Hms Networks Ab · OMXSTO:HMS
Hms Networks Ab — Q2 2020 Earnings Presentation
18 slides from Hms Networks Ab's earnings presentation, Jul 15, 2020
Slide 1: HMS Networks Q2 2020 presentation
HMS Networks Q2 2020 presentation July 15th 2020 Staffan Dahlström, CEO, Joakim Nideborn, CFO
Slide 2: Agenda
Agenda Summary Business update Financial results Q&A
Slide 3: Financial summary of Q2 2020 and first six months
Financial summary of Q2 2020 and first six months Q2 First six months • Net sales 355 MSEK (416), -15% • Net sales 716 MSEK (796), -10% • Order intake 302 MSEK (375), -19% • Order intake 703 MSEK (762), -8% • EBIT 69 MSEK (72) • EBIT 136 MSEK (132) • EBIT margin 19% (17) • EBIT margin 19% (17) • Cas
Slide 4: We are Connecting Devices™
a . . “ms Ne are Connecting Devices™ — Connecting Devices™ We make sure that industrial devices can communicate. Millions of robots, engines, drives, generators and other business-critical equipment rely on HMS technology to get connected Anybus’ Ixxat’ Ewon’ = Intesis” WéBfactory BY HMS NETWORKS BY
Slide 5: HMS is working with Users and Makers
HMS is working with ”Users” and ”Makers” HMS have thousands of industrial customers Users of Industrial Automation Systems Makers of Industrial Equipment These companies work in end-user industries: These companies make: - Intelligent Industrial Machines • Packaging machine, CT-scanner, Windmill, El
Slide 6: Understanding of HMS sales Q2 2020
Understanding of HMS sales Q2 2020
Slide 7: Agenda
Agenda Summary Business update Financial results Q&A
Slide 8: Business update second quarter 2020
Business update second quarter 2020 • The challenging macro situation impacting all main markets • Our three main markets in Europe – Germany, France and Italy continues to suffer from lower demand as a result of Corona slow down • USA held up well in Q1 but is now also impacted by the market declin
Slide 9: Corona update
Corona update Q2 Q3 expectations • All HMS team members are OK and healthy • Expected continued soft market in all major markets • Short-time work in Germany and Sweden (about 20%) • Short-time work continues in Germany, until further notice • All supply facilities are working without any major disr
Slide 10: Agenda
Agenda Summary Business update Financial results Q&A
Slide 11: Order intake 302 MSEK
Order intake 302 MSEK ORDER INTAKE, MSEK Comments on Q2 order intake • Order intake in Q2 302 MSEK (375), corresponding to a decrease of 19% 450 1 600 -19% • Organic a decrease of 17% 401 1 500 400 387 387 1 400 375 372 • Q1 stocking orders of 30-40 MSEK 360 1 300 350 350 336 337 1 200 • Continued d
Slide 12: Net sales 355 MSEK
Net sales 355 MSEK NET SALES, MSEK Comments on Q2 Net Sales • Net Sales of 355 MSEK (416), corresponding to a 450 -15% 1 600 decrease of 15% 416 1 500 400 380 377 1 400 • Organic a decrease of 14% 363 361 355 353 1 300 350 346 • EMEA: -23% 320 329 1 200 305 301 1 100 • Americas: +4% 300 1 000 • Asia
Slide 13: Sales per region Q2 2020
Sales per region Q2 2020 Sales per region Q2 2020, MSEK EMEA • Net Sales 198 MSEK (256) • 56% of Group sales (62%) • Germany represents 42% Americas 24% 56% Asia • Net Sales 84 MSEK (81) • Net Sales 73 MSEK (79) • 24% of Group sales (19%) 20% • 20% of Group sales (19%) • USA represents 82% • Japan r
Slide 14: EBIT 69 MSEK (19% margin)
EBIT 69 MSEK (19% margin) EBIT, MSEK Comments on Q2 results 80 -5% 300 • EBIT 69 MSEK (72), EBIT margin of 19.4% (17.3) 74 72 70 69 • Q2 gross margin of 62.0% (61.2), positive effects 67 65 250 from a favorable product mix, pricing and efficiency 63 63 60 improvements 60 56 55 • OPEX decrease of 21
Slide 15: EPS 1.24 SEK
EPS 1.24 SEK EPS, SEK Comments on Q2 EPS +13% • EPS of 1.24 SEK (1.10) 1.3 1.24 5.0 • Net financials of 0 MSEK (-2) 1.2 4.5 1.09 1.10 1.1 1.01 4.0 0.98 1.0 0.90 0.90 0.90 0.88 0.9 3.5 0.80 0.8 3.0 0.7 0.68* 2.5 0.6 2.0 Comments on first six months EPS 0.5 0.43 0.4 1.5 • EPS of 2.26 (1.98) 0.3 1.0 •
Slide 16: Cash flow from operations of 115 MSEK in Q2
Cash flow from operations of 115 MSEK in Q2 CASH FLOW, MSEK Comments on Q2 Cash Flow +123% • Cash flow from operating activities of 115 MSEK 120 115 350 (51) 110 • Changes in NWC of 18 MSEK 300 100 • NWC in % of sales 11.0% 90 90 250 80 73 70 200 62 61 60 55 51 52 51 Comments on first six months Cas
Slide 17: Net debt 263 MSEK
Net debt 263 MSEK Net debt and leverage, MSEK Comments on Net debt and leverage -50% • Net debt / EBITDA of 0.73 (1.61) 550 1.8 524 • Net debt / Equity: 0.24 (0.58) 1.7 500 1.6 • Reduced leverage as result of no dividend 96 463 450 1.5 409 1.4 98 402 400 381 390 1.3 365 342 98 1.2 350 335 93 91 1.1
Slide 18: Q&A
ums Q&A