Slide 1: Year-end Report 2021
Presentation Year-end Report 2021 2 February 2022
Slide 2: The Group's Financial Performance
THE GROUP’S FINANCIAL PERFORMANCE MSEK Q421 Q420 Change 2021 2020 Change Net sales 4,952 3,751 32.0%1 17,480 13,782 26.8%2 EBITA3 1,013 782 29.5% 3,709 2,702 37.3% EBITA margin3 20.5% 20.8% -0.3 21.2% 19.6% 1.6 Profit before tax 844 654 29.1% 3,070 2,207 39.1% Net profit for the period 760 518 46.7%
Slide 3: The Business Areas' Financial Performance
THE BUSINESS AREAS’ FINANCIAL PERFORMANCE DENTAL MSEK Q421 Q420 Change 2021 2020 Change Net sales 1,301 1,212 7.3% 5,123 4,290 19.4% EBITA* 241 266 -9.4% 1,080 898 20.3% EBITA margin* 18.5% 21.9% -3.4 21.1% 20.9% 0.2 DEMOLITION & TOOLS MSEK Q421 Q420 Change 2021 2020 Change Net sales 1,329 857 55.1%
Slide 4: Acquired vs Organic EBITA Growth
ACQUIRED VS ORGANIC EBITA GROWTH MSEK 2021 2020 2019 2018 2017 2016 2015 EBITA 3,709 2,702 2,523 2,168 1,732 1,377 1,186 EBITA from acquisitions 488 222 221 197 198 152 118 Growth % 18% 9% 10% 11% 14% 13% 12% Of which from previous 55 115 43 124 68 16 27 year’s acquisitions Of which from current 433
Slide 5: Net Debt Development and Balance Sheet
NET DEBT DEVELOPMENT AND BALANCE SHEET Net debt development Balance sheet 31 Dec 30 Sep 31 Dec 8000 4 MSEK 2021 2021 2020 MSEK Times Intangible fixed assets 15,497 14,513 11,610 Tangible fixed assets 2,052 1,878 1,504 7000 3,5 Financial assets 320 245 199 Inventory 2,821 2,700 1,864 6000 3 Accounts
Slide 6: One Target: To Increase Profits Every Year
ONE TARGET: TO INCREASE PROFITS EVERY YEAR 3 .5 % 11 02 6– 2 8 .8 % 2 00 11 GR 2 02 A 6– EBITA before acquisition costs and sC 00 Sa le G R2 non-recurring items (MSEK) A CA I T EB 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
Slide 7: Capital Employed
CAPITAL EMPLOYED ROCE including goodwill ROCE excluding goodwill and other intangible assets and other intangible assets 22.5% 162% 19.5% 19.6% 139% 108% 12.5% 50% 2019 2020 2021 2019 2020 2021 Target ranges 7
Slide 8: Management and Chairman
MANAGEMENT AND CHAIRMAN Per Waldemarson Therése Hoffman Martin Linder Ingvar Ljungqvist Carl Bennet CEO CFO Head of Business Area Head of Acquisitions Chairman Started at Lifco 2006 Started at Lifco 2007 Systems Solutions Started at Lifco 2015 Born: 1951 Born: 1977 Born: 1971 Started at Lifco 2009 B
Slide 9: Lifco Develops Leading Niche Companies
LIFCO DEVELOPS LEADING NICHE COMPANIES LIFCO Sales 2021: 17,480 MSEK EBITA 2021: 3,709 MSEK Dental Demolition & Tools Systems Solutions Leading distributors of dental products in Leading producers of demolition robots and Wide range of leading systems solutions Nordics and Germany attachments for ex
Slide 10: A Safe Haven for Your Business
A SAFE HAVEN FOR YOUR BUSINESS Lifco is a long-term • Lifco basically never sells a company owner • All decisions taken at local management level The business stays • No forced synergies or integration independent and local • Lifco has never moved a business Incremental and continuous • No big shake
Slide 11: Decentralized Profit-Oriented Culture
DECENTRALIZED PROFIT-ORIENTED CULTURE Right person in the right position • Motivated managers who deliver results Continuous pricing optimization • Focus on customers with potential for sustainable profit growth Optimized management structure • Focus on value adding personnel and minimized bureaucra
Slide 12: Sustainability an Integrated Part of Our Business Strategy
SUSTAINABILITY AN INTEGRATED PART OF OUR BUSINESS STRATEGY Code of Conduct Invest in niche All subsidiaries companies UN Global Compact must apply with a sustainable signatory business model All employees must be informed Any deviation to the Code Sustainability part of Conduct is Whistleblower of o
Slide 13: Examples of Organic Development
EXAMPLES OF ORGANIC DEVELOPMENT Dental1 - EBIT (MSEK) and organic EBIT growth Brokk2 - EBIT (MSEK) and organic EBIT growth 10% CAGR CAGR 9% 6% 7% 8% -3% 4% 221 19% 212 11% 198 8% 272 183 169 11% 32% 225 190 167 79 118 71 31 14 1997 2006 2013 2015 2017 2019 2021 2000 2006 2013 2015 2017 2019 2021 EBI
Slide 14: Geographic Footprint
GEOGRAPHIC FOOTPRINT Dental Norway 10% Sweden 13% UK North America 8% Germany Rest of Europe 16% Demolition & Tools 9% 29% Italy 5% Asia & Australia Rest of 10% World 1% Systems Solutions Note: Geographic split financial year 2021. 14
Slide 15: Dental
DENTAL Sales split by product category 2021 EBITA* and % of total EBITA** 2021 Manufacturing Software Dental 28% Software 3% 1,080 MSEK Manufacturing 22% Distribution 61% Sales split by geography 2021 APAC 2% North America 6% Sweden 11% Prosthetics 14% Norway 12% Rest of Europe 36% Prosthetics Distr
Slide 16: Strong Foothold in Key Markets
STRONG FOOTHOLD IN KEY MARKETS Lifco’s dental market presence and example of brands used in different markets Lifco’s market positions within dental consumables Sweden Norway Denmark Finland Germany Rest of Europe Distribution of consumables ü ü ü ü ü ü Distribution of FI equipment ü ü ü ü ü Nordics
Slide 17: Dental Financial Overview
DENTAL FINANCIAL OVERVIEW Sales (MSEK) EBITA (MSEK) and EBITA margin 1200 25% % 1 12.4 5123 1 17.1% 2 06- 20 1000 6- 202 R 20 200 20% CAG 4393 CAG R 4290 4185 800 3817 3590 15% 3435 3266 28402826 600 2439 10% 400 16631674 1435 1048 5% 890 200 0 0% 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 06 0
Slide 18: Demolition & Tools
DEMOLITION & TOOLS Sales split by business 2021 EBITA* and % of total EBITA** 2021 Demolition machines 1,261 Demolition MSEK machines 28% Demolition & Tools 33% Sales split by geography 2021 Rest of world 2% Sweden 7% APAC 16% Germany 14% Attachments for excavators and cranes 72% North Italy 8% Amer
Slide 19: Demolition & Tools Financial Overview
DEMOLITION & TOOLS FINANCIAL OVERVIEW Sales (MSEK) EBITA (MSEK) and EBITA margin % % 1 7 .6 1 8 .4 6-2021 -2 021 R 200 1. 0% 2 006 1400 CAG 02 12 35% R .7 % -2 CAG 1 16 010 10 -202 4701 GR 2 R 20 1200 CA 30% CAG 3610 1000 25% 3234 2820 800 20% 2261 600 15% 1725 1574 1289 400 10% 11761189 1039 992 86
Slide 20: Systems Solutions
SYSTEMS SOLUTIONS Sales split by product category 2021 EBITA* and % of total EBITA** 2021 Environ- Systems Contract mental Solutions manufacturing technology 39% Contract 1,494 Environmental MSEK manufacturing 20% technology 27% Construc- tion material Forest 10% Sales split by geography 2021 Rest o
Slide 21: Systems Solutions Financial Overview
SYSTEMS SOLUTIONS FINANCIAL OVERVIEW Sales (MSEK) EBITA (MSEK) and EBITA margin % 202 1 1 2 .2 2006- 1600 20% CAGR 3% 7% 19. 1 LT M 12. 021 % 0-202 -2 2 .9 18% R 201 1400 2 006 021 2 CAG GR 0-2 7656 CA 01 16% 1200 G R2 CA 14% 6258 1000 5842 12% 4951 800 10% 3952 3455 8% 600 2892 6% 2428 2276 2168 22
Slide 22: Strong Cash Flow Generation
STRONG CASH FLOW GENERATION Operating cash flow after tax, Capex and acquisitions2 before investments1 3500 3500 2,0% 100% 3000 3000 1,8% 2500 90% 2500 1,6% 2000 2000 80% 1,4% 1500 1500 70% 1,2% 1000 1000 60% 1,0% 500 500 0 50% 0 0,8% 2014 2015 2016 2017 2018 2019 2020 2021 2014 2015 2016 2017 2018
Slide 23: Overview of Acquisitions 2006–2012
OVERVIEW OF ACQUISITIONS 2006–2012 Sales at Total sales Year Company Description Type Country acquisition MSEK Darda Producer of attachments for demolition robots Demolition & Tools Germany MEUR 8 2006 Dental Prime Distributor of dental equipment and services Dental Finland MEUR 3 132 Elektronikprod
Slide 24: Overview of Acquisitions 2014–2016
OVERVIEW OF ACQUISITIONS 2014–2016 Sales at Total sales Year Company Description Type Country acquisition MSEK 2014 MDH Producer of dental prosthetics Dental Germany MEUR 44 400 Auger Torque Producer of earth drills Demolition & Tools UK MGBP 10 J.H. Orsing Dental products Dental Sweden MSEK 20 Prev
Slide 25: Overview of Acquisitions 2017
OVERVIEW OF ACQUISITIONS 2017 Sales at Total sales Year Company Description Type Country acquisition MSEK Haglöf Sweden Professional forest inventory instruments Systems Solution Sweden MSEK 60 Hultdins Manufactures tools for forest machines Demolition & Tools Sweden MSEK 152 Silvent Energy optimiza
Slide 26: Overview of Acquisitions 2018–2019
OVERVIEW OF ACQUISITIONS 2018–2019 Sales at Total sales Year Company Description Type Country acquisition MSEK Computer konkret Software for dentists Dental Germany MEUR 3.8 Spocs Assembling and testing of electronic products Systems Solutions Sweden MSEK 61 Norway MNOK 95 Dental Direkt - 3D Dental
Slide 27: Overview of Acquisitions 2020
OVERVIEW OF ACQUISITIONS 2020 Sales at Total sales Year Company Description Type Country acquisition MSEK Rönvig Dental Dental Dental Denmark MDKK 30 Manufacturing Workplace Safety Dental Dental Denmark MDKK 79 Dental Grupa Distributor of dental products Dental Croatia MSEK 94 Cramaro Tarpaulin Tarp
Slide 28: Overview of Acquisitions 2021
OVERVIEW OF ACQUISITIONS 2021 Sales at Total sales Year Company Description Type Country acquisition MSEK Kaniedenta1 Manufacturing and sales of dental consumables Dental Germany MEUR 29 Rissmann Dental 1 Prosthetics Dental Germany MEUR 4.1 Manufacturer of cartooning and sleeving T.Freemantle System
Slide 29: Number of Acquisitions 2006–2021
NUMBER OF ACQUISITIONS 2006–2021 Segment split Country Countrysplit split2006-2021 2006-2021 Country split 2017-2021 CZ EE HK HR NZ NL NZ NL FR 11111 HKHR FR 11 1 FI 21 CZ 1 1 SE 3 1 11 US US 4 3 DK 7 27 SE DK 4 28 42 41 IT 9 UK 6 10 DE 9 16 UK 13 19 DE 8 NO 13 9 NO IT 29
Slide 30: Financial Targets
FINANCIAL TARGETS • Organic growth in EBITA in excess of GDP growth in relevant geographies Growth in EBITA • Acquisitions to add additional growth EBITA/Capital • More than 50% employed1 Net debt/EBITDA • Normally in the range 2-3x Dividend policy • Distribute 30-50% of net profit as % of net profi
Slide 31: Highlights
HIGHLIGHTS Strong track • 13.5% annual sales growth rate 2006-2021 record • 18.8% annual EBITA growth rate 2006-2021 Focus on • Good profitability is a prerequisite for sustainable growth profitability Strong market • Strong market positions in the Nordic markets in the Dental segment (top 2-3) and
Slide 32: Lifco
LIFCO A SAFE HAVEN FOR YOUR BUSINESS