Loomis Ab · OMXSTO:LOOMIS

Loomis Ab — H1 2009 Earnings Presentation

12 slides from Loomis Ab's earnings presentation, Jul 31, 2009

  1. Slide 1: January – June 2009

    January – June 2009 President and CEO: Lars Blecko Stockholm July 31, 2009

  2. Slide 2: Highlights H1 2009

    Highlights H1 2009 ‰ Challenging market development in our key countries. ‰ Organic revenue decreased -2%. ‰ Major cost reductions implemented to offset revenue decline. Additional measures under way. ‰ Increased operating margin 5.9 percent (5.7). ‰ Significant positive FX effects. ‰ Continued stro

  3. Slide 3: Organic revenue decline - components

    Organic revenue decline - components ‰ Consolidated H1 revenue with an organic negative growth -2%. => Europe -3% negative organic growth. => US -1% negative organic growth. ‰ Both Europe and US include several factors: => Recession driven factors => Fuel fee, contract losses and fewer working days

  4. Slide 4: Financial highlights – income statement

    Financial highlights – income statement Income statement (MSEK) Apr-Jun Apr-Jun Variance Jan-Jun Jan-Jun Variance 2009 2008 % 2009 2008 % Revenue 3 018 2 669 13% 6 205 5 316 17% Organic revenue growth, % -4% 4% -2% 3% Operating income before amortization (EBITA) 183 163 12% 368 303 21% Operating mar

  5. Slide 5: Impact by recession – June 2009

    Impact by recession – June 2009 Postive effects: Present ‰ increase in proportion of cash purchases ++ ‰ lower staff turnover +++ ‰ increased outsourcing from banks, focus on core - Negative effects: ‰ increased risk of robbery +++ ‰ reduced consumtion +++ ‰ increased risk for bad debt + + = correct

  6. Slide 6: Financial highlights – Operating margin development

    Financial highlights – Operating margin development 9,0% 8,0% 7,0% 6,0% 5,0% 4,0% 3,0% 2,0% 1,0% 0,0% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2007 2008 2009 Quarters Rolling 12 Seasonality, H2 earnings higher than H1

  7. Slide 7: Segment - Europe

    Segment - Europe Sales development MSEK MSEK 7 800 2 200 ‰ Negative organic revenue development of 7 600 2 000 7 400 -3 percent, mainly due to recession and 7 200 1 800 Rolling 12 contract losses / fewer invoicing days. Quarters 7 000 1 600 6 800 6 600 1 400 6 400 ‰ Many markets not affected by rece

  8. Slide 8: Segment - USA

    Segment - USA Sales development MUSD MUSD 700 170 ‰ Negative organic revenue development 660 160 of -1 percent, greater decline in Q2. Rolling 12 Quarters 620 150 580 140 ‰ Cost structure was not reduced with 540 130 decline in revenue. 500 120 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2007 2008 2009 ‰ Group CF

  9. Slide 9: Financial highlights – Free cash flow

    Financial highlights – Free cash flow Free cash flow (MSEK) Apr-Jun Apr-Jun Jan-Jun Jan-Jun 2009 2008 2009 2008 Operating income before amortization 183 163 368 303 Depreciation 196 162 393 319 Change in accounts receivable 0 -33 15 -110 DSO 40 45 40 45 Change in other operating capital employe 24 6

  10. Slide 10: Financial highlights – net debt

    Financial highlights – net debt Net debt development (MSEK) Net debt December 31. 2008 -2 375 Free cash flow 116 Acquisitions and divestitures -9 IAC payments -3 Dividend -164 Change in net debt -60 FX translation -12 Net debt June, 2009 -2 447 - Covenant of 2,75 Net debt / EBITDA in credit facility

  11. Slide 11: Wrap up

    Wrap up ‰ Challenging market development. Worrying negative trend started in late H1 in the US. ‰ Continued focus on profitability through increased operational efficiency, i.e. price, branch and risk. ‰ Europe succesfully implemented cost reductions. US cost structure was not reduced to match decli

  12. Slide 12: Managing Cash in Society

    Managing Cash in Society

Loomis — H1 2009 Earnings Presentation on 6ix