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Bufab AB
Interim / Quarterly Report • Oct 24, 2024
2898_10-q_2024-10-24_c0ca85ba-f399-4622-b374-364667ff156c.pdf
Interim / Quarterly Report
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Interim report
January – September 2024
Q3
Strong gross margin and stable operating margin
Third quarter of 2024
- Net sales declined by -9.2 percent to SEK 1,880 million (2,071). Organic growth was -2.6 percent and order intake was lower than net sales
- Adjusted operating profit (EBITA) was SEK 239 million (260), corresponding to an operating margin of 12.7 percent (12.6)
- Operating profit (EBITA) was SEK 258 million (220) and the operating margin was 13.7 percent (10.6)
- Earnings per share increased by 50.3 percent to SEK 3,85 (2.56).
- Cash flow from operating activities amounted to SEK 322 million (371), corresponding to a cash conversion ratio of 121 percent (159)
- Net debt/EBITDA, adjusted, was 2.4 (2.7).
January – September 2024
- Net sales declined by -8.4 percent to SEK 6,171 million (6,737). Organic growth was -6.6 percent and order intake was lower than net sales
- Adjusted operating profit (EBITA) was SEK 759 million (892), corresponding to an operating margin of 12.3 percent (13.2)
- Operating profit (EBITA) decreased by 9.4 percent to SEK 781 million (862) and the operating margin was 12.7 percent (12.8).
- Earnings per share decreased by 12.7 percent to SEK 11.61 (13.30)
- Cash flow from operating activities amounted to SEK 974 million (1,125), corresponding to a cash conversion ratio of 119 percent (124)
Sales growth
Net sales, SEK million
Operating margin (EBITA), adjusted
Operating profit (EBITA) adjusted, SEK million
| Key figures | ||||||
|---|---|---|---|---|---|---|
CEO's overview
Bufab reported a strong gross margin and stable operating margin in the third quarter, in a continued cautious market.
Demand in the quarter remained cautious, with continued large variations between different industries and regions. Similar to previous quarters, the strongest developments were noted in energy and defence. Demand in the important mobile home and trailer segment remained at low levels, and the development in construction, bath, kitchen and outdoor recreation sectors were also weak. Organic growth amounted to -2.6 percent, indicating an improvement to the previous quarter (-6.6 percent). The region Asia-Pacific showed a new trend with organic growth of a strong 13.2 percent, driven by particularly strong growth in China.
We have continued our efforts to strengthen the gross margin, which increased by 1.6 percentage points in the quarter to an all-time high of 30.6 percent. The gradual strengthening over the past few quarters is a result of the long-term work that began in 2023 to improve our customer and product mix, develop our value creation for customers, and achieve purchasing savings.
The adjusted operating margin was in line with last year, amounting to 12.7 (12.6) percent, which is a stable level given the challenging market conditions. Our dedicated work with cost control throughout the organisation have yielded the expected results, primarily due to staff reductions, but also reduced overhead costs. At the same time, we continue to invest in driving growth and improving profitability in the long term, and have continued to invest in our customer offering during the quarter.
Region Europe North & East showed particularly strong profitability with an adjusted operating margin over 14 percent and region Europe West also showed good results, while Asia-Pacific noted a weak profit development in the quarter.
Cash flow from operating activities remained stable and amounted to 322 MSEK (371) for the quarter. The net debt/EBITDA was 2.4 (2.7), and our strengthened financial position gives us room for value-creating acquisitions. We see an increase in M&A activity and are in ongoing discussions with several potential acquisition candidates.
We continue, according to plan, implementing our strategy where our short-term priorities remain; to gain market share, gradually improve our margin, and deliver a strong cash flow. A focus area in our strategy is to lead the development of sustainability in our industry and continue to strengthen our customer offering. An example of our customer offering is our many different logistics solutions that create great value for our customers through less administration, lower
indirect costs, and ensuring efficient material supply. In 2024, we have installed a record number of new solutions that both strengthen our customer relationship and increase our growth rate.
Uncertainty regarding the general economic outlook remains, but we see indications of improved demand from general industry, likely not until the first half of 2025. At the same time, a weaker economy creates favourable conditions for a strong player such as Bufab to take new market shares. This, together with our focused work on strengthening our gross margin and on cost savings, will put us in a strong position once the market rebounds.
Finally, I would like to thank all our customers, partners and employees for your continued support and commitment.
Erik Lundén President and CEO
The Group in brief
Third quarter
Order intake decreased to SEK 1 671 million (1,983) and was lower than net sales. Net sales declined by -9.2 percent to SEK 1 880 million (2,071). Of the total change in sales, -3.1 percent was attributable to currency effects, -3.5 percent to acquisitions and -2.6 percent to organic growth.
The gross margin strengthened year-on-year and amounted to 30.6 percent (29.0). The higher gross margin is the result of focused efforts to improve the customer and product mix, develop the added value delivered to customers, and purchase savings.
The share of operating expenses declined to 16,8 percent (18.4). The operating expenses were impacted by a positive effect from the remeasurement of additional purchase considerations of SEK 8 million in the quarter, and a negative effect of SEK 40 million was noted in the comparable quarter. Adjusted for the remeasured additional purchase considerations, the share of operating expenses amounted to 17.3 percent (16.5).
Adjusted operating profit (EBITA) decreased to SEK 239 million (260), corresponding to an operating margin of 12,7 percent (12.6). Operating profit (EBITA) increased to SEK 258 million (220), equal to an operating margin of 13,7 percent (10.6).
Earnings per share increased by 50.3 percent to SEK 3,85 (2.56).
January – September
Order intake decreased to SEK 5,978 million (6,566) and was lower than net sales. Net sales declined by -8.4 percent to SEK 6,171 million (6,737). Of the total growth, -0.7 percent was attributable to currency effects, -1.1 percent to acquisitions and -6.6 percent to organic growth.
The gross margin strengthened year-on-year and amounted to 29.8 percent (28.6).
The share of operating expenses increased to 17.1 percent (15.8). The increase compared with last year was due to lower volumes, inflationary effects and investments, but also to remeasured additional purchase considerations, which were SEK 11 million for the period compared with SEK -30 million in the comparison period. Adjusted for the remeasured additional purchase considerations, the share of operating expenses amounted to 17.3 percent (15.3).
Adjusted operating profit (EBITA) declined to SEK 759 million (892), corresponding to an operating margin of 12.3 percent (13.2). Operating profit (EBITA) declined to SEK 781 million (862) and the operating margin was 12.7 percent (12.8).
Earnings per share decreased by 12.7 percent to SEK 11.61 (13.30).
Financial items and tax
The Group's net financial items totalled SEK -51 million (-71) for the third quarter, of which exchange-rate differences accounted for SEK 4 million (-6) and interest rates for SEK -47 million (-69). During the nine-month period, net financial items amounted to SEK -155 million (-147), of which exchange-rate differences accounted for SEK 0 million (14) and interest rates for SEK -153 million (-174). The Group's profit after financial items was SEK 190 million (131) for the quarter and SEK 575 million (662) for the nine-month period.
The tax expense for the quarter was SEK -44 million (-33), resulting in an effective tax rate of 23.2 percent (25.2). The tax expense for the nine-month period was SEK -135 million (-159), resulting in an effective tax rate of 23.5 percent (24.0).
Cash flow, working capital and financial position
Cash flow from operating activities amounted to SEK 322 million (371), corresponding to a cash conversion ratio of 121 percent (159) For the nine-month period, cash flow from operating activities amounted to SEK 974 million (1,125), corresponding to a cash conversion ratio of 119 percent (124).
Cash flow from operating activities was lower than in the comparative period and was mainly due to lower cash flow from working capital. The sale of Bufab Lann and Hallborn had a positive impact on cash flow from investing activities of SEK 110 million.
Working capital as a percentage of net sales was 34.1 percent (37.0). The improvement is a direct result of the Group's goal of unlocking capital tied up in operations.
On 30 September 2024, adjusted net debt totaled SEK 2,367 million (3,117) and the debt/equity ratio was 78 percent (104). The lower net debt is directly attributable to the favorable operating cash flow over the past four quarters.
The key figure net debt/EBITDA, adjusted, was 2.4 (2.7) on 30 September 2024. The key figure improved year-on-year.
Operating cash flow and cash conversion ratio
Net debt/EBITDA, adjusted
Region Europe North & East
- 12.1% 14.2%
Sales growth
Net sales, SEK million
Operating margin (EBITA), adjusted
The region consists of Bufab's operations in Sweden, Finland, Norway, Denmark, Poland, Hungary, Romania, the Baltic States and Slovakia.
Third quarter
Sales growth amounted to -12.1 percent in the quarter and organic growth to -0.9 percent, an improvement on the preceding quarter. The divestment of Bufab Lann and Hallborn Metall had an impact on sales of -9.7 percent in the quarter. The decline was due to the continued challenging market conditions in Bufab Poland and Bufab Finland. Meanwhile, HT Bendix noted increased demand in the quarter, albeit from a low level, and Bumax also noted a favorable development, mainly driven by new distribution agreements.
The gross margin improved 2.6 percentage points year-on-year, primarily due to a strong performance in Sweden. The strengthened gross margin was the result of
purchasing savings, improved customer and product mix, and due to proactive efforts with the customer offering in the region.
Operating expenses declined by SEK 22 million year-on-year. Costs were impacted by a positive effect from the remeasurement of additional purchase considerations of SEK 8 million in the quarter. In addition, good cost control and currency effects had a positive impact on operating expenses compared with the preceding year.
Overall, adjusted operating profit increased by SEK 7 million, yielding an adjusted operating margin of 14.2 percent (11.5).
Rolling 12 months
Operating profit (EBITA) adjusted, SEK million
Quarter
Key figures
| Q3 | ∆ | Jan-Sep | ∆ | LTM | Full-year | |||
|---|---|---|---|---|---|---|---|---|
| MSEK | 2024 | 2023 | % | 2024 | 2023 | % | 23/24 | 2023 |
| Order intake | 468 | 755 | -38 | 2 193 | 2 593 | -15 | 3 024 | 3 424 |
| Net sales | 668 | 760 | -12 | 2 403 | 2 628 | -9 | 3 203 | 3 429 |
| Gross profit | 197 | 204 | -3 | 678 | 702 | -3 | 896 | 920 |
| Gross margin (%) | 29,4 | 26,8 | 28,2 | 26,7 | 28,0 | 26,8 | ||
| Operating expenses | -94 | -116 | -19 | -383 | -365 | 5 | -498 | -480 |
| Share of net sales (%) | -14,1 | -15,3 | -15,9 | -13,9 | -15,5 | -14,0 | ||
| Operating profit (EBITA) | 102 | 88 | 17 | 296 | 337 | -12 | 399 | 440 |
| Operating margin EBITA (%) | 15,3 | 11,5 | 12,4 | 12,8 | 12,4 | 12,8 | ||
| Operating profit (EBITA), adjusted | 95 | 88 | 8 | 288 | 337 | -14 | 391 | 440 |
| Operating margin EBITA, (%) adjusted | 14,2 | 11,5 | 12,0 | 12,8 | 12,2 | 12,8 |
Operating expenses decreased by SEK 4 million year-on-year, as cost-reducing measures have begun to generate results. In relation to sales, operating expenses
Overall, adjusted operating profit increased by SEK 1 million, yielding an adjusted
Region Europe West
The region consists of Bufab's operations in France, the Netherlands, Germany, the Czech Republic, Austria, Spain and Türkiye.
Sales growth amounted to -6.8 percent in the quarter and organic growth to -2.0 percent, an improvement on the preceding quarter. A higher level of activity was noted from the automotive industry during the quarter, and in parallel defence and energy continued to develop well. Bufab France and Bufab Czech Republic noted healthy demand, while Bufab Germany, Jenny I Waltle and Flos continued to be impacted by
The gross margin improved 1.0 percentage point year-on-year, due to purchasing
savings, price adjustments and an improved customer and product mix.
Share of total sales
increased marginally.
operating margin of 13.7 percent (12.7).
- 6.8% 13.7%
Sales growth
Operating margin (EBITA), adjusted
Net sales, SEK million
Key figures
Third quarter
challenging market conditions.
| Q3 | ∆ | Jan-Sep | ∆ | LTM | Full-year | |||
|---|---|---|---|---|---|---|---|---|
| MSEK | 2024 | 2023 | % | 2024 | 2023 | % | 23/24 | 2023 |
| Order intake | 445 | 405 | 10 | 1 414 | 1 451 | -3 | 1 865 | 1 902 |
| Net sales | 443 | 475 | -7 | 1 401 | 1 522 | -8 | 1 830 | 1 951 |
| Gross profit | 113 | 117 | -3 | 355 | 371 | -5 | 458 | 474 |
| Gross margin (%) | 25,6 | 24,6 | 25,3 | 24,4 | 25,0 | 24,3 | ||
| Operating expenses | -53 | -57 | -7 | -172 | -172 | 1 | -229 | -229 |
| Share of net sales (%) | -12,0 | -11,9 | -12,3 | -11,3 | -12,5 | -11,7 | ||
| Operating profit (EBITA) | 61 | 60 | 1 | 183 | 199 | -8 | 229 | 245 |
| Operating margin EBITA (%) | 13,7 | 12,7 | 13,1 | 13,1 | 12,5 | 12,6 | ||
| Operating profit (EBITA), adjusted | 61 | 60 | 1 | 183 | 199 | -8 | 229 | 245 |
| Operating margin EBITA, (%) adjusted | 13,7 | 12,7 | 13,1 | 13,1 | 12,5 | 12,6 |
Operating profit (EBITA) adjusted, SEK million
Region Americas
The region comprises Bufab's operations in the US and Mexico.
Share of total sales
- 15.9% 12.5%
Sales growth
Operating margin (EBITA), adjusted
Third quarter
Sales growth amounted to -15.9 percent in the quarter and organic growth to -8.9 percent, an improvement on the preceding quarter. Currency effects had an impact on sales of -7 percent. The decline was the result of continued challenging market conditions in the important mobile home and trailer segment, but also in the automotive segment, which especially impacted our company Component Solutions Group.
The gross margin increased 1 percentage point compared with the comparative quarter mainly due to an improved customer and product mix.
Operating expenses decreased in the quarter due to implemented cost savings, though operating expenses increased relative to sales by 2.0 percentage points compared with the comparative quarter.
Overall, adjusted operating profit decreased by SEK 9 million, yielding an adjusted operating margin of 12.5 percent (13.4).
Net sales, SEK million
Quarter Rolling 12 months
Operating profit (EBITA) adjusted, SEK million
Key figures
| Q3 | ∆ | Jan-Sep | LTM ∆ |
Full-year | ||||
|---|---|---|---|---|---|---|---|---|
| MSEK | 2024 | 2023 | % | 2024 | 2023 | % | 23/24 | 2023 |
| Order intake | 213 | 265 | -20 | 783 | 862 | -9 | 1 013 | 1 092 |
| Net sales | 248 | 295 | -16 | 804 | 925 | -13 | 1 062 | 1 182 |
| Gross profit | 87 | 101 | -13 | 286 | 321 | -11 | 376 | 412 |
| Gross margin (%) | 35,2 | 34,2 | 35,5 | 34,7 | 35,4 | 34,8 | ||
| Operating expenses | -56 | -61 | -8 | -186 | -172 | 8 | -249 | -235 |
| Share of net sales (%) | -22,7 | -20,7 | -23,2 | -18,6 | -23,4 | -19,8 | ||
| Operating profit (EBITA) | 31 | 40 | -22 | 99 | 149 | -33 | 128 | 177 |
| Operating margin EBITA (%) | 12,5 | 13,4 | 12,3 | 16,1 | 12,0 | 15,0 | ||
| Operating profit (EBITA), adjusted | 31 | 40 | -22 | 99 | 145 | -32 | 128 | 174 |
| Operating margin EBITA, (%) adjusted | 12,5 | 13,4 | 12,3 | 15,7 | 12,0 | 14,7 |
Region UK/Ireland
The region comprises Bufab's operations in the UK and Ireland.
Share of total sales
Third quarter
Sales growth amounted to -7.2 percent in the quarter and organic growth to -5.9 percent, an improvement on the preceding quarter. The decline was attributable to lower market prices, which mainly impacted Apex Stainless Fasteners and TIMCO. Bufab Ireland and Bufab UK reported healthy demand in the quarter.
The gross margin was marginally higher year-on-year.
Operating expenses decreased sharply in the quarter as the comparable quarter was impacted by a negative effect from remeasurement of additional purchase considerations of SEK 40 million. Adjusted for this, operating expenses were unchanged in absolute figures year-on-year. Relative to sales, operating expenses rose as inflationary effects exceeded the cost savings realised during the quarter.
Overall, adjusted operating profit decreased by SEK 9 million, yielding an adjusted operating margin of 12.5 percent (13.6).
7.2% 12.5%
Sales growth
Operating margin (EBITA), adjusted
Rolling 12 months
Net sales, SEK million
Key figures
| Q3 | ∆ | Jan-Sep | ∆ | LTM | Full-year | |||
|---|---|---|---|---|---|---|---|---|
| MSEK | 2024 | 2023 | % | 2024 | 2023 | % | 23/24 | 2023 |
| Order intake | 410 | 453 | -10 | 1 211 | 1 313 | -8 | 1 653 | 1 754 |
| Net sales | 409 | 441 | -7 | 1 222 | 1 310 | -7 | 1 588 | 1 676 |
| Gross profit | 135 | 144 | -6 | 404 | 411 | -2 | 530 | 537 |
| Gross margin (%) | 33,1 | 32,8 | 33,1 | 31,4 | 33,4 | 32,1 | ||
| Operating expenses | -84 | -124 | -32 | -248 | -274 | -9 | -379 | -405 |
| Share of net sales (%) | -20,6 | -28,2 | -20,3 | -20,9 | -23,9 | -24,1 | ||
| Operating profit (EBITA) | 51 | 20 | 151 | 156 | 138 | 13 | 151 | 133 |
| Operating margin EBITA (%) | 12,5 | 4,6 | 12,8 | 10,5 | 9,5 | 7,9 | ||
| Operating profit (EBITA), adjusted | 51 | 60 | -14 | 153 | 171 | -11 | 196 | 214 |
| Operating margin EBITA, (%) adjusted | 12,5 | 13,6 | 12,5 | 13,0 | 12,3 | 12,8 |
Operating profit (EBITA) adjusted, SEK million
Quarter
Region Asia-Pacific
The region consists of Bufab's operations in China, India, Singapore and other countries in Southeast Asia.
Share of total sales
10.4% Sales growth
9.0% Operating margin (EBITA), adjusted
Third quarter
Sales growth amounted to 10.4 percent in the quarter and organic growth to 13.2 percent. The organic growth is a positive reversal in the trend following a number of quarters of negative organic growth. Demand was strong in the region, particularly in China. Bufab India had a challenging year in terms of sales due to uncertainties concerning the election in India, but following the election the market situation has stabilised. During the quarter, Kian Soon noted healthy demand and is again reporting growth.
The weakening of the gross margin during the quarter was due to a unfavorable customer and product mix.
Key figures
| Q3 | ∆ | Jan-Sep | ∆ | LTM | Full-year | |||
|---|---|---|---|---|---|---|---|---|
| MSEK | 2024 | 2023 | % | 2024 | 2023 | % | 23/24 | 2023 |
| Order intake | 134 | 105 | 29 | 376 | 347 | 8 | 459 | 431 |
| Net sales | 110 | 100 | 10 | 340 | 353 | -4 | 430 | 443 |
| Gross profit | 34 | 31 | 8 | 105 | 109 | -4 | 133 | 137 |
| Gross margin (%) | 30,6 | 31,3 | 30,8 | 31,0 | 30,8 | 31,0 | ||
| Operating expenses | -24 | -19 | 27 | -62 | -56 | 11 | -80 | -74 |
| Share of net sales (%) | -21,6 | -18,7 | -18,2 | -15,8 | -18,5 | -16,6 | ||
| Operating profit (EBITA) | 10 | 13 | -21 | 43 | 53 | -20 | 53 | 64 |
| Operating margin EBITA (%) | 9,0 | 12,6 | 12,6 | 15,2 | 12,3 | 14,4 | ||
| Operating profit (EBITA), adjusted | 10 | 13 | -21 | 43 | 53 | -20 | 53 | 64 |
| Operating margin EBITA, (%) adjusted | 9,0 | 12,6 | 12,6 | 15,2 | 12,3 | 14,4 |
Operating expenses increased by SEK 5 million year-on-year. The increase was primarily attributable to inflationary effects, investments in the customer offering and unfavorable currency fluctuations.
Overall, adjusted operating profit decreased by SEK 3 million, yielding an adjusted operating margin of 9.0 percent (12.6).
Net sales, SEK million
Quarter Rolling 12 months
Operating profit (EBITA) adjusted, SEK million
Financial statements
Condensed Consolidated Income Statement Statement of Comprehensive Income
| 03 | Jan-Sep | |||
|---|---|---|---|---|
| MSEK | 2024 | 2023 | 2024 | 2023 |
| Net sales | 1 880 | 2 071 | 6 171 | 6 737 |
| Costs of goods sold | -1 305 | -1 470 | -4 333 | -4 812 |
| Gross profit | 575 | 601 | 1 839 | 1 925 |
| Distribution costs | -235 | -238 | -735 | -700 |
| Administative expenses | -139 | -135 | -433 | -417 |
| Other operating income and operating expenses | 40 | -26 | 60 | |
| Operating profit | 241 | 202 | 731 | 809 |
| Profit/loss from financial items | ||||
| Interest income and similar profit/loss items | 6 | 6 | 27 | |
| Interest expenses and similar profit/loss items | -57 | -77 | -162 | -174 |
| Profit after financial items | 190 | 131 | 575 | લક ર |
| Tax on net profit for the period | -AA | -33 | -135 | -159 |
| Profit after tax | 146 | 88 | 440 | 503 |
| 03 | Jan-sep | ||||
|---|---|---|---|---|---|
| MSEK | 2024 | 2023 | 2024 | 2023 | |
| Profit after tax | 146 | 98 | 440 | 503 | |
| Other comprehensive income | |||||
| ltems that will not be reclassified in profit or loss | |||||
| Actuarial loss / profit on pension obligations, net | |||||
| after tax | |||||
| Translation differences / Currency hedging net after tax | -41 | 52 | 49 | 78 | |
| Other comprehensive income after tax | -41 | 52 | 49 | 78 | |
| Total comprehensive income | 105 | 150 | 489 | 581 | |
| Total comprehensive income attributable to: | |||||
| Parent Company shareholders | 105 | 150 | 489 | 581 | |
Earnings per share
| Q3 | Jan-Sep | |||
|---|---|---|---|---|
| SEK | 2024 | 2023 | 2024 | 2023 |
| Earnings per share | 3.85 | 2.56 | 11.61 | 13.3 |
| Weighted number of shares outstanding before dilution, thousands | 37 874 | 37 853 | 37 872 | 37 804 |
| Earnings per share after dilution | 3.84 | 254 | 11.56 | 13.17 |
| Weighted number of shares outstanding after dilution, thousands | 38 036 | 38 146 | 38 051 | 38 183 |
Condensed Consolidated Balance Sheet
| 30 Sep | 31 Dec | ||
|---|---|---|---|
| MSEK | 2024 | 2023 | 2023 |
| Assets | |||
| Fixed assets | |||
| Intangible fixed assets | 3 315 | 3 429 | 3 289 |
| Property plant and equipment | 664 | 699 | 769 |
| Financial assets | 35 | 29 | 32 |
| Total non-current assets | 4 014 | 4 157 | 4 090 |
| Current assets | |||
| Inventories | 2 522 | 3 018 | 2 857 |
| Current receivables | 1 552 | 1 674 | 1 435 |
| Cash and cash equivalents | 208 | 362 | 218 |
| Total current assets | 4 282 | 5 054 | 4 510 |
| Total assets | 8 297 | 9 211 | 8 600 |
| 30 Sep | |||
|---|---|---|---|
| MSEK | 2024 | 2023 | 2023 |
| Equity and liabilities | |||
| Equity | 3 707 | 3 438 | 3 418 |
| Non-current liabilities | |||
| Non-current liabilities, interest bearing | 2 758 | 3 055 | 3 346 |
| Non-current liabilities, non-interest bearing | 160 | 260 | 201 |
| Total non-current liabilities | 2 918 | 3 315 | 3 547 |
| Current liabilities | |||
| Current liabilities, interest bearing | 331 | 883 | 271 |
| Current liabilities, non-interest bearing | 1 340 | 1 575 | 1 364 |
| Total current liabilities | 1 671 | 2 458 | 1 635 |
| Total equity and liabilities | 8 297 | 9 211 | 8 600 |
| N 30 D 3 B |
|
|---|---|
| ------------------------ | -- |
Consolidated Statement of Changes in Equity Consolidated Cash Flow Statement
| Consolidated Cash Flow Statement | ||
|---|---|---|
| 30 Sep | |||
|---|---|---|---|
| MSEK | 2024 | 2023 | |
| Equity at beginning of year | 3 418 | 3 036 | |
| Comprehensive income | |||
| Profit after tax | 440 | 503 | |
| Other comprehensive income | |||
| ltems that will not be reclassified in profit or loss | |||
| Actuarial loss / profit on pension obligations, net after tax | |||
| Items that may be reclassified in profit or loss | |||
| Translation differences / Currency hedging net after tax | 49 | 18 | |
| Total comprehensive income | 489 | 581 | |
| Transactions with shareholders | |||
| Option programme | -11 | ||
| Issued call options | |||
| Redemption call options | |||
| Repurchase of own shares | |||
| Dividend to shareholders | -189 | -179 | |
| Total transactions with shareholders | -200 | -179 | |
| Equity at end of period | 3 707 | 3 438 |
| Q3 | Jan-Sep | |||||
|---|---|---|---|---|---|---|
| MSEK | 2024 | 2023 | 2024 | 2023 | ||
| Operating activities | ||||||
| Profit before financial items | 241 | 202 | 731 | 809 | ||
| Depreciation and amortization | કિક | ಲ್ಲೊ | 211 | 202 | ||
| Interest and other finance income | -1 | -1 | 1 | 27 | ||
| Interest and other finance expenses | -53 | -69 | -162 | -174 | ||
| Other non-cash items | -24 | 20 | -24 | 33 | ||
| Income tax paid | -40 | -40 | -150 | -146 | ||
| Cash flow from operations | 189 | 181 | 607 | 751 | ||
| Changes in working capital | ||||||
| Increase (-)/decrease (+) in inventories | 29 | 91 | 394 | ਕਰੇਰੇ | ||
| Increase (-)/decrease (+) in operating receivables | 185 | 138 | -114 | -69 | ||
| Increase (+)/decrease (-) in operating liabilities | -81 | 39 | 87 | ട്ട | ||
| Cash flow from operating activities | 322 | 371 | 974 | 1,125 | ||
| Investing activities | ||||||
| Purchase of intangible assets | -3 | -3 | -8 | -5 | ||
| Acquisition of property, plant and equipment | -21 | -24 | -52 | -65 | ||
| Company acquisitions including additional purchase considerations | -23 | 13 | -168 | -626 | ||
| Proceeds from sale of companies and shares | 110 | 110 | ||||
| Cash flow from (-used in) investing activities | 63 | -14 | -118 | -696 | ||
| Financing activities | ||||||
| Dividend paid | -189 | -04 | ||||
| Option programme | 1 | -11 | ||||
| Increase (+)/decrease (-) in borrowings | 387 | -311 | -669 | 314 | ||
| Cash flow from financing activities | -386 | -311 | -869 | -408 | ||
| Cash flow for (-used in) the period | -1 | 46 | -13 | 21 | ||
| Cash and cash equivalents at the beginning of the period | 212 | 314 | 218 | 322 | ||
| Translation differences | -3 | 2 | 3 | 19 | ||
| Cash and cash equivalents at the end of the period | 208 | 362 | 208 | 362 |
The Group's Segment Reporting
| Europe North & East | UK/Ireland | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| MSEK | Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 | Q2 24 | Q3 24 | MSEK | ||||||
| Net sales | 780 | 853 | 968 | 900 | 760 | 800 | 868 | 867 | 668 | Net sales |
| Gross profit | 211 | 221 | 261 | 237 | 204 | 218 | 236 | 246 | 197 | Gross profit |
| Gross margin (%) | 27,1 | 25,9 | 27,0 | 26,4 | 26,8 | 27,2 | 27,2 | 28,4 | 29,4 | Gross margin (%) |
| Operating expenses | -123 | -119 | -121 | -128 | -116 | -115 | -143 | -145 | -94 | Operating expenses |
| Share of net sales (%) | -15,8 | -14,0 | -12,5 | -14,3 | -15,3 | -14,4 | -16,5 | -16,7 | -14,1 | Share of net sales (%) |
| Operating profit (EBITA) | 88 | 101 | 140 | 109 | 88 | 103 | 92 | 101 | 102 | Operating profit (EBITA) |
| Operating margin EBITA (%) | 11,3 | 11,9 | 14,5 | 12,1 | 11,5 | 12,8 | 10,6 | 11,7 | 15,3 | Operating margin EBITA (%) |
| Operating profit (EBITA), adjusted | 88 | 101 | 140 | 109 | 88 | 103 | 92 | 101 | 95 | Operating profit (EBITA), adjusted |
| Operating margin EBITA, (%) adjusted | 11,3 | 11,9 | 14,5 | 12,1 | 11,5 | 12,8 | 10,6 | 11,7 | 14,2 | Operating margin EBITA, (%) adjusted |
| Europe West | Asia-Pacific | |||||||||
| MSEK | Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 | Q2 24 | Q3 24 | MSEK | ||||||
| Net sales | 435 | 425 | 546 | 501 | 475 | 429 | 490 | 469 | 443 | Net sales |
| Gross profit | 106 | 108 | 134 | 120 | 117 | 103 | 123 | 119 | 113 | Gross profit |
| Gross margin (%) | 24,4 | 25,5 | 24,6 | 23,8 | 24,6 | 23,9 | 25,1 | 25,3 | 25,6 | Gross margin (%) |
| Operating expenses | -56 | -60 | -58 | -57 | -57 | -57 | -59 | -60 | -53 | Operating expenses |
| Share of net sales (%) | -13,0 | -14,2 | -10,6 | -11,5 | -11,9 | -13,3 | -12,0 | -12,9 | -12,0 | Share of net sales (%) |
| Operating profit (EBITA) | 50 | 48 | 77 | 62 | 60 | 46 | 64 | 58 | 61 | Operating profit (EBITA) |
| Operating margin EBITA (%) | 11,4 | 11,2 | 14,0 | 12,4 | 12,7 | 10,7 | 13,1 | 12,4 | 13,7 | Operating margin EBITA (%) |
| Operating profit (EBITA), adjusted | 50 | 48 | 77 | 62 | 60 | 46 | 64 | 58 | 61 | Operating profit (EBITA), adjusted |
| Operating margin EBITA, (%) adjusted | 11,4 | 11,2 | 14,0 | 12,4 | 12,7 | 10,7 | 13,1 | 12,4 | 13,7 | Operating margin EBITA, (%) adjusted |
| Americas | Group | |||||||||
| MSEK | Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 | Q2 24 | Q3 24 | MSEK | ||||||
| Net sales | 360 | 299 | 315 | 315 | 295 | 258 | 278 | 278 | 248 | Net sales |
| Gross profit | 113 | 98 | 107 | 113 | 101 | 91 | 98 | 100 | 87 | Gross profit |
| Gross margin (%) | 31,2 | 32,9 | 33,9 | 36,0 | 34,2 | 35,1 | 35,2 | 36,1 | 35,2 | Gross margin (%) |
| Operating expenses | -95 | -61 | -71 | -40 | -61 | -62 | -62 | -68 | -56 | Operating expenses |
| Share of net sales (%) | -26,3 | -20,3 | -22,5 | -12,8 | -20,7 | -24,1 | -22,3 | -24,5 | -22,7 | Share of net sales (%) |
| Operating profit (EBITA) | 18 | 38 | 36 | 73 | 40 | 28 | 36 | 32 | 31 | Operating profit (EBITA) |
| Operating margin EBITA (%) | 5,0 | 12,6 | 11,4 | 23,2 | 13,4 | 11,0 | 12,9 | 11,6 | 12,5 | Operating margin EBITA (%) |
| Operating profit (EBITA), adjusted | 48 | 35 | 44 | 61 | 40 | 28 | 36 | 32 | 31 | Operating profit (EBITA), adjusted |
Operating margin EBITA, (%) adjusted 13,3 11,6 14,0 19,4 13,4 11,0 12,9 11,6 12,5
| MSEK | Q3 2022 | Q4 2022 | Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 | Q1 2024 | Q2 24 | Q3 24 |
|---|---|---|---|---|---|---|---|---|---|
| Net sales | 414 | 382 | 427 | 442 | 441 | 366 | 398 | 415 | 409 |
| Gross profit | 125 | 113 | 127 | 139 | 144 | 126 | 131 | 138 | 135 |
| Gross margin (%) | 30,2 | 29,6 | 29,9 | 31,5 | 32,8 | 34,5 | 32,8 | 33,2 | 33,1 |
| Operating expenses | -33 | -70 | -67 | -82 | -124 | -131 | -82 | -82 | -84 |
| Share of net sales (%) | -8,1 | -18,4 | -15,7 | -18,7 | -28,2 | -35,8 | -20,7 | -19,7 | -20,6 |
| Operating profit (EBITA) | 92 | 43 | 60 | 57 | 20 | -5 | 48 | 56 | 51 |
| Operating margin EBITA (%) | 22,1 | 11,2 | 14,1 | 12,8 | 4,6 | -1,3 | 12,2 | 13,6 | 12,5 |
| Operating profit (EBITA), adjusted | 55 | 43 | 54 | 57 | 60 | 43 | 48 | 53 | 51 |
| Operating margin EBITA, (%) adjusted | 13,2 | 11,2 | 12,7 | 12,8 | 13,7 | 11,8 | 12,2 | 12,8 | 12,5 |
| Asia-Pacific | |||||||||
| MSEK | Q3 2022 | Q4 2022 | Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 | Q1 2024 | Q2 24 | Q3 24 |
| Net sales | 132 | 112 | 131 | 122 | 100 | 90 | 116 | 114 | 110 |
| Gross profit | 41 | 34 | 41 | 37 | 31 | 28 | 37 | 34 | 34 |
| Gross margin (%) | 31,0 | 30,5 | 31,3 | 30,4 | 31,3 | 30,9 | 31,5 | 30,2 | 30,6 |
| Operating expenses | -20 | -19 | -19 | -18 | -19 | -18 | -18 | -20 | -24 |
| Share of net sales (%) | -15,1 | -17,3 | -14,6 | -14,8 | -18,7 | -19,7 | -15,6 | -17,6 | -21,6 |
| Operating profit (EBITA) | 21 | 15 | 22 | 19 | 13 | 10 | 19 | 14 | 10 |
| Operating margin EBITA (%) | 15,9 | 13,1 | 16,7 | 15,6 | 12,6 | 11,2 | 16,0 | 12,6 | 9,0 |
| Operating profit (EBITA), adjusted | 21 | 15 | 22 | 19 | 13 | 10 | 19 | 14 | 10 |
| Operating margin EBITA, (%) adjusted | 15,9 | 13,1 | 16,7 | 15,6 | 12,6 | 11,2 | 16,0 | 12,6 | 9,0 |
| Group | |||||||||
| MSEK | Q3 2022 | Q4 2022 | Q1 2023 | Q2 2023 | Q3 2023 | Q4 2023 | Q1 2024 | Q2 24 | Q3 24 |
| Net sales | 2 146 | 2 074 | 2 386 | 2 280 | 2 071 | 1 943 | 2 149 | 2 142 | 1 880 |
| Gross profit | 601 | 583 | 675 | 649 | 601 | 569 | 625 | 639 | 575 |
| Gross margin (%) | 28,0 | 28,1 | 28,3 | 28,5 | 29,0 | 29,3 | 29,1 | 29,8 | 30,6 |
| Operating expenses | -329 | -341 | -351 | -331 | -381 | -388 | -365 | -376 | -317 |
| Share of net sales (%) | -15,3 | -16,4 | -14,7 | -14,5 | -18,4 | -20,0 | -17,0 | -17,6 | -16,8 |
| Operating profit (EBITA) | 272 | 242 | 323 | 319 | 220 | 181 | 259 | 263 | 258 |
| Operating margin EBITA (%) | 12,7 | 11,7 | 13,5 | 14,0 | 10,6 | 9,3 | 12,1 | 12,3 | 13,7 |
274
12,8
Operating margin EBITA, (%) adjusted
239
11,5 325
13,6 307
13,4 260
12,6 229
11,8 259
12,1 261
12,2 239
12,7
Consolidated Key Figures
| Q3 | ∆ | Jan-Sep | ∆ | LTM | Full-year | |||
|---|---|---|---|---|---|---|---|---|
| MSEK | 2024 | 2023 | 2024 | 2023 | 23/24 | 2023 | ||
| Order intake | 1 671 | 1 983 -16% | 5 978 | 6 566 | -9% | 8 014 | 8 602 | |
| Net sales | 1 880 | 2 071 | -9% | 6 171 | 6 737 | -8% | 8 114 | 8 680 |
| Gross profit | 575 | 601 | -4% | 1 839 | 1 925 | -4% | 2 408 | 2 494 |
| EBITDA | 307 | 270 | 14% | 941 | 1 011 | -7% | 1 183 | 1 252 |
| EBITDA, adjusted | 267 | 233 | 14% | 818 | 905 -10% | 1 009 | 1 097 | |
| Operating profit (EBITA) | 258 | 220 | 17% | 781 | 862 | -9% | 962 | 1 043 |
| Operating profit (EBITA), adjusted | 239 | 260 | -8% | 759 | 892 -15% | 999 | 1 121 | |
| Operating profit | 241 | 202 | 19% | 731 | 809 -10% | 894 | 974 | |
| Profit after tax | 146 | 98 | 49% | 440 | 503 -13% | 661 | 574 | |
| Gross margin | 30,6% | 29,0% | 29,8% | 28,6% | 29,7% | 28,7% | ||
| Operating margin EBITA | 13,7% | 10,6% | 12,7% | 12,8% | 11,9% | 12,0% | ||
| Operating margin EBITA, adjusted | 12,7% | 12,6% | 12,3% | 13,2% | 12,3% | 12,9% | ||
| Operating margin | 12,8% | 9,8% | 11,8% | 12,0% | 11,0% | 11,2% | ||
| Net margin | 7,8% | 4,7% | 7,1% | 7,5% | 8,1% | 6,6% | ||
| Net debt, SEK million | 2 881 | 3 575 -19% | ||||||
| Net debt, adjusted, SEK million | 2 367 | 3 117 -24% | ||||||
| Debt/equity ratio, (%) | 78 | 104 -25% | ||||||
| Net debt / EBITDA, adjusted | 2,4 | 2,7 -13% | ||||||
| Working capital, SEK million | 2 763 | 3 280 -16% | ||||||
| Average working capital, SEK million | 3 042 | 3 602 | ||||||
| Working capital in relation to net sales, (%) |
34,1 | 37,0 | ||||||
| Solidity (%) | 45 | 37 | ||||||
| Return on capital employed (%) | 12,8 | 15,5 | ||||||
| Cash flow from operating activities | 322 | 371 -13% | ||||||
| Earnings per share, SEK | 3,85 | 2,56 | 50% | 11,61 | 13,30 -13% |
| Kv3 | Jan-sep | ||||
|---|---|---|---|---|---|
| MSEK | 2024 | 2023 | 2024 | 2023 | |
| Administrationskostnader | -7 | -4 | -18 | -14 | |
| Övriga rörelseintäkter |
3 | 2 | 8 | 7 | |
| Rörelseresultat | -5 | -2 | -10 | -7 | |
| Resultat från finansiella poster |
- | - | 190 | 150 | |
| Ränteintäkter och liknande resultatposter | 1 | 1 | -0 | 1 | |
| Räntekostnader och liknande resultatposter | -4 | - | -4 | -0 | |
| Resultat efter finansiella poster | -8 | -1 | 176 | 144 | |
| Bokslutsdispositioner | - | - | - | - | |
| Skatt på periodens resultat |
0 | - | 0 | - | |
| Resultat efter skatt | -8 | -1 | 176 | 144 |
Condensed Parent Company Income Statement Condensed Parent Company Balance Sheet
| 30 Sep | |||
|---|---|---|---|
| MSEK | 2024 | 2023 | 2023 |
| Assets | |||
| Fixed assets | |||
| Financial assets | |||
| Investments in group companies | 845 | 845 | 845 |
| Other assets | |||
| Other non-current receivables | 2 | - | 1 |
| Total non-current assets | 847 | 845 | 846 |
| Current assets | |||
| Receivables from Group companies | 334 | 371 | 372 |
| Other current receivables | 20 | 20 | 4 |
| Cash and cash equivalents | - | - | - |
| Total current assets | 350 | 391 | 376 |
| Total assets | 1 201 | 1 236 | 1 222 |
| 30 Sep | |||
| MSEK | 2024 | 2023 | 2023 |
| Equity and liabilities | |||
| Equity | 1 092 | 1 038 | 1 116 |
| Untaxed reserves | 97 | 94 | 97 |
| Non-current liabilities | |||
| Other non-current liabilities | 1 | - | 1 |
| Total non-current liabilities | 1 | - | 1 |
| Current liabilities | |||
| Trade payables | 1 | -0 | 1 |
| Other current liabilities | 10 | 104 | 8 |
| Total current liabilities | 11 | 104 | 8 |
| Total equity and liabilities | 1 201 | 1 236 | 1 222 |
Other information
Accounting policies
This interim report was prepared in accordance with IAS 34, Interim Financial Reporting and the Swedish Annual Accounts Act. The Parent Company's financial statements were prepared in accordance with the Swedish Annual Accounts Act, Chapter 9 and the Swedish Financial Reporting Board's recommendation RFR 2. The accounting policies applied correspond to the accounting policies and measurement principles presented in the 2023 Annual Report. The 2023 Annual Report is available at www.bufabgroup.com
Risks and risk management
Exposure to risk is a natural part of business activity, and this is reflected in Bufab's approach to risk management. Risk management aims to identify and prevent risks and to limit any loss or damage from these risks. The main risks to which the Group is exposed relate to the impact of the economy on demand. For further information regarding risks and risk management, see Note 3 of the 2023 Annual Report.
Seasonal variations
Bufab has no significant seasonal variation in its sales, but sales over the year vary based on the number of production days in each quarter for customers.
Related-party transactions
No related-party transactions occurred during the year, except for the payment of the fee to the Board of Directors, remuneration of the President and senior executives, and new subscription for call options within the framework of the long-term share-based incentive programme adopted at the Annual General Meeting under the terms outlined in more detail below. Further, the redemption of the long-term share-based incentive programme adopted at the 2020 Annual General Meeting was implemented on the terms contained in the 2023 Annual Report.
Acquisitions
Acquisitions made during 2022–2024:
| Date | Net sales* | Employees | |
|---|---|---|---|
| Pajo-Bolte A/S | 14 Mar 2022 | 190 | 40 |
| TI Midwood & Co Ltd. | 21 Mar 2022 | 730 | 187 |
| CDA Polska S.p.z.o.o | 21 Apr 2022 | 93 | 47 |
| *Estimated annual net sales at the date of acquisition |
Additional purchase considerations
The Group's liabilities for contingent considerations attributable to acquisitions are measured at fair value. These items are recognised at fair value in the balance sheet with changes in value recognised in profit or loss. Total recognised liabilities for additional purchase considerations amounted to SEK 72 million at 30 September 2024 (250), of which SEK 43 million (88) was recognised as Non-current liabilities, noninterest-bearing and SEK 29 million (162) was recognised as Current liabilities, noninterest-bearing in the consolidated balance sheet. The reported additional purchase considerations are included – according to the Group's definition – in the amounts for "net indebtedness" and "net debt, adjusted" from the time when they are finally calculated until they are paid out.
Significant events
During the third quarter, Bufab AB divested its manufacturing companies Bufab Lann AB and Hallborn Metall AB to Arbona Industri AB for a purchase price of SEK 230 million on a cash and debt-free basis. The divestment had no material impact on earnings.
Employees
The number of employees in the Group at 30 September 2024 amounted to 1,649 (1,785).
Contingent liabilities and collaterals
No additional significant changes were made to the company's contingent liabilities during the quarter.
Audit review
This interim report has been reviewed by the company's auditors.
Auditors' review report
Bufab AB (publ), Corp. Reg. No. 556685-6240
Introduction
We have reviewed the condensed interim financial information (interim report) of Bufab AB (publ) as of 30 September 2024 and the nine-month period then ended. The board of directors and the CEO are responsible for the preparation and presentation of the interim financial information in accordance with IAS 34 and the Swedish Annual Accounts Act. Our responsibility is to express a conclusion on this interim report based on our review.
Scope of review
We conducted our review in accordance with the International Standard on Review Engagements ISRE 2410, Review of Interim Report Performed by the Independent Auditor of the Entity. A review consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing, ISA, and other generally accepted auditing standards in Sweden. The procedures performed in a review do not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.
Conclusion
Based on our review, nothing has come to our attention that causes us to believe that the interim report is not prepared, in all material respects, in accordance with IAS 34 and the Swedish Annual Accounts Act, regarding the Group, and with the Swedish Annual Accounts Act, regarding the Parent Company.
Gothenburg, 24 October 2024
Öhrlings PricewaterhouseCoopers AB
Johan Rippe Helena Pegrén Authorised Public Accountant Authorised Public Accountant Auditor in Charge
Definitions of key figures
Gross margin, %
Gross profit as a percentage of net sales for the period
EBITDA
Operating profit before depreciation, amortisation and impairment
EBITDA, adjusted
Operating profit before depreciation, amortisation and impairment, less amortisation on right-of-use assets according to IFRS 16 Leases. This key figure is intended to present a comparable EBITDA as though IAS 17 continued to be applied.
Operating profit (EBITA)
Gross profit less operating expenses.
Net debt
Interest-bearing liabilities, less cash and cash equivalents and interest-bearing assets, calculated at the end of the period
Net debt, adjusted
Interest-bearing liabilities, excluding lease liabilities according to IFRS 16, less cash and cash equivalents and interest-bearing assets, calculated at the end of the period
Debt/equity ratio, %
Net debt divided by equity, calculated at the end of the period
Net debt/EBITDA, adjusted
Net debt, adjusted, at the end of the period divided by EBITDA, adjusted, in the last twelve months
Operating expenses
Total distribution costs, administrative expenses, other operating income/expenses excluding depreciation, amortisation and impairment of acquisition-related intangible assets
Working capital
Total current assets less cash and cash equivalents less current non-interest-bearing liabilities, calculated at the end of the period
Working capital in relation to net sales, %
Working capital as a percentage of net sales in the last twelve months
Equity/assets ratio, % Equity as a percentage of total assets, calculated at the end of the period.
Return on capital employed (ROCE), %
Profit after financial items plus interest expenses as a percentage of average equity and average interest-bearing liabilities.
Cash conversion
Cash flow from operating activities divided by EBITDA, adjusted
Earnings per share
Profit after tax for the period divided by the average number of common shares
Performance measures not defined in accordance with IFRS
Bufab uses certain performance measures not defined in the rules for financial reporting adopted by Bufab. The purpose of these performance measures is to provide a better understanding of the performance of the operations. It should be pointed out that these alternative performance measures, as they are defined, are not fully comparable with other companies' performance measures with the same name.
Organic growth
Bufab has operations in many countries with different currencies, it is therefore essential to provide an understanding of the company's performance without currency effects when translating foreign subsidiaries. In addition, Bufab has an important strategic objective in carrying out value-generating acquisitions. For these reasons, growth is also recognised excluding currency effects when translating foreign subsidiaries and excluding acquired operations within the term Organic growth. This performance measure is expressed in percentage points of last year's net sales.
| Q3 | ||||||
|---|---|---|---|---|---|---|
| 2024 | Group Europe North & East | Europe West | Americas | UK/Ireland | Asia-Pacific | |
| Organic growth | -2,6 | -0,9 | -2,0 | -8,9 | -5,9 | 13,2 |
| Currency translation effects | -3,1 | -1,6 | -4,8 | -7,0 | -1,3 | -2,8 |
| Acquisitions | -3,5 | -9,6 | - | - | - | - |
| Recognised growth | -9,2 | -12,1 | -6,8 | -15,9 | -7,2 | 10,4 |
| 2024 | Jan-Sep | |||||
|---|---|---|---|---|---|---|
| Group Europe North & East | Europe West | Americas | UK/Ireland | Asia-Pacific | ||
| Organic growth | -6,6 | -5,9 | -5,6 | -9,7 | -8,4 | -1,3 |
| Currency translation effects | -0,7 | 0,1 | -2,3 | -3,3 | 1,7 | -2,2 |
| Acquisitions | -1,1 | -2,8 | - | - | - | - |
| Recognised growth | -8,4 | -8,6 | -7,9 | -13,0 | -6,7 | -3,5 |
EBITDA
EBITDA is an expression of operating profit before depreciation, amortisation and impairment. The performance measure is defined below.
| Q3 | Jan-Sep | |||
|---|---|---|---|---|
| MSEK | 2024 | 2023 | 2024 | 2023 |
| Operating profit | 241 | 202 | 731 | 809 |
| Depreciation and amortization | 66 | 68 | 211 | 202 |
| EBITDA | 307 | 270 | 941 | 1 011 |
EBITDA, adjusted
The performance measure EBITDA, adjusted, is an expression of operating profit before depreciation, amortisation and impairment, less amortisation on right-of-use assets and interest expenses on lease liabilities according to IFRS 16. The performance measure is defined below.
| Q3 | Jan-Sep | |||
|---|---|---|---|---|
| MSEK | 2024 | 2023 | 2024 | 2023 |
| Operating profit | 241 | 202 | 731 | 809 |
| Depreciation and amortization | 66 | 68 | 211 | 202 |
| Less: amortisation on right-of-use assets according to IFRS 16 |
-36 | -32 | -110 | -95 |
| Less: interest expenses on lease liabilities according to IFRS 16 |
-5 | -4 | -14 | -11 |
| EBITDA, adjusted | 267 | 233 | 818 | 905 |
EBITA
Bufab's growth strategy includes the acquisition of companies. For the purpose of illustrating the underlying operation's performance, management has chosen to monitor EBITA (operating profit before depreciation, amortisation and impairment of acquired intangible assets). The performance measure is defined below.
| Q3 | Jan-Sep | |||
|---|---|---|---|---|
| MSEK | 2024 | 2023 | 2024 | 2023 |
| Operating profit | 241 | 202 | 731 | 809 |
| Depreciation and amortisation of | ||||
| acquired intangible assets | 17 | 18 | 51 | 52 |
| EBITA | 258 | 220 | 782 | 862 |
EBITA, adjusted
The key figure Operating profit (EBITA) adjusted is an expression of the operating profit excluding items affecting comparability, which include but are not limited to restructuring costs, remeasurement of additional purchase considerations, and gains and losses in conjunction with divestment of operations.
Operating expenses
Operating expenses is an expression of operating expenses before depreciation, amortisation and impairment of acquired intangible assets. The performance measure is defined below.
| Q3 | Jan-Sep | |||
|---|---|---|---|---|
| MSEK | 2024 | 2023 | 2024 | 2023 |
| Distribution costs | -235 | -238 | -735 | -700 |
| Administative expenses | -139 | -135 | -433 | -417 |
| Other operating income and operating expenses |
40 | -26 | 60 | 1 |
| Depreciation and amortisation of acquired intangible assets |
17 | 18 | 51 | 52 |
| Operating expenses | -317 | -381 | -1 057 | -1 064 |
Working capital
Because Bufab is a trading company, working capital represents a large share of the balance sheet's value. In order to optimise the company's cash generation, management focuses on the local company's development, and thereby the entire Group's development, of working capital as it is defined below.
| 30 Sep | ||
|---|---|---|
| MSEK | 2024 | 2023 |
| Current assets | 4 282 | 5 054 |
| Less: cash and cash equivalents | -208 | -362 |
| Less: current non-interest-bearing liabilities excluding | ||
| liabilities for additional purchase prices | -1 311 | -1 412 |
| Working capital on the balance-sheet date | 2 763 | 3 280 |
Net debt
Net debt is an expression of how large the financial borrowing is in the company in absolute figures after deductions for cash and cash equivalents. The performance measure is defined below.
| 30 Sep | ||
|---|---|---|
| MSEK | 2024 | 2023 |
| Non-current liabilities, interest bearing | 2 758 | 3 055 |
| Current liabilities, interest bearing | 331 | 883 |
| Less: cash and cash equivalents | -208 | -362 |
| Less: other interest-bearing receivables | - | - |
| Net debt on balance-sheet date | 2 881 | 3 575 |
Net debt, adjusted
Net debt, adjusted, is an expression of how large the financial borrowing is in the company in absolute figures after deductions for lease liabilities according to IFRS 16 and cash and cash equivalents. The performance measure is defined below.
| 30 Sep | ||
|---|---|---|
| MSEK | 2024 | 2023 |
| Non-current liabilities, interest bearing | 2 758 | 3 055 |
| Current liabilities, interest bearing | 331 | 883 |
| Less: lease liabilities according to IFRS 16 | -515 | -459 |
| Less: cash and cash equivalents | -208 | -362 |
| Less: other interest-bearing receivables | - | - |
| Net debt, adjusted, on the balance-sheet date | 2 367 | 3 117 |
Return on capital employed
Return on capital employed is an expression of profitability after taking into account the amount of capital utilised. The performance measure is defined below.
| 30 Sep | |||
|---|---|---|---|
| MSEK | 2024 | 2023 | |
| Result after financial items L12M | 670 | 934 | |
| Interest expense | -234 | -263 | |
| Average shareholder´s equity | 3 602 | 3 175 | |
| Average interest-bearing liabilities | 3 433 | 4 079 | |
| Return on capital employed | 12,8% | 15,5% |
Summary CEO's overview Financial performance Financial statements Other information
Information and addresses
Conference call
A conference call will be held on 24 October 2024 at 10:00 a.m. CEST. Erik Lundén, President and CEO, and Pär Ihrskog, CFO, will present the results. Analysts and investors who wish to ask questions are asked to connect to the presentation via the following Teams link: Click here to join the meeting and use the "Raise Your Hand" function during the Q&A session.
Calendar
| Year-end report Q4 2024: | 6 February 2025 |
|---|---|
| Interim Report Q1 2025: | 25 April 2025 |
| Annual General Meeting 2025: | 25 April 2025 |
| Interim Report Q2, 2025: | 11 July 2025 |
| Interim Report Q3, 2025: | 24 October 2025 |
Contact
| Erik Lundén | Pär Ihrskog |
|---|---|
| President and CEO | CFO |
| +46 370 69 69 00 | +46 370 69 69 00 |
[email protected] [email protected]
Bufab AB (publ) Box 2266 SE-331 02, Värnamo, Sweden Corp. Reg. No. 556685-6240 Phone: +46 370 69 69 00 www.bufabgroup.com
This information is such that Bufab AB (publ) is obliged to disclose in accordance with the EU's Market Abuse Regulation. The information was submitted for publication by the aforementioned contact on 24 October 2024 at 7:30 a.m. CEST.
Countries where Bufab has operations
About Bufab
Bufab is a trading company that offers its customers a fullservice solution as a Supply Chain Partner for sourcing, quality control, sustainability and logistics for C-Parts.
Bufab was founded in 1977 in Småland, Sweden, and is an international Group that currently consists of more than 50 companies. The Group has 1,700 employees in about 28 countries and annual sales in 2023 amounted to SEK 8.7 billion. The share has been listed on Nasdaq Stockholm since 2014. Please visit www.bufabgroup.com for more information.
Sister companies
