NCC Group

Investor Presentation • Apr 28, 2021

A good start to the year

"The first quarter of the year is our low season, but all of the business areas maintained their improvements from 2020 and deliver on a stable level," says Tomas Carlsson, President and CEO of NCC.

• Lower sales, but stable earnings in the contracting business and in the Industry business area. The Property Development business area recognized a project in Norway in profit, but the earnings for the quarter were impacted by provisions for rental guarantees and VAT.
• · A stronger order backlog, orders received at a normal level for the quarter and continued healthy demand in all countries
• · Strong cash flow for the quarter
• · On March 30, the Annual General Meeting resolved on a dividend in accordance with the Board of Directors' proposal of SEK 5.00 per share (SEK 2.50) for 2020, to be paid on two occasions, see page 13.

First quarter 2021

• · Orders received amounted to SEK 14,255 M (15,458)
• Net sales totaled SEK 10,140 M (11,766)
• · The operating result amounted to SEK -144 M (-69)
• · The result after financial items amounted to SEK -152 M (-90)
• · The result after tax totaled SEK -124 M (-84)
• · Earnings per share after dilution were SEK -1.15 (-0.78)

	Q1		R 12 Apr-Mar	l an-Dec
Group, SEK M	2021	2020	2020/2021	2020
Orders received	14,255	15,458	49,996	51,199
Order backlog	56,096	62,333	56,096	50,945
Net sales	10, 140	11,766	52,296	53,922
Operating profit los s	- 144	-69	1,285	1,360
Operating margin, %	- 1.4	-0.6	2.5	2.5
Profit loss after financial items	- 152	-90	1,218	1,281
Net profit loss for the period	- 124	- 84	1,219	1,259
Profit loss per share after dilution, SEK	- 1.15	-0.78	11.32	11.68
Cashflow from operating activities	742	1,003	1,308	1,569
Cashflow before financing	રેક્ષેરે	1,018	674	1,106
Net cash +/het debt -	-4,120	-4,474	-4,120	-4,823

For definitions of key figures, see https://www.ncc.com/investor-relations/ncc-share/financial-definitions/

CEO Tomas Carlsson comments

The first quarter of the year is low season for NCC. The weather-dependent asphalt operations are essentially at a standstill and there is always slightly lower activity throughout the contracting business due to the cold weather. Considering these factors, we had a good start to the year nonetheless and we have a strong order backlog to work with. The earnings improvements seen in the preceding year have been maintained or strengthened.

All countries were subject to comprehensive and varied restrictions to reduce the spread of infection. It has been challenging at times to manage this, but the operations have still functioned well. The projects have progressed, and we have not encountered serious shortages of materials or personnel. Even if the purely practical consequences of the pandemic on the business are limited, NCC is carrying a heavier load than usual given that the work needs to be managed in a different way. We are all hoping for the easing of restrictions in the spring and the beginning of a new normal status.

Our view is that demand is favorable. Major public investments in new infrastructure and maintenance contributes. In addition the economies in the Nordic countries are strong which is driving our business. Orders received were at a normal level and we also have ongoing early involvement projects, which will be registered in orders in a later project phase.

The Infrastructure business area reported healthy orders received for the quarter. We see a healthy market in Sweden while there are lower volumes in Norway due to lower tendering outcomes. A good example on how we use our knowledge over the boarders is that tunnel experts from our Norwegian operations will work on the Hagastaden subway project in Stockholm, which NCC recently won.

The Building Sweden business area continues its positive development, with healthy orders received and a strong order backlog. Orders received for residential units remain at a stable level, with about half of these being rental units.

The construction operations in the other Nordic countries, within the Building Nordics business area, are performing well. There is a strong order backlog and we also foresee a positive trend in our Norwegian business, which has secured several projects that are still at an early stage.

The Industry business area reported a quarter in which the asphalt operations stood still, and the stone materials operations were also affected by seasonal factors. The reorganization presented during the fourth quarter was completed with the desired effects.

Within Property Development, we started work on one project during the quarter. It is a small project in which we have acquired a property in central Helsinki, in a prime location,

that we will develop into modern office premises. We recognized one project in Norway in profit, but the earnings for the quarter were impacted by provisions made for rental guarantees. There is interest in modern premises in prime locations, which is demonstrated by the letting rates in all countries.

Within climate and energy, we have reduced our own emissions by 42 percent since 2015 by employing effective action, particularly in our asphalt operations. We are proud of this achievement, but much work remains as we have now set higher goals and have begun to work on the most important and most difficult categories that drive emissions in our operations.

A high level of ambition and strong implementation capacity in many areas is required to deliver positive results for customers, shareholders, and other stakeholders. We are a knowledge based company and we want our customers to perceive us as proactive and as having a high level of expertise to manage the complexity that construction project involve.

For the rest of the year, I am looking forward to being able to work on developing the company and the business in the partly new situation that will follow on from the coronavirus. We are constantly taking steps in the right direction and implementing well-conceived changes internally to be able to deliver more value to our shareholders, customers, employees, and other stakeholders.

Tomas Carlsson, President and CEO Solna, April 28, 2021

Group performance

First quarter, January-March 2021

Market

The long-term market conditions for contracting operations and industrial operations in the Nordic region are positive. There is an underlying stable demand for public buildings, such as schools, hospitals, and retirement homes, and for residential units, driven by growth and development in the metropolitan regions and other growth centers. This is also driving initiatives for infrastructure in city outskirts, including roads, public transport, water and wastewater, and energy solutions. In general, the market for renovation and refurbishment is also healthy.

At a national level, Norway, Sweden, and Denmark have ambitious and comprehensive infrastructure plans for long-term public investments in new construction, as well as refurbishment and maintenance of national and regional infrastructure. Demand for asphalt and stone materials in Norway and Sweden is fueled by a healthy market for infrastructure and maintenance.

In the main, NCC is impacted by the general economic situation and the GDP trend. Prior to the coronavirus pandemic, there were some signs of a slight slowdown in certain submarkets, but this was offset by large public investments and it is not possible to draw any clear conclusions about long-term effects on the Nordic and global economies.

Net sales and earnings

Net sales in the first quarter amounted to SEK 10,140 M (11,766). Net sales were lower in all the business areas during the quarter, compared with the preceding year. Changes in exchange rates had a negative impact of SEK 193 M (35) on sales

The operating result was lower in the first quarter and amounted to SEK -144 M (-69). The lower operating result was mainly attributable to Property Development recognizing the K12 office project in Sweden in profit during the first quarter of 2020. Industry's operating result improved due to a higher operating result in the asphalt and stone materials operations.

Net financial items for the January-March period were SEK -9 M (-21). The reduced financing requirement had a positive impact.

Effective tax

The effective tax rate for the Group amounted to 18.8 percent (7.0). Tax-free sales of projects in Property Development had a positive impact on the effective tax rate.

The foremost reason for the very low tax rate in 2020 was the tax-free sale of K12.

Orders received, Jan-Mar SEK M

14,255

Net sales, Jan-Mar SEK M

Net sales, SEK M

Operating profit, SEK M

Cash flow

Cash flow before financing for the January-March period amounted to SEK 586 M (1,018). The change was mainly attributable to changes in working capital in the Infrastructure business area as a result of working-up of earlier advance payments. The Property Development business area displayed improved cash flow before financing, primarily due to changes in working capital.

Total cash and cash equivalents at the end of the period amounted to SEK 2,745 M (3,192).

The Group's net debt at March 31 amounted to SEK -4,120 M (-4,474). The decrease was primarily due to a lower pension debt. Excluding lease liability and pension debt, the company's net cash' at the end of the period was SEK 514 M (874).

The Group's total assets at March 31 amounted to SEK 28,908 M (29,268). The decrease in total assets of approximately SEK 400 M was largely attributable to a reduction in the item invoiced revenues not worked up.

The average maturity period for interest-bearing liabilities, excluding pension debt and lease liabilities, was 31 months (36) at the end of the quarter. At March 31, 2021, NCC's unutilized committed lines of credit totaled SEK 2.9 billion (3.9), with an average remaining maturity of 19 (19) months.

Capital employed

At March 31, 2021, capital employed amounted to SEK 11,295 M (10,715). The increase was mainly due to a larger project portfolio in Property Development. The return on capital employed was 12 percent (15) during the quarter.

Financial targets and dividend policy

NCC has financial objectives for two areas: earnings per share and net debt in relation to EBITDA. The objective is for earnings per share to be a minimum of SEK 16 by 2023. Net debt is to be less than 2.5 times EBITDA.

Earnings per share on a rolling 12-month basis amounted to SEK 11.32 at the end of the first quarter. NCC also had a small net cash balance', no net debt. Accordingly, the recognized net debt/EBITDA amounted to -0.26 times.

NCC's dividend policy is to distribute at least 40 percent of after-tax profit for the year. On March 30, 2021, NCC's Annual General Meeting resolved in favor of the Board's proposal that a dividend of SEK 5.00 be paid per share for the 2020 fiscal year, divided between two payment occasions. This corresponds to 43 percent of after-tax profit for 2020. April 1, 2021 was adopted as the record date for the first dividend payment of SEK 2.50. November 9, 2021 was set as the record date for the second payment of SEK 2.50.

-0.03

impairment losses.

-0.26

¹ This refers to the company's net cash excluding pension debt and lease liability

Sustainability targets

NCC works with sustainability issues on a broad front in its operations and the CEO and Senior Management Team have the principle responsibility for this. The operational responsibility for pursuing the sustainability efforts in various areas lies with the business areas and relevant Group functions. At Group level, NCC has sustainability targets in two areas, Health and Safety and Climate and Energy.

Health and Safety

Safety is a high priority area at NCC. We focus on this at all levels, with our sights set on completely preventing accidents that lead to serious injury or fatalities. Our aim is to reduce the accident frequency rate for accidents that lead to more than four days of absence per million worked hours to 3.0 by 2022. During the first quarter, our accident frequency rate was 3.4, which was lower than for fullyear 2020, which was 3.6.

Climate and energy

Since 2015, NCC has had the target of reducing its carbon footprint from the company's own emissions (Scope 1 and 2) by 50 percent by 2020. The outcome for 2020 was 42 percent. The conversion of asphalt plants to renewable fuels has been the largest contributory factor to the steadily declining climate impact. In 2020, Scope 1 accounted for approximately 97 percent of the operations' own emissions. Accordingly, work moving forward will be focused on this. The climate footprint in Scope 2 is low due to high adherence to electricity contracts that provide energy from renewable sources.

By 2030, NCC will:

• · Reduce Scope 1 and Scope 2 by 60 percent relative to 2015
• · Reduce Scope 3 by 50 percent in four categories that have major impact: asphalt, concrete, steel, and transport

NCC will report Scope 1 and Scope 2 six-monthly in the interim reports for the first and third quarters. The development of metrics is ongoing for Scope 3.

Asphalting of a highway in north Jutland in Denmark

NCC is laying asphalt with a lower climate footprint on a highway in north Jutland in Denmark.

Accident frequency rate") 016 2017 2022 2018 6107 Q1, 2021

11Accident frequency rate: Worksite accidents resulting in more than four days of absence from work per one million worked hours.

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• •••••

• ••••

NCC Infrastructure

First quarter 2021

Orders received and order backlog

Orders received in the first quarter amounted to SEK 5,432 M (4,776). Orders received were higher in Norway and Sweden but lower in Hercules compared with the preceding year.

The order backlog decreased year-on-year, amounting to SEK 18,296 M (21,106) at the end of the first quarter, due to lower orders received than sales in the Norwegian and Swedish operations during 2020.

Net sales and earnings

Net sales were lower and amounted to SEK 3,486 M (4,092) in the first quarter. Net sales were lower in the Swedish and Norwegian operations.

Operating profit was at the same level as in the preceding year and amounted to SEK 40 M (40) in the first quarter. The operating margin was strengthened, but operating profit was impacted by lower net sales.

Division Hercules, which works with foundation engineering, has been part of the Infrastructure business area since January 1, 2021. Comparative figures for previous periods have been adjusted for this.

	Q1		R 12 Apr-Mar J an-Dec
NCC Intrastructure, SEK M	2021	2020	2020/2021	2020
Orders received	5,432	4,776	14,736	14,080
Order backlog	18,296	21,106	18,296	16,200
Net sales	3,486	4,092	17,666	18,271
Operating profit fos s	40	40	357	357
Operating margin, %	1.1	1.0	2.0	2.0

32% Orders received Jan-Mar Foundation Other engineering 12 9 (10)% Roads 17% 9 (10)% Railways Industry 4 (2)% 19 (16)% Groundwork: 20 (31)% Energy & Water Treatment 27 (24)%

Net sales Jan-Mar

Share of sales Jan-Mar

NCC Building Sweden

First quarter 2021

Orders received and order backlog

Orders received in the first quarter amounted to SEK 3,665 M (4,458). Renovation and refurbishment accounted for the largest proportion of orders received due to factors including a major order in southern Sweden for approximately SEK 540 M. The number of residential units was higher year-on-year and accounted for slightly more than one third of orders received. Slightly less than half of these were rental units. For public buildings, the comparison was impacted by two large projects in Region Sörmland that were registered among orders during the first quarter of 2020.

The order backlog increased to SEK 18,256 M (17,630) at the end of the quarter.

Net sales and earnings

Net sales in the first quarter amounted to SEK 3,079 M (3,384). Public buildings and residential construction accounted for more than half of net sales.

Operating profit amounted to SEK 90 M (87) in the first quarter. Year-on-year, earnings were positively impacted by improved project margins, but negatively impacted by lower volumes. The operating margin improved year-on-year.

	Q1		R 12 Apr-Mar J an-Dec
NCC Building Sweden, SEK M	2021	2020	2020/2021	2020
Orders received	3,665	4,458	13,692	14,484
Order backlog	18,256	17,630	18,256	17,670
Net sales	3,079	3,384	13,069	13,375
Operating protit los s	90	87	384	381
Operating margin, %	29	2.6	29	2.9

27 (27)%

NCC Building Nordics

First quarter 2021

Orders received and order backlog

Orders received in the first quarter amounted to SEK 2,093 M (3,247). The yearon-year decline was mainly attributable to the fact that the Danish operations registered a major refurbishment project of approximately SEK 1 billion among orders in the first quarter of 2020. Offices and residential construction accounted for more than half of the total orders received, followed by renovation and refurbishment, which accounted for nearly one-fourth of orders received.

The order backlog totaled SEK 14,852 M (16,916) at the end of the quarter.

Net sales and earnings

Net sales in the first quarter amounted to SEK 2,420 M (2,856). The decline in the quarter originated primarily in the Finnish operations. Residential construction, together with renovation and refurbishment, accounted for more than half of net sales.

Operating profit amounted to SEK 39 M (50) in the first quarter. Earnings for the quarter were positively impacted by higher project margins, but negatively by lower sales and increased overhead costs for tendering work, among other items. The operating margin for the quarter was somewhat lower than in the first quarter of the preceding year.

	Q1		R 12 Apr-Mar Jan-Dec
NCC Building Nordics , SEK M	2021	2020	2020/2021	2020
Orders received	2,093	3,247	10,722	11,877
Order backlog	14,852	16,916	14,852	14,856
Net sales	2,420	2,856	11,698	12,134
Operating profit los s	39	50	332	343
Operating margin, %	1.6	1.7	2.8	2.8

Net sales Jan-Mar

NCC Industry

First quarter 2021

Orders received

Orders received amounted to SEK 2,884 M (2,918) for the first quarter. The asphalt operations' orders received were in line with the preceding year, with higher orders received in Norway, Denmark, and the southern and central areas of Sweden, but lower in Finland and northern Sweden. Orders received in the stone materials operations were lower than in the preceding year in Sweden, Finland, and Norway.

Net sales and earnings

In the business area, the first quarter is characterized by a seasonally low level of activity. Net sales amounted to SEK 822 M (926). Net sales were lower in the asphalt operations primarily due to lower volumes. The stone materials operations' net sales and volumes were lower in all countries apart from Denmark, where net sales and volumes increased during the first quarter.

The operating result amounted to SEK -298 M (-364) in the first quarter. The asphalt operations' operating result improved in all countries compared with the preceding year. This was due to higher efficiency and some non-recurring items within the asphalt operations. The operating result was higher in the stone materials operations, primarily in the Danish business, due to higher volumes and an improved product mix, while the operating result was lower in Norway due to reduced volumes.

The foundation engineering operations within division Hercules were transferred to the Infrastructure business area at year-end 2020. Comparative figures for previous periods have been adjusted for this.

Capital employed

Capital employed declined year-on-year mainly due to lower working capital.

	Q1		R 12 Apr-Mar Jan-Dec
NCC Industry, SEK M	2021	2020	2020/2021	2020
Orders received	2,884	2,918	10,571	10,605
Order backlog	4,094	4,363	4,094	1,994
Net sales	822	926	10,765	10,869
Operating profit los s	- 298	-364	451	386
Capital employed	4,903	4,978	4,903	4,465
Stone materials tons , sold volume	5,896	6,078	28,325	28,508
As phalt tons , sold volume	133	176	6,175	6,219
Operating margin, %	-36.3	-39.3	4.2	3.5
Return on capital employed, %			9.1	7.8

NCC Property Development

First quarter 2021

Net sales and earnings

Net sales in the first quarter amounted to SEK 1,136 M (1,577).

Operating profit declined and amounted to SEK 47 M (323). During the quarter, one office project was recognized in profit, Valle View in Norway. Full provisions for rental guarantees and VAT for all unlet spaces in accordance with Norwegian legislation had a negative impact on the result from this project during the quarter. Sales of land, gains from earlier sales and reversals of provisions made earlier for guarantees and project costs made a positive contribution to earnings during the quarter. In the preceding year, profit for the first quarter was derived from one office project recognized in profit (K12 in Sweden), sales of land and gains from earlier sales.

Property projects

Construction of an office project in Finland, Kulma21, commenced during the quarter. The Frederiks Plads 2 project in Denmark was sold and is expected to be recognized in profit in the fourth quarter of 2021.

Letting in the first quarter amounted to 11,500 square meters (13,500). A total of 1 5 new leases were signed in all countries, but the year-on-year comparison was affected by the letting of a large space in the Next project in Finland in 2020.

At the end of the first quarter, 15 projects (15) were either ongoing or completed but not yet recognized in profit. The costs incurred in all projects amounted to SEK 5.8 billion (4.3), corresponding to a total completion rate of 52 percent (44). The completion rate for ongoing projects amounted to 50 percent (44). The total letting rate was 57 percent (50). Operating net amounted to SEK 2 M (7) for the first quarter.

Capital employed

The capital employed amounted to SEK 5,703 M (4,624) at the end of the quarter.

	O		R 12 Apr-Mar J an-Dec
NCC Property Development, SEK M	2021	2020	2020/2021	2020
Net sales	1,136	1,577	2,296	2,737
Operating profit los s	47	323	159	434
Capital employed	5,703	4,624	5,703	6,433
Operating margin, %	4.1	20.5	6.9	15.9
Return on capital employed, %			29	8.0

NCC Property Development

Property development projects as of 2021-03-31

Ongoing Property development projects 1

Project	Type	Location	Sold, es timated recognition in profit	Completion ratio, %	l ettable area (s qm)	L etting ratio, ర్థిం
Frederiks Plads 2	Office	Århus	Q4 2021	72	17,400	75
Kontorværket 1	Office	Copenhagen		13	15,900	100
Omega CH	Office	Århus		79	8,900	62
Total Denmark				19	42,200	83
Fredriks berg D	Office	Hels inki		29	8,500	ઠેર
Hats ina Office 1	Office	Es poo	Q3 2021	୧୫	18,400	ર્સ્
Next	Office	Es poo	Q4 2021	61	10,000	100
Kulma21	Office	Hels inki		રૂડે	7,500	O
We Land	Office	Hels inki		12	21,300	22
Total Finland				36	65,700	49
Kineum Gårda2	Office	Gothenburg		୧୯	21,300	85
Bromma Blocks	Office	Stockholm		67	51,900	51
V åghus et	Office	Gothenburg		વર્ષ્ડ	1 1,000	33
Brick Studios	Office	Gothenburg		प्रव	16,200	31
Bettorp	Other	Örebro	Q4 2021	રૂર	6,900	100
Total Sweden				રતે	107,300	રેર
Total				50	215,200	રુર્

Com pleted Property development projects

Project	Type	Location	Sold, es timated recognition in profit	L ettable area (s qm)	L etting ratio, ಲ್ಲಿ ಕ
Viborg R etail II+III	Retail	Viborg		900	O
Total Denmark				900	0
K11	Office	Solna		12,900	64
Total Sweden				12,900	র্বে
Total				13,800	ર્સ્ડ

1) The tables refers to ongoing or completed property projects that have not yet been recognized as revenue. In addition to these projects, NCC als o focus es on rental (rental gurchase) in fourteen previously sold and revenue recognized property projects , a maximum of approximately SEK 115 M

2) The project comprises rentable area of an existing building of approximately 16,000 square meters and an addironal building right about 30,000 square meters of office space. The project is carried out together with Platzer, a Swedish listed real estate company, in a half-owned company. The information in the table refers to NCC's share of the project.

Other

Significant risks and uncertainties

An account of the risks to which NCC may be exposed is presented in the 2020 Annual Report (pages 21-23). This assessment still applies.

The coronavirus pandemic could impact NCC in several ways. The availability of labor could be affected by restrictions on travel and freedom of movement, as well as the health situation and quarantine rules. There are risks of delays to deliveries due to disruptions in production or supplies. The credit risk could also be impacted. In general, NCC's development follows the GDP trend and the company could be affected by a downward trending economy and falling GDP, as well as uncertainty that results in longer decision-making processes.

Related-party transactions

Related parties are NCC's subsidiaries, associated companies and joint arrangements. Related company sales during the first quarter amounted to SEK 5 M (4) and purchases to SEK 1 M (O) .

Seasonal effects

Industry's operations and certain operations in Building Sweden, Building Nordics and Infrastructure are impacted by seasonal variations due to weather conditions. Earnings in the first quarter are normally weaker than the rest of the year.

Repurchase of shares

NCC AB holds 764,267 Series B treasury shares to meet its obligations pursuant to long-term incentive programs.

Other significant events

NCC held its Annual General Meeting (AGM) on March 30, 2021. Due to the coronavirus pandemic, the Meeting was held exclusively by postal voting.

Dividend

The AGM resolved in favor of the Board's proposal that a dividend of SEK 5.00 be paid per share for the 2020 fiscal year, divided between two payment occasions. The record date for the first payment of SEK 2.50 per share is April 1 , 2021, while the record date for the second payment of SEK 2.50 per share is November 9, 2021.

Board of Directors and director fees

The AGM resolved that the Board of Directors is to comprise seven AGM-elected members and reelected all Board members in accordance with the Nomination Committee's proposals. NCC's Board of Directors comprises the members Geir Magne

Aarstad, Viveca Ax:son Johnson, Simon de Château, Alf Göransson, Mats Jönsson, Angela Langemar Olsson and Birgit Nørgaard. Alf Göransson was reelected Chairman of the Board.

It was resolved that director fees would total SEK 4,500,000, excluding remuneration for committee work, distributed so that the Chairman of the Board would receive SEK 1,500,000 and that each other AGMelected member would receive SEK 500,000.

For the members of the Audit Committee, it was resolved to pay a fee of SEK 175,000 to the chair of the Committee and SEK 125,000 to each other member. Fees will be paid to the members of the Project Committee as follows: the chair of the Committee will receive SEK 125,000 and the other member will receive SEK 100,000. Apart from the fee to the Chairman, the fees are unchanged from the preceding year.

Auditor

The registered auditing firm PricewaterhouseCoopers AB (PwC), with Ann-Christine Hägglund as auditor-in-charge, was reelected auditor of the company. PwC was elected until the close of the 2022 AGM.

Nomination Committee

Viveca Ax:son Johnson, Nordstjernan (chair), Simon Blecher, Carnegie Funds, Mats Gustafsson, Lannebo Funds, and Peter Guve, AMF/AMF Funds, were elected members of the Nomination Committee. The Chairman of the Board, Alf Göransson, is a co-opted member of the Nomination Committee but has no voting right.

Long-term performance-based incentive programs

The AGM resolved to introduce a long-term performance-based incentive program (LTI 2021 Share Program) for senior executives and key personnel.

Repurchase of shares

The AGM authorized the Board to buy back a maximum of 560,000 Series B shares and to transfer a maximum of 365,000 Series B shares as Performance Shares and where necessary purchase and transfer a maximum of 100,000 B shares as Savings Shares to the participants of LTI 2021 . It is also to be possible to transfer a maximum of 200,000 Series B shares via Nasdaq Stockholm to cover costs, mainly costs for dividend compensation, social security fees and payments on the basis of the synthetic shares, arising from outstanding longterm performance-based incentive programs (LTI 2018, LTI 2019 and LTI 2020) and LTI 2021.

Events after the close of the quarter

New Head of Purchasing

Johan Lindqvist has been appointed new Head of Purchasing at NCC and will take up the position by November 2021 at the latest. Johan Lindqvist comes most recently from Volvo Bussar AB. More information is available in a press release at www.ncc.com/media.

Divestment of Road Services Denmark not to go ahead

In July 2020, NCC signed an agreement to sell Road Services in Denmark to Arkil A/S, including an option for Arkil to withdraw from the acquisition if it had not been completed by a certain date. Since the process of obtaining approval from the Danish competition authorities took a protracted length of time, Arkil chose to exercise this option in April 2021. The acquisition will not be completed. The operation will continue to be reported as part of the Other and eliminations segment and will be operated by NCC. It remains the ambition to find an alternative owner for the operation at a suitable time.

Repurchase of shares

At its meeting on April 27, NCC's Board resolved on the buyback of a maximum of 88,000 Series B shares and on transfer of a maximum of 8,400 Series B shares, in accordance with the mandate it received from the AGM.

Impact of the coronavirus pandemic

During the period from the close of the quarter until the date of this interim report, there were no new material effects from the coronavirus pandemic.

Signatures

Solna, April 28, 2021

Tomas Carlsson President and CEO

This report is unaudited.

CONDENSED CONSOLIDATED INCOME STATEMENT

2021 2020 2020/2021 2020 Note 1 10, 140 52,296 11,766 53,922 -9,567 -11,115 - 48,041 - 49,589 Note 2, 3 4,333 5/3 651 4,255 -726 -725 -2,968 -2,967 Note 2, 3 0 -2 - ୧ ર Note 3 - 144 -69 1,285 1,360 15 15 30 30 - 23 - 36 -97 - 110 -9 -21 -67 -80 - 152 -90 1,218 1,281 29 e 1 - 22 - 124 -84 1,219 1,259 - 124 - 84 1,219 1,259 - 124 -84 1,219 1,259 - 1.15 -0.78 11.32 11.68 108.4 108.4 108.4 108.4 107.7 107.9 107.7 107.8 107.7 107.9 107.7 107.7		QI		R 12 Apr-Mar	Jan-Dec
	SEK M
	Net sales
	Production costs
	Gross profit
	Selling and adminis trative expens es
	Other operating income/expens es
	Operating profit los s
	Financial income
	Financial expense ")
	Net financial item s
	Profit los s after financial item s
	Tax
	Net profit/los s
	Attributable to:
	NCC's shareholders
	Net profit/loss for the period
	Earnings per share
	Before and after dilution
	Net profit fos s for the period, SEK
	Num ber of shares , m illions
	Total number of is sued shares
	Average number of shares outstanding before and after dilution during the period
	Number of shares outstanding at the end of the period

1) Whereof interest expenses for the period Apr 20-M ar 21, SEK 77 M and Jan-Dec 20, SEK 91M.

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

		Q1		R 12 Apr-Mar	Jan-Dec
SEK M	Note 1	2020	2020	2020/2021	2020
Net profit loss for the period		- 124	-84	1,219	1,259
ltems that have been recycled or should be recycled to net protit/ios s for the period
Exchange differences on trans lating foreign operations		76	82	- 133	- 127
Cash tlow hedges		30	-21	59	8
Income tax relating to items that have been or should be recycled to net profit foss for the period		-6		13
		100	67	-88	- 121
ltem s that cannot be recycled to net profit fos s for the period
Revaluation of defined benefit pens ion plans		244	-324	679	111
Income tax relating to items that can not be recycled to net protit/ios s for the period		- 50	69	- 142	- 23
		194	- 255	537	88
Other com prehensive income		294	- 188	449	-32
Total com prehens ive income		170	-272	1,668	1,226
Attributable to:
NCC's shareholders		170	-272	1,668	1,226
Total com prehens ive income		170	-272	1,668	1,226

SEK M	Note 1	Mar 31 2021	Mar 31 2020	Dec 31 2020
ASSETS
Goodwill		1,846	1,906	1,800
Other intangible as s ets		339	370	342
Right-of-use as sets	Note 4	1,919	1,966	1,952
Owner-occupied properties		882	૭૩૮	875
Machinery and equipment		2,412	2,487	2,306
Long-term holdings of securities		88	114	ರೆತ
Long-term interest- bearing receivables		। રેતે	113	125
Other long-term receivables		21	34	19
Deferred tax as sets		୧୧3	626	287
Total fixed as sets		8,328	8,552	8,099
Right-of-use as sets	Note 4	12	ર્ડવ	11
Properties held for future development		1,373	1,409	1,492
Ongoing property projects		4,737	3,849	4,610
Completed property projects		રેરિર્ણ	ব	પ્રતિર
Participations in as s ociated companies		301	264	રુજરા
Materials and inventories		1,036	1,166	ઠરિઝ
Tax receivables		126	130	నికి
Accounts receivable		6,401	7,091	7,084
Worked-up, non-invoiced revenues		1,591	1,785	1,349
Prepaid expenses and accrued income		918	852	907
Current interest- bearing receivables		125	162	126
Other receivables		678	758	740
Short-term investments 11		133	123	174
Cash and cash equivalents		2,612	3,069	2,155
Total current as sets		20,580	20,716	20,450
Total as sets		28,908	29,268	28,549
EQUIT Y
Shareholders´ equity		4,146	2,774	3,972
Total shareholders´equity		4,146	2,774	3,972
LIABIL IT IES
L ong-term interes t- bearing liabilities		3,771	3,843	3,965
Other long-term liabilities		63	റ്റ്‌3	റ്റ്
Provisions for pensions and similar obligations		2,615	3,195	2,832
Deferred tax liabilities		260	219	196
Other provisions		2,526	2,735	2,586
Total long-term liabilities		9,234	10,055	9,639
Current interest-bearing liabilities		764	902	୧୦୧
Accounts payable		3,930	4,021	4,487
Tax liabilities		60	4	66
Invoiced revenues not worked-up		5,403	6,285	4,104
Accrued expenses and prepaid income		3,271	3,525	3,727
Provisions		18	18	19
Other current liabilities		2,082	1,673	1,930
Total current liabilities		15,528	16,439	14,938
Total liabilities		24,762	26,494	24,577
Total shareholders´ equity and liabilities		28,908	29,268	28,549

1 ) Includes short-term investments with maturities exceeding three months, see also cash-flow statement.

CONDENSED CONSOLIDATED CHANGES IN SHAREHOLDERS' EQUITY

	Mar 31, 2021			Mar 31, 2020
			l otal			l otal
					Shareholders Non-controlling shareholders Shareholders Non-controlling shareholders
SEK M	equity	interes ts	equity	equity	interes ts	equity
Opening balance, January 151	3,972		3,972	3,044		3,044
l otal comprehensive income	170		170	-277		-272
Performance based incentive program						ನ
Clos ing balance	4,146		4,146	2,774		2,774

CONDENSED CONSOLIDATED CASH FLOW STATEMENT

	Q1		R 12 Apr-Mar	Jan-Dec
SEK M	2021	2020	2020/2021	2020
OPERATING ACTIVITIES
Profit /loss after financial items	- 152	-90	1,218	1,281
Adjustments for items not included in cash flow	249	295	1,517	1,564
Taxes paid	-74	- 171	-91	- 188
Cash flow from operating activities before changes in working capital	22	34	2,644	2,656
Dives tment of property projects	1,000	1,270	1,822	2,092
Gross investments in property projects	-967	-974	-3,347	-3,353
Cash flow from property projects	33	296	- 1,525	- 1,262
Other changes in working capital	687	673	188	174
Cash flow from operating activities	742	1,003	1,307	1,569
INVESTING ACTIVITIES
Acquisition,Sale of subsidiaries and other holdings	7	1	21	। ર
Acquisition/Sale of tangible fixed as sets	- 163	17	-635	- 456
Acquisition/Sale of other fixed as sets		-3	- 19	- 22
Cash flow from investing activities	- 156	15	-634	-463
Cash flow before financing	રક્ષર	1,018	673	1,106
FINANCING ACTIVITIES
Cash flow from financing activities	- 131	-317	- 1,136	- 1,322
Cash flow during the period	455	700	-462	-217
Cash and cash equivalents at beginning of period	2,155	2,416	3,069	2,416
Effects of exchange rate changes on cash and cash equivalents	2	- 47	6	- 44
Cash and cash equivalents at end of period	2,612	3,000	2,612	2,155
Short-term investments due later than three months	133	123	133	174
Total liquid as sets at end of period	2,745	3,192	2,745	2,330

CONDENSED CONSOLIDATED NET DEBT

	Q1		R 12 Apr-Mar	Jan-Dec
Net debt, SEK M	2021	2020	2020/2021	2020
Net debt, opening balance	-4,823	-4,489	-4,474	-4,489
- Cash flow from operating activities	742	1,003	1,307	1,569
- Cash flow from investing activities	- 156	ી ર	-634	- 463
Cash flow before financing	રકેર	1,018	673	1,106
Leasing - IFRS 16-effect	- 102	-600	-602	- 1,100
Acquisition Sale of treas ury shares			-34	-34
Change of provisions for pensions	217	-355	580	8
Currency exchange differences in cash and cash equivalents	2	- 47	5	- 44
Paid dividend			- 269	- 269
Net cash + /het debt - clos ing balance	-4,120	-4,474	-4,120	-4,823
- Whereof provisions for pensions	- 2,615	-3,195	-2,615	- 2,832
- Whereof leasing debt according to IFRS 16.	- 2,019	- 2, 153	- 2,019	- 2,055
- Whereof other net cash het debt	514	874	514	64

PARENT COMPANY CONDENSED INCOME STATEMENT

		Q1		R 12 apr-mar	Jan-dec
MSEK	Not 1	2021	2020	2020/2021	2020
Nettooms ättning		10	17	133	1 40
Förs äljnings - och adminis trations kos tnader		-51	- રેતે	- 255	- 263
Rörelseres ultat		- 41	-42	- 121	- 123
Resultat från andelar i koncernföretag				1,057	1,057
Resultat från övriga finans iella anläggnings tillgångar		12		26	14
Res ultat från finans iella oms ättnings tillgångar			3		3
Räntekos tnader och liknande res ultatpos ter		-7	-9	-28	-30
Res ultat efter finans iella pos ter		-35	- 49	936	921
Boks luts dis pos itioner				153	। રેડ
Skatt på periodens resultat			10	17	20
Periodens resultat		-27	-38	1,106	1,095

The Parent Company consists primarily of head office functions plus a branch in Norway. Net sales pertain to charges to Group companies. The average number of employees was 54 (53).

PARENT COMPANY CONDENSED BALANCE SHEET

SEK M	Note	Mar 31 2021	Mar 31 2020	Dec 31 2020
ASSETS
Financial fixed as sets		4,603	4,564	4,600
Total fixed as sets		4,603	4,564	4,600
Current receivables		98	296	850
Treasury balances in NCC Treasury AB		375	331	259
Total current as sets		473	628	1,119
Total as sets		5,076	5,192	5,719
SHAREHOLDERS' EQUITY AND LIABIL IT IES
Shareholders' equity		4,054	3,248	4,080
Provisions		6	6	6
Long term liabilities		644	୧୦3	804
Current liabilities		372	1,334	899
Total shareholders´equity and liabilities		5,076	5,192	5,719

Approved dividends to shareholders amounted to SEK 538 M, of which SEK 269 M was paid in April and SEK 269 M will be paid in November 2021.

NOTE 1 ACCOUNTING POLICIES

This interim report has been compiled pursuant to IAS 34 Interim Financial Reporting and the Swedish Annual Accounts Act. The interim report has been prepared in accordance with the International Financial Reporting Standards (IFRS), as approved by the European Union (EU).

The interim report has been prepared pursuant to the same accounting policies and methods of calculation as the 2020 Annual Report (Note 1 and in connection with the subsequent notes). A small number of changes to existing standards and interpretations came into effect for the fiscal year commencing January 1, 2021. These standards and interpretations had no material impact on this financial report.

Parent Company

The Parent Company has prepared its interim report pursuant to the Swedish Annual Accounts Act and the Swedish Financial Reporting Board's recommendation RFR 2 Accounting for Legal Entities.

The interim report for the Parent Company has been prepared in accordance with the same accounting policies and methods of calculation as the 2020 Annual Report (Note 1 and in connection with the subsequent notes) except that the Parent Company applies the exemption in RFR 2 and recognizes all lease commitments as operating leases.

NOT 2. DEPRECIATION/AMORTIZATION

	Q1		R 12 Apr-Mar	r Jan-Dec
SEK M	2020	2020	2020/2021	2020
Other intangible as sets	- 11	-13	-72	-75
Owner-occupied properties 11	-78	-76	-346	-344
Machinery and equipment 21	-237	-247	-983	-993
Total depreciation	-326	-336	- 1,401	- 1,412

1) Of which depreciation of right-of-use assets SEK 66 M (64)

2) Of which depreciation of right-of-use assets SEK 102 M (106)

NOT 3. IMPAIRMENT LOSSES

	01		R 12 Apr-Mar	Jan-Dec
SFK
Owner-occupied properties		י	- /	-8
Machinery and equinment			- 16	- 16
Total im pairm ent los s es		י	-23	-24

NOT 4. RIGHT-OF-USE ASSETS

	Mar 31 2021	Mar 31 2020	Dec 31 2020
Ow ner-occupied properties	1,014	1,046	.043
Machinery and equipment	906	920	909
and leas es	12	54
l otal right-of-use as sets	.931	2,020	ઠેરડે

NOT 5. SEGMENT REPORTING

	NCC	NCC Building	NCC Building		NCC NCC Property	Total	Other and
January - March 2021	Intrastructure	Sweden	Nordics	Industry	Development	s egments	eliminations 11	Group
Net sales , external	3,295	2,715	2,069	751	1,134	9,963	177	10, 140
Net sales , internal	192	364	351	71	2	979	-979	O
Net sales , total	3,486	3,079	2.420	822	1,136	10,943	-802	10, 140
Operating profit	40	90	39	- 298	47	-83	-61	- 144
Net financial items								-9
Profit loss after financial items								- 152
		NCC	NCC

	NCC	Building	Building		NCC NCC Property	Total	Other and
January - March 2020	Intrastructure	Sweden	Nordics		Industry Development segments		eliminations 11	Group
Net sales , external	3.805	3,056	2,585	832	1,574	11.851	- 85	11,766
Net sales , internal	288	328	270	94	ന	983	-983	O
Net sales , total	4.092	3,384	2.856	926	1.577	12,835	- 1,068	11,766
Operating profit	40	87	50	-364	323	136	- 205	-69
Net tinancial items								-21
Profit los s after financial items								-90

^ The figures for the quarter include among others hands from small subsidiaries and associated companies, totalling SEK 34 M (-45). Further, the figures for the quarter includes eliminations of itter al profits of SEK2 M (1) and other Group adjustments, mainly consisting of differences of accounting policy between the segments and the Group, totaling SEK - 9 M (-147). These items primarly correspond to persing, when the rules on sale and leaseback are applied. Road Services is included with -10 M (-14).

Geographical areas

	Net sales			Orders received
		Jan-Mar
SEK M	2021	2020	2021	2020
Sweden	5,725	7,428	10,027	10,346
Denmark	1,489	1 ,485	1,609	2,674
Norway	2,046	1,388	888	960
Finland	879	1,464	1,732	1,479
Total	10, 140	11,766	14,255	15,458

NOT 6. FAIR VALUE OF FINANCIAL INSTRUMENTS

In the tables below, disclosures are made concerning how fair value has been determined for the financial instruments that are continuously measured at fair value in NCC's balance sheet. When determining fair value, assets have been divided into three levels. No transfers were made between the levels during the period.

In level 1 , measurement complies with the prices quoted on an active market for the same instruments. Derivatives in level 2 comprise currency forward contracts, currency options, interest-rate swaps, oil

forward contracts and electricity forward contracts used for hedging purposes. The measurement at fair value of currency forward contracts, currency options, oil forward contracts and electricity forward contracts is based on accepted models with observable input data such as interest rates, exchange rates and commodity prices. The measurement of interest-rate swaps is based on forward interest rates based on observable yield curves. In level 3, measurement is based on input data that is not observable in the market.

SEK M		Mar 31 2021				Mar 31 2020				Dec 31 2020
		Level				Level				Level
	1	2	3	Tot		2	3	Tot		2	3	Tot
Financial as sets measured at fair value through protit and los s
Short-term investments	93			93	41			41	104			104
Derivative instruments		5		5		172		172		10		10
Derivative instruments used in hedge accounting		29		29		રડ		52		9		9
Financial as sets meas ured at fair value through other com prehens ive incom e
Equity instruments			68	68			74	74			୧୫	୧୫
Total as sets	ਉਤ	34	રેજ	195	41	224	74	339	104	19	୧୫	191
Financial liabilities meas ured at fair value through profit and los s
Derivative instruments		81		81		રૂડે		રૂડે		39		39
Derivative instruments used in hedge accounting		17		17		74		74		32		32
Total liabilities	0	98	0	98	O	127	O	127	O	71	0	71

In the table below, disclosures are made concerning fair value for the financial instruments that are not recognized at fair value in NCC's balance sheet.

SEK M	Mar 31 2021		Mar 31 2020		Dec 31 2020
	Carrying amount	Fair value	Carrying amount	Fair value	Carrying amount	Fair value
Long-term interest- bearing receivables - amortized cost	159	160	113	114	125	126
Short-term investments - amortized cost	40	40	82	82	70	70
Long-term interes t- bearing liabilities	3,771	3,762	3,775	3,684	3,965	3,946
Current interest-bearing liabilities	764	764	878	879	୧୦୧	୧୦୧
Interest-bearing liabilities attributable to as sets held for sale	O	O	92	92	O	O

For other financial instruments recognized cost – accounts receivable, current interestbearing receivables, cash and cash equivalents, accounts payable and other interestries include does not materially deviate from the carrying anount.

NOT 7. PLEDGED ASSETS, CONTINGENT LIABILITIES AND GUARANTEE OBLIGATIONS

SEK W

Group	Mar 31 2021	Mar 31 2020	Dec 31 2020
Assets pledged	496	520	537
Contingent liabilities and guarantee obligations	289	600	251
Parent com pany
Contingent liabilities and guarantee obligations	21,929	21,883	20,279

" A mong these, NCC AB has sureties which are indemnified by Bonava AB based on the Master Separation Agreement. Bonava is working on formally replacing these sureties with other forms of collateral in a gradual process, which means that this item will decline further over time. In addition, NCC AB has received guarantees from credit insurance companing outstanding commitments on behalf of now wholly owned Bonava companies.

1) Calculations are based on the rolling 12 month period.
2) All shares issued by NCC are common shares.
3) The amounts are adjusted for change in accounting policy regarding IFRS 15. 4) M arket value December 2016 excludes NCC´s residential business, Bonava. Including Bonava the maket value amounts to SEK 39,563 M
5) The profit arising from the dividend of Bonava was SEK -31 M and SEK 6,724 M in the full year 2017 and 2016.

5) The profit arising from the dividend of Bonava was SEK -31 M and SEK 6,724 M in the full year 2017 and 2016.

6) Refers to interest-bearing liabilities excluding pension liabilities according to IAS 19 and leasing according to IFRS 16.

For definitions of key figures, see https://www.ncc.com/investor-relations/ncc-share/financial-definitions/.

This is the type of information that NCC AB is obligated to disclose pursuant to the EU Market Abuse Regulation. The information was issued for publication through the agency of the contact persons set out below on April 28, 2021, at at 7:10 a.m. CEST.

Invitation to presentation of the Interim Report for the first quarter of 2021

NCC's President and CEO Tomas Carlsson and Chief Financial Officer Susanne Lithander will present the interim report in a webcast and teleconference on April 28 at 9:00 a.m. CEST. The presentation will be held in English.

Presentation material will be available at www.ncc.se/ir from approximately 8:00 a.m. CEST.

Link to webcast:

https://ncc-live-external.creo.se/210428

To participate by phone:

To participate by phone, please call one of the following numbers five minutes prior to the start of the conference. SE: +46 (0)8 505 583 50 UK: +44 333 300 9271 US: +1 833 823 05 89

Financial calendar

Interim report Q2 and Jan-Jun period	July 21, 2021
Interim report Q3 and Jan-Sep period	November 2, 2021
Interim report Q4 and Jan-Dec period	February 2, 2022

For further information, please contact:

Chief Financial Officer (CFO)	Head of Communication & Investor Relations
Susanne Lithander	Maria Grimberg
Tel. +46 (0)73-037 08 74	Tel. +46 (0)70-896 12 88

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