Assa Abloy's Q3 2016 report highlights a 3% increase in sales, driven by strong growth in the Americas and global tech, though the Asia Pacific region saw negative growth due to challenges in China. The company's EBIT margin was stable at 16.8%, with notable advancements in digital products and energy-efficient industrial solutions. The report also notes positive cash flow and continued growth in the DIY segment, despite ongoing difficulties in certain international markets.

1. ASSA ABLOY is the global leader in door opening
solutions, dedicated to satisfying end-user needs
for security, safety and convenience
Q3 Report 2016
Johan Molin
President and CEO

2. Financial highlights Q3, 2016
 Stable development in the third quarter
– Strong growth in Americas and Global Tech
– Good growth in Entrance Systems
– Growth in EMEA
– Negative growth in APAC due to China
 Sales 18,025 MSEK 3%
+2% organic, +2% acquired growth, -1% currency
 EBIT 3,020 MSEK 2%
Currency effect -2 MSEK
 EPS 1.91 SEK 3%
Underlying tax rate 26%
2

3. Financial highlights Jan-Sep 2016
 Strong development despite a challenging market
– Strong growth in Americas and Global Tech
– Good growth in EMEA and Entrance Systems
– Negative growth in APAC due to China
 Sales 51,809 MSEK 4%
3% organic, 3% acquired growth, -2% currency
 EBIT 8,340 MSEK 4%
Currency effect -160 MSEK
 EPS 5.21 SEK 4%
Underlying tax rate 26%
3

4.  Data analytics – simple and actionable
– Launch of Cliq data analytics in the USA
 Launch of energy efficient industrial solutions
– Freezer transportation with High Performance Doors
– Industrial docking systems
– Online savings ROI calculator
 Strong pull from DIY channel with digital products
– Entry ticket to DIY chains. Ex. Mexico, UK, Germany
 ASSA ABLOY locksmiths unified across Nordics
– Nordic locksmiths rebranded to Certego
– Certego offers 24/7 service in all countries
Market highlights

5. 5
Group sales in local currencies Jan-Sep 2016
3 +39
40 +7
15 -4
4 +2
1 +14
Share of Group sales 2016 YTD, %
Year-to-date vs previous year, %
37 +7
Emerging markets 24% (25) of sales

6. -15
-12
-9
-6
-3
0
3
6
9
12
15
18
21
34 000
37 000
40 000
43 000
46 000
49 000
52 000
55 000
58 000
61 000
64 000
67 000
70 000
2009 2010 2011 2012 2013 2014 2015 2016
Growth %Sales MSEK
Organic Growth Acquired Growth Sales in Fixed Currencies
Sales growth, currency adjusted
6
2016 Q3 +4%
Organic +2%
Acquired +2%

7. Operating income (EBIT), MSEK
4 500
5 000
5 500
6 000
6 500
7 000
7 500
8 000
8 500
9 000
9 500
10 000
10 500
11 000
11 500
1 000
1 200
1 400
1 600
1 800
2 000
2 200
2 400
2 600
2 800
3 000
3 200
2009 2010 2011 2012 2013 2014 2015 2016
12-monthsQuarter
Quarter Rolling 12-months
Run rate 11,379 MSEK (10,722) +6%
7

8. 12
13
14
15
16
17
2009 2010 2011 2012 2013 2014 2015 2016
EBIT Margin
Quarter Rolling 12-months
2016 Acquisitions Currency
Q3 -0.2% 0.2%
Operating margin, %
Run rate 2016 16.2% (16.3)
8

9. Manufacturing footprint
9
 Status of manufacturing footprint programs 2006-2013:
– 76 factories closed to date, 2 to go
– 101 factories converted to assembly, 14 to go
 Total personnel reduction:
– 11,916 FTE in total
– 560 FTE in recent quarter
 360 FTE to go for all programs
 New MFP-program in progress
 339 MSEK of the provision remains for all
programs

10. Margin highlights Q3 2016
EBIT margin 16.8% (17.0) -0.2%
+ Volume increase 1%, price 1%
Margin development
- APAC decline
+ Manufacturing footprint & pricing
+ Currency 0.2%
- Acquisitions -0.2%
10

11. Acquisitions 2016
 Fully active pipeline
 10 acquisitions done in 2016
 Divestment of Carlocks 550 MSEK
 Acquired annualized sales 1,900 MSEK
 Added sales 2.8%
11

12. Trojan, UK
12
 Turnover of 220 MSEK with 66
employees
 UK residential door and window
hardware manufacturer
 Complements the product portfolio
in a very good way
 Accretive to EPS

13. Division – EMEA
 Strong growth in Scandinavia, UK and Israel
 Good growth in Germany, Benelux, Iberia and Italy
 Flat to negative in Finland, Africa, France and EE
 Negative calendar effect
 Operating margin (EBIT)
+ Organic +2%
+ Direct material
- Front-end investments
+ Acquisitions +0.2%
13
13
14
15
16
17
18
19
2010 2011 2012 2013 2014 2015 2016
EBIT %
22%
Sales
share of
Group total %

14. Division - Americas
 Strong growth in Door group, Elmech, Mexico and
South America (ex Brazil)
 Good growth in Residential, Canada and High security
 Growth in AHW and negative in Brazil
 Quotation levels continue to develop positive
 Operating margin (EBIT)
+ Organic +5%
+ Strong leverage
- Acquisitions -0.6%
15
20
18
19
20
21
22
23
2010 2011 2012 2013 2014 2015 2016
EBIT %
25%
Sales
share of
Group total %

15. Division - Asia Pacific
 Good growth in Pacific
 Growth in Korea and flat in South Asia
 Continued decline in China yoy -12%
– Strong personnel reduction China
– China correction related to 2015 neutralized by release
of earn outs
 Operating margin (EBIT)
- Organic -7%*
+ Savings and personnel reduction
- Redundancy cost
14
17
8
10
12
14
16
18
2010 2011 2012 2013 2014 2015 2016
EBIT %
13%
Sales
share of
Group total %
*) Comparable period restated due to adjusted China reporting.

16. Division - Global Technologies
 HID
– Strong growth in Secure issuance, IAM, Gov ID,
IDT (inlays) and project sales
– Good growth in PACS
 Hospitality
– Flat sales with good orders
– Good profit
 Operating margin (EBIT)
+ Organic +7%
- Mix and R&D investment
- Acquisitions -0.5%
13
19
14
15
16
17
18
19
20
21
2010 2011 2012 2013 2014 2015 2016
EBIT %
13%
Sales
share of
Group total %

17. Division - Entrance Systems
 Strong growth in Door automatics, High speed doors,
Flexiforce and Amarr
 Good growth in Industrial and 4Front
 Negative in EU Residential
 Continued good leverage
 Operating margin (EBIT)
+ Organic +4%
+ Direct material and consolidation effects
- Acquisitions -0.2%
28
21
10
12
14
16
18
2010 2011 2012 2013 2014 2015 2016
EBIT %
27%
Sales
share of
Group total %

18. ASSA ABLOY is the global leader in door opening
solutions, dedicated to satisfying end-user needs
for security, safety and convenience
Q3 Report 2016
Carolina Dybeck Happe
CFO
ASSA ABLOY is the global leader in door opening
solutions, dedicated to satisfying end-user needs
for security, safety and convenience

19. Financial highlights Q3 2016
MSEK 2015 2016 Change 2015 2016 Change
Sales 17,465 18,025 +3% 49,799 51,809 +4%
Whereof
Organic growth 471 307 +2% 1,807 1,308 +3%
Acquired growth 606 429 +2% 1,435 1,512 +3%
FX-differences 1,661 -176 -1% 5,561 -810 -2%
Operating income (EBIT) 2,970 3,020 +2% 8,041 8,340 +4%
EBIT-margin (%) 17.0 16.8 16.1 16.1
Operating cash flow 2,816 2,830 0% 5,327 5,846 +10%
EPS (SEK) 1.86 1.91 +3% 5.02 5.21 +4%
3rd Quarter Nine months
24

20. Bridge Analysis – Jul-Sep 2016
MSEK 2015
Jul-Sep
Organic Currency Acq/Div 2016
Jul-Sep
2% -1% 2% 3%
Sales 17,465 307 -176 429 18,025
EBIT 2,970 18 -2 34 3,020
% 17.0% 5.7% 1.2% 7.9% 16.8%
Dilution / Accretion -0.2% 0.2% -0.2%
25

21. P&L Components as % of sales
Jan – Sep 2016
Direct material 36.6% 35.9% 35.6%
Conversion costs 24.5% 24.6% 24.9%
Gross Margin 38.9% 39.5% 39.5%
S, G & A 22.8% 23.1% 23.4%
EBIT 16.1% 16.4% 16.1%
2016
YTD excl
acquisitions
2015
YTD
2016
YTD
26

22. Operating cash flow, MSEK
4 500
5 000
5 500
6 000
6 500
7 000
7 500
8 000
8 500
9 000
9 500
10 000
10 500
11 000
0
500
1 000
1 500
2 000
2 500
3 000
3 500
4 000
4 500
5 000
2009 2010 2011 2012 2013 2014 2015 2016
12-monthsQuarter
Quarter Cash Rolling 12-months EBT Rolling 12 months
27

23. Gearing % and net debt, MSEK
0
20
40
60
80
100
120
0
5 000
10 000
15 000
20 000
25 000
30 000
2009 2010 2011 2012 2013 2014 2015 2016
GearingNet Debt
Net debt Gearing
Debt/Equity
57 (63)
Net debt/EBITDA
2.0 (2.1)
28
*) 2009-2011 Not restated for changed pension accounting principles.

24. Earnings per share, SEK
2.50
3.00
3.50
4.00
4.50
5.00
5.50
6.00
6.50
7.00
7.50
0.40
0.60
0.80
1.00
1.20
1.40
1.60
1.80
2.00
2009 2010 2011 2012 2013 2014 2015 2016
12-monthsQuarter SEK
Quarter Rolling 12-months
29
Restated for Stock split 3:1 2015.
Q3 EPS +3%

25. ASSA ABLOY is the global leader in door opening
solutions, dedicated to satisfying end-user needs
for security, safety and convenience
Q3 Report 2016
Johan Molin
President and CEO

26. Conclusions Q3 2016
 Good growth by 3% with 2% organic and 2% acquired
 Strong growth in Americas and Global Tech
 Digital door locks progressing nicely in DIY
 Decline in China continued
 Stable EBIT development and good cash flow
31

27. ASSA ABLOY is the global leader in door opening
solutions, dedicated to satisfying end-user needs
for security, safety and convenience
Q&A