Studsvik — Interim / Quarterly Report 2024

Apr 25, 2024

A good start to 2024

Quarter in brief

• Sales amounted to SEK 209.4 (188.8) million, with an operating profit of SEK 12.0 (9.9) million and an operating margin of 5.8 (5.3) per cent.
• During the quarter, business area Scandpower signed a long-term agreement with a US energy company regarding the GARDEL software.
• Studsvik has appointed Peter Teske as Chief Financial Officer and member of the Studsvik Executive Management Group. He will start his appointment 29th of April 2024.

The group in summary

	Q1	Jan-Dec
	2024	2023	2023
Net sales, SEK million	209.4	188.8	826.0
Operating profit, SEK million	12.0	9.9	73.4
Operating margin, %	5.8	5.3	8.9
Profit after tax, SEK million	8.5	9.2	48.6
Free cash flow, SEK million	-18.6	1.6	51.4
Net debt, SEK million	48.3	-19.2	31.0
Net debt/equity ratio, %	11.7	-4.3	8.0
Profit per share after tax, SEK	1.03	1.12	5.91
Equity per share, SEK	50.32	54.18	47.36

CEO' s comments

A good start to 2024

Political interest in nuclear energy continues to increase, and recently bilateral nuclear energy collaborations between different countries have also appeared on the agenda. One example is the new strategic partnership agreement between the UK and Sweden of October 2023, which includes greater collaboration on nuclear energy. It is too early to assess what this might mean for Studsvik, but we have well-established business relationships with customers in the UK dating back many years and our hope is that the agreement will help to expand our market there.

Another emerging initiative is the creation of a supplier network for companies that want to be part of the significant expansion of nuclear energy that is planned. Studsvik is involved in establishing this in Sweden, and there are currently also collaborations with other countries such as Finland and France. It is not yet clear what Studsvik's role in this forum will be, but there is no doubt that the forum is important for the future. As well as establishing a good supply chain, extensive skills needs have been identified for building and commissioning new nuclear energy. We see great opportunities for Studsvik, as a leading research centre and centre of excellence, to support progress on the various nuclear energy initiatives taking place, both in Sweden and internationally.

Earnings trend

We increased sales in the first quarter compared with the previous year, which naturally contributes to the improvement in earnings and margin. We are also seeing positive development of our delivery capacity in production facilities and projects.

During the quarter a long-term agreement was signed with a major US energy company for the core monitoring application GARDEL, which optimises fuel management and purchasing for their Boiling Water Reactors (BWRs) in operation. The agreement means that GARDEL now has a large market share for BWRs in the USA.

To capitalise on our software, which is installed in 50 per cent of the world's light water reactors, during the quarter we implemented a sales and marketing initiative in Mexico – a previously untapped market for us. We hope that this initiative will bring in new business within a couple of years.

inDRUM, our waste technology venture, can be compared to a typical startup in that we have identified a customer problem and are offering customers a cost-effective solution for optimising their radioactive waste. Market penetration has taken longer than we anticipated, however, and customers have asked for a reference facility in operation. In the latter part of 2023 Studsvik therefore decided to invest in a demonstration facility, which is scheduled to be operational around the middle of 2024 on the Studsvik site. The initiative has increased interest from the market and at the annual international waste conference in Phoenix there was significant interest in inDRUM, both from customers in nuclear energy and from customers handling radioactive hospital waste.

New initiatives

Initiatives for new nuclear energy on Studsvik's site are ongoing, but it is too early to say whether the technical and geological conditions are suitable for conventional reactors and/or SMRs. Studsvik's site is a classic nuclear energy site with infrastructure optimised for nuclear activities, and apart from potential new nuclear energy projects on the site, interest has been shown in waste services within areas where Studsvik has specific expertise. Studsvik's primary growth strategy is to grow organically. We are also open to opportunities for smaller acquisitions with high levels of expertise and close ties to our current business offerings.

To sum up, during the first quarter of 2024 we have taken several important steps to expand the business in a world that is increasingly positive towards nuclear energy, and where international collaborations on nuclear energy present significant potential for Studsvik.

Camilla Hoflund President/CEO

Financial development

Sales

Sales in the quarter amounted to SEK 209.4 (188.8) million. In local currencies this is an increase of 10.6 per cent.

Profit

Operating profit increased to SEK 12.0 (9.9) million and the operating margin to 5.8 (5.3) per cent. During the year a property on the Studsvik site was sold, which had a positive impact on earnings of SEK 2.3 million. Excluding items affecting comparability, profit for the quarter amounted to SEK 9.7 (9.9) million.

Cash flow

Free cash flow for the quarter was SEK –18.6 (1.6) million. The lower cash flow in the quarter is due mainly to increased capital tied up in customer projects within Fuel and Materials Technology and increased investments, due to the configuration of a demonstration facility for inDRUM within Waste Management Technology.

Investments

Investments amounted to SEK 12.3 (8.7) million and are mainly related to replacement investments in the Fuel and Materials Technology business area and the configuration of an inDRUM demonstration facility within Waste Management Technology.

Financial position and liquidity

At the end of the quarter cash and cash equivalents amounted to SEK 63.6 (81.4) million. Undrawn overdraft facilities amounted to SEK 70.7 million on the closing date. In the first quarter 2023 the overdraft facilities were undrawn. The Group has net debt of SEK 48.3 (–19.2) million at the end of the quarter. The net debt/equity ratio was 11.7 (–4.3) per cent and the equity/assets ratio was 41.5 (45.8) per cent.

Business areas

Decommissioning and Radiation Protection Services

Sales for the quarter were SEK 81.1 (82.6) million, which is a decrease in local currencies of – 2.5 per cent.

Operating profit for the quarter decreased to SEK 2.6 (6.1) million, representing an operating margin of 3.2 (7.4) per cent.

The decrease in earnings is due to less outage work than in the previous year and mobilisation costs for personnel ahead of outage work in Belgium. Operating profit was also affected during the quarter by new recruitment and training efforts in the area of decommissioning. This to secure the delivery of projects to be delivered later in the year.

Operating profit, MSEK

The Decommissioning and Radiation Protection Servicesbusiness area is a leading supplier of services to the nuclear power industry in radiation protection, decommissioning,decontamination and engineering. In the area of decommissioning, we offer the entire chain from planning and project management to radiological assessments, radiological clearance of material and waste documentation. The work is carried out at the customers'facilities around Germany andto some extent also in Switzerland, the Netherlands and Belgium.

Fuel and Materials Technology

Sales in the quarter increased by 20.2 per cent to SEK 89.2 (74.2) million.

Operating profit amounted to SEK 15.3 (10.1) million, which represents an operating margin of 17.2 (13.6) per cent.

The increased sales and improvement in earnings during the quarter are due to good progress in customer projects and a positive earnings effect of SEK 2.3 million from the property transaction with Baltic Waters for the construction of a fisheries laboratory on the Studsvik site. Excluding items affecting comparability, profit for the quarter amounted to SEK 13.0 (10.1) million.

Operating profit, MSEK

The business area offers services in nuclear fuel qualification, analysis of material, research on final disposal, packaging of medical isotopes and advanced consultancy services. Testingand analysis operations are conducted at Studsvik's facility inSweden, sometimes in collaboration with international partners. We provide solutions to our customers by combiningour expertise, unique facilities and external networks.

Business areas

Scandpower

Sales in the quarter increased to SEK 34.6 (26.5) million. In local currencies this is an increase of 40.4 per cent.

Operating profit for the quarter amounted to SEK 0.9 (0.0) million, which represents an operating margin of 2.6 (0.0) per cent.

The increased sales and earnings for the quarter are driven by an increase in licence sales and software maintenance. At the same time, earnings were impacted by increased research and development costs.

During the quarter the business area entered into a long-term agreement with an energy company based in the USA. The agreement covers software installation and leasing fees for six BWRs and is worth around SEK 40 million over a period of two to three years. The agreement also contains further options relating to software and services.

Operating profit, MSEK

The Scandpower business area is a world-leader in development and support of software for reactor analysis that is independent of fuel suppliers. We offer a complete suite oflicensed software and engineering services. Our products are used throughout the world for reactor fuel and core construction, analysis and operational support.

Q1-23Q2-23Q3-23Q4-23Q1-24

Waste Management Technology

Sales for the quarter were SEK 8.0 (8.0) million, which is a decrease in local currencies of – 0.7 per cent.

The operating result for the quarter was SEK –2.3 (–2.6) million.

Sales consist mainly of consulting on waste management. During the quarter the delivery of engineering services under ongoing licensing agreements was delayed somewhat and has been shifted forward in time.

Studsvik's patented inDRUM technology has attracted great customer interest and a demonstration facility will be completed on the Studsvik site around midway through 2024. Here potential customers will be able to see the technology in operation and how efficiently itis able to optimise the management of radioactive waste.

Operating profit, MSEK

The business area offers licensed technical solutions to stabilize and reduce the volume of radioactive waste before intermediate storage and final disposal. The technical solutions are offered together with engineering services so that our customers can operate the facilities themselves. We alsoprovide expertise to optimize customers'waste managementduring operation and decommissioning.

Other

Parent company

Operations in the parent company consist of coordination of the Group. Sales in the quarter amounted to SEK 2.4 (2.1) million and the operating result was SEK –5.0 (–2.6) million.

Earnings before tax amounted to SEK 15.7 (–1.5) million. Net financial items include remeasurement of intra-group loans at SEK 9.6 (0.2) million. At the end of the quarter cash and cash equivalents, including current investments, amounted to SEK – (24.2) million. Interest-bearing liabilities were SEK 96.4 (42.0) million.

Shareholders

Information on our shareholders can be found at: https://www.studsvik.com/investors/the-studsvik-share/.

Risks and uncertainties

An overall analysis of the Group's risks and how these are managed can be found in the Annual Report, which is available on the company's website. https://www.studsvik.com/investors/financial-reports/

Events after the balance sheet day

No significant events with an impact on financial reporting have occurred since the balance sheet date.

Accounting policies

Studsvik applies International Financial Reporting Standards (IFRS) as endorsed by the EU. This interim report for the Group has been prepared in accordance with IAS 34 Interim Financial Reporting and the Swedish Annual Accounts Act. For the Parent Company the Swedish Financial Reporting Board's recommendation RFR 2 Accounting for Legal Entities is applied along with the Swedish Annual Accounts Act. No new standards, revised standards or interpretations applicable to financial years starting on or after 1 January 2024 that were not already applied when preparing the annual report for 2023 have had any material effect on the accounts.

The total amounts in tables and statements may not always add up due to rounding differences. The aim is that each line item should correspond to its source and rounding differences may therefore arise in the total.

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

Nyköping, April 25, 2024

Camilla Hoflund CEO

Financial reports

Consolidated statement of profit or loss and other comprehensive income

	Q1	Jan-Dec
Amounts in SEK million	2024	2023	2023
Net sales	209.4	188.8	826.0
Cost of services sold	-160.1	-149.1	-616.4
Gross profit	49.4	39.8	209.7
Selling and marketing expenses	-14.0	-11.3	-52.9
Administrative expenses	-20.1	-18.2	-78.9
Research and development costs	-3.5	-2.7	-11.9
Impairment loss on trade receivables	-	0.0	0.2
Share in earnings from associated companies	-0.0	-0.1	-0.4
Other operating income	4.3	4.4	13.4
Other operating expenses	-3.8	-1.9	-5.7
Operating profit	12.0	9.9	73.4
Financial income	5.2	0.2	1.1
Financial expenses	-6.6	-4.5	-16.1
Profit/loss before tax	10.7	5.5	58.4
Income tax	-2.2	3.7	-9.8
NET PROFIT/LOSS FOR THE PERIOD	8.5	9.2	48.6
Other comprehensive income for the period
Items that may later be reversed in the income statement
Translation differences on foreign subsidiaries	17.9	1.2	-7.9
Remeasurement of defined benefit pension plans	-	-	1.0
Income tax on items recognized in other comprehensive income	-2.0	-	1.0
Other comprehensive income for the period, net after tax	15.9	1.2	-5.9
Total profit/loss and other comprehensive income for the period	24.4	10.4	42.7
Income for the period attributable to
Parent company's shareholders	8.5	9.2	48.6
Total comprehensive income attributable to
Parent company's shareholders	24.4	10.4	42.7
Earnings per share calculated on income attributabel to the parent	1.03	1.12	5.91
company's shareholders during the period, SEK
Earnings per share	1.03	1.12	5.91

Group statement of financial position, in summary

		31 Mar
Amounts in SEK million	2024	2023	2023
ASSETS
Intangible assets	209.6	208.5	200.7
Property, plant and equipment	245.0	221.9	237.4
Other non-current assets	211.7	207.8	211.4
Total non-current assets	666.3	638.2	649.4
Inventories	14.9	4.6	16.3
Trade receivables	124.6	134.3	141.7
Other current receivables	128.2	113.8	102.0
Cash and cash equivalents	63.6	81.4	97.8
Total current assets	331.3	334.1	357.8
TOTAL ASSETS	997.6	972.2	1,007.2
EQUITY AND LIABILITIES
Equity atrributable to the parent company's shareholders	413.6	445.3	389.2
Total equity	413.6	445.3	389.2
Liabilities to credit institutions, long-term	29.5	60.2	29.5
Provisions and other non-current liabilities	207.0	222.8	216.9
Total non-current liabilities	236.4	283.0	246.4
Trade and other payables	265.1	241.9	272.3
Liabilities to credit institutions, short-term	82.5	2.0	99.3
Total current liabilities	347.6	243.9	371.6
TOTAL EQUITY AND LIABILITIES	997.6	972.2	1,007.2

Changes in equity, in summary

Amounts in SEK million	Share capital	Other contributed capital	Other reserves	Retained earnings	Equity attributable to the parent company's shareholders	Non-control ling interest	Total share holders equity
Opening balance at January 1, 2023	8.2	225.3	68.8	133.7	436.0	-	436.0
Changes January 1 - March 31 2023
Other comprehensive income for the period	-	-	1.2	-	1.2	-	1.2
Acquisition of non-controlling interest	-	-	-	-1.1	-1.1	-	-1.1
Net profit for the period	-	-	-	9.2	9.2	-	9.2
Closing balance at March 31 2023	8.2	225.3	70.0	141.9	445.3	-	445.3
Opening balance at January 1, 2024	8.2	225.3	62.9	92.9	389.2	-	389.2
Changes January 1 - March 31 2024
Other comprehensive income for the period	-	-	15.9	-	15.9	-	15.9
Acquisition of non-controlling interest	-	-	-	-	-	-	-
Net profit for the period	-	-	-	8.5	8.5	-	8.5
Closing balance at March 31 2024	8.2	225.3	78.8	101.3	413.6	-	413.6

Group statement of cash flow, in summary

	Q1	Jan-Dec
Amounts in SEK million	2024	2023	2023
Cash flow from operating activities
Operating profit	12.0	9.9	73.4
Adjustments for non-cash items	-4.4	-9.5	-0.6
Financial items, net	-3.4	-2.8	-7.8
Income tax paid	-5.9	-2.2	-16.2
Cash flow from operating activities before change in working capital	-1.5	-4.6	48.8
Change in working capital	-16.1	14.1	33.6
Cash flow from operating activities	-17.6	9.5	82.4
Investing activities
Acquisition of property, plant and equipment	-12.3	-8.7	-41.7
Disposal of non-current assets	11.3	0.8	10.8
Other cash flow from investing activities	0.0	-	-0.1
Cash flow from investing activities	-1.0	-7.9	-31.0
Free cash flow	-18.6	1.6	51.4
Financing activities
New loans	-	-	27.0
Amortization of loans	-2.1	-3.9	-18.3
Changed use of bank overdraft facility	-16.9	-36.9	8.9
Dividend to shareholders	-	-	-16.4
Acquisition of non-controlling interest	-	-	-73.0
Cash flow from financing activities	-19.0	-40.8	-71.8
Cash flow for the period	-37.6	-39.2	-20.4
Cash and cash equivalents at the start of the period	97.8	120.1	120.1
Exchange differences on cash and cash equivalents	3.4	0.5	-1.8
Cash and cash equivalents at the end of the period	63.6	81.4	97.8

Net sales per geographical area

	Q1	Jan-Dec
Amounts in SEK million	2024	2023	2023
Sweden	57.6	43.6	178.8
Germany	78.1	80.6	303.8
The rest of Europe	39.8	32.5	162.6
North America	17.8	15.9	93.5
Asia	15.7	16.2	87.3
Other	0.5	0.0	-
Total	209.4	188.8	826.0

Data per share

	Q1	Jan-Dec
	2024	2023	2023
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	1.03	1.12	5.91
Equity per share, SEK	50.32	54.18	47.36

Financial ratios for the group

	Jan-Mar	Jan-Dec
	2024	2023	2023
Margins
Operating margin, %	5.8	5.3	8.9
Profit margin, %	5.1	2.9	7.1
Return on investment
Return on capital employed, %	15.8	15.7	14.4
Return on equity, %	11.3	13.3	11.2
Capital structure
Capital employed	525.5	507.5	518.0
Equity	413.6	445.3	389.2
Net debt	48.3	-19.2	31.0
Net debt/equity ratio, %	11.7	-4.3	8.0
Equity-asset ratio, %	41.5	45.8	38.6
Employees
Average number of employees	539	520	531
Net sales per employee	1.5	1.5	1.6

See Definitions of key figures and ratios for a definition of alternative performance measures.

Quarterly review

	2022			2023			2024
Amounts in SEK million	Q1	Q2	Q3	Q4	Q1	Q2	Q3	Q4	Q1	Q2	Q3	Q4
Net sales	187.8	203.1	195.3	228.6	188.8	213.6	195.2	228.4	209.4	-	-	-
Operating expenses	-180.8	-194.9	-169.2	-195.1	-178.9	-201.6	-172.3	-199.8	-197.4	-	-	-
Operating profit	7.0	8.2	26.1	33.5	9.9	12.0	22.9	28.6	12.0	-	-	-
Net financial items	-3.8	-2.0	2.0	-6.9	-4.4	-2.3	-1.9	-6.4	-1.3	-	-	-
Profit/loss after financial items	3.2	6.2	28.1	26.5	5.5	9.7	21.0	22.1	10.7	-	-	-

Segment information

	Q1	Jan-Dec
Amounts in SEK million	2024	2023	2023
Decomissioning & radiation protection services
Net sales	81.1	82.6	336.7
Operating profit	2.6	6.1	18.7
Assets	257.1	259.8	238.4
Liabilities	182.0	196.4	166.4
Investments	1.0	0.8	2.4
Average number of employees	330	314	324
Fuel and materials technology
Net sales	89.2	74.2	310.1
Operating profit	15.3	10.1	44.3
Assets	517.7	490.0	534.6
Liabilities	304.3	294.8	334.0
Investments	9.8	9.1	38.5
Average number of employees	152	150	149
Scandpower
Net sales	34.6	26.5	152.1
Operating profit	0.9	0.0	25.7
Assets	228.1	204.1	222.3
Liabilities	77.2	65.9	70.7
Investments	0.3	7.2	8.0
Average number of employees	40	42	42
Waste management technology Net sales	8.0	8.0	40.1
Operating profit	-2.3	-2.6	0.6
Assets	168.5	155.3	163.2
Liabilities	165.7	142.1	155.0
Investments	2.8	0.4	5.1
Average number of employees	9	7	9
Other
Net sales	2.8	2.5	11.3
Operating profit	-4.4	-3.8	-15.8
Assets	328.8	325.1	317.5
Liabilities	357.3	289.9	360.6
Investments	-	0.0	0.5
Average number of employees	8	7	7
Elimination
Net sales	-6.3	-5.0	-24.3
Operating profit	-	-	-
Assets	-502.5	-462.2	-468.7
Liabilities	-502.5	-462.2	-468.7
Investments	-	-	-
Average number of employees	-	-	-
Group
Net sales	209.4	188.8	826.0
Operating profit	12.0	9.9	73.4
Assets	997.6	972.2	1,007.2
Liabilities	584.0	526.9	618.0
Investments	13.9	17.5	54.5
Average number of employees	539	520	531

Data per segment cont. – sales per geographical area

	Q1
Amounts in SEK million	2024	2023	Jan-Dec 2023
Decomissioning & radiation protection services
Sweden	-	-	-
Germany	67.5	71.5	264.0
The rest of Europe	13.0	10.6	69.1
North America	-	-	-
Asia	-	-	0.1
Other	-	-	-
Total	80.5	82.1	333.2
Fuel and materials technology
Sweden	50.9	38.7	151.8
Germany	7.6	5.4	31.6
The rest of Europe	13.3	12.0	51.9
North America	6.4	2.0	7.4
Asia	9.2	15.1	63.0
Other	-	-	-
Total	87.5	73.2	305.6
Scandpower
Sweden	1.4	0.9	12.4
Germany	3.0	3.7	8.3
The rest of Europe	11.8	6.7	27.1
North America	10.3	13.1	74.9
Asia	6.4	1.1	24.3
Other	0.5	0.0	-
Total	33.4	25.5	147.1
Waste management technology
Sweden	5.3	4.0	14.5
Germany	-	-	-
The rest of Europe	1.6	3.3	14.5
North America	1.2	0.7	11.2
Asia	-	-	-
Other	-	-	-
Total	8.0	8.0	40.1
Other
Sweden	0.0	0.0	0.0
Germany	-	-	-
The rest of Europe	-	-	-
North America	-	-	-
Asia	-	-	-
Other	-	-	-
Total	0.0	0.0	0.0
Group
Sweden	57.6	43.6	178.8
Germany	78.1	80.6	303.8
The rest of Europe	39.8	32.5	162.6
North America	17.8	15.9	93.5
Asia	15.7	16.2	87.3
Other	0.5	0.0	-
Total	209.4	188.8	826.0

Parent company income statement, in summary

	Q1	Jan-Dec
Amounts in SEK million	2024	2023	2023
Net sales	2.4	2.1	9.7
Cost of services sold	-	-	-
Gross profit	2.4	2.1	9.7
Other operating income and expenses	-7.4	-4.7	-24.2
Operating profit	-5.0	-2.6	-14.5
Result from participations in Group companies	10.3	-	-
Net financial items	10.3	1.1	-0.6
Profit/loss before tax	15.7	-1.5	-15.1
Appropriations	-	-	26.0
Income tax	-0.9	0.3	-2.1
NET PROFIT/LOSS FOR THE PERIOD	14.7	-1.2	8.8

Parent company balance sheet, in summary

		31 Mar
Amounts in SEK million	2024	2023	2023
ASSETS
Intangible fixed assets	-	-	-
Financial assets	655.2	566.6	637.7
Total non-current assets	655.2	566.6	637.7
Current assets	31.4	20.4	30.4
Cash and cash equivalents	-	24.2	7.0
Total current assets	31.4	44.6	37.4
TOTAL ASSETS	686.6	611.2	675.1
EQUITY AND LIABILITIES
Restricted equtiy	233.5	233.5	233.5
Non-restricted equity	78.2	69.9	63.5
Total equity	311.7	303.4	297.0
Non-current liabilities	114.1	130.3	110.4
Current liabilities	260.8	177.4	267.8
Total liabilities	374.9	307.7	378.2
TOTAL EQUITY AND LIABILITIES	686.6	611.2	675.1

Reconciliations of key ratios

Return on capital employed

	31 Mar		31 Dec
Amounts in SEK million	2024	2023	2023
Profit/loss after financial items	10.7	5.5	58.4
Financial expenses according to the income statement	6.6	4.5	16.1
Total	17.3	10.1	74.5
Balance sheet total	972.2	927.3	1,022.4
Provisions and other non-current liabilities	-222.8	-222.4	-227.9
Trade and other payables	-241.9	-254.6	-257.4
Opening capital employed	507.5	450.3	537.1
Balance sheet total	997.6	972.2	1,007.2
Provisions and other non-current liabilities	-207.0	-222.8	-216.9
Trade and other payables	-265.1	-241.9	-272.3
Closing capital employed	525.5	507.5	518.0
Average capital employed	520.1	525.9	515.6
Return on capital employed (last four quarters)	15.8	15.7	14.4

See Definitions of key figures and ratios for a definition of alternative performance measures.

Return on equity

	31 Mar		31 Dec
Amounts in SEK million	2024	2023	2023
Net profit/loss for the period	8.5	9.2	48.6
Total	8.5	9.2	48.6
Opening equity	445.3	392.7	436.0
Closing equity	413.6	445.3	389.2
Return on equity (last four quarters)	11.3	13.3	11.2

See Definitions of key figures and ratios for a definition of alternative performance measures.

Net debt

		31 Mar
Amounts in SEK million	2024	2023	2023
Current borrowing	82.5	2.0	99.3
Non-current borrowing	29.5	60.2	29.5
Total liabilities	111.9	62.2	128.8
Cash and cash equivalents	63.6	81.4	97.8
Net debt	48.3	-19.2	31.0

See Definitions of key figures and ratios for a definition of alternative performance measures.

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). As not all companies calculate financial measures in the same way, they are not always comparable with measures used by other companies and must therefore not be seen as a substitute for the measures defined under IFRS. The company management considers that these key figures and ratios make it easier for investors to analyse the Group's development.

Average number of employees

Average number of employees at the end of each month. Used to calculate other key ratios per employee.

Capital employed

Balance sheet total less non-interest bearing liabilities. Average capital employed has been calculated as an average of the four last quarters. Shows the value of the assets associated with the operations and that contribute to generating revenue and profit.

Earnings per share

Profit 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. Used to measure the company's earnings per share.

Equity

Average equity has been calculated as an average of the four last quarters.

Equity-asset ratio

Equity including non-controlling interests as a percentage of the balance sheet total. This key ratio shows the company's long-term solvency and the proportion of assets that are equity financed.

Equity per share

Equity divided by the number of shares at the end of the period. Enables shareholders to compare book value with market value.

Free cash flow

Cash flow from operating activities (after changes in working capital) including cash flow from investing activities. Shows the company's cash generating capacity after operational investments.

Investments

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

Net debt

Total long-term and short-term borrowing less cash and cash equivalents. Used to show the company's ability to pay all debts if they fall due.

Net debt-equity ratio

Interest-bearing net debt divided by equity including non-controlling interests. A measure of financial risk.

Operating margin

Operating profit as a percentage of sales. A measure of the operative result.

Profit margin

Profit before tax as a percentage of net sales. A measure of profitability.

Return on capital employed

Profit/loss after financial items for the period with financial expenses, fair value losses and foreign exchange losses for the four last quarters added back, as a percentage of average capital employed. This measures how effectively Studsvik generates profit from the capital tied up in the business.

Return on equity

Profit/loss for the period for the last four quarters as a percentage of average equity. The measure shows the company's ability to generate a return on the owners' invested capital.

Sales revenue per employee

Sales revenue divided by average number of employees. For quarterly reports net sales are estimated on a full year basis. The measure shows sales turnover for each employee and is a human resources equivalent to the asset turnover ratio.

We refer to www.studsvik.se and our Annual Report, where more definitions and calculations of key figures can be found: https://www.studsvik.com/investors/financial-reports/

Studsvik in brief

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 centres and other nuclear facilities.

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 75 years' experience of nuclear technology and radiological services.

Studsvik focuses on creating value for customers. When collaborating with customers we first gain detailed insight into their needs, operations and methods so that we can then work with them to develop specialist technical solutions to improve efficiency, extend lifetimes or create the conditions for alternative, more effective solutions.

Studsvik has 530 employees in 7 countries and the company's shares are listed on Nasdaq Stockholm.

The interim report will be presented at a conference call to be held in English, on April 25, 2024, at14:00 CEST. 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 April 25, 2024, at 12:00 am CEST.

Time schedule for financial information

Interim report quarter 2, 2024, July 23, 2024

Interim report quarter 3, 2024, October 23, 2024

Year-end report 2024, February, 2025

For further information, please contact Niklas Karlsson,

Chief Financial Officer, tel +46 (0)76 002 10 53

Camilla Hoflund, President and Chief Executive Officer, tel +46 155 22 10 66.

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