Q1 2020 Highlights, Martin Tiveus, CEO

Financial Summary, Fredrik Lagercrantz, CFO

Q&A

Q1 2020 report presentationMay 6, 2020

Update on corona – operative perspective

• Preventive actions– Visitor stop

– Health control of employees

– Testing of employees

• Care for infected clients– Testing

– Isolation care

– Cooperation with health care systems

• Access to protective equipment– Attendo has been able to safeguard equipment to comply

with national recommendations since start of the pandemic

– Attendo's ambition is to use protective masks in all care

instances. This goes beyond national recommendations but

deemed needed to raise protection level

• Access to staff– Use of health care educated personnel from other

disciplines (dental care, physiotherapists)

– Access to support staff from service industries, hotels etc

2

Highlights first quarter 2020: Stable situation during first part of

the quarter. Corona pandemic puts large pressure on organization

• Corona pandemic has large operational and financial impact

– Limited financial impact in Q1 ~ SEK -20m

– Additional cost of ~ SEK -100m in remaining part of 2020

– Negative revenue effects expected

• Overall stable development in Scandinavia

– Stable performance in own care homes

– Continued positive development in home care

– Stabilized / improved development in outsourcing

– Higher number of openings in 2020

• Starting to see effects on turn-around program in Finland

– Price impact from Q1 onwards

– Cost impact from sharper staffing requirements

– High opening pace until Q3

3

Group highlights in Q1

4

6.1%Adjusted

EBITA, r12%

Q.I.

Net Sales, growth1

8%

EBITA-margin (reported)

5.8%

Leverage (adj ND/adj EBITDA)

3.9x

Quality Index

83%

Total Occupancy

80%

Total # of beds in own

operation2

17,260

Opened beds in own

operation2

648

New beds under

construction2

1,423

2) Own nursing homes (care for older people, CoP) and own care homes (care for people with disabilities, social psychiatry)

1) Excluding currency effects

Beds in operation and under construction: Beds under construction in sharp decline in Finland

5

No. of beds in operation1)

No. of beds under construction1)

1) Own nursing homes (care for older people, CoP) and own care homes (care for people with disabilities, social psychiatry)

2015 2016 2017 2018

2015 2016 2017 2018

2019

2019

504 394 394 335 265 380 439 560 566 535710 756 750 705 823 900 908 965

414433 467

420 472

948870

458

Q1 Q2

918

Q3

1,089

2,335

1,110

2,147

Q2

1,469

Q3 Q3

1,277

Q4

737

Q1

1,375

1,059

Q4 Q2Q1

1,562

1,843

1,935

2,047

2,828

Q2Q3 Q4

2,0781,696

Q1

1,758

2,401

Q4Q2

1,493 1,276

1,146

Q3 Q4

2,159

Q1

2,757

Q1

1,593

827

2,094

861755

1,716

2,378

2,903

2,463 2,519 2,462

1,980

1,423

-41%

Attendo Finland Attendo Scandinavia

4,438

Q2

3,689

Q1

3,6423,636

Q1

4,066

2,478

4,7844,190

2,478 3,326

4,349

Q3

2,696 2,780

Q4

3,603

4,599

Q3 Q4

2,781

Q2

2,833 3,602

4,994

3,189

6,137

2,839 3,6333,002

Q4

13,320

5,204

Q1

2,898

Q1

5,444

11,652

Q2 Q1Q3

9,304

15,288

Q3Q4

9,89010,933

Q2

11,286

3,603

12,290

Q4Q3

12,574 12,929

8,102

Q2

12,635

12,868

6,331

Q1

3,331

3,973

2,358

6,544 6,668 7,045 7,218 7,380 7,617

3,940

8,4469,326

13,21614,536 14,889

15,923 16,216 16,470 16,61817,260

7,833

+8%

2020

2020

Own operations growth pace: Continued high opening pace, will decrease in Finland after Q2

6

No. of opened beds in own operation1) , by quarter and rolling 12 months

1) Own nursing homes (care for older people, CoP) and own care homes (care for people with disabilities, social psychiatry)

2016 2017 20182015

60108

122216

70 54

227

5497 112 114

201

54 60 84

174255

93

120

12282 201

237

307

606

359533

954

307

342 352

541

422

305

393

2,500

500

1,000

0

500

1,500

0

3,0002,000

1,500

2,000

1,000

319

Q4 Q1

625

404 412

212

Q4

434

Q2Q1Q1 Q2 Q3Q3 Q4 Q3

11

Q1

648

Q2

291

Q3

396

6

Q1 Q2

12

Q3 Q4 Q1

2,186

Q2

12

473

336

Q4

201 192136

718

539

1,155

479

Openings R12

Openings by quarter Attendo Finland

Openings by quarter Attendo Scandinavia

2019 2020

Mature units: margin and net sales developmentSharpened staffing regulations in Finland pressures margins

7

R12 adjusted EBITA margin development %

Note: Figures according to IAS 17. Finnish healthcare operations excluded in historical financials, based on estimates for 2016

* Mature defined as group financials excluding Mikeva units, start-up units** and one-offs. All overhead costs part of mature financials.

** Start-up units defined as units started last 12 months up until 2019. From 2019, units started 2018, 2019 and 2020 defined as start-up units.

R12 Net sales, SEK Billion

0

2

4

6

8

10

12

Q1 2017

9.6%

Q1 2016 Q3 2019

10.6%

Q2 2018

8.8%

10.0%

Q1 2019

10.1%

10.4% 10.3%11.2%11.3%

Q2 2016

7.3%

10.1%

Q3 2016

5.2%

Q3 2018Q4 2016

10.3%

10.6%

11.1%

11.4%

10.8%

10.1%

Q2 2017

10.5%

Q3 2017

9.9%

11.1%

Q4 2017

4.3%

7.8%

10.7%

Q1 2018

7.5%

10.6%

6.5%

Q4 2018

6.1%

8.4%

9.7%

6.4%

3.7%

Q2 2019 Q4 2019

3.0%

5.9%

Q1 2020

Group reported

Mature*

10

2

4

14

6

0

8

1211.911.7

Q2 2019

9.59.0

7.4

9.4

Q3 2017 Q4 2017

7.78.8

10.0

7.2

Q1 2016

7.9

Q2 2016

8.1

8.17.5

Q3 2016 Q1 2018

8.2

7.7

Q4 2019Q4 2016

8.4

9.3

7.8

Q1 2017

8.5

8.0

Q2 2017

9.4

8.7

8.2 8.3 8.5

Q2 2018

10.6

Q3 2018

11.0

9.0

Q4 2018

11.2

Q1 2020

9.1

Q1 2019

11.5

Q3 2019

12.2

9.6

Occupancy development: vintage breakdownStable in mature, steadily improving in 2017-19 vintages

8

Occupancy in own homes1

90

85 8582

7982 81

0

5

10

15

20

25

30

35

40

45

50

55

60

65

70

75

80

85

90

95

100

apr-18jan-17 jul-18 okt-18 okt-19jan-19 apr-19jan-18 apr-20jan-20okt-17apr-17 jul-19jul-17

8079 80

88

81 80

2020

2016 and earlier

2019

2018

2017

Mikeva

Total occ.

1) Own nursing homes (CoP) and own care homes (care for people with disabilities, social psychiatry)

SEKm Q1 2020 Q1 2019 Change (%)

Net sales 3,128 2,878 9

Organic, % 5.9 1.8 -

Acquired, % 1.7 5.4 -

Currency, % 1.1 2.5 -

Operating profit (EBITA) 182 258 -29

Operating margin (EBITA), % 5.8 9.0 -

EBIT 150 222 -32

Financial net -146 -135 -

Income tax -1 -21 -

Net profit 3 66 -95

Diluted earnings per share, SEK 0.02 0.41 -

P&L: Growth primarily from more beds occupied Lower profit due to higher costs and high number of openings in Finland

9

Q1 2020 Chg

SEKm 2020 2019 (%)

Net sales 1,594 1,537 4

Operating profit (EBITA) 165 161 2

Operating margin (EBITA), % 10.4 10.5 -

Adjusted EBITA 125 121 3

Adjusted EBITA margin, % 7.8 7.9 -

Attendo Scandinavia Q1 2020

10

46%

28%

21%

Individual and family care

5%

Outsourcing homes

Own care homes*Home care

OVERALL STABLE PERFORMANCE

Net sales

• More sold beds in new own care homes, price adjustments and

acquisitions increased net sales

Profits

• Underlying profit slightly higher vs Q1 2019

• Increased contribution from own care homes started 2017,

2018

• Improved profits in Home care and outsourcing

• Corona impact SEK -15m

Other

• Net won outsourcing contracts of SEK 29m in Q1

Net sales per service offering, Q1 2020

*) Own nursing homes (care for older people, CoP) and own care homes (care for people with disabilities, social psychiatry)

Attendo Finland Q1 2020

11

71%

22%

Own nursing homes (care for older people)

7%

Other

FIRST IMPACT OF TURN-AROUND PROGRAM

Net sales

• Growth due to sales in new own homes started 2019 and

2020, as well as price increases

Profits

• Positive price effect from renegotiations of frame work

agreements

• Higher cost from sharper staffing requirements and action

program

• More empty beds due to many openings

• Corona impact SEK -5m

Other

• High number of openings until H2 2020 due to past

commitments. Significantly reduced number of beds under

construction

Q1 2020 Chg

SEKm 2020 2019 (%)

Net sales 1,534 1,341 14

Operating profit (EBITA) 36 116 -69

Operating margin (EBITA), % 2.3 8.6 -

Adjusted EBITA -22 58 -

Adjusted EBITA margin, % -1.4 4.3 -

Net sales per service offering, Q1 2020

Own care homes -

(Disabled care and

social psychiatry)

Cash flow: Higher free cash flow due to positive change in working capital

SEKm Q1 2020 Q1 2019

Operating profit (EBITA) 182 258

Change in working capital, paid tax, non cash items and depreciation 524 118

Cash flow after changes in working capital 706 376Net investments in tangible and intangible assets -114 -63

Operating cash flow 592 313Interest received/paid -15 -33

Interest costs and amortization IFRS 16 -351 -312

Free cash flow 226 -32

Net change in assets and liabilities held for sale 47 59

Net of acquisitions/divestments -59 -153

Change in financing -7 -2024

Total cash flow 207 -2,150

Net debt 13,162 10,737

Net debt/EBITDA 6.9x 5.3x

Adjusted net debt 2,270 2,630

Adjusted net debt / adjusted EBITDA 3.9x 3.0x

12

Financial impact of corona pandemic going forward

• Estimated additional cost impact, net ~SEK -100m in 2020– Cost for protective equipment

– Personnel costs due to sick leave

– Main part in Q2

– Significantly lower cost impact in Q3 and Q4 expected

– State support in Finland from May 2020

• Impact on occupancy / sales– General concerns about the corona situation impacts willingness to take on care services

– Increased mortality in certain regions

– Based on numbers in April, negative sales impact per month of ~SEK -20m

• In the long term, we do not believe that the corona pandemic should have any

significant impact on either Attendo or the underlying demand for our services

13