Slide 1: Aspo Q3
Aspo Q3 October 29, 2019 CEO Aki Ojanen
Slide 2: Aspo Q3
2 Q3 October 29, 2019 Aspo Q3 Net sales grew and stood at Operating profit for Q3 was Eearnings per share for Q3 EUR 148.0 (136.3) million. EUR 6.7 (7.2) million. were EUR 0.15 (0.18). Net sales for January- Operating profit for January- Earnings per share for September were EUR 440.7 September was
Slide 3: Net sales by quarter
3 Q3 October 29, 2019 Net sales by quarter MEUR Net sales increased and were 180 at EUR 148 (136) million. 157 160 151 148 142 140 132 133 136 The increase in net sales was 119 124 127 115 driven especially by the 120 acquisition of AtoB@C. 100 80 60 40 Strong growth in net sales 20 continued for bo
Slide 4: Operating profit by quarter
4 Q3 October 29, 2019 Operating profit by quarter MEUR Operating profit was EUR 6.7 (7.2) million. 10 ESL Shipping made expected progress, 8 *) 7,4 the operating profit of Telko segment was 7,1 7,1 7,2 negatively impacted by Kauko’s 6,5 6,7 operating profit which was EUR 0.8 6 million lower than Q3
Slide 5: Long-term financial targets
5 Q3 October 29, 2019 Long-term financial targets % Operating profit, %, cumulative 8 Operating profit rate was 7 3.6% (4.7). 6 *) 5 4,5 4,6 4,7 4,7 4,4 4 3,7 3,9 3,5 3,6 3,2 3,8 3,1 The target level is 3 7% by 2020. 2 1 0 Target level 2017 2018 2019 indicated by the Q1 Q1-Q2 Q1-Q3 Q1-Q4 dashed line
Slide 6: Long-term financial targets
6 Q3 October 29, 2019 Long-term financial targets % Return on equity (ROE), cumulative 20 Return on equity was 18 16,7 17,1 14.0% (15.6). 16 15,6 14,6 14,0 14 13,4 13,5 13,1 12,4 *) 11,7 12 Target level is 10 over 20% on average 8 7,0 by 2020. 6 4 2 0 Target level 2017 2018 2019 indicated by the Q1
Slide 7: Long-term financial targets
7 Q3 October 29, 2019 Long-term financial targets % Gearing Gearing was at 173.7% (155.2). 196 200 181 180 174 Gearing has increased as a 160 155 154 result of the investments and acquisition made in 2018. 140 119 120 114 110 104 103 100 94 80 60 Due to the adoption of the 40 IFRS 16 standard, geari
Slide 8: Net cash from operating activities
8 Q3 October 29, 2019 Net cash from operating activities MEUR 40,0 35,0 33,6 Net cash from operating activities was EUR 33.6 30,0 (7.6) million. 25,0 20,3 20,0 17,4 14,6 15,0 10,0 7,6 5,7 5,0 3,5 1,9 0,0 Adoption of IFRS 16 increased -1,2 -1,2 -5,0 the Group’s net cash from -3,2 operating activities
Slide 9: Aspo is a balanced entity
9 Q3 October 29, 2019 Aspo is a balanced entity Net sales by segment, Q3 2019 Net sales by market area, Q3 2019 Finland 45.9 MEUR 13 % 29 % ESL Shipping 43.4 31 % Scandinavia 21.8 MEUR MEUR Leipurin 29.9 MEUR Baltic countries 14.8 51 % MEUR 31 % Telko 74.7 MEUR Russia, other CIS countries and Ukrain
Slide 10: Russia, other CIS countries and Ukraine
10 Q3 October 29, 2019 Russia, other CIS countries and Ukraine MEUR 50 47,5 46,2 45,6 46,0 In the eastern markets, net 44,5 45 43,2 42,3 sales remained on the same 40 39,3 40,1 37,9 level at EUR 46.0 (45.6) million. 35 32,6 30 Leipurin’s net sales grew by 25 10% and Telko’s by 5% in the eastern mark
Slide 11: ESL Shipping
11 Q3 October 29, 2019 ESL Shipping Leading marine logistics provider for bulk cargo
Slide 12: ESL Shipping Q3
12 Q3 October 29, 2019 ESL Shipping Q3 Net sales increased and were at EUR 43.4 Freight rates of dry bulk cargo strengthened (30.6) million. in Q3, especially in the largest ship classes. Steel industry’s transport levels were down The growth was mainly due to the from comparative period. acquisitio
Slide 13: ESL Shipping key figures Q3
13 Q3 October 29, 2019 ESL Shipping key figures Q3 MEUR Net sales 50 46,4 45 43,7 42,6 43,4 Net sales increased by 42% and 40 were EUR 43.4 (30.6) million. 35 30,6 30 25 22,6 22,6 20,5 20 18,9 19,5 18,3 15 Results of the investment 10 program are starting to show, 5 and the next development phase 0
Slide 14: ESL Shipping key figures Q3
14 Q3 October 29, 2019 ESL Shipping key figures Q3 Operating profit increased MEUR Operating profit 5,0 by 10% and was EUR 4.4 4,4 4,5 4,3 (4.0) million. 4,1 4,0 4,2 4,0 3,5 3,3 3,2 Operating profit rate was 3,0 3,1 10.1% (13.1). 3,0 2,6 2,6 2,5 2,0 1,5 1,0 0,5 Supramax vessels made a profit in Q3.
Slide 15: Baltic Dry Index
15 Q3 October 29, 2019 Baltic Dry Index
Slide 16: Leipurin
16 Q3 October 29, 2019 Leipurin From bread and recipes to a comprehensive selection
Slide 17: Leipurin Q3
17 Q3 October 29, 2019 Leipurin Q3 Q3 net sales increased and were Operating profit remained on the same level EUR 29.9 (28.0) million. as in Q3 2018 at EUR 0.8 (0.8) million. Net sales growth in the Eastern markets was 10% Leipurin’s operating profit rate was 2.7% (2.9). In the Eastern markets, bak
Slide 18: Leipurin key figures Q3
18 Q3 October 29, 2019 Leipurin key figures Q3 MEUR Net sales Net sales increased and were 35 32,9 EUR 29.9 (28.0) million. 30,2 31,2 31,6 29,4 30,1 29,9 29,9 30 28,0 28,0 25,9 Net sales increased especially 25 in Leipurin’s bakery business in the Eastern markets. 20 15 10 5 Machinery business net s
Slide 19: Leipurin key figures Q3
19 Q3 October 29, 2019 Leipurin key figures Q3 MEUR Operating profit 1,6 Operating profit was 1,4 1,4 EUR 0.8 (0.8) million. 1,2 Operating profit rate was 1 0,9 2.7% (2.9). 0,8 0,8 0,8 0,8 0,8 0,7 0,6 0,6 0,6 0,5 0,4 0,4 0,2 At an annual level, the 0 machinery business will 2017 2018 2019 produce a
Slide 20: Net sales in Russia, other CIS countries and Ukraine
20 Q3 October 29, 2019 Net sales in Russia, other CIS countries and Ukraine MEUR Net sales in the market area MRUB Net sales of the Russian company 14,0 800 693 11,8 700 12,0 10,3 600 562 559 10,0 9,5 535 9,0 514 8,3 8,1 8,3 8,6 8,3 484 478 481 475 8,2 500 456 452 8,0 7,7 400 6,0 300 4,0 200 2,0 100
Slide 21: Telko
21 Q3 October 29, 2019 Telko Raw material solutions for the industry Aspo has changed its segment reporting so that Kauko is reported as part of the Telko segment starting from January 1, 2019.
Slide 22: Telko Q3
22 Q3 October 29, 2019 Telko Q3 Mikko Pasanen appointed Managing Director of Telko. Net sales of Telko segment were EUR 74.7 (77.7) million. Economic growth has decelerated in Telko’s operating environment and the prices of raw Net sales of Telko operations increased by 2%. materials were down from
Slide 23: Telko key figures Q3
23 Q3 October 29, 2019 Telko key figures Q3 MEUR Net sales 90 Net sales of Telko segment *) 80,6 *) were EUR 74.7 (77.7) million. 80 *) 74,7 71,7 71,9 69,5 70 65,7 67,3 65,6 67,3 63,6 60 57,7 50 40 Net sales of Telko operations increased by 2% but segment’s 30 total net sales were weakened 20 by sig
Slide 24: Telko key figures Q3
24 Q3 October 29, 2019 Telko key figures Q3 MEUR Operating profit 4,0 Operating profit for Telko 3,6 segment was EUR 2.4 (3.6) 3,5 3,4 million. 3,1 3,0 3,0 2,9 *) 2,5 2,4 2,4 2,4 2,3 2,3 2,2 2,0 Operating profit for Telko 1,5 operations was EUR 2.5 (2.9) million and operating profit rate 1,0 was app
Slide 25: Net sales in Russia, other CIS countries and Ukraine
25 Q3 October 29, 2019 Net sales in Russia, other CIS countries and Ukraine MEUR Net sales in the market area MRUB Net sales of the Russian company 40,0 1400 36,5 1258 35,3 34,8 35,5 34,4 1195 1211 35,0 33,5 1200 1149 1131 30,4 31,0 28,7 29,2 1029 1004 30,0 982 967 1000 888 25,0 24,0 794 800 20,0 60
Slide 26: Guidance for 2019
26 Q3 October 29, 2019 Guidance for 2019 Aspo’s operating profit will be EUR 24–30 (20.6) million in 2019.
Slide 27: Additional material
ft ASPO Additional material
Slide 28: Equity ratio and gearing
28 Q3 October 29, 2019 Equity ratio and gearing % Gearing at Aspo Group was 45 250 173.7% (155.2). 40 35 200 Equity ratio was 30 28.3% (29.3). 150 25 20 100 15 As a result of the adoption of 10 50 IFRS 16, gearing increased by 5 approximately 30 percentage points and the equity ratio 0 0 Q1/17 Q2/17
Slide 29: Structure of liabilities
29 Q3 October 29, 2019 Structure of liabilities Interest bearing liabilities Interest bearing liabilities without lease liabilities without lease liabilities September 30, 2018: 198 MEUR September 30, 2019: 203 MEUR 3% 6% Loans Loans 3% 2 % 13 % Commercial Commercial 3% papers papers 19 % Others 9%
Slide 30: Maturity of significant loan agreements
30 Q3 October 29, 2019 Maturity of significant loan agreements MEUR 90 The average interest rate of interest-bearing liabilities, 80 1,4 excluding lease liabilities, was 15,0 70 1.5% (1.6% 12/2018). 25,0 1,4 60 TyEL pension loan 11,0 50 Bond 20,0 Hybrid bond (call) 40 20,0 Revolving credit facilitie
Slide 31: Shareholders / allocation
31 Q3 October 29, 2019 Shareholders / allocation Number of shareholders Distribution of ownership on September 30, 2019 by ownership group, % 10 400 10 151 4% 0% 10 200 10 000 9 800 20 % Institutions 9 600 9 502 Group Executive 9 400 9 236 Committee 1% 9 200 9 060 Board 9 000 8 929 Private investors
Slide 32: IFRS 16 Leases standard, as of January 1, 2019
32 Q3 October 29, 2019 IFRS 16 Leases standard, as of January 1, 2019 Lease liabilities to be classified as debt that is recognized in interest- Interest-bearing debt (-) bearing liabilities in the balance sheet. and right-of-use assets (+) recognized in balance sheet for a total increase Right-of-u
Slide 33: IFRS 16: The impact on the statement of comprehensive income in brief
33 Q3 October 29, 2019 IFRS 16: The impact on the statement of comprehensive income in brief Aspo Group consolidated statement of comprehensive income 1-9/2019, MEUR Amount of leases reduces. EBITDA increases. Net sales and other income 441.1 Depreciation and impairment Materials and services -292.8
Slide 34: IFRS 16 impact on balance sheet on September 30, 2019
34 Q3 October 29, 2019 IFRS 16 impact on balance sheet on September 30, 2019 Main new balance sheet specifications: Assets: • Right-of-use assets related to lease agreements • Current and non-current lease liabilities Right-of-use assets related • Further minor changes to finance leases to lease agr