Lagercrantz Group Ab Class B · OMXSTO:LAGR_B
Lagercrantz Group Ab Class B — FY 2020/21 Earnings Presentation
27 slides from Lagercrantz Group Ab Class B's earnings presentation, May 11, 2021
Slide 1: Year-end report 2020/21
Year-end report 2020/21 April 2020 – March 2021 (12 months) May 11, 2021 Jörgen Wigh, CEO Kristina Elfström Mackintosh, CFO
Slide 2: Tech Group with leading positions in niches
Introduction to Lagercrantz Group Tech Group with leading positions in niches Lagercrantz Group Electrify Control TecSec Niche Products International 14 companies 10 companies 7 companies 15 companies 12 companies 9 countries 7 countries 5 countries 7 countries 7 countries ◼ B2B Tech Group offering
Slide 3: Divisions
Introduction to Lagercrantz Group Divisions Electrify • Electrical and infrastructure products Control • Measure & Control TecSec • Technical security Niche Products • Niched proprieraries International • Niched companies internationally (DK, NO, DE, UK, PL) www.lagercrantz.com 3
Slide 4: Revenues and profits
Year-end report 2020/21 Revenues and profits Rolling 12 months, quarterly data Nettoomsättning Net sales Resultat efterfinancial Profits after finansnetto items 5 500 550 5 000 500 Profits after financial items, MSEK 4 500 450 Net sales, MSEK 4 000 400 3 500 350 Organic growth More acquisitions 3 00
Slide 5: Business conditions
Year-end report 2020/21 Business conditions ◼ General improvement and recovery during the quarter. Order intake was up about 5% compared to Q4 last year for comparable units. A handful of the Group’s 55 businesses still affected by the pandemic. ◼ Most of the Group’s largest profit centers continue
Slide 6: Q4 2020/21 January – March 2021
Year-end report 2020/21 Q4 2020/21 January – March 2021 ◼ Net revenues amounted to MSEK 1 118 (1 112). ◼ EBITA increased to MSEK 192 MSEK (152). ◼ All-time-high EBITA-margin of 17.2% (13.7). ◼ Profits after financial items increased by 32% to MSEK 166 (126). ◼ Profits after tax increased to MSEK 126
Slide 7: FY 2020/21 April 2020 – March 2021
Year-end report 2020/21 FY 2020/21 April 2020 – March 2021 ◼ Net revenues amounted to MSEK 4 091 (4 180). ◼ EBITA increased by 9% to MSEK 616 (565). ◼ EBITA-margin at 15.1% (13.5). ◼ Profits after financial items increased by 9% and amounted to MSEK 502 (460). ◼ Profits after tax amounted to MSEK 38
Slide 8: Outcome by division
NET SALES 2020/21 2019/20 MSEK Q4 Q3 Q2 Q1 Q4 Q3 Q2 Q1 Outcome by division Electronics 258 255 236 224 278 279 281 279 Mechatronics 330 311 295 313 356 335 273 297 Communications 214 237 172 199 239 251 198 209 Niche Products 316 275 215 241 239 234 202 230 Parent Company/consolidation items - - - -
Slide 9: Comments by division
Year-end report 2020/21 Comments by division Electronics EBITA increased by 85% to MSEK 37 (20), an EBITA-margin of 14.3% (7.2). The division's measures during the year, with successful restructurings in Germany, Poland and Norway, as well as the improved market situation in Germany, have contribute
Slide 10: Lagercrantz toward one billion
Of importance ahead Lagercrantz toward one billion “Our business concept has been successful for many years. Through this strategic program, we will continue the journey and within 5 years build an even stronger B2B Tech Group with one billion in profits. ” Key themes; ◼ Clarifying strategies and fi
Slide 11: Vision and financial goals
Lagercrantz towards one billion Vision and financial goals Sustainable supplier of value- adding technologies with market-leading positions in several expansive niches. ❖ Annual profit growth >15% (EBT) ▪ At least 1/3 organically and the rest through 5-8 acquisitions per year. ❖ Return on equity > 2
Slide 12: Aim of 75% proprietaries
Lagercrantz towards one billion Aim of 75% proprietaries 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 2 6 6 6 5 5 5 4 4 9 9 8 6 5 7 8 9 10 8 10 12 15 14 12 12 13 13 13 13 13 13 Proprietary products 20 26 25 22 29 Value adding 34 41 distributio
Slide 13: Remaining focus on value-add
Lagercrantz towards one billion Remaining focus on value-add ◼ Focus on adding Gross margin, % 37.4 38.6 value and gross 36.7 36.3 36.7 margins 34.8 ◼ Setting goals 32.1 30.5 31.6 ◼ Training 28.0 29.0 ◼ Customisation 26.3 26.5 24.5 25.3 ◼ Service 21.2 ◼ Support ◼ Phasing-out products with low margin
Slide 14: Reorganizing into 5 divisions
Lagercrantz towards one billion Reorganizing into 5 divisions Electrify Control TecSec Niche Products International 14 companies 10 companies 7 companies 15 companies 12 companies 9 countries 7 countries 5 countries 7 countries 7 countries Products for Measure and control Solutions for Niched produc
Slide 15: Outcome by division
Pro forma new division structure as of April 1, 2021 Outcome by division Year-end report 2020/21 . . 15
Slide 16: Increased focus on sustainability
Lagercrantz towards one billion Increased focus on sustainability Group initiatives in three 50+ local areas: initiatives Reduce the carbon footprint by Different local striving to become neutral by initiatives which Environmental 2030 at the latest. focuses on development and delivery on Gover- Soc
Slide 17: Increased capacity within M&A
Lagercrantz towards one billion Increased capacity within M&A ◼ At least 1/3 of the growth will be organically the remaining will be from acquiring 5 – 8 companies per year. ◼ Central M&A resources but increased capacity and responsibility in the divisions. ◼ Continued development of international r
Slide 18: Acquisitions
57 acquisitions since 2006, including : Acquisitions 2016. Kondator AB (Niche Products) GasIQ AB (Communications) Skomø A/S (Communications) Exilight Oy (Mechatronics) ◼ Focus on acquiring leading 2017. E-Tech Components Ltd (Electronics) companies in expansive niches. Bereila B.V. (add-on to Asept,
Slide 19: VP Metall AS
VP Metall AS ◼ VP Metall is market leader in electrical connectors based on so- called implosive connectors primarily for high voltage applications. ◼ Annual revenue of approx. MNOK 40. ◼ Located in Raufoss (NO). ◼ Sales is mainly in the Nordics but also export to other parts of the world. ◼ Part of
Slide 20: Oy Esari Ab
Oy Esari Ab ◼ Esari is one of Finland’s leading providers of equipment shelters and technical buildings. ◼ Annual revenues of approx. MEUR 5. ◼ Located in Kaustinen (FI). With sales mainly in Finland but also with some exports to Sweden. ◼ Part of the Mechatronics division from January 2021. MEUR 20
Slide 21: Hovicon International B.V.
Hovicon International B.V. ◼ A Dutch company with dispensers for personal hygiene products such as soap and hand disinfection, and for sauces such as ketchup and mayonnaise for fast-food restaurants and kitchens. ◼ Annual revenues of approx. MEUR 6 with significant growth in the personal hygiene seg
Slide 22: Sajas Group
Sajas Group ◼ Sajas Group is a leading supplier of brushes for road sweeping, airfield and railway cleaning etc. ◼ Annual revenues of approx. MEUR 10. ◼ Located in Tampere (FI), Tallin (EE) and Hagen (Osnabrück) (DE). ◼ Sales mainly in the Nordics, the Baltics and Germany but also some exports. MEUR
Slide 23: CW Lundberg
CW Lundberg ◼ CW Lundberg is a leader in safety products for roofs and facades. ◼ Annual revenues of approx. MSEK 185. ◼ Most sales are generated in Sweden but the company is also pursuing international expansion in Europe and is established in Norway and Poland. ◼ Development, marketing and product
Slide 24: Financial overview
Financial overview 12/13 13/14 14/15 15/16 16/17 17/18 18/19 19/20 20/21 Net Sales 2 328 2 546 2 846 3 057 3 096 3 410 3 932 4 180 4 091 EBITA 223 256 295 355 409 436 519 565 616 EBITA,% 9.6% 10.1 10.4% 11.6% 13.2% 12.8% 13.2% 13.5% 15.1% % EBT 200 230 265 307 351 358 431 460 502 EBT growth 17% 15%
Slide 25: Thank you!
Thank you! www.lagercrantz.com
Slide 26: Board and Management
Appendix Board and Management Board of Directors Management Jörgen Wigh Kristina Mackintosh Per Ikov Anders Börjesson Anna Almlöf Anders Claeson President & CEO CFO VP Bus Development (DK) Chairman of the Board Ulf Södergren Anna Marsell Peter Baaske Urban Lindskog Martin Sirvell Head of Electrify H
Slide 27: The share & owners
The share & owners • B share listed on Nasdaq Owners 2021-03-31 Shares Votes Stockholm, Mid Cap Anders Börjesson & Tisenhult-gruppen 5.7% 29.3% • Ticker: LAGR B SEB Investment Management 15.0% 10.5% Swedbank Robur Funds 12.7% 8.9% Fidelity Investments (FMR) 6.1% 4.2% Lannebo Funds 4.9% 3.4% ODIN Fun