Financial Statements Bulletin January December 2015

Transcription

1 Financial Statements Bulletin January December 2015 Fredrik Strand, President and CEO Antti Heinla, CFO January 27, 2016

2 Cntents Grup develpment Cash flw and wrking capital Financing Market utlk and guidance fr 2016

3 Summary f 2015 Order backlg Order backlg grew by 10% cmpared t the previus year and was EUR 1,461.4 millin. At cmparable exchange rates the rder backlg increased by 11% frm the end f December Earnings per share Earnings per share increase significantly by 69% and amunted t 0.37 EUR per share in January December. Revenue Revenue was EUR 2,443 millin in January December, an increase f 4 percent at previus year s exchange rates. Revenue fr Q4 was in line with the previus year and amunted t EUR millin. EBITDA EBITDA grew significantly by 36% frm the previus year and amunted t EUR 91.5 millin in January December. EBITDA fr Q4 was in line with the previus year and amunted t EUR 34.0 millin. Wrking capital and perating cash flw Wrking capital amunted t EUR (-19.3) millin. Operating cash flw befre financial and tax items was EUR 85.8 (113.5) millin. 3

4 Key figures EUR millin 10 12/ /14 Change 1 12/ /14 Change Order backlg 1, , , ,323.6 Revenue , ,406.6 EBITDA EBITDA margin, % Earnings per share, basic, EUR Wrking capital Operating cash flw befre financial and tax items Interest-bearing net debt Persnnel, average fr the perid 17,427 17,410 17,321 17,490 4

5 Strng rder backlg develpment in 2015 Order backlg EUR millin Q1 Q2 Q3 Q4 +4% +3% 1,392 1,393 +7% +10% 1,477 1,461 The rder backlg cntinued t increase reflecting the grwth targets in Large Prjects and Managed Services. Order backlg grew by 10% cmpared t the previus year (by 11% at cmparable exchange rates). Cmparative figures are carve-ut figures fr the perids befre the effective date f the partial demerger (June 30, 2013)., 5

6 Grup revenue up frm the previus year Grup revenue EUR millin 1 12/14: 2, /15: 2, /14 4 6/14 7 9/ /14 1 3/15 4 6/15 7 9/ /15 Revenue breakdwn by cuntry EUR millin (1%) (5%) (6%) (-13%) Sweden Finland Germany Nrway Austria Denmark Other cuntries 1 12/ / (8%) (10%) 668 (11%) 78 Revenue was EUR 2,443 millin in January December, an increase f 4 percent at previus year s exchange rates. In Nrway, technical installatin and maintenance is impacted by the general ecnmic envirnment. Revenue -6% with cmparable exchange rates during 2015 Exit f ne large services cntract nw fully visible. Revenue by business area 1 12/2015 Service and maintenance 53% (1 12/2014: 54%) Prjects 47% (46%) 6

7 Service and maintenance: activity level remained stable The technical maintenance market was stable verall. In Nrway, technical maintenance was impacted by slwdwn in the il industry. General interest in managed services and life cycle slutins increasing. Service and maintenance revenue 1 12/14: 1,297 (54%) Service and maintenance revenue, EUR millin % f ttal Grup revenue 1 12/15: 1,291 (53%) % 54% 54% 53% 55% 53% 51% 52% 1 3/14 4 6/14 7 9/ /14 1 3/15 4 6/15 7 9/ /15 7

8 Several multi-millin prjects annunced in Q4 In general gd develpment with new clients and cntracts. Prject business revenue Prject business revenue, EUR millin A tugh pricing envirnment prevailed but was able t maintain its price levels with fcus n quality and executin. % f ttal Grup revenue In Nrway and Austria there have been pstpnements in new investments. 1 12/14: 1,110 (46%) /15: 1,152 (47 %) % 46% 46% 47% 45% 47% 49% 48% 8

9 Prfitability n track t reach financial target EBITDA, EUR millin EBITDA margin, % EBITDA grew significantly by 36% 1 12/14: 67.5 (2.8%) 1 12/15: 91.5 (3.7%) frm the previus year and amunted t EUR 91.5 millin in January December. EBITDA negatively affected by certain prject lsses in Nrway and Germany, restructuring expenses in 2.1 Finland and legal expenses 2.5 in Germany. 0.4 Investments in cmmn prcesses als reflected in peratinal expenses 1 3/14 4 6/14 7 9/ /14 1 3/15 4 6/15 7 9/ /15 EBITDA, EUR millin (rlling 12m) EBITDA fr Q4 was in line with the previus year and amunted t EUR 34.0 millin /14 4 6/14 7 9/ /14 1 3/15 4 6/15 7 9/ /15 9

10 Examples f rders received in Octber-December 2015 Söderhamn municipality, Sweden perfrms Managed Services fr Söderhamn municipality. This is the largest Energy Perfrmance Cntracting (EPC) prject implemented by in the Nrdic cuntries. Fr the client, EPC service guarantees energy savings by ptimising the buildings and their perfrmance ver time. The prject cvers the majrity f the public buildings in the municipality. Söderhamn Cntract value: ver EUR 29 millin Service areas: Managed Services Technical disciplines: Heating and sanitatin, Ventilatin and air cnditining, Cling, Electricity, Infrmatin and cmmunicatin services, Security and safety and Autmatin Lifespan: is respnsible fr the maintenance f the buildings and their cnfiguratin management until 2019 and guarantees the energy savings fr 10 years. Client: Söderhamn municipality and husing cmpany Faxehlmen AB Size: 430,000 m² Söderhamn 10

11 Examples f rders received in Octber-December 2015 Hspital and ffice building in Tampere, Finland signed cntracts fr ttal technical slutins and cleanrm facilities fr the ld Tampella linen factry in Tampere which is t be renvated int a hspital and ffice premises. The cleanrm facility delivery fr the perating theatres is based n prefabricated CleanPlus elements, develped by. By cmbining ur Swedish cleanrm knw-hw and ur prject management in Finland we can bring ur best expertise t this demanding prject. Aihi Arkkitehdit Oy Cntract value: ver EUR 7 millin fr the building systems delivery, fr the cleanrm nt disclsed Service areas: Design and Engineering, Prject Executin, Prject Management Technical disciplines: Heating and sanitatin, Ventilatin and air cnditining, Cling, Electricity, Infrmatin and cmmunicatin services, Security and safety and Autmatin Lifespan: Renvatin wrk at the hspital will be cmpleted by summer 2016 and, fr the rest f the premises, by autumn Client: Skanska and fr the cleanrms KOY Kskitammi Size: 16,000 m² 11

12 Examples f rders received in Octber-December 2015 Rcket Twer, Berlin, Germany delivers a large prject fr the frmer GSW high-rises in Berlin, Germany. The building systems will be renewed in cnjunctin with an extensive renvatin f the high-rises., tgether with UNDKRAUSS Baugesellschaft mbh Berlin, is acting as a technical general cntractr. Cntract value: nt disclsed Service areas: Prject Executin Technical disciplines: Ventilatin and air-cnditining, Cling, Heating and Fire prtectin Lifespan: The wrk is expected t be finished by July Size: 22,000 m² SMV Bauprjektsteuerung Ingenieurgesellschaft mbh Deutsche Telekm AG Deutsche Telekm headquarters, Bnn, Germany designs and deliver a ttal technical slutin fr the renvatin f Deutsche Telekm headquarters. T create an ptimal indr climate at any time f the day, will install its prprietary multifunctin AVACS sails t the ceilings f the ffice spaces. Cntract value: ~ EUR 20 millin Service areas: Design & Engineering and Prject Executin Technical disciplines: Heating and sanitatin, Ventilatin and air-cnditining, Cling, Electricity and Autmatin. Lifespan: The wrk is expected t be finished by April Client: Deutsche Telekm 12

13 Examples f rders received in Octber-December 2015 Metsä Wd sawmills in Lappeenranta and Renk, Finland has signed a Managed Services agreement with Metsä Wd fr sawmills in Lappeenranta and Renk. will manage and execute prcess-related maintenance n the sites. In cnnectin with the partnership, 24 peple frm Metsä Wd's Renk and Lappeenranta sawmills maintenance will be transferred t Sumi Oy. Cntract value: nt disclsed Lifespan: February 2016 until further ntice Client: Metsä Wd, which is part f Metsä Grup Metsä Wd Hydrgen prductin unit, Prv, Finland delivers a cntract t supply prcess piping and industrial installatins fr a new hydrgen prductin unit. will prefabricate and install equipment fr the new hydrgen refrmer and cmplete equipment and steel installatins. Prefabricated parts are made at 's wn wrkshps in Ylivieska and Leppävirta. Cntract value: nt disclsed Lifespan: until May 2016 Client: Linde Engineering 13

14 17,399 emplyees at the end f December During the perid we cntinued t develp ne winning team: Actively utilizing the feedback f the emplyee engagement survey Talent, successin and rganisatinal management Leadership develpment Emplyees by cuntry at the end f December 2015 Grup-wide effrt t develp a way f wrking and mindset: Wrk safety and well-being f all emplyees as a cnstant pririty Cde f cnduct t guide behavirs f all emplyees in every day cllabratin Finland 26% Sweden 22% Nrway 17% Germany 14% Denmark 6% Austria 4% Other cuntries 11% 14

15 Cash flw and wrking capital

16 Firm grip n managing wrking capital Financial target: negative wrking capital Wrking capital Wrking capital, EUR millin Wrking capital t sales, % (LTM) Wrking capital has been stabilised n negative level 120 Cntinued fcus n invicing prcess 100 4% 5% % 3% % 2% % -19-1% -13-1% 0% -14-1% 6/13 9/13 12/13 3/14 6/14 9/14 12/14 3/15 6/15 9/15 12/15 Cmparative figures are carve-ut figures fr the perids befre the effective date f the partial demerger (June 30, 2013)., 16

17 Cash flw in line with EBITDA Operating cash flw befre financial and tax items EUR millin Rlling 12 mnths Develpment and investment Cntinuus develpment and investment in technlgies, prcesses and cmpetences Capex investments (including acquisitins) f EUR 26.9 millin in January-December, mainly relating t IT and the develpment f cmmn business prcesses /13 1 3/14 4 6/14 7 9/ /14 1 3/15 4 6/15 7 9/ /15 Cmparative figures are carve-ut figures fr the perids befre the effective date f the partial demerger (June 30, 2013)., 17

18 Financing

19 Strng cash psitin enabled vluntary debt-repayment Debt maturity EUR millin Lan prtfli Banks 92% Insurance cmpanies 6% Others 2% Interest rate type (after hedges) * Fixed interest 100% Flating interest 0% Lan prtfli ttal: EUR 97.9 millin Strng cash psitin enabled vluntary repayment f grss debt by EUR 34 millin in 2015 Average interest rate after hedges: 1.32% * Interest rates are hedged against interest rate rise. 19

20 Liquidity reserves amunt t EUR 187 millin Net debt, EUR millin Net debt/ebitda, Rlling 12 Mnths Net debt remains in Q level 3,3x 3,4x 86 1,2x 104 1,5x ,4x 2,3x ,7x 0,7x 85 0,9x 102 1,1x x Strng cash psitin enabled vluntary repayment f grss debt by EUR 20 millin Q2/13 Q3/13 Q4/13 Q1/14 Q2/14 Q3/14 Q4/14 Q1/15 Q2/15 Q3/15 Q4/15 Grss debt t net debt EUR millin Liquidity reserve EUR 187 millin EUR millin 75 Lng-term brrwings 23 Shrt-term brrwings 68 Cash and cash equivalents 30 Net debt Unused credit facilities Cash and cash equivalents 20

21 Market utlk and guidance

22 Market utlk fr s business in 2016 Technical installatin and maintenance Markets expected t remain stable. Requirements fr increased energy efficiency, better indr cnditins and tightening envirnmental legislatin supprt market develpment. In Nrway general ecnmy impacted by slwdwn in the il industry. Large prjects Psitive signs in tendering activity. In certain industries (nuclear in Germany and Sweden, mining in Sweden and il in Nrway) less investments resulting in prject pstpnements r cancellatins. Demand fr design & build f ttal technical slutins 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

23 Guidance fr 2016 Revenue estimates that the Grup s revenue fr 2016 will grw frm the previus year (2015: EUR 2,443 millin). EBITDA estimates that the Grup s EBITDA fr 2016 will grw significantly frm the previus year (2015: EUR 91.5 millin). 23

24 Dividend plicy and earnings per share Dividend pay-ut at least 50 per cent f the net prfit fr the perid. The Bard f Directrs prpses a dividend f EUR 0.28 per share, representing 75 percent f the Grup s net prfit fr Earnings per share Earnings per share increased significantly by 69% and amunted t 0.37 eurs per share in January December. Dividend per share, EUR Dividend pay-ut rati, % 78% % 75%

25

26 Additinal slides

27 30,594 sharehlders n December 31, 2015 Largest sharehlders Shares, pcs Majr sharehlders n June 28,2013 % f share Capital Change after September 2015, pcs Change after September 2015, % 1. Structr S.A. 17,840, Herlin Antti and the cmpanies cntrlled by him 13,850, , Ilmarinen Mutual Pensin Insurance Cmpany 4,030, Fndita funds 3,542, Nrdea funds 2,898, , Varma Mutual Pensin Insurance Cmpany 2,864, Danske Invest funds 2,475, , OP funds 2,191, , El Pensin Cmpany 2,119, , The State Pensin Fund 1,850, SEB Investment Funds 1,608, , Aktia funds 1,510, , Evli funds 1,347, , Brtherus Ilkka 1,048, Etera Mutual Pensin Insurance Cmpany 757, Säästöpankki funds 731, , Odin funds 557, , Oyj 512, Alfred Berg Finland 461, , Föreningen Knstsamfundet rf 423, largest, ttal 62,619, All shares 125,596, Owners by categry by shares wned Nminee registered and nn-finnish hlders 34.6% (September 30, 2015: 35.2%) Husehlds 19.0% (19.0%) General gvernment 10.2% (9.7%) Financial and insurance crpratins 13.8% (14.3%) Nn-prfit institutins 5.7% (5.4%) Nn-financial crpratins and husing crpratins 16.8% (16.4%) 30,594 wners (September 30, 2015: 30,416) 27