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Southern Cross Credit Union Boosts Customer Engagement with Vonage Fusion
Prnewswire· 2024-02-07 13:30
Vonage Fusion, a unified communications and contact center solution, integrated with Salesforce Service Cloud, enhances both customer engagement and agent experience HOLMDEL, N.J., Feb. 7, 2024 /PRNewswire/ -- Vonage, a global leader in cloud communications helping businesses accelerate their digital transformation and a part of Ericsson (NASDAQ: ERIC), has been chosen by Southern Cross Credit Union (SCCU), a community-based organization committed to its purpose of supporting customers through their financi ...
New Cradlepoint AI Functionality Advances 5G for Business
Newsfilter· 2024-01-30 15:00
BOISE, Idaho, Jan. 30, 2024 (GLOBE NEWSWIRE) -- Cradlepoint, the global leader in cloud-delivered LTE and 5G wireless network edge solutions, today announced new comprehensive AI functionality to make 5G networks smarter, simpler, and more secure. Cradlepoint is the first enterprise 5G router vendor to adopt an AI model uniquely focused on cellular networking. Organizations are also able to embrace the productivity benefits of generative AI tools without the risk of data leakage through a security service a ...
Ericsson (ERIC) Boosts R&D Capabilities With Key Funding
Zacks Investment Research· 2024-01-29 15:51
Ericsson (ERIC) recently secured two funding agreements with the European Investment Bank (EIB), totaling EUR 420 million, with an initial disbursement of EUR 250 million in December 2023. This strategic move is aimed at fortifying Ericsson's financial position and enhancing its research and development (R&D) initiatives in advanced wireless technology.The funds are designated to support Ericsson's R&D endeavors from 2023 to 2025 and will play a pivotal role in its commitment to achieving a Net Zero target ...
Ericsson appoints Chafic Nassif Head of Market Area North East Asia
Prnewswire· 2024-01-29 08:41
Effective as of February 26, 2024   Becomes member of Ericsson's Executive Team, reporting to the CEO STOCKHOLM, Jan. 29, 2024 /PRNewswire/ -- Ericsson (NASDAQ: ERIC) today announces the appointment of Chafic Nassif as its new Head of Market Area North East Asia and Senior Vice President. Mr. Nassif who is currently Head of Ericsson's Customer Unit Latin America North within Market Area Europe & Latin America, will replace Chris Houghton who was appointed Chief Operating Officer of Ericsson in November 20 ...
爱立信(ERIC) - 2023 Q3 - Quarterly Report
2023-10-16 16:00
Table of Contents SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 6-K REPORT OF FOREIGN ISSUER Pursuant to Rule 13a-16 or 15d-16 of the Securities Exchange Act of 1934 October 17, 2023 LM ERICSSON TELEPHONE COMPANY (Translation of registrant's name into English) Torshamnsgatan 21, Kista SE-164 83, Stockholm, Sweden (Address of principal executive offices) Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F. Form 20-F ☒ Form 40-F ☐ ...
Ericsson(ERIC) - 2023 Q2 - Earnings Call Presentation
2023-07-14 18:09
| --- | --- | --- | --- | --- | --- | --- | --- | |----------------|-------|-------|-------|-------|-------|-------|-------| | | | | | | | | | | Ericsson | | | | | | | | | Second quarter | | | | | | | | | 2023 | | | | | | | | | July 14, 2023 | | | | | | | | © Telefonaktiebolaget LM Ericsson 2023 | Second quarter report 2023 | July 14, 2023 © Telefonaktiebolaget LM Ericsson 2023 | Second quarter report 2023 | July 14, 2023 ●Executing with discipline and focus –5G IPR licensing agreement signed, validating ou ...
Ericsson(ERIC) - 2023 Q2 - Earnings Call Transcript
2023-07-14 17:25
Financial Data and Key Metrics - Overall sales declined by 9% organically, with Networks sales partially offset by 20% organic growth in Enterprise and 10% growth in Cloud Software and Services [67] - EBITA margin, excluding restructuring charges, was 5.7%, with a year-over-year decline primarily due to lower gross income from Networks and increased investments in Enterprise [113] - Gross margin, excluding restructuring, declined by 390 basis points year-over-year to 38.3%, driven by lower sales and gross margin in Networks [109] - IPR revenue increased by SEK 1.7 billion year-over-year to SEK 3.2 billion, supported by new licensing contracts [110] - Free cash flow before M&A was negative SEK 5 billion, impacted by lower EBIT and increased working capital [116] Business Line Performance - Networks gross margin was over 39% despite a significant mix shift, with India's strong growth offsetting declines in North America [68] - Cloud Software and Services grew 10% in North America, driven by 5G, and is on track to reach at least breakeven for the full year 2023 [69] - Enterprise Wireless Solutions saw strong growth, with a positive EBITA in Global Communications Platform and 19% growth in Vonage's communication APIs [69] - Dedicated Networks are still in early stages outside of China, with significant growth potential as use cases develop [79] Market Performance - India's Network sales doubled year-over-year, contributing to a 71% organic growth in the South East Asia, Oceania, and India market area [133] - North America saw a 42% year-over-year decline in sales due to lower CapEx spend and inventory adjustments [104] - Europe and Latin America recorded a 3% decline overall, with a 6% decline in Europe offset by 3% growth in Latin America, driven by 5G deployments in Brazil [105] Strategy and Industry Competition - The company's strategy focuses on three priorities: bolstering leadership in mobile networks, growing the Enterprise business, and driving cultural transformation [4] - The company is leveraging its expertise in advanced cellular networks to expand into the enterprise market, increasing its addressable market and diversifying its portfolio [5] - The company is developing new ways to monetize 5G's unique features, such as speed and latency, to differentiate offerings and create new use cases [6] - The company is intensifying cost-out initiatives, aiming for a run rate saving of at least SEK 11 billion by the end of 2023, with 45% related to OpEx [24] Management Commentary on Operating Environment and Future Outlook - The company expects a gradual recovery in the market towards the end of 2023, with improvements in 2024, driven by data traffic growth and the need for network capacity [50] - The company is confident in the recovery of the mobile network market and remains focused on reaching the lower end of the 15% to 18% EBITA margin target in 2024 [50] - The company sees significant opportunities in the enterprise market, particularly with network APIs, which are expected to drive new monetization and upgrade cycles [122] Other Important Information - The company paid a dividend of SEK 4.6 billion in the quarter and ended with a net cash position of SEK 1.9 billion [108] - Restructuring charges amounted to SEK 3.1 billion in the quarter, with total restructuring costs estimated at SEK 7 billion for the full year [114] - The company expects Q3 EBITA margin to be in line with or slightly better than Q2, with a seasonally stronger fourth quarter [48] Q&A Session Summary Question: Inventory adjustments and market recovery [66] - Inventory adjustments are expected to continue into Q3 but will flatten out towards the latter part of the year, supporting a stronger second half [12][13] Question: Mid-band upgrades and market recovery [14] - The company expects mid-band upgrades to happen quickly, driven by deteriorating network performance and customer demand, though exact timing is uncertain [15] Question: North America market recovery [16] - The company anticipated the slowdown in North America and has taken cost actions to prepare for the market conditions, expecting a recovery in the second half of the year [16][17] Question: Enterprise growth and pipeline [76] - Enterprise Wireless Solutions continues to grow, with a strong pipeline of products and early-stage development in Dedicated Networks outside of China [77][79] Question: Network gross margins in India [87] - Gross margins in India are expected to improve over time as projects progress, with initial low margins due to large service content in rollout projects [87] Question: IPR revenue run rate [88] - IPR revenue is expected to be between SEK 2.5 billion and SEK 2.8 billion in Q3, with substantial growth into 2024 driven by new contracts [92] Question: Market recovery and firm orders [99] - The company expects a recovery in Q4, driven by the need for network capacity and quality, though exact timing depends on customer decisions [99][100] Question: Factors driving market recovery [126] - Data traffic growth, energy efficiency, and new applications like XR and VR are expected to drive long-term market recovery [127][128] Question: Q4 seasonality and margin factors [130] - Q4 is expected to be seasonally strong, with normal seasonality in Q3 and a mix effect in Q4, though the exact impact depends on customer spending patterns [130]
爱立信(ERIC) - 2023 Q2 - Quarterly Report
2023-07-13 16:00
Table of Contents SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 6-K REPORT OF FOREIGN ISSUER Pursuant to Rule 13a-16 or 15d-16 of the Securities Exchange Act of 1934 July 14, 2023 Commission File Number 000-12033 LM ERICSSON TELEPHONE COMPANY (Translation of registrant's name into English) Torshamnsgatan 21, Kista SE-164 83, Stockholm, Sweden (Address of principal executive offices) Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form ...
Ericsson(ERIC) - 2023 Q1 - Earnings Call Transcript
2023-04-18 16:19
Börje Ekholm - President and CEO Andrew Gardiner - Citi Andreas Joelsson - Danske Peter Nyquist Before handing over to Börje and Carl, I would like to say the following. During today's presentation, we will be making forward-looking statements. These statements are based on our current expectations and certain planning assumptions, which are subject to risks and uncertainties that actual results may differ materially due to factors mentioned in today's press release and discussed in this conference call. We ...
Ericsson(ERIC) - 2022 Q4 - Annual Report
2023-03-14 16:00
PART I [Identity of Directors, Senior Management and Advisers](index=8&type=section&id=ITEM%201.%20IDENTITY%20OF%20DIRECTORS%2C%20SENIOR%20MANAGEMENT%20AND%20ADVISERS) This section is not applicable as per the report [Offer Statistics and Expected Timetable](index=8&type=section&id=ITEM%202.%20OFFER%20STATISTICS%20AND%20EXPECTED%20TIMETABLE) This section is not applicable as per the report [Key Information](index=8&type=section&id=ITEM%203.%20KEY%20INFORMATION) This section primarily incorporates risk factors by reference from the Swedish Annual Report, with other subsections being not applicable [Risk Factors](index=8&type=section&id=D%20Risk%20Factors) - The company's risk factors are incorporated by reference from the 'Financial report – Risk factors' section of the 2022 Swedish Annual Report (adjusted version)[27](index=27&type=chunk) [Information on the Company](index=8&type=section&id=ITEM%204.%20INFORMATION%20ON%20THE%20COMPANY) This section provides an overview of Ericsson's history, business operations, organizational structure, and physical assets, detailing the company's origins, current business portfolio across Networks, Cloud Software and Services, and Enterprise segments, along with information on global subsidiaries and manufacturing facilities [History and Development of the Company](index=8&type=section&id=A%20History%20and%20Development%20of%20the%20Company) - The parent company, Telefonaktiebolaget LM Ericsson, was incorporated in Sweden in 1918. Its origins trace back to a workshop opened by Lars Magnus Ericsson in 1876[29](index=29&type=chunk)[33](index=33&type=chunk) - Ericsson's business portfolio is structured into three main segments: Networks, Cloud Software and Services, and Enterprise. The Enterprise segment includes Enterprise Wireless Solutions, Global Communications Platform, and Technologies and New Businesses[34](index=34&type=chunk) [Business Overview](index=10&type=section&id=B%20Business%20Overview) - In 2022, Ericsson recorded gross revenues of **SEK 106 million** from sales to MTN Irancell in Iran, with an estimated operating income of **SEK 29 million**. The company plans an orderly wind-down of its business in Iran[37](index=37&type=chunk)[39](index=39&type=chunk) - Ericsson has significantly reduced its business engagement in Iran since 2018 but continues to provide critical services. The company is planning for an orderly wind-down due to increasing operational complexity[39](index=39&type=chunk) [Organizational Structure](index=10&type=section&id=C%20Organizational%20Structure) - The parent company, Telefonaktiebolaget LM Ericsson, directly and indirectly holds shares in numerous subsidiaries globally. A complete list is filed with the Swedish Companies Registration Office[40](index=40&type=chunk) | Company | Domicile | Percentage of ownership | | :--- | :--- | :--- | | Ericsson AB | Sweden | 100% | | Ericsson Holding International B.V. | The Netherlands | 100% | | Ericsson Holding II Inc. | United States | 100% | | Vonage Holdings Corp. | United States | 100% | | Cradlepoint Inc. | United States | 100% | | Ericsson (China) Communications Co. Ltd. | China | 100% | [Property, Plants and Equipment](index=12&type=section&id=D%20Property%2C%20Plants%20and%20Equipment) - In 2022, the company's overall production capacity utilization was **53%**[44](index=44&type=chunk) | Location | Total Floor Space (Thousands of sq meters) | | :--- | :--- | | Sweden | 5 | | China | 13.9 | | Estonia | 9 | | Brazil | 6.5 | | United States | 6 | | **Total** | **40.4** | [Unresolved Staff Comments](index=12&type=section&id=ITEM%204A.%20UNRESOLVED%20STAFF%20COMMENTS) There are no unresolved staff comments [Operating and Financial Review and Prospects](index=12&type=section&id=ITEM%205.%20OPERATING%20AND%20FINANCIAL%20REVIEW%20AND%20PROSPECTS) This section provides a detailed comparison of operating results for 2021 versus 2020, restated for the new segment structure, highlighting stable reported sales at SEK 232.3 billion with 4% organic growth driven by Networks despite a SEK 7.7 billion sales decline in Mainland China, improved gross margin to 43.4%, increased EBIT to SEK 31.8 billion, and significantly increased free cash flow before M&A to SEK 32.1 billion, while also covering liquidity, capital resources, R&D activities, and critical accounting estimates [Operating Results](index=12&type=section&id=A%20Operating%20Results) | Metric | 2021 | 2020 | | :--- | :--- | :--- | | Net Sales | SEK 232.3B | SEK 232.4B | | Gross Margin | 43.4% | 40.3% | | EBIT | SEK 31.8B | SEK 27.8B | | EBIT Margin | 13.7% | 12.0% | | Net Income | SEK 23.0B | SEK 17.6B | | EPS Diluted | SEK 6.81 | SEK 5.26 | | Free Cash Flow (before M&A) | SEK 32.1B | SEK 22.3B | - Sales growth adjusted for comparable units and currency was **4%** in 2021, mainly driven by a **7%** growth in the Networks segment. However, sales in Mainland China declined by **SEK -7.7 billion**, negatively impacting the Group's organic growth rate by **3 percentage points**[52](index=52&type=chunk)[59](index=59&type=chunk) - Segment Performance in 2021: - **Networks:** Sales grew **1%** to **SEK 167.8B**; EBIT margin improved to **22.2%** - **Cloud Software and Services:** Sales decreased **6%** to **SEK 56.2B**; EBIT was a loss of **SEK -2.2B** - **Enterprise:** Sales grew **30%** to **SEK 6.2B**, driven by the Cradlepoint acquisition; EBIT was a loss of **SEK -3.0B**[97](index=97&type=chunk)[100](index=100&type=chunk)[102](index=102&type=chunk)[104](index=104&type=chunk)[106](index=106&type=chunk)[108](index=108&type=chunk) [Liquidity and Capital Resources](index=19&type=section&id=B%20Liquidity%20and%20Capital%20Resources) - At the end of 2021, Gross Cash was **SEK 97.6 billion** and Net Cash was **SEK 65.8 billion**, up from **SEK 41.9 billion** in 2020[85](index=85&type=chunk) - In September 2021, Ericsson renewed its **USD 2.0 billion** revolving credit facility, which has a five-year tenure and remains undrawn[88](index=88&type=chunk) - The company's credit ratings are **BBB- (Stable)** from S&P and Fitch, and **Ba1 (Stable)** from Moody's[89](index=89&type=chunk) [Research and Development, Patents and Licenses, etc.](index=20&type=section&id=C%20Research%20and%20Development%2C%20Patents%20and%20Licenses%2C%20etc.) - Ericsson maintains a strong commitment to R&D, leading cellular technology development from 2G to 5G and beyond. Key focus areas include network APIs, automation, AI for network performance, and energy consumption reduction[117](index=117&type=chunk) | R&D and Patent Information | 2022 | 2021 | 2020 | | :--- | :--- | :--- | :--- | | R&D employees | 29,304 | 27,379 | 26,169 | | R&D expenses (SEK bn) | 47.3 | 42.1 | 39.7 | | Patents | > 60,000 | > 60,000 | > 57,000 | [Trend Information](index=20&type=section&id=D%20Trend%20Information) - The company's sales, income, and cash flow are seasonal, generally being lowest in the first quarter and highest in the fourth quarter due to telecom operators' purchasing patterns[92](index=92&type=chunk) [Critical Accounting Estimates](index=20&type=section&id=E%20Critical%20accounting%20estimates) - Information regarding critical accounting estimates and judgments is incorporated by reference from Note A2 of the consolidated financial statements in the 2022 Swedish Annual Report[123](index=123&type=chunk) [Directors, Senior Management and Employees](index=21&type=section&id=ITEM%206.%20DIRECTORS%2C%20SENIOR%20MANAGEMENT%20AND%20EMPLOYEES) This section details the composition of the Board of Directors and senior management, including a board diversity matrix and employee statistics showing a total of 105,529 employees at year-end 2022 with the largest concentration in Europe and Latin America, while incorporating information on compensation, board practices, and share ownership by reference [Directors and Senior Management](index=21&type=section&id=A%20Directors%20and%20Senior%20Management) | Board Diversity Matrix (as of March 15, 2023) | Count | | :--- | :--- | | Total Number of Directors | 11 | | Female | 4 | | Male | 7 | [Employees](index=23&type=section&id=D%20Employees) - The total number of employees increased to **105,529** at the end of 2022, up from **101,322** in 2021[130](index=130&type=chunk) | Number of employees by market area (2022) | Count | | :--- | :--- | | South East Asia, Oceania and India | 27,761 | | North East Asia | 13,207 | | North America | 11,993 | | Europe and Latin America | 48,023 | | Middle East and Africa | 4,545 | | **Total** | **105,529** | [Major Shareholders and Related Party Transactions](index=24&type=section&id=ITEM%207.%20MAJOR%20SHAREHOLDERS%20AND%20RELATED%20PARTY%20TRANSACTIONS) This section incorporates information regarding major shareholders and related party transactions by reference from the 2022 Swedish Annual Report [Financial Information](index=24&type=section&id=ITEM%208.%20FINANCIAL%20INFORMATION) This section covers consolidated financial statements and significant post-reporting period changes, including proposals for new board members, a resolution with the U.S. Department of Justice (DOJ) regarding 2019 DPA breaches resulting in a guilty plea and a USD 207 million fine, and an appointment to the Executive Team [Significant Changes](index=25&type=section&id=B%20Significant%20Changes) - On March 2, 2023, Ericsson reached a resolution (DOJ Plea Agreement) with the U.S. Department of Justice regarding non-criminal breaches of its 2019 Deferred Prosecution Agreement (DPA)[141](index=141&type=chunk) - Under the DOJ Plea Agreement, Ericsson will plead guilty to previously deferred charges for conduct prior to 2017 and pay a fine of **USD 206,728,848**. A provision of **SEK 2.3 billion** was made in Q4 2022 for this[141](index=141&type=chunk) - The Nomination Committee proposed two new board members, Christy Wyatt and Jonas Synnergren, for election at the 2023 Annual General Meeting[136](index=136&type=chunk) [The Offer and Listing](index=26&type=section&id=ITEM%209.%20THE%20OFFER%20AND%20LISTING) This section incorporates details about the company's securities and their market listing by reference to Exhibit 2.3. Other subsections are not applicable [Additional Information](index=27&type=section&id=ITEM%2010.%20ADDITIONAL%20INFORMATION) This section provides supplementary information, including details on material contracts like the acquisitions of Vonage for USD 6.2 billion and Cradlepoint for USD 1.1 billion, outlines Swedish and U.S. tax considerations for shareholders regarding dividends and capital gains for non-residents, and confirms no significant exchange controls affecting remittances [Material Contracts](index=27&type=section&id=C%20Material%20Contracts) - On July 21, 2022, Ericsson completed the acquisition of Vonage Holdings Corp. for approximately **$6.2 billion USD** in an all-cash transaction[153](index=153&type=chunk)[155](index=155&type=chunk) - On November 2, 2020, Ericsson completed the acquisition of Cradlepoint Inc., a provider of wireless WAN Edge solutions, for a purchase price of approximately **$1.1 billion USD**[156](index=156&type=chunk)[157](index=157&type=chunk) [Exchange Controls](index=28&type=section&id=D%20Exchange%20Controls) - There is no Swedish legislation that affects the import or export of capital or the remittance of dividends, interest, or other payments to non-resident security holders, although dividends are subject to withholding tax[158](index=158&type=chunk) [Taxation](index=28&type=section&id=E%20Taxation) - A Swedish dividend withholding tax of **30%** is imposed on dividends paid to non-residents. Under the U.S. Tax Treaty, this rate is reduced to **15%** for eligible U.S. holders[165](index=165&type=chunk) - Generally, non-residents of Sweden are not liable for Swedish capital gains tax on the sale of ADSs or shares, with certain exceptions for individuals who were formerly residents of Sweden[163](index=163&type=chunk) - For U.S. federal income tax purposes, distributions are generally treated as ordinary income from foreign sources. The company believes it was not a Passive Foreign Investment Company (PFIC) in 2022[173](index=173&type=chunk)[180](index=180&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=33&type=section&id=ITEM%2011.%20QUANTITATIVE%20AND%20QUALITATIVE%20DISCLOSURES%20ABOUT%20MARKET%20RISK) This section incorporates information regarding market risk by reference from the 'Risk management' and 'Note F1 – Financial risk management' sections of the 2022 Swedish Annual Report [Description of Securities Other Than Equity Securities](index=35&type=section&id=ITEM%2012.%20DESCRIPTION%20OF%20SECURITIES%20OTHER%20THAN%20EQUITY%20SECURITIES) This section details fees associated with American Depositary Shares (ADSs), outlining service fees payable by ADS holders for issuance, cancellation, and administration, and discloses that Deutsche Bank paid Ericsson approximately USD 11.9 million in 2022 as part of a revenue-sharing agreement - ADS holders are charged fees for services such as issuance/cancellation (up to **USD 5 per 100 ADSs**), dividend processing (up to **USD 3 per 100 ADSs**), and annual administration (up to **USD 3 per 100 ADSs**)[199](index=199&type=chunk) - In 2022, the depositary, Deutsche Bank, paid Ericsson approximately **USD 11.9 million** based on a revenue-sharing agreement related to ADS fees[200](index=200&type=chunk) PART II [Defaults, Dividend Arrearages and Delinquencies](index=36&type=section&id=ITEM%2013.%20DEFAULTS%2C%20DIVIDEND%20ARREARAGES%20AND%20DELINQUENCIES) The company reports no defaults, dividend arrearages, or delinquencies [Material Modifications to the Rights of Security Holders and Use of Proceeds](index=36&type=section&id=ITEM%2014.%20MATERIAL%20MODIFICATIONS%20TO%20THE%20RIGHTS%20OF%20SECURITY%20HOLDERS%20AND%20USE%20OF%20PROCEEDS) The company reports no material modifications to the rights of security holders or use of proceeds [Controls and Procedures](index=36&type=section&id=ITEM%2015.%20CONTROLS%20AND%20PROCEDURES) This section incorporates by reference management's reports on disclosure controls and procedures and internal control over financial reporting, as well as the attestation report from the registered public accounting firm, all from the 2022 Swedish Annual Report [Corporate Governance and Other Matters](index=36&type=section&id=ITEM%2016.%20%5BRESERVED%5D) This section covers various governance topics, confirming the adoption of a Code of Business Ethics, detailing the Audit and Compliance Committee's pre-approval policies for auditor services, explaining exemptions from NASDAQ listing standards for audit committees, and highlighting key differences between Ericsson's Swedish corporate governance practices and NASDAQ requirements, such as Nomination Committee composition and employee representative appointments to the Board [Code of Ethics](index=36&type=section&id=ITEM%2016B%20CODE%20OF%20ETHICS) - The company has adopted a Code of Business Ethics applicable to all executive officers, directors, and employees, which is available on its website[208](index=208&type=chunk) [Principal Accountant Fees and Services](index=36&type=section&id=ITEM%2016C%20PRINCIPAL%20ACCOUNTANT%20FEES%20AND%20SERVICES) - The Audit and Compliance Committee has established pre-approval policies for services provided by the external auditor. General pre-approval is granted for projects with fees up to **SEK 1 million**, while specific pre-approval is required for projects exceeding this amount[210](index=210&type=chunk)[214](index=214&type=chunk) [Exemptions from the Listing Standards for Audit Committees](index=38&type=section&id=ITEM%2016D%20EXEMPTIONS%20FROM%20THE%20LISTING%20STANDARDS%20FOR%20AUDIT%20COMMITTEES) - The company relies on an SEC exemption (Rule 10A-3(b)(1)(iv)(C)) that allows non-executive employee representatives to serve on the Audit and Compliance Committee, as permitted by Swedish law[215](index=215&type=chunk) [Corporate Governance](index=38&type=section&id=ITEM%2016G%20CORPORATE%20GOVERNANCE) - Ericsson follows its home country (Swedish) practices in lieu of certain NASDAQ corporate governance requirements. Key differences include: - Employee representatives on the Board and its committees. - The Nomination Committee includes representatives of the four largest shareholders, not just board members. - The external auditor is elected by shareholders, not appointed by the audit committee[220](index=220&type=chunk)[221](index=221&type=chunk) PART III [Financial Statements](index=40&type=section&id=ITEM%2017.%20FINANCIAL%20STATEMENTS) This section refers to the consolidated financial statements and accompanying notes contained within the 2022 Swedish Annual Report (adjusted version) - The full consolidated financial statements are provided, including the income statement, balance sheet, statement of cash flows, statement of changes in equity, and the reports of the independent registered public accounting firm[225](index=225&type=chunk)[228](index=228&type=chunk) [Financial Statements](index=40&type=section&id=ITEM%2018.%20FINANCIAL%20STATEMENTS) This section is not applicable [Exhibits](index=40&type=section&id=ITEM%2019.%20EXHIBITS) This section provides an index of all exhibits filed with the Form 20-F. Key documents listed include the Articles of Association, the Deposit Agreement for ADSs, material contracts, CEO/CFO certifications, and the adjusted 2022 Swedish Annual Report - Key exhibits filed include: - Exhibit 1: Articles of Association - Exhibit 2.1: Deposit Agreement for American Depositary Receipts - Exhibit 4.1: Vonage Merger Agreement - Exhibit 12.1 & 12.2: CEO and CFO Certifications (Section 302) - Exhibit 15.1: Swedish Annual Report for 2022 (adjusted version)[231](index=231&type=chunk)