Skanska Investment StoryProfit with Purpose

We build for a better society.Penn Station, New York, USA

84%

7%9%

Revenue EBIT

46%

14%

40%

Construction

Residential Development

Commercial Property Development

− One of the world’s leading project development and construction groups

− Operations in the Nordics, Europe and USA− 2019 revenue of SEK 177 bn− 34,000 employees − Listed on Nasdaq OMX

Skanska in brief Our business streams

Well diversified

Local presence, global strength

% of total revenue at Dec 31, 2019

USA SwedenFinland

Denmark

United Kingdom

PolandSlovakia

Hungary

Czech Republic

Romania

Norway

42%

40%

18%

2

% of total revenue and operating income at Dec 31, 2019

2019 Investment story

Skanska is a market leader in its selectedhome markets− Supported by strong trends in demographics, urbanization and sustainability− Increased need for new and more sustainable solutions drives investments in

infrastructure, healthcare, housing, offices and education

with a compelling offering− Our financial strength, deep knowledge and foresight, and drive to be in the

forefront of sustainability enable us to meet the requirements of both simple and complex assignments

and a solid business model− Through an integrated business model, positive cash flow from Construction is

continuously invested in Project Development for enhanced returns

that creates value for shareholders− Driven by our values and business model, Skanska helps shape sustainable

futures for customers and communities as well as create value for shareholders

Investment story 3

Why invest in Skanska?

2019

42019 Investment story

Global trends and key market driversGlobal trends such as urbanization and climate-smarter societies are driving investments in resilient infrastructure and increasing demand for sustainable facilities.

Urbanization and demographic changes

Climate impact

Partnership is the key

Digitalization

Economic development and changing geopolitical landscape

Climate-smart solutions that cut carbon and buildresilience

Promoting community investment, diversity and inclusion

Pushing forward the industry’s safety standards

An ethical role model

Where we can make a positive impact in society

2019 Investment story 5

One Skanska business model

Free working capital

Operating margin ≥3.5%

Investment opportunities

Internal contracts

ConstructionRevenue with associated contract profits

Revenue clients Project DevelopmentDevelopment gains are generated and are realized upon divestment

Operating margin 2.4%

2019

Return on capital employed ≥10%

Return on capital employed 10.3%

Return on equity ≥18%

Dividend 40-70% of profit

Return on equity 21.4%

Financial targets

6

External financing

2019 Investment story

A history of competitive returnsReturn on Equity Dividend

Total Annual Shareholder Return, 5 years

5%

8%7%

6%

5%

5%

4%

3%

0%

2%

4%

6%

8%

10%

12%

14%

SkanskaB

SIX PortfolioIndex

SBI* DJ TitansCon & Mat

Price return Dividend yield

0%

2%

4%

6%

8%

10%

0

2

4

6

8

10

12

14

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

*

Extra dividend, SEK Ordinary dividend, SEKDividend yield, %

7

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

2010

2011

2012

2013

2014

2015

2016

2017

2018

2019

Outcome Average Target

*SBI: Strategic Benchmark Index consist of companies that, taken together, reflects Skanska´s operations

2019 Investment story

* Assuming a dividend proposal of SEK 6.25 in 2019.Due to the prevailing uncertainty caused by COVID-19, the Board has the ambition to convene an Extra General Meeting in the autumn to decide on the dividend.

Financial targets 2016–2020

Target Outcome 2019

Project Development≥ 10% 10.3%Return on capital employed

Construction≥ 3.5% 2.4%Operating margin

GroupAdj. Interest-bearing net receivables (+)/net debt (-) limit of SEK -9 bn 3.2Financial strength, SEK bn

Return on equity ≥ 18% 21.4%2019 Investment story 8

Skanska’s climate goals The Skanska Group will have net-zero carbon emissions resulting from our business by 2045, including the value chain in all projects.

Skanska Group reduces emissions from our own operations by half, this includes the value chain in projects initiated by Skanska development units.

2015

50%Carbon Neutrality

2030 2045

European Spallation SourceLund, Sweden

2019 Investment story 9

Strong balance sheetSEK M

Investment capacity Investments in Project Development

0

5,000

10,000

15,000

20,000

25,000

2015 2016 2017 2018 2019

According to target of financial strength: Adj. Interest-bearing net receivables(+)/net debt (-) limit of SEK -9 bn

2019 Investment story 10

0

5

10

15

20

25

30

35

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019

Group EPS Unrealized gains per share, Project Development, less 10% standard tax

Increasing value contribution from Project DevelopmentGroup EPS vs. unrealized Project Development gainsPer share

112019 Investment story

12

Skanska Group carbon emissions 2015 – 2019

Absolute carbon reduction

-28 %

Intensity carbon reduction (carbon/revenue)

-37 %0.00

1.00

2.00

3.00

0

50

100

150

200

250

300

350

400

450

2015 2016 2017 2018 2019

Inte

nsity

(tot

al e

mis

sion

s/M

SEK

reve

nue)

Tonn

es C

O2e

(Tho

usan

ds)

Group Scope 1 Group Scope 2Targeted Emission Reduction 50% Target LineIntensity (total emissions/MSEK revenue)

Scope 1: direct emissions from owned or controlled sourcesScope 2: indirect emissions from the generation of purchased energy

2019 Investment story