Indutrade Ab · OMXSTO:INDT
Indutrade Ab — Q1 2021 Earnings Presentation
19 slides from Indutrade Ab's earnings presentation, Apr 29, 2021
Slide 1: Q1 Report 2021
An entrepreneurial world where people make the difference Bo Annvik, President and CEO Q1 Report 2021 Patrik Johnson, CFO 29 April 2021
Slide 2: Highlights first quarter 2021
Highlights first quarter 2021 • Improved general demand • Organic order intake +5% and net sales +3% • Continued variations between companies, segments and countries • Record high EBITA margin • Strong cashflow and improved working capital efficiency • Five acquisitions in Q1 – acquisition pipeline
Slide 3: Order intake
Order intake QUARTERLY GROWTH MSEK Q growth 6 000 22 000 8% 5 500 20 000 6% 5 000 6% 18 000 4% 5% 4 500 16 000 4 000 2% 14 000 3 500 0% 12 000 3 000 -2% -1% 2 500 10 000 -4% -4% 2 000 8 000 2016 2017 2018 2019 2020 2021 -6% Q Order intake R12M Order intake Organic Acquisitions Divestments Currency Q
Slide 4: Net sales
Net sales QUARTERLY GROWTH MSEK Q growth 6% 5 500 20 000 5% 5 000 18 000 4% 5% 4 500 3% 16 000 2% 3% 4 000 14 000 1% 3 500 0% 3 000 12 000 -1% -1% 10 000 -2% 2 500 -3% 2 000 8 000 -4% -4% 2016 2017 2018 2019 2020 2021 -5% Q Net sales R12M Net sales Organic Acquisitions Divestments Currency Q GROWTH
Slide 5: EBITA
EBITA QUARTERLY GROWTH MSEK Q growth 14% 800 16% 12% 700 14% 12% 10% 600 12% 8% 9% 500 10% 6% 400 8% 4% 300 6% 2% 200 4% 0% 0% 100 2% -2% 0 0% -4% -5% 2016 2017 2018 2019 2020 2021 -6% Q EBITA* Q EBITA margin* Organic Acquisitions Divestments Currency *) Excluding restructuring costs 2017-Q4 Q1-21 M
Slide 6: Organic sales growth Q1 by Business Area
Organic sales growth Q1 by Business Area Total growth: +18% -10% -11% -4% +3% +19% +2% -8% 20% ▪ Continued variations between companies, segments and countries 15% 17% ▪ Stronger development at the end of the quarter 10% 10% ▪ MedTech/Pharma sectors driving growth in Q organic growth 5% Business Are
Slide 7: EBITA margin by Business Area
EBITA margin by Business Area 20% ▪ Seven out of eight Business Areas 18% 17,4% increased the EBITA margin 16% 16,1% ▪ MedTech/Pharma customer segment 14,4% 14,0% and good cost management main 13,9% 14% drivers for improvement 12% 12,1% 11,7% ▪ Positive development among newly Q EBITA margin 10,7% a
Slide 8: Acquisitions 2021
Acquisitions 2021 Acquisitions Business Area Annual Sales Pistesarjat Oy Finland 100 MSEK Tecno Plast Industrietechnik GmbH Benelux 230 MSEK Fire Proof B.V. Benelux 70 MSEK Q1 Typhoon Group Benelux 40 MSEK Efcon Water B.V. Benelux 20 MSEK Total 460 MSEK 8
Slide 9: Key data summary
Key data summary MSEK 2021-Q1 2020-Q1 Change Order Intake 5,747 5,401 6% Net Sales 5,147 4,976 3% Gross margin, % 34.3 34.0 EBITA 713 616 16% EBITA-margin, % 13.9 12.4 Net financial items -29 -32 -9% Tax -133 -108 23% Earnings per share (before dilution), SEK 1.27 1.07 19% Return On Capital Employed
Slide 10: Cash Flow from operating activities
Cash Flow from operating activities MSEK 900 ▪ Cash flow from operating activities 800 in Q1 grew 16% from 421 MSEK to 489 MSEK 700 ▪ The cash flow improvement mainly 600 driven by the higher result 500 ▪ Lower inventories contributing 400 slightly 300 200 100 0 2016 2017 2018 2019 2020 2021 10
Slide 11: Earnings per share
Earnings per share SEK SEK 1,4 6 ▪ Q1 EPS grew 19% to SEK 1.27 (1.07) 1,2 ▪ Improvement mainly driven by 5 higher EBITA 1,0 4 ▪ 3- and 5-year R4Q* EPS growth, 0,8 were 14% and 13% 3 0,6 2 0,4 1 0,2 0,0 0 2016 2017 2018 2019 2020 2021 * Adjusted with the Meson restructuring in 2017-Q4 Q EPS R4Q EPS 1
Slide 12: Net debt
Net debt SEK 7 000 120% ▪ The interest-bearing net debt decreased versus last year to 5,157 6 000 100% (6,528) MSEK 5 000 80% ▪ The decline was mainly related to 4 000 the strong cash flow and no 60% dividend pay-out in 2020 3 000 ▪ Net debt/equity ratio was 40% 2 000 56% (85%) 20% 1 000 0 0% 2016 2
Slide 13: Credit rating
Credit rating ▪ Natural step to broaden investor base and increase attractiveness ▪ BBB- with stable outlook “Indutrade's decentralised business model, alongside its solid product and end-market diversification, gives it resilient profitability and free cash flow generation over the cycle” – S&P Glo
Slide 14: Limited impact of covid-19 in Q1
Limited impact of covid-19 in Q1 ▪ Some disturbances and disruptions in the supply chains ▪ Short-time work declined further – limited use among the companies, and majority of furloughs were in Business Area UK ▪ Governmental support only marginal during the quarter ▪ Local restrictions and lockdown
Slide 15: Ensuring sustainability progress
Ensuring sustainability progress ▪ To reach the long- term 2030 objectives, a number of key ratios have been defined for each area ▪ Measured and evaluated yearly 15
Slide 16: Key takeaways
Key takeaways ▪ Improved demand situation in several segments ▪ Continued variations between companies, segments and countries ▪ Record Q1 EBITA margin ▪ Gradual demand improvement expected, but Covid-19 restrictions and supply chain constraints create some uncertainty ▪ Good acquisition pipeline ▪
Slide 17: Thank you! Q&A
Sgt ae ea =) Oo > ~ os O Ce Lae Indutrade
Slide 18: Financial Calendar & contact details
Financial Calendar & contact details Interim Report 1 January – 30 June 2021 Interim Report 1 January – 30 September 2021 Contact: ir@indutrade.com +46 8 703 03 00
Slide 19: Trusted by entrepreneurs
MT indutrade Trusted by entrepreneurs