Kitron Asa · OSL:KIT
Kitron Asa — Q2 2022 Earnings Presentation
13 slides from Kitron Asa's earnings presentation, Jul 12, 2022
Slide 1: 2022 Q2 Presentation
2022 Q2 Presentation Kitron Group | 2022-07-12
Slide 2: Highlights
Highlights ▪ Revenue of 1.580 BNOK (0.994 BNOK 2Q 2021) • Growth of 59%, Growth L-F-L 28%, Organic 2% • EBIT 100.2 MNOK ( 73.1 MNOK in 2Q 2021) • EBIT Margin at 6.3% (7.3%) • Demand R12 increased to 7.1 BNOK from 5.3 BNOK • Growth of 80% Growth L-F-L 33%, Organic 22% ▪ Cash flow 21,7 MNOK ( 109,3 MN
Slide 3: Market and operations
Market and operations 12 Month forward looking customer demand (MNOK) ▪ Demand continues to be very strong in 2 500 80% all market sectors. 70% ▪ Demand R12 increased to 7.1 BNOK 2 000 from 5.3 BNOK 60% ▪ The highest growth driven by demand 50% 1 500 for: 40% o Electrification with power grid techno
Slide 4: Revenues
Revenues Connectivity Electrification Industry Medical devices Defence/Aerospace 500 500 500 500 500 450 450 450 450 450 400 400 400 400 400 350 350 350 217 350 350 300 305 300 300 179 300 300 20 250 237 250 250 250 250 200 200 200 200 200 25 150 150 150 150 150 273 282 256 254 243 217 214 214 221 1
Slide 5: Business sectors
Business sectors Revenue Business Sectors Q2 2022 Q2 2021 Change Q-Q growth Full year 2021 BB Q2 2022 ▪ Revenue grew 11% from Q1 2022 and Nordics CEE 620,8 477,9 486,1 343,1 134,7 134,8 27,7 % 39,3 % 1 819,0 1 297,8 168,0 92,2 EBIT 28%. Rest of the world Group and eliminations 527,5 -46,2 186,5 -21,
Slide 6: Cash flow and working capital
Cash flow and working capital Cash Flow Q2 2022 Q2 2021 Change 30.06.2022 30.06.2021 Profit before tax 82,5 63,2 19,3 136,9 115,5 ▪ Q2 Cash flow operating activities at Depreciations 42,5 24,4 18,1 80,7 49,2 21.7 MNOK (109.3 MNOK) Change in inventory, accounts receivable, contract assets and account
Slide 7: Ratios
Ratios ▪ Positive development on CCC and Ratios 30.06.2022 30.06.2021 Change 31.12.2021 NWC % sales compared to last three R3 NWC % sales 26,9 % 25,8 % 1,1 % 31,7 % quarters. R3 ROOC % sales 15,1 % 19,1 % -4,0 % 12,3 % R3 Cash Cycle conversion 104 96 8 126 ▪ Net gearing / NIBD development vs Net gea
Slide 8: Outlook
Outlook
Slide 9: Demand and Order backlog
Demand and Order backlog • Demand R12 increased to 7.1 12 Month forward looking customer demand (MNOK) BNOK from 4.0 BNOK 6 000 5 000 • Growth of 80% 4 000 • Growth L-F-L 33% 3 000 2 000 • Organic 22% 1 000 0 BB Electronics Kitron R12 2021-06 1 521 3 703 R12 2022-06 2 241 4 817 Growth% 47% 30% • Ord
Slide 10: Outlook
Outlook ▪ For 2022, Kitron has previously indicated a revenue outlook of between NOK 5 200 and 5 800 million and operating profit (EBIT) between NOK 330 million and 430 million. ▪ Entering the second half of 2022, Kitron sees strong demand from customers and continued ease of supply chain constraint
Slide 11: Key take-ways
Key take-ways ▪ Customers communicate growth in 2022 and the outlook for 2023. ▪ Order backlog and the 12 Month forward looking customer demand supports strong continued growth. ▪ In addition, new programs are being introduced to solidify and increase opportunities within strategic market sectors. ▪
Slide 12: Q&A
Q&A
Slide 13: Appendix: Definition of alternative performance measures
Appendix: Definition of alternative performance measures Order backlog Return on capital employed (ROCE) Cash conversion cycle (CCC) All firm orders and 4 months of committed customers forecast at EBIT/(Total assets - short term debt) Days of inventory outstanding + Days of receivables outstanding –