Slide 1: Instalco Q2 presentation
Instalco Q2 presentation 22 August 2024 1
Slide 2: This is Instalco
This is Instalco A leading Nordic group within heating and plumbing, electricity, ventilation, industry and technical consulting Project planning, installation, service and maintenance of systems installed at properties and facilities Highly decentralised structure – specialised local companies >6,2
Slide 3: Key financials, LTM
Key financials, LTM Net sales, million SEK Order backlog, million SEK 14,122 9,058 EBITA, million SEK EBITA margin, % 1,051 7.4 Cash flow from operations, million SEK Number of companies 907 160 3
Slide 4: Quarterly highlights
Quarterly highlights Key financials Q2 2024 Net sales • Margins remain best in class despite SEK 3,656 million challenging market conditions EBITA • Starting to see positive signs in the market • Launch of a new business area SEK 265 million EBITA margin 7.2 % 4
Slide 5: Net sales and order backlog (SEK million)
Net sales and order backlog (SEK million) 2.1% • Net sales development of 0.2% -4.6% to SEK 3,656 (3,832) -6.4% -0.5% million • Organic development -6.4%, while acquired growth contributed 2.1% • Backlog essentially flat YoY and sequentially • Margins over volume 37% 32% 33% 30% • Service, not inclu
Slide 6: EBITA development (SEK million and margin %)
EBITA development (SEK million and margin %) 350 10% • EBITA amounted to SEK 265 (296) million 300 7.7% 9% • EBITA margin of 7.2% (7.7), 7.2% 8% a stable earnings 250 7% development in the current 6% market 200 5% 150 4% 100 3% 2% 50 1% 0 0% Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1
Slide 7: Segment Sweden
Segment Sweden Key financials Q2 2024 Net sales • Net sales amounted to SEK 2,550 (2,720) million SEK 2,550 million – Organic development -7.1% EBITA EBITA margin 182 7.1 – Acquired growth of 1.4% • EBITA margin of 7.1% (8.2), affected SEK million % by market conditions Order backlog SEK 6,619 milli
Slide 8: Segment Rest of Nordics
Segment Rest of Nordics Key financials Q2 2024 Net sales • Net sales roughly flat at to SEK 1,106 (1,112) million SEK 1,106 million – Organic development -5.0% EBITA EBITA margin – Acquired growth of 3.7% • EBITA grew by 13.8% to SEK 85 (75) million, corresponding to an EBITA margin of 7.7% (6.7) SE
Slide 9: Cash generation (SEK million)
Cash generation (SEK million) • Cash flow from operations of 158 (225) million, with a change in working capital of SEK -134 (-99) million • Fewer acquisitions, but payment of dividend to shareholders affected total cash flow for the period SEKm Q2 2024 Q2 2023 500 100% EBITDA 359 381 400 Change in
Slide 10: Financial targets
Financial targets Growth Profitability ≥10% Average sales growth should be at least 10% per year over a business cycle. 8% Instalco aims to deliver an EBITA margin of 8.0% Growth will take place both organically and through acquisitions Cash conversion Capital structure (Net Debt/EBITDA) 100% Instal
Slide 11: Project: Apartments at a new landmark
Project: Apartments at a new landmark • Four Instalco companies have been contracted for a joint installation assignment at a new construction project of 160 apartments in project Docks, Malmö. • The combined order value for Instalco is around SEK 100 million. • Instalco will be responsible for the
Slide 12: Automation – a new business area
CEO’s theme Automation – a new business area 12
Slide 13: Inmatiq delivers automation solutions to both buildings and industry
Inmatiq delivers automation solutions to both buildings and industry. Automation adds a new dimension to the service portfolio. Customers now have access to an even more integrated partner who can handle everything from design and installation to optimized operations and management.
Slide 14: What is automation?
What is automation? • Digital and automatic control of technical installations • In buildings, facilities, and industries • To achieve energy efficiency and reduced resource consumption • For improved comfort • Examples of services: planning, project management, inspection, system integration, servi
Slide 15: Why automation?
Why automation? More proactivity in Complements the sales process overall offering throughout the facility’s lifespan The prerequisite for efficient and Insights into real sustainable customer needs operations 15
Slide 16: Inmatiq will walk in the footsteps of Intec
Inmatiq will walk in Kiruna the footsteps of Intec Luleå • Same start-up concept that we have successfully implemented through Intec • Starting in the North of Sweden and Östersund rapidly expanding Sundsvall Mora Falun Borlänge Sala Stockholm Göteborg
Slide 17: Summary
Summary • Stable development given the challenging market conditions • Maintained focus on margins over volume • Launch of a new, exciting business area through our proven start up-model • Starting to see positive market signals – though installation is late cyclical 17
Slide 18: Q&A
Q&A Climate-smart, sustainable installations enable us to lower our energy consumption. 18