Other information

Significant events after the end of the period

No significant events have taken place after the end of the period.

Transactions with related parties

No transactions took place between BE Group and related parties that had a material impact on the company’s financial position and results.

Annual General Meeting 2020

BE Group´s Annual General Meeting will take place on April 29, 2020, at 4:00 pm in Malmö, Sweden. BE Group will take the necessary measures to reduce the risk of spreading the virus in connection with the Annual General Meeting. For example, food will not be served and customary speeches will be minimized. Updated information on any further measures taken will be published on the company´s website www.begroup.com.

Proposed dividend

According to BE Group’s dividend policy, the Group shall distribute at least 50 percent of profit after tax, over time. BE Groups financial positions and future outlook shall be taken into account in determining the payment of dividends. In March 2020, the Board of Directors decided to withdraw the previously communicated proposal to the Annual General Meeting concerning dividend of SEK 1.75 per share, in total approximately SEK 23 M. The Board´s decision was taken in light of the prevailing conditions around the world with the insecurities about the possible future economic effects related to the outbreak of Covid-19 (coronavirus). The Board of Directors proposes that no dividend will be paid for the financial year of 2019.

Proposed composition of the Board

The Nominating Committee has proposed re-election of Board members Jörgen Zahlin, Carina Andersson, Lars Olof Nilsson and Petter Stillström and new election of Mats O Paulsson. It is proposed that Jörgen Zahlin be re-elected as Chairman.

Proposal for election of auditors

Based on the recommendation of the Audit Committee, the Nominating Committee proposes the re-election of the auditing firm Öhrlings PricewaterhouseCoopers AB as the Company’s auditor.

Significant risks and uncertainties

The BE Group is exposed through its operations to market risks and risks of a financial and operational nature. Within the companies of the Group, continuous processes are ongoing to identify existing risks and assess how these should be handled. The risk exposure is explained in the 2019 Annual Report, which was published in April 2020. For risks related to the consequences of Covid-19, see below.

Risks related to Covid-19 and measures taken

The BE Group has seen only a limited impact on our business from Covid-19 during the first quarter. Generally speaking, our business is affected by how our customers and suppliers are affected by the situation and how they manage it. Some customers are pausing production and projects while others intend to continue at the same rate as before.

A number of measures have been implemented in the Group in the short term to counteract the effects, such as short-term lay-offs, renegotiated agreements and increased control of working capital and costs. The BE Group is also looking at other possible savings measures.

It is currently impossible to estimate the impact that Covid-19 may have on the company. BE Group is monitoring developments closely and is prepared to take further measures where necessary to reduce the negative impact on the business. The company acts in accordance with decisions and recommendations from governments and authorities in the respective markets and with the health and well-being of its employees as a top priority.

Accounting principles

The interim report was prepared in accordance with IAS 34 Interim Financial Reporting and the Swedish Annual Accounts Act. The Parent Company’s interim report is prepared in compliance with the Swedish Annual Accounts Act and the Swedish Financial Reporting Board’s recommendation RFR 2 Accounting for Legal Entities.

Refer to the 2019 Annual Report for details of the Group’s accounting principles and definitions of certain terms. The principles applied are unchanged in relation to the Annual Report. In other regards, the new standards and interpretations that have come into effect from the financial year 2020 have had no significant effect on the financial reporting.