Bergman & Beving Ab Class B · OMXSTO:BERG_B
Bergman & Beving Ab Class B — Q2 2024/2025 Earnings Presentation
18 slides from Bergman & Beving Ab Class B's earnings presentation, Oct 23, 2024
Slide 1: Interim Report 1 April – 30 September 2024
INTERIM REPORT 1 April – 30 September 2024 23 October 2024 Magnus Söderlind – CEO Peter Schön - CFO 1
Slide 2: Highlights Second Quarter 2024/2025
HIGHLIGHTS Second Quarter 2024/2025 Increased earnings, profitability & EPS ❖ EBITA increased 12 percent ❖ Profitability (P/WC) increased 6 percentage units ❖ EPS for the year increased 12 percent Despite a continued tough market ❖ Employees Construction & Industry Nordics -3.4 percent 2
Slide 3: Highlights Second Quarter 2024/2025
HIGHLIGHTS Second Quarter 2024/2025 Increased earnings, profitability & EPS ❖ EBITA increased 12 percent ❖ Profitability (P/WC) increased 6 percentage units ❖ EPS for the year increased 12 percent Despite a continued tough market ❖ Employees Construction & Industry Nordics -3.4 percent Diamonds are
Slide 4: Target to acquire total earnings of MSEK 50–80
TARGET TO ACQUIRE TOTAL EARNINGS OF MSEK 50–80 Annual Revenue EBITA P/WC Division MSEK % % Industrial Q1 Maskinab Equipment 35 >15 >45 Core Q2 Spraylat Solutions 40 >15 >45 Core Q3 Levypinta Solutions 180 XX >15 >45 Total 255
Slide 5: 19 consecutive quarters with increased EBITA
19 CONSEQUTIVE QUARTERS WITH INCREASED EBITA EBITA per quarter % MSEK 14 140 EBITA EBITA % 120 12 116 119 120 110 103 104 105 107 ❖ EBITA increased by 12 percent to MSEK 120 (107) 10 91 94 100 88 ❖ EBITA improved 19 quarters in a row 81 84 84 78 8 73 80 66 68 ❖ EBITA CAGR 27 percent 64 6 57 60❖ EBIT
Slide 6: A softer underlying market (continued focus on high-margin businesses)
A SOFTER UNDERLYING MARKET (CONTINUED FOCUS ON HIGH-MARGIN BUSINESSES) Revenue per quarter Quarterly Revenue Growth, % MSEK 1,300 Revenue R4Q/4 1,200 1,100 1,000 Currency Actual Organic Acquisitions 900 800 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 20/21 21/22 22/23 23/24 24/25 6
Slide 7: Gross margin improvement progressing more gradually
GROSS MARGIN IMPROVEMENT PROGRESSING MORE GRADUALLY Gross margin per quarter Revenue per type of products Rolling 12 months % 50 GM R12 Own Proprietary Products Other Products 48 46 32% 30% 28% 27% 44 42 40 38 36 68% 70% 72% 73% 34 32 30 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 31 Mar 3
Slide 8: Group target overview
GROUP TARGET OVERVIEW 50 45 40 26 29 30 20 22 16 20 22 21 45% P/WC 20 10 latest FY2627 0 17/18 18/19 19/20 20/21 21/22 22/23 23/24 2409 24/25 25/26 26/27 R12 600 500 500 400 339 372 391 298 EBIT 300 200 216 236 189 247 500 MSEK 100 latest FY2526 0 17/18 18/19 19/20 20/21 21/22 22/23 23/24 2409 24/25
Slide 9: Turning point for EPS
TURNING POINT FOR EPS SEK EPS Q R12 8.00 7.00 6.00 5.00 4.00 3.00 1.90 1.90 2.00 2.05 2.05 1.90 1.95 1.95 1.95 2.00 1.80 1.80 1.70 1.80 1.70 1.50 1.45 1.60 1.60 1.00 0.00 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 20/21 21/22 22/23 23/24 24/25 9
Slide 10: Inventory level – still potential for increased ITO
INVENTORY LEVEL – STILL POTENTIAL FOR INCREASED ITO MSEK ITO 1,600 3.0 ❖ Inventory amounted to MSEK 1,136 Inventory R12 ITO (1,268) 1,500 ❖ Organic inventory reduction 1,400 MSEK 180 1,300 2.0 ❖ Increased due to acquisition ❖ Organic inventory level unchanged to 1,200 Q1 – seasonally higher Q2/Q3 1,
Slide 11: Cash flow from operating activities in line with expectation
CASH FLOW FROM OPERATING ACTIVITIES IN LINE WITH EXPECTATION MSEK 250 Cashflow R4Q/4 207 200 194 179 176 ❖ Cash flow from operating activities MSEK 94 (176) 150 142 145 ❖ Partly seasonality effect 133 133 110 ❖ Partly affected by strong Q1 101 100 94 94 79 57 59 50 50 0 -25 -50 -36 Q1 Q2 Q3 Q4 Q1 Q2
Slide 12: The net debt supports the acquisition plan
THE NET DEBT SUPPORTS THE ACQUISITION PLAN MSEK ND/EBITDA Operational Net Debt ND / EBITDA excl IFRS 16 4.0 1,200 3.5 1,000 3.0 ❖ Operational Net Debt MSEK 1,115 (1,119) 800 2.5 ❖ Net Debt/EBITDA increased ❖ Acquisitions 2.0 600 ❖ Last year strong cash flow financed acquisitions 1.5 400 ❖ Acquisitio
Slide 13: Core Solutions
CORE SOLUTIONS Still facing a slow market but manage to improve profit and profitability ❖ Majority of division companies faced a weaker demand including ESSVE… ….but ESSVE increased turnover in Sweden due to new customer contracts ❖ Acquired Spraylat July 1 and Levypinta October 1 ❖ Revenue MSEK 33
Slide 14: Safety Technology
SAFETY TECHNOLOGY Improved profits by revenue increase, improved gross margin and lower cost ❖ Eric Persson new division head since mid Q1 ❖ Five out of seven companies increased profits ❖ Skydda's efficiency measures and product phase-out have an impact, but the underlying market remains slow ❖ Rev
Slide 15: Industrial Equipment
INDUSTRIAL EQUIPMENT Profit continues to expand, mainly driven by acquired companies ❖ Nordic industry customers demand stabile but on a lower level ❖ The profit and margin improvement is primarily related to acquired companies ❖ Luna's cost reductions and product phase-outs had a positive impact, o
Slide 16: How to reach '500/ten/45'
HOW TO REACH ‘500/ten/45’ WHAT WE ALWAYS DO ❖ Profit expansion over revenue growth ❖ B&B Focus Model guides capital allocation ❖ Company-by-company strategy, goals and activities ❖ Group support – B&B Tool Box ❖ Acquisition of highly profitable B2B companies with leading positions in growing niche m
Slide 17: Contact Calendar
Contact Calendar Investor Relations 5 February 2025 Peter Schön Interim Report 1 April – 31 December 2024 +46 70 339 89 99 ir@bb.se 9 May 2025 Financial Report 1 April 2024 – 31 March 2025 17
Slide 18: Shaping great companies since 1906
SHAPING GREAT COMPANIES SINCE 1906
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