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Investor Presentaiton

BOARD OF DIRECTORS' REPORT Sales KONE's sales grew by 3.7% as compared to January- December 2021, and totaled EUR 10,906.7 million. At comparable exchange rates, KONE's sales declined by 1.8%. The sales consolidated from the companies acquired in 2022 had only a minor impact on KONE's sales for the financial period. New equipment sales declined by 10.0% at comparable exchange rates primarily due to the impact of liquidity constraints and the COVID-19 pandemic in China on new equipment deliveries. Service sales grew by 7.9% at comparable exchange rates. At comparable exchange rates, maintenance sales grew by 8.0%, thanks to maintenance base growth, improved pricing and continued momentum in value-added services. At comparable exchange rates modernization sales grew by 7.7%. KONE's elevator and escalator maintenance base continued to grow and was well over 1.5 million units at the end of 2022 (close to 1.5 million units at the end of 2021). The growth of the maintenance base was driven, in particular, by a continued good level of conversions of new equipment deliveries to the maintenance base. Acquisitions had a minor positive contribution to the growth. In 2022, the balance of maintenance contracts that were won from or lost to competition was slightly negative. The largest individual countries in terms of sales were China (~31%), the United States (17%), Germany (6%) and France (5%). Sales in the EMEA region grew by 5.0% and totaled EUR 4,237.7 million. At comparable exchange rates, sales grew by 4.3%. New equipment sales grew slightly, maintenance sales grew clearly and modernization sales grew slightly in the region. In the Americas, sales grew by 17.7% and totaled EUR 2,239.8 million. At comparable exchange rates, sales grew by 5.4%. New equipment sales declined slightly, maintenance sales grew clearly and modernization sales grew significantly in the region. In Asia-Pacific, sales declined by 3.2% and totaled EUR 4,429.2 million. At comparable exchange rates, sales declined by 9.9%. New equipment sales declined significantly, maintenance sales grew clearly and modernization sales grew clearly in the region. Terminology: Slight <5%, clear 5-10%, significant >10% Sales by region MEUR EMEA Americas Asia-Pacific Total sales Sales by business Change at comparable 2022 2021 Change exchange rates 4,237.7 4,036.9 5.0% 4.3% 2,239.8 1,902.9 17.7% 5.4% 4,429.2 4,574.3 -3.2% -9.9% 10,906.7 10,514.1 3.7% -1.8% Change at comparable MEUR 2022 2021 Change exchange rates New equipment sales Service sales 5,399.3 5,637.7 -4.2% -10.0% 5,507.4 4,876.4 12.9% 7.9% 3,890.4 3,450.6 12.7% 8.0% 1,616.9 1,425.9 13.4% 7.7% 10,906.7 10,514.1 3.7% -1.8% Maintenance Modernization Total sales Sales development by region and by business* EMEA Americas Asia-Pacific *) in monetary value at comparable exchange rates New equipment Maintenance Modernization + ++ + ++ +++ ++ ++ --- Significant decline (>10%). -- Clear decline (5-10%), - Slight decline (<5%), Stable, + Slight growth (<5%), ++ Clear growth (5-10%), +++ Significant growth (>10%) 8 KONE ANNUAL REVIEW 2022
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