Ferronordic : Annual report 2020

Ferronordic

Annual Report 2020

Annual Report 2020

ABOUT THE ANNUAL REPORT

The annual report describes Ferronordic's operations and financial result for 2020 and includes a corporate governance report and a sustainability report. The statutory annual report comprises pages 42-58 and pages 66-118. The statutory sustainability report according to the Annual Accounts Act can be found on pages 42-58.

Table of contents

1. This is Ferronordic
2. The year in brief
3. CEO comments

6 Background and history

1. Values, objectives and strategy

1. The Ferronordic value proposition

1. Ferronordic as an investment

1. The Group

1. Russia/CIS

1. Germany

1. Sustainability

1. Shares and shareholders
2. Share capital

1. Board of directors

1. Management and auditors

1. Directors' report

1. Corporate governance report

1. Consolidated accounts

1. Parent Company accounts

1. Notes

119 Auditors report

FERRONORDIC ANNUAL REPORT 2020

This is

Ferronordic

Ferronordic (the "Company" or "the Group") is a service and sales company in the areas of construction equipment and trucks. It is the dealer of Volvo Construction Equipment, Rottne, Mecalac, Dressta and certain other brands in all of Russia. It is the dealer of Volvo Construction Equipment and Mecalac in Kazakhstan. Ferronordic is also an aftermarket partner to Volvo Trucks and Renault Trucks in parts of Russia and the dealer for Volvo Trucks and Renault Trucks in a part of Germany. The Company also offers

contracting services where it owns and operates equipment to carry out works for customers. Ferronordic began its operations in 2010 and now has more than 90 outlets and about 1,500 employees. Ferronordic's vision is to be regarded as the leading service and sales company in its markets. Its mission is to support sustainable growth and leadership for its customers. The shares in Ferronordic AB (publ) are listed on Nasdaq Stockholm since 2017.

3	Multiple	1,469	96	SEK 4,635m	7.1%	10
Operating
Markets	brands	Employees	Outlets	Revenue	Years
margin

Ferronordic

Founded in 2010	10%
Approx. 1,500 employees
Listed on Nasdaq Stockholm in 2017
Head office in Stockholm, Sweden
	25%

Russia/CIS

· Dealer of Volvo Construction Equipment, Dressta,
Rottne and Mecalac	7%
· Aftermarket dealer for Volvo Trucks, Renault Trucks and
Terex in parts of Russia	10%
· Sales of new and used construction equipment
· Service and technical support
· Sales of used trucks
· Rental business
· Growing contracting services business	21%

• Machine and component rebuild centre
• CIS markets currently include Russia and Kazakhstan

Germany

• Dealer of Volvo and Renault Trucks in parts of Germany from January 2020
• Sales of new and used trucks
• Rental business
• Service and technical support

2%

	Revenue by Activity (2020)
63%	Equipment and Truck Sales 63%
Aftermarket Sales 25%
	Contracting Services 10%
	Other Revenue 2%

4%

Revenue by Industry Russia/CIS (2020)

37%	General Construction & Other 37%
	Road Construction 21%
	Mining 21%
	Forestry 10%
	Quarries & Aggregates 7%
21%	Oil & Gas 4%
21%
	Revenue by Geographical
	Segment (2020)
	Russia/CIS 79%
	Germany 21%

79%

2 FERRONORDIC ANNUAL REPORT 2020