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

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

Jun 01, 2023 183 likes •359 views

INTERIM REPORT SECOND QUARTER 2020 CEO Camilla Hoflund and CFO Claes Engvall July 21, 2020 STUDSVIK IN BRIEF Key customers Nuclear industry Utilities, Vendors, Research Organizations and Regulators Radio isotope industry The

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SLIDE 1

INTERIM REPORT SECOND QUARTER 2020

CEO Camilla Hoflund and CFO Claes Engvall July 21, 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
  • 525 employees
  • Global presence

2020-07-21 Studsvik Interim Report Second 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 Second Quarter 2020 3 2020-07-21

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SLIDE 4

CURRENT SITUATION – COVID-19

2020-07-21 Studsvik Interim Report Second Quarter 2020 4

  • General statement
  • Peoples health is our highest priority
  • We apply national regulations and recommendations
  • Quarter 2
  • Staff in Germany were in full utilization at the end of the period
  • The Swedish facilities at Studsvik site were in full operation
  • Working remotely for most of the employees
  • Negative impact 5 MSEK for the German operations (totally 8 MSEK in 2020)
  • Main risks going forward
  • Temporary shutdowns in Germany
  • Shutdown of hot cell facilities in Sweden
  • Delay of new orders due to long term travel restrictions
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SLIDE 5

2020-07-21 Studsvik Interim Report Second Quarter 2020

Q2 2020 STUDSVIK – IN SUMMARY

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April- June 2020 April- June 2019 January- June 2020 January- June 2019 Full year 2019

Sales, MSEK 167.8 160.3 320.7 300.2 654.0 Adjusted operating profit/loss , MSEK 9.6

  • 1.8

13.1

  • 20.4

4.4 Operating profit/loss, MSEK 9.6

  • 8.1

13.1

  • 26.7
  • 10.4

Operating profit/loss after tax, MSEK 8.2

  • 10.8

7.7

  • 33.9
  • 28.0

Free cashflow, MSEK 11.0

  • 14.9

35.1

  • 47.9
  • 38.8
  • Overall improved finance

performance despite COVID-19

  • Improved operating margin 5.7 %

(at 8.7 % excl COVID-19 impact in the German operations 5 MSEK) The Group’s total available cash:

  • March 31, 2020 (Q1) 92 MSEK
  • June 30, 2020 (Q2) 97 MSEK
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SLIDE 6

Q2 2020 FUEL- & MATERIALS TECHNOLOGY

2020-07-21

April-June 2020 April-June 2019 January- June 2020 January- June 2019 Full year 2019

Sales, MSEK 61.2 52.2 108.3 94.6 200.1 Operating profit, MSEK 12.3 14.9 15.5 15.2 25.3 Operating profit margin, % 20.1 28.5 14.3 16.1 12.6 Investments, MSEK 3.1 9.0 5.8 14.1 22.9 Average number of employees 110 103 110 103 104

Highlights

  • Expansion on the Chinese

market

  • Increased business with

customers in Asia and Russia

  • High and stable utilization in

the operations Outlook

  • Medical isotope production

will start up Q1 2021

  • Norway NND fuel:
  • Signing expected in Q3 (max

150 MNOK over 13 years)

  • Possibilities for expansion

Studsvik Interim Report Second Quarter 2020 6

Percentage of net sales: 36 %

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SLIDE 7

April-June 2020 April-June 2019 January- June 2020 January- June 2019 Full year 2019

Sales, MSEK 13.6 13.5 26.0 29.8 56.8 Adjusted operating profit/loss, MSEK 2.7

  • 5.6

0.8

  • 11.1
  • 19.6

Operating profit/loss, MSEK 2.7

  • 11.1

0.8

  • 16.6
  • 33.6

Operating profit/loss margin, % 19.9

  • 82.2

3.1

  • 55.7
  • 59.2

Investments, MSEK 0.6 0.5 2.4 0.9 4.2 Average number of employees 33 45 31 48 46

Q2 2020 WASTE MANAGEMENT TECHNOLOGY

2020-07-21 Studsvik Interim Report Second Quarter 2020 7

Highlights

  • Increased profit due to

efficiencies activities

  • Increased utilization of high

margin engineering business Outlook

  • Strong customer interest in new

waste concept inDRUM (COVID- 19 is slowing down the progress)

  • Potential for additional

engineering business

Percentage of net sales: 8 %

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SLIDE 8

Q2 2020 SCANDPOWER

2020-07-21 Studsvik Interim Report Second Quarter 2020

April-June 2020 April-June 2019 January- June 2020 January- June 2019 Full year 2019

Sales, MSEK 20.8 25.0 50.5 49.3 130.1 Operating profit/loss, MSEK

  • 1.7
  • 3.5

1.7

  • 2.5

13.0 Operating profit margin, %

  • 8.2
  • 14.0

3.4

  • 5.1

10.0 Investments, MSEK 0.5 0.1 0.6 0.3 1.3 Average number of employees 35 34 35 34 35

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Highlights

  • No major license sale in the

period

  • Improved performance of

engineering services Outlook

  • Good potential for major

license sales

  • Continued strong interest on

US home market and Asia

Percentage of net sales: 12 %

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SLIDE 9

2020-07-21 Studsvik Interim Report Second Quarter 2020

Q2 2020 GERMANY

April-June 2020 April-June 2019 January- June 2020 January- June 2019 Full year 2019

Sales, MSEK 69.8 71.1 129.3 123.3 263.0 Operating profit/loss, MSEK 0.5

  • 2.3

1.8

  • 14.2
  • 1.0

Operating profit/loss margin, % 0.7

  • 3.2

1.4

  • 11.5
  • 0.4

Investments, MSEK 0.3 0.1 0.4 0.1 1.7 Average number of employees 328 360 328 376 349

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Outlook

  • COVID-19 development is

constantly monitored

  • Full order book for 2020

Highlights

  • Major profit improvement first

6 month including 8 MSEK COVID-19 impact

  • Peak period with on-going

revision work

Percentage of net sales: 42 %

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SLIDE 10

FINANCIAL HIGHLIGHTS

  • Quarterly EBIT at 9.6 MSEK
  • No items affecting comparability
  • Solid development of the Group free

cash flow strengthening our financial position including net debt/equity ratio

  • During first half year the financial

impact from COVID-19 was 8 MSEK

2020-07-21 Studsvik Interim Report Second Quarter 2020 10

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SLIDE 11

STUDSVIK GROUP EARNINGS

2020-07-21 Studsvik Interim Report Second Quarter 2020 11

April- June 2020 April- June 2019 January- June 2020 January- June 2019 Full year 2019 Sales, SEK million 167.8 160.3 320.7 300.2 654.0 Operating profit, SEK million 9.6

  • 8.1

13.1

  • 26.7
  • 10.4

Operating margin, % 5.7

  • 5.1

4.1

  • 8.9
  • 1.6

Profit after net financial items, SEK million 7.8

  • 9.2

11.8

  • 32.5
  • 22.8

Profit per share after tax, SEK 1.00

  • 1.31

0.94

  • 4.12
  • 3.41

Free cash flow, SEK million 11.0

  • 14.9

35.1

  • 47.9
  • 38.8

Investments, SEK million 4.7 10.6 9.6 17.4 32.7 Net debt/Equity ratio, % 16.2 31.2 16.2 31.2 27.4 Average number of employees 525 561 523 579 552

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SLIDE 12

Q2 2020 VS Q2 2019

2020-07-21 Studsvik Interim Report Second Quarter 2020 12

Group EBIT MSEK

Q2 2020 9.6 Q2 2019

  • 8.1

Deviation 17,7 SPECIFICATION OF DEVIATION Re-organization of WMT: Discontinued with loss making business (NRI 2019 at 5,5 MSEK) 13,8 Improvements in Germany: Improved customer contracts, utilization rate and cost saving 2,8 Scandpower: Improved base business 1,8 Fuel and Material Technology: Stable profit despite Elekta delays

(dissolved provision of 10 MSEK during Q2-2019)

  • 2,6

Other (NRI 2019 at 0,8 MSEK) 1,9 Deviation 17,7

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SLIDE 13

CASHFLOW

2020-07-21 13 Studsvik Interim Report Second Quarter 2020

January-June 2020 January-June 2019 Full year 2019

EBIT 13.1

  • 26.7
  • 10.4

Change in working capital 15.5 12.6 14.9 Cash flow from investments 3.8

  • 11.0
  • 25.3

Financial items

  • 2.2
  • 4.5
  • 9.2

Tax paid

  • 3.6
  • 7.0
  • 9.7

Other 8.5

  • 11.3

0.9 Free cash flow 35.1

  • 47.9
  • 38.8
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SLIDE 14

FINANCIAL OUTLOOK

  • Still high uncertainties regarding

COVID-19 development and potential business delays

  • Fuel and Material Technology
  • Elekta deliveries delayed until Q1-2021 affection

2020 sales with around 30 MSEK

  • Expected stable operations
  • Scandpower
  • Expected stable business for the full year
  • Waste Management Technology
  • Well on track towards 10 MSEK year on year

EBIT improvement

  • Germany
  • On track towards 10 MSEK year on year EBIT

improvement

2020-07-21 Studsvik Interim Report Second Quarter 2020 14

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SLIDE 15

FINANCIAL OUTLOOK, CONTINUED

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

affecting comparability planned for 2020

  • Cash level expected to decrease

somewhat towards the end of the year

  • Lower investment level 2020

compared to 2019

2020-07-21 Studsvik Interim Report Second Quarter 2020 15

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SLIDE 16

2020-07-21 Studsvik Interim Report Second Quarter 2020

Thank you!

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