Ericsson Nikola Tesla d.d.

Quarterly Report • Jul 25, 2024

ERICSSON NIKOLA TESLA d.d. Krapinska 45, 10000 Zagreb

SECURITY: ERNT (ISIN: HRERNTRA0000) LEI: 5299001W91BFWSUOVD63 HOME MEMBER STATE: Republic of Croatia REGULATED MARKET SEGMENT: Regular Market of the Zagreb Stock Exchange

Ericsson Nikola Tesla Group

Zagreb, July 25, 2024

Management Report on the Company and Ericsson Nikola Tesla Group business performance with comments on the financial results for H1 2024

Highlights:

• Sales revenue: EUR 108.9 million
• Gross margin: 14.5%
• Operating profit: EUR 13.1 million
• Profit before tax: EUR 13.7 million
• Net profit: EUR 7.7 million
• Cash flow from operating activities: EUR - 5.1 million

Gordana Kovačević, President of Ericsson Nikola Tesla, commented:

"In H1 2024, we continued to execute our obligations in line with the signed multi-year framework agreements related to extension and modernization of telecom networks. We worked intensely on new business opportunities in the Digital Society segment and gaining new responsibilities in our Research and Development (R&D) Center. The total sales revenue amounted to EUR 108.9 million, down by 21.1% year-over-year, primarily as a result of lower revenue in Croatian market due to the non-renewal of the contract with Hrvatski Telekom regarding managed services, as well as the operators' cautious investments in network modernization. Growth in sales revenue was recorded in export markets, where intense activities are ongoing on the contracted projects of mobile networks modernization. We are also pleased to continue successful cooperation with the operator IPKO Kosovo, which has selected us once again as a strategic partner for the projects of 5G core and 5G radio access network implementation and modernization.

In the Digital Society segment, in addition to work on the realization of contracted deals, intense presales activities were ongoing as well as activities related to the expansion of our portfolio in order to secure growth in the following years. During Q2, we contracted many projects regarding the digital transformation of the state administration, public services and security, healthcare, as well as expansion, modernization and maintenance of the communication infrastructure.

By delivering services to Ericsson, our R&D and other expert centers significantly contributed to the company's business results. At the regular quarterly evaluation of R&D centers, the representatives of the development units within the Ericsson corporation, with which our R&D Center cooperates, have highly rated the work of our experts in all categories and all business segments. Taking this into account, we are expecting new responsibilities in the development of 5G radio access network (RAN), as well as the opportunity for business growth in areas which are crucial to achieve our strategic target of building an organization with the E2E capability.

Furthermore, our employees from other expert centers received many recognitions for their work on telecom networks modernization projects for Ericsson's key customers worldwide.

At this year's Ericsson Nikola Tesla Technology Days, we showed the cases of 5G technology monetization from the leading technology event, Mobile World Congress (MWC) Barcelona, as well as many advanced technological solutions that were developed in our company. We presented Ericsson's latest 5G RAN hardware and software, in the development of which our experts are also engaged. We demonstrated the use cases of open network Application Programming Interfaces (APIs), the application of AI technology for smart traffic management, achieving greater energy efficiency, etc., and a solution for data processing in the context of ESG reporting.

We have continued to foster long-term cooperation with the academic community, and we have signed a Memorandum of Understanding on the development of new models of cooperation with the Faculty of Engineering and Computing of the University of Zagreb. Furthermore, we opened a joint scientific research laboratory Inventorium in our company's headquarters, which will contribute to the creation and realization of innovative ideas and the quality of STEM education.

Regarding financial indicators, compared to H1 2023, gross margin increased to 14.5%, as a result of business mix and cost control. However, due to lower sales revenue, gross profit decreased to EUR 15.8 million. As a result of lower gross profit, operating profit decreased by 10.9% YoY to EUR 13.1 million. Net profit was down by 36.8% YoY and amounted to EUR 7.7 million, partially because of additional tax expense from previous years due to change in interpretation of cost eligibility for tax deduction. We concluded the end of H1 with a solid balance sheet and an equity ratio of 33.5%. Cash and cash equivalents, including the short-term financial assets, amounted to EUR 69.7 million, which accounts for 38.7% of the total assets. In line with our expectations, a negative cash flow from operating activities was realized in the amount of EUR 5.1 million, as deliveries on some projects were prolonged by certain customers, as well as the impact of projects with longer implementation that are demanding in terms of work and capital engagement. We expect to achieve a positive cash flow from operating activities until the year-end.

Although we predict that market conditions will remain challenging until the end of 2024 due to the operators' slow investments, as well as long processes from the recognition of business opportunity to contract signing, we believe that our sales in H2 2024 will be positively affected by the realization of contracts in export markets, stable business performance in Ericsson market, and new business opportunities in the Digital Society segment. Therefore, our strong focus remains on the opportunities ahead of us, and we invest significantly in our employees' competence development, the development of Ericsson Nikola Tesla's products and their productization, as well as digital transformation of Ericsson Nikola Tesla Group. Through our activities, we continue to contribute to a better availability of digital technologies and services, as well as society's further development in the markets where we operate.

This year Ericsson Nikola Tesla marks 75 years of doing business. We will celebrate this jubilee in mid-November, when we will present the company's new trademark. The refreshment of our visual identity will contribute to our additional positioning within the global corporation and strengthen our step forward in the market of advanced ICT solutions for digital transformation of industries and public services, in line with the growth strategy in the following period. We are proud of our respectable business tradition, the opportunities we have in the further development of innovative solutions, products and services of Ericsson Nikola Tesla, as well as long-term partnership with Ericsson, with whom we continue to cooperate efficiently and effectively on the path of technology leadership."

Financial highlights for the Group:

• Sales revenue amounted to EUR 108.9 million (H1 2023: EUR 138.0 million), down by 21.1% yearover-year, as a result of non-renewal of the contract with Hrvatski Telekom regarding managed services, operators' lower investments in telecom infrastructure in the domestic market and dynamics in the realization of contracted activities on export markets. The current position is in line with the forecast.
• In the total sales revenue, the domestic market accounted for 21.5%, services to Ericsson accounted for 65.3%, while other export markets accounted for 13.2%.
• Sales in the Networks segment amounted to EUR 71.1 million (H1 2023: EUR 71.7 million), Digital Services segment amounted to EUR 36.2 million (H1 2023: EUR 35.5 million), Managed Services segment amounted to EUR 1.3 million (H1 2023: EUR 30.5 million), and the segment Other amounted to EUR 269 thousand (H1 2023: EUR 242 thousand). There was an expected decrease in the Managed Services segment (as a result of termination of a significant contract with Hrvatski Telekom), however, the results in other segments remained at the same level year-over-year, or slightly better, which shows a stable business performance.
• Gross margin increased to 14.5% (H1 2023: 13.3%) as a result of business mix and cost control. However, due to lower sales revenue, gross profit decreased by 14.3% year-over-year and amounted to EUR 15.8 million (H1 2023: EUR 18.4 million).
• Selling and administrative expenses amounted to EUR 5.5 million (H1 2023: EUR 5.8 million). Selling expenses remained at the same level year-over-year, while administrative expenses are currently somewhat lower. The share of selling and administrative expenses in the total sales revenue was 5.1% (H1 2023: 4.2%).
• Operating margin increased to 12.0% (H1 2023: 10.7%). Operating profit amounted to EUR 13.1 million (H1 2023: EUR 14.7 million), down by 10.9% year-over-year, primarily due to lower sales revenue and gross profit.
• Profit from financial activities was EUR 540 thousand (H1 2023: EUR 119 thousand), as a result of higher interest income due to an increase in interest rates.
• Profit before tax decreased by 8.0% year-over-year and amounted to EUR 13.7 million (H1 2023: EUR 14.8 million).
• Net profit amounted to EUR 7.7 million (H1 2023: EUR 12.2 million), down by 36.8% year-over-year. The amount of income tax was increased due to additional tax expense from previous years due to change in interpretation of cost eligibility for tax deduction. Return on sales (ROS) was 7.1% (H1 2023: 8.8%).

• Cash flow from operating activities was EUR -5.1 million (H1 2023: EUR -5.4 million) because deliveries on some projects were prolonged by certain customers, as well as the impact of projects with longer implementation. We expect improvement and return to positive levels until the end of 2024.
• Working capital efficiency, expressed in Working Capital Days (WCD), was 35 days (H1 2023: 19 days), and excluding services to Ericsson, Working Capital Efficiency was 34 days (H1 2023: 41 days). The increase in WCD is affected by the demanding projects in terms of work and capital engagement in domestic and export markets, with additionally extended dynamics of collection of receivables in all markets.
• Cash and cash equivalents, including the short-term financial assets, as at June 30, 2024, amounted to EUR 69.7 million (38.7% of the total assets), and at the end of 2023 they amounted to EUR 76.9 million (39.9% of the total assets).
• The Group has a solid balance sheet with the total assets of EUR 180.0 million as at June 30, 2024, down by 6.6% compared to the end of 2023, mainly as the result of lower customer receivables due to lower sales revenue in managed services as well as lower cash and cash equivalents, while the inventory (work-in-progress) increased due to contract execution dynamics. End of H1 2024, the equity ratio was 33.5% (end of 2023: 37.6%).
• With related parties, the transactions were as follows: a stable sale of products and services was realized, amounting to EUR 69.8 million (H1 2023: EUR 72.2 million), while the procurement of products and services amounted to EUR 15.2 million (H1 2023: EUR 20.2 million).
• As at June 30, 2024, balances outstanding with related parties were as follows: receivables amounted to EUR 34.6 million (end of 2023: EUR 37.4 million), and payables amounted to EUR 11.8 million (end of 2023: EUR 15.1 million).

Business situation in major markets

In the domestic market sales revenue amounted to EUR 23.4 million (H1 2023: EUR 51.8 million), down by 54.8% year-over-year as a result of non-renewal of the contract with Hrvatski Telekom regarding managed services, and the operators' cautious investments in network modernization.

With Hrvatski Telekom, we have continued our cooperation on modernization and expansion of the radio part of mobile network in line with the multi-year agreement, based on which Ericsson Nikola Tesla will be the exclusive supplier of the radio part of HT's mobile network (RAN) until the end of 2027. Furthermore, the activities of implementation of Ericsson dual-mode 5G Core for 4G/5G core network are ongoing as planned.

With A1 Hrvatska, we have been working on the expansion of coverage and capacity of the 5G radio network, as well as on the modernization and construction of the convergent core network and the modernization of microwave transmission systems.

In the Digital Society segment, we signed contracts with the Ministry of the Interior for the maintenance of the mobile systems for state border monitoring and the modernization of the portal of Directorate of Civil Protection. With the Ministry of Tourism and Sport, we signed contracts regarding digital tourism, and with the Croatian National Tourist Board, contracts were signed for the eVisitor system modernization. With the Ministry of Justice, Public Administration and Digital Transformation, we have contracted the creation of the IT platform mCitizen, upgrade of IT system of local and regional administration unit, and the upgrade of the eQuality system. With the Ministry of Health, we contracted the upgrade of the national contact point for the exchange of health data. With the Croatian Pension Insurance Fund, we contracted the development of service for support to business processes of integration with the IT system of the General Administrative Procedures Act. We have also signed contracts related to continuation of informatization with many hospitals. With the Central Depository & Clearing Company, we contracted the analysis of business processes.

In export markets (excluding services to Ericsson) sales revenue amounted to EUR 14.4 million (H1 2023: EUR 13.9 million), up by 3.4% year-over-year.

We signed a new multi-year contract with the Kosovo operator IPKO, which includes the modernization and development of the 5G core and 5G radio access network. With the operator Telekom Kosova, intensive activities are ongoing on the implementation of the contract related to the complete modernization and maintenance of the radio part of the mobile network.

With the operator HT Mostar, a long-term successful cooperation continued on the activities related to the support services for the maintenance of Ericsson solutions in fixed and mobile networks.

With the operator Crnogorski Telekom, the activities are ongoing on the implementation of Ericsson dual-mode 5G Core for 4G/5G core network.

We continued our cooperation with operator Ucom Armenia on the modernization and maintenance of mobile networks.

In Ericsson market sales revenue amounted to EUR 71.1 million (H1 2023: EUR 72.2 million), down by 1.6% year-over-year, due to a higher engagement of the Services and Solutions Center's experts on projects for the customers of Ericsson Nikola Tesla. Revenue from R&D activities has been increasing.

In Q2, Ericsson Nikola Tesla's R&D Center has timely and with quality delivered the agreed development projects and kept the position as the leading R&D Center within global Ericsson. In 5G radio access network (RAN) development, we are working on obtaining new responsibilities that would enable further growth in key areas, as well as continuing to build an organization with the capacity to develop E2E solutions, which is a strategic goal in this business segment.

As in the previous quarter, the main development projects were in the segments: Remote Radio, Massive MIMO, Time Critical Services, resilience Network and Positioning, RBS Features & Configurations and G4 baseband, which are important for Ericsson technology leadership.

The main prerequisites for achieving all the business opportunities are efficient deliveries of high-quality software, agile organization and investment in equipment, test systems and competence development.

Experts from the Customer Services and Solutions Center, in addition to projects for the customers of Ericsson Nikola Tesla Group, were engaged on many projects for Ericsson customers through the activities of creating solutions and defining network parameters, and optimization and integration of solutions and technologies in many EU Member States and other countries such as: the United Kingdom, Switzerland, Norway, the United States of America, Canada, Australia, India, Mexico, Bahrein, etc. These are complex projects that, among other activities, included the introduction of 5G technology, operational and business support systems, as well as projects of introduction of core solutions in Cloud.

The activities have also continued on the development and implementation of software tools for management and optimization of mobile networks which are used in network rollout by many operators worldwide.

In the Digital Society segment our experts, in addition to many projects for the customers of Ericsson Nikola Tesla, have been achieving quality results on projects regarding IoT platforms and connected urban traffic for the needs of Ericsson corporation.

The teams working on activities in the field of IT& Engineering Services, in addition to providing support and achieving excellent results on test environment management projects and IT operations for Ericsson corporation, have a key role in the processes of Ericsson Nikola Tesla Group's digital transformation.

Other information

At the Annual General Meeting of Ericsson Nikola Tesla joint-stock company, held on June 27, 2024, a decision was adopted about the payment of regular dividend of EUR 10 per share and extraordinary dividend of EUR 5 per share, i.e. a total of EUR 15 per share, from the retained earnings from years 2022 and 2023. The dividend was paid on July 17, 2024, to all the Company's shareholders that on July 3, 2024, had the Company's shares registered in their securities account in the Central Depository & Clearing Company.

The decision was reached to supplement the Company's scope of business activities. Discharge from liability was given to the Company's Managing Director, in relation to the exercise of her duties in 2023. Discharge from liability was given to the members of the Company's Supervisory Board and its Chairman in relation to the exercise of their duties in 2023. Furthermore, the Remuneration Report for Supervisory Board members and Management Board in 2023 was approved. KPMG Croatia d.o.o., was appointed again as the Auditor for the year 2024.

For additional information, please contact:

Antonija Lončar	Orhideja Gjenero
Director Marketing, Communication and CSR	Investor Relations Manager
Ericsson Nikola Tesla d.d.	Ericsson Nikola Tesla d.d.
Krapinska 45	Krapinska 45
HR-10 002 Zagreb	HR-10 002 Zagreb
Tel.: +385 1 365 4473	Tel.: +385 1 365 4431
Mob.: +385 91 365 4473	Mob.: +385 91 365 4431
E-mail: antonija.loncar@ericssonnikolatesla.com	E-mail: orhideja.gjenero@ericssonnikolatesla.com
	E-mail: odnosi.investitori@ericssonnikolatesla.com

For more information about Ericsson Nikola Tesla's business, please visit: http://www.ericsson.hr

Pursuant to the Articles 462 to 468 of the Capital Market Law (Official Gazette 65/18) the Managing Director of the joint stock company Ericsson Nikola Tesla d.d. Zagreb, Krapinska 45 gives the following:

Statement

of the Management Board responsibility

The accompanying consolidated and non-consolidated financial statements have been prepared in compliance with the International Financial Reporting Standards (IFRS). The financial statements also comply with the provisions of the Croatian Financial Accounting Law valid as of the date of these financial statements.

Unaudited financial statements for the period January 1, 2024 to June 30, 2024 present a true and fair view of the financial position of the Company and the Group and of the financial performance and cash flows in compliance with applicable accounting standards.

Managing Director:

Gordana Kovačević, MSc

Ericsson Nikola Tesla d.d. Statement of comprehensive income for the period ended 30 June 2024

	2024	2023
	EUR '000	EUR '000
Sales revenue	105.857	108.783
Cost of sales	-90.022	-92.564
Gross profit	__ 15.835	__ 16.219
Selling expenses	-2.590	-2.599
Administrative expenses	-2.710	-2.526
Other operating income	2.965	2.478
Impairment loss on financial assets	-	-2
Operating profit	__ 13.499	__ 13.569
Finance income	__ 868	__ 205
Finance expense	-551	-76
Finance income/(expense), net	__ 317	__ 129
Profit before tax	__ 13.816	__ 13.698
Income tax	-5.916	-2.466
Profit for the year	__ 7.900	__ 11.233
Other comprehensive income	__ -	__ -
Total comprehensive income for the year	__ 7.900	__ 11.233
Earnings per share (EUR)	__ 5,96	__ 8,50

Ericsson Nikola Tesla d.d. Statement of financial position as at 30 June 2024

	2024	2023
	EUR '000	EUR '000
ASSETS
Non-current assets
Property, plant and equipment	14.002	14.352
Right of use assets	14.732	14.818
Intangible assets	582	384
Investments in subsidiaries	4	4
Loans and receivables	1.639	2.587
Deferred tax assets	2.322	2.322
	__	__
Total non-current assets	33.281	34.467
	__	__
Current assets
Inventories	16.728	9.781
Trade receivables	17.081	17.896
Receivables from related parties	34.825	37.893
Other receivables	1.669	1.180
Financial assets at fair value through profit or loss	4.298	4.235
Prepayments	2.485	2.238
Cash and cash equivalents	48.156	55.568
	__	__
Total current assets	125.242	128.791
TOTAL ASSETS	__ 158.523	__ 163.258
	__	__
EQUITY AND LIABILITIES
Equity
Share capital	17.674	17.674
Treasury shares	-1.324	-1.256
Legal and other reserves	1.447	1.230
Reserve for treasury shares	3.967	4.157
Retained earnings	26.693	38.711
	__	__
Total equity	48.457	60.516
Non-current liabilities	__	__
Borrowings	114
Lease liabilities		114
	13.113	13.126
Other non-curent liabilities	6	12
Employee benefits	920 __	934 __
Total non-current liabilities	14.153	14.186
Current liabilities	__	__
Payables to related parties	11.563	13.907
Borrowings	-	467
Trade and other payables	41.593	29.560
Income tax payable	3.840	690
Provisions	1.070	1.558
Accrued charges and deferred revenue	16.433	13.749
Contract liabilities	19.339	26.768
Lease liabilities	2.075	1.857
	__	__
Total current liabilities	95.913 __	88.556 __
Total liabilities	110.066	102.742
TOTAL EQUITY AND LIABILITIES	__ 158.523	__ 163.258
	__	__

Ericsson Nikola Tesla d.d. Statement of cash flows

for the period ended 30 June 2024
-----------------------------------	--

	2024	2023
	EUR '000	EUR '000
Cash flows from operating activities
Profit before tax	13.816 _	13.698 _
Adjustments for:
Depreciation and amortisation	2.603	2.206
Impairment losses and reversals	22	29
Gain on sale of property, plant and equipment	1	-
Net loss/(gain) on remeasurement of financial assets	-64	-31
Amortisation of discount	-	-8
Interest income	-793	-164
Interest expense	551	64
Foreign exchange (gain)/loss, net	-54	-6
Share-based payments	177	301
	_	_
Changes in working capital
In receivables	4.648	-2.466
In inventories	-6.947	-9.264
In provisions	-501	-328
In payables	-15.619	-9.989
	_	_
Cash generated from operations	-2.159	-5.958
	_	_
Interest paid	-213	-64
Income taxes paid	-2.758	-674
	_	_
Net cash from operating activities	-5.131	-6.695
	_	_
Cash flows from investing activities
Proceeds from loans given	-	1.000
Interest received	749	269
Dividends received	1	-
Proceeds from sale of property, plant and equipment	-	-
Purchases of property, plant and equipment, and intangible assets	-877	-446
Deposits given to financial institutions - net	-	261
	_	_
Net cash (used in)/from investing activities	-126	1.084
	_	_
Cash flows from financing activities
Repayment of borrowings	-936	-1.344
Purchase of treasury shares	-258	-110
Dividends paid	-7	-
Payment of lease liabilities	-962	-671
	_	_
Net cash used in financing activities	-2.163	-2.124
	_	_
Effects of exchange rate changes on cash and cash equivalents	8	-1
	_	_
Net increase/(decrease) in cash and cash equivalents	-7.411	-7.736
Cash and cash equivalents at the beginning of the year	55.568	60.679
	_	_
Cash and cash equivalents at the end of the year	48.156 _	52.943 _

Ericsson Nikola Tesla d.d.

Statement of changes in equity for the period ended 30 June 2024

	Share capital	Treasury shares	Legal and other reserves	Reserve for treasury shares	Retained earnings	Total
	EUR '000	EUR '000	EUR '000	EUR '000	EUR '000	EUR '000
As at 1 January 2023	17.674	-2.268	884	5.353	27.537	49.180
Changes in equity for the period:
Total comprehensive income	-	-	-	-	18.841	18.841
Dividend distribution	__ -	__ -	__ -	__ -	__ -7.927	__ -7.927
Purchase of treasury shares	-	-184	-	-	-	-184
Shares granted	-	1.196	-	-1.196	-	-
Transfer	-	-	346	-	-346	-
Share-based payments	-	-	-	-	606	606
Total contributions by and distributions to owners of the parent recognized directly in equity	__ -	__ 1.012	__ 346	__ -1.196	__ -7.667	__ -7.505
As at 31 December 2023	__ 17.674	__ -1.256	__ 1.230	__ 4.157	__ 38.711	__ 60.516
As at 1 January 2024	17.674	-1.256	1.230	4.157	38.711	60.516
Changes in equity for the period:
Total comprehensive income	-	-	-	-	7.900	7.900
Dividend distribution	__ -	__ -	__ -	__ -	__ -19.879	__ -19.879
Purchase of treasury shares	-	-258	-	-	-	-258
Shares granted	-	190	-	-190	-	-
Transfer	-	-	217	-	-217	-
Share-based payments	-	-	-	-	178	178
Total contributions by and distributions to owners of the parent recognized directly in equity	__ -	__ -68	__ 217	__ -190	__ -19.918	__ -19.959
As at 30 June 2024	__ 17.674	__ -1.324	__ 1.447	__ 3.967	__ 26.693	__ 48.457

Annex 1
		ISSUER'S GENERAL DATA
Reporting period:		1/1/2024	to	6/30/2024
Year:		2024
Quarter:		2.
		Quarterly financial statements
Registration number (MB):	03272699		Issuer's home Member State code:	HR
Entity's registration number (MBS):	0800002028
Personal identification number (OIB):	84214771175		LEI:	5299001W91BFWSUOVD63
Institution code:	233
	Name of the issuer: ERICSSON NIKOLA TESLA D.D. ZAGREB
Postcode and town:	10000		Zagreb
Street and house number: Krapinska 45
	E-mail address: etk.company@ericsson.com
	Web address: www.ericsson.hr
Number of employees (end of the reporting	2765
Consolidated report:	KN	(KN-not consolidated/KD-consolidated)		KN	KD
Audited:	RN	(RN-not audited/RD-audited)		RN	RD
	Names of subsidiaries (according to IFRS):		Registered office:		MB:
					Yes No
Bookkeeping firm:	No	(Yes/No)		(name of the bookkeeping firm)
	Contact person: Tatjana Ricijaš
	(only name and surname of the contact person) Telephone: +385(0)13653343
	E-mail address: tatjana.ricijas@ericsson.com
	Audit firm: KPMG Croatia d.o.o.
	(name of the audit firm) Certified auditor: Domagoj Hrkać

BALANCE SHEET balance as at 30.06.2024

Submitter: ERICSSON NIKOLA TESLA D.D. Item	ADP	Last day of the	in EUR At the reporting date
1	code 2	preceding business year 3	of the current period 4
A) RECEIVABLES FOR SUBSCRIBED CAPITAL UNPAID	001	0	0
B) FIXED ASSETS (ADP 003+010+020+031+036)	002	34,466,947	33,281,629
I INTANGIBLE ASSETS (ADP 004 to 009)	003	384,414	581,822
1 Research and development	004	0	0
2 Concessions, patents, licences, trademarks, software and other	005	37,674	18,837
rights 3 Goodwill	006	0	0
4 Advances for the purchase of intangible assets 5 Intangible assets in preparation 6 Other intangible assets	007 008	0 346,740 0	0 562,985 0
II TANGIBLE ASSETS (ADP 011 to 019) 1 Land	009 010 011	29,169,292 2,071,185	28,734,106 2,071,185
2 Buildings	012	20,205,668	19,352,199
3 Plant and equipment	013	4,901,302	4,688,867
4 Tools, working inventory and transportation assets	014	1,909,472	2,251,658
5 Biological assets	015	0	0
6 Advances for the purchase of tangible assets	016	0	0
7 Tangible assets in preparation	017	78,710	359,524
8 Other tangible assets	018	2,955	10,673
9 Investment property	019	0	0
III FIXED FINANCIAL ASSETS (ADP 021 to 030)	020	1,546,428	856,270
1 Investments in holdings (shares) of undertakings within the group	021	4,341	4,341
2 Investments in other securities of undertakings within the group	022	0	0
3 Loans, deposits, etc. to undertakings within the group	023	0	0
4. Investments in holdings (shares) of companies linked by virtue of participating interests	024	0	0
5 Investment in other securities of companies linked by virtue of participating interests	025	0	0
6 Loans, deposits etc. to companies linked by virtue of participating interests 7 Investments in securities	026	0 0	0 0
8 Loans, deposits, etc. given	027	1,542,087	851,929
9 Other investments accounted for using the equity method	028	0	0
10 Other fixed financial assets IV RECEIVABLES (ADP 032 to 035)	029 030	0	0
1 Receivables from undertakings within the group	031	1,044,939	787,557
	032	0	0
2 Receivables from companies linked by virtue of participating interests	033	0	0
3 Customer receivables	034	936,670	681,336
4 Other receivables	035	108,269	106,221
V DEFERRED TAX ASSETS	036	2,321,874	2,321,874
C) CURRENT ASSETS (ADP 038+046+053+063)	037	126,553,313	122,756,273
I INVENTORIES (ADP 039 to 045)	038	9,780,753	16,727,909
1 Raw materials and consumables	039	665,760	1,983,168
2 Work in progress	040	9,114,993	14,744,741
3 Finished goods	041	0	0
4 Merchandise	042	0	0
5 Advances for inventories	043	0	0
6 Fixed assets held for sale 7 Biological assets II RECEIVABLES (ADP 047 to 052)	044 045	0 0 56,969,809	0 0 52,884,063
1 Receivables from undertakings within the group 2 Receivables from companies linked by virtue of participating	046 047	740,314	317,325
interests	048	37,152,486	34,507,385
3 Customer receivables	049	17,897,062	17,080,638
4 Receivables from employees and members of the undertaking	050	0	0
5 Receivables from government and other institutions	051	0	0
6 Other receivables	052	1,179,947	978,715
III CURRENT FINANCIAL ASSETS (ADP 054 to 062)	053	4,234,974	4,988,003
1 Investments in holdings (shares) of undertakings within the group	054	0	0
2 Investments in other securities of undertakings within the group	055	0	0
3 Loans, deposits, etc. to undertakings within the group	056	0	0
4 Investments in holdings (shares) of companies linked by virtue of participating interests	057	0	0
5 Investment in other securities of companies linked by virtue of participating interests	058	0	0
6 Loans, deposits etc. to companies linked by virtue of participating interests	059	0	0
7 Investments in securities	060	4,234,974	4,297,844
8 Loans, deposits, etc. given	061	0	690,159
9 Other financial assets	062	0	0
IV CASH AT BANK AND IN HAND	063	55,567,777	48,156,298
D ) PREPAID EXPENSES AND ACCRUED INCOME	064	2,237,975	2,485,121
E) TOTAL ASSETS (ADP 001+002+037+064)	065	163,258,235	158,523,023
OFF-BALANCE SHEET ITEMS	066	0	0
LIABILITIES A) CAPITAL AND RESERVES (ADP 068 to
070+076+077+083+086+089)	067	60,516,167	48,456,255
I INITIAL (SUBSCRIBED) CAPITAL	068	17,674,030	17,674,030
II CAPITAL RESERVES	069	0	0
III RESERVES FROM PROFIT (ADP 071+072-073+074+075)	070	4,131,224	4,089,705
1 Legal reserves	071	1,230,444	1,446,689
2 Reserves for treasury shares	072	4,156,663	3,966,602
3 Treasury shares and holdings (deductible item)	073	-1,255,883	-1,323,586
4 Statutory reserves	074	0	0
5 Other reserves	075	0	0
IV REVALUATION RESERVES	076	0	0
V FAIR VALUE RESERVES AND OTHER (ADP 078 to 082)	077	0	0
1 Financial assets at fair value through other comprehensive income	078	0	0
(i.e. available for sale) 2 Cash flow hedge - effective portion	079	0	0
3 Hedge of a net investment in a foreign operation - effective portion	080	0	0
4 Other fair value reserves	081	0	0
5 Exchange differences arising from the translation of foreign operations (consolidation)	082	0	0
VI RETAINED PROFIT OR LOSS BROUGHT FORWARD (ADP 084- 085)	083	19,870,199	18,792,090
1 Retained profit	084	19,870,199	18,792,090
2 Loss brought forward	085	0	0
VII PROFIT OR LOSS FOR THE BUSINESS YEAR (ADP 087-088)	086	18,840,714	7,900,430
1 Profit for the business year	087	18,840,714	7,900,430
2 Loss for the business year	088	0	0
VIII MINORITY (NON-CONTROLLING) INTEREST	089	0	0
B) PROVISIONS (ADP 091 to 096)	090	933,733	920,499
1 Provisions for pensions, termination benefits and similar	091	933,733	920,499
obligations 2 Provisions for tax liabilities	092	0	0
3 Provisions for ongoing legal cases	093	0	0
4 Provisions for renewal of natural resources	094	0	0
5 Provisions for warranty obligations	095	0	0
6 Other provisions	096	0	0
C) LONG-TERM LIABILITIES (ADP 098 to 108)	097	13,252,005	13,232,908
1 Liabilities to undertakings within the group	098	0	0
2 Liabilities for loans, deposits, etc. of undertakings within the group	099	0	0
3 Liabilities to companies linked by virtue of participating interests 4 Liabilities for loans, deposits etc. of companies linked by virtue of participating interests	100 101	0 0	0 0
5 Liabilities for loans, deposits etc.	102	0	0
6 Liabilities to banks and other financial institutions	103	13,239,601	13,226,556
7 Liabilities for advance payments	104	0	0
8 Liabilities to suppliers	105	0	0
9 Liabilities for securities	106	0	0
10 Other long-term liabilities	107	12,404	6,352
11 Deferred tax liability	108	0	0
D) SHORT-TERM LIABILITIES (ADP 110 to 123)	109	62,247,722	65,412,514
1 Liabilities to undertakings within the group	110	495,476	168,091
2 Liabilities for loans, deposits, etc. of undertakings within the group	111	0	0
3 Liabilities to companies linked by virtue of participating interests	112	13,411,818	11,395,163
4 Liabilities for loans, deposits etc. of companies linked by virtue of participating interests 5 Liabilities for loans, deposits etc.	113 114	0 0	0 0
6 Liabilities to banks and other financial institutions	115	2,324,908	2,074,741
7 Liabilities for advance payments	116	14,207,996	5,270,998
8 Liabilities to suppliers	117	6,249,148	6,473,911
9 Liabilities for securities	118	0	0
10 Liabilities to employees	119	19,677,751	10,558,643
11 Taxes, contributions and similar liabilities	120	4,322,363	8,521,170
12 Liabilities arising from the share in the result	121	0	19,879,530
13 Liabilities arising from fixed assets held for sale	122	0	0
14 Other short-term liabilities	123	1,558,262	1,070,267
E) ACCRUALS AND DEFERRED INCOME	124	26,308,608	30,500,847
F) TOTAL – LIABILITIES (ADP 067+090+097+109+124)	125	163,258,235	158,523,023
G) OFF-BALANCE SHEET ITEMS	126	0	0

for the period 01.01.2024 to 30.06.2024 STATEMENT OF PROFIT OR LOSS

in EUR

Submitter: ERICSSON NIKOLA TESLA D.D.	ADP		Same period of the previous year	Current period
Item	code	Cumulative	Quarter	Cumulative	Quarter
1 I OPERATING INCOME (ADP 002 to 006)	2 001	3 111,261,198	4 54,957,235	5 108,821,988	6 57,156,135
1 Income from sales with undertakings within the group 2 Income from sales (outside group)	002 003	305,716 108,477,028	92,051 53,289,659	424,577 105,432,658	102,685 55,579,394
3 Income from the use of own products, goods and services 4 Other operating income with undertakings within the group	004 005	0 163,490	0 82,834	0 94,923	0 46,624
5 Other operating income (outside the group)	006	2,314,964	1,492,691	2,869,830	1,427,432
II OPERATING EXPENSES (ADP 08+009+013+017+018+019+022+029) 1 Changes in inventories of work in progress and finished goods	007 008	97,691,853 -9,406,976	50,008,757 -2,162,233	95,322,599 -5,630,292	51,280,991 -1,082,238
2 Material costs (ADP 010 to 012) a) Costs of raw materials and consumables	009 010	43,454,306 23,350,443	20,166,157 8,992,325	34,829,227 24,544,506	18,981,158 12,754,091
b) Costs of goods sold c) Other external costs	011 012	0 20,103,863	0 11,173,832	0 10,284,721	0 6,227,067
3 Staff costs (ADP 014 to 016)	013	57,061,989	28,550,287	59,225,925	30,013,638
a) Net salaries and wages b) Tax and contributions from salary costs	014 015	34,693,694 16,033,349	17,254,947 8,015,595	36,323,293 16,187,370	17,526,328 8,676,404
c) Contributions on salaries 4 Depreciation	016 017	6,334,946 2,206,354	3,279,745 1,109,107	6,715,262 2,603,465	3,810,906 1,279,238
5 Other costs 6 Value adjustments (ADP 020+021)	018 019	4,032,312 2,238	2,161,258 2,238	4,216,457 0	2,108,466 0
a) fixed assets other than financial assets b) current assets other than financial assets	020 021	0 2,238	0 2,238	0 0	0 0
7 Provisions (ADP 023 to 028) a) Provisions for pensions, termination benefits and similar obligations	022 023	341,630 331,143	181,943 173,332	77,817 131,163	-19,271 34,691
b) Provisions for tax liabilities c) Provisions for ongoing legal cases	024 025	0 0	0 0	0 0	0 0
d) Provisions for renewal of natural resources e) Provisions for warranty obligations	026 027	0 10,487	0 8,611	0 22,093	0 21,477
f) Other provisions 8 Other operating expenses	028 029	0 0	0 0	-75,439 0	-75,439 0
III FINANCIAL INCOME (ADP 031 to 040) 1 Income from investments in holdings (shares) of undertakings within the	030	204,643	165,618	867,926	384,286
group 2 Income from investments in holdings (shares) of companies linked by	031	0	0	0	0
virtue of participating interests	032	0	0	0	0
3 Income from other long-term financial investment and loans granted to undertakings within the group	033	0	0	0	0
4 Other interest income from operations with undertakings within the group	034	20,442	6,764	0	0
5 Exchange rate differences and other financial income from operations with undertakings within the group	035	1,808	1,808	0	0
6 Income from other long-term financial investments and loans 7 Other interest income	036 037	0 143,591	0 124,115	0 792,932	0 365,224
8 Exchange rate differences and other financial income 9 Unrealised gains (income) from financial assets	038 039	0 0	0 0	9,667 0	-7,126 0
10 Other financial income IV FINANCIAL EXPENSES (ADP 042 to 048)	040 041	38,802 75,660	32,931 38,098	65,327 550,852	26,188 432,123
1 Interest expenses and similar expenses with undertakings within the group	042	34	34	0	0
2 Exchange rate differences and other expenses from operations with undertakings within the group	043	0	0	0	0
3 Interest expenses and similar expenses	044	63,688	31,215	550,852	432,123
4 Exchange rate differences and other expenses 5 Unrealised losses (expenses) from financial assets	045 046	11,938 0	6,849 0	0 0	0 0
6 Value adjustments of financial assets (net) 7 Other financial expenses	047 048	0 0	0 0	0 0	0 0
V SHARE IN PROFIT FROM UNDERTAKINGS LINKED BY VRITUE OF PARTICIPATING INTERESTS	049	0	0	0	0
VI SHARE IN PROFIT FROM JOINT VENTURES VII SHARE IN LOSS OF COMPANIES LINKED BY VIRTUE OF	050 051	0 0	0 0	0 0	0 0
PARTICIPATING INTEREST VIII SHARE IN LOSS OF JOINT VENTURES	052	0	0	0	0
IX TOTAL INCOME (ADP 001+030+049 +050) X TOTAL EXPENDITURE (ADP 007+041+051 + 052)	053 054	111,465,841 97,767,513	55,122,853 50,046,855	109,689,914 95,873,451	57,540,421 51,713,114
XI PRE-TAX PROFIT OR LOSS (ADP 053-054) 1 Pre-tax profit (ADP 053-054)	055 056	13,698,328 13,698,328	5,075,998 5,075,998	13,816,463 13,816,463	5,827,307 5,827,307
2 Pre-tax loss (ADP 054-053) XII INCOME TAX	057 058	0 2,465,699	0 913,679	0 5,916,033	0 4,477,985
XIII PROFIT OR LOSS FOR THE PERIOD (ADP 055-059) 1 Profit for the period (ADP 055-059)	059 060	11,232,629 11,232,629	4,162,319 4,162,319	7,900,430 7,900,430	1,349,322 1,349,322
2 Loss for the period (ADP 059-055) DISCONTINUED OPERATIONS (to be filled in by undertakings subject to IFRS only with discontinued operations)	061	0	0	0	0
XIV PRE-TAX PROFIT OR LOSS OF DISCONTINUED OPERATIONS (ADP 063-064)	062	0	0	0	0
1 Pre-tax profit from discontinued operations 2 Pre-tax loss on discontinued operations	063 064	0 0	0 0	0 0	0 0
XV INCOME TAX OF DISCONTINUED OPERATIONS 1 Discontinued operations profit for the period (ADP 062-065)	065 066	0 0	0 0	0 0	0 0
2 Discontinued operations loss for the period (ADP 065-062)	067	0	0	0	0
TOTAL OPERATIONS (to be filled in only by undertakings subject to IFRS with discontinued operations) XVI PRE-TAX PROFIT OR LOSS (ADP 055-+062)	068	0	0	0	0
1 Pre-tax profit (ADP 068) 2 Pre-tax loss (ADP 068)	069 070	0 0	0 0	0 0	0 0
XVII INCOME TAX (ADP 058+065) XVIII PROFIT OR LOSS FOR THE PERIOD (ADP 068-071)	071 072	0 0	0 0	0 0	0 0
1 Profit for the period (ADP 068-071) 2 Loss for the period (ADP 071-068)	073 074	0 0	0 0	0 0	0 0
APPENDIX to the P&L (to be filled in by undertakings that draw up consolidated annual financial statements) XIX PROFIT OR LOSS FOR THE PERIOD (ADP 076+077)	075	0	0	0	0
1 Attributable to owners of the parent 2 Attributable to minority (non-controlling) interest	076 077	0 0	0 0	0 0	0 0
STATEMENT OF OTHER COMPRHENSIVE INCOME (to be filled in by undertakings subject to IFRS) I PROFIT OR LOSS FOR THE PERIOD	078	11,232,629	4,162,319	7,900,430	1,349,322
II OTHER COMPREHENSIVE INCOME/LOSS BEFORE TAX	079	0	0	0	0
(ADP 80+ 87) III Items that will not be reclassified to profit or loss (ADP 081 to 085)	080	0	0	0	0
1 Changes in revaluation reserves of fixed tangible and intangible	081	0	0	0	0
assets 2 Gains or losses from subsequent measurement of equity instruments	082	0	0	0	0
at fair value through other comprehensive income 3 Fair value changes of financial liabilities at fair value through	083	0	0	0	0
statement of profit or loss, attributable to changes in their credit risk 4 Actuarial gains/losses on the defined benefit obligation	084	0	0	0	0
5 Other items that will not be reclassified	085	0	0	0	0
6 Income tax relating to items that will not be reclassified	086	0	0	0	0
IV Items that may be reclassified to profit or loss (ADP 088 to 095)	087	0	0	0	0
1 Exchange rate differences from translation of foreign operations 2 Gains or losses from subsequent measurement of debt securities at	088	0	0	0	0
fair value through other comprehensive income 3 Profit or loss arising from effective cash flow hedging	089 090	0 0	0 0	0 0	0 0
4 Profit or loss arising from effective hedge of a net investment in a foreign operation	091	0	0	0	0
				0	0
5 Share in other comprehensive income/loss of companies linked by virtue
of participating interests	092	0	0
6 Changes in fair value of the time value of option 7 Changes in fair value of forward elements of forward contracts	093 094	0 0	0 0	0 0	0 0
8 Other items that may be reclassified to profit or loss	095	0	0	0	0
9 Income tax relating to items that may be reclassified to profit or loss	096	0	0	0	0
V NET OTHER COMPREHENSIVE INCOME OR LOSS (ADP 080+087- 086 - 096)	097	0	0	0	0
VI COMPREHENSIVE INCOME OR LOSS FOR THE PERIOD (ADP 078+097)	098	11,232,629	4,162,319	7,900,430	1,349,322
APPENDIX to the Statement on comprehensive income (to be filled in by undertakings that draw up consolidated statements) VI COMPREHENSIVE INCOME OR LOSS FOR THE PERIOD (ADP 100+101)	099	11,232,629	4,162,319	7,900,430	1,349,322

STATEMENT OF CASH FLOWS - indirect method for the period 01.01.2024 to 30.06.2024

in EUR

Submitter: ERICSSON NIKOLA TESLA D.D.
Item	ADP code	Same period of the previous year	Current period
1	2	3	4
Cash flow from operating activities
1 Pre-tax profit	001	13,698,328	13,816,463
2 Adjustments (ADP 003 to 010):	002	2,390,498	2,444,464
a) Depreciation b) Gains and losses from sale and value adjustment of fixed tangible and	003	2,206,354	2,603,465
intangible assets	004	-325	1,176
c) Gains and losses from sale and unrealised gains and losses and value		-31,151	-63,744
adjustment of financial assets	005
d) Interest and dividend income	006	-164,032	-792,932
e) Interest expenses	007	63,966	550,852
f) Provisions g) Exchange rate differences (unrealised)	008	0	0
h) Other adjustments for non-cash transactions and unrealised gains and	009	-5,987	-53,545
losses	010	321,673	199,192
I Cash flow increase or decrease before changes in working capital	011	16,088,826	16,260,927
(ADP 001+002)
3 Changes in the working capital (ADP 013 to 016)	012	-22,046,393	-18,420,079
a) Increase or decrease in short-term liabilities	013	-9,988,698	-15,619,480
b) Increase or decrease in short-term receivables c) Increase or decrease in inventories	014	-2,466,337	4,647,787
d) Other increase or decrease in working capital	015 016	-9,263,572 -327,786	-6,947,157 -501,229
II Cash from operations (ADP 011+012)	017	-5,957,567	-2,159,152
4 Interest paid	018	-63,776	-213,416
5 Income tax paid	019	-673,718	-2,757,953
A) NET CASH FLOW FROM OPERATING ACTIVITIES (ADP 017 to 019)	020	-6,695,061	-5,130,521
Cash flow from investment activities
1 Cash receipts from sales of fixed tangible and intangible assets	021	362	456
2 Cash receipts from sales of financial instruments	022	0	0
3 Interest received 4 Dividends received	023	268,565	749,166
5 Cash receipts from repayment of loans and deposits	024	0 1,261,446	874 0
6 Other cash receipts from investment activities	025 026	0	0
III Total cash receipts from investment activities (ADP 021 to 026)	027	1,530,373	750,496
1 Cash payments for the purchase of fixed tangible and intangible assets	028	-445,922	-876,578
2 Cash payments for the acquisition of financial instruments	029	0	0
3 Cash payments for loans and deposits for the period	030	0	0
4 Acquisition of a subsidiary, net of cash acquired	031	0	0
5 Other cash payments from investment activities	032	0	0
IV Total cash payments from investment activities (ADP 028 to 032)	033	-445,922	-876,578
B) NET CASH FLOW FROM INVESTMENT ACTIVITIES (ADP 027 +033)	034	1,084,451	-126,082
Cash flow from financing activities
1 Cash receipts from the increase in initial (subscribed) capital	035	0	0
2 Cash receipts from the issue of equity financial instruments and debt financial instruments	036	0	0
3 Cash receipts from credit principals, loans and other borrowings	037	0	0
4 Other cash receipts from financing activities	038	0	0
V Total cash receipts from financing activities (ADP 035 to 038)	039	0	0
1 Cash payments for the repayment of credit principals, loans and other
borrowings and debt financial instruments	040	-1,343,633	-935,571
2 Cash payments for dividends	041	-153	-6,868
3 Cash payments for finance lease	042	-670,861	-962,412
4 Cash payments for the redemption of treasury shares and decrease in	043	-109,500	-257,764
initial (subscribed) capital 5 Other cash payments from financing activities	044	0	0
VI Total cash payments from financing activities (ADP 040 to 044)	045	-2,124,147	-2,162,615
C) NET CASH FLOW FROM FINANCING ACTIVITIES (ADP 039 +045)	046	-2,124,147	-2,162,615
1 Unrealised exchange rate differences in respect of cash and cash equivalents	047	-962	7,739
D) NET INCREASE OR DECREASE IN CASH FLOWS (ADP	048	-7,735,719	-7,411,479
020+034+046+047) E) CASH AND CASH EQUIVALENTS AT THE BEGINNING OF THE
PERIOD	049	60,678,904	55,567,777
F) CASH AND CASH EQUIVALENTS AT THE END OF THE PERIOD(ADP 048+049)	050	52,943,185	48,156,298

STATEMENT OF CHANGES IN EQUITY for the period from 1/1/2024 to	6/30/2024															in EUR
									Attributable to owners of the parent
Item	ADP					Treasury shares			Fair value of financial assets	Hedge of a net		Exchange rate	Retained profit /		Total attributable to	Minority (non controlling)	Total capital and
	code	Initial (subscribed) capital		Capital reserves Legal reserves	Reserves for treasury shares	and holdings (deductible item)		Revaluation Statutory reserves Other reserves reserves	through other Cash flow hedge - comprehensive effective portion	investment in a foreign operation -	Other fair value reserves	differences from translation of	loss brought forward	Profit/loss for the business year	owners of the parent	interest	reserves
									income (available for sale)	effective portion		foreign operations
1	2	3	4	5	6	7	8	9 10	11 12	13	14	15	16	17	18 (3 to 6 - 7 + 8 to 17)	19	20 (18+19)
Previous period 1 Balance on the first day of the previous business year	01	17,674,033		0 883,702	5,352,791	2,268,251	0	0	0 0	0 0	0	0	27,537,038	0	49,179,313	0	49,179,313
2 Changes in accounting policies	02	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
3 Correction of errors	03	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
4 Balance on the first day of the previous business year (restated) (ADP 01 to 03) 5 Profit/loss of the period	04	17,674,033		0 883,702	5,352,791	2,268,251	0	0	0 0	0 0	0	0	27,537,038	0	49,179,313	0	49,179,313
6 Exchange rate differences from translation of foreign operations	05 06	0 0		0 0 0 0	0 0	0 0	0 0	0 0	0 0 0 0	0 0 0 0	0 0	0 0	0 0	18,840,714 0	18,840,714 0	0 0	18,840,714 0
7 Changes in revaluation reserves of fixed tangible and intangible assets	07	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
8 Gains or losses from subsequent measurement of financial assets at fair value
through other comprehensive income (available for sale)	08	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
9 Profit or loss arising from effective cash flow hedge	09	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
10 Profit or loss arising from effective hedge of a net investment in a foreign operation	10	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
11 Share in other comprehensive income/loss of companies linked by virtue of participating interests	11	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
12 Actuarial gains/losses on the defined benefit obligation 13 Other changes in equity unrelated to owners	12 13	0 0		0 0 0 0	0 0	0 0	0 0	0 0	0 0 0 0	0 0 0 0	0 0	0 0	0 0	0 0	0 0	0 0	0 0
14 Tax on transactions recognised directly in equity	14	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
15 Decrease in initial (subscribed) capital (other than arising from the pre-bankruptcy settlement procedure or from the reinvestment of profit)	15	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
16 Decrease in initial (subscribed) capital arising from the pre-bankruptcy settlement
procedure	16	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
17 Decrease in initial (subscribed) capital arising from the reinvestment of profit	17	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
18 Redemption of treasury shares/holdings	18	0		0 0	0	183,760	0	0	0 0	0 0	0	0	0	0	-183,760	0	-183,760
19 Payments from members/shareholders 20 Payment of share in profit/dividend	19 20	0 0		0 0 0 0	0 0	0 0	0 0	0 0	0 0 0 0	0 0 0 0	0 0	0 0	0 -7,927,194	0 0	0 -7,927,194	0 0	0 -7,927,194
21 Other distributions and payments to members/shareholders 22 Transfer to reserves according to the annual schedule	21 22	-3 0		0 2 0 346,740	-1,196,128 0	-1,196,128 0	0 0	0 0	0 0 0 0	0 0 0 0	0 0	0 0	607,095 -346,740	0 0	607,094 0	0 0	607,094 0
23 Increase in reserves arising from the pre-bankruptcy settlement procedure	23	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
24 Balance on the last day of the previous business year reporting period (ADP 04 to 23)	24	17,674,030		0 1,230,444	4,156,663	1,255,883	0	0	0 0	0 0	0	0	19,870,199	18,840,714	60,516,167	0	60,516,167
APPENDIX TO THE STATEMENT OF CHANGES IN EQUITY (to be filled in by undertakings that draw up financial statements in accordance with the IFRS)
I OTHER COMPREHENSIVE INCOME OF THE PREVIOUS PERIOD, NET OF TAX (ADP 06 to 14)	25	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
II COMPREHENSIVE INCOME OR LOSS FOR THE PREVIOUS PERIOD (ADP
05+25)	26	0		0 0	0	0	0	0	0 0	0 0	0	0	0	18,840,714	18,840,714	0	18,840,714
III TRANSACTIONS WITH OWNERS IN THE PREVIOUS PERIOD RECOGNISED DIRECTLY IN EQUITY (ADP 15 to 23)	27	-3		0 346,742	-1,196,128	-1,012,368	0	0	0 0	0 0	0	0	-7,666,839	0	-7,503,860	0	-7,503,860
Current period
1 Balance on the first day of the current business year 2 Changes in accounting policies	28 29	17,674,030 0		0 1,230,444 0 0	4,156,663 0	1,255,883 0	0 0	0 0	0 0 0 0	0 0 0 0	0 0	0 0	38,710,913 0	0 0	60,516,167 0	0 0	60,516,167 0
3 Correction of errors	30	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
4 Balance on the first day of the current business year (restated) (AOP 28 to 30)	31	17,674,030		0 1,230,444	4,156,663	1,255,883	0	0	0 0	0 0	0	0	38,710,913	0	60,516,167	0	60,516,167
5 Profit/loss of the period 6 Exchange rate differences from translation of foreign operations	32 33	0 0		0 0 0 0	0 0	0 0	0 0	0 0	0 0 0 0	0 0 0 0	0 0	0 0	0 0	7,900,430 0	7,900,430 0	0 0	7,900,430 0
7 Changes in revaluation reserves of fixed tangible and intangible assets	34	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
8 Gains or losses from subsequent measurement of financial assets at fair value
through other comprehensive income (available for sale)	35	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
9 Profit or loss arising from effective cash flow hedge	36	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
10 Profit or loss arising from effective hedge of a net investment in a foreign operation	37	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
11 Share in other comprehensive income/loss of companies linked by virtue of participating interests	38	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
12 Actuarial gains/losses on the defined benefit obligation	39	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
13 Other changes in equity unrelated to owners 14 Tax on transactions recognised directly in equity	40 41	0 0		0 0 0 0	0 0	0 0	0 0	0 0	0 0 0 0	0 0 0 0	0 0	0 0	0 0	0 0	0 0	0 0	0 0
15 Decrease in initial (subscribed) capital (other than arising from the pre-bankruptcy settlement procedure or from the reinvestment of profit)	42	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
16 Decrease in initial (subscribed) capital arising from the pre-bankruptcy settlement procedure	43	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
17 Decrease in initial (subscribed) capital arising from the reinvestment of profit	44	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
18 Redemption of treasury shares/holdings	45	0		0 0	0	257,764	0	0	0 0	0 0	0	0	0	0	-257,764	0	-257,764
19 Payments from members/shareholders 20 Payment of share in profit/dividend	46	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
21 Other distributions and payments to members/shareholders	47 48	0 0		0 0 0 0	0 -190,061	0 -190,061	0 0	0 0	0 0 0 0	0 0 0 0	0 0	0 0	-19,879,530 176,952	0 0	-19,879,530 176,952	0 0	-19,879,530 176,952
22 Carryforward per annual plane 23 Increase in reserves arising from the pre-bankruptcy settlement procedure	49 50	0 0		0 216,245 0 0	0 0	0 0	0 0	0 0	0 0 0 0	0 0 0 0	0 0	0 0	-216,245 0	0 0	0 0	0 0	0 0
24 Balance on the last day of the current business year reporting period (ADP 31	51	17,674,030		0 1,446,689	3,966,602	1,323,586	0	0	0 0	0 0	0	0	18,792,090	7,900,430	48,456,255	0	48,456,255
to 50) APPENDIX TO THE STATEMENT OF CHANGES IN EQUITY (to be filled in by undertakings that draw up financial statements in accordance with the IFRS)
I OTHER COMPREHENSIVE INCOME FOR THE CURRENT PERIOD, NET OF	52	0		0 0	0	0	0	0	0 0	0 0	0	0	0	0	0	0	0
TAX (ADP 33 to 41)
II COMPREHENSIVE INCOME OR LOSS FOR THE CURRENT PERIOD (ADP 32 do 52)	53	0		0 0	0	0	0	0	0 0	0 0	0	0	0	7,900,430	7,900,430	0	7,900,430
III TRANSACTIONS WITH OWNERS IN THE CURRENT PERIOD RECOGNISED DIRECTLY IN EQUITY (ADP 42 to 50)	54	0		0 216,245	-190,061	67,703	0	0	0 0	0 0	0	0	-19,918,823	0	-19,960,342	0	-19,960,342

NOTES TO FINANCIAL STATEMENTS - TFI

(drawn up for quarterly reporting periods) Name of the issuer: ERICSSON NIKOLA TESLA D.D.

Personal identification number (OIB): 84214771175

Reporting period: Q2 2024

Notes to financial statements for quarterly periods include:

a) explanation of business events relevant to understanding changes in the statement of financial position and financial performance for the reporting semi-annual period of the issuer with respect to the last business year: information is provided regarding these events and relevant information published in the last annual financial statement is updated (items 15 to 15C IAS 34 - Interim financial reporting)

b) information on the access to the latest annual financial statements, for the purpose of understanding information published in the notes to financial statements drawn up for the semi-annual reporting period

c) a statement explaining that the same accounting policies are applied while drawing up financial statements for the semi-annual reporting period as in the latest annual financial statements or, in the case where the accounting policies have changed, a description of the nature and effect of the changes (item 16.A (a) IAS 34 - Interim financial reporting)

d) a description of the financial performance in the case of the issuer whose business is seasonal (items 37 and 38 IAS 34 - Interim financial reporting) e) other comments prescribed by IAS 34 - Interim financial reporting f) in the notes to quarterly periods financial statements, in addition to the information stated above, information in respect of the following matters shall be disclosed:

1. undertaking's name, registered office (address), legal form, country of establishment, entity's registration number and, if applicable, the indication whether the undertaking is undergoing liquidation, bankruptcy proceedings, shortened termination proceedings or extraordinary administration

2. adopted accounting policies (only an indication of whether there has been a change from the previous period)

3. the total amount of any financial commitments, guarantees or contingencies that are not included in the balance sheet, and an indication of the nature and form of any valuable security which has been provided; any commitments concerning pensions of the undertaking within the group or company linked by virtue of participating interest shall be disclosed separately

4. the amount and nature of individual items of income or expenditure which are of exceptional size or incidence

5. amounts owed by the undertaking and falling due after more than five years, as well as the total debts of the undertaking covered by valuable security furnished by the undertaking, specifying the type and form of security

6. average number of employees during the financial year

7. where, in accordance with the regulations, the undertaking capitalised on the cost of salaries in part or in full, information on the amount of the total cost of employees during the year broken down into the amount directly debiting the costs of the period and the amount capitalised on the value of the assets during the period, showing separately the total amount of net salaries and the amount of taxes, contributions from salaries and contributions on salaries 8. where a provision for deferred tax is recognised in the balance sheet, the deferred tax balances at the end of the financial year, and the movement in those balances during the

financial year 9. the name and registered office of each of the undertakings in which the undertaking, either itself or through a person acting in their own name but on the undertaking's behalf,

holds a participating interest, showing the proportion of the capital held, the amount of capital and reserves, and the profit or loss for the latest financial year of the undertaking concerned for which financial statements have been adopted; the information concerning capital and reserves and the profit or loss may be omitted where the undertaking concerned does not publish its balance sheet and is not controlled by another undertaking

1. the number and the nominal value or, in the absence of a nominal value, the accounting par value of the shares subscribed during the financial year within the limits of the authorised capital

2. the existence of any participation certificates, convertible debentures, warrants, options or similar securities or rights, with an indication of their number and the rights they confer

3. the name, registered office and legal form of each of the undertakings of which the undertaking is a member having unlimited liability

4. the name and registered office of the undertaking which draws up the consolidated financial statements of the largest group of undertakings of which the undertaking forms part as a controlled group member

5. the name and registered office of the undertaking which draws up the consolidated financial statements of the smallest group of undertakings of which the undertaking forms part as a controlled group member and which is also included in the group of undertakings referred to in point 13

6. the place where copies of the consolidated financial statements referred to in points 13 and 14 may be obtained, provided that they are available

7. the nature and business purpose of the undertaking's arrangements that are not included in the balance sheet and the financial impact on the undertaking of those arrangements, provided that the risks or benefits arising from such arrangements are material and in so far as the disclosure of such risks or benefits is necessary for the

purposes of assessing the financial position of the undertaking 17. the nature and the financial effect of material events arising after the balance sheet date which are not reflected in the profit and loss account or balance sheet

a)

Explanation of business events relevant to understanding changes in the statement of financial position and financial performance are published in Press info/Management letter. The financial statements have been prepared in accordance with International Financial Reporting Standards adopted by the European Union (IFRSs), on the historical cost basis, with the exception of financial instruments which are carried at fair value through profit or loss. Policies have been consistently applied to all the periods presented.

b) Last issued annual financial statements are available at ZSE and as well at www.ericsson.hr.

www.ericsson.hr/en/reports

c)

The interim financial statements for the reporting period are prepared applying the same accounting policies as in the latest annual financial statements presented in the Annual Report.

d)

The issuer does not have sesonal bussines activities. e)

Segment report

	Networks		Digital Services		Managed Services		Other		Unallocated		Total
	30.06.2024 30.06.2023 30.06.2024 30.06.2023 30.06.2024 30.06.2023 30.06.2024 30.06.2023 30.06.2024 30.06.2023 30.06.2024 30.06.2023
	EUR 000	EUR 000	EUR 000	EUR 000	EUR 000	EUR 000	EUR 000	EUR 000	EUR 000	EUR 000	EUR 000	EUR 000
Segment sales revenue	69,198	68,994	35,312	34,908	1,078	4,639	269	242	0	0	105,857	108,783
Operating profit	11,812	8,970	4,287	4,173	95	414	15	12	-2,710	0	13,499	13,569

Transactions with related parties:

	EUR 000	30.06.2024 30.06.2023 EUR 000
Sales	71,003	74,349
Purchases	16,515	22,065
Balances with related parties
	EUR 000	30.06.2024 12/31/2023 EUR 000
Receivable	34,825	37,893
Payable	11,563	13,907
1. Issuer's name, registered office (address), legal form, country of establishment, entity's registration number are disclosed in the sheet General data of this document. 2.
Accounting policies have not been changed in relation to previous reporting period. 3.			Financial commitments in term of guarantees that are not included in the balance sheet are not material and Management Board believes that
4. 5.			possibility of any outflow is remote. The Company has no commitments concerning pensions that are in scope of IAS 19. In the reporting period there were no individual items of income or expenditure of exceptional size or incidence.
The Company has no debt falling due after more than five years.
At the balance sheet date, the Company does not have debts covered by valuable securities/insurance.

6.

The average number of employees during the reporting period is 2776 (Q2 2023: 2741). The Company does not categorise employees.

No cost of salaries was capitalised in the reporting period.

1. Provision for deferred tax is calculated annualy, at balance sheet date 31 December. There were no movement in deferred tax balances during

2. reporting period.

7.

1. The Company has no participating interest.

2. There were no shares subscribed during the financial year within the limits of the authorised capital.

3. The Company has no participation certificates, convertible debentures, warrants, options or similar securities or rights.

4. and 14. The Company has no shares in companies having unlimited liability.

The company Telefonaktiebolaget LM Ericsson (Sweden, Torshamnsgatan 21, SE-164 83 Stockholm) prepares the consolidated financial

15.

Those consolidated reports are available at www.ericsson.com/en/investors/financial-reports. 16. statements for the larger Group of companies, in which Ericsson Nikola Tesla Group is included as an associate member of Ericsson. The Company did not have any arrangements that are not included in the balance sheet, where the risks or benefits arising from such

arrangements are material.

1. There are no material events arising after the balance sheet date which are not reflected in the profit and loss account or balance sheet.

APPENDIX (Reconciliation of the differences arrising due to structure and classification of the positions in TFI-POD in XLS format compared to

Balance Sheet

classification of the positions in the audited annual report in PDF): Within the category Non-current assets in Statement of financial position total amount of Loans and receivables is indicated in TFI-

POD form under AOP 023 Loans, deposits, etc. to undertakings within the group, 028 Loans, deposits, etc. given,034 Customer receivables,035 Other receivables.

Within the category Current assets in Statement of financial position total amount of Other receivables, Income tax receivables is indicated in TFI-POD form under AOP 051 Receivables from government and other institutions,052 Other receivables, 061 Loans,

deposits, etc. given.

Within the category Equity in Statement of financial position total amount of Retained earnings is indicated in TFI-POD form under

AOP 083 Retaind profit/loss brought forward and 086 Profit or Loss for the business year.

Additionally, within the category Non-current liabilities in Statement of Financial position total amount of Borrowings and Lease liabilities are shown under AOP 103 Liabilities to bank and other financial institutions

Within the category Current liabilities in Statement of financial position total amount of Trade and other payables and Income tax

payable is indicated in TFI-POD in AOP 117 Liabilities to suppliers,119 Liabilities to employees,120 Taxes, contributions and similar liabilities.

Within the category Current liabilities in Statement of financial position total amount of Accrued charges and deferred revenue and

Contract liabilities is indicated in TFI-POD form under AOP 116 Liabilities for advance payments, 124 Accruals and deferred income.

Also, within the category Current liabilities in Statement of financial position total amount of Provisions is indicated in TFI-POD form under AOP 123 Other short-term liabilities.

Additionally, both categories Borrowings and Lease liabilities in Statement of Financial position are shown under AOP 115 Liabilities to bank and other financial institutions.

P&L

Cost structure in Statement of comprehensive income (FS form) is according to function and the presentation is different from TFI-POD forms where cost is presented by nature. Total amount of Cost of Sales, Selling, Administrative and Other operating expenses equals to amount of AOP 007 Operating expenses.

The amount indicated in AOP 006 Other operating income (outside the group), is indicated in Other operating income and Impairment reversal on financial assets in Statement of Comprehensive income (FS form).