Slide 1: Q2 April – June 2018
Q2 April – June 2018 17 August 2018
Slide 2: Q2 financial highlights
Q2 financial highlights Revenue • Operating revenue increased 1% to SEK 1,696m (1,678). The now divested home care operations contributed with SEK 68m to revenue the corresponding quarter last year. Excl. for the home care operation revenue increased with 5%. • The organic growth in the quarter was
Slide 3: Operational highlights in Q2 (I/IV) Individual & Family
Operational highlights in Q2 (I/IV) Individual & Family - “Strengthened operations with potential for further improvements” • A quarter for I&F where we continue to see expected positive effects to profits from implemented efficiency measures • Markets for institutional care have stabilized whereas
Slide 4: Operational highlights in Q2 (II/IV) Personal Assistance
Operational highlights in Q2 (II/IV) Personal Assistance Personal Assistance - “Signs of a somewhat improving market” • We start to see a certain stabilization in the market following the positive changes communicated earlier: • number of individuals entitled to personal assistance in the market con
Slide 5: Operational highlights in Q2 (III/IV) Elderly Care
Operational highlights in Q2 (III/IV) Elderly Care – “Return to profit and while focus on expansion” • The solid organic growth continues in the quarter, 35% driven by newly started own managed units • revenue development still impacted by last years divesture of home care operation (SEK 68m contrib
Slide 6: Operational highlights in Q2 (IV/IV) Other Nordics
Operational highlights Other in Q2 (IV/IV) Nordics Other Nordics - “Clear improvement in revenue and earnings in Norway and continued solid performance in Finland” • The Norwegian operations showed clear improvements in the quarter as a result of: • cost efficiency program continuing to materialise
Slide 7: Politics and markets for private care in the Nordics
Politics and markets for private care in the Nordics Stable markets and proposal to restrict profits was voted down in Swedish parliament • Certain stabilization in market for personal assistance • Stable and good demand for institutional care in I&F. Challenging markets within F&Ö • Strong demand f
Slide 8: Humana Q2 2018 - Operating revenue
Operating revenue Humana Q2 2018 - SEK million Operating revenue Comments 5%* 1,696 • Operating revenue grew 5% to SEK 1,696m excl. for the now divested home care operations 1,610 +9% – organic increase of 3.4% explained by: • strong organic growth within Elderly Care and Other Nordics • positive co
Slide 9: Humana 6M 2018 - Operating revenue
Operating revenue Humana 6M 2018 - SEK million Operating revenue 3,344 Comments 5%* • Operating revenue increased 5% to SEK 3,344m excl. for the now divested home care operations +9% – organic increase of 2.6% explained by: 3,191 • strong organic growth within Elderly Care and Other Nordics • positi
Slide 10: Humana Q2 2018 – Adjusted operating profit
Humana Q2 2018 – Adjusted operating profit Adjusted operating profit SEK million % Comments Adjusted operating profit was SEK 78m (60), an increase of 31%. 100 5 +31% 4.6% Positive impact from: +9% – revenue increase and lowered 78 costs in Norway 3.6% – turning from loss to profit in 60 Elderly Car
Slide 11: Humana 6M 2018 – Adjusted operating profit
Humana 6M 2018 Adjusted operating profit – Adjusted operating profit SEK million % Comments 200 10 Adjusted operating profit was SEK 159m (125), an increase of 27%. 159 8 Positive impact from: +27%+9% – lowered costs in Individual & 125 Family and Norway 6 – improvements in utilisation in the Norweg
Slide 12: Individual & Family – Q2 2018
Operating revenue Individual & Family SEK million -2% – Q2 2018 569 555 Comments • Operating revenue decreased 2% to SEK 555m – organic decrease of -2.4% partly explained by LSS contracts that have gone back to municipal Q2 2017 Q2 2018 management Operating profit (EBIT) – some slower development wi
Slide 13: Personal Assistance – Q2 2018
Operating revenue Personal Assistance SEK million 652 1% 659 – Q2 2018 Comments • Operating revenue 1% higher than same period last year at SEK 659m. • Operating profit decreased to SEK 25m (29), operating margin 3.8% (4.4) Q2 2017 Q2 2018 – explained by fewer clients and the fact that costs for sal
Slide 14: Elderly Care – Q2 2018
Operating revenue SEK million Elderly Care – Q2 2018 148 -27% 108 Comments • Operating revenue decreased by 27% in Q2 2018 to SEK 108m but organic growth of 35.3% from own managed elderly care homes and contracts. The revenue decrease is explained by the Q2 2017 Q2 2018 sale of home care operations
Slide 15: Other Nordics – Q2 2018
Operating revenue SEK million Other Nordics 23% 362 – Q2 2018 294 Comments • Operating revenue increased 23% to SEK 362m (294), driven by improvements in the Norwegian operation and the organic expansion in Finland. Organic increase at constant currency of 11.4%. • Operating profit increased to SEK
Slide 16: Cash flow – key highlights
Cash flow – key highlights SEK million Q2 2017 Q2 2018 Comments Operating cash flow before changes in 89 94 • Cash flow from operating working capital activities for the quarter was SEK Changes in working capital -19 87 148m vs. SEK 20m last year. Underline cash flow from operations 70 180 • Investm
Slide 17: Central costs/other
Central costs/other SEK million Comments Costs Q2 2017 Q2 2018 • Underlying central costs in Q2 2018 Underlying central costs 20 21 SEK 21m vs SEK 20m in Q2 2017 Effect from final settlement of - -9 additional purchase prices Cost for acquisitions - 5 Sale and lease back -15 - Long-term incentive pr
Slide 18: Q&A
Q&A
Slide 19: Appendix
Appendix
Slide 20: Financial targets
Financial targets Revenue growth Profitability • Annual growth rate • EBIT margin in the in the medium term medium term of of 8-10 percent, approximately 6 achieved through percent organic growth as well as bolt-on acquisitions Capital structure Dividend policy • The net debt in • 30 percent of net
Slide 21: Consolidated income statement
Consolidated income statement Apr$Jun Apr$Jun Jan$Jun Jan$Jun Jul$Jun Jan$Dec SEK0M 2018 2017 2018 2017 2017/18 2017 Net$revenue 1$685 1$663 3$333 3$312 6$563 6$542 Other$revenue 11 15 11 15 11 14 Operating0revenue 10696 10678 30344 30326 60574 60556 Other$external$costs 8265 8258 8528 8514 81$030 8
Slide 22: Consolidated balance sheet
Consolidated balance sheet 30#Jun 30#Jun 31#Dec SEK#M 2018 2017 2017 Assets Non(current,assets Goodwill 3(170 3(080 3(104 Other(intangible(assets 10 12 10 Property,(plant(and(equipment 452 371 413 Financial(assets 15 8 8 Total,non(current,assets 3#647 3#471 3#535 Current,assets Trade(receivables(and
Slide 23: Consolidated cash flow statement
Consolidated cash flow statement Apr$Jun Apr$Jun Jan$Jun Jan$Jun Jul$Jun Jan$Dec SEK0M 2018 2017 2018 2017 2017/18 2017 Profit0before0tax 61 58 119 109 260 250 Adjustment0for: Depreciation+ 16 15 31 29 62 60 Financial+items,+net 17 17 40 30 75 65 Cash0flow0from0operating0activities0before0changes0in
Slide 24: Key ratios
Key ratios Apr$Jun Apr$Jun Jan$Jun Jan$Jun Jul$Jun Jan$Dec 2018 2017 2018 2017 2017/18 2017 Operating*revenue 1*696 1*678 3*344 3*326 6*574 6*556 EBIT,*% 4,6% 4,4% 4,8% 4,2% 5,1% 4,8% Interest=bearing*net*debt,*SEK*M 1*417 1*561 1*417 1*561 1*417 1*440 Return*on*capital*employed,*% 2,0% 1,9% 4,1% 3,
Slide 25: Segments financials
Segments financials Operating*revenue*by*business*area Apr1Jun Apr1Jun Jan1Jun Jan1Jun Jul1Jun Jan1Dec SEK*M 2018 2017 % 2018 2017 % 2017/18 2017 % Individual)&)Family 555 569 12% 1)106 1)123 11% 2)196 2)212 11% Personal)Assistance 659 652 1% 1)312 1)301 1% 2)632 2)621 0% Elderly)Care 108 148 127% 2