenue standard that replaces existing standards and guidance on revenues. The standard does not have any material effect on the Group's net sales, either in terms of amounts or periodicity. From 1 January 2018, the Group classify revenue as: consultancy income, licensee income, and other income.

SEK M	Q4 2019	Q4 2018	Full year 2019	Full year 2018
Consultancy income	86	98	280	345
Licensing revenue	3	4	10	26
Other income	27	6	91	46
Net sales	116	108	382	416

Note 3 – Effects of changed estimates and assumptions

Key accounting estimates and assumptions are presented in Note 1 of the annual report for 2018. No changes have been made in these accounting estimates and assumptions that could have a material impact on this interim report.

NOTE 4 – Financial instruments

The Group's financial assets and liabilities are classified according to IFRS 13 under the following three categories.

Level 1: Listed prices on an active market for identical assets or liabilities.

Level 2: Other observable data for the asset or liability other than listed prices included in Level 1, either directly or indirectly.

Level 3: Data for the asset or liability that is not entirely based on observable market data.

Bure reports listed holdings at fair value with changes in value in the income statement (Level 1).

For investments in unlisted holdings (Level 3), in the first auditing instance Bure has made an active choice to use equity method in accordance with IAS 28 – Investments in Associates and Joint Ventures. Thus, holdings in unlisted associated companies Alcur Fonder AB, BioLamina AB, Fondbolaget Fondita Ab, Life Genomics AB, My Driving Academy Sweden AB, ScandiNova Systems AB and Teknik Innovation Norden Fonder AB have not been revaluated according to IFRS 9. The introduction of IFRS 9 requires other financial assets to be assessed on an ongoing basis. Atle Investment Services AB is a wholly-owned subsidiary of Atle Investment Management and is valued at book value.

In Bure's net asset value table, (see page 2), Bure has chosen to revalue all financial assets based on International Private Equity and Venture Capital Valuation (IPEV) guidelines. These guidelines outline various methods for the determination of the fair value of respective holdings. Considerable emphasis is placed on recent market transactions in the company, for example new share issues or the acquisition of existing shares. Transactions in comparable companies may also be used. Other valuation methods include discounting forecasted cash flow with relevant discount rates, and by applying valuation multiples such as EV/Sales, EV/EBITDA, EV/EBITA, EV/EBIT and PER adjusted for different market, operational and risk profiles. In general, an illiquidity discount for unlisted assets is also applied.

Valuation of unlisted assets at 31 December 2019

SEK M	Net asset value	Valuation model	Group book value	Valuation model
Atle Investment Management	85.5		85.4
Alcur Fonder		DCF		Equity method
Fondbolaget Fondita		EV/EBIT multipel		Equity method
Atle Investment Services		Book value		Book value
Teknik Innovation Norden Fonder		Book value		Equity method
Bure Growth	1,132.5		1,126.7
BioLamina		Latest transaction. DCF		Equity method
Life Genomics		DCF		Equity method
My Driving Academy Sweden		Latest transaction. DCF		Equity method
ScandiNova Systems		Latest transaction		Equity method
Yubico		Latest transaction		Latest transaction

Note 5 – Financial position

Net loan receivable: Cash and cash equivalents, interest-bearing investments and interest-bearing current and non-current receivables minus interest-bearing current and non-current liabilities.

		Group		Parent company
SEK M	31 Dec 2019	31 Dec 2018	31 Dec 2017	31 Dec 2019	31 Dec 2018	31 Dec 2017
Cash and cash equivalents	710.5	397.2	704.1	657.7	195.9	512.4
+ Interest-bearing investments	0.0	0.0	0.0	0.0	0.0	0.0
+ Current interest-bearing receivables	2.3	2.5	0.0	146.0	146.2	165.8
+ Non-current interest-bearing receivables	2.0	3.0	1.8	2.0	3.0	1.5
Interest-bearing assets	714.8	402.7	705.9	805.7	345.1	679.7
- Current interest-bearing liabilities	4.6	2.1	1.1	–	–	–
- Current interest-bearing leasing liabilities	13.1	–	–	2.1	–	–
- Non-current interest-bearing liabilities	30.7	27.4	26.9	–	–	–
- Non-current interest-bearing leasing liabilities	18.8	–	–	1.0	–	–
Interest-bearing liabilities	67.3	29.5	28.0	3.1	–	–
Net loan receivable at end of period	647.5	373.2	677.8	802.6	345.1	679.7

Bure Equity finances subsidiaries' operations with its own capital and intra-group loans. The table below shows intra-group loans.

		Intra-group receivables
	31 Dec 2019	31 Dec 2018	31 Dec 2017
Atle Investment Management	0.2	0.2	0.0
Bure Growth	353.6	218.4	176.8
Investment AB Bure	113.9	113.9	107.0
Mercuri International Group	29.8	29.8	58.8
Summa	497.5	362.3	342.7

Note 6 – Pledged assets

	Group			Parent company
	31 Dec 2019	31 Dec 2018	31 Dec 2017	31 Dec 2019	31 Dec 2018	31 Dec 2017
Shares in subsidiaries and associates	27.1	84.8	80.1	–	–	–
Blocked bank accounts	0.4	0.4	0.4	–	–	–
Total pledged assets	27.5	85.3	80.6	–	–	–

Contingent liabilities in the Group amounted to SEK 0.0M (0.5) at 31 December 2019, and refer to sureties and guarantee commitments furnished by subsidiaries. There is no contingent consideration in the Group that is not reflected in the consolidated accounts.

Five-year overview

Data per share1)	2019	2018	2017	2016	2015
Net asset value, SEK2)	196.6	137.1	111.7	101.7	87.4
Share price, SEK	212.0	108.4	98.3	103.5	68.8
Share price as a percentage of net asset value	108%	79%	88%	102%	79%
Parent Company basic equity per share, SEK	183.6	129.1	108.4	98.4	82.9
Parent Company equity per share excl. buybacks, SEK	183.6	129.8	108.4	98.4	84.7
Consolidated basic equity per share, SEK	196.8	136.5	112.5	102.4	85.6
Consolidated equity per share excl. buybacks, SEK	196.8	137.2	112.5	102.4	87.5
Parent Company basic earnings per share, SEK3)	55.8	23.2	12.0	15.7	40.4
Consolidated earnings per share, SEK3)	61.3	26.3	12.0	16.9	42.0
Number of shares, thousands	68,972	69,333	69,333	69,333	70,834
Number of shares excluding share buy-backs, thousands	68,972	68,972	69,333	69,333	69,333
Average basic number of shares, thousands	68,972	69,245	69,333	69,333	70,042
Key figures
Dividend, SEK per share	2	2.0	2.0	2.0	1.0
Of which, extraordinary dividend, SEK per share	–	0.5	0.5	1.0	–
Dividend yield	0.9%	1.8%	2.0%	1.9%	1.5%
Total return	97.9%	12.7%	-3.3%	54.7%	95.4%
Market capitalisation, SEK M	14,622	7,516	6,812	7,176	4,870
Net asset value, SEK M	13,563	9,454	7,743	7,054	6,060
Return on equity	35.6%	19.5%	11.6%	17.1%	62.2%
Administrative expenses/Net asset value	0.33%	0.55%	0.55%	0.66%	0.68%
Parent Company profit and financial position
Exit gains/losses, SEK M	609	46	117	0	417
Profit/loss after tax, SEK M	3,850	1,609	834	1,086	2,829
Total assets, SEK M	12,688	8,976	7,528	6,835	5,895
Equity, SEK M	12,662	8,950	7,517	6,822	5,874
Equity/assets ratio	100%	100%	100%	100%	100%
Cash and cash equivalents and short-term investments, SEK M	800	461	799	873	1,040
Consolidated profit and financial position
Net sales, SEK M	382	416	443	455	486
Exit gains/losses, SEK M	607	45	228	0	416
Profit/loss after tax, SEK M	4,229	1,821	834	1,173	2,940
Total assets, SEK M	13,786	9,624	7,971	7,271	6,281
Equity, SEK M	13,573	9,462	7,802	7,101	6,065
Equity/assets ratio	98%	98%	98%	98%	97%
Net loan debt (-)/receivable (+), SEK M	648	373	678	669	986
Average number of employees	226	234	272	262	280

1) All historical data per share has been adjusted for shares in issue with a time-weighting factor as prescribed by IAS 33.

2) Net asset value consists of the market value of Bure's listed holdings and assessed market value of unlisted holdings or net assets in subsidiaries, short-term and financial investments and cash equivalents.

3) No dilutive effect at 31 December 2019.

This information was publicly communicated on 20 February 2020, 08:30 a.m. CEST.

Definitions

Administrative expenses /net asset value	Administrative expenses divided by net asset value at the end of the period.
Earnings per share	Profit after tax divided by the average number of shares outstanding during the period.
Diluted earnings per share	The Group uses net profit less the non-controlling interests' share of profit for the period.
Dividend yield	Profit after tax divided by the average number of shares outstanding during the period after dilution. The Group uses net profit less the non-controlling interests' share in profit for the period. The average number of shares after dilution is calculated in accordance with IFRS, IAS 33 Earnings per Share.
EBIT	The dividend proposed to the Annual General Meeting and extraordinary dividends paid during the year divided by the share price at the beginning of the period.
Equity/assets ratio	Operating profit after depreciation of tangible and intangible fixed assets.
Equity per share	Equity in relation to total assets.
Growth	Equity divided by the number of shares outstanding.
IRR	Increase in net sales in relation to net sales for the previous period. The key figure thus includes both organic and acquisition-driven growth.
Market capitalisation	Internal Rate of Return, (average annual return).
Net asset value	Share price multiplied by the total number of shares outstanding.
Net loan liability	The market value of Bure's listed holdings, the estimated market values of unlisted holdings or alternatively net asset values of subsidiaries, short-term investments and cash and cash equivalents.
Net loan receivable	Same definition as net loan receivable but used when interest-bearing liabilities exceed interest-bearing assets.
Return on equity	Financial interest-bearing assets minus interest-bearing liabilities.
Total return	Profit/loss after tax divided by average equity.
	The sum of the period's share price growth and reinvested dividends divided by the share price at the beginning of the period.

About Bure

Bure is a listed investment company that is quoted on Nasdaq Stockholm. On 31 December 2019 the portfolio consisted of eleven companies, of which seven are listed holdings.

Our business concept is to be a long-term principal owner of operating companies. Through far-reaching engagement and value-driving initiatives and activities, we support the portfolio companies in becoming successful in their respective businesses.

Our objective is to create a long-term sustainable total return for our shareholders and to be a competitive investment alternative in the market.

Bure's strategic cornerstones are: • Long-term approach

• Commitment and responsibility
• Adapted leadership
• Financial strength