Telephone conference Lars Johansson 10 November 2016 High level of - - PowerPoint PPT Presentation

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Telephone conference Lars Johansson 10 November 2016 High level of - - PowerPoint PPT Presentation

Oct 18, 2023 14 likes •134 views

Telephone conference Lars Johansson 10 November 2016 High level of transaction activity High growth but lower earnings Impairment of book value Acquisition of Plantagen, in total 5 acquisitions during 2016 Add-on acquisitions in

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SLIDE 1

Telephone conference

Lars Johansson

10 November 2016

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SLIDE 2

High level of transaction activity

▪ High growth but lower earnings ▪ Impairment of book value ▪ Acquisition of Plantagen, in total 5

acquisitions during 2016

▪ Add-on acquisitions in Bisnode, airteam

and TFS

▪ Divestment of Euromaint agreed ▪ Arcus prepares for IPO ▪ Outlook for 2016 unchanged

2 2016-11-10

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SLIDE 3

Changed company portfolio with growth potential

2016-11-10 3

Sales breakdown by segment* at 30 September 2016 Net sales trend* at 30 September 2016 (Local currency)

* Adjusted for the size of Ratos’s holding.

  • 30
  • 20
  • 10

10 20 30 40 50 60 HENT Aibel Oase Ledil TFS AH Industries Nebula airteam Speed Group Arcus Diab Jøtul Serena Properties KVD Mobile Climate Control Gudrun Sjödén Group Bisnode HL Display Euromaint Biolin Scientific GS-Hydro

%

Construction 25% Consumer goods/ Commerce 20% Industrials 16% Energy 16% Technology, Media, Telecom 12% Corporate services 7% Healthcare/Life Science 3% Real estate 1%

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SLIDE 4

Sales growth and change initiatives

▪ Unchanged and generally stable market

conditions in the Nordic region

▪ Continued uncertainty in the offshore

market

− Restructuring and layoffs to boost competitiveness

▪ Focus on growth initiatives and add-on

acquisitions to enable expansion

▪ Strategic and operational measures

− Bisnode, KVD, Arcus and Diab − Capital contributions to Aibel, Bisnode, GS-Hydro and KVD

2016-11-10 4

* Adjusted for the size of Ratos’s holding.

+9%*

Sales growth

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SLIDE 5

Companies performance1) Q3 2016

Companies in their entirety Ratos’s holding Sales in the portfolio 9,108 +14% 6,006 +10% EBITA in the portfolio 538 +2% 364

  • 6%

Adjusted EBITA2) in the portfolio 547

  • 5%

403

  • 4%

5 2016-11-10

1) Comparison with corresponding period last year and for comparable units. 2) Excluding items affecting comparability.

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SLIDE 6

Companies’ performance1) Jan-Sep 2016

Companies in their entirety Ratos’s holding Sales in the portfolio 27,142 +13% 17,981 +9% EBITA in the portfolio 1,278

  • 17%

894

  • 15%

Adjusted EBITA2) in the portfolio 1,625

  • 3%

1,100

  • 4%

6 2016-11-10

1) Comparison with corresponding period last year and for comparable units. 2) Excluding items affecting comparability.

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SLIDE 7

Company overview – development status

2016-11-10 7

MID CAP SMALL CAP

Arcus Diab HENT KVD Ledil Mobile Climate Control Nebula Aibel Bisnode HL Display airteam Gudrun Sjödén Group Oase Outdoors Serena Properties Speed Group TFS Biolin Scientific Euromaint AH Industries GS-Hydro Jøtul

Illustrated division based on Ratos’s roughly estimated market values.

57%

Share of adjusted EBITA

27%

Share of adjusted EBITA

2%

Share of adjusted EBITA

21%

Share of adjusted EBITA

  • 7%

Share of adjusted EBITA

GOOD DEVELOPMENT DEVIATIONS CHALLENGES

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SLIDE 8

Company overview – development status

2016-11-10 8

MID CAP SMALL CAP

GOOD DEVELOPMENT DEVIATIONS CHALLENGES

Sales +18% EBITA +6%

  • Adj. EBITA

+11%

  • Adj. EBITA marg

+7.5% (7.9) Sales +8% EBITA

  • 13%
  • Adj. EBITA

+6%

  • Adj. EBITA marg

+5.8% (5.9) Sales +12% EBITA 0%

  • Adj. EBITA

+11%

  • Adj. EBITA marg

+14.8% (14.9) Sales

  • 13%

EBITA

  • 63%
  • Adj. EBITA
  • 59%
  • Adj. EBITA marg

+2.4% (5.0) Sales

  • 10%

EBITA neg

  • Adj. EBITA

neg

  • Adj. EBITA marg
  • 4.4% (1.6)

Illustrated division based on Ratos’s roughly estimated market values.

57%

Share of adjusted EBITA

27%

Share of adjusted EBITA

2%

Share of adjusted EBITA

21%

Share of adjusted EBITA

  • 7%

Share of adjusted EBITA

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SLIDE 9

High activity in the transaction market

▪ Continued good access to bank

financing

▪ Ratos has a favourable financial

position

▪ High activity in acquisitions

− airteam, Oase Outdoors and Gudrun Sjödén Group − Plantagen was acquired in September − Agreement signed for the divestment of Euromaint − Arcus prepares for IPO

2016-11-10 9

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SLIDE 10

Acquisition of Plantagen, leading retail chain for plants and accessories

▪

Agreement to acquire 100% of the shares signed in September – EV approx. NOK 2.9 billion

▪

The Nordic region’s leading chain for sales of plants and gardening accessories

▪

124 stores in Norway, Sweden and Finland, a primary focus on consumers

▪

The market for plants and gardening accessories has stable growth and underlying positive trends in terms of increased interest in cultivation, gardening and interior decoration

▪

Potential to increase sales through existing garden centers and smaller stores

2016-11-10 10

Facts about Plantagen Sales* NOK 3,700m Adjusted EBITDA* NOK 370m Number of employees

  • Approx. 1,200

Head office Oslo President Jon Abrahamsson Ring

*Rolling 12 months per June 2016

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SLIDE 11

Outlook for 2016

▪ Cautious macroeconomic view with shifting

market trends

▪ Maintained outlook for 2016 in the portfolio with

somewhat lower adjusted EBITA compared to last year

11 2016-11-10

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SLIDE 12

150 years of entrepreneurship, operational development and community involvement