Alfa Laval Ab · OMXSTO:ALFA
Alfa Laval Ab — Alfa Laval Corporate — Q2 2024 Earnings Presentation
21 slides from Alfa Laval Ab's earnings presentation, Jul 23, 2024
Slide 1: Report for Q2 2024
Report for Q2 2024 Tom Erixon President and CEO Alfa Laval
Slide 2: Key figures
Key figures SEK million Q2 2024 Q2 2023 Tot ∆ Organic ∆* Q1 2024 Order intake 18,916 18,405 3% 4% 18,272 Net sales 17,530 15,880 10 % 11 % 14,906 Adjusted EBITA 2,932 2,378 23 % 2,436 Adjusted EBITA- 16.7 % 15.0 % 16.3 % margin *) Organic growth i.e. excluding currency effects and structural changes
Slide 3: Energy division
Energy division Q2 24 Q2 23 Tot ∆, % Org ∆, % Q1 24 Highlights and comments, SEK million ORDERS 4,771 5,413 -11.9 -11.0 5,179 SALES 4,891 4,910 -0.4 0.5 4,643 Adj EBITA 935 974 917 Markets and order intake Adj EBITA (%) 19.1 19.8 19.8 • Customer focus on energy efficiency almost compensated for a sl
Slide 4: Food & Water division
Food & Water division ORDERS Q2 24 6,273 Q2 23 6,941 Tot ∆, % -9.6 Org ∆, % -9.3 Q1 24 6,357 7,023 6,412 9.5 10.3 5,263 Highlights and comments, SEK million SALES Adj EBITA 1,077 962 742 Adj EBITA (%) 15.3 15.0 14.1 Markets and order intake • Demand continued to improve in the transactional business
Slide 5: Marine division
Marine division Q2 24 Q2 23 Tot ∆, % Org ∆, % Q1 24 Highlights and comments, SEK million ORDERS 7,872 6,051 30.1 30.8 6,736 SALES 5,616 4,558 23.2 24.0 5,000 Adj EBITA 1,031 565 894 Markets and order intake Adj EBITA (%) 18.4 12.4 17.9 • Ship contracting remained on a good level and demand is furthe
Slide 6: Service orders, Q2
Service orders, Q2 Order intake, SEK million 27% Marine 6 000 25 000 5 000 20 000 26% 4 000 15 000 Food & Water 3 000 10 000 2 000 5 000 1 000 0 2020 2021 2022 2023 2024 30% Order intake per quarter Rolling twelve months value Energy Q2 2024
Slide 7: Orders received by region
Orders received by region Excluding currency effects 14 -21 4 -25 North America 17 -8 12 +20 Latin America 35 +24 Northern Europe Eastern Europe 7 -19 Southern Europe 6 +47 6 -11 India, Middle East & Africa NorthEast Asia SouthEast Asia & Oceania Q2 2024 Share of orders received year-to-date, % YTD
Slide 8: Top ten markets
Top ten markets* SEK million China United States Nordic South East Asia Korea, South Adriatic Mid Europe India Japan Benelux 0 2 000 4 000 6 000 8 000 10 000 12 000 14 000 *Top ten markets order intake development 2023. LTM FY 2023 Q2 2024
Slide 9: Financials Q2 2024
Financials Q2 2024 Fredrik Ekström, CFO Alfa Laval
Slide 10: Orders received
Orders received SEK million 21 000 70 000 Q2 2024 18 000 60 000 • Order intake of 18,916 MSEK (18,405) 15 000 50 000 • 2.8% growth 12 000 • 3.5% organic growth 40 000 • 0.1% structure 9 000 30 000 • -0.8% currency 6 000 20 000 3 000 10 000 YTD 2024 • Order intake of 37,189 MSEK (36,790) 0 0 • Growth
Slide 11: Order backlog as per June 30
Order backlog as per June 30 SEK billion Q2 2024 50 • Order backlog of 50 BSEK 40 • 25 BSEK for delivery 2024 • 25 BSEK for delivery 2025 or later 30 • 10% increase YoY • Backlog corresponds to 20 9.0 months of sales 10 • Q2 book-to-bill of 1.08 0 2020 2021 2022 2023 2024 For delivery during For del
Slide 12: Sales
Sales SEK million 18 000 80 000 Q2 2024 70 000 16 000 • Sales of 17,530 MSEK (15,880) 60 000 14 000 • 10.4% growth 50 000 • 11.2% organic growth 12 000 40 000 • 0.1% structure 30 000 • -0.9% currency 10 000 20 000 8 000 YTD 2024 10 000 • Sales of 32,435 MSEK (29,991) 6 000 0 • Growth of 8.1% 2020 20
Slide 13: Key figures
Key figures SEK million Q2 2024 Q2 2023 Sales 17,530 15,880 Gross profit 5,857 5,144 Sales & Admin -2,592 -2,342 R&D -411 -417 Net other cost/income -113 -268 Operating income 2,742 2,136 Financial net -352 -133 Profit before tax 2,390 2,003 Taxes -694 -488 EPS 4.08 3.63 Q2 2024
Slide 14: Adjusted EBITA margin
Adjusted EBITA margin* SEK million and in percent of sales SEK million Margin % Q2 2024 Organic Currency Structure Q2 2023 3 000 19,0 Sales 17,530 1 779 -143 16 15 880 2 500 17,0 Sales growth % 5.6% 6.6% -1.2% 0.2% 2 000 15,0 Adj EBITA 2,932 570 -13 -4 2,378 1 500 13,0 Adj EBITA % 16.7% 15.0% 1 000
Slide 15: Cash-flow statement
Cash-flow statement SEK million Q2 2024 Q2 2023 YTD 2024 YTD 2023 EBITDA 3,236 2,783 6,116 5,535 Working Capital 30 -739 -606 -2,051 Taxes paid -633 -702 -1,127 -1,138 Cash flow from operating activities 2,633 1,342 4,383 2,346 Capital expenditures -741 -549 -1,559 -989 Free cash flow 1,892 793 2,82
Slide 16: Debt position
Debt position SEK million Maturity profile and liquidity buffer • Loans maturing 2024-2029: 11,706 MSEK • Average funding rate on our debt is 2.43% per annum Net debt Q2 2024 Q2 2023 9 000 Liquidity buffer Debt 11,762 16,495 8 000 Debt/EBITDA LTM 0.94 1.60 7 000 Cash & cash equivalents -4,044 -3,783
Slide 17: Guidance
Guidance Q3 2024 FY 2024 FY 2025 CAPEX Estimated 0.4 - 0.6 BSEK Estimated 2.0 - 2.5 BSEK Estimated 2.5 – 3.0 BSEK (cash) Estimated transaction and Estimated transaction and Currency impact translation impact of translation impact of on EBITA* 30 MSEK 250 MSEK PPA amortization ~700 MSEK ~500 MSEK Tax
Slide 18: Outlook for the third quarter
Outlook for the third quarter: “We expect demand in the third quarter to be on a somewhat lower level compared to the second quarter.” Q2 2024
Slide 19: Q&A and financial calendar 2024
Q&A Financial calendar 2024 Interim report Q3 2024 Interim report Q4 2024 24 October 2024 5 February 2025 Capital Markets Day 2024 21 November 2024 Q2 2024
Slide 20: www.alfalaval.com
www.alfalaval.com Classified by Alfa Laval as: Business
Slide 21: Cautionary statement
Cautionary statement This presentation contains forward-looking statements that are based on the current expectations of the management of Alfa Laval Group. Although management believes that the expectations reflected in such forward- looking statements are based on reasonable assumptions, no assura