Dedicare : Interim report January – March 2023

First quarter 2023

• Net sales SEK 503.2 million (394.8)
• EBITDA SEK 44.2 million (30.2)
• EBITDA margin 8.8 percent (7.6)
• EBIT SEK 38.0 million (26.2)
• EBIT margin 7.6 percent (6.6)

Performance measures

Net sales, SEK million Growth, %

EBITDA, SEK million EBITDA margin, %

Operating profit (EBIT), SEK million Operating margin (EBIT-margin),% Net profit for the period, SEK million

Basic earnings per share, SEK Diluted earnings per share, SEK

Cash flow from currens operations, SEK million Equity per share, SEK

• Profit after financial items SEK 31.3 million (25.9)
• Profit for the period SEK 24.5 million (20.5)
• Basic earnings per share SEK 2.57 (2.19)
• Diluted earnings per share SEK 2.55 (2.17)

Financial performance

Net sales were SEK 503.2 million (394.8) in the first quarter, a 27.5 percent increase on the corresponding period of the previous year. Organic growth was 21.8 percent. EBIT was SEK 38.0 million (26.2), a 45.0 percent increase. Our EBIT margin was 7.6 percent (6.6), which is comparable to the full year 2022, and above our financial margin goal of 7 percent.

Net sales for the quarter in Sweden were at the same level as the previous year, at SEK 138.6 million (138.0). Our new business area, Life Science, contributed SEK

12.3 million for the quarter. Social worker staffing also made positive progress in the quarter. However, the demand for nurses reduced, owing to a number of regional health authorities, including Sweden and Sörmland, introducing limits on nurse contracting in the quarter. This triggered substantial debate at a time when healthcare is a growing challenge in terms of the supply of skills and the provision of equivalent care. We think the limits imposed by the regions will also impact contracting of nurses in the second quarter to some extent.

The EBIT margin for Sweden increased to 6.3 percent (4.6) in the quarter, mainly due to higher margins in life science and social worker staffing.

In Norway, our largest market, very positive progress for all business areas continued. Underlying demand is brisk, and Dedicare is well positioned on the market for doctors and nurses, as well as preschool staff. Net sales in the quarter were SEK 284.8 million (215.3), a

32.3 percent increase. The EBIT margin was 9.2 percent (10.3), due to a temporary increase in non- recurring expenses.

Specialist healthcare procurement entity Sykehusinnkjøp opened its tender for one of Norway's major deals in the quarter, for contracting nurses at all hospitals. The current deal expires in September, and the new deal will run for two years with a further two- year extension. 10 to 12 companies pre-qualified for the first round in each category, and Dedicare is pre- qualified in all categories. In the next round, pricing will be submitted, and final qualification in each category will be ahead of the summer.

In Denmark, we are also experiencing increased demand from our customers across all business areas. Net sales were SEK 69.9 million (41.5) in the

quarter, a 68.4 percent increase. EBIT margin increased to 6.6 percent (4.9). I'm delighted to see the excellent progress we've made in Denmark in recent years, in doctor and nurse staffing.

New Markets, consisting of our recently acquired operation in the UK, Templars Medical Agency, reported net sales of SEK 9.9 million (0) and EBIT of SEK 0.6 million (0) in the quarter. EBIT margin was 6.1 percent.

Templars Medical Agency will change branding in the coming quarters to Dedicare UK.

Our business environment

Population growth and more older people are major trends driving development in healthcare staffing. The supply of skills is becoming increasingly challenging, and the staff shortage has accentuated in the past year, mainly in healthcare, but also in our other business segments. Dedicare and other healthcare staffing providers are serving a key function, by attracting some of the people who were about to leave, or had left, healthcare by offering more flexible solutions and balance in their lives.

Attractive employer

In order to succeed in our efforts, we've made "Attractive Employer" a strategic focus area. That's why I'm so pleased that Dedicare Norway was

nominated as Workplace of the year 2023 by Great Place to Work. Our Swedish organisation was also recognised in the quarter, when Dedicare Sweden was

named Staffing Company of the Year 2022 at the Swedish Recruitment Awards.

In closing, I'd also like to mention the support we offer to the Norwegian Association for the Blind and its Icare project. We ran a fundraiser earlier in the year, and two Dedicare staff members travelled to Nepal in March with 700 pairs of sunglasses for use in new eye surgery. In recent years, Dedicare consultants have participated in eye surgery in Nepal, restoring the sight of 380 cataract patients.

I'd like to thank our staff, consultants and customers for their really great efforts and partnership in the first quarter of 2023.

Krister Widström, Managing Director & CEO

Highlights of the first quarter

• Dedicare named Staffing Company of the Year 2022 at the Swedish Recruitment Awards.
• Dedicare Norway nominated as Workplace of the Year 2023 by Great Place to Work.

Highlights after the end of the period

No significant events after the end of the first quarter.

3

Market progress

Sweden is the Nordic region's largest market for healthcare staffing. The main customers are regional health authorities, municipalities and private healthcare providers. Regional healthcare authorities are the largest purchasers of healthcare staffing services, and according to the Swedish Association of Local Authorities and Regions (SKR), over SEK 7.8 billion of staffing was purchased in 2022.1 The cost of contracted staff is only 4.8 percent of total healthcare personnel expenses. Dedicare estimates that about 60 percent of total healthcare staffing market sales are doctor staffing, some 35 percent are for nurses, and about 5 percent for other healthcare job categories. The demand for social worker staffing has increased in recent years, where the main customers are municipalities. There are no official statistics for the life science market available for Sweden (or the other Nordics). Dedicare expects the need for consultants and recruitment services to remain high.

Norway is the Nordic region's second largest market for healthcare staffing. The main customers are healthcare providers and municipalities. The Confederation of Norwegian Enterprise (NHO) estimates procurement of healthcare staff at some SEK 3.4 billion in 2022.2 Providers that are not members of NHO, and providers from Denmark and

Sweden not included in NHO statistics, are additional. We estimate that these providers achieved sales of approximately NOK 1.6 billion in 2022. Dedicare estimates that around 30 percent of sales are for doctor staffing, some 50 percent for nurses and about 20 percent is divided between other job categories. In contracting of preschool staff, the market expanded by 13.9 percent in the fourth quarter of 2022 compared to the fourth quarter of 2021. In 2022, Dedicare consolidated its positioning as Norway's largest specialist healthcare staffing provider, with a market share of some 25.7 percent.

No official statistics for the Danish healthcare staffing market are available. Dedicare's opinion is that the market for contracting doctors is growing. It also believes the market for contracting nurses is in growth.

The UK is Europe's largest market for staffing healthcare personnel. According to Staffing Industry Analyst (SIA), procurement of care staff was worth some SEK 43 billion in 2021. The National Health Service (NHS) manages most healthcare staffing through framework agreements in England, Wales, Scotland and Northern Ireland.

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1. SKR: 'Staffing trends for agency health and social care staff.'
2. NHO: 'Staffing sector statistics.'

Net sales

First quarter

The group achieved growth for the ninth consecutive quarter. Consolidated net sales for the first quarter increased by 27.5 percent to SEK 503.2 million (394.8). Organic growth was 21.8 percent and was SEK 481.0 million. For more information on Dedicare's segments, see note 1.

Net sales by operating segment

In Sweden, net sales increased by 0.4 percent for the quarter to SEK 138.6 million (138.0), of which SEK 12.2 million relates to the acquisition of H&P Search & Interim AB. Apart from this acquisition, the net sales increase was mainly sourced from social worker staffing. The demand for nurses declined, which is due to several regions setting limits on contracted staff in the quarter.

In Norway, net sales for the quarter were up by 32.3 percent to SEK 284.8 million (215.3). Net sales increased due to the high demand for services in all business areas.

In Denmark, net sales for the quarter rose by 68.4 percent to SEK 69.9 million (41.5), the highest net sales the Danish operation has ever reported. The increase is sourced from doctor and nurse staffing.

New Markets consists of the acquired business in the UK. Net sales for the quarter were SEK 9.9 million (0).

Net sales breakdown Q1