Kalmar Corporation Class B · OMXHEX:KALMAR
Kalmar Corporation Class B — Investor Presentation (March 2025)
44 slides from Kalmar Corporation Class B's investor presentation, March 2025
Slide 1: Making every move count
Making every move count Investor presentation March 2025
Slide 2: Agenda
Agenda 1. Strategy overview 2. Q4 2024 highlights and performance 3. Market environment 4. Financial profile 5. Guidance for 2025 6. Dividend distribution proposal 7. Q&A 8. Appendix: ‒ Capital allocation ‒ Reporting segments ‒ Balance sheet & cash flow ‒ Competitors ‒ US equipment flow ‒ Electrific
Slide 3: Disclaimer
Disclaimer This presentation includes forward-looking statements that are based on present plans, estimates, projections and expectations and are not guarantees of future performance. These forward-looking statements are subject to numerous risks, uncertainties and assumptions, including risks relat
Slide 4: Making every move count
Making every move count Market drivers Productivity Vision: Forerunner in sustainable material Safety handling equipment and services Intelligent operations Decarbonisation & Electrification Changing logistics landscape Labour shortage Strategic pillars Investing in Sustainable Innovations Growing S
Slide 5: Kalmar's performance targets for 2028
Kalmar’s performance targets for 2028 Financial targets 5% 15% >25% Sales growth p.a. Comparable operating ROCE1 over the cycle profit margin Capital Aligned with2 Kalmar aims for a structure and SBTi targets <2x dividend payout ratio of sustainability framework with 1.5°C Leverage3 (Net Debt to EBI
Slide 6: Pure-play leader in the heavy material handling market
Pure-play leader in the heavy material handling market #1 #2-3 #1 #1 #1 Reachstackers1 Forklift Trucks, Terminal Straddle Spreaders medium and heavy Tractors Carriers EQUIPMENT SERVICES A leading service network in the industry, close to customers2 Spare parts Maintenance Lifecycle solutions # Refer
Slide 7: Leading sales and service network in the industry
Leading sales and service network in the industry Kalmar Innovation Centre, Kalmar Innovation Centre, Tampere, Finland Ljungby, Sweden Head Office, Helsinki, Finland Kalmar Factory, Stargard, Poland 1,400+ Kalmar Factory, Ottawa, United States Service Kalmar Factory, technicians Shanghai, China Sale
Slide 8: A solid foundation and a well diversified business with solid profitability
A solid foundation and a well diversified business with solid profitability Services share Addressable markets by Geographical Eco portfolio of sales 2024 customer segment sales split 2024 share of sales 2024 Heavy Logistics Ports and Terminals AMEA Europe 24% 35% 20% 41% 33% 41% Manufacturing Distr
Slide 9: Q4/2024 highlights – Resilient profitability and strong orders
Q4/2024 highlights – Resilient profitability and strong orders • Profitability has remained resilient despite Comparable operating profit, MEUR and %1 lower sales • Highest quarterly orders in two years, supported by relatively many large orders • Overall demand has remained stable • The board propo
Slide 10: Strong order intake in Q4 with 20% increase, demand remained stable
Strong order intake in Q4 with 20% increase, demand remained stable Orders received and order book, MEUR • Including relatively many large straddle carriers orders • The demand picture varied both regionally and by end-customer segments ‒ Demand in ports and terminals remained good globally 471 437
Slide 11: Sequentially stable sales throughout 2024
Sequentially stable sales throughout 2024 Sales, MEUR • Increased share of services sales providing resilience Sales by region, Q4/24 MEUR Q4/24 Q4/23 Change FY24 FY23 Change Sales 440 509 -14% 1,720 2,050 -16% Services share 33% 28% 33% 28% of total sales 11 Q1/23 - Q2/24 are carve-out figures
Slide 12: Eco portfolio share of sales record high
Eco portfolio share of sales record high Eco portfolio sales, MEUR and % of total sales • Customers showing strong interest towards Eco portfolio solutions • Fully electric share of total equipment orders was 9% in 2024 • The potential for fully electric equipment is significant, but the order growt
Slide 13: Actions towards sustainable growth in 2024
Total R&D Actions towards sustainable growth in 2024 spend in 2024 was 3.1% of sales Volvo Penta Decision to expand our MyKalmar 2.0 digital collaboration with Innovation Center in ecosystem introduced: framework service Ljungby, Sweden by one stop platform for agreement for engines building a world
Slide 14: Good business performance in both segments in 2024
Good business performance in both segments in 2024 Equipment Services Orders received: Orders received: 1,099 MEUR 580 MEUR Order book: Order book: 831 MEUR 120 MEUR Sales: Sales: 1,160 MEUR 560 MEUR Comparable operating profit: Comparable operating profit: 150.1 MEUR/12.9% 97.8 MEUR/17.5% Other not
Slide 15: Market environment - modest growth with some uncertainties
Market environment - modest growth with some uncertainties Average growth rate 2024-28: 3.2% Average growth rate 2024-28: 3.2% Average growth rate 2019-23: 2.7% Average growth rate 2019-23: 2.0% Average growth rate 2024-28: 2.8% Average growth rate 2024-28: 2.9% Average growth rate 2019-23: 2.6% Ave
Slide 16: Stable demand reflected in connected fleet activity
Stable demand reflected in connected fleet activity y/y: +2% q/q: -2% y/y: +5% y/y: +1% q/q: -7% q/q: -1% y/y: 0% q/q: +1% 68,000+ installed base y/y: +2% q/q: -3% 14,500+ y/y: -2% connected q/q: -2% y/y: -1% equipment q/q: -4% Change in equipment activity: 16 y/y = Q4/2024 vs Q4/2023 q/q = Q4/2024
Slide 17: Attractive & strong financial profile
Attractive & strong financial profile 2024 key financial figures 1,679 MEUR 955 MEUR 26.3% 12.6% Orders received Order book Gross profit Comparable (at 31 December 2024) operating profit margin 1,720 MEUR 0.3x 18.7% 104% Sales Leverage Return on capital Cash conversion (interest bearing net debt at
Slide 18: Business showing resilience despite lower sales volumes
Business showing resilience despite lower sales volumes Comparable operating profit 2023 to 2024 to operating profit 2024 bridge, amounts in MEUR 255 217 174 *Improved business performance includes e.g. improvement in the sales mix, price management and sourcing actions 18
Slide 19: Guidance for 2025
Guidance for 2025 Kalmar expects its comparable operating profit margin to be above 12 percent in 2025. 19
Slide 20: Dividend distribution proposal 1.00 euros for year 2024
Dividend distribution proposal 1.00 euros for year 2024 Kalmar Board of Directors proposes to the General Meeting held on 27 March 2025 • Dividend payment of EUR 1.00 per each outstanding class B share and EUR 0.99 per each class A share • Record date 31 March 2025 • Payment date 7 April 2025. Kalma
Slide 21: Appendix
Appendix 21
Slide 22: Strong ending to the year in equipment orders
Strong ending to the year in equipment orders Equipment; Sales, orders received, order book, MEUR • Sequentially stable demand for almost two years • Relatively many large orders won in Q4, including Straddle Carriers. • Quarterly fluctuation is normal. • Orderbook remained on a good level. MEUR Q4/
Slide 23: Equipment profitability on a good level despite lower sales
Equipment profitability on a good level despite lower sales • Profitability remained resilient despite Equipment; Comparable operating profit, MEUR and % lower sales volumes due to ‒ successful commercial performance ‒ as well as cost savings actions executed • The decrease in profitability was main
Slide 24: Order intake in services increased by 15%
Order intake in services increased by 15% Services; Sales, orders received, order book, MEUR ● Orders received, sales and order book all reached highest quarterly levels in two years, providing resilience ● Including some larger maintenance contract renewals in Q4 ● Reflecting a good demand for our
Slide 25: Services performance on a solid level
Services performance on a solid level Services; Comparable operating profit, MEUR and % ● Profitability on a solid level, opportunities to improve going forward ● Successful commercial performance 25 Q1/23 - Q2/24 are carve-out figures
Slide 26: Kalmar's return on capital employed enables long-term growth
Kalmar’s return on capital employed enables long-term growth Return on capital employed (ROCE, last 12 months) Items affecting comparability deriving mostly from demerger and listing costs had a -4.1 percentage points impact on ROCE Q4/24. 26 The time period Q1/23 - Q2/24 is based on carve-out figure
Slide 27: Strong balance sheet
Strong balance sheet Net debt and gearing, MEUR Maturity profile, 31 December 2024* Interest-bearing net debt / EBITDA** 0.3x 27 *The detailed maturing profile of lease liabilities is reported annually and estimated in the interim reports. **Last 12 months’ EBITDA, periods prior to Q3/2024 are on car
Slide 28: Continued strong cash generation
Continued strong cash generation Cash flow from operations before financing items and taxes, MEUR 28 Q1/23 - Q2/24 are carve-out figures
Slide 29: Investment highlights – Making every move count
Investment highlights – Making every move count Global leader in an attractive market for 01 mission-critical heavy material handling Partnering long-term with our customers 02 to deliver a stronger impact Geared to grow by making the industry more People with unique 03 electrified, intelligent and
Slide 30: Driving excellence across operations
Driving excellence across operations Driving excellence to target best-in-class commercial performance and cost efficiency Kalmar is planning to 2021 2022 2023 2024 2025 2026 2027 2028 reach approximately Exit Heavy Cranes €50 million Portfolio Business* Optimisation gross efficiency improvements Ex
Slide 31: Growth execution underway with clear priorities ahead
Growth execution underway with clear priorities ahead Services sales, MEUR Add customer +20% 560 value with Leverage data-driven 467 industry solutions Spare part capture Capture higher electrification rate from 25% to 30% share of for increased Strong focus on installed base services growth digital
Slide 32: We will continue to allocate capital to profitable growth, sustainability and shareholder returns
We will continue to allocate capital to profitable growth, sustainability and shareholder returns Investing in organic growth Principles for capital allocation prioritization Organic Long-term Shareholder CAPEX Strong M&A growth growth returns balance sheet readiness possibilities Prioritising R&D s
Slide 33: Kalmar market position across equipment categories and services and relevant competitors
Kalmar market position across equipment categories and services and relevant competitors Straddle Carriers #1 Konecranes, ZPMC Forklift trucks (medium & #2-3 Hyster-Yale, Konecranes, Taylor heavy) Limited Hyster, Kion Group, Mitsubishi Terminal Tractors #1 Terberg, TICO Tractors Forklift trucks (lig
Slide 34: 2024 equipment sales to and from US
2024 equipment sales to and from US Canada Stargard, Poland United States Ottawa, United States Shanghai, China In addition to Mexico equipment sales, spare parts and service operations generate material Ipoh, Malaysia revenue in the US. (Bromma) Equipment sales flows, width indicates magnitude Sour
Slide 35: Market is pushing for electrification and our customers are increasingly active
Market is pushing for electrification and our customers are increasingly active Electrification is driving the market3 Safety, Sustainability & Regulation 9% 63% accelerates decarbonisation of equipment of customers plan 41% orders were fully zero or low emission electric in capex by 20282 20241 4 b
Slide 36: Customers' electric and diesel buying process compared
Customers’ electric and diesel buying process compared With reference to time of order (first time EV buyers) Delivery of machine = Sales -18 to 24 -12 to 18 -0 to 12 Time of +0 to 9 After months months months order months delivery Electric Decarbonisation Infrastructure Sales discussions re. Orderi
Slide 37: Comparing the total cost of ownership for Reachstackers
Comparing the total cost of ownership for Reachstackers Norway Equipment assumptions 5 year total cost of ownership comparison • Same machine model sizes and capacities -8% • Basic configurations for all machines -24% • 326 kWh battery for ERG450 • Same drive cycle and energy consumptions • 3,000 ru
Slide 38: Comparing the total cost of ownership for Reachstackers
Comparing the total cost of ownership for Reachstackers France Equipment assumptions 5 year total cost of ownership comparison • Same machine model sizes and capacities -8% -16% • Basic configurations for all machines • 326 kWh battery for ERG450 • Same drive cycle and energy consumptions • 3,000 ru
Slide 39: Serving all our customer segments
Serving all our customer segments Ports & terminals Distribution Manufacturing Heavy logistics
Slide 40: Ports & Terminals
Ports & Terminals Global Market Key Indicators Container throughput index 6.7% GDP growth Kalmar provides a wide range of high quality Segment CAGR Straddles equipment and services Reach stackers for ports and terminals to ‘23-’281 Example customer profiles ensure maximum operations uptime. • Contai
Slide 41: Distribution
Distribution North America Key Indicators Global retail and wholesale 2.4% output development Kalmar serves the distribution segment by offering Segment CAGR ‘23-’281 GDP growth compact equipment and value adding services to ensure continuous operations of its customers. >30% EV penetration rate Ele
Slide 42: Manufacturing
Manufacturing Europe Key Indicators Manufacturing output index 4.2% Purchasing Managers’ Index Kalmar serves the industrial sector by providing CAGR ‘23-’281 GDP growth supporting equipment for efficient material handling applications and ensuring the maximum uptime with Example customer profiles wo
Slide 43: Heavy Logistics
Heavy Logistics Global Market Key Indicators Manufacturing output index 4% Purchasing Managers’ Index CAGR ‘23-’281 GDP growth Kalmar provides heavy machinery equipment and services for heavy logistics industry for various Example customer profiles applications such wind and energy. • Wind & Energy
Slide 44: Services
Services Spare Global Market parts Key Indicators Digital 3.7% 30% 68,000 solutions units Spare parts capture Installed base of Kalmar's Services drives recurring revenue through CAGR ‘23-’281 rate in ‘24 machines in ‘24 guaranteed uptime and productivity. Data, analytics and AI have a central role