Eolus Vind Reason: Estimate Changes

Equity Research - 21 June 2021 18:10 CET

Eolus Vind Reason: Estimate changes

’22-’23e EBIT up 24-18% after acquisitions Company sponsored research

 Acquires two fully permitted wind power projects in SE3 Not rated  We raise ’22e EBIT by 24% and ’23e by 18%

 New fair value range of SEK 193-252 (190-250) Estimate changes (%) 2021e 2022e 2023e Acquires two wind power projects, totalling 99 MW Sales 0.0% 20.0% 12.8% On Friday (18 June), Eolus Vind announced that it has acquired two fully EBIT (rep) 0.0% 24.0% 17.7% permitted wind power projects from RWE Renewables Sweden. The EPS (rep) 0.0% 27.2% 18.3% purchase price was not disclosed, but we argue that a premium is Source: ABG Sundal Collier warranted due to the late development stages of the projects and thus 18/06/2021 the lower project risk. The projects are located in Sweden, in price area Share price (SEK) 182.1 SE3, and management highlights that it sees continued strong investor Fair value range (per share) 193-252 interest in this area due to the higher electricity prices. Together, the acquired projects total 99 MW, of which 74.4 MW in Avesta municipality Renewable Energy, Sweden (Skallberget/Utterberget) and 24.8 MW in Hedemora municipality EOLUb.ST/EOLUB SS (Tjärnäs), areas where Eolus has solid experience from earlier projects. The sales process will begin this summer with the ambition to sign an MCap (SEKm) 4,536 investor agreement during the autumn. The commissioning is planned MCap (EURm) 443 during 2023. Net debt (EURm) -34

Acquisitions lead to estimate uplifts No. of shares (m) 24.9 We argue that this is in line with Eolus’ ambition to continuously increase Free float (%) 100 its project pipeline in both the near and long term. Besides, we see Av. daily volume (k) 252 acquisitions as a good complement to Eolus’ greenfield projects and argue that they help the organisation to continue to build experience from Next event Q2 report: 31 Aug a large number of projects. All in all, we expect SEK 10m per MW in revenue (SEK 990m) and a 10% project margin for these projects. In Performance

addition, we expect the wind farm construction to begin in Q3’22 and if 300

everything goes as expected the projects should be handed over in 250

Q2/Q3’23. This leads us to raise ‘22e EBIT by 24% and ‘23e by c. 18%. 200

150

New fair value range of SEK 193-252 (190-250) per share 100 The share is down roughly 8% in the last month, trading below our fair 50 value range and at 15.3x ’21e EV/EBIT. We raise our fair value range 0 18 19 20 18 19 20 18 19 20 19 20 21 19 20 21 slightly to SEK 193-252 (190-250) per share on higher estimates and 18 19 20

Oct Oct Oct Apr Apr Apr Jun Jun Jun Feb Feb Feb Dec Dec Dec Aug Aug Aug reiterate our view on Eolus Vind as a quality company in the renewable Eolus Vind OMX STH PI energy sector. 1m 3m 12m Absolute (%) -12.2 -8.7 48.2 Analyst(s): [email protected], +46 8 566 286 31 Source: FactSet

SEKm 2019 2020 2021e 2022e 2023e 2021e 2022e 2023e Sales 2,032 2,469 4,428 1,425 6,615 P/E (x) 20.5 51.1 11.7 EBITDA 123 288 278 132 513 P/E adj (x) 20.5 51.1 11.7 EBITDA margin (%) 6.1 11.7 6.3 9.3 7.8 P/BVPS (x) 3.76 3.66 2.82 EBIT adj 118 280 274 123 501 EV/EBITDA (x) 15.0 31.4 7.9 EBIT adj margin (%) 5.8 11.3 6.2 8.6 7.6 EV/EBIT adj (x) 15.3 33.7 8.1 Pretax profit 116 183 276 111 485 EV/sales (x) 0.95 2.91 0.61 EPS rep 5.33 7.96 8.88 3.56 15.59 ROE adj (%) 19.7 7.3 27.3 EPS adj 5.33 7.96 8.88 3.56 15.59 Dividend yield (%) 1.2 0.5 2.1 FCF yield (%) 1.8 2.0 3.0 Sales growth (%) 48.6 21.5 79.4 -67.8 364.1 Lease adj. FCF yld (%) 1.8 2.0 3.0 EPS growth (%) -31.7 49.3 11.5 -59.9 337.4 Net IB debt/EBITDA -1.3 -2.9 -1.0 Source: ABG Sundal Collier, Company data Lease adj. ND/EBITDA -1.2 -2.8 -0.9

Please refer to important disclosures at the end of this report This research product is commissioned and paid for by the company covered in this report. As such, this report is deemed to constitute an acceptable minor non-monetary benefit (i.e. not investment research) as defined in MiFID II. Eolus Vind

Company description Risks Eolus is one of Sweden’s leading Nordic wind power Lower investment activity in wind power facilities. Political developers. The core business is to construct wind power risks and dependence on electricity prices. Construction facilities in favourable wind locations and transfer them to risk. customers as turnkey solutions. This has been Eolus's mission since its inception, in 1990. It has gained extensive experience and expertise in the construction of wind power facilities and has a broad network of landowners, authorities, investors, sub-contractors, and wind turbine manufacturers.

Annual sales and adj. EBIT margin Quarterly sales and adj. EBIT margin

7,000 16.0 2,500 25.0 14.0 6,000 20.0 12.0 2,000 15.0 5,000 10.0 8.0 1,500 10.0 4,000 6.0 5.0 3,000 4.0 1,000 0.0 2,000 2.0 -5.0 0.0 500 1,000 -2.0 -10.0 0 -4.0 0 -15.0

2015 2016 2017 2018 2019 2020 Q1'20 Q2'20 Q3'20 Q4'20 Q1'21 2021e 2022e 2023e Q2'21e Q3'21e Q4'21e Sales (LHS) Adj EBIT margin % (RHS) Sales (LHS) Adj EBIT margin % (RHS) Source: ABG Sundal Collier, Company data Source: ABG Sundal Collier, Company data EPS estimate changes, 2021e, SEK EPS estimate changes, 2022e, SEK

16 8

15 7 14 6 13 5 12 4 11 3 10

9 2

8 1

Jul-20 Jul-20 Jun-20 Aug-20 Sep-20 Oct-20 Nov-20 Dec-20 Jan-21 Feb-21 Mar-21 Apr-21 May-21 Jun-20 Aug-20 Sep-20 Oct-20 Nov-20 Dec-20 Jan-21 Feb-21 Mar-21 Apr-21 May-21 ABGSC FactSet Consensus Mean ABGSC FactSet Consensus Mean Source: ABG Sundal Collier, FactSet Source: ABG Sundal Collier, FactSet Lease adj. net debt and ND/EBITDA 12-month forward-looking P/E

600 8.0 35.0 400 6.0 4.0 30.0 200 2.0 25.0 0 0.0 -200 -2.0 20.0 -400 -4.0 -6.0 15.0 -600 -8.0 10.0 -800 -10.0 -1,000 -12.0 5.0 2014 2015 2016 2017 2018 2019 2020 Jun-16 Jun-17 Jun-18 Jun-19 Jun-20 2021e 2022e 2023e Net IB debt excl. leasing (LHS) Net IB debt/EBITDA lease adj. (RHS) P/E f12m 5y avg Source: ABG Sundal Collier, Company data Source: ABG Sundal Collier, Company data

21 June 2021 ABG Sundal Collier 2 Eolus Vind

Estimate changes, ’21e-’23e Estimate changes Old New Change (%) Change (SEKm) 2021e 2022e 2023e 2021e 2022e 2023e 2021e 2022e 2023e 2021e 2022e 2023e Net sales 4,428 1,188 5,862 4,428 1,425 6,615 0% 20% 13% 0 238 752 EBITDA 278 108 438 278 132 513 0% 22% 17% 0 24 75 Adj EBITDA 278 108 438 278 132 513 0% 22% 17% 0 24 75 D&A -4 -9 -12 -4 -9 -12 0% 0% 0% 0 0 0 EBIT 274 99 426 274 123 501 0% 24% 18% 0 24 75 Adj EBIT 274 99 426 274 123 501 0% 24% 18% 0 24 75 Net financials 2 -12 -16 2 -12 -16 0% 0% 0% 0 0 0 PTP 276 87 410 276 111 485 0% 27% 18% 0 24 75 Tax -55 -17 -82 -55 -22 -97 0% 27% 18% 0 -5 -15 Net Income 221 70 328 221 89 388 0% 27% 18% 0 19 60

EPS diluted (SEK) 8.88 2.80 13.17 8.88 3.56 15.59 0% 27% 18% 0 1 2

Breakdow n of sales 2021e 2022e 2023e 2021e 2022e 2023e 2021e 2022e 2023e 2021e 2022e 2023e Project development 4,383 1,128 5,802 4,383 1,366 6,554 0% 21% 13% 0 238 752 Asset management 39 59 61 39 59 61 0% 0% 0% 0 0 0 Electricity certificate 7 0 0 7 0 0 0% n.a. n.a. 0 0 0 Eliminations 0 0 0 0 0 0 0% n.a. n.a. 0 0 0 Breakdow n of EBIT 2021e 2022e 2023e 2021e 2022e 2023e 2021e 2022e 2023e 2021e 2022e 2023e Project development 264 86 412 264 109 487 0% 28% 18% 0 24 75 Asset management 10 13 14 10 13 14 0% 0% 0% 0 0 0 Breakdow n of margin 2021e 2022e 2023e 2021e 2022e 2023e 2021e 2022e 2023e 2021e 2022e 2023e Project development 6.0% 7.6% 7.1% 6.0% 8.0% 7.4% 0.0% 0.4% 0.3% Asset management 25.3% 22.8% 22.8% 25.3% 22.8% 22.8% 0.0% 0.0% 0.0% Source: ABG Sundal Collier estimates, company data

21 June 2021 ABG Sundal Collier 3 Eolus Vind

ESG profile

Risks and opportunities Key issues* ABGSC weight Having established 929 MW since 1990, or around 13% of Sweden’s Environment 0.75 total installed wind power capacity, Eolus Vind is one of Sweden’s market Climate change leaders within wind power project development. Eolus is not only Carbon emissions operating in an industry of renewable energy that offers lower carbon Climate change vulnerability emissions, but Eolus is also taking responsibility for the sustainability of Social 0.15 its value chain with regards to suppliers living up to expectations about Human capital the working environment and safety, in addition to anticorruption, in order Health and safety to contribute to a sustainable world. Eolus has chosen to focus its efforts Labour management on 1) supply chain, 2) being an attractive employer, and 3) anticorruption. Governance 0.1 Corruption and instability Company ESG activities Business ethics As projects are developed, a substantial external workforce is often used Ownership thorough the project development phase, increasing greatly when Previous ESG incidents reaching the construction phase. Eolus is heavily dependent on its None external workforce living up to expectations regarding working Exposure to ESG Trends environment and safety regulations. Eolus will therefore establish a code Renewable energy, Energy efficency, Fossil free of conduct, and will also establish guidelines for anticorruption in order to replacement promote sustainability.Eolus is a knowledge-intense company with a small organisation, implying that its co-workers’ experience, knowledge and creativity are of great importance to the company. It is therefore important to attract and to keep a high-quality workforce. A way of doing that is ensuring that workers are feeling well, and Eolus aims to reduce the risk of injuries. The company will therefore investigate the need for an HR service

Social and governance data ESG Data 2016 2017 2018 2016 2017 2018 Women in workforce % 33 30 29 Asset management capacity (MW) 293 351 415 Women in management % 25 25 20 Erected and comissioned capacity (MW) 38 72 84 Women in board % 20 33 33 CEO salary, SEKm p.a. 2.3 2.4 2.2 Employee turnover % na na na Employee absence % na na na

Person responsible for sustainability: Johan Hammarqvist Senior management: No ESG quantified targets Today Target By Prepare a code of conduct for contracted companies 2019 Investigate the need for a dedicated HR service 2019 Establish guidelines for anti-corruption targeting zero incidents 2019

*based on the MSCI framework but not using all the parameters.

21 June 2021 ABG Sundal Collier 4 Eolus Vind

Income Statement (SEKm) Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021e Q3 2021e Q4 2021e Sales 259 381 457 1,078 242 1,008 922 2,257 COGS -173 -330 -381 -997 -229 -919 -839 -2,084 Gross profit 86 51 76 81 12 89 83 173 Other operating items -32 -11 2 -19 -40 -14 -14 -9 EBITDA 54 40 78 62 -28 74 69 163 Depreciation and amortisation -1 -2 -1 -2 -1 -1 -1 -1 EBITA 53 38 77 60 -29 73 68 162 EO items 0 0 0 0 0 0 0 0 Impairment and PPA amortisation 0 0 0 0 0 0 0 0 EBIT 53 38 77 60 -29 73 68 162 Net financial items 5 -25 -39 -24 8 -2 -2 -2 Pretax profit 58 13 38 36 -21 71 66 160 Tax 18 4 -5 -6 4 -14 -13 -32 Net profit 76 18 33 30 -17 57 53 128 Minority interest 0 0 0 0 0 0 0 0 Net profit discontinued 0 0 0 0 0 0 0 0 Net profit to shareholders 76 18 33 30 -17 57 53 128 EPS 3.04 0.71 1.32 1.21 -0.67 2.29 2.11 5.15 EPS Adj 3.04 0.71 1.32 1.21 -0.67 2.29 2.11 5.15 Total extraordinary items after tax 0 0 0 0 0 0 0 0 Tax rate (%) 31.3 30.3 12.9 16.9 20.6 20.0 20.0 20.0 Gross margin (%) 33.3 13.3 16.7 7.5 5.1 8.8 9.0 7.6 EBITDA margin (%) 20.9 10.4 17.1 5.7 -11.6 7.4 7.4 7.2 EBITA margin (%) 20.4 10.0 16.8 5.6 -12.2 7.3 7.3 7.2 EBIT margin (%) 20.4 10.0 16.8 5.6 -12.2 7.3 7.3 7.2 Pretax margin (%) 22.2 3.5 8.2 3.4 -8.8 7.1 7.1 7.1 Net margin (%) 29.2 4.6 7.2 2.8 -6.9 5.7 5.7 5.7 Growth rates Y/Y Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021e Q3 2021e Q4 2021e Sales growth (%) -29.9 -26.8 -55.8 266.1 -6.9 164.8 101.9 109.4 EBITDA growth (%) 98.6 226.1 7.0 14.0 -chg 87.3 -12.1 164.1 EBIT growth (%) 105.1 250.8 6.7 14.5 -chg 92.4 -11.9 171.4 Net profit growth (%) 95.8 44.4 -59.5 -28.5 -chg 224.8 60.2 326.4 EPS growth (%) 95.8 44.4 -59.5 -28.5 -chg 224.8 60.2 326.4 Adj earnings numbers Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021e Q3 2021e Q4 2021e EBITDA Adj 54 40 78 62 -28 74 69 163 EBITDA Adj margin (%) 20.9 10.4 17.1 5.7 -11.6 7.4 7.4 7.2 EBITA Adj 53 38 77 60 -29 73 68 162 EBITA Adj margin (%) 20.4 10.0 16.8 5.6 -12.2 7.3 7.3 7.2 EBIT Adj 53 38 77 60 -29 73 68 162 EBIT Adj margin (%) 20.4 10.0 16.8 5.6 -12.2 7.3 7.3 7.2 Pretax profit Adj 58 13 38 36 -21 71 66 160 Net profit Adj 76 18 33 30 -17 57 53 128 Net profit to shareholders Adj 76 18 33 30 -17 57 53 128 Net Adj margin (%) 29.2 4.6 7.2 2.8 -6.9 5.7 5.7 5.7 Source: ABG Sundal Collier, Company data

21 June 2021 ABG Sundal Collier 5 Eolus Vind

Income Statement (SEKm) 2014 2015 2016 2017 2018 2019 2020 2021e 2022e 2023e Sales 466 1,502 693 1,066 1,367 2,032 2,469 4,428 1,425 6,615 COGS -330 -1,239 -608 -923 -1,077 -1,793 -2,124 -4,072 -1,231 -6,037 Gross profit 136 263 86 143 290 239 345 356 194 577 Other operating items -62 -8 -73 -71 -73 -115 -56 -78 -62 -64 EBITDA 74 255 13 72 217 123 288 278 132 513 Depreciation and amortisation -32 -94 -27 -23 -15 -5 -8 -4 -9 -12 Of which leasing depreciation 0 0 0 0 0 0 0 0 0 0 EBITA 42 161 -13 49 202 118 280 274 123 501 EO items 0 0 0 0 0 0 0 0 0 0 Impairment and PPA amortisation -1 -71 -2 -8 0 0 0 0 0 0 EBIT 41 90 -16 40 202 118 280 274 123 501 Net financial items -28 -15 -13 -6 -4 -2 -97 2 -12 -16 Pretax profit 13 75 -29 34 199 116 183 276 111 485 Tax -2 5 5 -10 -5 17 16 -55 -22 -97 Net profit 11 80 -24 25 194 133 198 221 89 388 Minority interest 0 0 0 0 0 0 0 0 0 0 Net profit discontinued 0 0 0 0 0 0 0 0 0 0 Net profit to shareholders 11 80 -24 25 194 133 198 221 89 388 EPS 0.44 3.21 -0.96 0.98 7.80 5.33 7.96 8.88 3.56 15.59 EPS Adj 0.47 6.04 -0.86 1.32 7.80 5.33 7.96 8.88 3.56 15.59 Total extraordinary items after tax 0 0 0 0 0 0 0 0 0 0 Leasing payments 0 0 0 0 0 0 0 0 0 0 Tax rate (%) 16.8 6.3 17.7 28.4 2.3 14.5 8.6 20.0 20.0 20.0 Gross margin (%) 29.1 17.5 12.4 13.4 21.2 11.7 14.0 8.0 13.6 8.7 EBITDA margin (%) 15.9 17.0 1.9 6.8 15.9 6.1 11.7 6.3 9.3 7.8 EBITA margin (%) 9.1 10.7 -1.9 4.6 14.8 5.8 11.3 6.2 8.6 7.6 EBIT margin (%) 8.9 6.0 -2.3 3.8 14.8 5.8 11.3 6.2 8.6 7.6 Pretax margin (%) 2.8 5.0 -4.2 3.2 14.5 5.7 7.4 6.2 7.8 7.3 Net margin (%) 2.3 5.3 -3.4 2.3 14.2 6.5 8.0 5.0 6.2 5.9 Growth rates Y/Y 2014 2015 2016 2017 2018 2019 2020 2021e 2022e 2023e Sales growth (%) -61.3 222.5 -53.8 53.7 28.3 48.6 21.5 79.4 -67.8 364.1 EBITDA growth (%) -66.4 243.7 -94.8 443.8 201.0 -43.2 133.7 -3.4 -52.6 289.0 EBIT growth (%) -71.7 117.1 -117.7 352.3 403.1 -41.5 136.6 -2.1 -55.1 307.7 Net profit growth (%) -92.3 631.9 -129.9 202.5 693.0 -31.7 49.3 11.5 -59.9 337.4 EPS growth (%) -92.3 631.9 -129.9 202.5 693.0 -31.7 49.3 11.5 -59.9 337.4 Profitability 2014 2015 2016 2017 2018 2019 2020 2021e 2022e 2023e ROE (%) 1.2 9.6 -3.4 3.7 26.3 15.6 20.6 19.7 7.3 27.3 ROE Adj (%) 1.2 18.1 -3.1 5.0 26.3 15.6 20.6 19.7 7.3 27.3 ROCE (%) 3.1 7.6 -1.9 5.6 21.6 10.0 21.4 18.1 7.6 27.7 ROCE Adj(%) 3.2 13.6 -1.6 6.7 21.6 10.0 21.4 18.1 7.6 27.7 ROIC (%) 2.8 8.5 -1.9 5.2 40.2 50.4 68.7 24.9 10.4 37.4 ROIC Adj (%) 2.8 8.5 -1.9 5.2 40.2 50.4 68.7 24.9 10.4 37.4 Adj earnings numbers 2014 2015 2016 2017 2018 2019 2020 2021e 2022e 2023e EBITDA Adj 74 255 13 72 217 123 288 278 132 513 EBITDA Adj margin (%) 15.9 17.0 1.9 6.8 15.9 6.1 11.7 6.3 9.3 7.8 EBITDA lease Adj 74 255 13 72 217 123 288 278 132 513 EBITDA lease Adj margin (%) 15.9 17.0 1.9 6.8 15.9 6.1 11.7 6.3 9.3 7.8 EBITA Adj 42 161 -13 49 202 118 280 274 123 501 EBITA Adj margin (%) 9.1 10.7 -1.9 4.6 14.8 5.8 11.3 6.2 8.6 7.6 EBIT Adj 41 90 -16 40 202 118 280 274 123 501 EBIT Adj margin (%) 8.9 6.0 -2.3 3.8 14.8 5.8 11.3 6.2 8.6 7.6 Pretax profit Adj 14 146 -27 43 199 116 183 276 111 485 Net profit Adj 12 151 -21 33 194 133 198 221 89 388 Net profit to shareholders Adj 12 151 -21 33 194 133 198 221 89 388 Net Adj margin (%) 2.5 10.0 -3.1 3.1 14.2 6.5 8.0 5.0 6.2 5.9 Source: ABG Sundal Collier, Company data

21 June 2021 ABG Sundal Collier 6 Eolus Vind

Cash Flow Statement (SEKm) 2014 2015 2016 2017 2018 2019 2020 2021e 2022e 2023e EBITDA 74 255 13 72 217 123 288 278 132 513 Net financial items -28 -15 -13 -6 -4 -2 -97 2 -12 -16 Paid tax 0 -11 -7 -1 -3 -59 0 -55 -22 -97 Non-cash items 0 0 0 0 -64 181 81 0 0 0 Cash flow before change in WC 46 229 -7 65 146 243 271 225 98 400 Change in WC -534 486 141 26 96 324 -755 -128 -2 -246 Operating cash flow -488 715 134 91 242 567 -484 97 95 154 CAPEX tangible fixed assets -2 -1 -3 -7 -1 -2 -16 -13 -4 -20 CAPEX intangible fixed assets 0 0 0 0 0 -96 0 0 0 0 Acquisitions and disposals 21 45 13 -3 0 -1 21 0 0 0 Free cash flow -469 759 145 81 241 467 -479 84 91 134 Dividend paid -37 -286 -37 -37 -37 -37 -37 -50 -55 -22 Share issues and buybacks 0 0 0 0 0 0 0 0 0 0 Lease liability amortisation 0 0 0 0 0 0 0 0 0 0 Other non cash items 9 47 -29 25 -123 -92 147 -40 -14 -251 Balance Sheet (SEKm) 2014 2015 2016 2017 2018 2019 2020 2021e 2022e 2023e Goodwill 0 0 0 0 0 0 0 0 0 0 Other intangible assets 0 0 0 0 96 54 25 25 25 25 Tangible fixed assets 415 339 259 111 52 32 30 39 34 42 Right-of-use asset 0 0 0 0 0 0 0 0 0 0 Total other fixed assets 12 13 32 37 29 25 28 33 28 28 Fixed assets 426 352 292 148 177 111 83 97 87 95 Inventories 1,349 585 667 499 882 749 477 443 570 1,323 Receivables 27 53 29 44 90 61 23 44 14 66 Other current assets 41 28 61 8 6 34 534 701 701 701 Cash and liquid assets 86 242 222 202 740 1,103 691 725 761 873 Total assets 1,930 1,259 1,270 901 1,895 2,058 1,808 2,010 2,133 3,058 Shareholders equity 937 731 671 660 816 890 1,036 1,207 1,241 1,607 Minority 0 0 0 0 0 0 0 0 0 0 Total equity 937 731 671 660 816 890 1,036 1,207 1,241 1,607 Long-term debt 178 149 50 13 82 152 135 77 72 72 Pension debt 0 0 0 0 0 0 0 0 0 0 Convertible debt 0 0 0 0 0 0 0 0 0 0 Leasing liability 0 0 0 0 0 0 0 0 0 0 Total other long-term liabilities 121 99 86 62 42 7 93 91 91 91 Short-term debt 330 40 32 21 287 151 252 316 316 316 Accounts payable 109 5 110 28 141 229 169 159 235 542 Other current liabilities 255 234 320 117 527 628 124 159 178 430 Total liabilities and equity 1,930 1,259 1,270 901 1,895 2,058 1,808 2,010 2,133 3,058 Net IB debt 418 -56 -164 -198 -397 -821 -319 -348 -388 -500 Net IB debt excl. pension debt 418 -56 -164 -198 -397 -821 -319 -348 -388 -500 Net IB debt excl. leasing 421 -53 -140 -168 -371 -800 -304 -332 -373 -485 Capital invested 1,475 775 593 523 461 77 809 950 944 1,198 Working capital 1,052 426 326 406 310 -14 741 870 872 1,118 EV breakdown 2014 2015 2016 2017 2018 2019 2020 2021e 2022e 2023e Market cap. diluted (m) 544 598 615 737 1,151 2,730 5,898 4,536 4,536 4,536 Net IB debt Adj 418 -56 -164 -198 -397 -821 -319 -348 -388 -500 Market value of minority 0 0 0 0 0 0 0 0 0 0 Reversal of shares and participations -9 -9 -8 -4 -0 0 0 0 0 0 Reversal of conv. debt assumed equity 0 0 0 0 0 0 0 0 0 0 EV 953 533 443 535 754 1,909 5,579 4,187 4,148 4,036 Capital efficiency 2014 2015 2016 2017 2018 2019 2020 2021e 2022e 2023e Total assets turnover (%) 26.7 94.2 54.8 98.2 97.8 102.8 127.7 232.0 68.8 254.8 Working capital/sales (%) 171.8 49.2 54.2 34.3 26.2 7.3 14.7 18.2 61.1 15.0 Financial risk and debt service 2014 2015 2016 2017 2018 2019 2020 2021e 2022e 2023e Net debt/equity 0.45 -0.08 -0.24 -0.30 -0.49 -0.92 -0.31 -0.29 -0.31 -0.31 Net debt/market cap 0.71 -0.09 -0.31 -0.35 -0.44 -0.45 -0.09 -0.08 -0.09 -0.11 Equity ratio (%) 48.5 58.1 52.9 73.2 43.1 43.2 57.3 60.1 58.2 52.5 Net IB debt adj./equity 0.45 -0.08 -0.24 -0.30 -0.49 -0.92 -0.31 -0.29 -0.31 -0.31 Current ratio 2.16 3.25 2.12 4.52 1.80 1.93 3.17 3.02 2.81 2.30 EBITDA/net interest 2.62 17.24 1.01 12.01 61.47 52.46 2.96 -123.87 11.00 32.08 Net IB debt/EBITDA 5.64 -0.22 -12.37 -2.75 -1.83 -6.66 -1.11 -1.25 -2.94 -0.97 Net IB debt/EBITDA lease Adj 5.68 -0.21 -10.53 -2.32 -1.71 -6.49 -1.06 -1.19 -2.83 -0.94 Interest cover 1.49 10.85 -1.03 8.11 57.29 50.35 2.87 -121.93 10.25 31.33 Source: ABG Sundal Collier, Company data

21 June 2021 ABG Sundal Collier 7 Eolus Vind

Valuation and Ratios (SEKm) 2014 2015 2016 2017 2018 2019 2020 2021e 2022e 2023e Shares outstanding adj. 25 25 25 25 25 25 25 25 25 25 Fully diluted shares Adj 25 25 25 25 25 25 25 25 25 25 EPS 0.44 3.21 -0.96 0.98 7.80 5.33 7.96 8.88 3.56 15.59 Dividend per share Adj 1.5 11.5 1.5 1.5 1.5 1.5 2.0 2.2 0.9 3.9 EPS Adj 0.47 6.04 -0.86 1.32 7.80 5.33 7.96 8.88 3.56 15.59 BVPS 37.61 29.36 26.95 26.48 32.76 35.73 41.59 48.47 49.82 64.51 BVPS Adj 37.61 29.36 26.95 26.48 32.76 35.73 41.59 48.47 49.82 64.51 Net IB debt / share 16.9 -2.1 -5.6 -6.7 -14.9 -32.1 -12.2 -13.3 -15.0 -19.5 Share price 21.83 24.00 24.70 29.60 46.20 109.60 236.80 182.10 182.10 182.10 Market cap. (m) 544 598 615 737 1,151 2,730 5,898 4,536 4,536 4,536 Valuation 2014 2015 2016 2017 2018 2019 2020 2021e 2022e 2023e P/E 49.7 7.5 -25.7 30.1 5.9 20.6 29.7 20.5 51.1 11.7 EV/sales 2.05 0.36 0.64 0.50 0.55 0.94 2.26 0.95 2.91 0.61 EV/EBITDA 12.8 2.1 33.4 7.4 3.5 15.5 19.4 15.0 31.4 7.9 EV/EBITA 22.6 3.3 -32.9 11.0 3.7 16.1 19.9 15.3 33.7 8.1 EV/EBIT 23.0 5.9 -27.8 13.3 3.7 16.1 19.9 15.3 33.7 8.1 Dividend yield (%) 6.9 47.9 6.1 5.1 3.2 1.4 0.8 1.2 0.5 2.1 FCF yield (%) -86.3 127.0 23.6 11.0 20.9 17.1 -8.1 1.8 2.0 3.0 Lease adj. FCF yield (%) -86.3 127.0 23.6 11.0 20.9 17.1 -8.1 1.8 2.0 3.0 P/BVPS 0.58 0.82 0.92 1.12 1.41 3.07 5.69 3.76 3.66 2.82 P/BVPS Adj 0.58 0.82 0.92 1.12 1.41 3.07 5.69 3.76 3.66 2.82 P/E Adj 46.7 4.0 -28.7 22.3 5.9 20.6 29.7 20.5 51.1 11.7 EV/EBITDA Adj 12.8 2.1 33.4 7.4 3.5 15.5 19.4 15.0 31.4 7.9 EV/EBITA Adj 22.6 3.3 -32.9 11.0 3.7 16.1 19.9 15.3 33.7 8.1 EV/EBIT Adj 23.0 5.9 -27.8 13.3 3.7 16.1 19.9 15.3 33.7 8.1 EV/cap. employed 0.7 0.6 0.6 0.8 0.6 1.6 3.9 2.6 2.5 2.0 Investment ratios 2014 2015 2016 2017 2018 2019 2020 2021e 2022e 2023e Capex/sales 0.4 0.1 0.4 0.6 0.1 4.8 0.7 0.3 0.3 0.3 Capex/depreciation 5.9 1.3 9.4 28.6 9.4 1,974.7 200.0 304.0 47.5 165.4 Capex tangibles/tangible fixed assets 0.5 0.4 1.0 6.0 2.7 6.1 54.3 34.1 12.5 47.3 Capex intangibles/definite intangibles nm nm nm nm nm nm nm nm nm nm Depreciation on intangibles/definite intangibles nm nm nm nm nm nm nm nm nm nm Depreciation on tangibles/tangibles 7.7 27.9 10.3 21.0 28.4 15.6 27.1 11.2 26.4 28.6 Source: ABG Sundal Collier, Company data

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Analyst certification I/We, Ofelia Aspemyr, the author(s) of this report, certify that not withstanding the existence of any such potential conflicts of interests referred to below, the views expressed in this report accurately reflect my/our personal view about the companies and securities covered in this report. Analyst valuation methods ABG Sundal Collier analysts may publish valuation ranges for stocks covered under Company Sponsored Research. These valuation ranges rely on various valuation methods. One of the most frequently used methods is the valuation of a company by calculation of that company's discounted cash flow (DCF). Another valuation method is the analysis of a company's return on capital employed relative to its cost of capital. Finally, the analysts may analyse various valuation multiples (e.g. the P/E multiples and the EV/EBITDA multiples) relative to global industry peers. In special cases, particularly for property companies and investment companies, the ratio of price to net asset value is considered. Valuation ranges may be changed when earnings and cash flow forecasts are changed. They may also be changed when the underlying value of a company's assets changes (in the cases of investment companies, property companies or insurance companies) or when factors impacting the required rate of return change. Important Company Specific Disclosure The following disclosures relate to the relationship between ABG Sundal Collier and its affiliates and the companies covered by ABG Sundal Collier referred to in this research report.

Unless disclosed in this section, ABG Sundal Collier has no required regulatory disclosures to make in relation to an ownership position for the analyst(s) and members of the analyst's household, ownership by ABG Sundal Collier, ownership in ABG Sundal Collier by the company(ies) to whom the report(s) refer(s) to, market making, managed or co-managed public offerings, compensation for provision of certain services, directorship of the analyst, or a member of the analyst's household, or in relation to any contractual obligations to the issuance of this research report. ABG Sundal Collier has undertaken a contractual obligation to issue this report and receives predetermined compensation from the company covered in this report.

mo ABG Sundal Collier is engaged in providing liquidity in Eolus Vind ’s securities at the time of this report’s publication. ABG Sundal Collier is not aware of any other actual, material conflicts of interest of the analyst or ABG Sundal Collier of which the analyst knows or has reason to know at the time of the publication of this report. Production of report: 21/06/2021 18:11 CET. All prices are as of market close on 20 June, 2021 unless otherwise noted.

Disclaimer This document has been prepared by ABG Sundal Collier which is the marketing name referring to all or any of ABG Sundal Collier ASA, ABG Sundal Collier AB or ABG Sundal Collier Partners LLP and any of their affiliated or associated companies and their directors, officers, representatives and employees.

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This report is provided solely for the information and use of investors who are able to make their own investment decisions without undue reliance on this report. The information contained herein does not apply to, and should not be relied upon by, investors with no or limited experience and knowledge from investments in financial instruments. This report is for distribution only under such circumstances as may be permitted by applicable law. Research reports prepared by ABG Sundal Collier are for information purposes only. ABG Sundal Collier accepts no liability whatsoever for any losses arising from any use of this report or its contents. This report is not to be used or considered as an offer to sell, or a solicitation of an offer to buy. The information herein has been obtained from, and any opinions herein are based upon, sources believed reliable, but ABG Sundal Collier makes no representation as to its accuracy or completeness and it should not be relied upon as such. All opinions and estimates herein reflect the judgment of ABG Sundal Collier on the date of this report and are subject to change without notice. Past performance is not indicative of future results.

This research report does not, and does not attempt to contain everything material that there is to be said about Eolus Vind.

The compensation of our research analysts is determined exclusively by research management and senior management, but not including investment banking management. Compensation is not based on specific investment banking revenues, however, it is determined from the profitability of the ABG Sundal Collier Group, which includes earnings from investment banking operations and other business. Investors should assume that ABG Sundal Collier is seeking or will seek investment banking or other business relationships with the companies in this report. The research analyst(s) responsible for the preparation of this report may interact with trading desk and sales personnel and other departments for the purpose of gathering, synthesizing and interpreting market information. From time to time, ABG Sundal Collier and its affiliates and any shareholders, directors, officers or employees thereof may (I) have a position in, or otherwise be interested in, any securities directly or indirectly connected to the subject of this report, or (II) perform investment banking or other services for, or solicit investment banking or other services from, a company mentioned in this report. ABG Sundal Collier relies on information barriers to control the flow of information contained in one or more areas of ABG Sundal Collier, into other areas, units, groups or affiliates of ABG Sundal Collier.

Norway: ABG Sundal Collier ASA is regulated by the Financial Supervisory Authority of Norway (Finanstilsynet); Sweden: ABG Sundal Collier AB is regulated by the Swedish Financial Supervisory Authority (Finansinspektionen); UK: This report is a communication made, or approved for communication in the UK, by ABG Sundal Collier Partners LLP, authorised and regulated by the Financial Conduct Authority in the conduct of its business. US: This report is being distributed in the United States in accordance with FINRA Rule 1050(f)(3)(B) by ABG Sundal Collier Inc., a FINRA member which accepts responsibility for its content. Research analysts are not registered/qualified as research analysts with FINRA or the NYSE, and are not associated persons of ABG Sundal Collier Inc. and therefore not subject to FINRA Rule 2241, the research analyst conflict rules. Research reports distributed in the U.S are intended solely for “major institutional investors”, as defined under Rule 15a-6 of the Securities Exchange Act of 1934. Each U.S major institutional investor that receives a copy of this research report by its acceptance represents that it agrees it will not distribute this research report to any other person. Any U.S. major institutional investor receiving this report who wishes to effect

21 June 2021 ABG Sundal Collier 9 Eolus Vind

transactions in any securities referred to herein should contact ABG Sundal Collier Inc., not its affiliates. Further information on the securities referred to herein may be obtained from ABG Sundal Collier Inc., on request.

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