Ratos Ab Class A · OMXSTO:RATO_A

Ratos Ab Class A — Q4 2019 Earnings Presentation

13 slides from Ratos Ab Class A's earnings presentation, Feb 6, 2020

  1. Slide 1: Presentation of the fourth quarter and full year 2019

    Presentation of the fourth quarter and full year 2019 6 February 2020

  2. Slide 2: Development fourth quarter 2019

    Development fourth quarter 2019 ▪ Net sales increased by 15% to 6,221 MSEK (5,428) − Organic growth 16% (FX-effects -1%) − Aibel, HENT and Diab main contributors − 10 of 12 companies showed organic growth ▪ EBITA increased to 57 MSEK (-69) excl IFRS 16 − Improved profitability in most companies acro

  3. Slide 3: Development full year 2019

    Development full year 2019 ▪ Net sales increased by 14% (organic) to 24,475 MSEK (21,531) − All companies showed growth except LEDiL and Speed Group ▪ EBITA increased by 29% to 1,073 MSEK excl IFRS 16 ▪ Improved cash flow from operations − 1,839 MSEK (341), where of effect from of IFRS 16 appr. 800

  4. Slide 4: Cash flow and Balance sheet

    Cash flow and Balance sheet Full year 2019 ▪ Increased focus on cash flow and capital employed in Ratos’ companies ▪ Sequential improvement of cash flow from operations during 2019 − Improved cash flow from operations for full year 2019 by appr 700 MSEK adjusted for IFRS16 − Under-pinned by improved

  5. Slide 5: Financial position

    Financial position ▪ Lowered gearing in 10 of 12 companies Net debt / EBITDA LTM (Excl. IFRS 16) − Improved EBITDA and lower net debt over all 31 Dec 30 Sept 31 Dec 2019 2019 2018 ▪ Aiming to reach ~2-3x over reasonable period of Aibel 2,2 2,9 3,7 time, 9 companies achieving this Airteam 2,0 2,8 0,9

  6. Slide 6: Business Area: Construction & Services

    Business Area: Construction & Services Q4 28% 104 MSEK Net sales growth EBITA increased to 104 Q4 2019 MSEK (11) due to HENT and Speed Group Adjusted for Ratos share, ex. IFRS 16, (MSEK) Organic revenue EBITA Q4 EBITA Q4 Company EBITA FY 2019 EBITA FY 2018 growth (Q4 19) 2019 2018 Aibel +89% 47 72 2

  7. Slide 7: Business Area: Consumer & Technology

    Business Area: Consumer & Technology Q4 -5% -88 MSEK Net sales growth EBITA decreased to -88 Q4 2019 MSEK (-46) primarily due to Plantasjen Adjusted for Ratos share, ex. IFRS 16, (MSEK) Organic revenue EBITA Q4 EBITA Q4 Company EBITA FY 2019 EBITA FY 2018 growth (Q4 19) 2019 2018 Bisnode +2% 139 131

  8. Slide 8: Business Area: Industry

    Business Area: Industry Q4 10% 41 MSEK EBITA increased to 41 Net sales growth MSEK (-34) primarily Q4 2019 driven by Diab and HL Display Adjusted for Ratos share, ex. IFRS 16, (MSEK) Organic revenue EBITA Q4 EBITA Q4 Company EBITA FY 2019 EBITA FY 2018 growth (Q4 19) 2019 2018 Diab +19% 38 -78 182 -

  9. Slide 9: Actions taken during 2019

    Actions taken during 2019 ▪ Continued to focus on existing portfolio − Stability, Profitability, Growth − Improved results and strong growth ▪ Strong management teams in our companies − Changed CEOs in four companies ▪ Focus on right Governance with efficient board work − Changed Chair in eight boar

  10. Slide 10: Who we are – Our mission

    Who we are Our Mission Our mission We develop Ratos is a business group that mid-sized companies, enables independent mid-sized with a headquarter in the Nordics, companies to excel by being part of who are or can something larger become market leaders 10

  11. Slide 11: Summary 2019

    Summary 2019 ▪ The companies showed increased earnings and favourable growth ▪ Improved financial position ▪ The Board proposes a dividend of 0.65 SEK/share (0.50) ▪ Positive momentum in majority of the companies − Work remains for the companies to achieve a profit that is leading in each industry a

  12. Slide 12: Thank you! Q&A

    Thank you! O&A RATSS

  13. Slide 13: Financial Calendar & Contact details

    Financial Calendar & Contact details ▪ Publication Annual Report, week 10 ▪ AGM, April 1 ▪ Interim Report, Q1 2020, 28 April ▪ Interim Report, Q2 2020, 17 July ▪ Interim Report, Q3 2020, 22 October Contact: Helene Gustafsson, Head of IR & Press, +46 70 868 40 50, helene.gustafsson@ratos.se 13

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