Studsvik — Interim / Quarterly Report 2021

Feb 10, 2022

FOURTH QUARTER – 2021

Strong close to the year

• Sales in the quarter increased to SEK 252.5 (213.5) million with an operating profit of SEK 38.5 (9.8) million and an operating margin of 15.2 (4.6) per cent. The profit includes SEK 20 million from a renegotiation of a license agreement.
• Sales in the year as a whole were thus SEK 798.3 (721.9) with an operating profit of SEK 85.8 (46.0) million and an operating margin of 10.7 (6.4) per cent. Excluding the proceeds from a sale of land in the third quarter the operating margin was 9.4 (6.4) per cent.
• The Board of Directors proposes a dividend of SEK 2 per share and has established new financial targets.

	Quarter		Full year	Full year
	Q4 2021	Q4 2020	2021	2020
Sales, SEK million	252.5	213.5	798.3	721.9
Operating profit, SEK million	38.5	9.8	85.8	46.0
Operating margin, %	15.2	4.6	10.7	6.4
Profit after tax, SEK million	33.0	8.8	63.2	35.2
Free cash flow, SEK million	37.0	39.7	73.5	64.9
Net debt, SEK million	–44.9	24.8	–44.9	24.8
Net debt/equity ratio, %	–11.8	7.9	–11.8	7.9
Profit per share after tax, SEK	4.01	1.07	7.69	4.28
Equity per share, SEK	47.14	38.13	47.14	38.13

THE GROUP

SALES

Sales increased to SEK 252.5 (213.5) million for the quarter and to SEK 798.3 (721.9) million for the full year. In local currencies this was an increase of 20 and 13 per cent respectively.

PROFIT

Operating profit in the quarter improved to SEK 38.5 (9.8) million and for the full year to SEK 85.8 (46.0) million.

The operating margin in the quarter was 15.2 (4.6) per cent and 10.7 (6.4) per cent for the full year. Excluding a sale of land in the third quarter, profit for the full year was SEK 75.3 (46.0) million and the operating margin was 9.4 (6.4) per cent.

CASH FLOW

The free cash flow amounted to SEK 37.0 (39.7) million for the quarter and SEK 73.5 (64.9) million for the full year. The sale of land in the third quarter contributed SEK 16 million to the improved cash flow for the full year.

INVESTMENTS

Investments increased to SEK 17.6 (7.5) million for the quarter and to SEK 58.5 (23.0) million for the full year. The investments are mainly related to the Fuel and Materials Technology business area.

FINANCIAL POSITION AND LIQUIDITY

The Group's cash and cash equivalents at year-end were SEK 108.4 (75.2) million and the unutilized portion of the overdraft facility was SEK 81.0 (46.5) million. At the close of the year the Group had a net cash balance of SEK 44.9 million compared with a net debt of SEK 24.8 million in the previous year. The net debt/equity ratio at the close of the year was –11.8 (7.9) per cent and the equity-assets ratio was 41.4 (41.2) per cent.

DIVIDEND

The Group's dividend policy means that on average over time the dividend should amount to at least 30 per cent of the consolidated profit after tax. When deciding on dividends, expansion potential, any need to strengthen the balance sheet, liquidity and financial position in general must be considered. The Board of Directors has decided to propose to the Annual General Meeting a dividend of SEK 2 (1) per share, equivalent to 26 (23) per cent of profit after tax.

FINANCIAL TARGETS

The Board of Directors has adopted new financial targets:

• Average annual organic growth of 6 per cent
• An operating margin of 12 per cent
• A solidity ratio of at least 40 per cent

PERSONNEL

The average number of employees was 517 (516). During the year the company's organization was streamlined, at the same time as resources mainly in the Fuel and Materials Technology business area were increased to manage volume growth and strengthen competencies in expanding service areas.

Sales

250

300

MSEK

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

252.5

BUSINESS AREAS

DECOMMISSIONING AND RADIATION PROTECTION SERVICES

Sales for the fourth quarter amounted to SEK 74.4 (76.4) million and for the full year to SEK 329.5 (293.2), which means a decrease of 1 per cent in local currencies for the quarter, but an increase of 16 per cent for the full year.

The operating profit for the quarter deteriorated to SEK –3.2 (7.3) million but improved for the full year to SEK 26.2 (17.4) million, which means an operating margin of –4.3 (9.6) per cent and 8.0 (5.9) per cent respectively. The deterioration in the quarter is mainly due to increased non-recurring costs linked to preparations for adapting the organization from annual refuelling and maintenance outages to offering services during the coming decommissioning of nuclear power plants in Germany.

FUEL AND MATERIALS TECHNOLOGY

Sales in the fourth quarter increased to SEK 95.8 (71.3) million and to SEK 280.8 (224.3) million for the full year. In local currencies this was an increase of 34 and 25 per cent respectively.

Operating profit for the quarter amounted to SEK 26.6 (15.6) million and SEK 46.3 (34.0) million for the full year. The operating margin for the quarter increased to 27.8 (21.9) per cent and for the full year to 16.5 (15.2) per cent.

Quarterly sales and earnings are the highest ever, mainly due to a strong inflow of orders. The number of employees has increased by 30 per cent to increase capacity. During the quarter several deliveries of materials have been completed, which also contributed to the increased sales.

SCANDPOWER

Sales in the fourth quarter amounted to SEK 35.0 (33.9) million but decreased for the full year to SEK 103.4 (125.6) million. In local currencies this meant an increase for the quarter of 5 per cent and a decrease of 14 per cent for the full year.

The operating profit for the quarter improved to SEK 6.7 (4.4) million but deteriorated for the full year to SEK 4.1 (17.2) million. The operating margin was 19.1 (13.0) and 4.0 (13.7) per cent respectively.

The lower sales during the year are mainly due to lower license sales. Continued addressing of new markets, further development of new software as well as a review of the current business model primarily with license business, are ongoing.

WASTE MANAGEMENT TECHNOLOGY

Sales in the fourth quarter amounted to SEK 38.5 (27.8) million and to SEK 64.3 (65.3) million for the full year. Renegotiation of a license agreement during the quarter impacted earnings by SEK 20 million. Operating profit for the quarter amounted to SEK 17.7 (–4.5) million and SEK 15.4 (–1.5) million for the full year.

A number of commercial discussions are ongoing concerning new license business in both North America and Europe. Requirements to treat waste have increased, which creates business opportunities for our licensed technology that offers safe treatment and volume reduction of waste.

OPERATING PROFIT/LOSS

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

PARENT COMPANY

Operations in the parent company consist of coordination of the Group. Sales in the fourth quarter amounted to SEK 5.9 (0.6) million and to SEK 14.0 (11.1) million for the full year. The operating profit for the fourth quarter amounted to SEK–3.8 million (–14.0) and for the full year to SEK –12.7 (–21.2) million.

Profit before tax in the quarter was SEK 74.0 (143.2) million and SEK 76.2 (137.0) million for the full year. Net financial income includes revaluation of intra-group loans of SEK 2.9 (–12.0) million for the quarter and SEK 10.9 (–14.2) million for the full year. Cash and cash equivalents including current investments at the close of the quarter amounted to SEK 0 (0) million and interest-bearing liabilities to SEK 63.5 (100.0) 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.

ANNUAL GENERAL MEETING

The Annual General meeting will be held on April 26, at 16:00.

ACCOUNTING POLICIES

Nyköping, April 29, 2021

Camilla Hoflund President/CEO

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, February 9, 2022

Anders Ullberg Chair

Jan Barchan Member

Agneta Nestenborg Member

Anna Karinen Vice Chair

Erik Strömqvist Member

Per S Ekberg Employee representative

Time Schedule for Financial Information

Interim Report Quarter 1 2022, April 26

Interim Report Quarter 2 2022, July 21

Interim Report Quarter 3 2022, Oct 20

Year-End Report 2022, February 2023

For further information, please contact

Niklas Karlsson, Chief Financial Officer, tel +46 (0)76 002 10 53 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 february 10 at 11:00 am 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 February 10, 2022, at 7:30 am CET.

Jitka Zakova Employee representative

Camilla Hoflund President/CEO

CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

	Quarter		Full year	Full year
Amounts in SEK million	Q4 2021	Q4 2020	2021	2020
Net sales	252.5	213.5	798.3	721.9
Cost of services sold	–170.0	–148.9	–591.3	–526.9
Gross profit	82.5	64.6	207.1	195.0
Selling and marketing expenses	–9.9	–28.6	–34.4	–56.1
Administrative expenses	–31.1	–28.6	–93.9	–89.2
Research and development costs	–2.4	–2.4	–9.0	–8.3
Share in earnings from associated companies	–0.2	–0.6	5.9	3.4
Other operating income	1.6	0.1	20.5	5.4
Other operating expenses	–2.1	5.3	–10.3	–4.2
Operating profit	38.5	9.8	85.8	46.0
Financial income	0.4	–1.3	0.5	1.3
Financial expenses	–4.7	–0.8	–8.8	–6.0
Profit/loss before tax	34.2	7.7	77.6	41.3
Income tax	–1.2	1.1	–14.4	–6.1
NET PROFIT/LOSS FOR THE PERIOD	33.0	8.8	63.2	35.2
Other comprehensive income Items that may later be reversed in the income statement
Translation differences on foreign subsidiaries	6.4	–20.3	18.9	–24.6
Cash flow hedging	0.0	0.1	0.0	0.1
Income tax on items recognized in other comprehensive income	–	–	–	–
Other comprehensive income for the period. net after tax	6.4	–20.2	18.9	–24.5
Total profit/loss and other comprehensive income for the period	39.4	–11.4	82.1	10.7
Income for the period attributable to
Parent company's shareholders	33.0	8.8	63.2	35.2
Non-controlling interests	–	–	–	–
Total comprehensive income attributable to
Parent company's shareholders	39.4	–11.3	82.1	10.8
Non-controlling interests	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	4.01	1.07	7.69	4.28
Earnings per share (There is no dilution effect)	4.01	1.07	7.69	4.28

GROUP STATEMENT OF FINANCIAL POSITION

Amounts in SEK million	December 31, 2021	December 31, 2020
ASSETS
Intangible assets	189.8	184.5
Property, plant and equipment	199.4	134.6
Other non-current assets	214.0	162.0
Total non-current assets	603.2	481.1
Inventories	15.9	2.1
Trade receivables	128.9	116.9
Other current receivables	80.2	85.2
Cash and cash equivalents	108.4	75.2
Total current assets	333.4	279.4
TOTAL ASSETS	936.6	760.5
EQUITY AND LIABILITIES
Equity attributable to parent company's shareholders	387.0	313.1
Non-controlling interests	0.4	0.3
Total equity	387.4	313.4
Borrowing	42.5	44.5
Provisions and other non-current liabilities	228.5	137.1
Total non-current liabilities	271.0	181.6
Trade and other payables	257.2	210.0
Borrowing	21.0	55.5
Total current liabilities	278.2	265.5
TOTAL EQUITY AND LIABILITIES	936.6	760.5

CHANGES IN EQUITY

					Equity attribu table to
Amounts in SEK million	Share capital	Other contributed capital	Reserves	Retained earnings	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 – September 30, 2020
Comprehensive income for the period	–	–	–4.3	26.4	22.1	–	22.1
Equity at September 30, 2020	8.2	225.3	34.1	57.0	324.5	0.4	324.9
Changes October 1 – December 31, 2020
Comprehensive income for the period	–	–	–20.3	8.8	–11.4	–0.1	–11.5
Equity at December 31, 2020	8.2	225.3	13.8	65.8	313.1	0.3	313.4
Changes January 1 – September 30, 2021
Comprehensive income for the period	–	–	12.4	30.2	42.6	0.1	42.7
Dividend	–	–	–	–8.2	–8.2	–	–8.2
Equity at September 30, 2021	8.2	225.3	26.2	87.8	347.5	0.4	347.9
Changes October 1 – December 21, 2021
Comprehensive income for the period	–	–	6.4	33.0	39.4	0.0	39.4
Equity at December 31, 2021	8.2	225.3	32.7	113.8	387.0	0.4	387.4

GROUP STATEMENT OF CASH FLOW

	Quarter		Full year	Full year
Amounts in SEK million	Q4 2021	Q4 2020	2021	2020
Cash flow from operating activities
Operating profit	38.5	9.8	85.8	46.0
Adjustment for non-cash items	12.8	9.2	10.9	24.6
Financial items, net	–1.5	–1.9	–5.3	–5.1
Income tax paid	–2.9	–2.1	–8.3	–7.6
Cash flow from operating activities before change in working capital	46.9	15.0	83.1	57.9
Change in working capital	16.6	41.4	36.3	25.7
Cash flow from operating activities	63.5	56.4	119.4	83.6
Investing activities
Acquisition of property, plant and equipment	–17.5	–7.5	–58.4	–23.0
Disposal of non-current assets	2.7	0.0	19.1	–
Dividend from associated companies	0.2	–0.6	8.6	12.9
Other cash flow from investing activities	–11.9	–8.6	–15.2	–8.6
Cash flow from investment activities	–26.5	–16.7	–45.9	–18.7
Free cash flow	37.0	39.7	73.5	64.9
Financing activities
Change in borrowing	–25.6	–31.8	–37.3	–26.9
Dividend	0.0	0.0	–8.2	–
Cash flow from financing activities	–25.6	–31.8	–45.5	–26.9
Changes in cash and cash equivalents	11.4	7.9	28.0	38.0
Cash and cash equivalents at the beginning of the period	95.4	70.0	75.2	40.2
Translation difference	1.6	–2.7	5.2	–3.0
Cash and cash equivalents at the end of the period	108.4	75.2	108.4	75.2

FINANCIAL RATIOS FOR THE GROUP

	Full year	Full year
Amounts in SEK million	2021	2020
Margins
Operating margin, %	10.7	6.4
Profit margin, %	9.7	5.7
Return on investment
Return on capital employed, %	19.5	11.3
Return on equity, %	18.1	11.4
Capital structure
Capital employed	450.9	413.4
Equity	387.4	313.4
Net debt	–44.9	24.8
Net debt/equity ratio, %	–11.8	7.9
Solidity, %	41.4	41.2
Employees
Average number of employees	517	516
Net sales per employee	1.5	1.4

DATA PER SHARE

	Quarter		Full year	Full year
	Q4 2021	Q4 2020	2021	2020
Number of shares at the end of the period	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
Earnings per share before and after dilution Profit/loss for the period	4.01	1.07	7.69	4.28
Equity per share, SEK	47.14	38.13	47.14	38.13

NET SALES PER GEOGRAPHICAL AREA

	Quarter		Full year	Full year
Amounts in SEK million	Q4 2021	Q4 2020	2021	2020
Sweden	42.6	32.9	139.0	110.8
Germany	73.1	76.9	273.0	274.6
The rest of Europe	78.5	55.2	257.9	187.3
North America	17.4	20.9	52.5	89.1
Asia	37.6	27.8	72.6	60.1
Other	3.3	–0.3	3.3	–
Total	252.5	213.4	798.3	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	181.8	252.5
Operating expenses	–158.5	–168.4	–155.3	–182.2	–149.4	–158.2	–164.6	–203.7	–154.8	–183.9	–159.9	–214.0
Operating profit	–18.6	–8.1	–4.1	20.4	3.5	9.6	23.1	9.8	8.0	17.3	21.9	38.5
Financial items, net	–4.7	–1.1	–0.2	–6.4	0.5	–1.8	–1.3	–2.1	–1.0	–1.4	–1.6	–4.3
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	20.3	34.2

FINANCIAL DATA PER SEGMENT

	Quarter		Full year	Full year
Amounts in SEK million	Q4 2021	Q4 2020	2021	2020
DECOMMISSIONING & RADIATION PROTECTION SERVICES
External sales revenue	74.4	76.4	329.5	293.2
Operating profit	–3.2	7.3	26.2	17.4
Assets	221.8	217.4	221.8	217.4
Liabilities	175.9	191.3	175.9	191.3
Investments	0.9	0.5	3.7	1.8
Average number of employees	332	329	326	329
FUEL AND MATERIALS TECHNOLOGY
External sales revenue	95.8	71.3	280.8	224.3
Operating profit	26.6	15.6	46.3	34.0
Assets	299.5	194.2	299.5	194.2
Liabilities	279.3	158.7	279.3	158.7
Investments	7.0	6.6	30.5	15.4
Average number of employees	122	111	123	111
SCANDPOWER
External sales revenue	35.0	33.9	103.4	125.6
Operating profit	6.7	4.4 161.9	4.1	17.2
Assets	167.1	54.5	167.1	161.9
Liabilities	69.3		69.3	54.5
Investments	0.2	0.0	1.3	0.7
Average number of employees	37	35	37	36
WASTE MANAGEMENT TECHNOLOGY
External sales revenue	38.5	27.8	64.3	65.3
Operating profit	17.7	–4.5	15.4	–1.5
Assets	168.4	129.5	168.4	129.5
Liabilities	147.8	120.1	147.8	120.1
Investments	0.2	–0.2	0.8	3.6
Average number of employees	14	24	13	22
OTHER
External sales revenue	14.5	9.3	46.3	39.8
Operating profit Assets	–9.3 412.7	–13.0 354.4	–6.2 412.7	–21.1 354.4
Liabilities	209.8	219.4	209.8	219.4
		0.6
Investments Average number of employees	9.3 18	18	22.2 18	1.5 18
ELIMINATION
External sales revenue	–5.7	–5.2	–26	–26.3
Operating profit	–	–	–	–
Assets	–332.9	–296.9	–332.9	–296.9
Liabilities	–332.9	–296.9	–332.9	–296.9
Investments	–	–	–	–
Average number of employees	–	–	–	–
GROUP
External sales revenue	252.5	213.5	798.3	721.9
Operating profit	38.5	9.8	85.8	46.0
Assets	936.6	760.5	936.6	760.5
Liabilities	549.2	447.1	549.2	447.1
Investments	17.6	7.5	58.5	23.0
Average number of employees	523	517	517	516

DATA PER SEGMENT CONT. – SALES PER GEOGRAPHICAL AREA

	Quarter		Full year	Full year
Amounts in SEK million	Q4 2021	Q4 2020	2021	2020
DECOMMISSIONING AND RADIATION PROTECTION SERVICES
Sweden	–	–	–	–
Germany	66.5	69.2	253.3	247.1
The rest of Europe	7.8	7.5	76.2	46.1
North America	–	–	–	–
Asia	–	–	–	–
Other	–	–0.3	–	–
Total	74.3	76.4	329.5	293.2
FUEL AND MATERIALS TECHNOLOGY
Sweden	22.8	20.3	78.4	61.9
Germany	1.4	4.8	5.5	12.9
The rest of Europe	32.1	34.7	114.6	97.9
North America	2.5	3.7	11.6	17.3
Asia	36.4	7.2	68.9	32.1
Other	–	–	–	–
Total	95.2	70.7	279.0	222.1
SCANDPOWER
Sweden	2.0	1.6	6.6	6.7
Germany	5.2	2.9	14.2	14.6
The rest of Europe	10.0	8.9	30.4	21.3
North America	13.1	16.8	37.2	65.6
Asia	1.2	1.2	3.5	7.4
Other	3.3	–	3.3	–
Total	34.8	31.4	95.2	115.6
WASTE MANAGEMENT TECHNOLOGY
Sweden	8.2	3.6	23.7	15.4
Germany	–	–	–	–
The rest of Europe	28.5	4.1	36.7	22.0
North America	1.8	0.5	3.7	6.2
Asia	–	19.4	0.2	20.6
Other	–	–	–	–
Total	38.5	27.6	64.3	64.2
OTHER
Sweden	9.6	7.4	30.3	26.8
Germany	–	–	–	–
The rest or Europe	–	–	–	–
North America	–	–	–	–
Asia	–	–	–	–
Other	–	–	–	–
Total	9.6	7.4	30.3	26.8
THE GROUP
Sweden	42.6	32.9	139.0	110.8
Germany	73.1	76.9	273.0	274.6
The rest of Europe	78.4	55.2	257.9	187.3
North America	17.4	21.0	52.5	89.1
Asia	37.6	27.8	72.6	60.1
Other	3.3	–0.3	3.3	–
Total	252.4	213.5	798.3	721.9

PARENT COMPANY INCOME STATEMENT

	Quarter		Full year	Full year
Amounts in SEK million	Q3 2021	Q3 2020	2021	2020
Net sales	5.9	0.6	14.0	11.1
Cost of services sold	–	–	–	–
Gross profit	5.9	0.6	14.0	11.1
Other operating income and costs	–9.7	–14.6	–26.7	–32.3
Operating profit	–3.8	–14.0	–12.7	–21.2
Result from participations in Group companies	73.7	168.3	73.7	168.3
Net financial items	4.1	–11.1	15.2	–10.1
Profit/loss before tax	74.0	143.2	76.2	137.0
Income tax	–14.7	–0.9	–15.1	0.5
NET PROFIT/LOSS FOR THE PERIOD	59.3	142.3	61.1	137.5

PARENT COMPANY BALANCE SHEET

Amounts in SEK million	December 31, 2021	December 31, 2020
ASSETS
Intangible assets	–	–
Financial non-current assets	531.9	541.5
Total non-current assets	531.9	541.5
Current assets	80.7	170.2
Cash and cash equivalents	–	–
Total current assets	80.7	170.2
TOTAL ASSETS	612.6	711.7
EQUITY AND LIABILITIES
Restricted equity	233.5	233.5
Non-restricted equity	68.6	15.7
TOTAL EQUITY	302.1	249.2
Non-current liabilities	129.3	117.6
Current liabilities	181.2	344.9
Total liabilities	310.5	462.5
TOTAL EQUITY AND LIABILITIES	612.6	711.7

RECONCILIATIONS OF KEY RATIOS

Return on capital employed

Amounts in SEK million	Full year 2021	Full year 2020
Profit/loss after financial items	77.6	41.3
Financial costs according to the income statement	8.8	6.0
Total	86.3	47.3
Balance sheet total	760.5	808.2
Provisions and other long-term liabilities	–137.1	–155.9
Trade and other payables	–210.0	–226.4
Opening capital employed	413.4	425.9
Balance sheet total	936.6	760.5
Provisions and other long-term liabilities	–228.5	–137.1
Trade and other payables	–257.2	–210.0
Closing capital employed	450.9	413.4
Average capital employed	441.2	419.7
Return on capital employed	19.5	11.3

Return on equity

Amounts in SEK million	Full year 2021	Full year 2020
Net profit/loss for the period	63.2	35.2
Total	63.2	35.2
Opening equity	313.4	302.8
Closing equity	387.4	313.4
Return on equity	18.1	11.4

Net debt

Amounts in SEK million	December 31, 2021	December 31, 2020
Current borrowing	21.0	55.5
Non-current borrowing	42.5	44.5
Total liabilities	63.5	100.0
Cash and cash equivalents	108.4	75.2
Net debt	–44.9	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 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, DECEMBER 31, 2021

	Number of shares	Share. %
Karinen Family	1,769,552	21.5
Briban Invest AB	1,343,362	16.3
Peter Gyllenhammar AB	1,137,000	13.8
Avanza Pensionsförsäkring AB	469,149	5.7
Caceis Bank, Switzerland Branch	363,879	4.5
Girell Family	361,803	4.4
Banque Pictet & CIE	280,000	3.4
Malte Edenius	245,937	3.0
Leif Lundin	206,500	2.5
Per Lindstedt	179,844	2.2
Total 10 largest shareholders	6,357,026	77.3
Other shareholders	1,861,585	22.7
Total amount shares	8,218,611	100.0

THE STUDSVIK SHARE

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 just over 500 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