Q2 2018 Presentation July 20, 2018 Our Focus and Offerings We - - PowerPoint PPT Presentation

▶
q2 2018 presentation
SMART_READER_LITE
LIVE PREVIEW

Q2 2018 Presentation July 20, 2018 Our Focus and Offerings We - - PowerPoint PPT Presentation

Mar 21, 2023 226 likes •472 views

Q2 2018 Presentation July 20, 2018 Our Focus and Offerings We develop, sell and deliver innovative technical solutions to create superior value by impro roving p perform rmance and reducing r risk . Focus o on products and s services w

slide-1
SLIDE 1

July 20, 2018

Q2 2018 Presentation

slide-2
SLIDE 2

Focus o

  • n products and s

services w within: :

  • Fuel and materials testing
  • Fuel and reactor management software
  • Life cycle management of nuclear and radioactive hazards

We develop, sell and deliver innovative technical solutions to create superior value by impro roving p perform rmance and reducing r risk.

Our Focus and Offerings

2018-07-20 2 Interim Report Second Quarter 2018

slide-3
SLIDE 3

Global Nuclear Power Market

  • Western Europe, the USA and Japan: cost pressure from alternative sources of energy
  • Life extension programs instead of new build
  • Decommissioning of older plants
  • Delayed new build of nuclear plants in Finland, UK and France
  • Germany: phasing out
  • Russia: significant expansion in plans to export Russian nuclear technology with the largest

number of new plant builds planned worldwide

  • China, South Korea, Taiwan: expansion and deployment of nuclear technology
  • China builds a large number of nuclear plants
  • China and Korea plans to export their own nuclear technology globally
  • Korea developing a decommissioning program to phase out Korean nuclear plants
  • Taiwan preparing for decommissioning
  • The Middle East: planning and constructing new nuclear plants
  • UAE building four new reactors
  • Saudi Arabia and Jordan planning new nuclear builds

2018-07-20 Interim Report Second Quarter 2018 3

slide-4
SLIDE 4

Group offerings matching growth opportunities

Opportunities for Studsvik

  • Supporting Russian, Chinese and South Korean

export of nuclear technology:

  • Provide expertise in qualification of

nuclear technology

  • Demand for internationally recognized

expertise and strong brands

  • Decommissioning programs based on

experience and proven technology:

  • Waste technologies
  • Interim and final disposal solutions
  • Engineering services
  • Supporting software

Studsvik Group Offerings

  • Nuclear Technology Transfer providing an

integrated offering supporting:

  • Fuel development
  • Decommissioning
  • Waste treatment technologies and

engineering services

  • Conditioning of spent fuel
  • Interim and final storage studies

2018-07-20 Interim Report Second Quarter 2018 4

slide-5
SLIDE 5

Broaden our services to other industries

  • Using Studsvik extensive experience in the nuclear sector to develop

profitable applications outside the nuclear power market

  • Automated manufacturing and handling of nuclear isotopes used

in medical instruments and industrial applications

  • Waste management of nuclear material associated with the oil

and mining industry (Naturally Occurring Radioactive Material, NORM)

2018-07-20 Interim Report Second Quarter 2018 5

slide-6
SLIDE 6

April-June 2018 April-June 2017 January-June 2018 January-June 2017 Full year 2017 Sales, SEK million

174.0 176.6 371.4 356.2 704.8

Gross margin,%

26.7 15.7 29.8 22.2 23.5

Operating Profit, SEK million

2.0

  • 19.4

24.2

  • 21.4
  • 41.6

Operating margin, %

1.2

  • 11.0

6.5

  • 6.0
  • 5.9

Profit after net financial items, SEK million

  • 2.3
  • 23.1

16.3

  • 30.2
  • 58.7

Profit per share after tax, SEK

  • 0.27
  • 2.42

1.27

  • 3.18
  • 5.47

Free cash flow, SEK million

4.0

  • 38.9

25.6

  • 43.1
  • 84.2

Investments, SEK million

6.2 7.3 13.1 12.4 22.1

Net debt/Equity ratio, %

22.3 18.9 22.3 18.9 35.1

Average number of employees

632 664 635 654 662

Financial performance

2018-07-20 Interim Report Second Quarter 2018 6

slide-7
SLIDE 7

2018-07-20 Interim Report Second Quarter 2018 7

  • Sales SEK 174.0 (176.6) million
  • Gross margin 2 (-10) per cent
  • Operating result SEK 2.0 (-19.4) million
  • Restructuring costs SEK 1.4 (1.9) million
  • Free cash flow SEK 4.0 (-38.9) million
  • Improved operating results in all business areas
  • Reduced head office cost following organizational changes implemented Q4-2017
  • Continued improvement in cash flow

Analysis of key ratio development Q2

slide-8
SLIDE 8

2018-07-20 8

KEY OFFERINGS – CONSULTANCY SERVICES We manage Radioactive Hazards to keep our customers Safe

Environmental Services

  • Norm

Engineering

– Waste Mgmt Processes

Nuclear Decommissioning

  • Radiological inventory,

characterization & clearance

Repository Optimization

  • Safety Analysis, Licensing

and Planning

Radiation Safety & Protection Radioactive Waste Management

Interim Report Second Quarter 2018

slide-9
SLIDE 9

April-June 2018 April-June 2017 January-June 2018 January-June 2017 Full year 2017 Sales, SEK million

19.4 28.0 40.6 61.7 123.0

Operating Profit, SEK million

1.1

  • 1.3

1.1 0.3 11.3

Operating Profit margin, %

5.7

  • 4.6

2.7 0.5 9.2

Investments, SEK million

1.4 0.5 1.4 1.0 2.7

Average number of employees

55 62 54 50 57

Financial performance – Consultancy Services

2018-07-20 Interim Report Second Quarter 2018 9

slide-10
SLIDE 10
  • Sales SEK 19.4 (28.0) million
  • Operating profit SEK 1.1 (-1.3) million
  • Restructuring costs SEK 1.4 (0) million
  • Comparable operating profit 2.5 (-1.3)
  • USA and Sweden picking up driven by services related to waste treatment technologies
  • Drop in net sales reflecting exit from non profitable business in the UK and Sweden
  • Continued focus on waste treatment technologies and related engineering services
  • Japan - Kobe Steel joint venture
  • China - Dynatech license agreement
  • France - Areva
  • USA - Department of Energy
  • South Korea - interesting market for waste treatment technologies

Operational highlights – Consultancy Services

2018-07-20 Interim Report Second Quarter 2018 10

slide-11
SLIDE 11

2018-07-20 Interim Report Second Quarter 2018 11

KEY OFFERINGS – FUEL & MATERIALS TECHNOLOGY

Fuel & Materials Life Cycle

Transport of Irradiated Materials Final & Interim Storage Research Engineering Fuel Qualification Hot Cell Technologies Plant Life Management

slide-12
SLIDE 12

Financial performance – Fuel- & Materials Technology

2018-07-20 Interim Report Second Quarter 2018 12

April-June 2018 April-June 2017 January-June 2018 January-June 2017 Full year 2017 Sales, SEK million

53.2 52.2 119.9 104.7 195.0

Operating Profit, SEK million

7.4 4.9 17.7 10.7 5.3

Operating Profit margin, %

13.9 9.4 14.8 10.2 2.7

Investments, SEK million

3.9 4.9 9.3 9.0 13.8

Average number of employees

97 99 97 100 101

slide-13
SLIDE 13
  • Sales SEK 53.2 (52.2) million
  • Operating profit SEK 7.4 (4.9) million
  • YTD operating profit SEK 17.7 (10.7) million
  • Catch-up of delay from Q4 2017 continued to drive underlying performance
  • Cost for changeover and overtime higher than normal during catch-up period
  • Part of Hot cell facility being rebuilt to accommodate production line for medical isotopes
  • Improved processes for handling of production related secondary waste decreases cost
  • Continued strong demand for services offered evidenced by strong order intake
  • Cost for recruitment and onboarding burdens Q2 results but necessary to support growth

Operational highlights – Fuel & Materials Technology

2018-07-20 Interim Report Second Quarter 2018 13

slide-14
SLIDE 14

14 2018-07-20 Interim Report Second Quarter 2018

KEY OFFERINGS - SCANDPOWER Nuclear Analysis Software & Services

Fuel Design, Core Design, Core Monitoring & Plant Performance Optimization Consulting, Engineering Services & Knowledge Transfer Operator Training Simulation Used Fuel Analysis & Management (Interim and Permanent Storage) New and Advanced Reactor Design & Licensing

slide-15
SLIDE 15

Financial Performance – Scandpower

15 2018-07-20 Interim Report Second Quarter 2018

April-June 2018 April-June 2017 January-June 2018 January-June 2017 Full year 2017 Sales, SEK million

23.8 17.1 66.6 36.8 81.0

Operating Profit, SEK million

  • 1.0
  • 3.5

19.7

  • 7.1
  • 11.8

Operating Profit margin, %

  • 4.2
  • 20.5

29.6

  • 19.3
  • 14.6

Investments, SEK million

0.2 0.1 0.2 0.1 0.7

Average number of employees

33 34 33 34 34

slide-16
SLIDE 16

Operational highlights – Scandpower

16 2018-07-20 Interim Report Second Quarter 2018

  • Sales SEK 23.8 (17.1) million
  • Operating profit SEK -1.0 (-3.5) million
  • YTD operating profit SEK 19.7 (-7.1) million
  • Solid performance in software sales, maintenance, services and training
  • 30 MSEK of TVEL order delivered, main part of remaining SEK 8 million to be delivered in Q3-Q4
  • Long but advancing procurement processes for software and services
  • No change or positive news on export approval for China, we continue to make our case
  • Continued efforts to add application for spent fuel and additional consultancy services
  • Focus on increasing and expanding commercial activities and reach
slide-17
SLIDE 17

17 2018-07-20 Interim Report Second Quarter 2018

KEY OFFERINGS - GERMANY Decommissioning and Radiation Safety

Nuclear Decommissioning

  • Radiological inventory,

characterization & clearance

Radiation Safety & Protection

slide-18
SLIDE 18

18 2018-07-20 Interim Report Second Quarter 2018

Financial Performance - Germany

April-June 2018 April-June 2017 January-June 2018 January-June 2017 Full year 2017 Sales, SEK million

77.4 74.4 141.3 144.7 291.1

Operating Profit, SEK million

  • 0.3
  • 10.3
  • 5.1
  • 10.3
  • 8.4

Operating Profit margin, %

  • 0.4
  • 13.8
  • 3.6
  • 7.1
  • 2.9

Investments, SEK million

  • 0.1

0.1 0.2 0.6 1.4

Average number of employees

418 430 424 430 435

slide-19
SLIDE 19

19 2018-07-20 Interim Report Second Quarter 2018

Operational highlights - Germany

  • Sales SEK 77.4 (74.4) million
  • Operating profit SEK -0.3 (-10.3) million
  • Restructuring costs SEK 0 (1.1) million
  • YTD operating profit SEK -5.1 (-10.3) million
  • Good results from focus on increasing Q2 utilization ratio while reducing cost
  • Swiss market picking up some of the slowdown on the German market
  • The German market remains challenging with shrinking volume and customer delays
  • Continued focus on utilization ratio, price and cost control
slide-20
SLIDE 20

Appendix

2018-07-20 Interim Report Second Quarter 2018 20

slide-21
SLIDE 21

Balance sheet

June 2018 June 2017 December 2017 Assets Non-current assets 479.1 443.0 456.6 Current assets 403.1 418.8 368.3 Total assets 882.2 861.8 824.9 Equity and liabilities Equity 320.1 308.1 288.1 Non-controlling interest 0.4 0.3 0.3 Non-current liabilities 362.4 357.5 364.7 Current liabilities 199.3 195.9 171.8 Total equity and liabilities 882.2 861.8 824.9

2018-07-20 Interim Report Second Quarter 2018 21

slide-22
SLIDE 22

2018-07-20 Interim Report Second Quarter 2018 22