Slide 1: Telephone conference
Telephone conference Lars Johansson 10 November 2016
Slide 2: High level of transaction activity
High level of transaction activity ▪ High growth but lower earnings ▪ Impairment of book value ▪ Acquisition of Plantagen, in total 5 acquisitions during 2016 ▪ Add-on acquisitions in Bisnode, airteam and TFS ▪ Divestment of Euromaint agreed ▪ Arcus prepares for IPO ▪ Outlook for 2016 unchanged 2016
Slide 3: Changed company portfolio with growth potential
Changed company portfolio with growth potential Sales breakdown by segment* at 30 September 2016 Net sales trend* at 30 September 2016 (Local currency) Healthcare/Life Science Real estate % Corporate 3% 1% 60 services 50 7% Construction 25% 40 30 Technology, 20 Media, 10 Telecom 12% 0 -10 -20 -30 HE
Slide 4: Sales growth and change initiatives
Sales growth and change initiatives ▪ Unchanged and generally stable market conditions in the Nordic region ▪ Continued uncertainty in the offshore market − Restructuring and layoffs to boost competitiveness ▪ Focus on growth initiatives and add-on acquisitions to enable expansion ▪ Strategic and op
Slide 5: Companies performance Q3 2016
Companies performance1) Q3 2016 Companies in their entirety Ratos’s holding Sales in the 9,108 +14% 6,006 +10% portfolio EBITA 538 +2% 364 -6% in the portfolio Adjusted EBITA2) 547 -5% 403 -4% in the portfolio 1) Comparison with corresponding period last year and for comparable units. 2) Excluding i
Slide 6: Companies' performance Jan-Sep 2016
Companies’ performance1) Jan-Sep 2016 Companies in their entirety Ratos’s holding Sales in the 27,142 +13% 17,981 +9% portfolio EBITA 1,278 -17% 894 -15% in the portfolio Adjusted EBITA2) 1,625 -3% 1,100 -4% in the portfolio 1) Comparison with corresponding period last year and for comparable units.
Slide 7: Company overview – development status
Company overview – development status GOOD DEVELOPMENT DEVIATIONS CHALLENGES Arcus Aibel MID CAP Diab Bisnode HENT HL Display KVD Ledil Mobile Climate Control Nebula 57% Share of adjusted EBITA 27% Share of adjusted EBITA SMALL CAP airteam Biolin Scientific AH Industries Gudrun Sjödén Group Euromain
Slide 8: Company overview – development status
Company overview – development status GOOD DEVELOPMENT DEVIATIONS CHALLENGES Sales +18% Sales +8% MID CAP EBITA +6% EBITA -13% Adj. EBITA +11% Adj. EBITA +6% Adj. EBITA marg +7.5% (7.9) Adj. EBITA marg +5.8% (5.9) 57% Share of adjusted EBITA 27% Share of adjusted EBITA SMALL CAP Sales +12% Sales -13
Slide 9: High activity in the transaction market
High activity in the transaction market ▪ Continued good access to bank financing ▪ Ratos has a favourable financial position ▪ High activity in acquisitions − airteam, Oase Outdoors and Gudrun Sjödén Group − Plantagen was acquired in September − Agreement signed for the divestment of Euromaint − Ar
Slide 10: Acquisition of Plantagen, leading retail chain for plants and accessories
Acquisition of Plantagen, leading retail chain for plants and accessories Facts about Plantagen ▪ Agreement to acquire 100% of the shares signed in Sales* NOK 3,700m Adjusted EBITDA* NOK 370m September – EV approx. NOK 2.9 billion Number of employees Approx. 1,200 Head office Oslo ▪ The Nordic regio
Slide 11: Outlook for 2016
Outlook for 2016 ▪ Cautious macroeconomic view with shifting market trends ▪ Maintained outlook for 2016 in the portfolio with somewhat lower adjusted EBITA compared to last year 2016-11-10 11
Slide 12: 150 years of entrepreneurship, operational development and community involvement
150 years of entrepreneurship, operational development and community involvement