Slide 1: Results presentation H1/2023
Results presentation H1/2023 17 August 2023
Slide 2: Presentation of the CEO
Presentation of the CEO Lauri Veijalainen Work history: • CEO, KH Group & Indoor Group, 2023– • CEO, East Office of Finnish Industries, 2019–2023 • Group CEO, Stockmann, 2016–2019 • Group CFO & Development Director, Stockmann, 2010–2016 • CFO, IKEA Russia & Ukraine, 2003–2010 • Finance Director, Ska
Slide 3: Q2 summary
Q2 summary Implementation of Changes in Divestment of change in strategy reporting Logistikas to meet the requirements for continued as planned completed in June a conglomerate EUR 105.9 million EUR 1.2 million EUR 441.3 million pro forma Q2 net sales pro forma Q2 EBIT pro forma (EUR 116.1 million)
Slide 4: The transformation to a conglomerate is progressing as planned
The transformation to a conglomerate is progressing as planned December 2022: 4 May 2023: 17 August 2023: Autumn 2023: End of 2023: Announcement of The Board of Reporting as a More information The transformation the change in Directors’ proposals conglomerate for about the strategy into a conglomera
Slide 5: Sievi Capital is now KH Group
Sievi Capital is now KH Group • Sievi Capital’s business name was changed to KH Group Plc by a decision of the Annual General Meeting held on 4 May 2023 • The trading code of the company’s share was changed to KHG effective from 10 May 2023 (formerly SIEVI) • The new name better reflects the change
Slide 6: Divestment of Logistikas was completed in June
Divestment of Logistikas was completed in June • As part of the change in strategy, KH Group sold Logistikas to the Swedish company Logent • KH Group’s shareholding prior to the divestment was 66.5% • The debt-free selling price was €23.5m • KH Group’s share of the selling price, after net debt and
Slide 7: KH Group has four business areas
KH Group has four business areas • Net sales in 2022: €441.3m • EBIT in 2022: €12.2m Business area Furniture and Manufacture of rescue Construction and earth-moving Construction Sector interior decoration vehicles machinery sales and rental management retail trading Net sales 2022, €m (IFRS) 194.5 1
Slide 8: Increased transparency through a change in reporting
Increased transparency through a change in reporting • KH Group has changed its reporting model by transitioning from reporting as an IFRS investment entity to reporting based on consolidation line item by line item • The change in reporting is part of KH Group’s transformation into a conglomerate •
Slide 9: Consolidated pro forma net sales and EBIT declined year-on-year in Q2
Consolidated pro forma net sales and EBIT declined year-on-year in Q2 KH Group • Net sales -9% and EBIT €-1.7m year- Net sales, €m on-year • Net sales and EBIT increased in HTJ 116.1 105.9 and Nordic Rescue Group, and decreased in KH-Koneet and Indoor Group Q2/2022 Q2/2023 Operating profit (EBIT), €
Slide 10: Balance sheet and financial position at the end of Q2
Balance sheet and financial position at the end of Q2 – the divestment had a positive effect on the Group’s financial position KH Group EUR 377.0 million EUR 87.8 million EUR 70.8 million Net debt, excluding lease Balance sheet total Equity liabilities EUR 26.4 million 23.8% 80.6% Gearing, excluding
Slide 11: KH-Koneet
The market remained fair, supported by good demand for machinery leasing; cost savings have been carried out KH-Koneet • Demand slowed in the machine Net sales, €m dealership business, while leasing 54.8 demand was at a good level 46.1 • Net sales -16% and EBIT €-1.4m year- on-year • Lower machine s
Slide 12: Indoor Group
Q2 was another challenging quarter Indoor Group • The market situation and the Net sales, €m demand environment remained challenging 47.2 44.0 • Asko’s sales performance has involved more challenges than Sotka’s • Net sales -7% and EBIT €-0.3m year- on-year Q2/2022 Q2/2023 • The sales margin % impro
Slide 13: HTJ
Steady performance in spite of the uncertainties in the market HTJ • Uncertainty in the operating Net sales, €m environment 7.0 • HTJ’s advantage is its focus on 5.8 building renovation, infrastructure and industry • Higher order book year-on-year • Price competition has intensified • Net sales +21%
Slide 14: Nordic Rescue Group
The business is on a healthy foundation in a stable demand environment Nordic Rescue Group • Demand has remained stable Net sales, €m • Saurus and Sala increased their order 8.4 8.8 books • Net sales +5% and EBIT +€0.3m year- on-year • Delivery volumes have increased • Growth was achieved particular
Slide 15: Implementation of the change in strategy will continue in H2
Implementation of the change in strategy will continue in H2 • KH Group has made progress as planned in implementing the change in strategy • The measures to transition to a conglomerate model will continue in the second half of the year • The development of the business areas will continue • In man
Slide 16: KH Group
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