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Who we are and what we do
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Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Dec 17, 2015

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Crystal Day
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Page 1: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Who we are and what we do

Page 2: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Page 3: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

This is how we do it

Watering productsAccessories and

garden tools Construction products

Walk-behind products Handheld productsRide-on products

Page 4: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

More than 320 years of innovation

1918Lawn mowersWeapons foundry

1689

1959Chainsaws

2006Listed on NASDAQ OMX Stockholm

1978Part of Electrolux

2010New production facility in Mielec, Poland

Page 5: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Husqvarna today

The world´s largest producer of outdoor power products for forestry, gardening, construction and the European leader in watering.

Page 6: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Husqvarna today

Financial data

• Sales SEK 30 billion

• Operating income SEK 1.6 billion

• 16,000 employees

• Listed on NASDAQ OMX Stockholm

Data refers to full year 2010, excluding items affecting comparability.

Page 7: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Husqvarna today

Operating income Sales

Data refers to full year 2011, excluding items affecting comparability and Group common cost.

SEK bn

54%

9%

37%

Page 8: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Our primary strengths

• Strong brands

• Efficient global distribution network

• Broad product offering

• Flexible supply chain

Page 9: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Our strong brand portfolio

Core Brands

Tactical Brands

Regional Brands

Page 10: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

11 11 1-21-2 22 1-21-2 11

10

Leading market positions

Chainsaws

Other petrol-powered, handheld products

Garden tractors

Lawn mowers

Diamond tools for

construction and stone industries

Watering – consumer

market

Global no. Global no. Global no. Global no. Global no. European no.

Page 11: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Our global presence

Sales offices or distributorsMajor production facilities

Page 12: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

• Homeowners

• Landowners

• Professional forest & tree care

• Professional landscape & ground care

• Construction industry

Distribution network

Dealers

Retailers

End-users

Page 13: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Innovation is our heritage and future

• 44% of capital expenditures in 2011 referred to new products.

• R&D centers in US, UK, Sweden, Germany, Japan and China.

• Primary development for exploring new technologies.

Page 14: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Battery-powered tiller Automatic watering solutions Cobra wire

X-TORQ® technology AutoTune™ technology Hybrid technology

Innovative technologies

Page 15: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Our core values

Customers firstIn our actions

ProfessionalismFor “best in class” performance

TeamworkWith open minds

Always with passion and a sense of urgency

Core values

Page 16: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Ownership structure*

*Source: SIS Ägarservice as of 30 dec 2011.*Source: SIS Ägarservice as of 30 dec 2011.

Largest shareholdersShare of capital %

Share of votes %

Investor AB 16.8 30.1

Alecta Mutual Pension Insurance 9.6 7.2

LE Lundbergföretagen AB 6.7 22.0

Nordea fonder 6.1 2.5

Swedbank Robur fonder 5.7 1.9

Sweden81%

8%

8% OthersOthers

Sweden

USA

Norway, 3%

79%

10%

8%

Page 17: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Manufacturing &Logistics

Sascha Menges

Sales & Service

Europe & Asia/Pacific

Hans Linnarson (acting)

Sales & Service

AmericasMichael Jones

ConstructionAnders Ströby

President and CEOHans Linnarson

Organization

Product Management &Development

Henric Andersson

PurchasingMartin Austermann

Human ResourcesPer Ericson

Finance & IT Ulf Liljedahl

Legal AffairsOlle Wallén

Page 18: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

“Right PEOPLE in right jobs make great RESULTS”

Page 19: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Our Code of Conduct

By applying the Code in your daily work, you are helping to ensure that our business is conducted in a responsible and sustainable way.

Page 20: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Our Code of Conduct

Husqvarna believes in fair treatment of people and honest business relations based on our Code of Conduct.

Page 21: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Opportunities for individual growth

We promote our employees and help them to develop.

Talent management ensures that the right person with the right talent is in the right position.

We encourage mobility between functions, business units, countries and regions.

Page 22: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Europe & Asia/Pacific

• Sales & service, Demand chain, Trade marketing and Product care.

• Global responsibility for Brands.

• Approximately 30% market share in the region.

• Approximately 60% of sales are under the Husqvarna and Gardena brands.

• Distribution network

– Dealers

– Retail chains such as Bauhaus, bauMax, Homebase, castorama, Kesko, OBI etc.

Sales

* Excluding items affecting comparability and group common cost.

* Excluding items affecting comparability and group common cost.

Share of Group 2011

Operating income*

Brands

54%

Page 23: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Americas

• Sales & service, Demand chain, Trade marketing and Product care.

• Manufacturing (Americas).

• Leading market positions, especially for chainsaws.

• Distribution network

– Dealers

– Sears, Lowe’s, Walmart and Home Depot.

Sales

* Excluding items affecting comparability and group common cost.Operating income for the year was negative.

* Excluding items affecting comparability and group common cost.Operating income for the year was negative.

Share of Group 2011

37%

Operating income*

Brands

Page 24: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Construction

• Sales & service, Trade marketing, Demand & supply, R&D and Manufacturing.

• Global leading market position with approximately 15% market share.

• Equipment and diamond tools for construction and stone industries.

• Distribution network

– Direct sales to construction contractors, construction retailers, rental companies and specialized dealers.

Sales

* Excluding items affecting comparability and group common cost.

* Excluding items affecting comparability and group common cost.

Share of Group 2011

Operating income*

Brands

9%

Page 25: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Product Management & Development

• Global function for

– Global categories

– Design

– R&D

– Quality

• A rapid pace of high quality, customer-driven product renewal with a high level of innovation and increased focus on battery-powered products.

• Reduce time-to-market.

• In order to make product development more effective, development resources are gathered in a few R&D centers in key locations.

R&D centers

Products

Watering Accessories and garden tools

Walk-behind Handheld Ride-on

Page 26: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

Manufacturing & Logistics

• Global function for

– D & SC, Distribution

– Manufacturing (Europe, Asia)

– Manufacturing Engineering

– Lean Program (HOS)

– Environment

• Industry specific challenges

– Delivery accuracy, efficient and flexible manufacturing in a seasonal environment with short lead times.

• A global platform for lean manufacturing and continuous improvement is one of the key priorities (Husqvarna Operating System, HOS).

Major production facilities

North America North America Europe Europe

Rest of the worldRest of the world

48% 48%

11% 11%

41% 41%

Production value by geographical area, 2011

Page 27: Who we are and what we do. Every day we are making forestry, gardening and construction easier for people in more than 100 countries.

www.husqvarnagroup.com