Slide 1: Eltel AB Q4 2024 presentation
Eltel AB Q4 2024 presentation 14 February 2025 1
Slide 2: Today's presenters
Today’s presenters Håkan Dahlström Tarja Leikas Alexandra Kärnlund President and CEO CFO Communications Director 2
Slide 3: Financial highlights Q4 2024
Financial highlights Q4 2024 Net sales Doubled profitability, strong sales and leverage M€ M€ reaching target 250 860 220 830 190 800 160 770 • Net sales decreased to EUR 226 million (240), mainly due to the 130 740 divestment of HV Poland 100 710 • Organic growth in segments was flat Q1 Q2 Q3 Q4 24
Slide 4: Operational highlights Q4 2024
Operational highlights Q4 2024 • Delivery of first BESS and first solar park • Turnkey contract with Taaleri Energia to build and operate one of the largest solar parks in Finland • Two contracts with the Swedish Transport Administration for nationwide communications network construction and mainten
Slide 5: Highlights full-year 2024
Highlights full-year 2024 • Net Sales Organic growth 1,8% Important frame agreements in Communication extended: • Adjusted EBITA EUR 10,5 million (1,7) • Telenor agreement extended for three years, valued at EUR 90-180 million • Total Contract Value EUR 863 million • Telia agreement extended with th
Slide 6: Total Group
Total Group Net sales Net sales change by Net sales Q4 2024 Adjusted EBITA Q4 2024 M€ M€ M€ segment • Organic growth in segments flat • Adjusted EBITA more than doubled vs. previous 250 860 250 year, EUR 5.7 million (2.8) 245 240.2 2.9 • Total net sales decline (-5.9%) largely due 220 830 240 3.1 -4
Slide 7: Finland
Finland M€ Net sales M€ 110 360 90 350 Net sales Q4 2024 Adjusted EBITA Q4 2024 • 3.1% growth driven by Communication and • Major profitability (EUR 3.1 million) 70 340 FTTH business improvement 50 330 • Positive development in renewable area • Both Communication and Power improving profitability 30
Slide 8: Sweden
Sweden M€ Net sales M€ 65 220 Net sales Q4 2024 Adjusted EBITA Q4 2024 50 210 • Net sales growth 5.1% (4.8% in loc. ) • Tenth consecutive quarter of positive adjusted EBITA • Communication, and public infrastructure 35 200 driving growth • Both Communication and Power improving profitability 20 190
Slide 9: Norway
Norway M€ Net sales M€ 40 200 Net sales Q4 2024 Adjusted EBITA Q4 2024 30 150 • Net sales declined EUR 4 million • Profitability declined EUR 1.5 million 20 100 • Commercial activity strong • Restructuring measures continued 10 50 • Broadening of the customer base ongoing • Focus on margins and prof
Slide 10: Denmark
Denmark M€ Net sales M€ 30 100 Net sales Q4 2024 Adjusted EBITA Q4 2024 25 90 • Net sales declined EUR 2.2 million • Major profitability improvement • Strong growth in Power • Margin increase to 8.1% (4.6) 20 80 • Declining volumes in Communication • Both Communication and Power improving profitabil
Slide 11: Other business
Other business M€ Net sales M€ 30 120 Net sales Q4 2024 Adjusted EBITA Q4 2024 20 80 • Net sales decline EUR 14 million following • Profitability improved by EUR 0.6 million High Voltage Poland divestment 10 40 0 0 Q1 Q2 Q3 Q4 24 24 24 24 Net sales, quarterly, previous year Net sales, quarterly Net
Slide 12: New segment structure
New segment structure 13% • New segment structure in place from 1 January 2025 onwards • The change will simplify operational structure • Eltel segments going forward are Finland, Sweden, 16% Denmark & Germany and Norway 45% • Claus Metzsch Jensen, current Managing Director for Eltel Denmark leads t
Slide 13: Group balance sheet
Group balance sheet Leverage Net debt Net working capital M€ M€ 4 150 0 -10 120 3 -20 90 -30 2 60 -40 1 -50 30 -60 0 0 -70 Q4 Q1 Q2 Q3 Q4 Q4 Q1 Q2 Q3 Q4 Q4 Q1 Q2 Q3 Q4 23 24 24 24 24 23 24 24 24 24 23 24 24 24 24 IFRS 16 leasing liabilities Leverage Net debt excluding leasing liabilities NWC Leverag
Slide 14: Eltel Group financial targets
Eltel Group financial targets Profitability • Group adjusted EBITA margin 5% Growth • Annual growth 2–4% Leverage • 1.5–2.5x net debt/adjusted EBITDA Dividend payout • Subject to leverage target 14
Slide 15: Our strategy in short
Our strategy in short • Improve efficiency and profitability of the current • Integrate sustainability as part of our offerings and business, including price increases operations • Broaden the customer base • Develop our concepts and commercial capabilities • Grow in new and adjacent markets, such a
Slide 16: Progress in strategy execution
Progress in strategy execution Pipeline Improved profitability and financial position 49% • Gross profit YoY 21% improvement • Profitability improvement in Power services in Finland despite declining volumes • Profitability improvement in most segments in Communication, showing that efficiency measu
Slide 17: Eltel to build and operate one of Finland's largest solar plants
Eltel to build and operate one of Finland's largest solar plants • Contract with Taaleri Energia to build solar power plant in Joroinen • Second largest solar park in Finland when ready, with a capacity of 129 MWp • Will generate enough green electricity to supply around 18,000 households • …and fac
Slide 18: Questions
Questions Next report Q1 2025: 30 April 2025 18