Definitions

Definitions of alternative performance measures.

Alternative performance measure Definition Justification for use of measures
Organic growth, % Change in net sales compared with the same period last year, adjusted for currency translation effects and acquisitions. Acquisitions are adjusted for by excluding net sales for acquisitions during the period and including net sales for the entire period for the acquisitions that have been made in the previous year and that have not been consolidated during the entire period last year. Currency effects are calculated using the exchange rates of the previous period for the current period. Organic growth facilitates a comparison of net sales over time, excluding the impact of currency translation effects and acquisitions.
EBITDA Operating profit (EBIT) excluding depreciation and amortisation. The measure is used to measure operating profitability excluding depreciation and amortisation.
EBITDA margin, % EBITDA divided by net sales for the period. This measure is used to measure operating profitability in relation to net sales, excluding depreciation and amortisation.
Adjusted EBITDA EBITDA adjusted for items affecting comparability. Adjusted EBITDA is a measure of operating profit before depreciation and amortisation and is used to evaluate operating activities. The purpose is to show EBITDA excluding items that affect comparability with other periods.
Adjusted EBITDA margin, % Adjusted EBITDA divided by net sales for the period. This measure is used to measure operating profitability in relation to net sales, excluding depreciation and amortisation and items that affect comparability with other periods.
Operating profit (EBIT) Profit or loss for the period excluding tax, financial costs and financial income. This measure is used to measure operating profitability, including depreciation and amortization, and excluding tax, financial expenses and financial income.
EBIT margin, % Operating profit (EBIT) divided by the period's net sales. The measure is used to measure operating profitability in relation to net sales.
Adjusted EBIT Operating profit for the period (EBIT) adjusted for items affecting comparability. Adjusted EBIT is a measure of operating profit including depreciation and amortisation and is used to evaluate operating activities. The purpose is to show operating profit (EBIT) excluding items that affect comparability with other periods.
Adjusted EBIT margin, % Adjusted EBIT divided by net sales for the period. This measure is used to measure operating profitability in relation to net sales, excluding items that affect comparability with other periods.
Items affecting comparability Items affecting comparability are items that are reported separately due to their nature and amount. Items affecting comparability are used by management to explain variations in historical profitability. Separate reporting and specification of items affecting comparability enables the users of the financial information to understand and evaluate the adjustments made by management when adjusted EBIT, adjusted EBIT margin, %, adjusted EBITDA and adjusted EBITDA margin, % are presented.
Equity/asset ratio, % Adjusted equity divided by total assets. Adjusted equity is calculated as total equity attributable to the parent company's shareholders plus loans from owners. Loans to owners that have arisen in connection with the acquisition of a company (where the previous owner of the acquired company becomes an owner of Nordisk Bergteknik), so-called seller´s promissory note, are not included in adjusted equity. The measure shows the proportion of total assets financed by shareholders with equity. The measure has been included so that investors can create an image of the Group's capital structure.
Net debt Short-term and long-term interest-bearing liabilities reduced by cash and cash equivalents', short-term investments and other long-term liabilities to the extent pertaining to owner loans. Loans to owners that have arisen in connection with the acquisition of a company (where the previous owner of the acquired company becomes an owner of Nordisk Bergteknik), so-called seller´s promissory note, are not included in net debt. Short-term and long-term interest-bearing liabilities refer to bond loans, liabilities to credit institutions, lease liabilities, overdraft facilities and other long-term liabilities (the part relating to seller´s promissory note, see previous comment) The measure shows the Group's net debt and is used to show the total indebtedness in the Group
Net debt/adjusted EBITDA LTM Net debt at the end of the period divided by adjusted EBITDA for the last twelve months. The measure shows the Group's capital structure.