Interim report January-September 2024

Third quarter highlights

• Net sales amounted to SEK 1,202.3 million (1,259.2) corresponding to -4.5 percent. The organic change was -9.9 percent in local currencies.
• EBITA amounted to SEK 82.2 million (113.2) and the EBITA margin was 6.8 percent (9.0).
• Adjusted EBITA amounted to SEK 92.8 million (118.5) and the adjusted EBITA margin was 7.7 percent (9.4).
• Profit for the period amounted to SEK 29.1 million (60.5), earnings per share before and after dilution were SEK 0.61 (1.22).
• Operating cash flow totalled SEK 126.3 million (144.7).
• The order backlog amounted to SEK 2,770.9 million (3,410.0).

Nine month highlights

• Net sales amounted to SEK 3,551.2 million (3,712.2) corresponding to -4.3 percent. The organic change was -8.4 percent in local currencies.
• EBITA amounted to SEK 181.1 million (289.1) and the EBITA margin was 5.1 percent (7.8).
• Adjusted EBITA amounted to SEK 194.4 million (320.1) and the adjusted EBITA margin was 5.5 percent (8.6).
• Profit for the period amounted to SEK 50.5 million (145.7), earnings per share before and after dilution were SEK 1.05 (2.94).
• Operating cash flow totalled SEK 237.0 million (337.8).

Significant events during the quarter

• Fasadgruppen has acquired Brenden, one of Norway’s leading scaffolding companies, as well as Swedish steel and forging company JE:s Svets & Smide.

Events after the end of the period

• Fasadgruppen has acquired Clear Line, a specialised full-service contractor in façades and façade fire remediation in the UK
• Fasadgruppen has converted existing MSEK 2,700 credit facilities agreement into sustainability-linked loans

Condensed CEO comment from Martin Jacobsson: “Improved earnings; strategic acquisition in the UK”
“The Group continues to weather the tough market conditions that have prevailed for more than a year. There have been no major changes in the market since the last interim period, but the earnings performance in the third quarter represents an improvement compared to the beginning of the year. We continue to build the Group for the future and ensure that we are well positioned to capitalise on a stronger economy and a higher pace of renovation, both operationally and in the form of value-adding acquisitions.

Sales in the third quarter amounted to SEK 1,202 million, a decrease of 4.5 percent in total and of 9.9 percent organically. As was the case earlier in the year, Swedish operations in particular are experiencing a negative development. Norway and Finland achieved organic growth during the quarter, while Denmark declined slightly.

Adjusted EBITA totalled SEK 92.8 million, with a margin of 7.7 percent. Earnings are down compared to last year, but the decline is not as large as it was during the first two quarters of the year. The Swedish operations have had the largest negative impact on the outcome. Earnings increased in Norway and Denmark, while Finland showed stable development. We can see that the profitability initiatives implemented by many of the subsidiaries during the year have made an impact.

After the end of the quarter, we have announced the acquisition of Clear Line in the UK. Thanks to its strong market position in a clear niche and successful business model, Clear Line is a perfect match with our M&A strategy. We see great opportunities for Clear Line to continue to strengthen its position while the UK as a market has many attractive features.”

Report presentation
The interim report will be presented in a conference call and webcast today on 31 October 2024 at 8.15 a.m. CET.
Link to webcast: https://ir.financialhearings.com/fasadgruppen-group-q3-report-2024
Registration for participation by phone: https://conference.financialhearings.com/teleconference/?id=50048883