H+h International A/s · OMXCOP:HH
H+h International A/s — Q4 2015 Earnings Presentation
22 slides from H+h International A/s's earnings presentation, Mar 17, 2016
Slide 1: Investor presentation Q4 2015 / Annual report 2015
Investor presentation Q4 2015 / Annual report 2015 17 March 2016
Slide 2: Introduction
Q4 2015 / Annual report 2015 17 March 2016 2 Introduction Forward-looking statement Agenda The statements on the future in this presentation, including expected sales and earnings, are associated with risks and uncertainties and may be affected by factors • Highlights influencing the activities of t
Slide 3: Highlights
Q4 2015 / Annual report 2015 17 March 2016 3 Highlights Long-term • EBIT margin 5.0% (target min. 6%) Organic • 8% in the quarter • ROIC 10.3% (target min. 10%) • 9% year-to-date financial growth • Gearing 2.4x EBITDA (target 2-3x) targets* New long- • DKK 41 million in the quarter • EBIT margin 6-8
Slide 4: Financial performance
Q4 2015 / Annual report 2015 17 March 2016 4 Financial performance • 9 quarters of consecutive growth in both revenue and EBITDA on a R12 basis. • Turnaround phase completed, we are now in the phase of normalising the business.
Slide 5: Financial performance
Q4 2015 / Annual report 2015 17 March 2016 5 Financial performance Q4 Year-to-date DKK million (before special items) 2015 2014 Variance 2015 2014 Variance Actual 375 325 16% 1,621 1,380 17% Revenue Organic 349 325 8% 1,498 1,380 9% Gross margin 31% 28% 3% 25% 25% 0% Before special items 42 30 12 18
Slide 6: Outlook 2016 and long-term financial targets
Q4 2015 / Annual report 2015 17 March 2016 6 Outlook 2016 and long-term financial targets Long-term financial targets DKK million (before special items) Outlook New Previous Organic growth 3-4% EBITDA 190-210 Investments ~ 80 EBIT margin 6-8% Min. 6% Return on invested capital Min. 12% Min. 10% Debt
Slide 7: Specific assumptions for outlook for 2016
Q4 2015 / Annual report 2015 17 March 2016 7 Specific assumptions for outlook for 2016 • Economic growth of around a negative 2% to a positive 3,5% in our geographical footprint • Energy and raw material prices rise only in line with inflation from their mid-March 2016 levels • The commercial and op
Slide 8: Balance sheet items
Q4 2015 / Annual report 2015 17 March 2016 8 Balance sheet items Asset • Programme with targeted sales of • DKK 21 million in the quarter CAPEX • DKK 61 million year-to-date sales DKK 70 million in 2015-2017 • DKK 37 million realised in 2015 Free • DKK 44 million in the quarter • 2.4x EBITDA before
Slide 9: Western European segment
Q4 2015 / Annual report 2015 17 March 2016 9 Western European segment Q4 Year-to-date DKK million 2015 2014 Variance 2015 2014 Variance Actual 306 260 18% 1,272 1,073 19% Revenue Organic 285 260 10% 1,191 1,073 11% Before special items 28 20 8 173 123 50 EBITDA After special items 28 20 8 169 123 46
Slide 10: Eastern European segment
Q4 2015 / Annual report 2015 17 March 2016 10 Eastern European segment Q4 Year-to-date DKK million 2015 2014 Variance 2015 2014 Variance Actual 71 64 11% 351 307 14% Revenue Organic 64 64 0% 308 307 0% Before special items 0 (6) 6 19 23 (4) EBITDA After special items 17 (6) 23 72 23 49 Investments 9
Slide 11: H+H is the market leader in the UK
Q4 2015 / Annual report 2015 17 March 2016 11 H+H is the market leader in the UK • To ensure our market position, it has been decided to upgrade one of our factories. • The upgrade will make it the most advanced aircrete facility in the UK. Source: Experian, UK construction forecast, Winter 2015/201
Slide 12: Q&A
Q4 2015 / Annual report 2015 17 March 2016 12 Q&A
Slide 13: Appendices
Q4 2015 / Annual report 2015 17 March 2016 13 Appendices
Slide 14: Geographical footprint
Q4 2015 / Annual report 2015 17 March 2016 14 Geographical footprint
Slide 15: Strategy and external growth drivers
Q4 2015 / Annual report 2015 17 March 2016 15 Strategy and external growth drivers
Slide 16: Commercial approach
Q4 2015 / Annual report 2015 17 March 2016 16 Commercial approach
Slide 17: Manufacturing process
Q4 2015 / Annual report 2015 17 March 2016 17 Manufacturing process
Slide 18: Revenue allocation 2015
Q4 2015 / Annual report 2015 17 March 2016 18 Revenue allocation 2015
Slide 19: EBITDA and EBIT margin development and EBITDA allocation 2015
Q4 2015 / Annual report 2015 17 March 2016 19 EBITDA and EBIT margin development and EBITDA allocation 2015
Slide 20: Non-current asset allocation as of 31 December 2015
Q4 2015 / Annual report 2015 17 March 2016 20 Non-current asset allocation as of 31 December 2015
Slide 21: Net interest-bearing debt development and allocation as of 31 December 2015
Q4 2015 / Annual report 2015 17 March 2016 21 Net interest-bearing debt development and allocation as of 31 December 2015
Slide 22: Thank you
Q4 2015 / Annual report 2015 17 March 2016 22 Thank you H+H International A/S Dampfærgevej 3, 3rd Floor 2100 Copenhagen Ø Denmark +45 35 27 02 00 info@hplush.com www.hplush.com