Makes it easier to be professional Q4 2018 report presentation - - PowerPoint PPT Presentation

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Makes it easier to be professional Q4 2018 report presentation - - PowerPoint PPT Presentation

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Makes it easier to be professional Q4 2018 report presentation January 24, 2019 1 Q4: Strong growth and intensified focus on increased profitability Sales Adj. EBITA Sales up by 13% Adj. EBITA to 8 616 MSEK 705 MSEK Gross margin mix

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SLIDE 1

Makes it easier to be professional

Q4 2018 report presentation January 24, 2019 1

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SLIDE 2

Q4: Strong growth and intensified focus on increased profitability

Sales up by 13% to 8 616 MSEK

2

  • Adj. EBITA
705 MSEK
  • Successful growth
initiatives
  • High market activity
  • Positive effect from
acquisitions Strong organic growth at 8% Sales
  • Gross margin mix negative
  • Increased costs due to high activity
  • Cost-savings showing effect in
Sweden
  • Fewer trading days affecting EBITA
with MSEK -34
  • Items affecting comparability of
MSEK -37
  • Adj. EBITA margin
8,2% (9,3)
  • Adj. EBITA
The Board proposes a dividend of SEK 1.84 (1.65) per share for 2018, corresponding to a payout ratio of 50%
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SLIDE 3

Q4: Strong sales growth

Sales bridge – Growth in MSEK and % Sales bridge per market segment – Growth in MSEK and % MSEK MSEK MSEK MSEK MSEK MSEK

3

360 620 148 7 800 8 400 8 000 8 200 8 800 8 600 Q4 2017 Acquisitions Q4 2017 Pf 118 7 606 Trading days Currency Q4 2018 7 966 8 616 Organic +5% +8%
  • 2%
+2% +13%

Sweden +9% / +7% Norway +26% / +9% Finland +20% / +10%

  • Favourable market conditions
  • Construction still strong
despite declining number of housing starts
  • Increased growth rate in
renovation
  • Strong infrastructure and
industry
  • Growth positively affected by
acquisitions and currency

Sales growth / organic +13% / +8%

472 355 8 000 9 000 8 500 Denmark 7 606 Q4 2017 Sweden Norway Finland 9 Q4 2018 8 Other 8 616 166 +6% +5% +2% 0% 0% +13%
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SLIDE 4

Q4: Sales initiatives and increased costs affect the margin

Sales, EBITA and Adj. EBITA margin
  • Adj. EBITA bridge – Growth in MSEK and %
MSEK

4

Sweden 12.0% (12.7) Norway 1.6% (3.4) Finland 2.8% (4.4) Gross margin at 25.9% (27.1)
  • Organic growth with lower margin
EBITA impacted by restructuring costs of MSEK 37 (Norway)
  • Adj. EBITA margin weaker
  • Fewer trading days affecting EBITA
with MSEK -34
  • Increased costs due to high activity
Cost-saving measures further intensified. Positive effect already achieved in Sweden.
  • Adj. EBITA margin

8.2% (9.3)

709 705 274 107 171 200 400 600 800 1 000 Q4 2017 Net sales effect Q4 2018 Gross margin effect Operating expenses +39%
  • 15%
  • 24%
  • 1%
4 6 8 10 12 14 16 2 000 4 000 6 000 8 000 10 000 397 8.2 538 7.3 2016Q1 8.8 2016Q2 9.3 668 2016Q3 9.1 597 8 616 563 2016Q4 8.1 2017Q1 5 880 709 8.4 2017Q2 6 492 554 6 902 9.2 9.2 2018Q2 2017Q3 8 056 7 161 9.3 2017Q4 7.7 8.4 8.7 620 2018Q1 2018Q4 5 480 6 344 6 568 6 818 2018Q3 7 458 560 530 558 678 7 606 Adjusted EBITA margin, % Net sales, MSEK EBITA, MSEK EBITA margin, %
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SLIDE 5

2018: Strong organic growth and several acquisitions

5

Sales bridge – Growth in MSEK and % Sales bridge per market segment – Growth in MSEK and % MSEK MSEK MSEK MSEK MSEK MSEK 1 304 2 148 488 31 000 30 000 32 000 29 000 28 000 2018 Trading days Organic 2018 Pf Acquisitions 27 484 31 291 133 2017 Currency 28 788 +5% +7% 0% +2% +14% 2 134 1 017 28 000 32 000 31 000 30 000 29 000 63 Norway 2018 Other 27 484 61 Sweden 31 291 2017 Finland 533 Denmark +8% +4% +2% 0% 0% +14%

Sweden +12% / 8% Norway +19% / 7% Finland +17% / 7%

  • Strong organic sales growth
  • Significant contribution from
acquisitions
  • Underlying market conditions still
strong
  • Construction activity still
high, despite declining number of housing starts
  • Growth rate in renovation
increased in H2
  • Industry remained strong
  • Good development in
infrastructure

Total sales growth / organic +14% / 7%

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SLIDE 6

2018: Adj. EBITA up by 8% driven by strong sales

  • Strong growth in customer and
product segments with lower gross margin
  • Profitability level for acquisitions in
line with group
  • Increased costs for handling high
volumes in Norway
  • Operating expenses in % of sales
in line with last year
  • Adj. EBITA margin

8.3% (8.8)

  • Adj. EBITA bridge – Growth in MSEK and %

6 Sweden

+14%

Norway

+15%

Finland

+7%

Sweden 11.8% (12.2) Norway 2.6% (3.3) Finland 3.4% (4.0)

2 405 2 587 1 028 677 1 000 2 000 3 000 4 000 2017 Net sales effect 169 Gross margin effect Operating expenses 2018 +43%
  • 7%
  • 28%
+8% Sales, EBITA and Adj. EBITA margin 2 4 6 8 10 12 14 16 5 000 10 000 15 000 20 000 25 000 30 000 35 000 8.3 2 394 31 291 2017 1 837 2015 8.7 2 058 2016 8.8 8.3 2 520 2018 22 586 24 606 27 484
  • Adj. EBITA margin, %
Net sales, MSEK EBITA margin, % EBITA, MSEK
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SLIDE 7

2018: 9 acquisitions announced, of which 8 finalised

7

Swedish acquisitions 2018: MSEK 306 Norwegian acquisitions 2018: MSEK 545 Finnish acquisitions 2018: MSEK 35 (Another MSEK 75 in 2019) Acquired revenues for Ahlsell Group 2018: MSEK 886 (Another MSEK 75 finalised in 2019) ~Annual revenues
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SLIDE 8

Sweden – Highlights Q4

Continued high market activity in all segments
  • Growth 9%, of which 7% organic
  • Remained strong demand in construction and industry
  • Further strengthened positions
  • Adj. EBITA margin at 12.0% (12.7)
  • Strong organic growth
  • Diluting effect from acquisitions
  • Gross margin somewhat weaker
  • Costs as a proportion of sales lower than previous year
Further efficiency measures
  • Initiated cost-savings gave effect by the end of Q4
  • MSEK 90 in savings expected in 2019

8

Sales, EBITA and EBITA margin 522 451 573 510 537 515 651 545 605 535 671 4 6 8 10 12 14 16 18 20 22 1 000 2 000 3 000 4 000 5 000 6 000 4 758 4 484 4 102 2016Q1 10.9 2018Q3 12.2 2017Q2 2016Q2 391 12.7 12.2 2016Q3 12.7 4 672 12.0 2016Q4 2017Q1 12.0 5 140 2017Q3 3 572 12.7 4 202 2017Q4 11.5 2018Q2 2018Q1 11.7 12.1 3 699 4 501 4 261 5 612 5 180 2018Q4 12.0
  • Adj. EBITA margin, %
Net sales, MSEK EBITA, MSEK EBITA margin, % Sales bridge – Growth in MSEK and % 387 175 91 5 800 5 600 5 200 5 400 5 612 5 140 2018Q4 Trading days Acquisitions Organic 2017Q4 +7% +4% +-2% +9%
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SLIDE 9

Norway – Highlights Q4

Strong growth and strengthened market position
  • Growth 26%, of which 9% organic
  • High market activity
  • Strong sales towards infrastructure, construction and industry
  • Acquisitions and currency contributed positively
  • Sprinkler operations acquired from Øglænd System
(MSEK 45)
  • Adj. EBITA margin at 1.6% (3.4)
  • Additional volumes with lower gross margin
  • High activity level led to higher costs in logistics and transport
Cost-saving measures are intensified
  • Intensifying our focus on improved sales mix and profitability
  • Restructuring costs of MSEK 37 to reduce cost and improve
efficiency
  • Annual savings of MSEK 60 are expected in 2019

9

Sales, EBITA and EBITA margin
  • 1
1 2 3 4 5 6 7 8 9 10
  • 500
500 1 000 1 500 2 000 2017Q1 1.8 2016Q1 2018Q3 2016Q4 53 2018Q1 1.2 3.7 13 65 2.0 1 082 25 2016Q2 1 375 5.1 2016Q3 51 2.8 39 1 393 50 2.0 1 555 1 185 26
  • 8
2017Q2 3.6 5.2 2017Q3 1 312 3.4 48 2017Q4 25 60 2018Q2 3.2 1.6 2018Q4 1 267 1 390 1 254 1 389 1 674 1 748
  • Adj. EBITA margin, %
Net sales, MSEK EBITA, MSEK EBITA margin, % Sales bridge – Growth in MSEK and % 135 161 86 100 1 800 1 400 1 500 1 700 1 600 2017Q4 1 748 27 Acquisitions Organic Trading days 1 393 2018Q4 Currency +9% +13%
  • 2%
+6% +26%
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SLIDE 10

Finland – Highlights Q4

Strong growth at 20%
  • 10% organic growth and strengthened positions
  • All product segments developed well
  • Strong sales development towards several customer
segments
  • PJ-Control Oy acquired with MSEK ~75 in annual sales
EBITA margin at 2,8% (4,4)
  • Gross margin was somewhat lower
  • Costs as a proportion of sales in line with previous year

10

Sales, EBITA and EBITA margin 1 2 3 4 5 6 7 8 9 10 200 400 600 800 1 000 1 200 651 2018Q4 3.2 813 1.5 1 014 2016Q3 34 21 2017Q3 4.0 824 14 28 10 2016Q1 53 4.3 2017Q4 2016Q2 5.7 45 2017Q1 3.1 979 2018Q2 25 2016Q4 1.9 5.4 2017Q2 789 787 5.6 45 4.4 2.8 37 2.0 727 16 848 2018Q1 30 2018Q3 812 803 937 Net sales, MSEK
  • Adj. EBITA margin, %
EBITA, MSEK EBITA margin, % Sales bridge – Growth in MSEK and % 90 23 53 900 1 050 950 150 1 000 850 Acquisitions Currency 2017Q4 Organic 848 Trading days 2018Q4 1 014 +10% +3% +0% +6% +20%
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SLIDE 11

Denmark and Other - Highlights Q4

Denmark
  • Sales up 9%, of which 6% organic
  • Organic growth in both refrigeration and DIY, however
growth rate for refrigeration has declined somewhat y-oy as a result of reduced refrigerant prices
  • EBITA margin at 7.8% (12.9), weakened by reduced
refrigerant margins Other
  • Total sales growth of 7%, of which organic 2%
  • Organic growth in both the Polish and Estonian operations
  • EBITA margin at 1.5% (2.5)

11

13 20 19 5 10 15 20 25 20 40 60 80 100 120 140 9.4 10 11 8 7 2018Q3 7.9 12.5 2016Q1 112 101 9 8 2016Q2 10.3 11.6 10 2016Q3 6 7.3 122 2016Q4 8.8 2017Q1 2017Q2 11 2017Q3 12.9 2017Q4 11.3 107 2018Q1 7.8 2018Q2 17.1 96 93 95 16.0 88 100 89 98 2018Q4 88 EBITA margin, % Net sales, MSEK
  • Adj. EBITA margin, %
EBITA, MSEK Sales, EBITA and EBITA margin Sales, EBITA and EBITA margin 50 100 150 0.0 2.0 1.0 6.0 4.0 3.0 5.0 5 134 1.1 2016Q1 1 120 2 3.3 1.9 126 6 2016Q2 4.1 4 3.7 93 2018Q3 1.1 2016Q3 1.5 2 1.8 3.4 2016Q4 2017Q4 1 2017Q1 109 3 2 2.3 2017Q2 115 2018Q2 2 3 2.5 2018Q1 5 110 2017Q3 95 135 143 141 2018Q4 1.5 82 EBITA margin, % Net sales, MSEK
  • Adj. EBITA margin, %
EBITA, MSEK
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SLIDE 12

Financials

12

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SLIDE 13 Net sales 2011 – 2018 (SEKbn) Profitability 2011 – 2018 (SEKbn) Cash conversion 2011 – 2018 (Operating cash flow / EBITDA)

Sales, profitability and cash conversion

20,4 20,6 20,4 21,8 22,6 24,6 27,5 31,3 5 10 15 20 25 30 35 2011 2012 2013 2014 2015 2016 2017 2018 Net Sales 8,0% 7,8% 8,8% 8,1% 8,3% 8,7% 8,8% 8,3% 600 1 200 1 800 2 400 3 000 2011 2012 2013 2014 2015 2016 2017 2018 0% 2% 4% 6% 8% 10%
  • Adj. EBITA
  • Adj. EBITA margin
EBITA margin 72% 91% 112% 90% 92% 90% 78% 81% 0% 15% 30% 45% 60% 75% 90% 105% 120% 2011 2012 2013 2014 2015 2016 2017 2018 Cash conversion Target

13

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SLIDE 14

Other performance measures

2018 2017 Jan-Dec Jan-Dec Leverage External net debt/Adjusted EBITDA 2.4 2.6 Equity/Assets ratio, % 38 36 Investments, % of sales 0.9 0.8 Average working capital, % of sales 10.0 8.8 Return on operating capital, % excluding intangible fixed assets 63 73 Return on equity, % 17 17 Return on working capital % 81 99 Basic earnings per share, SEK 3.68 3.28 Dividend 1,84* 1.65

14

* As proposed by the Board
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SLIDE 15

Financial targets and outcome

* Operating cash flow / EBITDA ** Net debt / Adj. EBITDA

15

4 9 12 12 3 4 7 5 2015 2016 2018 2017 Ahlsell sales growth, % Market growth, % Total sales growth* +2-3% above market
  • Adj. EBITA margin
Continuous increase 8,3 8,7 8,8 8,3 8,1 8,4 8,7 8,1 2016 2017 2015 2018
  • Adj. EBITA margin, %
EBITA margin, % Cash conversion rate** Above 90% over time 92 90 78 81 2015 2016 2017 2018 Cash conversion rate, RTM, % Target, % Leverage*** 2-3x 3,9 3,3 2,6 2,4 2016 2015 2017 2018 Net debt ratio, RTM Pay out ratio 40-60% of net profit 0,35 1,65 1,84 0,0 0,5 1,0 1,5 2,0 2,5 3,0 3,5 4,0 2018 2015 3,28 2016 1,11 2017 0,21 3,68 DPS, SEK EPS, SEK, RTM 40% 50% Target * Organic and acquired growth ** Cash conversion rate: Operating cash flow/EBITDA *** Net debt/adjusted EBITDA Pay out ratio, % Dividend 2018 as proposed by the board 50%
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SLIDE 16

Overall, I expect good demand and continuing growth for 2019, albeit at a somewhat lower level than in recent years

“

Near term outlook

16

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SLIDE 17

Q&A

17

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SLIDE 18

Appendix

18

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SLIDE 19

Q4 overview

19

Sales, EBITA and Adj. EBITA margin Organic growth, %
  • 15
  • 10
  • 5
5 10 15 2015Q1 9% 2014Q4 2014Q1 2014Q2 2014Q3 2015Q3 2015Q2 2015Q4 2016Q1 2016Q2 2016Q3 2016Q4 2017Q1 2018Q4 2017Q2 2017Q3 2017Q4 2018Q2 2018Q1 2018Q3 8% 7% 10% Finland Group Sweden Norway 4 6 8 10 12 14 16 2 000 4 000 6 000 8 000 10 000 7.3 7 606 709 8 056 397 2016Q1 8.8 560 563 538 2016Q2 6 344 9.3 2016Q3 9.3 9.1 2016Q4 5 880 8.1 9.2 530 8.4 2017Q1 6 568 9.2 8.4 558 2017Q2 597 668 2017Q3 2017Q4 7.7 2018Q1 554 5 480 6 818 2018Q2 8.7 6 492 2018Q3 620 678 6 902 7 458 2018Q4 8.2 8 616 7 161 EBITA, MSEK Adjusted EBITA margin, % Net sales, MSEK EBITA margin, % 2018 2017 2018 2017 Oct-Dec Oct-Dec change Jan-Dec Jan-Dec change Net sales, MSEK 8,616 7,606 13% 31,291 27,484 14% Organic growth, % 8% 11% 7% 9% Operating profit, EBIT 571 620
  • 8%
2,138 2,043 5% Profit (EBITA), MSEK 668 709
  • 6%
2,520 2,394 5% Adjusted EBITA, MSEK 705 709
  • 1%
2,587 2,405 8% EBITA margin, % 7.8% 9.3% 8.1% 8.7% Adjusted EBITA margin, % 8.2% 9.3% 8.3% 8.8% Profit after tax (profit for the period), MSEK 383 462
  • 17%
1,582 1,428 11% Basic earnings per share, SEK 0.89 1.07 3.68 3.28 Diluted earnings per share, SEK 0.89 1.07 3.68 3.28 Operating cash flow 1,476 1,385 7% 2,201 1,991 11% Operating cash flow/EBITDA (Cash conversion) 81% 78% External net debt/Adjusted EBITDA 2.4 2.6
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SLIDE 20

Condensed Income Statement

20

2018 2017 2018 2017 MSEK Oct-Dec Oct-Dec Jan-Dec Jan-Dec Net sales 8,616 7,606 31,291 27,484 Cost of goods sold
  • 6,386
  • 5,543
  • 23,010
  • 20,062
Gross profit 2,230 2,063 8,281 7,423 Selling expenses
  • 1,533
  • 1,344
  • 5,688
  • 4,962
Administration expenses
  • 144
  • 112
  • 522
  • 455
Other operating income and expenses 18 12 67 38 Operating profit, EBIT 571 620 2,138 2,043 Net financial items
  • 48
  • 45
  • 184
  • 209
Profit before tax 523 575 1,954 1,834 Income tax
  • 140
  • 113
  • 372
  • 406
Profit/loss for the period 383 462 1,582 1,428 Attributable to
  • wners of the parent company
383 462 1,582 1,428 Non-controlling interests – – – – Basic earnings per share, SEK 0.89 1.07 3.68 3.28 Diluted earnings per share, SEK 0.89 1.07 3.68 3.28
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SLIDE 21

Condensed Balance Sheet

21

2018 2017 MSEK 31 Dec 31 Dec ASSETS Customer relationships 2,782 2,929 Trademark 3,837 3,837 Goodwill 7,767 7,206 Other intangible assets 160 136 Property, plant and equipment 936 853 Financial assets 70 10 Deferred tax assets 10 8 Total non-current assets 15,564 14,980 Inventories 4,132 3,888 Trade receivables 3,720 3,491 Other receivables 1,321 1,220 Cash and cash equivalents 1,248 1,295 Total current assets 10,422 9,894 TOTAL ASSETS 25,986 24,874 2018 2017 MSEK 31 Dec 31 Dec EQUITY AND LIABILITIES Equity 9,976 9,004 Non-current interest-bearing liabilities 6,380 7,934 Provisions 65 55 Deferred tax liabilities 1,515 1,494 Other non-current liabilities 21 29 Total non-current liabilities 7,982 9,512 Current interest-bearing liabilities 1,583 51 Trade payables 5,298 5,218 Provisions 53 10 Other current liabilities 1,094 1,079 Total current liabilities 8,028 6,358 TOTAL EQUITY AND LIABILITIES 25,986 24,874
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SLIDE 22

Condensed Cash Flow Statement

22

2018 2017 2018 2017 MSEK Oct-Dec Oct-Dec Jan-Dec Jan-Dec Profit after financial items 523 575 1,954 1,834 Adjustments for non-cash items 170 126 596 563 Tax paid
  • 69
71
  • 393
  • 203
Cash flow from operating activities before changes in working capital 625 772 2,157 2,193 Change in inventories 190
  • 33
1
  • 489
Change in operating receivables 979 554
  • 180
  • 547
Change in operating liabilities
  • 339
184
  • 79
703 Cash flow from changes in working capital 830 705
  • 257
  • 333
Cash flow from operating activities 1,454 1,477 1,899 1,861 Cash flow from acquisition of assets, liabilities and operations
  • 10
  • 234
  • 763
  • 346
Other cash flow from investing activities
  • 95
15
  • 288
  • 195
Cash flow from investing activities
  • 105
  • 218
  • 1,051
  • 541
Cash flow before financing activities 1,349 1,258 848 1,320 Dividend paid – –
  • 708
  • 153
Issued warrants – – 1 – Repurchase of shares –
  • 369
–
  • 369
Proceeds from borrowings – – 1,625 999 Repayment of borrowings
  • 1,224
  • 206
  • 1,815
  • 1,712
Cash flow from financing activities
  • 1,224
  • 575
  • 897
  • 1,235
CASH FLOW FOR THE PERIOD 125 683
  • 49
86 Cash and cash equivalents at beginning of period 1,126 613 1,295 1,209
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SLIDE 23 GDP growth Per country, fixed prices, calendar-adjusted 4,2 2,4 2,4 2,3 1,3 1,5 1,8 0,9 2,4 1,7 2,0 2,0 0,1 2,5 2,8 2,3 1,7 1,6 0,5 1 1,5 2 2,5 3 3,5 4 4,5 2015 2016 2017 2018e 2019e 2020e Sweden Norway Finland Total construction investments Infrastructure, residential and commercial, index 2015=100

Market development

23

GDP: Konjunkturinstitutet 2019-01-21, konj.se 100 100 100 109 109 110 118 118 118 120 122 120 117 20 40 60 80 100 120 140 Sweden Norway Finland 2015 2016 2017 2018e 2019e PMI & Confidence levels Q4, end December, seasonally adjusted Confidence levels for Sweden and Finland: Dec 2018 vs 2017: European Comission 2019-01-21 Confidence levels for Norway: Statistics Norway 2018-10-25 PMI: Sweden: Swedbank and Silf. Norway: DNB and Nima Sweden PMI 52 (59) Industry confidence: +17 (+16) Construction confidence: +6 (+6) Norway PMI 56 (58) Industry confidence: +9 (+4) Finland Industry confidence: +3 (+18) Construction confidence: +7 (+7) Construction investments: The Swedish Construction Federation. For Norway and Finland: ”Nordisk Byggkonjunktur 2017-2018” - 2018-01-24. For Sweden: ”Byggkonjunkturen” 2018-10-24
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SLIDE 24

Top 30 shareholders

2018-12-31 sorted by Euroclear’s official share register

24

31% 33% 12% 15% 9% % of capital Sweden Luxembourg UK US Other Investor Name Position % 1 KERAVEL S.A.R.L 109 578 323 25,1% 2 SEB Investment Management 21 700 745 5,0% 3 CBNY Norges Bank 21 004 907 4,8% 4 JPM Chase NA 18 763 806 4,3% 5 AMF - Försäkring och Fonder 15 563 072 3,6% 6 STATE STREET BANK AND TRUST CO, W9 13 701 429 3,1% 7 ALECTA PENSIONSFORSAKRING, OMSESIDIGT 12 260 000 2,8% 8 JP MORGAN BANK LUXEMBOURG S.A. 11 401 219 2,6% 9 Handelsbanken Fonder 10 439 000 2,4% 10 CBLUX-THREADNEEDLE (LUX) 9 950 730 2,3% 11 BNY MELLON SA/NV (FORMER BNY), W8IMY 8 523 881 2,0% 12 RBC INVESTOR SERVICES BANK S.A., W8IMY (W.P.R) 8 217 272 1,9% 13 Tredje AP-fonden 7 716 762 1,8% AHLSELL AB 7 000 000 1,6% 14 MORGAN STANLEY AND CO LLC, W9 6 038 080 1,4% 15 CBLDN-400 SERIES FUNDS-CLIENT AC 5 405 892 1,2% 16 Swedbank Robur fonder 5 087 654 1,2% 17 KIRKBI INVEST A/S 5 083 797 1,2% 18 EUROCLEAR BANK S.A/N.V, W8-IMY 4 974 222 1,1% 19 Lannebo fonder 4 970 500 1,1% 20 JP Morgan Bank Luxembourg 4 072 922 0,9% 21 Folksam 3 981 319 0,9% 22 Länsförsäkringar fondförvaltning AB 3 878 491 0,9% 23 JP MORGAN SCEURITIES LLC 3 831 169 0,9% 24 Andra AP-fonden 3 820 102 0,9% 25 JPMORGAN CHASE N.A 3 750 000 0,9% 26 BNY MELLON SA/NV (FORMER BNY), W8IMY 3 408 289 0,8% 27 Credit Suisse sceurities USA 3 331 717 0,8% 28 SKANDINAVISKA ENSKILDA BANKEN S.A. 3 289 745 0,8% 29 PROFUN FÖRVALTNINGS AB 2 800 000 0,6% 30 SKARVHAGEN FÖRVALTNINGS AB 2 700 000 0,6% Other 90 057 142 20,6%
slide-25
SLIDE 25

Trading days

2017 Q1 Q2 Q3 Q4 H1 H2 FY Sweden 64 59 65 63 123 128 251 Norway 65 58 65 63 123 128 251 Finland 64 60 65 62 124 127 251 Denmark 65 58 65 63 123 128 251 2018* Q1 Q2 Q3 Q4 H1 H2 FY Sweden 63 60 65 62 123 127 250 Norway 62 60 65 62 122 127 249 Finland 63 61 65 62 124 127 251 Denmark 62 60 65 62 122 127 249 2019* Q1 Q2 Q3 Q4 H1 H2 FY Sweden 63 59 66 62 122 128 250 Norway 63 58 66 62 121 128 249 Finland 63 60 66 62 123 128 251 Denmark 63 58 66 62 121 128 249

25

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SLIDE 26

Merger & Acquisitions 2017-present

Closing Acquisitions Country Product segment Annual sales SEK milliona Number of employeesb Rationale 28/02/2017 G-ESS Yrkeskläder AB Sweden Tools & Supplies 120 37 Strengthen position in professional workwear in the Stockholm area 02/05/2017 C.J. Järn & Maskin AB Sweden Tools & Supplies 46 18 Strengthens position in the region of Vårgårda. Good opportunities for cross-selling to mainly industrial customers 01/06/2017 Svensk Industri & Kommunservice AB Sweden Tools & Supplies 55 13 Attractive customer base with many customers within public administration. Broaden offer in PPE 02/10/2017 Lenson Elektro AS Norway Electrical 23 5 Increase exposure to electrical installations such as power, lighting and climate 01/11/2017 ViaCon VA (assets and liabilities) Sweden HVAC & Plumbing 320 81 Valuable expertise in Water & Sewage operations. Strengthens initiatives to attractive customer segments 01/12/2017 Gehås AB (assets and liabilities) Sweden Tools & Supplies 15 6 Strengthen position within PPE in Värmland 04/12/2017 Infästningsspecialisten Göteborg AB Sweden Tools & Supplies 28 8 Strong position within fastening solutions and related tools to SME customers 28/12/2017 Nordic Sprinkler AB, Enexia AB, Prepipe Construction AB Sweden HVAC & Plumbing 80 21 Ahlsell is a relatively small player in sprinkler systems, and the acquisition will strengthen our presence 28/12/2017 Enexia Oy Finland HVAC & Plumbing 40 8 Same as Nordic Sprinkler 29/12/2017 Jobline i Umeå AB Sweden Tools & Supplies 26 8 Strengthen position within PPE in Umeå and surroundings, north of Sweden 29/12/2017 SAFE Workwear Sweden AB Sweden Tools & Supplies 24 9 Safe Workwear strengthens our presence in both Stockholm and the region of Mälardalen 16/01/2018 Proffsmagasinet AB Sweden Tools & Supplies 260 50 Leading Nordic e-commerce business - we get further knowledge on new ways of meeting professional customers 01/02/2018 HMK i Västerås AB Sweden Tools & Supplies 16 8 Wide range of well-known brands in workwear and personal protection in Västerås 02/02//2018 Bekken & Strøm AS Norway Tools & Supplies 415 160 Leading Norwegian supplier of workwear and PPE 02/05/2018 Sentrum Motor och Verktøy AS Norway Tools & Supplies 40 9 Gives Ahlsell a strong foothold in Tools & Supplies and improves the conditions for growth within HVAC & Plumbing in the Finnmark region 31/05/2018 Bygg & IndustriPartner Skaraborg AB Sweden Tools & Supplies 30 7 Strengthen position in tools and supplies in Skövde with surroundings 02/07/2018 Kahipa Oy Finland HVAC & Plumbing 35 8 Gain specialist competence within HVAC brackets in Southern parts of Finland 03/09/2018 Bygg & Industrisalg AS Norway Tools & Supplies 45 13 Strengthens the PPE presence in the region around Stavanger 01/11/2018 Øglænd System Norway Tools & Supplies 45 8 Gain competence and relevance in sprinkler systems in Norway 03/12/2018 DIVESTMENT: Ahlsell Maskin AB Sweden Tools & Supplies
  • 80
  • 26
The company became a part of Ahlsell through the acquisition of Tibnor Industrivaruhus in 2001 and is not considered to be an Ahlsell core business 03/01/2019 PJ Control Finland Electrical 75 5 Strengthens Ahlsell’s position in elctrical components within industrial automation

26

2017: 777 MSEK acquired 2018: 886 MSEK acquired 80 MSEK divested Full list of acquisitions can be found on www.ahlsell.com 2019 YTD: 75 MSEK acquired
slide-27
SLIDE 27

Introduction to the presenting team

  • Appointed Group CEO in 2015
  • CEO Ahlsell Sweden 2008-2015
  • Joined Ahlsell in 2008
  • Previously: CCO of Sanitec,
CEO of IFÖ Sanitär and IDO
  • Joined Ahlsell in 2014
  • Held equivalent positions with
Indutrade, Addtech and Bergman & Beving

Johan Nilsson

CEO

Kennet Göransson

CFO

27 Karin Larsson

Head of IR
  • Joined Ahlsell in 2017
  • Previous positions: IRO at Atlas
Copco Stockholm, equity sales at SEB Enskilda and Barclays capital, Frankfurt
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Disclaimer

Some statements are forward-looking and the actual outcome can be different. In addition to the factors explicitly commented upon, the actual outcome may be affected by other factors such as macroeconomic conditions, movements in foreign exchange- and interest-rates, political risks, competitor behaviour, supply- and IT-disturbances. 28