Alf Göransson President and CEO

Annual General Meeting, May 8, 2015

Advancing Security through New Technology

Securitas Group –Sales Growth 2005-2014

-1

0

1

2

3

4

5

6

7

30 000

35 000

40 000

45 000

50 000

55 000

60 000

65 000

70 000

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Sales, MSEK Organic sales growth, %

Securitas Group – Income Development and Earnings Per Share

3

Operating income, MSEK Operating Margin, %

4,0

4,5

5,0

5,5

6,0

2 800

3 000

3 200

3 400

3 600

2012 2013 20140

1

2

3

4

5

6

2012 2013 2014

Earnings per share, SEK

Security Services North America – Sales Growth and Income Development

4

Sales, MSEK Organic sales growth, % Operating Margin, % Operating income, MSEK

0

1

2

3

4

21 000

22 000

23 000

24 000

25 000

2012 2013 20144,0

4,5

5,0

5,5

6,0

1 000

1 100

1 200

1 300

1 400

2012 2013 2014

4,0

4,5

5,0

5,5

6,0

6,5

1 600

1 700

1 800

1 900

2 000

2 100

2012 2013 20140

1

2

3

4

31 000

32 000

33 000

34 000

35 000

2012 2013 2014

Security Services Europe – Sales Growth and Income Development

5

Sales, MSEK Organic sales growth, % Operating Margin, % Operating income, MSEK

Security Services Ibero-America – Sales Growth and Income Development

6

Sales, MSEK Organic sales growth, % Operating Margin, % Operating income, MSEK

-3

0

3

6

9

12

5 000

6 000

7 000

8 000

9 000

10 000

2012 2013 20144,0

4,5

5,0

5,5

6,0

0

200

400

600

800

2012 2013 2014

The Evolution

Cost of manpower

Cost of technology

The speed and the security of transfer of data, images and videos

Cost of Disruption is Increasing

The most important trends in the security services market are:

• Increased awareness and perception of the risks and threats to operations, assets and individuals

• Increased use of technology

• More sensitive production processes

• Growing high-value transport activities

• Greater interest in security issues among senior management

Important Topics for the Security Sector

• Demographic change • Infrastructural and energy turnaround • Increase in terrorist threats • Need for protection of private households

increases massively • IT / network and data security • Outsourcing of public / sovereign tasks

9 9

The private security industry can play a more active role in society and in support to governments

A Changing Security Industry

• Traditional guarding market growing in line with GDP

• Security is a growing industry

• Guarding is gradually changing from on-site to remote

• Huge opportunities for growth and strong competition for this growth from new players

• The security industry change accelerates

• Technology is changing fast

safety ACCESS

control

SECURITY

Mobile

ECO-FRIENDLY

ECONOMY

CONVENIENCE

SMART HOME

HOME SECURITY

SECURITY safety

The Evolution from Home Security to Smart Home

The Smart Home Market is Moving – (new) Players are Lining Up

Google purchases Nest for $ 3. 2 billion

Integrated Security is the Future

Detect

Respond

+

+

14

Detect the Crime before it Happens

The Security Equation

Security technology

Optimal security solution

On-site

Remote

Security officers

Value-added Creation Drives Margins

10%*

Security solutions

8%*

Guarding solutions

6%*

Specialized Guarding

4%*

Guarding

* Operating margin

Conversions and new sales of security solutions and technology will give us growth and profitability

Organic sales growth > 3 %

Gross margin, %

Indirect cost, %

Operating margin, %

Our Earnings Per Share Growth Strategy

EPS improvement y-o-y 10 %

h

How do we Accelerate our Pace?

Target 2015

6%

2012

8%

Q4 2013

10%

Q4 2014

+ 28%*

> 28%*

* Growth rate of sales in security solutions and technology

By Significant Investments in Technology Staff

2010 2013 2014

2 511

No. of technology staff

New markets SSNA

SSIA

SSEU

2 301

By Thinking and Acting as One Company

• Common targets • No internal markup or competition • Shared P/L instead of silos

20

Guarding Guarding Guarding Guarding Technology

SSNA SSEU SSIA New markets

By Security Operating Centers

By Systems and Tools

Monitoring

Customer tool Vision

PDA/GRS/GMS

Customer portal

By Making Acquisitions

Security Solutions

Implementation Capacity

Specialized guarding

Monitoring

Connectivity

ICT Data integrity

Data storage

Mobile

By being a Responsible Company

• Securitas’ Values and Ethics (the Code)

• Complementing Group and local codes, for example regarding anti-corruption, entertainment and gifts

• Mandatory training in the Code for all employees

• Securitas Integrity Line, reporting system for managing non-compliance issues

• Sustainability reporting, GRI 2014

• Risks related to non-compliance with the Code prioritized in the enterprise risk management process • CSR-related risks one of Securitas seven key

risks • Monitored by self assessment, diagnostics

and audits

24

Remote guarding On-site guarding

A Complete Integrated Security Solutions Service

Mobile guards

Physical tools Intelligent cameras

Securitas

Cloud

Interface

Remote

video solutions

Video management Monitoring

On-site guards

Customer Case Arla’s Requirements

Challenges • No more static guarding • Expected cost savings • Proprietary technology platform

Customer Case The Contract

5 year contract • Mobile patrol and call outs • Remote monitoring and guarding • Temarond Teknik service • Open technology platform • Remote maintenance • On-site Security Operating Center

Customer Case The Arla Solution

28

Visitor system

Visitor terminal for login

• I/O modul for gate opening / Automatic on-site list

• SMS Gateway

• Printer for report

• Reader

• Printer for visitor badge

Reader

ADMIN

Local image storage

Intercom

Intercom

IP-cameras

Camera

I/O modul

Door/gate control Arla’s Security Center 06:00 – 18:00 mon-fri

Card reader and Intruder alarm

Server – sync HR-system

Server Database

Intruder alarm

Panic alarm Operation alarm

Securitas Alarm Recieving Center 18.00-06.00

Security VLAN

Security VLAN Local

Customer Case Savings and Improved Service Level

• Customer wants to guard gates with own staff

• Flow of external visitors • Flow of employees • Transports 7/24/365 • Perimeter protection • Expected cost savings

Challenges

• We reduced the manned guarding need to a minimum

• Less Arla staff or receptions • Control of who are there • Control of transports with

log book • Improved and more efficient

security solution • Substantial savings and

improved service level

Result • Platform that control various

gates and managed from Securitas alarm receiving center

• Un-manned automated visitor areas

• Access control system • Open system with burglary

detection, CCTV, video surveillance

• One supplier - Securitas

Solution

Securitas Makes a Difference

30

31

Integrity | Vigilance | Helpfulness

securitas.com