Consti Oyj · OMXHEX:CONSTI

Consti Oyj — Q3 2024 Earnings Presentation

26 slides from Consti Oyj's earnings presentation, Oct 25, 2024

  1. Slide 1: Consti Plc Interim Report 1 January – 30 September 2024

    CONSTI PLC INTERIM REPORT 1 JANUARY – 30 SEPTEMBER 2024 CEO Esa Korkeela CFO Anders Löfman

  2. Slide 2: Contents

    CONTENTS 1. Highlights and Group performance 2. Cash flow and financial position 3. Market outlook, guidance and summary 4. Appendix 1 25 October 2024 Consti Plc / Interim Report 1-9/2024

  3. Slide 3: Highlights of Q3/2024 and 1-9/2024

    Highlights of Q3/2024 and 1-9/2024 Solid performance continued, order backlog at a good level NET SALES: EBIT: FREE CASH FLOW: EUR 86.0m EUR EUR 3.4m EUR EUR 1.7m EUR Q3/2024 -0.1m Q3/2024 -1.9m Q3/2024 -7.9m EUR -3.8m 1-9/2024 EUR -1.4m 1-9/2024 EUR -5.4m 1-9/2024 EUR 234.4m EUR 6.6m EUR 2.4m EUR E

  4. Slide 4: Quarterly performance overview

    Quarterly performance overview Order intake and order backlog grew year-on-year, Q3 net sales decreased 4.3% year-on-year QUARTERLY NET SALES (EUR m) QUARTERLY ORDER INTAKE (EUR m) QUARTERLY ORDER BACKLOG (EUR m) FY’22 NET FY’23 NET FY’22 ORD. FY’23 ORD. SALES: SALES: INTAKE: INTAKE: 297,9 EUR 305.2

  5. Slide 5: Quarterly net sales development

    Quarterly net sales development Q3 net sales amounted to EUR 86.0m Quarterly net sales development Q1/2022 – Q3/2024 (EUR m) Comments ■ Q3/2024 net sales EUR 86.0m (89.9m) 115 – Year-on-year change -4.3% 93,3 89,9 – Net sales grew strongly in Building Technology (34.5%) 95 86,1 82,9 86,0 business ar

  6. Slide 6: Quarterly EBIT development

    Quarterly EBIT development Solid performance continued Quarterly EBIT development Q1/2022 – Q3/2024 (EUR m) Comments 8 8% ■ Q3/2024 EBIT amounted to EUR 3.4 (4.8) million, or FY’22 EBIT: FY’23 EBIT: EUR +11.4m EUR +12.3m 3.9% (5.3%) of net sales 7 7% – Q3 proceeded in line with our expectations, wit

  7. Slide 7: Quarterly order intake development

    Quarterly order intake development Q3/2024 order intake EUR 64.8 million (23.2m), growing 178.8% year-on-year Quarterly order intake development Q1/2022 – Q3/2024 (EUR m) Comments ■ Q3/2024 order intake EUR 64.8m (23.2m) – Year-on-year growth 178.8% 109,1 106,5 100 – Intensified competition and weak

  8. Slide 8: Quarterly order backlog development

    Quarterly order backlog development Q3/2024 order backlog at EUR 250.4 million, up by 1.3% y-o-y Quarterly order backlog development Q1/2022 – Q3/2024 (EUR m) Comments 350 ■ Q3/2024 order backlog at EUR 250.4m (247.3m) – Year-on-year growth +1.3% 300 – In absolute and relative terms, a slightly smal

  9. Slide 9: Number of personnel and other HR KPIs

    Number of personnel and other HR KPIs Positive trend in personnel turnover, absence rate as well as in accident rate. Consti employed 1,054 (973) professionals at quarter-end, personnel grew by ~30% in Building Technology Average number of personnel Permanent personnel turnover ratio Accident rate /

  10. Slide 10: Contents

    CONTENTS 1. Highlights and Group performance 2. Cash flow and financial position 3. Market outlook, guidance and summary 4. Appendix 9 25 October 2024 Consti Plc / Interim Report 1-9/2024

  11. Slide 11: Quarterly free cash flow development

    Quarterly free cash flow development Q3 2024 free cash flow EUR 1.7 million (7.1m) Quarterly free cash flow1) and EBITDA Q1/2022 – Q3/2024 (EUR m) Comments 25 ■ Q3/2024 free cash flow EUR 1.7m (7.1m) – EBITDA amounted to EUR 4.4m (5.7m) Free cash flow and EBITDA (EUR million) 20 – Cash flow impact f

  12. Slide 12: Quarterly net working capital development

    Quarterly net working capital development Net working capital at EUR -10.8 million at the end of Q3/2024 Quarterly net working capital1) Q1/2022 – Q3/2024 (EUR m) Comments Q2/22 Q1/22 Q3/22 Q4/22 Q1/23 Q2/23 Q3/23 Q4/23 Q1/24 Q2/24 Q3/24 ■ Net working capital EUR -10.8m (-21.4m) at the end of Q3/202

  13. Slide 13: Quarterly balance sheet structure

    Quarterly balance sheet structure Financial position remained at a good level at the quarter-end Quarterly net debt development (EUR m) Quarterly equity ratio and gearing development Comments Q1/2022 – Q3/2024 Q1/2022 – Q3/2024 30 100% ■ Q3/2024 net debt at EUR 3.1m (-2.7m), of which EUR 3.8m (3.6m)

  14. Slide 14: Maturity distribution of interest-bearing debt (30 September 2024)

    Maturity distribution of interest-bearing debt (30 September 2024) Gross interest-bearing debt (excl. IFRS 16) EUR 13.8m at quarter-end, decrease of EUR 2.1m y-o-y Maturity profile of interest-bearing debt1) as per 30 September 2024 (EUR m) Comments 30 ■ Consti’s gross interest-bearing debt at EUR 1

  15. Slide 15: Reported ROI and Consti ROCE

    Reported ROI1) and Consti ROCE2) Return on capital continues to be on a good level Reported ROI1) and Consti ROCE2) Q4/2020 – Q3/2024 (%) Comments 35,3 % 40% ■ In financial years 2020-2023, Consti’s return on 33,0 % capital employed has exceeded 20% 31,6 % 30,8 % 30,0 % 35% 29,3 % 27,8 % ■ Q3 2024 C

  16. Slide 16: Contents

    CONTENTS 1. Highlights and Group performance 2. Cash flow and financial position 3. Market outlook, guidance and summary 4. Appendix 15 25 October 2024 Consti Plc / Interim Report 1-9/2024

  17. Slide 17: Economic sentiment and construction confidence in Finland below long-term average

    Economic sentiment and construction confidence in Finland clearly below their long-term average levels Economic Sentiment and Construction Confidence / Finland (2007 – 9/2024) Comments 150 ■ Negative development in the Economic Economic Sentiment Indicator Sentiment Indicator (ESI) since 2022 140 ES

  18. Slide 18: Renovation volume projected to decline by 4% and new housebuilding by 26%

    Renovation volume is projected to decline by 4% and new housebuilding volume by 26% in 2024. In 2025 renovation volume is projected to grow by 1% and new housebuilding volume by 15% (CFCI) Finnish new building and renovation market development 2008–2026 (Euroconstruct) Comments EUR b Renovation volu

  19. Slide 19: Demand outlook weakened by high construction costs and interest rates

    The demand outlook for construction weakened by persistently high construction costs and interest rates as well as tighter availability of financing Persistently high Interest rate level construction costs 120 5 +17% Substantial tightening of 118 +3% banks’ credit standards 4 116 for loans or credit

  20. Slide 20: Outlook and guidance for 2024

    Outlook and guidance for 2024 ■ In 2024, the Finnish house construction volume is estimated to decrease by approximately 8 percent from the previous year. New construction is predicted to decline by approximately 12 percent and renovation by 4 percent in 2024. ■ Consti anticipates a decline in deman

  21. Slide 21: Summary

    Summary 1. Solid performance continued, order backlog at a good level Operationally, Q3 proceeded as expected, with projects progressing predominantly as planned. Profitability 2. remained stable excl. the gain from the sale of property-related relining business in the comparison period. 3. Total am

  22. Slide 22: Contents

    CONTENTS 1. Highlights and Group performance 2. Cash flow and financial position 3. Market outlook, guidance and summary 4. Appendix 21 25 October 2024 Consti Plc / Interim Report 1-9/2024

  23. Slide 23: Consti's strategic focus areas

    To realise its vision and goals, Consti has defined the following strategic focus areas: •1 Growth in construction  Profitable development of current business, expansion in the construction value chain, capitalising on attractive opportunities in new construction, strengthening special expertise •2

  24. Slide 24: Consti's solutions to improve energy efficiency of buildings

    Consti’s solutions to improve energy efficiency of buildings and to help customers to achieve their climate goals Consti OPTIMI VODAVOL Energy solutions for housing companies Building technology system Facade solution ENERGY SOLUTION OF THE YEAR 2022 • Reduces total energy consumption by up to 50% •

  25. Slide 25: Consti as an investment - Key investment highlights

    Consti as an investment - Key investment highlights ■ Steadily improving profitability ■ Aging building stock driving need-based renovation ■ Solid platform for future growth ■ Climate change and energy efficiency requirements ■ Asset-light business model with negative working Financial ■ Urbanisati

  26. Slide 26: Interim Report 1-9/2024 Consti Plc

    INTERIM REPORT 1-9/2024 CONSTI PLC Q3 CONSTI PLC VALIMOTIE 16 FI-00380, HELSINKI BUSINESS ID 2203605-05 WWW.CONSTI.FI 25 26 April 2019 Consti Group Plc / Interim Report 1-3/2019

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