Slide 1: Q4 Report 2023
An entrepreneurial world where people make the difference Bo Annvik, President and CEO Q4 Report 2023 Patrik Johnson, CFO 1 February 2024
Slide 2: Summary 2023
Summary 2023 ▪ Successful 2023 thanks to our entrepreneurial companies and balanced diversification. Net Sales ▪ Stable high demand with total order intake growth of 13% and 18% for net sales. ▪ Solid EBITA margin of 15.0%. 31.8BSEK ▪ Record high operational cash flow driven by strong result and inv
Slide 3: Highlights fourth quarter 2023
Highlights fourth quarter 2023 ▪ Strong order intake – growth of 14% in total, whereof 4% organically. Net Sales ‒ Strongest order development in Medical technology & Pharmaceutical. ▪ Net sales growth of 8%, organically unchanged. 7.8BSEK ▪ Continued high EBITA margin at 14.6%. ▪ New all-time-high
Slide 4: Order intake
Order intake QUARTERLY GROWTH MSEK Q growth 9,000 35,000 8% 7% 8,000 30,000 6% 7% 7,000 5% 6,000 25,000 4% 5,000 20,000 4% 3% 4,000 2% 3% 15,000 3,000 1% 0% 2,000 10,000 0% 2019 2020 2021 2022 2023 Organic Acquisitions Divestments Currency Q Order intake R12M Order intake Q GROWTH YTD GROWTH R3Y CAG
Slide 5: Net sales
Net sales QUARTERLY GROWTH MSEK Q growth 9,000 35,000 7% 8,000 6% 30,000 6% 7,000 5% 6,000 25,000 4% 5,000 3% 20,000 4,000 2% 15,000 2% 3,000 1% 0% 0% 2,000 10,000 0% 2019 2020 2021 2022 2023 Organic Acquisitions Divestments Currency Q Net sales R12M Net sales Q GROWTH YTD GROWTH R3Y CAGR 7,821 MSEK
Slide 6: Net sales per customer segment 2023
Net sales per customer segment 2023 Share of total sales, % ▪ Medical technology and Pharmaceutical is now the largest Medical technology & Pharmaceutical customer segment – up 1 Infrastructure & Construction percentage point from 2022 Engineering Energy ▪ Good sales growth in most Process Industry
Slide 7: Sales Growth – major countries
Sales Growth – major countries + - ++ -- +/- 0 - -- North America -- -- Asia + 7 +/- = Organic growth Q423 vs Q422
Slide 8: Organic Sales Growth trend
Organic Sales Growth trend 20% ▪ Flat or growing organic sales 14 consecutive quarters 15% ▪ Majority of companies grew sales in the 10% quarter 5% ▪ Organic growth in 3 out of 8 Business Areas 0% ▪ Back-log is normalised -5% -10% 2019 2020 2021 2022 2023 Organic growth Organic growth 5 yr avg 8
Slide 9: EBITA
EBITA Excluding non- recurring items 14.6% in Q4 22 QUARTERLY GROWTH MSEK Q growth 1,400 16% 10% 15% 8% 1,200 6% 8% 14% 1,000 13% 4% 800 12% 2% 600 0% 3% 11% 0% 400 10% -2% 200 9% -4% -5% 0 8% -6% 2019 2020 2021 2022 2023 Organic Acquisitions Divestments Currency Q EBITA Q EBITA margin Q4-23 MARGIN
Slide 10: Organic sales growth Q4 by Business Area
Organic sales growth Q4 by Business Area Total growth: +0% +24% +6% -1% +21% +9% +13% +5% ▪ Organic sales growth in 3 out of 8 Business Areas 8% 6% 7% 7% ▪ Strongest growth in Business Areas 4% 5% Industrial Components and Fluids & Mechanical Solutions 2% ▪ MedTech and automotive aftermarket Q organ
Slide 11: EBITA margin by Business Area
EBITA margin by Business Area 20.4% ▪ Improved EBITA margin in 5 Business 20% Areas – largest improvements in DACH 16.6% 16.2% 15.8% 15.2% ▪ Stable gross margins 15% 14.2% ▪ Flat organic sales and cost inflation Q EBITA margin 12.3% dampens margin development in many 10.0% companies 10% ▪ Strong con
Slide 12: Acquisitions
Acquisitions Acquisitions 2023 Business Area Annual Sales Acquisitions 2024 Sax Lift A/S FMS 130 MSEK pure! GmbH Q1 Business area: Industrial & Engineering Hobe GmbH DACH 80 MSEK Annual sales: 110 MSEK Siersema Komponenten Service B.V. Benelux 390 MSEK SDT Scandinavian Drive Technologies AB Business
Slide 13: Successful acquisition track record
Successful acquisition track record No. of acquired companies per year Quarterly financial effects acquisitions* 18 100 25% 16 90 14 80 20% 70 12 EBITA (MSEK) EBITA margin 60 15% 10 50 8 40 10% 6 30 4 20 5% 2 10 0 0 0% Acquired EBITA Acquired EBITA margin No. of acquired companies No. of acquired co
Slide 14: Key data summary
Key data summary MSEK 2023-Q4 2022-Q4 Change 2023 2022 Change Order Intake 8,044 7,052 14% 31,211 27,701 13% Net Sales 7,821 7,228 8% 31,835 27,016 18% Gross margin, % 34.8 34.9 34.7 34.7 EBITA 1,141 1,081 6% 4,769 4,098 16% EBITA-margin, % 14.6 15.0 15.0 15.2 Net financial items -113 -66 71% -467 -
Slide 15: Cash Flow from operating activities
Cash Flow from operating activities MSEK ▪ All-time-high operating cash flow 1,600 during the quarter of 1,520 (850) MSEK 1,400 ▪ The increase versus last year was 1,200 mainly related to a more favorable 1,000 working capital development 800 ▪ Continued inventory reduction during 600 the quarter 40
Slide 16: Earnings per share
Earnings per share SEK SEK ▪ EPS increased 5% in the quarter to SEK 2.5 9 1.95 (1.86) per share and with 7% 8 during the year to SEK 7.86 (7.36) per 2.0 7 share 6 1.5 ▪ The improvement in EBITA was 5 somewhat offset by higher interest 4 1.0 costs and amortisations 3 ▪ 3- and 5-year rolling 4Q earnin
Slide 17: Net debt
Net debt SEK ▪ The interest-bearing net debt declined 12,000 120% both sequentially and versus last year 10,000 100% to 7,747 (8,580) MSEK ▪ The decline is mainly due to stronger 8,000 80% operational cash flow, fewer 6,000 60% acquisitions and revaluation of earn- outs 4,000 40% ▪ Net debt/equity r
Slide 18: New Group structure for future growth
New Group structure for future growth Moving from a geographic and product-based structure to a market and customer-based structure Infrastructure & Technology & Systems Industrial & Engineering Life Science Process, Energy & Water Construction Solutions Net sales 2023 Net sales 2023 Net sales 2023
Slide 19: Key takeaways
Key takeaways ▪ Summarising a successful 2023 with a strong Q4. ▪ Continued high and stable demand situation. The uncertainty around the general state of the economy remains for the coming quarters and we face tough references. ▪ Strong underlying market drivers, not least linked to the green techno
Slide 20: Thank you!
Thank you! Indutrade
Slide 21: Financial calendar & contact details
Financial calendar & contact details AGM 2024 Interim Report Q1 2024 Interim Report Q2 2024 Interim Report Q3 2023 Contact: ir@indutrade.com +46 8 703 03 00
Slide 22: Trusted by entrepreneurs
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