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Annual and Sustainability Report 2025

Group notes

Note 1 Accounting policies

The consolidated financial statements comprise Epiroc AB, the Parent Company (“the Company”), and its subsidiaries (together “the Group” or Epiroc) and the Group’s interest in associated companies. Epiroc AB is headquartered in Nacka, Sweden. The financial year for Epiroc is Jan 1 - December 31.

The Annual Report for the Group and for Epiroc AB, including financial statements, was approved for issuance on March 19, 2026. The balance sheets and income statements are subject to approval by the Annual General Meeting of the shareholders on May 5, 2026.

Basis of preparation
The consolidated financial statements have been prepared in accordance with IFRS Accounting Standards as endorsed by the EU, the Swedish recommendation RFR 1 “Supplementary Accounting Rules for Groups” and applicable statements issued by the Swedish Financial Reporting Board.

The Group describes the most material accounting policies in conjunction with each note with the aim of providing enhanced understanding of each accounting area.

Functional currency and foreign currency translation
The financial statements are presented in Swedish krona (SEK), which is the functional reporting currency for Epiroc AB and the presentation currency for the Group. Unless otherwise stated, the amounts presented are in millions Swedish krona (MSEK).

Exchange rates for major currencies that have been used for the Group’s financial statements are disclosed below.

CURRENCY RATES USED IN THE FINANCIAL STATEMENTS
      Year-end rate Average rate
  Value Code 2025 2024 2025 2024
Australia 1 AUD 6.15 6.86 6.34 6.96
Canada 1 CAD 6.70 7.64 7.03 7.71
Chile 1 000 CLP 10.02 11.07 10.33 11.17
EU 1 EUR 10.80 11.47 11.07 11.42
South Africa 1 ZAR 0.55 0.59 0.55 0.57
USA 1 USD 9.17 11.00 9.86 10.56

New and revised accounting policies 2025
The revised accounting standards effective from January 1, 2025, have not materially affected the Group’s financial statements. 

New and revised accounting policies 2026 and later
An evaluation of the impact of IFRS 18 Presentation and Disclosure in Financial Statements has been performed. Implementation of IFRS 18 will have impact on presentation and classifications in the income statement and cash flow. No other new accounting standards and interpretations are considered to have a material impact on the Group’s financial statements.

Accounting policies Note IFRS standard
Acquisitions and divestments 3. Acquisitions and divestments IFRS 3, IFRS 10
Operating segments 4. Segment information and revenues IFRS 8
Revenue recognition 4. Segment information and revenues IFRS 15
Incentive programs 5. Employees and personnel expenses IAS 19, IFRS 2
Hyperinflation 8. Remeasurement for hyperinflation IAS 29
Income taxes 10. Income taxes IAS 12
Earnings per share 12. Earnings per share IAS 33
Intangible assets 13. Intangible assets IFRS 3, IAS 36, IAS 38
Property, plant and equipment 14. Property, plant and equipment IAS 36
Inventories 17. Inventories IAS 2
Leasing 23. Leases IFRS 16
Pensions and other obligations 24. Post-employment benefits IFRS 2, IAS 19
Share-based payments 25. Share-based payments IFRS 2
Financial instruments 29. Financial instruments IFRS 7, IFRS 9, IFRS 13, IAS 32

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