CRAMO GROUP

SHAPINGTHE FUTURE

SEB NORDIC SEMINAR 2019COPENHAGEN, JANUARY 8, 2019

LEIF GUSTAFSSON, PRESIDENT AND CEO

AGENDA

▪ A sustainable business

▪ Business segments:

▪ Equipment Rental

▪ Modular Space

▪ Shape & Share strategy

▪ Financials

▪ Summary

Cramo is a rental solutions provider in

machinery, equipment and modular space –with a sustainable business model.

CRAMO IN BRIEF (2017)

Russia

Czech Rep.

AustriaHungary

Ukraine

Norway

Finland

Sweden

Lithuania

Slovakia

Estonia

Germany

Poland

Denmark

#2in Europe

Cramo

Fortrent

#1in the Nordics (MS)

324depots

14countries

230,000rental units

150,000customers

300depots

#2in Europe

Plan to exit Ukraine 2019

SHAPE AND

SHARE

STRATEGY

STRATEGIC STEPS 2017- 2020

AlignImplementing Group-wide processes and tools

Living the Cramo Story

Establishing the renewed Cramo Care

OptimiseShaping the business structure and model

Enhancing the performance culture

Creating a new digital concept

Striving for zero accidents

GrowthBuilding a new footprint in chosen markets

Targeting organic and inorganic growth

Continuously evaluating potential acquisitions target companies and striving for a leading position in chosen markets

AN EVENTFUL 2018

▪ Acquisition of Nordic Modular Group▪ Enterprise value of 2.725 BSEK▪ Sales of 779 MSEK

and EBITA of 160 MSEK (2017)

Acquisitions Performance

▪ Acquisition of KBS Group▪ A leading, high-quality

construction site logisticscompany in Germany in 2018

▪ The acquisitions are expected to have a positive effect on EPS in 2019

▪ Focus on integration during 2019

▪ Sales increased by 4.6% Rolling 12M (09/2018), to reach 759 MEUR

▪ Sales driven by good performance in both business divisions

▪ Comparable EBITA, R12M (09/2018), amounted to 128 MEUR, a 6.5% increase, corresponding to a margin of 16.9 percent

▪ Comparable earnings per share amounted to 2.06 EUR in R12M (09/2018) – from 1.87 EUR R12M 2017

Operations & Market

▪ Assessment of potential separation and listing of Modular Space

▪ Cramo has decided to pursuit towards separation of MS business through a partial demerger mid 2019

▪ Market environment has remained good for both business divisions

▪ Market growth in Sweden has been levelling out during second half of 2018

▪ Continued strengthening of organization and management

▪ Fortrent to continue Russian operations and exit Ukraine

CAPTURING OPPORTUNITIES IN A CHANGING WORLD

CRAMO

SHARINGECONOMY

Digitalization

Migration

Urbanisation

Demographic changes

Scarcity of resources

MEGATRENDS DRIVERS

Sustainable development

CREATINGVALUE

STRATEGIC DRIVERS

▪ Driving the sharing economy

▪ Shaping the industry

▪ Stakeholder expectations for

more sustainable operations

▪ Resource and operational

efficiency

▪ Changing the operating

environment

▪ Increased transparency

and more stringent ethics

CUSTOMER CARE

▪ Customer satisfaction

▪ Health and safety

▪ Resource efficiency

▪ Business ethics

▪ Responsible suppliers

ENVIRONMENTAL CARE

▪ Resource efficiency

▪ Reduced environmental

footprint

▪ Increased circularity

EMPLOYEE CARE

▪ Employee satisfaction

▪ Health and safety

▪ Skills development

▪ Diversity and equality

SOCIAL CARE

▪ Local engagement

▪ Business ethics

VALUE ADDED

▪ Growth

▪ Risk management

▪ Return on capital

▪ Skilled, committed employees

▪ Innovative corporate culture

▪ Competitive edge

COMMITMENT AND PRINCIPLES

Code of Conduct and Business Ethics

Supplier Code of Conduct

UN Global Compact

ISO

THE KEY ELEMENTS CRAMO CARE

#1 Cramo as an active shaper of the rental industry, a driver of the sharing economy.

#3 Overall responsibility lies with Group Management, whereas operational responsibility and employee engagement lie with country managers.

#2 Value creating targets include both

financial and non-financial objectives.

#4 Relevance and continuous improvement are

strengthened through an active dialogue

with all stakeholder groups.

DIGITAL VISION AND MISSION

VisionDigital change

leaders

Shapers, not followers!

MissionEasy, accessible,

always open

channels that

adds value

CRAMO PROVIDES 3 GREAT DIGITAL TOOLS

E-commerce and customer portalRENT, MANAGE AND RETURN EQUIPMENT ONLINE

Product viewerFOR PRODUCT DATA AND DOCUMENTS

MyEquipDESIGNED FOR ON-SITE RENTAL MANAGEMENT

▪ Optimised for desktop mobile and tablet

▪ Search equipment and product data

▪ Check product availability

▪ Rent for selected jobsite

▪ Choose between transport and pick-up

▪ Manage rentals and view rental details at each jobsite

▪ Order return transportation

▪ Check invoices

▪ View rental dashboards and export data

▪ Manage equipment and material on rent, not only products from Cramo

▪ Get information if equipment is returned

▪ Easily communicate picklists with colleagues or with Cramo when a return is needed

▪ Operate with Cramo after office hours

▪ Scan the product number on the machine or input it manually. The app shows data for each unique machine

▪ Examine vital product info such as measurements, power supply, noise, vibration etc.

▪ Access user manuals

▪ View all PSI-documents gathered in one place

TWO BUSINESS

DIVISIONS TO STAND

TALL ON

EQUIPMENT

RENTALMODULAR SPACE

EQUIPMENT RENTAL* MODULAR SPACE* (excluding NMG)

458 MEURIN SALES (+3.4%)

74 MEURCOMP. EBITA (+2.5%)

14.7% COMP. ROCE (-0.2 PP)

16.3%COMP. EBITA MARGIN

(-0.1 PP)

105 MEURIN SALES (+15.9%)

27 MEUREBITA (+27.1%)

10.1% ROCE (+0.4 PP)

25.8%EBITA MARGIN

(+2.3 PP)

*January-September 2018 (vs 2017), excl non-allocated Group function costs

77%

23%

Share of sales

73%

27%

Share of EBITA

23%

77%

Share of sales

27%

73%

Share of EBITA

POTENTIAL SPLIT - RATIONALE

Capturing the full business potential

Growth

Increase opportunity to optimise operational

efficiency and create value

Competitive strength

Increase competitiveness through specialisation

Financial clarity

Two clear investment options with different risk

and growth profiles

Creating conditions for greater shareholder

value with two stand-alone companies that

can grow stronger separately

EQUIPMENT

RENTAL

BUSINESS SEGMENTS (R12M SEPTEMBER 2018)

Finland

Lithuania

Estonia

Poland

Net sales (MEUR)

EBITA(margin-%)

ROCE

144

22

11%

(15%)

ER Finland and Eastern Europe

Czech Rep.

Austria Hungary

Slovakia

Germany

Net sales (MEUR)

EBITA(margin-%)

ROCE

102

8

6%

(8%)

ER Central Europe

Norway

Sweden

Net sales (MEUR)

EBITA(margin-%)

ROCE

372

74

19%

(20%)

ER Scandinavia

EBITA and ROCE figures are presented as comparable figures excluding IAC’s

Constructionindustry

59%

Other industries

23%

Public sector11%

Households 2%Other

5%

Sales by customer group

Sales by customer group proportions

calculated with 2017 FY sales

EQUIPMENT RENTAL

A wide range of rental-related services

ranging from different site services, such as

proactive site monitoring, construction site

logistics, dust control and weather

sheltering to safety-related and

environmental services,

equipment and training.

Comprehensive range of tools

and complete package solutions

in building equipment.

Site huts adaptable

for various purposes

and capacity needs.

Access equipment with

comprehensive safety solutions

for working at heights.

Modern, comprehensive fleet of

construction equipment for any type

of assignments, from major road

projects to small-scale jobs as well

as industrial projects.

Well-known

brand

Proven track

record of

acquisitions

Clear position in

sharing

economy

Strong

customer base

MODULAR

SPACE

COMBINED COMPANY IN BRIEF

Day care AccommodationOfficeSchool Events

CUSTOMER SEGMENTS

23 sales offices in 7 countries

OFFICE NETWORK

392 people

PERSONNEL

KEY FINANCIALS R12M September 2018

Net sales (MEUR) EBITA (MEUR)226 51 (22.5%)

~31,000

RENTAL MODULES

Business overview (Cramo Adapteo + Nordic Modular Group)

*NMG reporting standards may differ from Cramo Group

**Cramo Adapteo figures are based on the modular space segment reporting

MODULAR SPACE

1

2

34

PLANNING

DELIVERY

RENTAL PERIODRETURN

PROJECT TIMELINE

Rental period varying from two to five years,

maintenance and other services available

during renting.

Transport of modules and assembly of the

temporary space solution.

PROJECT TIMELINE

Analysing customer needs and designing the

optimal solution together.

PROJECT TIMELINE

Disassembly of the temporary space solution,

site restoration and off-site transport.

PROJECT TIMELINE

SERVED CUSTOMER SEGMENTS

OfficesOFFICES DAYCARE ACCOMMODATION SCHOOLS EVENTS

Recurring

revenues

Non-cyclic

business logic

Growing

market

Attractive

customer base

Flexible

premium

solutions

FINANCIALS

FINANCIAL TARGETS 2017-2020

EQUIPMENT

RENTAL▪ Organic sales growth > market

▪ ROCE > 14.5%

MODULAR SPACE▪ Double digit organic rental

sales growth

▪ ROCE > 12.5%

CRAMO GROUP▪ Net Debt / EBITDA < 3x

▪ ROE > 15%

▪ DIVIDEND PAYOUT RATIO ~40%

* Financial targets: on average during 2017- 2020

* ROCE = EBIT / capital employed (average)

FINANCIAL TARGET REALISATION

EQUIPMENT RENTAL MODULAR SPACE

* Target to grow faster than market. Market growth according to ERA (European Rental Association) in the markets where Cramo is present

** Organic sales growth excludes the impact of acquisitions, divestments and exchange rate changes and IFRS changes

SUMMARY

STRONG HISTORY OF GROWTH AND PROFITABILITY

657652

668

712

729

759

10%

5%

12%

14%

16%

17%

0%

2%

4%

6%

8%

10%

12%

14%

16%

18%

580

600

620

640

660

680

700

720

740

760

780

2013 2014 2015 2016 2017 R12M/Sep 2018

Sales EBITA margin

%M

EU

R

Leading player

with sustainable

business in a

growing market

Ready to capture

the potential in

innovation and

digitalization

Potential for

further value

creation

Solid business

model supported

by megatrends

and sharing

economy

Attractive cash

flow generation

and dividend