Inwido AB · OMXSTO:INWI
Inwido AB — Q1 2021 Earnings Presentation
22 slides from Inwido AB's earnings presentation, April 2021
Slide 1: Q1 Report January – March 2021
Q1 Report January – March 2021 Follow our story
Slide 2: Topics to cover
2 Topics to cover Från Mid Cap Handelsbanken ▪ This is Inwido ▪ Q1 highlights and performance ▪ M&A status and acquisition MV Center ▪ EU Taxonomy alignment ▪ Market outlook and priorities ▪ Financials ▪ Summary and Q&A
Slide 3: This is Inwido
3 Clear market leader in the Nordic region This is Inwido ▪ Leading window group in Europe ▪ Clear market leader in the Nordic region with strong presence in the UK & Ireland ▪ Net sales of SEK 6.7 billion in 2020 ▪ Operating EBITA margin of 10.9% in 2020 ▪ Approx. 4,300 employees Production sites m
Slide 4: Q1 highlights
4 Q1 highlights ▪ All time high Q1 operating EBITA, driven by strong sales growth and good cost control ▪ Eighth consecutive quarter with strengthened margins and fourth quarter in a row with organic growth ▪ Strong order intake and order backlog ▪ 34% organic growth in e-Commerce ▪ Continued margin
Slide 5: Q1 summary
5 Q1 summary A strong start to 2021 ▪ Sales growth to SEK 1,644 million (1,448), organically +18% ▪ Operating EBITA SEK 121 million (48) ▪ Operating EBITA margin 7.3% (3.3%) ▪ Order intake +15% ▪ Order backlog at end of quarter increased by 43% to SEK 1,471 million ▪ Net debt vs. operating EBITDA 0.
Slide 6: Q1 – Business Area South
6 Q1 – Business Area South 900 Net sales 4 000 750 600 3 000 450 A strong start to the year 300 2 000 150 ▪ e-Commerce sales +34% organically External net sales split between market segments, LTM 0 1 000 SEKm SEKm ▪ Order intake, +39% Apr-Jun Jul-Sep Oct-Dec Jan -Mar 9% 2020 2021 Net sales LTM ▪ Ord
Slide 7: Q1 – Business Area North
7 Q1 – Business Area North 1 200 Net sales 5 000 1 000 4 000 800 600 3 000 Profit improvements in all Business Units 400 2 000 ▪ Stable consumer markets overall and continuing 200 External net sales split between 0 1 000 market segments, LTM signs of stabilizing industry markets SEKm Apr-Jun Jul-Sep
Slide 8: Covid-19 update
8 Covid-19 update ▪ Covid-19 has challenged production efficiency due to periodically high sick leave in particularly Sweden ▪ Shutdown of non-essential construction activity in Ireland – now slowly opening up ▪ Likely positive demand impact on primarily e- Commerce sales with more people staying at
Slide 9: M&A status
9 M&A status ▪ Overall increased activity level with regards to M&A ▪ Relatively easier to make progress in smaller transactions and in geographies where we have local management ▪ Somewhat challenging to carry out larger transaction processes, particularly in new geographies, given the travel and m
Slide 10: Acquisition MV Center
10 Acquisition MV Center ▪ MV Center specializing in aluminum and steel doors as well as windows and glass facades ▪ 45 employees, runs its operations in Nokia ▪ Sales of just over SEK 100 million ▪ Synergies in terms of wider sales coverage as well as sourcing efficiency ▪ Acquisition is financed b
Slide 11: Inwido's sustainability KPIs
11 Inwidos 8 sustainability KPI´s The result of our work in 2020 Improved by Improved by 7.1% 16.4% Co2 (kg per thousand wings) Lost time accidents ▪ Energy consumption (per 1 000 000h) ▪ Co2 emissions (scope 1 and 2) 5.2 4.9 16.5 4.6 15.4 ▪ Wood from sustainable forestry 13.8 ▪ Employees in rural a
Slide 12: EU Taxonomy Alignment
12 EU Taxonomy Alignment ▪ The European Commission has presented the delegated acts for the taxonomy's environmental objectives 1 and 2 ▪ Energy requirements for windows, stated as u- value, are revised to 1.0 (from 0.7), doors remain at 1.2 ▪ Inwido estimates that 45 percent of the Group’s 2020 sal
Slide 13: Market outlook
13 Market outlook ▪ Entering Q2 with stronger order backlog vs. 2020 ▪ Continued short-term healthy demand in the consumer market ▪ More stable development in the industrial markets ▪ Some recovery potential in the UK and Ireland following Covid-related shutdowns ▪ Raw material inflation can have a
Slide 14: Short term priorities remain largely the same
14 Short term priorities remain Från Mid Cap Handelsbanken largely the same Manage our way through Covid-19 while building for growth 1. Keep our employees as safe and healthy as possible 2. Strengthen positions in key geographies through dynamic market 3. Ongoing screening of, and dialogue with, se
Slide 15: Q1 in numbers
inwido Q]1 in nUMbers
Slide 16: Improved margins eight quarters in a row
16 Improved margins eight quarters in a row Q1 SEKm 2021 2020 Change LTM Net sales 1 644 1 448 14% 6 877 Gross margin, % 23.5 21.9 - 26.2 Operating EBITA 121 48 151% 801 Operating EBITA margin, % 7.3 3.3 - 11.7 EBITA 121 48 150% 785 EBITA margin, % 7.3 3.3 - 11.4 Profit after tax 99 6 1622% 594 Earn
Slide 17: Sales growth of 14% and order intake growth of 15%
17 Sales growth of 14% and order intake growth of 15% (SEKm) 2 100 1 973 1 900 1 644 1 709 1 700 1 572 1 448 1 500 1 443 1 300 1 100 900 700 500 2019 2020 2021 Reported sales + 14% Order intake + 15%
Slide 18: All time high order backlog, +43% vs last year
18 All time high order backlog, +43% vs last year Order backlog (SEKm) 1 600 1 400 1 200 1 000 800 1 471 600 1 005 1 031 925 922 400 778 200 0 Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Q3 17 Q4 17 Q1 18 Q2 18 Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Q3 20 Q4 20 Q1 21
Slide 19: Best start ever with an OP EBITA margin of 7.3% in Q1
19 Best start ever with an OP EBITA margin of 7.3% in Q1 Op EBITA (SEKm) and Op EBITA margin (%) in Q1 140 8,0% 7,3% 120 7,0% 121 6,0% 100 5,0% 80 3,3% 4,0% 60 3,1% 3,0% 40 45 48 2,0% 20 1,0% 0 0,0% 2019 2020 2021 January - March
Slide 20: Net Debt vs. Op EBITDA has improved from x2.3 to x0.9
20 Net Debt vs. Op EBITDA has improved from x2.3 to x0.9* Increased Net Debt in Q1 due to normal seasonality Net Debt, Net Debt vs OP EBITDA SEKm 3 000 3,5 3,0 2 500 2,5 2 000 2,0 1 500 1,5 1 000 1,0 500 0,5 0 0,0 Q1 18 Q2 18 Q3 18 Q4 18 Q1 19 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Net Debt
Slide 21: Summary Q1
21 Summary Q1 Ska uppdateras ▪ Overall robust consumer activity with continued strong e-Commerce performance ▪ Eighth consecutive quarter of strengthened margins and fourth quarter in a row with organic growth ▪ Current estimate 45% sales of windows and doors are EU taxonomy aligned ▪ Acquisition of
Slide 22: Questions?
22 Questions? Upcoming events May 6 – AGM July 16 – Q2 report October 26 – Q3 report Join our journey on LinkedIn