Lagercrantz Group Ab Class B · OMXSTO:LAGR_B
Lagercrantz Group Ab Class B — Q3 2022/23 Earnings Presentation
24 slides from Lagercrantz Group Ab Class B's earnings presentation, Feb 1, 2023
Slide 1: Interim Report Q3 2022/23
Interim Report Q3 2022/23 April 2022 – December 2022 (9 months) February 1, 2023 Jörgen Wigh, CEO Peter Thysell, CFO
Slide 2: Tech Group with leading positions in expansive niches
Introduction to Lagercrantz Group Tech Group with leading positions in expansive niches Lagercrantz Group Electrify Control TecSec Niche Products International 15 companies 11 companies 10 companies 17 companies 14 companies 9 countries 7 countries 8 countries 9 countries 7 countries ◼ B2B Tech Grou
Slide 3: Revenues and profits
Q3 report 2022/23 Revenues and profits Rolling 12 months, quarterly data 10 000 1000 9 000 900 Profits after financial items, MSEK 8 000 800 Net sales, MSEK 7 000 700 6 000 600 Operational improvements Decentralisation, Acquisitions 5 000 Acquisitions, Mgmt (product companies) 500 by objectives 4 00
Slide 4: Q3 - Business conditions
Q3 report 2022/23 Q3 - Business conditions ◼ Market situation remained favorable for most of the businesses in the main markets in the Nordics and northern Europe. ◼ Strong revenue growth of 38% in Q3, of which 10% organic growth, 23% via acquisitions and 5% of currency. ◼ Lagercrantz broad focus wi
Slide 5: Q3 2022/23 October – December 2022
Q3 report 2022/23 Q3 2022/23 October – December 2022 ◼ Net revenues increased by 38% to MSEK 1,941 (1,405). ◼ Organic growth 10%, Acquisitions 23%, Currency 5%. ◼ EBITA increased 43% to MSEK 323 (226). ◼ EBITA-margin at 16.6% (16.1). ◼ Organic growth in EBITA 20%, where Electrify and TecSec contribu
Slide 6: 9 months 2022/23
Q3 report 2022/23 9 months 2022/23 April – December 2022 ◼ Net revenues increased by 33% to MSEK 5,206 (3,907). ◼ Organic growth 10%, Acquisitions 19%, Currency 4%. ◼ EBITA increased 37% to MSEK 863 (630). ◼ EBITA-margin at 16.6% (16.1). ◼ Organic growth in EBITA 19%. ◼ Cashflow from operations of M
Slide 7: Outcome by division
NET SALES 2022/23 2021/22 2020/21 MSEK Q3 Q2 Q1 Q4 Q3 Q2 Q1 Q4 Q3 Electrify 433 385 396 404 345 340 377 320 304 Control 204 163 175 189 187 132 152 156 162 Outcome by division TecSec 475 428 330 251 241 197 217 136 159 Niche Products 494 421 432 453 371 299 331 313 271 International 335 271 264 278
Slide 8: Comments by division
Q3 report 2022/23 Comments by division Electrify Revenues +26%. EBITA +31% to MSEK 71 (54), i.e. an EBITA-margin of 16.4% (15.8). A strong Q3 with 20% organic sales growth, albeit a lower growth rate towards the end of the period. Particularly good development for the larger units, Elpress and Elkap
Slide 9: Comments by division
Q3 report 2022/23 Comments by division TecSec Revenues +97%. EBITA +111% to MSEK 78 (37), i.e. an EBITA-margin of 16.4% (15.4). Strong Q3 with 9% organic sales growth. The larger units CWL, R-CON, ISG Nordic and Frictape reported strong organic sales growth and the smaller units COBS and Idesco also
Slide 10: Lagercrantz towards the One billion
Strategy Lagercrantz towards the One billion Key themes; ◼ Clarifying strategies and financial goals ◼ Reorganizing into 5 divisions for clear growth ambitions ◼ Increase capacity within M&A ◼ Focus on sustainability www.lagercrantz.com 10
Slide 11: Vision and financial goals
Lagercrantz towards the One billion Vision and financial goals Sustainable supplier of value- adding technologies with market-leading positions in several expansive niches. ❖ Annual profit (EBT) growth >15% ▪ At least 1/3 organically and the rest through 5-8 acquisitions per year. ❖ Return on equity
Slide 12: 5 divisions
Lagercrantz towards the One billion 5 divisions Electrify Control TecSec Niche Products International 15 companies 11 companies 10 companies 17 companies 14 companies 9 countries 7 countries 8 countries 9 countries 7 countries Products for Measure and control Solutions for Niched product Niched comp
Slide 13: Return on sales by unit
Lagercrantz towards the One billion ROS* > 20%: 18 (13) units Focus on growth, 15 – 20%: 12 (11) units > 10% maintaining profitability 10 – 15%: 19 (16) units 6 – 10% Focus on profitability 6 – 10%: 5 (11) units and growth 3 – 6% 3 – 6%: 4 (1) units Focus on < 3% profitability < 3%: 4 (4) units *) R
Slide 14: Aim of 75% proprietary products
Lagercrantz towards the One billion Aim of 75% proprietary products Percentage share of Group sales, Moving 12-months based on quarterly data 3 4 4 5 4 4 4 3 3 3 3 2 3 3 2 2 2 5 5 5 4 4 3 3 9 9 6 5 7 6 6 6 8 6 8 8 9 10 8 10 12 15 14 12 12 13 13 13 13 13 13 16 17 Proprietary products 20 26 25 22 29 V
Slide 15: Acquisitions
Acquisitions 69 acquisitions since 2006, including: 2018 Tormek (Niche Products) Alf Bjurenwall AB (R-Con, TecSec) Gammadata (Radonova, Control) ◼ Focus on acquiring leading Schmitztechnik GmbH (International) companies in expansive niches. 2019 Dorotea Mekaniska (Niche Products) OJ:s Vågsystem (Ven
Slide 16: Tykoflex
Tykoflex ◼ Tykoflex is a leading supplier of high quality solutions for optical fibre joints & enclosures as well as flexible couplings for pipe and water systems. ◼ Annual revenues of approx. 140 MSEK with good profitability. ◼ Strong market position in Sweden and the Nordics with exports to other
Slide 17: PcP Corporation
PcP Corporation ◼ A leading designer and producer of innovative and high-quality bespoke safety solutions within gratings, treads, and handrails. ◼ Annual revenues of approx. MDKK 425 with good profitability, P/WC exceeding 60%. ◼ Strong market position in key end markets ◼ Infrastructure within ind
Slide 18: Door & Joinery Solutions
Door & Joinery Solutions ◼ Door & Joinery is a UK based product provider of high-quality and customised fire- resistant doors, screens, and frames (offices in Burton-upon-Trent and Leicestershire). ◼ The products are largely sold through facility management companies and constructors. ◼ Typical end-
Slide 19: Waterproof Diving International
Waterproof Diving International ◼ Waterproof provides innovative dry and wet diving suits to professional and premium recreational divers. ◼ The company is located in Gothenburg, Sweden and has two smaller offices in Germany. ◼ Products are sold through selected resellers in 48 countries around the
Slide 20: Tebul
Tebul ◼ Tebul manufactures watertight electric sliding doors for ships. The doors are an integral part of the watertight bulkheads in the hull of the ships. ◼ The company is located in Lieto, in Southwest Finland. ◼ The customers are mainly leading European shipyards that build cruise ships and ferr
Slide 21: Financial overview
Financial overview LTM Q3 12/13 13/14 14/15 15/16 16/17 17/18 18/19 19/20 20/21 21/22 22/23 Net Sales 2,328 2,546 2,846 3,057 3,096 3,410 3,932 4,180 4,091 5,482 6,781 EBITA 223 256 295 355 409 436 519 565 616 895 1,128 EBITA,% 9.6% 10.1% 10.4% 11.6% 13.2% 12.8% 13.2% 13.5% 15.1% 16.3% 16.6% EBT 200
Slide 22: www.lagercrantz.com
Lagercrantz Group www.lagercrantz.com
Slide 23: Board of Directors and Group Management
Appendix Board of Directors Group Mgmt Jörgen Wigh Peter Thysell President & CEO CFO Fredrik Börjesson Anna Almlöf Chairman of the Board Per Ikov Andreas Heder Jonas Ahlberg VP Bus Development VP Bus Development Executive VP Head of Niche Products Ulf Södergren Anna Marsell Division Mgmt Peter Baask
Slide 24: The share & owners
The share & owners • B share listed on Nasdaq Owners 2022-12-31 Shares Votes Stockholm, Large Cap Anders Börjesson & Tisenhult-gruppen 5.6% 29.0% • Ticker: LAGR B SEB Investment Management 13.1% 9.3% Swedbank Robur Funds 12.4% 8.8% Fidelity Investments (FMR) 9.8% 7.0% Lannebo Funds 6.5% 4.6% Jörgen