NRC Group — Interim / Quarterly Report 2025

May 16, 2025

1 st quarter 2025

CEO Anders Gustafsson

CFO Åsgeir Nord

Summary from CEO

• Established solid foundation last year
• Change of main reporting KPI to clean EBIT
• All-time high order backlog
• Secured major contracts in the first quarter, strong order intake especially in Norway and Sweden
• Initiated program in Norway to improve operational efficiency
• Promising tender pipeline across all three countries
• Significant working capital increase driven by ETM
• Confident on 2025 guiding of more than 2.0% EBIT-margin

First quarter reflects both strategic and operational progress

Key figures Q1 2025

Strengthen order backlog to all-time-high ~ NOK 9 billion

Backlog

NOK million NOK million

Unannounced Announced LTM book-to-bill

Committed to providing a safe and secure workplace

Health and safety

1. LTI: Injuries resulting in absence at least one full day per million man-hours (incl. subcontractors)

2. Injury that results in prolonged disability

Q1 season activity level, overall good project portfolio progress

Profit & loss

Revenue and EBIT

NOK million and percent

(Amounts in NOK million)	Q1 2025	Q1 2024	FY 2024
Revenue	1 264	1 306	6 892
Operating expenses	-1 238	-1 301	-6 790
Other income and expenses	0	-56	-77
Depreciation and amortisation	-53	-47	-844
EBIT	-27	-99	-820
EBIT margin	-2.1 %	-7.5 %	-11.9 %
Net financial items	-20	-19	-81
Share of loss from associates and JVs	0	0	-18
Taxes	6	25	-81
Net profit / loss	-41	-92	-1 000

Notes

• In Q1 '24 (full year '24), EBIT adj. was NOK -43 million (-93 million).
• Net loss in 2024 was in addition to project write downs dominated by a GW impairment in Q2 (NOK 650 million), restructuring charges in Finland and Kept (NOK 81 million) and a write down of the deferred tax asset in Norway (NOK 79 million)

Norway

Improved margin and focus on improving operational efficiency

Operational review NRC Group Norway

1 234 1 030 960 914 2 194 1 944 Current year Next year

Q1 2024 Q1 2025

Key figures Notes

(NOK million)	Q1 2025	Q1 2024
Revenue	500	444
EBIT	4	-57
EBIT margin	0.7 %	-12.8 %
Order intake	982	1 115

• In Q1 '24, EBIT adj. was NOK 3 million.
• High activity on the ETM-project, no profit contribution. Legal proceedings initiated after project is physically completed later in 2025.
• Secured major rail contract (Melhus and Ler railway stations) valued at NOK 463 million
• Program initiated to improve operational efficiency going forward
• Management team in Norway now complete
• EBIT in Q2 '24 was heavily influenced by write-downs of GW (NOK 150 million) and ETM (NOK 63 mill)

Sweden

Solid order intake and record high order backlog for 2025

Operational review NRC Group Sweden

Revenue and EBIT Order backlog (total)¹

Key figures Notes

(NOK million)	Q1 2025	Q1 2024
Revenue	350	436
EBIT	1	4
EBIT margin	0.2 %	0.9 %
Order intake	883	786

-20 -15 -10 -5 0 5 10 15 20

• In Q1 '24, EBIT adj. was NOK 1 million.
• Secured contract of SEK 238 million, rail contract for rehabilitation of Nyköping station, in addition to other rail-related contracts
• Expecting to secure new contracts with the re-established civil segment in 2025
• EBIT in Q2 '24 influenced by write-down of ETM (NOK 63 mill)

Improved margin, visible effects from Acceleration Lane project

Operational review NRC Group Finland

Q1 2024 Q1 2025

Key figures Notes

(NOK million)	Q1 2025	Q1 2024
Revenue	419	427
EBIT	-15	-33
EBIT margin	-3.7 %	-7.7 %
Order intake	373	593

• Revenue in line with last year, somewhat weaker order intake securing smaller contracts for rail and maintenance
• As an integral part of the restructuring program, Acceleration Lane, Finland is operating with a new division structure since January 2025
• EBIT in Q2 '24 was heavily influenced by write-downs of GW (NOK 500 million) and projects (NOK 25 mill)

Both season effect and ETM lead to significant increase of working capital

Cash flow and working capital

Net interest-bearing debt, maturity profile and leverage ratio

Financial position

Bank debt Bond

• Leverage ratio will drop significantly after Q1 2025.

• Leverage covenant suspended until Q4 2025.

Q1 2025 Summary

Financials

• Progress in our operations
• Solid order intake and all-time-high order backlog
• Changed reporting from EBIT adj. to clean EBIT
• Confident on 2025 guiding of more than 2.0% EBIT-margin

Operations

• Established solid foundation last year
• Executive and country management teams complete
• Restructuring program in Finland, Acceleration Lane, shows results
• Launching program to improve cost efficiency in Norway
• Promising tender pipeline across all three countries

Guiding

Targets for long-term strategy

2025 targets	2028 targets
NOK ~7 billion	>NOK 10 billion
Revenue	Revenue
>2.0%	>5.0%
EBIT margin	EBIT margin

Linear improvement towards 2028

Q2 2025 results 14 August

Appendix

Interim condensed consolidated statement of profit or loss

(Amounts in NOK million)	01 2025	01 2024	FY 2024
Revenue	1 264	1 306	6 892
Operating expenses	-1 238	-1 301	-6790
Other income and expenses	O	-56	-77
EBITDA	26	-51	25
Depreciation	-49	-43	-181
EBITA	-24	-95	-156
Amortisation and impairment	-3	-4	-664
Operating profit/loss (EBIT)	-21	-gg	-820
Net financial items	-20	-19	-81
Share of profit from associates and joint ventures	O	O	-18
Profit/loss before tax (EBT)	-47	-1777	-919
laxes	6	25	-81
Net profit/loss	-41	-92	-1 000
Profit/loss attributable to:
Shareholders of the parent	-41	-92	-1 000
Non-controlling interests	O	O	O
Net profit / loss	-41	-92	-1 000
Earnings per share in NOK (ordinary)	-0.24	-1.27	-10.54
Earnings per share in NOK (diluted)	-0.24	-1.27	-10.54

Interim condensed consolidated statement of financial position

(Amounts in NOK million)	Note	31.03.2025	31.03.2024	31.12.2024
ASSETS
Deferred tax assets	1	રેક	106	37
Goodwill	1	1 804	2 478	1 829
Customer contracts and other intangible assets		19	28	21
Intangible assets		1 860	2 612	1886
Tangible assets		144	160	146
Right-of-use assets		415	446	427
Other non-current assets		4	1	3
Total non-current assets		2423	3 518	2 462
Inventories		28	ਤਰ	25
Receivables		1 650	1 528	1723
Cash and cash equivalents		14	177	357
Assets classified as held for sale	ব	ਤੇਤ	85	36
Total current assets		1825	1 859	2 141
Total assets		4 248	5 047	4 602
(Amounts in NOK million)
EQUITY AND LIABILITIES
Equity
Paid-in-capital		2 433	2 396	2 429
Other equity		-781	3	Fris
Total equity		1652	5 ਤੇਰੇਰੋ	170
Liabilities
Pension obligations		б	9	6
Long-term leasing liabilities		249	284	259
Other non-current interest-bearing liabilities	5	500	564	518
Deferred taxes		O	ব	0
Total non-current liabilities		155	860	185
Short-term leasing liabilities		140	138	145
Other interest-bearing current liabilities	5	56	58	58
Other current liabilities		1 611	1 512	1872
Liabilities directly associated with assets held for sale	4	રેક	80	34
Total current liabilities		1 840	1788	2 10
Total equity and liabilities		4 248	5 047	4 602

Interim condensed consolidated statement of cash flows

Profit/loss before tax Depreciation, amortisation and impairment	-47 53 -8 19	-117 47	-919
			844
Taxes paid		-4	-8
Net financial items		19	81
Gain from sale of property, plant and equipment	-1	-6	-16
Gain from disposal of subsidiary	O	O	O
Share of profit from associates and joint ventures	O	0	18
Change in working capital and other accruals	166	-65	30
Net cash flow from operating activities	-120	126	5
Purchase of property, plant and equipment	-7	-2	-49
Acquisition of companies, net of cash acquired	O	0	ব
Investments in associates and joint ventures	O	0	-2
Net proceeds from sale of property, plant and equipment	O	4	60
Disposal of companies, net of cash disposed	O	0	O
Proceeds from sale of shares and other investments	O	0	O
Proceeds from subsidiaries and AC	O	0	-13
Net cash flow from investing activities	-7	S	3
Net proceeds from issue of shares	0	0	236
Net proceeds from borrowings	O	O	O
	-14	-14	-57
Repayment/repurchase of borrowings	-40	-42	-164
Payments of lease liabilities Interest paid	-19	-19	-78
Net proceeds from acquisition/sale of treasury shares	2	O	- R
Net cash flow from financing activities	-72	-74	-67
Net change in cash and cash equivalents	-229	-199	-33
Cash and cash equivalents at the start of the period	357	ਤਵਰ	360
Translation differences	-14	6	21
Cash and cash equivalents at the end of the period	14	177	357
Hereof presented as:
Free cash	114	177	357
Restricted cash	O	O	O

Reconciliation of EBIT adj. from EBIT

(Amounts in NOK million)	01 2025	01 2024	FY 2024
Operating profit/loss (EBIT)	-27	-99	-820
Adjusting items
M&A expenses	O	-4	-4
Restructuring recycling and demolition business 2 (NRC Kept)	0	60	74
Restructuring items, other	0	0	7
Impairment of goodwill (Norway)	0	0	150
Impairment of goodwill (Finland)	0	0	500
Adjusting items, total	0	56	727
EBIT adj.	-27	-43	-93
Depreciation	49	43	181
Amortisation of IT software investments	3	4	14
EBITDA adj.	26	4	102

High demand for infrastructure – continued robust tender pipeline

NOK 29 billion tender pipeline in Group¹ Notes

BNOK value, next 9 months (submission)

• Continued high tender pipeline across all countries
• Foundation for future profitable growth for NRC Group
• Governmental support to upgrade and build sustainable infrastructure, presents significant opportunities (10 years National Transportation Plans)

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