Alrik Danielson, President and CEO SKF Q3 results 2018 Alrik Danielson, President and CEO Picture: Evolution 9 November, 2018

Record result and strong cash flow 6.9% Organic sales growth Net sales of 21,341 M, organic growth 6.9% Operating profit 2,597 M (1,964) Operating margin improved to 12.2% (10.5) Cash flow 1,626 M (681) 2,597 M Operating profit 12.2% Operating margin 9 November, 2018

Industrial business performing well; significantly higher volumes in all three main markets, North America, Europe and Asia 9% organic growth and 14% operating margin 9 November, 2018

Automotive; 2% organic growth and 7% operating margin despite slightly lower car volumes in Europe due to new test cycle. Strong demand for trucks outside China 9 November, 2018

Improving performance towards our targets Targets set in 2016 and valid over a business cycle: 6.9% Organic growth: Target: 5% 12.2% Operating margin: Target: 12% 60% Net debt / equity: Target: <80% 29.0% Net working capital: Target: 25% 16.5% Return on capital employed: Target: 16% 9 November, 2018

Continued sales growth in Asia, North America & Europe Organic growth in local currency Q3 2018 vs Q3 2017 Europe +6% North America +8% Asia/Pacific +11% Latin America 0% 9 November, 2018

Cooperation on fiber optic sensing systems 9 November, 2018

New tapered roller thrust bearings optimised for the most demanding oil & gas applications 9 November, 2018

Q3 results – the details Christian Johansson, CFO 2 Q3 results – the details Christian Johansson, CFO

Sales development 2017 2018 Q3 Q4 Q1 Q2 Organic +8.0 +8.2 +7.5 +9.0 Percent y-o-y Q3 Q4 Q1 Q2 Organic +8.0 +8.2 +7.5 +9.0 +6.9 Structure -0.7 -0.6 -0.1 Currency -3.0 -3.6 -1.9 +3.4 +7.8 Net sales +4.3 +4.0 +4.9 +11.8 +14.6 9 November, 2018

Operating profit 9 November, 2018

Operating profit 9 November, 2018

Performance by customer group Industrial Net sales 15,208 M Organic sales +9.2% Operating margin 14.3%, (13.5) Automotive Net sales 6,133 M Organic sales +1.7% Operating margin 6.8%, (3.9) Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q318 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q318 9 November, 2018

12.2% Operating margin SKF Group – Q3 2018 Financial performance (SEKm) 2018 2017 Net sales 21 341 18 627 Cost of goods sold -16 132 -14 066 Gross profit 5 209 4 561 Gross margin, % 24.4% 24.5% Selling and administrative expenses -2 753 -2 583 Other operating income/expense 141 -13 Operating profit 2 597 1 965 Operating margin, % 12.2 10.5 Financial income and expense, net -253 -273 Profit before taxes 2 344 1 692 Taxes -753 -586 Net profit 1 591 1 106 Basic earnings per share, SEK 3.35 2.29 12.2% Operating margin 9 November, 20189 November, 20189 November, 20189 November, 2018

Cash flow after investments before financing* 9 November, 2018

Net working capital – finished goods inventories reduced in the quarter 9 November, 2018

Divestment of linear and actuation technology business announced in July SKF’s linear and actuation technology business had approximately 1,200 employees and sales of SEK 2 billion in 2017. The total consideration of the deal is SEK 2.75 billion, on a cash- and debt free basis and it is expected to close during the end of 2018. The divestment is subject to regulatory approvals and involves consultation with employee representative bodies. 9 November, 2018

Net debt/equity ratio continues to improve 9 November, 2018

New EUR-bond issued in September Extending our maturity profile 7-year bond – matures in 2025 300 million euros Issued at record low coupon rate of 1.25% Proceeds used to buy back outstanding bonds - maturing in 2019 and 2020 @ 1.875% and 2.375% coupon rates One time effect of -73 M on financial net in Q3 9 November, 2018

Guidance for 2018* Q4 2018: Financial net: around -225 million Currency impact on the operating profit is expected to be relatively unchanged compared with 2017, based on exchange rates per 30 September, 2018. 2018: Tax level: around 28% for 2018, excluding effects from divestments Additions to property, plant and equipment: around 2,600 million for 2018. (Previous guidance around 2,400 million). * Guidance is approximate and based on current assumptions and exchange rates. 9 November, 2018

Summary – record result and strong cash flow in Q3 2,597 M Operating profit Continued growth in Q3 Record-high sales and operating profit Strong cash flow Expect to see continued growth in Q4 – slightly higher volumes year-over-year 12.2% Operating margin 1,626 M Cash flow 9 November, 2018

October 2018: SKF demand outlook Q4 2018 Demand compared to the fourth quarter 2017 The demand for SKF’s products and services is expected to be slightly higher for the Group, including higher demand for Industrial and slightly lower demand for Automotive. Demand is expected to be significantly higher in North America, higher in Asia, relatively unchanged in Europe and slightly higher in Latin America. 9 November, 2018

SKF Q3 results 2018 Q & A 9 November, 2018

Financial calendar Q3 report 25 October Virtual roadshow 26 October Roadshow Asia 6-7 November Capital Markets Day Germany 29 November Q4 report 29 January 2019 US Roadshow February 2019 Annual Report March 2019 9 November, 2018

Cautionary statement This presentation contains forward-looking statements that are based on the current expectations of the management of SKF. Although management believes that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct. Accordingly, results could differ materially from those implied in the forward-looking statements as a result of, among other factors, changes in economic, market and competitive conditions, changes in the regulatory environment and other government actions, fluctuations in exchange rates and other factors mentioned in SKF's latest annual report (available on www.skf.com) under the Administration Report; “Risk management at SKF" and "Sensitivity analysis”.

9 November, 2018