SSAB (SSAB) investor relations material

Strategic direction and market positioning

• Accelerating premium leadership by increasing advanced high-strength and value-added steels, targeting 65% premium mix by 2030 and 75% by 2035, with over 1 million tonnes of decarbonized steel shipments in five years.

• Aggressive investment program includes major projects in Luleå and Oxelösund, new EAF-based mini-mills, and over SEK 50 billion in investments over the next five years to expand premium and decarbonized capacity.

• Strategic shift away from commodity products and spot market exposure, focusing on downstream integration and value-added services through subsidiaries like Tibnor and Ruukki Construction.

• Strong financial position with net cash, consistent dividend policy, and a focus on maintaining investment-grade credit rating and net gearing between -20% and 20%.

• Strategy designed to strengthen profitability and resilience, with a focus on cost efficiency and premium product mix.

Business segment performance and growth plans

• Special Steels division operates globally with 100% premium products, targeting 5% annual shipment growth and >20% EBITDA margin, with 50% of sales from highest-value products by 2030.

• SSAB Europe has increased its premium sales mix from 27% in 2015 to 48% in 2024, targeting 56% post-Luleå transformation, with significant investments to expand advanced steel and decarbonized product capacity.

• Americas division maintains market leadership in plate, driven by quality, service, and cost efficiency, and is well-positioned to benefit from U.S. industrial policy and infrastructure investments.

• Subsidiaries Tibnor and Ruukki Construction are expanding value-added services, processing, and local presence, aiming to increase high-value sales and profitability.

• All divisions are leveraging digitalization, e-commerce, and new technologies like 3D printing to enhance customer value and operational efficiency.

Technology transformation and sustainability

• Major technology transformation includes new electric arc furnaces and advanced cold mill complexes, enabling flexible, low-emission, and high-quality steel production.

• Luleå and Oxelösund projects will reduce CO2 emissions, lower fixed costs by 50%, and provide significant operational flexibility.

• Proven ability to produce advanced grades via electric arc furnace, supported by experience from U.S. operations and internal knowledge transfer.

• Raw material strategy balances scrap, pig iron, and partnerships for hydrogen-reduced DRI, ensuring supply security and flexibility.

• Sustainability and decarbonization are central, with growing demand for low-emission and fossil-free steel, and premium pricing opportunities for these products.