Ratos Ab Class A · OMXSTO:RATO_A
Ratos Ab Class A — Shareholder Meeting (March 2023)
24 slides from Ratos Ab Class A's shareholder meeting presentation, Mar 28, 2023
Slide 1: AGM 2023
AGM 2023 Jonas Wiström, President and CEO 28 March 2023
Slide 2: AGM 2023 agenda
AGM 2023 ▪ Ratos 2022 ▪ Sustainability ▪ Ratos share in 2022 ▪ Ratos objectives for 2023
Slide 3: Goals for 2022
Goals for 2022 (from AGM 2022) To continue to create shareholder value in an increasingly unpredictable operational environment (from pandemic to new security situation in Europe) ✓ To increase growth - organically and through acquisitions ✓ To gain more soft synergies through more focused busines
Slide 4: AGM 2023 agenda
AGM 2023 ▪ Ratos 2022 ▪ Sustainability ▪ Ratos share in 2022 ▪ Ratos objectives for 2023
Slide 5: 2022: A good year and an even better Q4 in a challenging environment
2022: A good year and an even better Q4 in a challenging environment A group of market leaders with a ▪ Organic growth 2022: 8%, Q4: 12% strong culture and ▪ Adj EBITA growth 2022: 9%, Q4: 41% being part of something larger ▪ EAT in Q4 affected by one-time effects -370 MSEK (vs Q4 PY)* ▪ Companies a
Slide 6: Construction & Services: Strong net sales and EBITA growth
Construction & Services: Strong net sales and EBITA growth We build and maintain a sustainable society Net sales LTM EBITA LTM Comments MSEK MSEK Growth % EBITA margin % +48% 1 276 16 901 12% 16% 12% 10% • Annual net sales growth 48%, whereof organic 16% 11,406 10 701 8% • EBITA 1 276 MSEK (677), in
Slide 7: Consumer: Challenging market environment
Consumer: Challenging market environment Provide a better and easier life for consumers Net sales LTM EBITA LTM Comments MSEK MSEK Growth % EBITA margin % 845 16% 16% +12% 6 986 6 232 12% 651 13.6% • Net sales growth 12%, whereof 1% organic 5 393 12.1% • EBITA 424 MSEK (845 LY) 12% • Cost reducing a
Slide 8: Industry: Strong EBITA growth and acquisitions
Industry: Strong EBITA growth and acquisitions Building industrial market leaders Net sales LTM EBITA LTM Comments MSEK MSEK Growth % Adj EBITA margin % +22% 16% 16% 6 002 561 12% • Net sales increased 22%, whereof -1% 4 858 4 913 organic 445 432 11.6% 12% • Continued low sales in wind segment for D
Slide 9: Ratos ambition is to create a cluster of leading industrial service providers
Ratos ambition is to create a cluster of leading industrial service providers Cluster of leading industrial service providers Companies within the cluster to benefit from Generation of new business / cross selling between companies Overlapping board of directors across companies Sharing of resources
Slide 10: Platform acquisitions: Five platform acquisitions made since 2021
Platform acquisitions: Five platform acquisitions made since 2021 “To increase growth - organically and through acquisitions” AGM 2022 Construction & Services Industry 2021 2022 10
Slide 11: Strong organic EBITA growth in platforms acquired in 2021
Strong organic EBITA growth in platforms acquired in 2021 Performance since 2021 acquisition EBITA-growth from EBITA-growth from Total EBITA-growth from Comment 45 MSEK to 86 MSEK 299 MNOK to 377 MNOK 359 MSEK to 483 MSEK Company Total EBITA growth 2022 vs 2021 +91% +26% +35% 11
Slide 12: M&A activity: 6 add-on acquisitions completed in 2022
M&A activity: 6 add-on acquisitions completed in 2022 M&A Activity 2022 Construction & Services Industry Q4 Q4 Q4 Q4 • 6 add-on acquisitions completed Grundströms Plåt i Kiruna AB in 2022 (4 within Construction & Services and 2 within Industry) to Q4 strengthen offering and position Q3 12
Slide 13: Ratos is on track to reach SEK 3bn EBITA goal by 2025
Ratos is on track to reach SEK 3bn EBITA goal by 2025 3 000 1 966 +47% 1 802 1 468 701 425 2018 2019 2020 2021 2022 2025 3.4x 2.5x x Net debt / EBITDA LTM *Based on current structure, all exit gains, sale of property & revaluation of D&B shares excluded
Slide 14: AGM 2023 agenda
AGM 2023 ▪ Ratos 2022 ▪ Sustainability ▪ Ratos share in 2022 ▪ Ratos objectives for 2023
Slide 15: Sustainable solutions in Ratos
Sustainable solutions in Ratos Sustainability and profitability goes hand in hand. One challenge where Ratos is well positioned to make a difference and create value is Europe’s energy supply and the transition to renewable energy sources in a time of geopolitical uncertainty.
Slide 16: HENT: building Norway's first battery factory
HENT: building Norway’s first battery factory ▪ Norway's first major battery factory, FREYR Battery’s Giga Arctic, is being built ▪ By 2030, its capacity will be up to 200 GWh, enough for approximately two million electric vehicles _______________________________________ “An important milestone for
Slide 17: Aibel: Key supplier to the world's largest facility for offshore wind
Aibel: Key supplier to the world’s largest facility for offshore wind The world's largest bottom-fixed offshore wind farm, The Dogger Bank Wind Farm, with 277 wind turbines that will produce enough energy to cover the needs of approx. 6 million UK homes Demonstrates Aibel’s transformation from the f
Slide 18: airteam: Increased demand for energy-efficient ventilation
airteam: Increased demand for energy-efficient ventilation ▪ Quickly rising energy prices over the past year are driving investments in energy efficiency ▪ airteam has noted a significant market increase in the company’s offering within energy-efficient ventilation __________________________________
Slide 19: LEDiL: More light for less electricity
LEDiL: More light for less electricity ▪ Secondary optics are the reflectors and lenses that direct and shape light. This leads to reduced light pollution in cities, increased safety on public transit and a more energy-efficient society ▪ When light is exactly where it needs to be, less is needed, s
Slide 20: AGM 2023 agenda
AGM 2023 ▪ Ratos 2022 ▪ Sustainability ▪ Ratos share in 2022 ▪ Ratos objectives for 2023
Slide 21: Ratos class B shares 2022
Ratos class B shares 2022 Total return -26.6% (SIX Return Index: -22.8%) No. of 70,908 by 31 december 2022 compared to 73,741 end of 2021 shareholders Share turnover* 88% in 2022 vs. 74% in 2021 *total sold shares during the year divided with number of outstanding shares at year-end 21
Slide 22: AGM 2023 agenda
AGM 2023 ▪ Ratos 2022 ▪ Sustainability ▪ Ratos share in 2022 ▪ Ratos objectives for 2023
Slide 23: Objectives for 2023
Objectives for 2023 • Growth within focus areas (infrastructure and industry) • Realize soft synergies in a more streamlined group • Increased cash conversion 23
Slide 24: The leading company builder in the Nordics
The leading company builder in the Nordics A group of market leaders A clear culture Part of something larger Ratos is a sustainable long-term It’s all about people Decentralized structure owner with no exit horizon Gain benefits of the larger group We own companies that are or can Simplicity throug