Thule Group Ab · OMXSTO:THULE

Thule Group Ab — Merger or Acquisition (November 2024)

33 slides from Thule Group Ab's merger presentation, Nov 11, 2024

  1. Slide 1: Update on strategy and acquisition of Quad Lock

    Update on strategy and acquisition of Quad Lock 2024-11-11 Mattias Ankarberg, CEO Toby Lawton, CFO

  2. Slide 2: Agenda

    Agenda  Who we are  Our Thule strategy  Introducing Quad Lock  Summary  Q&A 2

  3. Slide 3: 80+ years of product driven growth

    80+ years of product driven growth 1942 Thule founded in Hillerstorp, Sweden 1960’s Entry into Sport & Cargo category with Thule Ski Rack 1970’s Launch of first Thule Ski Box, world-famous alpine skier Ingemar Stenmark becomes Thule ambassador 1980’s Launch of surfboard carried to the outdoor market

  4. Slide 4: Global footprint and in-house capabilities

    Global footprint and in-house capabilities  Global sales of SEK 9.4bn across 138 markets  Premium Thule brand representing quality, safety, design and ease of use across our categories  Global R&D and test center in Hillerstorp, Sweden, with satellites in Belgium, China and Colorado, USA  In-hou

  5. Slide 5: Solid track record of profitable growth

    Solid track record of profitable growth Net sales 12,000 EBIT 2,500 SEK m SEK m 10,000 2,000 8,000 1,500 2024/Q3 LTM 6,000  Net sales SEK 9.4b 1,000  EBIT SEK 1.6b 4,000  EBIT margin 17.1% 500 2,000 0 0 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Q3 LTM Net sales EBIT 5

  6. Slide 6: Ambitious sustainability agenda creating results

    Ambitious sustainability agenda creating results Greenhouse Gas Emissions (2019 – 2023) 350,000 40 Emission Intensity (tCO2eq/MSEK 300,000 Total emissions (tCO2eq) 30 250,000 200,000 20 150,000 100,000 10 50,000 0 0 2019 2020 2021 2022 2023 tonC02eq tonC02eq/MSEK

  7. Slide 7: Strong recognition for best product

    Strong recognition for best product 7

  8. Slide 8: Agenda

    Agenda  Who we are  Our Thule strategy  Introducing Quad Lock  Summary  Q&A 8

  9. Slide 9: Vision: We make the best products in the world

    VISION We make the best products in the world, built to last and pass the toughest tests, and enable an active life outdoors

  10. Slide 10: Building on strengths

    Building on strengths  We have tailwind – people increasingly want to live active lives  We are global market leaders in our key product categories  We invest in our own capabilities for innovation & quality

  11. Slide 11: #1: Market leading positions are the source of our value creation

    #1: Market leading positions are the source of our value creation Market leading positions have driven vast majority of value growth over last decade  Long standing market leading positions, e.g., in roof top boxes since 1990’s  A few no 1 positions account for 90% of sales growth and gross profit

  12. Slide 12: #2: Our market leading positions are in categories with common characteristics

    #2: Our market leading positions are in categories with common characteristics 1. Fit with Thule brand Enable an active life outdoors, appreciated by enthusiast consumers 2. Market tailwind Good category growth and high consumer willingness to pay for best product 3. Barriers to entry Less competiti

  13. Slide 13: #3: We have a proven model to extend market positions

    #3: We have a proven model to extend market positions Pockets of market leadership Our Thule model Out-innovate + = Profitable organic growth Market leading resources Capabilities & culture  Know-how, technology, IP, etc.  Innovation and quality  Ability to invest  Never settle, always improve 

  14. Slide 14: Example: building bike carriers into a top Thule category

    Example: building bike carriers into a top Thule category 1992 As global market leader in roof mounted bike carriers, Upgrading the world’s most Thule launches the first hanging towbar bike carrier sold bike carrier 1997 Thule enters platform segment with Thule EuroClassic,  Thule Easyfold just got

  15. Slide 15: #4: Acquisitions have added to market leading positions

    #4: Acquisitions have added to market leading positions 2005 2011 2017 2018 Omnistor Chariot Carriers Yepp Tepui Tents Belgium Canada Netherlands USA European market leader Global leader in European regional North American market in bike carriers and multisport child trailers leader in bike seats le

  16. Slide 16: Acquisitions have grown fast, boosted by the Thule brand and culture

    … that have grown fast, boosted by the Thule brand and culture 2005 2011 2017 2018 Thule Omnistor Thule Chariot Thule Yepp Thule Tepui European no 1 in bike Global leader in multi- European regional North American market carriers, awnings for RVs sport and bike trailers leader in bike seats leader i

  17. Slide 17: Big in pockets, united by our Thule brand

    VISION STRATEGY Big in pockets, united by our Thule brand 1. Focus on market leadership in attractive product categories 2. Product driven growth to extend our market positions 3. Add-on acquisitions to complement organic growth 4. Premium Thule brand and culture, uniting our product categories and

  18. Slide 18: Agenda

    Agenda  Who we are  Our Thule strategy  Introducing Quad Lock  Summary  Q&A 18

  19. Slide 19: Quad Lock helps adventurers integrate smartphones in their active lives

    Quad Lock helps adventurers integrate smartphones in their active lives  Category defining innovator of performance phone mounts for outdoor adventurers and sports enthusiasts − Makes adventurers’ lives easier by integrating smartphones in their active lives − Founded in Australia 2011, today selli

  20. Slide 20: Quad Lock is a strong fit with Thule and our strategy

    Quad Lock is a strong fit with Thule and our strategy Focus on market  Quad Lock is the global market leader in performance mounts leadership in − No 1 in mounts for motorbike, bike and offroad cars attractive − Category defining brand, most recommended in the market categories − Widest offer in th

  21. Slide 21: Quad Lock is the global market leader in performance mounts

    Quad Lock is the global market leader in performance mounts Why consumers buy performance mounts  Secure mounting to keep smartphones stable during high-speed rides or rough terrain  Hands-free navigation using any GPS app without distractions  Easy access to apps for calls, music, and real-time

  22. Slide 22: Performance mounts an attractive category with supporting trends

    Performance mounts an attractive category with supporting trends Performance mount market for outdoor enthusiasts, top 7 markets1, SEK bn Growth per year ~10% 3.2 10-12% Cycle 2.3 Technical Growing consumer Rising product innovations and focus on active awareness for 1.6 performance advanced feature

  23. Slide 23: Track record of product innovation and product portfolio expansion

    Track record of product innovation and product portfolio expansion Sales, AUD m 192 First Quad Lock commercial sale established by of product Rob and Chris FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 Cycle – June 2012 Offroad Drive/4x4 - June 2013 Run – June 2014 Motorbike

  24. Slide 24: Quad Lock and Thule brands share the same fundamentals

    Quad Lock and Thule brands share the same fundamentals Every Day. Every Adventure. Bring your life  Target outdoor enthusiasts  Target outdoor enthusiasts living active lives living active lives  Target consumer willing to pay  Target consumer willing to pay premium for best product premium for

  25. Slide 25: Strong cultural fit and experienced management team

    Strong cultural fit and experienced management team Culture well aligned with Thule Group  Passion for product and outdoor adventure  Strong team spirit in and outside the office  Competitive nature, always striving to beat yesterday  Global business approach, reflecting nature of business  Hig

  26. Slide 26: Overview of transaction terms

    Overview of transaction terms  Enterprise value of AUD 500m or SEK 3.6bn on a cash and debt free basis, equivalent to an EV / LTM1 EBITDA multiple of 10x  Purchase price to be financed through combination of cash and newly issued Thule shares − Approximately 79% financed with cash, using existing

  27. Slide 27: Additional information: transaction facts

    Additional information: transaction facts Quad Lock company information  Founded in 2011 by Rob Ward and Chris Peters  Based in Melbourne, Australia  CEO Andrew Poole  Approximately 100 employees  Quad Lock revenue (12 months ended August 31, 2024) SEK 1.4b  Quad Lock adjusted EBITDA (12 month

  28. Slide 28: Addition of Quad Lock supports building the next level Thule Group

    Addition of Quad Lock supports building the next level Thule Group Quad Lock is a strong fit with Thule and our strategy going forward  Global market leader in growth category of performance phone mounts  Proven product driven growth model, with potential for acceleration when combined with Thule,

  29. Slide 29: Quad Lock is a good addition to reach our financial targets

    Quad Lock is a good addition to reach our financial targets Net sales EBIT 12,000 SEK m 2,500 SEK m 10,000 2024/Q3 LTM 2,000  Net sales SEK 9.4b  EBIT SEK 1.6b 8,000  EBIT margin 17.1% 1,500 Pro-forma 2024/Q3 LTM* 6,000  Net sales SEK ~10.8b 1,000  EBIT SEK ~1.9b 4,000  EBIT margin ~17.5% 500

  30. Slide 30: Agenda

    Agenda  Who we are  Our Thule strategy  Introducing Quad Lock  Summary  Q&A 30

  31. Slide 31: Summary

    Summary We are building the next level Thule Group based on our strengths − Focus on market leadership in attractive product categories − Product driven growth to extend our leading positions − Add-on acquisitions to complement organic growth − Premium Thule brand and culture, uniting our product ca

  32. Slide 32: ThuleGroup)

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  33. Slide 33: Thule Group - Active life, simplified

    Thule Group») ACTIVE LIFE, SIMPLIFIED

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