Slide 1: Interim Report Q2 January–June 2020
Interim Report Q2 January–June 2020 Mårten Andersson, CEO Andreas Stenbäck, CFO 17 July 2020 Volati Interim Report January–June 2020 1
Slide 2: Financial development in Q2 2020
Financial development in Q2 2020 Net sales, SEK million 2000 Net sales 1500 SEK 1,889 m (1,776) 1000 2018 2019 2020 500 0 EBITA Q1 Q2 Q3 Q4 SEK 181 m (129) 250 200 EBITA, SEK million 150 2018 2019 100 EBITA growth 2020 + 41% 50 0 Q1 Q2 Q3 Q4 Volati Interim Report January–June 2020 2
Slide 3: Another quarter of strong earnings growth
Another quarter of strong earnings growth • EBITA increased by 41 percent to SEK 181 million. • Earnings per ordinary share increased by 129 percent for the quarter and 279 percent for the year to date. • Operating cash flow was SEK 212 million – an increase by more than 5 times compared to Q2 2019.
Slide 4: Financial development, LTM Q2 2020
Financial development, LTM Q2 2020 Net sales EBITA Operating cash flow Net debt/adjusted EBITDA SEK 7,059 m SEK 589 m SEK 802 m 1.3 x (2019: 6,833) (2019: 513) (2019: 523) (2019: 1.5) 8 000 700 7 000 600 6 000 500 5 000 400 4 000 300 3 000 200 2 000 1 000 100 0 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Slide 5: Volati creates long-term value growth
Volati creates long-term value growth Since the IPO in 2016, our average annual EBITA growth has been 19 percent. 33 percent average annual EBITA growth since the start. Net sales EBITA 8 000 700 589 7 000 600 513 6 000 433 500 5 000 377 400 326 318 4 000 300 3 000 215 227 142 200 2 000 89 99 60 76
Slide 6: Trading
Business area Trading Continued growth in Trading • Another good quarter with strong growth in both sales and earnings. • Trading has benefited from good market conditions during the quarter, for example in the consumer-driven part of the building materials, hardware and 34% garden trade. • The prev
Slide 7: Consumer
Business area Consumer Stronger earnings for Consumer • Very strong earnings growth. • Earnings growth driven by our vehicle inspection operations, which continue to develop exceptionally well, due to the right availability of services, efficient 21% pricing, new establishments and cost control. • B
Slide 8: Akademibokhandeln
Business area Akademi- bokhandeln Akademibokhandeln’s digital channels growing • 20 percent growth in digital channels, in total accounting for 50 percent of revenue for the quarter. This partly compensates for the 27 percent decline in store sales, in the wake of the Covid-19 pandemic. 12% • Growth
Slide 9: Industry
Business area Industry Another good quarter for Industry • The Industry business area had another good quarter with stable EBITA growth. • The business area is characterised by clear strategies for the operations, 33% good management and a focus on earnings growth. • The work on identifying and eval
Slide 10: Well-positioned for further acquisitions
Well-positioned for further acquisitions Successful acquirer Proven ability to make major acquisitions, integrate acquired companies and deliver on the investment hypothesis. 802 Operating cash flow, LTM Q2 2020 Ready for further acquisitions (SEK million) Volati’s acquisition agenda is run both cen
Slide 11: Completed add-on acquisitions since 2019
Completed add-on acquisitions since 2019 Stenentreprenader April 2019 Add-on acquisition to business area Industry and business unit S:t Eriks Mundus Maskin April 2019 Add-on acquisition to business area Industry and business unit Tornum Väggmaterial September 2019 Add-on acquisition to business are
Slide 12: Financial targets
Financial targets EBITA growth Return on adjusted equity Capital structure The target is average annual growth in The long-term target is a return on adjusted The target is a net debt/adjusted EBITDA* EBITA per ordinary share of at least 15 equity* of 20 percent. Return on adjusted ratio of 2 to 3 t
Slide 13: Capital structure
Capital structure • Equity of SEK 2,426 million, of which preference shares SEK 828 million. • Revolving credit facility of SEK 900 million. • Overdraft credit of SEK 300 million. • Revolving credit facility and overdraft credit due Q1 2022, with option to prolong for 1+1 years. • Bond issued in Vol
Slide 14: Conclusions and steps ahead
Conclusions and steps ahead Giving companies the Another quarter with strong earnings growth • 41 percent growth in EBITA with contributions from most of right conditions to grow our business areas. Strong business area organisation • Creates strong focus on operational efficiency and value creation
Slide 15: Volati – a growing Swedish Industrial Group
Volati – a growing Swedish Industrial Group Volati Interim Report January–June 2020 15
Slide 16: Volati Interim Report January–June 2020
Volati Interim Report January–June 2020 16