interim reporT

january– september 2016

Managing cash in society.

Revenue SEK 4,200 million (4,167). Real growth 2 percent (4) and organic growth 3 percent (3).
Operating income (EBITA)1) SEK 528 million (483) and operating margin 12.6 percent (11.6)
Income before taxes SEK 533 million (445) and income after taxes SEK 391 million (329).
Earnings per share before dilution and after dilution SEK 5.20 (4.37).
Cash flow from operating activities SEK 536 million (379), equivalent to 102 percent (78) of operating income (EBITA).

Loomis' financial targets

July – September 2016 January – September 2016

Revenue SEK 12,379 million (11,953). Real growth 5 percent (8) and organic growth 5 percent (2).
Operating income (EBITA)1) SEK 1,347 million (1,224) and operating margin 10.9 percent (10.2)
Income before taxes SEK 1,258 million (1,046) and income after taxes SEK 916 million (770).
Earnings per share before dilution and after dilution SEK 12.18 (10.24).
Cash flow from operating activities SEK 1,146 million (879), equivalent to 85 percent (72) of operating income (EBITA).

1) Earnings Before Interest, Taxes, Amortization of acquisition-related intangible fixed assets, Acquisition-related costs and revenue and items affecting comparability.

8 10 12 14 16 18

Net debt/EBITDA

Revenue

SEK 17 billion by 2017

Not exceeding 3.0

Annual dividend, %

40–60 % of the Group's net income

This is a translation of the original Swedish interim report. In the event of differences between the English translation and the Swedish original, the Swedish interim report shall prevail.

Comments by the President and CEO

The operating margin for the quarter is the highest operating margin Loomis has had for a single quarter since the company was listed in 2008.

I am pleased to present another quarter of continued profitability improvement. The Group's operating margin for the third quarter was to 12.6 percent (11.6), which is the highest operating margin Loomis has had for a single quarter since the stock exchange listing in 2008. The continuous efforts to improve efficiency, an increased revenue share from cash management services (CMS) and sustained strong sales growth for SafePoint in the USA are, once again, the main explanations for the improved profitability. At the same time as we have improved our operating margin, we have, during the quarter, grown organically and made an acquisition. Organic growth, which for the Group amounted to 3 percent (3), is mainly attributable to the good growth in the USA.

For segment USA, organic growth was to 9 percent (7), driven by increased CMS revenue and continued good development of SafePoint sales. At the end of the quarter the number of installed SafePoint units was around 18,500. Revenue from SafePoint in the USA grew by 24 percent compared to the same quarter in 2015 and accounted for 11 percent of the quarter's revenue in the USA. The operating margin in the USA also continued to improve, amounting to 11.4 percent (10.7). Many factors have contributed to this positive development and I would again like to point to our efforts to improve efficiency at our branches and an increased share of revenue from CMS as the main explanations for our success. The improved operating margin along with our strong growth over the past few quarters confirm our strong position on the US market.

Our operating margin in Segment Europe also improved, amounting to 15.5 percent (14.3) for the quarter. Many countries have contributed to the improvement, but it is particularly gratifying that the operating margin in the UK has continued to develop in a positive direction. Similar to earlier quarters, we have continued to carry out our action programs in the Nordic countries to compensate for the slightly falling volumes. Several of the European operations saw organic growth during the quarter. It is worth mentioning that growth in Spain and the strong growth we have seen in Argentina and Turkey have continued. In the UK we have, however, had a drop in volume as a few of the retail customers we took over in connection with the acquisition in summer of 2015 have chosen other suppliers. Volumes in the Nordic

countries continue to fall slightly and the organic growth for the segment as a whole was 0 percent (1).

On August 22 we acquired Bankernes Kontantservice A/S (BKS) in Denmark thereby strengthening our position in the Danish market. The acquisition is in line with our strategy of making acquisitions in existing markets and taking advantage of the benefits from the CMS outsourcing trend.

We are now working to a greater extent to be able to offer the SafePoint concept to our customers in Europe and a number of units have already been sold and installed. At this time our assessment is that there is good potential for the SafePoint concept to be successful in Europe as well, but I want to emphasize that the project is still in the early stages.

On July 1 the general cargo operations, which have been reported under our International Services segment, were divested. The general cargo operations were acquired as part of the VIA MAT acquisition in 2014, but have not been considered our core business. The divestment gives us an opportunity to in-crease our focus on the remaining operations, international valuables logistics. As previously communicated, these operations are more volatile than the rest of Loomis' service offering as they are to a greater extent impacted by external factors. During the quarter, the demand for gold transports to India – one of the world's main importers of gold – remained low as a result of the higher import taxes for gold and jewelry introduced earlier in the year. The organic growth for Segment International amounted to –2 percent (1), while the operating margin for the segment amounted to 9.3 percent (6.9). A capital gain of SEK 81 million from the divestment of the general cargo operations is reported as an item affecting comparability and thus does not impact the operating margin.

In a global perspective, the outsourcing trend will continue and we are advancing our positions every quarter. A strong financial position, the Loomis model and our fantastic employees around the world give us a strong platform to continue our successful development.

Patrik Andersson President and CEO

The Group and the segments in brief

	2016	2015	2016	2015	2015	R12
SEK m	Jul– Sep	Jul– Sep	Jan– Sep	Jan– Sep	Full year
Group total
Revenue	4,200	4,167	12,379	11,953	16,097	16,523
Real growth, %	2	4	5	8	7	5
Organic growth, %	3	3	5	2	2	4
Operating income (EBITA)1)	528	483	1,347	1,224	1,703	1,826
Operating margin, %	12.6	11.6	10.9	10.2	10.6	11.1
Earnings per share before dilution, SEK2)	5.20	4.37	12.18	10.24	14.21	16.15
Earnings per share after dilution, SEK	5.20	4.37	12.18	10.24	14.21	16.15
Cash flow from operating activities as % of operating income (EBITA)	102	78	85	72	74	84
Segments
Europe
Revenue	2,162	2,179	6,170	6,219	8,332	8,283
Real growth, %	2	3	2	4	4	3
Organic growth, %	0	1	0	1	1	1
Operating income (EBITA)1)	335	312	795	760	1,055	1,090
Operating margin, %	15.5	14.3	12.9	12.2	12.7	13.2
USA
Revenue	1,826	1,637	5,356	4,720	6,428	7,065
Real growth, %	10	7	13	5	7	13
Organic growth, %	9	7	12	5	6	12
Operating income (EBITA)1)	208	175	603	492	692	804
Operating margin, %	11.4	10.7	11.3	10.4	10.8	11.4
International
Revenue	231	372	897	1,077	1,419	1,239
Real growth, %	–38	1	–13	n/a	n/a	–13
Organic growth, %	–2	1	–2	n/a	n/a	–4
Operating income (EBITA)1)	22	26	57	64	87	80
Operating margin, %	9.3	6.9	6.3	5.9	6.1	6.4

1) Earnings Before Interest, Taxes and Amortization of acquisition-related intangible fixed assets, acquisition-related costs and revenue, and items affecting comparability.

2) The number of outstanding shares, which constitutes the basis for calculation of earnings per share before dilution, is for the period 75,226,032. The number of Class B treasury shares was 53,797.

Operating margin (EBITA)

Operating margin (EBITA) rolling 12 months

Operating margin (EBITA)

Operating margin (EBITA) per quarter

Revenue and income

	2016	2015	2016	2015	2015	R 12
SEK m	Jul– Sep	Jul– Sep	Jan– Sep	Jan– Sep	Full year
Revenue	4,200	4,167	12,379	11,953	16,097	16,523
Operating income (EBITA)1)	528	483	1,347	1,224	1,703	1,826
Operating income (EBIT)	561	469	1,340	1,129	1,575	1,785
Income before taxes	533	445	1,258	1,046	1,461	1,673
Net income for the period	391	329	916	770	1,069	1,215
KEY RAT IOS
Real growth, %	2	4	5	8	7	5
Organic growth, %	3	3	5	2	2	4
Operating margin, %	12.6	11.6	10.9	10.2	10.6	11.1
Tax rate, %	27	26	27	26	27	27
Earnings per share after dilution, SEK	5.20	4.37	12.18	10.24	14.21	16.15

1) Earnings Before Interest, Taxes, Amortization of acquisition-related intangible fixed assets, acquisition-related costs and revenue, and items affecting comparability.

July – September 2016

Revenue in the third quarter amounted to SEK 4,200 million (4,167) and organic growth was 3 percent (3). Increased revenue from cash management services (CMS) and SafePoint in the USA as well as increased sales in several European countries are the main explanations for the organic growth. Real growth amounted to 2 percent (4) and includes revenue attributable to the acquisition made in 2015 in the USA and the acquisition during the quarter of Bankernes Kontantservice A/S (BKS) in Denmark. Real growth was negatively affected by the divestment of the general cargo operations at the beginning of the quarter.

The operating income (EBITA) amounted to SEK 528 million (483) and the operating margin was 12.6 percent (11.6). At comparable exchange rates the income improvement was around SEK 49 million. The improved profitability is mainly explained by organic growth in CMS and SafePoint in the USA and by the ongoing efforts to improve efficiency, which continue to yield results in Europe and the USA.

The operating income (EBIT) for the quarter amounted to SEK 561 million (469), which includes amortization of acquisitionrelated intangible assets of SEK –15 million (–17), acquisitionrelated costs of SEK –32 million (–9) and an item affecting comparability of SEK 81 million (12). The acquisition-related costs are mainly relating to the acquisition of BKS. The item affecting comparability relates to a capital gain reported following the divestment of the general cargo operations.

Income before tax of SEK 533 million (445) includes a net financial expense of SEK –28 million (–24).

The tax expense for the quarter amounted to SEK –141 million (–116), which represents a tax rate of 27 percent (26).

Earnings per share after dilution amounted to SEK 5.20 (4.37).

January – September 2016

Revenue for the first nine months of the year amounted to SEK 12,379 million compared to SEK 11,953 million for the corresponding period the previous year. The organic growth, which was 5 percent (2), is mainly attributable to the CMS contracts that were implemented incrementally in the USA in 2015, increased revenue from SafePoint and increased sales in a number of European countries. Real growth amounted to 5 percent (8) and includes revenue attributable to the acquisitions made in 2015 in the USA and the UK, and the acquisition in Denmark in August 2016. Real growth was negatively affected by the divestment of the general cargo operations.

The operating income (EBITA) amounted to SEK 1,347 million (1,224) and the operating margin improved to 10.9 percent (10.2). At comparable exchange rates the income improvement was around SEK 146 million. Strong organic growth in CMS and Safe-Point in the USA, and the ongoing efforts to improve efficiency, which continue to yield results in a number of countries, are the main explanations for the increased profitability.

The operating income (EBIT) amounted to SEK 1,340 million (1,129) and includes amortization of acquisition-related intangible assets of SEK –47 million (–46), acquisition-related costs of SEK –41 million (–61) and an item affecting comparability of SEK 81 million (12). The acquisition-related costs for the period are mainly costs relating to the acquisition of BKS in Denmark. The item affecting comparability relates to a capital gain reported following the divestment of the general cargo operations.

Income before taxes of SEK 1,258 million (1,046) includes a net financial expense of SEK –82 million (–83).

The tax expense for the period amounted to SEK –341 million (–276), which represents a tax rate of 27 percent (26).

Earnings per share after dilution amounted to SEK 12.18 (10.24).

The segments

europe

	2016	2015	2016	2015	2015	R 12
SEK m	Jul– Sep	Jul– Sep	Jan– Sep	Jan– Sep	Full year
Revenue	2,162	2,179	6,170	6,219	8,332	8,283
Real growth, %	2	3	2	4	4	3
Organic growth, %	0	1	0	1	1	1
Operating income (EBITA)1)	335	312	795	760	1,055	1,090
Operating margin, %	15.5	14.3	12.9	12.2	12.7	13.2

1) Earnings Before Interest, Taxes, Amortization of acquisition-related intangible fixed assets, acquisition-related costs and revenue, and items affecting comparability.

Revenue and operating income – Segment Europe July – September 2016

Revenue for Segment Europe in the third quarter amounted to SEK 2,162 million (2,179) and organic growth was 0 percent (1). Several countries, including Turkey and Argentina, have had positive growth and the positive development in Spain, which began at the end of 2015, continued. Organic growth was offset by lower volumes in the Nordic countries and in the UK. The lower volumes in the UK are a result of the fact that a few retail customers, taken over in connection with the acquisition of Cardtronics' cash handling operations in the UK in 2015, have chosen other suppliers. The real growth, which amounted to 2 percent (3), includes revenue attributable to the acquisition of the Danish company Bankernes Kontantservice A/S (BKS) implemented on August 22, 2016.

The operating income (EBITA) amounted to SEK 335 million (312) and the operating margin was 15.5 percent (14.3). The improvement is explained by ongoing efforts to improve efficiency continuing to yield results in several countries. Profitability improvement has been most evident in southern Europe and the UK. The initiatives taken in the UK to handle the increased volumes in 2015 continued to yield results in the form of improved quality of services and an improved operating margin. The increased volumes were the result of the above-mentioned acquisition of Cardtronics' cash handling operations in the UK and the contract signed with Tesco in 2014. The lower volumes in the Nordic countries have had a slightly negative effect on the operating margin. Action programs are currently in place to compensate for the lower volumes.

January – September 2016

Revenue for Segment Europe amounted to SEK 6,170 million compared to SEK 6,219 million for the corresponding period the previous year. The organic growth amounted to 0 percent (1) although several countries, primarily Spain, Turkey and Argentina, had positive growth. Lower volumes in the Nordic countries and the UK have offset the organic growth. The real growth, which amounted to 2 percent (4), includes revenue attributable to the acquisition of Cardtronics' cash handling operations in the UK in 2015 and from the acquisition of BKS in August 2016.

The operating income (EBITA) amounted to SEK 795 million (760) and the operating margin improved to 12.9 percent (12.2). Ongoing efforts to improve efficiency continued and the profitability improvement was most evident in southern Europe and the UK. The initiatives taken in the UK to handle the increased volumes resulting from the above-mentioned acquisition and of the contract signed with Tesco in 2014 have been successful, both in the form of improved quality of services and an improved operating margin. Action programs are currently in place in the Nordic countries to compensate for the lower volumes. The lower volumes in the Nordic countries have had a slightly negative effect on the operating margin.

USA

	2016	2015	2016	2015	2015	R 12
SEK m	Jul– Sep	Jul– Sep	Jan– Sep	Jan– Sep	Full year
Revenue	1,826	1,637	5,356	4,720	6,428	7,065
Real growth, %	10	7	13	5	7	13
Organic growth, %	9	7	12	5	6	12
Operating income (EBITA)1)	208	175	603	492	692	804
Operating margin, %	11.4	10.7	11.3	10.4	10.8	11.4

1) Earnings Before Interest, Taxes, Amortization of acquisition-related intangible fixed assets, acquisition-related costs and revenue, and items affecting comparability.

Revenue and operating income – Segment USA July – September 2016

Revenue for Segment USA amounted to SEK 1,826 million compared to SEK 1,637 million for the corresponding period the previous year. The organic growth was 9 percent (7) and is mainly explained by increased revenue relating to cash management services (CMS), including revenue relating to the cash management contract implemented incrementally in 2015 and from increased revenue from SafePoint. Revenue from SafePoint accounted for 11 percent of the segment's revenue during the quarter. Growth was also impacted by revenue from the cash-intransit (CIT) contract signed with State Employees' Credit Union in North Carolina in the first quarter. The real growth of 10 percent (7) includes revenue attributable to the acquisition in 2015 of the Global Logistics operations from Dunbar Armored Inc. Changes in fuel fees, which Loomis passes on to its customers, reduced growth for the quarter marginally and did not significantly affect the operating income.

The proportion of revenue from CMS amounted to 33 percent (32) of the segment's total revenue.

The operating income (EBITA) amounted to SEK 208 million (175) and the operating margin was 11.4 percent (10.7). The improvement is mainly explained by organic growth in combination with the sustained increase in the proportion of revenue from CMS and SafePoint and the ongoing efforts to improve efficiency which continue to yield results.

January – September 2016

Revenue for Segment USA amounted to SEK 5,356 million (4,720) and organic growth was 12 percent (5). Revenue relating to the CMS contract implemented incrementally in 2015 and increased revenue from SafePoint are the main explanations for the positive development. Revenue from SafePoint for the period accounted to 10 percent of the segment's total revenue. Organic growth was also impacted by revenue from the CIT contract signed with State Employees' Credit Union in North Carolina earlier in the year. The real growth of 13 percent (5) includes revenue attributable to the acquisition in 2015 of the Global Logistics operations from Dunbar Armored Inc. Changes in fuel fees, which Loomis passes on to its customers, reduced the organic growth for the period by 1 percentage point, but did not significantly affect the operating income.

The proportion of revenue from CMS amounted to 33 percent (30) of the segment's total revenue.

Operating income (EBITA) amounted to SEK 603 million compared to SEK 492 million for the corresponding period the previous year and the operating margin improved to 11.3 percent (10.4). Organic growth in combination with the sustained increase in the share of revenue from CMS and SafePoint as well as the ongoing efficiency improvements which continue to yield results are the main explanations for the improved operating margin.

International

	2016	2015	2016	2015	2015	R 12
SEK m	Jul– Sep	Jul– Sep2)	Jan– Sep	Jan– Sep2)	Full year2)
Revenue	231	372	897	1,077	1,419	1,239
Real growth, %	–38	1	–13	n/a	n/a	–13
Organic growth, %	–2	1	–2	n/a	n/a	–4
Operating income (EBITA)1)	22	26	57	64	87	80
Operating margin, %	9.3	6.9	6.3	5.9	6.1	6.4

1) Earnings Before Interest, Taxes and Amortization of acquisition-related intangible fixed assets, acquisition-related costs and revenue, and items affecting comparability. 2) The general cargo operations were divested as of July 1, 2016. The comparative figures have not been adjusted.

Revenue and operating income – Segment International July – September 2016

Revenue for Segment International in the third quarter decreased to SEK 231 million compared to SEK 372 million for the corresponding quarter the previous year. The lower revenue and the negative real growth , which amounted to –38 percent (1), is mainly explained by the divestment of the general cargo operations on July 1, 2016. Organic growth amounted to –2 percent (1) and is mainly explained by the strong reduction in demand for gold transports to India, one of the world's largest gold importers, as a result of an increase in import taxes on gold and jewelry introduced in India at the beginning of the year. Furthermore, volatility in the precious metals market was low during the period, which had a negative impact on business volumes. The uncertainty in the international markets has, on the other hand, resulted in higher demand for cross-border transportation of bank notes, and this has partially offset the negative growth in transports of precious metals. The increased demand was most evident in Central Europe and the Middle East.

The operating income (EBITA) amounted to SEK 22 million (26) and the operating margin was 9.3 percent (6.9). The comparative figures for 2015 include the general cargo operations which were divested during the quarter. The divested operations had lower profitability compared with the remaining operations.

January – September 2016

Operating income (EBITA) amounted to SEK 897 million compared to SEK 1,077 million for the corresponding period the previous year. The lower revenue and the negative real growth, which amounted to –13 percent (n/a), is mainly explained by the divestment of the general cargo operations on July 1, 2016. Our organic growth was –2 percent (n/a). The period's negative growth is mainly explained by the fact that demand for transportation of gold to India have been low. The imported volumes to India were greatly affected by India increasing its import taxes on gold and jewelry at the beginning of the year. Volatility in the precious metals market was in general low during the period, which had a negative impact on volumes. Growth for the segment was also impacted by low demand for transports to and from art exhibitions. The negative growth was, to some extent, offset by increased demand for cross-border transportation of banknotes. The increase was most evident in Central Europe and the Middle East.

The operating income (EBITA) amounted to SEK 57 million (64) and the operating margin for the period was 6.3 percent (5.9). The comparative figures for 2015 include the general cargo operations which were divested during the period. The divested operations had lower profitability compared with the remaining operations.

Cash flow

STATEMENT OF CASH FLOWS

	2016	2015	2016	2015	2015	R 12
SEK m	Jul– Sep	Jul– Sep	Jan– Sep	Jan– Sep	Full year
Operating income (EBITA)1)	528	483	1,347	1,224	1,703	1,826
Depreciation	278	273	818	797	1,061	1,082
Change in accounts receivable	–74	–101	–131	–224	–170	–78
Change in other working capital and other items	87	70	–68	–5	48	–15
Cash flow from operating activities before investments	818	725	1,966	1,793	2,642	2,815
Investments in fixed assets, net	–282	–346	–820	–913	–1,379	–1,285
Cash flow from operating activities	536	379	1,146	879	1,264	1,530
Financial items paid and received	–23	–22	–68	–79	–118	–107
Income tax paid	–99	–112	–270	–260	–341	–350
Free cash flow	414	245	808	540	805	1,073
Cash flow effect of items affecting comparability	138	–2	138	–12	–14	136
Acquisition of operations2)	–175	–239	–178	–264	–279	–193
Acquisition-related costs/revenue, paid/received3)	4	–12	–6	–32	–52	–26
Dividend paid	–	–	–527	–451	–451	–527
Change in interest-bearing net debt excl. liquid funds	–435	–27	–451	–272	–258	–437
Issuance of bonds4)	–	–	–	–	549	549
Change in commercial papers issued and other long-term borrowing	–150	–149	50	520	–225	–695
Cash flow for the period	–204	–185	–166	28	74	–120
Liquid funds at beginning of period	700	808	654	566	566	621
Exchange rate differences in liquid funds	11	–2	19	27	14	6
Liquid funds at end of period	507	621	507	621	654	507
KEY RAT IOS
Cash flow from operating activities as a % of operating income (EBITA)	102	78	85	72	74	84
Investments in relation to depreciation	1.0	1.3	1.0	1.1	1.3	1.2
Investments as a % of total revenue	6.7	8.3	6.6	7.6	8.6	7.8

1) Earnings Before Interest, Taxes and Amortization of acquisition-related intangible fixed assets, acquisition-related costs and revenue, and items affecting comparability. 2) Acquisition of operations includes the cash flow effect of acquisition-related transaction costs.

3) Refers to acquisition-related restructuring and integration costs. For the period July–September 2016, this item includes an escrow repayment for the acquisition of Cardtronics' cash handling operations in the UK in 2015.

4) Bond issue according to Loomis' MTN program.

Cash flow

July – September 2016

Cash flow from operating activities was SEK 536 million (379), equivalent to 102 percent (78) of operating income (EBITA).

Net investments in fixed assets for the period amounted to SEK 282 million (346), which can be compared to depreciation of fixed assets of SEK 278 million (273). Investments of SEK 157 million (222) were made during the period in vehicles, safety equipment and Safe-Point. In addition, investments totaling SEK 81 million (92) were made in buildings, machinery and similar equipment.

The cash flow effect of items affecting comparability includes cash received for the divestment of the general cargo operations.

January – September 2016

Cash flow from operating activities was SEK 1,146 million (879), equivalent to 85 percent (72) of operating income (EBITA).

Similar to previous years, the effect on cash flow of the change in other working capital and other items was negative. Large payments for items such as personnel costs and insurance premiums are normally due at the beginning of the year. Positive effects on cash flow of changes in working capital normally occur during the latter part of the year.

Net investments in fixed assets for the period amounted to SEK 820 million (913), which can be compared to depreciation of fixed assets of SEK 818 million (797). Investments of SEK 446 million (535) were made during the period in vehicles, safety equipment and SafePoint. In addition, investments totaling SEK 227 million (272) were made in buildings, machinery and similar equipment.

During the period SEK 527 million (451) in dividends was paid out to shareholders.

Capital employed

CAPITAL EMPLOYED AND FINANCING

	2016	2015	2015
SEK m	Sep 30	Sep 30	Dec 31
Operating capital employed	4,806	4,317	4,352
Goodwill	5,474	5,439	5,437
Acquisition-related intangible assets	282	356	349
Other capital employed	148	225	130
Capital employed	10,710	10,336	10,268
Net debt	4,784	4,842	4,425
Shareholders' equity	5,926	5,495	5,843
Key ratios
Return on capital employed, %	17	16	17
Return on equity, %	21	19	18
Equity ratio, %	40	38	41
Net debt/EBITDA	1.65	1.83	1.60

Capital employed

Capital employed amounted to SEK 10,710 million (10,268 as of December 31, 2015). Return on capital employed amounted to 17 percent (17 as of December 31, 2015).

In the third quarter Loomis long-term business plans were prepared and in connection with this process, an impairment testing was undertaken on all of the Group's cash-generating units. None of the cash-generating units had a book value exceeding its recoverable amount, and therefore no goodwill impairment has been recorded in 2016.

Equity and financing

Shareholders' equity amounted to SEK 5,926 million (5,843 as of December 31, 2015). The return on shareholders' equity was 21 percent (18 on December 31, 2015) and the equity ratio was 40 percent (41 as of December 31, 2015). Shareholders' equity was positively affected by net income for the period, but negatively affected by dividends to shareholders and by actuarial revaluation of the pension liability.

Net debt amounted to SEK 4,784 million (4,425 as of December 31, 2015). The net debt/EBITDA ratio amounted to SEK 1.65 on September 30, 2016 (1.60 as of December 31, 2015).

Acquisitions and divestments

	Consolidated/ divested as of	Segment	Acquired/ divested share1) %	Annual revenue SEK m	Number of employees	Purchase price SEK m	Goodwill SEK m	Acquisition related intangible assets SEK m	Other acquired/ divested net assets SEK m
Opening balance, January 1, 2016							5,437	349
Acquisition of Bankernes Kontantservice A/S (BKS)6)	August 22	Europe	100	4342)	358	1804)	217)	15	143
Divestment of general cargo operations	July 1	International	–100	4993)	149	–1945)	–93	–41	–60
Total acquisitions and divestments January – September 2016							–73	–26	85
Amortization of acquisition-related intangible assets								–47
Translation differences							109	6
Closing balance September 30, 2016							5,474	282

1) Refers to share of votes. In acquisitions of assets and liabilities, no share of votes is indicated.

2) Annual revenue in 2015 translated to SEK million at the acquisition date. Excluding a non-recurring security fee paid by the owners of BKS.

3) Annual revenue in 2015.

4) Purchase price plus acquired net debt (Enterprise value) amounted to around SEK 316 million at the acquisition date.

5) Purchase price adjusted for disposed liquid funds (Enterprise value) amounted to around SEK 146 million.

6) The acquisition analysis is preliminary and subject to final adjustment no later than one year from the acquisition date.

7) Goodwill arising in connection with the acquisition is primarily attributable to synergy effects. Any impairment is not tax deductible.

Acquisitions and divestments January – September 2016

In July 2016 Loomis announced that it had entered into an agreement to divest the general cargo operations to Rhenus Alpina AG. Loomis took over these operations in connection with the acquisition of VIA MAT in 2014. The divested operations, which were not part of Loomis' core business, offered cross-border cargo services by air, sea, road and rail. It was transferred on July 1, 2016. Revenue from the divested operations amounted to CHF 57 million (equivalent to SEK 499 million) and operating income (EBITA) was CHF 1 million (equivalent to SEK 9 million) for the 2015 financial year. The general cargo operations have been reported in Segment International Services. A capital gain before tax of SEK 81 million has been recognized and reported as an item affecting comparability in the third quarter of 2016.

In August 2016 it was announced that Loomis' Danish subsidiary had entered into an agreement to acquire of all of the shares in Bankernes Kontantservice A/S ("BKS"). BKS has its head office in Copenhagen, Denmark. The enterprise value amounted to around DKK 250 million, equivalent to around SEK 316 million. BKS' annual revenue in 2015 was around DKK 340 million (excluding a non-recurring security fee paid by the owners of BKS) and Loomis Denmark's annual revenue was around DKK 92 million in 2015. The acquisition enables Loomis in Denmark to expand its customer portfolio and to service a broad spectrum of banks, retailers and other customers. The acquired operations are reported in Segment Europe and consolidated in Loomis' accounts as of the date the transaction was completed, August 22, 2016. As a result of integration costs the acquisition is expected to have a marginally negative impact on Loomis' earnings per share for 2016.

Significant events and number of full-time employees

Significant events during the period

The Annual General Meeting on May 2, 2016 voted in favor of the Board's proposal to introduce an Incentive Scheme (Incentive Scheme 2016). Similar to past incentive schemes, the proposed Incentive Scheme 2016 involves two thirds of the variable remuneration being paid out in cash the year after it is earned. The remaining one third will be allotted to participants in the form of Class B shares, at the beginning of 2018. The allotment of shares is contingent upon the employee still being employed by the Loomis Group on the last day of February 2018, other than in cases where the employee has left his/her position due to retirement, death or a long-term illness, in which case the individual will retain the right to receive bonus shares. The principles for performance measurement and other general principles that already apply to existing incentive schemes will still apply. Loomis AB will not issue any new shares or similar instruments in connection with this Incentive Scheme. To enable Loomis to allot these shares, the AGM voted in favor of Loomis AB entering into a share swap agreement with a third party under which the

third party will acquire the Loomis shares in its own name and transfer them to the Incentive Scheme participants. The Incentive Scheme will enable around 350 key individuals within the Loomis Group to become shareholders in Loomis AB over time. This will increase employee commitment to Loomis' development for the benefit of all shareholders.

On May 4, 2016, Patrik Andersson assumed the position as President and CEO of Loomis.

Number of full-time employees

The average number of full-time employees for the rolling twelve-month period was 21,998 (21,665 for the full year 2015). Acquisitions executed as well as appointments made as a result of contracts secured have increased the number of employees while disposals have decreased the number of employees. The ongoing efficiency improvement programs have primarily reduced the number of overtime hours and temporary employees, but have also reduced the number of regular employees.

Risks and uncertainties

Operational risks

Operational risks are risks associated with the day-to-day operations and the services offered by the Company to its customers. These risks could result in negative consequences if the services performed do not meet the established requirements and result in loss of or damage to property or personal injury.

Loomis' strategy for operational risk management is based on two fundamental principles:

• No loss of life

• Balance between profitability and risk of theft and robbery

Although the risk of robbery is unavoidable in cash handling, Loomis continually strives to minimize this risk. The most vulnerable situations are at the roadside, in the vehicles and during cash processing.

Loomis' operations are insured so that the maximum cost of each theft or robbery incident is limited to the deductible amount.

The Parent Company, Loomis AB, is deemed not to have any significant operational risks as it does not engage in operations other than the conventional control of subsidiaries and management of certain Group matters.

The major risks deemed to apply to the Parent Company relate to fluctuations in exchange rates, particularly as regards USD and EUR, increased interest rates and the risk of possible impairment losses on investments.

Financial risk

In its operations, Loomis is exposed to risk associated with financial instruments such as liquid funds, accounts receivable, accounts payable and loans. The risks associated with these instruments are primarily:

Interest rate risk associated with liquid funds and loans
Exchange rate risks associated with transactions and translation of shareholders' equity
Financing risks relating to the Company's capital requirements
Liquidity risks associated with short-term solvency
Credit risks attributable to financial and commercial activities
Capital risk attributable to the capital structure
Price risks associated with changes in raw material prices (primarily fuel)

Factors of uncertainty

The economic trend in the first nine months of 2016 impacted certain geographic areas negatively and it cannot be ruled out that revenue and income may be impacted during the remainder of 2016. Changes in general economic conditions can have various effects on the cash handling services market. These include the ratio of cash purchases to credit card purchases, changes in consumption levels, the risk of robbery and bad debt losses, as well as the staff turnover rate.

Additional factors of uncertainty for 2016 are risks associated with the acquisition and the integration of BKS in Denmark.

Seasonal variations

Loomis' earnings fluctuate across the seasons and this should be taken into consideration when making assessments on the basis of interim financial information. The main reason for these seasonal variations is that the need for cash handling services increases during the summer vacation period, July and August, and during the holiday season at the end of the year, i.e. in November and December.

Parent Company

SUMMARY STATEMENT OF INCOME

	2016	2015	2015
SEK m	Jan– Sep	Jan– Sep1)	Full year1)
Revenue	326	265	367
Operating income (EBIT)	201	154	199
Income after financial items	431	141	565
Net income for the period	420	170	699

SUMMARY BALANCE SHEET

	2016	2015	2015
SEK m	Sep 30	Sep 30	Dec 31
Fixed assets	9,563	9,463	9,409
Current assets	740	937	1,037
Total assets	10,302	10,400	10,446
Shareholders' equity2)	4,796	4,373	4,902
Liabilities	5,507	6,028	5,544
Total shareholders' equity and liabilities	10,302	10,400	10,446

1) Comparative figures have been restated due to an effect of a changed accounting principle, RFR 2 IAS 21. The effect of this on net income for the period January–September is SEK –195 million and for the full year 2015 SEK –198 million. Total shareholders' equity was not affected by the changed accounting principle as it only involved a reclassification within non-restricted equity. For further information, please refer to the description of accounting principles in page 15.

2) The number of Class B treasury shares was 53,797.

The Parent Company does not engage in any operating activities. It is only involved in Group management and support functions. The average number of full-time employees at the head office during the first nine months of the year was 21 (23).

The Parent Company's revenue mainly consists of license fees and other revenue from subsidiaries. Income after financial items is higher than in the corresponding period the previous

year. Higher dividends from subsidiaries and less negative exchange rate effects on loans in foreign currency, related to net investments in foreign subsidiaries, are the main explanations for the improvement.

The Parent Company's fixed assets consist mainly of shares in subsidiaries and loan receivables from subsidiaries. The liabilities are mainly external liabilities and liabilities to subsidiaries.

Other significant events

Similar to several other companies in Spain, Loomis' Spanish subsidiary is being scrutinized by the Spanish competition authority (CNMC). Loomis considers that it has acted in compliance with the laws in effect. An administrative review is under way and a decision from the CNMC is expected before the end of 2016. If the CNMC decides to fine Loomis, Loomis has the opportunity to appeal the ruling with the Spanish appeals court.

For critical estimates and assessments as well as contingent liabilities, please refer to pages 61 and 87 of the 2015 Annual Report. As there have been no other significant changes to the events described in the Annual Report, no further comments have been made on these matters in this interim report.

Accounting principles

The Group's financial reports are prepared in accordance with the International Financial Reporting Standards (IAS/IFRS, as adopted by the European Union) issued by the International Accounting Standards Board, and statements issued by the IFRS Interpretations Committee (formerly IFRIC).

This interim report has been prepared according to IAS 34 Interim Financial Reporting. The interim report is on pages 1–32 and pages 1–16 are thus an integrated part of this financial report. The most important accounting principles according to IFRS, which are the accounting standards used in the preparation of this interim report, are described in Note 2 on pages 54–60 of the 2015 Annual Report.

The Parent Company's financial statements have been prepared in accordance with the Swedish Annual Accounts Act and RFR 2 Accounting for Legal Entities. The Swedish Financial Reporting Board has amended the standard RFR 2 Accounting for Legal Entities. The amendment is related to IAS 21 and states that exchange rate differences arising on a monetary item that forms part of the Parent Company's net investment in a foreign subsidiary should be accounted for in the Parent Company's statement of income. Before the amendment went into effect, RFR 2 stated that these exchange rate differences should be accounted for in other comprehensive income, which was not in line with IAS 21, paragraph 32. The amendment applies to financial years beginning on January 1, 2016 or later. The amendment affects financial income and expenses in the Parent Company's statement of income. It also affects the translation reserve in the Parent Company's shareholders' equity, as exchange rate differences will no longer be accounted for on this line. The comparative year, 2015, has been restated in the Parent Company's financial statements to reflect this amendment. The amendment has no effect on the Group's financial statements where these exchange rate differences, as previously, are recorded in the translation reserve in equity.

The most important accounting principles applying to the Parent Company can be found in Note 36 on page 92 of the 2015 Annual Report.

Outlook for 2016

The Company is not providing any forecast information for 2016.

Stockholm, November 4, 2016

Patrik Andersson President and CEO, Board member

Review Report

(Translation of the Swedish original)

Auditor's review report for interim financial information in summary (interim report) prepared in accordance with IAS 34 and Chapter 9 of the Swedish Annual Accounts Act.

Introduction

We have reviewed this summarized interim financial information (interim report) for Loomis AB (publ.) as of September 30, 2016 and the nine-month period ending as of the same date. The Board of Directors and the President are responsible for the preparation and presentation of this interim financial information in accordance with IAS 34 and the Swedish Annual Accounts Act. Our responsibility is to express a conclusion on this interim report based on our review.

Focus and scope of the review

We conducted our review in accordance with the International Standard on Review Engagements ISRE 2410, Review of Interim Report Performed by the Independent Auditor of the Entity.

A review consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review has a different focus and is significantly limited in scope compared to the focus and scope of audit conducted in accordance with International Standards on Auditing (ISA) and other generally accepted auditing standards in Sweden. The procedures performed in a review do not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. The conclusion expressed based on a review does not have the same level of certainty as a review based on an audit.

Conclusion

Based on our review, nothing has come to our attention that causes us to believe that the interim report is not prepared, in all material respects, in accordance with IAS 34 and the Swedish Annual Accounts Act, regarding the Group, and with the Swedish Annual Accounts Act, regarding the Parent Company.

Stockholm, November 4, 2016

PricewaterhouseCoopers AB

Patrik Adolfson Authorized Public Accountant

Statement OF INCOME

	2016	2015	2016	2015	2015	2014	R12
SEK m	Jul–Sep	Jul–Sep	Jan–Sep	Jan–Sep	Full year	Full year
Revenue, continuing operations	4,126	4,118	12,180	11,309	15,391	12,345	16,262
Revenue, acquisitions	75	49	200	645	706	1,166	261
Total revenue	4,200	4,167	12,379	11,953	16,097	13,510	16,523
Production expenses	–3,075	–3,134	–9,284	–9,086	–12,163	–10,283	–12,361
Gross income	1,126	1,033	3,096	2,867	3,934	3,227	4,163
Selling and administration expenses	–598	–550	–1,749	–1,643	–2,231	–1,857	–2,337
Operating income (EBITA)1)	528	483	1,347	1,224	1,703	1,370	1,826
Amortization of acquisition-related intangible assets	–15	–17	–47	–46	–62	–46	–63
Acquisition-related costs and revenue	–32	–9	–412)	–612)	–79	–19	–59
Items affecting comparability	814)	123)	814)	123)	123)	–	814)
Operating income (EBIT)	561	469	1,340	1,129	1,575	1,306	1,785
Net financial items	–28	–24	–82	–83	–114	–66	–113
Income before taxes	533	445	1,258	1,046	1,461	1,240	1,673
Income tax	–141	–116	–341	–276	–392	–330	–458
Net income for the period5)	391	329	916	770	1,069	910	1,215
Key ratios
Real growth, %	2	4	5	8	7	14	5
Organic growth, %	3	3	5	2	2	3	4
Operating margin (EBITA), %	12.6	11.6	10.9	10.2	10.6	10.1	11.1
Tax rate, %	27	26	27	26	27	27	27
Earnings per share before dilution, SEK6)	5.20	4.37	12.18	10.24	14.21	12.10	16.15
Earnings per share after dilution, SEK	5.20	4.37	12.18	10.24	14.21	12.10	16.15

1) Earnings Before Interest, Taxes, Amortization of acquisition-related intangible fixed assets, Acquisition-related costs and revenue and Items affecting comparability.

2) Acquisition-related costs and revenue for the period January–September 2016, refer to transaction costs of SEK –10 million (–3), restructuring costs of SEK –19 million (–36) and integration costs of SEK –12 million (–22). Transaction costs for the period January–September 2016 amount to SEK 0 million for acquisitions in progress, to SEK –10 million for completed acquisitions and to SEK 0 million for discontinued acquisitions.

3) Items affecting comparability of SEK 12 million relates to a reversal of part of the provision of SEK 59 million which was made in 2007 attributable to overtime compensation in Spain. 4) Items affecting comparability of SEK 81 million relates to a reported capital gain from the divestment of the general cargo operations.

5) Net income for the period is entirely attributable to the owners of the Parent Company.

6) For further information please refer to page 23.

Statement of comprehensive income

	2016	2015	2015	2014	R12
SEK m	Jan–Sep	Jan–Sep	Full year	Full year
Net income for the period	916	770	1,069	910	1,215
Other comprehensive income
Items that will not be reclassified to the statement of income
Actuarial gains and losses after tax	–369	–71	46	–278	–252
Items that may be reclassified to the statement of income
Exchange rate differences	124	540	507	831	91
Hedging of net investments, net of tax	–61	–195	–198	–348	–64
Other comprehensive income and expenses for the period, net after tax	–306	275	355	205	–226
Total comprehensive income for the period1)	610	1,046	1,424	1,115	989

1) Comprehensive income for the period is entirely attributable to the owners of the Parent Company.

Balance Sheet

	2016	2015	2015	2014
SEK m	Sep 30	Sep 30	Dec 31	Dec 31
ASSETS
Fixed assets
Goodwill	5,474	5,439	5,437	4,897
Acquisition-related intangible assets	282	356	349	363
Other intangible assets	115	115	118	127
Tangible fixed assets	4,582	4,148	4,305	3,813
Non-interest-bearing financial fixed assets	653	594	572	601
Interest-bearing financial fixed assets1)	96	69	78	67
Total fixed assets	11,202	10,720	10,860	9,868
Current assets
Non-interest-bearing current assets2)	2,954	2,962	2,816	2,568
Interest-bearing financial current assets1)	26	66	84	25
Liquid funds	507	621	654	566
Total current assets	3,487	3,648	3,555	3,159
TOTAL ASSETS	14,690	14,368	14,415	13,027
SHAREHOL DERS' EQUITY AND LIA BILITIE S
Shareholders' equity3)	5,926	5,495	5,843	4,907
Long-term liabilities
Interest-bearing long-term liabilities	5,141	5,519	5,168	4,140
Non-interest-bearing provisions	768	783	806	852
Total long-term liabilities	5,910	6,302	5,974	4,992
Current liabilities
Tax liabilities	117	99	141	117
Non-interest-bearing current liabilities	2,464	2,395	2,384	2,273
Interest-bearing current liabilities	273	78	73	738
Total current liabilities	2,854	2,572	2,598	3,128
TOTAL SHAREHOL DERS' EQUITY AND LIA BILITIE S	14,690	14,368	14,415	13,027

Key ratios
Return of shareholders' equity, %	21	19	18	19
Return of capital employed, %	17	16	17	15
Equity ratio, %	40	38	41	38
Net debt	4,784	4,842	4,425	4,219
Net debt/EBITDA	1.65	1.83	1.60	1.88

1) As of the balance sheet date and in the comparative information, all derivatives are measured at fair value based on market data in accordance with IFRS.

2) Funds in the cash processing operations are reported net in the item "Non-interest-bearing current assets". For more information, please refer to page 79 and Note 23 in the Annual report 2015.

3) Shareholders' equity in its entirety is attributable to the owners of the Parent Company.

Change in shareholders' equity

	2016	2015	2015	2014	R12
SEK m	Jan–Sep	Jan–Sep	Full year	Full year
Opening balance	5,843	4,907	4,907	4,165	5,495
Actuarial gains and losses after tax	–369	–71	46	–278	–252
Exchange rate differences	124	540	507	831	91
Hedging of net investments, net of tax	–61	–195	–198	–348	–64
Total other comprehensive income	–306	275	355	205	–226
Net income for the period	916	770	1,069	910	1,215
Total comprehensive income	610	1,046	1,424	1,115	989
Dividend paid to Parent Company's shareholders	–527	–451	–451	–376	–527
Share-related remuneration1)	–1	–7	0	4	6
Revaluation of option liability with non-controlling interests2)	–	–	–37	–	–37
Closing balance3)	5,926	5,495	5,843	4,907	5,926

1) Including the repurchase of warrants.

2) Refers to Loomis Turkey.

3) Shareholders' equity is entirely attributable to the owners of the Parent Company.

NUMBER OF SHARES AS OF september 30, 2016

	Votes	No. of shares	No. of votes Quota value		SEK m
Class A shares	10	3,428,520	34,285,200	5	17
Class B shares	1	71,851,309	71,851,309	5	359
Total no. of shares		75,279,829	106,136,509		376
Total Class B treasury shares	1	–53,797	–53,797
Total no. of outstanding shares		75,226,032	106,082,712

CONTINGENT LIABILITiES

	2016	2015	2015	2014
SEK m	Sep 30	Sep 30	Dec 31	Dec 31
Securities and guarantees	3,231	2,567	2,617	2,353
Other contingent liabilities	29	21	13	9
Total contingent liabilities	3,260	2,588	2,630	2,362

CONTINGENT LIABILITIES, PARENT COMPANY

	2016	2015	2015	2014
SEK m	Sep 30	Sep 30	Dec 31	Dec 31
Guarantee commitments banking facilities	1,844	995	1,196	738
Other contingent liabilities	1,246	1,103	1,173	1,194
Total contingent liabilities	3,090	2,098	2,369	1,932

Statement of cash flows

	2016	2015	2016	2015	2015	2014	R12
SEK m	Jul–Sep	Jul–Sep	Jan–Sep	Jan–Sep	Full year	Full year
Income before taxes	533	445	1,258	1,046	1,461	1,240	1,673
Items not affecting cash flow, items affecting com parability and acquisition-related costs1)	246	275	826	852	1,119	929	1,093
Income tax paid	–99	–112	–270	–260	–341	–298	–350
Change in accounts receivable	–74	–101	–131	–224	–170	–40	–78
Change in other operating capital employed and other items	87	70	–68	–5	48	–12	–15
Cash flow from operations	692	577	1,614	1,409	2,118	1,819	2,322
Cash flow from investment activities	–311	–585	–852	–1,178	–1,658	–2,569	–1,332
Cash flow from financing activities	–585	–176	–928	–204	–386	946	–1,110
Cash flow for the period	–204	–185	–166	28	74	196	–120
Liquid funds at beginning of the period	700	808	654	566	566	333	621
Translation differences in liquid funds	11	–2	19	27	14	37	6
Liquid funds at end of period	507	621	507	621	654	566	507

1) Adjusted for the divestment of operations which is reported in investment activities.

Statement of cash flows, Additional information

	2016	2015	2016	2015	2015	2014	R12
SEK m	Jul–Sep	Jul–Sep	Jan–Sep	Jan–Sep	Full year	Full year
Operating income (EBITA)1)	528	483	1,347	1,224	1,703	1,370	1,826
Depreciation	278	273	818	797	1,061	875	1,082
Change in accounts receivable	–74	–101	–131	–224	–170	–40	–78
Change in other operating capital employed and other items	87	70	–68	–5	48	–12	–15
Cash flow from operating activities before investments	818	725	1,966	1,793	2,642	2,194	2,815
Investments in fixed assets, net	–282	–346	–820	–913	–1,379	–1,033	–1,285
Cash flow from operating activities	536	379	1,146	879	1,264	1,161	1,530
Financial items paid and received	–23	–22	–68	–79	–118	–61	–107
Income tax paid	–99	–112	–270	–260	–341	–298	–350
Free cash flow	414	245	808	540	805	803	1,073
Cash flow effect of items affecting comparability	138	–2	138	–12	–14	–8	136
Acquisition of operations2)	–175	–239	–178	–264	–279	–1,536	–193
Acquisition-related costs / revenue, paid / received3)	4	–12	–6	–32	–52	–8	–26
Dividend paid	–	–	–527	–451	–451	–376	–527
Change in interest-bearing net debt excluding liquid funds	–435	–27	–451	–272	–258	–333	–437
Issuance of bonds4)	–	–	–	–	549	997	549
Change in commercial papers issued and other long-term borrowing	–150	–149	50	520	–225	6585)	–695
Cash flow for the period	–204	–185	–166	28	74	196	–120
Key ratios
Cash flow from operating activities as % of operat ing income (EBITA)	102	78	85	72	74	85	84
Investments in relation to depreciation	1.0	1.3	1.0	1.1	1.3	1.2	1.2
Investments as a % of total revenue	6.7	8.3	6.6	7.6	8.6	7.6	7.8

1) Earnings Before Interest, Taxes, Amortization of acquisition-related intangible fixed assets, Acquisition-related costs and revenue and Items affecting comparability.

2) Acquisition of operations includes the cash flow effect of acquisition-related transaction costs.

4) Bond issue according to Loomis' MTN program.

5) For the period this includes a loan from Nordic Investment Bank.

Segment overview statement of income

	Europe	USA	International	Other1)	Eliminations	Total
SEK m	Jan–Sep 2016	Jan–Sep 2016	Jan–Sep 2016	Jan–Sep 2016	Jan–Sep 2016	Jan–Sep 2016
Revenue, continuing operations	6,043	5,284	897	–	–45	12,180
Revenue, acquisitions	127	72	–	–	–	200
Total revenue	6,170	5,356	897	–	–45	12,379
Production expenses	–4,566	–4,029	–761	–	73	–9,284
Gross income	1,604	1,327	136	–	28	3,096
Selling and administrative expenses	–809	–724	–79	–108	–28	–1,749
Operating income (EBITA)2)	795	603	57	–108	–	1,347
Amortization of acquisition-related intangible assets	–22	–11	–14	–	–	–47
Acquisition-related costs	–33	–2	–	–6	–	–41
Items affecting comparability	–	–	813)	–	–	81
Operating income (EBIT)	740	591	123	–115	–	1,340

1) Segment Other consists of the Parent Company's costs and certain other group-wide costs.

2) Earnings Before Interest, Taxes, Amortization of acquisition-related intangible fixed assets, Acquisition-related costs and revenue and Items affecting comparability.

3) The item affecting comparability of SEK 81 million relates to a reported capital gain from the divestment of the general cargo operations.

Segment overview statement of income

	Europe	USA	International	Other1)	Eliminations	Total
SEK m	Jan–Sep 2015	Jan–Sep 2015	Jan–Sep 2015	Jan–Sep 2015	Jan–Sep 2015	Jan–Sep 2015
Revenue, continuing operations	6,014	4,720	634	–	–48	11,309
Revenue, acquisitions	205	–	454	–	–15	645
Total revenue	6,219	4,720	1,077	–	–63	11,953
Production expenses	–4,671	–3,598	–911	–	94	–9,086
Gross income	1,548	1,122	166	–	31	2,867
Selling and administrative expenses	–788	–630	–102	–91	–31	1,643
Operating income (EBITA)2)	760	492	64	–91	–	1,224
Amortization of acquisition-related intangible assets	–17	–12	–15	–1	–	–46
Acquisition-related costs	–57	0	–3	–1	–	–61
Items affecting comparability	123)	–	–	–	–	12
Operating income (EBIT)	697	480	46	–94	–	1,129

1) Segment Other consists of the Parent Company's costs and certain other group-wide costs.

2) Earnings Before Interest, Taxes, Amortization of acquisition-related intangible fixed assets, Acquisition-related costs and revenue and Items affecting comparability.

3) The items affecting comparability of SEK 12 million relates to a reversal of part of the provision of SEK 59 million which was made in 2007 attributable to overtime compensation in Spain.

Segment overview STATEMENT OF INCOME, ADDITIONAL INFORMATION

	2016	2015	2016	2015	2015	2014	R12
SEK m	Jul–Sep	Jul–Sep	Jan–Sep	Jan–Sep	Full year	Full year
Europe
Revenue	2,162	2,179	6,170	6,219	8,332	7,706	8,283
Real growth, %	2	3	2	4	4	6	3
Organic growth, %	0	1	0	1	1	2	1
Operating income (EBITA)1)	335	312	795	760	1,055	944	1,090
Operating margin (EBITA), %	15.5	14.3	12.9	12.2	12.7	12.3	13.2
USA
Revenue	1,826	1,637	5,356	4,720	6,428	4,933	7,065
Real growth, %	10	7	13	5	7	7	13
Organic growth, %	9	7	12	5	6	7	12
Operating income (EBITA)1)	208	175	603	492	692	488	804
Operating margin (EBITA), %	11.4	10.7	11.3	10.4	10.8	9.9	11.4
International2)
Revenue	231	372	897	1,077	1,419	9184)	1,239
Real growth, %	–38	1	–13	n/a	n/a	n/a	–13
Organic growth, %	–2	1	–2	n/a	n/a	n/a	–4
Operating income (EBITA)1)	22	26	57	64	87	674)	80
Operating margin (EBITA), %	9.3	6.9	6.3	5.9	6.1	7.3	6.4
Other 3)
Revenue	–	–	–	–	–	–	–
Operating income (EBITA)1)	–36	–30	–108	–91	–131	–129	–148
Eliminations
Revenue	–19	–21	–45	–63	–82	–47	–63
Operating income (EBITA)1)	–	–	–	–	–	–	–
Group total
Revenue	4,200	4,167	12,379	11,953	16,097	13,510	16,523
Real growth, %	2	4	5	8	7	14	5
Organic growth, %	3	3	5	2	2	3	4
Operating income (EBITA)1)	528	483	1,347	1,224	1,703	1,370	1,826
Operating margin (EBITA), %	12.6	11.6	10.9	10.2	10.6	10.1	11.1

1) Earnings Before Interest, Taxes, Amortization of acquisition-related intangible fixed assets, Acquisition-related costs and revenue and Items affecting comparability.

2) International is a segment which was launched in connection with Loomis' acquisition of VIA MAT Holding AG. The acquisition was consolidated on May 5, 2014. The general cargo operations were divested as of July 1, 2016. The comparative figures have not been adjusted.

3) Segment Other consists of the Parent Company's costs and certain other group-wide costs.

4) For the period May 5, 2014 – December 31, 2014.

ORGANIc and real growth

2016	2015	2016	2015	2015	2014	R12
Jul–Sep	Jul–Sep	Jan–Sep	Jan–Sep	Full year	Full year
4,167	3,600	11,953	9,796	13,510	11,364	15,667
135	112	578	207	306	379	677
75	49	200	645	706	1,166	261
–139	–	–139	–	–	–	–139
71	161	639	852	1,012	1,545	799
–38	406	–213	1,305	1,575	601	57
4,200	4,167	12,379	11,953	16,097	13,510	16,253

1) For definition of organic growth, see page 30.

Key ratios

	2016	2015	2016	2015	2015	2014	R12
	Jul–Sep	Jul–Sep	Jan–Sep	Jan–Sep	Full year	Full year
Real growth, %	2	4	5	8	7	14	5
Organic growth, %	3	3	5	2	2	3	4
Total growth,%	1	16	4	22	19	19	5
Gross margin,%	26.8	24.8	25.0	24.0	24.4	23.9	25.2
Selling and administration expenses in % of total revenue	–14.2	–13.2	–14.1	–13.7	–13.9	–13.7	–14.1
Operating margin (EBITA), %	12.6	11.6	10.9	10.2	10.6	10.1	11.1
Tax rate, %	27	26	27	26	27	27	27
Net margin, %	9.3	7.9	7.4	6.4	6.6	6.7	7.4
Return of shareholders' equity, %	21	19	21	19	18	19	21
Return of capital employed, %	17	16	17	16	17	15	17
Equity ratio, %	40	38	40	38	41	38	40
Net debt (SEK m)	4,784	4,842	4,784	4,842	4,425	4,219	4,784
Net debt/EBITDA	1.65	1.83	1.65	1.83	1.60	1.88	1.65
Cash flow from operating activities as % of operating income (EBITA)	102	78	85	72	74	85	84
Investments in relation to depreciation	1.0	1.3	1.0	1.1	1.3	1.2	1.2
Investments as a % of total revenue	6.7	8.3	6.6	7.6	8.6	7.6	7.8
Earnings per share before dilution, SEK	5.201)	4.371)	12.181)	10.241)	14.211)	12.102)	16.151)
Earnings per share after dilution, SEK	5.20	4.37	12.18	10.24	14.21	12.10	16.15
Shareholders' equity per share after dilution, SEK	78.77	73.04	78.77	73.04	77.67	65.24	78.77
Cash flow from operations per share after dilution, SEK	9.20	7.66	21.45	18.73	28.15	24.18	30.87
Dividend per share, SEK	–	–	7.00	6.00	6.00	5.00	7.00
Number of outstanding shares (millions)	75.2	75.2	75.2	75.2	75.2	75.2	75.2
Average number of outstanding shares (millions)	75.21)	75.21)	75.21)	75.21)	75.21)	75.22)	75.21)

1) The number of outstanding shares, which constitutes the basis for calculation of earnings per share before dilution, is 75,226,032. The number of treasury shares amount to 53,797. 2) The average number of outstanding shares, which constitutes the basis for calculation of earnings per share before dilution, is 75,237,915. The number of treasury shares amount to

53,797 as of December 31, 2014.

Statement of income – by quarter

		2016			2015	2014
SEK m	Jul–Sep	Apr–Jun	Jan– Mar	Oct–Dec	Jul–Sep	Apr–Jun	Jan– Mar	Oct–Dec	Jul–Sep
Revenue, continuing operations	4,126	4,088	3,966	4,082	4,118	3,794	3,396	3,263	3,184
Revenue, acquisitions	75	59	66	62	49	150	446	451	416
Total revenue	4,200	4,147	4,032	4,144	4,167	3,944	3,842	3,714	3,600
Production expenses	–3,075	–3,121	–3,087	–3,077	–3,134	–3,001	–2,952	–2,798	–2,708
Gross income	1,126	1,026	944	1,067	1,033	943	891	916	893
Selling and administration expenses	–598	–582	–569	–588	–550	–547	–546	–527	–487
Operating income (EBITA)1)	528	444	376	479	483	397	345	389	406
Amortization of acquisition-related intangible assets	–15	–16	–16	–16	–17	–14	–14	–13	–13
Acquisition-related costs and revenue2)	–32	–3	–5	–18	–9	–30	–22	4	–9
Items affecting comparability	814)	–	–	–	123)	–	–	–	–
Operating income (EBIT)	561	424	355	445	469	352	308	380	384
Net financial items	–28	–26	–28	–30	–24	–32	–27	–19	–18
Income before taxes	533	398	327	415	445	320	281	361	366
Income tax	–141	–112	–88	–116	–116	–84	–76	–102	–88
Net income for the period5)	391	286	239	299	329	236	205	260	278
Key ratios
Real growth, %	2	8	7	5	4	6	17	18	18
Organic growth, %	3	6	5	3	3	1	2	2	3
Operating margin (EBITA), %	12.6	10.7	9.3	11.6	11.6	10.1	9.0	10.5	11.3
Tax rate, %	27	28	27	28	26	26	27	28	24
Earnings per share after dilution (SEK)	5.20	3.81	3.17	3.97	4.37	3.14	2.73	3.45	3.70

1) Earnings Before Interest, Tax, Amortization of acquisition-related intangible fixed assets, Acquisition-related costs and revenue and Items affecting comparability. 2) Acquisition-related costs and revenue for the period January–September 2016, refer to transaction costs of SEK –10 million (–3), restructuring costs of SEK –19 million (–36) and integration costs of SEK –12 million (–22). Transaction costs for the period January–September 2016 amount to SEK 0 million for acquisitions in progress, to SEK –10 million for completed acquisitions and to SEK 0 million for discontinued acquisitions.

3) The item affecting comparability of SEK 12 million relates to a reversal of part of the provision of SEK 59 million which was made in 2007 attributable to overtime compensation in Spain.

4) The item affecting comparability of SEK 81 million relates to a reported capital gain from the divestment of the general cargo operations.

5) Of the result for the period July – September 2014, SEK 0 million was attributable to holdings with a non-controlling interest. For other periods the net income for the period is entirely attributable to the owners of the Parent Company.

Balance Sheet – by quarter

	2016			2015				2014
SEK m	Sep 30	Jun 30	Mar 31	Dec 31	Sep 30	Jun 30	Mar 31	Dec 31	Sep 30
ASSETS
Fixed assets
Goodwill	5,474	5,459	5,286	5,437	5,439	5,232	5,386	4,897	4,679
Acquisition-related intangible assets	282	318	326	349	356	375	393	363	363
Other intangible assets	115	118	113	118	115	117	124	127	123
Tangible fixed assets	4,582	4,294	4,138	4,305	4,148	3,995	3,965	3,813	3,494
Non interest-bearing financial fixed assets	653	559	519	572	594	596	638	601	490
Interest-bearing financial fixed assets	96	88	77	78	69	69	69	67	94
Total fixed assets	11,202	10,836	10,458	10,860	10,720	10,385	10,576	9,868	9,244
Current assets
Non interest-bearing current assets	2,954	2,987	2,906	2,816	2,962	2,886	2,850	2,568	2,568
Interest-bearing financial current assets	26	32	98	84	66	78	20	25	2
Liquid funds	507	700	653	654	621	808	686	566	529
Total current assets	3,487	3,719	3,657	3,555	3,648	3,772	3,556	3,159	3,099
TOTAL ASSETS	14,690	14,555	14,115	14,415	14,368	14,157	14,132	13,027	12,342
SHAREHOL DERS' EQUITY AND LIA BILITIE S
Shareholders' equity1)	5,926	5,633	5,791	5,843	5,495	5,154	5,485	4,907	4,658
Long-term liabilities
Interest-bearing long-term liabilities	5,141	5,499	5,120	5,168	5,519	5,057	4,002	4,140	4,574
Non interest-bearing provisions	768	752	737	806	783	806	810	852	786
Total long-term liabilities	5,910	6,251	5,857	5,974	6,302	5,863	4,811	4,992	5,360
Current liabilities
Tax liabilities	117	136	145	141	99	135	125	117	100
Non interest-bearing current liabilities	2,464	2,397	2,220	2,384	2,395	2,295	2,335	2,273	2,163
Interest-bearing current liabilities	273	138	103	73	78	709	1,375	738	61
Total current liabilities	2,854	2,672	2,467	2,598	2,572	3,140	3,836	3,128	2,324
TOTAL SHAREHOL DERS' EQUITY AND LIA BILITIE S	14,690	14,555	14,115	14,415	14,368	14,157	14,132	13,027	12,342
Key ratios
Return of shareholders' equity, %	21	20	19	18	19	19	18	19	18
Return of capital employed, %	17	17	17	17	16	15	15	15	15
Equity ratio, %	40	39	41	41	38	36	39	38	38
Net debt	4,784	4,817	4,395	4,425	4,842	4,811	4,602	4,219	4,011
Net debt/EBITDA	1.65	1.68	1.57	1.60	1.83	1.91	1.91	1.88	1.90

1) Of the shareholders' equity as of September 30, 2014, SEK 3 million was attributable to holdings with a non-controlling interest. For other periods the shareholders' equity is entirely attributable to the owners of the Parent Company.

Cash flow – By quarter

		2016			2015	2014
SEK m			Jul–Sep Apr–Jun Jan– Mar Oct–Dec				Jul–Sep Apr–Jun Jan– Mar Oct–Dec		Jul–Sep
Additional information
Operating income (EBITA)1)	528	444	376	479	483	397	345	389	406
Depreciation	278	269	271	264	273	266	259	231	227
Change in accounts receivable	–74	–43	–14	53	–101	–141	19	61	–30
Change in other operating capital employed and other items	87	164	–320	53	70	69	–144	128	27
Cash flow from operating activities before investments	818	834	313	850	725	589	479	809	630
Investments in fixed assets, net	–282	–321	–217	–465	–346	–383	–184	–430	–245
Cash flow from operating activities	536	513	96	384	379	206	295	379	384
Financial items paid and received	–23	–24	–22	–39	–22	–26	–30	–15	–20
Income tax paid	–99	–118	–53	–80	–112	–77	–71	–94	–104
Free cash flow	414	372	22	265	245	102	193	270	261
Cash flow effect of items affecting comparability	138	0	0	–2	–2	–9	–1	–2	–2
Acquisition of operations2)	–175	–2	–1	–15	–239	–4	–21	–3	–1
Acquisition-related costs / revenue, paid /received3)	4	–3	–7	–20	–12	–14	–6	–4	–1
Dividend paid	–	–527	–	–	–	–451	–	–	–
Change in interest-bearing net debt excl. liquid funds	–435	–59	43	14	–27	–7	–238	–1,796	–48
Issuance of bonds4)	–	–	–	549	–	–	–	997	–
Change in commercial papers issued and other long-term borrowing	–150	250	–50	–745	–149	519	150	5595)	–199
Cash flow for the period	–204	31	7	46	–185	136	77	21	9
Key ratios
Cash flow from operating activities as % of operating income (EBITA)	102	116	26	80	78	52	85	97	95
Investments in relation to depreciation	1.0	1.2	0.8	1.8	1.3	1.4	0.7	1.9	1.1
Investments as a % of total revenue	6.7	7.7	5.4	11.2	8.3	9.7	4.8	11.6	6.8

1) Earnings Before Interest, Taxes, Amortization of acquisition-related intangible fixed assets, Acquisition-related costs and revenue and Items affecting comparability.

2) Acquisition of operations includes the cash flow effect of acquisition-related transaction costs.

4) Bond issue according to Loomis' MTN program.

5) For the period this includes a loan from Nordic Investment Bank.

Segment overview STATEMENT OF INCOME – By quarter

	2016			2015				2014
SEK m	Jul–Sep	Apr–Jun	Jan– Mar	Oct–Dec	Jul–Sep	Apr–Jun	Jan– Mar	Oct–Dec	Jul–Sep
Europe
Revenue	2,162	2,035	1,974	2,113	2,179	2,058	1,983	2,017	2,022
Real growth, %	2	2	3	4	3	3	6	6	7
Organic growth, %	0	1	1	1	1	1	0	0	2
Operating income (EBITA) 1)	335	262	199	295	312	251	198	264	294
Operating margin (EBITA), %	15.5	12.9	10.1	14.0	14.3	12.2	10.0	13.1	14.5
USA
Revenue	1,826	1,774	1,757	1,708	1,637	1,566	1,516	1,349	1,267
Real growth, %	10	14	16	11	7	5	4	6	7
Organic growth, %	9	13	14	10	7	5	4	6	7
Operating income (EBITA) 1)	208	199	197	200	175	160	156	133	123
Operating margin (EBITA), %	11.4	11.2	11.2	11.7	10.7	10.2	10.3	9.8	9.7
International2)
Revenue	231	348	318	342	372	340	365	364	330
Real growth, %	–38	6	–9	–12	1	n/a	n/a	n/a	n/a
Organic growth, %	–2	6	–9	–12	1	n/a	n/a	n/a	n/a
Operating income (EBITA) 1)	22	19	16	23	26	16	22	35	19
Operating margin (EBITA), %	9.3	5.5	5.1	6.8	6.9	4.7	6.0	9.5	5.8
Other 3)
Revenue	–	–	–	–	–	–	–	–	–
Operating income (EBITA) 1)	–36	–36	–36	–40	–30	–30	–31	–42	–29
Eliminations
Revenue	–19	–10	–17	–19	–21	–21	–21	–16	–18
Operating income (EBITA) 1)	–	–	–	–	–	–	–	–	–
Group total
Revenue	4,200	4,147	4,032	4,144	4,167	3,944	3,842	3,714	3,600
Real growth, %	2	8	7	5	4	6	17	18	18
Organic growth, %	3	6	5	3	3	1	2	2	3
Operating income (EBITA) 1)	528	444	376	479	483	397	345	389	406
Operating margin (EBITA), %	12.6	10.7	9.3	11.6	11.6	10.1	9.0	10.5	11.3

1) Earnings Before Interest, Taxes, Amortization of acquisition-related intangible fixed assets, Acquisition-related costs and revenue, and Items affecting comparability.

3) Segment Other consists of the Parent Company's costs and certain other group-wide costs.

SEGMENT OVERVIEW BALANCE SHEET – By quarter

	2016		2015				2014
SEK m	Sep 30	Jun 30	Mar 31	Dec 31	Sep 30	Jun 30	Mar 31	Dec 31	Sep 30
Europe
Assets	5,780	5,330	5,266	5,441	5,551	5,132	5,125	5,039	5,025
Liabilities	2,540	2,159	2,012	2,055	2,207	2,135	2,195	2,105	1,909
USA
Assets	6,482	6,371	5,996	6,117	5,938	5,730	5,776	5,118	4,781
Liabilities	574	622	459	626	553	542	544	566	580
International1)
Assets	1,242	1,460	1,427	1,424	1,478	1,642	1,691	1,513	1,563
Liabilities	236	398	353	311	388	388	413	343	358
Other 2)
Assets	1,186	1,394	1,426	1,433	1,401	1,653	1,540	1,357	973
Liabilities	5,414	5,743	5,500	5,580	5,725	5,938	5,495	5,106	4,837
Shareholder's equity3)	5,926	5,633	5,791	5,843	5,495	5,154	5,485	4,907	4,658
Group total
Assets	14,690	14,555	14,115	14,415	14,368	14,157	14,132	13,027	12,342
Liabilities	8,764	8,922	8,324	8,572	8,873	9,003	8,647	8,120	7,684
Shareholder's equity3)	5,926	5,633	5,791	5,843	5,495	5,154	5,485	4,907	4,658

1) International is a segment which was launched in connection with Loomis' acquisition of VIA MAT Holding AG. The acquisition was consolidated on May 5, 2014. The general cargo operations were divested as of July 1, 2016. The comparative figures have not been adjusted.

2) Other consists mainly of Group assets and liabilities that cannot be divided by segment.

3) Of the shareholders' equity as of September 30, 2014, SEK 3 million was attributable to holdings with a non-controlling interest. For other periods the shareholders' equity is entirely attributable to the owners of the Parent Company.

Quarterly data

		2016 2015			2014
SEK m	Jul–Sep	Apr–Jun	Jan– Mar	Oct–Dec	Jul–Sep	Apr–Jun	Jan– Mar	Oct–Dec	Jul–Sep
Cash flow
Operations	692	690	232	708	577	463	370	694	503
Investment activities	–311	–324	–217	–480	–585	–387	–205	–433	–246
Financing activities	–585	–335	–7	–182	–176	61	–88	–240	–248
Cash flow for the period	–204	31	7	46	–185	136	77	21	9
Capital employed and financing
Operating capital employed	4,806	4,526	4,477	4,352	4,317	4,145	4,051	3,729	3,606
Goodwill	5,474	5,459	5,286	5,437	5,439	5,232	5,386	4,897	4,679
Acquisition-related intangible assets	282	318	326	349	356	375	393	363	363
Other capital employed	148	146	96	130	225	213	257	137	21
Capital employed	10,710	10,450	10,186	10,268	10,336	9,965	10,087	9,127	8,669
Net debt	4,784	4,817	4,395	4,425	4,842	4,811	4,602	4,219	4,011
Shareholders' equity1)	5,926	5,633	5,791	5,843	5,495	5,154	5,485	4,907	4,658
Key ratios
Return of shareholders' equity, %	21	20	19	18	19	19	18	19	18
Return of capital employed, %	17	17	17	17	16	15	15	15	15
Equity ratio, %	40	39	41	41	38	36	39	38	38
Net debt/EBITDA	1.65	1.68	1.57	1.60	1.83	1.91	1.91	1.88	1.90

Key ratios – By quarter

	2016			2015				2014
	Jul–Sep	Apr–Jun	Jan– Mar	Oct–Dec	Jul–Sep	Apr–Jun	Jan– Mar	Oct–Dec	Jul–Sep
Real growth, %	2	8	7	5	4	6	17	18	18
Organic growth, %	3	6	5	3	3	1	2	2	3
Total growth, %	1	5	5	12	16	19	34	27	24
Gross margin,%	26.8	24.7	23.4	25.7	24.8	23.9	23.2	24.7	24.8
Selling and administration expenses in % of total revenue	–14.2	–14.0	–14.1	–14.2	–13.2	–13.9	–14.2	–14.2	–13.5
Operating margin (EBITA), %	12.6	10.7	9.3	11.6	11.6	10.1	9.0	10.5	11.3
Tax rate, %	27	28	27	28	26	26	27	28	24
Net margin, %	9.3	6.9	5.9	7.2	7.9	6.0	5.3	7.0	7.7
Return of shareholders' equity, %	21	20	19	18	19	19	18	19	18
Return of capital employed, %	17	17	17	17	16	15	15	15	15
Equity ratio, %	40	39	41	41	38	36	39	38	38
Net debt (SEK m)	4,784	4,817	4,395	4,425	4,842	4,811	4,602	4,219	4,011
Net debt/EBITDA	1.65	1.68	1.57	1.60	1.83	1.91	1.91	1.88	1.90
Cash flow from operating activities as % of operating income (EBITA)	102	116	26	80	78	52	85	97	95
Investments in relation to depreciation	1.0	1.2	0.8	1.8	1.3	1.4	0.7	1.9	1.1
Investments as a % of total revenue	6.7	7.7	5.4	11.2	8.3	9.7	4.8	11.6	6.8
Earnings per share before dilution, SEK1)	5.20	3.81	3.17	3.97	4.37	3.14	2.73	3.45	3.70
Earnings per share after dilution, SEK	5.20	3.81	3.17	3.97	4.37	3.14	2.73	3.45	3.70
Shareholders' equity per share after dilution, SEK	78.77	74.88	76.98	77.67	73.04	68.51	72.92	65.24	61.92
Cash flow from operations per share after dilu tion, SEK	9.20	9.17	3.08	9.42	7.66	6.15	4.91	9.22	6.69
Dividend per share, SEK	–	7.00	–	–	–	6.00	–	–	–
Number of outstanding shares (millions)	75.2	75.2	75.2	75.2	75.2	75.2	75.2	75.2	75.2
Average number of outstanding shares (millions)1)	75.2	75.2	75.2	75.2	75.2	75.2	75.2	75.2	75.2

1) The number of outstanding shares, which constitutes the basis for calculation of earnings per share before dilution, is 75,226,032. The number of treasury shares amount to 53,797 shares.

Definitions

Use of key ratios not defined in IFRS

The Loomis Group's accounts are prepared in accordance with IFRS. See page 14 for more information on accounting principles. Only a few key ratios are defined in IFRS. As of the second quarter Loomis is applying the Alternative Performance Measures issued by ESMA (European Securities and Markets Authority). Briefly, an alternative key ratio is a financial measurement of historical or future earnings development, financial position or cash flow, not defined or specified in IFRS. To assist Group Management and other stakeholders in their analysis of the

Gross margin, %

Gross income as a percentage of total revenue.

Operating income (EBITA)

Earnings Before Interest, Taxes, Amortization of acquisitionrelated intangible fixed assets, Acquisition-related costs and revenue and Items affecting comparability.

Operating margin (EBITA), %

Earnings Before Interest, Taxes, Amortization of acquisitionrelated intangible fixed assets, Acquisition-related costs and revenue and Items affecting comparability, as a percentage of revenue.

Operating income (EBITDA)

Earnings Before Interest, Taxes, Depreciation, Amortization of acquisition-related intangible fixed assets, Acquisition-related costs and revenue and Items affecting comparability.

Operating income (EBIT)

Earnings Before Interest and Tax.

Real growth, %

Increase in revenue for the period, adjusted for changes in exchange rates, as a percentage of the previous year's revenue.

Organic growth, %

Increase in revenue for the period, adjusted for acquisition/ divestitures and changes in exchange rates, as a percentage of the previous year's revenue adjusted for divestitures.

Total growth, %

Increase in revenue for the period as a percentage of the previous year's revenue.

Net margin, %

Net income for the period after tax as a percentage of total revenue.

Earnings per share before dilution

Net income for the period in relation to the average number of outstanding shares during the period. The average number of outstanding shares included until March 21, 2014, treasury shares for Loomis Incentive Scheme 2012.

Calculation for:

Jul –Sep 2016: 391/75,226,032 x 1,000,000 = 5.20 Jul–Sep 2015: 329/75,226,032 x 1,000,000 = 4.37 Jan –Sep 2016: 916/75,226,032 x 1,000,000 = 12.18 Jan –Sep 2015: 770/75,226,032 x 1,000,000 = 10.24 Group's performance, Loomis is reporting certain key ratios not defined by IFRS. Group Management believes that this information will facilitate an analysis of the Group's performance. This data supplements the IFRS information and does not replace the key ratios defined in IFRS. Loomis' definitions of measurements not defined in IFRS may differ from definitions used by other companies. All of Loomis' definitions are included below. Key ratio calculations that cannot be checked against items in the statement of income and balance sheet can be found on page 23.

Earnings per share after dilution

Calculation for:

Cash flow from operations per share

Cash flow for the period from operations in relation to the number of shares after dilution.

Investments in relation to depreciation

Investments in fixed assets, net, for the period, in relation to depreciation.

Investments as a % of total revenue

Investments in fixed assets, net, for the period, as a percentage of total revenue.

Shareholders' equity per share

Shareholders' equity in relation to the number of shares after dilution.

Cash flow from operating activities as % of operating income (EBITA)

Cash flow for the period before financial items, income tax, items affecting comparability, acquisitions and divestitures of operations and financing activities, as a percentage of operating income (EBITA).

Return on equity, %

Net income for the period (rolling 12 months) as a percentage of the closing balance of shareholders' equity.

Return on capital employed, %

Operating income (EBITA) (rolling 12 months) as a percentage of the closing balance of capital employed.

Equity ratio, %

Shareholders' equity as a percentage of total assets.

Net debt

Interest-bearing liabilities less interest-bearing assets and liquid funds.

R12

Rolling 12-months period (October 2015 up to and including September 2016).

n/a

Not applicable.

Other

Amounts in tables and other combined amounts have been rounded off on an individual basis. Minor differences due to this rounding-off, may, therefore, appear in the totals.

Loomis in brief

Vision

Managing cash in society.

Financial targets

Revenue: SEK 17 billion by 2017.
Operating margin (EBITA): 10–12 percent.
Net debt/EBITDA: Not exceeding 3.0.
Dividend: 40–60 percent of net income.

Operations

Loomis offers secure and effective comprehensive solutions for the distribution, handling, storage and recycling of cash and other valuables. Loomis' customers are banks, retailers and other companies. Loomis operates through an international network of around 400 branches in more than 20 countries. Loomis employs around 23,000 people and had revenue in 2015 of SEK 16 billion. Loomis is listed on Nasdaq Stockholm Large-Cap list.

Information meeting

An information meeting will be held on November 4, 2016 at 09:30 a.m. (CET). This meeting will be held at Sveavägen 20, 9th floor, Stockholm.

To listen to the meeting proceedings by telephone (and to participate in the question and answer session), please call:

UK: 08006940257 (FreeCall), 08444933800 (LocalCall) or +44 (0) 1452 555566 (International) USA: 18669669439 (FreeCall) or 16315107498 (LocalCall) Sweden: 0200890171 (FreeCall) or 08-50336434 (LocalCall)

Provide conference ID number: Loomis, 8107347.

The meeting can also be viewed online at www.loomis.com/investors/reports&presentations

A recording of the webcast will be published at www.loomis.com/investors/reports&presentations after the information meeting, and a telephone recording of the meeting will be available until November 18, 2016 at 12:30 p.m. CET on number: UK: 08009531533 (FreeCall), 08443386600 (LocalCall) or +44 (0) 1452550000 (International), USA: 1 (866) 247-4222, Sweden: 08-50635742 (LocalCall).

Conference ID number: 8107347.

Future reporting

Full-year report	January – December	February 1, 2017
Interim report	January – March	May 4, 2017
Interim report	January – June	August 2, 2017
Interim report	January – September	November 8, 2017

For further information

Patrik Andersson, President and CEO +46 76 111 34 00, e-mail: [email protected] Anders Haker, CFO +46 70 810 85 59, e-mail: [email protected] Questions can also be sent to: [email protected]. Refer also to the Loomis website: www.loomis.com

This information is information that Loomis AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out above, at 8.00 a.m. CET on November 4, 2016.

Loomis AB (publ.) Corporate Identity Number 556620-8095, PO Box 702, SE-101 33 Stockholm, Sweden Telephone: +46 8-522 920 00, Fax: +46 8-522 920 10 www.loomis.com

AI assistant

Loomis — Interim / Quarterly Report 2016

2940_10-q_2016-11-04_edd521ee-ac7f-48e4-aba7-f82cb2ba6a4e.pdf

interim reporT

january– september 2016

Managing cash in society.

July – September 2016 January – September 2016

8 10 12 14 16 18

Net debt/EBITDA

Annual dividend, %

Comments by the President and CEO

The Group and the segments in brief

Operating margin (EBITA)

Operating margin (EBITA)

Revenue and income

July – September 2016

January – September 2016

The segments

europe

Revenue and operating income – Segment Europe July – September 2016

January – September 2016

USA

Revenue and operating income – Segment USA July – September 2016

January – September 2016

International

Revenue and operating income – Segment International July – September 2016

January – September 2016

Cash flow

STATEMENT OF CASH FLOWS

Cash flow

July – September 2016

January – September 2016

Capital employed

CAPITAL EMPLOYED AND FINANCING

Capital employed

Equity and financing

Acquisitions and divestments

Acquisitions and divestments January – September 2016

Significant events and number of full-time employees

Significant events during the period

Number of full-time employees

Risks and uncertainties

Operational risks

Financial risk

Factors of uncertainty

Seasonal variations

Parent Company

SUMMARY STATEMENT OF INCOME

SUMMARY BALANCE SHEET

Other significant events

Accounting principles

Outlook for 2016

Review Report

Introduction

Focus and scope of the review

Conclusion

Statement OF INCOME

Statement of comprehensive income

Balance Sheet

Change in shareholders' equity

NUMBER OF SHARES AS OF september 30, 2016

CONTINGENT LIABILITiES

CONTINGENT LIABILITIES, PARENT COMPANY

Statement of cash flows

Statement of cash flows, Additional information

Segment overview statement of income

Segment overview statement of income

Segment overview STATEMENT OF INCOME, ADDITIONAL INFORMATION

ORGANIc and real growth

Key ratios

Statement of income – by quarter

Balance Sheet – by quarter

Cash flow – By quarter

Segment overview STATEMENT OF INCOME – By quarter

SEGMENT OVERVIEW BALANCE SHEET – By quarter

Quarterly data

Key ratios – By quarter

Definitions

Use of key ratios not defined in IFRS

Gross margin, %

Loomis Interim / Quarterly Report 2016