Slide 1: Telephone conference
Telephone conference CEO Susanna Campbell 6 November 2015
Slide 2: Good performance and high level of activity
Good performance and high level of activity ▪ Good earnings and sales development ▪ Acquisition of Speed Group and TFS ▪ Three exits − Inwido – total exit gain approx. SEK 1,480m − Nordic Cinema Group – exit gain SEK 905m − Hafa Bathroom Group – exit loss approx. SEK 90m ▪ Add-on acquisitions in Bis
Slide 3: Unchanged stable market situation
Unchanged stable market situation ▪ Unchanged and generally stable Sales breakdown by segment* market situation in existing Consumer Life science services 1% portfolio Consumer 3% ▪ Certain degree of slowdown in goods 16% Industrials demand in Asia 41% ▪ Attractive segment with structural growth Oil
Slide 4: Good performance in the companies
Good performance in the companies ▪ Changed company portfolio ▪ Good earnings trend Q1-Q3, somewhat weaker in third quarter − EBITA +12% − Operating EBITA +9% ▪ Effects of growth and efficiency improvement initiatives ▪ Declining positive currency effects ▪ DIAB, Mobile Climate Control and HENT show
Slide 5: Performance in the companies, Q3 2015
Performance in the companies, Q3 2015 100% Ratos’s share Sales +3% +5% EBITA +6% -1% EBITA, excluding items affecting +1% -4% comparability EBT +18% -5% EBT, excluding items +10% -5% affecting comparability 5
Slide 6: Performance in the companies, Q1-Q3 2015
Performance in the companies, Q1-Q3 2015 100% Ratos’s share Sales +1% +4% EBITA +30% +12% EBITA, excluding items affecting +12% +9% comparability EBT +175% +58% EBT, excluding items +43% +37% affecting comparability 6
Slide 7: Overall view of performance in the companies
Overall view of performance in the companies Arcus-Gruppen Aibel AH Industries Biolin Scientific Bisnode Euromaint DIAB GS-Hydro Jøtul HENT (Hafa Bathroom Group) (Inwido) HL Display KVD Ledil Mobile Climate Control Nebula Speed Group (TFS) 7
Slide 8: Good sales and earnings trend in the portfolio in the first nine months
Good sales and earnings trend in the portfolio in the first nine months Sales +15% Sales - 8% Sales +1% EBITA +30% EBITA -18% EBITA +9% Adj. EBITA +31% Adj. EBITA -15% Adj. EBITA neg Adj. EBITA-marg +8.0% (7.0) Adj. EBITA-marg +5.6% (6.1) Adj. EBITA-marg +0.2% (0.7) 1% 16% 34% Share of adjusted EBIT
Slide 9: Net seller in strong transaction market
Net seller in strong transaction market ▪ High level of activity ▪ Good access to bank financing Industrial network ~100+ ▪ IPO market still well functioning ▪ No signs of slowdown Industrial Advisors and <<<< ~15 Advisory Boards ▪ Extra focus on acquisitions Ratos’s investment organisation ~ 25 9
Slide 10: Acquisition of growth company Speed Group
Acquisition of growth company Speed Group ▪ In September, Ratos completed the acquisition of approximately 70% of Speed Group facts the shares in Speed Group Sales 2014 SEK 412m ▪ A fast-growing Swedish logistics and Adj. EBITA 2014 No. of employees SEK 54m 900 Head office Borås staffing services pr
Slide 11: Acquisition of international CRO player TFS
Acquisition of international CRO player TFS ▪ In October, Ratos completed the acquisition of 60% of the shares in TFS (Trial Form Support) TFS facts ▪ Offers clinical trials for pharmaceutical, Sales LTM Aug 2015 EUR 49m No. of employees 670 Head office Lund biotechnology and medical device CEO Dani
Slide 12: Exit of Hafa Bathroom Group
Exit of Hafa Bathroom Group – one of the Nordic region’s leading bathroom interior companies ▪ Agreement with two private investors signed on 3 November – EV approximately SEK 50m − Exit loss approximately SEK 90m and negative IRR ▪ Acquired in 2001 as part of Haendig in conjunction with the buy-out
Slide 13: Two major successful exits for Ratos
Two major successful exits for Ratos ▪ Inwido divested SEK Share price Inwido − Total exit gain approx. SEK 1,480m 120 110 − IRR approx. 16% 100 90 − Money multiple approx. 3.6 80 70 60 ▪ Sale of Nordic Cinema Group 50 2014-09-26 2014-11-26 2015-01-26 2015-03-26 Inwido 2015-05-26 OMX (SPI) 2015-07-2
Slide 14: Changed portfolio in 2015
Changed portfolio in 2015 ▪ Ratos’s company portfolio changed through several transactions in 2015 ▪ Unchanged and generally stable market situation, certain degree of slowdown in Asia ▪ Continued strong transaction market ▪ Focus on development and change in the companies ▪ Company portfolio at the
Slide 15: Q&A
Q&A 15