Kongsberg Automotive

Earnings Release • Feb 26, 2021

Kongsberg Automotive reports Q4 2020 results

Kongsberg Automotive reports Q4 2020 results

Kongsberg Automotive ASA will host an earnings conference call at 09:00 CET,

today.

KEY TOPICS

· COVID-19: 2020 was a year dominated by the effects of the coronavirus

disease (COVID-19). The virus and a weak start to the year 2020 have impacted

the automotive industry heavily. However, in Q4 we have observed a strong

rebound in sales and new business wins. The Q4 production levels represent a

stronger recovery from the coronavirus impact than expected.

· Revenues: Q4 2020 Kongsberg Automotive revenues amounted to MEUR 299, MEUR

18 (6%) above Q4 2019, including negative currency translation effects of MEUR

14. At constant currencies, the YoY growth was around 11% which is above the

overall market development for the quarter.

· Adj. EBIT: Adj. EBIT in Q4 2020 grew significantly amounting to MEUR 22

compared to MEUR 15 in Q4 2019, an increase of 47% YoY.

· Cash flow: In Q4 2020, Cash Flow totaled to MEUR -4 driven by strong

operating performance which was mostly offset by continuous CapEx investments

and Fx effects. We expect Cash Flow to turn positive in H1 2021.

· New business wins: Driven by steadily improving order levels throughout the

quarter, we achieved volumes similar to those of Q4 2019. We were awarded new

business totaling MEUR 87 on an annualized revenue basis, corresponding to MEUR

471 in expected lifetime revenues during Q4 2020. This represents a strong

rebound from Q2 and Q3 bookings totaling LTM expected lifetime revenues of MEUR

1,346.

· Light duty market: The worldwide light duty vehicle production in Q4 2020

recovered significantly compared to prior quarters. From a low point in Q2 2020

of 12.7 million vehicles produced, Q4 came in at 23.0 million units. The Q4 2020

production figures were 0.7% above Q4 2019 production figures. However, all

regions showed YoY declines averaging 16.7%.

· Heavy-duty vehicles market: The heavy-duty vehicles market reacted

differently than the light duty vehicle market. Although on a global basis, the

YoY production figure declined by 2.7%, China mostly compensated the decline in

all other regions with significant growth of 35.1% YoY. In Q4 2020, China

production represented more than half of the global heavy-duty vehicle

production.

For additional information, please contact:

KA Investor Relations, corporate.communications@ka-group.com

Kongsberg Automotive provides world class products to the global vehicle

industry. Our products enhance the driving experience, making it safer, more

comfortable and sustainable.  Approximately 11.000 employees in 19 countries,

Kongsberg Automotive is truly a global supplier. The company has more than 25

production facilities worldwide. The product portfolio includes seat comfort

systems, driver and motion control systems, fluid assemblies, and industrial

driver interface products developed for global vehicle manufacturers.

Find more information at www.kongsbergautomotive.com