Slide 1: Europe still chilly, while light can be seen elsewhere
Europe still chilly, while light can be seen elsewhere NCAB Q4 report 13 February 2025 NCAB GROUP © Q4 2024 1
Slide 2: Today's presenters
NCAB GROUP Q4 Today’s presenters PETER KRUK TIMOTHY BENJAMIN CEO CFO NCAB GROUP © Q4 2024 2
Slide 3: Everything needs a PCB and each PCB is unique
DIGITALIZATION, ELECTRIFICATION AND IOT... Everything needs a PCB and each PCB is unique NCAB GROUP © Q4 2024 3
Slide 4: NCAB at a glance: mission and vision
19 45 628 33 companies markets specialists factories MISSION VISION PCBs for demanding customers, The Number 1 PCB Producer on time with zero defects, produced wherever we are sustainably at the lowest total cost NCAB GROUP © Q4 2024 4
Slide 5: Europe slow while order intake in other areas grew
KEY TAKE AWAYS IN Q4 2024 Europe slow while order intake in other areas grew Weak revenue, but order intake improves Weak general demand in main Europe markets impacting legacy and acquired businesses Nordics positive order intake continues from Q3, benefitting from defence growth North America and
Slide 6: Entry into new countries and acquiring good companies
M & A IN 2024 Entry into new countries and acquiring good companies April 11, Cumatrix, Belgium July 1, ICOM AG, Switzerland July 4, EPI Components Trade, Austria Sept 2, Print Production, Denmark Oct 10, DVS Global, Italy NCAB GROUP © Q4 2024 6
Slide 7: Q4 2024 in figures
Q4 2024 In figures Order intake increased by 4% to 907 (873) MSEK In USD order intake increased by 3% Book to bill 1.09 Net Sales decreased by 6% to 830 (879) MSEK Organic growth -11% in USD EBITA decreased to 72 MSEK, 8.6% EBITA-margin Gross Margin decreased to 35.9% (38.2) Operating cash flow at 4
Slide 8: Full year 2024 in figures
FULL YEAR 2024 In figures Order intake decreased by 1% to 3,701 (3,751) MSEK Book to bill 1.02 Net Sales decreased by 12% to 3,614 (4,088) MSEK Organic growth -15% in USD EBITA decreased to 450 MSEK, 12.4% EBITA-margin Gross Margin increased to 37.1% (36.0%) Operating cash flow at 354 MSEK (700) Div
Slide 9: EBITA margin affected by lower net sales
THE FOURTH QUARTER IN NUMBERS EBITA margin affected by lower net sales Q4 830 76.8 71.6 8.6 % 2024 Net sales, MSEK Net sales, MUSD EBITA, MSEK EBITA margin Change vs -6% -6% -40% -4.9 pp Q4 2023 NCAB GROUP © Q4 2024 9
Slide 10: Weaker top line but growing gross margins over time
Weaker top line but growing gross margins over time 36 37 31 32 32 30 30 31 Gross margin, % 4,458 Net sales, MSEK 4,088 3,614 3,220 2,115 1,617 1,781 1,400 2017 2018 2019 2020 2021 2022 2023 2024 NCAB GROUP © Q4 2024 10
Slide 11: Order intake turning up while net sales was weak
ORDER INTAKE AND NET SALES IN Q4 2024 Order intake turning up while net sales was weak MSEK Order intake increased by 4% to 907 and for 1,000 +4% comparable units in USD by 3% Positive development in Nordics, North America 800 1,005 and East but still weak demand Europe 600 Net sales decreased by 6%
Slide 12: EBITA result weak in Q4 from lower topline
EBITA RESULT EBITA result weak in Q4 from lower topline MSEK 160 16 % EBITA decreased to 71.6 MSEK (119.0) 140 13.5% 14 Caused by lower revenue and gross margin 119 120 12 primarily in Europe 100 10 8.6% The EBITA margin decreased to 8.6% (13.5) 80 72898 8 Gross margin still good at 35.9% (38.2) 60
Slide 13: Segments: Nordic
SEGMENTS Nordic Order intake increased by 14% to 234 MSEK (204) MSEK Aerospace and defence continue to build order book 220 20 % 200 with longer lead times 15.7% 180 15.3% Green energy and construction start to improve 160 15 140 Continued positive book to bill at 1.19 120 217 898 10 100 197 Net sal
Slide 14: Segments: Europe
SEGMENTS Europe Order intake inline with last year, 428 MSEK (429) supported by acquisitions MSEK 700 16 % Demand in Germany, Italy and UK remain weak 13.3% 14 600 but improvements elsewhere 12 500 Positive development in commercial vehicles 10 and aerospace 400 898 8 300 Book to bill at 1.17 6 200
Slide 15: Segments: North America
SEGMENTS North America Order intake inline with last year, 190 MSEK (190) MSEK 250 18 % Full year order intake up 14.8%, and for 16.0% 16 comparable units up 5% 200 13.3% 14 Net sales increased by 7% to 205 MSEK (191) 12 150 Strong technical support leveraging group 10 898 capabilities and expanding
Slide 16: Segments: East
SEGMENTS East MSEK Order intake increased 11% to 55 MSEK (49) 100 22 % 90 20 Continued good progress in developing niche 20.0% 80 18 applications in high tech segments 17.3% 16 70 14 60 General market not yet in growth but 12 50 898 development in data centres and telecom is 10 40 8 helping to incre
Slide 17: Still strong finances to support our growth
KPI:s Still strong finances to support our growth 2024 2023 ROE % 18.3 31.9 Net debt/EBITDA 1.5 0.9 Equity/Asset ratio % 42.7 41.5 Net working capital, MSEK 333 288 Net working capital/Net sales LTM % 8.6 6.9 Available liquidity, MSEK 1,336 994 Dividend 1,10* 1,10 *) suggested by the Board NCAB GROU
Slide 18: Good progress in our pipeline
NCAB ACQUISITION PROCESS Good progress in our pipeline Focus on Europe, US and East Approx. 300 identified companies HMLV segment Example of criteria Right customer portfolio No own production Profitable company Shortlist ~ 50 target companies Cumatrix, Belgium EPI Components, Austria 2024 ICOM Indu
Slide 19: Global PCB market resuming growth
OUTLOOK FROM PRISMARK Global PCB market resuming growth 100,000 Projected outlook of 5,6% significantly above CAGR 90,000 ~ 5,6% historical average 2001-2024 of 3,5% 80,000 70,000 60,000 50,000 40,000 30,000 20,000 10,000 0 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2
Slide 20: Electronics Systems Market Growth Projection
PRISMARK PROJECTIONS FOR DIFFERENT END USES Electronics Systems Market Growth Projection 20.0% NCAB main presence 15.0% 10.0% 2024 5.0% 2025-2028 0.0% Computer Communication Consumer Automotive Industrial Medical Aerospace & Defence -5.0% -10.0% NCAB GROUP © Q4 2024 20
Slide 21: A clear strategy for high-pace profitable growth
A clear strategy for high-pace profitable growth! GEOGRAPHICAL EXPANSION GEOGRAPHICAL Expand geographically to EXPANSION new markets using MARKET CONSOLIDATION Expand geographically to new markets using Consolidate market and explore economies of M&A to accelerate process M&A to accelerate process s
Slide 22: Q&A
Q&A NCAB GROUP © Q4 2024 22
Slide 23: Financial calendar 2025
Financial calendar 2025 Annual Report 10 April Q1 2025 25 April Annual General Meeting 8 May Investor contact: Gunilla Öhman gunilla.ohman@ncabgroup.com NCAB GROUP © Q4 2024 23