Balco Group Ab · OMXSTO:BALCO
Balco Group Ab — Q1 2024 Earnings Presentation
14 slides from Balco Group Ab's earnings presentation, Apr 29, 2024
Slide 1: Q1 Report 2024
Q1 Report 2024 January - March CAMILLA EKDAHL, CEO MICHAEL GRINDBORN, CFO BALCO / RIIKKU / BALCO ALTANER / RK TEKNIK / TBO-HAGLINDS / STORA FASAD / SÖDERÅSEN / SUOMEN OHUTLEVYASENNUS
Slide 2: Snapshot of Balco Group
REVENUE PER MARKET (2023) Snapshot of Balco Group 13% The Group • Balco Group was founded in 1987 and consists of the companies Balco, Riikku, Balco Altaner, RK Teknik, 25% TBO-Haglinds, Stora Fasad and Söderåsens Mur & Kakel. 62% Since March 6, 2024, Suomen ohutlevyasennus Oy is also a company in o
Slide 3: Increased order intake and new acquisition Q1 2024
Increased order intake and new acquisition Q1 2024 Order intake increased during the quarter Order intake increased significantly in the quarter by 44% to 352 MSEK (245). The increase comes from the new acquisitions we Order intake made during the quarter. The organic order intake was at the same le
Slide 4: Suomen ohutlevyasennus acquisition
Suomen ohutlevyasennus acquisition • Suomen ohutlevyasennus was founded in 1984 and is a Finnish facade and turnkey company situated in Turku with a turnover of approximately 11 MEUR with a higher operating margin than Balco Group's for several years. • Just over 90 percent of their turnover comes f
Slide 5: Quarterly results
Quarterly results REVENUE AND ADJUSTED OPERATING PROFIT, MSEK Increased order intake 383 351 346 311 326 326 288 290 253 • Net sales amounted to 326 MSEK (326). Acquired growth was 31 percent, currency effect was 1 percent and organic growth was -32 percent. 9,3% 8,2% 8,9% 8,7% 8,9% 5,6% 34 31 6,0%
Slide 6: Renovation
Renovation REVENUE AND EBIT, MSEK Increased order intake from the acquisitions 306 327 299 322 284 246 242 225 222 • Net sales in the quarter amounted to 222 MSEK (299), which corresponds to 68 percent of the total net sales. 10,8% 9,8% 9,4% 8,3% 8,6% 7,1% 24 25 5,3% 35 26 30 4,9% 4,8% 14 16 12 11 •
Slide 7: New build
New build REVENUE AND EBIT, MSEK Increased sales and order intake from the Riikku acquisition 104 • Net sales in the quarter amounted to 104 MSEK (26), which corresponds to 32 percent of the total net sales. 56 42 45 48 7,5% 27 26 24 28 5,9% 5,7% 6,0% 5,2% 5,1% 5,3% 2 3 2 3 1 0 1 3,4%2 6 • Order int
Slide 8: Financial position
Financial Increased debt after the OPERATING CASH FLOW, MSEK position two large Finnish acquisitions 104 78 32 18 18 6 -14 -11 -10 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 • At the end of the quarter, the Group’s equity amounted to 801 MSEK (746). Operating cashflow Operating cash conve
Slide 9: Financial targets
Financial targets BALCO GROUP R12 Q1 2024 REVENUE GROWTH Growth “Balco shall achieve growth of 10% per year during a business cycle” -11% EPS GROWTH Profitability “Earnings per share shall grow by 20% per year during a business cycle” -50% “Interest-bearing net debt shall not exceed 2.5 times adjust
Slide 10: Sustainability update
Sustainability update A prerequisite for long-term growth • Another independent analysis in Norway regarding the effect on energy savings when glazing a balcony with the Balco brand shows the same results as before. Glazing from Balco provides an energy saving of between 20-30 percent, depending on
Slide 11: Market update
Market update • The improved inflation situation and the discussions about expected interest rate cuts means that our customers have an increased willingness to invest, but the trend we have seen in recent quarters that the processes take longer is continuing. It is important 70 90 years lifetime ye
Slide 12: Acquisition strategy
Acquisition strategy Long experience in acquisitions • Acquisitions are an important part of Balco Group's growth strategy. Our experience from previous acquisitions has given us a clear and structured process for the successful integration and development of the acquired companies. What are we look
Slide 13: Concluding remarks
Concluding remarks Summary Balco Group has a strong market • Net sales in Q1 of 326 MSEK and adj. EBITA-margin 5.0 percent. • Two strategic acquisitions in Finland, Riikku Group and Suomen position with high ohutlevyasennus , was made during Q1. quality and long durability. Outlook • Demand and need
Slide 14: Q&A
Q&A