H+h International A/s · OMXCOP:HH
H+h International A/s — Q1 2017 Earnings Presentation
21 slides from H+h International A/s's earnings presentation, May 18, 2017
Slide 1: Investor presentation Q1 2017
Investor presentation Q1 2017 18 May 2017
Slide 2: Introduction
Investor presentation, interim report Q1 2017 18 May 2017 2 Introduction Forward-looking statement Agenda The statements on the future in this presentation, including expected sales and earnings, are associated with risks and uncertainties and may be affected by factors • Highlights influencing the
Slide 3: Highlights
Investor presentation, interim report Q1 2017 18 May 2017 3 Highlights • DKK 23 million in the first quarter of Organic • Positive 6% organic growth in the first 2017 against DKK 11 million in 2016. quarter. Investments growth • Borough Green project running to schedule. • DKK 37 million in the firs
Slide 4: Financial performance
Investor presentation, interim report Q1 2017 18 May 2017 4 Financial performance Q1 DKK million 2017 2016 Variance Actual 377 368 2% Revenue Organic 390 368 6% Gross margin 23% 24% (1%) Before special items 37 37 0 EBITDA After special items 31 35 (4) Before special items 5% 4% 1% EBIT margin After
Slide 5: Outlook and long-term financial targets
Investor presentation, interim report Q1 2017 18 May 2017 5 Outlook and long-term financial targets DKK million Outlook Organic growth 5-7% EBITDA before special items 220-240 Investments excluding mergers, ~ 120 acquisitions and divestments
Slide 6: Update on the UK
Investor presentation, interim report Q1 2017 18 May 2017 6 Update on the UK • We expect continuous growth from the UK, • Special items of approximately DKK 25 despite Brexit and the general election on 8 million cost are expected to be incurred in June 2017. 2017 as a result of the Borough Green •
Slide 7: Specific assumptions for outlook for 2017
Investor presentation, interim report Q1 2017 18 May 2017 7 Specific assumptions for outlook for 2017 • Economic growth of around 1-3% in our geographical footprint. • Energy and raw material prices rise only in line with inflation from their mid-May 2017 levels. • The commercial and operational exc
Slide 8: Other selected items
Investor presentation, interim report Q1 2017 18 May 2017 8 Other selected items Credit • New three year credit facility in place Pension • Defined contribution obligation less deferred tax decreased approx. DKK 24 facility until March 2020. obligation million. • Free cash flow negatively influenced
Slide 9: Western European segment
Investor presentation, interim report Q1 2017 18 May 2017 9 Western European segment Q1 DKK million 2017 2016 Variance Actual 288 293 (2%) Revenue Organic 305 293 4% Before special items 40 40 0 EBITDA After special items 35 40 (5) Investments 19 7 12 • Slight decrease in sales volumes, mainly • Adv
Slide 10: Eastern European segment
Investor presentation, interim report Q1 2017 18 May 2017 10 Eastern European segment Q1 DKK million 2017 2016 Variance Actual 89 75 18% Revenue Organic 85 75 13% Before special items 6 0 6 EBITDA After special items 6 (2) 8 Investments 4 4 0 • Good volume and price development in • Low sales volume
Slide 11: Q&A
Investor presentation, interim report Q1 2017 18 May 2017 11 Q&A
Slide 12: Thank you
Investor presentation, interim report Q1 2017 18 May 2017 12 Thank you H+H International A/S Dampfærgevej 3, 3rd Floor 2100 Copenhagen Ø Denmark +45 35 27 02 00 info@hplush.com www.hplush.com
Slide 13: Appendices
Investor presentation, interim report Q1 2017 18 May 2017 13 Appendices
Slide 14: Geographical footprint
Investor presentation, interim report Q1 2017 18 May 2017 14 Geographical footprint Production facility Sales and administration
Slide 15: Strategy and external growth drivers
Investor presentation, interim report Q1 2017 18 May 2017 15 Strategy and external growth drivers MISSION VISION To supply value-added To be number one innovative aircrete aircrete supplier in our solutions to buildings geographical footprint. through profitable partnerships with distributors, contr
Slide 16: Commercial approach
Investor presentation, interim report Q1 2017 18 May 2017 16 Commercial approach Quality aircrete Trusted partner - is the foundation of - is our reputation in our company the industry Build with ease House Construction Distributors builders companies Innovative solutions - are how we create results
Slide 17: Business model
Investor presentation, interim report Q1 2017 18 May 2017 17 Business model
Slide 18: Revenue allocation 2016
Investor presentation, interim report Q1 2017 18 May 2017 18 Revenue allocation 2016 5% 9% UK 22% 6% Germany Western Europe Poland 47% Russia Eastern Europe 16% Denmark Other 78% 17%
Slide 19: EBITDA and EBIT margin development and EBITDA allocation 2016
Investor presentation, interim report Q1 2017 18 May 2017 19 EBITDA and EBIT margin development and EBITDA allocation 2016 EBITDA EBIT % (DKK million) 300 8 13% 7 6 200 5 Western Europe 4 Eastern Europe 3 100 2 87% 1 0 0 2011 2012 2013 2014 2015 2016
Slide 20: Non-current asset allocation as of 31 December 2016
Investor presentation, interim report Q1 2017 18 May 2017 20 Non-current asset allocation as of 31 December 2016 15% 17% UK Western Europe Germany 50% 50% Eastern Europe Poland 30% Russia 38%
Slide 21: Net interest-bearing debt development and allocation as of 31 December 2016
Investor presentation, interim report Q1 2017 18 May 2017 21 Net interest-bearing debt development and allocation as of 31 December 2016 Net interest-bearing debt Gearing (DKK million) 1% 800 10 8% 10% GBP EUR 400 5 PLN DKK 81% 0 0 2011 2012 2013 2014 2015 2016