Studsvik — Interim / Quarterly Report 2014

Feb 13, 2015

Year-end Report January–December 2014

• • Sales in the quarter decreased to SEK 247.8 (266.9) million. In local currencies the decrease was 18 per cent.
• • Operating profit for the quarter was SEK 12.2 (–10.1) million. Items affecting comparability of SEK –4.9 (–28.3) million are included in earnings.
• • Cash flow after investments was SEK 27.7 (16.7) million.
• • The Board of Directors proposes that no dividend be distributed.

	October– December	October– December
	2014	2013	Full year 2014	Full year 2013
Sales, SEK million	247.8	266.9	909.6	1,001.3
Operating profit, SEK million	12.2	–10.1	30.5	16.0
Profit after tax, SEK million	5.5	–13.4	5.2	–22.9
Profit per share after tax, SEK	0.66	–1.63	0.63	–2.78
Cash flow after investments, SEK million	27.7	16.7 *	–69.5 *	–44.7 *
Equity per share, SEK	35.64	34.83 *	35.64	34.83 *
Interest-bearing net debt, SEK million	105.7	155.7 *	105.7	155.7 *
Net debt/equity ratio, %	36.1	54.4 *	36.1	54.4 *

* Refers to total operations including the divested USA operations.

There is a new organization from January 1, 2014. The report presents operations in accordance with that.

Unless otherwise stated the information in text and figures refers to operations excluding the USA operations sold at the beginning of the year.

Sales

Sales in the fourth quarter decreased to SEK 247.8 (266.9) million and amounted to SEK 909.6 (1,001.3) million for the year. In local currencies the decrease was 18 per cent for the quarter and 15 per cent for the whole year. The decreased sales primarily relate to the Waste Treatment business area.

Profit

Operating profit for the fourth quarter amounted to SEK 12.2 (–10.1) million and SEK 30.5 (16.0) million for the year. Items affecting comparability were SEK –4.9 (–28.3) million in the fourth quarter and SEK –12.1 (–32.5) million for the year. Adjusted for these, the operating margin for the fourth quarter was 6.9 (6.8) per cent and 4.7 (4.8) per cent for the year. Apart from the items included in the business areas below, the Group has items affecting comparability of SEK –5.6 (–) million.

Net financial income for the fourth quarter was SEK –3.3 (–4.1) million and SEK –18.9 (–18.8) million for the year. Profit after tax for the fourth quarter was SEK 5.5 (–13.4) million and SEK 5.2 (–22.9) million for the year.

Waste Treatment

In the fourth quarter sales decreased to SEK 60.3 (86.1) million and amounted to SEK 241.1 (330.8) million for the year. In local currencies the decrease was 33 per cent for the quarter and 41 per cent for the year.

Operating profit in the fourth quarter decreased to SEK –10.2 (19.6) million and SEK 2.9 (53.8) million for the year.

Items affecting comparability amounted to SEK –5.1 (–) million in the fourth quarter and SEK –5.1 (–) million for the year. Adjusted for these the operating margin in the fourth quarter was –8.5 (22.8) per cent and for the year 3.3 (16.3) per cent.

Sales were unusually high in 2013 due to the large Berkeley project. Moreover sales and earnings in 2013 included SEK 11.2 million for the cancelled Bruce Power order. The fourth quarter of 2014 was negatively impacted by continued problems in the UK facility and decreasing availability of material for treatment in the Swedish facility. There were staff reductions in Sweden and the United Kingdom of 39 people (25 per cent) in response to reduced demand.

The order book for processing large metal components and incineration material has decreased.

Consultancy Services

In the fourth quarter sales decreased to SEK 90.6 (102.2) million and amounted to SEK 399.7 (411.9) million for the year. In local currencies the decrease was 9 per cent for the quarter and 18 per cent for the year. Operating profit for the fourth quarter amounted to SEK 4.9 (–21.4) million and SEK 36.8 (–15.0) million for the year. Items affecting comparability in the fourth quarter amounted to SEK 1.5 (–18.8) million and SEK 5.6 (–23.0) million for the year. Items affecting comparability this year are positive as restructuring in 2013 in Germany was carried out at a lower cost than expected. Adjusted for these, the operating margin for the fourth quarter was 3.8 (–2.5) per cent and 7.8 (1.9) per cent for the year.

In the third quarter of 2014 a contract was signed for license rights and consultant support to build a THOR facility, which had a positive effect on earnings for the year.

Demand for advanced consultancy services in Europe, North America, Asia and the Middle East is good, while demand for maintenance services continues to be weak.

Fuel and Materials Technology

In the fourth quarter sales increased to SEK 87.1 (72.0) million. Sales for the year increased to SEK 239.5 (234.6) million. In local currencies the increase was 9 per cent for the quarter while the decrease in sales was 2 per cent for the year.

Operating profit for the fourth quarter was SEK 26.2 (12.9) million and for the year SEK 31.4 (17.8) million. Items affecting comparability in the fourth quarter amounted to SEK –1.0 (–) million and SEK –1.4 (–) million for the year. Adjusted for these, the operating margin for the fourth quarter was 31.2 (17.9) per cent and 13.7 (7.6) per cent for the year. The work with customer value management underpins the value of our service offering, which now is reflected by an improved operating margin.

In the fourth quarter sales of software reached a normal level and demand for services in Materials Technology continues to be good.

Investments

The Group's investments in the fourth quarter were SEK 13.3 (5.0) million and SEK 32.8 (19.9) million for the year.

Cash flow

Working capital increased in the fourth quarter by SEK 16.7 but decreased in the year by SEK 55.4 million. Cash flow from operating activities before changes in working capital in the fourth quarter amounted to SEK 24.3 (–69.3) million and in the year to SEK 18.7 (–43.9) million. Cash flow after investments in the fourth quarter was SEK 27.7 (16.7) million and in the year SEK –69.5 (–44.7) million. The sale of the American waste management operations gave an additional positive cash flow of SEK 93.9 million in 2014.

Financial position and liquidity

Cash and cash equivalents at the end of the fourth quarter amounted to SEK 120.1 (151.4) million. Interest-bearing liabilities at the end of the quarter were SEK 225.8 (307.1) million. Net interestbearing debt was SEK 105.7 (155.7) million, which means that the net debt/equity ratio was 36.1 (54.4) per cent.

Personnel

The average number of employees at the end of December was 895 (988). The decrease is mainly attributable to the Consultancy Services business area. The cuts implemented in the second half of the year in administration and Waste Treatment have little impact on the average. As at December 31, 2014 the number of employees was 857.

Transactions with related parties

During the quarter a dividend of SEK 3.2 million was received from UK Nuclear Waste Management Ltd.

Parent company

Parent company operations comprise the co-ordination of tasks for the Group. Parent company sales in the fourth quarter amounted to SEK 2.8 (3.3) million and in the year to SEK 11.9 (13.1) million. The operating profit/loss for the fourth quarter amounted to SEK –9.8 (–18.3) million and SEK –43.9 (–38.9) million for the year. Items affecting comparability related to restructuring impacted earnings for the fourth quarter by SEK –0.3 (–9.5) million and earnings for the year by SEK –5.6 (–9.5) million. Profit/loss after financial items in the fourth quarter was SEK 32.4 (–252.0) million and SEK –8.5 (–277.5) million for the year.

Cash and cash equivalents, including current investments, amounted to SEK 35.6 (56.5) million.

Dividend

The Board of Directors proposes that no dividend be distributed in 2015.

Annual General Meeting and Annual Report

The Annual General Meeting will be held on Wednesday April 29, 2015 at 4:00 pm at World Trade Center, Klarabergsviadukten 70/ Kungsbron 1 in Stockholm. The annual report will be available on the company's website in week 12 (March 16–22), 2015.

Risks and uncertainties

We operate in an international, competitive market and are thereby exposed to both business and financial risks and uncertainties. The business uncertainties include the fact that we and our customers handle radioactive material and waste, which requires legal or regulatory licensing. Licensing is required for production facilities, but also for individual activities, such as transports. This means that our and our customers' operations are exposed to delays in these licensing processes, or the withdrawal of licenses, which may result in changes in delivery and production plans.

In all countries storage and final disposal of nuclear waste are also subject to a strict regulatory framework, which for example stipulates criteria that the waste must meet in physical and chemical terms when it is sent for final disposal. Changes in this regulatory framework could mean that the business competitiveness of some of our services would be changed.

Issues concerning nuclear technology may be subject to various expressions of opinion and debate. In such a context it cannot be ruled out that opinion may emerge on matters that directly or indirectly affect the scope of business action.

The financial risks and uncertainties mainly refer to fluctuations in exchange rates and interest rates.

An overall analysis of the Group's risks and how they are dealt with is given in the Annual Report, which is available on the company's website. Apart from these risks, no further significant risks are estimated to have arisen.

Outlook

Global demand for energy is expected to continue to grow by more than 30 per cent over the next 25 years. In the longer term the outlook for nuclear power at global level is positive, with 70 new nuclear power plants under construction and another 179 at the planning stage. 80 per cent of the existing 437 reactors are in OECD countries and 75 per cent of these are more than 25 years old. For economic and political reasons the work of replacing old reactors is slow. Moreover the nuclear power industry is currently facing receding profitability, mainly in Western Europe and the USA, where falling energy prices are reducing the profitability of many facilities. We offer a wide range of services focused on improved profitability through optimized use of fuel, increased safety, extended reactor life and cost effective and environmentally friendly management of waste flows.

Accounting policies

Studsvik applies International Financial Reporting Standards as adopted by the European Union. Material accounting policies and valuation principles are in accordance with those of the annual accounts for the financial year ended December 31, 2013. The new and revised standards and interpretations; IFRS 10 "Consolidated financial statements", IFRS 11 "Joint arrangements", IFRIC 21 "Levies" and IAS 37 "Provisions, contingent liabilities and contingent assets", applicable from January 1, 2014, have not had any material effects on Studsvik's financial statements. This interim report was prepared in accordance with IAS 34 and the Annual Accounts Act. The interim report for the parent company was prepared in accordance with the Annual Accounts Act and the Swedish Financial Reporting Board recommendation RFR 2 "Accounting for legal entities".

Stockholm, February 13, 2015

Michael Mononen President

This report has not been reviewed by the company's auditors.

Time schedule for financial information

Interim Report January–March 2015	April 29, 2015
Interim Report January–June 2015	July 21, 2015
Interim Report January–September 2015	October 21, 2015

For further information please contact

Michael Mononen, President and Chief Executive Officer, +46 155 22 10 86 or Pål Jarness, Chief Financial Officer, +46 155 22 10 09.

The interim report will be presented at a telephone conference to be held in English, on February 13 at 2:00 pm. Further information for those interested in participating is available at www.studsvik.se.

Consolidated statement of profit or loss and other comprehensive income

Amounts in SEK million	October– December 2014	October– December 2013*	Full year 2014	Full year 2013*
Net sales	247.8	266.9	909.6	1,001.3
Cost of services sold	–183.6	–181.3	–660.5	–742.2
Gross profit	64.2	85.6	249.1	259.1
Selling and marketing expenses	–16.0	–13.0	–47.6	–46.5
Administrative expenses	–28.9	–42.1	–146.9	–145.4
Research and development costs	–7.4	–7.4	–25.8	–26.6
Share in non-controlling interest	3.1	0.7	11.5	7.3
Other operating income	–3.1	1.6	5.4	10.2
Other operating expenses	0.3	–35.5	–15.2	–42.1
Operating profit	12.2	–10.1	30.5	16.0
Financial income	0.1	0.2	0.2	1.2
Financial expenses	–2.6	–5.4	–17.1	–19.7
Fair value gain/loss (realized and unrealized)	–0.8	1.1	–2.0	–0.3
Profit after financial items	8.9	–14.2	11.6	–2.8
Income tax	–3.4	0.8	–6.4	–20.1
Profit/loss for the period from continuing operations	5.5	–13.4	5.2	–22.9
Operations for sale
Profit/loss from operations for sale	–0.8	–171.6	–17.2	–173.9
Profit/loss for the period	4.7	–185.0	–12.0	–196.8
Other comprehensive income
Items that may later be reversed in the income statement
Translation differences on foreign subsidiaries	1.9	7.2	19.1	4.7
Cash flow hedges	4.7	–2.0	–0.6	0.1
Income tax on items recognized in other comprehensive income	–1.1	0.5	0.1	0.0
Other comprehensive income for the period, net after tax	5.5	5.7	18.6	4.8
Total profit/loss and other comprehensive income for the period	10.2	–179.3	6.6	–192.0
Income for the period attributable to
Parent company's shareholders	4.7	–185.0	–12.0	–196.8
Non-controlling interest	–	–	–	–
Total comprehensive income attributable to
Parent company's shareholders	10.2	–179.3	6.6	–192.0
Non-controlling interest	0.0	0.0	0.0	0.0
Earnings per share calculated on income attributable to the parent company's shareholders during the period, SEK
Earnings per share before and after dilution
Profit/loss from continuing operations	0.66	–1.63	0.63	–2.78
Profit/loss from operations for sale	–0.09	–20.88	–2.09	–21.15
Profit/loss for the period	0.57	–22.51	–1.46	–23.93

* In the figures for 2013 SEK 1,764 thousand and SEK 6,208 thousand for Q4 and the full year respectively increased gross profit and reduced selling and administrative expenses for comparability with 2014.

Group statement of financial position

Amounts in SEK million

Amounts in SEK million	December	December
	2014	2013
Assets
Goodwill	173.9	158.8
Other intangible non-current assets	3.3	4.1
Property, plant and equipment	350.0	331.4
Financial non-current assets	126.7	112.7
Total non-current assets	653.9	607.0
Inventories	1.9	1.8
Trade receivables	183.3	151.7
Other current receivables	75.2	90.8
Liquid assets	120.1	151.4
Total current assets	380.5	395.7
Assets in disposal group held for sale	–	260.7
Total assets	1,034.4	1,263.4
Equity and liabilities
Equity attributable to parent company's shareholders	292.6	286.0
Non-controlling interest	0.3	0.3
Borrowings	203.0	264.8
Provisions	194.4	182.1
Other non-current liabilities	39.7	40.6
Total non-current liabilities	437.1	487.5
Trade payables	42.7	43.0
Borrowings	22.8	42.3
Other current liabilities	238.9	232.4
Total current liabilities	304.4	317.7
Liabilities in disposal group held for sale	–	171.9
Total equity and liabilities	1,034.4	1,263.4
Pledged assets*	157.9	148.9
Contingent liabilities	60.7	89.9

* A collateral deposit of USD 1.2 million is included in pledges 2014.

Changes in equity

Amounts in SEK million

Amounts in SEK million					Equity
		Other			attributable to the parent	Non
	Share	contributed		Retained	company's	controlling
	capital	capital	Reserves	earnings	shareholders	interest	Total equity
Equity at December 31, 2012	8.2	225.3	–10.8	255.2	477.9	0.3	478.2
Changes January 1 – September 30, 2013
Comprehensive income for the period	–	–	–1.0	–11.7	–12.7	0.0	–12.7
Equity at September 30, 2013	8.2	225.3	–11.8	243.5	465.2	0.3	465.5
Changes October 1 – December 31, 2013
Comprehensive income for the period	–	–	5.8	–185.0	–179.2	0.0	–179.2
Equity at December 31, 2013	8.2	225.3	–6.0	58.5	286.0	0.3	286.3
Changes January 1 – September 30, 2014
Comprehensive income for the period	–	–	13.1	–16.6	–3.5	0.0	–3.5
Equity at September 30, 2014	8.2	225.3	7.1	41.9	282.5	0.3	282.8
Changes October 1 – December 31, 2014
Comprehensive income for the period	–	–	5.5	4.7	10.1	0.0	10.1
Equity at December 31, 2014	8.2	225.3	12.6	46.5	292.6	0.3	292.9

Statement of cash flow

Amounts in SEK million	October–	October–
	December	December	Full year	Full year
Refers to total operations	2014	2013	2014	2013
Operating activities
Operating profit	11.2	–174.7	17.9	–165.3
Depreciation	8.5	16.5	33.5	63.5
Adjustment for non-cash items etc.	–2.8	94.6	–16.2	89.7
	16.9	–63.6	35.2	–12.1
Financial items, net	–2.5	–5.2	–17.6	–18.5
Income tax paid	9.9	–0.5	1.1	–13.3
Cash flow from operating activities before changes in
working capital	24.3	–69.3	18.7	–43.9
Changes in working capital	16.7	91.0	–55.4	19.3
Cash flow from operating activities	41.0	21.7	–36.7	–24.6
Investing activities
Investments	–13.3	–5.0	–32.8	–20.1
Cash flow from investing activities	27.7	16.7	–69.5	–44.7
Other changes from investing activities	16.6	1.0	119.4	4.8
Cash flow from operating activities after investments and
other changes from investing activities	44.3	17.7	49.9	–39.9
Financing activities
Change in borrowings	–4.0	–59.9	–92.6	74.5
Dividend to shareholders	–	–	–	–
Cash flow from investing activities	–4.0	–59.9	–92.6	74.5
Changes in liquid assets	40.3	–42.2	–42.6	34.6
Liquid assets at the beginning of the year	75.2	192.2	151.4	115.8
Translation difference in liquid assets	4.6	1.4	11.3	1.0
Liquid assets at the end of the period	120.1	151.4	120.1	151.4
Cash flow specification
Adjustment for non-cash items etc.
Changes in provisions	4.8	3.4	0.5	6.2
Share in earnings from associated companies	–6.5	–0.7	–14.9	–7.3
Impairment loss on property, plant and equipment	–0.2	24.0	–	24.0
Impairment loss on intangible assets	–	67.6	–	67.6
Other	–0.9	0.3	–1.8	–0.8
Total	–2.8	94.6	–16.2	89.7
Other changes from investing activities
Investment in non-current financial asset	–1.7	–	–1.3	–
Dividend from associated companies	2.1	2.4	10.4	11.5
Sale of subsidiaries	–	–	93.9	–
Deposit of funds	–	–0.9	–	–5.3
Sale of non-current assets	16.1	–0.6	16.4	–1.9
Other	0.1	0.1	–	0.5
Total	16.6	1.0	119.4	4.8
Change in borrowings
Loans raised	–2.9	0.5	12.7	207.8
Repayments of loans	–1.1	–60.4	–105.3	–133.3
Total	–4.0	–59.9	–92.6	74.5

Financial ratios for the Group

Amounts in SEK million	Full year	Full year
	2014	2013
Margins
Operating margin, %	3.3	1.6
Profit margin, %	1.3	–0.3
Profitability
Return on capital employed, %	5.7	3.5
Return on equity, %	1.8	–6.0
Capital structure
Capital employed	504.3	504.6
Equity	292.9	286.3
Interest-bearing net debt	105.7	155.7
Net debt/equity ratio, %	36.1	54.4
EBITDA/Net financial items, rolling 12 months	3.2	2.7
Equity/assets ratio, %	28.3	26.2
Employees
Average number of employees	895	988
Net sales per employee	1.0	1.0

Data per share	October–	October–		Full year 2013 8,218,611 8,218,611
	December	December	Full year
	2014	2013	2014
Number of shares at the end of the period	8,218,611	8,218,611	8,218,611
Average number of shares	8,218,611	8,218,611	8,218,611
Earnings per share before and after dilution
Profit/loss from continuing operations	0.66	–1.63	0.63	–2.78
Profit/loss from operations for sale	–0.09	–20.88	–2.09	–21.15
Profit/loss for the period	0.57	–22.51	–1.46	–23.93
Equity per share, SEK, total operations	35.64	34.83	35.64	34.83

Net sales per geographical segment

Amounts in SEK million	October– December 2014	October– December 2013	Full year 2014	Full year 2013
Sweden	52.6	47.1	182.8	175.9
Europe, excluding Sweden	147.5	191.6	616.0	713.8
North America – from continuing operations	36.3	26.0	84.9	98.3
Asia	5.8	2.2	20.3	13.3
Other	5.6	–	5.6	–
Total	247.8	266.9	909.6	1,001.3
North America – from operations for sale	–	67.1	–	214.7
Total	247.8	334.0	909.6	1,216.0

Quarterly review

Amounts in SEK million	2012				2013				2014
	Q1	Q2	Q3	Q4	Q1	Q2	Q3	Q4	Q1	Q2	Q3	Q4
Net sales	258.9	274.4	218.5	261.1	250.9	266.5	216.9	266.9	219.7	217.0	225.1	247.8
Operating expenses	–259.7	–265.0	–224.5	–248.5	–243.6	–253.4	–211.2	–277.0	–214.4	–216.9	–212.2	–235.6
Operating profit	–0.8	9.4	–6.0	12.6	7.3	13.1	5.7	–10.1	5.3	0.1	12.9	12.2
Financial items, net	–3.0	–3.2	–3.8	–3.9	–4.9	–9.5	–0.3	–4.1	–6.6	–4.1	–4.9	–3.3
Profit after financial items	–3.8	6.2	–9.8	8.7	2.4	3.6	5.4	–14.2	–1.3	–4.0	8.0	8.9

Financial data per segment

Amounts in SEK million

Amounts in SEK million			Fuel and
	Waste	Consultancy	Materials
October–December 2014	Treatment	Services	Technology	Other	Elimination	Group
External sales revenue	60.0	91.8	87.2	8.8	–	247.8
Revenue from segment	0.3	–1.2	–0.1	3.5	–2.5	0.0
Operating profit	–10.2	4.9	26.2	–8.7	–	12.2
Assets	320.8	359.5	227.5	407.7	–281.0	1,034.4
Liabilities	255.3	305.3	108.5	353.5	–281.0	741.5
Investments	9.1	0.1	1.4	2.7	–	13.3
Depreciation/amortization	3.9	–1.9	2.3	1.8	–	6.1
Average number of employees	155	535	118	69	–	877

October–December 2013	Waste Treatment	Consultancy Services	Fuel and Materials Technology	Other	Elimination	Group
External sales revenue	85.2	102.2	72.0	7.5	–	266.9
Revenue from segment	0.9	0.0	0.0	4.5	–5.4	0.0
Operating profit	19.6	–21.4	12.9	–21.2	–	–10.1
Assets	311.5	337.9	198.3	441.3	–286.3	1,002.7
Liabilities	341.6	272.4	117.4	360.1	–286.3	805.2
Investments	2.5	0.3	1.4	0.8	–	5.0
Depreciation/amortization	4.4	0.8	2.0	1.9	–	9.1
Average number of employees	159	634	129	76	–	998

Full year 2014	Waste Treatment	Consultancy Services	Fuel and Materials Technology	Other	Elimination	Group
External sales revenue	240.3	397.7	239.5	32.1	–	909.6
Revenue from segment	0.8	2.0	0.0	14.7	–17.5	0.0
Operating profit	2.9	36.8	31.4	–40.6	–	30.5
Assets	320.8	359.5	227.5	407.7	–281.0	1,034.4
Liabilities	255.3	305.3	108.5	353.5	–281.0	741.5
Investments	21.7	0.3	5.3	5.4	–	32.8
Depreciation/amortization	15.6	–0.2	8.5	7.2	–	31.1
Average number of employees	158	543	120	74	–	895

	Waste	Consultancy	Fuel and Materials
Full year 2013	Treatment	Services	Technology	Other	Elimination	Group
External sales revenue	328.0	408.4	234.2	30.7	–	1,001.3
Revenue from segment	2.8	3.5	0.4	17.0	–23.7	0.0
Operating profit	53.8	–15.0	17.8	–40.6	–	16.0
Assets	311.5	337.9	198.3	441.3	–286.3	1,002.7
Liabilities	341.6	272.4	117.4	360.1	–286.3	805.2
Investments	12.1	1.3	4.2	2.3	–	19.9
Depreciation/amortization	14.0	3.6	8.6	7.6	–	33.8
Average number of employees	155	628	129	76	–	988

Parent company income statement	October–	October–
	December	December	Full year	Full year
Amounts in SEK million	2014	2013	2014	2013
Net sales	2.8	3.3	11.9	13.1
Cost of services sold	–0.4	–0.7	–2.2	–2.8
Gross profit	2.4	2.6	9.7	10.3
Other operating costs	–12.2	–20.9	–53.6	–49.2
Operating profit	–9.8	–18.3	–43.9	–38.9
Dividends from subsidiaries	42.8	–233.3	42.8	–233.3
Financial net	–0.6	–0.4	–7.4	–5.3
Profit before tax	32.4	–252.0	–8.5	–277.5
Income tax	–4.6	–5.4	2.4	0.4
Profit for the period	27.8	–257.4	–6.1	–277.1

Parent company balance sheet

Amounts in SEK million	December
	2014	2013
Assets
Property plant and equipment	0.0	0.0
Financial non-current assets	612.1	608.1
Total non-current assets	612.1	608.1
Current assets	53.3	62.0
Liquid assets	35.6	56.5
Total current assets	88.9	118.5
Total assets	701.0	726.6
Equity and liabilities
Equity	284.1	290.2
Provisions	–	0.4
Non-current liabilities	282.6	310.4
Current liabilities	134.3	125.6
Total liabilities	416.9	436.0
Total equity and liabilities	701.0	726.6

Note 1 Fair value estimation

The tables below show financial instruments at fair value on the basis of their classification in the fair value hierarchy. The definition of the various levels can be found in the Annual Report, Note 2.3.

The Group's assets and liabilities measured at fair value as at December 31, 2014	Level 1	Level 2	Level 3
Assets
Financial assets at fair value through profit or loss	–	13,813	11,247
Derivatives used for hedging	–	2,073	–
Liabilities
Derivatives used for hedging	–	16,544	–
The Group's assets and liabilities measured at fair value as at December 31, 2013	Level 1	Level 2	Level 3
Assets
Financial assets at fair value through profit or loss	–	21,747	9,635
Derivatives used for hedging	–	5,555	–
Liabilities
Derivatives used for hedging	–	865	–
Fair value of the Group's borrowings	December 31, 2014		December 31, 2013
Non-current loans	203.0		264.8
Current loans	22.8		42.3
Total loans	225.8		307.1

Major shareholders, December 31, 2014

	Number of shares	Share, %
The Karinen Family	1,769,552	21.5
Briban Invest AB	1,285,492	15.6
Avanza Pensionsförsäkring AB	489,909	6.0
Eikos AB	346,098	4.2
Credit Agricole Suisse SA	276,594	3.4
Malte Edenius	237,000	2.9
Nordnet Pensionsförsäkring AB	225,000	2.7
Leif Lundin	210,159	2.6
Invus Investment AB	181,850	2.2
SIX SIS AG	154,952	1.9
Total ten largest shareholders – holdings	5,176,606	63.0
Other shareholders	3,042,005	37.0
Total	8,218,611	100.0

The Studsvik share

In the fourth quarter the share price varied between a high of SEK 38.10 on November 21, and a low of SEK 31.30 on October 31, 2014. The opening price was SEK 37.60 at the beginning of the year and the closing price on December 31 was SEK 32.80. In the fourth quarter 604 thousand shares were traded and in 2014 2.6 million shares were traded.

Facts about Studsvik

Studsvik offers a range of advanced technical services to the international nuclear power industry in such areas as waste treatment, consultancy services and fuel and materials technology. The company has over 65 years' experience of nuclear technology and radiological services. Studsvik has 900 employees in 7 countries and the company's shares are listed on the Nasdaq Stockholm.

This report is a translation of the Swedish statutory report. In the event of any discrepancies between this document and the Swedish original, the latter shall govern. The content of this interim report may not, in whole or part, be reproduced or stored in a machine-readable medium without the previous permission of Studsvik AB (publ).

Production/Graphic design: Studsvik AB Photo: Studsvik

Studsvik AB

SE-611 82 Nyköping, SWEDEN Telephone +46 155 22 10 00 Fax +46 155 26 30 70 E-mail studsvik@studsvik.se www.studsvik.se