Multiconsult Asa · OSL:MULTI
Multiconsult Asa — Investor Day (November 2024)
42 slides from Multiconsult Asa's investor day presentation, Nov 6, 2024
Slide 1: Capital Markets Day 2024
Capital Markets Day 2024 6 November 2024
Slide 2: Disclaimer
Disclaimer This report includes forward-looking statements, which are based on our current expectations and projections about future events. All statements other than statements of historical facts included in this notice, including statements regarding our future financial position, risks and uncer
Slide 3: Agenda
Agenda 1. Introduction 2. Multiconsult Group 3. Our strategic ambition 4. Our financial and sustainability targets
Slide 4: We are enablers
We are enablers We turn ambitious goals into reality. Since 1908, we've tackled complex challenges and been part of something greater that echoes through generations.
Slide 5: The future
The future Our work has always served the greater good, but the challenges ahead are even greater. We are at a pivotal moment where our choices will have lasting impacts.
Slide 6: A time for action
A time for action To meet tomorrow's demands, we must adapt, innovate and engage more stakeholders.
Slide 7: Agenda
Agenda 1. Introduction 2. Multiconsult Group 3. Our strategic ambition 4. Our financial and sustainability targets
Slide 8: This is the Multiconsult Group
This is the Multiconsult Group Segments Business areas Sector balanced portfolio (share of net operating revenue FY 2023) (share of operating revenue FY 2023) (share of operating revenue FY 2023) > 5 500 > 15 000 7% 10% 14% clients projects 39% 22% 39% > 45 > 3 800 49% 51% countries employees 41% 28
Slide 9: We have a robust platform for profitable growth
We have a robust platform for profitable growth Growing as Gaining scale Stabilising and optimising Profitable growth multidisciplinary 5.3 Net operating 4.8 revenues (NOKbn) +10% 4.2 3.7 3.8 3.3 3.4 3.0 2.6 2.2 2.0 1.8 1.6 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 LTM EBITA adj. m
Slide 10: We have leading positions across domains
We have leading positions across domains Market leader Global renewable Urban development Integrated Leading healthcare energy specialist specialist geotechnical and infrastructure Scandinavia environmental player in Norway, advisor Sweden and Poland
Slide 11: We have delivered groundbreaking projects
We have delivered groundbreaking projects Construction start for new Rikshospitalet CO2 storage at The Northern Lights Project Photo: Northern Lights JV Climate adaptation at Vågåmo Urban transformation of Aarhus Amtssygehus
Slide 12: We have attracted and integrated numerous capabilities
We have attracted and integrated numerous capabilities Cumulative revenue1 added through acquisitions A proven M&A track record (2014-2024, NOKbn) Nordland teknikk 1 Successful geographical expansions ~1.64 NOKbn ~1.57 ~1.26 ~1.34 2 Strategic service offering expansions ~0.92 Helge Lindeflaten ~0.40
Slide 13: Extending and strengthening our coverage across the value chain
Extending and strengthening our coverage across the value chain Acquisition of A-lab in 2023… …enabled a strengthened position across the value chain Conceptual Maintenance + design and Design Construction and operations Rehabilitation and renewal planning
Slide 14: It is all about people
It is all about people Strong satisfaction & Diversity and inclusion a Attractive employer position engagement Co-ownership continuous priority 2024 Universum ranking (Multiconsult Norge) eNPS ranking Share of employees that are co-owners Gender balance Top 5 31 Benchmark ranking Professionals 26 >8
Slide 15: In combination with technology
In combination with technology Multisecure LINK Augmented Architect Multimap Multiplacer Portfolio mapping for planning Use of AI for efficient quality Use of AI and automation to Use of AI in design of technical and sustainable development assurance and analysis of streamline architectural ceiling
Slide 16: Agenda
Agenda 1. Introduction 2. Multiconsult Group 3. Our strategic ambition 4. Our financial and sustainability targets
Slide 17: We stand at multiple crossroads
We stand at multiple crossroads Geopolitical dynamics Climate change and adaptation Technological disruption A fragmented geopolitically tense economy Climate change and environmental Fast forward disruption with the onset of coupled with expanding governmental degradation posing disruptive dynamics
Slide 18: An outlook that translates to significant growth drivers
An outlook that translates to significant growth drivers Accelerated energy transition in the EU Urbanisation in the Nordics Climate change +62% +8% ~9x 1.2 EURbn 26 million 10 769 USDbn 24 million 0.8 EURbn 1 265 USDbn 2011-2020 avg. 2021-2030 avg. 2023 2040 2021/2022 2050 Accelerated investments
Slide 19: Think
Think
Slide 20: A position of multiple strongholds
A position of multiple strongholds From specialist to national … Leading national positions Leading Nordic and International 1 2 3 multidisciplinary advisor … and Nordic starting point international market positions Geographic footprint National Time
Slide 21: We set high ambitions for where and how to grow
We set high ambitions for where and how to grow Long-term, sustainable and profitable development Projects Positions Markets 1 2 3 4 5 Developing position in Expanding our position Driving urban Safeguarding Increasing our impact complex and large as preferred partner in transformation and biodivers
Slide 22: Developing position in complex and large projects
1 Developing position in complex and large projects An attractive market opportunity… …that we will address through market leading capability Projects are becoming larger and more complex, impacting customers’ demands and requirements 1 Competitive edge We leverage multiple disciplines and competenc
Slide 23: Expanding position as preferred partner in the energy transition
2 Expanding position as preferred partner in the energy transition The energy transition requires significant investments… …that we will address through leading end-to-end services Required investments in low-emissions 1 620 NOKbn electricity and clean supply under the annual clean energy investment
Slide 24: Driving urban transformation and development
3 Driving urban transformation and development Urbanisation is driving new demands… …that we will address through leading end-to-end services Growing urban population across the Nordics…. +5% +4% 1 Leverage our integrated expertise We combine our capabilities across several areas, from design and pl
Slide 25: Safeguarding biodiversity and climate
4 Safeguarding biodiversity and climate Climate adaptation requires major investments… …shaping our industry to support changes in society Public preventive climate Climate adaptation grants in adaptation in Norway Sweden (2018-2022, NOKbn) (annually, NOKbn) 1 Capabilities We enhance our capabilitie
Slide 26: Increasing our impact in the Nordics and Poland
5 Increasing our impact in the Nordics and Poland Our targeted market holds multiple avenues for growth… …captured through organic and M&A initiatives Growth outlook across geographies (real annual GDP growth, ’23-’30) NO DK FI SE PL 1 Invest in subsidiaries We will expand into the identified segmen
Slide 27: A phased effort with active monitoring of market opportunities
A phased effort with active monitoring of market opportunities Strategic ambitions summary Competitive strength Phase 0 Phase 1 Phase 2 Prior 5 year strategy Accelerated growth Expanding our position according to market opportunities ~2025 2030 2035 Strategy update
Slide 28: Profitable long-term growth while strengthening our competitive position
Profitable long-term growth while strengthening our competitive position Strategic ambitions summary Expanding our position across geographies and market opportunities 5 Increasing our impact in the Nordics and Poland Competitive strength Enabling the green transition 4 Safeguarding biodiversity and
Slide 29: M&A a lever for growth and value creation
M&A a lever for growth and value creation Strategic priorities Criteria Expanding our M&A criteria presence Strong alignment with strategic goals Poland Expand capabilities and Cultural fit and committed leadership position Financial stability Ability to create value through our culture, cap
Slide 30: Structured M&A execution
Structured M&A execution Continuous screening effort to Rolling shortlist of drive structured C investment pipeline B opportunities development A Objective criteria Financial performance Strategic alignment Initial screening focusing on Removing targets outside Focusing on targets that have an compa
Slide 31: Agenda
Agenda 1. Introduction 2. Multiconsult group 3. Our strategic ambition 4. Our financial and sustainability targets
Slide 32: Target: Profitability
Target: Profitability EBITA Margin* 550 11 500 10 10% 450 9 EBITA adj. margin % 400 8 350 7 NOK million 300 6 250 5 *measured on an annual basis, exclusive 200 4 extraordinary items 150 3 100 2 50 1 0 0 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 LTM EBITA adj. EBITA adj. m
Slide 33: Ambition: Revenue growth
Ambition: Revenue growth 5 500 5 000 From 2025 to 2030 4 500 An ambition of CAGR 4 000 8-10% revenue growth +10% 3 500 NOK million over the cycle, including M&A 3 000 2 500 2 000 1 500 1 000 500 0 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 LTM Net operating revenues
Slide 34: Target: Gearing and equity
Target: Gearing and equity Gearing ratio Maintain financial strength Normal: 1.0 - 2.0x Taking into consideration: Max 2.5 x • Financial position and balanced loan portfolio Special: 3.0x up to 18 months • Expected organic investment requirements, M&A considerations • Seasonal change in working capi
Slide 35: Ambition to distribute at least 50% of net profit annually
Target: Dividend Payout Ambition to distribute at least When deciding the annual 50% of the group’s net profit dividend level, the Board of Directors will take into annually consideration the various aspects of the financing strategy, such as NOK pr share 9.00 Payout ratio in % expected cash flows,
Slide 36: Target: Sustainability
Target: Sustainability Multiconsult Group is committed to contribute to the achievement of the Sustainable Development Goals, the Paris Agreement and the achievement of national climate reduction targets, agreements for nature preservation and climate adaptation. Sustainability targets own operation
Slide 37: Our strategic ambitions
Our strategic ambitions Strategic ambitions summary 1 2 3 4 5 Developing our position Expanding position as Driving urban Safeguarding Increasing our impact in complex and large preferred partner in the transformation and biodiversity and in the Nordics and projects energy transition development cli
Slide 38: How we will get there
How we will get there Clients Industry Climate & Environment Colleagues The Unknown We enable value- We shape the industry as We develop sustainable We create an We challenge the creating projects – an integrating player solutions environment where established and innovate linking our success to com
Slide 39: What we have done, is what we are. What we do, is what we become
What we have done, is what we are. What we do, is what we become
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Slide 41: Multiconsult—Group
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Slide 42: Multiconsult—Group
Multiconsult—Group