Studsvik — Interim / Quarterly Report 2021

Jul 21, 2021

SECOND QUARTER – 2021

Highlights in the quarter

• Sales during the quarter increased by 24 per cent in local currencies and the operating profit improved to SEK 17.3 (9.6) million, mainly due to a strong performance in Decommissioning and Radiation Protection Services.
• Major strategically important contracts were signed during the quarter. Decommissioning and Radiation Protection Services signed a three-year agreement totaling SEK 135 million for decommissioning services and Fuel and Materials Technology signed a five-year agreement for an international program totaling SEK 110 million.

		Quarter	6 months		Full year
		Q2 2021 Q2 2020	2021	2020	2020
Sales, SEK million	201.2	167.8	364.0	320.7	721.9
Operating profit, SEK million	17.3	9.6	25.3	13.1	46.0
Operating margin, %	8.6	5.7	7.0	4.1	6.4
Profit after tax, SEK million	13.0	8.2	15.3	7.7	35.2
Free cash flow, SEK million	–16.9	11.0	–7.0	35.1	64.9
Net debt, SEK million	34.6	50.2	34.6	50.2	24.8
Net debt/equity ratio, %	10.6	16.2	10.6	16.2	7.9
Profit per share after tax, SEK	1.58	1.00	1.86	0.94	4.28
Equity per share, SEK	39.85	37.78	39.85	37.78	38.13

THE GROUP

SALES

Sales in the second quarter increased to SEK 201.2 (167.8) million and in the first half year to SEK 364.0 (320.7) million. In local currencies this was an increase of 24 and 17 per cent respectively. The increased sales are mainly attributable to a high utilization rate in Decommissioning and Radiation Protection Services and increased project deliveries in Fuel and Materials Technology.

PROFIT

Operating profit improved in the second quarter to SEK 17.3 (9.6) million and for the first half year to SEK 25.3 (13.1) million. The operating margin in the quarter was 8.6 (5.7) per cent and 7.0 (4.1) per cent in the first half year. The improved operating profit is mainly due to a higher utilization rate and improved commercial terms in Decommissioning and Radiation Protection Services.

Net financial income for the quarter was SEK –1.4 (–1.8) million and SEK –2.4 (–1.3) million for the half year. Profit after tax improved to SEK 13.0 (8.2) million for the quarter and SEK 15.3 (7.7) million for the half year.

CASH FLOW AND FINANCING

The free cash flow was SEK –16.9 (11.0) million in the quarter and SEK –7.0 (35.1) million in the first half year. The Group's cash and cash equivalents at the end of the first half year amounted to SEK 86.9 (75.3) million and the unutilized portion of the overdraft facility was SEK 24.0 (22.0) million.

INVESTMENTS

Investments increased to SEK 12.4 (4.7) million in the quarter and to SEK 22.3 (9.6) million in the first half year. The year's investments are mainly related to Fuel and Materials Technology.

FINANCIAL POSITION AND LIQUIDITY

Net interest-bearing debt has decreased to SEK 34.6 (50.2) million. The net debt/equity ratio at the close of the quarter was 10.6 (16.2) per cent.

PERSONNEL

The average number of employees decreased to 516 (523).

Operating profit Koncernen

Free cash flow

Q2 - 20 Q3 - 20 Q4- 20 Q1 - 21 Q2 - 21

BUSINESS AREAS

DECOMMISSIONING AND RADIATION PROTECTION SERVICES

Sales in the second quarter were SEK 96.0 (69.8) million and for the first half year SEK 164.8 (129.3) million, which in local currencies meant an increase of 45 and 34 per cent respectively.

The operating profit was SEK 11.7 (0.5) million for the quarter and SEK 18.1 (1.8) million for the half year and the operating margin was 12.2 (0.7) per cent for the quarter and 11.0 (1.4) per cent for the first half year.

Demand continues to be strong on the German and Swiss market where revisions at nuclear power plants are ongoing. The improved performance is mainly due to a higher utilization rate in all areas of operation as well as improved commercial terms. Ahead of the closure of the last reactors in operation in Germany in 2022, adaptation of operations is under way to meet increased demand in the area of decommissioning.

During the quarter agreements in decommissioning strategic to Studsvik were signed worth SEK 135 million. The operations will be carried out over a three-year period.

FUEL AND MATERIALS TECHNOLOGY

Sales in the second quarter increased to SEK 73.2 (61.2) million and in the first half year to SEK 128.5 (108.3) million. In local currencies this was an increase of 20 and 19 per cent respectively. The growth is mainly attributable to increased capacity utilization in the hot-cell facility. A number of investments are in progress to increase capacity in the facility. During the first half year about 20 new recruitments have been made in project management, design and operators. Investments in personnel and facilities are being made to meet increasing demand, mainly from Asia and Russia.

The operating profit for the quarter amounted to SEK 13.3 (12.3) million and SEK 15.9 (15.5) million for the half year. The operating margin for the quarter was 18.2 (20.1) per cent and 12.4 (14.3) per cent for the half year.

SCANDPOWER

Sales in the second quarter decreased to SEK 19.8 (20.8) million and in the first half year to SEK 45.9 (50.5) million. In local currencies this meant an increase in sales of 2 per cent for the quarter and a decrease in sales of 4 per cent for the half year. The annual revenues for maintenance, support and consultancy services, which during the quarter amounted to SEK 17.2 (16.9) million, are stable and evenly distributed over the year, while revenues from new sales of licenses vary considerably between quarters.

The operating profit deteriorated in the quarter to SEK –4.2 (–1.7) million and to SEK –2.0 (1.7) million for the half year. The operating margin decreased to –21.2 (–8.2) and –4.4 (3,4) per cent respectively.

New markets, including Eastern Europe and the Middle East, continue to be addressed. Scandpower is participating in a tendering procedure for delivery of software to a nuclear power plant in Ukraine.

Scandpower collaborates with several reactor suppliers in developing the concept for Small Modular Reactors (SMR). This is a long-term initiative where commercialization lies a number of years into the future.

WASTE MANAGEMENT TECHNOLOGY

Sales in the second quarter decreased to SEK 8.5 (13.6) million and in the first half year to SEK 16.5 (26.0) million. As previously communicated, the agreement with UK Nuclear Waste Management (LLWR) expires at the end of June. The profit share for the partnership amounted to SEK 3.8 (1.6) million in the quarter and SEK 3.8 (3.0) million for the half year.

The operating profit for the quarter amounted to SEK 0.1 (2.7) million and SEK –1.5 (0.8) million for the half year.

There is a global need for safe treatment and volume reduction of radioactive waste ahead of interim or final disposal. Waste Management Technology has developed inDRUM – a technology with associated expertise for this purpose.

-4

PARENT COMPANY

Operations in the parent company consist of coordination of the Group. Sales in the quarter were SEK 2.7 (3.6) million and in the half year SEK 5.3 (6.8) million. The operating profit for the quarter amounted to SEK –3.4 (–3.1) million and SEK –6.5 (–5.8) million for the half year.

Profit after financial items in the quarter was SEK –6.0 (–14.2) million and for the half year SEK –0.1 (–3.6) million. Net financial income includes revaluation of intra-group loans by SEK –3.6 (–12.2) million for the quarter and for the half year SEK 4.5 (0.0) million. Cash and cash equivalents including current investments at the end of June amounted to SEK 0,0 (0.0) million and interest-bearing liabilities to SEK 121.5 (125.5) million.

RISKS AND UNCERTAINTIES

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.

ACCOUNTING POLICIES

Studsvik applies the International Financial Reporting Standards (IFRS) approved by the EU. This interim report was prepared for the Group in accordance with IAS 34 Interim Financial Reporting and the Swedish Annual Accounts Act. For the parent company, the Swedish Financial Reporting Board recommendation RFR 2 Accounting for Legal Entities and the Annual Accounts Act are applied. None of the new standards and revisions of standards and interpretations to be applied to the financial year starting on January 1, 2021 and that were not already applied when preparing the 2020 Annual Report have had any material effect on the accounts.

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

The interim report provides a fair review of the Group's and the Parent Company's operations, financial position and performance and describes significant risks and uncertainties faced by the Parent Company and the companies that are part of the Group. No significant events have occurred after the balance sheet date.

Nyköping, July 21, 2021

Anders Ullberg Chair

Jan Barchan Member

Agneta Nestenborg Member

Anna Karinen Vice Chair

Erik Strömqvist Member

Jitka Zakova Employee representative

Per S Ekberg Employee representative

Camilla Hoflund President/CEO

Time Schedule for Financial Information

Interim report January-June 2021 July 21, 2021

Interim report January-September 2021 October 21, 2021

Year-end Report 2021 February 2022

For further information, please contact

Anette Lundh, Interim Chief Financial Officer, tel +46 (0)70 567 12 56 or Camilla Hoflund, President and Chief Executive Officer, tel +46 155 22 10 66.

The interim report will be presented at a conference call to be held in English, on July 21 at 2:00 pm CET. Further information for those interested in participating is available at www.studsvik.com.

This information is information that Studsvik AB is obliged to disclose pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was released for public disclosure, through the agency of the contact persons above, on July 21, 2021, at 11:30 am CET.

CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

	Quarter 6 months			Full year
Amounts in SEK million	Q2 2021	Q2 2020	2021	2020	2020
Net sales	201.2	167.8	364.0	320.7	721.9
Cost of services sold	–155.1	–127.7	–280.9	–244.1	–526.9
Gross profit	46.1	40.1	83.1	76.6	195.0
Selling and marketing expenses	–7.6	–9.0	–16.4	–19.5	–56.1
Administrative expenses	–21.2	–19.9	–40.8	–40.9	–89.2
Research and development costs	–2.2	–1.9	–4.2	–4.2	–8.3
Share in earnings from associated companies	3.6	1.5	3.9	2.9	3.4
Other operating income	1.2	0.6	3.2	2.9	5.4
Other operating expenses	–2.6	–1.8	–3.5	–4.7	–4.2
Operating profit	17.3	9.6	25.3	13.1	46.0
Financial income	–0.1	0.7	0.1	2.4	1.3
Financial expenses	–1.3	–2.5	–2.5	–3.7	–6.0
Profit/loss before tax	15.9	7.8	22.9	11.8	41.3
Income tax	–2.9	0.4	–7.6	–4.1	–6.1
NET PROFIT/LOSS FOR THE PERIOD	13.0	8.2	15.3	7.7	35.2
Other comprehensive income Items that may later be reversed in the income statement
Translation differences on foreign subsidiaries	–5.8	–20.4	6.9	0.0	–24.6
Cash flow hedging	–	0.1	–	0.0	0.1
Income tax on items recognized in other comprehensive income	–	0.0	–	0.0	0.0
Other comprehensive income for the period. net after tax	–5.8	–20.3	6.9	0.0	–24.5
Total profit/loss and other comprehensive income for the period	7.2	–12.1	22.2	7.7	10.7
Income for the period attributable to
Parent company's shareholders	13.0	8.2	15.3	7.7	35.2
Non-controlling interests	–	–	–	–	–
Total comprehensive income attributable to
Parent company's shareholders	7.2	–12.1	22.1	7.7	10.8
Non-controlling interests	0.0	0.0	0.1	0.0	-0.1
Earnings per share calculated on income attributable to the parent company's shareholders during the period. SEK	1.58	1.00	1.86	0.94	4.28
Earnings per share (There is no dilution effect)	1.58	1.00	1.86	0.94	4.28

GROUP STATEMENT OF FINANCIAL POSITION

Amounts in SEK million	June 30, 2021	June 30, 2020	December 31, 2020
ASSETS
Intangible assets	187.4	196.2	184.5
Property, plant and equipment	143.4	137.8	134.6
Other non-current assets	162.7	177.6	162.0
Total non-current assets	493.5	511.6	481.1
Inventories	4.3	5.2	2.1
Trade receivables	159.6	119.1	116.9
Other current receivables	76.3	89.4	85.2
Cash and cash equivalents	86.9	75.3	75.2
Total current assets	327.1	289.0	279.4
TOTAL ASSETS	820.6	800.6	760.5
EQUITY AND LIABILITIES
Equity attributable to parent company's shareholders	327.1	310.1	313.1
Non-controlling interests	0.4	0.4	0.3
Total equity	327.5	310.5	313.4
Borrowing	43.5	45.5	44.5
Provisions and other non-current liabilities	133.1	148.7	137.1
Total non-current liabilities	176.6	194.2	181.6
Trade and other payables	238.5	215.9	210.0
Borrowing	78.0	80.0	55.5
Total current liabilities	316.5	295.9	265.5
TOTAL EQUITY AND LIABILITIES	820.6	800.6	760.5

CHANGES IN EQUITY

Amounts in SEK million	Share capital	Other contributed capital	Reserves	Retained earnings	Equity attribu table to the parent company's shareholders	Non-control ling interest	Total equity
Equity at December 31, 2019	8.2	225.3	38.4	30.6	302.4	0.4	302.8
Changes January 1 – June 30, 2020
Comprehensive income for the period	–	–	0.0	7.7	7.7	0.0	7.7
Equity at June 30, 2020	8.2	225.3	38.4	38.3	310.1	0.4	310.5
Changes July 1 – December 31, 2020
Comprehensive income for the period	–	–	–24.6	27.5	3.0	–0.1	2.9
Equity at December 31, 2020	8.2	225.3	13.8	65.8	313.1	0.3	313.4
Changes January 1 – June 30, 2021
Comprehensive income for the period	–	–	6.9	15.3	22.2	0.1	22.3
Dividend	–	–	–	–8.2	–8.2	–	–8.2
Equity at June 30, 2021	8.2	225.3	20.7	72.9	327.1	0.4	327.5

GROUP STATEMENT OF CASH FLOW

		Quarter 6 months			Full year
Amounts in SEK million	Q2 2021	Q2 2020	2021	2020	2020
Cash flow from operating activities
Operating profit	17.3	9.6	25.3	13.1	46.0
Adjustment for non-cash items	3.9	5.1	6.6	8.5	24.6
Financial items, net	–1.1	–1.1	–2.3	–2.2	–5.1
Income tax paid	–1.4	–1.1	–3.5	–3.6	–7.6
Cash flow from operating activities before change in working capital	18.7	12.5	26.1	15.8	57.9
Change in working capital	–29.4	–5.6	–14.3	15.5	25.7
Cash flow from operating activities	–10.7	6.9	11.8	31.3	83.6
Investing activities
Acquisition of property, plant and equipment	–12.4	–4.7	–22.3	–9.6	–23.0
Disposal of non-current assets	–	–	0.1	–	–
Dividend from associated companies	6.4	8.8	6.4	13.4	12.9
Other cash flow from investing activities	–0.2	–	–3.0	–	–8.6
Cash flow from investment activities	–6.2	4.1	–18.8	3.8	–18.7
Free cash flow	–16.9	11.0	–7.0	35.1	64.9
Financing activities
Change in borrowing	21.4	–0.8	21.1	–0.3	–26.9
Cash flow from financing activities	21.4	–0.8	21.1	–0.3	–26.9
Changes in cash and cash equivalents	4.5	10.3	14.1	34.9	38.0
Cash and cash equivalents at the beginning of the period	83.1	68.0	75.2	40.2	40.2
Translation difference	–0.7	–3.0	–2.4	0.2	–3.0
Cash and cash equivalents at the end of the period	86.9	75.3	86.9	75.3	75.2

FINANCIAL RATIOS FOR THE GROUP

	June 30	June 30	Full year
Amounts in SEK million	2021	2020	2020
Margins
Operating margin, %	7.0	4.1	6.4
Profit margin, %	6.3	3.7	5.7
Return on investment
Return on capital employed, %	13.1	9.2	11.3
Return on equity, %	13.2	4.4	11.4
Capital structure
Capital employed	449.0	436.0	413.4
Equity	327.5	310.5	313.4
Net debt	34.6	50.2	24.8
Net debt/equity ratio, %	10.6	16.2	7.9
Equity/assets ratio, %	39.9	38.8	41.2
Employees
Average number of employees	516	523	516
Net sales per employee	1.4	1.2	1.4

Data per share

	Quarter		6 months		Full year
	Q2 2021	Q2 2020	2021	2020	2020
Number of shares at the end of the period	8,218,611	8,218,611	8,218,611	8,218,611	8,218,611
Average number of shares	8,218,611	8,218,611	8,218,611	8,218,611	8,218,611
Earnings per share before and after dilution Profit/loss for the period	1.58	1.00	1.86	0.94	–3.41
Equity per share, SEK	39.85	37.78	39.85	37.78	38.13

NET SALES PER GEOGRAPHICAL AREA

	Quarter			6 months
Amounts in SEK million	Q2 2021	Q2 2020	2021	2020	2020
Sweden	35.9	28.9	64.2	55.9	110.8
Germany	76.7	60.2	145.8	121.9	274.6
The rest of Europe	64.6	47.4	109.2	86.4	187.3
North America	12.3	14.7	20.8	37.0	89.1
Asia	11.7	16.3	24.0	19.3	60.1
Other	–	0.3	–	0.3	–
Total	201.2	167.8	364.0	320.7	721.9

QUARTERLY REVIEW

		2019			2020				2021
Amounts in SEK million	Q1	Q2	Q3	Q4	Q1	Q2	Q3	Q4	Q1	Q2	Q3	Q4
Net sales	139.9	160.3	151.2	202.6	152.9	167.8	187.7	213.5	162.8	201.2
Operating expenses	–158.5	–168.4	–155.3	–182.2	–149.4	–158.2	–164.6	–203.7	–154.8	–183.9
Operating profit	–18.6	–8.1	–4.1	20.4	3.5	9.6	23.1	9.8	8.0	17.3
Financial items, net	–4.7	–1.1	–0.2	–6.4	0.5	–1.8	–1.3	–2.1	–1.0	–1.4
Profit/loss after financial items	–23.3	–9.2	–4.3	14.0	4.0	7.8	21.8	7.7	7.0	15.9

FINANCIAL DATA PER SEGMENT

	Quarter		6 months		Full year
Amounts in SEK million	Q2 2021	Q2 2020	2021	2020	2020
DECOMMISSIONING & RADIATION PROTECTION SERVICES
External sales revenue	96.0	69.8	164.8	129.3	293.2
Operating profit	11.7	0.5	18.1	1.8	17.4
Assets	249.4	237.4	249.4	237.4	217.4
Liabilities	209.7	220.1	209.7	220.1	191.3
Investments	0.6	0.3	2.1	0.4	1.8
Average number of employees	326	328	329	328	329
FUEL AND MATERIALS TECHNOLOGY
External sales revenue	73.2	61.2	128.5	108.3	224.3
Operating profit	13.3	12.3	15.9	15.5	34.0
Assets	204.7	184.3	204.7	184.3	194.2
Liabilities	146.3	160.7	146.3	160.7	158.7
Investments	6.7	3.1	13.1	5.8	15.4
Average number of employees	116	110	117	110	111
SCANDPOWER
External sales revenue	19.8	20.8	45.9	50.5	125.6
Operating profit	–4.2	–1.7	–2.0	1.7	17.2
Assets	154.0	161.8	154.0	161.8	161.9
Liabilities	47.0	57.5	47.0	57.5	54.5
Investments	0.9	0.5	1.0	0.6	0.7
Average number of employees	36	35	37	35	36
WASTE MANAGEMENT TECHNOLOGY
External sales revenue	8.5	13.6	16.5	26.0	65.3
Operating profit	0.1	2.7	–1.5	0.8	–1.5
Assets	151.8	168.6	151.8	168.6	129.5
Liabilities	146.1	155.3	146.1	155.3	120.1
Investments	0.3	0.6	0.5	2.4	3.6
Average number of employees	16	33	15	31	22
OTHER
External sales revenue	11.8	10.2	22.3	21.3	39.8
Operating profit	–3.6	–4.2	–5.2	–6.7	–21.1
Assets	371.5	401.0	371.5	401.0	354.4
Liabilities	254.8	249.0	254.8	249.0	219.4
Investments	3.9	0.2	5.6	0.4	1.5
Average number of employees	19	19	18	19	18
ELIMINATION
External sales revenue	–8.1	–7.8	–14.0	–14.7	–26.3
Operating profit	–	–	–	–	–
Assets	–310.8	–352.5	–310.8	–352.5	–296.9
Liabilities	–310.8	–352.5	–310.8	–352.5	–296.9
Investments	–	–	–	–	–
Average number of employees	–	–	–	–	–
GROUP
External sales revenue	201.2	167.8	364.0	320.7	721.9
Operating profit	17.3	9.6	25.3	13.1	46.0
Assets	820.6	800.6	820.6	800.6	760.5
Liabilities	493.1	490.1	493.1	490.1	447.1
Investments	12.4	4.7	22.3	9.6	23.0
Average number of employees	513	525	516	523	516

The Group's goodwill, amounting to SEK 180 million, has been reallocated to better reflect how it arose in connection with two acquisitions. After this change, goodwill of SEK 59 million remains in Waste Management Technology, while the remaining SEK 121 million is attributable to Decommissioning and Radiation Protection Services.

DATA PER SEGMENT CONT. – SALES PER GEOGRAPHICAL AREA

	Quarter		6 months		Full year
Amounts in SEK million	Q2 2021	Q2 2020	2021	2020	2020
DECOMMISSIONING AND RADIATION PROTECTION SERVICES
Sweden	–	–	–	–	–
Germany	73.7	56.5	135.6	106.1	247.1
The rest of Europe	22.3	13.0	29.2	22.7	46.1
North America	–	–	–	–	–
Asia	–	–	–	–	–
Other	–	0.3	–	0.3	–
Total	96.0	69.8	164.8	129.1	293.2
FUEL AND MATERIALS TECHNOLOGY
Sweden	20.6	16.2	35.3	28.7	61.9
Germany	1.7	0.7	3.0	6.4	12.9
The rest of Europe	33.6	23.3	60.1	43.6	97.9
North America	5.1	4.5	7.3	11.8	17.3
Asia	11.7	15.5	22.0	16.3	32.1
Other	–	–	–	–	–
Total	72.7	60.2	127.7	106.8	222.1
SCANDPOWER
Sweden	1.6	1.6	3.6	4.2	6.7
Germany	1.3	3.0	7.2	9.4	14.6
The rest of Europe	6.3	4.0	14.9	8.1	21.3
North America	7.2	8.5	12.6	21.8	65.6
Asia	0.2	0.9	1.8	1.8	7.4
Other	–	–	–	–	–
Total	16.6	18.0	40.1	45.3	115.6
WASTE MANAGEMENT TECHNOLOGY
Sweden	6.3	4.7	10.4	9.0	15.4
Germany	–	–	–	–	–
The rest of Europe	2.4	7.1	5.0	12.0	22.0
North America	–	1.7	0.9	3.3	6.2
Asia	–0.2	–0.1	0.2	1.2	20.6
Other	–	–	–	–	–
Total	8.5	13.4	16.5	25.5	64.2
OTHER
Sweden	7.4	6.4	14.9	14.0	26.8
Germany	–	–	–	–	–
The rest or Europe	–	–	–	–	–
North America	–	–	–	–	–
Asia	–	–	–	–	–
Other	–	–	–	–	–
Total	7.4	6.4	14.9	14.0	26.8
THE GROUP
Sweden	35.9	28.9	64.2	55.9	110.8
Germany	76.7	60.2	145.8	121.9	274.6
The rest of Europe	64.6	47.4	109.2	86.4	187.3
North America	12.3	14.7	20.8	36.9	89.1
Asia	11.7	16.3	24.0	19.3	60.1
Other	–	0.3	–	0.3	–
Total	201.2	167.8	364.0	320.7	721.9

PARENT COMPANY INCOME STATEMENT

	Quarter 6 months			Full year
Amounts in SEK million	Q2 2021	Q2 2020	2021	2020	2020
Net sales	2.7	3.6	5.3	6.8	11.1
Cost of services sold	–	–	–	–	–
Gross profit	2.7	3.6	5.3	6.8	11.1
Other operating income and costs	–6.1	–6.7	–11.8	–12.6	–32.3
Operating profit	–3.4	–3.1	–6.5	–5.8	–21.2
Result from participations in Group companies	–	–	–	–	168.3
Net financial items	–2.6	–11.1	6.6	2.2	–10.1
Profit/loss before tax	–6.0	–14.2	0.1	–3.6	137.0
Income tax	1.2	2.8	0.0	0.8	0.5
NET PROFIT/LOSS FOR THE PERIOD	–4.8	–11.4	0.1	–2.8	137.5

PARENT COMPANY BALANCE SHEET

Amounts in SEK million	June 30, 2021	June 30, 2020	December 31, 2020
ASSETS
Intangible assets	0.0	0.1	0.0
Financial non-current assets	548.6	571.9	541.5
Total non-current assets	548.6	572.0	541.5
Current assets	2.9	8.5	170.2
Cash and cash equivalents	–	–	–
Total current assets	2.9	8.5	170.2
TOTAL ASSETS	551.5	580.5	711.7
EQUITY AND LIABILITIES
Restricted equity	233.5	233.5	233.5
Non-restricted equity	7.6	–124.6	15.7
Non-current liabilities	125.4	135.7	117.6
Current liabilities	185.0	335.9	344.9
Total liabilities	310.4	471.6	462.5
TOTAL EQUITY AND LIABILITIES	551.5	580.5	711.7

RECONCILIATIONS OF KEY RATIOS

Return on capital employed

Amounts in SEK million	June 2021	June 2020	Full year 2020
Profit/loss after financial items	22.9	11.8	41.3
Financial costs according to the income statement	2.5	3.7	6.0
Total	25.4	15.5	47.3
Balance sheet total	800.6	808.2	808.2
Provisions and other long-term liabilities	–148.7	–155.9	–155.9
Trade and other payables	–215.9	–226.4	–226.4
Opening capital employed	436.0	425.9	425.9
Balance sheet total	820.6	800.6	760.5
Provisions and other long-term liabilities	–133.1	–148.7	–137.1
Trade and other payables	–238.5	–215.9	–210.0
Closing capital employed	449.0	436.0	413.4
Average capital employed	436.8	432.7	419.7
Return on capital employed	13.1	9.2	11.3

Return on equity

Amounts in SEK million	June 2021	June 2020	Full year 2020
Net profit/loss for the year	15.3	7.7	35.2
Total	15.3	7.7	35.2
Opening equity	310.5	302.8	302.8
Closing equity	327.5	310.5	313.4
Return on equity	13.2	4.4	11.4

Net debt

Amounts in SEK million	June 30, 2021	June 30, 2020	December 31, 2020
Current borrowing	78.0	80.0	55.5
Non-current borrowing	43.5	45.5	44.5
Total liabilities	121.5	125.5	100.0
Cash and cash equivalents	86.9	75.3	75.2
Net debt	34.6	50.2	24.8

DEFINITIONS OF KEY FIGURES AND RATIOS

Some key figures and ratios used by company management and analysts to assess the Group's development have not been prepared in accordance with IFRS (International Financial Reporting Standards). The company management considers that these key figures and ratios make it easier for investors to analyze the Group's development.

Equity

The total of non-restricted and restricted equity at the end of the year. Average equity has been calculated as an average of the four last quarters.

Equity per share

Equity divided by the number of shares at the end of the period.

Free cash flow

Cash flow from operating activities (after changes in working capital) including cash flow from investing activities.

Sales revenue per employee

Sales revenue divided by average number of employees. For quarterly reports net sales are estimated on a full year basis.

Investments

Total of the acquisition of businesses/subsidiaries and acquisition of intangible assets and property, plant and equipment.

Average number of employees

Average number of employees at the end of each month.

Net debt

Total long-term and short-term borrowing less cash and cash equivalents.

Net debt/equity ratio

Interest-bearing net debt divided by equity including non-controlling interests.

Earnings per share

Profit/loss for the year divided by the average number of shares. The average number of shares has been calculated as a weighted average of all shares in issue for the year.

Return on equity

Profit/loss for the period for the last four quarters as a percentage of average equity.

Return on capital employed

Profit/loss for the period after financial items, with financial expenses,fair value losses and foreign exchange losses added back, for the four last quarters as a percentage of average capital employed.

Operating margin

Operating profit after amortization as a percentage of net sales.

Equity-assets ratio

Equity including non-controlling interests as a percentage of the balance sheet total.

Capital employed

Balance sheet total less non-interest-bearing liabilities. Average capital employed has been calculated as an average of the four last quarters.

Profit margin

Profit before tax as a percentage of net sales.

MAJOR SHAREHOLDERS, JUNE 30, 2021

	Number of shares	Share, %
Karinen Family	1,769,552	21.5
Briban Invest AB	1,343,362	16.3
Peter Gyllenhammar AB	1,125,000	13.8
Avanza Pensionsförsäkring AB	470,985	5.7
Caceis Bank, Switzerland Branch	363,879	4.5
Girell Family	360,800	4.4
Malte Edenius	247,000	3.0
Leif Lundin	206,000	2.5
Per Lindstedt	140,162	1.7
Nordnet Pensionsförsäkring AB	135,155	1.6
Total 10 largest shareholders	6,161,895	75.0
Other shareholders	2,056,716	25.0
Total amount shares	8,218,611	100.0

STUDSVIK'S VALUE CHAIN

Studsvik offers services in various parts of the nuclear power lifecycle, from new construction to final disposal. The customers are represented by fuel manufacturers, nuclear power producers, public agencies, research centers and other nuclear facilities.

STUDSVIK IN BRIEF

Studsvik offers a range of advanced technical services to the global nuclear power industry. Studsvik's focus areas are fuel and materials technology, reactor analysis software and fuel optimization, decontamination and radiation protection services, as well as technical solutions for handling, conditioning and volume reduction of radioactive waste. The company has more than 70 years' experience of nuclear technology and radiological services. Studsvik has 510 employees in 7 countries and the company's shares are listed on Nasdaq Stockholm. On the right there is a brief description of our offers in the various business areas.

Decommissioning and Radiation

Protection Services offers services in radiation protection, decommissioning, decontamination and engineering. Decommissioning services cover planning, project management and practical work such as radiological assessment, radiological clearance of material and waste documentation. The work is carried out at customer sites around Germany and to some extent also in Switzerland, the Netherlands and Belgium.

Fuel and Materials Technology offers services in nuclear fuel qualification, analysis of material, research on final disposal, packaging of medical isotopes and advanced consultancy services. Testing and analysis operations are conducted at Studsvik's facility in Sweden and sometimes in collaboration with international partners.

Scandpower is a world-leader in software for fuel optimization. The total software offer includes services throughout the value chain. The software development is based in the USA and sales are through offices in Europe, the USA, Japan and China.

Waste Management Technology offers

licensing of technical solutions to stabilize and reduce the volume of radioactive waste before intermediate and final disposal. The patented technical solutions are offered together with specialist services to optimize the customer's operational waste management and decommissioning.

Studsvik AB (publ) • 611 82 Nyköping • Tel +46 155-22 10 00 • www.studsvik.se