Slide 1: Q3 Interim Report Jul-Sep 2024
Q3 Interim Report Jul-Sep 2024 Andreas Stenbäck, CEO Martin Aronsson, CFO 25 Okt 2024 Volati Interim report Juli - September 2024
Slide 2: Volati is a growing group of well-managed companies with strong earnings
Volati is a growing group of well-managed companies with strong earnings Home markets Subsidiaries +16% +18% Volati EBITA EBITA CAGR growth LTM since 2018 Net sales, LTM Q3 2024 SEK 7,667 m EBITA, LTM Q3 2024 SEK 657 m +10% +28% +19% EBITA CAGR ~37% EBITA CAGR ~26% EBITA CAGR Industry ~36% since 201
Slide 3: Q3 in brief
Q3 in brief • Another quarter in line with last year, where we continue to meet slow or declining markets in four of our six platforms • Ettiketto Group grew organically with 15% in the quarter, and the EBITA margin increased to 21% LTM. Slightly better margins than before we started making add-on a
Slide 4: Financial development, Q3 2024
Financial development, Q3 2024 Net sales EBITA Operating cash flow Net debt/adjusted EBITDA SEK 1,917 m SEK 186 m SEK 177 m 2,8 x (Q3 2023: 1,847) (Q3 2023: 192) (Q3 2023: 244) (Q3 2024: 2,0x) Net sales, SEK m EBITA, SEK m 2 250 250 2 000 1 750 200 1 500 150 1 250 1 000 100 750 500 50 250 0 0 Q1 Q2
Slide 5: Financial development, LTM Q3 2024
Financial development, LTM Q3 2024 CAGR +18% Net sales 750 737 25 710 SEK 7,667 m 700 650 664 667 663 657 (Q3 2023: 7,917) 600 20 550 500 EBITA 450 15 421 657 400 SEK m 350 312 300 10 (Q3 2023: 778) 257 10,5% 250 9,5% 9,2% 8,6% 8,7% 8,7% 8,6% 200 7,6% 7,5% Operating cash flow 150 5 704 100 SEK m 50
Slide 6: Financial targets
Financial targets EBITA growth Return on adjusted equity Capital structure The target is an average annual growth in The long-term target is a return on The target is a net debt/adjusted EBITDA2) EBITA2) per ordinary share of at least 15 adjusted equity1) of 20 percent2). ratio of 2 to 3 times, and
Slide 7: Three business areas with growth focus
Three business areas with growth focus Industry Products and materials for Self-adhesive labels and Four businesses with leading builder’s hardware, machines for various market positions in their niches; consumables, construction, home applications; from decorative Products and solutions for grain &
Slide 8: Salix Group
Salix Group EBITA • Sales increase of 5% in the quarter CAGR +10% • Continued challenging market situation in the industrial and 4 000 11 professional segments, early signs of improvement in the consumer 10.1% 3 598 related business 3 456 10 3 500 3 402 3 357 3 414 9.9% 3 262 • Overall market growth
Slide 9: Ettiketto Group
Ettiketto Group EBITA • Organic sales increase of 15% in the quarter and 3% LTM CAGR +28% • Margin increase in the quarter of 4pp compared to last year 900 900 879 859 856 870 25 • LTM EBITA margin of 21% - above the previous record in 2019 800 20.6% 21.0% • Acquisitions, synergies and operational i
Slide 10: Industry
Industry EBITA • Sales in line with last years quarter and EBITA of SEK 50 million vs CAGR +19% last year of SEK 91 million 4 000 25 • Continued strong performance in Corroventa, driven by a strong core business and floodings in Europe 3 500 3 541 3 445 3 280 3 318 3 316 • S:t Eriks continues to mee
Slide 11: 24 acquisitions and 3,5 billion of annual sales since 2020
24 acquisitions and 3,5 billion of annual sales since 2020 Sales, MSEK EBITA1 EBITA1 EBITA1 Industry ~40% ~41% ~29% Heco SALES Beneli SALES January 2020 180 June 2020 160 Pisla SALES Märkas SALES September 2020 240 September 2020 170 Duschy SALES Strongpoint SALES March 2021 100 June 2021 190 Corrov
Slide 12: Add-on acquisitions are an important value driver for Volati and our platforms
Add-on acquisitions are an important value driver for Volati and our platforms 1 170 1 125 1 086 1 021 1 017 867 8 8 8 823 • M&A have over time contributed with annual 770 749 782 742 7 7 753 sales of SEK 600–1,200 million 686 6 6 632 • Annual pace of 6-8 acquisitions 605 5 5 5 5 5 • Majority of the
Slide 13: Well positioned for further acquired growth
Well positioned for further acquired growth Net debt, SEK m 2 183 2 223 2 189 1 988 1 888 1 907 1 760 1 812 1 713 • Operational cash flow of SEK 177 million in Q3 2024 1 632 compared to SEK 244 million same period last year 1 344 1 049 1 024 • LTM Q3 2024 Cash flow of 704 million • Total cash genera
Slide 14: Summary
Summary • Performance in Q3 roughly in line with last year • Weak market conditions affecting four out of six platforms • Long term focus, good cost structures, and maintained or strengthened market positions speaks for accelerated organic growth once market return • Solid foundation for continued g
Slide 15: Volati
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