Interim Report January March 2015

Transcription

1 Interim Reprt January March 2015 Fredrik Strand, President and CEO Antti Heinla, CFO April 24, 2015

2 Cntents Grup develpment Cash flw and wrking capital Financing Market utlk and guidance fr 2015

3 Grup develpment

4 Summary f Q1/2015 Order backlg Order backlg grew by 5% frm the end f last year and by 4% cmpared t the crrespnding perid previus year. Revenue Revenue was EUR millin, a decrease f 5 percent cmpared t the previus year. Changes in freign exchange rates decreased Grup revenue by EUR 16.1 millin in January March mainly caused by changes in SEK and NOK. EBITDA EBITDA imprved by 48%. In ne f the finalised lwperfrming prjects in Nrway the prvisin made during Q2/2014 was insufficient, resulting in a negative effect f EUR 2.9 millin. One technical incident in Finland resulting in a settlement with an industrial client, amunting t EUR 0.7 millin. Wrking capital and perating cash flw Wrking capital amunted t EUR millin (Q1/2014: Operating cash flw befre financial and tax items was EUR 9.8 millin (Q1/2014: -11.1). 4 Interim Reprt 1-3/2015

5 Key figures EUR millin 1 3/15 1 3/14 Change 1 12/14 Order backlg, end f perid 1, , % 1,323.6 Revenue % 2,406.6 EBITDA % 67.5 EBITDA margin, % Earnings per share, basic, EUR % 0.22 Wrking capital Operating cash flw befre financial and tax items Interest-bearing net debt, end f perid % 50.2 Persnnel, average fr the perid 17,004 17,375-2% 17,300 5 Interim Reprt 1-3/2015

6 Activity n the same level with the previus year Grup revenue EUR millin 1 12/13: 2, /12: X,XXX /14: 2, Revenue was EUR millin, a decrease f 5 percent cmpared t the previus year. Changes in freign exchange rates decreased Grup revenue by EUR 16.1 millin in January March mainly caused by changes in SEK and NOK. 1 3/13 4 6/13 7 9/ /13 1 3/14 4 6/14 7 9/ /14 1 3/15 Revenue decreased mainly in Finland and Nrway. Revenue breakdwn by cuntry EUR millin (0%) (-8%) (0%) (-18%) (11%) (9%) (-9%) Sweden Finland Germany Nrway Austria Denmark Other cuntries 1 3/14 1 3/15 Revenue by business area 1 3/2015 Service and maintenance 55% (1 3/2014: 55%) Prjects 45% (45%) 6 Interim Reprt 1-3/2015

7 Service and maintenance: activity level remained stable The technical installatin and maintenance market has been stable verall. The general interest in managed services and life cycle slutins cntinued t increase. Service and maintenance revenue 1 12/13: 1,409 (55%) Service and maintenance revenue, EUR millin % f ttal Grup revenue 1 12/14: 1,297 (54%) % 56% 54% 56% 55% 54% 54% 53% 55% 7 Interim Reprt 1-3/2015

8 Several multi-millin prjects annunced in Q1 Finland: Prject market is still slw; hwever has been active and been able t secure sme large new deals. Sweden: Market has been stable. Nrway: Sme pstpnements, mainly due t lwer activity related t the il industry. Germany: Demand remained favurable. Prject business revenue /13: 1,134 (45%) /14: 1,110 (46%) Prject business revenue, EUR millin % f ttal Grup revenue % 44% 46% 44% 45% 46% 46% 47% 45% 8 Interim Reprt 1-3/2015

9 Prfitability n track t reach financial target EBITDA, EUR millin EBITDA margin, % 1 12/13: 70.9 (2.8%) 1 12/14: 67.5 (2.8%) EBITDA fr Q1 amunted t EUR 14.2 millin, up by 48 % frm the previus year. In ne f the finalised lwperfrming prjects in Nrway the prvisin made during Q2/2014 was insufficient, resulting in a negative effect f EUR 2.9 millin. One technical incident in Finland resulting in a settlement with an industrial client, amunting t EUR 0.7 millin Interim Reprt 1-3/2015

10 Stable rder backlg develpment in Q1 Order backlg EUR millin Q1 Q2 Q3 Q4 +4% 1,335 1,392 1,324 Order backlg grew by 5% frm the end f last year and by 4% cmpared t the crrespnding perid previus year. Changes in freign exchange rates increased the rder backlg by EUR 11 millin cmpared t the end f December /12 3/13 3/14 3/15 6/12 6/13 6/14 9/12 9/13 9/14 12/12 12/13 12/14 10 Interim Reprt 1-3/2015

11 Examples f rders received in January March Päivänkehrä schl, Esp, Finland implements the life cycle prject f schl mdernisatin and extensin in cperatin with YIT. After the prject delivery, is respnsible fr prviding technical maintenance and managed peratins, which als include the management f ther than technical maintenance services, during the peratinal phase f 20 years. Service areas: Managed Life Cycle (Design & Engineering, Prject Executin, Prject Management, Managed Operatins) Technical disciplines: All building systems f the prperty Cntract value: ~EUR 14 millin Lifespan: prject phase until 2017, peratin until 2037 Size: 7,400 m² Rygge DRV Middle Schl Rygge Middle Schl, Østfld, Nrway prvides a ttal technical slutin fr a new schl building t be built accrding t passive huse standards. The prject has elements f the PPP mdel and it is realised in cperatin with Rygge Municipality, the general cntractr Kruse Smith AS, and the architect Asplan Viak. Service areas: Prject Executin, Prject Management Technical disciplines: All building systems f the prperty Cntract value: EUR 8.8 millin Lifespan: 3/ /2016 Size: 11,000 m² 11 Interim Reprt 1-3/2015

12 Examples f rders received in January March Vlkswagen Cmmercial Vehicles, Wrzésnia, Pland designs and installs high capacity ventilatin and air cnditining systems fr the vehicle assembly hall and ffice spaces at the new Vlkswagen plant. T fulfill the client s requirements fr energy efficiency, all facilities feature heat recvery systems and ventilatin equipment that meet the IE3 Premium efficiency standards. Service areas: Design & Engineering, Prject Executin Technical disciplines: Ventilatin and air cnditining Cntract value: EUR 13 millin Lifespan: 3/2015 Q3/2016 Size: 78,000 m 2 Vlkswagen DRV Sør-Trøndelag Cllege ASFINAG, Austria equips the enclsed sectin f the mtrway A10 with advanced tunnel technlgy: slutins fr pwer supply, lighting, traffic and envirnmental data capturing, fire prtectin, vide surveillance and alarm systems, amng thers. Service areas: Design & Engineering, Prject Management, Prject Executin Technical disciplines: Electricity, Infrmatin and cmmunicatin, Security and safety, Autmatin, Ventilatin and air cnditining, Cling Cntract value: EUR 6 millin Lifespan: 1/2015 2/2017 Size: 1.5 km-lng tunnel 12 Interim Reprt 1-3/2015

13 Examples f rders received in January March Finnair, Finland cntinues technical maintenance and managed peratins f Finnair s prperties in the Helsinki-Vantaa airprt area. The agreement cntinues the cperatin that cmmenced in 2007, and EUR 2.5 millin f energy cst savings have been achieved during the past five years. Service areas: Technical Maintenance, Managed Operatins Technical disciplines: Heating and sanitatin, Ventilatin and air cnditining, Cling, Electricity, Security and safety, Autmatin, Infrmatin and cmmunicatin Cntract value: nt disclsed Lifespan: , after which valid until further ntice. Size: ver 30 sites, 170,000 m 2 Finnair Schlumberger, Surgut district and Astrakhan, Russia prvides maintenance f all technical systems in the ilfield services cmpany s prductin plants and ther facilities. The cntract emplys clse t 50 emplyees. Service areas: Technical Maintenance Technical disciplines: Heating and sanitatin, Ventilatin and air cnditining, Electricity, Infrmatin and cmmunicatin services, Security and safety Cntract value: nt disclsed Lifespan: 2/2015 2/2018 Size: m 2 13 Interim Reprt 1-3/2015

14 17,005 emplyees at the end f March During the perid we cntinued t develp a winning team: Talent management Organisatinal develpment Leadership develpment Internatinal team strengthened with key prfessinals and lcal trainees. Cntinuus imprvement fr ccupatinal health Safety f emplyees as a key target Emplyees by cuntry at the end f March 2015 Finland 27% Sweden 23% Nrway 16% Germany 14% Austria 4% Denmark 6% Other cuntries 10% 14 Interim Reprt 1-3/2015

15 Cash flw and wrking capital

16 Firm grip n managing wrking capital Wrking capital, Wrking capital Mre than EUR 130 millin f EUR millin wrking capital released in the past 18 mnths thrugh: 100 4% 120 5% 64 Wrking capital t sales, % (LTM) Advances received stable at a level f EUR millin (7-9/2013: EUR millin) Imprvement frm mre efficient invicing prcess 46 2% 3% % 2% Decrease by EUR 78 millin cmpared t 3/ % -1% Efficient wrking capital management enables us t develp ur strategic business mix. 4 6/13 7 9/ /13 1 3/14 4 6/14 7 9/ /14 1 3/15 16 Interim Reprt 1-3/2015.

17 Rlling 12-mnth cash flw up t EUR 134 millin Operating cash flw befre financial and tax items EUR millin Rlling 12 mnths Strng rlling 12-mnth cash flw supprted by efficient management f wrking capital Develpment and investment Cntinuus develpment and investment in technlgies, prcesses and cmpetences Capex investments f EUR 5.7 millin in Q1, mainly relating t IT and the develpment f cmmn business prcesses. 1 3/13 4 6/13 7 9/ /13 1 3/14 4 6/14 7 9/ /14 1 3/15 17 Interim Reprt 1-3/2015

18 Financing

19 Debt structure Debt maturity EUR millin Lan prtfli Banks 92% Insurance cmpanies 6% Others 2% Interest rate type (after hedges) Fixed interest 8% Flating interest 92% Lan prtfli ttal: EUR millin Average interest rate after hedges: 1.72% 19 Interim Reprt 1-3/2015

20 Strng cash psitin enabled vluntary repayment f grss debt Develpment f net debt EUR millin Net debt remains at Q4/2014 level Strng cash psitin enabled vluntary repayment f grss debt by EUR 20 millin. 6/13 9/13 12/13 3/14 6/14 9/14 12/14 3/15 Grss Grss debt debt t t net net debt debt EUR EUR millin millin Liquidity reserve EUR 158 millin Unused credit facilities 80 Lng-term brrwings Shrt-term brrwings Cash and cash equivalents 50 Net debt 79 Cash and cash equivalents 20 Interim Reprt 1-3/2015

21 Market utlk and guidance

22 Market utlk fr s business in 2015 Technical installatin and maintenance Expected t be stable. Requirements fr increased energy efficiency and better indr cnditins and tightening envirnmental legislatin supprt psitive market develpment. Large prjects Large tenders fr buildings and industry expected t increase during the year. Lw interest rates and availability f financing are expected t supprt investments. Demand fr design & build f ttal technical slutins is expected t develp favurably. Managed services Need fr new services and the demand fr life cycle slutins are expected t increase. Custmers fcus n their cre peratins pens pprtunities in utsurced peratin and maintenance mainly fr public authrities, industries and utilities. Overall changes in the perating envirnment due t grwing uncertainty ver the general macrecnmic develpment and munting geplitical tensins may lead t sme expected cautiusness in prject start-ups and service demand. 22 Interim Reprt 1-3/2015

23 Guidance fr 2015 reiterated Revenue estimates that the Grup s revenue will remain at the previus year's level. EBITDA estimates that the Grup s EBITDA margin fr 2015 will grw significantly. 23 Interim Reprt 1-3/2015

24 Dividend plicy Dividend pay-ut at least 50 per cent f the net prfit fr the perid. A dividend f EUR 0.22 per share was paid n April 2, Interim Reprt 1-3/2015

25

26 Additinal slides

27 31,489 sharehlders n March 31, 2015 Largest sharehlders Shares, pcs Majr sharehlders n June 28,2013 % f share Capital Change after December, pcs Change after December, % 1. Structr S.A. 17,840, Herlin Antti and the cmpanies cntrlled by him 13,230, , Fndita funds 3,572, , Ilmarinen Mutual Pensin Insurance Cmpany 3,548, ,160, Nrdea funds 3,108, , OP funds 3,001, , Varma Mutual Pensin Insurance Cmpany 2,864, Aktia funds 2,100, , The State Pensin Fund 1,850, Danske Invest funds 1,641, , El Pensin Cmpany 1,344, SEB Investment Funds 1,253, , Evli funds 1,243, , Brtherus Ilkka 1,185, , Etera Mutual Pensin Insurance Cmpany 757, Säästöpankki funds 586, Odin funds 526, , Oyj 510, , Owners by categry by shares wned Nminee registered and nn-finnish hlders 34.7% (Dec. 31, 2014: 33%) Husehlds 19.5% (20.7%) General gvernment 9.3% (10.1%) Financial and insurance crpratins 14.3% (13.7%) Nn-prfit institutins 5.8% (5.9%) Nn-financial crpratins and husing crpratins 16.3% (16.6%) 31,489 wners (32,837) 19. FIM funds 477, , Föreningen Knstsamfundet rf 423, largest, ttal 61,066, All shares 125,596,