Presentation

6 March 2024
LIFCO DEVELOPS LEADING NICHE COMPANIES
LIFCO
Sales 2023: 24,454 MSEK
EBITA 2023: 5,664 MSEK

Dental Demolition & Tools Systems Solutions

Leading distributors of dental products in Leading producers of demolition robots, forest Wide range of leading systems solutions
Nordics and Germany machines and attachments for excavators and providers
% of EBITA1 cranes % of EBITA1 % of EBITA1
Sales 2023: 6,030 MSEK Sales 2023: 7,097 MSEK Sales 2023: 11,328 MSEK
EBITA 2023: 1,248 MSEK 21% EBITA 2023: 1,859 MSEK 32%
EBITA 2023: 2,704 MSEK 47%
1 Excluding HQ costs.

2
ONE TARGET: TO INCREASE PROFITS EVERY YEAR

4 .0 %
31
02
6–
2
9 .4 %
2 00 31
GR 2 02
A 6–
EBITA before acquisition costs and

sC 00
Sa
le
G R2
non-recurring items (MSEK)

A CA
I T
EB

1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023
EBITA margin 14.2% 15.0% 15.3% 17.3% 18.1% 18.2% 19.6% 21.2% 21.6% 23.2%

Dental Demolition & Tools Systems Solutions

Note: IFRS accounting since 2012, prior years Swedish GAAP. 3

STRONG GROWTH IN CASH FLOW PER SHARE
SINCE IPO
Free cash flow per share after capex and before dividends and acquisitions

10
8.8
9

8 023 26.0%
14- 2
AG R 20
C
7
6.1
5.6 5.8
6

5
3.8
4
3.0
3 2.6
2.1
1.9
2
1.1
1

0
2014 2015 2016 2017 2018 2019 2020 2021 2022 2023

4
ACQUIRED VS ORGANIC EBITA GROWTH

Average
MSEK 2015-2023 2023 2022 2021 2020 2019 2018 2017 2016 2015
EBITA 5,664 4,662 3,709 2,702 2,523 2,168 1,732 1,377 1,186

EBITA from 536 401 488 222 221 197 198 152 118
acquisitions
EBITA growth from 12% 12% 11% 18% 9% 10% 11% 14% 13% 12%
acquisitions
Organic EBITA 8% 6% 11% 21% 0% 3% 10% 10% 3% 8%
growth
FX EBITA growth 2% 4% 4% -2% -2% 3% 4% 1% 0% 3%

Total EBITA 22% 22% 26% 37% 7% 16% 25% 26% 16% 23%
growth

EBITA is defined as operating profit before amortization and impairment of intangible assets arising from acquisitions.

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 DEVELOPMENT 2015-2023
CAGR 2015-
MSEK 2023 2023 2022 2021 2020 2019 2018 2017 2016 2015
EBITA 22% 5,664 4,662 3,709 2,702 2,523 2,168 1,732 1,377 1,186

EPS1 19% 7.21 6.13 5.26 3.67 3.31 3.06 2.39 2.00 1.78

Interest-bearing
17% 6,849 5,590 4,603 3,242 4,040 3,170 3,536 3,018 1,950
net debt
Interest-bearing
net N/A 1.1 1.1 1.1 1.1 1.4 1.4 1.9 2.0 1.5
debt/EBITDA
Operating cash
21% 4,458 3,069 2,938 2,812 1,990 1,533 1,326 1,084 948
flow
Dividend paid
17% 818 681 545 477 418 363 318 273 236
during the year
Acquisition
spend (cash
N/A 3,718 2,295 2,990 1,056 1,781 500 1,378 1,608 573
flow effect)
during the year
EV of acquired
entities during N/A 4,335 2,247 3,496 1,194 2,161 695 1,584 1,649 527
the year2
Full year EBITA
estimate of
N/A 659 353 595 154 287 110 223 204 107
acquired
entities2
1
Number of shares adjusted for split in 2021. 6
2
For acquisitions consolidated during the year (data from “Acquisitions” in Q4 reports) – purchase consideration adjusted for cash in acquired companies.
CAPITAL EMPLOYED – LIFCO CAN GENERATE STRONG CASH
FLOWS ALSO IN YEARS WITH HIGH ORGANIC GROWTH
ROCE including goodwill ROCE excluding goodwill
and other intangible assets and other intangible assets

163%
22.5% 22.6% 22.6%
135% 139%

12.5%

50%

2021 2022 2023 2021 2022 2023

Target ranges

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A SAFE HAVEN FOR YOUR BUSINESS – SUITABLE FOR
HIGHLY DIFFERENTIATED NICHE COMPANIES

Lifco is a long-term
• Lifco basically never sells a company
owner

• All decisions taken at local management level

The business stays
• No forced synergies or integration
independent and local
• Lifco has never moved a business

Incremental and
continuous • No big shake-outs. We look for stable growth of profits
development

Long-term managers • Our culture is based on simplicity, common sense and minimized bureaucracy
and employees • Lifco’s employees tend to stay on forever

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DECENTRALIZED PROFIT-ORIENTED CULTURE – ~250
MANAGERS MEASURED ONLY ON ORGANIC EBITA
DEVELOPMENT AND CASH FLOW
Right person in the right position • Motivated managers who deliver results

Continuous pricing optimization • Focus on customers with potential for sustainable profit growth

Optimized management structure • Focus on value adding personnel and minimized bureaucracy

Outsourced non-core functions • Focus on the value creating parts of the business

Cash flow in focus • Strong cash flow also in growth phases

• Investments in value creating activities to secure long-term

Long-term perspective
profit growth