Investor (INVE) Investor dialog summary

Global economic and geopolitical environment

• Increasing protectionism and global uncertainty, with ongoing wars in Ukraine and the Middle East impacting decision-making and long-term planning.

• Rising costs in oil, freight, and input materials are expected to affect company income statements with a lag of several quarters.

• Fierce competition from China and the U.S. is driving the need for innovation and efficiency in European companies.

• The board is actively seeking to learn from global trends, including a planned visit to China to understand advancements firsthand.

Strategic priorities and capital allocation

• Focus on supporting and building existing portfolio companies, maintaining a steadily rising dividend, and seeking new investment opportunities.

• No fixed allocation targets for business areas; investments are based on opportunity and portfolio strength.

• Patricia Industries has seen significant investment due to strong opportunities, with a robust pipeline continuing.

Sustainability and ESG integration

• Sustainability is central to long-term competitiveness, with upgraded climate targets and expectations for portfolio companies to reduce emissions and work on circularity.

• 90% of emissions are linked to customer use of products, incentivizing innovation in energy efficiency.

• Sustainability objectives are integrated into governance and sometimes linked to incentives, with regular follow-ups at both aggregate and company levels.

• Moral responsibility and next-generation employee expectations are key drivers for continued ESG focus.