Debt financing

SSAB's funding is focused on supporting the Group’s strategy and covering the needs for financing within the framework of the Group's financial policy. The funding is primarily executed through the parent company. SSAB aims to maintain an investment grade credit rating and is currently rated BBB-. In order to minimize the refinancing risk, the objective is that the debt should have an even maturity profile. Short-term funding is primarily obtained through the commercial paper markets in Sweden and Finland. SSAB has a strong and supportive bank group providing committed back-stop facilities to secure the short-term funding and liquidity needs.

Cash flow, financing and liquidity

Operating cash flow for the first half of 2025 decreased to SEK 1,206 (5,137) million, due to the lower result and higher working capital. Net cash flow, after dividends of SEK 2,591 (4,983) million, amounted to SEK -4,622 (-4,301) million. The comparison period included purchases of own shares for SEK 1,215 million.

Net cash at June 30, 2025 was SEK 10,862 (14,085) million. Cash and cash equivalents were SEK 20,299 (23,892) million and non-utilized credit facilities, excluding financing for the Luleå investment, were SEK 8,275 (8,429) million, which combined corresponds to 29% (29%) of rolling 12-month revenue. The term to maturity of the total loan portfolio at June 30, 2025 averaged 5.6 (6.9) years, with an average fixed interest period of 0.9 (1.3) years.

During the second quarter of 2025, SSAB secured financing for the Luleå investment of up to EUR 2.7 billion, backed by the Swedish National Debt Office, the Italian Export Credit Agency, the Nordic Investment Bank and the German Export Credit Agency Euler Hermes.

SSAB’s funding is conducted primarily through the bank market and existing note and commercial paper programs. For borrowing for terms of up to ten years, a European Medium Term Note program (EMTN) is used, while Swedish and Finnish commercial paper programs are used for borrowing for shorter terms. The program limit of the EMTN program is EUR 2,000 million. The Swedish commercial paper program has a limit of SEK 5,000 million and the Finnish commercial paper program has a limit of EUR 500 million.

On January 28, 2022 S&P Global ratings raised the long-term corporate credit rating to BBB- from BB+, with stable outlook.