Slide 1: Lindab Group Q4 & FY 2020
Lindab Group Q4 & FY 2020 9 February 2021 Ola Ringdahl President & CEO Madeleine Hjelmberg Acting CFO
Slide 2: Key highlights Q4
Key highlights Q4 • Another strong quarter for Lindab. -4% +2.3 pp • Organic growth for Ventilation Systems. • Record high margin for a fourth quarter. 2,314 10.7% SALES, OPERATING • Continued strong financial position. SEK m MARGIN (adj) -3% 115 (100) 356 INVESTMENTS, CASH FLOW SEK m SEK m1 1) Cash
Slide 3: Key highlights FY2020
Key highlights FY2020 • Long-term target of 10% operating margin -6% +0.7 pp 9,166 10.0% achieved. • Record high profitability despite covid-19 impact on sales. SALES, OPERATING SEK m MARGIN (adj) • Strong cash flow from operating activities. • Continued investments to increase efficiency, capacity
Slide 4: Mixed geographic performance in Q4
Mixed geographic performance in Q4 • Stable sales development in the Nordics. Growth 49% • Continued sales recovery in -1% Western Europe. • CEE/CIS continued to be impacted by market uncertainty Nordic due to covid-19. Growth -15% 17% Growth 33% -1% CEE/CIS Western Europe Note: Information refers t
Slide 5: Geographic performance FY
Geographic performance FY • Stable sales development throughout the year in the Nordics. Growth 48% • Western Europe impacted by 3% covid-19 in 1st half of the year but recovered in 2nd half of the year. • CEE/CIS impacted by market Nordic uncertainty due to covid-19. Growth -13% 18% Growth 32% -13%
Slide 6: Financials
Financials 6
Slide 7: Lindab Group Q4 financial highlights
Lindab Group Q4 financial highlights Improved EBIT margin in all three segments SEK m % Q4 Net sales and EBIT margin • Sales were affected by continued uncertainty related to covid-19. Q4 Adj. EBIT% • EBIT and EBIT margin improved significantly due to strengthened gross margin, reduced costs and con
Slide 8: Ventilation Systems Q4 financial highlights
Ventilation Systems Q4 financial highlights Return to organic sales growth during the quarter Q4 Net sales and EBIT margin1 SEK m % • Net sales amounted to SEK 1,442 m (1,478), and organically sales increased by 1% during the quarter. Q4 Sales, Adj. EBIT% • Continued sales recovery in most markets,
Slide 9: Profile Systems Q4 financial highlights
Profile Systems Q4 financial highlights EBIT margin continued to improve Q4 Net sales and EBIT margin1 SEK m % • Net sales amounted to SEK 640 m (707). The organic decline of 7% was mainly due to large Q4 Sales, project deliveries in Sweden and CEE during the Adj. EBIT% corresponding quarter last ye
Slide 10: Building Systems Q4 financial highlights
Building Systems Q4 financial highlights Strong EBIT margin despite significantly lower sales Q4 Net sales and EBIT margin1 SEK m % • Net sales decreased organically by 23% to SEK 232 m (341). The comparison period included major project Q4 Sales, deliveries. Adj. EBIT% • General market slowdown due
Slide 11: Lindab Group Q4 cash flow
Lindab Group Q4 cash flow Strong cash flow, supporting continued high SEK m SEK m investments and M&A activities Cash flow, operating activities1, SEK m • Continued strong cash flow from operating activities. Quarter • Lower free cash flow versus previous year due to R 12M significantly higher inves
Slide 12: Investment program
©lLindab’ Investment program
Slide 13: Investments to increase efficiency, capacity and safety
Investments to increase efficiency, capacity and safety • SEK 425 m invested in 2020, with attractive payback. • Increased automation to improve efficiency. • New equipment to create a safer work environment. • Expansion of regional production facilities to meet increased demand. • New and expanded
Slide 14: Acquisitions & structural changes
Acquisitions & structural changes 14
Slide 15: Acquisitions during Q4, 2020
Acquisitions during Q4, 2020 Ekovent, SE (1 Oct). Aer Faber, NO (3 Dec) Leapcraft, DK (Nov) • The acquisition expands • With the acquisition, • Acquisition of 37% of the Lindab's offering in Lindab will strengthen its shares. ventilation solutions and presence in the Oslo area. Lindab Aer Faber also
Slide 16: Summary & Way forward
Summary & Way forward 16
Slide 17: Long-term financial targets
Long-term financial targets % Growth rate 10,0 The annual growth rate should be 5–8 percent as a -5.2% 5-8% combination of organic and acquired growth. 0,0 -10,0 2016 2017 2018 2019 2020 % EBIT % 10,0 10.0% The operating margin, EBIT, should average at least 10% 10 percent over the course of one bus
Slide 18: Dividend
Dividend • Lindab’s dividend policy is to pay out at least 40% of net profits as dividend. • The Board of Directors proposes a dividend of SEK 3.40 per share, in accordance with the policy. • The proposed dividend equals 44% of the EPS of SEK 7.80. • The dividend is proposed to be split in two equal
Slide 19: Market development going forward
Market development going forward Continued market recovery with increasing steel prices • Euroconstruct forecast the European construction market for buildings to have declined almost 9% in 2020. • The market is expected to recover with around 4% real growth in 2021. • Steel prices started to increa
Slide 20: Key highlights FY2020
Key highlights FY2020 • Long-term target of 10% operating margin -6% +0.7 pp 9,166 10.0% achieved. • Record high profitability despite Covid-19 impact on sales. SALES, OPERATING SEK m MARGIN (adj) • Strong cash flow from operating activities. • Continued investments to increase efficiency, capacity
Slide 21: Thank you! Questions?
©lLindab’ Thank you! Questions?