Ratos Ab Class A · OMXSTO:RATO_A
Ratos Ab Class A — Q1 2023 Earnings Presentation
18 slides from Ratos Ab Class A's earnings presentation, April 2023
Slide 1: Presentation – Q1 2023
Presentation – Q1 2023 Presentation – Q1 2023 2727 April 2023 April 2023
Slide 2: First quarter: Adjusted EBITA +28% - continued good sales growth
First quarter: Adjusted EBITA +28% - continued good sales growth Net sales SEK 7,817m ▪ Adj EBITA +28% growth 26% ▪ Reported EBITA SEK 324m (22) ▪ EBITA in Plantasjen decreased by SEK 111m ▪ Net sales +26%, whereof organic +8% ▪ Continued good order intake Adj EBITA SEK 324m ▪ Strong cash flow growt
Slide 3: Business Areas
Business Areas
Slide 4: Construction & Services: Strong net sales growth
Construction & Services: Strong net sales growth We build and maintain a sustainable society Comments • Order backlog on record level • Net sales growth 23%, whereof organic 19% • Strong development in the construction companies with limited exposure in housing construction • EBITA SEK 284m (292), d
Slide 5: Consumer: Challenging quarter for Plantasjen
Consumer: Challenging quarter for Plantasjen Provide a better and easier life for consumers Comments • Plantasjen to be reported separately • Net sales declined -21%, whereof -20% organic, driven by lower sales in Plantasjen (-18%) • EBITA SEK -162m (-75). Plantasjen’s EBITA SEK -215m (-103). Lower
Slide 6: Industry: Strong EBITA growth and increased EBITA-margin
Industry: Strong EBITA growth and increased EBITA-margin Building industrial market leaders, based in the Nordics exporting to the world Comments • Net sales increased 79%, whereof 7% organic • Adjusted EBITA SEK 252m (87) • Adjusted EBITA-margin 11.0% (6.8%) and LTM 8.7% • EBITA growth: acquired co
Slide 7: Acquisition journey
Acquisition journey
Slide 8: HL Display has acquired Oechsle and werba in Germany
HL Display has acquired Oechsle and werba in Germany - Establish a strong German footprint Company facts ▪ Main sales channels are grocery retail and drug stores Founded 1956 Founded 1975 ▪ Two production units, one for standard injection molding (Oechsle) and one for ~13 ~13 custom-made solutions (
Slide 9: Financials
Financials
Slide 10: Group financials Q1 2023
Group financials Q1 2023 Net sales, SEKm LTM 31,472 Comments 7 817 6 220 • Net sales growth of 26% in the 4 432 quarter whereof 8% organic growth Q1 2021 Q2 Q3 Q4 Q1 2022 Q2 Q3 Q4 Q1 2023 Adjusted EBITA, SEKm LTM 2,038 • Adjusted EBITA growth of 28% in the quarter. Adjusted EBITA LTM at SEK 2,038m 2
Slide 11: EBITA growth from acquired companies
EBITA growth from acquired companies Net sales bridge, SEKm 7,817 Comments 6 -3 Comments 510 Net sales Strong organic net sales growth in 1,083 the quarter 6,220 • Net sales up 26%, of which 17% acquired and 8% organic Q1 Acquired/ Organic FX Other Q1 2022 disposed 2023 EBITA Adj EBITA bridge, SEKm
Slide 12: Increased EPS – improved earnings after tax
Increased EPS – improved earnings after tax LTM EPS (SEK) Comments • LTM EPS increased 4% • Improved earnings after tax +4% • Increased interest rates 2.17 2.26 1.98 • Unrealized revaluation D&B shares in Q1 2022 • Diab one-time effects in Q1 2022 • EPS Q1 2023, SEK -0,09 (-0,66) Q1 Q2 Q3 Q4 Q1 Q2 Q
Slide 13: Leverage development
Leverage development Leverage Comments Comments 2.5x 2.2x • Leverage is within target range 2.2x in Q1 2023 (1.5x – 2.5x) • Decreased leverage in the quarter due to higher EBITDA 0.9x 0.9x • Net debt SEK 4,826m (1,485) 0.6x 0.1x -0.4x -0.5x -0.7x Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2021 2022 2023 Excluding f
Slide 14: ROCE
ROCE LTM ROCE Comments • ROCE 10.0% compared to 11.3% -11% last year 11.3% 9.7% 10.0% • Working capital build-up in Consumer had a negative effect Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2021 2022 2023 ROCE excluding financial leasing 14
Slide 15: Final Remarks
Final Remarks
Slide 16: A good start of the year
A good start of the year ▪ Adj EBITA growth of +28% A group of market leaders ▪ Net sales growth of 26% whereof 8% organic with a strong culture and ▪ Good order intake and record high order being part of something backlog larger ▪ Strong cash flow ▪ Acquired companies have had a good start – synerg
Slide 17: Q&A
Q&A RATOaS
Slide 18: The leading company builder in the Nordics
The leading company builder in the Nordics A group of market leaders A clear culture Part of something larger Decentralized structure Ratos is a sustainable long-term owner with no exit horizon It’s all about people Gain benefits of the larger group through contacts and network We own companies that