New Wave Group AB — Earnings Release 2024

Feb 6, 2025

January - December

Corporate

CLIQUE REG. TRADEMARK	X J.HARVEST & FROST CORPORATE SHERTMAKER	K JAMES HARVEST	(P)rinter	JOBMAN WORKWEAR	DIPROJOB
TOPPONIT	D-VICE PROMOTE	cottover people & planet	DERBY POF SWEDEN	Praphix	CFA.D SPORTSWEA
hurricone	. :::: bagsfirst®	UCC CLOTHING	(X) CLEAR COLLAR

Sports & Leisure

CUTTER & BUCK	CRAFT ::	CLIQUE.	ahead 4	> Kate Lord COLLECTION	sköna • marie.
AUCLAIR &	LAURENTIDE of thes LTD.	SEGER	Termo	was and the may to any to more MARSTRAND ORIGINAL SAILOR SHOES	T Tenson® EST. 1951
SINCE 1929

Gifts & Home Furnishings

ORREFORS @	KostaBoda	KOSTA BODA ART HOTEL SWEDEN	. west BREAMP & Stitus . KOSTA LODGE	JOSTA	sagaform ر
LORD NELSON ALCTORY	nightingale	queen Tannel	KOSTA LINNEWÄFVERI	Orrefors JERNVERK	BYON
vakinme	VICTORIAN

2 // Q4

PERIOD 1 OCTOBER - 31 DECEMBER 2024 PERIOD 1 JANUARY - 31 DECEMBER 2024

• Net sales amounted to SEK 2,827.3 million, which was 3% higher than last year (SEK 2,735.9 million).

• Operating result amounted to SEK 462.7 (518.7) million.

• Result for the period amounted to SEK 344.4 (366.4) million.

• Earnings per share amounted to SEK 2.60 (2.76).

• Cash flow from operating activities amounted to SEK 545.7 (753.5) million.

• Net sales amounted to SEK 9,528.7 million, which was at the same level as last year (SEK 9,512.9 million).

• Operating result amounted to SEK 1,262.3 (1,577.2) million.

• Result for the period amounted to SEK 880.0 (1,119.0) million.

• Earnings per share amounted to SEK 6.63 (8.43).

• Cash flow from operating activities amounted to SEK 1,278.3 (963.8) million.

• Equity ratio amounted to 63.7 (60.2)%.

• Net debt to equity ratio amounted to 25.2 (31.4)%.

DIVIDEND

The board proposes that the general meeting decide on a dividend of SEK 3.50 per share, with half-yearly payments of SEK 1.75 per share each.

400 450 500

Q1 Q2 Q3 Q4

SEK

2020 2021 2022 2023 2024

400 450 500

400 450 500 Torsten Jansson

CEO

J a n s s o n

o r s t e n

"We managed to increase net sales by 3% despite a continued challenging market in all countries."

October - December

Net sales

We managed to increase net sales by 3% despite a continued challenging market in all countries – of which Sweden might be the worst. This means that we continue to gain market share. However, there is a significant difference between different countries and regions. Sweden clearly had the largest decrease of 6%. Southern Europe also decreased by 4%. The USA grew by 3%, Central Europe by 5% and the Nordics (excl. Sweden) by 8% which is very strong. Other countries generated growth of 38%. Other countries include our trading operations in Asia which are dependent on a few large orders which means that the sales varies in different quarters.

Although I am not satisfied with 3% growth and it is far below our target, I still think it is a statement of strength in today's market situation. Of our sales channels, promo improved by 5% and retail was at the same level as last year. The regions that showed growth have a significantly larger share of net sales in promo than retail. We have continued our investments for future growth, primarily in Germany and the US but also in other markets.

Operating result

Operating result decreased by SEK 56.0 million to SEK 462.7 million. The decrease is, among other things, due to a 2% lower gross profit margin but also because we continue our market investments for future growth. We also continue to automate our warehouses at the same time as we are implementing a completely new business system, which will have a positive impact in the future. The operating margin in the quarter was 16.4%, which can nevertheless be described as strong in the current economic and market situation especially since we continue investing in the future.

Full Year 2024

Net sales

I am pleased that the full year actually ended slightly higher than the previous year despite the difficult market situation. This means that we continue to gain market share, which we will be very pleased with when the market turns around. As in the fourth quarter, the development in Sweden and Southern Europe had the largest decrease with minus 3% and 5% respectively. For the full year, Other countries decreased by 1%, while the Nordic countries (excl. Sweden), the USA and Central Europe showed growth of 2 to 4%.

Operating result

Operating result decreased by SEK 314.9 million to SEK 1,262.3 million, which we are obviously not satisfied with. Despite this it can be considered a strong result considering the economic situation and the market. We have continued our investments in both the market and warehouse automation, which will yield returns in the future. By daring to continue with our investments, we have strengthened our competitiveness going forward, which will yield good returns when the market turns.

Cash flow & balance sheet

The year's cash flow from operating activities amounted to SEK 1,278.3 million. Investments (mainly in the previously mentioned automations) increased by SEK 75.8 million to SEK 296.8 million and this of course does not include the marketing investments we made which are accounted for in the income statement. I am convinced that both will provide returns going forward.

Our balance sheet is very strong and at the end of the year we had a record high equity ratio of 63.7% and equity amounted to just over SEK 7.2 billion.

The future

It looks very promising going forward. I believe the market will improve during the year, even though it may be challenging for another quarter or two, and then we will see the benefits of the work and investments we have made. We have taken market share and maintained a high level of service to our customers in a challenging market. Then, the investments in primarily the USA and Germany should start to have a positive impact on our sales in the second half of the year, even though it may take a little longer than that before they contribute to operating profit. We are planning additional brands and product lines, primarily in promo, in both North America and Europe, and we continue to have great growth opportunities at Craft in several product groups and regions.

I am convinced that we will show good growth going forward and we are truly equipped for this in every way possible with a good organization, good product range and brands, a high level of service to our customers and a strong balance sheet. This applies to both Europe and North America, but I would once again like to highlight the USA and Canada where we now are in excellent position for high growth. We have a strong organization and the USA is already our largest market with 23% of our net sales and North America in total is 26% of our net sales. However, we have only launched smaller parts of our brands and assortment. For Craft Teamwear, the launch is in full swing and we are also preparing it now in Canada. We will also make major launches of ProJob and Harvest/Printer in Canada in 2025 and we are planning for more brand expansions within promo in the USA in 2025 and 2026.

Thank you everyone!

Torsten Jansson

Q4

CEO

T h e p e r i o d

Comments on the period

Summary of the quarter October - December

The year ended with growth with the Group's net sales increased by 3%. Corporate and Sports & Leisure increased while Gifts & Home Furnishings decreased. The gross profit margin was lower than the previous year but remains at a strong level. Costs increased slightly, which was mainly related to sales and marketing costs. Overall, the profit for the period amounted to SEK 344.4 (366.4) million.

The Corporate segment increased by 3% compared to last year and increased in the regions USA, Central Europe and Other countries. Sports & Leisure improved by 6% with all regions except Sweden increased. Gifts & Home Furnishings decreased by 4% compared to the previous year. The segment had lower net sales in all regions.

The promo sales channel increased by 5% and retail remained at the same level as last year. Promo increased mainly in Sports & Leisure, which improved by 17%.

The gross profit margin decreased compared to last year and amounted to 50.0 (52.0) %. It was primary the Corporate and Gifts & Home Furnishing segments that decreased their margin.

External costs increased slightly compared to the previous year. The increase is mainly attributable to marketing activities and sales expenses. Personnel costs increased and are related to the general salary increases that were made earlier this year.

Operating result decreased by SEK 56.0 million and amounted to SEK 462.7 (518.7) million. The operating margin amounted to 16.4 (19.0) %.

Cash flow from operating activities decreased by 207.8 and totaled 545.7 (753.5) MSEK. The lower cash flow is mainly the result of the Group having higher purchases of goods compared to last year. However, inventories decreased in relation to the previous year and amounted to 5,124.2 (5,346.8) MSEK, of which the exchange rate change when converted to SEK has increased the value by 169.6 MSEK.

The equity ratio improved by 3.5 percentage points and amounted to 63.7 (60.2) %. The net debt to equity ratio decreased and amounted to 25.2 (31.4) %.

+6% Sports & Leisure segment

CHANGE IN NET SALES

Gifts & Home Furnishings segment

October - December

Net sales

Net sales amounted to SEK 2,827.3 million, which was 3% higher than the previous year (SEK 2,735.9 million). Currency effects had a positive impact of SEK 16.7 million.

Net sales in the USA increased by 3%, which was related to the Corporate and Sports & Leisure segments. Sweden decreased by 6% and had lower net sales in all segments. Central Europe increased by 5%, which was mainly attributable to Sports & Leisure. The Nordic region (excl Sweden) increased by 8% compared to the previous year. The increase occurred in Sports & Leisure while Corporate and Gifts & Home Furnishings decreased. Southern Europe decreased net sales by 4%. Corporate decreased while Sports & Leisure increased. Other countries increased by 38% and the higher net sales were due to increases with both Corporate and Sports & Leisure

The promo sales channel increased by 5% and retail was at the same level as last year. Promo improved mainly in Sports & Leisure but also Corporate increased. Retail sales increased slightly in Sports & Leisure but decreased in Corporate and Gifts & Home Furnishings.

Gross profit

The gross profit margin decreased compared to the previous year remained at a high level and amounted to 50.0 (52.0)%. All segments decreased but primarily Corporate and Gifts & Home Furnishings had a lower margin compared to last year.

Other operating income and other operating costs

Other operating income increased by SEK 3.6 million to SEK 33.3 (29.7) million. Other operating income is primarily attributable to the operation's exchange rate gains but also invoiced costs and should be compared to the income statement line other operating expenses where the operation's exchange rate losses are reported. Other operating expenses increased by SEK 0.2 million and amounted to SEK -16.8 (-16.6) million. The net of the above-mentioned items amounted to SEK 16.5 (13.1) million and the increase is due to higher reinvoicing of costs.

Costs and depreciations

External costs increased by SEK 13.9 million and amounted to SEK -503.2 (-489.3) million. The increase is largely related to sales and marketing costs. Personnel costs increased by SEK 19.2 million and amounted to SEK -384.3 (-365.1) million, which is because of previously implemented general salary increases and new investments.

Exchange rate changes increased the abovementioned costs by SEK 5.5 million.

Depreciation and write-downs were higher compared to the previous year and amounted to SEK -78.1 (-63.4) million. The increase is related to depreciation of right-of-use assets linked to leasing and the investments previously made in the group's warehouse operations.

Operating result

Operating result decreased by SEK 56.0 million compared to the previous year and amounted to SEK 462.7 (518.7) million. The lower operating result is due to the lower gross profit margin and higher sales and marketing expenses. The operating margin decreased and amounted to 16.4 (19.0)%.

Net financial items and tax

Net financial items amounted to SEK -27.6 (-38.1) million. The group's net debt to credit institutions has decreased and therefore so has its interest expenses.

Tax on the period's result amounted to SEK -90.7 (-114.3) million and the effective tax rate was 20.8 (23.8)%. The lower tax rate was the result of last year containing a negative change in deferred tax liability and the year has been positively affected by a change in tax attributable to previous years.

Result for the period

Result for the period decreased by SEK 22.0 million and amounted to SEK 344.4 (366.4) million. Earnings per share amounted to SEK 2.60 (2.76).

Summary 2024

The Group had a rather tough start to 2024 with lower net sales than the previous year. The first quarter is and has always been the smallest quarter of the year and is often uneven in terms of both sales and earnings due to marketing efforts, sales activities, shifts between quarters, etc. Net sales decreased by 7% (same in local currencies), of which acquired operations contributed 1%. Sales decreased in all segments and in both sales channels. All regions except Central Europe had lower turnover than last year. Net sales were also negatively impacted by the calendar effect that arose when Easter this year fell in March instead of April. Operating result decreased and amounted to SEK 185.5 (313.5) million, which was mainly related to the lower net sales.

The market was significantly weaker in the second quarter than we had previously estimated. We expected that an interest rate cut and discussions about further interest rate cuts would boost sales, however this did not happen. Our assessment is that the promo market decreased by 5-10% in the quarter depending on the country and that the retail trade continued to have a difficult time with decreases as well. However, the Group continued with its market investments as it was a good opportunity to take market share. Net sales increased by 4% (3% in local currencies). It was mainly in the Sports & Leisure segment that net sales increased, while Corporate and Gifts & Home Furnishings were on par with last year. The promo sales channel increased by 2% and retail by 9%. Net sales increased in most of our regions but decreased in Southern Europe and Other countries. The operating result for the quarter was lower than in the previous year and amounted to SEK 301.2 (363.9) million. Cash flow from operating activities improved and amounted to SEK 337.5 (230.1) million.

Net sales in the third quarter decreased by 1%. However, currency fluctuations negatively affected net sales by 3%, which means that organic growth was 2%. The Sports & Leisure segment increased its sales slightly, while Corporate and Gifts & Home Furnishings decreased. Both sales channels decreased their net sales by 1%. The Group continues to take market share in a challenging market. In Sweden, for example, the Sports Index decreased by 1.5% in the third quarter, which was the 11th consecutive quarter with negative figures. The Home Furnishings Index was minus 9% in the quarter, despite also being minus 1% in 2023, a total decline of 10% compared to the third quarter of 2022. We estimate that the promo market also decreased by around 7-9%, highlighting that it was a very difficult quarter. Operating result decreased from SEK 381.1

million to SEK 312.8 million. Last year, the Group saw some one-off income and in 2024, it had increased payroll costs and continued aggressive market investments, particularly in Germany and the USA. Cash flow from operating activities improved and amounted to SEK 191.4 (173.3) million.

The Group once again had growth in the fourth quarter and net sales increased by 3%. The Sports & Leisure segment and the promo sales channel saw sales increase, but Corporate also had growth. Gifts & Home Furnishings decreased. Net sales increased in most regions but decreased in Sweden and Southern Europe. The gross profit margin remained strong but slightly lower than the previous year. The Group continues to invest in the market with increase sales and marketing expenditures. Operating result decreased and amounted to SEK 462.7 (518.7) million. The quarter's cash flow from operating activities was lower compared to last year and amounted

Craft

Craft had its first Pop-Up shop in New York, to launch its new shoe KYPE PRO.

to SEK 545.7 (753.5) million, where the decrease was attributable to more goods purchased than in the previous year.

Net sales for the year amounted to SEK 9,528.7 million, which was on par with last year (SEK 9,512.9 million). The promo and retail sales channels were also at the same level as last year. The Corporate segment decreased by 2% and had a weak performance during the first three quarters of the year but saw growth in the fourth quarter. Marketing efforts and personnel costs have increased due to general salary increases and new investments. Overall, this has meant that costs have increased and operating result has thus decreased compared to last year. Sports & Leisure had a weak first quarter but has improved thereafter and for the full year the segment increased by 3%. The segment increased largely in the USA, Central Europe and the Nordic countries (excl. Sweden). Investments in Craft have continued and the brand is showing improvement even though significant marketing investments have been made. Costs increased in the form of more marketing activities and the operating margin was slightly lower than last year. Net sales for Gifts & Home Furnishings decreased by 4% and the segment has struggled throughout the year. The segment had lower net sales in most regions but was at the same level in Sweden. Lower sales together with a lower gross profit margin as well as more marketing activities and higher personnel costs have caused operating profit to decrease compared to last year.

The Group's operating result amounted to SEK 1,262.3 million, which was a decrease of SEK 314.9 million compared to the previous year (SEK 1,577.2 million). The lower gross profit margin and increased costs for marketing initiatives and personnel also resulted in a decrease in the operating margin, amounting to 13.2 (16.6)%. Net financial income improved during the year as our net debt and interest expense has decreased. The result for the year amounted to SEK 880.0 (1,119.0) million. In line with a weaker market, the Group has adjusted its inventory to current volumes and demand. The inventory reduction has also contributed to the cash flow from operating activities improving by SEK 314.5 million, amounting to SEK 1,278.3 (963.8) million, and to the debt level decreasing to 25.2 (31.4)%. The Group has continued to invest in its warehouse operations and investment activities increased by SEK 75.8 million and amounted to SEK -296.8 (-220.9) million. The equity ratio improved and amounted to 63.7 (60.2)% and the Group's net debt decreased by SEK 210.1 million and amounted to SEK 1,818.8 (2,028.9) million as of December 31.

Jobman Jobman continues to produce workwear for professional craftsmen, with a 25th anniversary in 2025.

Craft

National Geographic names the Craft Xplor Hybrid Running shoes as the best hybrid running shoe.

Teamwear USA

January - December

Net sales

Net sales amounted to SEK 9,528.7 million, which was in line with the previous year (SEK 9,512.9 million). Exchange rate effects negatively impacted sales by SEK 13.5 million. Last year's acquisition affected net sales by SEK 34.1 million.

Net sales in the USA increased by 2% and the improvement occurred in Corporate and Sports & Leisure while Gifts & Home Furnishings decreased. Sweden decreased by 3% compared to last year which was attributable to Corporate and Sports & Leisure. Central Europe increased by 4% which was related to Sports & Leisure. The Nordic region (excl Sweden) increased by 2% where the increase occurred in Sports & Leisure while Corporate and Gifts & Home Furnishings decreased. Southern Europe decreased by 5% and was due to the Corporate and Sports & Leisure segments. Other countries decreased by 1%. The Corporate segment increased its net sales while Sports & Leisure and Gifts & Home Furnishings decreased.

Both sales channels - promo and retail - were at the same level as last year. However, promo increased in Sports & Leisure but decreased in Corporate and Gifts & Home Furnishings. Retail was overall at the same level as last year but decreased slightly in Gifts & Home Furnishings.

Gross profit

The gross profit margin was slightly lower than the previous year and amounted to 49.4 (50.3)%. It is mainly Corporate and Gifts & Home Furnishings that have decreased, while Sports & Leisure is at the same level as last year.

Other operating income and other operating costs

Other operating income decreased by SEK 35.4 million to SEK 95.3 (130.7) million. Other operating income is primarily attributable to the operation's exchange rate gains but also reinvoiced costs and should be compared to the income statement line other operating expenses where the operation's exchange rate losses are reported. Other operating expenses decreased by SEK 6.0 million and amounted to SEK -48.5 (-54.5) million. The net of the abovementioned items amounted to SEK 46.8 (76.2) million. The lower net is primarily because of last year's electricity subsidy received, positive earnings effects in connection with the acquisition of Tenson AB and capital gains on the sale of property. These items had a positive impact on last year's net by SEK 25.5 million.

Costs and depreciations

External costs increased by SEK 86.3 million and amounted to SEK -1,749.3 (-1,663.0) million. The increase is mainly related to sales expenses, but marketing costs have also increased. Personnel costs increased by SEK 77.2 million and amounted to SEK -1,430.0 (-1,352.8) million. The increase for the year is due to general salary increases and also new investments.

Exchange rate changes have reduced the above costs by SEK 6.5 million and last year's acquired unit increased costs by SEK 25.8 million.

Depreciation and write-downs were higher compared to the previous year and amounted to SEK -307.9 (-263.2) million. The increase is related to depreciation of right-of-use assets linked to leasing and investments in our warehouse units.

Operating result

Operating result decreased by SEK 314.9 million and amounted to SEK 1,262.3 (1,577.2) million. The lower result is related to a lower gross profit margin, higher sales and marketing costs and higher personnel costs. The operating margin decreased due to the above-mentioned reasons and amounted to 13.2 (16.6)%. Acquired business had an impact of SEK -13.2 million.

Net financial items and tax

Net financial items improved compared to the previous year and amounted to SEK -128.9 (-137.7) million. This is because net debt and interest expenses have decreased.

The tax expense for the period amounted to SEK -253.5 (-320.4) million. The effective tax rate is on par with last year and amounted to 22.4 (22.3) %.

Result for the period

Result for the period amounted to SEK 880.0 (1,119.0) million and earnings per share amounted to SEK 6.63 (8.43).

Reporting of operating segments

New Wave Group divides its operations into the segments Corporate, Sports & Leisure and Gifts & Home Furnishings. The Group monitors the segments' and brands' sales as well as operating result. The operating segments are based on the Group's operational management.

Corporate

Net sales for the fourth quarter increased by 3% compared to last year and amounted to SEK 1,395.1 (1,358.4) million. Sales increased in the USA, Central Europe and Other countries but decreased in other regions. The promo sales channel increased while retail sales decreased. Operating result decreased by SEK 70.1 million and amounted to SEK 261.4 (331.5) million. The lower result is related to a deteriorated gross profit margin and higher costs.

Net sales for the year amounted to SEK 4,678.9 (4,757.1) million. The USA, Central Europe and Other countries increased their net sales slightly while the other regions decreased. Both sales channels decreased their sales. Operating result decreased by SEK 213.4 million and amounted to SEK 729.3 (942.7) million. Lower net sales and gross profit margin as well as higher marketing and personnel costs have reduced operating result.

Sports & Leisure

Net sales during the period October-December increased by 6% and amounted to SEK 1,139.7 (1,071.6) million. All regions except Sweden increased. It was mainly the promo sales channel that increased net sales, but retail also improved compared to last year. Operating result increased by SEK 11.8 million and amounted to SEK 180.9 (169.1) million. The improved result is largely related to the higher net sales, but the segment also has higher costs.

Net sales for the period January-December increased by 3% and amounted to SEK 3,988.3 (3,874.6) million. Acquired operation had an impact of SEK 34.1 million. The segment had higher net sales in Central Europe and the USA but decreased in other regions. The promo sales channel increased while retail was at the same level as last year. Operating result decreased by SEK 73.2 million and amounted to SEK 544.5 (617.7) million. The decline in profit is the result of higher costs, both in the form of sales and marketing costs but also personnel costs. The acquired unit had an impact of SEK -13.2 million.

Gifts & Home Furnishings

Net sales for the fourth quarter decreased by 4% compared to the previous year and amounted to SEK 292.5 (305.9) million. The segment had lower net sales in all regions. Sales decreased in both sales channels. Operating result improved slightly compared to the previous year and amounted to SEK 20.4 (18.0) million. The improvement in profit is based on lower costs.

Net sales for the period January-December decreased by 2% and amounted to SEK 861.5 (881.1) million. Sweden was at the same level as last year, while other regions decreased their net sales. Both sales channels decreased. Operating result decreased by SEK 28.3 million compared to the previous year and amounted to SEK -11.5 (16.8) million. The lower result is due to a lower gross profit margin and higher sales and marketing and personnel costs. Last year also includes government electricity support of SEK 9.6 million.

Capital tied up

Capital tied up in inventories decreased by SEK 222.6 million compared to the previous year and amounted to SEK 5,124.2 (5,346.8) million. Exchange rate changes increased the inventory value by SEK 169.6 million. The inventory turnover rate was at the same level as last year and amounted to 0.9 (0.9) times.

SEK million	31 Dec 2024	31 Dec 2023
Raw materials	56.4	59.8
Work in progress	0.7	0.7
Goods in transit	367.1	365.9
Finished goods	4,700.0	4,920.4
Total	5,124.2	5,346.8

As of December 31, 2024, total obsolescence reserves for inventory amounted to SEK 180.1 (152.9) million and the obsolescence reserve for finished goods inventory amounted to 3.7% (3.0).

Accounts receivable amounted to SEK 1,596.7 (1,475.2) million, with the increase primarily related to higher net sales in December (compared to last year).

Investments, financing and liquidity

Cash flow from operating activities for the quarter decreased by SEK 207.8 million and amounted to SEK 545.7 (753.5) million. The lower cash flow is mainly attributable to more purchases of goods than in prior years' quarter. Cash flow from investing activities amounted to SEK -132.6 (-25.3) million. The increase is the result of investments in inventory operations.

For the full year, cash flow from operating activities amounted to SEK 1,278.3 million, which was SEK 314.5 million higher than the previous year (SEK 963.8 million). The improved cash flow is primarily due to lower purchases of goods. Cash flow from investing activities amounted to SEK -296.8 (-220.9) million. As in the quarter, the increase is mainly related to investments in inventory operations.

Net debt decreased by SEK 210.1 million and amounted to SEK 1,818.8 (2,028.9) million. Of the decrease, SEK 364.1 million was related to credit institutions, while debt linked to leasing increased by SEK 154.0 million. The net debt to equity ratio and net debt through working capital decreased and amounted to 25.2 (31.4)% and 33.2 (37.2)%, respectively.

The equity ratio improved by 3.5 percentage points and amounted to 63.7 (60.2) %.

The total credit line as of December 31 amounted to SEK 2,670.3 million, of which SEK 2,150.0 million is in effect through December 2026, SEK 120.3 million is in effect through August 2027 and SEK 150.0 million has a term that extends to December 2030. The other SEK 250.0 million has a term of between three months and four years. The credit line is limited in amount to and dependent on the value of certain underlying assets. The financing agreement means that key figures (covenants) must be met in order to maintain the credit line. The group's key figures (covenants) were fulfilled as of December 31, 2024.

Personnel and organization

The average number of annual employees as of December 31 was 2,451 (2,450) people, of which 48% were men and 52% were women. Of the number of employees, 512 (502) people work in production.

The production within New Wave Group is attributable to AHEAD (embroidery), Cutter & Buck (embroidery), Kosta Boda, Orrefors, Seger, Termo and Toppoint.

Anna Gullmarstrand has been appointed Chief Financial Officer (CFO) for New Wave Group. She most recently came from Wallenstam AB, where she has been the Financial Manager since 2012, and before that she worked as an authorized public accountant at EY. Anna will be part of the Group Management and will take over the role from Lars Jönsson, who has been CFO for New Wave Group since 2007 and who will remain in office until February 28, 2025.

Intangible Assets

The Group's intangible assets with indefinite useful life consist of goodwill and trademarks. The useful lives are assessed to be indefinite because they are well established strategic brands in respective markets which the Group intends to maintain and develop further. The brands with greater value, listed at their acquisition values, are well-known brands such as Orrefors and Kosta Boda within Gifts & Home Furnishings as well as predominately Cutter & Buck within Sports & Leisure. The value of the Group's goodwill and trademarks, which are based on local currency and can give rise to currency translation effects in the consolidated financial statements, have been allocated between the cash-generating units for which they belong. These units are also the Group's segments. The value of these intangible assets is reviewed annually to ensure that the value does not deviate negatively from book value, but can be tested more frequently if there are indications that the value has decreased. In an impairment test, the recoverable amount needs to be determined by a calculation of the respective cash-generating unit's value in use. For New Wave Group, the operating segments are deemed to constitute cash-generating units, except in the case of Gifts & Home Furnishings, which is divided into two cash generating units, Gifts & Home Furnishings and Destination Kosta. The products and services that Destination Kosta provides differ from other products within the operating segment. The assets for generating payments linked to these products and services can also be clearly distinguished from others within the operating segment. Destination Kosta has no intangible assets, so no sensitivity analysis has been performed on this cash-generating unit.

The value in use is based on established cash flow projections for the next five years, and a long-term growth rate, known as terminal growth. The most important assumptions in determining the value in use include growth rate, operating margin and discount rate (WACC). As the cash generating units have different characteristics, each unit is assessed after its commercial factors. The estimated cost of capital (WACC) is considered to be representative of all cash generating units.

Based on the tests and analyses carried out during the quarter, there is currently no need for impairment. Nor was there any need for impairment for the comparison year.

Related party transactions

Lease agreements exist with related companies. Companies related to the CEO have purchased merchandise. In addition, there are transactions with related parties at insignificant values. All transactions have taken place on market terms

The Parent company

Net sales for the quarter amounted to SEK 68.7 (38.9) million. Result before appropriations and tax amounted to SEK -29.4 (36.4) million. The lower result is attributable to write down of financial assets, where previous capital contributions to cover losses in subsidiaries have been written down. Net debt amounted to SEK 1,469.5 (1,674.7) million. The parent company's net financing to subsidiaries amounted to SEK 1,781.3 (2,156.6) million. Cash flow from investing activities amounted to SEK -33.6 (-3.2) million, where the increase relates to capital contributions to subsidiaries. Total assets amounted to SEK 5,319.2 (5,520.9) million and equity, including the equity portion of untaxed reserves, amounted to SEK 2,648.5 (2,741.4) million.

Net sales for the period January-December amounted to SEK 180.4 (121.9) million. Result before appropriations and tax decreased and amounted to SEK 395.8 (509.1) million, which is mainly related to write down of financial assets where capital contributions to cover losses in subsidiaries have been written down. Cash flow from investing activities amounted to SEK -36.8 (43.6) million. Last year's cash flow includes an intra-group company sale of SEK 95 million.

Annual General Meeting

The Annual General Meeting takes place on May 6 at 1 p.m. in Kosta. The annual report is expected to be available on April 15 at the company's head office in Gothenburg and at www.nwg.se.

Dividend

The company's dividend policy is that 40% of the net profit must be distributed over a business cycle.

The board proposes that the general meeting decide on a dividend of SEK 3.50 (3.50) per share, a total of SEK 464,404,801 (464,404,801), with half-yearly payments of SEK 1.75 per share each. the dividend corresponds to 53 (42)% of net profit.

Nomination Comittee

The nomination committee for the board election at the 2025 Annual General Meeting is:

• Tomas Risbecker, representative of Svolder and Chairman of the nomination committee

• Torsten Jansson, CEO and representative of Torsten Jansson Holding AB

• Frank Larsson, representative of Svenska Handelsbankens fonder

For more information about the nomination committee and its work, please see www.nwg.se.

Calendar

24 APR	Interim report for the first quarter
6 MAY	Annual General Meeting
14 AUG	Interim report for the second quarter
6 NOV	Interim report for the third quarter

The Board of Directors and CEO declare that the year-end report gives a true and fair overview of the company's and Group's operations, financial position and earnings, and describes the significant risks and uncertainty factors faced by the company and the companies included in the Group.

This report has not been reviewed by New Wave Group's auditors.

Gothenburg, February 6, 2025

New Wave Group AB (publ)

2024

Olof Persson Chairman of the Board

Kinna Bellander Member of the Board

Susanne Given Member of the Board

Ralph Mühlrad Member of the Board

For more information, please contact:

CEO AND GROUP CEO Torsten Jansson Phone: +46 (0) 31–712 89 01 E-mail: torsten.jansson@nwg.se

DEPUTY CEO Göran Härstedt Phone: +46 (0) 70 - 362 56 11 E-mail: goran.harstedt@nwg.se

CFO Lars Jönsson Phone: +46 (0) 31–712 89 12 E-mail: lars.jonsson@nwg.se

Isabella Jansson Member of the Board

M. Johan Widerberg Member of the Board Kristina Johansson

Member of the Board

Torsten Jansson CEO and Group CEO

15 // Q4

Consolidated income statement

SEK million	Note	3 months Oct - Dec 2024	3 months Oct - Dec 2023	12 months Jan - Dec 2024	12 months Jan - Dec 2023
Net sales	3, 4, 5	2 827.3	2 735.9	9 528.7	9 512.9
Goods for resale		-1 415.0	-1 312.3	-4 822.7	-4 730.2
Gross profit		1 412.3	1 423.6	4 706.0	4 782.6
Other operating income		33.3	29.7	95.3	130.7
External costs		-503.2	-489.3	-1 749.3	-1 663.0
Personnel costs		-384.3	-365.1	-1 430.0	-1 352.8
Amortizations, depreciations and write-downs of
tangible and intangible fixed assets	3	-78.1	-63.4	-307.9	-263.2
Other operating costs		-16.8	-16.6	-48.5	-54.5
Share of associated companies' result		-0.4	-0.1	-3.1	-2.7
Operating result	3	462.7	518.7	1 262.3	1 577.2
Financial income		4.2	4.0	8.0	9.6
Financial expenses		-31.8	-42.1	-136.9	-147.3
Net financial items		-27.6	-38.1	-128.9	-137.7
Result before tax		435.1	480.6	1 133.4	1 439.4
Tax expense		-90.7	-114.3	-253.5	-320.4
Result for the period		344.4	366.4	880.0	1 119.0
Other comprehensive income: Items that can be reclassified into profit or loss:
Translation differences		279.5	-286.4	338.1	-114.5
Cash flow hedges		5.3	0.9	3.8	-4.2
Sum		284.9	-285.5	341.9	-118.7
Income tax related to components of other comprehensive income		-1.1	-0.2	-0.8	0.8
Total other comprehensive for the period		283.8	-285.7	341.1	-117.9
Total comprehensive income for the period		628.1	80.7	1 221.1	1 001.1
Result for the period attributable to:
Shareholders of the Parent company		344.5	366.4	880.4	1 119.0
Non-controlling interest		-0.1	0.0	-0.4	0.0
		344.4	366.4	880.0	1 119.0
Total comprehensive income attributable to:
Shareholders of the Parent company		628.1	80.7	1 221.1	1 001.1
Non-controlling interest		0.0	0.0	0.0	0.0
		628.1	80.7	1 221.1	1 001.1
Earnings per share (SEK)*		2.60	2.76	6.63	8.43
The average number of outstanding shares*		132 687 086	132 687 086	132 687 086	132 687 086

*Earnings per share and the average number of outstanding shares are the same before and after dilution.

Consolidated cash flow statement

Note SEK million Operating activities	3 months Oct - Dec 2024	3 months Oct - Dec 2023	12 months Jan - Dec 2024	12 months Jan - Dec 2023
Operating result	462.7	518.7	1 262.3	1 577.2
Adjustment for items not included in cash flow	80.6	72.1	306.6	249.4
Received interest	7.1	3.1	8.4	5.6
Paid interest	-34.7	-41.6	-137.3	-143.7
Paid income tax	-122.9	-128.2	-331.9	-325.6
Cash flow from operating activities before changes in working capital	392.7	424.1	1 108.1	1 362.8
Changes in working capital
Increase/decrease of inventories	140.7	320.6	403.6	-70.9
Increase/decrease of current receivables	-79.2	41.8	-111.3	175.3
Increase/decrease of current liabilities	91.5	-33.0	-122.2	-503.5
Cash flow from changes in working capital	153.0	329.4	170.2	-399.0
Cash flow from operating activities	545.7	753.5	1 278.3	963.8
Investing activities
Investments in tangible fixed assets	-126.9	-22.0	-283.4	-220.3
Sales of tangible fixed assets	0.4	0.7	14.6	10.9
Investments in intangible fixed assets	-6.1	-4.1	-26.3	-14.6
Acquisitionof operations, net cash impact	0.0	0.0	0.0	3.1
Change long-term receivables	0.0	0.0	-1.6	0.0
Repayment of long-term receivables	0.0	0.0	0.0	0.0
Cash flow from investing activities 3	-132.6	-25.3	-296.8	-220.9
Cash flow after investing activities	413.1	728.2	981.5	742.9
Financial activities
Loans raised	0.0	0.0	0.0	0.0
Amortization of loans	-82.1	-387.6	-191.0	-205.5
Amortization of lease liabilities	-44.4	-33.4	-174.7	-148.7
Dividend paid to the shareholders of the Parent company	-232.2	-214.9	-464.4	-431.2
Cash flow from financial activities	-358.7	-635.9	-830.1	-785.4
Cash flow for the period	54.4	92.2	151.4	-42.5
Liquid assets at the beginning of the period	474.7	299.6	372.6	419.4
Translation differences in liquid assets	16.6	-19.2	21.7	-4.2
Liquid assets at the end of the period	545.8	372.6	545.8	372.6
Liquid assets
Cash at bank and in hand	545.8	372.6	545.8	372.6

Consolidated balance sheet

Note	31 Dec	31 Dec
SEK million	2024	2023
ASSETS Intangible fixed assets 3	1 870.3	1 756.7
Tangible fixed assets 3	1 685.7	1 357.8
Shares in associated companies	38.7	38.7
Other long-term receivables	14.8	11.8
Deferred tax assets 3, 5	130.1	127.9
Total non-current assets	3 731.7	3 292.8
5
Inventory	5 124.2	5 346.8
Current tax receivables	66.6	43.8
Accounts receivable	1 596.7	1 475.2
Other receivables	143.0	128.5
Prepaid expenses and accrued income	118.5	79.7
Liquid assets	545.8	372.6
Total current assets	7 594.7	7 446.5
TOTAL ASSETS 3, 6	11 326.4	10 739.3
EQUITY
Share capital	199.0	199.0
Other capital contributions	219.4	219.4
Reserves	1 150.1	812.4
Retained earnings including result for the period	5 647.8	5 228.5
Equity attributable to shareholders of the Parent company	7 216.4	6 459.3
Non-controlling interest	0.8	1.2
Total equity	7 217.1	6 460.4
LIABILITIES
Long-term interest-bearing liabilities 7	2 165.9	2 194.9
Pension provisions	26.4	24.8
Other provisions	3.9	5.1
Deferred tax liabilities	180.1	178.0
Total non-current liabilities	2 376.3	2 402.8
Short-term interest-bearing liabilities 7	198.7	206.6
Accounts payable	886.4	967.8
Current tax liabilities	38.4	86.7
Other liabilities	197.3	188.4
Accrued expenses and prepaid income	412.2	426.5
Total current liabilities	1 732.9	1 876.1
Total liabilities 3, 6	4 109.3	4 278.9
TOTAL EQUITY AND LIABILITIES	11 326.4	10 739.3

Consolidated statement of changes in equity

SEK million	Share capital	Other capital contributions	Reserves	Retained ear nings incl. result for the period	Total	Non controlling interest	Total equity
Opening balance 2023-01-01	199.0	219.4	927.9	4 543.1	5 889.4	1.1	5 890.5
Result for the period				1 119.0	1 119.0	0.1	1 119.0
Other comprehensive income
Translation differences			-114.5		-114.5	0.0	-114.5
Cash flow hedges for the period			-4.2		-4.2		-4.2
Reclassification of previous years' cash flow hedge			2.4	-2.4	0.0		0.0
Income tax related to components of other comprehensive income			0.8		0.8		0.8
Total comprehensive income			-115.5	-2.4	-117.9	0.0	-117.9
Transactions with shareholders
Dividends to shareholders of the Parent company				-431.2	-431.2		-431.2
Closing balance 2023-12-31	199.0	219.4	812.4	5 228.5	6 459.3	1.2	6 460.4

SEK million	Share capital	Other capital contributions	Reserves	Retained ear nings incl. result for the period	Total	Non controlling interest	Total equity
Opening balance 2024-01-01	199.0	219.4	812.4	5 228.5	6 459.3	1.2	6 460.4
Result for the period				880.4	880.4	-0.4	880.0
Other comprehensive income Translation differences			338.1		338.1	0.0	338.1
Cash flow hedges for the period			3.8		3.8		3.8
Reclassification of previous years' cash flow hedge			-3.4	3.4	0.0		0.0
Income tax related to components of other comprehensive income			-0.8		-0.8		-0.8
Total comprehensive income			337.7	3.4	341.1	0.0	341.1
Transactions with shareholders Dividends to shareholders of the Parent company				-464.4	-464.4		-464.4
Closing balance 2024-12-31	199.0	219.4	1 150.1	5 647.8	7 216.4	0.8	7 217.1

Accumulated translation differences in equity	Jan - Dec 2024	Jan - Dec 2023
Accumulated translation differences at the beginning of the period	816.7	931.2
Translation differences in foreign Group companies for the period	338.1	-114.5
Accumulated translation differences at the end of period	1 154.8	816.7

Financial key figures

	3 months Oct - Dec 2024	3 months Oct - Dec 2023	12 months Jan - Dec 2024	12 months Jan - Dec 2023
Net sales growth, %	3.3	-2.8	0.2	7.6
Organic growth, %	2.7	-6.5	0.0	-2.4
Aquired growth, %	0.0	1.5	0.4	5.9
Average number of employees	2 484	2 495	2 451	2 450
Gross profit margin, %	50.0	52.0	49.4	50.3
Operating margin before depreciations, %	19.1	21.3	16.5	19.3
Operating margin, %	16.4	19.0	13.2	16.6
Profit margin, %	15.4	17.6	11.9	15.1
Net margin, %	12.2	13.4	9.2	11.8
Return on shareholders' equity, %	12.3	18.7	12.3	18.7
Return on capital employed, %	13.1	18.1	13.1	18.1
Equity ratio, %	63.7	60.2	63.7	60.2
Net debt, SEK million	1 818.8	2 028.9	1 818.8	2 028.9
Net debt to credit institutes, SEK million	1 104.4	1 468.5	1 104.4	1 468.5
Net debt to equity ratio, %	25.2	31.4	25.2	31.4
Net debt in relation to working capital, %	33.2	37.2	33.2	37.2
Interest coverage ratio, times	14.7	12.4	9.3	10.8
Capital turnover, times	0.9	0.9	0.9	0.9
Inventory turnover, times	0.9	0.9	0.9	0.9
Cash flow before investments, SEK million	545.7	753.5	1 278.3	963.8
Net investments, SEK million	-132.6	-25.3	-296.8	-220.9
Cash flow after investments, SEK million	413.1	728.2	981.5	742.9
Shareholders' equity per share, before and after dilution, SEK*	54.39	48.68	54.39	48.68
Share price as of the balance sheet date, SEK*	97.15	101.88	97.15	101.88
Dividend/share, SEK	1.75	1.63	3.50	3.25
P/E-ratio	14.64	12.08	14.64	12.08
P/S-ratio	1.35	1.42	1.35	1.42
Share price/Shareholders' equity	1.79	2.09	1.79	2.09

For definitions of alternative performance measures, see page 34.

Income statement

	3 months	3 months	12 months	12 months
	Oct - Dec	Oct - Dec	Jan - Dec	Jan - Dec
SEK million	2024	2023	2024	2023
Net sales	68.7	38.9	180.4	121.9
Other operating income	14.3	14.1	35.8	46.8
Total income	83.0	53.0	216.2	168.8
External costs	-39.1	-22.2	-134.5	-90.1
Personnel costs	-16.7	-15.3	-59.8	-51.5
Amortizations, depreciations and write-downs of
tangible and intangible fixed assets	-0.8	-0.7	-3.2	-2.9
Other operating costs	-13.2	-11.5	-33.6	-38.6
Operating result	13.2	3.2	-14.8	-14.3
Result from shares in Group companies	0.0	22.0	435.6	447.7
Changes in write-downs of financial assets	-54.0	-3.6	-71.9	16.0
Financial income	53.4	68.0	215.8	234.7
Financial expenses	-42.0	-53.2	-168.9	-175.0
Net financial items	-42.6	33.2	410.5	523.4
Result before appropriations and tax	-29.4	36.4	395.8	509.1
Appropriations	9.0	10.6	9.0	10.6
Tax expense	2.4	5.6	-0.5	0.0
Result for the period	-18.0	52.6	404.3	519.7

Total comprehensive income for the period corresponds with result for the period.

Cash flow statement

	3 months Oct - Dec	3 months Oct - Dec	12 months Jan - Dec	12 months Jan - Dec
SEK million	2024	2023	2024	2023
Operating activities
Operating result	13.2	3.2	-14.8	-14.3
Adjustment for items not included in cash flow	0.7	-20.3	-3.0	-0.9
Received dividends	0.0	0.0	435.6	425.7
Received interest	53.4	68.0	215.8	234.7
Paid interest	-42.0	-52.8	-168.9	-174.6
Paid income tax	-8.8	-8.0	-11.5	-29.4
Cash flow from operating activities before	16.5	-9.8	453.2	441.2
changes in working capital
Changes in working capital
Increase/decrease in current receivables	-11.8	346.3	174.3	243.6
Increase/decrease in current liabilities	332.8	152.3	72.6	-112.3
Cash flow from changes in working capital	321.0	498.6	246.9	131.3
Cash flow from operating activities	337.5	488.7	700.1	572.5
Investing activities
Shareholder contributions to Group companies	-29.8	0.0	-29.8	-50.0
Investments in tangible fixed assets	-1.8	-1.0	-6.9	-2.4
Investments in intangible fixed assets	0.0	0.0	0.0	0.0
Acquisition of shares	0.0	0.0	0.0	0.0
Intra-Group sales of Group companies	0.0	0.0	0.0	95.0
Changes in long-term loans to Group companies	-2.0	-2.6	-0.6	0.9
Changes in long-term receivables	0.0	0.4	0.5	0.0
Cash flow from investing activities	-33.6	-3.2	-36.8	43.6
Cash flow after investing activities	303.9	485.6	663.3	616.1
Financial activities
Loans raised	0.0	0.0	0.0	0.0
Amortization of loans	-71.7	-270.6	-198.9	-184.9
Dividend paid to shareholders of the Parent company	-232.2	-215.0	-464.4	-431.2
Cash flow from financial activities	-303.9	-485.6	-663.3	-616.1
Cash flow for the period	0.0	0.0	0.0	0.0
Liquid assets at the beginning of the period	0.0	0.0	0.0	0.0
Liquid assets at the end of the period	0.0	0.0	0.0	0.0
Liquid assets
Cash at bank and in hand	0.0	0.0	0.0	0.0

Balance sheet

Note SEK million ASSETS	31 Dec 2024	31 Dec 2023
Intangible fixed assets	2.3	4.1
Tangible fixed assets	9.5	4.0
Shares in Group companies	2 575.8	2 618.0
Shares in associated companies	37.7	37.7
Receivables on Group companies	30.7	30.1
Other long-term receivables	5.4	5.9
Total non-current assets	2 661.4	2 699.8
Accounts receivable	1.0	1.0
Receivables on Group companies	2 562.3	2 769.6
Current tax receivables	29.7	18.6
Other receivables	19.3	15.2
Prepaid expenses and accrued income	45.6	16.5
Liquid assets	0.0	0.0
Total current assets	2 657.8	2 821.1
TOTAL ASSETS	5 319.2	5 520.9
EQUITY
Share capital	199.0	199.0
Restricted reserves	249.4	249.4
Total restricted equity	448.4	448.4
Retained earnings	1 681.5	1 626.2
Share premium reserve	48.0	48.0
Result for the period	404.3	519.7
Total unrestricted equity	2 133.8	2 193.9
Total equity	2 582.2	2 642.4
Untaxed reserves	83.4	124.8
LIABILITIES
Long-term interest-bearing liabilities 7	1 400.8	1 591.9
Total non-current liabilities	1 400.8	1 591.9
Short-term interest-bearing liabilities 7	68.8	82.9
Accounts payable	360.2	424.3
Liabilities to Group companies	811.7	643.2
Current tax liabilities	0.0	0.0
Other liabilities	1.1	1.1
Accrued expenses and prepaid income	11.0	10.4
Total current liabilities	1 252.8	1 161.9
Total liabilities	2 653.6	2 753.7
TOTAL EQUITY AND LIABILITIES	5 319.2	5 520.9

Statement of changes in equity

SEK million	Share capital	Restricted reserves	Retained earnings incl. result for the period	Share premium reserve	Result for the period	Total equity
Opening balance 2023-01-01	199.0	249.4	1 699.9	48.0	357.6	2 553.9
Transfer according to decision at AGM			357.6		-357.6	0.0
Result for the period					519.7	519.7
Total changes excluding transactions with shareholders	0.0	0.0	0.0	0.0	519.7	519.7
Dividends			-431.2			-431.2
Closing balance 2023-12-31	199.0	249.4	1 626.2	48.0	519.7	2 642.4

SEK million	Share capital	Restricted reserves	Retained earnings incl. result for the period	Share premium reserve	Result for the period	Total equity
Opening balance 2024-01-01	199.0	249.4	1 626.2	48.0	519.7	2 642.3
Transfer according to decision at AGM			519.7		-519.7	0.0
Result for the period					404.3	404.3
Total changes excluding transactions with shareholders	0.0	0.0	0.0	0.0	404.3	404.3
Dividends			-464.4			-464.4
Closing balance 2024-12-31	199.0	249.4	1 681.5	48.0	404.3	2 582.2

Note 1 - Accounting policies

T h e

G r o u p a n d P a r e n t c o m p a n

Notes

This report is prepared in accordance with IAS 34 Interim Financial Reporting and the Annual Accounts Act. The interim report for the Parent Company has been prepared according the Annual Accounts Act as well as RFR 2 Reporting for Legal Entities. Applied accounting policies are otherwise consistent with the 2023 Annual Report.

New accounting policies for 2024

New Wave Group is covered by the new OECD's Pillar two model rules, adopted into Swedish law as of January 1, 2024. These rules may result in a Top-up tax for the Group in some jurisdictions, where the effective tax rate according to Pillar two is below a minimum tax rate of 15 percent. During the year, management evaluated whether there are any jurisdictions where this may be relevant. The analysis conducted did not indicate any significant exposure to additional tax within the Group.

There are no published changes to IFRS and IFRIC to be applied in the future that are expected to have any significant impact on the Group's reporting.

From January 1, 2024 amendments in IAS 1 Presentation of Financial Statements come in to force clarifying when liabilities are to be classified as short-term.

Furthermore there have been minor amendments to IFRS 16 Leases for the requirements for sale and leaseback transactions and new disclosure requirements for supplier finance arrangements in IAS 7 Statement of Cash Flows and IFRS7 Financial Instruments: Disclosures.

The amendments that will be in force from January 1, 2024 are approved by EU.

Note 2 - Risks and risk control

New Wave Group's international operations mean that it is continuously exposed to various financial risks. The financial risks are interest rate risks, currency, liquidity and credit risks. In order to minimize the effect these risks may have on earnings, the Group has

y

a risk policy. For a more detailed description of the Group's risk management please refer to the Annual Report 2023, note 16, p. 98-104. The Annual Report is available at the Group's headquarters in Gothenburg, Sweden, as well as at www.nwg.se.

The Group's policy is to have short fixed-rate interest periods, which means that fluctuating short-term interest rates have a rapid impact on the Group's net interest income.

Besides the above, the Group's reported risks are deemed to be essentially unchanged.

Note 3 - Reporting of operating segments

Net sales and operating result per operating segment

SEK million	3 months Oct - Dec	3 months Oct - Dec	12 months Jan - Dec	12 months Jan - Dec
Corporate	2024	2023	2024	2023
Net sales	1 395.1	1 358.4	4 678.9	4 757.1
Operating result	261.4	331.5	729.3	942.7
Sports & Leisure
Net sales	1 139.7	1 071.6	3 988.3	3 874.6
Operating result	180.9	169.1	544.5	617.7
Gifts & Home Furnishings
Net sales	292.5	305.9	861.5	881.1
Operating result	20.4	18.0	-11.5	16.8
Total net sales	2 827.3	2 735.9	9 528.7	9 512.9
Total operating result	462.7	518.7	1 262.3	1 577.2
Total operating result	462.7	518.7	1 262.3	1 577.2
Net financial items	-27.6	-38.1	-128.9	-137.7
Result before tax	435.1	480.6	1 133.4	1 439.4

Assets and liabilities per operating segment

SEK million	Total assets	Fixed assets*	Deferred tax assets	Net investments	Amortizations, depreciations and write-downs	Total liabilities
31 Dec 2024
Corporate	7 575.0	1 390.8	40.7	-190.8	-193.6	2 437.5
Sports & Leisure	3 204.0	1 841.8	80.1	-89.6	-95.9	1 366.0
Gifts & Home Furnishings	547.4	315.6	9.3	-16.4	-18.4	305.7
Total	11 326.4	3 548.2	130.1	-296.8	-307.9	4 109.3
31 Dec 2023
Corporate	6 895.4	1 131.2	41.2	-69.2	-167.4	2 451.2
Sports & Leisure	3 283.0	1 658.7	78.5	-133.3	-78.3	1 495.0
Gifts & Home Furnishings	560.9	324.6	8.2	-21.5	-17.3	332.7
Total	10 739.3	3 114.5	127.9	-224.0	-263.2	4 278.9

* Financial fixed assets and deferred tax assets are not included

Note 4 - Net sales per sales channel and operating segment

SEK million	Corporate		Sports & Leisure		Gifts & Home Furnishings		Total
	3 months Oct - Dec 2024	3 months Oct - Dec 2023	3 months Oct - Dec 2024	3 months Oct - Dec 2023	3 months Oct - Dec 2024	3 months Oct - Dec 2023	3 months Oct - Dec 2024	3 months Oct - Dec 2023
Promo	1 388.4	1 348.1	364.0	312.4	98.0	100.5	1 850.5	1 760.9
Retail	6.7	10.4	775.7	759.3	194.5	205.3	976.8	975.0
Total	1 395.1	1 358.4	1 139.7	1 071.6	292.5	305.9	2 827.3	2 735.9

SEK million	Corporate		Sports & Leisure		Gifts & Home Furnishings		Total
	12 months Jan - Dec 2024	12 months Jan - Dec 2023	12 months Jan - Dec 2024	12 months Jan - Dec 2023	12 months Jan - Dec 2024	12 months Jan - Dec 2023	12 months Jan - Dec 2024	12 months Jan - Dec 2023
Promo	4 650.2	4 726.9	1 243.6	1 132.6	195.4	203.8	6 089.2	6 063.5
Retail	28.7	30.3	2 744.7	2 742.0	666.1	677.3	3 439.5	3 449.5
Total	4 678.9	4 757.1	3 988.3	3 874.6	861.5	881.1	9 528.7	9 512.9

Note 5 - Reporting of geographic areas

Net sales per geographic area

SEK million	Corporate		Sports & Leisure		Gifts & Home Furnishings		Total		Change %
	3 months Oct - Dec 2024	3 months Oct - Dec 2023	3 months Oct - Dec 2024	3 months Oct - Dec 2023	3 months Oct - Dec 2024	3 months Oct - Dec 2023	3 months Oct - Dec 2024	3 months Oct - Dec 2023
USA	96.2	89.9	515.6	501.4	20.8	21.9	632.6	613.3	3%
Sweden	143.4	153.6	208.4	225.7	242.3	249.8	594.1	629.1	-6%
Central Europe	529.2	523.3	143.1	116.4	7.7	7.8	680.0	647.5	5%
Nordic countries (excl. Sweden)	126.6	134.4	180.1	144.5	19.9	23.5	326.6	302.4	8%
Southern Europe	329.6	347.9	31.0	27.3	0.1	0.1	360.7	375.2	-4%
Other countries	170.0	109.4	61.5	56.4	1.7	2.8	233.3	168.6	38%
Total	1 395.1	1 358.4	1 139.7	1 071.6	292.5	305.9	2 827.3	2 735.9	3%

SEK million	Corporate		Sports & Leisure		Gifts & Home Furnishings		Total		Change %
	12 months Jan - Dec 2024	12 months Jan - Dec 2023	12 months Jan - Dec 2024	12 months Jan - Dec 2023	12 months Jan - Dec 2024	12 months Jan - Dec 2023	12 months Jan - Dec 2024	12 months Jan - Dec 2023
USA	277.5	274.7	1 867.0	1 819.1	58.3	62.5	2 202.8	2 156.2	2%
Sweden	483.3	504.4	729.4	777.4	732.7	732.3	1 945.5	2 014.1	-3%
Central Europe	1 794.3	1 767.8	491.5	426.2	22.0	23.9	2 307.7	2 217.9	4%
Nordic countries (excl. Sweden)	471.4	505.7	584.5	517.6	42.0	51.3	1 097.9	1 074.5	2%
Southern Europe	1 107.4	1 169.8	122.5	127.2	0.4	0.4	1 230.2	1 297.3	-5%
Other countries	545.1	534.8	193.5	207.2	6.1	10.8	744.6	752.8	-1%
Total	4 678.9	4 757.1	3 988.4	3 874.6	861.5	881.1	9 528.7	9 512.9	0%

Fixed assets and deferred tax assets per geographic area

	31 Dec 2024		31 Dec 2023
SEK million	Fixed assets*	Deferred tax assets	Fixed assets*	Deferred tax assets
USA	1 438.1	61.6	1 343.3	55.3
Sweden	898.0	32.2	804.7	26.9
Central Europe	649.7	13.5	470.9	15.9
Nordic countries (excl. Sweden)	156.7	4.2	171.5	4.8
Southern Europe	265.5	10.0	221.7	12.6
Other countries	140.3	8.5	102.3	12.4
Total	3 548.2	130.1	3 114.5	127.9

* Financial fixed assets and deferred tax assets are not included.

Note 6 - Financial instruments

SEK million	31 Dec 2024	31 Dec 2023
Assets at fair value through other comprehensive income	3.8	0.0
Assets at amortized cost	2 291.9	1 983.1
Total financial assets	2 295.7	1 983.1
Liabilities at fair value through other comprehensive income	0.0	4.3
Liabilities at amortized cost	2 823.5	3 067.5
Total financial liabilites	2 823.5	3 071.8

Financial instruments are measured at fair value or amortized cost according to classification in the consolidated balance sheet.

Note 7 - Pledged assets and contingent liabilities

GROUP

Pledged assets	31 Dec	31 Dec
SEK million	2024	2023
Floating charges	635.4	634.7
Property mortgages	199.2	195.2
Net assets in Group companies	3 976.7	4 628.6
Shares in associated companies	8.3	8.3
Stock and accounts receivable	186.8	415.9
Total	5 006.5	5 882.7
Contingent liabilities	31 Dec	31 Dec
SEK million	2024	2023
Duty guarantees	14.2	13.6
Rent guarantees	122.3	111.5
Guarantees for associated companies	6.0	6.0
Total	142.6	131.1
PARENT COMPANY
Pledged assets	31 Dec	31 Dec
SEK million	2024	2023
Floating charges	30.0	30.0
Shares in Group companies	1 676.1	1 694.1
Shares in associated companies	8.3	8.3
Total	1 714.4	1 732.4
Contingent liabilities
SEK million	31 Dec 2024	31 Dec 2023
Guarantees for Group companies	399.5	426.1
Guarantees for associated companies	6.0	6.0
Total	405.5	432.1

Note 8 - Subsequent events

No significant events have occurred after the balance sheet date.

Condensed quarterly consolidated income statements

SEK million

	2024				2023				2022
Quarter	Q4	Q3	Q2	Q1	Q4	Q3	Q2	Q1	Q4	Q3	Q2	Q1
Net sales	2 827.3	2 308.3	2 397.9	1 995.2	2 735.9	2 337.0	2 304.5	2 135.5	2 815.1	2 234.4	2 019.2	1 774.9
Goods for resale	-1 415.0	-1 180.7	-1 223.6	-1 003.3	-1 312.3	-1 200.5	-1 164.8	-1 052.6	-1 415.4	-1 131.6	-989.8	-931.6
Gross profit	1 412.3	1 127.6	1 174.3	991.9	1 423.6	1 136.4	1 139.7	1 082.9	1 399.7	1 102.8	1 029.4	843.3
Gross profit margin %	50.0	48.8	49.0	49.7	52.0	48.6	49.5	50.7	49.7	49.4	51.0	47.5
Other operating income	33.3	22.6	15.4	24.0	29.7	50.0	27.4	23.7	36.7	35.7	28.9	22.6
External costs	-503.2	-396.3	-441.1	-408.9	-489.3	-403.0	-382.3	-388.4	-454.4	-359.3	-345.0	-311.6
Personnel costs	-384.3	-342.4	-363.2	-340.1	-365.1	-320.2	-338.7	-328.8	-350.3	-291.5	-288.9	-274.6
Depreciations and write-downs	-78.1	-85.8	-71.7	-72.4	-63.4	-65.6	-68.8	-65.4	-71.5	-60.6	-58.3	-58.8
Other operating costs	-16.8	-12.3	-11.0	-8.5	-16.6	-14.6	-13.1	-10.2	-12.6	-27.9	-15.1	-11.8
Share of associated companies' result	-0.4	-0.7	-1.6	-0.5	-0.1	-2.0	-0.3	-0.3	-0.4	-1.4	0.0	0.0
Operating result	462.7	312.8	301.2	185.5	518.7	381.1	363.9	313.5	547.2	397.8	351.0	209.1
Financial income	4.2	1.0	1.0	1.8	4.0	3.5	0.9	1.1	0.5	1.1	1.5	0.6
Financial expenses	-31.8	-37.7	-34.4	-33.0	-42.1	-39.6	-36.0	-29.6	-22.5	-14.1	-11.9	-10.2
Result before tax	435.1	276.1	267.9	154.3	480.6	345.0	328.8	285.0	525.2	384.8	340.6	199.5
Tax expense	-90.7	-72.0	-57.6	-33.2	-114.3	-74.2	-69.2	-62.8	-79.0	-80.8	-75.5	-46.0
Result for the period
	344.4	204.1	210.3	121.1	366.4	270.9	259.6	222.2	446.2	304.0	265.0	153.5
Total other comprehensive income for the period	283.8	-143.3	-45.1	245.7	-285.7	-77.4	251.3	-6.1	-127.1	556.9	253.3	70.5
Total comprehensive income for the	628.1	60.7	165.2	366.9	80.7	193.5	510.9	216.1	319.1	860.9	518.4	224.0
period
Earnings per share before and after dilution (SEK)*	2.60	1.54	1.59	0.91	2.76	2.04	1.96	1.67	3.36	2.29	2.00	1.16
	2021				2020				2019
Quarter	Q4	Q3	Q2	Q1	Q4	Q3	Q2	Q1	Q4	Q3	Q2	Q1
Net sales	2 306.7	1 663.5	1 486.8	1 261.6	1 873.2	1 470.1	1 314.5	1 440.9	2 024.1	1 685.5	1 689.0	1 504.9
Goods for resale	-1 203.3	-860.4	-769.2	-656.4	-1 007.7	-843.9	-799.7	-810.2	-1 079.2	-923.2	-903.3	-795.3
Gross profit	1 103.4	803.1	717.6	605.2	865.6	626.2	514.8	630.7	944.9	762.3	785.7	709.6
Gross profit margin %	47.8	48.3	48.3	48.0	46.2	42.6	39.2	43.8	46.7	45.2	46.5	47.1
Other operating income	23.9	11.6	59.4	16.6	29.6	34.7	61.4	20.6	32.3	12.9	15.5	17.2
External costs	-350.9	-258.4	-233.8	-224.8	-285.4	-191.6	-187.7	-311.1	-343.8	-300.3	-330.2	-338.4
Personnel costs	-301.4	-235.5	-242.8	-237.2	-259.9	-220.8	-209.1	-292.8	-307.6	-278.7	-290.5	-283.0
Depreciations and write-downs	-61.5	-55.7	-56.0	-54.1	-55.0	-56.6	-57.8	-60.1	-73.6	-55.7	-52.8	-51.0
Other operating costs	-9.9	-3.7	-2.9	-5.2	-11.4	-15.2	-11.4	-10.4	-12.4	-11.3	-7.7	-8.2
Share of associated companies' result	-0.3	-0.3	-0.1	-0.4	0.1	-0.4	-0.1	-0.9	0.6	-0.2	-0.3	-0.2
Operating result	403.3	261.1	241.3	100.1	283.6	176.3	110.1	-24.1	240.3	129.1	119.6	46.0
Financial income	0.7	0.6	0.9	0.8	0.1	0.6	2.9	0.5	2.8	2.5	2.2	1.3
Financial expenses	-10.6	-11.6	-10.3	-13.5	-14.6	-15.8	-20.2	-18.4	-24.1	-19.5	-18.1	-15.3
Result before tax	393.4	250.1	231.9	87.4	269.2	161.1	92.8	-42.1	219.1	112.1	103.6	32.0
Tax expense	-84.9	-54.1	-44.3	-19.7	-61.0	-42.2	-19.9	5.1	-53.1	-17.6	-19.9	-6.0
Result for the period	308.5	196.0	187.7	67.7	208.2	118.9	72.9	-36.9	165.9	94.4	83.7	26.0
Total other comprehensive income
for the period	87.5	60.5	-57.7	142.5	-213.0	-58.3	-212.4	205.5	-131.5	126.9	16.2	86.3
Total comprehensive income for the period	396.0	256.5	130.0	210.2	-4.9	60.6	-139.5	168.6	34.4	221.4	99.9	112.3
Earnings per share before and after
dilution (SEK)*	2.31	1.49	1.42	0.52	1.56	0.91	0.55	-0.27	1.26	0.72	0.64	0.20

The average number of outstanding shares. before and after dilution, has been 132 687 086* in all periods in the table.

* Recalculated with regard to the 2:1 share split carried out in June 2023.

Condensed quarterly consolidated cash flow statements

SEK million

2021 2020 2019 Quarter Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Net sales 2 306.7 1 663.5 1 486.8 1 261.6 1 873.2 1 470.1 1 314.5 1 440.9 2 024.1 1 685.5 1 689.0 1 504.9 Goods for resale -1 203.3 -860.4 -769.2 -656.4 -1 007.7 -843.9 -799.7 -810.2 -1 079.2 -923.2 -903.3 -795.3 Gross profit 1 103.4 803.1 717.6 605.2 865.6 626.2 514.8 630.7 944.9 762.3 785.7 709.6 Gross profit margin % 47.8 48.3 48.3 48.0 46.2 42.6 39.2 43.8 46.7 45.2 46.5 47.1

Other operating income 23.9 11.6 59.4 16.6 29.6 34.7 61.4 20.6 32.3 12.9 15.5 17.2 External costs -350.9 -258.4 -233.8 -224.8 -285.4 -191.6 -187.7 -311.1 -343.8 -300.3 -330.2 -338.4 Personnel costs -301.4 -235.5 -242.8 -237.2 -259.9 -220.8 -209.1 -292.8 -307.6 -278.7 -290.5 -283.0 Depreciations and write-downs -61.5 -55.7 -56.0 -54.1 -55.0 -56.6 -57.8 -60.1 -73.6 -55.7 -52.8 -51.0 Other operating costs -9.9 -3.7 -2.9 -5.2 -11.4 -15.2 -11.4 -10.4 -12.4 -11.3 -7.7 -8.2 Share of associated companies' result -0.3 -0.3 -0.1 -0.4 0.1 -0.4 -0.1 -0.9 0.6 -0.2 -0.3 -0.2 Operating result 403.3 261.1 241.3 100.1 283.6 176.3 110.1 -24.1 240.3 129.1 119.6 46.0

Financial income 0.7 0.6 0.9 0.8 0.1 0.6 2.9 0.5 2.8 2.5 2.2 1.3 Financial expenses -10.6 -11.6 -10.3 -13.5 -14.6 -15.8 -20.2 -18.4 -24.1 -19.5 -18.1 -15.3 Result before tax 393.4 250.1 231.9 87.4 269.2 161.1 92.8 -42.1 219.1 112.1 103.6 32.0

Tax expense -84.9 -54.1 -44.3 -19.7 -61.0 -42.2 -19.9 5.1 -53.1 -17.6 -19.9 -6.0 Result for the period 308.5 196.0 187.7 67.7 208.2 118.9 72.9 -36.9 165.9 94.4 83.7 26.0

for the period 87.5 60.5 -57.7 142.5 -213.0 -58.3 -212.4 205.5 -131.5 126.9 16.2 86.3

dilution (SEK)* 2.31 1.49 1.42 0.52 1.56 0.91 0.55 -0.27 1.26 0.72 0.64 0.20

The average number of outstanding shares. before and after dilution, has been 132 687 086* in all periods in the table.

396.0 256.5 130.0 210.2 -4.9 60.6 -139.5 168.6 34.4 221.4 99.9 112.3

Total other comprehensive income

Total comprehensive income for

Earnings per share before and after

* Recalculated with regard to the 2:1 share split carried out in June 2023.

the period

	2024				2023				2022
Quarter	Q4	Q3	Q2	Q1	Q4	Q3	Q2	Q1	Q4	Q3	Q2	Q1
Cash flow from operating activities before
changes in working capital	392.7	334.0	219.5	161.9	424.1	381.2	259.7	297.8	466.3	367.3	346.0	203.6
Increase/decrease of inventories	140.7	-84.3	161.1	186.1	320.6	-126.6	-5.8	-259.0	-525.1	-870.8	-360.7	-226.5
Increase/decrease of current receivables	-79.2	-52.1	-258.6	278.6	41.8	-117.8	-30.2	281.5	-71.1	-202.3	-119.2	205.8
Increase/decrease of current liabilities	91.5	-6.1	215.4	-423.0	-33.0	36.5	6.4	-513.4	-103.0	505.4	202.0	-177.7
Changes in working capital	153.0	-142.5	118.0	41.8	329.4	-207.9	-29.6	-490.9	-699.2	-567.7	-277.9	-198.4
Cash flow from operating activities	545.7	191.4	337.5	203.7	753.5	173.3	230.1	-193.1	-232.9	-200.4	68.1	5.2
Investing activities	-132.6	-39.1	-61.3	-63.8	-25.3	-72.1	-82.8	-40.7	-8.3	-433.4	-55.2	-25.3
Cash flow after investing activities	413.1	152.4	276.2	139.8	728.2	101.2	147.3	-233.8	-241.2	-633.8	12.9	-20.1
Increase/decrease of
interest-bearing liabilities	-126.5	-161.5	-23.6	-54.0	-421.0	-211.2	88.1	190.0	389.2	589.6	253.6	-16.3
Transactions with owners	-232.2	0.0	-232.2	0.0	-214.9	0.0	-216.3	0.0	0.0	0.0	-282.0	0.0
Cash flow from financial activities	-358.7	-161.5	-255.8	-54.0	-635.9	-211.2	-128.2	190.0	389.2	589.6	-28.4	-16.3
Cash flow for the period	54.4	-9.2	20.4	85.8	92.2	-110.0	19.1	-43.8	148.0	-44.2	-15.5	-36.4
Liquid assets at the beginning of the period	474.7 16.6	492.0 -8.1	475.9 -4.2	372.6 17.5	299.6 -19.2	416.5 -6.9	376.7 20.7	419.4 1.1	279.2 -7.8	305.5 17.9	298.6 22.4	327.9 7.1
Translation differences in liquid assets	545.8	474.7	492.0	475.9	372.6	299.6	416.5	376.7	419.4	279.2	305.5	298.6
Liquid assets at the end of the period
					2020				2019
	2021
Quarter	Q4	Q3	Q2	Q1	Q4	Q3	Q2	Q1	Q4	Q3	Q2	Q1
Cash flow from operating activities before changes in working wcapital	404.1	282.8	219.0	87.1	300.0	218.9	176.0	-63.0	262.1	149.9	143.8	49.3
Increase/decrease of stock	59.7	-157.7	125.2	30.6	472.4	86.9	53.9	-117.4	180.9	-256.4	-108.0	-58.3
Increase/decrease of current receivables	-194.6	-174.7	-156.8	256.3	-87.7	-207.6	87.4	313.9	-47.5	-34.3	-95.9	126.2
Increase/decrease of current liabilities	144.1	291.4	-2.2	-6.8	-127.2	185.0	-65.9	-19.0	-108.8	9.7	69.1	-182.3
Changes in working capital	9.2	-41.0	-33.7	280.1	257.5	64.3	75.5	177.6	24.7	-281.0	-134.8	-114.4
Cash flow from operating activities	413.3	241.8	185.3	367.2	557.5	283.2	251.4	114.6	286.7	-131.1	9.0	-65.1
Investing activities	-42.1	-33.0	-24.0	-15.2	-7.2	-8.6	-11.1	-30.6	-42.2	-32.6	-35.6	-38.3
Cash flow after investing activities	371.2	208.8	161.3	352.0	550.3	274.6	240.3	84.0	244.6	-163.8	-26.6	-103.4
Increase/decrease of
interest-bearing liabilities	-82.6	-309.0	-95.4	-346.1	-435.9	-322.9	-201.6	-195.2	-122.6	210.1	75.3	49.2
Transactions with owners	-277.9	0.0	0.0	0.0	0.0	0.0	0.0	0.0	0.0	1.2	-132.7	0.0
Cash flow from financial activities	-360.5	-309.0	-95.4	-346.1	-435.9	-322.9	-201.6	-195.2	-122.6	211.2	-57.4	49.2
Cash flow for the period	10.7	-100.3	65.9	5.9	114.5	-48.4	38.7	-111.2	121.9	47.4	-84.0	-54.2
Liquid assets at the beginning of the period	311.0	405.8	344.8	325.1	226.8	277.8	257.6	351.3	238.4	182.5	265.0	312.2
Translation differences in liquid assets Liquid assets at the end of the period	6.2 327.9	5.4 311.0	-4.9 405.8	13.8 344.8	-16.2 325.1	-2.7 226.8	-18.5 277.8	17.6 257.6	-9.1 351.3	8.5 238.4	1.5 182.5	7.0 265.0

Definitions of alternative performance measures

Guidelines concerning non-IFRS performance measures for companies with securities listed on a regulated market in the EU have been issued by ESMA (The European Securities and Markets Authority). These guidelines are to be applied to alternative performance measures (APM) applied as of July 3, 2016. The Interim Report refers to a number of non-IFRS performance measures used to assist investors and company management to analyze the company's operations. Because not all companies calculate the financial measures in the same way, these are not always comparable to measures used by other companies. These financial measures should not be seen as a substitute for measures defined under IFRS. A description of the various non-IFRS performance measures used as a complement to the financial information reported according to IFRS and how they are used, is presented below. A reconciliation of alternative performance measures is available on www.nwg.se/en/investor-relations/ financial-reports/key-numbers.

PERFORMANCE
MEASURES	DEFINITION/CALCULATION	PURPOSE
GROSS PROFIT	Net sales less goods for resale.	The measure shows the Group's profitability from the sale of goods.
GROSS PROFIT MARGIN	Net sales less goods for resale in percent of net sales.	The measure shows the Group's margins before the impact of, among other things, personnel costs and external costs.
OPERATING MARGIN	Operating result as a percentage of the period's net sales.	The measure is used to show operating profitability and how the Group meets its targets.
PROFIT MARGIN	Result before tax as a percentage of the period's net sales.	The measure enables the profitability to be compared across locations where corporate taxes differ.
NET MARGIN	Result after tax as a percentage of the period's net sales.	The measure is used to show net earnings in relation to income.
NET SALES GROWTH	Sales growth including currency effects.	The measure is used to show growth in the Group and to measure how the Group meets its targets.
ORGANIC GROWTH	Organic growth refers to sales growth from existing operations cleared from currency effects. The currency effect is calculated by recalculating this year's sales in local currencies to last year's rates and compared to previous year's sales.	The measure is used to show growth in existing business since currency effects are beyond the Group's control and to measure how the Group meets its targets.
OPERATING MARGIN BEFORE DEPRECIATIONS	Operating result before depreciation as a percentage of the period's net sales.	The measure is used to show operating profitability and how the Group meets its targets, regardless of depreciation, amortization and write-downs.
NET FINANCIAL ITEMS	The total of interest income, interest expenses, currency differences on borrowings and cash equivalents in foreign currencies, other financial income and other financial expenses.	The measure reflects the Group's total costs of the external financing.
RETURN MEASURES	DEFINITION/CALCULATION	PURPOSE
RETURN ON CAPITAL EMPLOYED	Rolling 12 month's result before tax plus financial expenses as a percentage of average capital employed. The average capital employed is calculated by taking the capital employed per period end and the capital employed at year-end for the previous year divided by two.	The measure is used to analyze profitability by putting result in relation to the capital needed to operate the business.
RETURN ON EQUITY	Rolling 12 month's result for the period according to the income statement as a percentage of average equity. The average equity is calculated by taking the equity per period end and the equity at year-end for the previous year divided by two. For the Parent company it is calculated as result after tax as a percentage of average adjusted equity. In adjusted equity, the equity part of untaxed reserves is included.	The measure is used to analyze profitability over time, given the resources available to the Parent company's owners.

CASH FLOW BEFORE INVESTMENTS

activities.

NET INVESTMENTS Cash flow from investing activities according to the cash flow

assets and raised long-term debt.

DATA PER SHARE EQUITY PER SHARE	DEFINITION/CALCULATION Equity at the end of the period divided by number of shares at the end of the period.	PURPOSE Equity per share measures the net asset value per share and determines if a company is increasing shareholder value over time.
CAPITAL MEASURES	DEFINITION/CALCULATION	PURPOSE
CAPITAL EMPLOYED	Total assets less provisions and non-interest bearing liabilities, which consist of accounts payable, current tax liabilities, other liabilities and accrued expenses and prepaid income.	The measure indicates how much capital is needed to run the business, regardless of type of financing (borrowed or equity).
WORKING CAPITAL	Total current assets, excluding liquid assets and current tax receivables, less short-term non-interest bearing liabilities excluding current tax liabilities.	The measure is used to show how much capital is needed to finance operating activities.
NET DEBT	Interest-bearing liabilities (current and non-current) less cash and cash equivalents.	The measure shows financing from borrowings.
NET DEBT TO CREDIT INSTITUTES	Interest-bearing liabilities (current and non-current) less lease liabilities and less cash and cash equivalents.	The measure shows financing from borrowings excluding lease liabilties
CAPITAL TURNOVER	Rolling 12 month's net sales divided by average total assets. The average total assets is calculated by taking the total assets per period end and the total assets at year-end for the previous year divided by two.	The measure shows how efficiently the Group uses its total capital.
INVENTORY TURNOVER	Rolling 12 month's goods for resale in the income statement divided by average inventory. The average inventory is calculated by taking the inventory per period end and the inventory at the same period for the previous year divided by two.	The measure is used to show the inventory's turnover per year, since the stock is central for the Group to keep a good service level, i.e. to be able to deliver goods fast.
NET DEBT TO EQUITY RATIO	Net debt as a percentage of equity.	The measure helps show financial risk and is useful for management to monitor the level of the indebtedness.
NET DEBT IN RELATION TO WORKING CAPITAL	Net debt divided by working capital.	The measure is used to show how much of the working capital is financed through net debt.
INTEREST COVERAGE RATIO	Result before tax plus financial costs divided by financial costs.	The measure is used to calculate the Group's ability to pay interest costs.
EQUITY RATIO	Total equity as a percentage of total assets.	The measure shows how much of the Group's assets are financed by the shareholders through equity. An equity ratio is a measure of financial strength and how the Group meets its targets.
OTHER MEASURES	DEFINITION/CALCULATION	PURPOSE
EFFECTIVE TAX RATE	Tax on profit for the period as a percentage of result before tax.	This measure enables comparison of income tax across locations where corporate taxes differ.

EFFECTIVE INTEREST RATE Net financial items in relation to average net debt. The measure enables comparison of cost for the net debt.

The measure is used to show the cash flow generated by the company's operations.

The measure is used to regularly estimate how much cash is used for investments in operations and for expansion.

Cash flow from operating activities including changes in working capital and before cash flows from investing and financing

analysis which includes investments and divestments of buildings,

acquisitions, investments in tangible and intangible

New Wave Group is a growth group that designs, acquires and develops brands and products in the corporate, sports & leisure and gifts & home furnishings sectors. The Group shall achieve synergies by coordinating design, purchasing, marketing, warehousing and distribution of the assortment. The Group shall offer its products to the promo market and the retail market in order to achieve good risk diversification.

New Wave Group AB (publ) Corp. id number 556350-0916 Kungsportsavenyen 10, SE-411 36 Gothenburg Phone +46 (0) 31 712 89 00 | info@nwg.se

www.nwg.se