This document is Wärtsilä Corporation's interim report for the period of January-September 2018. Some key points: - Order intake was stable at EUR 1,372 million while net sales increased 13% to EUR 1,330 million. The order book increased 16% to EUR 5,918 million. - Operating result was EUR 141 million, representing 10.6% of net sales. Earnings per share was EUR 0.17. - Demand for Wärtsilä's services and solutions is expected to improve somewhat in 2018 compared to 2017, with anticipated increases in order intake for Marine Solutions and Services but a decline for Energy Solutions due to postponed investment decisions.

1. © Wärtsilä PUBLIC
WÄRTSILÄ CORPORATION
INTERIM REPORT JANUARY-SEPTEMBER 2018
23 October 2018
Jaakko Eskola, President & CEO
23 October 2018 Interim Report January-September 20181

2. © Wärtsilä PUBLIC 23 October 2018 Interim Report January-September 20182
GOOD DEVELOPMENT IN NET SALES

3. © Wärtsilä PUBLIC 23 October 2018 Interim Report January-September 20183
Highlights Q3/2018
• Order intake stable at EUR 1,372 million
• Order book at the end of the period EUR 5,918 million, +16%
• Net sales EUR 1,330 million, +13%
• Book-to-bill 1.03 (1.15)
• Comparable operating result EUR 141 million (131),
which represents 10.6% of net sales (11.2)
• Earnings per share EUR 0.17 (0.14)
• Cash flow from operating activities EUR 122 million (150)
Comparison figures have been restated due to the adoption of IFRS 15.
EPS figures have been calculated based on the new amount of shares.

4. © Wärtsilä PUBLIC 23 October 2018 Interim Report January-September 20184
0
200
400
600
800
1 000
1 200
1 400
1 600
1 800
Q3/2017 Q3/2018
Third quarter development
0
500
1 000
1 500
2 000
2 500
3 000
3 500
4 000
4 500
5 000
5 500
6 000
2014 2015 2016 2017 2018
MEUR
MEUR
Q1-Q3 Q4
1%
-65%
1,354 1,372
55%
17%
Energy
Solutions
Marine
Solutions
Services
Marine Solutions and Services driving order intake
Comparison figures for 2017 have been restated due to the internal reorganisation of service activities.

5. © Wärtsilä PUBLIC 23 October 2018 Interim Report January-September 20185
Net sales boosted by growth in newbuild deliveries
0
200
400
600
800
1 000
1 200
1 400
1 600
Q3/2017 Q3/2018
1,175
0
500
1 000
1 500
2 000
2 500
3 000
3 500
4 000
4 500
5 000
5 500
2014 2015 2016 2017 2018
13%
1%
9%
39%
Third quarter development
Energy
Solutions
Marine
Solutions
Services
MEUR
MEUR
1,330
Comparison figures for 2017 have been restated due to the internal reorganisation of service activities and the adoption of IFRS 15.
Q1-Q3 Q4

6. © Wärtsilä PUBLIC 23 October 2018 Interim Report January-September 20186
Net sales by business 1-9/2018
Marine Solutions
24% (23)
Energy Solutions
30% (28)
Services
46% (49)
Comparison figures for 2017 have been restated due to the internal reorganisation of service activities and the adoption of IFRS 15.

7. © Wärtsilä PUBLIC
1.06
0.98
1.03
1.15
1.22
0,0
0,4
0,8
1,2
1,6
0
500
1 000
1 500
2 000
2 500
3 000
3 500
4 000
4 500
5 000
5 500
6 000
2014 2015 2016 2017 1-9/2018
23 October 2018 Interim Report January-September 20187
Book-to-bill
MEUR
Order intake Net sales Book-to-bill
Comparison figures for 2017 have been restated due to the adoption of IFRS 15.

8. © Wärtsilä PUBLIC 23 October 2018 Interim Report January-September 20188
Order book distribution
0
500
1 000
1 500
2 000
2 500
3 000
3 500
4 000
4 500
5 000
30.9.2017 30.9.2018
Delivery current year Delivery next year or later
MEUR
Comparison figures for 2017 have been restated due to the adoption of IFRS 15.

9. © Wärtsilä PUBLIC 23 October 2018 Interim Report January-September 20189
11.9%
12.2% 12.1%
11.7%
0%
2%
4%
6%
8%
10%
12%
14%
0
100
200
300
400
500
600
700
2014 2015 2016 2017
MEUR
Comparable operating result % of net sales
9.7% 9.7%
0%
2%
4%
6%
8%
10%
12%
14%
0
50
100
150
200
250
300
350
400
1-9/2017 1-9/2018
Review period development
MEUR
Comparable operating result affected by the sales mix
Comparison figures for 2017 have been restated due to the adoption of IFRS 15.

10. © Wärtsilä PUBLIC 23 October 2018 Interim Report January-September 201810
• The new centre for research,
development and production is the latest
tangible step in Wärtsilä's Smart Marine
and Smart Energy visions.
• The hub will enable more agile and
efficient testing and development of
solutions.
• Wärtsilä will invest EUR 83 million in
modern testing and production
technology for the hub.
Wärtsilä’s Smart Technology Hub
to be built in Vaasa, Finland
Kuva
pitää
vaihtaa,
bonny
kalvon
kuva voisi
sopia
tähän

11. © Wärtsilä PUBLIC 23 October 2018 Interim Report January-September 201811
SERVICES

12. © Wärtsilä PUBLIC
0
200
400
600
800
1 000
1 200
1 400
1 600
1 800
2 000
2 200
2 400
2 600
2014 2015 2016 2017 2018
23 October 2018 Interim Report January-September 201812
Steady development in Services’ net sales
SERVICES
MEUR
0
100
200
300
400
500
600
700
Q3/2017 Q3/2018
MEUR
569
1%
572
Third quarter development
Comparison figures for 2017 have been restated due to the internal reorganisation of service activities and the adoption of IFRS 15.
Q1-Q3 Q4

13. © Wärtsilä PUBLIC 23 October 2018 Interim Report January-September 201813
Net sales distribution 1-9/2018
SERVICES
Total EUR 1,689 million (1,696)
By product area By segment
Spare parts
48% (49)
Field service
23% (23)
Projects
9% (11)
Agreements
21% (17)
Merchant
24% (23)
Power plants
33% (35)
Cruise & ferry
18% (17)
Navy
7% (8)
Special vessels
7% (7)
Offshore
4% (4)
Oil&Gas
4% (3)
Others
2% (2)

14. © Wärtsilä PUBLIC
0%
5%
10%
15%
20%
25%
30%
0
5 000
10 000
15 000
20 000
25 000
2009 2010 2011 2012 2013 2014 2015 2016 2017 1-9/2018
MW
23 October 2018 Interim Report January-September 201814
Installed base covered by service agreements
SERVICES
MW under agreement – Energy Solutions MW under agreement – Marine Solutions
% of Marine Solutions’ installed base% of Energy Solutions’ installed base

15. © Wärtsilä PUBLIC 23 October 2018 Interim Report January-September 201815
ENERGY SOLUTIONS

16. © Wärtsilä PUBLIC
0
10 000
20 000
30 000
40 000
50 000
60 000
Q1/2015
Q2/2015
Q3/2015
Q4/2015
Q1/2016
Q2/2016
Q3/2016
Q4/2016
Q1/2017
Q2/2017
Q3/2017
Q4/2017
Q1/2018
Q2/2018
Q3/2018
23 October 2018 Interim Report January-September 201816
Quotation activity by fuel type
ENERGY SOLUTIONS
Liquid fuel
Multi-fuel
Gas
Calculated on a 12 months rolling basis
MW

17. © Wärtsilä PUBLIC 23 October 2018 Interim Report January-September 201817
Energy Solutions’ order intake impacted by
postponed investment decisions
ENERGY SOLUTIONS
0
200
400
600
800
1 000
1 200
1 400
1 600
1 800
2014 2015 2016 2017 2018
MEUR
Utilities
Industrials
Review period development
Total EUR 921 million (1,184)
Review period order intake
by fuel in MW
Gas
60%
Oil
37%
Independent
power producers
50%44%
Q1-Q3 Q4
6%
Renewables
2%

18. © Wärtsilä PUBLIC 23 October 2018 Interim Report January-September 201818
ENERGY SOLUTIONS
246 60
Order intake 1-9/2018: 1,868 MW (2,856)
661
IPP’s
(Independent
Power Producers)
Utilities
Industrials
Ordering activity highest in Asia
221
369
Africa and Middle East 275 (279)
Asia 1,056 (2,031)
Americas 306 (348)
Europe 231 (198)
10
51
83
132
26
10

19. © Wärtsilä PUBLIC 23 October 2018 Interim Report January-September 201819
Market for gas and liquid fuel power plants, <500 MW
ENERGY SOLUTIONS
Market shares are calculated on a 12 months rolling basis, numbers in brackets are from the end of the previous period.
Market data includes all Wärtsilä power plants and other manufacturers’ gas and liquid fuelled gas turbine based power plants with prime movers above 5 MW,
as well as estimated output of steam turbines for combined cycles. The data is gathered from the McCoy Power Report.
Other combustion engines not included. In engine technology Wärtsilä has a leading position.
<500 MW market volume: 20.7 GW (18.1)
Total market volume: 44.2 GW (49.8)
GE
24%
Siemens
28%Wärtsilä
17%
MHI
22%
Other GT’s
2%
Ansaldo
7%

20. © Wärtsilä PUBLIC 23 October 2018 Interim Report January-September 201820
MARINE SOLUTIONS

21. © Wärtsilä PUBLIC
0,0
0,5
1,0
1,5
2,0
2,5
3,0
3,5
4,0
4,5
5,0
0
50
100
150
200
250
1/2009
4/2009
7/2009
10/2009
1/2010
4/2010
7/2010
10/2010
1/2011
4/2011
7/2011
10/2011
1/2012
4/2012
7/2012
10/2012
1/2013
4/2013
7/2013
10/2013
1/2014
4/2014
7/2014
10/2014
1/2015
4/2015
7/2015
10/2015
1/2016
4/2016
7/2016
10/2016
1/2017
4/2017
7/2017
10/2017
1/2018
4/2018
7/2018
MillionCGT
Numberofvessels
Merchant Offshore Cruise and Ferry Special vessels 3 months moving average in CGT
23 October 2018 Interim Report January-September 201821
Gradual recovery in vessel contracting
MARINE SOLUTIONS
Source: Clarkson Research Services, figures exclude late contracting
* CGT= gross tonnage compensated with workload
*
*
9/2018

22. © Wärtsilä PUBLIC 23 October 2018 Interim Report January-September 201822
Marine Solutions’ order intake supported by scrubbers
and continued activity in the cruise and ferry segment
MARINE SOLUTIONS
0
300
600
900
1 200
1 500
1 800
2014 2015 2016 2017 2018
Review period development
Total EUR 1,291 million (972)
Offshore
6% (3)
Traditional
merchant
32% (19)
Gas carriers
12% (28)
Navy
9% (6)
MEUR
Cruise
24% (29)
Special vessels
5% (8)
Ferry
5% (3)
Comparison figures for 2017 have been restated due to the internal reorganisation of service activities.
Q1-Q3 Q4
Other
6% (3)

23. © Wärtsilä PUBLIC 23 October 2018 Interim Report January-September 201823
FINANCIALS

24. © Wärtsilä PUBLIC 23 October 2018 Interim Report January-September 201824
Cash flow from operating activities
FINANCIALS
0
100
200
300
400
500
600
700
2014 2015 2016 2017
MEUR
0
20
40
60
80
100
120
140
160
180
1-9/2017 1-9/2018
Review period development
MEUR

25. © Wärtsilä PUBLIC
313
251
543
490
563
6.8%
5.2%
10.8%
10.2%
11.5%
0%
5%
10%
15%
20%
25%
0
200
400
600
800
1 000
1 200
1 400
1 600
2013 2014 2015 2016 2017
23 October 2018 Interim Report January-September 201825
Working capital
FINANCIALS
MEUR
Working capital Total inventories Advances received Working capital / Net sales
632
782
12.6%*
15.4%*
0%
5%
10%
15%
20%
25%
0
200
400
600
800
1 000
1 200
1 400
1 600
30.9.2017 30.9.2018
Review period development
*Working capital / 12 months rolling net sales
Comparison figures for 2017 have been restated due to the adoption of IFRS 15.
MEUR

26. © Wärtsilä PUBLIC
0,00
0,10
0,20
0,30
0,40
0,50
2014 2015 2016 2017
23 October 2018 Interim Report January-September 201826
Gearing
FINANCIALS
Review period development
0,00
0,10
0,20
0,30
0,40
0,50
30.9.2017 30.9.2018

27. © Wärtsilä PUBLIC 23 October 2018 Interim Report January-September 201827
The demand for Wärtsilä’s services and
solutions in 2018 is expected to improve
somewhat from the previous year.
Demand by business area is anticipated
to be as follows:
• Solid in Services (lowered from good)
• Good in Energy Solutions
• Good in Marine Solutions
Prospects for 2018
Setti 1
Setti 1

28. © Wärtsilä PUBLIC 23 October 2018 Interim Report January-September 201828
• Wärtsilä Marine Business and Wärtsilä
Energy Business will cover both new sales
and services for the respective markets.
• Forming two business areas aims at:
• Accelerating growth and the implementation of the
Smart Marine and Smart Energy strategies.
• Strengthening the focus on complete lifecycle
solutions tailored to specific market needs.
• Serving customers more effectively with
increased flexibility and faster response times.
• The new organisation will be
operational as of 1 January 2019.
Wärtsilä redesigns organisation to
enhance customer value
Kuva
pitää
vaihtaa,
bonny
kalvon
kuva voisi
sopia
tähän

29. © Wärtsilä PUBLIC 23 October 2018 Interim Report January-September 201829
THANK YOU
Further information:
Natalia Valtasaari
Director, Investor Relations
Tel. +358 (0) 10 709 5637
E-mail: natalia.valtasaari@wartsila.com