Solar A/s Class B · OMXCOP:SOLAR_B
Solar A/s Class B — Shareholder Meeting (March 2023)
30 slides from Solar A/s Class B's shareholder meeting presentation, Mar 17, 2023
Slide 1: Solar A/S Annual General Meeting 2023
Solar A/S Annual General Meeting 2023 17 March 2023 1
Slide 2: Agenda
Agenda 1. Election of chair of the meeting 2. The Board of Directors’ report 3. Approval of the Annual Report 4. Allocation of profits 5. Proposals from the Board of Directors 6. Indicative vote for approval of the remuneration report 7. Proposal for the Board of Directors’ remuneration 8. Election
Slide 3: The Board of Directors' report
The Board of Directors’ report Michael Troensegaard Andersen Chair of the Board of Directors
Slide 4: Strong EBITDA performance
Strong EBITDA performance EBITDA margin increased to 8.5% 2022 2021 Revenue DKK million. 13,863 Revenue DKK million 12,354 EBITDA DKK million 1,175 EBITDA DKK million 911 EBITDA Margin 8.5 EBITDA Margin 7.4
Slide 5: Follow-up on 2022
Follow-up on 2022 Warehouse Vejen Better than expected expansion completed • Strong growth rates in Installation, Industry and Trade, but especially in Climate & Energy • 11,000 sqm expansion • AutoStore, 125 robots and • Increased concept sale 108,000 boxes • Heat pumps and solar • One-off price in
Slide 6: From 2017 to 2022, EBITDA increased by DKK 813m
From 2017 to 2022, EBITDA increased by DKK 813m EBITDA 2017-2022 EBITDA margin 2017-2022 DKK million 362* 379* 538 637 911 1.175 1.250 9% 8.5% 8% 7.4% 1.000 7% 6% 5.6% 750 5% 4.6% 4% 3.3%* 3.4%* 500 3% 2% 250 1% 0 0% 2017 2018 2019 2020 2021 2022 2017 2018 2019 2020 2021 2022 6 * Not adjusted for IF
Slide 7: 2022: Payment of dividend of DKK 658m to the shareholders
2022: Payment of dividend of DKK 658m to the shareholders corresponding to DKK 90 per share • In 2022, we paid DKK 45.00 in ordinary dividend and DKK 45.00 in extraordinary dividend per share, respectively, corresponding to a total of DKK 658m. The total dividend Share price development 2022 percent
Slide 8: CEO Report
Report Jens E. Andersen CEO
Slide 9: Solar has acquired 51% of ThermoNova A/S
Solar has acquired 51% of ThermoNova A/S • ThermoNova is manufacturer of industrial air/water and air/air heat pumps and will contribute to further strengthen Solar’s focus area Climate & Energy. • Solar enters a market with significant potential within the industry segment as well as our many insta
Slide 10: Expansion and automation of Warehouse Vejen
Expansion and automation of Warehouse Vejen 10
Slide 11: Our strategic focus areas continue their strong performance
Our strategic focus areas continue their strong performance. Thus, we increase our targets once again. Concepts Industry Today 2023 Ambitions Today 2023 Ambitions 23% Revenue >25% Revenue 33% Revenue >35% Revenue Climate & Energy Trade Today Previous Ambitions 2023 Ambitions Today Previous Ambitions
Slide 12: Our financial targets for 2023 are unchanged
Our financial targets for 2023 are unchanged EBITDA margin >6.5% ROIC after skat >20% Gearing 1.5-3.0x
Slide 13: 2023 guidance: Revenue of DKK 13,700m and EBITDA of DKK 900m
2023 guidance: Revenue of DKK 13,700m and EBITDA of DKK 900m Assumptions for guidance 2023 • Due to the increased geopolitical and macroeconomic uncertainty, our market outlook is characterised by greater EBITDA uncertainty, particularly for H2 2023. DKK million • Cost and wage inflation started to
Slide 14: Financial statements 2022
Financial statements 2022 Michael H. Jeppesen CFO
Slide 15: EBITDA increased by DKK 264m corresponding to 29%
EBITDA increased by DKK 264m corresponding to 29% Revenue EBITDA EBT DKK million DKK million DKK million 12,354 13,863 911 1,175 622 858 14.000 1.200 900 13.500 1.100 800 13.000 1.000 700 12.500 900 600 12.000 800 500 11.500 700 400 2021 2022 2021 2022 2021 2022 15
Slide 16: Revenue amounted to DKK 13.9bn - an increase of DKK 1.5bn
Revenue amounted to DKK 13.9bn - an increase of DKK 1.5bn Adjusted organic growth Organic growth adjusted Solar Group increased to 12.9% for working days • All our markets saw growth in 2022. 16% Climate & Energy delivered adj. 13.6% 14.0% 2022 2021 organic growth of 81% corresponding 14% 12.9% 12.4
Slide 17: Record high EBITDA of DKK 1,175m in 2022
Record high EBITDA of DKK 1,175m in 2022 2022 EBITDA increased by Development in EBITDA margin Solar Group 29% 10% • All markets improved EBITDA in 2022. 2022 2021 • The EBITDA increase was supported 9% Revenue, DKK m 13,863 12,354 by our four strategic focus areas 0.4% -0.1% 0.6% 0.0% 8.5% Concepts
Slide 18: Earnings before tax (EBT) increased by DKK 236m
Earnings before tax (EBT) increased by DKK 236m Earnings before tax (EBT) EBT Solar Group 622 858 • EBT increased by DKK 236m. 2022 2021 • As ratio of revenue, EBT amounted to 6.2% against 5.0% in 2021. EBITDA, DKK m 1,175 911 900 EBITDA margin 8.5 7.4 800 EBIT, DKK m 909 672 700 EBIT margin 6.6 5.4
Slide 19: The balance sheet total increased due to large investments
The balance sheet total increased among others due to large investments The balance sheet total Balance sheet total and Gearing increased to 0.9 increased by DKK 596m gearing increased times EBITDA NIBD DKK million Gearing, no. of times DKK billion 7 • The balance sheet total amounted to DKK 5.9bn.
Slide 20: Allocation of profit. Proposed dividend of DKK 329m.
Allocation of profit. Proposed dividend of DKK 329m. Dividend Retained earnings Dividend per share DKK million DKK million DKK 204+ 329+ 28+ 45+ 102 102 110 329 329 31 -38 18 202 331 14 14 15 45 45 700 350 100 90 600 300 80 250 500 70 200 60 400 150 50 300 100 40 50 30 200 0 20 100 -50 10 0 -100 0 2
Slide 21: Proposals from the Board of Directors
Proposals from the Board of Directors Bo Holse Chair of the meeting 21
Slide 22: Authorisations to the Board of Directors
Authorisations to the Board of Directors Distribution of extraordinary dividend • The Board of Directors proposes that the company’s Board of Directors be authorised in the period up until the next annual general meeting to distribute extraordinary dividend of up to DKK 50.00 per share. Acquisition
Slide 23: Amendments to the articles of association
Amendments to the articles of association Proposed amendments to the articles of association • The Board of Directors proposes that articles 7.1, 9.1, 9.2, 10.4 - 10.6, 11.1, 11.2, 12, 13.1, 13.3, 13.5 and 17.1 of the company’s articles of association be amended. The amendments comprise, among other
Slide 24: Remuneration policy
Remuneration policy Approval of the company’s remuneration policy for the Board of Directors and the Executive Board. • The Board of Directors proposes that the company’s remuneration policy be amended in accordance with the attached Appendix 2 in which the proposed amendments are highlighted. The a
Slide 25: Remuneration Report 2022
Remuneration Report 2022 Indicative vote for approval of the remuneration report • Indicative vote on the remuneration report prepared by the Board of Directors concerning remuneration to members of the Board of Directors and the Executive Board in 2022.
Slide 26: Board of Directors' remuneration
Board of Directors’ remuneration Proposal for the Board of Directors’ remuneration • The Board of Directors proposes that the fixed fee for members of the Board of Directors in 2023 remains at DKK 200,000. The chair of the Board of Directors will receive triple remuneration, and the vice chair of th
Slide 27: The nomination committee proposes
The nomination committee proposes Re-election of the current members of the Board of Directors Michael T. Andersen Jesper Dalsgaard Louise Knauer Peter Bang Morten Chrone Katrine Borum 27
Slide 28: Appointment of auditor
Appointment of auditor In line with the Audit Committee’s recommendation, the Board of Directors proposes that Deloitte, Statsautoriseret Revisionspartnerselskab, be re-elected as the company's auditor. The Audit Committee has not been influenced by third parties and is not subject to any contractua
Slide 29: Authorisation to the chair of the meeting
Authorisation to the chair of the meeting • The Board of Directors proposes that the general meeting authorises the chair (with a right of substitution) to register with the Danish Business Authority the reportable resolutions adopted by the general meeting and to make such amendments to the documen
Slide 30: Any other business
Any other business