Industrivarden Ab Class A · OMXSTO:INDU_A

Industrivarden Ab Class A — H1 2010 Earnings Presentation

14 slides from Industrivarden Ab Class A's earnings presentation, Jul 5, 2010

  1. Slide 1: Long-term industrial developer of listed Nordic companies

    “Long-term industrial developer of listed Nordic companies” First half year 2010 Industrivärden, July 5, 2010 AN_Pres_KV210 Nr 1

  2. Slide 2: Company in brief

    Company in brief  Established: 1944  Stock: Listed on NASDAQ OMX Nordic, Stockholm  Market cap: Approx. EUR 3.4 bn (SEK 33 bn)  Free float: Approx. 40% of shares  Rating: S&P; A/stable/A-1  No. shareholders: 50,000  Average daily trading vol.: Approx. 210,000 Class A-shares 570,000 Class C-sh

  3. Slide 3: Long-term industrial developer of listed Nordic companies

    – Long-term industrial developer of listed Nordic companies Ericsson Volvo SSAB Sandvik Skanska SCA AN_Pres_KV210 Nr 3

  4. Slide 4: Strong base for value creation

    Strong base for value creation Our competitive advantages Our portfolio Holding Market value, Portfolio Share of SEK bn share, % votes, % Sandvik 13.4 23 11.8 Long-term Handelsbanken 12.1 21 10.3 active ownership Volvo 7.1 12 10.4 Blue-chip portfolio SCA 6.5 11 29.4 Ericsson 6.5 11 13.6 SSAB 6.0 10

  5. Slide 5: Focused strategy

    Focused strategy Strong value potential and long-term perspective Portfolio Conditions Sectors: Sector generalist Scope: Concentrated portfolio – focus Business models: Geographically scalable Individual investments Market value: Large and midcap Cash generation: Good ability companies Ownership Maj

  6. Slide 6: 6M:2010 in brief

    6M:2010 in brief  Net asset value SEK 46.3 bn, or SEK 120/share  increase of SEK 3.5 bn, or 11% for the year to date*  Total return of 3% for the A-shares and 5% for the C-shares  the return index was 7%  In May, Volvo A-shares at an amount of SEK 800 M were purchased in a share swap at an aver

  7. Slide 7: Net asset value

    Net asset value SEK billion SEK per share June 30 Dec. 31 Dec. 31 June 30 Dec. 31 Dec. 31 2010 2009 2008 2010 2009 2008 Equities portfolio 58.9 53.5 34.7 153 139 90 Net debt -28 -28 -12.6 -10.8 -10.8 -33 Net asset value 46.3 42.8 23.9 120 111 62 Debt-equity ratio Debt-equity ratio 21% 20% 31% after

  8. Slide 8: Why invest in Industrivärden?

    Why invest in Industrivärden? The average annual excess return for last ten years was 1%-pt/year Total Return (Index) 234 Industrivärden 180 140 100 Return Index 60 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 As per June 30, 2010 AN_Pres_KV210 Nr 8

  9. Slide 9: Active ownership in brief

    Active ownership in brief Focus on value enhancement drivers: strategy, development and positioning Board Company, competitors and industry participation Analyst presentations Megatrends Nominating In-depth committee analysis Company visits participation Value creation Ownership Database monitoring

  10. Slide 10: Active ownership in practice

    Active ownership in practice Handelsbanken SSAB  New market-oriented organization.  Consistently applied business model.  Cost-cutting program has had faster impact  Organic growth in home markets in the Nordic than planned. countries and the UK.  Acquisition of IPSCO’s North American steel  S

  11. Slide 11: Our portfolio of blue-chip companies

    Our portfolio of blue-chip companies 13.4 12.1 7.1 6.5 Through a niche focus and strong A decentralized branch operation with Through innovative, custom-tailored product position in R&D, the company has built local customer responsibility has development and high quality, the company The leading Eur

  12. Slide 12: Strong financial position

    Strong financial position Interest bearing net debt (SEK bn) Net debt-equity ratio 15,0 35% SEK 12.6 bn 13,0 30% 11,0 21% 25% 9,0 20% 7,0 15% 5,0 June 30 Dec 31 Dec. 31 10% SEK bn 2010 2009 3,0 2008 1,0 5% Listed stocks 59 54 35 Net debt -13 -11 -1,0 0% -11 Net debt eq. ratio 21% 20% 31% Net debt eq

  13. Slide 13: High dividend yield

    High dividend yield 6 9% 8% 5 7% 4 6% Bonusutdelning Bonus dividend 5% Ordinarie Ordinaryutdelning dividend 3 3.4% Direktavkastning SSEX dividend börsen yield 4% Dividend yield Direktavkastning 2 3% 2.8% 2% 1 1% 0 0% 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Dividend: 4.20 4.18 2.90 2.75 3.0

  14. Slide 14: Industrivärden online

     Industrivärden online  Reuters code INDUa.ST Bloomberg code INDUA SS  www.industrivarden.net  [email protected]  +46-8-666 64 00  +46-8-661 46 28  Box 5403, SE-114 84 Stockholm, Sweden AN_Pres_KV210 Nr 14

Industrivärden — H1 2010 Earnings Presentation on 6ix