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E1 Equity

12 Months Ended

Dec. 31, 2024


		Equity

Capital stock


Parent Company	Class A shares		Class B shares		Total
December 31, 2024		1,309		15,434	16,743
December 31, 2023		1,309		15,413	16,722

The capital stock of the Parent Company is divided into two classes: Class A shares (quota value SEK 5.00) and Class B shares (quota value SEK 5.00). Both classes have the same rights of participation in the net assets and earnings. Class A shares, however, are entitled to one vote per share while Class B shares are entitled to one tenth of one vote per share.

The Annual General Meeting (AGM) 2024 resolved to issue 4,100,000 Class C shares for the Long-Term Variable Compensation Program LTV I 2023 for Ericsson’s executive team and other executives. In accordance with an authorization from the AGM, the Board of Directors resolved to repurchase the new issued shares, which were subsequently converted into Class B shares. The quotient value of the repurchased shares was SEK 5.00, totaling SEK 20.5 million, representing 0.1% of capital stock. The acquisition cost was SEK 20.7 million.

At December 31, 2024, the total number of treasury shares was 15,579,561 (14,009,306 in 2023 and 4,009,306 in 2022) Class B shares.

Number of shares


	Class A shares	Class B shares	Total
2024

As of January 1	261,755,983	3,082,395,752	3,344,151,735
As of December 31	261,755,983	3,086,495,752	3,348,251,735

2023

As of January 1	261,755,983	3,072,395,752	3,334,151,735
As of December 31	261,755,983	3,082,395,752	3,344,151,735

Dividends

The Board of Directors propose to the Annual General Meeting a dividend to the shareholders of SEK 2.85 per share (SEK 2.70 in 2023 and SEK 2.70 in 2022), representing a total dividend of SEK 9.5 (9.0) billion. The dividend is proposed to be paid in two installments, SEK 1.43 per share with the record date March 27, 2025 (payment date April 1, 2025), and SEK 1.42 per share with the record date September 29, 2025 (payment date October 2, 2025).

Dividends paid per share amounted to SEK 2.70 (SEK 2.70 in 2023 and SEK 2.50 in 2022). Total dividends paid to the shareholders was SEK 9.0 (9.0) billion.

Additional paid in capital

Additional paid in capital relates to payments made by owners and includes share premiums paid.

Translation reserves

The translation reserves comprise all foreign currency translation reserves arising from the translation of the financial statements of foreign operations to the Group presentation currency and changes regarding revaluation of excess value in local currency.

Cash flow hedge reserve

For further information, see note F1 “Financial risk management.”

Revaluation of borrowings

For further information, see note F4 “Interest-bearing liabilities.”

Retained earnings

Retained earnings, including net income for the year, comprise the earned profits of the Parent Company and its share of net income in subsidiaries, and associated companies. Retained earnings also include remeasurements related to post-employment benefits.

Remeasurements related to post-employment benefits

Actuarial gains and losses resulting from experience-based events and changes in actuarial assumptions, fluctuations in the effect of the asset ceiling, and adjustments related to the Swedish special payroll taxes. For more information, see note G1 “Post-employment benefits.”

Non-controlling interests

Equity in a subsidiary not attributable, directly or indirectly, to a parent.

Changes in OCI by components of equity (net of tax)

Translation
reserves

Cash flow

hedge reserves

Revaluation of
borrowings

Retained
earnings

Total equity

2024

Remeasurements of defined benefits pension plans

–

739

Revaluation of credit risk on borrowings

–

–450

–

–450

Cash flow hedge reserve

–

–3,240

–

–3,240

Cash flow hedge reserve

reclassification to profit and loss

–

725

–

725

Translation reserves changes

6,608

–

6,608

Translation reserves reclassification to profit and loss

–

Share of other comprehensive income of associates

–

Movement attributable to non-controlling interests

–147

–

–7

–154

Total

6,574

–2,515

–450

732

4,341

2023

Remeasurements of defined benefits pension plans

–

655

Revaluation of credit risk on borrowings

–

–530

–

–530

Cash flow hedge reserve

–

374

–

374

Cash flow hedge reserve

reclassification to profit and loss

–

1,090

–

1,090

Translation reserves changes

–2,425

–

–2,425

Translation reserves reclassification to profit and loss

–

Share of other comprehensive income of associates

–10

–

–10

Movement attributable to non-controlling interests

–

–1

Total

–2,326

1,464

–530

654

–738

2022

Remeasurements of defined benefits pension plans

–

8,561

Revaluation of credit risk on borrowings

–

818

–

818

Cash flow hedge reserve

–

2,331

–

2,331

Cash flow hedge reserve

reclassification to profit and loss

–

280

–

280

Cash flow hedge transfer to goodwill

–

–3,677

–

–3,677

Translation reserve changes

7,273

–

7,273

Translation reserve reclassification to profit and loss

–85

–

–85

Share of other comprehensive income of associates

–

Movement attributable to non-controlling interests

–143

–

–132

Total

7,094

–1,066

818

8,572

15,418

Changes in translation reserves include changes regarding translation of goodwill in local currency of SEK 4,393 million (SEK –77 million in 2023 and SEK 5,070 million in 2022), and realized gains/losses net from divested/liquidated companies, SEK 73 million (SEK 59 million in 2023 and SEK –85 million in 2022).