INTERIM REPORT FIRST QUARTER 2020 CEO Camilla Hoflund and CFO Claes - - PowerPoint PPT Presentation

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INTERIM REPORT FIRST QUARTER 2020 CEO Camilla Hoflund and CFO Claes - - PowerPoint PPT Presentation

Jan 06, 2023 238 likes •434 views

INTERIM REPORT FIRST QUARTER 2020 CEO Camilla Hoflund and CFO Claes Engvall April 29, 2020 STUDSVIK IN BRIEF Key customers Nuclear industry Utilities, Vendors, Research Organizations and Regulators Radio isotope industry The

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INTERIM REPORT FIRST QUARTER 2020

CEO Camilla Hoflund and CFO Claes Engvall April 29, 2020

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SLIDE 2

STUDSVIK IN BRIEF

Key customers

  • Nuclear industry
  • Utilities, Vendors, Research Organizations

and Regulators

  • Radio isotope industry

The company

  • Listed on Nasdaq Stockholm Small Cap
  • Sales 650 MSEK
  • 530 employees
  • Global presence

2020-04-29 Studsvik Interim Report First Quarter 2020 2

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SLIDE 3

OUR VISION AND MISSION

Studsvik’ s Vision Making it easy to benefit from clean nuclear energy Studsvik’ s Mission Create effective, customer-focused solutions to complex problems, through Studsvik’ s proven ability to innovate

Studsvik Interim Report First Quarter 2020 3 2020-04-29

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2020-04-29 Studsvik Interim Report First Quarter 2020

Q1 2020 STUDSVIK – IN SUMMARY

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January- March 2020 January- March 2019 Full year 2019

Sales, MSEK 152.9 139.9 654.0 Adjusted operating profit , MSEK 3.5

  • 18.6

4.4 Operating profit/loss 3.5

  • 18.6
  • 10.4

Operating profit/loss after tax, MSEK

  • 0.5
  • 23.1
  • 28.0

Free cashflow, MSEK 24.1

  • 33.0
  • 38.8
  • Increased net sales
  • Improved operating profit in all

business areas

  • COVID-19 impact so far mainly in

the German operations (3 MSEK) The Group’s total available cash:

  • December 31, 2019 (Q4):

66 MSEK

  • March 31, 2020 (Q1)

92 MSEK

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SLIDE 5

CURRENT SITUATION – COVID-19

2020-04-29 Studsvik Interim Report First Quarter 2020 5

  • General statement
  • Peoples health is our highest priority
  • We apply national regulations and recommendations
  • Quarter 1
  • The impact of Studsvik business has so far been limited, the minor impacts

are mainly within the German operations

  • About 80-90 employees in Germany have temporary been sent home from

customer sites partly compensated by the German government

  • The Swedish facilities at Studsvik site are still in full operation
  • Working on remote for a large number of employees worldwide have been

successful so far

  • Main risks going forward
  • Increased number of temporary shutdowns in Germany or Switzerland
  • Shutdown of hot cell facilities in Sweden
  • Delay of new orders
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Studsvik Interim Report First Quarter 2020 6

STUDSVIK PROVIDES SMART TECHNOLOGY ENABLING NUCLEAR UTILITIES, ADVANCED REACTORS, AND RESEARCH FACILITIES TO DELIVER CLEAN ENERGY AND ENSURE SAFE DISPOSAL EFFICIENTLY

2020-04-29

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Q1 2020 FUEL- & MATERIALS TECHNOLOGY

2020-04-29

January- March 2020 January- March 2019 Full year 2019

Sales, MSEK 47.1 42.4 200.1 Operating profit, MSEK 3.2 0.3 25.3 Operating profit margin, % 6.8 0.7 12.6 Investments, MSEK 2.7 5.1 22.9 Average number of employees 109 104 104

Highlights

  • Stable start of the year
  • Delayed transport and fuel

project from Halden compensated by other fuel projects

  • Internal work performed such

as waste campaign Outlook

  • Ramp up of medical isotope:

postponed to early 2021 due to delay of irradiated sources

  • Norway NND fuel back end:

contract expected quarter 3 (150 MNOK over 13 years)

  • Geographic expansion

Studsvik Interim Report First Quarter 2020 7

31

PERCENTAGE OF SALES

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SLIDE 8

January- March 2020 January- March 2019 Full year 2019 Sales, MSEK 12.4 16.3 56.8 Operating profit/loss, MSEK

  • 1.9
  • 5.5
  • 33.6

Operating profit/loss margin, %

  • 15.4
  • 33.8
  • 59.2

Investments, MSEK 1.8 0.4 4.2 Average number of employees 37 50 46

Q1 2020 WASTE MANAGEMENT TECHNOLOGY

2020-04-29 Studsvik Interim Report First Quarter 2020 8

Highlights

  • Reduction of loss making

contracts

  • Improved utilization at the end
  • f the period

Outlook

  • New business opportunities for

license sales are delayed (COVID-19)

  • Strong interest of new waste

concept inDRUM

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PERCENTAGE OF SALES

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Q1 2020 SCANDPOWER

2020-04-29 Studsvik Interim Report First Quarter 2020

January- March 2020 January- March 2019 Full year 2019

Sales, MSEK 29.7 24.3 130.1 Operating profit, MSEK 3.4 1.0 13.0 Operating profit margin, % 11.5 4.2 10.0 Investments, MSEK 0.1 0.2 1.3 Average number of employees 34 34 35

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Highlights

  • Stable start of the year
  • Delays of Chinese business due

to COVID-19 compensated with engineering services Outlook

  • Strong pipeline on broad

geographic market

  • The Chinese market starts to
  • pen up
  • Potential delays of larger

license sales (COVID-19)

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PERCENTAGE OF SALES

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SLIDE 10

2020-04-29 Studsvik Interim Report First Quarter 2020

Q1 2020 GERMANY

January- March 2020 January- March 2019 Full year 2019

Sales, MSEK 59.5 52.2 263.0 Operating profit/loss, MSEK 1.3

  • 11.9
  • 1.0

Operating profit/loss margin, % 2.2

  • 22.8
  • 0.4

Investments, MSEK 0.1

  • 1.7

Average number of employees 330 349 349

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Outlook

  • Negative EBIT impact of 7

MSEK is expected in quarter 2 (COVID-19)

  • Studsvik staff back at the

customer sites in June

  • Expected full utilization in

quarter 3 Highlights

  • Positive result effects

following the improvement program 2019

  • Negative EBIT impact of 3

MSEK (COVID-19)

  • Full order book for 2020

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PERCENTAGE OF SALES

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FINANCIAL HIGHLIGHTS

  • Quarterly EBIT at 3.5 MSEK
  • No items affecting comparability
  • Strong focus on cash and working

capital

  • Through-out the organization
  • The appeal of the bank guarantee was

turned down by the court

  • Studsvik intends to present new legal facts

with the aim of getting a revised decision

  • Other financial options in place regarding the

bank guarantee

  • During quarter 1 limited financial

impact from COVID-19 (3 MSEK)

  • Financial precautions being implemented

2020-04-29 Studsvik Interim Report First Quarter 2020 11

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STUDSVIK GROUP EARNINGS

2020-04-29 Studsvik Interim Report First Quarter 2020 12

January- March 2020 January- March 2019 Full year 2019 Sales, SEK million 152.9 139.9 654.0 Operating profit, SEK million 3.5

  • 18.6
  • 10.4

Operating margin, % 2.3

  • 13.3
  • 1.6

Profit after net financial items, SEK million 4.0

  • 23.3
  • 22.8

Profit per share after tax, SEK

  • 0.06
  • 2.81
  • 3.41

Free cash flow, SEK million 24.1

  • 33.0
  • 38.8

Investments, SEK million 4.9 6.8 32.7 Net debt/Equity ratio, % 17.4 25.2 27.4 Average number of employees 529 556 552

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Q1 2020 VS Q1 2019

2020-04-29 Studsvik Interim Report First Quarter 2020 13

Group EBIT MSEK

Q1 2020 3.5 Q1 2019

  • 18.6

Deviation 22.1 SPECIFICATION OF DEVIATION Improvements in Germany: Price, utilization rate and cost saving 13.2 Re-organization of WMT: Discontinued with loss making business 3.6 Fuel and Material Technology: Stable start of the year 2.9 Scandpower: Stable start of the year 2.4 Deviation 22.1

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CASHFLOW

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FINANCIAL OUTLOOK

  • General: High uncertainties regarding COVID-19

development and potential business delays

  • Fuel and Material Technology
  • Delayed Elekta deliveries (- 7% of order value)

largely compensated by other business

  • pportunities
  • Expected stable operations
  • Scandpower
  • Expected stable business
  • China starts to open again
  • Waste Management Technology
  • On track towards 10 MSEK year on year

improvement

  • Germany
  • On track towards 10 MSEK year on year

improvement despite COVID-19 uncertainties

  • The COVID-19 situation is expected to impact

the EBIT negatively in quarter 2 with 7 MSEK (including financial compensation from the German government)

2020-04-29 Studsvik Interim Report First Quarter 2020 15

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FINANCIAL OUTLOOK, CONTINUED

  • Other potential risks
  • Trade conflicts
  • Issues concerning export control
  • No major restructurings or items

affecting comparability planned for 2020

  • Cash expected to peak beginning of

second quarter and decrease somewhat towards the end of the year

  • Lower investment level 2020 compare

to 2019

2020-04-29 Studsvik Interim Report First Quarter 2020 16

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Studsvik Interim Report First Quarter 2020 17

We turn complicated conditions into

pragmatic solutions

2020-04-29

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2020-04-29 Studsvik Interim Report First Quarter 2020

Thank you!

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