Bilia (BILI) investor relations material

Executive summary

• Achieved strong Q4 2025 results with operational earnings of SEK 450 million (margin 4.4%), mainly driven by Norway, Service Business, and new car sales; net turnover was SEK 10,209 million, nearly flat year-over-year.

• Earnings per share for Q4 were SEK 2.46, up from SEK 2.10 last year; full-year EPS was SEK 8.22 versus SEK 7.19.

• Operating cash flow in Q4 was SEK 675 million, more than double the previous year; full-year operating cash flow totaled SEK 2,108 million.

• Board proposes a dividend of SEK 6.00 per share, representing 73% payout ratio.

• Efficiency program launched, incurring SEK 23 million in costs in Q4, expected to generate SEK 150 million in annual savings.

Financial highlights

• Q4 operating earnings reached SEK 450 million (margin 4.4%), up from SEK 420 million last year; operating profit was SEK 370 million.

• Net debt/EBITDA (excl. IFRS 16) was 1.3x, improved from 1.7x at end of 2024 and below the target of 2.0x.

• Equity/assets ratio increased to 25% (24%).

• Full-year tax rate was 18% (23%), mainly due to non-taxable profit on divestments.

• Proposed dividend of SEK 6 per share (up 7%), representing 73% payout ratio.

Outlook and guidance

• Efficiency program savings to be fully realized by H2 2026.

• Expect continued stable demand in Service Business and increased private customer activity in new cars, supported by new EV launches.

• Used car demand remains weak with price pressure, especially for electric vehicles and plug-in hybrids.

• Q1 2026 expected to see slow new car demand, with improvement anticipated towards end of Q2.

• Service margin target of 14% is a long-term goal, expected to be reached in 3–5 years.