Byggpartner Gruppen Ab · OMXSTO:BYGGP
Byggpartner Gruppen Ab — ByggPartner — Q3 2019 Earnings Presentation
27 slides from Byggpartner Gruppen Ab's earnings presentation, Nov 12, 2019
Slide 1: Investor presentation Q3 and Jan-Sep 2019
Investor presentation Q3 and Jan-Sep 2019 November 12, 2019 1|
Slide 2: Agenda
Agenda ▪ Business update FAST FACTS BYGGPARTNER ▪ Financial update Operations: Construction, services and scaffholdings Employees: ≈ 450 employees ▪ Q&A Sales 2018: ≈ SEKm 1.6 CEO: Fredrik Leo Ownership: Public traded on First North Premier, Nasdaq Stockholm, major shareholder Bo Olsson 24.7% , Läns
Slide 3: Strong growth and improved EBIT-margin
Strong growth and improved EBIT-margin Great performance Q3 2019 2018 Januari-September 2019 2018 Full year 2018 Net Sales, SEKm 445.0 352.4 +26% Net Sales, SEKm 1 437.8 1 141.2 1 655.5 EBIT-margin, % 3.9% 1.7% EBIT-margin, % 3.5% 2.6% 2.8% Net Profit, SEKm 13.0 4.5 Net Profit, SEKm 38.8 22.4 34.9 E
Slide 4: Development of order intake and order back-log
Development of order intake and order back-log Last 12 month 2017-2019 2 500 2 500 2 205 2 011 2 043 Order back-log 1 954 2 000 1 839 2 140 2 098 1 877 1 860 2SEKm 000 1.954 30 sep 2019 1 704 1 621 1 601 1 802 1 818 Order intake SEKm 1 701 LTM 1 500 1 709 1 701 1 500 1 616 1 500 1 455 1 453 1 000 1
Slide 5: Stable financial development
Stable financial development Last 12 months 2017-2019 2 500 6,0% 5,5% 2 000 1 952 1 860 1 780 1 655 5,0% ByggPartner is a core construction 1 495 1 555 company. Since it was founded in 1 500 1 394 1 317 4,5% 1992 the focus has remained the 1 200 1 238 same – to build a growing, 4,0% profitable compa
Slide 6: Three complementary business segments
Three complementary business segments Share of sales Jan-Sep 2019 Construction Services Scaffholdings 88% 10% 2% (86% Jan-Sep 2018) (11% Jan-Sep 2018) (3% Jan-Sep 2018) 1274.6 (993.3) SEKm +28% 142.7 (124.1) SEKm +15% 35.3 (37.7) SEKm -6% ▪ Profitable ▪ Profitable ▪ Stable growth growth development
Slide 7: Great market conditions for social properties and rental housing
Great market conditions for social properties and rental housing Development of segments Q3 2019 Q3 2018 7% 2% 17% 5% 51% 40% 60% 18% Social Properties Rental housing Social Properties Rental Housing Housing Commercial properties Housing Commercial properties Share of value of the order book per Sep
Slide 8: Our geographies – Stockholm, Mälardalen and Dalarna/Gästrikland
Our geographies – Stockholm, Mälardalen and Dalarna/Gästrikland Gävle new market – share of revenues Jan-Sep 2019 8|
Slide 9: Well diversified customer and project portfolio
Well diversified customer and project portfolio SEKm 50-300 projects are a great fit for us ▪ High share of social properties ▪ High share of rental housing ▪ Focus on ”Partnering”-projects Projects Customers Social properties 51% Arboga Kommun Order back-log 30 September 2019 SEKm 1.954 (2.205) Hou
Slide 10: Partnering is a great fit in the circular economy
Partnering is a great fit in the circular economy Partnering – our methodology for healthy projects Social Mutual view on Experience Economic risks and feedback Organically opportunities Partnering Sustainability Stability Low risk Healthy projects Open books Joint testing Transparency and learning
Slide 11: Partnering - focus area in more than 25 years
Partnering - focus area in more than 25 years Developed in close relationship with our customers Construction, social property, Falu kommun Renovation, Salabackar, Uppsalahem LCA-analysis, wooden structure Phase 1 – change of windows 11 |
Slide 12: Strategic partnering - next step in the development
Strategic partnering - next step in the development Construction, Bilmetro, Construction, Arboga kommun, Borlänge, Gävle, Falun, i.e. Social properties, i.e. 12 |
Slide 13: Financial update
Helena Blom, CFO & EVP Services & Scaffholdings FINANCIAL UPPDATE 13 |
Slide 14: Order intake and order book; Revenues
Order intake and order book Q3 | SEKm JAN-SEP | SEKm Last 12m | SEKm 600 547 539 2500 2000 2500 2500 2500 1745 2098 500 2000 2000 2000 1701 2000 1500 1349 1597 1453 400 1201 1500 1058 1500 1500 1500 300 254 1000 209 1000 1000 1000 1000 200 500 500 500 100 500 500 0 0 0 0 0 0 2016 2017 2018 2019 2016
Slide 15: Profitability and EBIT-margin; Cash-flow from operations
Profitability and EBIT-margin Q3 | SEKm ACC | SEKm Last 12m | SEKm 20 4,5 60 4 80 4,5 17,2 50,6 67 4 3,5 70 4 50 15 3,5 3 60 3,5 50,5 3 40 32,5 2,5 50 45,8 3 29,4 40,8 8,7 2,5 27,8 2,5 10 30 2 40 6,3 2 2 6 1,5 30 1,5 20 1,5 5 1 1 20 1 10 0,5 10 0,5 0,5 0 0 0 0 0 0 2016 2017 2018 2019 2016 2017 2018
Slide 16: Revenue per segment, EBIT per segment
Revenus per segment EBIT per segment Jan-Sep 2019 Jan-Sep 2019 2% 7% 10% 16% 77% 88% Construction Services Scaffholdings Constructions Services Scaffholdings 2019 2018 2019 2018 SEKm Jan-Sep Jan-Sep Change SEKm Jan-Sep Jan-Sep Change SALES EBIT Construction 1274,6 993,3 28% Construction 39,2 21,3 84
Slide 17: Efficient Capital Management; Earnings per share
Efficient Capital Management Net working capital end of quarter, SEKm| Average -53 SEKm 40 19 20 20 0 2016 2017 2017 2017 2017 2018 2018 2018 2018 2019 2019 2019 DIVIDEND POLICY -20 Q4 Q1 Q2 -24 Q3 -22 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 The goal is to deliver a dividend -40 -24 -27 corresponding to 50 percent
Slide 18: Low capital requirement increasing returns
Low capital requirement increasing returns Strong return on capital… ROE ROE ROE ROE ROCE1 ROCE1 ROCE1 ROCE1 34% 24% 27% 38% 36% 29% 33% 45% SEKm SEKm 160 150 160 140 142 139 132 137 140 140 127 129 120 120 100 100 80 80 67 51 60 51 46 60 43 41 31 35 40 40 20 20 0 0 2016 2017 2018 2019 LTM 2016 2017
Slide 19: Next step – conscious choices, increased activities
Next step – conscious choices, increased activities Prioritizations 1. Pick the right projects and customers 2. Prioritize partnering projects 3. Improve project management 4. Develop procurement 5. Consulting contractor - make it easy for customers to come to healthy decisions Nockebyskogen, SKB, c
Slide 20: Performance Jan-Sep 2019 vs Financial Goals
Performance Jan-Sep 2019 vs Financial Goals ByggPartner’s ambition is to be the leading construction company in Sweden for partnering projects in the range of SEKm 50-300. GROWTH GROWTH 10-15% 26% MID-TERM Jan-Sep 2019 EBIT-MARGIN EBIT-MARGIN 5% MID-TERM 3.5% Jan-Sep 2019 MORE 50% One of our proud s
Slide 21: Q&A
Fredrik Leo VD and Helena Blom CFO Q&A 21 |
Slide 22: Why ByggPartner?
Why ByggPartner? For property owners’ 1. We are consulting constructors’ 2. We have experienced and knowledgeable employees 3. We have short decision paths and a visible management For investors’ 1. We are a core construction company 2. We have a track-record of stable financial development 3. Our b
Slide 23: Appendix
~~ ByggPartner APPENDIX
Slide 24: Ten largest shareholders
Ten largest shareholders Per September 30, 2019 Surditet AB (Bo Olsson) 24,66% Länsförsäkringar Fondförvaltning AB 13,40% Nordea Livförsäkring Sverige AB 4,74% Försäkringsaktiebolaget Avanza Pension 4,39% Aktiebolaget Pom Sandelius 3,88% LGT Bank LTD 3,13% Tore Hallersbo 2,85% Dalakvartetten Huskons
Slide 25: Key ratios
Key ratios SEK millions 2014 2015 2016 2017 2018 2019-09 Revenues 1 020,7 1 125,6 1 246,7 1 316,8 1 655,5 1 437,8 Production and operating costs -956,9 -1 037,4 -1 167,3 -1 244,7 -1 575 -1 358,9 Gross profit 63,8 88,2 79,4 72,1 80,4 79,0 Selling and administrative expenses1) -25,0 -25,6 -28,8 -31,3
Slide 26: Executive management team
Executive management team Fredrik Leo, Helena Blom, CFO Ann-Louise CEO & EVP Services & Holmbom, HR Scaffholding Manager • Joined ByggPartner in 2017 as EVP Construction, • Joined ByggPartner in 2018 • Joined ByggPartner in 2010 appointed CEO in 2018 • ~15 years experience from ABB. • Previous exper
Slide 27: Board of Directors
Board of Directors Tore Hallersbo, Bo Olsson, Helena Chairman of the Director Skåntorp, Board Director • Elected to join the Board of ByggPartner in • Founder of ByggPartner and a board • Joined the Board of ByggPartner in October November 2016 member since 1992 2016 • Other board assignments: Bengt