Vestum Ab · OMXSTO:VESTUM
Vestum Ab — Q3 2023 Earnings Presentation
14 slides from Vestum Ab's earnings presentation, 2023
Slide 1: Interim report Q3 2023 presentation
Slide 2: Why Vestum
Why Vestum * Discovered a great need for niche products and services within critical civic infrastructure + Targeting companies exposed to the infrastructure market characterised by underlying long-term growth * Attractive underlying drivers provide strong growth opportunities * Niche companies bene
Slide 3: This is Vestum
Th iS iS Vestu m Geographical footprint 9 Vestum HQ Specialists for sustainable development um operations of our societies + Industrial group providing niche services and products to civic infrastructure * Market leading positions with a Northern European footprint * Decentralised leadership with st
Slide 4: Key figures
Key figures Q3 2023 1,666 315 Net sales, SEKm Operating cash flow, SEKm 161 2,449 Adjusted EBITA, SEKm Financial net debt, SEKm 9.7% 2.8x Adjusted EBITA margin Leverage multiple
Slide 5: Water segment
Water segment Niche products in water infrastructure Q3 2023 figures 163 Net sales, SEKm 31 EBITA, SEKm 18.8% EBITA margin LTM Q3 2023 figures 714 Net sales, SEKm 141 EBITA, SEKm 19.7% EBITA margin Solid overall demand and profitability Market leading positions The UK water infrastructure is heavily
Slide 6: Services segment
Seruices segment Niche service and maintenance offering to property owners * Slightly lower overall demand Q3 2023 figures LTM Q3 2023 figures . Improved margin, both in comparison to Q3 2022 A413 2,024 and Q2 2023 - industry Net sales, SEKm Net sales, SEKm leading profitability * Continued focus on
Slide 7: Infrastructure segment
Infrastructure segment = Experts within civic infrastructure * Stable overall demand * Margin impacted by Q3 2023 figures LTM Q3 2023 figures certain projects with insufficient profitability — 1,090 3,842 however, improved Net sales, SEKm Net sales, SEKm margin sequentially from Q2 2023 103 337 Focu
Slide 8: Net sales and EBITA per quarter
Net sales and EBITA per quarter Stable net sales but slightly weaker EBITA margin development Net sales sekm 7,000 6,000 5,000 4,000 3,000 2,000 1,000 — Net sales Rolling 12 months I Net sales 1,632 1,067 0 Q12022 Q2 2022| 1,601 13 2022) 1,806 1,707 1,400 1,666 Q4 2022Q1 2023 Q2 2023| Q3 2023) EBITA
Slide 9: Net sales growth
Net sales growth * Net sales growth for the quarter driven primarily by acquisitions Organic growth was 1%, representing 28% of total net sales growth Q3 2022 Organic Acquired Fx Q3 2023 growth growth VESTUM
Slide 10: Development per segment
Development per segment Stable profitability in Water, weaker demand but stable margin in Services, and strong demand but weaker profitability in Infrastructure compared to previous year Water Services Hl Net soles, SEKm MM EBITA, SEKm = EBITA margin Hl Net sales, SEKm IM EBITA, SEKm = EBITA margin
Slide 11: Net debt and leverage
Net debt and leverage Leverage 4.0 30 2.9x 28x 28x 2.9x 2.9x 28x 2.7x 26 20 23 2.5 24 1.0 0.0 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 = Q3 2023 Financial net debt = Financial net debt / EBITDA R12 months (Leverage) ** Financial target, 2.5x Financial net debt, SEK Bn The financial net debt d
Slide 12: Operating cash flow R12 months
Operating cash flow R12 months 899 720 154 Qi Q2 Q3 Q4 Qi Q2 Q3 2022 2023 Operating cash flow rolling 12 months = Cash conversion rolling 12 months * Operating cash flow rolling 12 months increased compared to the previous quarter driven by positive net working capital development compared to Q3 las
Slide 13: Summary Q3 2023
Summary QJ3 2023 * Solid overall demand and profitability with sequentially improved margin in Services and Infrastructure compared to the previous quarter * Continued strong development in Water * Product companies now generate approximately 40% of Group LTM EBITA — expected to increase over time *
Slide 14: Q&A