Konecranes Investor Presentation

Konecranes Investor PresentationQ2 2021

The following applies to this presentation, the oral presentation of the information in this presentation by Konecranes Abp (the “Company” or “Konecranes”) orany person on behalf of the Company, and any question-and-answer session that follows the oral presentation (collectively, the “Information”). In accessing theInformation, you agree to be bound by the following terms and conditions.

This presentation is to discuss Konecranes. Securities laws in the United States and in other jurisdictions restrict Konecranes from discussing or disclosinginformation with respect to the contemplated merger with Cargotec. Information regarding the contemplated merger can be found athttps://sustainablematerialflow.com/. Until the completion of the merger Cargotec and Konecranes will carry out their respective businesses as separate andindependent companies. The Information contained in this presentation concerns only Konecranes.

The merger and the merger consideration securities have not been and will not be been registered under the U.S. Securities Act, and may not be offered, sold ordelivered within or into the United States, except pursuant to an applicable exemption of, or in a transaction not subject to, the U.S. Securities Act.

This presentation does not constitute an offer of or an invitation by or on behalf of, Konecranes, or any other person, to purchase any securities.

The Information is not directed to, or intended for distribution to or use by, any person or entity that is a citizen or resident of, or located in, any locality, state,country or other jurisdiction where such distribution or use would be contrary to law or regulation or which would require any registration or licensing within suchjurisdiction.

The Information contains forward-looking statements. All statements other than statements of historical fact included in the Information are forward-lookingstatements. Forward-looking statements give the Company’s current expectations and projections relating to its financial condition, results of operations, plans,objectives, future performance and business. These statements may include, without limitation, any statements preceded by, followed by or including words suchas “target,” “believe,” “expect,” “aim,” “intend,” “may,” “anticipate,” “estimate,” “plan,” “project,” “will,” “can have,” “likely,” “should,” “would,” “could” and otherwords and terms of similar meaning or the negative thereof. Such forward-looking statements involve known and unknown risks, uncertainties and otherimportant factors beyond the Company’s control that could cause the Company’s actual results, performance or achievements to be materially different from theexpected results, performance or achievements expressed or implied by such forward-looking statements. Such forward-looking statements are based onnumerous assumptions regarding the Company’s present and future business strategies and the environment in which it will operate in the future.

The Information, including but not limited to forward-looking statements, applies only as of the date of this document and is not intended to give any assurancesas to future results. Market data used in the Information not attributed to a specific source are estimates of the Company and have not been independentlyverified.

Important Notice

1. Konecranes in brief

2. Konecranes as an investment

3. Business Area overviews

4. Appendix

5. Q2 2021 presentation

Agenda

3

© 2021 Konecranes. All rights reserved.

Konecranes in brief

4


Konecranes – a world-leading group of Lifting Businesses

Orders received

2,727.3MEUR, 2020

Adjusted EBITA

8.2%margin, 2020

Headquartered in

HyvinkääFinland

Nasdaq Helsinki

KCRsince 1996

Active in

50countries

Net sales

3,178.9MEUR, 2020

Around

16,500employees, Q2 2021

Order book

1,715.5MEUR, 2020

5

A technology & innovation pioneer in industrial cranes, container handling equipment and maintenance services

Business Area

Service

Net sales

1,190.0MEUR, 2020

Personnel

7,913end of Q2 2021

Offering Brand portfolio

• Inspections & preventive maintenance

• Predictive maintenance & remote monitoring

• Corrective maintenance & retrofits

• Consultation services

• Modernization services

• New equipment & spare parts

Net sales

1,066.0MEUR, 2020

Personnel

2,943end of Q2 2021

Port Solutions

• Quayside cranes (STS, MHC)

• Container yard, intermodal & horizontal transport equipment (RTG, RMG, ARTG, ARMG/ASC, SC, AGV)

• Lift trucks (RS, FLT, LCH/ECH)

• Software solutions (TOS, ECS)

• Service, spare parts, retrofits, consulting

+ service to3rd party equipment

Industrial Equipment

Net sales

1,120.1MEUR, 2020

Personnel

5,593end of Q2 2021

• Hoists and components (electric wire rope hoists, electric chain hoists, Core of Lifting)

• Standard cranes (built from standardized modules, largely comprise overhead cranes)

• Process cranes (application-specific cranes tailored to a specific customer need)

+ power brands

6

60%Total equipment2018 MEUR(2)

40%Total service1358 MEUR(1)

Sales by offering type, 2020

35%Service

1190 MEUR

33%Industrial Equipment

1120 MEUR

32%Port Solutions1066 MEUR

A balanced business portfolio with three main segments, extensive service coverage and a truly global presence

Sales by Business Area, 2020

7

54%EMEA

1704 MEUR

31%AME

977 MEUR

16%APAC

498 MEUR

Sales by region, 2020

Note (1): Total service includes BA Service and BA Port Solutions’ service sales of 167.9 MEUR Note (2): Total equipment includes BA Industrial Equipment and BA Port Solutions excluding service sales of 167.9 MEUR

4%Power

5%Transportation

equipment 7%Metals

production

4%Paper and

forest

32%Container handling

5%Mining

1%Chemicals

26%General

manufacturing

9%Distributors

8%Construction

and engineering

Lifting Businesses throughout a strong and diversified customer base across a broad range of industries

Orders by customer segments, 2020

8

Container handling General manufacturing

Power

MiningAutomotivePaper and forest

Metals production

Petroleum and gasWaste-to-energy

Around 16,500 employees and 34 own production facilities located in the Americas, EMEA and APAC

9

Personnel by region (Jun 30, 2021)

EMEA 9,509 58%

AME 2,993 18%

APAC 4,033 24%

Total 16,535 100%

Konecranes Group key financials development

10

1 921

3 007 3 090 3 167

2 727

-2,3%

(-0,9%)

-0,6%

(0,3%)

2,8%

(5,2%)

2,5%

(1,3%) -13,9%

(-12,6%)

0

500

1 000

1 500

2 000

2 500

3 000

3 500

4 000

4 500

2016 2017 2018 2019 2020

Orders received

Y/Y growth-% (Y/Y growth-% in comparable FX)

145

217

257275

261

6,8% 6,9%

8,1%8,3% 8,2%

0

50

100

150

200

250

300

350

400

450

2016 2017 2018 2019 2020

Adjusted EBITA Adj. EBITA-%

2 118

3 137 3 1563 327

3 179

-0,4%

(1,1%)-4,3%

(-3,4%)

0,6%

(3,0%)

5,4%

(4,1%)-4,4%

(-3,0%)

0

500

1 000

1 500

2 000

2 500

3 000

3 500

4 000

4 500

2016 2017 2018 2019 2020

Net sales

Y/Y growth-% (Y/Y growth-% in comparable FX)

Orders received, MEUR(1) Net sales, MEUR(1)(2) Adjusted EBITA, MEUR & adjusted EBITA-%(1)(2)

Note (1): 2016 figures on a stand-alone basis excluding the MHPS business and 2017 Y/Y growth-% (Y/Y growth-% in comparable FX) versus comparable combined company figuresNote (2): 2017 figures restated due full retrospective approach in transition of IFRS 15

48

6772

87

21

58

80

102

56

65

6,4 %

8,4 %

8,6 %9,4 %

2,7 %

8,2 %

10,4 %10,9 %

8,0 %

8,6 %

0%

2%

4%

6%

8%

10%

12%

0

20

40

60

80

100

120

Q1 Q2 Q3 Q4

Adj. EBITA 2019 Adj. EBITA 2020 Adj. EBITA 2021

Adj. EBITA-% 2019 Adj. EBITA-% 2020 Adj. EBITA-% 2021

Recent quarterly Group net sales and profitability

11

758794

841

933

770

705

768

937

704759

0

200

400

600

800

1 000

1 200

Q1/19 Q2/19 Q3/19 Q4/19 Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21

Net sales 2019 Net sales 2020 Net sales 2021

Group net sales, MEUR Group adjusted EBITA, MEUR Margin-%

More than 100 years of growth organically combined with a strong track record of strategic acquisitions

1930sDeveloping electric

hoists

1950sProduction of harbor

cranes starts

1970sBulk material handling

starts

1990sIndependent

company

2010sExpansion to emerging

markets

2010sStrengthening digital

service delivery

1910sManufacturing starts

in Helsinki

2000sEntry to the Chinese market and lift trucks

1940sExpanding to

Hyvinkää

1960sEstablishing

a service strategy

1980sExpansion to America

2020Bought full ownership of

our MHE-Demag

12

2017Acquisition of

the MHPS business

2020Announced merger

with Cargotec

We have recognized four megatrends that especially have an impact on our customers and business operations

Helping and supporting customers to shift to a low-carbon future and

reduce their environmental footprint

Great possibilities to automate equipment, processes and entire

customer operations

Continues to be a priority for all companies, and especially so in

capital-intensive industrial production

Changes are reflected in the operating environment and conditions of businesses across the world

SUSTAINABILITY DIGITALIZATION PRODUCTIVITY GEOPOLITICS

Provide great opportunities for us to develop our business further

13

Leveraging the megatrends & our key competencies – our focus is on accelerating growth and increasing profitability…

14

PORTSOLUTIONS

INDUSTRIALEQUIPMENT

MissionWe are not just lifting things, but entire businesses.

VisionWe know in real time how millions of lifting devices perform. We use this knowledge

around the clock to make our customers’ operations safer and more productive.

MATERIAL FLOW CONCEPT

STRATEGIC CHOICES

Customer choice Offering choice Technology choice Go-to-market choice Sustainability choice

STRATEGIC INITIATIVES

Service revenue andprofitability growth

Industrial Equipmentprofitability improvement

Projectmanagement

Leanoperations

Procurementexcellence

Business processefficiency improvement

STS crane Yard cranes Mobile equipment Software andoptimization

Maintenance andspare parts

Inspection, training and consulting

Overhead cranes Lifting hoists Horizontal intra-factory logistics

Loading equipment Software andoptimization

Maintenance andspare parts


…through strategic choices and initiatives as well as the material flow concept

15

The material flow concept

• To support growing customer demand for more comprehensive solutions, products and services, we have extended our ambitions beyond lifting into the broader material flow

• We aim for a seamless and integrated material flow beyond cranes and port equipment with real-time tracking

• We provide advanced services with complementary software offering to ensure optimized operations for our customers

Customer choice:

We serve a diversified customer base across many industries, which gives greater stability and resilience against downturns in the different sectors

Offering choice:

Offering choice: A broad lifting equipment offering with high share of services. We service both our own and 3rd party equipment

Technology choice:

Our Core of Lifting approach, an integrated package of gears, motor and controls designed by Konecranes, gives a competitive advantage for all businesses

Go-to-market choice:

Two channel (direct and indirect), multi-strategy in both Industrial Equipment and Port Solutions

Sustainability choice:

Committed to sustainability and responsible business practices

Strategic choices

We describe the backbone of our business approach with a set ofstrategic choices

Strategic initiatives

• We have identified key strategic initiatives to strengthen our core competencies

• These initiatives drive our activities, ensuring we continue our high-performance focus

Strategic initiatives strengthening our core competencies

ProjectManagement

Industrial Equipment Profitability Improvement

LeanOperations

Business ProcessEfficiency Improvement

ProcurementExcellence

Service Revenue andProfitability Growth

16

Sustainability is at the core of Konecranes business andthe Sustainability cornerstones are the foundation

17

We work to decarbonize our own operations

• Reaching emission targets for own operations

• Power our factories with 100% renewable electricity

We are a trusted partner known for our integrity

• We expect the highest ethical standards of ourselves and our business partners

• We do business in a direct, clear and ethical manner

We support our customers in reaching their low-carbon targets with our solutions

• Accelerating circularity at all levels of operations

• Setting and reaching Science Based Targets for value chain emissions

We represent the multicultural communities where we operate

• Equality, diversity & inclusion culture are embedded in our values

• We enjoy our work, feel trusted and valued and are proud to belong to Konecranes

We make sure everyone gets to go home safe, every day

• Uncompromised safety in our operations

• Solutions that deliver the safest material flow

SUSTAINABILITYCORNERSTONES

Our key sustainability themes are combined into five sustainability cornerstones

We have set ambitious commitments and targets for all five focus areas and regularly monitor performance and progress.

Advancing our climate roadmap with Science Based Targets commitment and defining EU Taxonomy alignment

18

Note (1): The use by Konecranes of any MSCI ESG Research Llc or its affiliates (“MSCI”) data, and the use of MSCI logos, trademarks, service marks or index names herein, do not constitute a sponsorship, endorsement, recommendation, or promotion of Konecranes by MSCI. MSCI services and data are the property of MSCI or its information providers, and are provided ‘as-is’ and without warranty. MSCI names and logos are trademarks or service marks of MSCI.

• Konecranes’ sustainability work has been recognized with top ratings from distinguished sustainability indexes

• Konecranes actively and regularly responds to sustainability indexes and questionnaires such as MSCI ESG, CDP, ISS ESG, Ecovadis, Vigeo Eiris, and Sustainalytics

• Science Based Targets Initiative (SBTi) letter of commitment signed in 2020

• Konecranes will define new climate targets for its operations, reinforcing our commitment to mitigate climate risks, cut emissions and enhance our low-carbon portfolio

EU taxonomy Sustainability ratingsUN Global CompactSBT commitment

A-

MSCIESG Rating (12/2020)(1)

CDPClimateChange 2020

• Konecranes is working on aligning its reporting and communications on low carbon solutions and defining its portfolio´s EU Taxonomy alignment

• Konecranes is actively working on categorization, reviewing and defining the low carbon criteria for its offering

• Signatory member of the UN Global Compact since 2010 and committed to UN Sustainable Development Goals

• Operating according to the ten principles to meet the fundamental responsibilities in the areas of human rights, labor, environment and anti-corruption

3 179

1 463

54%49%

0%

20%

40%

60%

80%

100%

0

500

1 000

1 500

2 000

2 500

3 000

3 500

4 000

2020 H1/2021

Net sales Net sales, eco portfolio-%

Konecranes has a strong eco-efficient equipment offering combined with services to extend product lifecycles

19

Eco portfolio share of Group sales, %

Description of eco portfolio

• Fully electrified and hybrid equipment, as well as modernizations and retrofits

• The relatively low eco portfolio share of Service is due to only modernizations and retrofits being included in the eco portfolio, although all maintenance work and spare parts aim at extending product lifecycle and increased resource-efficiency

“Eco portfolio” sales by Business Area, H1 2021

Eco portfolio sales

15 %of Service

Eco portfolio sales

100 %of Industrial Equipment

Eco portfolio sales

42 %of Port Solutions

Service

37%of Group sales


32%of Group sales

Port Solutions

31%of Group sales

Konecranes as an investment

Konecranes as an investment

3

• Significant growth potential in Service with the expansion of Konecranes’ unparalleled service offering to Demag’s as well as third-party installed base.

• Cross-promotion through enhanced product offering for ports, now covering the full range of equipment, software, automation solutions and service.

4

• Margin expansion driven by cost savings and efficiency improvements particularly in Business Area Industrial Equipment.

• Improved operating leverage especially in Business Area Service.

5

• Healthy balance sheet, providing a good base for long-term development and growth.

• For the last 15 years until 2019, Konecranes always maintained or increased its dividend. For the same period, the average dividend pay-out ratio was 85 percent of earnings for 2005–2020.

• The dividend of EUR 0.88 per share for the year 2020 is in line with the combination agreement, and as disclosed in the merger announcement on October 1, 2020.

1

• Own key componentry: gears, motor and controls, enable optimized design, smarter features and better reliability.

• Digitalized product offering for improved safety and productivity

• Access to massive data streams and real-time connectivity enables preventive and predictive maintenance solutions for highest lifecycle value.

2

• Our global service branch network is unique in the industry. There is limited global or regional competition in industrial crane maintenance.

• Our family of leading brands secures our position as the global market leader in industrial cranes.

• We rank #1–3 in the market in all product categories for ports and container terminals.

6

• We aim to maximize the circular value of all our products. Our circular economy business model helps us to raise our resource and energy-efficiency, while reducing our customers’ environmental footprint.

• We are committed to reducing our energy intensity (MWh/sales) by 25 percent and greenhouse gas emission intensity (tCO2e/sales) by 50 percent during 2017–2025.

• We are also committed to run our factories with 100 percent renewable electricity by 2025.

Strong market positionin all Business Areas

Attractive opportunities for growth

Target for 11% Groupadjusted EBITA margin

Solid financial position and dividend

Strong long-term commitment to sustainability

Leader in technology

Konecranes as an investment | Leader in technology | Strong market position in all Business Areas | Attractive opportunities for growth | Target for 11% Group adjusted EBITA margin | Solid financial position and dividend | Strong long-term commitment to sustainability

21

Konecranes and Cargotec to merge, creating a global leader in sustainable material flow


22

• On October 1, 2020 Konecranes announced a merger with Cargotec

• Konecranes and Cargotec have filed for approval in many of the jurisdictions where the transaction requires regulatory review

• The companies are confident that the approvals are received to allow completion of the merger by the end of H1/2022

• Until completion, both companies will operate fully separately and independently

• The strategic and business rationale of the Future Company, as well as the preliminary financial ambitions, are available in the merger prospectus published on December 4, 2020

• Further information on the merger is also available on the merger website:Visit the merger website

http://www.sustainablematerialflow.com/

With many innovative solutions and a solid patent portfolio, we are a technology leader in our industry


23

Own in-house developed Core of Lifting…

…and used across the whole product range

GEARS MOTORS CONTROLS

Smart features & digitalized offering for improved safety and productivity

…key componentry with optimized design, smarter features, better reliability…

TRUCONNECTRemote monitoring

TRUCONNECTSafety alerts

TRUCONNECTRemote diagnostics

TRUCONNECTEfficiency monitoring

Working limits Protected areas Micro speed Inching

Extended Speed Range

Tandem drive Hook leveling Synchro Sway control

Slack rope prevention

Active swaycontrol

Assisted load turning

Follow meHook centering

Shock load prevention

Targetpositioning

Load floating End positioningSnag prevention

Access to massive data streams and real-time connectivity enables preventive and predictive maintenance solutions for highest lifecycle value

YOURKONECRANES CUSTOMER PORTAL

Konecranes Smart features

Illustrative competitive landscape

We have a strong market position in all of our three Business Areas

Company CountryIndustrial cranes

Portcranes

Lifttrucks

Service

Columbus McKinnon USA n n

Kito Japan n

Abus Kransysteme Germany n

GH Spain n n

OMIS Italy n n

Weihua China n

ZPMC China n n n

Kalmar Finland n n n

Liebherr Germany n n n

Taylor USA n

CVS Ferrari Italy n

Mitsui E & S Japan n

Kunz Austria n

Hyster USA n

Sany China n n


24

Service

• Our global branch network is unique in the industry – there is no global or regional competition in industrial crane maintenance


• Our family of leading brandssecures our position as theglobal market leader inindustrial cranes

Port Solutions

• We rank market number 1-3 inall product categories for portand container terminals

A global leader in industrial lifting, port solutions and crane maintenance


25

• Demand driven by market conditions in the industrial and container handling sectors

• New equipment investments to expand capacity or replace old existing equipment

• New investments are cyclical and depend on the industry’s economic environment

• Increasing demand for higher productivity, safety and eco-efficiency presents growth opportunities for new equipment sales

Service

Port Solutions


+ service to 3rd party equipment

Overhead cranes Lifting hoists Horizontal intra-factory logistics

Loadingequipment

Software andoptimization

Maintenanceand spare

parts


Software & optimization Maintenance &spare parts

Inspection,training andconsulting

Quayside cranes Yard cranes Mobileequipment

• Significant growth potential in Service with the expansion of Konecranes’ unparalleled service offering to Demag’s as well as third-party installed base

• Objective of Service is to improve the safety and productivity of its customers’ operations, especially through digitalisation

• Deep industry knowledge, technology leadership with digital controls, software and automation combined with strong brands and high quality position Konecranes as the leader in industrial cranes globally

• Industry benchmark light lifting systems and further expansion into the broader material flow provide attractive opportunities

• Cross-promotion through enhanced product offering for ports, now covering the full range of equipment, software, automation solutions and service

• Automated equipment increase productivity and predictability, while software-based intelligence optimises container throughput and the operations of entire container terminals

915

1 180 1 1931 260

1 19011,0%

13,7%

15,1%

16,6%17,2%

0

200

400

600

800

1 000

1 200

1 400

1 600

1 800

2 000

2016 2017 2018 2019 2020

543

9761 013

1 1161 066

9,3%

4,6%

7,0%7,8%

5,6%

0

200

400

600

800

1 000

1 200

1 400

1 600

1 800

2 000

2016 2017 2018 2019 2020

830

1 118 1 151 1 1861 120

1,9%

3,1%3,7%

1,5%2,3%

0

200

400

600

800

1 000

1 200

1 400

1 600

1 800

2 000

2017 2017 2018 2019 2020

Target for 11% Group adjusted EBITA margin


26

BA Service BA Industrial Equipment BA Port SolutionsGroup

2 118

3 137 3 1563 327

3 179

6,8% 6,9%

8,1% 8,3% 8,2%

0

400

800

1 200

1 600

2 000

2 400

2 800

3 200

3 600

4 000

2016 2017 2018 2019 2020

Note (1): 2016 figures for Konecranes on a stand-alone basis excluding the MHPS businessNote (2): 2017 figures restated due full retrospective approach in transition of IFRS 15

Net sales, MEUR and adj. EBITA-%(1)(2) Net sales, MEUR and adj. EBITA-%(1)(2) Net sales, MEUR and adj. EBITA-%(1)(2) Net sales, MEUR and adj. EBITA-%(1)(2)

A healthy balance sheet enabling long-term development & growth, and Konecranes has a strong dividend track record


27

0,64

2,89

1,29

1,03

1,54

1,051,20 1,20 1,20

0,88

164%

42%

93%

117%

57%

85%

average payout ratio

for 2005-2020

0%

20%

40%

60%

80%

100%

120%

140%

160%

180%

0,00

0,50

1,00

1,50

2,00

2,50

3,00

2016 2017 2018 2019 2020

EPS, basic DPS DPR, %

Payout ratio, %EUR(1)

Earnings & dividend per share

Note (1): The dividend of EUR 0.88 per share for the year 2020 is in line with the combination agreement, and as disclosed in the merger announcement on October 1, 2020

Balance sheet figures

130

525545

655

577

29%

41% 43%

53%

46%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

0

100

200

300

400

500

600

700

800

2016 2017 2018 2019 2020

Net debt Gearing, %

Net debt, MEUR Gearing, %

Until 2019, Konecranes has always maintained or increased its dividend – 2020 dividend in line with the combination agreement

Strong long-term commitment to sustainability – we work for a decarbonized and circular world for customers & society


28

0

10

20

30

40

2017 2018 2019 2020 2025

Emission intensity target, tCO2e/sales

0

40

80

120

2017 2018 2019 2020 2025

Energy intensity target, MWh/sales

0

25

50

75

100

2017 2018 2019 2020 2025

Renewable electricity target, % used in factories

SBTi commitment to mitigate climate changeKonecranes current Climate action and resource efficiency targets(1)

Target

-50%2017-2025

Progress

-29%by 2020

Target

-25%2017-2025

Progress

-23%by 2020

Target

100%2017-2025

Progress

30%by 2020

1.5°CKonecranes has signed the commitment letter for theScience Based Targets Initiative (SBTi) in 2020.Konecranes will set new, even more ambitiousclimate targets for its operations in line with the goalsof the Paris Agreement.

Note (1): Current target for the Climate action and resource efficiency sustainability cornerstone, Konecranes will set new climate targets for its operations after signing the SBTi commitment letter in 2020

29


Business Area overviews

Business Area Service in brief

987 1 015928

244 268 276

0

200

400

600

800

1 000

1 200

2018 2019 2020

Orders received Agreement base

1 193 1 260 1 190

180 209 205

15,1 % 16,6 % 17,2 %

0%

5%

10%

15%

20%

25%

30%

0

300

600

900

1 200

1 500

2018 2019 2020

Net sales Adj. EBITA Adj. EBITA-%

30

Margin, %Key financials, MEUR

Orders received and agreement base, MEUR• Konecranes is a market leader in crane service with one of the world’s most extensive service networks

• Service provides industry-leading maintenance services for all types and makes of industrial cranes and hoists

• Our objective is to improve the safety, productivity and sustainability of our customers’ operations

• Lifecycle Care is our comprehensive and systematic approach to managing customer assets; we connect data, machines and people to deliver a digitally-enabled customer experience in real time

7,913employees (end of Q2 2021)

1,190.0net sales, MEUR (2020)

17.2%adj. EBITA margin (2020)

35%of Group sales

(2020)

BA Service | BA Industrial Equipment | BA Port Solutions

31

Service offering – improving safety and productivity in Real Time

Connect. Get Insights. Optimize.Designed to maximize the productivity of uptime and

minimize the cost of downtime, thereby achieving the highestlifecycle value for our customers' equipment

Inspections&

Preventive Maintenance

Predictive Maintenance

&Remote

Monitoring

Corrective maintenance

&Retrofits

Consultation services

Modernization services

New equipment

&Spare parts

2

3

45

6

1

Lifecycle Care

Digital tools for smart serviceyourKONECRANES customer portal, CheckApp for Daily Inspections,

TRUCONNECT Remote Monitoring, Konecranes STORE


Business Area Industrial Equipment in brief

1 249 1 252

981

591 649 599

0

300

600

900

1 200

1 500

2018 2019 2020

Orders received Order book

1 151 1 186 1 120

43 18 25

3,7 %

1,5 %2,3 %

0%

2%

4%

6%

8%

10%

0

300

600

900

1 200

1 500

2018 2019 2020


32


Orders received and order book, MEUR• Konecranes is one of the world’s largest suppliers of industrial cranes and wire rope hoists and a technology leader with digital controls, software and automation

• Industrial Equipment offers hoists, cranes and material handling solutions for a wide range of customers from General Manufacturing to various kinds of process industries like Waste-to-Energy, Paper and Forest, Automotive and Metals Production

• Products are marketed through a multi-brand portfolio




33%of Group sales

(2020)


Industrial Equipment offering – leading provider ofindustrial cranes

33

Hoists & Components Standard Cranes Process Cranes (ETO)

Modular cranes Universal cranes

Products for hazardous environments

Core of Lifting(Gears, Motors, Controls)

Hoists & Components(Electric wire rope & electric chain hoists)

Overhead cranes(Configured-to-order, CTO)

Workstation lifting systems

Petroleum and gas Metals production

Paper & forestPower & Nuclear

AutomotiveWaste-to-energy

& Biomass


Business Area Port Solutions in brief

1 096 1 147995

911 960 903

0

200

400

600

800

1 000

1 200

1 400

2018 2019 2020

Orders received Order book

1 0131 116 1 066

71 87 60

7,0 %7,8 %

5,6 %

0%

2%

4%

6%

8%

10%

12%

0

300

600

900

1 200

2018 2019 2020


34


Orders received and agreement base, MEUR• Konecranes is a market leader in all product categories for ports and container terminals

• Port Solutions offers a full range of manned and fully automated container cranes, mobile harbor cranes, manned and fully automated straddle carriers, heavy-duty lift trucks, and automated guided vehicles

• The offering also comprises a complete array of shipyard cranes and Terminal Operating System (TOS) and Equipment Control System (ECS) software, optimizing operations of entire container terminals

• In 2020, the service share of Port Solutions’ sales was 16% (167.9 MEUR)




32%of Group sales

(2020)


Port Solutions offering – full and complementary offering for container handling…

35

Port Services

Shipyard Cranes

Lift Trucks

Forklift Trucks (FLT)

Container Handlers(Laden/LCH & Empty/ECH)

Container Handling Cranes

Ship-To-Shorecranes(STS)

Mobile Harbour Cranes(MHC)

Field service, spare parts, retrofits & upgrades, digital

services, optimizations, consulting

Reach Stackers (RS)

Goliath Gantry Crane

Shipyard Cranes

Automatedstacking cranes

(ARMG/ASC, ARTG)

Software solutions(Smart features, ECS, TOS,

Simulation)

Straddle Carriers &Sprinter Carriers

(Automated & Manual)

Automated Guided Vehicles & Automated Terminal Tractors

(AGV, A-TT)

Rail Mounted & Rubber Tired Gantry Cranes

(RMG, RTG)

Automation


…covering equipment, automation solutions, software and services

36

PS offeringvideo ►


https://www.youtube.com/watch?v=ZO8dINR8WGc

https://www.youtube.com/watch?v=ZO8dINR8WGc

The complete solution for the Path to Port Automation lifting terminals to higher productivity and efficiency

37

Terminal Operating System (TOS)

Konecranes offering for terminal evolution

Conceptual design for new terminalor terminal conversion

• Terminal design (simulation)

• Terminal conversion

• Implementation support (emulation)

Equipment for all sizes & stages of terminal development

• Full and complementary portfolio

• Smart features & connectivity

• Automated equipment

Software to run the terminal & implementation support

• Autostore (TOS)

• Teams (ECS)

• Remote control

Services and consulting

• Optimisation & performance improvement

• Field service and spare parts

• Retrofits & upgrades

• Digital services & remote monitoring

Equipment Control System (ECS)

Remote operation at any stage

1. Manual operation 2. Smart features 4. Automated operationKonecranes Path to Port Automation

A-SPRINTER A-STRADAGVARMG/ASC

End-feedARMG

Side-feedARTGYard Quay

Smart features increasingly asstandard in new Konecranes equipment

- as retrofits to Konecranes or 3rd party equipment

KonecranesEquipment

Software agnostic equipment

3. Supervised operation

KonecranesSoftware

In-house software (TOS & ECS)


Horizontal

A comprehensive fully-electric offering and Path to Ecolifting& retrofits to increase efficiency and lower emissions

38

1. Optimizeddiesel drives

Path to Ecolifting & equipment offering

Quayside

STS

MHC

Container yard

RTG

ARTG

RMG

ASC/ARMG

Horizontal transport

(A)Sprinter

AGV

Forklift

(A)Straddle

Lift trucks

RS

LCH/ECH

External power supply






Battery-electric

Battery-electric

Equipment examples with fully-electric drive(external power supply with direct connection to power grid)

3. Fully-electric drives

2. Hybrid drives

Fully-electric E-VER forklift (Li-ion)

Fully-electric MHC (cable reel) Fully-electric ASC/ARMG (cable reel)

Fully-electric ARTG (cable reel)Fully-electric & Hybrid RTG (busbar)

Fully-electric AGV (Li-ion)

Ecoliftingvideo ►

Feasible to developStandard offering


https://www.youtube.com/watch?v=djZVQCrAxVk

https://www.youtube.com/watch?v=djZVQCrAxVk

39


Appendix

Konecranes at a glance

40

KonecranesGroup

Service Industrial Equipment

PortSolutions

Eliminations / Group

Net sales

Adj. EBITA

Adj. EBITA margin

Personnel(end of Q2 2021)

3,178.9MEUR

260.8MEUR

8.2%

16,535

1,190.0MEUR

205.2MEUR

17.2%

7,913

1,120.1MEUR

25.4MEUR

2.3%

5,593

1,066.0MEUR

59.7MEUR

5.6%

2,943

-197.2MEUR

-29.5MEUR

86

Order book 1,715.5MEUR

213.4MEUR

598.8MEUR

903.2MEUR

Orders received 2,727.3MEUR

927.8MEUR

981.2MEUR

994.5MEUR

-176.1MEUR

Key figures, 2020

Konecranes Board of Directors

41

Christoph VitzthumChairman of the Board

Päivi RekonenMember of the Board

Janina KugelMember of the Board

Ulf LiljedahlMember of the Board

Per Vegard NersethMember of the Board

Niko MokkilaMember of the Board

Note (1): Janne Martin, an employee representative and a member of Konecranes Board of Directors, resigned from the Board on July 27, 2021Note (2): Niko Mokkila is independent of the Company but he is deemed to be dependent of a significant shareholder of the Company based on his current position as Managing Director of Hartwall Capital Oy Ab

6Board members(1)

83%independent(2)

33%female

4different nationalities

Different educational backgrounds from the fields of engineering, economics, social science and human

resource management

Audit & HRCommittees

Konecranes Leadership Team

42

Rob SmithPresident and CEO

Teo OttolaCFO,

Deputy CEO

Juha PankakoskiExecutive Vice President,

Technologies

Timo LeskinenSenior Vice President,Human Resources(1)

Sirpa PoitsaloSenior Vice President,

General Counsel

Topi TiitolaSenior Vice President, Integration

and Project Management

Fabio FiorinoExecutive Vice President,

BA Service

Carolin PaulusExecutive Vice President,BA Industrial Equipment

Mika MahlbergExecutive Vice President,

BA Port Solutions

22%female

4different nationalities

Note (1): Timo Leskinen, SVP for Human Resources and a member of the Konecranes Leadership Team, has decided to leave the company and will take a position at another company. He will leave Konecranes on 30 September 2021.

Group interest-bearing liabilities and net debt

43

MEUR

Structure and maturity profile of interest-bearing liabilities (Dec 31, 2020)

311

829

31

0

200

400

600

800

1 000

Less than1 year

1-5years

Over5 years

EUR million 30 Jun 30 Jun 31 Dec

2021 2020 2020

Non current interest bearing liabilities

445.5 941.2 859.7

Current interest bearing liabilities

509.3 333.8 311.1

Interest-bearing liabilities 954.8 1,275.0 1,170.8

Loans receivable -1.9 -0.9 -1.8

Cash and cash equivalents -328.5 -503.9 -591.9

Interest-bearing net debt 624.4 770.2 577.1

Interest-bearing net debt (Jun 30, 2021)

48%562,6 MEUR

21%249,5 MEUR

11%128,8 MEUR

15%180,8 MEUR

3%35,0 MEUR

1%14,2 MEUR

0%0,0 MEUR

Loans from financial institutions Bonds

Lease liabilities Commercial paper program

Pension loans Other long-term debt and short-term loans

Overdraft

% ofinterest-bearing

liabilities

22,3

36,0

42,1 41,1

48,5

1,1% 1,1%1,3%

1,2%

1,5%

0%

1%

2%

3%

4%

5%

0

10

20

30

40

50

60

2016 2017 2018 2019 2020

R&D expenditure R&D expenditure, % of sales

Capital expenditure, depreciation and R&D expenditure

44

34 36 3540

43

50

7882

9994

0

20

40

60

80

100

120

2016 2017 2018 2019 2020

Capex, excl. acquisitions Depreciation

Research and development, MEURCapital expenditure and depreciation, MEUR(1) % of sales

Note (1): The implementation of IFRS 16 Leases standard in the beginning of 2019 had an impact of approximately 31 MEUR for the year 2019, the figures for earlier periods have not been restated

Operating expenses

45

EUR million 1-12/ 1-12/ 1-12/

2018 2019 2020

Change in work in progress -52.7 0.5 10.5

Production for own use -0.5 -1.1 -0.6

Material and supplies 1,106.0 1,103.7 1,062.0

Subcontracting 319.1 401.9 401.1

Materials, supplies and subcontracting 1,371.9 1,505.0 1,473.0

Wages and salaries 804.3 891.5 826.3

Pension costs 65.1 61.3 58.9

Other personnel expenses 137.1 127.8 108.3

Personnel cost 1,006.5 1,080.7 993.5

Other operating expenses 498.0 488.5 419.3

Total operating expenses 2,876.3 3,074.1 2,885.8

33,4% 33,2% 33,7%

10,1%12,1 % 12,6%

25,5%26,8 % 26,0%

2,1%

1,8%1,9%

4,3%3,8%

3,4%15,8%

14,7 %13,2%

2 876

3 074

2 886

0

500

1 000

1 500

2 000

2 500

3 000

3 500

2018 2019 2020

Material and supplies, and other Subcontracting

Wages and salaries Pension costs

Other personnel expenses Other operating expenses

Operating expenses, MEUR and operating expenses, % of sales

Dividend per share and payout ratio development

46

EUR

Note (1): The dividend of EUR 0.88 per share for the year 2020 is in line with the combination agreement, and as disclosed in the merger announcement on October 1, 2020

Dividend per share and dividend/earnings ratio(1)

0,28

0,45

0,80

0,90 0,90

1,00 1,001,05 1,05 1,05 1,05 1,05

1,20 1,20 1,20

0,88

0%

50%

100%

150%

200%

250%

0,00

0,25

0,50

0,75

1,00

1,25

1,50

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Dividend per share Dividend/earnings Average Dividend/earnings

0.88 EURdividend for 2020(1)

85%average dividend pay-out

ratio for 2005-2020(1)

4.1%average effective dividend

yield 2005-2020(1)

Konecranes does not have any formal written dividend

policy

%

Major shareholders and distribution of ownership

47

Private companies (13,7% of shares)

Financial and insurance corporations (39,8% of shares)

Public sector organizations (16,4% of shares)

Households (16,6% of shares)

Non-profit organizations (5,6% of shares)

Foreigners (7,9% of shares)

Shareholder # of shares Shares, %

1 Hartwall Capital 7,931,238 10.01

2 Solidium Oy 6,744,506 8.51

3 Ilmarinen Mutual Pension Insurance Company 2,300,000 2.90

4 Varma Mutual Pension Insurance Company 1,916,061 2.42

5 Holding Manutas Oy 1,065,000 1.34

6 Landtman Johanna Helena 1,034,889 1.31

7 Grotenfelt Nora Elisabeth 1,034,889 1.31

8 Elo Mutual Pension Insurance Company 1,006,497 1.27

9 OP Investment Funds 744,720 0.94

10 The State Pension Fund 580,000 0.73

Top 10 total 24,357,800 30.75

Nominee registered 32,143,796 40.57

Other shareholders 22,720,310 28.68

Total number of shares outstanding 79,221,906 100.00

Major shareholders (as at Jun 30, 2021)Ownership structure (as at Jun 30, 2021)

%of shares

39,519 shareholders (35,888 households)

We have terminated production at 16 sites since the start of the Terex MHPS integration

48

Q2 2021ReportJuly 28, 2021

Rob Smith, President and CEO

Teo Ottola, CFO

The following applies to this presentation, the oral presentation of the information in this presentation by Konecranes Abp (the “Company” or “Konecranes”) orany person on behalf of the Company, and any question-and-answer session that follows the oral presentation (collectively, the “Information”). In accessing theInformation, you agree to be bound by the following terms and conditions.

This presentation is to discuss Konecranes’ Q2 2021 results. Securities laws in the United States and in other jurisdictions restrict Konecranes from discussing ordisclosing information with respect to the contemplated merger with Cargotec. Information regarding the contemplated merger can be found athttps://sustainablematerialflow.com/. Until the completion of the merger Cargotec and Konecranes will carry out their respective businesses as separate andindependent companies. The Information contained in this presentation concerns only Konecranes.

The merger and the merger consideration securities have not been and will not be been registered under the U.S. Securities Act, and may not be offered, sold ordelivered within or into the United States, except pursuant to an applicable exemption of, or in a transaction not subject to, the U.S. Securities Act.

This presentation does not constitute an offer of or an invitation by or on behalf of, Konecranes, or any other person, to purchase any securities.

The Information is not directed to, or intended for distribution to or use by, any person or entity that is a citizen or resident of, or located in, any locality, state,country or other jurisdiction where such distribution or use would be contrary to law or regulation or which would require any registration or licensing within suchjurisdiction.

The Information contains forward-looking statements. All statements other than statements of historical fact included in the Information are forward-lookingstatements. Forward-looking statements give the Company’s current expectations and projections relating to its financial condition, results of operations, plans,objectives, future performance and business. These statements may include, without limitation, any statements preceded by, followed by or including words suchas “target,” “believe,” “expect,” “aim,” “intend,” “may,” “anticipate,” “estimate,” “plan,” “project,” “will,” “can have,” “likely,” “should,” “would,” “could” and otherwords and terms of similar meaning or the negative thereof. Such forward-looking statements involve known and unknown risks, uncertainties and otherimportant factors beyond the Company’s control that could cause the Company’s actual results, performance or achievements to be materially different from theexpected results, performance or achievements expressed or implied by such forward-looking statements. Such forward-looking statements are based onnumerous assumptions regarding the Company’s present and future business strategies and the environment in which it will operate in the future.

The Information, including but not limited to forward-looking statements, applies only as of the date of this document and is not intended to give any assurancesas to future results. Market data used in the Information not attributed to a specific source are estimates of the Company and have not been independentlyverified.

Important Notice

1. Group highlights

2. Business Area Service

3. Business Area Industrial Equipment

4. Business Area Port Solutions

5. Cash flow and balance sheet

6. Appendix

Agenda

51


Q2 2021 Highlights

Q2 was another strong quarter with good order intake and sales growth combined with the 4th consecutive profitability record

• Group adj. EBITA-% at 8.6% (8.2%), powered by solid sales growth and high performance across the whole organization

• Service Q2 adj. EBITA-% at 16.8%, Industrial Equipment at 2.1% and Port Solutions at 7.1%

Overall market sentiment continued to improve in Q2 compared to the previous quarters, though COVID-19 related market volatility is not over

• Activity remained high in the port sector and continued to improve with our industrial customers, Q2 order book record high

• Group order intake grew 41.1% Y/Y in comparable FX, Q2 2020 marked the peak of the COVID-19 pandemic and lockdowns

• Component availability and other supply chain constrains continued to affect sales in Q2 (approximately EUR 35 million impact in Q2), Group sales still grew by 10.0% Y/Y in comparable FX

• Strong H1 orders, especially in our short-cycle products, together with continuing traction from strategic initiatives give us good momentum for the latter half of the year

Demand outlook for Q3 updated

Full-year 2021 guidance reiterated

Announced merger with Cargotec is progressing well, confident on completion by the end of H1 2022

52

Key figures

Key figures 4-6/ 4-6/ Change % Change % 1-6/ 1-6/ Change % Change % 1-12/

2021 2020At comparable

currencies2021 2020

At comparablecurrencies

2020

Orders received, MEUR 806.7 581.5 38.7 41.1 1,569.5 1,318.5 19.0 21.8 2,727.3

Order book at end of period, MEUR 1,974.8 1,904.5 3.7 4.8 1,715.5

Sales, MEUR 759.3 704.7 7.7 10.0 1,463.3 1,474.2 -0.7 1.7 3,178.9

Adj. EBITDA, MEUR 86.5 83.0 4.1 165.5 129.0 28.3 356.7

Adj. EBITDA, % 11.4% 11.8% 11.3% 8.8% 11.2%

Adj. EBITA, MEUR 65.3 57.5 13.5 121.6 78.6 54.7 260.8

Adj. EBITA, % 8.6% 8.2% 8.3% 5.3% 8.2%

Operating profit (EBIT), MEUR 46.6 42.7 9.3 84.1 50.5 66.8 173.8

Operating margin (EBIT), % 6.1% 6.1% 5.8% 3.4% 5.5%

EPS, basic, EUR 0.36 0.38 -6.6 0.59 0.53 11.4 1.54

Free cash flow, MEUR 15.4 53.7 33.0 107.5 366.1

Net debt, MEUR 624.4 770.2 577.1

53

82,3

50

55

60

65

70

75

80

85

90

Jun-11 Jun-13 Jun-15 Jun-17 Jun-19 Jun-21

European Union (27 countries)

Market environment – Service and Industrial Equipment

Source: Eurostat, Federal Reserve Economic Data, IHS Markit

PMIs – BRIC countriesCapacity utilization rate – USA

• Operating conditions continued to improve in Q2 in Europe, manufacturing PMI of 63.4 in June marked the fourth successive record-high

• Manufacturing industry capacity utilization rate exceeded the pre-COVID level in Q2, although it still remained behind highs touched in 2018

• China’s manufacturing PMI continued in expansion territory in Q2 and ended H1 at 51.3

• In Brazil, the manufacturing PMI continued its growth and it rose to 56.4 in June

• In both India and Russia, the manufacturing PMI dropped below 50 and turned to deterioration in June

• In the US, manufacturing PMI continued to climb further into expansion territory and June’s PMI of 62.1 was unchanged from May’s record-high

• Manufacturing capacity utilization rate reachedthe pre-pandemic level at the end of Q2, but was not yet approaching the recent peaks of mid-2018

Capacity utilization rate – EU

% %

54

75,4

75,5

50

55

60

65

70

75

80

85

90


Total industry Manufacturing

25

30

35

40

45

50

55

60

65

70

75


Brazil Russia India China

Market environment – Port Solutions

Monthly index change Y/YRWI/ISL Container Throughput Index

• The global container throughput started 2021 steady at a high level and in the second quarter continued to trend further upward

Index (2015 = 100)

• At the end of May, global container throughput was approximately 24 percent higher than the year before

• The increase on a year-on-year basis was exceptionally high due to the comparison period being at the height of the coronavirus pandemic

%

Source: RWI/ISL

55

128,6

0

20

40

60

80

100

120

140

Jan-08 Jan-10 Jan-12 Jan-14 Jan-16 Jan-18 Jan-20

-30

-20

-10

0

10

20

30

Jan-08 Jan-10 Jan-12 Jan-14 Jan-16 Jan-18 Jan-20

Q3 Demand outlook

56

• The worldwide demand picture remains subject to volatility due to the COVID-19 pandemic.

• In Europe, the current demand environment within the industrial customer segments has reached the pre-COVID-19 level, while in North America the demand environment is still behind the pre-COVID-19 level. In Asia-Pacific, the demand environment remains below the pre-COVID-19 level outside China.

• Global container throughput continues to be at a record high, and long-term prospects related to global container handling remain good overall.

Financial guidance

57

Financial guidance for 2021

• Net sales expected to increase in full-year 2021 compared to 2020

• Full-year 2021 adjusted EBITA margin expected to improve from 2020

841

933

770705

768

937

704759

0

100

200

300

400

500

600

700

800

900

1 000

Q3/19 Q4/19 Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21

715781

737

582 565

843763

807

0

100

200

300

400

500

600

700

800

900

1 000

Q3/19 Q4/19 Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21

Q2/21 Group order intake and sales

• Order intake increased 38.7% to EUR 806.7 million (581.5), 41.1% on a comparable currency basis

• Orders received increased in the Americas, EMEA and APAC

• Orders received increased in Service (23.1%), Industrial Equipment(41.1%) and Port Solutions (47.7%)

• Sales increased 7.7% to EUR 759.3 million (704.7), 10.0% on a comparable currency basis

• Sales increased in Service (8.0%) and Port Solutions (17.1%) but decreased in Industrial Equipment (-3.4%)

Group order intake, MEUR Group net sales, MEUR

58

35%Service

1187 MEUR

32%Industrial Equipment

1073 MEUR

32%Port Solutions1085 MEUR

54 %EMEA

1718 MEUR

30 %AME

949 MEUR

16 %APAC

502 MEUR

Group sales by business area and region

Group sales by business area Group sales by region

59

%of Group

sales

(R12M)

%of Group

sales

(R12M)

1 9231 824

1 9611 905

1 743 1 716

1 867

1 975

0

500

1 000

1 500

2 000

2 500

Q3/19 Q4/19 Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21

Q2/21 Group order book

• The value of the order book increased 3.7% to EUR 1,974.8 million (1,904.5)

• On a comparable currency basis, the order book increased 4.8%

• Order book increased in Service (9.3%) and Port Solutions (5.8%) but decreased Industrial Equipment (-1.0%)

MEUR

60

48

6772

87

21

58

80

102

56

65

6,4 %

8,4 %

8,6 %9,4 %

2,7 %

8,2 %

10,4 %10,9 %

8,0 %

8,6 %

0%

2%

4%

6%

8%

10%

12%

0

20

40

60

80

100

120

Q1 Q2 Q3 Q4



Q2/21 Group adjusted EBITA

• Group adjusted EBITA increased to EUR 65.3 million (57.5), 8.6% of sales (8.2)

• The increase in the Group adjusted EBITA margin was driven by higher sales as well as continued focus on strategic initiatives

• Gross margin improved on a year-on-year basis

MEUR Margin-%

61

Service

62


256 250266

209 219234

255 257

0

50

100

150

200

250

300

350

400

Q3/19 Q4/19 Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21

199231 244

268 276 283

0

50

100

150

200

250

300

350

400

2016 2017 2018 2019 2020 Q2/2021

Q2/21 Service order intake and agreement base value

• Service orders received increased 23.1% to EUR 257.5 million (209.1). On a comparable currency basis, orders received increased 26.2%

• Both field service orders and parts orders increased

• Order intake increased in the Americas, EMEA and APAC

• Year-on-year, the annual value of the agreement base stayed approximately the same with a change of 0.0% to EUR 282.8 million (282.9). On a comparable currency basis, the value increased 1.2%

• Sequentially, the annual value of the agreement base decreased 0.3% on a reported basis but stayed approximately the same with a change of 0.0% on a comparable currency basis

Service order intake, MEUR Service agreement base value(1), MEUR

Note (1): 2016 agreement base on Konecranes stand-alone basis

63

312342

304277

295315

278299

0

50

100

150

200

250

300

350

400

Q3/19 Q4/19 Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21

245216

257 250230

213

255273

0

50

100

150

200

250

300

350

400

Q3/19 Q4/19 Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21

Q2/21 Service sales and order book

• Sales increased 8.0% to EUR 298.7 million (276.5)

• On a comparable currency basis, sales increased 11.2%

• Both field service sales and parts sales increased

• Sales increased in the Americas, EMEA and APAC

• The order book increased 9.3% year-on-year to EUR 273.0 million (249.8)


Service sales, MEUR Service order book, MEUR

64

4750 51

61

42

48

55

61

4650

15,7 %16,1 % 16,2 %

18,0 %

13,8 %

17,2 %

18,7 %19,2 %

16,7 %16,8 %

0%

2%

4%

6%

8%

10%

12%

14%

16%

18%

20%

0

10

20

30

40

50

60

70

80

Q1 Q2 Q3 Q4



Q2/21 Service adjusted EBITA

• The adjusted EBITA was EUR 50.3 million (47.6) and the adjusted EBITA margin 16.8% (17.2)

• The decrease in the adjusted EBITA margin was mainly attributable to a weaker sales mix due to component shortages

• The comparison period also included temporary factors with a positive impact on personnel costs

• Gross margin declined on a year-on-year basis

MEUR Margin-%

65


66


282

336

267 270 270

314

228261

0

50

100

150

200

250

300

350

400

Q3/19 Q4/19 Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21

284316

278

235 227241

277

332

0

50

100

150

200

250

300

350

400

Q3/19 Q4/19 Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21

Q2/21 Industrial Equipment order intake and sales

• Orders received totaled EUR 331.5 million (234.9), corresponding to an increase of 41.1%

• External orders received increased 45.0% on a reported basis and 48.4% on a comparable currency basis

• Order intake increased in standard cranes, process cranes and components

• Orders received increased in the Americas and EMEA but decreased in APAC

• Sales decreased 3.4% to EUR 260.6 million (269.9)

• External sales decreased 1.0% on a reported basis but increased 1.8% on a comparable currency basis

• Sales decreased in standard cranes and process cranes but increased in components

• Sales decreased in the Americas but increased in EMEA and APAC

Industrial Equipment order intake, MEUR Industrial Equipment sales, MEUR

67

1

9 8

1

-11

4

13

18

05

0,3 %

2,9 % 2,9 %

0,2 %

-4,0 %

1,7 %

5,0 %

5,8 %

0,1 %

2,1 %

-6%

-4%

-2%

0%

2%

4%

6%

8%

10%

-15

-10

-5

0

5

10

15

20

25

Q1 Q2 Q3 Q4



Q2/21 Industrial Equipment adjusted EBITA


• The increase in the adjusted EBITA margin was mainly attributable to favourable sales mix and continued progress on strategic initiatives especially in the process cranes business

• Gross margin improved on a year-on-year basis

MEUR Margin-%

68

665649

755725

669

599

663

718

0

100

200

300

400

500

600

700

800

Q3/19 Q4/19 Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21

Q2/21 Industrial Equipment order book

• The order book decreased 1.0% year-on-year to EUR 718.4 million (725.4)


MEUR

69

Port Solutions

70


306320

253

208

250

355

236 243

0

50

100

150

200

250

300

350

400

450

Q3/19 Q4/19 Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21

249264

243

184163

404

276 272

0

50

100

150

200

250

300

350

400

450

Q3/19 Q4/19 Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21

Q2/21 Port Solutions order intake and sales

• Orders received totaled EUR 272.1 million (184.2), representing an increase of 47.7%. On a comparable currency basis, orders received increased 47.9%

• Orders received increased in the Americas, EMEA and APAC

• Sales increased 17.1% to EUR 243.5 million (207.9). On a comparable currency basis, sales increased 17.2%

Port Solutions order intake, MEUR Port Solutions sales, MEUR

71

11

20

25

32

0

13

18

29

18 174,4 %

7,9 %8,2 %

9,9 %

0,0 %

6,4 %

7,1 %

8,1 %7,5 %

7,1 %

0%

2%

4%

6%

8%

10%

12%

0

5

10

15

20

25

30

35

40

Q1 Q2 Q3 Q4



Q2/21 Port Solutions adjusted EBITA


• The increase in the adjusted EBITA margin was mainly attributable to higher sales and improved project management execution

• Gross margin declined on a year-on-year basis

MEUR Margin-%

72

1 013

960 950929

844

903949

983

0

200

400

600

800

1 000

1 200

Q3/19 Q4/19 Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21

Q2/21 Port Solutions order book

• The order book increased 5.8% year-on-year to EUR 983.3 million (929.4)


MEUR

73

74


Cash Flow and Balance Sheet

Net working capital and free cash flow

Net working capital(1), MEUR Free cash flow, MEUR% of sales

75

Note (1): Q1/21 excluding dividend payable of EUR 69.6 million

450425

337352

392

13,8 %13,4 %

10,6 %11,3 %

12,4 %

0%

2%

4%

6%

8%

10%

12%

14%

16%

18%

20%

0

50

100

150

200

250

300

350

400

450

500

550

Q2/20 Q3/20 Q4/20 Q1/21 Q2/21

NWC LTM % of sales

222 222

366

330

292

53,7

81,4

177,2

17,7 15,4

0

50

100

150

200

250

300

350

400

Q2/20 Q3/20 Q4/20 Q1/21 Q2/21

FCF R12m FCF

Gearing and return on capital employed

Equity and net debt, MEUR Capital employed, MEURGearing-% Return on capital employed-%

76

1 227 1 2071 251

1 2011 235

770743

577 569624

62,8 % 61,5 %

46,1 % 47,4 %50,6 %

0%

10%

20%

30%

40%

50%

60%

70%

80%

0

200

400

600

800

1 000

1 200

1 400

Q2/20 Q3/20 Q4/20 Q1/21 Q2/21

Equity Net debt Gearing

2 502 2 473 2 422

2 220 2 189

10,2 %10,8 % 11,1 %

12,8 % 13,0 %

0%

2%

4%

6%

8%

10%

12%

14%

16%

18%

20%

0

400

800

1 200

1 600

2 000

2 400

2 800

Q2/20 Q3/20 Q4/20 Q1/21 Q2/21

Capital employed Adj. ROCE

Appendix

78


Strategic initiatives strengthening our core competencies

ProjectManagement

Industrial Equipment Profitability Improvement

LeanOperations

Business ProcessEfficiency Improvement

ProcurementExcellence

Service Revenue andProfitability Growth

79

Key figures by business area

Key figures 4-6/ 4-6/ Change % Change % 1-6/ 1-6/ Change % Change % 1-12/

2021 2020At comparable

currencies2021 2020

At comparablecurrencies

2020

Service

Orders received, MEUR 257.5 209.1 23.1 26.2 512.7 475.2 7.9 11.7 927.8

Service agreement base value, MEUR 282.8 282.9 0.0 1.2 282.8 282.9 0.0 1.2 275.7

Sales, MEUR 298.7 276.5 8.0 11.2 577.0 580.2 -0.5 3.1 1,190.0

Adj. EBITA, MEUR 50.3 47.6 5.6 96.7 89.5 8.0 205.2

Adj. EBITA, % 16.8% 17.2% 16.8% 15.4% 17.2%



of which external 287.5 198.3 45.0 48.4 533.2 438.9 21.5 25.3 849.1

Sales, MEUR 260.6 269.9 -3.4 -0.8 488.9 536.4 -8.9 -6.0 1,120.1

of which external 228.9 231.3 -1.0 1.8 431.6 458.8 -5.9 -2.9 973.8

Adj. EBITA, MEUR 5.4 4.5 20.5 5.7 -6.1 -194.0 25.4

Adj. EBITA, % 2.1% 1.7% 1.2% -1.1% 2.3%

Port Solutions


Sales, MEUR 243.5 207.9 17.1 17.2 479.5 460.5 4.1 4.3 1,066.0

Adj. EBITA, MEUR 17.3 13.3 30.7 35.1 13.3 164.8 59.7

Adj. EBITA, % 7.1% 6.4% 7.3% 2.9% 5.6%

80

Statement of income

EUR million 4-6/ 4-6/ Change % 1-6/ 1-6/ Change % 1-12/

2021 2020 2021 2020 2020

Sales 759.3 704.7 7.7 1,463.3 1,474.2 -0.7 3,178.9

Other operating income 3.0 1.6 5.8 3.7 10.7

Materials, supplies and subcontracting -322.4 -293.5 -604.6 -638.0 -1,473.0

Personnel cost -260.2 -244.5 -521.1 -512.6 -993.5

Depreciation and impairments -29.5 -34.0 -60.7 -67.5 -130.0

Other operating expenses -103.7 -91.6 -198.4 -209.4 -419.3

Operating profit 46.6 42.7 9.3 84.1 50.5 66.8 173.8

Share of associates' and joint ventures' result 0.0 -0.1 0.1 21.0 21.2

Financial income 0.9 10.1 12.9 10.5 38.6

Financial expenses -6.4 -10.3 -29.3 -23.4 -63.2

Profit before taxes 41.2 42.4 -2.9 67.8 58.5 15.9 170.4

Taxes -12.8 -12.1 -21.0 -16.7 -47.5

Profit for the period 28.4 30.3 -6.3 46.8 41.8 11.8 122.9

81

Balance sheet

EUR million 30 Jun 30 Jun

2021 2020

Non-current assets 2,015.8 2,086.5

Goodwill 1,018.8 1,021.5

Intangible assets 516.8 556.2

Property, plant and equipment 324.6 350.8

Other 155.6 158.0

Current assets 1,793.9 2,071.0

Inventories 739.5 808.9

Accounts receivable 449.1 442.5

Receivables and other current assets 276.8 315.6

Cash and cash equivalents 328.5 503.9

Assets held for sale 0.0 0.0

Total Assets 3,809.6 4,157.5

EUR million 30 Jun 30 Jun

2021 2020

Total Equity 1,234.6 1,226.8

Non-current liabilities 910.7 1,399.6

Interest-bearing liabilities 445.5 941.2

Other long-term liabilities 303.8 287.0

Other 161.4 171.4

Current liabilities 1,664.3 1,531.1

Interest-bearing liabilities 509.3 333.8

Advance payments received 347.8 425.6

Accounts payable 234.2 234.4

Provisions 122.0 134.2

Other current liabilities 451.0 403.0

Liabilities directly attributable to assets held for sale 0.0 0.0

Total Equity and Liabilities 3,809.6 4,157.5

82

Cash flow statement

EUR million 1-6/ 1-6/ 1-12/

2021 2020 2020

Operating income before change in net working capital 148.1 116.5 302.4

Change in net working capital -53.7 39.9 125.0

Cash flow from operations before financing items and taxes 94.4 156.4 427.4

Financing items and taxes -48.6 -25.8 -20.3

Net cash from operating activities 45.8 130.5 407.1

Net cash used in investing activities -12.8 -147.1 -165.1

Cash flow before financing activities 33.0 -16.6 242.0

Net cash used in financing activities -299.7 150.8 -12.4

Translation differences in cash 3.2 -8.5 -15.9

Change of cash and cash equivalents -263.4 125.7 213.7

Free cash flow 33.0 107.5 366.1

83

Key figures

EUR million 1-6/ 1-6/ Change % 1-12/

2021 2020 2020

Earnings per share, basic (EUR) 0.59 0.53 11.4 1.54

Earnings per share, diluted (EUR) 0.59 0.53 11.4 1.54

Return on capital employed, %, Rolling 12 Months (R12M) 8.8 6.5 35.4 8.3

Return on equity, %, Rolling 12 Months (R12M) 10.4 7.4 40.5 9.8

Equity per share (EUR) 15.49 15.39 0.6 15.69

Net debt / Adjusted EBITDA, Rolling 12 Months (R12M) 1.6 2.3 -30.4 1.6

Equity to asset ratio, % 35.7 32.9 8.5 34.1

Investments total (excl. acquisitions), EUR million 17.0 20.2 -15.6 42.8

Average number of personnel during the period 16,670 17,105 -2.5 17,027

Average number of shares outstanding, basic 79,134,459 79,020,478 0.1 79,077,608

Average number of shares outstanding, diluted 79,134,459 79,020,478 0.1 79,077,608

Number of shares outstanding 79,134,459 79,133,459 0.0 79,134,459

84

Contact information

Kiira Fröberg

Vice President, Investor Relations

Email: [email protected], tel: +358 20 427 2050

Tomi Kuuppo

Manager, Investor Relations

Email: [email protected], tel: +358 20 427 2961

mailto:[email protected]

mailto:[email protected]

Konecranes Investor Presentation

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