Sweco AB

Society. Transforming it is the most necessary and inspiring challenge we can imagine. One Sweco proudly rises to. Every day since 1958, our concept of architects and engineers working together has brought new perspectives to the most pressing challenges of our time. Times change, but our philosophy hasn't. We believe the collective knowledge of citizens, communities, Clients and consultants create solutions that stand out and transform. It's why with our global expertise and local presence, we're at the very center of the green transition and society's most seismic trends. Take urbanization. Digital developments are reshaping the role of the city. Demand for climate adapted solutions are soaring. A new type of urban planning is essential with sustainable innovation from micro to infrastructure level. Take sustainability. We're navigating the energy transition shoulder to shoulder with clients, creating solutions that are reliable, resource efficient, climate smart, making society more sustainable and more resilient. And take digitalization, the most powerful opportunity to steer a smarter future. By mastering emerging technologies, we are supporting sustainable urban development at every step of the process. With the expertise, determination, and responsibility of each Sweco consultant, together we are solving the challenges of our complex world and transforming tomorrow for all of us. Sweco, transforming society together.

Good morning and welcome to this presentation of Sweco's Q4 and year-end report for 2025. Sweco's president Åsa Bergman and CFO Jan Alde are here today to get us through the results. So with that, I hand over to you, Åsa.

Welcome everyone to Sweco's queue for presentation. Before we present the result for the fourth quarter and the year, let me give you a quick overview of Sweco. Sweco is Europe's leading architecture and engineering consultancy with operations in eight geographical business areas across 15 markets in Europe. We are a well-diversified business operating across three different segments with a good balance of private and public clients. The foundation for Sweco's long-term success is our mix of competencies spread across 23 000 experts. Our focus on organic and acquired growth as well as our efficient and decentralized operating model. With a strong financial track record and financial position we are focused on continuing our growth journey and build on Sweco's success. With this introduction, let me start the presentation with a summary of 2025. 2025 was another successful year for Sweco. Despite the challenging macroeconomic environment and mixed market situation, we continue to deliver profitable growth and further strengthen our position as the leading European architecture and engineering consultancy. The result... prove the strength of our strategy and operating model and the commitment across Veco to drive continuous improvements, find new business opportunities and transform societies together with our clients. Last year, net sales increased to over 31.5 billion SEK with a solid organic growth rate of 4% and acquisitions adding another 2%. A strict focus on pricing, efficiency and cost resulted in an EBITDA improvement of 12% and further improvement of our EBITDA margin. We also accelerated our M&A activity, announcing a total of 13 new acquisitions throughout the year. Our financial position remains strong, which provides us with great flexibility to continue to act on opportunities in the market. Finally, the Board of Directors proposed a dividend of 3.70 SEK per share, Altogether, 2025 was another good year for Sweco, and we entered 2026 from a strong platform. Before we end the summary of 2025, let me share some of the key achievements. Looking back at 2025 versus 2024, I would like to emphasize that we have delivered on our strategic priorities. One of the key achievements has been our accelerated M&A activity. We announced 13 new acquisitions in 2025, adding more than 2 billion SEKs in annual net sales and a total of more than 1,500 new experts to Sweco. We have also continued to deliver price expansion while executing on our efficiency measures and cost control with clear progress resulting in improvements in our EBITDA margin. Streamlining parts of the organization and keeping a strong client focus has also resulted in further improvements in our billing ratio and this is the result of hard work across all levels of Sweco and we are committed to continue this journey. With this summary of 2025, let's dive then into the fourth quarter results. In Q4, Sweco delivered a solid result in a mixed market. Net sales increased by 6% to 8.5 billion SEK and the organic growth rate was 5%. EBITDA amounted to 979 million SEK, an increase of 7% adjusted for calendar effects, with a margin of 11.5%. The positive development was driven by higher average fees, FTE growth and higher billing ratio. Taken together, we sustained our positive operational momentum and ended the year with a solid fourth quarter. Now let us go into more detail. In Q4, 7 out of 8 business areas reported positive organic growth and we navigated efficiently in a mixed market, maintaining a stable order backlog. The positive operational trend continues with six business areas reporting double-digit margins. Belgium demonstrated a strong quarter with margin expansion, and Germany's Central Europe was the largest contributor in the quarter, benefiting mainly from positive project adjustments. We also saw continued improvements in the UK and in Norway. As I mentioned earlier, our focus on efficiency also resulted in further improvements of our billing ratio. with a ratio of 74.8% in the quarter. Overall, I'm pleased to see that we make consistent progress across our business areas and deliver on our priorities. Let's turn then to the market overview. Demand for Sweco services was broadly consistent with previous quarters, with some variations between segments and markets. Demand remained good in energy, infrastructure, water, environment, and the increased demand in security and defense persists. Commercial buildings and real estate segments remained weak, while demand remained on higher levels in the public building segment. While there are small differences in the market situation from quarter to quarter, we have seen some trends shaping the market during the year. In the energy segment, demand is underpinned by substantial investments as Europe strengthens its energy resilience and redesigns its energy systems. And Sweco's capabilities and local footprint mean we are closely involved in many of these transition-driven projects. Across Europe, security and defense have moved higher on the political agenda, with countries upgrading capabilities, buildings and critical infrastructure. Sweco is well positioned to support this shift through a long experience across several areas that are crucial to this ramp-up. We are also seeing accelerated adoption of AI driving business opportunities for Sweco. AI is driving both the improvement of Sweco services, integration of AI solutions in client projects, and rising investments in data centers to support Europe's need for data power. We see the accelerated development in AI as an opportunity to maximize value for our clients. With that, I will welcome our CFO, Jan Alde, to walk you through the numbers. Welcome, Jan.