Husqvarna Ab Class A · OMXSTO:HUSQ_A
Husqvarna Ab Class A — Q2 2024 Earnings Presentation
18 slides from Husqvarna Ab Class A's earnings presentation, Jul 18, 2024
Slide 1: Q2 Results – July 18, 2024
Q2 Results – July 18, 2024 Pavel Hajman, CEO Terry Burke, CFO
Slide 2: Solid cash flow in a quarter affected by weak market conditions
Solid cash flow in a quarter affected by weak market conditions • Weak market conditions with cautious consumer spending gradually impacted the quarter • Unfavorable weather conditions that significantly impacted the Gardena Division in particular • Strong growth in strategic focus areas: pro roboti
Slide 3: Solid cash flow in the quarter
Solid cash flow in the quarter • Strong growth in pro robotics, consumer battery and P&A • Stable gross margin SEK • Weather significantly impacted • Lower volumes and capacity Gardena’s watering business utilization NET SALES • Lower sales of petrol-powered OPERATING INCOME • Negative product mix e
Slide 4: Husqvarna Forest & Garden Division
Husqvarna Forest & Garden Division Q2: Organic sales declined 6%; operating margin * improved to 13.2% • Improved operating margin driven by product exits, cost savings and FX • Good growth for pro robotics, consumer battery-powered products and P&A • Sequentially improved residential robotics sales
Slide 5: Gardena Division
Gardena Division Q2: Organic sales declined 9%; operating margin at * 15.2% • Watering business significantly impacted by unfavourable weather in Europe and North America • Good sales for battery handheld products • Negative volume and mix * impacting profitability, partly offset by cost savings H1
Slide 6: Husqvarna Construction Division
Husqvarna Construction Division Q2: Organic sales declined 3%; operating margin at * 9.7% • Good sales growth in emerging markets, stable in Europe, decline in North America • Strong performance: demolition robots & diamond tools • Negative sales mix, volumes and capacity utilization * impacting pro
Slide 7: Q2 2024 EBIT bridge (excl. IAC)
Q2 2024 EBIT bridge (excl. IAC) -407m -18% 2,313 (13.6% margin) -540 1,906 (12.4% margin) +215 -70 +80 -95 Q2 2023 Price / volume / Cost savings Raw materials Transformational Currency Q2 2024 mix / other & logistics initiatives Note: Numbers are rounded to nearest 5 or 0.
Slide 8: H1 2024 EBIT bridge (excl. IAC)
H1 2024 EBIT bridge (excl. IAC) -886m -19% 4,723 (13.8% margin) 3,837 -1,370 (12.7% margin) +280 +400 -85 -115 H1 2023 Price / volume / Cost savings Raw materials Transformational Currency H1 2024 mix / other & logistics initiatives Note: Numbers are rounded to nearest 5 or 0.
Slide 9: Consolidated balance sheet
Consolidated balance sheet SEKm June 30, 2024 June 30, 2023 Dec 31, 2023 Non-current assets 31 262 32 338 30 592 • Solid financial position Inventories 14 720 17 949 17 184 Trade receivables 10 519 9 373 5 289 • Trade receivables impacted by the Other current assets 1 922 2 620 3 018 planned reducti
Slide 10: Net debt / EBITDA
Net debt / EBITDA Note: average net debt / rolling 12 months EBITDA, excl. items affecting comparability
Slide 11: Reducing inventory levels
Reducing inventory levels -3.2bn Inventories, -18% SEK bn -2.5bn -15% 19,3 18,7 17,9 17,1 17,2 17,1 14,7 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2023 2024
Slide 12: Direct operating cash flow
Direct operating cash flow Direct operating cash flow Trade receivables financing used in H1 2022 and H1 2023
Slide 13: Husqvarna Group – EBIT development
Husqvarna Group – EBIT development *Operating income excluding items affecting comparability
Slide 14: Investing in our value creation areas
Investing in our value creation areas Battery- Watering Robotic Professional powered products mowers solutions products 14
Slide 15: Highlights from the Group in Q2
Highlights from the Group in Q2 Husqvarna Group Four new web top ranked on stores launched in global innovation key markets and sustainability Automower NERA models Husqvarna Automower® rankings for smaller gardens 520 EPOS Husqvarna New DXR 95 partners with boosts sales of Liverpool FC for demoliti
Slide 16: Good progress on our Sustainovate 2025 targets
Good progress on our Sustainovate 2025 targets CARBON CIRCULAR PEOPLE Reduce absolute CO2 Launch 50 new Empower 5 million emissions by -35% circular innovations people to make sustainable choices Status Q2 2024: Status Q2 2024: Status Q2 2024: -56% 31 3.3m
Slide 17: Solid cash flow in a quarter affected by weak market conditions
Solid cash flow in a quarter affected by weak market conditions • Weak market conditions with cautious consumer spending gradually impacted the quarter • Unfavorable weather conditions that significantly impacted the Gardena Division in particular • Strong growth in strategic focus areas: pro roboti
Slide 18: www.husqvarnagroup.com
Husqvarna Group www.husqvarnagroup.com