Gränges — Interim / Quarterly Report 2015

May 4, 2015

Improved earnings and higher volume in first quarter

INTERIM REPORT JANUARY-MARCH 2015

FIRST QUARTER 2015

• Sales volume reached 42.7 ktonnes (41.3).
• Net sales totalled SEK 1,456 million (1,157), an increase of 25.8%.
• Adjusted operating profit increased by 24.7% to SEK 155 million (124), corresponding to an adjusted operating margin of 10.6% (10.7).
• Operating profit increased to SEK 155 million (120).
• Profit for the period was SEK 111 million (85). Earnings per share amounted to SEK 1.49 (1.14).
• Gränges has a solid financial position. At 31 March 2015, the equity/assets ratio amounted to 52.3% and net debt was 1.1 times adjusted EBITDA (on a rolling 12-month basis).

FINANCIAL SUMMARY

		Q1		12-month rolling	Full year
SEK million	2015	2014		Apr 2014 - Mar 2015	2014
Sales volume, ktonnes	42.7	41.3	3.3%	161.4	160.0	0.9%
Net sales	1,456	1,157	25.8%	5,047	4,748	6.3%
Adjusted operating profit1	155	124	24.7%	494	463	6.6%
Adjusted operating margin, %	10.6	10.7	-0.1 ppt	9.8	9.7	0.0 ppt
Adjusted operating profit per tonne, kSEK	3.6	3.0	0.6	3.1	2.9	0.2
Operating profit	155	120	29.0%	457	422	8.2%
Operating margin, %	10.6	10.4	0.3 ppt	9.1	8.9	0.2 ppt
Profit for the period	111	85	30.8%	345	319	8.2%
Earnings per share basic, SEK2	1.49	1.14	0.35	4.62	4.27	0.35
Earnings per share diluted, SEK2	1.49	1.14	0.35	4.62	4.27	0.35
Net cash flow before financing activities	-1	362	n/a	233	597	-60.9%
Equity/assets, %	52.3	70.6	-18.3 ppt	-	47.9	-
Return on capital employed, %	-	-	-	17.1	16.3	0.7 ppt

1 Adjusted for items affecting comparability.

Previous periods have been restated according to the current number of outstanding shares.

COMMENTS BY THE CEO

We have the pleasure to present another quarter with improved earnings and increased sales volume. Adjusted operating profit rose to SEK 155 million, corresponding to a margin of 10.6%, which is our best result so far in a single quarter. We continued to have support from favourable foreign exchange rates during the first months of 2015, which was partly offset by higher costs and slightly lower conversion prices.

In Asia, sales volume continued to increase during the quarter. The higher deliveries, primarily during March, were partly due to stockbuilding at some of our customers. In Europe, we had a positive development during the first quarter with higher sales volume of heat exchanger materials than in the same period last year. Meanwhile, sales of scrap-based products have as planned continued to decrease. In the Americas, sales volume was slightly lower during the quarter.

NEW PRODUCTS

We have intensified our investments in a number of new products. Starting in the second quarter of 2015, we will increase production capacity for TRILLIUM®, which is a new, innovative technology that simplifies the brazing process for our customers and allows for a more compact heat exchanger design. We also see good potential for our new products within the framework of the MULTICLAD® concept, which is a product family offering high strength and very good corrosion resistance.

20 30 40 50 In April 2015 we received the Delphi 2014 Pinnacle Award in the best supplier category. Delphi is one of our major customers and has recognised us for our leading edge in terms of new products and quality. The prize was awarded at a ceremony in Shanghai.

OUTLOOK

Global automotive production grew by 1% during the first quarter of the year. We anticipate this trend to continue during the second quarter of 2015. Somewhat improved growth figures are expected during the second half of the year.

Gränges' sales volume in Asia is expected to develop in line with the market during the first half of 2015. In Europe and in the Americas, we expect to develop in line with or better than the market during the first half of 2015.

The weak Swedish krona is estimated to have a positive effect during 2015.

Overall, we feel positive about the future. We have a leading global position and a clear growth strategy. Our aim is to secure and strengthen our position with continued good profitability. 800 1 000 1 200 1 400 ktonnes MSEK

Johan Menckel, CEO Gränges 400 600

Sales volume 42.7 ktonnes Net sales SEK 1,456 million Sales volume per region Adjusted operating profit SEK 155 million Adjusted operating margin 10.6 % Asia 30 90 150 12.5 SEK m % Asia 49% Europe 37% Americas14% FIRST QUARTER 2015

MARKET DEVELOPMENT

According to the international analysis company IHS, global light vehicle production increased by 1% in the first quarter of 2015, compared to the corresponding quarter in 2014. In Asia, light vehicle production increased by 1% during the first quarter of 2015 mainly driven by a continued strong development in China. In the second quarter, an increase of 2% is anticipated in Asia. In Europe, light vehicle production increased by 2% in the first quarter of 2015, whereas a decline of 2% is expected for the second quarter. Light vehicle production in the Americas declined by 1% in the first quarter, primarily due to a weak South American market. For the second quarter, a growth of 1% is estimated in the Americas region. The IHS forecast for the full-year 2015 is an increase in global light vehicle production of approximately 2%.

Demand for aluminium products for brazed heat exchangers, which is Gränges' main market and accounts for more than 90% of the company's sales volume, is strongly correlated with the market for light vehicles. Since Gränges is further up the supply chain, there is a time lag between growth in Gränges' markets and growth in vehicle production.

SALES DEVELOPMENT

The sales volume in the first quarter of 2015 was 42.7 ktonnes (41.3), an increase of 3.3% compared with the same quarter last year. Net sales totaled SEK 1,456 million (1,157). The increase was mainly explained by the higher sales volume in combination with a positive net effect from changes in foreign exchange rates of SEK 207 million. Higher aluminium prices also contributed to the increase in net sales during the quarter.

QUARTERLY SALES VOLUME PER REGION

Asia

In the first quarter of 2015, sales volume to Asia increased by 7.2% to 20.7 ktonnes (19.4). The increase was primarily driven by higher light vehicle production in China and build-up of inventory at some of our customers. 150 SEK m %

Europe 120

In the first quarter of 2015, sales volume in Europe increased by 0.6% to 16.0 ktonnes (16.0). The increase in sales of heat exchanger material was partly offset by lower sales of scrap-based products for non-heat exchanger applications. 60 90

Americas 0

In the first quarter of 2015, sales volume to the Americas decreased by 2.2% to 5.9 ktonnes (6.0). The decrease compared to the previous year is mainly a result of a reduction of inventory at some customers and lower demand from South America. Adjusted operating profit, SEK m Adjusted operating margin, % Q2 Q3 Q4 Q1 Q2 Q3 2013 2014 2015 Q4 Q1

2014 2015

OPERATING PROFIT

Operating profit for the first quarter of 2015 amounted to SEK 155 million (120), representing an increase of 29.0% compared to the corresponding quarter in 2014.

Adjusted operating profit increased to SEK 155 million (124), corresponding to an adjusted operating margin of 10.6% (10.7). During the quarter net changes in foreign exchange rates had a positive impact of SEK 58 million. An accounting related timing effect on currency hedges in the first quarter last year contributed to the positive year-over-year effect. The positive impact from foreign exchange rates was partly offset by increased costs and slightly lower conversion prices. The cost increase was mainly due to wage inflation in China, increased cost of material including higher metal premiums, and higher central costs.

PROFIT FOR THE PERIOD AND EARNINGS PER SHARE

Net financial items amounted to SEK -7 million (-9) in the first quarter of 2015, which is due to interest expenses. Profit before tax increased to SEK 148 million (112), including profits of joint ventures of SEK 0 million (1). Income tax for the period amounted to SEK -37 million (-27), which corresponds to an effective tax rate of 25% (24) in the quarter.

Net profit was SEK 111 million (85) during the first quarter of 2015 and earnings per share, basic and diluted, rose to SEK 1.49 (1.14).

CASH FLOW

Cash flow from operating activities amounted to SEK 28 million (383) in the first quarter of 2015. Cash flow was negatively impacted by a seasonal build-up of working capital. Cash flow from operating activities in the first quarter of 2014 includes insurance compensation of SEK 325 million related to a fire in Finspång in 2010.

Cash flow from investing activities for the first quarter of 2015 amounted to SEK -29 million (-21). Capital expenditure during the quarter was mainly related to investments to maintain and improve efficiency in current production facilities.

Net cash flow before financing activities amounted to SEK -1 million (362) in the first quarter of 2015.

Cash flow from financing activities for the first quarter of 2015 was negative and amounted to SEK -291 million (-241), due to a reduction of external working capital financing in China.

QUARTERLY OPERATING PROFIT AND OPERATING MARGIN, ADJUSTED

2013

Cash and cash equivalents was SEK 391 million at 31 March 2015 (SEK 644 million at 31 December 2014).

FINANCIAL POSITION

Gränges' total assets amounted to SEK 4,739 million at 31 March 2015 (SEK 4,460 million at 31 December 2014). The equity/assets ratio amounted to 52.3% at 31 March 2015 (47.9% at 31 December 2014).

Consolidated net debt including pension liabilities was SEK 775 million at 31 March 2015 (SEK 765 million at 31 December 2014). In September 2014, prior to the listing of Gränges, a one-time dividend of SEK 1,650 million was paid to Orkla Industriinvesteringar AB.

At 31 March 2015, the Group's net debt was 1.1 times adjusted EBITDA (calculated on a rolling 12-month basis).

EMPLOYEES

The average number of employees in the Gränges Group was 958 (952) in the first quarter of 2015.

PARENT COMPANY

Gränges AB is the parent company of the Gränges Group. The operations include Group Management and Group functions such as R&D, finance, legal and communication. In the first quarter of 2015, net sales in the parent company amounted to SEK 26 million (24) and the loss for the period was SEK -18 million (-11).

SIGNIFICANT EVENTS AFTER THE PERIOD

In April 2015, Gränges received the Delphi 2014 Pinnacle Award in the best supplier category. The assessment was made based on quality, value and cost during 2014.

SHARE INFORMATION

The share capital in Gränges amounts to SEK 100 million, divided into 74,639,386 shares, each with a quota value of SEK 1.339775. Gränges only has one class of shares.

OWNERSHIP STRUCTURE

Largest shareholders in Gränges at 31 March 2015.

	Number of shares	Share of capital and votes %
Orkla Industriinvesteringar AB	23,138,286	31.0
Lannebo Fonder	7,596,808	10.2
Fjärde AP-fonden	5,659,000	7.6
AFA Försäkring	3,019,794	4.0
Handelsbanken fonder	2,719,352	3.6
SEB Investment Management	2,202,986	3.0
Enter Fonder	1,900,406	2.5
Norges Bank	1,400,000	1.9
Skandia Fonder	1,105,257	1.5
Prior & Nilsson Fonder	1,002,426	1.3
Total 10 largest shareholders	49,744,315	66.6
Other	24,895,071	33.4
Total	74,639,386	100.0

Source: Euroclear Sweden AB

The number of shareholders in Gränges was 6,054 at 31 March 2015.

OTHER

Risks and uncertainty factors

As a group operating globally and in multiple jurisdictions, Gränges is exposed to various risks and uncertainties, such as raw material prices, market, operational and legal risks, as well as to financial risks related to changes in foreign exchange rates, interest rates, liquidity and funding capability. Risk management in Gränges is focused on identifying, evaluating and reducing risks related to the Group's business and operating environment. No additional significant risks affecting the operations of Gränges have emerged since year-end 2014. More information about risk management is available on pages 32-33 of Gränges' 2014 annual report.

Seasonal variations

Gränges' business is subject to seasonal variations to a limited degree. Due to summer vacations and Christmas holidays in Europe and the Americas, the first six months are generally stronger than the second half of the year. Gränges' increased presence in global markets has led to lower seasonal variations.

Stockholm, 4 May 2015

Johan Menckel CEO Gränges

This interim report has not been reviewed by the auditors of the company.

FINANCIAL CALENDAR

21 July 2015 Interim Report January-June 2015 23 October 2015 Interim Report January-September 2015

The information in this interim report is such that Gränges must disclose pursuant to the Swedish Securities Market Act and/or the Swedish Financial Instruments Trading Act. The information was submitted for publication on Monday 4 May 2015 at 07.30 CET.

For additional information, please contact:

Pernilla Grennfelt Director Communications and Investor Relations pernilla.grennfelt@granges.com Telephone +46 (0) 702 90 99 55

Webcasted telephone conference

On Monday 4 May 2015 at 10.00 CET, CEO Johan Menckel and CFO Oskar Hellström will present Gränges' interim report for the period January-March 2015 via a webcasted telephone conference. The webcast can be accessed on Gränges website www.granges.com/investors. To take part in the telephone conference, please call +46 856642661 (Sweden), +44 2031940544 (United Kingdom) or +1 8552692604 (USA). Please call a few minutes before the telephone conference starts. The presentation will be made in English.

CONSOLIDATED INCOME STATEMENT (CONDENSED)

SEK million	Note	Jan-Mar 2015	Jan-Mar 2014	Jan-Dec 2014
Net sales	5	1,456	1,157	4,748
Cost of materials		-886	-680	-2,819
Payroll and other operating expenses		-363	-304	-1,265
Depreciation and impairment charges		-51	-49	-201
Items affecting comparability		-	-4	-41
Operating profit		155	120	422
Profit from joint ventures		0	1	3
Finance income and costs		-7	-9	-5
Profit before taxes		148	112	420
Income tax	4	-37	-27	-102
Profit for the period		111	85	319
Earnings per share
Earnings per share basic, SEK		1.49	1.14	4.27
Earnings per share diluted, SEK		1.49	1.14	4.27

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME (CONDENSED)

SEK million	Jan-Mar 2015	Jan-Mar 2014	Jan-Dec 2014
Profit for the period	111	85	319
Items not to be reclassified to profit/loss in subsequent periods
Actuarial losses pensions after tax	-11	-	-20
Items to be reclassified to profit/loss in subsequent periods
Change in hedging reserve after tax	7	4	-21
Translation effects	233	-33	285
Comprehensive income for the period attributable to owners of the parent	340	56	563

CONSOLIDATED BALANCE SHEET (CONDENSED)

SEK million	Note	31 Mar 2015	31 Mar 2014	31 Dec 2014
ASSETS
Property, plant and equipment		1,812	1,618	1,713
Intangible assets		11	12	11
Deferred tax assets		53	33	44
Investments in joint ventures		31	26	30
Interest-bearing receivables		35	26	31
Non-current assets		1,942	1,715	1,829
Inventories		975	648	815
Receivables	2	1,431	1,097	1,172
Cash and cash equivalents		391	1,009	644
Current assets		2,796	2,754	2,631
TOTAL ASSETS		4,739	4,469	4,460
EQUITY AND LIABILITIES
Paid in equity		100	1,195	100
Retained earnings		2,378	1,959	2,037
Equity		2,478	3,154	2,137
Interest-bearing liabilities		893	26	892
Provisions and other liabilities		193	137	178
Non-current liabilities		1,086	163	1,071
Interest-bearing liabilities		146	418	401
Other liabilities	2	1,028	734	852
Current liabilities		1,174	1,152	1,253
TOTAL EQUITY AND LIABILITIES		4,739	4,469	4,460

CONSOLIDATED CHANGES IN EQUITY (CONDENSED)

SEK million	31 Mar 2015	31 Mar 2014	31 Dec 2014
Opening balance as at 1 January	2,137	3,098	3,098
Profit for the period	111	85	319
Items in comprehensive income for the period	229	-29	244
Group comprehensive income for the period	340	56	563
Employee stock option scheme	1	-	0
Group and shareholder contributions	-	-	126
Dividend	-	-	-1,650
Total transactions with owners, recognised directly in equity	1	-	-1,524
Closing balance	2,478	3,154	2,137

CONSOLIDATED STATEMENT OF CASH FLOWS

SEK million	Note	Jan-Mar 2015	Jan-Mar 2014	Jan-Dec 2014
Operating profit		155	120	422
Depreciation and impairment charges		51	49	201
Change in working capital etc.	3	-132	245	144
Income taxes paid		-46	-31	-88
Cash flow from operating activities		28	383	678
Investments in property, plant and equipment and intangible assets		-29	-21	-94
Divestment of property, plant and equipment		-	-	14
Investments in joint ventures and associated companies		-	-	0
Other capital transactions		-	-	-1
Cash flow from investing activities		-29	-21	-81
Dividend and group contributions		-	-	-1,524
Interest paid and received		-5	-7	-28
Change in interest-bearing liabilities		-283	-233	616
Change in interest-bearing receivables		-4	-0	-5
Net change in interest-bearing liabilities and receivables		-286	-233	611
Cash flow from financing activities		-291	-241	-941
Cash flow for the period		-292	122	-344
Cash and cash equivalents at beginning of period		644	896	896
Cash flow for the period		-292	122	-344
Exchange rate differences in cash and cash equivalents		41	-9	92
Cash and cash equivalents at end of period		391	1,009	644

PARENT COMPANY INCOME STATEMENT (CONDENSED)

SEK million	Jan-Mar 2015	Jan-Mar 2014	Jan-Dec 2014
Net sales	26	24	95
Payroll and other operating expenses	-37	-28	-152
Depreciation and impairment charges	-4	-4	-16
Operating loss	-15	-8	-74
Dividends from subsidiaries	-	-	100
Finance income and costs	-2	-4	30
Profit/loss after financial items	-17	-11	56
Change in accelerated depreciation	-	-	0
Group contributions	-	-	55
Income tax	-0	-	-3
Profit/loss for the period	-18	-11	108

The Parent Company has no items which are accounted for as other comprehensive income. Total comprehensive income is therefore the same as profit/loss for the period.

PARENT COMPANY BALANCE SHEET (CONDENSED)

SEK million	31 Mar 2015	31 Mar 2014	31 Dec 2014
ASSETS
Property, plant and equipment Provisions and other liabilities Liabilities to Group companies	233	253	234
Participations in Group companies	422	422	422
Non-interest-bearing receivables from Group companies	132	570	130
Interest-bearing receivables	35	26	31
Financial assets	589	1,017	582
Non-current assets	821	1,270	816
Receivables from Group companies	467	552	466
Other receivables	49	34	21
Cash and cash equivalents	5	118	21
Current assets	521	703	507
TOTAL ASSETS	1,342	1,973	1,323
EQUITY, PROVISIONS AND LIABILITIES
Restricted equity	100	1,195	100
Non-restricted equity	187	641	205
Equity	287	1,836	305
Untaxed reserves	10	9	10
	22	23	23
	-	26	-
Interest-bearing liabilities	893	-	892
Non-current liabilities	915	49	915
Liabilities to Group companies	2	26	2
Other liabilities	129	54	91
Current liabilities	130	79	94
TOTAL EQUITY, PROVISIONS AND LIABILITIES	1,342	1,973	1,323

NOTES

NOTE 1 ACCOUNTING PRINCIPLES

The Gränges Group applies International Financial Reporting Standards (IFRS) as endorsed by the EU. The accounting principles adopted are consistent with those described in the Annual Report for Gränges AB (publ) 2014, which is available at www.granges.com. There are no new accounting principles applicable from 2015 that significantly affects the Gränges Group. This interim report has been prepared in accordance with IAS 34 Interim Financial Reporting and the Swedish Annual Accounts Act. The Parent Company applies the Annual Accounts Act and RFR 2 Reporting for Legal Entities.

NOTE 2 FINANCIAL INSTRUMENTS

Financial instruments measured at fair value consist of derivative instruments (currency forwards, currency swaps and aluminium futures). Receivables include derivative instruments amounting to SEK 55 million as of 31 March 2015 (SEK 25 million as of 31 March 2014). Other liabilities include derivative instruments amounting to SEK 83 million as of 31 March 2015 (SEK 24 million as of 31 March 2014).

All derivatives are measured at fair value and are classified according to level 2, i.e., all significant inputs required for measurement of the instruments are observable. Currency forwards and currency swaps are measured at fair value using the observed forward exchange rate for contracts with a corresponding term to maturity at the balance sheet date. Aluminium futures are measured at fair value using the quoted futures price on the LME (London Metal Exchange).

The use of derivatives involves a counterparty risk, in that a potential gain will not be realized if the counterparty does not fulfil its part of the contract. The Group has entered into netting agreements (primarily ISDA) with counterparties that are eligible for derivative transactions. Netting means that receivables and debts may be offset in some situations, including in the event of counterparty insolvency. These netting agreements have no impact on the Gränges Group's reported financial position, as derivative transactions are reported gross.

Management assesses that there are no material differences between the fair values and carrying amounts of financial instruments that are recognised at amortised cost. For current borrowings, the impact of discounting is not significant and interest-bearing liabilities are also subject to variable interest rates.

NOTE 3 INSURANCE SETTLEMENT

In December 2013, an arbitral award was issued in the process between Gränges and the insurer related to the fire in Finspång in February 2010. The settlement entitled Gränges to compensation of SEK 325 million, in addition to the SEK 120 million already received in 2010. At the time of the settlement, Gränges had a booked net claim of SEK 165 million, after which the claim was increased by SEK 160 million to SEK 325 million in December 2013. The compensation was recognised within items affecting comparability. The cash flow effect of the settlement occurred in January 2014.

NOTE 4 TAX

Gränges has been pre-qualified for a tax rate in China of 15% instead of 25% during the period 2013-2015. Pending final notice from the tax authorities, Gränges applies the higher tax rate in China.

NOTE 5 RELATED PARTY TRANSACTIONS

Transactions are made between Gränges and the Orkla ASA Group, which owned 100% of Gränges until 10 October 2014. Gränges has paid Orkla for use of joint services. Orkla has provided capital through equity and loans. At 31 March 2015 Orkla owned 31% of Gränges and 50% of SAPA. This means that both Orkla and SAPA are still related parties to Gränges. Transactions are also made with the Group's joint venture Norca Heat Transfer LLC. The transactions with Orkla Group and joint ventures are specified in the table below.

	Jan-Mar	Jan-Mar	Jan-Dec
SEK million	2015	2014	2014
Sales to the Orkla Group and joint ventures	255	176	688
Expenses to the Orkla Group and joint ventures	-6	-16	-18
SEK million	31 Mar 2015	31 Mar 2014	31 Dec 2014

Interest-bearing receivables from the Orkla Group and joint ventures	35	26	31
Non-interest-bearing receivables from the Orkla Group and joint ventures	186	249	101

CONSOLIDATED QUARTERLY DATA

	2015 2014					2013
SEK million	Q1	Q4	Q3	Q2	Q1	Q4	Q3	Q2
Sales volume, ktonnes	42.7	37.7	39.3	41.7	41.3	37.6	39.2	41.8
Income statement
Net sales	1,456	1,217	1,198	1,176	1,157	1,065	1,104	1,253
Adjusted EBITDA1	206	157	156	178	173	132	145	143
Adjusted operating profit1	155	103	106	130	124	84	98	95
Operating profit	155	97	81	124	120	230	60	73
Profit for the period	111	89	55	90	85	162	40	48
Adjusted EBITDA margin, %	14.2	12.9	13.0	15.2	15.0	12.4	13.1	11.4
Adjusted operating margin, %	10.6	8.4	8.8	11.1	10.7	7.9	8.9	7.5
Adjusted operating profit per tonne, kSEK	3.6	2.7	2.7	3.1	3.0	2.2	2.5	2.3
Operating margin, %	10.6	7.9	6.8	10.5	10.4	21.6	5.4	5.8
Net margin, %	7.6	7.3	4.6	7.7	7.4	15.2	3.6	3.8
Balance sheet
Non-current assets	1,942	1,829	1,801	1,720	1,715	1,759	1,767	1,808
Current assets	2,796	2,631	2,647	3,119	2,754	2,867	2,730	2,907
Equity	2,478	2,137	1,969	3,418	3,154	3,098	2,912	2,941
Non-current liabilities	1,086	1,071	1,116	191	163	400	430	401
Current liabilities	1,174	1,253	1,364	1,230	1,152	1,128	1,155	1,373
Cash flow
Operating activities	28	227	-36	104	383	277	151	149
Investing activities	-29	-39	-9	-13	-21	-42	-27	-35
Net cash flow before financing activities	-1	188	-45	91	362	235	124	114
Financing activites	-291	-155	-665	120	-241	-70	-134	57
Cash flow for the period	-292	33	-710	211	122	165	-11	171
Capital structure
Capital employed	3,253	2,901	2,919	2,707	2,683	2,972	3,039	3,167
Net debt	775	765	951	-711	-471	-126	128	227
Equity/assets, %	52.3	47.9	44.3	70.6	70.6	67.0	64.8	62.4
Data per share, SEK
Earnings per share basic 2	1.49	1.19	0.73	1.21	1.14	2.17	0.53	0.64
Earnings per share diluted 2	1.49	1.19	0.73	1.21	1.14	2.17	0.53	0.64
Equity	33.16	28.63	26.38	45.80	42.26	41.50	39.01	39.40
Net cash flow before financing activities	-0.02	2.52	-0.60	1.22	4.86	3.14	1.66	1.53
Share price at the end of the period	69.25	51.00	-	-	-	-	-	-
Weighted outstanding ordinary shares,
basic in thousands	74,639.4	74,639.4	74,639.4	74,639.4	74,639.4	74,639.4	74,639.4	74,639.4
Weighted outstanding ordinary shares,
diluted in thousands	74,744.8	74,639.4	74,639.4	74,639.4	74,639.4	74,639.4	74,639.4	74,639.4

¹ Adjusted for items affecting comparability .

² Previous periods have been restated according to the current number of outstanding shares.

CONSOLIDATED QUARTERLY DATA

2015		2014				2013
Q1	Q4	Q3	Q2	Q1	Q4	Q3	Q2
Sales volume by region, ktonnes
20.7	18.8	19.1	21.1	19.4	18.0	17.7	20.0
16.0	13.6	14.0	15.0	16.0	14.5	15.0	15.8
5.9	5.2	6.2	5.7	6.0	5.1	6.5	5.9
42.7	37.7	39.3	41.7	41.3	37.6	39.2	41.8
742	634	594	588	563	535	504	626
506	410	416	426	426	385	412	454
208	173	188	162	168	145	187	174
1,456	1,217	1,198	1,176	1,157	1,065	1,104	1,253
958	955	955	947	952	972	966	966

CONSOLIDATED 12-MONTH ROLLING DATA

	Dec 2014	Sep 2014	Jul 2013 - Jun 2014	Apr 2013 - Mar 2014	Jan 2013 - Dec 2013	Oct 2012 - Sep 2013	Jul 2012 - Jun 2013
161.4	160.0	160.0	159.9	160.0	158.6	158.1	154.5
5,047	4,748	4,596	4,502	4,579	4,642	4,757	4,809
697	664	639	628	593	558	550	522
494	463	444	437	401	371	372	348
457	422	555	534	482	456	324	365
13.8	14.0	13.9	14.0	12.9	12.0	11.6	10.8
9.8	9.7	9.7	9.7	8.8	8.0	7.8	7.2
3.1	2.9	2.8	2.7	2.5	2.3	2.4	2.3
9.1	8.9	12.1	11.9	10.5	9.8	6.8	7.6
Capital structure and return indicators
2,893	2,837	2,864	2,914	3,003	3,082	3,091	3,128
17.1	16.3	15.5	15.0	13.4	12.0	12.0	11.1
2,631	2,755	2,910	3,104	2,874	2,685	2,503	2,361
13.1	11.6	13.5	12.1	11.6	11.5	-	-
1.1	1.2	1.5	-1.1	-0.8	-0.2	0.2	0.4

¹ Adjusted for items affecting comparability.

DEFINITIONS

Adjusted EBITDA

Adjusted operating profit before depreciation and impairment charges.

Adjusted operating profit

Operating profit excluding items affecting comparability.

Capital employed

Total assets less cash and cash equivalents and interest-bearing receivables, minus non-interest bearing liabilities.

Earnings per share

Profit for the period divided by the total number of shares. Historical share date has been recalculated and based on the present number of shares to increase comparability.

Items affecting comparability

Non-recurring income and expenses.

ktonnes

Volume expressed in thousands of metric tonnes.

Net cash flow before financing activities

Cash flow from operating activities plus cash flow from investing activities.

Net debt

Cash and cash equivalents and interestbearing receivables minus interestbearing liabilities, including pensions.

Operating profit

Profit before net financial items and tax.

Return on capital employed

Adjusted operating profit divided by average capital employed during the past 12-month period.

Return on equity

Profit for the period divided by average equity during the past 12-month period.

Sales volume

Volumes sold in metric tonnes.

SEK

Swedish kronor.

GLOSSARY

Alloy

Material consisting of several metals.

Aluminium strip Rolled aluminium in coils.

Brazing

Joining of metals through melting.

Cladding Surface layer.

Heat exchanger

A device for transferring heat from one medium to another.

HVAC&R

Heating, Ventilation, Air Conditioning and Refrigeration.

LME

London Metal Exchange.

Rolled aluminium

Aluminium that has been down gauged, passing through two or more rollers.

Scrap

Residual aluminium that can be re-melted.

SHFE

Shanghai Futures Exchange.

ABOUT GRÄNGES

Gränges is a leading global supplier of rolled products for the brazed aluminium heat exchanger industry. The Group develops, produces and markets advanced materials that enhance both production economy during the customer manufacturing process as well as the performance of the final products, the brazed heat exchangers. Gränges has its headquarters in Stockholm, Sweden, and operates in three geographical regions: Europe, Asia and the Americas. The company has production, research and development facilities in Finspång, Sweden, and Shanghai, China, with total annual capacity of approximately 220,000 metric tonnes. Gränges was founded in 1896 and the company started its present operations in 1972 when it started to develop material for brazed heat exchangers. Gränges has some 950 employees and net sales in 2014 totalled SEK 4,748 million. For more information about Gränges, you are welcome to visit www.granges.com.

VISION

Gränges' vision is to help create smaller, lighter and more designable heat exchangers to increase economic efficiency and reduce environmental impact.

BUSINESS MODEL

Gränges' business model is based on long-term customer commitments where the company supports customers with product development, service and technical support during the entire lifecycle for a heat exchanger model. Revenue is generated through the sale of finished products. Prices are expressed per metric tonne and based on the added value Gränges offers in terms of material properties, product complexity and as well as the price of the raw material, aluminium.

STRATEGIES

Granges' strategy is to be a global niche player in the market for rolled products for brazed aluminium heat exchangers. By focusing on this niche and a global offering of customised products with a high technology content, Gränges aims to strengthen its leading position and continue to grow with good profitability. The strategy is based on a high level of production expertise, leading technology and a strong customer focus.

HEAD OFFICE

Gränges AB (publ) Box 5505 SE-114 85 Stockholm

VISITING ADDRESS:

Humlegårdsgatan 19A SE-114 85 Stockholm Tel: +46 8 459 59 00 www.granges.com Reg. no. 556001-6122