Definitions

Accessories for cars
Products that are not necessary for a car to function but enhance the experience or extend its use, such as car-care products, roof boxes, child car seats.

Adjusted EBIT
EBIT adjusted for items affecting comparability (see definition) and material acquisition-related items. Current acquisition-related items pertain to the amortization/depreciation of acquired intangible and tangible assets relating to significant acquisitions.

Adjusted EBIT margin
Adjusted EBIT as a percentage of total revenue.

Affiliated workshops
Workshops that conduct business under the Group’s brands/workshop concepts or are affiliated under a white label.

B2B sales
Sales of goods and services between companies (business-to-business).

B2C sales
Sales of goods and services between companies and consumers (business-to-consumer).

Business area
Reportable segments.

Capital employed
Total assets less non-interest-bearing liabilities and provisions including deferred tax liabilities.

Cash and cash equivalents
Cash and cash equivalents comprise cash funds held at financial institutions and current liquid investments with a term from the date of acquisition of less than three months, which are exposed to only an insignificant risk of fluctuations in value. Cash and cash equivalents are recognized at nominal amounts.

Cash flow per share
Cash flow from operating activities in relation to the average number of shares. Average number of shares is calculated as the number of shares at period-end multiplied by the number of days this number existed during the period and added to any other number of shares during the period multiplied by the number of days these numbers existed during the period, divided by the number of days during the period.

Concept workshops
Affiliated workshops.

Currency effects on the balance sheet
The impact of currency regarding realized and unrealized revaluations of foreign short-term non-interest-bearing receivables and liabilities.

Currency-translation effects
Impact of currency from translation of earnings from foreign subsidiaries to SEK.

Downstream
Includes all activities that occur after products and services leave the company.

Earnings per share
Profit for the period excluding non-controlling interests, in relation to the average number of shares. Average number of shares is calculated as the number of shares at period-end multiplied by the number of days this number existed during the period and added to any other number of shares during the period multiplied by the number of days these numbers existed during the period, divided by the number of days during the period.

EBIT margin
Operating profit after depreciation/amortization (EBIT) as a percentage of total revenue.

EBITA
EBITA after depreciation according to plan but before amortization and impairment of intangible assets.

EBITDA
Operating profit before depreciation/amortization and impairment of tangible and intangible assets.

EBITDA excl. IFRS 16
Operating profit before depreciation/amortization and impairment of tangible and intangible fixed assets excluding effects of IFRS 16.

EBITDA margin
EBITDA as a percentage of total revenue.

Equity/assets ratio
Shareholders’ equity including non-controlling interest as a percentage of total assets.

Emission factors
An emission factor provides an estimate of the amount of emissions per activity and can be applied to products, fuels, or services.
Fleet operations
MEKO’s offering to business customers comprising service and repairs of cars, sales of spare parts and accessories, and tire storage.

Fugitive emissions
Emissions of substances, usually gas or particles, that easily evaporate or disperse into the air, for example from industrial processes or vehicle traffic.

Greenhouse gases (GHG)
Gases that have the capacity to capture the sun’s thermal energy and contribute to increased warming, the so-called greenhouse effect.

Gross margin
Net sales less costs for goods for resale, as a percentage of net sales.

Gross profit
Revenue less cost for goods for resale.

ILO
International Labour Organization

Indirect sources
Sources that do not contain information from an original or a primary source. The information has been summarized or analyzed by someone other than the person who originally collected it.

Items affecting comparability
Events or transactions with significant effects, which are relevant to understanding the financial development compared with the earnings of the period in question with earlier periods, including restructuring programs, costs related to large legal disputes and impairments, as well as gains and losses from acquisitions or divestment of operations, subsidiaries, associated companies and joint ventures or items of a similar nature.

LTIP
Long-term Incentive Program.

Measurement points
Measurement points specify exactly what data companies should collect and report.

Mobility
The possibility of moving from A to B is a fundamental freedom and a driving force in society. The demand is timeless, and independent of what kind of vehicle is used.

Net debt
Current and non-current interest-bearing liabilities for borrowing, i.e. excluding current and non-current lease liabilities, pensions, derivatives and similar obligations, less cash and cash equivalents.

Net debt incl. IFRS 16
Current and non-current interest-bearing liabilities for borrowing and current and non-current lease liabilities according to IFRS 16, meaning excluding pensions, derivatives and similar obligations, less cash and cash equivalents.

Net debt/EBITDA
Net debt related to EBITDA, presented as a multiple. Presented both including and excluding IFRS 16.

OBP
Own-brand products, such as MEKO’s own-brand products ProMeister, Carwise, Kraft, Sakura, Vehcare and ForumLine.

Organic growth
Change in net sales adjusted for the number of workdays, acquisitions/divestments and currency effects.

Organic sales
Net sales adjusted for the number of workdays, acquisitions/ divestments and currency effects.

Other operating revenue
Mainly comprises rental income, marketing subsidies and exchange-rate gains.

Partner branches
Branches that are not proprietary, but conduct business under the Group’s brands/branch concepts.

ProMeister
MEKO’s proprietary brand for high-quality spare parts with five-year guarantees, and the name of the services we offer affiliated workshops.

Proprietary branches
Branches with operations in subsidiaries, directly or indirectly majority-owned, by MEKO AB.

Proprietary workshops
Workshops with operations in subsidiaries, directly or indirectly majority-owned, by MEKO AB.

Refrigerants
Substances used in refrigeration and heat pump systems to transfer heat, such as in air conditioning.

Return on capital employed
Profit after financial items plus interest expenses as a percentage of average capital employed. Average capital employed is calculated as capital employed at the end of the period added to the four immediately preceding quarters’ capital employed at the end of the period divided by five.

Return on shareholders’ equity
Profit for the period, excluding non-controlling interests, as a percentage of average shareholders’ equity attributable to Parent Company’s shareholders. Average shareholders’ equity attributable to the Parent Company’s shareholders is calculated as shareholders’ equity attributable to the Parent Company’s shareholders at the end of the period added to the four immediately preceding quarters’ shareholders’ equity attributable to the Parent Company’s shareholders at the end of the period divided by five.

Return on total capital
Profit after financial items plus interest expenses as a percentage of the average total assets. Average total assets are calculated as total assets at the end of the period added to the four immediately preceding quarters’ total assets at the end of the period divided by five.

Sales to customer group affiliated workshops
Sales to affiliated workshops and sales to proprietary workshops.

Sales to customer group consumers
Cash sales from proprietary branches to customer groups other than affiliated workshops and other business customers, as well as the Group’s e-commerce sales to consumers.

Sales to other business customers group
Sales to business customers that are not affiliated to any of MEKO’s concepts, including sales in the Fleet operations.

Science Based Targets (SBTi)
Means that companies set science based climate goals, which are reviewed by an external party.

Scope 1
Refers to direct emissions of greenhouse gases from an organization’s own operations and controlled sources, such as the combustion of fossil fuels.

Scope 2
Indirect emissions from a company’s purchased energy (electricity, heating and cooling).

Scope 3
Indirect emissions in a company’s entire value chain, both upstream and downstream.

Shareholders’ equity per share
Shareholders’ equity excluding non-controlling interests, in relation to the number of shares at the end of the period.

Spare parts for cars
Parts that are necessary for a car to function.

Sustainability statements
What a company is required to report on in its sustainability report. It is regulated in the EU Corporate Sustainability Reporting Directive (CSRD), which includes the reporting structure European Sustainability Reporting Standards (ESRS).

TSR
Total shareholders return.

Upstream
Includes all activities that occur before products and services reach the company.

White label
Workshops that are contract customers, but do not conduct business under any of the Group’s brands.

Working Capital
Total inventories, accounts receivable, accounts payable and other current non-interest-bearing receivables and liabilities but excluding tax assets and liabilities as well as provisions.

Åpenhetsloven
Norwegian Transparency Act, which aims to prevent human rights violations and substandard working conditions. Companies are required to report on identified risks and how they are managing them.