SKF Half-year results 2015 Alrik Danielson, President and CEO

1. SKF Half-year results 2015Alrik Danielson, President and CEO 15 July 2015

2. Highlights - examples of new business in Q2 2015 • United Technologies Corporation, USA Long-term contract Pratt & Whitney Delivery of engine bearings • ReGenPowertech, India Pitch and yaw bearing sets and mainshaftbearings • PT. Kereta API Indonesia (IndonesianRailways) Tapered roller bearingunits • Floatel International AB, Sweden Global service agreementincluding SKF MultilogIMx-M • Volkswagen, Mexico Wheel hub and MacPherson suspension bearingunits

3. Highlights • Completedthe divestmentof:- Erin Engineeringand Research Inc. to Jensen Hughes, a US-basedengineeringconsultancy.- Two filtration businesses, Purafil and Kaydon Custom Filtration, to Filtration Group Corporation, an affiliate of Madison Industries. • New products:- a smaller version of a shaft alignment tool that it launched earlier in the year, designedto make shaft alignment easy and intuitive.- an upgraded version of the third generationhub bearing unit, designed to reduce preload, friction and CO2 emissions.

4. Highlights – customer awards received • Awards from SKF distributors: -‘Supplier of the Year’ Motion Industries in Canada and in the Southeast and Midwest regions of the USA • -‘Supplier of the Year in TransmissionImesDexis, Benelux and Technics 2014’ • ‘Best Supplier Award Year 2014’ Shanghai Hanbell Precise Machinery Co., China • ‘Best Supplier Award’ Shanghai Automobile Gear Works, China • ‘Best Plant award’ The PSA Group, for SKF’s factories in St Cyr, France and Tudela, Spain.

5. Automotive Market profit improvementprogramme • Clear aimofimprovingproductivity and competitiveness • Three main focus areas: • Products – Review ofproduct portfolio; emphasis on application-focused offerings with the specific performance required for the application • Competitiveness – Improveour overall competitiveness; focus on costs, manufacturingfootprint and process technology • Vehicle Service Market – Furtheradapt aftermarket and OEM offerings, as the design-life of products delivered to OEM customers continues to increase; adapt our aftermarket offering to new reality, ensuring a competitive offer and value proposition for second and third vehicle owners • Actions to run as part of normal business; possiblerestructuringcoststo be communicated as and iftheyoccur • Intention todevelop business as part of SKF

6. SKF Group – Q2 2015 *Adjusted for the EU paymentthis is 1 423 million

7. SKF Group – Halfyear 2015 *Previouslypublished cash flow information is restated and adjusted for the EU paymentthis is 1 360 million

8. Organic sales growth in local currency % change y-o-y 2013 2014 2015

9. Organic sales growth in local currency % y-o-y 3.9% -0.7% -0.2% Structure in 2013: 2.5% Structure in 2014: 3.7% Structure in 2015: -0.1%

10. Sales development by geographyOrganic growth in local currency Q2 2015 vs Q2 2014 Europe 0.7% North America -5.7% Asia/Pacific -3.7% Latin America 4.6% Middle East & Africa 15.7%

11. Sales development by geographyOrganic growth in local currency YTD 2015 vs YTD 2014 Europe 0.8% North America -4.1% Asia/Pacific 0.6% Latin America 1.5% Middle East & Africa 15.0%

12. Components in net sales

13. Operating profit as reported SEKm 2013 2014 2015

14. Operating profit excluding one-time items SEKm 2013 2014 2015

15. Operating margin One-time items * Excludingone-timeitems % 12.6* 11.9* 11.7* 11.0 10.4 5.8

16. Operating margin per business area, as reported % Industrial Market Specialty Business* Automotive Market 2013 2014 2015 * Q4 2013, impacted by costrelatedtoKaydonacquisition

17. Operating margin per business area, excl. one-time items % Industrial Market Specialty Business Automotive Market 2013 2014 2015

18. Operating profit bridge, Q2 2015 SEKm 80 +650 +2 383 +2 096 -223 -80 -140 -1 547 Q2 2014 One-timeitems at 2014 exchange rates Organicsalesin localcurrencies Currencyimpact Savings from cost-reduction programme Other* Q2 2015 * Includes general inflation, manufacturing and purchasingimpacts, IT project, and R&D.

19. Operating profit bridge, YTD 2015 SEKm +1 100 80 +4 104 +2 096 -396 -780 -20 -1 547 YTD 2014 One-timeitems at 2014 exchange rates Organicsalesin localcurrencies Currencyimpact Savings from cost-reduction programme Other* YTD 2015 * Includes general inflation, manufacturing and purchasingimpacts, IT project, and R&D.

20. Employeeproductivity and efficiency • Expectedproductivity and efficiencygains from new organisation on-track:- merging the twoindustrialbusinesses- general staffoptimization and productivityimprovements • Agreementshavebeenreachedcovering 60% of the concernedindividuals. * On a full-year basis, as of Jan 2016

21. Net working capital as % of annual sales Target: 27% % 2013 2014 2015

22. Return on capital employed One-time items * Excluding one-time items % 15.1* 14.8* 14.7* 13.9 12.6 7.5 ROCE: Operating profit plus interest income, as a percentage of twelve months rolling average of total assets less the average of non-interest bearing liabilities.

23. Cash flow, after investments before financing* SEKm 4) 3) 2) 1) 2013 2014 2015 Excl. acq. and div.: 1) Q1 2013 SEK -69 million 2) Q3 2013 SEK 871 million 3) Q4 2013 SEK 1 122 million Excl. EU payment 4) Q2 2014 SEK 1 423 million * 2013 and 2014 arerestated

24. Net debt AB SKF, dividend paid (SEKm): 2013 Q2 2 530 2014 Q2 2 530 2015 Q2 2 567 SEKm Cash out from major acquisitions (SEKm): 2013 Q1 823 2013 Q4 7 900 Cash from divestments (SEKm): 2015 Q21 000 EU payment (SEKm): 2014 Q22 825 2013 2014 2015 Net debt: Loans and net provisions for post-employment benefits less short-term financial assets excluding derivatives.

25. Debt structure, maturity years 850 500 500 200 110 100 • Availablecreditfacilities: • EUR 500 million 2019 • SEK 3 000 million 2018 • EUR 150 million 2017 • No financialcovenants nor material adversechangeclause

26. July 2015: SKF demand outlook Q3 2015 Demand compared to the third quarter 2014 The demand for SKF’s products and services is expected to be relatively unchanged for the Group, Europe and Asia. For North America it is expected to be lower and for Latin America higher. For all business areas it is expected to be relatively unchanged. Demand compared to the second quarter 2015 The demand for SKF’s products and services is expected to be slightly lower for the Group. For Europe it is expected to be lower and for all other regions it is expected to be relatively unchanged. For the business areas, Industrial Market and Specialty Business it is expected to be relatively unchanged and for Automotive Market it is expected to be lower.

27. Guidance for 2015* • Q3 2015: • Financial net: around -230 million • Currency impact on operating profit vs 2014 Q3: 450 million, based on exchange rates June 30. • 2015: • Tax level: below 30% for 2015 • Additions to PPE: around 1 700 million for 2015 * Guidance is approximate and based on current assumptions and exchange rates.

28. 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; “Important factors influencing the financial results", "Financial risks" and "Sensitivity analysis”.