A WORD FROM THE CEO

After some years of significantly developing and structuring our operations, planning and core business processes, 2020 was set to be the year of harvest. We had a fantastic start of the year, delivering the strongest income statement in the history of the company. The results of our development activities are evident.

The Covid-19 pandemic clearly started to impact our business in late March. We defined week 8 as the last “normal” week pre-Covid-19. We introduced a digital “weekly-tracker-forum” in early April with the task to continuously balance capacity with demand in all our workshops utilizing the Government support program for short-term layoffs. We have managed this process well.

We employed a dedicated service sales manager in early Q1, and his work has really helped us off-set the general lower demand for services, as consequence of the pandemic, and the disruptions in the transportation system it has brought. Some transport segments have been hit very hard and some have not. Transport play a vital role in the functioning of our society and it is our role and duty to keep the transport equipment rolling, by providing world class availability and quality of repairs and planned maintenance.

STS needs to play an active role in the shift towards a more sustainable society. More relevant than ever. We are a very small player in the “planet” context; but we all must do our part to generate the needed momentum towards the shift. We are working to identify the areas and the concrete activities where we can make our contribution and difference.

The outlook for 2021 is positive. We are more prepared than ever from the operational perspective. We expect that the market to fully recover from the effects of the pandemic during the year. / Stefan Klingberg, CEO.

IMPORTANT EVENTS IN 2020

FAIRFORD´S VIEW

STS is the largest independent service network in Sweden providing professional repair and maintenance services on heavy transport equipment. The nationwide presence and strong customer focus make STS a challenger to the OEM oligopoly dominated by Volvo and Scania.

By continued structured efforts for operational improvements in combination with certain structural measures we believe that STS is well positioned to continue to gain market shares and further improve the profitability. We are closely following the development and we support the company in its efforts to realise its full potential.