Slide 1: Lindab Group Q3 2015
lindab | we simplify construction Lindab Group Q3 2015 “We simplify construction” 1
Slide 2: Summary of Q3 2015
lindab | we simplify construction Summary of Q3 2015 Highlights • Strong sales within our Ventilation and Indoor Climate business, validating the strategic focus on Complete Ventilation Solutions. Increased earnings for the 8th consecutive quarter. Both sales and earnings now on levels similar to to
Slide 3: Lindab Group – Q3 2015 Highlights
lindab | we simplify construction Lindab Group – Q3 2015 Highlights Strong Momentum in Ventilation • Sales for Lindab Group increased by 5% compared to last year, -1% when adjusted for currency and structure • Products & Solutions: 11% (2% adjusted) • Building Systems: -26% (-20% adjusted) • EBIT fo
Slide 4: Progress in strategy execution
lindab | we simplify construction Progress in strategy execution Prioritised projects well underway Focus on developing distribution and covering white spots in core markets • Divestment of Lindab Inc. MARKET • Acquisition of branch in Marseille, France, and new branch in Aberdeen, UK EXCELLENCE • L
Slide 5: Progress in strategy execution
lindab | we simplify construction Progress in strategy execution Prioritised projects well underway Focus on having the best team and culture to deliver on the strategy • Diversity – a success factor – new policy decided and being adopted PEOPLE • Strengthen competence within solution sales and R&D
Slide 6: Progress in strategy execution
lindab | we simplify construction Progress in strategy execution Prioritised projects well underway – example from Solutions and Market Excellence Lindab´s complete indoor climate and ventilation business Focus area ”Solutions” sales development BSEK / Q EBIT (%) BSEK +12% 1,3 15 1,4 1,2 1,2 +25% 1,
Slide 7: Progress in strategy execution
lindab | we simplify construction Progress in strategy execution Prioritised projects well underway – Example from Efficient Availabiltiy Distribution Center (DC) in Grevie Stock Turnover Lindab Group Days Days in Stock 12M 104 102 100 -8 days in two years 98 96 94 0 Sep Sep Sep 2013 2014 2015 • Bui
Slide 8: Lindab Group: Two different stories, rolling months
lindab | we simplify construction Lindab Group Two different stories, rolling 12 months Products & Solutions Building Systems Sales & EBIT EBIT Sales & EBIT +40 EBIT (+9%) MSEK -128 MSEK Sales 12m EBIT 12m Sales 12m EBIT 12m (-108%) Sales 497 +655 1,100 200 7,000 500 (+11%) 126 119 457 6,500 900 93
Slide 9: Financials
lindab | we simplify construction Financials 9
Slide 10: Profit & Loss Q3 2015
lindab | we simplify construction Lindab Group Profit & Loss Q3 2015 SEK m Q3 2015 Q3 2014 Sales growth 5% Sales 2,008 1,904 Structure 5% EBIT* 175 210 Currency effect 1% EBIT* % 8.7 11.0 Fin net -10 -12 Organic -1% Tax -49 -48 Net profit 146 145 *) Unadjusted EBIT is SEK 205 m (205). EBIT in table
Slide 11: Cash flow Q3 2015
lindab | we simplify construction Lindab Group Cash flow Q3 2015 SEK m Q3 2015 Q3 2014 Cash flow from - operating activities 194 236 - change in working capital -38 -54 - investing activities -48 -32 - financial net paid -11 -12 - tax paid -28 -17 Free cash flow 69 121 Adjusted free cash flow* 90 12
Slide 12: Cash flow Q3 – working capital development
lindab | we simplify construction Lindab Group Cash flow Q3 – working capital development SEK m Q3 2015 Q3 2014 Stock 23 -53 Operating receivables -127 -89 Operating liabilities 66 88 Total change in working capital -38 -54 • The change in stock improved, which is attributable to activities to incre
Slide 13: Operating cash flow trend
lindab | we simplify construction Lindab Group Operating cash flow trend Quarterly L12M (MSEK) Quarterly L12M (MSEK) 500 1.000 400 800 300 600 200 172 136 400 153 115 117 100 200 23 0 0 -100 -200 -200 -400 -300 -600 2010 2011 2012 2013 2014 2015 • L12M cash flow from operating activities amounted to
Slide 14: Segments
lindab | we simplify construction Segments 14
Slide 15: Products & Solutions: Profit & Loss Q3 2015
lindab | we simplify construction Products & Solutions Profit & Loss Q3 2015 SEK m Q3 2015 Q3 2014 Sales growth 11% Structure 6% Sales 1,802 1,627 EBIT* 186 174 Currency effect 3% EBIT* % 10.3 10.7 Organic 2% *) Unadjusted EBIT is SEK 229 m (169). EBIT in table above is excluding one-off items of SE
Slide 16: Products & Solutions (cont.) Profit & Loss Q3 2015
lindab | we simplify construction Products & Solutions (cont.) Profit & Loss Q3 2015 • EBIT-margin for the underlying business, adjusted for EBIT-margin (%) structure and currency, has improved 0.4% % -0,4 • The integration of our new acquisitions goes according +10,7 to plan and the market response
Slide 17: Building Systems: Profit & Loss Q3 2015
lindab | we simplify construction Building Systems Profit & Loss Q3 2015 SEK m Q3 2015 Q3 2014 Sales growth -26% Structure 0% Sales 206 277 EBIT* -4 35 Currency effect -6% EBIT* % -1.9 12.6 Organic -20% *) excluding one-off items of SEK 0 m in Q3 2015 and SEK 0 m in Q3 2014 • The negative sales deve
Slide 18: Sales development by product areas
lindab | we simplify construction Sales development by product areas Products & Solutions, Organic growth, L3M Building Systems, Organic growth, L3M Ventilation Products Indoor Climate Solutions Rainwater & Building Products Building Solutions 60% 30% 45% 20% 30% 10% 15% 0% 0% -10% -15% -20% -30% Se
Slide 19: Products & Solutions Showcase Q3
lindab | we simplify construction Products & Solutions Showcase Q3 • Great indoor climate and energy efficiency with Lindab’s groundbreaking Solus supply air beam. Installed in landmark building in Sweden • Premiere delivery of 500 Solus beams • Single water circuit, simultaneously used for heating
Slide 20: Building Systems Showcase Q3
lindab | we simplify construction Building Systems Showcase Q3 Large orders >10 MSEK: • Manufacturing, Brewery, SEK 56 m, Ivory Coast • Multi-purpose, manufacturing, General Electrics, SEK 30 m, Nigeria Sports Arena, St Petersburg, Russia • Manufacturing, Energy industry, SEK 17 m, Russia • Sports A
Slide 21: Outlook
lindab | we simplify construction Outlook 21
Slide 22: Market Development
lindab | we simplify construction Economic development in Euro zone Sources: Eurostat & European Commission Market Development • The momentum in the European economic recovery has weakened somewhat since late spring • Geopolitical uncertainty remains • The recovery of the European construction marke
Slide 23: New CFO, Kristian Ackeby, joining 1 December
lindab | we simplify construction New CFO, Kristian Ackeby, joining 1 December Kristian Ackeby, takes up his position as CFO on 1 December 2015 14 years of experience within Finance Kristian Ackeby was most recently Vice President Corporate Control at Autoliv Inc., worldwide leader in automotive saf
Slide 24: Conclusions
lindab | we simplify construction Conclusions • Strong sales within our Ventilation business, validating the strategic focus on Complete Ventilation Solutions • Building Systems still very challenging markets in the CIS, but successful efforts to diversify market presence, order intake up by 30% YoY