Nilfisk Holding A/s · OMXCOP:NLFSK
Nilfisk Holding A/s — Danske Bank Winter Seminar 2022
20 slides from Nilfisk Holding A/s's conference presentation, Nov 29, 2022
Slide 1: Business Plan 2026
Business Plan 2026 CEO TORSTEN TÜRLING Danske Bank Winter Seminar November 29, 2022
Slide 2: Nilfisk – a resilient company founded on entrepreneurship in 1906
Nilfisk – a resilient company founded on entrepreneurship in 1906 A global market leader with Danish roots sets out to win with Business Plan 2026 2021 2026 Revenue 995 mEUR 1.2 to 1.3 bnEUR EBITDA bsi 14.5% >16% Founder: P. A. Fisker 115 years 120 years 2 DB WINTER SEMINAR 2022
Slide 3: Nilfisk – a leading global provider of professional cleaning solutions
Nilfisk – a leading global provider of professional cleaning solutions Total Nilfisk revenue of 995 mEUR in 2021 Focus on professional cleaning Global presence in all relevant markets Share of revenue 2021 Share of revenue 2021 Consumer APAC 9% 9% Professional 995 mEUR 30% 995 mEUR 2021 2021 61% Ame
Slide 4: Nilfisk offers widest breadth of product solutions in the industry
Nilfisk offers widest breadth of product solutions in the industry Unparalleled capability to provide comprehensive product and service solutions to our customer base Floorcare Vacuum cleaners High-pressure washers Parts & Services Commercial Industrial Proportion of sales 2021 34% 22% 14% 30% 4 DB
Slide 5: Professional cleaning is a growth market
Professional cleaning is a growth market Key trends and market drivers for the global professional cleaning equipment market Global market size of 7.5 mEUR 1 Labor shortage and rising labor costs in developed countries Revenue in professional cleaning equipment 2021 (%) APAC 2 Raising regulatory and
Slide 6: Important segments growing faster than average
Important segments growing faster than average Diversified application segments Contract cleaners Logistic & warehouse Healthcare Retail Facility Services Manufacturing Education % of global market 29% 18% 11% 7% Growth potential ++ +++ ++ ++ 6 DB WINTER SEMINAR 2022
Slide 7: Strategy review leading to focus on long-term, sustainable growth
Strategy review leading to Business Plan 2026 Focus on long-term, sustainable Growth Revenue mEUR Strategy review H2 2021 Create fact base: what went wrong? 1,082 1,054 995 Org. growth 1.2-1.3 bn Assess value creation potential 967 4.5-6.5% 833 Identify underutilized opportunities 2017 2018 2019 202
Slide 8: Nilfisk Value Proposition
Nilfisk Value Proposition Based on customer focus and sustainability New equipment Service contract Process optimization Equipment uptime 35% reduction GHG EMISSIONS SCOPE 1+2 BY 2030 Fleet Equipment 48% reduction management utilization GHG EMISSIONS SCOPE 3 BY 2030 8 DB WINTER SEMINAR 2022
Slide 9: Building growth platforms for long-term, sustainable growth
Building growth platforms for long-term, sustainable growth 3 strategic priorities to enhance long-term growth potential 9 DB WINTER SEMINAR 2022
Slide 10: Develop service-as-a-business
Develop service-as-a-business A fundamental evolution of Nilfisk’s business model Shift from Key levers for growth Key benefits • traditional product-centric model • Higher share direct customers • Growing, non-cyclical sales of selling with reactive repair service • Contract penetration fleet • Hig
Slide 11: Grow in large-scale US market
Grow in large-scale US market Nilfisk has a growth formula to win market share in the world’s largest professional cleaning market US is the largest market by far Key levers for growth Results so far – revenue growth • Leading position in dealer channel • 2021 (OG) 23.8% US RoW • Strategic Key Accou
Slide 12: Investments to enable long-term sustainable growth
Investments to enable long-term sustainable growth Business Plan 2026 caters for the necessary investments creating scalable growth platforms Enhance supply Lead with Digitally-enabled chain robustness sustainable products WoW Growth capacity in Product upgrades & kick-off IT systems & manufacturing
Slide 13: People are the most essential part in successful execution
Business Plan 2026 caters for successful execution Building execution strength by forming new Ways of Working (WoW) ‘People are the most essential part in successful execution’ 13 DB WINTER SEMINAR 2022
Slide 14: Nilfisk Operating System (NOS)
Nilfisk Operating System (NOS) Building a culture of disciplined execution Top level strategy deployment Manage projects and resources Manage projects and resources Nilfisk Operating System Act Plan Learning Organization Check Do Manage daily business Manage business improvement 14 DB WINTER SEMINAR
Slide 15: Business Plan 2026
Business Plan 2026 Focus on long-term sustainable growth 15 DB WINTER SEMINAR 2022
Slide 16: Trading update for 9M 2022
Trading update for 9M 2022 Continued revenue growth, but margin negatively impacted by high cost inflation and US DC tornado event 799.2 mEUR 101.3 mEUR • Continued sales growth, driven by Branded Professional Revenue 9M 2022 EBITDA bsi 9M 2022 • Highest absolute growth from US business • Consumer a
Slide 17: Financial targets for 2026
Financial targets for 2026 1.2 to 1.3 bnEUR • Revenue Above 16% • EBITDA margin before special items 3 to 4% • CAPEX in % of sales 1.5 to 2.0x • Gearing 17 DB WINTER SEMINAR 2022
Slide 18: Nilfisk on track towards our longer term targets
Nilfisk on track towards our longer term targets Business Plan 2026 sets course for successful execution 1 Strategy focused on long-term, sustainable growth 2 We build on existing strengths 3 New Ways of Working secure successful implementation 18 DB WINTER SEMINAR 2022
Slide 19: NILFISK
NILFISK
Slide 20: Forward-looking statements
Forward-looking statements This presentation contains forward-looking statements, including statements regarding Nilfisk’s future operating profit, financial position, inventory, cash flows, strategic priorities as well as plans for the future. Forward-looking statements include, without limitation,