FIRST QUARTER 2018 PRESENTATION MAY 2

Transcription

1 FIRST QUARTER 2018 PRESENTATION MAY 2

2 SALES AND ADJ. EBITA MARGIN TROAX IN BRIEF FINANCIAL DEVELOPMENT, 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 16,5% and an organic sales CAGR of 11,6% Strong position in the value chain and low supplier and customer dependency 160,0 140,0 120,0 100,0 80,0 60,0 40,0 20,0 0,0 25,0% 22,0% 20,2% 21,6% 20,0% 18,0% 17,9% 152,1 115,8 14,7% 103,7 15,0% 10,2% 91,2 10,0% 70,1 60,8 71,7 5,0% 0,0% Approx. 36% of total employees work within sales Sales MEUR EBITA Margin PRODUCT OFFERING Machine guarding SALES BY REGION (2017) SALES BY END-MARKET (2017) Warehouse partitioning Property protection

3 Dividend policy Capital structure Profitability Sales growth FINANCIAL TARGETS Financial targets Actuals 2018 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: 6% M&A: 0% Currency -5% Troax target is to have an operating margin in excess of 20% 20% Adjusted EBITA margin 17,7% Net debt in relation to EBITDA, excluding temporary deviations, shall not exceed 2.5 times. <2,5x Net debt to EBITDA 1,5x 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 50%

4 SUMMARY Q Positive trend from previous quarters continued. Growth in order intake of 8 per cent, excluding currency changes. - Improvement in all regions except UK. - Lower demand from automotive sector compared to Q Sales increased 5 per cent. - All regions increased except UK. Several new important orders received, however less than corresponding quarter last year. Decision to start manufacturing of Troax products in Chicago, USA. The group has also decided to increase the manufacturing capacity in Hillerstorp, Sweden. This is due to the good volume development in recent years. Similar EBIT result and margin Q compared to LY. Higher Net result. Earnings per share was 0,21 (0,32) EUR. Started again to increase market investments. Positive development in all regions excluding UK. Implementation of Folding Guard according to plan. GDPR under implementation. Issued Sustainability report

5 FINANCIAL HIGHLIGHTS, GROUP

6 REGIONAL DEVELOPMENT ORDER INTAKE AND SALES

7 FOLDING GUARD INC. A leading US manufacturer of wire partitions and security solutions. Strong player in the central parts of the US. Folding Guard has as per end of Q4 146 employees. Head office and manufacturing facilities in Chicago. Troax distribution has been moved to FG facilities. Net sales in 2017 amounted to about 19 MEUR. Good distribution network, will give volume opportunities for Troax Group. The two brands will be maintained. Integration so far, is working in a good way. Will though take some time to get the sales synergies we aim for.

8 CONCLUSION The good development continues also in the first quarter of 2018, even if market demand is levelling out. Good capacity utilization and volumes continue to drive profitability. Continued good and stable cash flow. Lower financial costs, due to refinancing in Folding Guard implementation according to plan. Troax will start manufacturing Troax products in the US during Capacity increase in Sweden decided.

9 MAKING YOUR WORLD SAFE. BUSINESS CONCEPT To develop innovative safety solutions that protect people, property and processes. MISSION VISION Troax should be the No. 1 choice of innovative safety solutions, the worldleading supplier of mesh panels and have a global presence in all major channels. Troax is dedicated to exceeding its customers expectations within all areas. Troax s mission is to develop innovative safety solutions that protect people, property and processes.