Munters Group Ab · OMXSTO:MTRS
Munters Group Ab — Q4 2024 Earnings Presentation
30 slides from Munters Group Ab's earnings presentation, 2025
Slide 1: Q4 and full-year report 2024
Munters Q4 and full-year report 2024 Klas Forsström, President and CEO Katharina Fischer, GVP and CFO Line Dovärn, Head of Investor Relations
Slide 2: Record overall performance achieved for the full year
Record overall performance achieved for the full year Q4: Mixed picture for order intake Q4: Positive net sales Q4: Stable profitability Order intake Announced orders* Order backlog MSEK Adj. EBITA Adj. EBITA margin Net Sales MSEK MSEK 15 000 800 20% 6 000 6 000 11,603 600 548 16% 4,364 4 000 4 000
Slide 3: Americas main driver of growth
Americas main driver of growth Regional share Q4 Order intake Net sales Order intake Net sales Order intake Net sales 10% 14% 28% 34% 62% 52% Americas - order intake EMEA - order intake APAC- order intake (FY – OI: 56%, NS: 59%) (FY – OI: 30%, NS: 28%) (FY – OI: 14%, NS: 13%) • AirTech – negative co
Slide 4: Order intake affected by weaker battery market
AirTech Order intake affected by weaker battery market >5% ~ 1-5 % ± 0 -1% neg Org. Order Intake declined due to weaker % order intake Market battery sub-segment in all regions; Customer segment Q4 2024 Outlook * • Industrial (excl. battery) – declined offset by good growth in food across all region
Slide 5: AirTech: Investments and lower volumes affecting margin
AirTech Investments and lower volumes affecting margin Change (%) Q4 Q4 FY FY Org. Net Sales flat, battery weak in 2024 2023 Org. Struct* FX 24 23 Americas, offset by EMEA; MSEK Order intake 1,821 1,922 -10 5 0 7,365 6,796 • Industrial (excl. battery) – declined, primarily in Americas, partially off
Slide 6: Solid development in several customer segments
AirTech Solid development in several customer segments Order intake per customer Development Q4 2022 – Q4 2024 MSEK segment 3 000 • Battery – Second half of 2024, customers started placing orders 2 500 closer to delivery, delays in greenfield investments combined with more aggressive competitive 2 0
Slide 7: Mission-critical spray drying in food production
AirTech Mission-critical spray drying in food production Italian food producer seeking innovative spray drying solutions to enhance production capabilities Munters offering: PureSystem 4000 dehumidification system: • specifically developed for spray drying applications • energy efficient design, foo
Slide 8: Underlying demand strong & increased order backlog
Data Center Technologies Underlying demand strong & increased order backlog >5% ~ 1-5 % ± 0 -1% neg Customer Order Intake Market Order Intake declined; segment Q4 2024 Outlook * • the underlying demand for our cooling solutions remains strong across key markets -> 60% organic Hyperscaler 64% increas
Slide 9: Continued strong profitability
Data Center Technologies Continued strong profitability Change (%) Q4 Q4 FY FY Net Sales increased; MSEK 2024 2023 Org. Struct * FX 24 23 • successful execution on deliveries of large orders Order intake 1,787 3,184 -48 4 0 4,088 4,948 • growth in EMEA primarily attributable to acq. of Order backlog
Slide 10: Strong order backlog to be delivered throughout 2025 & 2026
Data Center Technologies Strong order backlog to be delivered throughout 2025 & 2026 2022 2023 2024 2025 MUSD 63 US colocator Standard chilled water (CRAHs) MUSD 176 US colocator SyCool Split solutions MUSD 88 US colocator Standard chilled water (CRAHs) MUSD 137 US colocator SyCool Split solutions M
Slide 11: Offering end-to-end cooling solutions to our customers
Data Center Technologies Offering end-to-end cooling solutions to our customers First integrated cooling order with Geoclima, received from colocator • Combined product offering: Integration of Munters MCW unit with Geoclima’s chiller delivers a complete and efficient air-cooling solution • Customer
Slide 12: FoodTech - a focused digital offering
FoodTech FoodTech - a focused digital offering Digital solutions Software Ambition: become the global leader in connecting and optimizing the supply chain in the food sector 1. Developing existing 2. Replicating into 3. Pioneering data Digital segments new segments driven optimization in Solutions C
Slide 13: Strong growth from both Digital solutions & Equipment
FoodTech Strong growth from both Digital solutions & Equipment >5% ~ 1-5 % ± 0 -1% neg % order intake Market Customer segment Q4 2024 Outlook * Order Intake increased; • DS – strong growth driven by software in Americas Equipment 47% • Equipment – growth, fueled by broiler and greenhouse sub-segment
Slide 14: Strong margin increase from both DS & Equipment
FoodTech Strong margin increase from both DS & Equipment Change (%) Q4 Q4 FY FY Net Sales increased, driven by both DS & 2024 2023 Org. Struct* FX 24 23 Equipment; MSEK Order intake 757 555 21 17 -1 2,874 2,433 • DS – strong growth in software, driven by broiler. Significant growth controllers in EM
Slide 15: Global expansion fueling synergies and growth
FoodTech Global expansion fueling synergies and growth Controllers manage equipment, collect data, and connect to software for analysis, driving sustainability, efficiency, and profitability. • Recent acquisitions of three companies – InoBram, AEI and Hotraco, spread across three continents and thre
Slide 16: Innovating for sustainable growth
Group Innovating for sustainable growth In 2024, we advanced innovation through cutting-edge products, strategic partnerships, and operational excellence, driving growth and efficiency. AirC Connect • Investments in prioritized technologies and digitalization LCX for production & product optimizatio
Slide 17: Financial highlights
Financial highlights @
Slide 18: FY - Record overall performance
Group FY - Record overall performance Q4 Q4 Change (%) • Net Sales increased; FY 24 FY 23 2024 2023 Organic growth Structural growth* Currency effects • AT - flat, impacted by weak battery sub-segment, good growth MSEK EMEA Order intake 4,348 5,651 -29 6 0 14,259 14,116 • DCT – strong growth, throug
Slide 19: Stable profitability supported by strong volume growth in FoodTech and DCT
Adjusted EBITA-margin Stable profitability supported by strong volume growth in FoodTech and DCT Main factors affecting adj. EBITA margin in Q4: • Volume had a positive impact, strong net sales growth in DCT & Group adj. EBITA margin impact FT. Whereas AT was impacted by weak battery sub-segment Q4
Slide 20: IACs related to our strategic portfolio management
IAC IACs related to our strategic portfolio management IACs quarterly, MSEK IACs for the quarter: • Restructuring activities MSEK -66, 130 • mainly related to measures taken in AirTech 117 as a result of the weak demand in the battery 95 market • M&A activities MSEK -25 MSEK 60 49 45 • driven by the
Slide 21: Enhanced cash flow management
Cash flow Enhanced cash flow management Group Cash Flow FY, MSEK Cash flow from changes in working capital 3 000 Q4 2024 Q4 2023 Change in accounts receivable -209 149 2 500 Change in inventory 194 188 2 000 744 1,624 Change in accrued income 263 11 -2,865 1 500 Change in accounts payable 333 111 1
Slide 22: Investments supporting the next growth wave
Investments supporting CAPEX (quarterly) 600 10% the next growth wave 9.4% 400 MSEK %-net sales 5% 200 Continued investments aiming at strengthening competences, upgrades, 0 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 0% digitalize & automize 2022 CAPEX 2023 CAPEX % of net sales 2024 • DCT: new plant in Cork, Irelan
Slide 23: Maintaining a stable leverage ratio
Leverage & net debt Maintaining a stable leverage ratio Development of leverage & net debt 2 000 2.9 3,0 Leverage ratio increased to 2.3x 2.7 2.7 Net debt increased mainly 0 2,5 related to: 2.2 2.3 • interest-bearing liabilities - driven by 2.1 2,0 -2 000 acquisitions financed through debt 2.0 1.9 1
Slide 24: Service & Components growth of 10% (org) during the year
Service & Components growth of Service & Components Q4 2024* 10% (org) during the year % of net sales 6% 22% Munters ambition: 3% 3% 10% • AirTech • grow our large globally installed base • continuous innovation AirTech DCT FoodTech service Components Total service service • DCT • develop remote ser
Slide 25: Advancement towards our strategic sustainability targets
Advancement towards our strategic sustainability targets Targets for 2030 End of December 2024 (2023) Reduce CO2e Scope 1, 2 net zero, Scope 3: reduction aligned with the E Renewable electricity, factories 79%1 (80) Paris agreement 1.5°C. Gender Equity 30% women % of women in workforce 22% 2 (22) S
Slide 26: Summary
Summary
Slide 27: Progression towards our financial targets & dividend policy
Financial targets & dividend Progression towards our financial targets & dividend policy Currency adj. growth Adj. EBITA margin OWC/net sales Dividend per share 20% 20% 2 35% +23% 15.1% 25% 15% Financial target >14% 15% 1,5 +37% 1.60* Financial target range +12% 13-10% 10.2% 1.30 SEK +21% 15% Financ
Slide 28: Full year highlights
Full year highlights Strengthening the Overall record Enhancing our foundation for future performance achieved Investing to stay ahead of the curve sustainability growth for the year commitment
Slide 29: Q&A Q4 and full-year report 2024
Q&A Q4 and full-year report 2024
Slide 30: Forward-looking statements disclaimer
This presentation contains forward-looking statements that reflect Munters’ current expectations on future events and Munters’ financial and operational development. Although Munters believes that the expectations reflected in such forward-looking statements are based on reasonable assumptions, no a