Hiab Oyj Class B · OMXHEX:HIAB
Hiab Oyj Class B — Cargotec — Q2 2024 Earnings Presentation
21 slides from Hiab Oyj Class B's earnings presentation, Aug 8, 2024
Slide 1: Sixth consecutive quarter with good results, demerger completed
Sixth consecutive • Hiab’s strong profitability continued quarter with good • MacGregor’s comparable results, demerger operating profit increased to EUR 21 million in Q2 completed • Sales process of MacGregor started Cargotec’s half-year report January–June 2024 • Outlook specified for Hiab and MacG
Slide 2: Disclaimer
Disclaimer The following applies to this presentation, the oral presentation of the information in this presentation by Cargotec Corporation (the “Company” or “Cargotec”) or any person on behalf of the Company, and any question-and-answer session that follows the oral presentation (collectively, the
Slide 3: Contents
Contents ● Group level development ● Business areas ● Financials and outlook ● Q&A Unless otherwise stated, the financial information in this presentation concerns Cargotec’s continuing operations 3
Slide 4: Significant milestones achieved in Cargotec's transformation
Significant milestones achieved in Cargotec’s transformation New performance targets published for Hiab Scott Phillips to become CEO and Mikko Puolakka CFO of standalone Hiab Dispute with MacGregor’s customer settled Sales process of MacGregor started Demerger completed Financial information reclass
Slide 5: Orders received increased driven by MacGregor, order book decline continued
Orders received increased driven by MacGregor, order book decline continued Orders received Order book MEUR MEUR +4% -14% (y/y) (y/y) +26% +6% (y/y) (y/y) -7% -33% (y/y) (y/y) Cargotec’s half-year report January–June 2024 | 8 August 2024 5
Slide 6: Sales reflect order book development
Sales reflect order book development Sales Eco portfolio sales MEUR MEUR -4% (y/y) +17% (y/y) -11% (y/y) Cargotec’s half-year report January–June 2024 | 8 August 2024 6
Slide 7: Historically high comparable operating profit margin driven by solid execution in both businesses
Historically high comparable operating profit margin driven by solid execution in both businesses Comparable operating profit MEUR Hiab MacGregor Cargotec Cargotec’s half-year report January–June 2024 | 8 August 2024 7
Slide 8: Business areas
Business areas Cargotec’s half-year report January–June 2024 | 8 August 2024 8
Slide 9: Hiab: Strong profitability continued despite lower sales
Half-year report 2024 Built to perform Strong profitability • Orders received declined • Cash conversion clearly continued despite above 100% • Efficiency improvement lower sales program planning Hiab Q2/24 initiated 9
Slide 10: Orders received declined due to delayed decision making
Half-year report 2024 Built to perform Orders received declined due to delayed decision making Orders received and order book MEUR MEUR Q2/24 Q2/23 Change H1/24 H1/23 Change Orders received 348 375 -7% 734 755 -3% Order book 676 1,007 -33% - Underlying demand remained stable - Delayed decision makin
Slide 11: Decline in sales as the order book is normalising
Half-year report 2024 Built to perform Decline in sales as the order book is normalising Sales and service sales MEUR MEUR Q2/24 Q2/23 Change H1/24 H1/23 Change Sales 433 485 -11% 847 917 -8% Service sales 115 113 2% 233 226 3% Service sales, % 27% 23% 400 bps 27% 25% 200 bps - Sales declined by 11%
Slide 12: Strong profitability continued despite lower sales
Half-year report 2024 Built to perform Strong profitability continued despite lower sales Comparable operating profit MEUR MEUR Q2/24 Q2/23 Change H1/24 H1/23 Change Comparable operating profit 69 81 -16% 137 143 -4% Comparable operating profit, % 15.9% 16.8% -90 bps 16.2 % 15.6 % 70 bps ROCE* 29.4% 33.
Slide 13: Key targets to measure success by 2028
Half-year report 2024 Built to perform Key targets to measure success by 2028 Comparable 1 Sales CAGR Operating Profit2 ROCE3 Sustainability >7% 18% >25% SBTi 1 Over the cycle 13 2 As business area 3 As business area, defined as (Operating Profit / Operative Capital Employed)
Slide 14: We continued to shape the industries we serve
Half-year report 2024 Built to perform We continued to shape the industries we serve Highlights of product launches in Q2 eX.HIPRO crane MDV liftgate Red and Exchange parts Cutting edge technological New liftgate series with multiple Expansion of spare parts portfolio advancements for energy efficienc
Slide 15: MacGregor Q2 – Comparable operating profit increased to EUR 21 million
MacGregor Q2 – Comparable operating profit increased to EUR 21 million Orders received increased ● Strong market momentum in MEUR Q2/24 Q2/23 Change merchant continued Orders received 235 187 26% Sales increased by 17% Order book 1,014 953 6% ● Service sales +10% Sales 192 164 17% Comparable operati
Slide 16: Financials and outlook
Financials and outlook Cargotec’s half-year report January–June 2024 | 8 August 2024 16
Slide 17: Key financial figures
Key financial figures Q2/24 Q2/23 Change Q1-Q2/24 Q1-Q2/23 Change Orders received, MEUR 584 562 4% 1,236 1,149 8% Order book, MEUR 1,691 1,961 -14% 1,691 1,961 -14% Sales, MEUR 625 648 -4% 1,242 1,237 0% Comparable operating profit, MEUR 82 81 2% 153 130 18% Comparable operating profit, % 13.1% 12.4
Slide 18: Cash flow improved driven by Hiab
Cash flow improved driven by Hiab Cash flow from operations before finance items and taxes Kalmar included MEUR Cargotec’s half-year report January–June 2024 | 8 August 2024 18
Slide 19: Strong balance sheet and balanced maturity profile
Strong balance sheet and balanced maturity profile Kalmar excluded Net debt & gearing Maturity profile, 30 June 2024 MEUR Interest-bearing net debt / EBITDA 0.0 Cargotec’s half-year report January–June 2024 | 8 August 2024 19
Slide 20: Outlook for 2024 specified
Outlook for 2024 specified Cargotec estimates1: Hiab’s comparable operating profit margin in 2024 to be above 13.5% MacGregor’s comparable operating profit in 2024 to be above EUR 55 million 1) The business area 2024 profitability outlook is presented using the same principles which are applied in t
Slide 21: Cargotec
Cy CARGOTEC