Gunnebo's interim report for January-September and the third quarter of 2014.

1. ThirdQuarterRelease 2014
Telephone Conference October23, 2014

2. © Gunnebo Security Group 23 October 2014, page 2
Organic growth in order intake of 1%, primarily related to region EMEA
Operating margin 6.2% excluding non-recurring items
Continued stabilisation of sales in Region EMEA and reduction of its cost base still in focus
Encouraging development in China with several large orders received from banks and high-risk sites
Acquisition of Dissamexin Mexico giving Gunnebo a stronger platform for growth in the market
Acquisition of Clear Image in early October enhancing Gunnebo’sstrong existing security offering in the UK
Highlights July–September 2014

3. © Gunnebo Security Group 23 October 2014, page 3
AcquisitionofDissamex
The Gunnebo Security Group has signed an agreement with the owners of Mexican security services company, DiseñosInteligentesde SeguridadS.A de C.V (Dissamex). Dissamexprovides nationwide electronic security services to the banking, retail and industrial sectors.
“The acquisition of Dissamexis in line with Gunnebo’sstrategic agenda to move the Group’s point of gravity and focus on growth markets within the security sector,” says Gunnebo’sPresident and CEO, Per Borgvall.
“As the second largest economy in Latin America, Mexico is clearly a very interesting market for us and this acquisition will allow us to create a strong platform in the country from which to introduce other offerings from our portfolio of security solutions.”
From press release August 28, 2014

4. © Gunnebo Security Group 23 October 2014, page 4
AcquisitionofClear Image
The Gunnebo Security Group has completed the acquisition of Clear Image, a provider of electronic security solutions and services in the United Kingdom.
Clear Image offers intelligent and innovative electronic security solutions supported by a highly experienced service team. Its customer base includes leading cash in transit companies, banks and retailers.
“The acquisition of Clear Image is a perfect fit for Gunnebo,” says Gunnebo’sPresident and CEO, Per Borgvall. “It enhances our strong existing security offering and opens up new opportunities for us on the UK market within some of our core customer segments.”
From press release October10, 2014

5. © Gunnebo Security Group 23 October 2014, page 5
Gunnebo Group July – September
*Free cash flow from operating and investing activities, excluding acquisitions and divestments
July - September 2014 2013
Net Sales, MSEK 1,314 1,314
Operating Profit, excluding non-recurring, MSEK 82 93
Operating Margin, excl. non-recurring, % 6.2 7.1
Non-recurring items, MSEK -5 -32
Operating Profit (EBIT), MSEK 77 61
Operating Margin, (%) 5.9 4.6
Free cash flow, MSEK -24 83
Net Profit, MSEK 36 32
*

6. © Gunnebo Security Group 23 October 2014, page 6
Gunnebo Group January – September
*Free cash flow from operating and investing activities, excluding acquisitions and divestments
January - September 2014 2013
Net Sales, MSEK 3,983 3,794
Operating Profit, excluding non-recurring, MSEK 218 173
Operating Margin, excl. non-recurring, % 5.5 4.5
Non-recurring items, MSEK 18 -54
Operating Profit (EBIT), MSEK 236 119
Operating Margin, (%) 5.9 3.1
Free cash flow, MSEK -48 -16
Net Profit, MSEK 139 54
*

7. © Gunnebo Security Group 23 October 2014, page 7
Region Europe, MiddleEast& Africa(EMEA)
July–September
Strong order intake in the quarter, especially in France, UK and Middle East
Reduction of cost base is continuing
Banquede France signs a major order for vaults and entrance security
New branch in Oman receives an order for electronic security and entrance security
NewgateInternational places a large order for vaults and SDLs with Gunnebo UK
Region % ofNet Sales Region Europe, Middle East & AfricaJuly-SeptJan-SeptFull yearMSEK20142013201420132013Order intake8387582,8162,6783,558Organic growth, %51Net sales8648272,6312,4753,474Organic growth, %02Operating profit/loss excl. non-recurring items231152-947Operating margin excl. non-recurring items, %2.71.32.0-0.41.4Non-recurring items-4-3028-48-74Operating profit/loss19-1980-57-27

8. © Gunnebo Security Group 23 October 2014, page 8
Region Asia-Pacific (APAC)
Region % ofNet Sales
July-September
Order intake of 1%, encouraging development in China
Net sales declined organically by 11% due to weak order intake in H1 in India and a strong quarter last year with several large projects delivered
Jilin Bank in China chooses Gunnebo’sautomated SDL system
TianwanNuclear Power Station in China places an order for entrance security, strengthening Gunnebo’sposition as a supplier of security solutions to high-risk sites
SejongCity Government in Korea once again chooses Gunnebo to supply entrance security solutions Region Asia-PacificJuly-SeptJan-SeptFull yearMSEK20142013201420132013Order intake2722557627771,043Organic growth, %12Net sales228242730693954Organic growth, %-119Operating profit/loss excl. non-recurring items27379398134Operating margin excl. non-recurring items, %11.815.312.714.114.0Non-recurring items0-2-6-6-8Operating profit/loss27358792126

9. © Gunnebo Security Group 23 October 2014, page 9
Region Americas
July-September
Order intake and sales down, mainly related to a slow retail market in Brazil
Gunnebo receives a large order from a national bank in the US related to increased automation of customer reception area at 370 branches
Major Canadian airport places entrance security order
Gunnebo signs general agreement for delivery and servicing of cash handling systems
Gunnebo acquires Dissamexin Mexico
Region % ofNet Sales Region AmericasJuly-SeptJan-SeptFull yearMSEK20142013201420132013Order intake221235589746913Organic growth, %-12-21Net sales222245622626843Organic growth, %-140Operating profit/loss excl. non-recurring items32457384125Operating margin excl. non-recurring items, %14.418.411.713.414.8Non-recurring items-10-40-2Operating profit/loss31456984123

10. © Gunnebo Security Group 23 October 2014, page 10
OrganicGrowthDevelopmentby Region July–September 2014
EMEA
Asia-Pacific
Americas
Orders: -12%
Sales:-14%
Orders: 1%
Sales:-11%
Orders: 5%
Sales:0%

11. © Gunnebo Security Group 23 October 2014, page 11
OrganicGrowthDevelopmentby Region January–September 2014
EMEA
Asia-Pacific
Americas
Orders: -21%
Sales:0%
Orders: 2%
Sales:9%
Orders: 1%
Sales:2%

12. © Gunnebo Security Group 23 October 2014, page 12
Outlook Market Trends
Europe, Middle East & Africa
Nordic
Central
South
United Kingdom & Ireland
France
Middle East
Africa
Asia-Pacific
India
China
Australia/New Zealand
South-East Asia
Americas
North America
Latin America

13. © Gunnebo Security Group 23 October 2014, page 13
FINANCIALS
Christian Johansson
CFO

14. © Gunnebo Security Group 23 October 2014, page 14
Income Statement July–September
Summary Group income statementMSEK20142013Net sales1,3141,314Cost of goods sold-922-908Gross profit392406Other operating costs, net-315-345Operating profit/loss7761Net financial items-8-8Profit/loss after financial items6953Taxes-33-21Profit/loss for the period3632Gross margin, %29.830.9Operating margin, %5.94.6Operating profit excl. non-recurring items, MSEK8293Operating profit excl. non-recurring items, %6.27.1Earnings per share, SEK0.470.39July-Sept

15. © Gunnebo Security Group 23 October 2014, page 15
Income Statement January –September
Summary Group income statementMSEK20142013Net sales3,9833,794Cost of goods sold-2,823-2,653Gross profit1,1601,141Other operating costs, net-924-1,022Operating profit/loss236119Net financial items-27-24Profit/loss after financial items20995Taxes-70-41Profit/loss for the period13954Gross margin, %29.130.1Operating margin, %5.93.1Operating profit excl. non-recurring items, MSEK218173Operating profit excl. non-recurring items, %5.54.5Earnings per share, SEK1.830.69Jan-Sept

16. © Gunnebo Security Group 23 October 2014, page 16
Net Sales(MSEK)

17. © Gunnebo Security Group 23 October 2014, page 17
Net SalesOrganicGrowthQuartervs Quarter(%)

18. © Gunnebo Security Group 23 October 2014, page 18
Operating Profit by Quarter(MSEK)
Operating Profit
Operating Profit, excl. non-recurring items
Full year
Operating Profit
excl. non-recurring items
2013: 306
2012: 266
Operating Profit
2013: 222
2012: 179
98 MSEK *
*Non-recurring items amounted to +43 MSEK in Q2

19. © Gunnebo Security Group 23 October 2014, page 19
Operating Marginby Quarter(%)
Operating Margin%, Quarter
Operating Margin % Quarter, excl. non-recurring items
Operating Margin%, 12M
Operating Margin % 12M, excl. non-recurring items
Full year
Operating Margin,
excl. non-recurring items
2013: 5.8
2012: 5.1
Operating Margin
2013: 4.2
2012: 3.4
6.9% *
* Operating Margin,
excl. non-recurring
items
2014 Q2: 6.9

20. © Gunnebo Security Group 23 October 2014, page 20
Free Cash Flow by Quarter(MSEK)
YearEnd
2013: 144
2012: 21
Free Cash Flow 12M

21. © Gunnebo Security Group 23 October 2014, page 21
Net Debt(MSEK)

22. © Gunnebo Security Group 23 October 2014, page 22
FinancialCalendar
Financial CalendarYear-end release 2014February 4, 2015Annual General Meeting 2015April 15, 2015Interim report January-March 2015April 28, 2015

23. © Gunnebo Security Group 23 October 2014, page 23
Growth
Gross MarginImprovements
FixedCostSavingsin Europe
Cash Flow
KeyPriorities2014

24. © Gunnebo Security Group 23 October 2014, page 24
Q&A

25. © Gunnebo Security Group 23 October 2014, page 25
www.gunnebogroup.com