Slide 1: Nilfisk Q3 2023 Conference Call Presentation
Nilfisk Q3 2023 CONFERENCE CALL PRESENTATION November 16, 2023
Slide 2: Forward-looking statements
Forward-looking statements This presentation contains forward-looking statements. Any such statements are subject to risks and uncertainties, and several different factors, of which many are beyond the Group’s control, can mean that the actual development and the actual result will differ significan
Slide 3: Key highlights Q3 2023, Business Plan 2026 update
Key highlights Q3 2023 Business Plan 2026 update 3 Q3 2023
Slide 4: Q3 2023: Service growth intact while demand in Professional was soft
Q3 2023: Service growth intact while demand in Professional was soft Revenue dynamics • Consumer and Service contributed with growth 247.8 mEUR -0.7 % • Professional and Specialty declined • Negative organic growth in EMEA and Americas, positive in APAC Revenue Organic revenue growth Supply constrai
Slide 5: Update on progress with Business Plan 2026
Update on progress with Business Plan 2026 Business Plan 2026 roll-out mobilizing the organization and building value creating growth platforms Grow in large-scale US market Product launches • -1.7% organic growth in Americas Q3 2023 launches • Commercial: SC351 Li-ion • Soft demand within commercia
Slide 6: Financials
Financials 6 Q3 2023
Slide 7: Q3 2023 revenue driven by continued Service Business momentum
Q3 2023 revenue driven by continued Service Business momentum Revenue (mEUR), organic revenue growth (%) x = Organic Growth (%) 263.0 247.8 mEUR -2.4 -0.7 Revenue -9.6 0.5 247.8 239.2 263.0 247.8 -1.1 mEUR mEUR mEUR -2.6 Q3 2021 Q3 2022 Q3 2023 % -20.8% -0.4% Organic growth Private Branded part -5.8
Slide 8: Q3 2023 organic growth impacted by soft demand
Q3 2023 organic growth impacted by soft demand Revenue (mEUR), organic revenue growth (%) x = Organic Growth Branded Professional (%) -0.7% Organic revenue growth 17.9% 5.4% -0.7% Q3 2021 Q3 2022 Q3 2023 263.0 247.8 239.2 -1.7% -0.5% 2.3% 93.5 mEUR 134.3 mEUR 20.0 mEUR Q3 Q3 Q3 Americas region EMEA
Slide 9: Gross margin increase from pricing and lower freight
Gross margin increase from pricing and lower freight, more than offsetting increase in raw material and labour cost Gross margin (%) 1.5%-points 41.2% 4.7%-points 41.2% 39.1% -4.1%-points Gross margin 40.7% 39.1% 41.2% Q3 2021 Q3 2022 Q3 2023 41.2% 40.2% 40.4% 40.0% 39.1% Q3 Q4 Q1 Q2 Q3 Q3 Pricing &
Slide 10: Overhead cost level decline from structural cost efficiency measures
Overhead cost level decline from structural cost efficiency measures Overhead cost (mEUR), overhead cost ratio (%) 34.9% Sales and distribution Down 2.4 mEUR from Q3 2022, driven by implementation of the structural efficiency improvements. 33.9% Overhead cost ratio Administration Administration cost
Slide 11: EBITDA bsi supported by GM recovery and tailwinds from overhead
EBITDA bsi supported by GM recovery and tailwinds from overhead EBITDA bsi (mEUR), EBITDA margin bsi (%) 12.6% EBITDA margin bsi 14.4% 11.1% 12.6% 34.5 mEUR 29.2 mEUR 31.2 mEUR Q3 2021 Q3 2022 Q3 2023 12.6% 11.1% Q3 2022 Pricing Freight & Volume & Overhead Q3 2023 Distribution Raw Materials 11 Q3 20
Slide 12: Significant cash flow improvement yielding solid NIBD reduction
Significant cash flow improvement yielding solid NIBD reduction Working capital, CAPEX, cash flow, NIBD (mEUR) and gearing ratio Working capital CAPEX -84.8 +0.9 29.8 250.4 3.1 2.0 159.7 165.6 2.2 1.8 mEUR x Q3 2021 Q3 2022 Q3 2023 Q3 2021 Q3 2022 Q3 2023 Free cash flow Gearing 14.6 17.7 29.8 mEUR m
Slide 13: Outlook for 2023
Outlook for 2023 13 Q3 2023
Slide 14: Outlook for 2023 narrowed
Outlook for 2023 narrowed With one quarter left of 2023, we are narrowing our outlook for the full year. We have factored in that the current macroeconomic uncertainty will continue for the remainder of 2023, leading to continued volume decline. Around 0% • Organic revenue growth is expected around
Slide 15: 15 Q3 2023
15 Q3 2023