Nobia

Quarterly Report • Oct 26, 2021

Interim report January - September 2021

Interim report January – September 2021

Third quarter 2021

• Net sales increased to SEK 3,215m (3,105) corresponding to organic sales growth of 3%.
• Operating profit increased to SEK 228m (195), corresponding to an operating margin of 7.1% (6.3).
• Changes in exchange rates positively impacted operating profit by SEK 5m.
• Profit after tax amounted to SEK 170m (132), corresponding to earnings per share after dilution of SEK 1.01 (0.78).
• Operating cash flow amounted to SEK 123m (484).

	Q3 Jan-Sep		Jan-Dec	12 mos
	2020	2021	Δ%	2020	2021	Δ%	2020	rolling
Net sales, SEK m	3,105	3,215	4	9,291	10,210	10	12,741	13,660
Gross margin, %	35.7	39.5	–	35.0	38.8	–	34.9	37.8
Gross margin excl. IAC, %	35.7	39.5	–	35.0	38.8	–	35.7	38.5
Operating margin before depr./impairm. (EBITDA), %	13.2	13.3	–	10.3	13.5	–	11.2	13.5
Operating profit (EBIT), SEK m	195	228	17	286	771	170	437	922
Operating profit (EBIT), excl IAC, SEK m	195	228	17	286	771	170	581	1,066
Operating margin, %	6.3	7.1	–	3.1	7.6	–	3.4	6.7
Operating margin excl IAC, %	6.3	7.1	–	3.1	7.6	–	4.6	7.8
Profit after financial items, SEK m	169	213	26	210	704	235	353	847
Profit/loss after tax, SEK m	132	170	29	164	560	241	253	649
Profit/loss after tax, excl IAC, SEK m	132	170	29	164	560	241	382	778
Earnings/loss per share, before dilution, SEK	0.78	1.01	29	0.97	3.32	242	1.50	3.86
Earnings/loss per share, before dilution excl IAC, SEK	0.78	1.01	29	0.97	3.32	242	2.26	4.63
Earnings/loss per share, after dilution, SEK	0.78	1.01	29	0.97	3.31	241	1.50	3.85
Earnings/loss per share, after dilution exkl IAC, SEK	0.78	1.01	29	0.97	3.31	241	2.26	4.62
Operating cash flow, SEK m	484	123	-75	1,412	672	-52	1,808	1,068

CEO comment

The Nordic and Central European kitchen markets remained strong following the underlying demand for home renovations. In the UK, shortage of installers and drivers resulted in softer market conditions than the trajectory from previous quarter and has not yet recovered.

In the Nordics we delivered a solid result despite head wind from higher raw material prices. Sales in Denmark and project sales in Sweden continue to perform well and are the main contributors to the growth in the region. Sales of our new kitchen concepts and painted products across all our brands are also continuing to grow strongly, which supports our efforts in having design and sustainability at the centre of our strategy.

In the UK, Magnet trade performed well in the quarter whilst Magnet retail and project sales declined. We have over the past years strengthened our trade proposition which has given better traction in the market. As part of our strategy to revitalise retail we have reorganised our retail team in the quarter. Spearheaded by the new team we have launched a new brand proposition for Magnet and improved the digital experience, including a modernized website. In the London property market, we are seeing very few signs of recovery which continue to burden top line.

In Central Europe we are continuing to grow organically in both Austria and the Netherlands with strong indicators that we are taking market shares in these markets.

The period was also characterized by large supply chain disruptions and inflationary pressure in the entire value chain, including significant price

increases on raw materials and components to the kitchen industry such as sheet materials, melamine, and paint. We are working closely with our suppliers to safeguard availability but believe disruptions will continue in the short- to midterm. To compensate for the cost increases we have initiated market price increases which we expect to materialize in Q4.

We are making good progress on our strategic agenda. With the latest changes in the UK, our new organisation is now completed. We are introducing new and exciting products with focus on design and sustainability. We are pushing ahead with our stateof-the-art factory in Jönköping and rolling out improved digital solutions. We still have much to do, but we are significantly accelerating on our journey.

Jon Sintorn President and CEO

Third quarter consolidated

Market overview

Consumer demand remains at an overall good level in the Nordic region. The increased interest in home improvement such as kitchen investments is continuing, supporting the consumer driven segments, retail and trade. The Nordic project market grew in all countries except for Finland. In the UK, the project market is recovering but remains burdened by soft market conditions in some areas such as London and in social housing. The UK retail market is normalising after the pandemic, but at a slower than expected pace.

Net sales, earnings and cash flow

The Group's net sales increased to SEK 3,215m (3,105). Organic growth for the Group was 3%. The Nordic region grew organically by 8%, Central Europe region by 7%, while the UK region declined -4%.

Gross margin increased to 39.5% (35.7) and gross profit rose to SEK 1,269m (1,108). Operating margin increased to 7.1% (6.3) and operating profit increased to SEK 228m (195). The increase was primarily a result of higher average order values and a favourable mix whilst direct material cost increased. Changes in exchange rates impacted operating profit by SEK 5m.

Operating cash flow decreased to SEK 123m (484). Higher income contributed positively but was offset by mainly other working capital (due to last year's governmental supported postponement of VAT and employee tax payments) and investments primarily related to the construction of the new factory in Jönköping. Net debt excl. IFRS16 leases decreased to SEK 153m (483).

	Q3
	SEK m
	3,105
3	83
8	122
-4	-59
7	20
1	27
4	3,215
	Δ%

Currency effect operating profit

	Q3
	Translati	Transacti	Total
SEK m	on effect	on effect
Nordic region	0	0	0
UK region	0	5	5
CE region	0	0	0
Group	0	5	5

Store development

	Q3
Newly opened/closed, net	-5
Number of own stores	219

								Group-wide and
		Nordic	UK		Central Europe		aliminations		Group
		Q3	Q3		Q3		Q3		Q3
SEK m	2020	2021	2020	2021	2020	2021	2020	2021	2020	2021	Δ%
Net sales from external customers	1,491	1,607	1,295	1,274	319	334	–	–	3,105	3,215	4
Net sales from other regions	0	0	–	–	0	0	0	0	–	–	–
Net sales	1,491	1,607	1,295	1,274	319	334	0	0	3,105	3,215	4
Gross profit	538	590	442	541	108	108	20	30	1,108	1,269	15
Gross margin, %	36.1	36.7	34.1	42.5	33.9	32.3	–	–	35.7	39.5	–
Operating profit/loss	183	196	13	41	38	34	-39	-43	195	228	17
Operating margin, %	12.3	12.2	1.0	3.2	11.9	10.2	–	–	6.3	7.1	–

Third quarter, the regions

Nordic region

Net sales in the Nordic region increased to SEK 1,607m (1,491). Organic growth was 8% (3) primarily driven by Denmark and Sweden. Overall market conditions were favourable, especially in the consumer segment.

Gross margin increased to 36.7% (36.1). Operating profit increased to SEK 196m (183) and the operating margin was 12.2% (12.3). Higher average order values and segment mix had a positive impact, while direct material cost increased. Changes in exchange rates had a neutral impact.

UK region

Net sales in the UK region amounted to SEK 1,274m (1,295). Organic growth was -4% (-9). Sales to Benchmarx Kitchens & Joinery were discontinued in the quarter. Adjusted for this discontinuation, organic sales increased 1%. Magnet brand sales to trade customers grew while the consumer sales declined. Sales to London property developers and the social housing segment continued to be hampered by slow recovery.

Gross margin increased to 42.5% (34.1). Margins improved on the back of higher average order values and favourable segment mix, whilst direct material cost increased. In addition, last year's gross margin was burdened by price pressure in the weak pandemic-impacted market. Operating profit increased to SEK 41m (13) and the operating margin was 3.2% (1.0). Currency impact on operating profit was positive SEK 5m.

Central Europe region

Net sales in the Central Europe region increased to SEK 334m (319). Organic growth was 7% (10). Sales in the Netherlands showed strong growth in the social housing sector. In Austria, healthy consumer sales were further supported by improved productivity in supply chain.

Gross margin decreased to 32.3% (33.9). Operating profit decreased to SEK 34m (38) and the operating margin declined to 10.2% (11.9), mainly due to direct material cost inflation.

January – September, consolidated

• Net sales for the first nine months totalled SEK 10,210m (9,291).
• Operating profit amounted to SEK 771m (286), corresponding to an operating margin of 7.6% (3.1).
• Changes in exchange rates impacted operating profit positively by SEK 15m.
• Profit after tax amounted to SEK 560m (164), corresponding to earnings per share after dilution of SEK 3.31 (0.97).
• Operating cash flow decreased to SEK 672m (1,412).
• Net debt, excluding IFRS16 lease liabilities, declined to SEK 153m (483).

Net sales, earnings and cash flow

Net sales for the first nine months increased by 10% to SEK 10,210m (9,291). Organic growth was 12% (-10), with increases in all regions, partly due to low comparative figures last year which were impacted by corona lockdowns.

Gross margin increased to 38.8% (35.0) and operating margin rose to 7.6% (3.1) mainly due to higher average order values and the higher sales volume and a favourable mix development. Operating profit increased to SEK 771m (286). Changes in exchange rates impacted by SEK 15m. Furlough support was SEK 25m (139). Last year includes one-time restructuring costs and bad debt provisions amounting to SEK -108m.

Operating cash flow declined to SEK 672m (1,412). Higher cash flow due to the higher operating profit was offset by lower cash flow in other working capital as last year was positively impacted by government support with postponed payment of VAT and certain employee taxes payments. Current year cash flow was impacted by higher investments, related mainly to the construction of the new factory in Jönköping.

Analysis of net sales

		Jan-Sep
	Δ%	SEK m
2020		9,291
Organic growth	12	1,102
-of which Nordic region	10	486
-of which UK region	14	458
-of which CE region	18	158
Currency effects	-2	-183
2021		10 10,210

Currency effect on

operating profit
		Jan-Sep
	Translati	Transacti	Total
SEK m	on effect	on effect
Nordic region	-5	10	5
UK region	0	10	10
CE region	0	0	0
Group	-5	20	15

Store development

	Jan-Sep
Newly opened/closed, net	-6
Number of own stores	219

							Group-wide and
		Nordic UK			Central Europe		eliminations	Group
		Jan-Sep	Jan-Sep		Jan-Sep		Jan-Sep		Jan-Sep
SEK m	2020	2021	2020	2021	2020	2021	2020	2021	2020	2021	Δ%
Net sales from external customers	5,034	5,422	3,345	3,753	912	1,035	–	–		9,291 10,210	10
Net sales from other regions	0	0	–	–	0	0	0	0	–	–	–
Net sales	5,034	5,422	3,345	3,753	912	1,035	0	0		9,291 10,210	10
Gross profit	1,869	2,105	1,041	1,432	281	338	59	88	3,250	3,963	22
Gross margin, %	37.1	38.8	31.1	38.2	30.8	32.7	–	–	35.0	38.8	–
Operating profit/loss	615	766	-247	25	81	113	-163	-133	286	771 n.a.
Operating margin, %	12.2	14.1	-7.4	0.7	8.9	10.9	–	–	3.1	7.6	–
Net financial items									-76	-67	12
Profit after financial items									210	704 n.a.

Other information

Financing

Nobia's long-term financing consists of two multicurrency revolving credit facilities totalling SEK 5 billion. A SEK 2 billion facility with a maturity in 2023 (with the option to request an extension of up to two years at the lenders' sole discretion) and a SEK 3 billion facility with maturity in 2025. The facilities have leverage (net debt / EBITDA) and interest cover (EBITDA to net interest expenses) covenants. At the end of September 2021, SEK 199m had been utilised. Group cash and cash equivalents amounted to SEK 358m (885).

Net debt excluding IFRS 16 lease liabilities and pensions amounted to SEK -150m (SEK -97). Net debt including IFRS 16 lease liabilities of SEK 1,887m (2,360) and pension provisions of SEK 303m (580), amounted to SEK 2,040m (2,843). The net debt/equity ratio decreased to 3% (12) or 44% (68) if including IFRS16 lease liabilities. Leverage, (net debt/EBITDA, excluding IFRS 16 leases and items affecting comparability on 12 months rolling basis) was 0.11 times (0.58).

Net financial items amounted to SEK -67m (-76), of which net of returns on pension assets and interest expense on pension liabilities was SEK -3m (-19), interest on leases was SEK -29m (-37) and other net interest expense was SEK -35m (-20).

Items affecting comparability

Nobia recognises items affecting comparability separately to distinguish the performance of the underlying operations. Items affecting comparability refer to items that affect comparisons insofar as they do not recur with the same regularity as other items. No items affecting comparability have been recognised in 2021. 2020 includes items affecting comparability in the fourth quarter referring to write down of machinery and building assets in the Tidaholm factory, which is to be replaced by a new factory in 2024, and a pension adjustment in the UK. See page 14 for details.

Repurchase programme completed

Based on the authorization resolved by the Annual General Meeting (AGM) 2021, the Board of Directors decided on a repurchase programme totalling 600,000 shares, up until 30 September 2021. The aim of the repurchase program was to meet the requirements arising under Nobia's Performance Share Plans. As of 5 August, all of the 600,000 shares had been repurchased for a total amount of SEK 43m. Refer to Key Ratios Group on page 12 for the total number of shares in Nobia.

Construction of the new factory in Jönköping

The site where the factory is being built was purchased from Jönköping Municipality during the quarter. Logistic Contractor, which has been contracted for the construction of the building for the production facility, is working on site preparations such as rock blasting and piling. Foundation casting will start before year-end before completion of the facade and roofing during the first quarter next year.

Risks

Nobia has a model for risk management, which aims to identify, control and manage risks. The identified risks and how they are managed are reported to the Nobia Board of Directors on a regular basis.

Nobia's financing and management of financial risks is centralised within the Nobia finance function and is conducted on the basis of a finance policy adopted by the Board of Directors. Financial risks refer primarily to currency exchange rates, interest rates, financing, tax and credit risks. In the ordinary course of business, the Group is exposed to legal risks such as commercial, product liability and other disputes and provides for them as appropriate. The demand for Nobia's products is affected by changes in the customers' investment and production levels. The global supply chain volatility has intensified and resulted in capacity constraints and inflationary pressure in certain parts of the supply chain, such as the raw material supply, installation services and transport. Bottlenecks in foremost transportation and installation services have become apparent, especially in the UK since it left the EU. To ensure availability and mitigate higher input cost, price increases were implemented during the first half of 2021, although there will be a lag until the price increases have full effect, due to the maturity of the order book.

A general economic downturn, a widespread financial crisis and other macroeconomic disturbances may, directly or indirectly, affect the Group negatively both in terms of revenues and profitability.

For a more detailed description of Nobia's risks and uncertainties, as well as risk management, refer to pages 50-57 in the 2020 Annual Report.

Significant events after the close of the quarter

No significant event has occurred after the close of the quarter.

Stockholm, 26 October 2021

Jon Sintorn President and CEO

Nobia AB, Corporate Registration Number 556528-2752

This interim report has been subject to review by the company's auditors. Refer to page 9.

Review report

Introduction

We have reviewed the interim report for Nobia AB (publ) for the period 1 January - 30 September 2021. The Board of Directors and the President are responsible for the preparation and presentation of this interim report in accordance with IAS 34 and the Annual Accounts Act. Our responsibility is to express a conclusion on this interim report based on our review.

Scope of review

We conducted our review in accordance with the International Standard on Review Engagements ISRE 2410, Review of Interim Financial Information Performed by the Independent Auditor of the Entity. A review consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review has a different focus and is substantially less in scope than an audit conducted in accordance with ISA and other generally accepted auditing practices. The procedures performed in a review do not enable us to obtain a level of assurance that would make us aware of all significant matters that might be identified in an audit. Therefore, the conclusion expressed based on a review does not give the same level of assurance as a conclusion expressed based on an audit.

Conclusion

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

Stockholm, 26 October 2021

Deloitte AB

Peter Ekberg Authorised Public Accountant

Consolidated income statement

	Q3		Jan-Sep		Jan-Dec	12 mos
SEK m	2020	2021	2020	2021	2020	rolling
Net sales	3,105	3,215	9,291	10,210	12,741	13,660
Cost of goods sold	-1,997	-1,946	-6,041	-6,247	-8,297	-8,503
Gross profit	1,108	1,269	3,250	3,963	4,444	5,157
Selling and administrative expenses	-945	-1,049	-3,171	-3,261	-4,227	-4,317
Other income/expenses	32	8	207	69	220	82
Operating profit	195	228	286	771	437	922
Net financial items	-26	-15	-76	-67	-84	-75
Profit after financial items	169	213	210	704	353	847
Tax	-37	-43	-46	-144	-100	-198
Profit after tax	132	170	164	560	253	649
Total profit attributable to:
Parent Company shareholders	132	170	164	560	253	649
Earnings per share before dilution, SEK	0.78	1.01	0.97	3.32	1.50	3.86
Earnings per share after dilution, SEK	0.78	1.01	0.97	3.31	1.50	3.85

Consolidated statement of comprehensive income

	Q3		Jan-Sep		Jan-Dec	12 mos
SEK m	2020	2021	2020	2021	2020	rolling
Profit after tax	132	170	164	560	253	649
Other comprehensive income
Items that may be reclassified subsequently to
profit or loss
Exchange-rate differences attributable to translation of
foreign operations	15	31	-176	215	-399	-8
Cash flow hedges before tax (1)	-5	1	19	12	1	-6
Tax attributable to change in hedging reserve
for the period (2)	1	-1	-4	-3	-2	-1
	11	31	-161	224	-400	-15
Items that will not be reclassified to profit or loss
Remeasurements of defined benefit pension plans	53	93	-135	212	-135	212
Tax relating to remeasurements of defined benefit
pension plans	-9	-17	23	-36	30	-29
	44	76	-112	176	-105	183
Other comprehensive income	55	107	-273	400	-505	168
Total comprehensive income	187	277	-109	960	-252	817
Total comprehensive income attributable to:
Parent Company shareholders	187	277	-109	960	-252	817

(1) Reversal recognised in profit and loss amounts to a SEK -12m (15).

New provision amounts to SEK -4m (3). (Jan-Dec 2020:-17).

(2) Reversal recognised in profit and loss amounts to a SEK 3m (-3).

New provision amounts to SEK 1m (1). (Jan-Dec 2020: 4).

Consolidated balance sheet

	30 Sep	30 Sep	31 Dec
SEK m	2020	2021	2020
ASSETS
Goodwill	2,947	2,956	2,830
Other intangible fixed assets	215	183	221
Tangible fixed assets	1,460	1,540	1,340
Right-of-use assets	2,384	1,922	2,200
Long-term receivables, interest-bearing (IB)	0	0	0
Long-term receivables	97	85	96
Deferred tax assets	84	80	119
Total fixed assets	7,187	6,766	6,806
Inventories	1,028	1,160	1,035
Accounts receivable	1,537	1,490	1,213
Current receivables, interest-bearing (IB)	9	3	2
Other receivables	454	543	394
Total current receivables	2,000	2,036	1,609
Cash and cash equivalents (IB)	884	358	635
Total current assets	3,912	3,554	3,279
Total assets	11,099	10,320	10,085
SHAREHOLDERS' EQUITY AND LIABILITIES
Share capital	57	57	57
Other capital contributions Reserves	1,505 -106	1,467 -121	1,506 -345
Profit brought forward	2,720	3,214	2,816
Total shareholders' equity attributable to Parent Company shareholders	4,176	4,617	4,034
Total shareholders' equity	4,176	4,617	4,034
Provisions for pensions (IB)	580	303	556
Other provisions	47	52	45
Deferred tax liabilities	37	36	35
Lease liabilities, interest-bearing (IB)	1,938	1,509	1,778
Other long-term liabilities, interest-bearing (IB)	772	199	285
Other long-term liabilities, non interest-bearing	2	0	0
Total long-term liabilities	3,376	2,099	2,699
Current lease liabilities, interest-bearing (IB)	422	378	405
Other current liabilities, interest-bearing (IB)	24	12	0
Current liabilities and provisions	3,101	3,214	2,947
Total current liabilities	3,547	3,604	3,352
Total shareholders' equity and liabilities	11,099	10,320	10,085

Changes in consolidated shareholders' equity

	Attributable to Parent Company shareholders
			Exchange-rate
		Other	differences			Total
		capital	attributable to	Cash-flow	Profit	share
	Share	contri	translation of	hedges	brought	holders
SEK m	capital	butions	foreign operations	after tax	forward	equity
Opening balance, 1 Jan 2020	57	1,497	68	-13	2,668	4,277
Profit for the period	–	–	–	–	164	164
Other comprehensive income for the period	–	–	-176	15	-112	-273
Total comprehensive income for the period	–	–	-176	15	52	-109
Allocation of share saving schemes	–	8	–	–	–	8
Closing balance, 30 Sep 2020	57	1,505	-108	2	2,720	4,176
Opening balance, 1 January 2021	57	1,506	-331	-14	2,816	4,034
Profit for the period	–	–	–	–	560	560
Other comprehensive income/loss for the period	–	–	215	9	176	400
Total comprehensive income for the period	–	–	215	9	736	960
Dividend	–	–	–	–	-338	-338
Treasury share purchased	–	-43	–	–	–	-43
Allocation of performance share plan	–	4	–	–	–	4
Closing balance, 30 Sep 2021	57	1,467	-116	-5	3,214	4,617

* Number of Treasury shares: 2,040,637 whereof 600,000 purchased 2021.

Key ratios, Group

	Q3		Jan-Sep		Jan-Dec	12 mos
SEK m	2020	2021	2020	2021	2020	rolling
Gross profit	1,108	1,269	3,250	3,963	4,444	5,157
Gross margin, %	35.7	39.5	35.0	38.8	34.9	37.8
EBITDA	411	429	954	1,378	1,426	1,850
EBITDA, %	13.2	13.3	10.3	13.5	11.2	13.5
Total depreciation	-216	-201	-647	-607	-852	-812
Total impairment	–	–	-21	–	-137	-116
Operating profit	195	228	286	771	437	922
Operating margin, %	6.3	7.1	3.1	7.6	3.4	6.7
Return on operating capital, %	-	-	-	-	6.0	13,5
Return on shareholders equity, %	-	-	-	-	6.1	14,7
Operating cash flow	484	123	1,412	672	1,808	1,068
Earnings per share before dilution, SEK	0.78	1.01	0.97	3.32	1.50	3.86
Earnings per share after dilution, SEK	0.78	1.01	0.97	3.31	1.50	3.85
Number of shares at period end before dilution, (1)		168,853 168,323		168,853 168,253	168,853	168,253
Average number of shares before dilution, (1)		168,853 168,323		168,853 168,645	168,853	168,253
Number of shares after dilution at period end, (1)		169,251 168,731		169,300 168,699	169,293	168,661
Average number of shares after dilution, (1)		168,951 168,426		169,187 168,979	169,293	168,558
Equity/assets ratio, %	-	-	38	45	40	-
Debt/equity ratio, %	-	-	68	44	59	-
Net debt, closing balance, SEK m	-	-	2,843	2,040	2,387	-
Operating capital, closing balance, SEK m	-	-	7,019	6,657	6,421	-
Capital employed, closing balance, SEK m	-	-	7,912	7,018	7,058	-

(1) Excluding treasury shares

Consolidated cash-flow statement

	Q3		Jan-Sep		Jan-Dec	12 mos
SEK m	2020	2021	2020	2021	2020	rolling
Operating activities
Operating profit	195	228	286	771	437	922
Depreciation/Impairment	216	201	1 668	607 2	989 3	928
Adjustments for non-cash items	4	10	7	20	50	63
Tax paid	-17	-20	-30	-77	-118	-165
Change in working capital	99	-72	599	-311	710	-200
Cash flow from operating activities	497	347	1,530	1,010	2,068	1,548
Investing activities
Investments in intangible and tangible fixed assets	-50	-230	-166	-358	-308	-500
Other items in investing activities	37	6	48	20	48	20
Interest received	1	0	1	0	2	1
Change in interest-bearing assets	1	-2	-2	-1	5	6
Cash flow from investing activities	-11	-226	-119	-339	-253	-473
Total cashflow from operating and
investing activities	486	121	1,411	671	1,815	1,075
Financing activities
Interest paid	-20	-20	-55	-62	-63	-70
Change in interest-bearing liabilities	-1,146	-448	4 -692	-545 5	-1,360 6	-1,213
Repurchase of shares	–	-43	–	-43	–	-43
Dividend	–	–	–	-338	–	-338
Cash flow from financing activities	-1,166	-511	-747	-988	-1,423	-1,664
Cash flow for the period excluding exchange-rate differences in
cash and cash equivalents	-680	-390	664	-317	392	-589
Cash and cash equivalents at beginning of the period	1,565	737	257	635	257	885
Cash flow for the period	-680	-390	664	-317	392	-589
Exchange-rate differences in cash and cash equivalents	–	11	-36	40	-14	62
Cash and cash equivalents at period-end	885	358	885	358	635	358

Operating Cash flow *	Q3 Jan-Sep			Jan-Dec	12 mos
SEK m	2020	2021	2020	2021	2020	rolling
Cash flow from operating activities	497	347	1,530	1,010	2,068	1,548
Investments in fixed assets	-50	-230	-166	-358	-308	-500
Other items in investing activities	37	6	48	20	48	20
Operating cash flow before acquisition/divestment of operations,
interest, change in interest-bearing assets	484	123	1,412	672	1,808	1,068

* Alternative Performance Measure, refer to "Definitions".

1) Impairments during the period amounted to SEK 21m and pertained to other intangible assets.

2) No Impairments during the period.

3) Impairments during the period amounted to SEK 137m and pertained to land and buildings by SEK 55m, machinery by SEK 48m and other intangible assets by SEK 34m.

4) Net of repayment and raising of loans amounted to SEK -363m. Amortisation of leasing amounted to SEK 330m.

5) Net of repayment and raising of loans amounted to SEK -86m. Amortisation of leasing amounted to SEK 377m.

6) Net of repayment and raising of loans amounted to SEK -849m. Amortisation of leasing amounted to SEK 449m.

Analysis of net debt

	Q3 Jan-Sep				Jan-Dec	12 mos
SEK m	2020	2021	2020	2021	2020	rolling
Opening balance, net debt	3,330	2,048	3,819	2,387	3,819	2,843
New leasing contracts/Closed leasing contracts in advance, net	6	121	270	2	304	36
Translation differences	27	-1	-35	57	-163	-71
Operating cash flow	-484	-123	-1,412	-672	-1,808	-1,068
Interest paid, net	19	20	54	62	61	69
Remeasurements of defined benefit pension plans	-53	-106	135	-227	147	-215
Other change in pension liabilities	-2	38	12	50	27	65
Treasury share reissued	–	43	–	43	–	43
Dividend	–	–	–	338	–	338
Closing balance, net debt	2,843	2,040	2,843	2,040	2,387	2,040

Items affecting comparability

	Q3		Jan-Sep		Jan-Dec	12 mos
Items affecting comparability, SEK m	2020	2021	2020	2021	2020	rolling
Decision closure Tidaholm factory 2024	–	–	–	–	136	136
Pensionadjustment in UK	–	–	–	–	8	8
Items affecting comparability in operating profit	–	–	–	–	144	144
Items affecting comparability in taxes	–	–	–	–	-15	-15
Items affecting comparability, total loss	–	–	–	–	129	129
	Q3		Jan-Sep		Jan-Dec	12 mos
Items affecting comparability per function, SEK m	2020	2021	2020	2021	2020	rolling
Items affecting profitability in gross profit	–	–	–	–	105	105
Items affecting profitability in in operating profit	–	–	–	–	144	144
Items affecting profitability in in taxes	–	–	–	–	-15	-15
Items affecting profitability in in profit after tax	–	–	–	–	129	129
Items affecting comparability	Q3		Jan-Sep		Jan-Dec	12 mos
in gross profit per region, SEK m	2020	2021	2020	2021	2020	rolling
Nordic	–	–	–	–	112	112
UK	–	–	–	–	–	–
Central Europe	–	–	–	–	–	–
Group-wide and eliminations	–	–	–	–	-7	-7
Group	–	–	–	–	105	105
Items affecting comparability	Q3		Jan-Sep		Jan-Dec	12 mos
in operating profit per region, SEK m	2020	2021	2020	2021	2020	rolling
Nordic	–	–	–	–	132	132
UK	–	–	–	–	8	8
Central Europe	–	–	–	–	–	–
Group-wide and eliminations	–	–	–	–	4	4
Group	–	–	–	–	144	144

Note 1 - Accounting policies

This interim report has been prepared in accordance with IAS 34, Interim financial reporting and the Swedish Annual Accounts Act. The financial statement of the Parent Company has been prepared in accordance with the Swedish Annual Accounts Act, chapter 9 and the Swedish Financial Reporting Board's standard RFR 2 Accounting for Legal Entities. In addition to in the financial statements, disclosures in accordance with IAS 34.16A are also presented in parts of the interim report.

Note 2 - References

Segment information pages 4 - 6. Loan and shareholder's equity transactions, page 7. Items affecting comparability, page 14. Net sales by product group, page 21.

Note 3 - Financial instruments - fair value

Nobia's financial assets essentially comprise non-interest-bearing and interest-bearing receivables whereby cash flows only represent payment for the initial investment and, where applicable, for the time value and interest. These are intended to be held to maturity and are recognised at amortised cost, which is a reasonable approximation of fair value. Financial liabilities are primarily recognised at amortised cost.

Financial instruments measured at fair value in the balance sheet are currency forward contracts comprised of assets at a value of SEK 2m (13) and liabilities at a value of SEK 11m (2). These items are measured according to level 2 of the fair value hierarchy, meaning based on indirect observable market data. Nobia's financial instruments are measured at fair value and included in the balance sheet on the rows " Other receivables" and "Current liabilities".

Note 4 - Related-party transactions

There is no sale and manufacturing of kitchens in the Parent Company. The Parent Company invoiced Group-wide services to subsidiaries in an amount of SEK 90m (71) during the third quarter of 2021. The Parent Company's reported dividends from participations in Group companies totalled SEK 0m (0).

Parent Company

Parent Company income statement	Q3		Jan-Sep		Jan-Dec
SEK m	2020	2021	2020	2021	2020
Net sales	71	90	222	267	337
Administrative expenses	-98	-119	-325	-355	-506
Other operating income	1	2	6	3	8
Other operating expense	-2	-2	-7	-3	-9
Operating loss	-28	-29	-104	-88	-170
Profit from shares in Group companies	–	–	–	500	–
Other financial income and expenses	11	21	-62	99	-191
Profit/loss after financial items	-17	-8	-166	511	-361
Group contribution received	–	–	–	–	155
Group contribution paid	–	–	–	–	–
Tax on profit/loss for the period	–	–	–	–	-1
Profit/loss for the period	-17	-7	-166	512	-207
Parent Company balance sheet			30 Sep	30 Sep	31 Dec
SEK m			2020	2021	2020
ASSETS
Fixed assets
Tangible fixed assets			28	20	26
Shares and participations in Group companies			1,385	1,387	1,385
Deferred tax assets			3	3	5
Total fixed assets			1,416	1,410	1,416
Current assets
Current receivables
Accounts receivable			0	0	0
Receivables from Group companies			2,480	3,061	2,833
Other receivables			26	23	28
Prepaid expenses and accrued income			144	205	81
Cash and cash equivalents			675	285	436
Total current assets			3,325	3,575	3,378
Total assets			4,741	4,985	4,794
SHAREHOLDERS' EQUITY, PROVISIONS AND LIABILITIES
Shareholders' equity
Restricted shareholders' equity
Share capital			57	57	57
Statutory reserve			1,671	1,671	1,671
			1,728	1,728	1,728
Non-restricted shareholders' equity
Share premium reserve			52	52	52
Buy-back of shares			-82	-125	-82
Profit brought forward			1,315	775	1,316
Profit/loss for the period			-166	512	-207
			1,119	1,214	1,079
Total shareholders' equity			2,847	2,942	2,807
Long-term liabilities
Provisions for pensions			22	24	22
Deferred tax liabilities			3	2	5
Long term interest-bearing liabilities			19	13	17
Total long-term liabilities			44	39	44
Current liabilities
Other interest-bearing liabilities			7	6	7
Accounts payable			23	79	31
Liabilities to Group companies			1,763	1,855	1,815
Current tax liabilities			–	–	–
Other liabilities			15	14	39
Accrued expenses and deferred income			42	49	51
Total current liabilities			1,850	2,004	1,943
Total shareholders' equity, provisions and liabilities			4,741	4,985	4,794

Comparative data per region (1)

	Q3		Jan-Sep		Jan-Dec	12 mos
Net sales, SEK m	2020	2021	2020	2021	2020	rolling
Nordic	1,491	1,607	5,034	5,422	6,801	7,189
UK	1,295	1,274	3,345	3,753	4,649	5,057
Central Europe	319	334	912	1,035	1,291	1,414
Group-wide and eliminations	0	0	0	0	0	0
Group	3,105	3,215	9,291	10,210	12,741	13,660
	Q3		Jan-Sep		Jan-Dec	12 mos
Gross profit, SEK m	2020	2021	2020	2021	2020	rolling
Nordic	538	590	1,869	2,105	2,455	2,691
UK	442	541	1,041	1,432	1,509	1,900
Central Europe	108	108	281	338	419	476
Group-wide and eliminations	20	30	59	88	61	90
Group	1,108	1,269	3,250	3,963	4,444	5,157
	Q3		Jan-Sep		Jan-Dec	12 mos
Gross profit excl. IAC, SEK m	2020	2021	2020	2021	2020	rolling
Nordic	538	590	1,869	2,105	2,567	2,803
UK	442	541	1,041	1,432	1,509	1,900
Central Europe	108	108	281	338	419	476
Group-wide and eliminations	20	30	59	88	54	83
Group	1,108	1,269	3,250	3,963	4,549	5,262
	Q3		Jan-Sep		Jan-Dec	12 mos
Gross margin, %	2020	2021	2020	2021	2020	rolling
Nordic	36.1	36.7	37.1	38.8	36.1	37.4
UK	34.1	42.5	31.1	38.2	32.5	37.6
Central Europe	33.9	32.3	30.8	32.7	32.5	33.7
Group	35.7	39.5	35.0	38.8	34.9	37.8
	Q3		Jan-Sep		Jan-Dec	12 mos
Gross margin excl. IAC, %	2020	2021	2020	2021	2020	rolling
Nordic	36.1	36.7	37.1	38.8	37.7	39.0
UK	34.1	42.5	31.1	38.2	32.5	37.6
Central Europe	33.9	32.3	30.8	32.7	32.5	33.7
Group	35.7	39.5	35.0	38.8	35.7	38.5

Comparative data per region (2)

	Q3		Jan-Sep		Jan-Dec	12 mos
Operating profit, SEK m	2020	2021	2020	2021	2020	rolling
Nordic	183	196	615	766	765	916
UK	13	41	-247	25	-234	38
Central Europe	38	34	81	113	143	175
Group-wide and eliminations	-39	-43	-163	-133	-237	-207
Group	195	228	286	771	437	922
	Q3		Jan-Sep		Jan-Dec	12 mos
Operating profit excl IAC, SEK m	2020	2021	2020	2021	2020	rolling
Nordic	183	196	615	766	897	1,048
UK	13	41	-247	25	-226	46
Central Europe	38	34	81	113	143	175
Group-wide and eliminations	-39	-43	-163	-133	-233	-203
Group	195	228	286	771	581	1,066
	Q3		Jan-Sep		Jan-Dec	12 mos
Operating margin, %	2020	2021	2020	2021	2020	rolling
Nordic	12.3	12.2	12.2	14.1	11.2	12.7
UK	1.0	3.2	-7.4	0.7	-5.0	0.8
Central Europe	11.9	10.2	8.9	10.9	11.1	12.4
Group	6.3	7.1	3.1	7.6	3.4	6.7
	Q3		Jan-Sep		Jan-Dec	12 mos
Operating margin excl IAC, %	2020	2021	2020	2021	2020	rolling
Nordic	12.3	12.2	12.2	14.1	13.2	14.6
UK	1.0	3.2	-7.4	0.7	-4.9	0.9
Central Europe	11.9	10.2	8.9	10.9	11.1	12.4
Group	6.3	7.1	3.1	7.6	4.6	7.8

Quarterly data per region (1)

		2020				2021
Net sales, SEK m	Q1	Q2	Q3	Q4	Q1	Q2	Q3
Nordic			1,739 1,804 1,491 1,767		1,826	1,989	1,607
UK	1,405		645 1,295 1,304		1,205	1,274	1,274
Central Europe	301	292	319	379	342	359	334
Group-wide and eliminations	0	0	0	0	0	0	0
Group			3,445 2,741 3,105 3,450 3,373 3,622 3,215
Gross profit, SEK m	Q1	2020 Q2	Q3	Q4	Q1	2021 Q2	Q3
Nordic	662	669	538	586	720	795	590
UK	505	94	442	468	422	469	541
Central Europe	91	82	108	138	109	121	108
Group-wide and eliminations	18	21	20	2	31	27	30
Group	1,276		866 1,108 1,194 1,282 1,412 1,269
		2020				2021
Gross profit excl IAC, SEK m	Q1	Q2	Q3	Q4	Q1	Q2	Q3
Nordic	662	669	538	698	720	795	590
UK	505	94	442	468	422	469	541
Central Europe	91	82	108	138	109	121	108
Group-wide and eliminations	18	21	20	-5	31	27	30
Group	1,276		866 1,108 1,299 1,282 1,412 1,269
		2020				2021
Gross margin, %	Q1	Q2	Q3	Q4	Q1	Q2	Q3
Nordic	38.1	37.1	36.1	33.2	39.4	40.0	36.7
UK	35.9	14.6	34.1	35.9	35.0	36.8	42.5
Central Europe	30.2	28.1	33.9	36.4	31.9	33.7	32.3
Group	37.0	31.6	35.7	34.6	38.0	39.0	39.5
		2020				2021
Gross margin excl IAC, %	Q1	Q2	Q3	Q4	Q1	Q2	Q3
Nordic	38.1	37.1	36.1	39.5	39.4	40.0	36.7
UK	35.9	14.6	34.1	35.9	35.0	36.8	42.5
Central Europe	30.2	28.1	33.9	36.4	31.9	33.7	32.3
Group	37.0	31.6	35.7	37.7	38.0	39.0	39.5

Quarterly data per region (2)

		2020					2021
Operating profit, SEK m	Q1	Q2	Q3	Q4	Q1	Q2	Q3
Nordic	198	234	183	150	249	321	196
UK	-21	-239	13	13	-47	31	41
Central Europe	18	25	38	62	37	42	34
Group-wide and eliminations	-61	-63	-39	-74	-43	-47	-43
Group	134	-43	195	151	196	347	228
		2020	2021
Operating profit excl IAC, SEK m	Q1	Q2	Q3	Q4	Q1	Q2	Q3
Nordic	198	234	183	282	249	321	196
UK	-21	-239	13	21	-47	31	41
Central Europe	18	25	38	62	37	42	34
Group-wide and eliminations	-61	-63	-39	-70	-43	-47	-43
Group	134	-43	195	295	196	347	228
Operating margin, %	Q1	2020 Q2	Q3	Q4	Q1	2021 Q2	Q3
Nordic	11.4	13.0	12.3	8.5	13.6	16.1	12,2
UK	-1.5	-37.1	1.0	1.0	-3.9	2.4	3,2
Central Europe	6.0	8.6	11.9	16.4	10.8	11.7	10,2
Group	3.9	-1.6	6.3	4.4	5.8	9.6	7.1
		2020				2021
Operating margin excl IAC, %	Q1	Q2	Q3	Q4	Q1	Q2	Q3

Operating margin excl IAC, %	Q1	Q2	Q3	Q4	Q1	Q2	Q3
Nordic	11.4	13.0	12.3	16.0	13.6	16.1	12,2
UK	-1.5	-37.1	1.0	1.6	-3.9	2.4	3,2
Central Europe	6.0	8.6	11.9	16.4	10.8	11.7	10,2
Group	3.9	-1.6	6.3	8.6	5.8	9.6	7.1

Operating capital per region

	30 Sep		31 dec
Operating capital Nordic region, SEK m	2020	2021	2020
Operating assets	3,409	3,074	2,939
Operating liabilities	1,558	1,664	1,544
Operating capital	1,851	1,410	1,395
	30 Sep		31 dec
Operating capital UK region, SEK m	2020	2021	2020
Operating assets	3,724	3,472	3,590
Operating liabilities	1,278	1,116	1,133
Operating capital	2,446	2,356	2,457
	30 Sep		31 dec
Operating capital Central Europe region, SEK m	2020	2021	2020
Operating assets	641	666	558
Operating liabilities	226	264	198
Operating capital	415	402	360
	30 Sep		31 dec
Operating capital Group-wide and eliminations, SEK m	2020	2021	2020
Operating assets	2,432	2,746	2,361
Operating liabilities	125	257	152
Operating capital	2,307	2,489	2,209
	30 Sep		31 dec
Operating capital, SEK m	2020	2021	2020
Operating assets	10,206	9,958	9,448
Operating liabilities	3,187	3,301	3,027
Operating capital	7,019	6,657	6,421

Comparative data by product group

Net sales	Q3		Jan-Sep		Jan-Dec	12 mos
Nordic by product group, %	2020	2021	2020	2021	2020	rolling
Kitchen furnitures	66	71	67	69	67	69
Installation services	6	2	6	4	6	4
Other products	28	27	27	27	27	27
Total	100	100	100	100	100	100
Net sales	Q3		Jan-Sep		Jan-Dec	12 mos
UK by product group, %	2020	2021	2020	2021	2020	rolling
Kitchen furnitures	64	62	63	62	62	61
Installation services	5	5	6	5	6	6
Other products	31	33	31	33	32	33
Total	100	100	100	100	100	100
Net sales	Q3		Jan-Sep		Jan-Dec	12 mos
Central Europe by product group, %	2020	2021	2020	2021	2020	rolling
Kitchen furnitures	64	65	59	62	58	61
Installation services	8	8	10	9	10	9
Other products	28	27	31	29	32	30
Total	100	100	100	100	100	100
Net sales	Q3		Jan-Sep		Jan-Dec	12 mos
Group by product group, %	2020	2021	2020	2021	2020	rolling
Kitchen furnitures	65	67	65	66	64	65
Installation services	6	4	6	5	6	5
Other products	29	29	29	29	30	30
Total	100	100	100	100	100	100

Reconciliation of alternative performance measures (1)

Nobia presents certain financial performance measures in the interim report that are not defined according to IFRS, known as alternative performance measures. Nobia believes that these measures provide valuable complementary information to investors and the company's management since they facilitate assessments of trends and the company's performance. Because not all companies calculate performance measures in the same way, these are not always comparable with those measures used by other companies. Consequently, the performance measures are not to be seen as replacements for measures defined according to IFRS. For definitions of the performance measures that Nobia uses, see pages 24-25.

		Q3		Jan-Sep
Analysis of external net sales Nordic Region	%	SEK m	%	SEK m
2020		1,491		5,034
Organic growth	8	122	10	486
Currency effects	0	-6	-2	-98
2021	8	1,607	8	5,422
		Q3		Jan-Sep
Analysis of external net sales UK Region	%	SEK m	%	SEK m
2020		1,295		3,345
Organic growth	-4	-59	14	458
Currency effects	3	38	-2	-50
2021	-2	1,274	12	3,753
		Q3		Jan-Sep
Analysis of external net sales Central Europe Region	%	SEK m	%	SEK m
2020		319		912
Organic growth	7	20	18	158
Currency effects	-2	-5	-5	-35
2021	5	334	13	1,035

Operating profit before depreciation	Q3		Jan-Sep		Jan-Dec	12 mos
and impairment (EBITDA), SEK m	2020	2021	2020	2021	2020	rolling
Operating profit	195	228	286	771	437	922
Depreciation and impairment	216	201	668	607	989	928
Operating profit before depreciation
and impairment (EBITDA)	411	429	954	1,378	1,426	1,850
Net Sales	3,105	3,215	9,291	10,210	12,741	13,660
% of sales	13.2%	13.3%	10.3%	13.5%	11.2%	13.5%
	Q3		Jan-Sep		Jan-Dec	12 mos
Profit/loss after tax excluding IAC, SEKm	2020	2021	2020	2021	2020	rolling
Profit/loss after tax	132	155	164	545	253	634
Items affecting comparability net after tax	–	–	–	–	129	129
Profit/loss after tax excluding IAC	132	155	164	545	382	763

	Jan-Dec	12 mos
Average equity, SEK m	2020	rolling
OB Equity attributable to Parent Company shareholders	4,277	4,176
CB Equity attributable to Parent Company shareholders	4,034	4,617
Average equity before adjustment of increases and
decreases in capital	4,156	4,397
Adjustment for increases and decreases in capital not
occured in the middle of the period	–	–
Average equity	4,156	4,397

Reconciliation of alternative performance measures (2)

	30 Sep	30 Sep	31 Dec
Net debt, SEK m	2020	2021	2020
Provisions for pensions (IB)	580	303	556
Other long-term liabilities, interest-bearing (IB)	2,710	1,708	2,063
Current liabilities, interest-bearing (IB)	446	390	405
Interest-bearing liabilities	3,736	2,401	3,024
Long-term receivables, interest -bearing (IB)	0	0	0
Current receivables, interest-bearing (IB)	-9	-3	-2
Cash and cash equivalents (IB)	-884	-358	-635
Interest-bearing assets	-893	-361	-637
Net debt	2,843	2,040	2,387
	30 Sep	30 Sep	31 Dec
Net debt excl. IFRS 16 Leases and pension provisions, SEK m		2021	2020

Net debt	2,843	2,040	2,387
Of which IFRS 16 Leases	2,360	1,887	2,183
Of which provisions for pensions	580	303	556
Net debt excl. IFRS 16 Leases	483	153	204
Net debt excl. IFRS 16 Leases and provision for pensions	-97	-150	-352

30 Sep	30 Sep	31 Dec
2020	2021	2020
11,099	10,320	10,085
-47	-52	-45
-37	-36	-35
-2	–	0
-3,101	-3,214	-2,947
-3,187	-3,302	-3,027
7,912	7,018	7,058
-893	-361	-637
7,019	6,657	6,421

	Jan-Dec	12 mos
Average operating capital, SEK m	2020	rolling
OB Operating capital	8,096	7,019
CB Operating capital	6,421	6,657
Average operating capital before adjustments of
acquisitions and divestments	7,259	6,838
Average operating capital	7,259	6,838

Definitions

Performance
measure	Calculation	Purpose
Return on shareholders' equity	Net profit for the period as a percentage of average shareholders' equity attributable to Parent Company shareholders based on opening and closing balances for the period. The calculation of average shareholders' equity has been adjusted for increases and decreases in capital.	Return on shareholders' equity shows the total return on shareholders' capital in accounting terms and reflects the effects of both the operational profitability and financial gearing. The measure is primarily used to analyse shareholder profitability over time.
Return on operating capital	Operating profit as a percentage of average operating capital based on opening and closing balances for the period excl. net assets attributable to discontinued operations. The calculation of average operating capital has been adjusted for acquisitions and divestments.	Return on operating capital shows how well the operations use net capital that is tied up in the company. It reflects how both cost and capital-efficient net sales are generated, meaning the combined effect of the operating margin and the turnover rate of operating capital. The measure is used in profitability comparisons between operations in the Group and to assess the Group's profitability over time.
Gross margin	Gross profit as a percentage of sales.	This measure reflects the efficiency of the part of the operations that is primarily linked to production and logistics. It is used to measure cost efficiency in this part of the operations.
EBITDA	Earnings before depreciation/amortisation and impairment.	To simplify, the measure shows the earnings generating cash flow in the operations. It provides a view of the ability of the operations, in absolute terms, to generate resources for investment and payment to financers and is used for comparisons over time.
Items affecting comparability	Items that affect comparability in so far as they do not reoccur with the same regularity as other items.	Reporting items affecting comparability separately clearly shows the performance of the underlying operations.
Net debt	Interest-bearing liabilities less interest bearing assets. Interest-bearing liabilities include provisions for pensions and leases.	Net debt is a liquidity metric used to determine how well a company can pay all of its debts, pension liabilities and leasing obligations if they were due immediately. The measure is used as a component in the debt/equity ratio.
Operating capital	Capital employed excl. interest bearing assets.	Operating capital shows the amount of capital required by the operations to conduct its core operations. It is mainly used to calculate the return on operating capital.
Operating cash flow	Cash flow from operating activities including cash flow from investing activities, excl. cash flow from acquisitions/divestments of operations, interest received, and	This measure comprises the cash flow generated by the underlying operations. The measure is used to show the amount of funds at the company's disposal for paying financers of loans and equity or for use in growth through acquisitions.

Performance

measure	Calculation	Purpose
	increase/decrease in interest-bearing assets.
Organic growth	Change in net sales, excl. acquisitions, divestments and changes in exchange rates.	Organic growth facilitates a comparison of sales over time by comparing the same operations and excl. currency effects.
Region	Region corresponds to an operating segment under IFRS 8.
Earnings per share	Net profit for the period divided by a weighted average number of outstanding shares during the period.
Operating margin	Operating profit as a percentage of net sales.	This measure reflects the operating profitability of the operations. It is used to monitor the flexibility and efficiency of the operations before taking into account capital tied up. The performance measure is used both internally in governance and monitoring of the operation, and for benchmarking with other companies in the industry.
Debt/equity ratio	Net debt as a percentage of shareholders' equity including non controlling interests.	A measure of the ratio between the Group's two forms of financing. The measure shows the percentage of the loan capital in relation to capital invested by the owners, and is thus a measure of financial strength but also the gearing effect of lending. A higher debt/equity ratio means a higher financial risk and higher financial gearing.
Equity/assets	Shareholders' equity including non controlling interests as a percentage of balance-sheet total.	This measure reflects the financial position and thus the long-term solvency. A healthy equity ratio/strong financial position provides preparedness for managing periods of economic downturn and financial preparedness for growth. It also provides a minor advantage in the form of financial gearing.
Capital employed	Balance-sheet total less non-interest bearing provisions and liabilities.	The capital that shareholders and lenders have placed at the company's disposal. It shows the net capital invested in the operations, such as operating capital, with additions for financial assets.
Currency effects	"Translation effects" refers to the currency effects arising when foreign results and balance sheets are translated to SEK. "Transaction effects" refers to the currency effects arising when purchases or sales are made in currency other than the currency of the producing country (functional currency).

For further information

Contact any of the following on +46 (0)8 440 16 00 or ir@nobia.com

• Kristoffer Ljungfelt, CFO
• Tobias Norrby, Head of Investor Relations

Presentation

The interim report will be presented on Tuesday October 26 at 10:00 CET in a webcast teleconference that can be followed on Nobia's website or on https://edge.media-server.com/mmc/p/uemo9w89 To participate in the teleconference, and thus have the possibility to ask questions, call one of the following numbers:

Sweden:	+46 8 56 64 26 51
UK:	+44 33 33 00 08 04
USA:	+1 631 913 1422
Pin code:	68472664#

Financial calendar

February 1: year-end report 2021. May 5, Interim report for January – March 2022. July 19, Interim report for January – June 2022. November 2, Interim report for January - September 2022.

The Annual General Meeting 2022 will be held in Stockholm on May 5.

This interim report is information such that Nobia is obliged to make public pursuant to the EU's Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, on 26 October 2021 at 08:30 CET.

Nobia AB • Blekholmstorget 30 E7 • SE-111 64 Stockholm • Tel +46 8 440 16 00 www.nobia.com. Corporate Registration Number: 556528–2752 • Board domicile: Stockholm, Sweden