Alimak Group Q2 and January - June, 17 August 2017 Tormod - - PowerPoint PPT Presentation
Alimak Group Q2 and January - June, 17 August 2017 Tormod Gunleiksrud, CEO Per Ekstedt, CFO Q2 Strong growth in the quarter Solid order intake, revenue and result Continued strong performance in Construction Equipment and After Sales
Q2 and January - June, 17 August 2017 Tormod Gunleiksrud, CEO Per Ekstedt, CFO
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▪ EBITA margin (adj.) of 14.5% (17.6), due to expected lower margin levels in acquired companies EBITA adj. MSEK 173 (92) ▪ Organic revenue growth was 20%, while reported revenues increased 128% MSEK 1,194 (524) ▪ Organic order intake growth was 14%, while reported order intake grew 120% MSEK 1,193 (543)
Management assessment, if the acquired companies would have been fully consolidated by 1 January 2016: Order intake growth during January-June 2017 would have been 17% Revenue growth during January-June 2017 would have been 10%
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▪ EBITA adj. was MSEK 42 (23). EBITA margin adj. of 16.0% (13.6) mainly driven by higher volumes and favorable product mix ▪ Organic revenue growth of +55% ▪ Organic order intake growth of +30% driven by strong underlying demand in all markets
Order intake & Revenue EBITA adj. & EBITA margin adj.
4 166 147 215 157 262 188 213 199 280 249 50 100 150 200 250 300 Q2-16 Q3-16 Q4-16 Q1-17 Q2-17 Revenue Δ +57.5% (Q2-17/Q2-16) Order intake Δ +32.4% (Q2-17/Q2-16) MSEK
23 17 30 14 42 13.6 11.7 13.7 9.0 16.0 5 10 15 20 25 10 20 30 40 50 Q2-16 Q3-16 Q4-16 Q1-17 Q2-17 EBITA adj. Δ +85.1% (Q2-17/Q2-16) EBITA adj. % MSEK %
▪ EBITA adj. increased to MSEK 27 (2). EBITA margin adj. of 5.1% (1.6) with significant impact from the acquired businesses ▪ Organic revenue growth was 6%, while reported revenue increased 406% ▪ Organic order intake declined 20%, while reported order intake increased 417%
Order intake & Revenue EBITA adj. & EBITA margin adj.
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105 79 123 330 530 111 41 82 319 573 100 200 300 400 500 600 Q2-16 Q3-16 Q4-16 Q1-17 Q2-17 Revenue Δ +405.7% (Q2-17/Q2-16) Order intake Δ +416.9% (Q2-17/Q2-16) MSEK
▪ EBITA adj. increased to MSEK 92 (59). EBITA margin adj. was 28.3% (34.5), due to expected lower margins in the acquired businesses ▪ Organic revenue growth was 6%, while reported revenue increased 89% ▪ Organic order intake growth was 28%, while reported order intake increased 82%
Order Intake & Revenue EBITA adj. & EBITA margin adj.
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172 165 185 215 325 161 166 161 254 292 50 100 150 200 250 300 350 Q2-16 Q3-16 Q4-16 Q1-17 Q2-17 Revenue Δ +89.2% (Q2-17/Q2-16) Order intake Δ +81.7% (Q2-17/Q2-16) MSEK 59 54 64 59 92 34.5 32.5 34.3 27.3 28.3 10 20 30 40 25 50 75 100 Q2-16 Q3-16 Q4-16 Q1-17 Q2-17 EBITA adj. Δ +55.3% (Q2-17/Q2-16) EBITA adj. % MSEK %
▪ EBITA adj. increased to MSEK 12 (9). EBITA margin adj. was 15.9% (10.7), driven by higher utilisation ▪ Organic revenue declined by 1% ▪ Organic order intake declined by 6% due to lower levels in Australia
Order intake & Revenue EBITA adj. & EBITA margin adj.
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82 80 74 75 78 83 93 77 90 79 20 40 60 80 100 Q2-16 Q3-16 Q4-16 Q1-17 Q2-17 Revenue Δ -4.8% (Q2-17/Q2-16) Order intake Δ -5.0% (Q2-17/Q2-16) MSEK 9 8 10 6 12 10.7 9.9 13.0 8.6 15.9 5 10 15 20 4 8 12 16 Q2-16 Q3-16 Q4-16 Q1-17 Q2-17 EBITA adj. Δ +41.2% (Q2-17/Q2-16) EBITA adj. % MSEK %
Revenue Q2 2017 – share of group total (Q2 2016)
Construction Equipment 22% (32%) Industrial Equipment 44% (20%) After Sales 27% (33%) Rental 7% (16%)
EBITA adj. Q2 2017 – share of group total (Q2 2016)
Construction Equipment 24% (25%) Industrial Equipment 16% (2%) After Sales 53% (64%) Rental 7% (10%)
▪ Acquired companies integrated into business area Industrial Equipment & After Sales
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524 471 597 777 1,194 543 512 519 943 1,193 200 400 600 800 1,000 1,200 1,400 Q2-16 Q3-16 Q4-16 Q1-17 Q2-17 Revenue Δ +127.7% (Q2-17/Q2-16) Order intake Δ +119.7% (Q2-17/Q2-16) MSEK
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92 73 105 91 173 17.6 15.5 17.6 11.7 14.5 10 20 30 40 50 100 150 200 Q2-16 Q3-16 Q4-16 Q1-17 Q2-17 EBITA adj. Δ +87.5% (Q2-17/Q2-16) EBITA adj. % MSEK %
▪ Solid financial position Rights issue fully subscribed (MSEK 791 before issue costs) ▪ Cash flow from operating activities was MSEK 44 (67) ▪ Net debt MSEK 1,140 (385) ▪ Leverage (Net debt/EBITDA ratio) at 2.44 (1.02) Due to the completion of the acquisitions - leverage has increased Leverage target: a net debt of around 2x EBITDA Cash Flow, MSEK
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135 44 44
20 40 60 80 100 120 140 160
Q216 Q316 Q416 Q117 Q217
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▪ EPS SEK 1.48 (1.38) EPS impacted by higher tax in acquired companies ▪ 54,157,861 shares as of 2017-06-30 EPS, SEK *
1,38 1,08 1,02 1,07 1,48 1,20 0,95 0,89 0,93 1,45 0,2 0,4 0,6 0,8 1 1,2 1,4 1,6 Q2-16 Q3-16 Q4-16 Q1-17 Q2-17 Earnings per share, SEK² Earnings per share, SEK, as per numbers of shares at 30 June 2017
* Previous periods have been adjusted to take into account the change in the number of shares after completion of the rights issue in Q2 2017. The staples in the graph represent regulatory information while the line represents EPS calculated by the numbers of shares by 30 June 2017.
Revenue growth target EBITA margin target Leverage target (net debt/EBITDA)
The Group’s mid-term target is to have an average annual organic revenue growth of at least 6%. The Group’s mid-term target is to reach an
The company will maintain an effective capital structure with a net debt of around 2.0x EBITDA. The capital structure will be flexible and allow for strategic initiatives.
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Synergy potential Integration plan
practice across the organization
– Costs expected to be incurred in 2017 and 2018
2016) on the EBITA margin with full effect 2019
– Procurement and manufacturing optimization – After Sales
– Strengthened organization and structure
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▪ Solid order intake growth during the quarter 14% organic ▪ Strong revenue growth 20% organic ▪ EBITA adj. margin of 14.5% reflects a solid margin in Construction Equipment, After Sales and Rental ▪ Challenges in Oil & Gas and General Industry but level
▪ Acquired companies performing in line with expectations ▪ Integration activities according to plan
Management assessment, if the acquired companies would have been fully consolidated by 1 January 2016: Order intake growth during January-June 2017 would have been 17% Revenue growth during January-June 2017 would have been 10%
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