Coor Service Management Holding Ab · OMXSTO:COOR
Coor Service Management Holding Ab — Q3 2023 Earnings Presentation
16 slides from Coor Service Management Holding Ab's earnings presentation, Oct 25, 2023
Slide 1: Interim report Q3 2023
Interim report Q3 2023 October 25, 2023
Slide 2: Agenda
1. Key highlights in the quarter 2. Financial performance Agenda 3. Sum-up and Q&A AnnaCarin Grandin, President and CEO Andreas Engdahl, CFO and IR Director
Slide 3: Agenda
1. Key highlights in the quarter 2. Financial performance Agenda 3. Sum-up and Q&A
Slide 4: Key highlights in the quarter
Key highlights in the quarter • Business activity: • New IFM contract with Swedbank • New partnership agreement with ATP Ejendomme in Denmark • 5-year prolongation of IFM contract with Aibel in Norway • Structured exit of Ericsson contract with continued delivery of some advanced services • Integrat
Slide 5: Stable cash generation but margin below financial target
Stable cash generation but margin below financial target Business responsibility Q3 2023 Q3 2022 LTM Mid-long term target 4-5% Organic Growth 3% 1% 1% Organic net sales growth over a business cycle Acquired Growth 4% 10% 3% n/a Adj. EBITA-Margin 4,2% 4,4% 4,8% ~5,5% Adj. EBITA margin >90% Cash Conve
Slide 6: Action program to strengthen profitability
Action program to strengthen profitability - benefit from Coor’s leading position in the Nordics WHY HOW EFFECT Successful growth journey, despite Accelerate towards financial target by; Action program fully implemented termination of a few large contracts estimates an annual effect of ~SEK 100 - In
Slide 7: Net Zero 2040 ambitions approved by Science Based Target
Net Zero 2040 ambitions approved by Science Based Target Social and environmental responsibility Q3 2023 Q3 2022 FY 2022 Mid-long term target Engaged and motivated employees1 76 76 76 ≥70 Employee motivation index (EMI) Safe work environment2 ≤3,5 Total Recorded Injury Frequency (TRIF) 6,6 7,9 7,0 T
Slide 8: Agenda
1. Key highlights in the quarter 2. Financial performance Agenda 3. Sum-up and Q&A
Slide 9: Net Sales segmentation
Net Sales segmentation Net Sales (LTM) 12.2 bnSEK
Slide 10: Sales and Adj. EBITA development
Sales and Adj. EBITA development Profit & Loss Q3 LTM Helår 2023 2022 Chg. Q3 2022 Net sales 3 016 2 766 249 12 244 11 789 Adj. EBITA 126 122 4 592 634 Adj. EBITA margin 4,2% 4,4% -0,2% 4,8% 5,4% IACs -18 -21 3 -79 -69 Amortization -31 -32 1 -139 -156 EBIT 78 70 8 374 408 Financial net -38 -19 -19 -
Slide 11: By geographic region
By geographic region SWEDEN DENMARK NORWAY FINLAND Share of Net Sales Share of Net Sales Share of Net Sales Share of Net Sales 53% 24% 17% 6% • Organic growth affected • Organic growth from indexations, • High organic growth from several • Organic growth from new negatively from lost contract with o
Slide 12: Stable cash conversion
Stable cash conversion Key comments • Continued stable contribution from operations, cash conversion at 93% (LTM) in Q3 2023 • Stable pattern on customer payments • M&A related to Skaraborgs Städ in Sweden
Slide 13: Balance sheet
Balance sheet Key comments • Net Working Capital as % of Net Sales (LTM) at -8%, in line with Q3 last year • Leverage at 2.4X and well in line with target of staying below 3.0x • Ambition to further decrease leverage. With increasing interest costs and where dividend is a priority, we focus on margi
Slide 14: Agenda
1. Key highlights in the quarter 2. Financial performance Agenda 3. Sum-up and Q&A
Slide 15: Summary of the third quarter
Summary of the third quarter Business Profitability Leverage New important contract wins Action program to strengthen Solid cash flow generation and prolongations profitability towards margin target of 5.5% Ambition to further de-leverage Continued growth over time with a cautious view opportunities
Slide 16: Q&A
Q&A Coor aims to create the happiest, healthiest and most prosperous workplace environments in the Nordic region We strive tirelessly to build the teams and full-service solutions that enable our customers to do what they do best
Coor Service Management Holding — Q3 2023 Earnings Presentation on 6ix