H+h International A/s · OMXCOP:HH
H+h International A/s — Q1 2023 Earnings Presentation
20 slides from H+h International A/s's earnings presentation, May 11, 2023
Slide 1: Q1 2023 Roadshow SEB
H+H International A/S Q1 2023 Roadshow SEB 11 May 2023 PARTNERS IN WALL BUILDING
Slide 2: Forward-looking statements
Forward-looking statements This presentation contains forward-looking statements. Such statements are subject to risks and uncertainties, as various factors, many of which are beyond the control of H+H International A/S, may cause actual developments and results to differ materially from the expecta
Slide 3: Introduction
Introduction Q1 2023 Summary Market development Strategy update Financial performance and outlook Closing remarks Question and answers.
Slide 4: Challenging start to the year reflecting the tough market conditions
Challenging start to the year reflecting the tough market conditions Selected financial figures Figures in DKKm unless otherwise stated. Q1 2022 figures in brackets Organic growth Gross margin® EBIT margin® (29%) (28%) (13%) Return on Invested Capital Free cash flow Financial gearing) (21%) (63) (0.
Slide 5: Central Western Europe: Building a stronger organisation
Central Western Europe: Building a stronger organisation Germany: + Permissions for new buildings for January 2023 decreased 25% compared to last year + Number of building permits issued continues to exceed the number of completions, adding further to the construction backlog * The German Associatio
Slide 6: Add picture by clicking icon
• • • Add picture by clicking icon • • • • • 6
Slide 7: Poland: High uncertainty resulting in very low activity
Poland: High uncertainty resulting in very low activity Poland: * The number of building permits declined by 36% year-on year (February). The number of starts are decreasing by approx. 40% in the same period + Uncertainty around the economic situation are the main limiting factors for the industry +
Slide 8: Accelerate factory network optimisation
Accelerate factory network optimisation From 32 to 27 factories Using current market conditions to strategically improve our factory network originally acquired back in 2018 + Better utilization of bigger and more efficient plants to service our regional markets * Stop German CSU production activiti
Slide 9: Lower sales volumes across our regions
Lower sales volumes across our regions Consolidated revenue by quarter DKKm. Bubbles show revenue growth (organic growth) qu2022 22022 93 2022 Q4 2022 12023 Quarterly revenue by region DKKm. Bubbles show revenue growth (organic growth) M™ 12022 Mm 012023 -39% (-36%, 239 -37% (-36%: Central Western E
Slide 10: Profitability under pressure in Q1 2023 as a result of lower activity levels
Profitability under pressure in Q1 2023 as a result of lower activity levels Gross profit and gross margin DKKm and percent, respectively 28% e 24% qu2022 2023 + Gross profit amounted to DKK 154 million compared to DKK 244 million in Q1 2022, corresponding to gross margins of 24% and 28%, respective
Slide 11: Financial gearing remains within H+H's long-term target
Financial gearing remains within H+H’s long-term target Net interest-bearing debt (NIBD) Financial gearing DKKm. Net interest-bearing debt to EBITDA before special items a 2.0x Long-term financial target of 1-2x EBITDA oe 15x Lax 42 | 10x 0.7% 0.5x WeDSviazE Cepeae CHET ek age aathlom aes aiMarch 20
Slide 12: Financial outlook for the full year 2023
Financial outlook for the full year 2023 Despite uncertain market conditions and a challenging start to the year, we maintain the financial outlook for the full year, as we still expect the market to continue to improve during the year Revenue growth EBIT before special items Specific assumptions: e
Slide 13: Clear focus in tough market conditions
Clear focus in tough market conditions Low newbuild activities during Q1 in line with our expectations We maintain our financial guidance as we expect the market to improve during the year We are using the downturn to strategically optimize our factory network We have successfully implemented price
Slide 14: Questions and answers
Questions and answers \4 ) a
Slide 15: Financial statements
Financial statements
Slide 16: Condensed consolidated income statement
Condensed consolidated income statement 16
Slide 17: Condensed consolidated statement of comprehensive income
Condensed consolidated statement of comprehensive income 17
Slide 18: Condensed consolidated balance sheet
Condensed consolidated balance sheet 18
Slide 19: Condensed consolidated cash flow statement
Condensed consolidated cash flow statement 19
Slide 20: For further information, please contact
For further information, please contact Niclas Bo Kristensen Head of Investor Relations and Treasury nbk@HplusH.com H+H International A/S Lautrupsgade 7, 5th Floor 2100 Copenhagen © Denmark +45 35 27 02 00 info@hplush.com www.hplush.com 20