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Q4 Report 2012 Johan Molin

President & CEO

Financial highlights Q4 2012

Good performance in a tough market – Good growth in Americas and improvement in the Pacific – Stable situation in EMEA, APAC and Global Tech – ESD suffering from weak Europe – Record profit and cash flow

Sales 12,239 MSEK +4% 0% organic, +7% acquired growth, -3% currency

EBIT 2,030 MSEK +8% Currency effect -41 MSEK

EPS 3.74 SEK +9% Underlying tax rate 24%

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Financial highlights Jan-Dec 2012

A good year in a challenging market

Sales 46,619 MSEK +12% +2% organic, +9% acquired growth, +1% currency

EBIT 7,501 MSEK +13% Currency effect 37 MSEK

EPS 13.84 SEK +13% Underlying tax rate 24%

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4

Market highlights

Strong demand for SE readers with SIO in Physical access

Digital door locks sees strong growth in the Americas

New industrial door range for distribution in ESD

New modular lock range for Europe

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Modular lock range

Platform based mechanical & elmech locks for commercial applications

Sustainability ECO Design, “Sustainable Design” and EPD

20 new patents

Branded ASSA ABLOY, like the success of ASSA ABLOY door closers

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Group sales in local currencies Jan-Dec 2012

2 +9

29 +12 16 +9

5 +1

1 +16

Share of Group sales 2012 YTD, % Year-to-date vs previous year, %

47 +11

Emerging markets 25% of sales despite acquisitions in Europe

Organic growth index Recovery from recession

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Group +0%

Division Index

EMEA -7%

Americas -13%

Asia Pacific +33%

Global Tech +14%

ESD +0%

-18-15-12-9-6-303691215182124

24 00026 00028 00030 00032 00034 00036 00038 00040 00042 00044 00046 00048 000

2005 2006 2007 2008 2009 2010 2011 2012Organic Growth Acquired Growth Sales in Fixed Currencies

Sales growth, currency adjusted

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2012 Q4 +7% Organic +0% Acquired +7%

Sales MSEK Growth, %

Operating income (EBIT), MSEK

3 500

4 000

4 500

5 000

5 500

6 000

6 500

7 000

7 500

8 000

700800900

1 0001 1001 2001 3001 4001 5001 6001 7001 8001 9002 0002 100

2005 2006 2007 2008 2009 2010 2011 2012Quarter Rolling 12-months

Quarter 12-months

Run rate 7,501 MSEK (6,624) +13%

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*) Excluding restructuring costs.

12,0

13,0

14,0

15,0

16,0

17,0

2005 2006 2007 2008 2009 2010 2011 2012

Quarter Rolling 12-months

Q4 2012 Dilution QTD +0.1% YTD -0.2%

Operating margin (EBIT)*, %

Run rate 2012 16.1% (15.9)

Long term target range (average)

10

EBIT Margin

*) Excluding restructuring costs.

Q1 2013 effect Easter -2 days

Manufacturing footprint Status manufacturing footprint programs 2006-2011:

– 53 factories closed to date, 15 to go – 56 factories converted to assembly, 19 to go – 28 offices closed, 1 to go

Personnel reduction QTD 301p and total 6,765p

770p in further planned reductions

1,068 MSEK of the provision remains for all programs

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Margin highlights Q4 2012

EBIT margin 16.6% (16.0) +0.6%

+ Volume increase -1%, price +1%

+ Margin expansion from organic growth 0.5% - Organic growth 0% + Manufacturing footprint + Capacity adjustments + Raw material + Contribution from acquisitions +0.1%

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Acquisitions 2012

Fully active pipeline

13 acquisitions done in 2012

Annualized sales 4,500 MSEK +10.8%

Major acquisitions Jan-Dec 2012: Albany, US Dynaco, BE Securistyle, UK Sanhe Metal, China Helton, Canada Guoqiang, China 4Front, USA

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4Front, USA

US Market leader in docking equipment with sales of 1,100 MSEK

Adds strong distribution network across North America

Leading well known brands and products with 125 active patents

Offers a manufacturing base for production in North America

Single digit EBIT but accretive to EPS in 2013

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Division - EMEA

Weak December due to few working days

Growth in UK, France, Israel, Middle east and Eastern Europe

Slight decline in Scandinavia, Finland, Germany and Spain

Negative sales in Italy and Benelux

Good profit and cash flow

Operating margin (EBIT) - Organic -1% = Material cost + Footprint savings

SALES share of

Group total %

28

15

13 14 15 16 17 18 19

2007 2008 2009 2010 2011 2012

EBIT %

Division - Americas

Strong growth in Residential, Electromechanical and South America

Growth in AHW, Doors, High security and Mexico

Decline in Canada

Improved margin from volume and efficiency gains

Operating margin (EBIT)

+ Organic +5%

+ Material cost

+ Efficiency improvement

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17

SALES share of

Group total %

17

18

19

20

21

22

2007 2008 2009 2010 2011 2012

EBIT%

Division - Asia Pacific

Return of growth in the Pacific and strong growth of Korea

Low growth in China and slowing South East Asia

Workforce in China reduced by 1,400p to mitigate the high salary inflation

Operating margin (EBIT) - Organic +2% - Mix & cost pressure + Efficiency in China + Material cost

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19

SALES share of

Group total %

5

8

11

14

17

2007 2008 2009 2010 2011 2012

EBIT %

Division - Global Technologies

HID – Strong growth of Logical access and IDT – Good growth of Access control and Secure Issuance – Flat in Government ID and decline in project sales – Strong profit improvement

Hospitality – Continued good growth from the renovation market – Strong profit improvement

Operating margin (EBIT) + Organic +2% + Leverage from core business growth + Less project sales

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SALES share of

Group total %

10 12 14 16 18 20

2007 2008 2009 2010 2011 2012

EBIT%

Division - Entrance Systems Decline in Southern Europe

Good growth of Albany, Dynaco

Slightly neg growth for industrial and pedestrian doors

Continued decline of Ditec and Residential doors

Integration work develops very well

Sales +14% and EBIT +15%

Operating margin (EBIT) - Organic -5% + Raw material + Efficiency gains from integration works

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23

SALES share of

Group total %

10

12

14

16

18

20

2007 2008 2009 2010 2011 2012

EBIT%

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Q4 Report 2012 Carolina Dybeck Happe

CFO

Financial highlights Q4 2012

MSEK 2011 2012 Change 2011 2012 Change

Sales 11,744 12,239 +4% 41,786 46,619 +12% Whereof Organic growth 0% +2% Acquired growth +7% +9% FX-differences -212 -3% 290 1% Operating income (EBIT) 1,881 2,030 +8% 6,624 7,501 +13% EBIT-margin (%) 16.0 16.6 15.9 16.1 Operating cash flow 2,794 3,160 +13% 6,080 7,044 +16% EPS (SEK)* 3.43 3.74 +9% 12.30 13.84 +13%

4th Quarter Twelve months

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*excluding non comparable items

Bridge Analysis – Oct-Dec 2012

MSEK 2011

Oct-Dec

Organic Currency Acq/Div 2012

Oct-Dec

0% -3% 7% 4%

Revenues 11,744 -28 -212 736 12,239

EBIT 1,881 51 -41 138 2,030

% 16.0% - 19.2% 18.8% 16.6%

Dilution / Accretion 0.5% 0.0% 0.1%

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P&L – Components as % of sales

Direct material 35.1% 34.7% 34.6%

Conversion costs 25.9% 25.4% 25.9%

Gross Margin 39.0% 39.9% 39.5%

S, G & A 23.1% 23.6% 23.4%

EBIT 15.9% 16.3% 16.1%

2012 FY excluding acquisitions

2011 FY

2012 FY

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Operating cash flow, MSEK

3 000

3 500

4 000

4 500

5 000

5 500

6 000

6 500

7 000

7 500

8 000

0

500

1 000

1 500

2 000

2 500

3 000

3 500

2005 2006 2007 2008 2009 2010 2011 2012

Quarter Cash Rolling 12-months EBT Rolling 12 months

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Quarter 12 months

Gearing % and net debt MSEK

0

20

40

60

80

100

120

0

5 000

10 000

15 000

20 000

25 000

30 000

2005 2006 2007 2008 2009 2010 2011 2012

Net debt Gearing

Debt/Equity 55 (60)

Net debt/EBITDA 1.7 (1.9)

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Net Debt Gearing

13,84

0,00

2,00

4,00

6,00

8,00

10,00

12,00

14,00

16,00

2005 2006 2007 2008 2009 2010 2011 2012

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Earnings per share

Since 2005 EPS + 120% Dividend 2013: 5.10 SEK (4.50)

*) Excluding restructuring costs.

SEK

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Q4 Report 2012 Johan Molin

President & CEO

Conclusions Q4 2012

Total growth by 4% with 0% organic

Good growth in Americas

Stable situation in EMEA, APAC and Global Tech

Strong efficiency improvements and raw material supports profit

Record EBIT of 2,030 MSEK, improved by 8%

Record cash flow at 3,160 MSEK

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Q&A