Elmera Group Asa · OSL:ELMRA
Elmera Group Asa — Fjordkraft — Q4 2021 Earnings Presentation
30 slides from Elmera Group Asa's earnings presentation, Feb 10, 2022
Slide 1: Q4 2021 Presentation
Q4 2021 PRESENTATION Rolf Barmen (CEO) Birte Strander (CFO) 10th February
Slide 2: Q4 2021 Highlights
Q4 2021 HIGHLIGHTS Rolf Barmen (CEO)
Slide 3: Highlights fourth quarter 2021
Highlights fourth quarter 2021 Key Highlights # of deliveries (end of period) 1 Δ in # of deliveries (QoQ) • Strong financial performance in the Norwegian operations in a challenging market environment 975 041 -28 659 • Consumer EBIT adj. (+24% YoY) Decrease of -5 % YoY Organic growth: -28-198 659 •
Slide 4: Business Review
BUSINESS REVIEW Rolf Barmen (CEO)
Slide 5: Market development
Market development Key highlights in Q4 2021 Weekly elspot prices (NOK/kWh)2 • Geopolitical tension, high gas prices and low hydrology is resulting in an all-time high elspot price • Considerable area price differences due to limited transmission capacity • Very cold weather in Sweden and Finland an
Slide 6: Segment development - Consumer
Segment development - Consumer Key highlights in Q4 2021 # of electricity deliveries1 (‘000) • Organic decrease of 33,814 deliveries in Q4 2021 800 due to intense competition and termination of “price match” service 600 400 755 736 726 726 692 • We observe a change in the consumption pattern 200 • D
Slide 7: Segment Consumer - Volatility and price level increase the importance of a broad product portfolio
Segment Consumer - Volatility and price level increase the importance of a broad product portfolio Spot contracts – pricing fluctuates 24 hours a day Our product offering for 2022: • Spot “price-fighter”: A spot product campaign launched on Fjordkraft.no to match aggressively priced competition • Sp
Slide 8: Segment development - Business
Segment development - Business Key highlights in Q4 2021 # of electricity deliveries1 (‘000) • Organic decrease of 305 deliveries in Q4 2021 120 • Volume decrease by 2% YoY, driven by a 7% 80 decrease in consumption per delivery 107 109 111 112 111 40 • Strong development in the segment 0 • Overperf
Slide 9: Segment development - Nordic
Segment development - Nordic Key highlights in Q4 2021 # of deliveries1 (‘000) • Increase of 5,460 deliveries in Q4 2021 200 • Higher-than-normal volumes and high peak/off-peak differences led to losses in Q4 100 164 161 167 166 171 • The process of aligning the contract structure and product portfo
Slide 10: New Growth Initiatives
New Growth Initiatives Key highlights in Q4 2021 # of Mobile subscribers1 (‘000) Mobile: 160 • Growth of 29,263 mobile subscribers in Q4 2021 120 • The growth is related to the Skymobil acquisition 80 160 132 135 134 131 Alliance: 40 • 15% YoY Alliance volume increase 0 Q4 20 Q1 21 Q2 21 Q3 21 Q4 21
Slide 11: Financial Review
FINANCIAL REVIEW Birte Strander (CFO)
Slide 12: Net revenue development
Net revenue development Change in adj. net revenue (NOKm) Adj. net revenue LTM (NOKm) 600 2 000 +10% -6% 16 9 1 600 9 (62) 400 1 200 800 1 646 1 728 1 700 464 436 436 1 543 1 572 200 400 0 0 Q4 20 Consumer Business NGI Nordic Q4 21 Q4 20 Q1 21 Q2 21 Q3 21 Q4 21 • Strong net revenue development in al
Slide 13: EBIT adj. development
EBIT adj. development Change in adj. EBIT (NOKm) Adj. EBIT LTM (NOKm) -16% 800 -4% 50% 11 200 16 40% 600 23 (77) 39% 37% 37% 35% 34% 30% 400 100 608 586 603 613 586 20% 168 141 141 200 Adj. EBIT Adj. EBIT 10% margin: 36% margin: 32% 0 0 0% Q4 20 Consumer Business NGI Nordic Q4 21 Q4 20 Q1 21 Q2 21 Q
Slide 14: Segment overview
Segment overview Consumer segment Business segment Adj. net revenue (NOKm) Adj. net revenue (NOKm) 400 +3% 400 300 300 +13% 200 200 309 312 317 100 240 229 100 122 138 97 138 88 0 0 Q4 20 Q1 21 Q2 21 Q3 21 Q4 21 Q4 20 Q1 21 Q2 21 Q3 21 Q4 21 Adj. EBIT (NOKm) Adj. EBIT (NOKm) 150 35% 38% 40% 150 65%
Slide 15: Segment overview cont.
Segment overview cont. Nordic segment New Growth Initiatives Adj. net revenue (NOKm) Adj. net revenue (NOKm) 300 400 200 300 100 40,5 35,3 200 +62% 17,9 31,3 0 100 15,1 19,0 16,1 18,9 24,4 -100 -44,1 0 Q4 20 Q1 21 Q2 21 Q3 21 Q4 21 Q4 20 Q1 21 Q2 21 Q3 21 Q4 21 Adj. EBIT (NOKm) Adj. EBIT (NOKm) 50 1
Slide 16: NWC development
NWC development Net working capital1 (NOKm) • Net working capital (NWC) is decreasing to -15 NOKm at 600 quarter-end Q4 2021 • Part of the November power purchase was paid for in January, which led to increased accounts payables and 400 lower reported NWC at year-end 542 200 218 44 -15 0 -59 -106 -1
Slide 17: Net cash development
Net cash development Change in net cash Q-o-Q (NOKm) - ( 100) ( 200) OpFCF1 before tax and change in NWC ( 513) ( 300) («Cash EBIT adj.»): NOK 116m ( 668) ( 400) 0 (83) ( 500) 199 (21) ( 600) 60 ( 700) ( 800) Net cash 30.09.21 Change in NWC EBITDA adj. CAPEX ex. M&A Payments to obtain Non-cash NWC N
Slide 18: 2021 performance vs financial outlook
2021 performance vs financial outlook Actual 2021 Targeting high-single digit net revenue growth. 2021 expected above double digit due to acquisitions in 2020 10% Group Targeting a sustainable EBIT margin of 36-38% 34% Ambition to act as a consolidator in a fragmented market - Growth T
Slide 19: Updated targets will be presented on our Capital Markets Day 6 April 2022
Updated targets will be presented on our Capital Markets Day 6 April 2022
Slide 20: Fjordkraft
€) Fjordkraft Mer for pengene
Slide 21: Appendix
Appendix 8 @ Ce © Fjordkraft
Slide 22: Profit and loss account
PROFIT AND LOSS ACCOUNT | Quarterly Presentation | Q4 2021 22
Slide 23: Adjusted EBIT reconciliation
ADJUSTED EBIT reconciliation | Quarterly Presentation | Q3 2021 23
Slide 24: Adjusted EBIT reconciliation cont.
ADJUSTED EBIT reconciliation cont. | Quarterly Presentation | Q3 2021 24
Slide 25: Balance sheet
BALANCE SHEET | Quarterly Presentation | Q4 2021 25
Slide 26: Balance sheet
BALANCE SHEET | Quarterly Presentation | Q4 2021 26
Slide 27: Cash flow
CASH FLOW | Quarterly Presentation | Q4 2021 27
Slide 28: Cash flow
CASH FLOW | Quarterly Presentation | Q4 2021 28
Slide 29: Forward-looking statements
FORWARD-LOOKING STATEMENTS This presentation contains, or may be deemed to contain, statements that are not historical facts but forward-looking statements with respect to Fjordkraft’s expectations and plans, strategy, management’s objectives, future performance, costs, revenue, earnings and other t
Slide 30: For more information: Fjordkraft's Investor Relations
For more information: Fjordkraft’s Investor Relations Morten A. W. Opdal +47 970 62 526 morten.opdal@fjordkraft.no