First quarter 2017 Presentation May 10, 2017

Transcription

1 First quarter 2017 Presentation May 10, 2017

2 Overview Troax is the global market leader of indoor perimeters protection ( mesh panel solutions ) Relative market share is ~2.5x larger than #2 player Local presence in 36 countries Troax had a sales CAGR of 13,8% and an organic sales CAGR of 10,4% Strong position in the value chain and low supplier and customer dependency 36% of total employees work within sales Troax in brief 140,0 120,0 100,0 80,0 60,0 40,0 20,0 0,0 Financial development, SALES AND ADJ. EBITA MARGIN 103,7 115,8 25,0% 71,7 70,1 91,2 21,6% 22,3% 20,0% 17,9% 60,8 18,0% 15,0% 14,7% 10,2% 10,0% ,0% 0,0% Product offering Machine guarding Warehouse partitioning Property protection Sales by region (2016) New markets UK 11% 15% Nordics 19% Sales MEUR Mainland Europe 55% Warehouse Partitioning 28% Sales by end-market (2016) Property Protection 15% Machine Guarding 57%

3 Dividend policy Capital structure Profitability Sales growth Financial targets Financial targets Actuals 2017 YTD Troax objective is to exceed the growth in the Company s current markets through organic growth, as well as selective acquisitions >Market growth Sales growth Organic: 18% M&A: 19% Currency -2% Troax target is to have an operating margin in excess of 20% 20% Adjusted EBITA margin 18,2% Net debt in relation to EBITDA, excluding temporary deviations, shall not exceed 2.5 times. <2.5x Net debt to EBITDA 1,8x Troax target is to pay approximately 50 percent of its net profit in dividends. The dividend proposal shall take into account Troax long-term development potential, it s financial position and its investment needs. 50% Pay-out ratio 3,75 (3,00) SEK is suggested

4 Summary Q Positive trend from previous quarters continued Growth in order intake of 32 per cent, or 16 per cent adjusted for acquisition and currency. - Improvement in most regions. Sales increased 35 per cent, or 18 per cent adjusted for acquisition and currency. - All regions increased. Increase in result development. Earnings per share was 0,20 (0,14) EUR. Increase in market investments, according to plan Positive development in all regions Implementation of Folding Guard according to plan.

5 Financial highlights, Group Troax in Brief 3 Months 3 Months 12 Months 12 Months Jan-Mar Jan-Mar Jan-Dec Jan-Dec MEUR Order intake 38,5 29,1 119,6 104,4 Sales 36,3 26,8 115,8 103,7 Gross profit 14,1 10,9 48,8 44,6 Gross margin, % 38,8 40,7 42,1 43,0 Operating profit 6,6 4,7 25,3 22,4 Operating margin, % 18,2 17,5 21,8 21,6 Profit after tax 4,0 2,8 16,3 13,7 EBITDA 7,5 5,3 28,0 24,6 EBITDA margin, % 20,7 19,8 24,2 23,7 Earnings per share after dilution in 0,20 0,14 0,82 0,69 Closing rate SEK/EUR 9,55 9,23 9,57 9,14 Earnings per share after dilution in SEK. 1.) 1,91 1,29 7,80 6,26 All figures from Jan 2017 includes Folding Guard. 1.) Earnings per share after dilution in SEK, is calculated based on result in Euro and Closing rate SEK/EUR.

6 Regional Development Order Intake and Sales 3 Months 3 Months 12 Months 12 Months 12 Months Order intake Jan-Mar Jan-Mar Jan-Dec Jan-Dec Apr/Mar MEUR Diff Diff 2016/17 Continental Europe 18,9 15,4 23% 65,5 56,2 17% 69,0 Nordic region 6,5 5,5 18% 21,4 20,9 2% 22,4 United Kingdom 5,0 4,4 14% 20,3 17,4 17% 20,9 New Markets 3,5 3,8-8% 13,5 9,5 42% 13,2 Total excl Currency and Acq. 33,9 29,1 16% 120,7 104,0 16% 125,5 Currency effect -0,5 0,0-2% -2,8 0,0-3% -3,3 Acquisitions 5,1 0,0 18% 1,7 0,4 2% 6,8 Total Order intake 38,5 29,1 32% 119,6 104,4 15% 129,0 3 Months 3 Months 12 Months 12 Months 12 Months Total Sales Jan-Mar Jan-Mar Jan-Dec Jan-Dec Apr/Mar MEUR Diff Diff 2016/17 Continental Europe 18,2 15,0 21% 63,4 56,0 13% 66,6 Nordic region 5,8 5,2 12% 20,9 20,5 2% 21,5 United Kingdom 4,6 4,1 12% 19,8 17,4 14% 20,3 New Markets 3,1 2,5 24% 12,8 9,4 36% 13,4 Total excl Currency and Acq. 31,7 26,8 18% 116,9 103,3 13% 121,8 Currency effect -0,5 0,0-2% -2,8 0,0-3% -3,3 Acquisitions 5,1 0,0 19% 1,7 0,4 2% 6,8 Total Sales 36,3 26,8 35% 115,8 103,7 12% 125,3

7 Folding Guard Inc. A leading US manufacturer of wire partitions and security solutions Strong player in the central parts of the USA Folding Guard has 115 employees Head office and manufacturing facilities in Chicago Net sales in 2016 amounted to about USD 19 million Good distribution network, will give volume opportunities for Troax Group. Integration so far, is working in a good way. Will though take some time to get the synergies we aim for.

8 Conclusion The good development continues in the first quarter Growth in all regions Good capacity utilization and volumes continue to drive profitability. Continued good and stable cash flow. Folding Guard implementation according to plan. They will bring a stronger market foothold and local production in USA

9 Playing it safe, worldwide.