SOLTECH DELIVERS 44% ORGANIC GROWTH

CEO comment:

Soltech's third quarter 2022 shows an impressive organic growth of a whopping 44 percent, which I am very proud of. We don't only acquire companies, by doing so we also develop and enhance growth within the Soltech family. We reach SEK 482.5 million in revenue, which corresponds to 119 percent in growth adjusted for Advanced Soltech. However, we still have negative figures in terms of results, which is something that we have great focus to turn around going forward, not least by increased synergy effects. Soltech should not be an speculative company with low or non-existent revenues.

We will soon exceed 2 MDR in revenue and there are great opportunities for us to achieve increased profitability through synergy effects from this large revenue. Not least are synergies between the companies an even greater focus going forward.

THIRD QUARTER IN BRIEF
• The group's revenues during the quarter amounted to SEK 482.5 (267.2) million, an increase of 81%. Adjusted for Advanced Soltech*, the group's revenue amounted to SEK 482.5 (220.1) million, an increase of 119%

• The group's organic growth amounted to 44% (39%) and was driven by high demand for solar energy solutions.

• The group's earnings before depreciation (EBITDA) amounted to -55.3 (29.3) MSEK. Adjusted for Advanced Soltech*, the group's EBITDA amounted to -59.9 (-6.9) MSEK. EBITDA has been positively affected by results from shares in associated companies with SEK 4.6 million. EBITDA has been negatively affected by profit effects from the Neab group of -44.5 MSEK and, in addition to this, also affected by prevailing component shortages and price increases for construction components. The price increases above all affect the group's fixed price projects that were agreed before the price increases. During the quarter, the group also invested in both new acquisitions and existing subsidiaries, which continued to drive increased costs.

• The group's operating profit (EBIT) amounted to SEK -84.8 (4.6) million. Adjusted for Advanced Soltech*, EBIT amounted to -89.4 (-18.2) MSEK. EBIT has, in addition to the effects on EBITDA mentioned above, been affected by increased depreciation as a result of acquisitions.

• The period's profit after tax amounted to -91.1 (-10.6) MSEK.

• The period's cash flow from operating activities amounted to -33.3 (-116.9) MSEK and has been affected by investments in existing operations and increased inventory levels to secure deliveries to existing projects.

• The period's cash flow for the group amounted to SEK 98.6 (399.6) million. Similar to the previous year, the cash flow has been affected by the completed new issue in the quarter of SEK 186 million (SEK 84 million has been added after the end of the reporting period).

• Earnings per share amounted to -0.90 (-0.19).

• During the quarter, the Neab group contributed with total revenues of -4.7 MSEK and EBIT of -33.5 MSEK. In addition to this, the decided bankruptcy has led to non-recurring costs of -11 MSEK, which meant that the total profit impact from the Neab group and related costs amounted to -44.5 MSEK in the quarter.

• The war in Ukraine has an indirect effect on the group's costs and the price development of the components required for the manufacture of solar cell installations, roof installations, electrical installations, and facades. Soltech has no sales to Russia or Ukraine.

THE FIRST NINE MONTHS IN BRIEF
• The group's revenues amounted to SEK 1,207 (674) million, an increase of 79%. Adjusted for Advanced Soltech, revenue amounted to SEK 1,207 (554.3) million, an increase of 118%.

• The group's organic growth amounted to 39% (42%) and is primarily driven by high demand for solar energy solutions.

• The group's earnings before depreciation (EBITDA) amounted to -124 (50.3) MSEK. Adjusted for Advanced Soltech*, the group's EBITDA amounted to -131.2 (-38) MSEK. EBITDA has been positively affected by results from shares in associated companies with SEK 7.2 million. EBITDA has been negatively affected by profit effects from the Neab group of SEK -71.6 million and has also been negatively affected by the previously mentioned price increases on components. During the year, the group continued to invest in both new acquisitions and existing subsidiaries, which drives increased costs.

• The group's operating profit (EBIT) amounted to -192.6 (-15.6) MSEK. Adjusted for Advanced Soltech*, EBIT amounted to MSEK -199.8 (-67.1) and has, in addition to the above-mentioned effects on EBITDA, been affected by increased amortization of goodwill as a result of acquisitions.

• The period's result after tax amounted to -202.4 (-60.6) MSEK.

• The period's cash flow from operating activities amounted to -146.5 (-72.7).

• The period's cash flow for the group amounted to SEK -87.5 (272.3) million.

• Earnings per share amounted to -1.88 (-0.43).

• In 2022, the Neab group contributed with total revenues of SEK 28.1 million and EBIT of SEK -60.6 million. In addition to this, the decided bankruptcy has led to non-recurring costs of SEK -11 million, which meant that the total profit impact from the Neab group and related costs amounted to SEK -71.6 million.

SIGNIFICANT EVENTS DURING THE THIRD QUARTER
Significant events in subsidiaries:

• The subsidiary Rams El has won two new deals regarding electrical installations for schools in Gothenburg. The order value for the two new projects amounts to SEK 21 million.

• The subsidiary ESSA has received an assignment from the real estate company Örebroporten Fastigheter AB for a facade contract at Stadsbyggnadshuset, where part of the facade consists of building-integrated solar cells. The entire facade is expected to be commissioned in the spring of 2023 and the order value amounts to approximately SEK 23.6 million.

• The subsidiary Soltech Energy Solutions has signed an agreement with the municipal energy company Varberg Energi for a large battery park in Varberg that will contribute to stabilizing the electricity grid and optimizing power output. The total investment for the battery park amounts to upwards of SEK 100 million.

• A long-term electricity trading agreement has been concluded between the municipal energy company Nybro Energi and Soltech Energy Solutions. The agreement involves PPA solutions (Power Purchase Agreements) for large-scale solar installations.

Acquisition:
On July 1, Soltech acquired 100% of the shares in TG's El i Finspång AB and the wholly owned subsidiary Smart Solkraft.

• On 1 September, Soltech acquired 80% of the shares in Kalema E-Mobility AB (E-Mobility) with access on the same day. The acquisition is Soltech's first purely electric car charging company with excellence in electric car charging projects for companies and private individuals but also in solar energy services.

• On 21 September, Soltech acquired 100% of the shares in Takab i Jönköping AB (TAKAB) with access on 3 October. TAKAB has around 30 employees who work from the company's headquarters in Jönköping.

International acquisitions:
On 22 June, Soltech acquired 65% of the shares in the Spanish solar energy company Sud Energies Renovables SL with access on 5 July. This establishes the group in the strongly growing Spanish solar energy market. The acquisition is financed entirely from own cash and with newly issued Soltech shares.

Other:
The board of Soltech Energy AB (publ) decided, with the support of the authorization of the general meeting, to carry out a new share issue of approximately SEK 228 million with preferential rights for existing shareholders and possible over-allotment. The rights issue was oversubscribed, and the company received approximately SEK 270 million before issue costs.

SIGNIFICANT EVENTS AFTER THE REPORTING PERIOD

• On October 14, the Neab Group filed for bankruptcy. At the time of the acquisition, the Neab group was a clear turn-around case that Soltech worked actively to turn around. The overall assessment on the basis of the decision is that the Neab group will be financially insolvent for a long time to come and that there are no conditions to continue the business. Bankruptcy trustees were appointed on 14 October and from this date Soltech no longer has controlling influence over the company. This means that from this date the Neab group will not be consolidated and will not have any financial impact from 2023 onwards. In quarter 3, the Neab group contributed with turnover of -0.2 MSEK and EBIT of -33.5 MSEK and for the first nine months of the year with sales of 36.5 MSEK and EBIT -71.6 MSEK. This also includes restructuring costs as a result of the bankruptcy of SEK 11 million. During the past 12 months, Soltech has worked actively to turn around the financial situation in the Neab group both via additions and via the addition of personnel resources. As a result of the deconsolidation, during the fourth quarter, Soltech will receive an operating income not affecting cash flow of a preliminarily estimated SEK 49 million. Soltech does not expect any further effects or costs from the Neab group in the coming quarters.

• The subsidiary Soltech Energy Solutions has signed an agreement for a roof-mounted solar cell installation that will measure approximately 9,400 square meters and consist of 3,624 solar panels. When completed, the solar cells will have an installed output of 1,975 kWp and will account for an electricity production that covers 30% of the property's electricity needs. The solar cell plant is expected to be commissioned in the spring of 2023.

• On October 28, Soltech Energy Sweden AB acquired 20% of the shares in the subsidiary Takrekond i Småland AB with access on the same day. Soltech Energy now owns 100% of the company and the acquisition of the remaining shares in the company is part of the work to continue strengthening Takrekond's transformation towards becoming a solar roof company.

*Advanced Soltech Sweden AB (ASAB) was separately listed on the Nasdaq First North Growth Market on October 29, 2021, and was thus deconsolidated from the group, which affects the comparative figures for 2021

The quarterly report and other financial reports are available at: https://soltechenergy.com/investerare/finansiella-rapporter-kalender/

CEO comment:

Soltech's growth in the second quarter is yet another proof of our corporate strength. We reach SEK 437 million in revenue, which corresponds to 126 percent growth pro forma* and our organic growth reached 35 percent. We have good wind in our sails and aim to reach SEK 1.7 billion in revenue this year. We are proud of our entry into both the Netherlands and Spain during the quarter and our companies continue to deliver despite the impact of the turmoil in the world around us.

THE SECOND QUARTER IN BRIEF

• The Group's revenue in the quarter amounted to SEK 437 (266.2) million, an increase of 64%. Adjusted for Advanced Soltech*, the Group's revenue amounted to SEK 437 (193.7) million, an increase of 126%.

• The Group's organic growth amounted to 35 (36) % and is primarily driven by high demand for solar energy solutions.

• The Group's earnings before depreciation (EBITDA) amounted to -30.2 (29.3) MSEK. Adjusted for Advanced Soltech*, the group's EBITDA amounted to -30.2 (-22.8) MSEK. EBITDA has been positively affected by results from shares in associated companies with SEK 7.8 million. EBITDA has been negatively affected by price increases on components as well as continued investments and ventures in both new acquisitions and existing subsidiaries, which drives increased costs.

• The Group's operating profit (EBIT) amounted to SEK -54.6 (8.3) million. Adjusted for Advanced Soltech*, EBIT amounted to -54.6 (-20.5) MSEK. EBIT has, in addition to the effects on EBITDA mentioned above, been affected by increased depreciation as a result of acquisitions.

• The period's result after tax amounted to -58.1 (-31.8) MSEK.

• The period's cash flow from operating activities amounted to -42 (48.9).

• The period's cash flow for the group amounted to -105.9 (-25.5) MSEK.

• Earnings per share amounted to -0.51 (-0.33).

• The war in Ukraine has an indirect effect on the Group's costs and the price development of the components required for the manufacture of solar cell installations, roof installations, electrical installations and facades. Soltech Energy has no sales to Russia.

FIRST SIX MONTHS IN BRIEF

• The Group's revenue amounted to SEK 724.5 (411.4) million. An increase of 76%. Adjusted for Advanced Soltech, revenues amounted to SEK 724.5 (338.8) million, an increase of 114%.

• The Group's organic growth amounted to 39 (39) % and is primarily driven by high demand for solar energy solutions.

• The group's earnings before depreciation (EBITDA) amounted to SEK -68.7 (21) million. Adjusted for Advanced Soltech*, the group's EBITDA amounted to -68.7 (-31.1) MSEK. EBITDA has been positively affected by results from shares in associated companies with SEK 2.7 million. At the same time, EBITDA has been negatively affected by price increases on components as well as by continued investments and ventures in both new acquisitions and existing subsidiaries, which drives increased costs.

• The Group's operating profit (EBIT) amounted to -107.8 (-20.1) MSEK. Adjusted for Advanced Soltech*, EBIT amounted to -107.8 (-48.9) MSEK and, in addition to the effects on EBITDA mentioned above, was affected by increased depreciation as a result of acquisitions.

• The first half-year result after tax amounted to -111.3 (-50) MSEK.

• The period's cash flow from operating activities amounted to -113.1 (44.2).

• The period's cash flow for the group amounted to -186.1 (-127.2) MSEK.

• Earnings per share amounted to -1.01 (-0.65).

SIGNIFICANT EVENTS DURING THE SECOND QUARTER
Significant events in subsidiaries:

• Soltech Energy Solutions has been commissioned to build a 38,000 square meter solar installation for Coop Sverige AB consisting of CFP-certified panels with recycled silicon from Norway and silicon from Germany and the US.

• Soltech Energy Solutions and Provektor have jointly been commissioned to install solar energy solutions at ICA stores.

• Soltech's subsidiary Soltech Energy Solutions has been commissioned to build a 4 MW solar energy installation on Infrahub's property where Svenska Retursystem will conduct its operations.

• Soltech's subsidiary Takorama has been commissioned to install a solar energy solution of 1,400 square meters and approx. 7,000 square meters of roofing on one of the roofs of the Svenska Mässan Gothia Tower in Gothenburg.

Acquisition:
• Soltech has made its first additional acquisition by acquiring 100% of the solar energy company Solexperterna Värmland AB, effective April 1. The acquired company will become part of the wholly owned subsidiary Din Takläggare, which thereby strengthening its solar expertise.

• Soltech has made another additional acquisition and acquired 100% of the shares in the electricity company Trönninge Elektriska AB, based in Halmstad. The acquired company will become part of the wholly owned subsidiary Provektor Sweden AB from 1 June.

International acquisitions:
• Soltech has acquired 53.3% of the shares in the Dutch solar energy company 365 Energie Holding B.V. (365zon) based in Eindhoven, the Netherlands. The acquisition of 365zon is financed entirely from own cash and with newly issued Soltech shares. The company had a turnover of SEK 250 million in 2021 and is estimated to have a turnover of approx. SEK 350 million in 2022 with an operating profit of approx. 10%. Since 2012, 365zon has completed over 20,000 successful installations and with its nationwide installation capacity, the company has an average of approx. 6,500 solar energy installations annually on the Dutch residential market.

• On 22 June, Soltech acquired 65% of the shares in the Spanish solar energy company Sud Energies Renovables SL with access on 5 July. The company had a turnover of SEK 90 million in 2021 and the turnover is expected to increase sharply to approx. SEK 245 million in 2022, with an operating profit of approx. 8–10%. This establishes the group in the strongly growing Spanish solar energy market. The acquisition is financed entirely from own cash and with newly issued Soltech shares.

Other:
• Soltech's annual general meeting was held on 12 May. Among other things, it was decided that the board was given renewed authorization to decide on new issues of shares and/or convertibles and/or warrants, that the board and the CEO were granted discharge from liability for the past year and the election of a partially new board.

SIGNIFICANT EVENTS AFTER THE REPORTING PERIOD

• On July 1, Soltech acquired 100% of the shares in TG's El i Finspång AB and the wholly owned subsidiary Smart Solkraft.

• The subsidiary Rams El has won two new deals regarding electrical installations for schools in Gothenburg. The order value for the two new projects amounts to SEK 21 million.

• The subsidiary ESSA has been commissioned by the real estate company Örebroporten Fastigheter AB for a facade contract at Stadsbyggnadshuset, where part of the facade consists of building-integrated solar cells. The entire facade is expected to be commissioned in the spring of 2023 and the order value amounts to approximately SEK 23.6 million.

*Advanced Soltech Sweden AB (ASAB) was separately listed on the Nasdaq First North Growth Market on October 29, 2021 and was thus deconsolidated from the group, which affects the comparative figures for 2021

The quarterly report and other financial reports are available at: https://soltechenergy.com/investerare/finansiella-rapporter-kalender/

CEO comment:

Soltech once again delivers very strong growth during the first quarter of 2022. We reach a full SEK 287.5 million in revenue, which corresponds to 143 percent growth in Sweden. The quarter began with unusually high rate of sick leave due to Covid-19 and related family quarantine rules, and on February 24, Russia's offensive war against Ukraine started. In other words, an unusual and tough quarter, which we still manage to navigate through in a good way. Our organic growth was as much as 43 percent, which is a figure to be proud of for all our employees.

FIRST QUARTER IN BRIEF

• The Group's revenues in the quarter amounted to SEK 287.5 (145.2) million, an increase of 98%.

• The Group's revenues in the Swedish operations amounted to SEK 287.5 (118.1) million, an increase of 143%.

• The Group's organic growth amounted to 43 (56) %.

• The Group's profit before depreciation (EBITDA) amounted to SEK -38.5 (-8.3) million. EBITDA was negatively affected by earnings from participations in associated companies by SEK -5.1 million. EBITDA has also been negatively affected by price increases for components as well as continued investments and investments in both new acquisitions and existing subsidiaries, which drives increased costs.

• The Group's operating profit (EBIT) amounted to SEK -53.2 (-28.4) million. EBIT has, in addition to the above-mentioned effects on EBITDA, been affected by increased depreciation as a result of acquisitions.

• The Group's EBITDA in the Swedish operations amounted to SEK -38.5 (-26.7) million and EBIT -55.3 (-35.6) million.

• Profit after tax for the period amounted to SEK -53.2 (-18.2) million.

• Cash flow for the period from operating activities amounted to SEK -71.2 (-4.7) million.

• The period's cash flow for the Group amounted to SEK -80.2 (-101.7) million.

• Earnings per share amounted to SEK -0.52 (-0.33).

• Covid-19 affected the Swedish operations during the first quarter, mainly in the form of sick leave and family quarantine.

SIGNIFICANT EVENTS DURING THE FIRST QUARTER

Significant events in subsidiaries:

• ESSA Glas & Aluminum AB has won a contract for the execution of a façade contract with construction starting during the summer of 2022. The assignment is carried out for the Stockholm Region, through Locum AB, and has an order value of SEK 92 million.

• Soltech Energy Solutions and Falkenklev Logistik are deepening their collaboration. In addition to the 1.5-hectare solar park that Soltech will build, both companies, together with Scania, will also build Sweden's largest charging and battery park for electric trucks. The project is part-financed by the Swedish Environmental Protection Agency.

• Soltech Energy Solutions will build Sweden's largest solar park connected to only one industry for Åbro Bryggeri in Vimmerby. The solar park will cover an area of 10 hectares and will contribute to Åbro Bryggeri becoming completely self-sufficient in solar. The park is planned to be commissioned during the latter part of 2022.

Acquisitions:

• Soltech has acquired the remaining 30% of the shares in the subsidiary Fasadsystem i Stenkullen AB, which after the acquisition is a wholly owned subsidiary.

• The remaining 40% of the shares in the subsidiary Din Takläggare i Värmland-Dalsland AB have been acquired and the company is now a wholly owned subsidiary. At the same time, the Group made its first additional acquisition by acquiring 100% of the solar energy company Solexperterna Värmland AB, with effect from 1 April 2022. The acquired company will be part of the now wholly owned subsidiary Din Takläggare.

SIGNIFICANT EVENTS AFTER THE REPORTING PERIOD

International acquisition:

• Expansion outside Sweden. Soltech has acquired 53.3 percent of the shares in the Dutch solar energy company 365 Energie Holding B.V. (365zon) based in Eindhoven, the Netherlands. The acquisition of 365zon is financed entirely from its own cash and with newly issued Soltech shares. The company had sales of SEK 250 million in 2021 and is estimated to have sales of approximately SEK 350 million in 2022 with an operating profit of approximately 10%. Since 2012, 365zon has completed over 20,000 successful installations and with its nationwide installation capacity, the company now has an average of approximately 6,500 solar cell installations annually in the Dutch housing market.

Significant events in subsidiaries:

• Soltech Energy Solutions has been commissioned to build a 38,000 sqm solar energy solution for Coop Sverige AB consisting of CFP-certified panels with recycled silicon from Norway and silicon from Germany and the US. The facility will cover half of the entire property's electricity needs. Commissioning is planned for the turn of the year 2022/2023.

• Soltech Energy Solutions and Provektor have been commissioned to build panel installations for solar energy solutions at three ICA stores. Commissioning of the first facility in Borås is planned for the summer of 2022.

Other:

• Soltech's Annual General Meeting was held on May 12, 2022. It was decided, among other things, that the Board was given renewed authorization to decide on new issues of shares and / or convertibles and / or warrants, that the Board & CEO were granted discharge for the past year.

* Soltech Energy Sweden AB's subsidiary Advanced Soltech Sweden AB (ASAB) was listed on the Nasdaq First North Growth Market on October 29, 2021 and was thus deconsolidated from the Group. The comparative figures are not recalculated with this in mind.

Another unusual year has come to an end, and we are proud to have been able to deliver such a strong 2021 as we have done, given the effects of the Corona pandemic.

We land on total revenues of SEK 951.8 million (499) from operations and deliver 91% growth at Group level, excluding revaluation effects from the special listing of Advanced Soltech of SEK 288 million. The Group's operating profit (EBIT) amounted to SEK 150.7 (42.8) million, an increase of 252%.

We are very humble going forward in 2022, due to the Corona pandemic still raging in large parts of the world and not least due to global developments after February 24 with the war in Ukraine. But both the Corona pandemic and the war will come to an end and then we look forward to an even stronger market growth.

For a complete report of the 2021 accounts, please refer to the attached annual report, including the auditor's report.

The annual report in its entirety, together with the auditor's report, can also be read and downloaded from Soltech Energy Sweden AB's website: htps://soltechenergy.com/investerare/finansiella-rapporter-kalender/

For a printed copy please order at: Info@soltechenergy.com

▪ The Group's revenues in the fourth quarter amounted to SEK 565.8 (163.3) million. An increase of 247%. Of the revenues, SEK 288 million is dependent on the special listing of Advanced Soltech Sweden AB (“ASAB”) as a revaluation result. This did not affect the cash flow. Excluding this effect, total revenue from operations amounted to 277.8.

▪ Revenues in the Swedish operations increased to MSEK 266.6 (56.4), an increase of 373%.

▪ Revenues in the Chinese operations amounted to MSEK 11.2. The operations of Advanced Soltech Sweden AB (“ASAB”) are only consolidated until October 29, 2021, for the remainder of the quarter ASAB is reported according to the equity method. The result for the period October 30 – December 31 amounted to MSEK 1.8 and is reported under the heading, profit from participations in associated companies.

▪ The Group's profit before depreciation (EBITDA) amounted to MSEK 267.3 (14.6). The increase was a result of the special listing of ASAB.

▪ The Group's operating profit (EBIT) developed positively to MSEK 166.3 (-1.2). EBIT has been affected by the special listing of Advanced Soltech, where a non-cash flow-affecting revaluation result of MSEK 288 arose. EBIT is also affected by increased amortization and write-downs of goodwill as a direct result of completed acquisitions and completed restructuring and revaluations of goodwill.

▪ Profit for the period after tax amounted to MSEK 138.2 (-80.4). The result in the fourth quarter was negatively affected by unrealized, non-cash flow-affecting exchange rate differences in the Chinese operations by MSEK -7.7 (-29.2).

▪ Cash flow for the period from operating activities amounted to -31 (-30.5).

▪ The period's cash flow for the Group amounted to MSEK -157.2 (27.2). The cash flow for the period was affected by, among other things, acquisitions of subsidiaries, investments in fixed assets and the special listing of Advanced Soltech.

▪ Earnings per share amounted to SEK 1.55 (-0.71).

▪ No dividend is proposed.

January – December in brief

▪ The Group's revenues for the year amounted to MSEK 1,239.8 (499.4). An increase of 148%. Of the revenues, SEK 288 million is due to the special listing of Advanced Soltech Sweden AB (“ASAB”) as a revaluation result that did not affect cash flow arose on the sale. Excluding this effect, total revenue from operations amounted to 951.8. The Group's organic growth amounted to 29%.

▪ Revenues in the Swedish operations increased to SEK 820.9 (353) million, an increase of 133% compared with the previous year.

▪ Revenues from Advanced Soltech Sweden AB (“ASAB”) amounted to MSEK 130.9 (146.1) and have been consolidated up to and including the special listing on October 29, 2021. After the special listing, for the period October 30 – December 31, ASAB is reported according to the equity method.

▪ The Group's profit before depreciation (EBITDA) amounted to MSEK 317.6 (101.9). An increase of 212%. The increase was a result of the special listing of ASAB.

▪ The Group's operating profit (EBIT) amounted to MSEK 150.7 (42.8). An increase of 252%. EBIT has been affected by the special listing of Advanced Soltech, where a non-cash flow-affecting revaluation result of MSEK 288 has arisen. EBIT is also affected by increased amortization and write-downs of goodwill as a direct result of completed acquisitions and through restructuring and revaluations of goodwill.

▪ Profit for the year after financial posts, currency effects and tax amounted to MSEK 77.6 (-141) . Currency effects of unrealized exchange rate differences in the Chinese operations have affected earnings by MSEK 51 (-42.8).

▪ The year's cash flow from operating activities amounted to -103.7 (-8.7).

▪ The year's cash flow for the Group amounted to MSEK 115.2 (120.6). This year's cash flow has been affected by new issues, acquisitions of subsidiaries, investments in fixed assets and the special listing of Advanced Soltech.

▪ During the year, Covid-19 has affected the Swedish operations through increased transport costs and price increases for, among other things, solar panels. Increased sick leave has led to some delays in the completion of projects.

Significant events during the fourth quarter

▪ Soltech Energy Sweden AB's subsidiary Advanced Soltech Sweden AB (ASAB) was listed on the Nasdaq First North Growth Market on 29 October. In connection with the special listing, a revaluation result arose in the Group. The revaluation result amounted to MSEK 288 based on consolidated values at the time of divestment of the shares in ASAB.

The revaluation result does not affect cash flow and is reported under other income and is specified in Note 1. After the special listing, Soltech's holding amounts to 29.35%, which means that Soltech Energy Sweden AB (publ) no longer has the controlling influence. ASAB is therefore not reported as a subsidiary but as an associated company according to the equity method.

▪ Soltech Energy Sweden AB's subsidiaries Swede Energy and Merasol were merged during the fourth quarter and Soltech Sales & Support was partially integrated, the new company is called Soltech Energy Solutions 1988 AB.

▪ Soltech Energy Sweden AB (publ) acquired 100 percent of the shares in the Neabgruppen with access on October 1, 2021.

▪ Soltech Energy Sweden AB (publ) acquired 100 percent of the shares in ESSA Glas & Aluminium AB (ESSA) with access on December 30, 2021.

▪ Soltech Energy Sweden AB (publ) acquired 70 percent of the shares in Falu Plåtslageri AB (Falu Plåtslageri) and Tak & Bygg in Falun AB (Takab) with access on January 5, 2022.

▪ Soltech Energy Sweden AB (publ) acquired the remaining 40 percent of the shares in the subsidiary Miljö & Energi Ansvar Sverige AB (Measol) with access on December 31, 2021.

▪ The Nomination Committee prior to the Annual General Meeting on 12 May 2022 in Soltech Energy Sweden AB (publ) has been appointed.

Significant events after the reporting period

▪ Soltech's subsidiary ESSA Glas & Aluminium AB has won a tender for the execution of a façade contract with construction starting in the summer of 2022. The assignment is performed for the Stockholm Region, through Locum AB, and has an order value of MSEK 92.

▪ Soltech Energy's subsidiary Soltech Energy Solutions and Falkenklev Logistik are deepening their collaboration. In addition to the 1.5-hectare solar park Soltech will build, both companies, together with Scania, will also build Sweden's largest charging and battery park for trucks. The project is part-financed by the Swedish Environmental Protection Agency. Soltech's order value for the battery park amounts to MSEK 20.

▪ Soltech Energy's subsidiary, Soltech Energy Solutions, will build Sweden's largest solar park connected to only one industry for Åbro Bryggeri in Vimmerby. The solar park will cover an area of 10 hectares and will contribute to Åbro Bryggeri becoming completely self-sufficient in solar. The park is planned to be commissioned during the latter part of 2022.

CEO letter

Another year of strong growth

When we now summarize 2021, it is our third year in a row with strong growth after we began our acquisition strategy in 2019. We reach MSEK 951.8 from operations and deliver 91% growth at Group level, excluding revaluation effects from the special listing of Advanced Soltech of SEK 288 million. The Group's operating profit (EBIT) amounted to MSEK 150.7 (42.8), an increase of 252%.

Right now, we are experiencing very uncertain times globally with concerns about higher interest rates, inflation and even a war in the Ukraine. The severe and uncertain global situation affects us all, including our business. At the same time, it recalls the importance of reducing dependence on fossil energy sources and investing in long-term sustainable energy supplies such as solar energy. There, Soltech is ready to be a strong partner in the green energy transition.

Organic growth of 29%
Soltech is an acquisition-intensive company that delivers strong growth through this strategy. I am also very proud that in 2021 we had an organic growth of as much as 29% in the Group. It proves that we can not only acquire, but also help our existing companies to develop and grow.

The acquisition strategy resulted in ten new companies
Despite a tough year in the shadow of the corona pandemic, with a series of meeting restrictions, we managed to acquire as many as ten companies. We have for some time been looking for good companies in electrical engineering because that competence is crucial when it comes to solar energy. In 2021, we are therefore pleased to have acquired Provektor, Rams El and Neabgruppen.

Companies in four different industries create benefits
The basis for the construction of our group is solar energy companies. But right from the start, we realized the benefits of also owning companies in the roofing / sheet metal, facade and electrical engineering industries. These companies have the crucial expertise needed for a high-quality solar energy installation, and they have a wide range of customers who are happy to buy solar energy from them. In other words, we acquire both expertise and business opportunities and transform these companies into future companies.

The Corona pandemic's impact on Soltech
Unfortunately, the year 2021 was a difficult year in terms of human and business suffering throughout the world. Soltech has suffered from delivery difficulties, higher prices and not least increased sick leave, something that also followed a bit into 2022. Despite these obstacles, our employees have struggled and delivered a really strong year.

Advanced Soltech was listed separately
Soltech's subsidiary Advanced Soltech Sweden AB (ASAB), which conducts our operations in China, was listed on Nasdaq First North on 29 October. We are proud that ASAB now stands on its own two feet with a better opportunity to refinance its loans. Soltech now owns 29.35% of ASAB and in connection with the listing, a profit of MSEK 288 arose in the Group. We maintain an active ownership influence by continuing to remain on the board and I am positive about the company's development and future.

Soltech is strong
I would like to end by saying that Soltech is stronger than ever, and we look forward to continuing to deliver on our strategy and by building long-term values for our owners and at the same time contributing to a green energy transition.

Stefan Ölander
CEO

Soltech continues to deliver triple-digit growth with an increase of as much as 110% at Group level and 162% for the Swedish operations.

CEO comment:
– Rapid growth is our focus and here we really deliver again. Having 162% growth, of which 39% organic, is a sign of strength. We are in a strong position for 2022, which I am really looking forward to.

THIRD QUARTER IN BRIEF
▪ The Group's revenues in the quarter amounted to SEK 267.2 (127.2) million. An increase of 110%. The Group's organic growth amounted to 39%.
▪ Revenues in the Swedish operations increased to SEK 220.1 (84) million, an increase of 162%.
▪ Revenues in the Chinese operations amounted to SEK 47.1 (43.2) million, an increase of 9%.
▪ The Group's profit before depreciation (EBITDA) amounted to SEK 29.3 (38.9) million. The decrease was driven by continued investment in existing operations and is also
linked to component shortages and increased prices of goods.
▪ The Group's operating profit (EBIT) amounted to SEK 4.6 (23.1) million. The decrease in operating profit is due to increased amortization of goodwill, as a direct result of completed company acquisitions, as well as investments in solar energy facilities and investments in existing operations.
▪ Profit for the period after tax amounted to SEK -10.6 (-18.1) million. The result was affected by unrealized exchange rate differences in the Chinese operations by SEK 22.1 (1.3) million.
▪ Cash flow for the period from operating activities amounted to -116.9 (11.4) MSEK and has been affected by investments in existing operations and increased inventory levels to secure deliveries to existing projects.
▪ Cash flow for the Group for the period amounted to SEK 399.6 (85.5) million. As in the previous year, cash flow has been affected by the completed new share issue.
▪ Earnings per share amounted to -0.19 (-0.31).

THE FIRST NINE MONTHS IN BRIEF
▪ The Group's revenues amounted to SEK 674 M (336.1). An increase of 101%. The Group's organic growth amounted to 42%.
▪ Revenues in the Swedish operations increased to SEK 554.3 (231) million, an increase of 140%.
▪ Revenues in the Chinese operations increased to SEK 119.7 (105.1) million, an increase of 14%.
▪ The Group's profit before depreciation (EBITDA) amounted to SEK 50.3 (87.3) million. The decrease was driven by continued investment in existing operations and is linked to component shortages and increased prices of goods. EBITDA was also negatively affected by non-recurring effects of SEK 11.7 million regarding redemption of minority interests and revaluation of additional purchase prices.
▪ The Group's operating profit (EBIT) amounted to SEK -15.6 (43.9) million. The decrease in operating profit is due, in addition to what is stated in the previous point, to increased
amortization of goodwill, as a direct result of completed company acquisitions, as well as investments in solar energy facilities and investments in existing operations.
▪ Profit for the period after tax amounted to SEK -60.6 (-60.6) million. The result was affected by unrealized exchange rate differences in the Chinese operations by 58.7 (-4.8) MSEK.
▪ The Corona pandemic has affected the Swedish operations mainly in the form of increased transport costs and price increases for, among other things, solar panels. The order entry is still good in the quarter.
▪ The Chinese operations were affected to a lesser extent by the Corona pandemic and, according to the company's estimate, an impact of SEK -1.4 (-2.0) million as a result of the general price reduction on electricity remaining.

SIGNIFICANT EVENTS DURING THE THIRD QUARTER
Sweden
▪ The Board of Directors of Soltech Energy Sweden AB decided on 13 August 2021 to carry out a new share issue of approximately SEK 247 million with preferential rights to existing
shareholders and a possible over-allotment of approximately SEK 150 million. The rights issue was oversubscribed by 166% and the company was thus provided with SEK 397 million before issue costs.
▪ On 22 September, the Board of Directors of Soltech Energy Sweden AB decided to list the ordinary shares in the subsidiary Advanced Soltech Sweden AB on Nasdaq First North Growth Market.
▪ As of August 30, Soltech Energy has acquired 90.1% of the shares in Wettergrens Tak & Plåtslageri AB (Wettergrens) with access on September 2, 2021.
▪ Soltech Energy has decided to merge the operations of the three wholly owned subsidiaries MeraSol AB, Swede Energy Power Solutions AB, and most of the operations in Soltech Sales & Support AB. The new company is called Soltech Energy Solutions 1988 AB.
▪ Soltech Energy's subsidiary, Swede Energy, has entered into an agreement for what will be the Nordic region's largest roof-placed solar cell plant, both in terms of area and power. The area is 65,000 m2.

China
▪ During the quarter, ASAB's subsidiary in China, ASRE, signed new orders amounting to a total installed capacity of 13.6 MW.
▪ At the end of the period, the company had 51 (55) MW in signed orders, as well as projects under processing of 125 (134) MW.
▪ During the period, SEK 71 million was added before issue costs in new issues of preference shares.
▪ The Chinese operations are granted unsecured local bank loans of CNY 40 million (approximately SEK 54 million) at an interest rate of approximately 4.6%.

SIGNIFICANT EVENTS AFTER THE REPORTING PERIOD
▪ As of October 1, Soltech Energy has acquired 100% of the shares in the electrical engineering company NEAB Gruppen AB.
▪ Soltech Energy participates in the world exhibition Expo 2020 in Dubai Oct 2021 – March 2022, where Soltech installed a 500 m2 sunroof and 500 m2 sun facade on the Swedish pavilion.
▪ Nomination Committee prior to the Annual General Meeting on 12 May 2022 in Soltech Energy Sweden AB (publ) has been appointed.
▪ On 28 October, the Government decided on an amendment to the ordinance that will be introduced on 1 January 2022, which allows transfer of energy between several units without the requirement for a network concession. It can be expected to improve opportunities and reduce the cost of solar investment in larger properties
▪ On October 29, 2021, Soltech Energy Sweden AB's subsidiary Advanced Soltech Sweden AB (ASAB) was listed on the Nasdaq First North Growth Market. This meant that Soltech Energy AB's ownership interest in the company after IPO and conversion of preference shares decreased from 50.73% to 29.35%. Furthermore, this meant that Soltech Energy Sweden AB no longer has the controlling influence over ASAB and that as of October 29, 2021, ASAB is no longer reported as a subsidiary in the parent company and the group. As of October 30, 2021, ASAB will be reported in the consolidated financial statements as an associated company according to the equity method.

In connection with the special listing, a revaluation result arises in the Group. Preliminarily, the revaluation result amounts to approximately SEK 287 million based on preliminary consolidated values ​​as of the divestment date for ASAB. The revaluation result does not affect cash flow and will be reported in the fourth quarter of 2021.

Following the listing, Soltech Energy Sweden AB owns 11,373,941 number of shares in ASAB with a book value of SEK 27 per share, corresponding to the value per share on the day of the listing. Following the listing, Soltech Energy Sweden AB in the Group reports SEK 307 million in participations in associated companies. Other significant effects on the balance sheet for the Soltech Group are that fixed assets decrease by approximately SEK 1.3 billion, of which solar energy facilities amount to approximately SEK 1.2 billion and that long-term liabilities decrease by approximately SEK 1 billion, of which bond loans amount to approximately SEK 0.9 billion.

Soltech's holdings in ASAB continue to be reported quarterly in operating profit and consist of Soltech Energy Sweden AB's share of profit in ASAB, amortization of surplus values ​​in solar energy plants, deferred tax and currency translation of surplus values.

The share price of ASAB has developed positively since the IPO on October 29, with a closing price on November 29 of SEK 59.6 / share, which corresponds to a value of approximately SEK 640 million for Soltech's shares.

The financial year 2021 continues completely according to plan with strong growth during the second quarter. The Group's revenues increase by 71% to SEK 266.2 million and the Swedish operations increase by as much as 102% to SEK 220.7 million.

CEO comment:
• I am proud to lead a group that is growing so fast and that contributes to a green energy transition. The future looks very bright.

SECOND QUARTER IN BRIEF

▪ The Group's revenues in the quarter amounted to SEK 266.2 (156.1) million. An increase of 71%.

▪ Revenues in the Swedish operations grew to SEK 220.7 (109.1) million, an increase of 102%.

▪ Revenues in the Chinese operations amounted to SEK 45.5 (47) million, a decrease of 3%.

▪ The Group's profit before depreciation (EBITDA) amounted to SEK 29.3 (49.7) million. The decrease is mainly driven by increased personnel costs and investments that are associated with the strong expansion and the work of further developing the Group. EBITDA is also negatively affected by increased transport costs and price increases of e.g. a. solar panels as a result of the Corona pandemic.

▪ The Group's operating profit (EBIT) amounted to SEK 8.3 (35.6) million. The decrease in operating profit is, in addition to what is stated above, also due to increased amortization of goodwill and solar energy facilities as a direct result of completed investments.

▪ Profit for the period after tax amounted to SEK -31.8 million (-37). The result was affected by unrealized exchange rate differences in the Chinese operations by SEK 3.5 (-38.5) million.

▪ Cash flow for the period from operating activities amounted to 48.9 (-13.3).

▪ The period's cash flow for the Group amounted to SEK -25.5 (69.4) million.

▪ Earnings per share amounted to -0.33 (-0.65).

▪ Covid-19 affected the Swedish operations in the second quarter in the form of postponed projects, increased transport costs and price increases for, among other things, solar panels. However, order intake remains good.

▪ The Chinese operations were affected to a lesser extent by the Corona pandemic as economic activity is high, but the Chinese price reduction of about five percent on electricity still remains.

THE FIRST HALF OF THE SHORT

▪ The Group's revenues amounted to SEK 411.4 (208.9) million. An increase of 97%.

▪ Revenues in the Swedish operations grew to SEK 338.8 (146.9) million, an increase of 131%.

▪ Revenues in the Chinese operations grew to SEK 72.6 (61.9) million, an increase of 17%.

▪ The Group's profit before depreciation (EBITDA) amounted to SEK 21 (48.4) million. EBITDA was negatively affected by non-cash non-cash effects of SEK -11.7 million as a result of increased objectives and forecasts in acquired subsidiaries, which led to an increase in provisions for additional purchase consideration.

▪ The Group's operating profit (EBIT) amounted to SEK -20.1 (20.7) million. EBIT was negatively affected by non-cash non-cash effects of SEK -11.7 million in accordance with the above.

▪ Profit for the period after tax amounted to SEK -50 (-42.5) million. The result was affected by unrealized exchange rate differences in the Chinese operations of SEK 40.1 (-5.3) million and by non-cash effects affecting cash flow of SEK -11.7 million in accordance with the above.

SIGNIFICANT EVENTS DURING THE SECOND QUARTER

Sweden
▪ Soltech Energy Sweden AB (publ) acquired 100% of the shares in Rams El AB with access on May 3, 2021.

▪ Soltech Energy Sweden AB (publ) acquired 100% of the shares in Takbyrån i Alingsås AB (Takbyrån) with access on 1 June 2021.

▪ Soltech and Skanska Kommersiell Utveckling Norden have entered into a declaration of collaboration on innovations for building-integrated solar energy solutions.

China

▪ During the quarter, Soltech's subsidiary in China, ASRE, signed eight contracts amounting to a total installed capacity of 11 MW and is expected to generate annual revenues of SEK 7.9 million, or approximately SEK 158 million during the agreements' 20-year maturities.

▪ During the quarter, Soltech's subsidiaries in China connected a total of 10 (1) MW of roof-based solar energy plants and had 192 (140) MW of installed and revenue-generating capacity at the end of the period.

▪ At the end of the period, the company had 37 (46) MW in subscribed orders, as well as projects under processing of 123 (123) MW.

SIGNIFICANT EVENTS AFTER THE REPORTING PERIOD

▪ The Board of Directors of Soltech Energy AB (publ) has, with the support of the authorization of the Annual General Meeting, decided to carry out a new share issue of approximately SEK 247 million with preferential rights for existing shareholders (the “Rights Issue”) and an Over-allotment issue of approximately SEK 150 million before deduction of issue costs.

▪ Soltech's subsidiary Advanced Soltech Sweden AB raises SEK 46.6 million before issue costs in new issues of preference shares.

▪ Soltech's subsidiary in China, ASRE, has signed four contracts amounting to a total installed capacity of 6.7 MW and is expected to generate annual revenues of SEK 5.2 million or approximately SEK 104.6 million during the agreements' 20-year maturities.

▪ On 9 August 2021, the UN Climate Panel IPCC published its climate report, which clearly demonstrates the importance of taking the green transition seriously.

Read the report on Soltechs site: https://soltechenergy.com/en/investors/financial-reports-calendar/

Despite the Corona pandemic affecting society to a greater extent in the first quarter of this year compared with 2020, Soltech succeeds in delivering very strong growth. The Group’s revenues increase by as much as 175% to SEK 145.2 million and the Swedish operations increase by as much as 212% to SEK 118.1 million.

CEO comment:
– Our focus is growth and I am very pleased with our performance during the first quarter, which in terms of revenue is the toughest quarter of the year in our industries.

First quarter in brief
• The Group’s revenues in the quarter amounted to SEK 145.2 (52.8) million. An increase of 175%
• Revenues in the Swedish operations grew to SEK 118.1 (37.8) million, an increase of 212%
• Revenues in the Chinese operations grew to SEK 27.11 (15) million, an increase of 81%

• The Group’s profit before depreciation (EBITDA) amounted to SEK -8.3 (-1.3) million. EBITDA was negatively affected by non-cash affecting effects of SEK -11.7 million as a result of increased targets and forecasts, which led to an increase in provisions for additional earn out costs

• The Group’s operating profit (EBIT) amounted to SEK -28.4 (-14.7) million. EBIT has been negatively affected by non-cash affecting effects of SEK -11.7 million as above

• Profit after tax for the period amounted to SEK -18.2, (-5.5) million. The result was affected by unrealized exchange rate differences in the Chinese operations by SEK 40.1 (34.8) million and by non-cash affecting effects of SEK -11.7 million as above

• Cash flow for the period from operating activities amounted to -4.7 (-17.3)
• The period’s cash flow for the Group amounted to SEK -101.7 (-61.4) million
• Earnings per share amounted to -0.33 (-0.05)
• Covid-19 affected the Swedish operations in the first quarter, mainly in the form of postponed projects. However, order intake remains good

Significant events during the first quarter

Sweden
• Soltech acquired 76% of the shares in Annelunds Tak AB and 52% of the shares in Ljungs Sedum Entreprenad AB
• Soltech acquired the remaining 40% of the shares in the subsidiaries Swede Energy and Merasol to create the best conditions to become an even larger player in the solar energy market. Soltech now owns 100% of both companies, which strengthens the offer in the corporate and real estate market in solar energy
• Soltech acquired 100% of the electrical engineering company Provektor Sweden and its subsidiaries
• Six of Soltech's subsidiaries have together received the order to build the Nordic region's largest solar façade project with an order value of SEK 12 million
• New solar collaboration has begun between Soltech's subsidiaries Soldags and LRF, which will make it easier for more farmers to become micro-producers of solar energy.
• Soltech's Chairman of the Board Anna Kinberg Batra was elected new Chairman of the Board of Swedish Solar Energy
• Soltech sponsors the Architecture Gala

China
• Soltech's subsidiary in China, ASRE, signed seven orders during the quarter, which in total are expected to generate annual revenues of SEK 11.1 million, or approximately SEK 221.6 million during the agreements' 20-year maturities
• The Soltech Group is awarded a prize in China as “The most influential solar investment company 2020”
• During the quarter, Soltech's subsidiaries in China connected a total of 5.8 MW of roof-based solar power plants and had a total of 182.4 MW in producing plants at the end of the quarter.

Significant events after the reporting period
• Soltech acquired 100% of the shares in Rams El.
• Soltech's subsidiaries Swede Energy and Castellum win the Solar Energy Award 2021 in the category “Plant of the Year”. The winning facility is Hisingen Logistics Park with a roof-mounted solar cell facility of 30,000 m2
• Soltech's subsidiary Swede Energy is building a 3,000 m2 solar cell plant at the e-retailer Matsmart's central warehouse in Örebro
• Soltech's subsidiary in China, ASRE, has signed three orders that are estimated to generate annual revenues of SEK 1.2 million, or approximately SEK 31.4 million during the agreements' 20-year maturities

Continued strong growth in 2020

Fourth quarter in brief
• The Group's revenues in the quarter amounted to SEK 159.3 (67.5) million. An increase of 136%
• Revenues in the Swedish operations grew to SEK 118.1 (56.4) million, an increase of 110%
• The Group's profit before depreciation (EBITDA) amounted to SEK 14.5 (-3.2) million.
• The Group's operating profit (EBIT) amounted to SEK -1.3 (-13.4) million. An improvement of 90%
• Profit for the period after tax amounted to SEK -80.6 (-39.6) million. The result was affected by unrealized exchange rate differences in the Chinese operations by SEK -29.2 (-8.2) million. This does not affect cash flow
• Cash flow for the period from operating activities amounted to -30.6 (67.9)
• The period's cash flow for the Group amounted to SEK 27.2 (-1.7) million. The cash flow for the period was, among other things, positively affected by the completed new share issue
• Earnings per share amounted to SEK -0.67 (-0.71)
• No dividend is proposed
• Covid-19 had a major impact on the Swedish operations in the fourth quarter, mainly in the form of postponed projects. However, order intake remains good
• Revenues from operations in China were negatively affected in the quarter by approximately SEK 1 million as a result of the temporary price reduction for electricity introduced by the state NDRC in order to stimulate the Chinese economy after the pandemic
• During the quarter, 33.3 MW was connected and a total of 176.6 (139) MW of installed capacity (solar power plants) at the end of 2020

January – December in summary
• Total operating income amounted to SEK 500 M (303.6). An increase of 65%
• The Group's operating profit before depreciation (EBITDA) amounted to SEK 101.8 (65.4) million. An increase of 56%
• The Group's operating profit (EBIT) amounted to SEK 42.7 (24.8) million. An increase of 72%
• Profit for the year after financial items, currency effects and tax amounted to SEK -141.2 (-45.8) million. Currency effects of unrealized exchange rate differences in the Chinese operations have affected earnings by SEK -42.8 (1.8) million
• Covid-19 affected the Swedish operations during the year and mainly in the form of deferred projects driven by deferred customer meetings, orders and the fact that it took longer for customers to be able to make decisions with an estimated negative effect of approximately 15% on sales
• Covid-19 is estimated to have had a negative impact on revenues in the Chinese operations of approximately SEK 13.5 million. This is partly due to a general price reduction and that approximately 30 MW were shut down during the first and second quarters and that lower activity among customers resulted in lower electricity consumption, which led to a larger share of electricity being sold to the grid where ASAB is paid less. Furthermore, covid-19 has led to poorer conditions in the capital markets, which through poorer borrowing conditions caused higher costs than planned

Significant events during the fourth quarter
Sweden

• Soltech’s subsidiary Soltech Sales & Support AB has received an order to deliver semi-transparent solar cells in four different colors to the parking garage “Mölnlycke fabriker” with end customer Wallenstam. Order value approximately SEK 7 million
• Soltech’s subsidiary Fasadsystem will contribute to the construction of a new Biltema facility in Partille, as well as the expansion of Mio furniture department store in Frölunda with a total order value of SEK 7.5 million.
• Soltech’s subsidiary NP Gruppen delivered a new waterproofing roof including solar energy and charging posts. The project is carried out together with the sister company Measol. The order value was approximately SEK 4.5 million.
• Soltech’s subsidiary Merasol begins energy conversion projects together with Nexion Enertech for HSB and BRF Solängen in Alingsås. Merasol will deliver a solar system and roof with a total order value of approximately SEK 4 million.
• Soltech’s subsidiary Swede Energy received approximately SEK 10 million of solar energy deal from MatHem / Logistic Contractor with construction starting in 2021
• Soltech’s subsidiary Takorama has signed an agreement with Tuve Bygg AB regarding the rebuilding of the roof of the operating room at Norra Älvsborgs Sjukhus (NÄL) in Trollhättan. The order value is approximately SEK 11.8 million with project start in 2021
• Investment by the Swedish state in renewable energy, which includes tax reductions for the installation of solar cells and storage for private individuals as well as an increased power limit for energy tax to 500 kW for self-used electricity

China
• During the quarter, Soltech’s subsidiary in China, ASRE, signed nine orders that are expected to generate a total annual revenue of SEK 13.3 million, or approximately SEK 265.5 million during the agreements’ 20-year maturities
• ASRE awarded prize in China as “Top 10 Industrial and Commercial Distributed Solar Power Station Builders in 2020”
• Soltech’s subsidiary ASAB issued additional preference shares corresponding to SEK 26.1 million during the quarter
Significant events after the reporting period
• Soltech acquired 76% of the shares in Annelunds Tak AB and 52% of the shares in Ljungs Sedum Entreprenad AB. The companies have a total of 18 employees and are expected to contribute SEK 60 million in sales and SEK 6 million in operating profit in the coming years.
• Soltech acquired the remaining 40% of the shares in the subsidiaries Swede Energy and MeraSol to create the best conditions to become an even larger player in the solar energy market. Soltech now owns 100% of both companies, which strengthens the offer in the corporate and real estate market in solar energy.
• Soltech’s subsidiary in China, ASRE, has signed orders that are estimated to generate annual revenues of just over SEK 10.2 million, or approximately SEK 203 million during the agreements’ 20-year maturities
• The effects of Covid-19 are difficult to assess and we are following developments closely

The CEO has the floor

Continued strong growth in a growing market
We are proud of our strong growth despite the difficult conditions caused by the Corona pandemic in 2020. We deliver 65 percent growth at Group level and 74 percent growth in the Swedish operations. Thus, we continue our journey towards 4.7 billion in turnover in 2024, which was communicated in November 2019.
Unfortunately, the Group's earnings on the bottom line for 2020 are strongly affected by, above all, unrealized currency losses and high interest costs in our Chinese operations. The management of Advanced Soltech is working hard to reduce these effects in the future and the project to list the company separately continues together with Carnegie and DnB. It is worth pointing out that we see good opportunities for continued strong growth in the Chinese operations, even after the completion of the special listing.

Continued strong interest from the market
We are very proud of the great interest we encounter from the stock market. We now have about 60,000 owners, which is more than most companies on the stock exchange's A-list. I would like to take this opportunity to once again thank all the shareholders who in the autumn participated in our successful rights issue when we raised SEK 144 million. At that time we were about 30,000 owners, so now we have been joined by as many more.

Growth continues in an expansive phase
The solar energy market with everything around in the form of storage, charging and control is growing explosively in Sweden and throughout the world. Today, about 1% of Swedish electricity comes from solar energy, which means that Sweden is far behind other comparable countries. But more and more private and commercial property owners are realizing that solar energy benefits both the climate and the economy, as evidenced by demand.

With a new green deduction for private individuals and an increase in the power limit for large roof installations, both of which will be introduced in 2021, the opportunities for continued Swedish market growth are very good. There, Soltech is well equipped to be one of the strongest players for both large property owners and the private homeowner.
Our organic growth in our subsidiaries will be good and if we add the business opportunities our acquisition strategy provides, the billion SEK barrier should be within reach. We are a growth company with ambitious goals. In 2018, we had sales of approximately SEK 50 million, two years later we have increased tenfold to approximately SEK 500 million and in November 2019 we communicated a goal to turn over SEK 4.7 billion in 2024, this goal remains.

Corona pandemic's impact on Soltech
The corona pandemic has affected the whole world, including Soltech. During the fourth quarter, we experienced greater problems with the Corona pandemic than during the first nine months. It is mainly in sales where both the opportunity to conduct physical meetings and travel is limited even more. We also experience longer decision-making processes with customers. In total, within the entire Group, we estimate that the Corona pandemic affected sales negatively by approximately 15 percent. Despite this, we reach our goal of approximately SEK 500 million in sales.

The acquisition strategy resulted in eight new subsidiaries
In just two years, Soltech has become an efficient acquisition company at the same time as dynamic development takes place in the existing companies. During the latter part of 2020 and the beginning of 2021, we see a clearly increasing trend in terms of incoming inquiries if we are interested in acquiring companies. We have succeeded in establishing ourselves as a serious, entrepreneur-friendly and decision-making buyer and this attracts direct contacts with companies, but many company brokers also come to us with their assignments. We meet companies every week and constantly have a number of negotiations underway. We look forward to more companies in the Soltech family.

Advanced Sotech, our business in China
We are proud that under very difficult conditions we managed to increase our installed base from 139 megawatts to 176.6 megawatts during the past year. Demand for our offer is high and confidence in the future is strong. However, the result on the last line is strongly affected by, above all, unrealized currency losses, high interest costs and depreciation in our Chinese operations. The management of Advanced Soltech is working hard to reduce these effects in the future and the project to list the company separately continues together with Carnegie and DnB. All shareholders will receive information about the special listing by letter when the schedule is ready.

The green recovery
The corona pandemic has fundamentally changed the world. The years 2020 and 2021 will go down in history as very difficult years, both in terms of human and financial suffering. But it also forces politicians to make strong decisions about how to stimulate the economy. For all companies in solar energy and cleantech, these are positive times when these stimuli give us great opportunities to increase our business. Now the world has a chance to invest in long-term sustainable climate-smart alternatives and we are ready to take our responsibility by growing strongly. The better it goes for Soltech, the more benefit we make in the green transition.

Our journey has just begun
We are now primarily investing in developing our thirteen subsidiaries and getting the greatest possible synergy effects. We are already seeing positive signals, not least in purchasing, sales and recruitment. Our second focus is to continuously acquire more companies in the solar energy, roofing, facade and electricity industries. After two years and thirteen acquisitions, we have created a good process and we see great opportunities in the market that we will take advantage of.

I look forward to an exciting 2021 and to leading the company into the future with the board and our competent employees. You are warmly welcome to continue with us on the journey.

Sincerely,
Stefan Ölander, CEO

Soltech continues to grow and delivers a strong third quarter with a 46 percent increase in sales and a 45 percent increase in operating profit (EBIT). During the first half of the year, we completed four acquisitions and during the third quarter, four more were completed.

CEO comment:
– We live in a new reality with the pandemic hanging over us. At Soltech, however, we see signs of an even stronger market for our competitive offerings when both
Private individuals, companies and the public sector are investing more and more in solar energy

Third quarter in brief

• The Group's revenues in the quarter amounted to SEK 127.2 (87.3) million. An increase of 45.7%

• Revenues in the Swedish operations grew to SEK 84 M (51.9), an increase of 61.8%

• The Group's profit before depreciation (EBITDA) amounted to SEK 38.9 (30.2) million. An increase of 28.8%

• The Group's operating profit (EBIT) amounted to SEK 23.1 (15.9) million. An increase of 45.3%

• Profit for the period after tax amounted to SEK -18.1 (6.4) million. The result was affected by unrealized exchange rate differences in the Chinese operations by SEK -8.5 (10.8) million

• The period's cash flow for the Group amounted to 85.5 (-76.3) MSEK. The cash flow for the period was, among other things, positively affected by completed new issues

• Earnings per share amounted to -0.31 (0.13)

• Covid-19 is estimated to have had a certain impact on the Swedish operations in the quarter, but order intake is still good

• Operations in China have made a strong quarter with 38.4 million kWh produced. However, revenues were negatively affected in the period by approximately SEK 2 million due to temporary price reductions on electricity as a direct result of Covid-19. The quarter was also affected by unrealized price effects in the Chinese operations of a total of SEK -8.5 (10.8) million. A total of 143 MW of installed capacity (solar power plants) at the end of the quarter

First nine months in summary

• Total operating income amounted to SEK 336.1 (236.1) million. An increase of 42.4%

• The Group's operating profit before depreciation (EBITDA) amounted to SEK 87.3 (68.6) million. An increase of 27.3%

• The Group's operating profit (EBIT) amounted to SEK 43.9 (38.2) million. An increase of 14.9%

• Profit for the period after financial items, currency effects and tax amounted to SEK -60.6 (-6.2) million

• Covid-19 had a certain impact on Swedish operations during the period. The primary effects have been deferred customer meetings and orders

• Covid-19 is estimated to have had a negative impact on revenues in the Chinese operations during the period of approximately SEK 12.5 million. The reasons for this are due to the fact that a larger than normal share of the electricity produced has been sold to the grid instead of directly to the customer and then at a lower price per kWh. Some customers' production facilities in China were also closed until the end of May

Significant events during the period

• During the quarter, Soltech's subsidiary in China, ASRE, signed five orders that are estimated to generate a total annual revenue of SEK 12.7 million, or approximately SEK 253.9 million under the agreements 20-year maturities

• The Board of Directors of Soltech Energy Sweden AB (publ) decided, with the support of the Annual General Meeting's authorization, to carry out a rights issue of approximately SEK 98 million to finance continued expansion through acquisitions and to develop existing subsidiaries. In addition to the rights issue, there was an opportunity to decide on an over-allotment issue of SEK 46 million. The rights issue was oversubscribed by 590 percent, the over-allotment issue was completed in full and Soltech received a total of just over SEK 144 million before issue costs

• Soltech acquired 60 percent of the shares in Miljö & Energi Ansvar Sverige AB with access on September 1, 2020

• Soltech's subsidiaries, Swede Energy, Soltech Sales & Support and Measol will build Sweden's largest solar and direct current plant with Ferroamp. The order value is just over SEK 3 million

• Soltech and PowerCell Sweden AB (publ) have signed a Nordic co-operation agreement to develop solutions for customers that include both the Soltech Group's products for solar energy and PowerCell's products for storage.

• Soltech's subsidiary, Advanced Soltech, raises SEK 131.5 million before issue costs via subscription of newly issued preference shares. This is in order to take advantage of the business opportunities the company has in China. Soltech continues to own more than 50% of the shares in Advanced Soltech after the issue

• In connection with the Government's budget bill, two important changes were announced for the Swedish solar energy market. The kW limit for tax liability for self-produced solar energy is proposed to be raised at the turn of the year, from the current 255 kW installed power to 500 kW. At the same time, a new deduction is also proposed for the installation of green energy (private households). This includes both solar cells and charging options for e-cars, among other things

• Eurocommercial Properties chose Soltech's subsidiary Swede Energy Power Solutions as a partner in its investment in Solenergi. Eurocommercial Properties installs solar energy at its remaining shopping centers in Sweden and a total of 1,658 kWp of solar energy solutions will be installed, which is estimated to produce approximately 1,473,709 kWh / year

• Soltech acquired 80 percent of the shares in Takrekond in Småland AB and 100 percent of the shares in Takrekond in Kalmar AB with access on October 1, 2020

• Soltech acquired 60 percent of the shares in Din Takläggare i Värmland Dalsland AB with access on 1 October 2020

Significant events after the reporting period

• Soltech's subsidiary Soltech Sales & Support has received orders via Bergman and Höök Byggnads AB to deliver semi-transparent solar cells to the end customer Wallenstam. Order value approx. SEK 7 million

• Soltech's subsidiary in China, ASRE, has signed orders that are estimated to generate annual revenues of just over SEK 1.9 million, or approximately SEK 38.7 million during the agreements' 20-year maturities