Lagercrantz Group Ab Class B · OMXSTO:LAGR_B
Lagercrantz Group Ab Class B — FY2019/20 Earnings Presentation
24 slides from Lagercrantz Group Ab Class B's earnings presentation, May 13, 2020
Slide 1: Year-End Report 2019/20
Year-End Report 2019/20 April 2019 – March (12 months) May 13, 2020 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 ◼ Technology group in ex
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
Year-End Report 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 2 000
Slide 5: Business conditions
Year-End Report 2019/20 Business conditions ◼ Market situation in the Group’s main markets in the Nordic countries and Northern Europe was stable. Export outside the Nordics have increased in recent years and now represents about 34% of the business volume. ◼ The largest units Elpress, R-Con, Tormek
Slide 6: Q4 2019/20 January – March 2020
Year-End Report 2019/20 Q4 2019/20 January – March 2020 ◼ Net revenues increased by 3% to MSEK 1,112 (1,078). ◼ Operating profits (EBITA) amounted to MSEK 152 (153). ◼ Operating margin (EBITA) was 13.7% (14.2). ◼ Profits after financial items amounted to MSEK 126 (130). ◼ Cashflow from operating act
Slide 7: 12 months 2019/20
Year-End Report 2019/20 12 months 2019/20 April 2019 – March 2020 ◼ Net revenues increased by 6% to MSEK 4,180 (3,932). ◼ Operating profits (EBITA) increased by 9% to MSEK 565 (519). ◼ Operating margin (EBITA) increased to 13.5% (13.2). ◼ Profits after financial items was MSEK 460 (431), +7%. ◼ Prof
Slide 8: Outcome per division
NET SALES 2019/20 2018/19 MSEK Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Electronics 261 262 264 261 288 245 234 231 Outcome per division Mechatronics 345 323 266 288 288 278 267 289 Communications 256 269 215 226 252 247 196 223 Niche Products 250 245 209 240 250 241 198 205 Parent Company/consolidation - - - - - -
Slide 9: Comments by division
Year-End Report 2019/20 Comments by division Electronics EBITA decreased to MSEK 16 (32). Unitronic (DE) is restructured under new management, also ACTE Poland is restructured and Vanpee Norway and El- produkter are being integrated. The acquisitions Schmitztechnik and G9 contribute positively as ex
Slide 10: Of importance ahead
Of importance ahead ◼ Adjust strategies, measures and actions to the situation in each company. ◼ Actions due to the Covid-19 pandemic. ◼ 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: Measures due to the Covid-19 pandemic
Measures due to the Covid-19 pandemic ◼ The Group is affected like other companies by the Covid-19 pandemic. The effects were limited during the fourth quarter of the financial year but shall affect the operations to a greater extent during the coming quarters. ◼ Within the Group, preparations are b
Slide 13: Purchasing per country 2019/20
Year-End Report 2019/20 Purchasing per country 2019/20 13
Slide 14: Organic growth
Organic growth ◼ Board work, MD conference and internal focus on growth. ◼ Business Plans in all companies with short, medium and long term targets. ◼ Strategies for growth in all companies. ◼ ”Dig where you stand”, new products, new customers and segments and new geographies. ◼ High potentials iden
Slide 15: Focus on value-add
Focus on value-add ◼ Focus on adding value Gross margin, % 37.4 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 16: 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 2 3 3 5 6 6 6 5 5 5 4 9 9 8 8 6 7 10 8 10 12 15 14 12 12 13 13 13 13 13 13 Proprietary products 26 25 22 29 34 Value adding distribution 41 44 54 50 47 59 57 54 Niche production 6
Slide 17: Acquisitions
Acquisitions 45 acquisitions since 2006, including : 2014. LIAB Load Indicator AB (Communications) Precimeter Control AB (Communications) ◼ Focus on acquiring leading 2015. Excidor AB (Communications) Svenska Industriborstar i Västerås AB (Niche Products) companies in expansive niches. Dooman Teknik
Slide 18: 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 19: 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 20: 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. ◼ Sales is done through 49 sales representatives worldwide. ◼ DMAB’s operations are in Dorotea, Sweden and it generates annual revenue of abou
Slide 21: Financial overview
Financial overview 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 4 180 EBITA 192 223 256 295 355 409 436 519 565 EBITA,% 8.5% 9.6% 10.1% 10.4% 11.6% 13.2% 12.8% 13.2% 13.5% EBT 171 200 230 265 307 351 358 431 460 EBT growth 25% 17% 15
Slide 22: Thank you!
Thank you! www.lagercrantz.com
Slide 23: Board and Management
Appendix Board and Management Board of Directors Management Jörgen Wigh Kristina Mackintosh Magnus Söderlind Per Ikov Carina Nordlöf Anders Börjesson Anna Almlöf Lennart Sjölund President & CEO CFO Executive VP VP Bus Development Group Controller Chairman of the Board (DK) Ulf Södergren Anna Marsell
Slide 24: The share & owners
The share & owners • B share listed on Nasdaq Owners 2020-03-31 Shares Votes Stockholm, Mid Cap Anders Börjesson & Tisenhult-gruppen 5.7% 29.3% • Ticker: LAGR B SEB Funds 14.7% 10.2% Swedbank Robur Funds 11.7% 8.2% Didner & Gerge Funds 7.5% 5.2% Fidelity Investments 5.7% 4.0% ODIN Funds 4.3% 3.0% Ha