Lagercrantz Group Ab Class B · OMXSTO:LAGR_B
Lagercrantz Group Ab Class B — Q3 2019/20 Earnings Presentation
20 slides from Lagercrantz Group Ab Class B's earnings presentation, Jan 29, 2020
Slide 1: Interim Report Q3 2019/20
Interim Report Q3 2019/20 April – December 2019 (9 months) January 29, 2019 Jörgen Wigh, CEO Kristina Elfström Mackintosh, CFO
Slide 2: Technology group with leading positions in niches
Introduction to Lagercrantz Group Techology group with leading positions in niches Lagercrantz Group Electronics Mechatronics Communications Niche Products 15 profit centres 11 profit centres 15 profit centres 13 profit centres 8 countries 8 countries 5 countries 6 countries ◼ B2B Tech in niches. ◼
Slide 3: Divisions
Introduction to Lagercrantz Group Divisions Electronics Mechatronics Communications Niche Products • IoT, M2M & RFID • Electrics, components and • Technical security • Niched proprietary product • LED connection systems • Control and access companies • Components, electronics • Cable harnesses and s
Slide 4: Revenues and profits
Interim report Q3 2019/20 Revenues and profits Rolling 12 months, quarterly data Nettoomsättning Net sales Resultat efterfinancial Result after finansnetto items 4 500 450 Result after financial items, MSEK 4 000 400 3 500 350 Net sales, MSEK 3 000 Organic growth 300 More acquisitions 2 500 250 2 00
Slide 5: Business conditions Q3
Interim report Q3 2019/20 Business conditions Q3 ◼ Market situation in main markets in the Nordics was stable. Continued slowdown in the Group’s minor market Germany. Export sales to USA, Asia and the rest of Europe continued to develop well. ◼ The largest units Elpress, R-Con, Asept, and the units
Slide 6: Q3 2019/20 July – December 2019
Interim report Q3 2019/20 Q3 2019/20 July – December 2019 ◼ Net revenues increased by 9% to MSEK 1 099 (1 011). ◼ Increase mainly due to acquisitions, where acquired units contributed with MSEK 69, +7% ◼ Operating profits (EBITA) increased by 14% to MSEK 156 (137). ◼ Operating margin (EBITA) was 14.
Slide 7: 9 months 2019/20
Interim report Q3 2019/20 9 months 2019/20 April – December 2019 ◼ Net revenues increased by 7.5% to MSEK 3 068 (2 854). ◼ Organic growth was 1% and acquired businesses contributed with MSEK 157, +6%. ◼ Operating profits (EBITA) increased by 13% to MSEK 413 (366). ◼ Operating margin (EBITA) was 13.5
Slide 8: Outcome per division
NET SALES 2019/20 2018/19 2017/18 MSEK Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4 Q3 Electronics 262 264 261 288 245 234 231 245 215 Outcome per division Mechatronics 323 266 288 288 278 267 289 272 268 Communications 269 215 226 252 247 196 223 222 218 Niche Products 245 209 240 250 241 198 205 214 187 Parent Company
Slide 9: Comments by division
Interim report Q3 2019/20 Comments by division Electronics EBITA amounted to MSEK 27 (27). Unitronic (DE) had a weaker performance and ACTE Sweden as well as some of the LED- and units in lighting control did not match the result for comparable period. The acquisitions Schmitztechnik and G9 contribu
Slide 10: Of importance ahead
Of importance ahead ◼ Adjust strategies, measures and actions to the situation in each company. ◼ Focus on growth. ◼ Continued focus on value added. ◼ Acquisitions – of leading companies in expansive niches. 10
Slide 11: Vision and goals for Lagercrantz
Vision and goals for Lagercrantz Leading supplier of value- adding technologies with market-leading positions in several expansive niches. ◼ Annual growth of not less than 15% in profit after financial items. ◼ Return on equity of not less than 25%. 11
Slide 12: Focus on value-add
Focus on value-add ◼ Focus on adding value Gross margin, % 37.5 and gross margins 36.7 36.3 36.7 34.8 ◼ Setting goals 31.6 32.1 ◼ Training 30.5 28.0 29.0 ◼ Customisation 26.3 26.5 ◼ Service 24.5 25.3 ◼ Support 21.2 ◼ Phasing-out products with low margins ◼ Higher proportion of proprietary products ◼
Slide 13: Broadening of operations
Broadening of operations Percentage share of Group sales, Moving 12-months based on quarterly data 3 4 4 5 4 4 4 3 3 3 3 3 4 4 6 5 6 6 5 5 4 4 4 9 9 8 8 7 11 11 10 9 9 12 15 14 12 13 13 13 13 13 Proprietary products 29 28 25 33 32 Value adding distribution 41 44 54 50 47 59 57 54 Niche production 62
Slide 14: Acquisitions
45 acquisitions since 2006, including : Acquisitions 2013. Frontwall (asset deal for Steelo, Niche Products) Asept International AB (Niche Products) El-produkter AS (Electronics) 2014. LIAB Load Indicator AB (Communications) ◼ Focus on acquiring leading Precimeter Control AB (Communications) compani
Slide 15: Frictape
Frictape ◼ Finnish Frictape is a leading supplier of safety products for helidecks, primarily landing and perimeter nets and Circle and H Lights. ◼ Revenues of approx MEUR 7 of which 99% on exports. ◼ Frictape has its’ operations close to Helsinki with production in Tallinn, Estonia. ◼ Part of the d
Slide 16: G9
G9 ◼ Danish G9 designs and delivers products for park and urban environments including products such as automatic height-adjustable bollards and barriers and products for water and wetlands. ◼ G9 are located in Randers, Denmark and generate annual revenue of about MDKK 42 with good profitability. ◼
Slide 17: Dorotea Mekaniska AB
Dorotea Mekaniska AB ◼ Dorotea Mekaniska (DMAB) produces and sells amphibian vehicles and tools, for cutting reed and other water plants, by the name Truxor. ◼ The selling is done via 49 sales representatives worldwide. ◼ DMAB’s operations are in Dorotea, Sweden and it generates annual revenue of ab
Slide 18: Schmitztechnik GmbH
Schmitztechnik GmbH ◼ Schmitztechnik is leading in a number of OEM segments with customer specific silicon, rubber, PUR and industrial plastic products primarily to manufacturers. ◼ The customer base is mainly German. ◼ Schmitztechnik is based in Mönchengladbach with a net sales of around 65 MSEK wi
Slide 19: Financial overview
Financial overview R12 Q3 12/13 12/13 13/14 14/15 15/16 16/17 17/18 18/19 19/20 Net Sales 2 265 2 328 2 546 2 846 3 057 3 096 3 410 3 932 4 146 EBITA 192 223 256 295 355 409 436 519 567 EBITA,% 8.5% 9.6% 10.1% 10.4% 11.6% 13.2% 12.8% 13.2% 13.7% EBT 171 200 230 265 307 351 358 431 465 EBT growth 25%
Slide 20: Thank you!
Thank you! www.lagercrantz.com