The Bilia Group s earnings in 2015 were charged with closure costs for the Danish operation, see page 9.

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2 Net turnover amounted to SEK 5,433 M (4,715). Operating profit excluding items affecting comparability amounted to SEK 185 M (153). The Group s net profit for the period was SEK 143 M (23) and earnings per share SEK 2,80 (0.45). Operating cash flow amounted to SEK 110 M (121). In a comment on the first quarter, Bilia s Managing Director Per Avander says: Demand for both cars and service was better compared with last year, and we reported strong earnings. The earnings improvement is mainly attributable to the Service Business, which boosted underlying turnover by more than 8 per cent and operating profit by SEK 28 M. The Car Business reported good earnings that were on a level with last year. The order backlog of new cars increased during the quarter. The financial position of the Group remains strong, and the company has issued bonds worth SEK 500 M. We believe that demand for cars and service during the second quarter of 2016 will be slightly better compared with the corresponding quarter last year. Continuing operations First quarter April 15 - Full year March Net turnover, SEK M 5,433 4,715 21,161 20,443 Operating profit excl. items affecting comparability, SEK M 1) Operating margin excl. items affecting comparability, % Operating profit, SEK M Operating margin, % Profit before tax excl. items affecting comparability, SEK M 1) Profit before tax, SEK M Net profit for the period / year, SEK M Earnings per share, SEK 2) The Bilia Group Net profit for the period / year, SEK M Earnings per share, SEK 2) ) Items affecting comparability are shown in the table on page 4. 2) The number of shares used in the calculation is shown in the table on page 14. The Bilia Group s earnings in 2015 were charged with closure costs for the Danish operation, see page 9. Interim report Bilia AB (publ) 1 January 31 March (20)

3 On 28 January 2016, Bilia concluded an agreement to acquire three car dealerships that conduct BMW, MINI and Toyota operations in Sweden. The companies have a combined annual turnover of about SEK 750 M, with a combined operating profit of about SEK 14 M per year. The date of possession was 1 March Bilia issued unsecured bonds worth a total of SEK 500 M with a term to maturity of five years. The bond issue carries a floating interest rate of STIBOR (3 months) plus 220 basis points and has a final maturity date in March On 11 March 2016, Bilia concluded an agreement to sell its Ford operations in Gothenburg, Kungsbacka and Stockholm to Hedin Bil. The agreement is contingent upon the approval of the Swedish Competition Authority. The planned date of possession for the operations in Gothenburg and Kungsbacka is 1 May 2016, and for the Stockholm operation not later than 31 December Further information on the above events and other press information is available at bilia.com. Demand for cars and service was better compared with the same quarter last year. Net turnover amounted to SEK 5,433 M (4,715). For comparable operations and adjusted for exchange rate changes, net turnover increased by about SEK 400 M or 9 per cent. The increase is attributable to both car sales and service. Operating profit amounted to SEK 185 M (157). If items affecting comparability are excluded, the profit was SEK 185 M (153). The improvement is attributable to the Service Business, which boosted underlying turnover by nearly 8 per cent. The Car Business reported strong earnings on a level with last year. Underlying Group overheads increased by about 3 per cent compared with last year. Overheads amounted to 12.6 per cent in relation to net turnover, which was 0.4 percentage point lower compared with last year. In view of the earnings level during the quarter, provision was made for employee bonuses of SEK 5 M (8). Net financial items amounted to SEK -2 M (-3). Tax for the period amounted to SEK -40 M (-29), and the effective tax rate was 22 per cent (19). Net profit for the period was SEK 143 M (23) and earnings per share SEK 2.80 (0.45). Exchange rate changes reduced the profit by SEK 3 M. Total assets increased by SEK 1,099 M during the quarter, amounting to SEK 8,528 M. The increase is mainly attributable to acquisitions of operations in Sweden and in Luxembourg. Equity increased by SEK 155 M during the quarter, amounting to SEK 2,211 M. The equity/assets ratio amounted to 26 per cent (24). Acquisition of non-current assets amounted to SEK 60 M (38). Replacement investments represented SEK 11 M (12), expansion investments SEK 8 M (4), environmental investments SEK 0 M (1) and investments in new construction and additions to properties SEK 36 M (19), while finance leases amounted to SEK 5 M (2). Operating cash flow amounted to SEK 110 M (121). After acquisitions and disposals of operations and change in interest-bearing receivables, cash flow amounted to SEK -143 M (-26). Net debt increased by SEK 412 M during the quarter, amounting to SEK 735 M. The increase is attributable to acquisitions of operations. Interim report Bilia AB (publ) 1 January 31 March (20)

4 Liquidity remains good, and at the end of March a debt to the banks of SEK 309 M was reported. The combined credit limit with Nordea and DNB amounts to SEK 1,500 M. The number of employees increased by 347, amounting to 3,960 persons. Acquisitions of operations increased the number of employees by 277 during the quarter. Interim report Bilia AB (publ) 1 January 31 March (20)

5 First quarter April 15 - Full year Group, SEK M March Operating profit excl. items affecting comparability Items affecting comparability - Gain from sale of operation, other Redemption of PRI liability Structural costs etc Operating profit Profit before tax excl. items affecting comparability Items affecting comparability - Gain from sale of operation, other Redemption of PRI liability Structural costs etc Profit before tax Last year s gain from sale of operation during the quarter pertains to the sale of Bilia s operation in Stavanger. Interim report Bilia AB (publ) 1 January 31 March (20)

6 Deliveries Order backlog No. of new First quarter April 15 - Full year 31 March cars March Sweden 1) 8,208 7,391 33,363 32,546 7,942 6,959 Norway 2,045 1,522 8,834 8,311 2,400 1,708 Western Europe 2) ,029 - Total 10,484 8,913 42,673 41,102 11,371 8,667 1) Kaiser Bil is included in deliveries during the quarter with 125 (-) and with 181 (-) in order backlog. BMW-, MINI- and Toyota acquisitions is included in deliveries during the quarter with 89 (-) and with 202 (-) in order backlog. 2) Tyskland is included in deliveries during the quarter with 231 (-) and with 137 (-) in order backlog. Luxembourg is included with 892 (-) in order backlog. Net turnover Operating profit/loss excl. items affecting comparability, operating margin First quarter April 15 - Full year First quarter April 15 - Full year SEK M March % 2015 % March % Sweden 3,853 3,465 14,901 14, Norway 1,441 1,248 5,931 5, Western Europe Total Cars 5,431 4,713 21,142 20, Parent Company, other Total 5,433 4,715 21,161 20, Strong earnings in Sweden Higher closing order backlog The market for new cars increased during the quarter by 10 per cent in Sweden, 5 per cent in Norway and 5 per cent in our markets in Western Europe. The Group reported an operating profit, excluding items affecting comparability, of SEK 185 M (153) and an operating margin of 3.4 per cent (3.2). The Service Business reported a profit that was SEK 28 M greater, while the Car Business reported a profit that was SEK 1 M less, compared with last year. The order backlog increased by 2,067 cars during the quarter (1,094 of which are attributable to acquired operations), amounting to 11,371 cars at the end of the quarter. The operation in Sweden reported an operating profit of SEK 155 M (139), with an operating margin of 4.0 per cent (4.0). The Service Business reported a profit that was SEK 16 M better than last year. The improvement is mainly attributable to higher turnover. The Car Business reported unchanged earnings compared with last year. Earnings from sales of both new and used cars were on a level with last year. Stocks of used cars remained at a good level. The operating profit in Bilia s Norwegian operation amounted to SEK 40 M (30) and the operating margin to 2.8 per cent (2.4). The Service Business developed well and reported SEK 11 M more in earnings than last year. The improvement is mainly attributable to higher turnover and a slightly higher gross profit margin. Deliveries of new cars increased during the quarter, and the profit improved by SEK 4 M. Earnings from sales of used cars decreased by SEK 5 M, amounting to SEK 4 M, mainly due to a lower gross profit margin. Stocks of used cars declined during the quarter, but were slightly too high at the end of the quarter. The operations in Western Europe reported earnings of SEK 1 M attributable to the Service Business. Germany reported a profit of SEK 2 M, while acquisition costs of SEK 1 M were charged to Bilia s holding company that acquired the BMW and MINI operation in Luxembourg as per 31 March Interim report Bilia AB (publ) 1 January 31 March (20)

7 Net turnover 1) Operating profit, operating margin First quarter April 15 - Full year First quarter April 15 - Full year SEK M March March Service Business 1,223 1,048 4,666 4, margin, % Car Business 4,219 3,637 16,276 15, margin, % Fuel Business ,018 1, margin, % Service includes workshop services, spare parts and accessories. The Car Business includes sales of new and used cars and customer financing. 1) Net turnover does not include eliminations for internal sales. Growth in the Service Business First quarter Per cent Sweden Norway Total Change from last year Underlying turnover Calendar effect Adjusted turnover Better earnings and strong growth in the Service Business Unchanged earnings for the Car Business The Service Business reported a profit that was SEK 28 M higher than last year. The improvement is mainly attributable to higher sales and lower relative costs. The operation in Norway developed positively and reported an adjusted turnover increase of 14 per cent, while Sweden reported an increase of 8 per cent. There was one less working day in Sweden and two less in Norway compared with the same quarter last year. The Car Business s deliveries of new cars increased for comparable operations during the quarter by 10 per cent and deliveries of used cars were unchanged compared with last year. Orders received for new cars increased by 1 per cent compared with last year. Earnings from sales of new cars improved by SEK 2 M, due mainly to higher turnover and lower relative costs. Earnings from sales of used cars declined by SEK 3 M, mainly due to a lower gross profit margin, amounting to SEK 21 M. Stocks of used cars decreased slightly for comparable operations during the quarter and are at good levels overall. The turnover rate for used cars decreased marginally, amounting to 10.7 times per year. The Fuel Business is concentrated to Sweden, and earnings amounted to SEK 8 M (8). All values in the above graphs pertain to isolated quarters. Interim report Bilia AB (publ) 1 January 31 March (20)

8 On 1 March 2016, Bilia acquired three car dealerships that conduct BMW, MINI and Toyota operations in Sweden. The dealerships are located in the following towns: BMW Trollhättan, Uddevalla and Strömstad MINI Trollhättan Toyota Kristianstad, Västerås, Enköping, Borlänge, Falun and Ludvika The companies have a combined annual turnover of about SEK 750 M with an operating profit of SEK 14 M per year. The purchase consideration was SEK 58 M. The entire purchase consideration was paid in cash. There is no contingent purchase consideration. Synergies can be found in a higher inventory turnover rate, which is expected to reduce capital employed by about SEK 30 M in The businesses have about 115 employees and will continue to be operated from the present-day facilities. There are no external transaction costs or acquisition-related expenses attributable to the acquisition. Effects of the acquisitions The acquisitions have the following effects on the Group s assets and liabilities. Since the parties have not yet approved the final accounts as per 29 February 2016, the acquired net assets and purchase consideration specified below are preliminary. Carrying amounts in Fair Fair value BMW, MINI, Toyota value recognised in SEK M dealership operations adjustment Group Intangible assets Property, plant and equipment Deferred tax asset 0 0 Inventories Trade receivables and other receivables Cash and cash equivalents 4 4 Interest-bearing liabilities Trade payables and other liabilities Deferred tax liability 2 2 Net identifiable assets and liabilities Consolidated goodwill 43 Purchase consideration paid, cash 58 Less: Cash and cash equivalents in aquired operations 4 Net effect on cash and cash equivalents 54 Acquired customer relations totalling SEK 9 M are recognised as intangible assets. Customer relations will be amortised over 10 years. Interim report Bilia AB (publ) 1 January 31 March (20)

9 On 31 March 2016, Bilia took possession of Arnold Kontz s BMW and MINI operation in Luxembourg. The operation, which is centrally located in Luxembourg, accounts for about 50 per cent of total BMW sales in Luxembourg. The operation has an annual turnover of about SEK 1.1 bn with an operating profit of about SEK 45 M per year. The purchase consideration was SEK 314 M. Of the total purchase consideration, SEK 198 M was paid in cash and the remaining SEK 116 M will be paid with newly issued Bilia shares. Payment with the new shares is effected by offsetting of the debt to the seller. There is no contingent purchase consideration. The acquisition gives Bilia a good platform for increasing the Group s presence in the region. The business has about 145 employees and will continue to be operated from the presentday facilities. There are, as per 31 March 2016, no external transaction costs or acquisition-related expenses attributable to the acquisition. Effects of the acquisition The acquisition has the following effects on the Group s assets and liabilities. Since the parties have not yet approved the final accounts as per 31 March 2016, the acquired net assets and purchase consideration specified below are preliminary. Carrying amounts in Fair Fair value Arnold Kontz dealer- value recognised in SEK M ship operation adjustment Group Intangible assets Property, plant and equipment Inventories Trade receivables and other receivables Cash and cash equivalents Interest-bearing liabilities Trade payables and other liabilities Deferred tax liability Net identifiable assets and liabilities Consolidated goodwill 125 Purchase consideration paid, cash 314 Less: Debt to the seller 116 Less: Cash and cash equivalents in aquired operation 10 Net effect on cash and cash equivalents 188 Acquired customer relations totalling SEK 188 M are recognised as intangible assets. Customer relations will be amortised over 10 years. Interim report Bilia AB (publ) 1 January 31 March (20)

10 Bilia decided in March 2015 to discontinue its entire operation in Denmark. As per 31 December 2015, all five facilities have been disposed of. First quarter Full year SEK M Revenues Expenses Loss before tax Tax Loss after tax from dicontinued operation Discontinued operation Basic earnings/loss per share, SEK Diluted earnings/loss per share, SEK SEK M 31/ / / Property, plant and equipment Inventories Trade receivables and other receivables Cash and cash equivalents Total assets SEK M 31/ / / Trade payables and other liabilities Deferred tax liability Total liabilities First quarter Full year SEK M Cash flows from operating activities Cash flows from investing activities Cash flows from financing activities Net cash flows from discontinued operation Interim report Bilia AB (publ) 1 January 31 March (20)

11 Bilia AB is responsible for the Group s management, strategic planning, purchasing, public relations, business development, accounting and financing. Furthermore, Bilia AB conducts real estate and IT activities, mainly for companies in the Group. The Parent Company s operating loss for the first quarter amounted to SEK 9 M (loss: 16). The improvement is mainly attributable to the fact that last year s earnings were charged with SEK 5 M in special payroll tax attributable to value increases on endowment policies. As a result of its operations, the Bilia Group is exposed to both operating risks and financial risks. The operating risks include: Development of the market for new cars. Diminished demand for cars can also affect the value of stock in hand and guaranteed residual values. Reduced demand for service and repairs. Increased competition in the markets where Bilia is active. The ability of suppliers to offer competitive products. Automotive suppliers become insolvent or terminate retailer agreements with Bilia. Regulatory decisions that lead to changes in taxes and charges on the products Bilia sells can influence both demand for and the valuation of cars in stock and cars sold with guaranteed residual values. The financial risks include liquidity risks, interest rate risks, credit risks and currency risks. Bilia works continuously with risk identification and risk assessment. For further information about the risks that affect the Group, please refer to the 2015 Annual Report. The 2016 Annual General Meeting resolved to authorise the Board of Directors to increase the company s share capital and to issue new shares to be transferred to Société de Participations Financiéres Groupe Arnold Kontz (the company). The background is an agreement where Bilia acquires Arnold Kontz s BMW and MINI operation in Luxembourg, for which partial payment will be made with shares in Bilia. Payment will be made for the new shares by offsetting of the debt to the company of EUR 12,500,000. The debt will be converted to SEK and the exercise price will be set at 95 per cent of the average price of the Bilia share during the period April This interim report in summary for the Group has been prepared in accordance with IAS 34 Interim Financial Reporting and applicable provisions of the Annual Accounts Act. The interim report for the Parent Company has been prepared in accordance with Chapter 9 of the Annual Accounts Act, Interim Reports. The same accounting policies and calculation methods have been applied for the Group and the Parent Company as in the most recent annual report. New IFRS s that became effective during the year have not had any significant effect on the Group s or the Parent Company s financial reports. Disclosures in accordance with IAS 34, paragraph 16, are made not only in the financial statements and notes, but also in other parts of the interim report. Interim report Bilia AB (publ) 1 January 31 March (20)

12 This interim report has not been subjected to special examination by the auditors. The interim report for the second quarter of 2016 will be published on 27 July Gothenburg, 27 April 2016 Bilia AB (publ) Board of Directors For further information, please contact Per Avander, Managing Director and CEO, or Gunnar Blomkvist, CFO, telephone Bilia AB (publ) Box 9003, SE Gothenburg, Sweden Visiting address: Norra Långebergsgatan 3, Västra Frölunda Telephone: bilia.com Corporate ID No.: This report is being published by Bilia AB in compliance with the Securities Market Act. The information was submitted for publication on 27 April 2016 at 08:30 a.m.. Interim report Bilia AB (publ) 1 January 31 March (20)

13 First quarter Service Car Fuel Total Segment Group Cars reconciliation SEK M Net turnover External sales ,219 3, ,431 4, ,433 4,715 Internal sales Total net turnover 1,223 1,048 4,219 3, ,666 4, ,433 4,715 Depreciation/amortisation Operating profit/loss Interest income 7 1 Interest expenses Shares in profits of associated companies Profit before tax Tax expense for the period Profit for the year from continuing operations Loss from discontinued operation, net after tax Net profit for the period Material items of income and expense of a non-recurring nature recognised in the Statement of Income and Other Comprehensive Income: Items affecting comparability - Profit from sale of operation, other Items of non-recurring nature Material items not affecting cash besides depreciation/amortisation: - Other Total Assets Interests in associated companies Deferred tax assets Other assets 8,016 6,527 Assets held for sale Total assets ,528 7,321 Investments in non-current assets Liabilities Equity 2,211 1,760 Liabilities 6,317 5,224 Liabilities attributable to assets held for sale Total liabilities and equity 8,528 7,321 Revenue from Non-current external customers assets SEK M Geographical segments Sweden 3,855 3,467 3,723 2,984 Norway 1,441 1, Germany Segment reconciliation Total 5,433 4,715 4,100 3,184 Interim report Bilia AB (publ) 1 January 31 March (20)

14 Service Car Sweden Norway Western Europe Sweden Norway Western Europe SEK M Net turnover External sales ,929 2,616 1,194 1, Internal sales Total net turnover ,929 2,616 1,194 1, Depreciation/amortisation Operating profit/loss Shares in profits of associated companies 5 5 Material items of income and expense of a non-recurring nature recognised in the Statement of Income and Other Comprehensive Income: Items affecting comparability - Profit from sale of operation, other 2 2 Items of non-recurring nature Material items not affecting cash besides depreciation/amortisation: - Other Total Assets Interests in associated companies Investments in non-current assets Interim report Bilia AB (publ) 1 January 31 March (20)

15 First quarter April 15 - Full year SEK M March Continuing operations Net turnover 5,433 4,715 21,161 20,443 Costs of goods sold -4,567-3,950-17,693-17,076 Gross profit ,468 3,367 Other operating income Selling expenses ,208-2,144 Administrative expenses Other operating expenses Operating profit 1) Financial income Financial expenses Shares in profits of associated companies Net financial items Profit before tax Tax Profit for the period from continuing operations Discontinued operation Loss from discontinued operation, net after tax Net profit for the period Other comprehensive income/loss Items that cannot be reclassified to profit or loss Revaluation of defined-benefit pension plans Tax attributable to items that cannot be reclassified to profit or loss Items that can be reclassified to profit or loss Translation differences attributable to foreign operations Tax attributable to items that have been or may be reclassified to profit or loss Other comprehensive income/loss after tax Comprehensive income for the period Net profit for the period attributable to: Parent Company's shareholders Comprehensive income for the period attributable to: Parent Company's shareholders Weighted average number of shares, '000: - before dilution 50,663 50,367 50,479 50,406 - after dilution 50,732 50,919 50,872 50,919 Basic earnings/loss per share, SEK Diluted earnings/loss per share, SEK Continuing operations Basic earnings/loss per share, SEK Diluted earnings/loss per share, SEK ) Straight-line amortisation/depreciation by asset class: - Intellectual property Land and buildings Equipment, tools, fixtures and fittings Leased vehicles Total Interim report Bilia AB (publ) 1 January 31 March (20)

16 SEK M 31/ / / Assets Non-current assets Intangible assets Intellectual property Goodwill , Property, plant and equipment Land and buildings Construction in progress Equipment, tools, fixtures and fittings Leased vehicles 1) 2,162 2,048 1,755 2,690 2,518 2,190 Long-term investments Financial investments 1) Long-term receivables 2) Deferred tax assets Total non-current assets 4,230 3,669 3,311 Current assets Inventories, merchandise 2,977 2,564 2,134 Current receivables Other receivables 1) 1,148 1,097 1,026 Cash and cash equivalents 2) Assets held for sale 1) Total current assets 4,298 3,760 4,010 Total assets 8,528 7,429 7,321 Equity and liabilities Equity Share capital Other contributed capital Reserves Retained earnings including net profit for the year 1,998 1,855 1,509 Total equity 2,211 2,056 1,760 Non-current liabilities Debenture loan 3) Bond issue 3) Interest-bearing liabilities 3) Other liabilities and provisions 4) 1,604 1,438 2,108 2,193 1,513 2,194 Current liabilities Debenture loan 3) Interest-bearing liabilities 3) Other liabilities and provisions 3,433 3,144 2,909 Liabilities attributable to assets held for sale 4) ,124 3,860 3,367 Total equity and liabilities 8,528 7,429 7,321 Assets 1) Of which interest-bearing ) Interest-bearing Liabilities 3) Interest-bearing 1, ) Of which interest-bearing Interim report Bilia AB (publ) 1 January 31 March (20)

17 SEK M 31/ / / Opening balance 2,056 1,849 1,849 Cash dividend to shareholders Exercised warrants Comprehensive income for the period Closing balance 2,211 2,056 1,760 First quarter April 15 - Full year SEK M March Operating activities Profit before tax from continuing operations Loss before tax from discontinued operation Depreciation and impairment losses from continuing operations Depreciation and impairment losses from discontinued operation Other items not affecting cash Tax paid Change in inventories Change in operating receivables Change in operating liabilities Cash flow from operating activities , Investing activities Acquisition of non-current assets (intangible and tangible) Disposal of non-current assets (intangible and tangible) Acquisition of leased vehicles ,266-1,156 Disposal of leased vehicles Operating cash flow Investment in financial assets Disposal of financial assets Acquisition of subsidiary/operation, net Disposal of subsidiary/operation, net Disposal of discontinued operation, net Cash flow after net investments Financing activities Borrowings 1, ,116 1,000 Repayment of loans , Change in overdraft facility Exercised warrants Dividend paid to Parent Company's shareholders Cash flow from financing activities Change in cash and cash equivalents, excl. translation differences Cash and cash equivalents recognised in assets held for sale Exchange difference in cash and cash equivalents Change in cash and cash equivalents Cash and cash equivalents at start of period Cash and cash equivalents at end of period Interim report Bilia AB (publ) 1 January 31 March (20)

18 The carrying amount of financial instruments is a reasonable approximation of fair value. Fair value is determined on the basis of the following three levels: Level 1: according to prices quoted on an active market for the same instrument. Level 2: based on directly or indirectly observable market inputs other than those included in level 1. Level 3: according to inputs not based on observable market data. Currency derivatives that belong to financial assets and liabilities, valuation level 2, have been valuated to fair value. The value of the currency derivatives is not material and does not constitute a significant item. Fair value measurement has affected earnings by SEK 0 M. The fair value of currency derivatives is determined on the basis of market rates. If such rates are not available, the fair value is calculated by discounting the difference between the contracted forward rate and the forward rate that can be obtained on the balance sheet date for the remaining contract period. Interim report Bilia AB (publ) 1 January 31 March (20)

19 2/14 3/14 4/14 1/15 2/15 3/15 4/15 1/16 Continuing operations Net turnover, SEK M 4,819 4,299 5,037 4,715 5,381 4,597 5,750 5,433 Operating profit excl. items affecting comparability, SEK M Operating margin excl. items affecting comparability, % Operating profit, SEK M Operating margin, % Profit before tax, SEK M Interest coverage ratio, times 1) The Bilia Group Profit/loss for the period, SEK M Rate of capital turnover, times 1) Return on capital employed, % 1) Return on equity, % 1) Net debt/equity, times Equity/assets ratio, % Data per share (SEK) Earnings/loss for the period ) ) ) ) ) ) ) ) Equity 35 3) 36 5) 37 7) 35 9) 35 11) 37 13) 41 15) 44 17) Operating cash flow ) ) ) ) ) ) ) ) For continuing operations, Bilia s Danish operation has been excluded for year ) 2) 3) 4) 5) 6) 7) 8) 9) 10) 11) 12) 13) 14) 15) 16) 17) Rolling 12 months. Based on weighted average number of shares outstanding during second quarter, 50,301,686. Based on number of shares outstanding at 30 June 2014, 50,312,326. Based on weighted average number of shares outstanding during third quarter, 50,318,925. Based on number of shares outstanding at 30 September 2014, 50,330,722. Based on weighted average number of shares outstanding during fourth quarter, 50,334,058. Based on number of shares outstanding at 31 December 2014, 50,348,066. Based on weighted average number of shares outstanding during first quarter, 50,366,845. Based on number of shares outstanding at 31 March 2015, 50,393,016. Based on weighted average number of shares outstanding during second quarter, 50,405,884. Based on number of shares outstanding at 30 June 2015, 50,418,122. Based on weighted average number of shares outstanding during third quarter, 50,419,599. Based on number of shares outstanding at 30 September 2015, 50,424,016. Based on weighted average number of shares outstanding during fourth quarter, 50,430,765. Based on number of shares outstanding at 31 December 2015, 50,436,052. Based on weighted average number of shares outstanding during first quarter, 50,662,922. Based on number of shares outstanding at 31 March 2016, 50,700,734. Interim report Bilia AB (publ) 1 January 31 March (20)

20 First quarter April 15 - Full year SEK M March Net turnover Administrative expenses Operating loss 1) Result from financial items Income from interests in Group companies Interest income from Group companies Other interest income and similar line items Interest expenses to Group companies Interest expenses and similar line items Loss after financial items Appropriations Profit before tax Tax Net profit for the period ) Straight-line amortisation/depreciation by asset class: - Intellectual property Buildings Equipment, tools, fixtures and fittings Total Interim report Bilia AB (publ) 1 January 31 March (20)

21 SEK M 31/ / / Assets Non-current assets Intangible assets Intellectual property Property, plant and equipment Buildings Construction in progress Equipment, tools, fixtures and fittings Long-term investments Interests in Group companies Other securities held as non-current assets Other non-current receivables Deferred tax asset Total non-current assets 1,068 1, Current assets Current receivables Receivables from Group companies 372 1, Other receivables Cash on hand and accrued deposits Total current assets 1,217 1, Total assets 2,285 2,298 1,731 Equity and liabilities Equity Restricted equity Share capital Statutory reserve Non-restricted equity Share premium reserve Retained earnings including net profit for the year Total equity 1,036 1,112 1,142 Untaxed reserves Provisions Provisions for pensions and similar obligations Deferred tax liability Non-current liabilities Debenture loan Bond issue Other liabilities Current liabilities Debenture loan Liabilities to Group companies Other loans Other liabilities Total equity and liabilities 2,285 2,298 1,731 Pledged assets and contingent liabilities for Parent Company Pledged assets Contingent liabilities ,343 Interim report Bilia AB (publ) 1 January 31 March (20)