Karnell Group Ab Class B · OMXSTO:KARNEL_B
Karnell Group Ab Class B — Karnell Group AB ser. B — Q3 2024 Earnings Presentation
14 slides from Karnell Group Ab Class B's earnings presentation, Nov 12, 2024
Slide 1: Interim Report January–September 2024
INTERIM REPORT JANUARY – SEPTEMBER 2024 8 NOVEMBER 2024 Q3
Slide 2: Today's agenda and presenters
Introduction Q3 2024 New Companies Today’s agenda and presenters: 1. Introduction to Karnell 2. Q3 2024 Petter Moldenius 3. New companies CEO 4. Q&A Lars Neret CFO Strictly personal and confidential 2
Slide 3: Karnell is an active long-term owner of niche industrial technology companies
Introduction Q3 2024 New Companies Karnell is an active long-term owner of niche industrial technology companies The Karnell group Financial overview1) Net sales (SEKm) Net sales pro forma (SEKm) • 2 business segments EBITA margin (%) EBITA margin pro forma (%) 14.0% (i) Product owning companies 12.
Slide 4: 2024 Q3: Strong financial development with highest-ever EBITA margin, organic growth, and two strategic acquisitions
Introduction Q3 2024 New Companies 2024 Q3: Strong financial development with highest-ever EBITA margin, organic growth, and two strategic acquisitions 1,800 20 Net Sales and EBITA% development LTM (SEKm) Highlights during the quarter: 15 1,500 12.0% 12.6% 12.4% • Net sales increased by 37.1% of whi
Slide 5: Karnell Group Q3 2024 – a quarter of strong performance
Introduction Q3 2024 New Companies Karnell Group Q3 2024 – a quarter of strong performance Net Sales (SEKm) EBITA (SEKm) +37% +55% 357 +45% +71% 55 260 222 38 27 96 11 Q3 2021 Q3 2022 Q3 2023 Q3 2024 Q3 2021 Q3 2022 Q3 2023 Q3 2024 • Net sales increased with a CAGR of 55% for Q3 from 2021 to 2024. •
Slide 6: Breakdown of quarterly performance in net sales and EBITA
Introduction Q3 2024 New Companies Breakdown of quarterly performance in net sales and EBITA Net sales (SEKm) EBITA (SEKm) +45% +37% 55 357 -1 -4 89 16 260 12 38 2 5% 34% -2% 6% 42% -3% Q3 2023 Organic growth Acquired Growth Currency effects Q3 2024 Q3 2023 Organic growth Acquired Growth Currency ef
Slide 7: Further breakdown of EBITA for the quarter
Introduction Q3 2024 New Companies Further breakdown of EBITA for the quarter EBITA breakdown during Q3 (SEKm) Comments: 68 • Reported EBITA from subsidiaries amounted to SEKm 68 for Q3 2024 8 (46) when excluding acquisition-related costs of SEKm 4. • Group costs of SEKm 8 4 55 • Acquisition-related
Slide 8: Product owning companies – Continued Q3 growth, driven by strong organic performance and acquisitions
Introduction Q3 2024 New Companies Product owning companies – Continued Q3 growth, driven by strong organic performance and acquisitions Net sales (SEKm) EBITA (SEKm) +65% +104% 171 -2 28 -0 55 9 -7% -25% 111 19 104 14 6 14 14% 53% -2% 42% 64% -3% Q3 2022 Q3 2023 Organic growth Acquired Currency Q3
Slide 9: Niched manufacturers – Facing softer market demand amid tough year-on-year comparison
Introduction Q3 2024 New Companies Niched manufacturers – Facing softer market demand amid tough year-on-year comparison Net sales (SEKm) EBITA (SEKm) +19% 185 -3 +41% 34 +7% 156 +139% -2 35 -1 32 7 -4 111 -1% 22% -2% 14 -12% 21% -2% Q3 2022 Q3 2023 Organic growth Acquired Currency Q3 2024 Q3 2022 Q
Slide 10: Growing cash flow from operating activities
Introduction Q3 2024 New Companies Growing cash flow from operating activities Cash flow from operating activities (LTM) (SEKm) +49% 172 137 135 133 116 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 • Strong cash flow in Q3 and on LTM basis. Increased profits and improves working capital contributed to gr
Slide 11: Stable capital structure with low leverage as a base for further acquisitions
Introduction Q3 2024 New Companies Stable capital structure with low leverage as a base for further acquisitions SEKm 2021 2022 2023 Q3 2024 Net debt excl. Leasing / EBITDA R12 excl. leasing Interest bearing debt 200 340 376 464 -1.2x 1.7x 1.2x 1.2x Cash and cash equivalents 246 149 190 241 223 Net
Slide 12: NE Engineering: Experts in precision CNC turning and milling for demanding industries like subsea telecoms
Introduction Q3 2024 New Companies NE Engineering: Experts in precision CNC turning and milling for demanding industries like subsea telecoms NE is a Niche Production company Pro-forma sales and EBITA margin* • NE Engineering Ltd (NE) is a British precision engineering company specializing in the tu
Slide 13: Haco: A supplier of wheels for industrial use and for wheelchairs and assistive products
Introduction Q3 2024 New Companies Haco: A supplier of wheels for industrial use and for wheelchairs and assistive products. Product company with an attractive market position Pro-forma sales and EBITA margin* (SEKm) • Haco consist of two sister companies, Haco Tellus and Haco Rehabservice both base
Slide 14: Q3 2024: Strong financial performance with organic growth, two platform acquisitions, and positive outlook
Q3 2024: Strong financial performance with organic growth, two platform acquisitions, and positive outlook for strategic expansion Key take aways: • Strong financial performance in Q3, supported by organic growth and resilience in challenging market conditions, with 2 platform acquisitions. • Market
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