Eltel Ab · OMXSTO:ELTEL
Eltel Ab — Q2 2023 Earnings Presentation
15 slides from Eltel Ab's earnings presentation, Jul 27, 2023
Slide 1: Eltel AB Q2 2023 presentation
Eltel AB Q2 2023 presentation 27 July 2023
Slide 2: Today's presenters
Today’s presenters Håkan Dahlström Saila Miettinen-Lähde Elin Otter President and CEO CFO Director, Communications and Investor Relations 2
Slide 3: Highlights Q2 2023
Highlights Q2 2023 • Net sales was EUR 208.1 million (208.6) ‒ Growth in local currency 8.4% (-2.4) in segments and 5.0% (-0.3) for the Group. YTD +5.6% for the Group ‒ Growth driven by Finland, Denmark and Sweden • Significant increase in new contracts signed ‒ Q2 EUR 164 million (65) • Adjusted EB
Slide 4: Demand for our services remained strong
Demand for our services remained strong • Increased the value of contracts signed, EUR 164 million (65). – EUR 1.0 billion last 12 months – Book-to-Bill ratio was 1.2 • Risk with uncertainties regarding telecom operators’ investment levels • Continued focus on commercial development – Sales processe
Slide 5: Total Group January–June 2023
Total Group January–June 2023 Apr-Jun Apr-Jun Jan-Jun Jan-Jun Jan-Dec EUR million 2023 2022 2023 2022 2022 M€ Net sales M€ 250 830 Net sales 208.1 208.6 396.5 392.6 823.6 210 820 Net sales growth, % -0.2% -0.8% 1.0% 0.0% 1.4% 170 810 Adjusted EBITA -1.5 0.5 -7.0 -2.0 -1.9 130 800 Adjusted EBITA marg
Slide 6: Finland January–June 2023
Finland January–June 2023 Apr-Jun Apr-Jun Jan-Jun Jan-Jun Jan-Dec EUR million 2023 2022 2023 2022 2022 M€ Net sales M€ 90 310 Net sales 85.2 71.9 149.6 130.7 290.1 Net sales growth, % 18.5% -9.9% 14.4% -7.0% -3.2% 70 290 Adjusted EBITA 0.8 3.6 -1.5 4.5 8.2 50 270 Adjusted EBITA-margin, % 1.0% 5.0% -
Slide 7: Sweden January–June 2023
Sweden January–June 2023 Apr-Jun Apr-Jun Jan-Jun Jan-Jun Jan-Dec EUR million 2023 2022 2023 2022 2022 M€ Net sales M€ 65 200 Net sales 50.8 49.4 99.7 93.3 193.8 Net sales growth, % 2.9% 10.7% 6.8% 8.9% 6.4% 50 190 Adjusted EBITA 0.9 -0.4 1.4 -2.2 -1.0 35 180 Adjusted EBITA-margin, % 1.9% -0.9% 1.4%
Slide 8: Norway January–June 2023
Norway January–June 2023 Apr-Jun Apr-Jun Jan-Jun Jan-Jun Jan-Dec EUR million 2023 2022 2023 2022 2022 M€ Net sales M€ 50 210 Net sales 32.4 46.6 64.7 88.2 176.8 Net sales growth, % -30.5% 10.9% -26.7% 16.1% 10.2% 40 180 Adjusted EBITA -0.8 1.3 -2.4 2.7 2.1 30 150 Adjusted EBITA-margin, % -2.5% 2.8%
Slide 9: Denmark January–June 2023
Denmark January–June 2023 Apr-Jun Apr-Jun Jan-Jun Jan-Jun Jan-Dec M€ EUR million 2023 2022 2023 2022 2022 M€ Net sales 25 90 Net sales 21.4 17.5 43.3 35.6 74.3 Net sales growth, % 22.3% -28.8% 21.4% -29.8% -15.5% 20 75 Adjusted EBITA 1.1 -0.0 2.5 0.1 0.6 15 60 Adjusted EBITA-margin, % 5.3% -0.3% 5.7
Slide 10: Other business January–June 2023
Other business January–June 2023 Apr-Jun Apr-Jun Jan-Jun Jan-Jun Jan-Dec M€ EUR million 2023 2022 2023 2022 2022 M€ Net sales 30 130 Net sales 20.3 25.7 43.0 49.1 99.4 25 100 Adjusted EBITA -0.9 -1.9 -1.9 -2.5 -4.0 Number of employees, average 997 1,082 1,018 1,074 1,071 20 70 Other business include
Slide 11: Group balance sheet
Group balance sheet Leverage Net debt M€ Net working capital M€ 8 180 30 150 20 6 120 10 4 90 0 60 -10 2 30 -20 0 0 -30 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 IFRS 16 leasing liabilities Leverage Net debt excluding leasing liabilities NWC Leverage:
Slide 12: Eltel Group financial targets by end of 2025
Eltel Group financial targets by end of 2025 Group adjusted EBITA margin 5% Annual growth 2–4% Leverage 1.5–2.5x net debt/adjusted EBITDA Dividend payout Subject to leverage target 12
Slide 13: Our strategy in short
Our strategy in short 2023‒2025 • Improve efficiency and profitability of the current business, including price increases • Broaden the customer base • Grow in new and adjacent markets, such as renewable energy and public infrastructure • Integrate sustainability as part of our offerings and operati
Slide 14: Questions
Questions 14
Slide 15: ELTEL
ELTEL