Loomis — Interim / Quarterly Report 2017

Nov 8, 2017

Interim report January – September 2017

• Revenue SEK 4,246 million (4,200). Real growth 5 percent (2) and organic growth 3 percent (3).
• Operating income (EBITA)1) SEK 570 million (528) and operating margin 13.4 percent (12.6).
• Income before taxes SEK 518 million (533) and income after taxes SEK 371 million (391).
• Earnings per share before and after dilution amounted to SEK 4.93 (5.20).
• Cash flow from operating activities SEK 522 million (536), equivalent to 91 percent (102) of operating income (EBITA).

July – September 2017 January – September 2017

• Revenue SEK 12,870 million (12,379). Real growth was 3 percent (5) and organic growth was 3 percent (5).
• Operating income (EBITA)1) SEK 1,549 million (1,347) and operating margin 12.0 percent (10.9)
• Income before taxes SEK 1,387 million (1,258) and income after taxes SEK 993 million (916).
• Earnings per share before and after dilution amounted to SEK 13.19 (12.18).
• Cash flow from operating activities SEK 1,274 million (1,146), equivalent to 82 percent (85) of operating income (EBITA).

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

Financial targets up to end of 2017

Net debt/EBITDA

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

Our focus on cost efficiency and efforts to increase volumes in our Cash Management Service (CMS) operations have continued to yield results in the third quarter. The Group's organic growth was 3 percent (3) and was primarily driven by our operations in the USA, Turkey and Argentina. The Group's operating margin (EBI-TA) for the third quarter was to 13.4 percent (12.6), which is the highest operating margin Loomis has ever had in a single quarter.

The positive growth we have experienced in the USA over an extended period is continuing. We are growing in all of our business lines and the organic growth amounted to 8 percent (9). We are focusing on constantly improving the quality of our offering and this is a strong factor in our continued growth. Our SafePoint concept is a success and revenue increased during the quarter by around 20 percent, compared to the corresponding quarter in 2016. During the first nine months of the year we installed a total of just over 2,500 new units, whereof 919 (1,270) were installed during the third quarter. Our goal for 2017 has been to install at least 5,000 new units. We have concluded that, due to the widespread natural disasters that took place in the south of the USA and in Puerto Rico this summer, we may not fully reach that target. The operating margin in USA continued to improve, amounting to 13.1 percent (11.4) in the third quarter. Similar to the previous quarter, increased CMS volumes, more installed SafePoint units and the ongoing efficiency improvement efforts were the main factors in our good results.

The organic growth in segment Europe amounted to 0 percent (0) during the quarter. The good growth we have seen in Spain, Turkey and Argentina is being maintained. I would also like to highlight the fact that we have gained many new customers and increased our market share in Portugal. The replacement of bank notes and coins in Sweden, which is now complete, also had a positive impact on growth during the quarter. The underlying volumes in the Nordic countries are, however, still declining slightly. In France we saw increased competition already in the second quarter this year. This continued into the third quarter

with somewhat negative growth in France as a result. An action program has been initiated to compensate for the lower volumes. The operating margin in Segment Europe increased during the quarter to 15.9 percent (15.5). I am delighted to see that the changes being made in the UK continue to result in a higher operating margin at the same time as the quality of our services is improving. Efficiency improvement efforts and good cost control in our European branches are other important factors contributing to the improved profitability.

On September 28 we held a Capital Markets Day in London at which we presented an updated strategy and new financial targets. We also introduced sustainability targets. The strategy we presented extends from 2018 to 2021. Our intention is to take a step further along the value chain by offering new services and seizing new growth opportunities. The main points of the strategy involve increasing the growth rate for our core products in less mature markets and, in our more mature markets, increasing our total offering of services that generate good profitability and are closely linked to our current core business. We have also raised our estimate for the SafePoint market in the USA from 300,000 to 400,000 units. Furthermore, we will create two Centers of Excellence and one Innovation Center. The two Centers of Excellence will lead development work on our concepts for SafePoint and retail customers and for CIT and CMS. Our Innovation Centre will be responsible for innovation of new services and technologies. To support our strategy and to promote knowledge exchange and achieve cost synergies, we have made some organizational changes, including combining the three European regions into one region with one regional President.

Our 2021 financial targets essentially involve reaching revenue of SEK 24 billion and an operating margin (EBITA) of between 12 and 14 percent. If we do not carry out any acquisitions that significantly dilute our operating margin, we estimate that it will be close to 14 percent at the end of the period. Finally, we have a dividend target which is the same as before, 40–60 percent of net income. The sustainability targets we have introduced include a zero vision for work-related injuries, a 30-percent decrease in carbon emissions compared with today's level, and a 30-percent reduction in the use of plastics, during the strategy period.

Finally, I would like to point out that we have completed an acquisition in line with our new strategy. On September 28 we announced the acquisition of Intermarketing in Finland. The company's head office is in Helsinki and it offers both bank and retail customers comprehensive solutions in cash depositing and recycling. The service includes hardware, software, installation, integration, service and aftermarket. Intermarketing is a market leader in cash recycling solutions in the Nordic region and has implemented close to 1,000 installations in Finland.

Patrik Andersson

President and CEO

The Group and the segments in brief

	2017	2016	2017	2016	2016	R12
SEK m	Jul–Sep	Jul–Sep	Jan–Sep	Jan–Sep	Full year
Group total
Revenue	4,246	4,200	12,870	12,379	16,800	17,291
Real growth, %	5	2	3	5	5	3
Organic growth, %	3	3	3	5	5	3
Operating income (EBITA)1)	570	528	1,549	1,347	1,890	2,092
Operating margin, %	13.4	12.6	12.0	10.9	11.2	12.1
Earnings per share before dilution, SEK2)	4.93	5.20	13.19	12.18	16.73	17.74
Earnings per share after dilution, SEK	4.93	5.20	13.19	12.18	16.73	17.74
Cash flow from operating activities as % of operating income (EBITA)	91	102	82	85	107	102
Segments
Europe
Revenue	2,199	2,162	6,503	6,170	8,384	8,717
Real growth, %	4	2	6	2	3	6
Organic growth, %	0	0	1	0	0	0
Operating income (EBITA)1)	350	335	878	795	1,119	1,202
Operating margin, %	15.9	15.5	13.5	12.9	13.4	13.8
USA
Revenue	1,852	1,826	5,763	5,356	7,325	7,731
Real growth, %	8	10	6	13	12	7
Organic growth, %	8	9	6	12	11	7
Operating income (EBITA)1)	242	208	742	603	842	981
Operating margin, %	13.1	11.4	12.9	11.3	11.5	12.7
International
Revenue	210	231	655	897	1,149	907
Real growth, %	–7	–38	–29	–13	–17	–27
Organic growth, %	–7	–2	–5	–2	0	–2
Operating income (EBITA)1)	15	22	42	57	77	62
Operating margin, %	7.1	9.3	6.4	6.3	6.7	6.8

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, was for the period 75,226,032. 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 earnings

	2017	2016	2017	2016	2016	R 12
SEK m	Jul–Sep	Jul–Sep	Jan–Sep	Jan–Sep	Full year
Revenue	4,246	4,200	12,870	12,379	16,800	17,291
Operating income (EBITA)1)	570	528	1,549	1,347	1,890	2,092
Operating income (EBIT)	549	561	1,470	1,340	1,852	1,982
Income before taxes	518	533	1,387	1,258	1,735	1,864
Net income for the period	371	391	993	916	1,258	1,335
KEY RATIOS
Real growth, %	5	2	3	5	5	3
Organic growth, %	3	3	3	5	5	3
Operating margin, %	13.4	12.6	12.0	10.9	11.2	12.1
Tax rate, %	28	27	28	27	27	28
Earnings per share after dilution, SEK	4.93	5.20	13.19	12.18	16.73	17.74

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

July – September 2017

Revenue for the quarter amounted to SEK 4,246 million (4,200). The real growth was 3 percent (3) and the organic growth was 5 percent (2). The increase is mainly attributable to continued good growth in both CIT and CMS in the USA. Growth was also positively affected by increased sales, mainly in Spain, Turkey, Argentina and Portugal. The replacement of bank notes and coins in Sweden, which is now complete, also had a positive impact on growth for the quarter. The underlying volumes in the Nordic countries are, however, still declining slightly. Similar to the second quarter this year, the organic growth was negative in France, which is mainly due to increasing competition in the country. The acquisitions implemented in Denmark and Belgium in 2016 and 2017 respectively had a positive impact on real growth.

The operating income (EBITA) amounted to SEK 570 million (528) and the operating margin was 13.4 percent (12.6). At comparable exchange rates the income improvement was around SEK 63 million. The improved profitability is mainly explained by an increase in the number of installed SafePoint units, economies of scale resulting from increased CMS volumes and better efficiency within CIT operations in the USA. Also, the continuous, Group-wide efforts to improve efficiency have continued to yield results in a number of European countries and this has contributed to the margin improvement.

The Group's operating income (EBIT) amounted to SEK 549 million (561). Operating income in 2016 was positively impacted by an item affecting comparability of SEK 81 million from the divestment of the general cargo operations. Amortization of acquisitionrelated intangible assets for the quarter amounted to SEK –12 million (–15) and acquisition-related costs amounted to SEK –10 million (–32). As in 2016, the acquisition-related costs are mainly restructuring and integration costs relating to the acquisition implemented in 2016 in Denmark.

Income before tax of SEK 518 million (533) includes a net financial expense of SEK –30 million (–28).

The tax expense for the quarter amounted to SEK –147 million (–141), which represents a tax rate of 28 percent (27).

Earnings per share after dilution amounted to SEK 4.93 (5.20).

January – September 2017

Revenue for the nine-month period amounted to SEK 12,870 million compared to SEK 12,379 million for the corresponding period the previous year. Sustained good growth in the USA is the main explanation for the organic growth of 3 percent (5). Growth in CMS in the USA is to a large extent explained by a sustained increase in revenue from SafePoint. Organic growth for the Group as a whole was also positively affected by increased sales in a number of European countries, but was offset by lower sales in France. Real growth of 3 percent (5) was positively affected by acquisitions in Denmark and Belgium and negatively affected by the divestment in 2016 of the general cargo operations.

The operating income (EBITA) amounted to SEK 1,549 (1,347) million and the operating margin improved to 12.0 percent (10.9). At comparable exchange rates the income improvement was around SEK 190 million. The improved profitability is mainly explained by an increase in the number of installed SafePoint units, economies of scale resulting from increased volumes in CMS and by better efficiency within CIT operations in the USA. Profitability was also positively affected by the continuous Group-wide efforts to improve efficiency, which continued to yield results in a number of European countries.

The operating income for the period (EBIT) amounted to SEK 1,470 million (1,340), which includes amortization of acquisition-related intangible assets of SEK –40 million (–47) and acquisition-related costs of SEK –39 million (–41). The acquisition-related costs are mainly restructuring and integration costs relating to the acquisition implemented in 2016 in Denmark. In 2016, following the divestment of the general cargo operations, a capital gain of SEK 81 million was reported as an item affecting comparability.

Income before taxes of SEK 1,387 million (1,258) includes a net financial expense of SEK –83 million (–82).

The tax expense for the period amounted to SEK –394 million (–341), which represents a tax rate of 28 percent (27).

Earnings per share after dilution amounted to SEK 13.19 (12.18).

The segments

europe

	2017	2016	2017	2016	2016	R 12
SEK m	Jul–Sep	Jul–Sep	Jan–Sep	Jan–Sep	Full year
Revenue	2,199	2,162	6,503	6,170	8,384	8,717
Real growth, %	4	2	6	2	3	6
Organic growth, %	0	0	1	0	0	0
Operating income (EBITA)1)	350	335	878	795	1,119	1,202
Operating margin, %	15.9	15.5	13.5	12.9	13.4	13.8

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

Revenue and operating income – Segment Europe July – September 2017

Revenue for Segment Europe for the quarter amounted to SEK 2,199 million (2,162) and organic growth was 0 percent (0). Spain, Portugal, Argentina and Turkey were the main countries to demonstrate good organic growth, but there was also organic growth in the UK. Similar to the second quarter, the replacement of bank notes and coins in Sweden had a positive impact on growth, but as a whole, the underlying volumes in the Nordic countries are declining slightly. The organic growth was negative in France and was mainly affected by increasing competition in the country. The real growth of 4 percent (2) includes revenue attributable to the Danish company BKS which was acquired in August 2016, as well as revenue relating to the Belgian company Cobelguard, acquired in January 2017.

The operating income (EBITA) amounted to SEK 350 million (335) and the operating margin was 15.9 percent (15.5). The improved profitability is explained by the continuous efforts to improve efficiency, which continued to yield results. The previously reported positive development in the UK continued during the quarter.

January – September 2017

Revenue for Segment Europe for the period amounted to SEK 6,503 million (6,170) and organic growth was 1 percent (0). Spain, Argentina and Turkey were the main countries demonstrating good organic growth during the first nine months of the year, while lower volumes in the Nordic countries to some extent offset the positive organic growth for the segment as a whole. By the second quarter, the competition situation had already become tougher in France and revenues have declined slightly since then. At the beginning of 2017 growth in the UK was negatively impacted due to the fact that a few of the retail customers taken over in connection with the acquisition of Cardtronics' cash handling operations chose other suppliers in 2016. The effect of the lost contracts levelled out during the summer and growth in the latter part of the period was positive. The real growth of 6 percent (2) includes revenue attributable to the Danish company BKS and the Belgian company Cobelguard which were acquired in August 2016 and January 2017 respectively.

The operating income (EBITA) amounted to SEK 878 million (795) and the operating margin improved to 13.5 percent (12.9). The improved profitability is explained by the continuous efforts to improve efficiency, which continue to yield results in several countries, including the UK. Profitability was also positively affected by the synergy effects realized within the Danish operations after the acquisition of BKS.

USA

	2017	2016	2017	2016	2016	R 12
SEK m	Jul–Sep	Jul–Sep	Jan–Sep	Jan–Sep	Full year
Revenue	1,852	1,826	5,763	5,356	7,325	7,731
Real growth, %	8	10	6	13	12	7
Organic growth, %	8	9	6	12	11	7
Operating income (EBITA)1)	242	208	742	603	842	981
Operating margin, %	13.1	11.4	12.9	11.3	11.5	12.7

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

Revenue and operating income – Segment USA

July – September 2017

Revenue in the USA for the quarter amounted to SEK 1,852 million (1,826) and both real growth and organic growth amounted to 8 percent (10 and 9 respectively). Growth in 2016 was greatly affected by revenue related to the CMS contract with Bank of America which was implemented incrementally in 2015. The growth for the quarter was explained by increased revenue in both CIT and CMS. Increased revenue from SafePoint is to a large extent explaining the CMS growth. SafePoint revenue for the quarter amounted to 12 percent (11) of the segment's total revenue. Changes in fuel fees, which Loomis passes on to its customers, had a marginally positive effect on organic growth for the quarter but did not significantly affect the operating income.

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

The operating income (EBITA) amounted to SEK 242 million (208) and the operating margin was 13.1 percent (11.4). The main explanations for the improved operating margin are the increased number of installed SafePoint units, economies of scale achieved due to increased CMS volumes, and the constant efforts to improve efficiency which continued to yield results. Good growth in CIT has also had a positive impact on profitability due to improved efficiency in this business line.

January – September 2017

Revenue for Segment USA for the first nine months amounted to SEK 5,763 million (5,356) and both real and organic growth amounted to 6 percent (13 and 12 respectively). The growth is the result of increased revenue in both CIT and CMS. Growth in CMS is to a large extent explained by the continuing increase in revenue from SafePoint. Revenue from SafePoint for the period amounted to 12 percent (10) of the segment's total revenue. Changes in fuel fees, which Loomis passes on to its customers, had a positive effect on organic growth by around 1 percentage point, but did not significantly affect the operating income.

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

The operating income (EBITA) amounted to SEK 742 million (603) and the operating margin was 12.9 percent (11.3). The reasons for the improved profitability are the increased number of installed SafePoint units, economies of scale resulting from increased CMS volumes, and the continuous efforts to improve efficiency which continued to yield results. Efficiency improvement in CIT operations also contributed to the improved profitability as volumes have increased and economies of scale have been achieved.

international

	2017	2016	2017	20162)	20162)	R 122)
SEK m	Jul–Sep	Jul–Sep	Jan–Sep	Jan–Sep	Full year
Revenue	210	231	655	897	1,149	907
Real growth, %	–7	–38	–29	–13	–17	–27
Organic growth, %	–7	–2	–5	–2	0	–2
Operating income (EBITA)1)	15	22	42	57	77	62
Operating margin, %	7.1	9.3	6.4	6.3	6.7	6.8

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 for the divestment.

Revenue and operating income – Segment International July – September 2017

Revenue for Segment International amounted to SEK 210 million compared to SEK 231 million for the third quarter the previous year and real growth was –7 percent (–38). The previous year's negative real growth was related to the divested general cargo operations. Due to macroeconomic factors, demand for crossborder transportation of bank notes and precious metals was relatively low compared to the corresponding quarter the previous year, and organic growth therefore amounted to –7 percent (–2).

The operating income (EBITA) amounted to SEK 15 million (22) and the operating margin was 7.1 percent (9.3). The lower volumes compared to the previous year have had a negative effect on the operating margin.

January – September 2017

Revenue for Segment International amounted to SEK 655 million compared to SEK 897 million for the corresponding period the previous year and real growth was –29 percent (–13). The lower revenue and the negative real growth is mainly explained by the fact that the comparative figures included revenue of SEK 239 million relating to the general cargo operations which were divested on July 1, 2016. Organic growth amounted to –5 percent (–2) and is mainly explained by lower demand for cross-border transportation of bank notes and precious metals than in the corresponding period the previous year. Demand is greatly influenced by macroeconomic factors.

The operating profit (EBITA) amounted to SEK 42 million (57) and the operating margin for the period was 6.4 percent (6.3). The improved margin is to some extent explained by the fact that the divested operations had lower profitability than the remaining operations. The lower demand compared to the previous year, primarily in the high-value transportation of bank notes and precious metals, has, however, had a negative impact on profitability.

Cash flow

STATEMENT OF CASH FLOWS

	2017	2016	2017	2016	2016	R 12
SEK m	Jul–Sep	Jul–Sep	Jan–Sep	Jan–Sep	Full year
Operating income (EBITA)1)	570	528	1,549	1,347	1,890	2,092
Depreciation	273	278	851	818	1,105	1,138
Change in accounts receivable	–129	–74	–180	–131	–53	–101
Change in other working capital and other items	43	87	–184	–68	192	77
Cash flow from operating activities before investments	757	818	2,037	1,966	3,134	3,205
Investments in fixed assets, net	–236	–282	–763	–820	–1,120	–1,064
Cash flow from operating activities	522	536	1,274	1,146	2,013	2,141
Financial items paid and received	–27	–23	–70	–68	–117	–119
Income tax paid	–67	–99	–350	–270	–326	–407
Free cash flow	427	414	854	808	1,570	1,616
Cash flow effect of items affecting comparability	0	138	–1	138	138	0
Acquisition of operations2)	–179	–175	–213	–178	–201	–236
Acquisition-related costs/revenue, paid/received3)	–18	4	–64	–6	–17	–75
Dividend paid	–	–	–602	–527	–527	–602
Change in interest-bearing net debt excl. liquid funds	191	–55	10	21	–168	–179
Change in commercial papers issued and other long-term borrowing	–30	–530	256	–422	–816	–138
Cash flow for the period	392	–204	241	–166	–20	387
Liquid funds at beginning of period	492	700	663	654	654	507
Exchange rate differences in liquid funds	–12	11	–32	19	28	–23
Liquid funds at end of period	872	507	872	507	663	872
KEY RATIOS
Cash flow from operating activities as a % of operating income (EBITA)	91	102	82	85	107	102
Investments in relation to depreciation	0.9	1.0	0.9	1.0	1.0	0.9
Investments as a % of total revenue	5.6	6.7	5.9	6.6	6.7	6.2

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 up to December 31, 2016 includes the cash flow effect of acquisition-related transaction costs. 3) Refers to acquisition-related restructuring and integration costs. As from 2017 this item includes acquisition-related transaction costs. For 2016, this item includes an escrow

repayment for the acquisition of Cardtronics' cash handling operations in the UK in 2015.

Cash flow

July – September 2017

Cash flow from operating activities was SEK 522 million (536), equivalent to 91 percent (102) of operating income (EBITA).

Net investments in fixed assets for the period amounted to SEK 236 million (282), which can be compared to depreciation of fixed assets of SEK 273 million (278). Investments of SEK 91 million (157) were made during the period in vehicles, safety equipment and SafePoint. In addition, investments of SEK 88 million (81) were made in buildings, machinery and similar equipment.

The amount of income tax paid in the quarter was SEK 67 million compared to SEK 99 million for the corresponding quarter the previous year.

January – September 2017

Cash flow from operating activities SEK 1,274 million (1,146), equivalent to 82 percent (85) of operating income (EBITA).

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

Net investments in fixed assets for the period amounted to SEK 763 million (820), which can be compared to depreciation of fixed assets of SEK 851 million (818). Investments of SEK 340 million (446) were made during the period in vehicles, safety equipment and SafePoint. In addition, SEK 267 million (227) was invested in buildings, machinery and similar equipment.

SEK 602 million was paid out in dividends to the shareholders during the period, equivalent to a dividend yield of around 3.1 percent.

Capital employed and financing

CAPITAL EMPLOYED AND FINANCING

	2017	2016	2016
SEK m	Sep 30	Sep 30	Dec 31
Operating capital employed	4,708	4,806	4,615
Goodwill	5,420	5,474	5,626
Acquisition-related intangible assets	300	282	261
Other capital employed	21	148	74
Capital employed	10,450	10,710	10,576
Net debt	3,873	4,784	3,929
Shareholders' equity	6,576	5,926	6,647
Key ratios
Return on capital employed, %	20	17	18
Return on equity, %	20	21	19
Equity ratio, %	45	40	45
Net debt/EBITDA	1.20	1.65	1.31

Capital employed

Capital employed amounted to SEK 10,450 million (10,576 as of December 31, 2016). Return on capital employed amounted to 20 percent (18 as of December 31, 2016).

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 2017.

Equity and financing

Shareholders' equity amounted to SEK 6,576 million (6,647 as of December 31, 2016). The return on shareholders' equity was 20 percent (19 on December 31, 2016) and the equity ratio was 45 percent (45 as of December 31, 2016). Shareholders' equity increased by the amount of net income for the period, SEK 993 million, but was reduced by the SEK 602 million paid out in dividends to the shareholders.

Net debt amounted to SEK 3,873 million (3,929 as of December 31, 2016). The net debt/EBITDA ratio amounted to SEK 1.20 on September 30, 2017 (1.31 as of December 31, 2016).

Acquisitions

	Consolidated as of	Segments	Acquired share1) %	Annual sales SEK m	Number of employ ees	Purchase price SEK m	Goodwill SEK m	Acquisition related intangible assets SEK m	Other acquired net assets SEK m
Opening balance, January 1, 2017							5,626	261
Acquisition of Cobelguard CIT NV7)	January 30	Europe	100	1142)	170	344)	728)	21	–58
Acquisition of Intermarketing Oy7)	September 21	Europe	100	902)	30	1865)	1029)	66	18
Other acquisitions7)	August 31	Europe	100	343)	5	156)	610)	6	3
Total acquisitions January – September 2017							180	92	–37
Amortization of acquisition-related intangible assets							–	–40
Translation differences11)							–386	–13
Closing balance September 30, 2017							5,420	300

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

2) Annual revenue in 2016 translated to SEK million at the acquisition date.

3) Annual revenue for the fiscal year June 2015 to June 2016.

4) Purchase price on a cash/debt free basis (Enterprise value) amounted to around SEK 114 million at the acquisition date.

5) Purchase price on a cash/debt free basis (Enterprise value) amounted to around SEK 181 million at the acquisition date.

6) Purchase price on a cash/debt free basis (Enterprise value) amounted to around SEK 15 million at the acquisition date.

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

8) Goodwill arising in connection with the acquisition is primarily attributable to geographical expansion. The goodwill amount includes a deferred consideration calculated at present value not exceeding EUR 5 million. Any impairment is not tax deductible.

9) Goodwill arising in connection with the acquisition is primarily attributable to markets, synergy effects and expansion of services. Any impairment is not tax deductible.

10) Goodwill arising in connection with the acquisition is primarily attributable to synergy effects. Any impairment is not tax deductible. 11) Includes adjustments of preliminary reported acquisition balance sheets.

Acquisitions January – September 2017

In January 2017 Loomis acquired all of the shares in the Belgian company Cobelguard CIT NV. Cobelguard conducts domestic cash handling services and is based in Ghent, Belgium. The enterprise value amounted to around EUR 12 million, equivalent to around SEK 114 million. In addition to the purchase price paid of SEK 34 million, the sellers have the right to deferred considerations maximized at EUR 5 million depending on future financial development. The maximum deferred consideration has been calculated at present value and the entire amount has been provided for. Cobelguard has around 170 employees and annual revenue in 2016 was around EUR 12 million. The acquired operations are reported in Segment Europe and were consolidated into Loomis' accounts as of the date the transaction was completed, January 30, 2017. The purchase price, excluding the deferred consideration, was paid on closing. As a result of restructuring and integration costs, the acquisition is expected to have a marginally negative impact on Loomis' earnings per share for 2017.

In September 2017 Loomis acquired all of the shares in the Finnish company Intermarketing Oy. Intermarketing's head office is in Helsinki, Finland. It offers both bank and retail customers comprehensive solutions in cash depositing and recycling. The enterprise value amounted to around EUR 19 million, equivalent to around SEK 181 million. Intermarketing has around 30 employees and annual revenue for 2016 amounted to around EUR 9.5 million. The acquired operations are reported in Segment Europe and were consolidated into Loomis' accounts on the transaction date, September 21, 2017. 90 percent of the consideration was paid on that date. The acquisition is expected to have a marginally positive impact on Loomis' earnings per share for 2017.

In August 2017 a small acquisition was implemented. The acquisition was consolidated into Segment Europe and is not expected to have any significant impact on Loomis' earnings per share for 2017.

Significant events and number of full-time employees

Significant events during the period

The Annual General Meeting on May 4, 2017 voted in favor of the Board's proposal to introduce an Incentive Scheme (Incentive Scheme 2017). Similar to Incentive Scheme 2016, the incentive scheme 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 in Loomis AB at the beginning of 2019. The allotment of shares is contingent upon the employee still being employed by the Loomis Group on the last day of February 2019, 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 September 28, 2017 Loomis published its new financial and sustainability targets. The new targets for 2018–2021 are:

Financial targets

• Revenue: SEK 24 billion by 2021.
• Operating margin (EBITA): 12–14 percent.
• Dividend: 40–60 percent of net income

Sustainability targets

• Zero workplace related injuries
• Decrease carbon emission by 30 percent
• Decrease plastic volumes by 30 percent

The timing and size of acquisitions as well as investments may have an impact on the operating margin during the target period which is why a range of 12–14 percent for the operating margin has been set. Assuming that no margin diluting acquisitions take place, the business is expecting an operating margin of around 14 percent for the full year 2021.

Loomis has a strong focus on sustainability and the activities are integrated into Loomis' business model. The goal is to further elevate the level of ambition for sustainability work and Loomis has therefore included three sustainability targets. These targets have been chosen as they are expected to have a positive impact on the environment while also improving Loomis' financial results.

Strategy summary

Loomis is aiming to take a step further along the value chain by offering new services and seizing new growth opportunities. The core elements of the strategy involve increasing the growth rate for the core products in less mature markets and, in more mature markets, increasing the offering of services that generate higher profitability and are closely linked to the current core business.

Loomis will continue to optimize the global business model to further improve the offering of cash management services (CMS) and SafePoint solutions in the US and Europe. Loomis is also raising the estimate for the SafePoint market in the US from 300,000 to 400,000 units. Loomis annual SafePoint installations in the US is expected to reach 10,000 at the end of the strategy period. The current European market is estimated at 200,000 potential installations. To support the strategy, two Centers of Excellence and one Center of Innovation will be created. One Centre of Excellence will be located in Houston, USA and will focus on solutions for SafePoint and other solutions for retail customers. The other Centre of Excellence will be located in Madrid, Spain and will focus on cash in transit and cash management services. The Center of Innovation will be located in Stockholm, Sweden. The intention is to accelerate knowledge sharing within the Loomis Group and to facilitate the efficient implementation of new services and technologies.

By moving further along the value chain and offer services such as ATM management and foreign currency, front and back office services for retail customers and banks and, in the long term, digital platforms, Loomis will be able to reach new market segments. These offerings will be able to support the customers in a better way while also increasing Loomis' market potential.

Loomis sees acquisitions as a key component in the strategy and believes a large portion of growth to come from selective acquisitions during the strategy period. Loomis will prioritize acquisitions in existing markets as well as investments in new technology and new services.

Loomis will continue to develop the Loomis model by adding new skills and competences. This will include areas such as innovation, IT and technology.

To support the strategy Loomis will be making some organizational changes. The first change involved combining all three European regions into one region (Europe). The new European President is Georges Lopez who is currently Regional President Southern Europe. The change will not only contribute to extensive gains in terms of knowledge-sharing and implementation of new services, but will also provide cost synergies with respect to operating costs and capital expenditures. The new organizational structure in Europe went into effect on October 1, 2017. As a result of the organizational change, Kenneth Högman, Regional

President, UK and Patrik Högberg, Regional President Northern and Eastern Europe will assume new roles within the Loomis Group.

Also, Lars Blecko, currently Regional President USA will become non-executive chairman of Loomis USA, while Aritz Larrea, currently Country President in Spain, will take over as Regional President USA as of June 1, 2018.

Number of full-time employees

The average number of full-time employees for the rolling twelve-month period was 22,600 (22,000 for the full year 2016). Of these, around 12,500 employees work within Segment Europe, around 9,700 within Segment USA and around 400 are employed within Segment International.

Risks and uncertainties

Risks

Loomis' operations, which include cash in transit, cash management services and international valuables logistics, involve Loomis' assuming the customer's risks associated with managing, transporting and storing cash, precious metals and valuables. Loomis has established routines and processes to identify, take action to mitigate and monitor risks. Risks are assessed based on two criteria: the likelihood that an event will occur and the severity of the consequences for the business if the event should occur. There is risk both in terms of circumstances pertaining to Loomis itself or the industry as a whole as well as risks that are more general in nature. Certain risks are outside of Loomis' control.

Below is a description of some of the most significant risks and uncertainties that may have a negative impact on Loomis' operations, financial position and results, and which should therefore be taken into account when making assessments based on fullyear or interim information. The risks described below are not in any particular order of significance.

Operational risks: Operational risks are risks associated with the day-to-day operations and the services offered by the Company to its customers. Some of the most significant risks Loomis has identified are:

• IT-related risks, such as operational disruptions and extended stoppages of systems linked to operating activities, as well as risks linked to installation of new systems.
• Risk of changed behavioral patterns relating to purchases and payments.
• Customer-related risks, such as the risk of loss of certain customers as well as significant changes in the banking sector.
• Competition risk, such as Loomis' ability to develop competitive offerings.
• Employee risk, such as a high staff turnover.
• Risk of robbery
• Risk of internal theft and/or failing cash reconciliation routines at cash centers.
• Risk associated with the implementation of acquisitions, such as difficulties integrating new operations and employees, as well as the anticipated benefits of a certain acquisition not being realized or only partially realized.

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 relating to these instruments are mainly:

• Interest rate risk associated with liquid funds and loans.
• Exchange rate risks associated with transactions and translation of shareholder's equity
• Financing risk relating to the Company's capital requirements.
• Liquidity risk associated with short-term solvency
• Credit risk pertaining to financial and commercial activities
• Capital risk pertaining to the capital structure.
• Price risk

The financial risks are described in more detail in Note 6 in the 2016 Annual Report.

Legal risks: Through its operations, Loomis is exposed to legal risks such as:

• Risk of disputes and legal action.
• Risk associated with the application of existing laws, other regulations and changes in legislation.

Factors of uncertainty

The economic trend in the first nine months of 2017 may have impacted certain geographic areas negatively, and it cannot be ruled out that this may have a negative impact on Loomis' revenue and income for the remainder of 2017. Changes in general economic conditions 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.

The preparation of financial reports requires the Board of Directors and Group Management to make estimates and assessments. Estimates and assessments affect both the income statement and the balance sheet, as well as the information disclosed on, for example, contingent liabilities. Actual outcomes may deviate from these estimates and assessments depending on other circumstances and other conditions.

In the remaining part of the year the actual financial results of certain previously reported items affecting comparability, provisions and contingent liabilities, as described in the 2016 Annual report and where applicable under the heading "Other significant events" on page 16, may deviate from the financial assessments and provisions made by management. This may impact the Group's profitability and financial position.

Seasonal variations

Loomis' earnings fluctuate across the seasons and this should be taken into consideration when making assessments based on interim financial information. The primary reason for these seasonal variations is that the need for cash handling services increases during the vacation periods and in connection with public holidays and holiday periods.

Parent Company

SUMMARY STATEMENT OF INCOME

	2017	2016	2016
SEK m	Jan–Sep	Jan–Sep	Full year
Revenue	372	326	443
Operating income (EBIT)	237	201	279
Income after financial items	868	431	443
Net income for the period	770	420	513

SUMMARY BALANCE SHEET

	2017	2016	2016
SEK m	Sep 30	Sep 30	Dec 31
Fixed assets	9,638	9,563	9,564
Current assets	971	740	814
Total assets	10,609	10,302	10,378
Shareholders' equity1)	5,047	4,796	4,889
Liabilities	5,562	5,507	5,490
Total shareholders' equity and liabilities	10,609	10,302	10,378

1) 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 19 (21).

The Parent Company's revenue mainly consists of license fees and other revenue from subsidiaries. The improved result is mainly due to higher dividends from subsidiaries and exchange gains relating to loans in foreign currencies for investments in subsidiaries.

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

For critical estimates and assessments as well as contingent liabilities, please refer to pages 67–68 and 93 of the 2016 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 1–33, and pages 1–17 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 60–66 of the 2016 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 most important accounting principles applying to the Parent Company can be found in Note 36 on page 98 of the 2016 Annual Report.

Outlook for 2017

The Company is not providing any forecast information for 2017.

Stockholm, November 8, 2017

Patrik Andersson President and CEO, Board member

Review Report

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, 2017 and the nine-month period ending as of the same date. The Board of Directors and the President and CEO 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 8, 2017

PricewaterhouseCoopers AB

Patrik Adolfson Authorized Public Accountant

Statement OF INCOME

	2017	2016	2017	2016	2016	2015	R12
SEK m	Jul–Sep	Jul–Sep	Jan–Sep	Jan–Sep	Full year	Full year
Revenue, continuing operations	4,154	4,126	12,538	12,180	16,485	15,391	16,844
Revenue, acquisitions	92	75	332	200	315	706	447
Total revenue	4,246	4,200	12,870	12,379	16,800	16,097	17,291
Production expenses	–3,034	–3,075	–9,383	–9,284	–12,493	–12,163	–12,593
Gross income	1,211	1,126	3,487	3,096	4,307	3,934	4,698
Selling and administration expenses	–641	–598	–1,938	–1,749	–2,417	–2,231	–2,607
Operating income (EBITA)1)	570	528	1,549	1,347	1,890	1,703	2,092
Amortization of acquisition-related intangible assets	–12	–15	–40	–47	–62	–62	–56
Acquisition-related costs and revenue	–10	–32	–392)	–412)	–56	–79	–54
Items affecting comparability	–	813)	–	813)	813)	124)	–
Operating income (EBIT)	549	561	1,470	1,340	1,852	1,575	1,982
Net financial items	–30	–28	–83	–82	–117	–114	–118
Income before taxes	518	533	1,387	1,258	1,735	1,461	1,864
Income tax	–147	–141	–394	–341	–477	–392	–529
Net income for the period5)	371	391	993	916	1,258	1,069	1,335
Key ratios
Real growth, %	5	2	3	5	5	7	3
Organic growth, %	3	3	3	5	5	2	3
Operating margin (EBITA), %	13.4	12.6	12.0	10.9	11.2	10.6	12.1
Tax rate, %	28	27	28	27	27	27	28
Earnings per share before dilution, SEK6)	4.93	5.20	13.19	12.18	16.73	14.21	17.74
Earnings per share after dilution, SEK	4.93	5.20	13.19	12.18	16.73	14.21	17.74

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 2017, refer to transaction costs of SEK –5 million (–10), restructuring costs of SEK –17 million (–19) and integration costs of SEK –17 million (–12). Transaction costs for the period January–September 2017 amount to SEK –2 million for acquisitions in progress, to SEK –2 million for completed acquisitions and to SEK –1 million for discontinued acquisitions.

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

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

6) For further information please refer to page 24.

Statement of comprehensive income

	2017	2016	2017	2016	2016	2015	R12
SEK m	Jul–Sep	Jul–Sep	Jan–Sep	Jan–Sep	Full year	Full year
Net income for the period	371	391	993	916	1,258	1,069	1,335
Other comprehensive income
Items that will not be reclassified to the statement of income
Actuarial gains and losses after tax	25	–185	28	–369	–183	46	215
Items that may be reclassified to the statement of income
Exchange rate differences	–268	122	–672	124	402	507	–394
Hedging of net investments, net of tax	78	–42	192	–61	–159	–198	94
Other comprehensive income and expenses for the period, net after tax	–164	–104	–452	–306	61	355	–85
Total comprehensive income for the period1)	207	287	541	610	1,319	1,424	1,250

1) Total comprehensive income is entirely attributable to the owners of the Parent Company.

Balance Sheet

	2017	2016	2016	2015
SEK m	Sep 30	Sep 30	Dec 31	Dec 31
ASSETS
Fixed assets
Goodwill	5,420	5,474	5,626	5,437
Acquisition-related intangible assets	300	282	261	349
Other intangible assets	97	115	114	118
Tangible fixed assets	4,495	4,582	4,709	4,305
Non-interest-bearing financial fixed assets	437	653	454	572
Interest-bearing financial fixed assets1)	87	96	80	78
Total fixed assets	10,836	11,202	11,245	10,860
Current assets
Non-interest-bearing current assets2)	3,024	2,954	2,907	2,816
Interest-bearing financial current assets1)	20	26	54	84
Liquid funds	872	507	663	654
Total current assets	3,916	3,487	3,624	3,555
TOTAL ASSETS	14,752	14,690	14,869	14,415
SHAREHOL DERS' EQUITY AND LIA BILITIE S
Shareholders' equity3)	6,576	5,926	6,647	5,843
Long-term liabilities
Interest-bearing long-term liabilities	4,196	5,141	3,972	5,168
Non-interest-bearing provisions	714	768	729	806
Total long-term liabilities	4,909	5,910	4,701	5,974
Current liabilities
Tax liabilities	122	117	122	141
Non-interest-bearing current liabilities	2,487	2,464	2,645	2,384
Interest-bearing current liabilities	657	273	754	73
Total current liabilities	3,266	2,854	3,521	2,598
TOTAL SHAREHOL DERS' EQUITY AND LIA BILITIE S	14,752	14,690	14,869	14,415
Key ratios
Return of shareholders' equity, %	20	21	19	18
Return of capital employed, %	20	17	18	17
Equity ratio, %	45	40	45	41
Net debt	3,873	4.784	3,929	4,425
Net debt/EBITDA	1.20	1.65	1.31	1.60

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 85 and Note 23 in the Annual report 2016.

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

Change in shareholders' equity

	2017	2016	2016	2015	R12
SEK m	Jan–Sep	Jan–Sep	Full year	Full year
Opening balance	6,647	5,843	5,843	4,907	5,926
Actuarial gains and losses after tax	28	–369	–183	46	215
Exchange rate differences	–672	124	402	507	–394
Hedging of net investments, net of tax	192	–61	–159	–198	94
Total other comprehensive income	–452	–306	61	355	–85
Net income for the period	993	916	1,258	1,069	1,335
Total comprehensive income	541	610	1,319	1,424	1,250
Dividend paid to Parent Company's shareholders	–602	–527	–527	–451	–602
Share-related remuneration	–9	–1	11	0	3
Revaluation of option liability with non-controlling interests1)	–	–	–	–37	–
Closing balance	6,576	5,926	6,647	5,843	6,576

1) Refers to Loomis Turkey.

NUMBER OF SHARES AS OF SEPTEMBER 30, 2017

	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

	2017	2016	2016	2015
SEK m	Sep 30	Sep 30	Dec 31	Dec 31
Securities and guarantees	3,291	3,231	3,262	2,617
Other contingent liabilities	11	29	14	13
Total contingent liabilities	3,302	3,260	3,276	2,630

CONTINGENT LIABILITIES, PARENT COMPANY

	2017	2016	2016	2015
SEK m	Sep 30	Sep 30	Dec 31	Dec 31
Guaranteed committed bank facilities	1,273	1,844	1,802	1,196
Other contingent liabilities	1,773	1,246	1,298	1,173
Total contingent liabilities	3,046	3,090	3,100	2,369

Statement of cash flows

	2017	2016	2017	2016	2016	2015	R12
SEK m	Jul–Sep	Jul–Sep	Jan–Sep	Jan–Sep	Full year	Full year
Income before taxes	518	533	1,387	1,258	1,735	1,461	1,864
Items not affecting cash flow, items affecting com parability and acquisition-related costs1)	281	246	879	826	1,117	1,119	1,171
Income tax paid	–67	–99	–350	–270	–326	–341	–407
Change in accounts receivable	–129	–74	–180	–131	–53	–170	–101
Change in other operating capital employed and other items	43	87	–184	–68	192	48	77
Cash flow from operations	645	692	1,552	1,614	2,665	2,118	2,605
Cash flow from investment activities	–414	–311	–976	–852	–1,175	–1,658	–1,298
Cash flow from financing activities	161	–585	–336	–928	–1,510	–386	–918
Cash flow for the period	392	–204	241	–166	–20	74	388
Liquid funds at beginning of the period	492	700	663	654	654	566	507
Translation differences in liquid funds	–12	11	–32	19	28	14	–23
Liquid funds at end of period	872	507	872	507	663	654	872

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

Statement of cash flows, Additional information

	2017	2016	2017	2016	2016	2015	R12
SEK m	Jul–Sep	Jul–Sep	Jan–Sep	Jan–Sep	Full year	Full year
Operating income (EBITA)	570	528	1,549	1,347	1,890	1,703	2,092
Depreciation	273	278	851	818	1,105	1,061	1,138
Change in accounts receivable	–129	–74	–180	–131	–53	–170	–101
Change in other operating capital employed and other items	43	87	–184	–68	192	48	77
Cash flow from operating activities before investments	757	818	2,037	1,966	3,134	2,642	3,205
Investments in fixed assets, net	–236	–282	–763	–820	–1,120	–1,379	–1,064
Cash flow from operating activities	522	536	1,274	1,146	2,013	1,264	2,141
Financial items paid and received	–27	–23	–70	–68	–117	–118	–119
Income tax paid	–67	–99	–350	–270	–326	–341	–407
Free cash flow	427	414	854	808	1,570	805	1,616
Cash flow effect of items affecting comparability	0	138	–1	138	138	–14	0
Acquisition of operations1)	–179	–175	–213	–178	–201	–279	–236
Acquisition-related costs and revenue, paid and re ceived2)	–18	4	–64	–6	–17	–52	–75
Dividend paid	–	–	–602	–527	–527	–451	–602
Change in interest-bearing net debt excluding liquid funds	191	–55	10	21	–168	–258	–179
Issuance of bonds3)	–	–	–	–	–	549	–
Change in commercial papers issued and other long-term borrowing	–30	–530	256	–422	–816	–225	–138
Cash flow for the period	392	–204	241	–166	–20	74	387
Key ratios
Cash flow from operating activities as % of operat ing income (EBITA)	91	102	82	85	107	74	102
Investments in relation to depreciation	0.9	1.0	0.9	1.0	1.0	1.3	0.9
Investments as a % of total revenue	5.6	6.7	5.9	6.6	6.7	8.6	6.2

1) Acquisition of operations includes up until December 2016, the cash flow effect of acquisition-related transaction costs.

2) Refers to acquisition-related restructuring and integration costs. As from 2017 this item includes acquisition-related transaction costs. For 2016, this item includes an escrow repayment for the acquisition of Cardtronics' cash handling operations in the UK in 2015.

3) Bond issue according to Loomis' MTN program.

Segment overview statement of income

	Europe	USA	International	Other1)	Eliminations	Total
SEK m	Jan–Sep 2017	Jan–Sep 2017	Jan–Sep 2017	Jan–Sep 2017	Jan–Sep 2017	Jan–Sep 2017
Revenue, continuing operations	6,171	5,763	655	–	–51	12,538
Revenue, acquisitions	332	–	–	–	–	332
Total revenue	6,503	5,763	655	–	–51	12,870
Production expenses	–4,719	–4,201	–537	–	73	–9,383
Gross income	1,784	1,562	118	–	22	3,487
Selling and administrative expenses	–906	–820	–77	–113	–22	–1,938
Operating income (EBITA)	878	742	42	–113	–	1,549
Amortization of acquisition-related intangible assets	–18	–10	–12	–	–	–40
Acquisition-related costs	–34	–1	–	–4	–	–39
Operating income (EBIT)	825	731	30	–116	–	1,470

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

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)	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.

Segment overview STATEMENT OF INCOME, ADDITIONAL INFORMATION

	2017	2016	2017	2016	2016	2015	R12
SEK m	Jul–Sep	Jul–Sep	Jan–Sep	Jan–Sep	Full year	Full year
Europe
Revenue	2,199	2,162	6,503	6,170	8,384	8,332	8,717
Real growth, %	4	2	6	2	3	4	6
Organic growth, %	0	0	1	0	0	1	0
Operating income (EBITA)	350	335	878	795	1,119	1,055	1,202
Operating margin (EBITA), %	15.9	15.5	13.5	12.9	13.4	12.7	13.8
USA
Revenue	1,852	1,826	5,763	5,356	7,325	6,428	7,731
Real growth, %	8	10	6	13	12	7	7
Organic growth, %	8	9	6	12	11	6	7
Operating income (EBITA)	242	208	742	603	842	692	981
Operating margin (EBITA), %	13.1	11.4	12.9	11.3	11.5	10.8	12.7
International1)
Revenue	210	231	655	897	1,149	1,419	907
Real growth, %	–7	–38	–29	–13	–17	n/a	–27
Organic growth, %	–7	–2	–5	–2	0	n/a	–2
Operating income (EBITA)	15	22	42	57	77	87	62
Operating margin (EBITA), %	7.1	9.3	6.4	6.3	6.7	6.1	6.8
Other 2)
Revenue	–	–	–	–	–	–	–
Operating income (EBITA)	–37	–36	–113	–108	–149	–131	–153
Eliminations
Revenue	–16	–19	–51	–45	–58	–82	–64
Operating income (EBITA)	–	–	–	–	–	–	–
Group total
Revenue	4,246	4,200	12,870	12,379	16,800	16,097	17,291
Real growth, %	5	2	3	5	5	7	3
Organic growth, %	3	3	3	5	5	2	3
Operating income (EBITA)	570	528	1,549	1,347	1,890	1,703	2,092
Operating margin (EBITA), %	13.4	12.6	12.0	10.9	11.2	10.6	12.1

1) As of July 1, 2016, the general cargo operations were divested. The comparative figures have not been adjusted.

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

ORGANIc and real growth

	2017	2016	2017	2016	2016	2015	R12
SEK m	Jul–Sep	Jul–Sep	Jan–Sep	Jan–Sep	Full year	Full year
Previous year's revenue	4,200	4,167	12,379	11,953	16,097	13,510	16,523
Organic growth1)	122	135	318	578	731	306	471
Acquired revenue	92	75	332	200	315	706	447
Divestments	–	–139	–239	–139	–257	–	–357
Real growth	214	71	411	639	789	1,012	561
Change in foreign currency	–168	–38	80	–213	–86	1,575	207
Revenue for the period	4,246	4,200	12,870	12,379	16,800	16,097	17,291

1) For definition of organic growth, see page 31.

Key ratios

	2017	2016	2017	2016	2016	2015	R12
	Jul–Sep	Jul–Sep	Jan–Sep	Jan–Sep	Full year	Full year
Real growth, %	5	2	3	5	5	7	3
Organic growth, %	3	3	3	5	5	2	3
Total growth, %	1	1	4	4	4	19	5
Gross margin, %	28.5	26.8	27.1	25.0	25.6	24.4	27.2
Selling and administration expenses in % of total revenue	–15.1	–14.2	–15.1	–14.1	–14.4	–13.9	–15.1
Operating margin (EBITA), %	13.4	12.6	12.0	10.9	11.2	10.6	12.1
Tax rate, %	28	27	28	27	27	27	28
Net margin, %	8.7	9.3	7.7	7.4	7.5	6.6	7.7
Return of shareholders' equity, %	20	21	20	21	19	18	20
Return of capital employed, %	20	17	20	17	18	17	20
Equity ratio, %	45	40	45	40	45	41	45
Net debt (SEK m)	3,873	4,784	3,873	4,784	3,929	4,425	3,873
Net debt/EBITDA	1.20	1.65	1.20	1.65	1.31	1.60	1.20
Cash flow from operating activities as % of operating income (EBITA)	91	102	82	85	107	74	102
Investments in relation to depreciation	0.9	1.0	0.9	1.0	1.0	1.3	0.9
Investments as a % of total revenue	5.6	6.7	5.9	6.6	6.7	8.6	6.2
Earnings per share before dilution, SEK1)	4.93	5.20	13.19	12.18	16.73	14.21	17.74
Earnings per share after dilution, SEK	4.93	5.20	13.19	12.18	16.73	14.21	17.74
Shareholders' equity per share after dilution, SEK	87.42	78.77	87.42	78.77	88.36	77.67	87.42
Cash flow from operating activities per share after dilution, SEK	8.58	9.20	20.64	21.45	35.43	28.15	34.61
Dividend per share, SEK	–	–	8.00	7.00	7.00	6.00	8.00
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)1)	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.

Statement of income – by quarter

		2017				2016			2015
SEK m	Jul–Sep	Apr–Jun	Jan– Mar	Oct–Dec	Jul–Sep	Apr–Jun	Jan– Mar	Oct–Dec	Jul–Sep
Revenue, continuing operations	4,154	4,222	4,163	4,305	4,126	4,088	3,966	4,082	4,118
Revenue, acquisitions	92	124	116	115	75	59	66	62	49
Total revenue	4,246	4,346	4,279	4,421	4,200	4,147	4,032	4,144	4,167
Production expenses	–3,034	–3,176	–3,172	–3,210	–3,075	–3,121	–3,087	–3,077	–3,134
Gross income	1,211	1,169	1,106	1,211	1,126	1,026	944	1,067	1,033
Selling and administration expenses	–641	–652	–645	–668	–598	–582	–569	–588	–550
Operating income (EBITA)	570	517	462	543	528	444	376	479	483
Amortization of acquisition-related intangible assets	–12	–14	–15	–15	–15	–16	–16	–16	–17
Acquisition-related costs and revenue1)	–10	–14	–15	–15	–32	–3	–5	–18	–9
Items affecting comparability	–	–	–	–	812)	–	–	–	123)
Operating income (EBIT)	549	489	432	512	561	424	355	445	469
Net financial items	–30	–26	–27	–35	–28	–26	–28	–30	–24
Income before taxes	518	463	405	477	533	398	327	415	445
Income tax	–147	–131	–115	–135	–141	–112	–88	–116	–116
Net income for the period	371	332	290	342	391	286	239	299	329
Key ratios
Real growth, %	5	2	3	4	2	8	7	5	4
Organic growth, %	3	2	3	4	3	6	5	3	3
Operating margin (EBITA), %	13.4	11.9	10.8	12.3	12.6	10.7	9.3	11.6	11.6
Tax rate, %	28	28	28	28	27	28	27	28	26
Earnings per share after dilution (SEK)	4.93	4.41	3.85	4.55	5.20	3.81	3.17	3.97	4.37

1) Acquisition-related costs and revenue for the period January–September 2017, refer to transaction costs of SEK –5 million (–10), restructuring costs of SEK –17 million (–19) and integration costs of SEK –17 million (–12). Transaction costs for the period January–September 2017 amount to SEK –2 million for acquisitions in progress, to SEK –2 million for completed acquisitions and to SEK –1 million for discontinued acquisitions.

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

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.

Balance Sheet – by quarter

		2017			2016			2015
SEK m	Sep 30	Jun 30	Mar 31	Dec 31	Sep 30	Jun 30	Mar 31	Dec 31	Sep 30
ASSETS
Fixed assets
Goodwill	5,420	5,469	5,647	5,626	5,474	5,459	5,286	5,437	5,439
Acquisition-related intangible assets	300	249	267	261	282	318	326	349	356
Other intangible assets	97	109	109	114	115	118	113	118	115
Tangible fixed assets	4,495	4,575	4,693	4,709	4,582	4,294	4,138	4,305	4,148
Non interest-bearing financial fixed assets	437	446	467	454	653	559	519	572	594
Interest-bearing financial fixed assets	87	81	81	80	96	88	77	78	69
Total fixed assets	10,836	10,929	11,263	11,245	11,202	10,836	10,458	10,860	10,720
Current assets
Non interest-bearing current assets	3,024	3,077	3,049	2,907	2,954	2,987	2,906	2,816	2,962
Interest-bearing financial current assets	20	96	22	54	26	32	98	84	66
Liquid funds	872	492	806	663	507	700	653	654	621
Total current assets	3,916	3,665	3,877	3,624	3,487	3,719	3,657	3,555	3,648
TOTAL ASSETS	14,752	14,594	15,140	14,869	14,690	14,555	14,115	14,415	14,368
SHAREHOL DERS' EQUITY AND LIA BILITIE S
Shareholders' equity	6,576	6,361	6,820	6,647	5,926	5,633	5,791	5,843	5,495
Long-term liabilities
Interest-bearing long-term liabilities	4,196	4,280	4,042	3,972	5,141	5,499	5,120	5,168	5,519
Non interest-bearing provisions	714	710	738	729	768	752	737	806	783
Total long-term liabilities	4,909	4,990	4,781	4,701	5,910	6,251	5,857	5,974	6,302
Current liabilities
Tax liabilities	122	135	178	122	117	136	145	141	99
Non interest-bearing current liabilities	2,487	2,502	2,564	2,645	2,464	2,397	2,220	2,384	2,395
Interest-bearing current liabilities	657	606	796	754	273	138	103	73	78
Total current liabilities	3,266	3,243	3,539	3,521	2,854	2,672	2,467	2,598	2,572
TOTAL SHAREHOL DERS' EQUITY AND LIA BILITIE S	14,752	14,594	15,140	14,869	14,690	14,555	14,115	14,415	14,368
Key ratios
Return of shareholders' equity, %	20	21	19	19	21	20	19	18	19
Return of capital employed, %	20	19	18	18	17	17	17	17	16
Equity ratio, %	45	44	45	45	40	39	41	41	38
Net debt	3,873	4,217	3,930	3,929	4,784	4,817	4,395	4,425	4,842
Net debt/EBITDA	1.20	1.32	1.27	1.31	1.65	1.68	1.57	1.60	1.83

Cash flow – By quarter

		2017				2016			2015
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)	570	517	462	543	528	444	376	479	483
Depreciation	273	285	293	286	278	269	271	264	273
Change in accounts receivable	–129	–85	35	78	–74	–43	–14	53	–101
Change in other operating capital employed and other items	43	–1	–226	261	87	164	–320	53	70
Cash flow from operating activities before investments	757	715	564	1,168	818	834	313	850	725
Investments in fixed assets, net	–236	–278	–249	–301	–282	–321	–217	–465	–346
Cash flow from operating activities	522	437	315	867	536	513	96	384	379
Financial items paid and received	–27	–24	–20	–49	–23	–24	–22	–39	–22
Income tax paid	–67	–218	–65	–57	–99	–118	–53	–80	–112
Free cash flow	427	196	230	762	414	372	22	265	245
Cash flow effect of items affecting comparability	0	0	0	1	138	0	0	–2	–2
Acquisition of operations1)	–179	–	–34	–23	–175	–2	–1	–15	–239
Acquisition-related costs / revenue, paid /received2)	–18	–16	–30	–11	4	–3	–7	–20	–12
Dividend paid	–	–602	–	–	–	–527	–	–	–
Change in interest-bearing net debt excl. liquid funds	191	–201	19	–189	–55	33	43	14	–27
Issuance of bonds3)	–	–	–	–	–	–	–	549	–
Change in commercial papers issued and other long-term borrowing	–30	324	–38	–394	–530	158	–50	–745	–149
Cash flow for the period	392	–299	147	146	–204	31	7	46	–185
Key ratios
Cash flow from operating activities as % of operating income (EBITA)	91	85	68	160	102	116	26	80	78
Investments in relation to depreciation	0.9	1.0	0.9	1.0	1.0	1.2	0.8	1.8	1.3
Investments as a % of total revenue	5.6	6.4	5.8	6.8	6.7	7.7	5.4	11.2	8.3

1) Acquisition of operations includes up until December 2016, the cash flow effect of acquisition-related transaction costs.

2) Refers to acquisition-related restructuring and integration costs. As from 2017 this item includes acquisition-related transaction 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.

3) Bond issue according to Loomis' MTN program.

Segment overview STATEMENT OF INCOME – By quarter

		2017				2016			2015
SEK m	Jul–Sep	Apr–Jun	Jan– Mar	Oct–Dec	Jul–Sep	Apr–Jun	Jan– Mar	Oct–Dec	Jul–Sep
Europe
Revenue	2,199	2,198	2,105	2,214	2,162	2,035	1,974	2,113	2,179
Real growth, %	4	7	6	4	2	2	3	4	3
Organic growth, %	0	1	1	0	0	1	1	1	1
Operating income (EBITA)	350	287	240	324	335	262	199	295	312
Operating margin (EBITA), %	15.9	13.1	11.4	14.6	15.5	12.9	10.1	14.0	14.3
USA
Revenue	1,852	1,945	1,966	1,968	1,826	1,774	1,757	1,708	1,637
Real growth, %	8	5	6	9	10	14	16	11	7
Organic growth, %	8	5	6	8	9	13	14	10	7
Operating income (EBITA)	242	252	248	239	208	199	197	200	175
Operating margin (EBITA), %	13.1	13.0	12.6	12.1	11.4	11.2	11.2	11.7	10.7
International2)
Revenue	210	221	224	252	231	348	318	342	372
Real growth, %	–7	–38	–32	–30	–38	6	–9	–12	1
Organic growth, %	–7	–8	2	6	–2	6	–9	–12	1
Operating income (EBITA)	15	17	10	20	22	19	16	23	26
Operating margin (EBITA), %	7.1	7.5	4.6	8.1	9.3	5.5	5.1	6.8	6.9
Other 3)
Revenue	–	–	–	–	–	–	–	–	–
Operating income (EBITA)	–37	–39	–37	–40	–36	–36	–36	–40	–30
Eliminations
Revenue	–16	–18	–17	–13	–19	–10	–17	–19	–21
Operating income (EBITA)	–	–	–	–	–	–	–	–	–
Group total
Revenue	4,246	4,346	4,279	4,421	4,200	4,147	4,032	4,144	4,167
Real growth, %	5	2	3	4	2	8	7	5	4
Organic growth, %	3	2	3	4	3	6	5	3	3
Operating income (EBITA)	570	517	462	543	528	444	376	479	483
Operating margin (EBITA), %	13.4	11.9	10.8	12.3	12.6	10.7	9.3	11.6	11.6

1) As of July 1, 2016, the general cargo operations were divested. The comparative figures have not been adjusted.

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

SEGMENT OVERVIEW BALANCE SHEET – By quarter

	2017			2016				2015
SEK m	Sep 30	Jun 30	Mar 31	Dec 31	Sep 30	Jun 30	Mar 31	Dec 31	Sep 30
Europe
Assets	6,171	6,019	5,898	5,701	5,780	5,330	5,266	5,441	5,551
Liabilities	2,297	2,266	2,337	2,365	2,540	2,159	2,012	2,055	2,207
USA
Assets	6,266	6,375	6,652	6,719	6,482	6,371	5,996	6,117	5,938
Liabilities	573	607	568	733	574	622	459	626	553
International1)
Assets	1,182	1,247	1,278	1,241	1,242	1,460	1,427	1,424	1,478
Liabilities	220	237	253	216	236	398	353	311	388
Other 2)
Assets	1,133	953	1,312	1,208	1,186	1,394	1,426	1,433	1,401
Liabilities	5,086	5,123	5,162	4,908	5,414	5,743	5,500	5,580	5,725
Shareholder's equity	6,576	6,361	6,820	6,647	5,926	5,633	5,791	5,843	5,495
Group total
Assets	14,752	14,594	15,140	14,869	14,690	14,555	14,115	14,415	14,368
Liabilities	8,176	8,233	8,320	8,222	8,764	8,922	8,324	8,572	8,873
Shareholder's equity	6,576	6,361	6,820	6,647	5,926	5,633	5,791	5,843	5,495

1) As of July 1, 2016, the general cargo operations were divested. The comparative figures have not been adjusted.

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

Quarterly data

	2017			2016				2015
SEK m	Jul–Sep	Apr–Jun	Jan– Mar	Oct–Dec	Jul–Sep	Apr–Jun	Jan– Mar	Oct–Dec	Jul–Sep
Cash flow
Operations	645	458	449	1,051	692	690	232	708	577
Investment activities	–414	–278	–283	–323	–311	–324	–217	–480	–585
Financing activities	161	–479	–18	–582	–585	–335	–7	–182	–176
Cash flow for the period	392	–299	147	146	–204	31	7	46	–185
Capital employed and financing
Operating capital employed	4,708	4,748	4,799	4,615	4,806	4,526	4,477	4,352	4,317
Goodwill	5,420	5,469	5,647	5,626	5,474	5,459	5,286	5,437	5,439
Acquisition-related intangible assets	300	249	267	261	282	318	326	349	356
Other capital employed	21	112	37	74	148	146	96	130	225
Capital employed	10,450	10,578	10,750	10,576	10,710	10,450	10,186	10,268	10,336
Net debt	3,873	4,217	3,930	3,929	4,784	4,817	4,395	4,425	4,842
Shareholders' equity	6,576	6,361	6,820	6,647	5,926	5,633	5,791	5,843	5,495
Key ratios
Return of shareholders' equity, %	20	21	19	19	21	20	19	18	19
Return of capital employed, %	20	19	18	18	17	17	17	17	16
Equity ratio, %	45	44	45	45	40	39	41	41	38
Net debt/EBITDA	1.20	1.32	1.27	1.31	1.65	1.68	1.57	1.60	1.83

Key ratios – By quarter

	2017			2016				2015
	Jul–Sep	Apr–Jun	Jan– Mar	Oct–Dec	Jul–Sep	Apr–Jun	Jan– Mar	Oct–Dec	Jul–Sep
Real growth, %	5	2	3	4	2	8	7	5	4
Organic growth, %	3	2	3	4	3	6	5	3	3
Total growth, %	1	5	6	7	1	5	5	12	16
Gross margin, %	28.5	26.9	25.9	27.4	26.8	24.7	23.4	25.7	24.8
Selling and administration expenses in % of total revenue	–15.1	–15.0	–15.1	–15.1	–14.2	–14.0	–14.1	–14.2	–13.2
Operating margin (EBITA), %	13.4	11.9	10.8	12.3	12.6	10.7	9.3	11.6	11.6
Tax rate, %	28	28	28	28	27	28	27	28	26
Net margin, %	8.7	7.6	6.8	7.7	9.3	6.9	5.9	7.2	7.9
Return of shareholders' equity, %	20	21	19	19	21	20	19	18	19
Return of capital employed, %	20	19	18	18	17	17	17	17	16
Equity ratio, %	45	44	45	45	40	39	41	41	38
Net debt (SEK m)	3,873	4,217	3,930	3,929	4,784	4,817	4,395	4,425	4,842
Net debt/EBITDA	1.20	1.32	1.27	1.31	1.65	1.68	1.57	1.60	1.83
Cash flow from operating activities as % of operating income (EBITA)	91	85	68	160	102	116	26	80	78
Investments in relation to depreciation	0.9	1.0	0.9	1.0	1.0	1.2	0.8	1.8	1.3
Investments as a % of total revenue	5.6	6.4	5.8	6.8	6.7	7.7	5.4	11.2	8.3
Earnings per share before dilution, SEK1)	4.93	4.41	3.85	4.55	5.20	3.81	3.17	3.97	4.37
Earnings per share after dilution, SEK	4.93	4.41	3.85	4.55	5.20	3.81	3.17	3.97	4.37
Shareholders' equity per share after dilution, SEK	87.42	84.56	90.66	88.36	78.77	74.88	76.98	77.67	73.04
Cash flow from operations per share after dilu tion, SEK	8.58	6.09	5.97	13.97	9.20	9.17	3.08	9.42	7.66
Dividend per share, SEK	–	8.00	–	–	–	7.00	–	–	–
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.

Definitions

Use of key ratios not defined in IFRS

The Loomis Group's accounts are prepared in accordance with IFRS. See page 15 for more information on accounting principles. Only a few key ratios are defined in IFRS. As of the second quarter 2016, 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.

Calculation for:

Jul –Sep 2017: 371/75,226,032 x 1,000,000 = 4.93 Jul –Sep 2016: 391/75,226,032 x 1,000,000 = 5.20 Jan–Sep 2017: 993/75,226,032 x 1,000,000 = 13.19 Jan–Sep 2016: 916/75,226,032 x 1,000,000 = 12.18

Earnings per share after dilution

Calculation for:

Jul –Sep 2017: 371/75,226,032 x 1,000,000 = 4.93 Jul –Sep 2016: 391/75,226,032 x 1,000,000 = 5.20 Jan –Sep 2017: 993/75,226,032 x 1,000,000 = 13.19 Jan –Sep 2016: 916/75,226,032 x 1,000,000 = 12.18

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 24.

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 2016 up to and including September 2017).

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 2017

• Revenue: SEK 17 billion by 2017.
• Operating margin (EBITA): 10–12 percent.
• Net debt/EBITDA: Max 3.0.
• Dividend: 40–60 percent of net income.

Financial targets 2018-2021

• Revenue: SEK 24 billion by 2021.
• Operating margin (EBITA): 12–14 percent.
• Dividend: 40–60 percent of net income.

Sustainability

• Zero workplace related injuries.
• Decrease carbon emission by 30 percent.
• Decrease plastic volumes by 30 percent.

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 24,000 people and had revenue in 2016 of SEK 16.8 billion. Loomis is listed on Nasdaq Stockholm Large-Cap list.

Information meeting

An information meeting will be held on November 8, 2017 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: 08444933800 USA: 1 631 510 7498 Sweden: +46 8 503 364 34

Provide conference ID number: Loomis, 99616294.

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

A recording of the webcast will be available at www.loomis.com/investors/reports&presentations after the information meeting, and a telephone recording of the meeting will be available until November 22, 2017 at 12:30 p.m. (CET) on number: UK: 08443386600 USA: 1 631 510 7499

Sweden: +46 8 506 357 42

Conference ID number: Loomis, 99616294.

Future reporting and meeting

Full-year report	January – December	January 30, 2018
Interim report	January – March	May 3, 2018
Interim report	January – June	July 26, 2018
Interim report	January – September	November 2, 2018

Loomis' Annual General meeting will be held on May 3, 2018 in Stockholm.

For further information

Patrik Andersson, President and CEO +46 76 111 34 00, e-mail: patrik.andersson@loomis.com Anders Haker, CFO +46 70 810 85 59, e-mail: anders.haker@loomis.com Questions can also be sent to: ir@loomis.com. 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 8, 2017.

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