Dustin Group Ab · OMXSTO:DUST
Dustin Group Ab — Q2 2025 Earnings Presentation
27 slides from Dustin Group Ab's earnings presentation, Apr 2, 2025
Slide 1: Q2 2024/25
Q2 2024/25 April, 2025 dustingroup.com
Slide 2: Today's agenda
Today´s agenda • The second quarter 2024/25 • Strategic focus - Our way forward • Fully guaranteed rights issue with preferential rights for existing shareholders
Slide 3: High pace of change for improved profitability – positive organic growth
High pace of change for improved profitability – positive organic growth in the quarter Financial Highlights Net sales and adjusted EBITA margin Net sales was 5,480 (5,246) MSEK, corresponding to a growth of 4.5% • Organic growth was 3.7%, of which SMB -2.6% and LCP 6.4% • Positively impacted by rec
Slide 4: Gross margin decline primarily explained by high comparison quarter and new contracts
Gross margin decline primarily explained by high comparison quarter and new contracts Gross margin volatility Group gross margin, per quarter • Q2 gross margin was 13.9 per cent (16.3), where the decline was primarily explained by a strong margin in the comparative quarter, driven by one-off high ma
Slide 5: SMB – Signs of stabilisation, but continued cautious market development
SMB – Signs of stabilisation, but continued cautious market development Net sales decline in SMB of 2.2% y/y Net sales and segment margin • Organic growth of -2.6% Segment result was 46 (66) MSEK 2 500 10% • Segment margin decreased to 3.0% (4.2%) 2 000 8% Continued cautious sales development Segmen
Slide 6: LCP – Growth driven by public sector through recovered sales and new agreements
LCP – Growth driven by public sector through recovered sales and new agreements Net sales growth in LCP of 7.3% y/y Net sales and segment margin • Organic growth was 6.4% Segment result was 99 (164) MSEK • Segment margin decreased to 2.5% (4.5%) 5 000 8% Recovered sales and new framework agreements
Slide 7: Positive cash flow driven by changes in net working capital
Positive cash flow driven by changes in net working capital Cash flow improvement driven by positive changes in working capital Changes in Cash Flow Y/Y • Cash flow from operating activities, before changes in working capital, was 94 (165) MSEK, mainly due to lower EBIT MSEK • Cash flow from changes
Slide 8: Slightly improved net working capital
Slightly improved net working capital Net working capital more normalised relative to the previous quarter Net Working Capital • Net working capital was 60 MSEK (90), a slight decrease year-on-year, and clear improvement versus the previous quarter MSEK • Inventory increased by 168 MSEK to 1,063 MSE
Slide 9: Strategic focus – a clear plan to increase profitability
Strategic focus – a clear plan to increase profitability Ongoing activities • Greater strategic focus on our standardised services • Implemented a new organisation, structured around the offering, the sales channels, delivery and support functions, enabling a higher pace of execution of the company'
Slide 10: Rights issue to reduce net debt and enabling a high pace of change
Rights issue to reduce net debt and enabling a high pace of change for profitability improvement Use of proceeds Change in leverage post rights issue, illustrative example • The net proceeds from the rights issue are intended to be used in MSEK their entirety to strengthen the balance sheet by reduc
Slide 11: Overview of the contemplated rights issue
Overview of the contemplated rights issue Summary Preliminary timetable • Fully guaranteed rights issue with preferential rights for existing 28 April 2025 Announcement of complete terms and conditions shareholders, conditional upon approval by an Extraordinary General Meeting intended to be held on
Slide 12: Summary of the second quarter 2024/25
Summary of the second quarter 2024/25 Net sales growth of 4.5% • Organic sales growth of 3.7% • Continued cautious market –signs of stabilisation • Growth impacted by recovery of delayed sales in the first quarter Gross margin at 13.9% (16.3%) • Strong comparable quarter, driven by large-scale high
Slide 13: Corporate presentation
Corporate presentation C Dustin
Slide 14: Dustin at a glance
Dustin at a glance 280,000 hardware and software products… …primarily sold online… Net sales SEK million Software and Services Dustin (B2B) Offline ~18% Hardware: Clients Servers ~40% 25,000 20,000 15,000 Dustin Home (B2C) 10,000 Software: OS SaaS 5,000 0,000 Hardware Online ~82% Services: Financing
Slide 15: Long and strong history of profitable growth
Long and strong history of profitable growth 1984 – 2006 2007 – 2014 2015 - 2020 2021 Nordic expansion and IPO and Strategy for European Founders phase - mail order sales of B2B hardware and development of online platform additional services continued growth expansion 24 22 20 18 16 Net sales (BnS
Slide 16: Dustin – the aggregator and destination
Dustin – the aggregator and destination Dustin services LCP (Large Corporate and Public) Hardware, software & services ~10,000 active customers Distributors SMB (Small and Medium Sized Businesses) List 5 Rows ~100,000 active customers + 3.500 Dustin products B2C (Business to Consumer) ~200,000 activ
Slide 17: Multi-channel approach to drive growth and margins
Multi-channel approach to drive growth and margins Customer needs Product portfolio Three tiered sales Customer needs Basic Medium Advanced model Basic Medium Advanced Stand-alone services and Consultative sales solutions Offline ~40% of net sales Cloud solutions MPS1) Advanced products Outbound Hig
Slide 18: We are well positioned to cater for both SMB and LCP customers
We are well positioned to cater for both SMB and LCP customers Accenture High TietoEvry Atea Crayon Bechtle Atos Comments Advania Cloud Degree of value added service giants Starting from hardware box moving Small IT E.g., AWS to adding services as customer infrastructure and service expectations m
Slide 19: Our opportunity in services
Our opportunity in services Opportunities and strengths Our way forward • The standardisation of our • Services are primarily sold in a Digital service offering creates an relational, analogue, non- opportunity for economies of standardised and non-scalable scale through central and way efficient pr
Slide 20: High growth position in a large market
High growth position in a large market B2B addressable market size by segment, bnSEK Hardware Software Services Nordics +7% p.a. Market trends that define how we work 327 +8% p.a. 251 134 186 106 Increasing online sales 79 103 48 72 59 73 90 Growth of mobility and cloud services 2017 2021 2025 Benel
Slide 21: One IT Platform enables cost synergies and is key for building the European IT powerhouse
One IT Platform enables cost synergies and is key for building the European IT powerhouse One IT Platform One Dynamics One Web Experience One Service Management One Data Platform ERP & CRM Portals & Open Web ConnectWise & Service Business Intelligence & Data Management Innovation Our future platform
Slide 22: Medium-term financial targets
Medium-term financial targets EPS Growth Leverage >10% 2.0-3.0 Net debt/EBITDA 3-year average annual growth rate Unchanged CO2 emission Dividend Policy 25% reduction >70% in C02e/MSEK Net Sales in the coming 3-year period. Dividend policy pay out of net profit depending on the financial position Tow
Slide 23: Our 2030 commitments
0 CO2 Our 2030 commitments Climate impact Zero carbon emissions across the value chain 100% Circularity To be fully circular 100# Social Equality With our colleagues, customer, partners and suppliers Commitments are designed to redefine the impact of our List 5 Rows business, how we behave and how w
Slide 24: Committed to long-term sustainable growth
Committed to long-term sustainable growth Trends Today Potential Climate reduction increasingly important in Launch of in-house takeback Sell refurbished products online procurement Advantage in tenders Use data to help customers make sustainable Demand for circular products and solution
Slide 25: Our path to decrease our CO2 impact
Our path to decrease our CO2 impact Our main levers – share of total improvement 25% reduction in CO2e/ MSEK Net Sales until FY25/26 Expanding services such as managed services and takeback. 61 ~25% 56 54 Promoting solutions and products with lower 100% 1 311 642 t CO2e, negative environmental impac
Slide 26: Our mission, vision, guiding direction and promise
Our mission, vision, guiding direction and promise To provide the right IT solution, to the right customer and user. Mission At the right time. At the right price. Vision To help our customers stay in the forefront Guiding direction Enabling the circularity movement List 5 Rows Promise We keep thing
Slide 27: Thank you
Thank you © Dustin