Slide 1: Pricer AB (publ) First quarter 2020
Pricer AB (publ) First quarter 2020 Helena Holmgren President & CEO Stockholm, April 24, 2020
Slide 2: Q1 2020: High Order Intake and Gross Margin of 31.4%
Q1 2020: High Order Intake and Gross Margin of 31.4% Order intake Net sales Operating profit Operating margin 371 226 7.3 3.3 SEK M SEK M SEK M % (208) (262) (17.6) (6.7) COVID-19: minor negative effect on net sales due to delayed deliveries, primarily in southern Europe 2 ©2020 Pricer
Slide 3: High Activity on Several Geographical Markets
High Activity on Several Geographical Markets • Order intake of SEK 371* M for Q1 2020, an increase of 79% YoY. • Continued strong underlying interest including high activity on several geographical markets. • Record high order backlog of SEK 933* M as of March 31. • About SEK 820 M is related to th
Slide 4: Stable Development of Net Sales, Reduction Year-on-Year
Stable Development of Net Sales, Reduction Year-on-Year • Strong start of the year in several markets, amongst others France, Norway, US and Canada. • Lower opening backlog for deliveries planned for first quarter compared to last year, which was partly compensated by a high activity in several mark
Slide 5: Favorable Product and Contract Mix Generates Continued Strong Gross Margin of 31.4%
Favorable Product and Contract Mix Generates Continued Strong Gross Margin of 31.4% • Favorable product and contract mix, of which the major part of deliveries to small and mid sized customer projects. • Increased lead-times within supply as a consequence of factory shutdowns in China in February, s
Slide 6: Lower Sales Combined with Increased Opex, Results in Temporarily Lower Operating Margin
Lower Sales Combined with Increased Opex, Results in Temporarily Lower Operating Margin • Strengthened market presence, amongst others North America, to enable an expansion of our customer base and our services offering. • High expenses in the quarter related to market events and trade shows. • Stab
Slide 7: Ramp-up of Production rate to Deliver on the Record High Order Backlog
Ramp-up of Production rate to Deliver on the Record High Order Backlog Reduces the Quarter’s Cash Flow • Positive cash flow from operating activities of SEK 2 M. • Increased capital tie-up in the quarter due to: • Component purchases to deliver on the order backlog. • Increased trade receivables as
Slide 8: The coronavirus' short term impact on our customers
The coronavirus’ short term impact on our customers Large variations between countries and retail verticals, but there are challenges common to a large number of retail chains: • Rapidly changing demand; the lack of access to real-time data leads to longer decision times and that decisions are often
Slide 9: Conversations are changing – indicating acceleration of digital transformation
Conversations are changing – indicating acceleration of digital transformation • The customer dialogue is shifted from replacing paper labels to finding solutions for: • Access to real-time information to ensure better decisions faster • Streamlining and digitizing resource-intensive store processes
Slide 10: Pricer's customer offering
Pricer’s customer offering • We are a foundational piece for the next stage of digitization of retail. • We provide the market’s fastest, most stable, scalable and energy- efficient ESL system that improves the efficiency of several resource intense in-store processes, such as • price updates, • in-
Slide 11: Why Invest in Pricer?
Why Invest in Pricer? • Strong underlying market growth; digitalization of physical retail considered necessary for maintaining competitiveness. • Best system on market Unique and hard to copy technical solution; based on reliable, scalable, energy-efficient and interference-free communication. •
Slide 12: PRICER
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