Afry AB Class B · OMXSTO:AFRY
Afry AB Class B — ÅF Group — Q1 2017 Earnings Presentation
17 slides from Afry AB Class B's earnings presentation, Jun 21, 2017
Slide 1: ÅF Group Q1 2017
ÅF Group Q1 2017 Jonas Gustavsson, CEO Stefan Johansson, CFO 1
Slide 2: ÅF around the world in Q1, 2017
ÅF around the world in Q1, 2017 Net Sales 24% 3 265 SEK M EBITA 25% 286 SEK M EBITA margin 8.8 % 2
Slide 3: Global trends fuel our business
Global trends fuel our business Globalisation Digitalisation Urbanisation and sustainability Repositioning 3
Slide 4: Market development
Market development The overall market remains good, however with a large variation between the market segments: High rate of government investments in the infrastructure market Automotive, pharma and pulp & paper market is growing Overall increasing demand for embedded systems and digital solu
Slide 5: Business overview
Business overview Market Segments Public/private client Financial Petrocemical Services Other - Mfg primarily 3% 2% 6% Power Mining&Steel 15% Production Private 2% 31% Telecom 3% Defence 2% Pulp&Paper 4% Automotive & Vehicle Life Science, Food & 16% Pharma 8% Real Estate 18% Rail & Roads 21% Public
Slide 6: Highlights Q1
Highlights Q1 New projects Acquisitions • Capacity expansion of Stockholm-Arlanda • Midtconsult – growth in Denmark • Predesign of Akers hospital in Norway • Teknoplan • Vatten & Miljöbyrån • Part of the Fehrmanbelt linc between • Quality Engineering Group Denmark and Germany • New commodity system
Slide 7: Continued growth
Continued growth Net Sales 3 265 SEK M (2 643) +24% Growth • Total growth 23,5 % whereof 9,7% organic growth • Within the International Division organic growth was -8,4%. Net sales SEK M 7
Slide 8: Improved profitability
Improved profitability EBITA increase with 25% EBITA increased to 286 SEK M (228) • Continued growth in key segments and markets • Capacity utilisation still at high levels • Successful relocation of resources from weaker markets • Excellent project execution • Weak energy market EBITA SEK M 8
Slide 9: Strong Cash Flow and Balance Sheet
Strong Cash Flow and Balance Sheet Cash Flow from operations generated SEK M 132 (78) YTD SEK M Comments Net Debt as of Dec 31, 2016 2 298 Cash flow from operating activities - 132 Capex 26 Acquisitions and Earn Outs 218 In total six acquisitions Dividend - Buyback of shares - Other 21 Net Debt as o
Slide 10: Industry Division
Increased EBITA Industry • EBITA 109 SEK M +28% Division • EBITA margin 8.7% • New assignment from Outokumpu Stainless Market & highlights Continued growth • Net sales 1 260 SEK M +18% • Overall increasing demand • Organic growth 10.7% • The division was strengthened by the • Positive development wi
Slide 11: Infrastructure Division
Increased EBITA Infrastructure • EBITA 127 SEK M +28% Division • EBITA margin 10.6% • New assignment from Swedavia (Stockholm- Arlanda), Stockholm Central Station, Akers Hospital and Femern A/S-Fehrmanbelt Linc Market & highlights Continued growth • Net sales 1 190 SEK M +29% • Still strong demand i
Slide 12: International Division
EBITA weaker than expected International • EBITA 15 SEK M +7% • EBITA margin 3.9% Division • Profitability is affected by weak energy market, postponed orders and cancellations. Market & highlights Growth by acquisition • Net sales 375 SEK M+35% • Energy market in Europe still • Organic growth -8% w
Slide 13: Technology Division
Increased EBITA Technology • EBITA 47 SEK M +12% Division • EBITA margin 9.1% • New assignment from Stoneridge, Scania, Saab and Hertz Market & highlights Organic growth • Net sales 515 SEK M +18% • Overall increasing demand for • Organic growth 14.2% due to embedded systems and digital successful r
Slide 14: Divisions development
Divisions development Division Industry Infrastructure International Technology Share of net 38% 36% 11% 15% sales Growth 17.8% 29.2% 34.8% 17.6% Whereof organic 10.7% 12.5% -8.4% 14.2% growth EBITA margin 8.7% 10.6% 3.9% 9.1% 14
Slide 15: Q1 Summary
Q1 Summary Increased profit and continued growth EBITA 286 SEK M (228) +25% NET SALES 3 265 SEK M (2 643) +24% • Improved result • Strong cash flow • Positive development in key segments • Energy market remains weak in Europe • By recent acquisitions, ÅF positioned for further growth in Denmark and
Slide 16: Goals 2020
Goals 2020 Sales Sales Euro 2 billion EBIT Best in class Best in class > 10 % over a business cycle Sales Sales Euro 2 billion Net debt EBIT Best in class Net debt/EBITDA 1.5-2.0 over a businessBest cycle in class > 10 % over a business cycle Net debt Net debt/EBITDA 1.5-2.0 over a business cycle 16
Slide 17: THANK YOU!
THANK YOU! 17