Lagercrantz Group Ab Class B · OMXSTO:LAGR_B
Lagercrantz Group Ab Class B — Q2 2020/21 Earnings Presentation
21 slides from Lagercrantz Group Ab Class B's earnings presentation, Oct 23, 2020
Slide 1: Interim Report Q2 2020/21
Interim Report Q2 2020/21 April – September 2020 (6 months) October 23, 2020 Jörgen Wigh, CEO Kristina Elfström Mackintosh, CFO
Slide 2: Technology group with leading positions in niches
Introduction to Lagercrantz Group Technology group with leading positions in niches Lagercrantz Group Electronics Mechatronics Communications Niche Products 16 profit centres 12 profit centres 13 profit centres 12 profit centres 8 countries 8 countries 5 countries 6 countries ◼ Technology group in e
Slide 3: Divisions
Introduction to Lagercrantz Group Divisions Electronics Mechatronics Communications Niche Products • IoT, M2M & RFID • Electrics, components and • Technical security • Niched proprietary product • LED connection systems • Control and access companies • Components, electronics • Cable harnesses and s
Slide 4: Revenues and profits
Interim Report 2020/21 Revenues and profits Rolling 12 months, quarterly data Nettoomsättning Net sales Resultat efterfinancial Result after finansnetto items 4 500 450 Result after financial items, MSEK 4 000 400 3 500 350 Net sales, MSEK 3 000 Organic growth 300 More acquisitions 2 500 250 2 000 O
Slide 5: Business conditions
Q2-report 2020/21 Business conditions ◼ Limited effects connected to the Covid-19 pandemic, with gradual improvements in recent months. Business volume down with approx. 5% YTD. ◼ Volatility among business units. ◼ Uncertainty remains going forward. ◼ Important profit units; Elpress within Mechatron
Slide 6: Q2 2020/21 July–Sept 2020
Q2-report 2020/21 Q2 2020/21 July– Sept 2020 ◼ Net revenues amounted to MSEK 918 (954). ◼ EBITA increased by 5% to MSEK 132 (126). ◼ EBITA-margin at 14.4% (13.2). ◼ Profits after financial items increased by 4% to MSEK 104 (100). ◼ Profits after tax increased by 4% to MSEK 81 (78). ◼ EPS after dilut
Slide 7: 6 months 2020/21
Q2-report 2020/21 6 months 2020/21 April – Sept 2020 ◼ Net revenues amounted to MSEK 1 895 (1 969). ◼ EBITA amounted to MSEK 256 (256). ◼ EBITA-margin at 13.5% (13.0). ◼ Profits after financial items amounted to MSEK 197 (205). ◼ Profits after tax amounted to MSEK 151 (160). ◼ EPS after dilution (af
Slide 8: Outcome per division
NET SALES 2020/21 2019/20 MSEK Q2 Q1 Q4 Q3 Q2 Q1 Electronics 236 224 278 279 281 279 Mechatronics 295 313 356 335 273 297 Communications 172 199 239 251 198 209 Outcome per division Niche Products 215 241 239 234 202 230 Parent Company/consolidation - - - - - - items GROUP TOTAL 918 977 1 112 1 099
Slide 9: Comments by division
Q2-report 2020/21 Comments by division Electronics EBITA amounted to MSEK 23 (33), a margin of 9.7% (11.7). Some of the division’s businesses were impacted negatively by Covid-19. However, in some areas, e.g. in Denmark and Germany, a recovery was noted during the quarter. Cost adjustments previousl
Slide 10: Of importance ahead
Of importance ahead ◼ Adjust strategies, measures and actions to the situation in each company. ◼ Actions due to the Covid-19 pandemic. ◼ Focus on growth. ◼ Continued focus on value added. ◼ Acquisitions – of leading companies in expansive niches. 10
Slide 11: Vision and goals for Lagercrantz
Vision and goals for Lagercrantz Leading supplier of value- adding technologies with market-leading positions in several expansive niches. ◼ Annual growth of not less than 15% in profit after financial items. ◼ Return on equity of not less than 25%. 11
Slide 12: Focus on value-add
Focus on value-add Gross margin, % 37.4 38.0 ◼ Focus on adding value 36.7 36.3 36.7 and gross margins 34.8 ◼ Setting goals 31.6 32.1 ◼ 30.5 Training 28.0 29.0 ◼ Customisation 26.3 26.5 ◼ 24.5 25.3 Service 21.2 ◼ Support ◼ Phasing-out products with low margins ◼ Higher proportion of proprietary produ
Slide 13: Broadening of operations
Broadening of operations Percentage share of Group sales, Moving 12-months based on quarterly data 3 4 4 5 4 4 4 3 3 3 3 2 3 3 2 6 6 6 5 5 5 4 4 9 9 8 6 5 7 8 10 10 8 10 12 15 14 12 12 13 13 13 13 13 13 Proprietary products 25 22 21 26 29 Value adding 34 41 distribution 44 54 50 47 Niche production
Slide 14: Acquisitions
Acquisitions 50 acquisitions since 2006, including : 2014. LIAB Load Indicator AB (Communications) Precimeter Control AB (Communications) ◼ Focus on acquiring leading 2015. Excidor AB (Communications) Svenska Industriborstar i Västerås AB (Niche Products) companies in expansive niches. Dooman Teknik
Slide 15: R-Contracting AB
R-Contracting AB ◼ R-Contracting develops and markets pumping systems for sprinkler installations. ◼ R-Contracting also has some engagements in infrastructure-related pump or hydropower projects. ◼ Most sales take place in Sweden but also some sales in Norway and Denmark. ◼ The company’s operations
Slide 16: Tormek AB
Tormek AB ◼ Tormek is a leader within sharpening systems for edge tools such as knives, chisels as well as tools for woodcarving. ◼ The customers are mainly craftsmen and others who work with wood. ◼ The company’s products are sold in about 40 countries, with the USA, Germany and Sweden as the large
Slide 17: Frictape
Frictape ◼ Finnish Frictape is a leading supplier of safety products for helidecks, primarily landing and perimeter nets and Circle and H Lights. ◼ Revenues of approx MEUR 7 of which 99% on exports. ◼ Frictape has its’ operations close to Helsinki with production in Tallinn, Estonia. ◼ Part of the d
Slide 18: Financial overview
Financial overview 11/12 12/13 13/14 14/15 15/16 16/17 17/18 18/19 19/20 Net Sales 2 265 2 328 2 546 2 846 3 057 3 096 3 410 3 932 4 180 EBITA 192 223 256 295 355 409 436 519 565 EBITA,% 8.5% 9.6% 10.1% 10.4% 11.6% 13.2% 12.8% 13.2% 13.5% EBT 171 200 230 265 307 351 358 431 460 EBT growth 25% 17% 15
Slide 19: Thank you!
Thank you! www.lagercrantz.com
Slide 20: Board and Management
Appendix Board and Management Board of Directors Management Jörgen Wigh Kristina Mackintosh Magnus Söderlind Per Ikov Carina Nordlöf Anders Börjesson Anna Almlöf Anders Claeson President & CEO CFO Executive VP VP Bus Development Group Controller Chairman of the Board (DK) Ulf Södergren Anna Marsell
Slide 21: The share & owners
The share & owners • B share listed on Nasdaq Owners 2020-09-30 Shares Votes Stockholm, Mid Cap Anders Börjesson & Tisenhult-gruppen 6.0% 29.3% • Ticker: LAGR B SEB Funds 15.0% 10.5% Swedbank Robur Funds 11.4% 8.0% Fidelity Investments (FMR) 6.0% 4.2% Didner & Gerge Funds 5.8% 4.0% Lannebo Funds 5.6