Coor Service Management Holding Ab · OMXSTO:COOR
Coor Service Management Holding Ab — Q4 2023 Earnings Presentation
18 slides from Coor Service Management Holding Ab's earnings presentation, Feb 8, 2024
Slide 1: Interim report Q4 2023
Passion for Service Passion for People Interim report Q4 2023 February 8, 2024
Slide 2: Coor is the leading FM provider in the Nordics
Coor is the leading FM provider in the Nordics ... with a clear ambition of becoming truly sustainable Business Social Environmental • Stable financial • Engaged and • Responsible development motivated employees consumption ~13,000 • High customer satisfaction • Zero accidents and zero long-term s
Slide 3: 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 4: Agenda: Key highlights
1. Key highlights in the quarter 2. Financial performance Agenda 3. Sum-up and Q&A
Slide 5: Key highlights in the quarter
Key highlights in the quarter • Business activity: • New contracts with OKG (Nuclear power plant in Oskarshamn) and Locum in Sweden • Prolongation of contracts with MAN and MCH (Messecenter Herning and Jyske Bank Boxen), extension with Topsoe in Denmark • Startup of IFM contract with Swedbank • Inte
Slide 6: Improved earnings and continued growth in the quarter
Improved earnings and continued growth in the quarter Business responsibility Q4 2023 Q4 2022 FY23 Mid-long term target Organic growth 3% -1% 2% 4-5% Organic net sales growth over a business cycle Acquired growth 3% 4% 2% n/a Adj. EBITA margin 5,1% 5,0% 4,9% ~5,5% Adj. EBITA margin Cash conversion1)
Slide 7: Positive development on injury frequency
Positive development on injury frequency Social and environmental responsibility Q4 2023 Q4 2022 Mid-long term target Engaged and motivated employees1 76 76 ≥70 Employee motivation index (EMI) Safe work environment2 ≤3.5 Total Recorded Injury Frequency (TRIF) 5.5 7.0 Total number of accidents x 1,00
Slide 8: Agenda: Financial performance
1. Key highlights in the quarter 2. Financial performance Agenda 3. Sum-up and Q&A
Slide 9: Net Sales segmentation
Net Sales segmentation Turnover by Turnover by Turnover by contract type service customer segment Net Sales (LTM) 12.4 bnSEK IFM 57% Cleaning 40% Public 32% Single services 43% Property 30% Manufacturing 21% Workplace 15% Energy 14% Food & Beverage 12% IT & Telecom 8% Other 4% Real estate & Construc
Slide 10: Sales and Adj. EBITA development
Sales and Adj. EBITA development Profit & Loss Net Sales development, bnSEK 3,5 3,2 3,3 2.0% 3,1 3,0 2,9 3,0 3,0 3,0 2,7 2,8 1.5% Q4 Full-year Full-year 3 2,5 2,6 2,5 2,5 2,5 2,4 2,4 2,5 2,3 2,3 2,3 1.0% 2023 2022 Chg. 2023 2022 11,1% 9,5% 0.5% 7,8% 2 10,0%4,8% 4,5% 7,6% 5,0% 0.0% 2,6% 2,2% 2,8% 2,8
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 flat in the quarter. • Organic growth from indexations • High organic growth from several • Organic growth from new Several new midsized cont
Slide 12: Contract portfolio development
Contract portfolio development Contracts >5 MSEK annual sales 430 400 485 190 165 -25 85 -510 New contracts Contracts ended Net change New contracts Contracts ended Net change Portfolio acquired Net change awarded H1 2023 (-2) H1 2023 (+14) awarded H2 2023 (-3) Full year >5 MSEK Skaraborgs städ Full
Slide 13: Contract concentration & maturity
Contract concentration & maturity Largest customer part of sales Large1 contract maturity 8% 51- 9% 34% 36% 1-10 38% 15% 9% 23% 25-50 11-25 Small contracts (< 5 mSEK) 12% 16% Medium contracts (< 100 mSEK) Expire 2024 Expire 2025 Expire 2026 Expire 2027+ 1 Customer contracts > 100 SEKm per year
Slide 14: Stable cash conversion
Stable cash conversion Cash conversion (LTM) Key comments 98% 98% 97% 94% 94% 93% 91% 94% 95% 90% 93% 86% • Continued stable contribution 90% from operations, cash conversion at 86% (LTM) in Q4 2023 • Somewhat higher past due Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 receivables at year end due to 2021 20
Slide 15: Balance sheet
Balance sheet NWC, % of Net Sales (LTM) Key comments • Net Working Capital as % of Net Sales (LTM) at -8.5%, in line with -6,9% -9,5% -7,4% -8,4% -9,3% -8,5% -7,6% -8,6% -8,4% -7,3% -8,1% -8,5% Q4 last year Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 • Leverage at 2.5X, a slight increase compared to previou
Slide 16: Agenda: Sum-up and Q&A
1. Key highlights in the quarter 2. Financial performance Agenda 3. Sum-up and Q&A
Slide 17: Summary of the fourth quarter
Summary of the fourth quarter Business Profitability Dividend High activity in the quarter with new Action program proceeding according Board of Directors propose a dividend contract wins, prolongations and to plan of 3.00 SEK/share for 2023 integration Continued growth opportunities in the Nordic m
Slide 18: 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 — Q4 2023 Earnings Presentation on 6ix