SKAKO

Quarterly Report • Aug 26, 2021

SKAKO is experiencing improved results compared to Q4 2020 and Q1 2021 as the company is gradually recovering from the negative impact from Covid-19. This positive development is expected to continue through the rest of 2021.

Due to the difficult year over year comparison related to the impact on the business from Covid-19, we include quarter over quarter progress to show that we are gradually recovering from the negative impact from the pandemic. This comparison will be made for the rest of 2021.

(DKKm) (90.5 in Q2 2021) Up from 85.9 in Q1 2021 Up from 172.7 in H1 2020

(DKKm) (4.1 in Q2 2021) Up from 3.5 in Q1 2021 Down from 10.1 in H1 2020

(4.5% in Q2 2021) Up from 4.0% in Q1 2021 Down from 5.8% in H1 2020

Down from 8.3% in Q1 2021 Down from 15.0% in H1 2020

(DKKm)

Down from 84.5 in Q1 2021 Down from 112.5 in H1 2020

CONTENTS

1 H1 2021 IN BRIEF
2 KEY FIGURES AND FINANCIAL RATIOS
3 FINANCIAL REVIEW H1 2021
4 BUSINESS UNITCONCRETE
5 BUSINESS UNIT VIBRATION
6 FINANCIAL STATEMENTS
6.1 STATEMENT BY MANAGEMENT
6.2 CONSOLIDATED INCOME STATEMENT
6.3 CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
6.4 CONSOLIDATED BALANCE SHEET 30 June
6.5 CONSOLIDATED CASH FLOW STATEMENT
6.6 CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
6.7 Seqment information
6.8 Correction of not significant mistake in the financial figures for 2020
6.9 QUARTERLY KEY FIGURES ANDFINANCIAL RATIOS

ssens Quarteri) report 202

Important notice about this document

This document contains forward-looking statements. Words may will, plan, stategy, prospect, foresee, estimate, project, anticipate, can, intent, outlook, guidance, target and other world similar meaning in connection with any discussion of future operation of firences identify forward-looking statements regarding the future are subject to risks and uncertainties that may result in considerable deviations from the outlook set forth. Furthermore, some of these expectations are based on assumptions regarding future events which may prove incorrect.

141 2021 IN BRIEF

* A not significant accounting mistale in 2020 could comparisons and therefore comparative figures for 2020 have been restated as described on page 30

** Due to the diffiols year over year comparison the business from Only 19, quarter progress included to show the SKKO is gradually recovering from the neqative impact from the pandemic.

2 KEY FIGURES AND FINANCIAL RATIOS

DKK Thousands	Q2 2021	02 2020*	H1 2021		2020*
INCOME STATEMENT
Revenue	90,476	74,926	176,394	172,708	335,920
Gross profit	21,637	19,652	42,678	43,546	77,865
Operating profit (EBIT)	4,102	4,472	7,564	10,057	15,171
Net financial items	(476)	(488)	(1,419)	(1,314)	(3,084)
Profit before tax	3,626	3,984	6,145	8,743	12,087
Profit for the year	3,410	3,850	5,700	8,399	10,859
BALANCE SHEET
Non-current assets	82,561	80,941	82,561	80,941	84,265
Current assets	223,938	235,300	223,938	235,300	237,842
Assets	306,499	316,241	306,499	316,241	322,107
Equity	124,441	132,312	124,441	132,312	127,252
Non-current liabilities	37,805	31,195	37,805	31,195	38,455
Current liabilities	144,253	152,734	144,253	152,734	156,351
Net debt	50,167	29,972	50,167	29,972	40,187
Net working capital	117,647	121,675	117,647	121,675	111,295
OTHER KEY FIGURES
Investment in intanqible assets	1,026	299	1,265	524	7,236
Investment in tangible assets	501		764	332	5,860
Cash flow from operating activities (CFFO)	7,761	4,525	979	(643)	4,803
Free cash flow	6,234	4,226	(1,049)	2,456	(8,293)
Average number of employees	198	204	198	204	195

* A not significant accounting mistake in 2020 could distributions and therefore comparative figures for 2020 have been restated as described or page 30

CONTINUED

DKK Thousands	Q2 2021	02 2020*	H1 2021	H1 2020*	2020*
FINANCIAL RATIOS
Gross profit margin	23.9%	26.3%	24.2%	25.2%	23.2%
Profit margin (EBIT margin)	4.5%	6.0%	4.3%	5.8%	4.5%
Liquidity ratio	155.3%	148.0%	155.3%	148.0%	152.1%
Equity ratio	40.6%	41.8%	40.6%	41.8%	39.5%
Return on equity	7.4%	15.2%	7.4%	15.2%	8.7%
Financial leverage	40.3%	22.6%	40.3%	22.6%	31.6%
Net debt to EBITDA	2.4	1.0	2.4	1.0	1.7
NWC/Revenue	34.6%	35.4%	34.6%	35.4%	33.1%
Earnings per share	1.11	1.25	1.85	2.72	3.52
Equity value per share	40.4	42.9	40.4	42.9	41.3
Share price	57.0	40.2	57.0	40.2	49.8
Price-book ratio	1.4	0.9	1.4	0.9	1.2
Market capitalization	177,066	124,878	177,066	124,878	154,699
Order backlog	76,392	112,751	76,392	112,751	91,877

For calculation of financial ratios please see page 10. Net working capital is calculated as Inventory, Trade receivables and Contract assets less Contract liabilitiesand Trade payables. Backlog represents revenue from signed contracts or orders executed but not yet completed or performed in full.

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Key figures and financial ratios – EUR*

EUR Thousands	Q2 2021	Q2 2020*	H1 2021	H1 2020*	2020*
INCOME STATEMENT
Revenue	12,166	10,037	23,719	23,136	45,064
Gross profit	2,909	2,636	5,739	5,837	10,452
Operating profit (EBIT)	555	602	1,017	1,351	2,042
Net financial items	(64)	(65)	(191)	(176)	(414)
Profit before tax	488	537	826	1,175	1,628
Profit for the period	459	519	766	1,129	1,463
BALANCE SHEET
Non-current assets	11,103	10,861	11,103	10,861	11,327
Current assets	30,115	31,576	30,115	31,576	31.971
Assets	41,217	42,437	41,217	42,437	43,298
Equity,	16,734	17,757	16,734	17,757	17,112
Non-current liabilities	5,084	3,345	5,084	3,345	5,169
Current liabilities	19,399	21,335	19,399	21,335	21,017
Net interest-bearing debt	6,746	4,022	6,746	4,022	5,402
Net working capital	15,821	16,461	15,821	16,461	14,967
OTHER KEY FIGURES
Investment in intangible and tangible assets	205	40	273	115	1,757
Cash flow from operating activities (CFFO)	1,044	599	132	(86)	644
Free cash flow	838	гээ	(141)	329	(1,113)
Average number of emplyees	198	204	198	204	195

– CONTINUED

EUR Thousands	022021	02 2020*	H1 2021	H1 2020*	2020*
FINANCIALRATIOS
Gross profit marqin	23.9%	26.3%	24.2%	25.2%	23.2%
Profit margin (EBIT margin)	4.5%	6.0%	4.3%	5.8%	4.5%
Liquidity ratio	155.3%	148.0%	155.3%	148.0%	152.1%
Equity ratio	40.6%	41.8%	40.6%	41.8%	39.5%
Return on equity	7.4%	15.2%	7.4%	15.2%	8.7%
Financial leverage	40.3%	22.6%	40.3%	22.6%	31.6%
Net debt to EBITDA*	2.4	1.0	2.4	1.0	1.7
NWC/Revenue	34.6%	35.4%	34.6%	35.4%	33.1%
Earnings per share (EPS)	0.15	0.21	0.25	0.21	0,48
Equity value per share	5.4	5.8	5.4	5.8	5,6
Share price	7.67	5.4	7.67	5.4	6,69
Price-book ratio	1.4	0.9	1.4	0.9	1,21
Market cap	23,811	16,756	53,811	16,756	20,795
Order backlog	10,273	15,130	10,273	15,130	12,350

*

**On the translation of key figures and financial ratios from Danish kroner to euro, Danmarks Nationalbank's rate of exchange on 30 June 2021 of 743.62 hasbeen used for balance sheet items, and the average rate of exchange of 743.68 has been used for income statement and cash flow on items.

3 FINANCIAL REVIEW H1 2021

DKK Thousands	Q2 2021	Q2 2020+	Change	H1 2021	H1 2020*	Change	01 2021	Change
Plant revenue	57,244	46,843	22.2%	108,932	109,974	(0.9%)	51,688	10.7%
Aftersales revenue	33,232	28,083	18.3%	67,462	62,734	7.5%	34,230	(2.9%)
Total revenue	90,476	74,926	20.8%	176,394	172,708	2.1%	85,918	5.3%
Production costs	(68,839)	(55,274)	24.5%	(133,715)	(129,162)	3.5%	(64,877)	6.1%
Gross profit	21,637	19,652	10.1%	42.678	43,546	(2.0%)	21,041	2.8%
Gross profit margin	23.9%	26.2%	(2.3pp)	24.2%	25,2%	(1.0pp)	24.5%	(0.6pp)
Distribution costs	(9,872)	(9,051)	9.1%	(19,370)	(50,083)	(3.6%)	(9,498)	3.9%
Administrative expenses	(7,663)	(6,129)	25.0%	(15,745)	(13,406)	17.4%	(8,082)	(5.2%)
Operating profit (EBIT)	4,103	4,472	(8.3%)	7,564	10,057	(24.8%)	3,461	18.5%
Uperating profit margin (EBIT margin)	4.5%	6.0%	(1.5pp)	4.3%	5.8%	(1.5pp)	4.0%	0.5pp
Profit for the period	3,410	3,850	(11.4%)	5,700	8	(32.1%)	2,289	48.0%
Order backlog beginning of period	84,485	111,390	(24.2%)	91,877	123,654	(25.7%)	91,877	(8.0%)
Order intake	85,383	75,998	8.4%	160,909	161,516	(0.4%)	78,526	4.9%
Revenue	(90,476)	(74,926)	20.8%	(176,394)	(172,708)	2.1%	(85,918)	5.3%
Order backlog end of period	76,392	112,462	(32.1%)	76,392	112,462	(32.1%)	84,485	(8.4%)

* A not significant accounting mistake in 2020 could distributions and therefore comparative figures for 2020 have been restated as described on page 30

SKAKO Group Revenue and EBIT margin*

As expected, SKAKO was still impacted by the Covid-19 pandemic in Q2 and H1 2021. However, since the large decline in Q2 2020, revenue has been gradually increasing and the EBIT marqin has been improvinq since Q4 2020. We expect this development to continue in the second half of 2021. Q1 2020 was a very strong quarter and only impacted by the Covid-19 pandemic in the last part of March while the entire Q1 2021 was impacted. Furthermore, Q2 2020 was supported by government compensation [grants] of DKK 3.0m which has not been the case in Q2 2021. In addition, since we expect the activity to return to the levels seen before Covid-19, we have chosen not to reduce the fixed cost base to the same extent as we did in Q2 2020 to mitiqate uncertainties resulting from Covid-19. As a result, we have realized lower EBIT and EBIT-margin compared to H1 2020. This is in accordance with our expectations for 2021 where we expect the majority of earnings to be realized in the second half of 2021 as business conditions improve

Despite a decline of 3.3% in revenue in H1. 2021 compared to H1 2020, SKAKO Concrete managed to improve the EBIT-marqin from 4.2% in H1 2020 to 5.4% in H1 2021 drivinq an improved result compared to H1 2020. SKAKO Vibration had a slow start to 2021 but has seen activity and performance improve through H1 2021. This development is expected to continue in H2 2021. For a detailed financial review of each division, please see section 2.1 for SKAKO Concrete and section 3.1 for SKAKO Vibration.

SKAKO is experiencinq increasinq prices in raw materials and freight. To eliminate this risk SKAKO has implemented frequent price updates and significantly reduced acceptance period on plant quotations.

Revenue

Revenue in Q2 2021 continued the positive trend and increased with 5.3% compared to Q1 2021 and with 20.8% compared to Q2 2020 which was heavily impacted by the pandemic. Revenue in H1 2021 increased with 2.1% compared to the same period last year where revenue was high in the first quarter and low in the second quarter where the pandemic had full impact.

Gross profit

Gross profit of DKK 21.6m was an increase of 2.8% compared to Q1 2021 and an increase of 10.0% compared to the same period last year due to the increasing revenue. Compared to H1 2020 gross profit marqin declined with 1.0 percentage point, mainly due to the positive impact of qovernment compensation in Q2 2020.

Capacity costs

In Q2 2021, capacity costs were at the same level as in Q1 2021. Distribution costs decreased with 3.6% in H1 2021 compared to the same period last year, and administrative expenses increased by 17.4% in H1 2021 compared to H1 2020. The decrease in distribution expenses in H1 2021 is primarily due to limited traveling and exhibition activities in Q1 2021 compared to Q1 2020 while the increase in administrative costs is due to increased costs for communication and visual identity.

Operating profit

Operating profit (EBIT) increased to DKK 4.1m in Q2 2021 compared to DKK 3.5m in Q1 2021 but declined with DKK 0.4m compared to Q2 2020, primarily due to government compensation of DKK 3.0m in Q2 2020. Operating profit (EBIT) amounted to DKK 7.6m in H1 2021 compared to DKK 10.1m in H1 2020. The decline was due to a slow start in SKAKO Vibration in H1 2021 due to the resurgence of Covid-19, and government compensation in Q2 2020. Operating profit (EBIT) is therefore expected to improve in H2 2021.

Order intake and backloq

In H1 2021, order intake amounted to DKK 160.9m which is a decrease of 0.4% compared to H1 2020. Compared to Q1 2021, order intake in Q2 2021 increased with 4.9%. The order backlog at the beqinning of H2 2021 amounts to DKK 76.4m whichis a decline of 32.1% compared to the order backlog at the beginning of H2 2020. Due to the restrictions and uncertainties resulting from the Covid-19 pandemic our order intake has been limited in H1 2021. Based on the current pipeline, we expect this to improve in the rest of 2021 to support our expectations for the year.

Cash flow developments

In the first six months of 2021, SKAKO generated cash flow from operating activities (CFFD) of DKK 1.0m compared to DKK -0.6m in H1 2020. In Q2 2020, Cash flow from operating activities (CFFO) amounted to DKK 7.8m compared to DKK 4.5m in Q2 2020 and DKK -6.8m in Q1 2021. The low cash flow compared to profit in H1 2021 is primarily due to a reduction in pre payments from customer and trade payables, and a small increase in inventories.

Equity

The Group's equity was DKK 124.5m on 30 June 2021 (DKK 132.3m on 30 June 2020) corresponding to an equity ratio of 40.6% (41.8% on 30 June 2020). The decrease in equity compared to the beginning of 2021 (DKK 127.3 on 31 December 2020) is mainly due to distributed dividends of DKK 9.3m in May 2021. Profit for the period of DKK 5.7m and a favourable development in exchange rates for USD and GBP partly offset the distributed dividends.

ROIC

As of 30 June 2021, return on invested capital (rolling four quarters) amounted to 7.6% compared to 15.0% as of 30 June 2020. The reduction in return on invested capital is due to the lower result in period Q3 2020 to Q2 2021 which was impacted by Covid-19 compared to the period Q3 2019 to Q2 2020 and an increase in average invested capital. Average invested capital increased as a result of investments in Dartek and Conparts in Q4 2019 and Q4 2020.

Balance sheet

As of 30 June 2021, the Group's assets totalled DKK 306.5m (30 June 2020: 316.3m). The decrease in assets is primarily due a reduction in cash due to the distributed dividends.

Non-current assets increased with DKK 1.7m and amounted to DKK 82.6m (30 June 2020: DKK 80.9), while current assets decreased by DKK 11.3m to DKK 224.0m (30 June 2020: DKK 235.3m). The decrease in current assets is primarily due to a reduction in cash due to distributed dividends.

Net debt increased by DKK 20.9m and totalled DKK 50.9m on 30 June 2021 (30 June 2020: DKK 30.0m). The increase in net debt is primarily due to distributed dividends in Q4 2020 and Q2 2021 as well as payments on the acquisitions of SKAKO Dartek and Conparts ApS. The ratio of net debt to EBITDA amounts to 2.4 compared to 1.0 on 30 June 2020 and 1.7 at the end of 2020. It is our ambition to keep the ratio of net debt to EBITDA helow 2.5.

Current liabilities amounted to DKK 144.3m (30 June 2020: DKK 152.7m). The decrease in current liabilities is primarily due to a reduction in other liabilities.

Events after the balance sheet date

There have been no events that materially affect the assessment of this interim report after the balance sheet date and up to today.

Outlook 2021

We maintain our quidance for 2021 as communicated in the annual report. Based on market and business conditions, we are quiding for an operating profit (EBIT) of DKK 18-23m in 2021. Our expectations are back-end loaded, and we therefore expect the majority of earnings to be realized in H2 2021.

Due to the dynamic and unpredictable development of the Covid-19 situation and its effects on economies, this quidance is subject to a higher-than-normal degreeof uncertainty.

The quidance is based on the assumption of continued gradual improvements of the market conditions durinq 2021 with no new material adverse events affecting the qlobal economies.

Accounting policies as well as financial estimates and assumptions

The interim report has been prepared in accordance with IAS 34, Interim financial reporting, as adopted by the EU and further Danish disclosure requirements in respect of interim reports for listed companies.

The accounting policies used for the interim report are the same as the accounting policies used for Annual Report 2020 to which we refer for a full description. The Group has adopted all new, amended and revised accounting standards and interpretations as published by the IASB and adopted by the EU effective for the accounting period beginning on 1 January 2021. We refer to the notes to the annual report for a description of material estimates and assumptions.

Compared with the description in Annual Report 2020, there have been no changes in the accounting estimates and assumptions made by Management in the preparationof the interim report.

Financial ratios

Financial ratios are calculated as follows:

• Gross profit marqin = Gross profit x 100 / Revenue
• Profit margin = EBIT x 100 / Revenue
• Liquidity ratio = Total current assets x 100 / Total current liabilities
• Equity ratio = Total equity x 100 / Total assets
• Return on equity = Profit for the period x 100 / [Equity this year + equityprior year] / 2*
• Financial leverage = Net interest-bearing debt x 100 / Equity
• Net debt to EBITDA = Net debt / EBITDA (EBIT less depreciations)*
• NWC/Revenue = Net working capital x 100 / Revenue*
• Earnings per share = Profit for the period / Shares in free flow
• Equity value per share = Equity / Total shares
• Share price = Share price at end of period
• Price-book ratio = Share price / Equity per share
• Market capitalization = Total number of share x Share price
• ROIC = NOPAT / (Invested capital this year + invested capital prior year) / 2*
• NOPAT = Profit for the period +/- net financial income*
• Invested capital = Total assets net cash and credits deferred tax assets -non-interest-bearing current liabilities

*Measured over a 12-month period (1 July 2020 to 30 June 2021

4 BUSINESS UNIT CONCRETE

HI 2021 FINANCIAL REVIEW SKAKO CONCRETE

DKK million	Q2 2021	Q2 2020*	Change	H1 2021	H1 2020*	Change	Q1 2021	Change
Plant revenue	20.8	19.0	9.5%	37.9	47.4	(20.0%)	17.1	21.6%
Aftersales revenue	23.0	16.9	36.1%	45.8	39.2	16.8%	22.8	0.9%
Total revenue	43.8	35.9	22.0%	83.7	BETB	(3.3%)	39.9	9.8%
Gross profit	8.8	6.7	31.3%	17.3	15.6	10.9%	8.5	3.5%
Gross profit margin	20.1%	18.7%	1.3pp	20.7%	18.0%	2.7pp	21.3%	(1.2pp)
Operating profit (EBIT)	2.3	1.7	35.3%	4.5	3.6	25.0%	2.2	4.5%
Profit margin (EBIT margin)	5.3%	4.7%	0.6pp	5.4%	4.2%	1.2pp	5.5%	(0.2pp)
Order backlog beginning of period	30.5	47.4	(35.7%)	34.5	64.6	(46.6%)	34.5	(11.6%)
Order intake	37.4	47.3	(18.8%)	73.3	80.9	(9.4%)	35.9	7.0%
Order backlog end of period	24.1	58.8	159.0%	24.1	58.9	(59.1%)	30.5	21.0%

* A not significant accounting mistake in 2020 could distributions and therefore comparative figures for 2020 have been restated as described on page 30

The resurgence of Corid 2020 continued to have a nequive in SKKO Concrete in Q2 2022 due havi influe of plant orders in Q4 2020. Despite this, revenue in Q2 2021 increased with 9.8% compared to Q2 2020 which was heavly impacted by the pandernic. After the large beline in EBT margin in Q4 2000, the EBT marqin recovered to 5.5% in Q2 2021 compared to 4.7% in Q220. Thereby the EBT margin increased from 4.2% in H2 2021 despite a decline in revenue of 3.3%. The hover plant of the Covid-19 pendemic resulted in a decrease in revenue from plant orders in H2 202. This is in acordance with our expectations for 2021 where we also expect on and the rest of 2021 as restrictions and uncertainties from Ovid-19 are expected to ease. SKAKO Concretes increased the composition of the plant pipeline. SKAKO Concrete now has more stardard products in the order book and pipeline, and these usually have a shorter delivery time, less complexity, and a higher profitability,

Financial performance in Q2 2021

Revenue from plants increased with 5.5% and aftersales with 36.1% compared to Q2.2020. In total, revenue increased with 22.0% compared to Q2.020. The increase in revelue from plant and aftersales is maily level in Q2 2020 vinere the lock-down related to Cord-19 limited customer demand our ability to perform on-site deliveries.

Gross profit narqin were realized with DKK 88m and 20.2% compared to DKK 6.7% in Q2 2020. The increase in pross profit marqin is mainly du to improved marks and a favourable revenue mix between plant and aftersales revenue has a higher contribution margin than revenue from plants. Also, qross profit in Q2 2020 included government compensation (grants) related to Covid-19 of DKK 1.4m.

EBT and EBIT-margin were realized with DKK 2.7m and 4.7% in Q2 2020. EBF in Q2 2020 induded government compensation frants) related to Covid-19 of DKK 1.6m. The increase in EBT mainly due to improved marqins on plant orders and revenue mix between plant orders and aftersales.

Order intake amounted to DK 37.4 m in Q2 2020.0 mornared to Q2 2020.0 drder intake in Q2 2020 was positively impacted by a large order intake from the US market. Even though order interest compared to Q1 2021, uncertainties resulting from the resurgence of Covid-19 in Q4 2020 still had a negative impot on order interes in Q2202 where final decisions and uncertainties from Covid-19 are expected to asse through the rest of 2021, we also expect to see order intake improve.

Financial performance in H1 2021

Revenue from plants decreased with 200% while and with 16.0% compred to H2 2020. In total, revenue decreased with 3.3% compared to H2 2020 The decrease in revenue from plants is maily due to a beginning of 2021 compared to the beginning of 2020. Also, revenue from plants in Q2 2020 was higher than usual. The increase in revenue medianed by a low aftersals revenue in (2 2020 due to the lookdown from Oorld-19.

Gross profit marqin were realized with DKK 273m and 20.7% compared to DKK 15.6m and 18.0% in H 2020. The increase in good on o improved marque on plants and revenue mix and aftersales revolue has a higher contribution margin than revenue from plants. Furthermor, gross profit in Q2 2020 included qovernment compensation fgrants] related to Covid-19 of DKK 1.4m.

EBT and EBT-margin vere realized with DKK 3.5m and 4.2% in H1 2020. The increase in EBT and EBT margin is mainly due to improved marqins on plant orders and a favourable revers and aftersales. Furthermore, EBT in HD 2020 included qovernment compensation (grants) relates to Covid-19 of DKK 1.6m.

Orber interest to DK 73.3 m in H 2021 which is decrease of 9.4% compared to H. 2020 Uncertaintes resulting from the resurgence of Covid-19 in Q P 2020 still nat an effect on order intake in H. 2021 where indepositions and uncertainties from Cord-19 are expected to ease through the rest of 2021, we also expect to see order intake improve.

Order # 200209 for Sampyo Industry, South Korea

In the autumn of 2019, SK KO Concrete // S in Factory an Asian delegation of 6 engineers and project managers from the comprehensive South Korean conglomerate SMPPO which over than 30 factories, 11 subsitians and a turnover of billions. SKAKO had come into the preferred supplier of abranced concrete mixing eximis set foot on South Korean soil at all, SKAC) quickly entered into SMP YU s for a brand new precess factory in the middle of Suith order size was approx. EUR 1.3 million in a complete parimally ready-mix and secondary precast, including 1 pc. SKAKOMAT, ConFlex and supervisor installation. In spite of Covid-19 quarantine restrictions, delays from the shipping in extremely harsh weether conditions the mounting was excepted in 17 weeks earlier than tudget and in total SKKO handed over a project when the end money on components, among others, In al - a mutual success for both parties.

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H1 2021 FINANCIAL REVIEW SKAKO VIBRATION

DKK Thousands	Q2 2021	Q2 2020	Change	H1 2021	H1 2020	Change	01 2021	Change
Plant revenue	36.9	28.2	30.9%	71.8	63.3	13.4%	34.9	5.7%
Aftersales revenue	112	11.9	(5.9%)	23.3	24.8	(6.0%)	12.1	(7.4%)
Total revenue	48.1	40.1	20.0%	95.1	88.1	7.9%	4740	2.3%
Gross profit	12.7	12.0	5.89%	24.6	26.0	(5.4%)	124	2_4%
Gross profit margin	26.4%	29.9%	(3.5pp)	25.9%	29.5%	(3.6pp)	26.4%	0.0pp
Operating profit (EBIT)	2.6	3.4	(23.5%)	4.5	7.5	[40%]	1.9	36.8%
Profit margin (EBIT margin)	5.4%	8.5%	(3.1pp)	4.7%	8.5%	(3.8pp)	4.0%	1.4pp
Order backlog beginning of period	54.3	65.0	(16.5%)	58.6	60.0	(2.3%)	58.6	(7.3%)
Order intake	47.0	29.8	57.7%	89,7	82.8	8.3%	42.7	10.1%
Order backlog end of period	53.2	54.7	(2.7%)	53.2	54.7	[2.7%]	54.3	12.0%

SKAKO Vibration revenue and EBIT margin

The resurgence of Covid-19 in 2020 still impacted SKKO Vibration in H2 2021. However, the hardware segment has senen a strong performance in the last of H2 202. In performance have been improving in all sepments through H1 2021 with EBF-marqins trending upwards apair but still below pre Covid in the minerals and recycling seqments, we expect this trend to continue through H2 2021 driving improved earnings for SKKO Viration in the rest of 2021. Restrictions and uncertainties in many European countries de to the bace revenue from the minerals and revyling segments. This is however, in acceptations for 2021 where we expect to see improved market conditions in the est of 2021 as restrictions and uncertainties from 2011 and 11 our quidance for 2021, our expectations for the year are back-end baded.

Financial performance in Q2 2021

In Q2202, revelue from plants increased with 30.9% while attersed with 5.9% compared to Q220. In total, revenue increased with 20.0% compared to Q220. The decrease in revenue from aftersales is mainly due to uncertainties resulting from the resurgence of Covid-19 in 04.2021.

Goss profit and gross port marqin vere realised with DKK 12.0m and 29.9% in Q2.2020. The lower gross profit margin is der to the fact that ve executed and telivered plants with high mare to Q2 2021. Furthermore, we have seen an increase in revenue from plants wille we law seen a decrease in revenue from afters les where marquis than on plants. Also, gross profit in Q2 2020 included qoverment compensation (grants) related to Covid-19 of DKK 1.1m.

EBT and EBT margin vere realized with DKK 3.4% ompared to DKK 3.4m and BJT margin is maily doe to the decrease ingross profit and lover capacty costs in H1 2020 from swings from Covid-19. EBT in Q2 2020 included government compensation [grants] clated to Covid-19 of DKK 1.6m. The increase in EBIT and EBIT marqin is mainly due to the increased revenue.

Urder interest to DK 470 m in Q222 which is an increase of 57.7% compared to Q2200 Uncertainties resulting from the resurgence of Corid-19 had a neqative effect on order intake in Q2.2020 vhere order in Q2.2021, we are starting to see order intake return to normal levels in most markets while some markets are still recovering. SKACO Vibration a very heathy development in the pipeline, primarily but to an opening in the markets in the minerals segment in Northern Africa and the recycling segment in Southern Europe.

Financial performance in H1 2021

Revenue from plants increased with 13.4% while decreased with 6.0% compred to H1 2020. In total, revenue increased with 7.9% compared to H12.020. The decrease in revenue from aftersales is mainly due to uncertainties resurgence of Covid-19 in Q4 2020 carrying into H1 2021.

Goss profit and gross port marqin were realised with DKK 26.0m and 25.5% in H1 2020. The lower gross profit margin is de to the fact that we executed and delivered plants with higher market in 12021. Furthermore, we have seen an increase in revelse in revels while we have seen a decrease in revenue from aftersels where marqins than on dants. Also, gross profit in H1 2020 included qoverment compensation [grants] related to Covid-19 of DKK 1.1m.

EBT and EBT marqin vere realized with DKK 4.5m and 8.5% in H1 2020. The lower EBT and EBT margin is mainly due to the decrease in gross profit and lower capacity costs in H1 2020 due to series from Corid-19. EBT in H1 2020 included government compensation (grants) related to Covid-19 of DKK 1.4m.

นอมระเทศไทย อัลบั้ม ออกมากข้างๆ ไม่วิทยุคมีสิ

Order interes anounted to DK 897 m in H2 2020 Uncertaintes resulting rom the resulting from the resurgence of Covid-19 had a neqative effect on order intake in Q2 2020 vhere order in Q2 2021, we are starting to see order intake return to normal levels in most markets while some markets are still recovering.

Hardware segment

Investments in the hardware segment started to in H2 2021. This inustry sepment is strongy liked to the automotive segment which was driven by Chinese growth during the year. Thanks to our strong reputation in this field, we have be onlibence in the future of our customers in terms of order intake.

Mineral segment

Although industries of North African countries have a concerner in the first half of 2021, or share of turner or coasies from European mineral ustomers in Q4 2020. At the year, this segment showed some uncertaining hise rise of ray materials should unlock the situation and significantly increase the level of investments in Europe and Africa.

Recycling segment

The share of recycling in our urnsver in ine with SKKO Viaration's strategy. This share fell slightly during the first haft of 2021 athough we were alse to cortinue to deliver the large order for Tappin in Italy despite the limitations caused by Covide 19. The latest figures from our artale show a strong upturn in activity in this sepmently prices, although less although less directly than the mineral segment, and we expect o see increased revenue from this segment in the coming quarters.

FINANCIAL STATEMENTS

2.5 Statement dy Management

8.1 STATEMENT BY MANAGEMENT

We have considered and approved the interim report of SKAKO A/S for the period 1 January - 30 June 2021.

The interim report, which has not been audited or reviewed by our auditors, has been prepared in accordance with IAS 34 Interim financial reporting, as adopted by the European Union and accounting policies set out in the annual report for 2020 of SKAKO A/S. Furthermore, the interim report for the period 1 January – 30 June 2021 has been prepared in accordance with additional Danish disclosure requirements for interim reports of listed companies.

In our opinion, the interim financial report gives a true and fair view of the Group's assets, liabilities and financial position on 30 June 2021 and of the results of the Group's operations and cash flows for the first six months of 2021.

We also believe that the Manaqement commentary contains a fair review of the development in the Group's business and financial position, the results for the period and the Group's financial position as a whole as well as a description of the principal risks and uncertainties facing SKAKO.

Faaborg, 26 August 2021

6.2 CONSOLIDATED INCOME STATEMENT

DKK Thousands	02 2021	Q2 2020*	HT 2020	HT 2020*	2020*
Revenue from contracts with customers	90,476	74,926	176,394	172,708	335,920
Production costs	(68,839)	(55,274)	(133,715)	(129,162)	(258,055)
Gross profit	21,637	19,652	42,679	43,546	77,865
Distribution costs	(9,872)	(9,051)	(19,370)	(20,083)	(35,039)
Administrative expenses	(7,663)	(6,129)	(15,745)	(13,406)	(27,655)
Operating profit (EBIT)	4,102	4,472	7,564	10,057	15,177
Financial income		109		112	461
Financial expenses	(476)	(597)	(1,419)	(1,426)	(3,545)
Profit before tax	3,626	3,984	6,145	8,743	12,087
Tax on profit for the period	(216)	(134)	(445)	(344)	(1,228)
Profit for the period	3,410	3,850	5,700	8,399	10,859
Profit for the period attributable to SKAKO A/S shareholders	3,410	3,850	5,700	8,399	TO 859
Earnings per share (EPS), DKK	1.11	1.25	1.85	2.72	3.52
Diluted earnings per share [EPSJ, DKK	1.11	1.25	1.85	2.72	3.52

* A not significant accounting mistake in 2020 could distributions and therefore comparative figures for 2020 have been restated as described on page 30

6.3 CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

DKK Thousands	Q2 2021	Q2 2020*	H 2021	H 2020*	2020*
Profit for the year	3,410	3.850	6,300	8,399	10,859
Other comprehensive income:	(204)	(544)	544	[727]	(1,453)
Items that have been or may subsequently be reclassified to the income statement: Foreiqn currency translation, subsidiaries value adjustments of hedging instruments		(11)	(7)	28	146
Other comprehensive income	(204)	િકિટો	-37	ਿੰਡੀ	[1,307]
Comprehensive income	3,206	3,295	6,837	7.700	0,552
Comprehensive income attributable to SKAKO A/S shareholders	3,206	3,295	6,837	7.700	0,552

* A not significant accounting mistake in 2020 could processor of therefore comparisons of 2020 have been restated as described on page 30

6.4 CONSOLIDATED BALANCE SHEET 30 June

DKK Thousands	30 June 2021	30 June 2020*	31 December 2020*
Intangible assets	37,735	33,585	38,961
Intanqible assets under development	3,264	5,302	2,226
Intangible assets	40,999	38,887	41,187
Leased assets	10,019	9,306	9,874
Land and buildings	5,848	5,609	5,988
Plant and machinery	716	449	807
Operating equipment, fixtures and fittings	2,166	3,156	2,909
Leasehold improvements	529	287	528
Tanqible assets under construction	58	58	454
Property, plant and equipment	19,336	18,865	20,560
Other receivables	1,516	1,539	1,521
Deferred tax assets	20,710	21,650	20,997
Other non-current assets	22,226	23,189	22,518
Total non-current assets	82,561	80,941	84,265
Inventories	54,155	60,754	53,077
Trade receivables	70,326	70,646	73,439
Contract assets	70,253	68,374	66,376
Income tax	69	188	610
Other receivables	9,493	6,747	7,792
Prepaid expenses	2,161	4,568	3,079
Other investments		74
Cash	17,481	23,949	33,420
Current assets	223,938	235,300	237,793
Assets	306,499	316,241	322,058

* A not significant accounting mistake in 2020 could disturb year on parative figures for 2020 have been restated as described on page 30

Consolidated balance sheet 30 June continuep

DKK Thousands	30 June 2021	30 June 2020*	31 December 2020*
Share capital	31,064	31,064	31,064
Foreign currency translation reserve	(680)	(498)	(1,224)
Hedging reserve	177	66	184
Proposed dividends			9,252
Retained earnings	93,880	101,679	87,976
Equity	124,441	132,311	127,252
Other payables	6,269	6,270	6,270
Leasing	6,131	6,299	6,556
Loans and borrowings	22,231	14,951	22,326
Provisions	3,174	3,675	3,303
Non-current liabilities	37,805	31,195	38,455
Loans and borrowings	9,695	8,195	10,118
Bank loans and credit facilities	26,310	22,073	31,261
Leasing	3,282	2,403	3,346
Provisions	2,013	2,010	1,997
Contract liabilities	5,744	4,245	6,051
Trade payables	71,391	73,878	75,546
Income tax	432	323	450
Other liabilities	25,386	39,608	27,582
Current liabilities	144,253	152,735	156,351
Liabilities	182,058	183,930	194,806
EQUITY AND LIABILITIES	306,499	316,241	322,058

* A not significant accounting mistake in 2020 could distributions and therefore comparative figures for 2020 have been restated as described on page 30

6.5 CONSOLIDATED CASH FLOW STATEM

DKK Thousands	Q2 2021	Q2 2020*	HT 2021	HT2020*	2020*
Profit hefore tax	3,626	4,009	6,145	8,743	12,084
Adjustments	1,743	665	5,450	3,107	9,112
Changes in receivables, etc.	2,728	7,658	(1,541)	(1,853)	(1,531)
Change in inventories	1,243	(528)	(1,078)	(ਬੰਝਹ)	6,727
Change in trade payables and other liabilities, etc.	(1,237)	(7,339)	(6,656)	(9,383)	(17,933)
Cash flow from operating activities before financial items and tax	8,104	4,462	2,320	(336)	8,459
Financial items received and paid	(476)	[488]	(1,419)	(1,314)	(3,084)
Taxes paid and received	134	551	78	1,020	(572)
Cash flow from operating activities	7,761	4,525	879	(630)	4,803
Investment in intanqible assets	(1,026)	(299)	(1,265)	(524)	(2,729)
Investment in tangible assets	(501)		(764)	(335)	(5,860)
Acquisition of entities				3,955	(4,507)
Cash flow from investing activities	(1,527)	2991	(2,029)	3,099	(13,096)
Change in borrowings	1,707	17,557	763	13,934	19,282
Repayments	(948)	(1,371)	(1,772)	(2,724)	(8,382)
Paid dividends	(9,252)		(9,252)		(6,168)
Change in short-term bank facilities	(8,226)	(11,473)	(4,951)	(16,216)	10,884
Cash flow from financing activities	(16,719)	4,7713	(15,212)	(5,006)	15,616
Change in cash and cash equivalents	(10,485)	8,939	(16,262)	(2,537)	7,323
Cash and cash equivalents beginning of the period	28,068	15,139	33,420	26,559	26,560
Foreign exchange adjustment, cash and cash	(105)	(55)	323	1	(463)
Cash and cash equivalents at the end of the period	17,481	24,023	17,481	24,023	33,420
Breakdown of cash and cash equivalents at the end of the year:
Cash and other investments	17,481	24,023	17,481	24,023	33,420
Cash and cash equivalents at the end of the year:	17,481	24,023	17,481	24,023	33,420

* A not significant accounting mistake in 2020 could discurs and therefore comparative figures for 2020 have been restated as described on page 30

6.6 CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

	Share capital	Foreign currency translation reserve	Hedging reserve	Retained earnings	Proposed dividends	Equity
Equity 1 January 2021*	31,064	(1,224)	184	87,976	9,252	127,252
Comprehensive income in H1 2021:
Profit for the period				5,700		5,700
Paid dividends					-9,252	-9,252
Other comprehensive income: Foreign currency translation
adjustments, subsidiaries		544				544
Value adjustments of hedging instruments			(7)			(7)
Other comprehensive income	-	544	(7)		-	537
Comprehensive income, period	I	544	170	5,700	l	6,237
Share-based payment, warrants				204		204
Equity 30 June 2021	31,064	(680)	177	93,880	l	124,441

* A not significant accounting mistake in 2020 could processor of therefore comparisons of 2020 have been restated as described on page 30

Consolidated statement of changes in equity continued

	Share capital	Foreign currency translation reserve	Hedging reserve	Retained earnings	Equity
Equity 1 January 2020	31,064	229	38	93,086	124,417
Comprehensive income in 2020:
Profit for the period*				8,399	8,399
Other comprehensive income:
Foreign currency translation adjustments, subsidiaries		(727)			(727)
Value adjustments of hedging instruments			28		28
Other comprehensive income		(727)	28		(699)
Comprehensive income, period*	-	(727)	28	8,399	7,770
Share-based payment, warrants				124	124
Equity 30 June 2020*	31,064	(498)	66	101,679	132,311

* A not significant accounting mistake in 2020 could distributions and therefore comparative figures for 2020 have been restated as described on page 30

6.7 Segment information

H1 2021	Concrete	Vibration	Not distributed including parent company	Eliminations	Group total
Revenue, external	83,665	92,729			176,394
Revenue, internal		2,430		(2,430)
Total revenue	83,665	95,159		(2,430)	176,394
Depreciations	(1,642)	(1,989)			(3,631)
Operating profit [EBIT]	4,526	4,547	(1,509)	-	7,564
Order backlog, beginning	34,496	58,593		(1,212)	91,877
Order intake	73,219	89,758		(2,068)	160,909
Order backlog, ending	24,050	53,192		(850)	76,392
Segment non-current assets	35,989	41,788	4,784		82,561
Segment assets	103,443	199,509	5,460	(1,864)	306,548
Segment liabilities	48,428	129,815	5,679	(1,864)	182,058
Investments in intangible and tangible asset	1,265	764		-	2,029
Average number of employees	88	110		-	198

Segment information continued

H1 2020*	Concrete*	Vibration	Not distributed including parent company	Eliminations	Group total*
Revenue, external	86,541	86,167			172,708
Revenue, internal	L	1,900		(1,904)
Total revenue	86,545	88,067		(1,904)	172,708
Depreciations	(1,134)	(1,494)			(2,628)
Operating profit (EBIT)	3,537	7,487	(967)		10,057
Order backlog, beginning	64,571	60,014		(931)	123,654
Order intake	80,856	82,733		(1,784)	161,805
Order backlog, ending	58,882	54,680	-	(81) T	112,751
Segment non-current assets	30,807	45,361	4,773		80,941
Segment assets	115,313	204,501	4,947	(8,495)	316,266
Seqment liabilities	58,882	148,280	736	(8,495)	183,929
Investments in intangible and tangible asset	690	166			856
Average number of employees	103	101		-	204

* A not significant accounting mistake in 2020 could distributions and therefore comparative figures for 2020 have been restated as described or page 30

6.8 Correction of not significant mistake in the financial figures for 2020

In connection with the preparation of the financial report for H1 2021, we have encountered an accounting error in SKAKO's ERP system whereby some purchases in SKAKO Concrete were recognised as inventory instead of as productions costs. The resulting mistake in the financial statements amounts to DKK 2.0m in 2020 distributed with DKK 1.0m in Q2 2020 and DKK 1.0m in Q4 2020.

The mistake is not siqnificant for the annual report and does not affect cash flows but could disturb comparisons between 2021 and 2020, which is why the comparative fiqures for 2020 have been corrected. The correction has a neqative effect on the result for 2020 of DKK 2.0m, just

as inventories and equity are correspondingly negatively affected with this amount. The effect of the correction on the comparative fiqures for 2020 is shown in the tables below.

EBIT for SKAKO A/S for 2020 before correction of the mistake amounted to DKK 17.2m. With the correction of DKK 2.0 m, EBIT amounts to DKK 15.2m and is thus still within quidance for 2020 of DKK 15-18m.

The discovery of the error in the ERP system has led to updates beinq implemented to SKAKO's ERP system.

SKAKO A/S, DKKm	02 2020	Correction	Q2 2020, corrected	H1 2020	Correction	H1 2020, corrected
Revenue	74.9		74.9	172.7		172.7
Production costs	(54.2)	(1.0)	(55.2)	(128.1)	(1.0)	(129.1)
EBIT	5.5	(1.0)	4.5	11.1	(1.0)	10.1
Inventory (balance	61.8	(1.0)	60.8	61.8	(1.0)	60.8
sheet)
Equity (Balance	133.3	(1.0)	132.3	133.3	(1.0)	132.3
sheet]

6.8 Quarterly key tipures

SKAKO A/S, DKKm	04 2020	Correction	Q4 2020, corrected	Full year 2020	Correction	Full year 2020, corrected
Revenue	83.2		83.2	335.9	-	335.9
Production costs	(66.9)	(1.0)	(67.91	(256.0)	(2.0)	(258.0)
EBIT	2.2	(1.0)	1.2	17.2	(2.0)	15.2
Inventory (balance sheet]	53.1	(2.0)	51.1	53.1	(2.0)	51.1
Equity (Balance sheet]	129.3	(2.0)	127.3	129.3	(2.0)	127.3

SKAKO Concrete, DKKm	02 2020	Correction	Q2 2020, corrected	H1 2020	Correction	H1 2020, corrected
Revenue	35.9		35.9	86.5		86.5
Production costs	(28.2)	(1.0)	(29.2)	(69.9)	(1.0)	(70.9)
EBIT	2.7	1.01	1. /	4.6	(1.0)	3.6

SKAKO Concrete, DKKm	04 2020	Correction	04 2020, corrected	Full year 2020	Correction	Full year 2020, corrected
Revenue	45.6		45.6	172.4		172.4
Production costs	(37.1)	(1.0)	(38.1)	(139.5)	(2.0)	(141.5)
EBIT		1.0)	(0.3)	1.1	(2.0)	5.7

6.9 QUARTERLY KEY FIGURES AND FINANCIAL RATIOS

DKK Thousands	02 2021	01 2021	Q4 2020*	03 2020	02 2020*	Full year 2020*
INCOME STATEMENT
Revenue	90,476	85,918	83,244	79,968	74,926	335,919
Gross profit	21,637	21,041	15,345	18,998	19,652	77,865
Operating profit (EBIT)	4,102	3,461	1,212	3,926	4,472	15,171
Net financial items	(476)	(943)	(1,271)	(500)	(488)	(3,084)
Profit before tax	3,626	2,518	(58)	3,426	3,984	12,087
Profit for the year	3,410	2,289	(518)	3,065	3,850	10,859
BALANCE SHEET
Non-current assets	82,561	82,449	84,265	80,342	80,941	84,265
Current assets	223,987	239,073	237,842	249,485	235,300	237,842
Assets	306,499	321,522	322,107	329,832	316,241	322,107
Equity	124,441	130,354	127,301	136,224	132,312	127,301
Non-current liabilities	37,805	37,946	38,455	24,518	31,195	38,455
Current liabilities	144,253	153,221	156,351	169,090	144,253	156,351
Net debt	50,167	47,048	40,187	40,203	29,972	40,187
Net working capital	117,647	121,702	111,344	132,803	121,675	111,295
OTHER KEY FIGURES
Investment in intangible and tangible assets	1,527	502	10,695	888	299	13,096
Cash flow from operating activities (CFFO)	7,761
		(6,782)	(14,725)	9,279	4,525	4,803
Free cash flow	6,234	(7,284)	(485)	(10,267)	4,226	(8,293)
Average number of employees	198	196	195	206	204	185

* A not significant accounting mistake in 2020 could distributions and therefore comparisons of 2020 have been restated as described on page 30

Quarterly key figures and financial ratioscovinued

DKK Thousands	02 2021	01 2021	04 2020*	03 2020	02 2020+	Full year 2020*
FINANCIAL RATIOS
Gross profit margin	23.9%	24.5%	18.4%	23.8%	26.3%	23.2%
Profit margin (EBIT margin)	4.5%	4.0%	1.5%	4.9%	6.0%	4.5%
Liquidity ratio	155.3%	156.0%	152.1%	147.5%	148.0%	152.1%
Equity ratio	40.6%	40.5%	39.5%	40.9%	41.8%	39.5%
Return on equity	7.4%	8.4%	8.7%	15.2%	15.2%	8.7%
Financial leverage	40.3%	36.1%	31.6%	30.0%	22.6%	31.6%
NWC/revenue	34.6%	37.6%	33.1%	37.5%	35.4%	33.1%
Earnings per share	1.11	0.74	(0.17)	0.99	1.26	3.52
Equity value per share	40.4	42.3	41.3	43.4	42.9	41.3
Share price	57.0	59.8	49.8	43.9	40.2	49.8
Price-book ratio	1.4	1.4	1.2	1.0	0.9	1.2
Market capitalisation	177,066	185,764	154,700	136,372	124,878	154,699

* A not significant accounting mistake in 2020 could distributions and therefore comparative figures for 2020 have been restated as described on page 30

Bygmestervej 2 DK-5600 Faaborg Denmark Tel.: +45 63 11 38 60 skako.dk@skako.com www.skako.com CVR No. 36440414

DE 17