Quarterly Report • Jul 19, 2022
Quarterly Report
Open in ViewerOpens in native device viewer
Experience a safer and more open world
Operating income
+13%
Organic growth
Earnings per share
| Second quarter | First half-year | |||||
|---|---|---|---|---|---|---|
| 2021 | 2022 | Δ | 2021 | 2022 | Δ | |
| Sales, SEK M | 23,648 | 29,466 | 25% | 45,454 | 56,057 | 23% |
| Of which: | ||||||
| Organic growth | 4,258 | 3,324 | 13% | 5,085 | 6,610 | 14% |
| Acquisitions and divestments | 856 | –16 | 0% | 1,721 | –68 | 0% |
| Exchange-rate effects | –1,418 | 2,510 | 12% | –3,478 | 4,061 | 9% |
| Operating income (EBIT), SEK M | 3,589 | 4,406 | 23% | 6,776 | 8,407 | 24% |
| Operating margin (EBITA), % | 15.8% | 15.5% | 15.6% | 15.5% | ||
| Operating margin (EBIT), % | 15.2% | 15.0% | 14.9% | 15.0% | ||
| Income before tax, SEK M | 3,441 | 4,208 | 22% | 6,486 | 8,019 | 24% |
| Net income, SEK M | 3,212 | 3,156 | –2% | 5,465 | 6,015 | 10% |
| Operating cash flow, SEK M | 3,627 | 3,787 | 4% | 6,262 | 4,699 | –25% |
| Earnings per share, SEK | 2.89 | 2.84 | –2% | 4.92 | 5.41 | 10% |
1 Adjusted for positive one-time tax effects from last year, the increase in earnings per share was 24% compared with last year.
Today we announce very strong sales growth and an improved operating result. This positive development is driven by continued strong demand for our products and solutions despite a turbulent operating environment with geopolitical uncertainties, lockdowns in China, high inflation and rising interest rates. I am proud of how our employees have applied a customer-centric focus to address supply-chain issues and other operational challenges.
Our organic sales grew by 13%, complemented by 12% positive currency effects, and with zero growth from M&A. Americas and Entrance Systems delivered very strong organic sales growth of 20% and 19% respectively. This was driven by a continued high demand in the US, strong price realization and excellent operational performance. EMEIA reports strong organic growth of 8%, primarily driven by very strong growth in Scandinavia and the emerging markets. Despite component shortages, Global Technologies grew strongly by 6%, also helped by very strong growth in the new verticals in Global Solutions. Organic sales declined by 5% in Asia Pacific as demand in China continued to be very weak.
Our operating income increased by 23% to SEK 4,406 M and the operating margin was 15.0% (15.2). Our operating cash flow in the quarter improved by 4% to SEK 3,787 M. This corresponds to a cash conversion of 90%.
While we are continuing to see good demand for our products and solutions, it is crucial in turbulent and uncertain times that we remain vigilant and alert to potential signs of changes in the demand. During both the global financial crisis in 2008/09 and the pandemic we have proven that our decentralized operational model is flexible and that we have an agile cost-base. All our divisions have plans and tools in place to address potential changes in the demand and are well positioned to navigate through these uncertain times.
We continue to work on our growth-promoting and profitability improvement initiatives. Investment in product development is vital for staying relevant to our customers. Our focus on electromechanical product and solution development is paying off with a growth of 18% in this product segment in our regional divisions during the quarter.
In parallel, we continue to acquire businesses and we have during the year consolidated seven businesses with annual sales of approximately SEK 2,800 M. Our pipeline remains strong, and the activity level is high.
Finally, I would like to wish all employees, shareholders, and other stakeholders a great second half of 2022.
Stockholm, 19 July 2022
Nico Delvaux President and CEO
Sales by quarter and last 12 months
Operating cash flow by quarter and last 12 months
Operating cash flow, quarter Operating cash flow, 12 months
The Group's sales increased by 25% to SEK 29,466 M (23,648). Organic growth amounted to 13% (23). Growth from acquisitions and divestments was 0% (5), of which 1% (6) were acquisitions and –1% (–1) were divestments. Exchangerates affected sales by 12% (–9).
The Group's operating income (EBIT) amounted to SEK 4,406 M (3,589), an increase of 23%. The corresponding operating margin was 15.0% (15.2). Exchange-rates had an impact of SEK 401 M (–213) on EBIT. Operating income before amortizations from acquisitions (EBITA) amounted to SEK 4,557 M (3,740). The corresponding EBITA margin was 15.5% (15.8).
Net financial items amounted to SEK –198 M (–148). The Group's income before tax was SEK 4,208 M (3,441), an increase of 22% compared with last year. Exchange-rates had an impact of SEK 390 M (–200) on income before tax. The profit margin was 14.3% (14.6).
The estimated effective income tax rate on an annual basis and excluding items affecting comparability was 25% (26). Earnings per share amounted to SEK 2.84 (2.89), a decrease of 2% compared with last year. Adjusted for positive onetime tax effects from last year, the increase in earnings per share was 24% compared with last year. Operating cash flow totaled SEK 3,787 M (3,627), which corresponds to a cash conversion of 0.90 (1.05). The net-debt/equity ratio at the end of the quarter was 0.42 (0.45).
The Group's sales for the first half of 2022 totaled SEK 56,057 M (45,454), representing an increase of 23%. Organic growth was 14% (13). Growth from acquisitions and divestments was 0% (4), of which 1% (6) came from acquisitions and –1% (–1) from divestments. Exchange-rates affected sales by 9% (–9).
The Group's operating income (EBIT) amounted to SEK 8,407 M (6,776), an increase of 24% compared with last year. The corresponding operating margin was 15.0% (14.9). Operating income before amortizations from acquisitions (EBITA) amounted to SEK 8,710 M (7,082). The corresponding EBITA margin was 15.5% (15.6).
Earnings per share for the first half-year amounted to SEK 5.41 (4.92), an increase of 10% compared with last year. Operating cash flow totaled SEK 4,699 M (6,262), a decrease of 25% compared with last year.
Payments related to all restructuring programs amounted to SEK 84 M (129) during the quarter. The restructuring programs proceeded according to plan. At the end of the quarter provisions of SEK 537 M remained in the balance sheet for carrying out the programs.
Sales for the quarter in EMEIA totaled SEK 5,561 M (5,235), with organic growth of 8% (39). Sales growth was very strong in Eastern Europe, Middle East, Africa, India and Scandinavia, with strong growth in France, DACH and Benelux, good growth in Finland and the UK, and stable sales in South Europe. Net sales growth from acquisitions, divestments and internal segment transfers was –5%. Operating income totaled SEK 801 M (782), which represents an operating margin (EBIT) of 14.4% (14.9). Return on capital employed, on an annualized basis, amounted to 16.1% (16.1). Operating cash flow before non-cash items and interest paid totaled SEK 662 M (801).
Sales for the quarter in Americas totaled SEK 7,036 M (4,981), with organic growth of 20% (26). Sales growth was strong in Access & High Security and in Latin America and very strong in all other product areas and regions. Sales growth from acquisitions was 1%. Operating income totaled SEK 1,451 M (1,017), which represents an operating margin (EBIT) of 20.6% (20.4). Return on capital employed, on an annualized basis, amounted to 31.3% (28.1). Operating cash flow before non-cash items and interest paid totaled SEK 1,446 M (1,412).
Sales for the quarter in Asia Pacific totaled SEK 2,379 M (2,244), with organic growth of –5% (0). Sales growth was very strong in South East Asia, with strong growth in Pacific and stable growth in South Korea, but sales declined significantly in China. Sales growth from acquisitions and internal segment transfers was 1%. Operating income totaled SEK 45 M (202), which represents an operating margin (EBIT) of 1.9% (9.0). Return on capital employed, on an annualized basis, amounted to 3.7% (7.8). Operating cash flow before non-cash items and interest paid totaled SEK 87 M (151).
Sales for the quarter in Global Technologies totaled SEK 4,417 M (3,641), with organic growth of 6% (17). Sales growth was very strong in Citizen ID, Identification Technology and Secure Issuance, but sales declined in Physical Access Control, Identity & Access Solutions and Extended Access. Sales growth in Global Solutions was very strong. Sales growth from acquisitions and internal segment transfers was 2%. Operating income totaled SEK 677 M (573), which represents an operating margin (EBIT) of 15.3% (15.7). Return on capital employed, on an annualized basis, amounted to 10.6% (9.9). Operating cash flow before non-cash items and interest paid totaled SEK 545 M (804).
Sales for the quarter in Entrance Systems totaled SEK 10,673 M (8,007), with organic growth of 19% (21). Sales growth was very strong in Residential, Perimeter Security and Industrial and strong in Pedestrian. Sales growth from acquisitions was 1%. Operating income totaled SEK 1,651 M (1,196), which represents an operating margin (EBIT) of 15.5% (14.9). Return on capital employed, on an annualized basis, amounted to 17.7% (15.5). Operating cash flow before non-cash items and interest paid totaled SEK 1,261 M (923).
Six acquisitions were consolidated during the quarter. The combined acquisition price for the businesses acquired during the year, including adjustments from prior-year acquisitions, amounted to SEK 3,240 M. The corresponding acquisition price on a cash and debt free basis totaled SEK 3,151 M. Preliminary acquisition analyses indicate that goodwill and other intangible assets with indefinite useful life amounted to SEK 2,088 M. Estimated deferred considerations for acquisitions made during the year amounted to SEK 139 M.
On July 15, 2022, it was announced that the US regulator continues to review the proposed acquisition of HHI and ASSA ABLOY is working to resolve its potential concerns. It can therefore not be ruled out that the closing of the transaction extends into 2023. ASSA ABLOY and Spectrum Brands have agreed to extend their agreement for ASSA ABLOY to acquire the HHI division of Spectrum Brands to June 30, 2023.
On June 22, 2022, it was announced that ASSA ABLOY has acquired Caldwell, a manufacturer of fenestration hardware for window manufacturers. Sales for 2021 amounted to about SEK 1,000 M.
On March 21, 2022, it was announced that ASSA ABLOY had entered into an agreement to acquire JOTEC, a leading regional industrial door distributor and service company in Germany. Sales for 2021 amounted to about SEK 200 M. The acquisition was completed in April 2022.
On September 27, 2021, it was announced that ASSA ABLOY had entered into an agreement to acquire Arran Isle, a leading designer, manufacturer and distributor of door and window hardware in the UK and Ireland. Sales in 2021 amounted to about SEK 1,450 M. The acquisition was completed in June 2022.
In April 2022, Finnlock, a smaller business in Russia, was divested. The capital loss from the divestment was not significant.
ASSA ABLOY is continuously working towards executing our sustainability program and targets up to 2025, and we continuously drive improvement activities across all our sites. One example is our Guli factory in the Opening Solutions Asia Pacific division. The Guli factory is consuming 3% of the Group's total energy and 11% of its total water. Through the implementation of smart energy monitoring, significant opportunities to reduce energy waste were identified by optimizing machine scheduling and run times and installing new variable-speed air compressors.
The factory also reviewed its water footprint, identifying efficiency opportunities and upgrading its water infrastructure. This reduced the site's water footprint by 40% and the Group's water consumption by 4%.
Other operating income for the Parent company ASSA ABLOY AB totaled SEK 2,924 M (2,492) for the first half-year of 2022. Operating income for the same period amounted to SEK 325 M (497). Investments in tangible and intangible assets totaled SEK 8 M (4,201). Liquidity is good and the equity ratio is 42.2% (42.0).
ASSA ABLOY applies International Financial Reporting Standards (IFRS) as endorsed by the European Union. The same accounting and valuation principles as in the previous Annual Report have been applied. No new or amended standards with material impact on the Group´s financial reports have been applied for the first time in 2022.
This Report was prepared in accordance with IAS 34 'Interim Financial Reporting' and the Annual Accounts Act. The Report for the Parent company was prepared in accordance with the Annual Accounts Act and RFR 2 'Reporting by a Legal Entity'.
ASSA ABLOY makes use of a number of financial performance measures that are not defined in the reporting rules that the company uses – so-called 'alternative performance measures'. For definitions of financial performance measures, refer to Page 19 of this Report. Information about how these measures have been calculated is available on the company's website www.assaabloy.com.
To check how the financial measurements have been calculated for current and earlier periods, refer to the tabulated figures in this Quarterly Report and to the company's Annual Report. The Annual Reports for the years 1994 to 2021 appear on the company's website.
Totals quoted in tables and statements may not always be the exact sum of the individual items because of rounding differences. The aim is that each line item should correspond to its source and rounding differences may therefore arise.
No transactions that significantly affected the company's position and income have taken place between ASSA ABLOY and related parties.
ASSA ABLOY is an international Group with a wide geographical spread, involving exposure to various forms of strategic, operational and financial risks. Strategic risks refer to changes in the business environment with potentially significant effects on ASSA ABLOY's operations and business objectives. Operational risks comprise risks directly attributable to business operations, entailing a potential impact on the Group's financial position and performance. Financial risks mainly comprise financing risk, currency risk, interest rate risk, credit risk, and risks associated with the Group's pension obligations.
Risk-taking in itself provides opportunities for continued economic growth, but naturally the risks may also have a negative impact on business operations and company goals. It is therefore essential to have a systematic and efficient risk assessment process and an effective risk management program in general. The purpose of risk management at ASSA ABLOY is not to avoid risks, but to take a controlled approach to identifying, managing and minimizing the effects of these risks. This work is based on an assessment of the probability of the risks and their potential impact on the Group.
The Covid-19 pandemic has had a substantial business impact on ASSA ABLOY. The continued impact of the pandemic on the business is difficult to predict due to the uncertainty of market conditions, but the health and safety of our employees remains our first priority.
ASSA ABLOY has limited direct business exposure to Russia, Ukraine, and Belarus, but indirect business effects continue to be monitored closely.
For a more detailed description of particular risks and risk management, please see the 2021 Annual Report.
The guidance below relating to two key figures is provided to facilitate financial modeling but should not be viewed as forecasting market outlooks or ASSA ABLOY's business performance.
It is estimated that completed acquisitions and divestments, on a rolling 12 month basis at 30 June 2022, will have an effect of 3% on sales in the third quarter of 2022 versus the same period last year, while the effect on the operating margin is estimated to be highly accretive in the third quarter of 2022.
On the basis of the currency rates on 30 June 2022, it is estimated that the weighted currency effects on sales in the third quarter of 2022 versus the same period last year will be 13%, while the effect on the operating margin is estimated to be slightly accretive in the third quarter of 2022.
The Board of Directors and the President and CEO declare that this half-year report gives an accurate picture of the Parent Company's and the Group's operations, position and income and describes significant risks and uncertainty factors faced by the Parent Company and the companies making up the Group.
Stockholm, 19 July 2022
| Lars Renström | Carl Douglas | Nico Delvaux |
|---|---|---|
| Chairman | Vice Chairman | President and CEO |
| Erik Ekudden | Johan Hjertonsson | Eva Karlsson |
| Board member | Board member | Board member |
| Lena Olving | Susanne Pahlén Åklundh | Sofia Schörling Högberg |
| Board member | Board member | Board member |
Joakim Weidemanis Rune Hjälm Mats Persson
Board member Employee representative Employee representative
© ASSA ABLOY – Quarterly Report Q2 2022 8 (19) 8 (19)
ASSA ABLOY AB, org.no 556059-3575
We have reviewed the condensed interim report for ASSA ABLOY AB as at June 30, 2022 and for the six months period then ended. The Board of Directors and the Managing Director are responsible for the preparation and presentation of this interim report 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.
We conducted our review in accordance with the International Standard on Review Engagements, ISRE 2410 Review of Interim Financial Statements 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 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.
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 in accordance with the Swedish Annual Accounts Act regarding the Parent Company.
Stockholm, 19 July 2022 Ernst & Young AB
Hamish Mabon Authorized Public Accountant
The Quarterly Report for the third quarter of 2022 will be published on 26 October 2022.
A Capital Markets Day will be held on 16 November 2022 in London, UK.
The Year-end Report and Quarterly Report for the fourth quarter will be published on 3 February 2023.
Nico Delvaux, President and CEO, tel. no: +46 8 506 485 82
Erik Pieder, Executive Vice President and CFO, tel.no: +46 8 506 485 72
which can be followed online at www.assaabloy.com.
It is possible to submit questions by telephone on: 08–505 583 59, +44 333 300 9265 or +1 631 913 1422
This is information that ASSA ABLOY AB is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was submitted for publication, through the agency of the contact persons set out above, at 08.00 CEST on 19 July 2022.
ASSA ABLOY AB (publ) Box 703 40 107 23 Stockholm Visiting address Klarabergsviadukten 90, Stockholm, Sweden Tel +46 (0)8 506 485 00 Fax +46 (0)8 506 485 85 www.assaabloy.com Corporate identity number: 556059-3575 No.13/2022
| CONDENSED INCOME STATEMENT | Q2 | Jan-Jun | ||
|---|---|---|---|---|
| SEK M | 2021 | 2022 | 2021 | 2022 |
| Sales | 23,648 | 29,466 | 45,454 | 56,057 |
| Cost of goods sold | -14,210 | -17,836 | -27,294 | -33,952 |
| Gross income | 9,438 | 11,630 | 18,159 | 22,106 |
| Selling, administrative and R&D costs | -5,851 | -7,228 | -11,388 | -13,708 |
| Share of earnings in associates | 3 | 4 | 5 | 10 |
| Operating income | 3,589 | 4,406 | 6,776 | 8,407 |
| Finance net | -148 | -198 | -290 | -388 |
| Income before tax | 3,441 | 4,208 | 6,486 | 8,019 |
| Tax on income | -229 | -1,052 | -1,021 | -2,005 |
| Net income for the period | 3,212 | 3,156 | 5,465 | 6,015 |
| Net income for the period attributable to: | ||||
| Parent company's shareholders | 3,212 | 3,153 | 5,465 | 6,012 |
| Non-controlling interests | 0 | 3 | 0 | 3 |
| Earnings per share | ||||
| Before and after dilution, SEK | 2.89 | 2.84 | 4.92 | 5.41 |
| Before and after dilution and excluding items affecting comparability, SEK | 2.89 | 2.84 | 4.92 | 5.41 |
| CONDENSED STATEMENT OF COMPREHENSIVE INCOME | Q2 | Jan-Jun | ||
| SEK M | 2021 | 2022 | 2021 | 2022 |
| Net income for the period | 3,212 | 3,156 | 5,465 | 6,015 |
| Other comprehensive income: Items that will not be reclassified to profit or loss |
||||
| Actuarial gain/loss on post-employment benefit obligations, net after tax | 33 | -169 | 491 | -179 |
| Total | 33 | -169 | 491 | -179 |
| Items that may be reclassified subsequently to profit or loss | ||||
| Share of other comprehensive income of associates | -9 | -10 | -20 | -36 |
| Cashflow hedges and net investment hedges, net after tax | 3 | 2 | -10 | 9 |
| Exchange rate differences | -782 | 4,140 | 1,351 | 5,345 |
| Total | -788 | 4,132 | 1,321 | 5,318 |
| Total comprehensive income for the period | 2,456 | 7,119 | 7,277 | 11,153 |
| Total comprehensive income for the period attributable to: | ||||
| Parent company's shareholders | 2,457 | 7,115 | 7,277 | 11,150 |
| Non-controlling interests | 0 | 3 | 0 | 3 |
| CONDENSED BALANCE SHEET | 31 Dec | 30 Jun | |
|---|---|---|---|
| SEK M | 2021 | 2021 | 2022 |
| ASSETS | |||
| Non-current assets | |||
| Intangible assets | 76,336 | 74,201 | 84,012 |
| Property, plant and equipment | 8,753 | 8,186 | 9,538 |
| Right-of-use assets | 3,436 | 3,466 | 3,601 |
| Investments in associates | 652 | 626 | 636 |
| Other financial assets | 267 | 259 | 320 |
| Deferred tax assets | 1,264 | 1,494 | 1,182 |
| Total non-current assets | 90,707 | 88,232 | 99,289 |
| Current assets | |||
| Inventories | 13,933 | 11,381 | 18,272 |
| Trade receivables | 15,844 | 15,091 | 19,697 |
| Other current receivables and investments | 5,165 | 4,594 | 6,034 |
| Cash and cash equivalents | 4,325 | 3,544 | 1,707 |
| Total current assets | 39,267 | 34,611 | 45,710 |
| TOTAL ASSETS | 129,975 | 122,843 144,999 | |
| EQUITY AND LIABILITIES | |||
| Equity | |||
| Equity attributable to Parent company's shareholders | 69,582 | 63,953 | 78,365 |
| Non-controlling interests | 9 | 9 | 11 |
| Total equity | 69,592 | 63,962 | 78,376 |
| Non-current liabilities | |||
| Long-term loans | 20,195 | 20,900 | 20,784 |
| Non-current lease liabilities | 2,433 | 2,197 | 2,535 |
| Deferred tax liabilities | 2,581 | 2,430 | 2,919 |
| Other non-current liabilities and provisions | 3,899 | 4,224 | 4,062 |
| Total non-current liabilities | 29,108 | 29,750 | 30,299 |
| Current liabilities | |||
| Short-term loans | 5,042 | 4,876 | 7,046 |
| Current lease liabilities | 1,082 | 1,333 | 1,163 |
| Trade payables | 9,527 | 8,035 | 10,523 |
| Other current liabilities and provisions | 15,625 | 14,886 | 17,593 |
| Total current liabilities | 31,276 | 29,131 | 36,323 |
| TOTAL EQUITY AND LIABILITIES | 129,975 | 122,843 144,999 | |
| Equity attributable to: CHANGES IN EQUITY |
| Parent | Non | ||
|---|---|---|---|
| company's | controlling | Total | |
| SEK M | shareholders | interests | equity |
| Opening balance 1 January 2021 | 58,870 | 9 | 58,879 |
| Net income for the period | 5,465 | 0 | 5,465 |
| Other comprehensive income | 1,811 | 0 | 1,812 |
| Total comprehensive income | 7,277 | 0 | 7,277 |
| Dividend | -2,166 | -1 | -2,167 |
| Stock purchase plans | -28 | - | -28 |
| Total transactions with shareholders | -2,194 | -1 | -2,195 |
| Closing balance 30 June 2021 | 63,953 | 9 | 63,962 |
| Opening balance 1 January 2022 | 69,582 | 9 | 69,592 |
|---|---|---|---|
| Net income for the period | 6,012 | 3 | 6,015 |
| Other comprehensive income | 5,139 | 0 | 5,139 |
| Total comprehensive income | 11,150 | 3 | 11,153 |
| Dividend | -2,333 | -1 | -2,333 |
| Stock purchase plans | -35 | - | -35 |
| Total transactions with shareholders | -2,368 | -1 | -2,369 |
| Closing balance 30 June 2022 | 78,365 | 11 | 78,376 |
| CONDENSED STATEMENT OF CASH FLOWS | Q2 | Jan-Jun | ||
|---|---|---|---|---|
| SEK M | 2021 | 2022 | 2021 | 2022 |
| OPERATING ACTIVITIES | ||||
| Operating income | 3,589 | 4,406 | 6,776 | 8,407 |
| Depreciation and amortization | 963 | 961 | 1,892 | 1,900 |
| Other non-cash items | -39 | 52 | -95 | 65 |
| Restructuring payments | -129 | -84 | -267 | -152 |
| Cash flow before interest and tax | 4,385 | 5,335 | 8,305 | 10,221 |
| Interest paid and received | -175 | -257 | -297 | -390 |
| Tax paid on income | -820 | -1,278 | -1,352 | -1,876 |
| Cash flow before changes in working capital | 3,390 | 3,800 | 6,656 | 7,955 |
| Changes in working capital | -9 | -641 | -710 | -3,902 |
| Cash flow from operating activities | 3,381 | 3,159 | 5,947 | 4,053 |
| INVESTING ACTIVITIES | ||||
| Net investments in intangible assets and property, plant and equipment | -388 | -410 | -677 | -746 |
| Investments in subsidiaries | -429 | -3,013 | -724 | -3,060 |
| Divestments of subsidiaries | 12 | 3 | 46 | 5 |
| Other investments and disposals | -42 | 0 | -42 | 0 |
| Cash flow from investing activities | -847 | -3,420 | -1,398 | -3,800 |
| FINANCING ACTIVITIES | ||||
| Dividends | -2,167 | -2,333 | -2,167 | -2,333 |
| Amortization of lease liabilities | -315 | -324 | -627 | -635 |
| Net cash effect of changes in borrowings | -115 | 502 | -977 | 79 |
| Cash flow from financing activities | -2,597 | -2,156 | -3,770 | -2,889 |
| CASH FLOW FOR THE PERIOD | -62 | -2,417 | 779 | -2,637 |
| CASH AND CASH EQUIVALENTS | ||||
| Cash and cash equivalents at beginning of period | 3,610 | 4,113 | 2,756 | 4,325 |
| Cash flow for the period | -62 | -2,417 | 779 | -2,637 |
| Effect of exchange rate differences | -3 | 12 | 9 | 19 |
| Cash and cash equivalents at end of period | 3,544 | 1,707 | 3,544 | 1,707 |
| THE GROUP IN SUMMARY | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Jan-jun Jan-jun | Year | Last 12 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| SEK M | 2020 | 2020 | 2020 | 2021 | 2021 | 2021 | 2021 | 2022 | 2022 | 2021 | 2022 | 2021 months | |
| Sales | 19,953 | 22,225 | 23,298 | 21,805 | 23,648 | 23,930 | 25,623 | 26,591 | 29,466 | 45,454 | 56,057 | 95,007 | 105,611 |
| Organic growth Gross income1 |
-18% | -5% | -5% | 4% | 23% | 7% | 10% | 14% | 13% | 13% | 14% | 11% | - |
| Gross margin 1 | 7,648 38.3% |
9,026 40.6% |
9,278 39.8% |
8,722 40.0% |
9,438 39.9% |
9,535 39.8% |
10,082 39.3% |
10,476 39.4% |
11,630 39.5% |
18,159 40.0% |
22,106 39.4% |
37,777 39.8% |
41,723 39.5% |
| EBITDA1 | 3,024 | 4,505 | 4,487 | 4,115 | 4,552 | 4,373 | 4,982 | 4,941 | 5,367 | 8,668 | 10,308 | 18,023 | 19,662 |
| EBITDA margin 1 | 15.2% | 20.3% | 19.3% | 18.9% | 19.3% | 18.3% | 19.4% | 18.6% | 18.2% | 19.1% | 18.4% | 19.0% | 18.6% |
| Depreciation, excl attrib. to business combinations | -787 | -771 | -853 | -774 | -812 | -833 | -821 | -788 | -810 | -1,586 | -1,598 | -3,241 | -3,252 |
| EBITA1 | 2,237 | 3,734 | 3,634 | 3,341 | 3,740 | 3,539 | 4,161 | 4,153 | 4,557 | 7,082 | 8,710 | 14,782 | 16,410 |
| EBITA margin 1 | 11.2% | 16.8% | 15.6% | 15.3% | 15.8% | 14.8% | 16.2% | 15.6% | 15.5% | 15.6% | 15.5% | 15.6% | 15.5% |
| Amortization attrib. to business combinations | -141 | -142 | -159 | -154 | -151 | -147 | -148 | -151 | -152 | -305 | -303 | -601 | -598 |
| Operating income (EBIT)1 | 2,097 | 3,593 | 3,475 | 3,187 | 3,589 | 3,392 | 4,013 | 4,001 | 4,406 | 6,776 | 8,407 | 14,181 | 15,812 |
| Operating margin (EBIT) 1 | 10.5% | 16.2% | 14.9% | 14.6% | 15.2% | 14.2% | 15.7% | 15.0% | 15.0% | 14.9% | 15.0% | 14.9% | 15.0% |
| Items affecting comparability | - | 1 910 | -1,367 | - | - | - | - | - | - | - | - | - | - |
| Operating income (EBIT) | 2,097 | 5,502 | 2,108 | 3,187 | 3,589 | 3,392 | 4,013 | 4,001 | 4,406 | 6,776 | 8,407 | 14,181 | 15,812 |
| Operating margin (EBIT) | 10.5% | 24.8% | 9.0% | 14.6% | 15.2% | 14.2% | 15.7% | 15.0% | 15.0% | 14.9% | 15.0% | 14.9% | 15.0% |
| Net financial items | -205 | -176 | -169 | -142 | -148 | -159 | -194 | -190 | -198 | -290 | -388 | -643 | -741 |
| Income before tax | 1,892 | 5,326 | 1,938 | 3,045 | 3,441 | 3,233 | 3,819 | 3,811 | 4,208 | 6,486 | 8,019 | 13,538 | 15,071 |
| Profit margin | 9.5% | 24.0% | 8.3% | 14.0% | 14.6% | 13.5% | 14.9% | 14.3% | 14.3% | 14.3% | 14.3% | 14.2% | 14.3% |
| Tax on income | -492 | -888 | -469 | -792 | -229 | -841 | -776 | -953 | -1,052 | -1,021 | -2,005 | -2,638 | -3,621 |
| Net income for the period | 1,400 | 4,438 | 1,470 | 2,253 | 3,212 | 2,392 | 3,043 | 2,859 | 3,156 | 5,465 | 6,015 | 10,901 | 11,450 |
| Net income attributable to: | |||||||||||||
| Parent company's shareholders | 1,399 | 4,437 | 1,471 | 2,253 | 3,212 | 2,393 | 3,042 | 2,858 | 3,153 | 5,465 | 6,012 | 10,900 | 11,446 |
| Non-controlling interests | 1 | 1 | -1 | 0 | 0 | 0 | 1 | 0 | 3 | 0 | 3 | 1 | 4 |
| OPERATING CASH FLOW | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Jan-jun Jan-jun | Year | Last 12 | |
| SEK M | 2020 | 2020 | 2020 | 2021 | 2021 | 2021 | 2021 | 2022 | 2022 | 2021 | 2022 | 2021 months | |
| Operating income (EBIT) | 2,097 | 5,502 | 2,108 | 3,187 | 3,589 | 3,392 | 4,013 | 4,001 | 4,406 | 6,776 | 8,407 | 14,181 | 15,812 |
| Reversal items affecting comparability | - | -1 910 | 1,367 | - | - | - | - | - | - | - | - | - | - |
| Depreciation and amortization | 927 | 912 | 1,012 | 929 | 963 | 980 | 969 | 939 | 961 | 1,892 | 1,900 | 3,841 | 3,850 |
| Net capital expenditure | -442 | -301 | -439 | -289 | -388 | -407 | -545 | -336 | -410 | -677 | -746 | -1,629 | -1,697 |
| Change in working capital | 1,460 | 820 | 1,811 | -701 | -9 | -157 | -629 | -3,261 | -641 | -710 | -3,902 | -1,496 | -4,688 |
| Interest paid and received | -244 | -90 | -189 | -122 | -175 | -110 | -162 | -133 | -257 | -297 | -390 | -569 | -662 |
| Repayment of lease liabilities | -322 | -308 | -319 | -311 | -315 | -313 | -303 | -312 | -324 | -627 | -635 | -1,242 | -1,251 |
| Non-cash items | -58 | -219 | 178 | -57 | -39 | 233 | 41 | 13 912 |
52 | -95 | 65 | 178 | 339 |
| Operating cash flow Cash conversion |
3,418 1.81 |
4,407 1.29 |
5,529 1.67 |
2,636 0.87 |
3,627 1.05 |
3,619 1.12 |
3,384 0.89 |
0.24 | 3,787 0.90 |
6,262 0.97 |
4,699 0.59 |
13,265 0.98 |
11,702 0.78 |
| CHANGE IN NET DEBT | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Jan-jun Jan-jun | Year | Last 12 | |
| SEK M | 2020 | 2020 | 2020 | 2021 | 2021 | 2021 | 2021 | 2022 | 2022 | 2021 | 2022 | 2021 months | |
| Net debt at beginning of period | 36,371 | 34,112 | 35,059 | 29,755 | 29,160 | 28,509 | 25,732 | 27,071 -912 |
27,617 | 29,755 | 27,071 | 29,755 | 28,509 |
| Operating cash flow | -3,418 173 |
-4,407 155 |
-5,529 337 |
-2,636 138 |
-3,627 129 |
-3,619 130 |
-3,384 166 |
68 | -3,787 84 |
-6,262 267 |
-4,699 152 |
-13,265 563 |
-11,702 448 |
| Restructuring payments Tax paid on income |
474 | 1,104 | 648 | 532 | 820 | 805 | 960 | 597 | 1,278 | 1,352 | 1,876 | 3,117 | 3,641 |
| Acquisitions and divestments | 86 | 4,331 | -497 | 385 | 472 | -632 | 975 | 67 | 3,039 | 858 | 3,106 | 1,201 | 3,449 |
| Dividend | 2,222 | 2,055 | 2,167 | 1 | 2,166 | 2,333 | 2,167 | 2,333 | 4,333 | 4,500 | |||
| Actuarial gain/loss on post-employment benefit oblig. | 407 | - 94 |
-321 | - -619 |
-44 | -37 | -216 | - 11 |
191 | -663 | 202 | -917 | -51 |
| Change to lease liabilities | -110 | 98 | -93 | -29 | -97 | 7 | 33 | -76 | -51 | -126 | -127 | -86 | -87 |
| Exchange rate differences, etc. | -2,093 | -428 | -1,904 | 1,633 | -471 | 568 | 639 | 791 | 1,860 | 1,163 | 2,651 | 2,370 | 3,858 |
| Net debt at end of period | 34,112 | 35,059 | 29,755 | 29,160 | 28,509 | 25,732 | 27,071 | 27,617 | 32,565 | 28,509 | 32,565 | 27,071 | 32,565 |
| Net debt/Equity | 0.58 | 0.56 | 0.51 | 0.46 | 0.45 | 0.38 | 0.39 | 0.38 | 0.42 | ||||
| NET DEBT | |||||||||||||
| SEK M | Q2 2020 |
Q3 2020 |
Q4 2020 |
Q1 2021 |
Q2 2021 |
Q3 2021 |
Q4 2021 |
Q1 2022 |
Q2 2022 |
||||
| Interest-bearing assets | -76 | -47 | -205 | -189 | -176 | -177 | -177 | -177 | -199 | ||||
| Cash and cash equivalents | -3,726 | -4,906 | -2,756 | -3,610 | -3,544 | -5,995 | -4,325 | -4,113 | -1,707 | ||||
| Derivative financial instruments, net | -441 | -350 | -255 | 83 | 1 | 62 | 86 | 283 | 141 | ||||
| Pension provisions | 3,887 | 4,164 | 3,514 | 2,995 | 2,922 | 2,949 | 2,736 | 2,715 | 2,803 | ||||
| Lease liabilities | 3,614 | 3,818 | 3,562 | 3,678 | 3,530 | 3,401 | 3,515 | 3,534 | 3,697 | ||||
| Interest-bearing liabilities | 30,853 | 32,379 | 25,895 | 26,202 | 25,776 | 25,492 | 25,237 | 25,374 | 27,829 | ||||
| Total | 34,112 | 35,059 | 29,755 | 29,160 | 28,509 | 25,732 | 27,071 | 27,617 | 32,565 | ||||
| CAPITAL EMPLOYED AND FINANCING | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | ||||
| SEK M | 2020 | 2020 | 2020 | 2021 | 2021 | 2021 | 2021 | 2022 | 2022 | ||||
| Goodwill | 58,243 | 64,013 | 58,344 | 60,822 | 60,198 | 60,604 | 62,502 | 63,600 | 69,536 | ||||
| Other intangible assets | 12,502 | 12,716 | 14,108 | 14,446 | 14,004 | 13,920 | 13,834 | 13,877 | 14,476 | ||||
| Property, plant and equipment | 8,562 | 8,897 | 8,026 | 8,329 | 8,186 | 8,325 | 8,753 | 8,934 | 9,538 | ||||
| Right-of-use assets | 3,592 | 3,779 | 3,513 | 3,619 | 3,466 | 3,330 | 3,436 | 3,450 | 3,601 | ||||
| Other capital employed | 10,726 | 8,190 | 5,867 | 6,721 | 7,588 | 7,623 | 8,796 | 11,932 | 14,327 | ||||
| Restructuring reserve | -522 | -363 | -1,224 | -1,119 | -971 | -848 | -658 | -600 | -537 | ||||
| Capital employed | 93,103 | 97,232 | 88,634 | 92,818 | 92,471 | 92,954 | 96,663 | 101,193 | 110,941 | ||||
| Net debt | 34,112 | 35,059 | 29,755 | 29,160 | 28,509 | 25,732 | 27,071 | 27,617 | 32,565 | ||||
| Non-controlling interests | 12 | 12 | 9 | 10 | 9 | 8 | 9 | 9 | 11 | ||||
| Equity attributable to Parent company´s shareholders | 58,980 | 62,161 | 58,870 | 63,649 | 63,953 | 67,214 | 69,582 | 73,568 | 78,365 | ||||
| OTHER KEY RATIOS ETC | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | ||||
| 2020 | 2020 | 2020 | 2021 | 2021 | 2021 | 2021 | 2022 | 2022 | |||||
| Earnings per share, SEK | 1,26 | 3,99 | 1,32 | 2,03 | 2,89 | 2,15 | 2,74 | 2,57 | 2,84 | ||||
| Earnings per share, excl IAC, SEK | 1,26 | 2,28 | 2,33 | 2,03 | 2,89 | 2,15 | 2,74 | 2,57 | 2,84 | ||||
| Shareholders' equity per share, SEK | 53,10 | 55,96 | 53,00 | 57,30 | 57,57 | 60,51 | 62,64 | 66,23 | 70,55 | ||||
| Return on capital employed Return on equity |
13,4% 15,0% |
13,1% 17,0% |
12,5% 15,5% |
13,1% 15,1% |
14,9% 18,5% |
14,6% 14,4% |
15,2% 17,0% |
15,7% 16,8% |
16,0% 16,1% |
||||
| Net debt/EBITDA | 2,1 | 2,2 | 1,9 | 1,8 | 1,6 | 1,5 | 1,5 | 1,5 | 1,7 | ||||
| Average number of employees | 46,979 | 47,553 | 48,471 | 49,685 | 50,727 | 50,946 | 50,934 | 50,984 | 51,545 | ||||
| Average adjusted capital employed | 95,340 | 95,452 | 95,002 | 94,230 | 93,076 | 93,287 | 93,199 | 95,766 | 99,074 | ||||
| Average number of shares, thousands | 1,110,776 1,110,776 1,110,776 1,110,776 1,110,776 1,110,776 1,110,776 1,110,776 1,110,776 |
Items affecting comparability, net of tax - 1,910 -1,112 - - - - - -
1) Excluding items affecting comparability (IAC)
| Q2 and 30 Jun | Global | Entrance | ||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| EMEIA | Americas | Asia Pacific | Technologies | Systems | Other | Total | ||||||||
| SEK M | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 |
| Sales, external | 5,126 | 5,429 | 4,947 | 6,994 | 1,989 | 2,014 | 3,610 | 4,379 | 7,976 | 10,650 | - | - | 23,648 | 29,466 |
| Sales, internal | 109 | 132 | 34 | 42 | 254 | 365 | 31 | 38 | 31 | 23 | -458 | -600 | - | - |
| Sales | 5,235 | 5,561 | 4,981 | 7,036 | 2,244 | 2,379 | 3,641 | 4,417 | 8,007 10,673 | -458 | -600 | 23,648 | 29,466 | |
| Organic growth | 39% | 8% | 26% | 20% | 0% | -5% | 17% | 6% | 21% | 19% | - | - | 23% | 13% |
| Acquisitions and divestments | 0% | -5% | 1% | 1% | -1% | 1% | 4% | 2% | 12% | 1% | - | - | 5% | 0% |
| Exchange-rate effects | -4% | 3% | -14% | 20% | -4% | 10% | -9% | 13% | -11% | 13% | - | - | -9% | 12% |
| Operating income (EBIT) | 782 | 801 | 1,017 | 1,451 | 202 | 45 | 573 | 677 | 1,196 | 1,651 | -181 | -219 | 3,589 | 4,406 |
| Operating margin (EBIT) | 14.9% 14.4% | 20.4% 20.6% | 9.0% | 1.9% | 15.7% 15.3% | 14.9% 15.5% | - | - | 15.2% | 15.0% | ||||
| OPERATING CASH FLOW | ||||||||||||||
| SEK M | ||||||||||||||
| Operating income (EBIT) | 782 | 801 | 1,017 | 1,451 | 202 | 45 | 573 | 677 | 1,196 | 1,651 | -181 | -219 | 3,589 | 4,406 |
| Depreciation and amortization | 230 | 212 | 149 | 135 | 76 | 83 | 226 | 240 | 273 | 282 | 9 | 10 | 963 | 961 |
| Net capital expenditure | -123 | -127 | -101 | -104 | -25 | -28 | -54 | -39 | -85 | -105 | 0 | -7 | -388 | -410 |
| Amortization of lease liabilities | -87 | -64 | -37 | -45 | -24 | -27 | -35 | -41 | -128 | -142 | -4 | -4 | -315 | -324 |
| Change in working capital | -1 | -160 | 383 | 8 | -77 | 14 | 94 | -293 | -333 | -425 | -75 | 213 | -9 | -641 |
| Operating cash flow by division | 801 | 662 | 1,412 | 1,446 | 151 | 87 | 804 | 545 | 923 | 1,261 | -251 | -8 | 3,840 | 3,992 |
| Non-cash items | -39 | 52 | -39 | 52 | ||||||||||
| Interest paid and received | -175 | -257 | -175 | -257 | ||||||||||
| Operating cash flow | 3,627 | 3,787 |
| Jan-Jun and 30 Jun | Global | Entrance | ||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| EMEIA | Americas | Asia Pacific | Technologies | Systems | Other | Total | ||||||||
| SEK M | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 |
| Sales, external | 10,082 | 10,604 | 9,506 13,203 | 3,533 | 3,575 | 6,885 | 8,397 | 15,448 20,278 | - | - | 45,454 | 56,057 | ||
| Sales, internal | 210 | 266 | 79 | 73 | 483 | 684 | 57 | 71 | 58 | 48 | -888 | -1,142 | - | - |
| Sales | 10,292 10,870 | 9,585 13,276 | 4,017 | 4,259 | 6,942 | 8,468 | 15,506 20,326 | -888 -1,142 | 45,454 | 56,057 | ||||
| Organic growth | 20% | 7% | 12% | 21% | 9% | -4% | 3% | 9% | 16% | 20% | - | - | 13% | 14% |
| Acquisitions and divestments | 1% | -5% | 1% | 1% | -2% | 1% | 3% | 2% | 12% | 1% | - | - | 4% | 0% |
| Exchange-rate effects | -6% | 4% | -14% | 17% | -5% | 9% | -9% | 11% | -11% | 10% | - | - | -9% | 9% |
| Operating income (EBIT) | 1,537 | 1,577 | 1,971 | 2,716 | 280 | 111 | 1,045 | 1,193 | 2,292 | 3,206 | -349 | -396 | 6,776 | 8,407 |
| Operating margin (EBIT) | 14.9% 14.5% | 20.6% 20.5% | 7.0% | 2.6% | 15.1% 14.1% | 14.8% 15.8% | - | - | 14.9% | 15.0% | ||||
| OPERATING CASH FLOW | ||||||||||||||
| SEK M | ||||||||||||||
| Operating income (EBIT) | 1,537 | 1,577 | 1,971 | 2,716 | 280 | 111 | 1,045 | 1,193 | 2,292 | 3,206 | -349 | -396 | 6,776 | 8,407 |
| Depreciation and amortization | 461 | 418 | 261 | 262 | 154 | 162 | 453 | 479 | 544 | 560 | 19 | 19 | 1,892 | 1,900 |
| Net capital expenditure | -205 | -214 | -167 | -187 | -65 | -52 | -92 | -85 | -147 | -197 | -1 | -11 | -677 | -746 |
| Amortization of lease liabilities | -168 | -126 | -71 | -86 | -48 | -53 | -71 | -76 | -262 | -285 | -6 | -9 | -627 | -635 |
| Change in working capital | -237 | -970 | 144 | -707 | -264 | -307 | 98 | -613 | -445 | -1,402 | -6 | 97 | -710 | -3,902 |
| Operating cash flow by division | 1,388 | 685 | 2,139 | 1,997 | 57 | -139 | 1,434 | 897 | 1,981 | 1,882 | -344 | -299 | 6,655 | 5,025 |
| Non-cash items | -95 | 65 | -95 | 65 | ||||||||||
| Interest paid and received | -297 | -390 | -297 | -390 | ||||||||||
| Operating cash flow | 6,262 | 4,699 | ||||||||||||
| CAPITAL EMPLOYED | ||||||||||||||
| SEK M | ||||||||||||||
| Goodwill | 11,168 | 12,023 | 11,133 13,327 | 3,811 | 5,448 | 15,370 17,824 | 18,716 20,914 | - | - | 60,198 | 69,536 | |||
| Other intangible assets | 1,312 | 1,050 | 1,194 | 1,378 | 965 | 1,225 | 3,990 | 3,868 | 6,502 | 6,915 | 90 | 40 | 14,053 | 14,476 |
| Property, plant and equipment | 2,204 | 2,627 | 1,609 | 2,021 | 1,386 | 1,468 | 1,083 | 1,283 | 1,853 | 2,088 | - | 51 | 8,136 | 9,538 |
| Right-of-use assets | 947 | 913 | 389 | 487 | 255 | 230 | 516 | 525 | 1,311 | 1,407 | 47 | 40 | 3,466 | 3,601 |
| Other capital employed | 2,840 | 3,817 | -148 | 1,569 | 1,748 | 2,483 | 786 | 1,368 | 2,830 | 5,154 | -468 | -64 | 7,588 | 14,327 |
| Adjusted capital employed | 18,471 20,430 | 14,178 18,782 | 8,165 10,854 | 21,746 24,868 | 31,213 36,478 | -331 | 67 | 93,441 111,478 | ||||||
| Restructuring reserve | -367 | -217 | -7 | -1 | -164 | -92 | -137 | -105 | -174 | -100 | -121 | -23 | -971 | -537 |
| Capital employed | 18,104 20,213 | 14,171 18,781 | 8,000 10,763 | 21,609 24,763 | 31,039 36,378 | -452 | 44 | 92,471 110,941 | ||||||
| Return on capital employed | 16.1% 16.1% | 28.1% 31.3% | 7.8% | 3.7% | 9.9% 10.6% | 15.5% 17.7% | - | - | 14.9% | 16.0% | ||||
| Average adjusted capital employed | 18,456 | 18,370 | 13,724 15,798 | 8,465 | 9,055 | 21,974 22,663 | 30,936 33,383 | - | - | 93,076 | 99,074 | |||
| Average number of employees | 12,235 | 11,771 | 8,963 | 9,416 | 8,419 | 7,712 | 6,438 | 6,926 | 14,413 | 15,292 | 260 | 428 | 50,727 | 51,545 |
| Jan-Dec and 31 Dec | Global | Entrance | ||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| EMEIA | Americas | Asia Pacific | Technologies | Systems | Other | Total | ||||||||
| SEK M | 2020 | 2021 | 2020 | 2021 | 2020 | 2021 | 2020 | 2021 | 2020 | 2021 | 2020 | 2021 | 2020 | 2021 |
| Sales, external | 18,563 20,040 | 18,907 20,356 | 7,916 | 7,549 | 14,054 14,495 | 28,210 32,568 | - | - | 87,649 | 95,007 | ||||
| Sales, internal | 418 | 483 | 107 | 151 | 926 | 1,170 | 105 | 109 | 113 | 123 | -1,668 -2,036 | - | - | |
| Sales | 18,982 20,522 19,013 20,507 | 8,841 8,719 14,158 14,604 28,323 32,690 | -1,668 -2,036 | 87,649 95,007 | ||||||||||
| Organic growth | -8% | 13% | -7% | 14% | -16% | 2% | -15% | 5% | -2% | 14% | - | - | -8% | 11% |
| Acquisitions and divestments | -1% | -2% | -9% | 1% | 1% | -2% | 10% | 3% | 15% | 7% | - | - | 4% | 2% |
| Exchange-rate effects | -1% | -3% | -2% | -7% | -2% | -1% | -3% | -5% | -2% | -6% | - | - | -3% | -5% |
| Share of earnings in associates | - | - | - | - | 9 | 18 | 9 | 1 | 239 | -1 | - | - | 257 | 19 |
| EBIT, excl items affecting comparability | 2,263 2,916 | 3,698 4,200 | 396 | 499 | 2,023 2,253 | 4,083 4,988 | -547 | -675 | 11,916 14,181 | |||||
| EBIT margin, excl items affecting comparability | 11,9% 14,2% | 19,4% 20,5% | 4,5% | 5,7% | 14,3% 15,4% | 14,4% 15,3% | - | - | 13,6% | 14,9% | ||||
| Restructuring costs | -448 | - | -51 | - | -303 | - | -195 | - | -220 | - | -150 | - | -1,366 | - |
| Revaluation of associate shareholding | - | - | - | - | - | - | - | - | 1,909 | - | - | - | 1,909 | - |
| Operating income (EBIT) | 1,815 2,916 | 3,647 4,200 | 93 | 499 | 1,828 2,253 | 5,772 4,988 | -697 | -675 | 12,458 14,181 | |||||
| Operating margin (EBIT) | 9,6% 14,2% | 19,2% 20,5% | 1,1% | 5,7% | 12,9% 15,4% | 20,4% 15,3% | - | - | 14,2% | 14,9% | ||||
| Operating income (EBIT) | 1,815 | 2,916 | 3,647 | 4,200 | 93 | 499 | 1,828 | 2,253 | 5,772 | 4,988 | -697 | -675 | 12,458 | 14,181 |
| Revaluation of associate shareholding | 448 | - | 51 | - | 303 | - | 195 | - | -1,689 | - | 150 | - | -542 | - |
| Depreciation and amortization | 925 | 969 | 471 | 493 | 355 | 306 | 917 | 923 | 1,078 | 1,114 | 30 | 37 | 3,776 | 3,841 |
| Net capital expenditure | -407 | -475 | -267 | -351 | -192 | -182 | -430 | -250 | -330 | -361 | -47 | -10 | -1,674 | -1,629 |
| Amortization of lease liabilities | -318 | -306 | -132 | -148 | -108 | -92 | -144 | -144 | -559 | -537 | -14 | -15 | -1,275 | -1,242 |
| Change in working capital | 476 | -14 | 1,067 | -471 | 311 | -247 | 144 | 397 | 702 -1,233 | -94 | 73 | 2,606 | -1,496 | |
| Operating cash flow by division | 2,939 3,089 | 4,837 3,722 | 762 | 285 | 2,509 3,179 | 4,974 3,971 | -673 | -591 | 15,349 13,656 | |||||
| Non-cash items | -95 | 178 | -95 | 178 | ||||||||||
| Interest paid and received | -694 | -569 | -694 | -569 | ||||||||||
| Operating cash flow | 14,560 13,265 | |||||||||||||
| Capital employed | 16,849 17,063 | 13,201 15,908 | 8,191 | 8,653 | 21,044 22,326 | 30,231 32,787 | -883 | -74 | 88,634 | 96,663 | ||||
| - of which goodwill | 10,475 10,949 | 10,444 11,700 | 3,884 | 4,028 | 14,881 16,164 | 18,660 19,662 | - | - | 58,344 | 62,502 | ||||
| - of which other intangible assets and PPE | 3,485 | 3,516 | 2,713 | 2,977 | 2,375 | 2,483 | 5,100 | 5,059 | 8,362 | 8,461 | 99 | 90 | 22,134 | 22,587 |
| - of which right-of-use assets | 998 | 937 | 387 | 430 | 264 | 243 | 457 | 512 | 1,390 | 1,270 | 17 | 44 | 3,513 | 3,436 |
| - of which investments in associates | 1 | 1 | - | - | 589 | 602 | 28 | 32 | 20 | 17 | - | - | 637 | 652 |
| Return on capital employed | 11,9% 16,2% | 24,4% 30,0% | 4,4% | 5,9% | 8,9% 10,4% | 13,9% 15,8% | - | - | 12,5% | 15,2% | ||||
| Average adjusted capital employed | 19,050 17,991 | 15,186 13,986 | 8,910 | 8,498 | 22,757 21,751 | 29,352 31,525 | - | - | 95,002 | 93,199 | ||||
| Average number of employees | 10,281 11,848 | 8,787 | 9,298 | 9,892 | 8,259 | 6,374 | 6,556 | 12,883 14,604 | 254 | 369 | 48,471 | 50,934 |
| Sales by continent Q2 | Global | Entrance | ||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| EMEIA | Americas | Asia Pacific | Technologies | Systems | Other | Total | ||||||||
| SEK M | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 |
| Europe | 4,542 | 4,718 | 19 | 41 | 144 | 171 | 1,033 | 1,242 | 3,614 | 4,115 | -203 | -246 | 9,150 | 10,040 |
| North America | 110 | 137 | 4,433 | 6,340 | 243 | 427 | 1,747 | 2,068 | 3,860 | 5,978 | -156 | -251 | 10,238 | 14,700 |
| Central- and South America | 19 | 25 | 489 | 615 | 8 | 6 | 89 | 166 | 18 | 22 | -12 | -5 | 611 | 828 |
| Africa | 272 | 290 | 3 | 4 | 4 | 2 | 60 | 113 | 8 | 13 | -9 | -9 | 337 | 412 |
| Asia | 263 | 355 | 35 | 34 | 1,235 | 1,078 | 507 | 591 | 256 | 268 | -49 | -54 | 2,247 | 2,273 |
| Oceania | 29 | 36 | 2 | 2 | 609 | 695 | 204 | 237 | 251 | 278 | -30 | -35 | 1,065 | 1,213 |
| Total | 5,235 | 5,561 | 4,981 | 7,036 | 2,244 | 2,379 | 3,641 | 4,417 | 8,007 10,673 | -458 | -600 | 23,648 29,466 | ||
| Sales by continent Jan-Jun | EMEIA | Americas | Asia Pacific | Global Technologies |
Entrance Systems |
Other | Total | |||||||
| SEK M | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 |
| Europe | 8,998 | 9,298 | 48 | 65 | 288 | 319 | 1,982 | 2,446 | 7,124 | 8,085 | -417 | -466 | 18,022 | 19,746 |
| Total | 10,292 10,870 | 9,585 13,276 | 4,017 | 4,259 | 6,942 | 8,468 | 15,506 20,326 | -888 -1,142 | 45,454 56,057 | |||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Oceania | 54 | 68 | 4 | 5 | 1,159 | 1,351 | 372 | 443 | 472 | 511 | -57 | -70 | 2,005 | 2,308 |
| Asia | 537 | 699 | 67 | 57 | 2,104 | 1,838 | 936 | 1,141 | 494 | 520 | -90 | -102 | 4,048 | 4,153 |
| Africa | 468 | 505 | 5 | 12 | 5 | 4 | 125 | 236 | 25 | 24 | -18 | -17 | 611 | 763 |
| Central- and South America | 34 | 49 | 930 | 1,167 | 19 | 17 | 164 | 313 | 34 | 42 | -22 | -12 | 1,160 | 1,576 |
| North America | 201 | 251 | 8,531 | 11,970 | 442 | 730 | 3,362 | 3,891 | 7,357 | 11,145 | -285 | -476 | 19,608 27,512 | |
| Sales by product group Q2 | Global | Entrance | ||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| EMEIA | Americas | Asia Pacific | Technologies | Systems | Other | Total | ||||||||
| SEK M | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 |
| Mechanical locks, lock systems and fittings | 2,515 | 2,723 | 2,146 | 2,756 | 1,120 | 1,182 | 87 | 97 | 2 | 2 | -162 | -205 | 5,707 | 6,555 |
| Electromechanical and electronic locks | 1,692 | 1,691 | 1,242 | 1,819 | 505 | 584 | 3,529 | 4,316 | 230 | 303 | -235 | -335 | 6,962 | 8,379 |
| Security doors and hardware | 866 | 1,021 | 1,584 | 2,440 | 596 | 561 | 25 | 4 | 709 | 1,060 | -26 | -34 | 3,755 | 5,052 |
| Entrance automation | 161 | 126 | 8 | 20 | 23 | 53 | - | - | 7,066 | 9,308 | -35 | -25 | 7,223 | 9,481 |
| Total | 5,235 | 5,561 | 4,981 | 7,036 | 2,244 | 2,379 | 3,641 | 4,417 | 8,007 10,673 | -458 | -600 | 23,648 29,466 |
| Sales by product group Jan-Jun | Global | Entrance | ||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| EMEIA | Americas | Asia Pacific | Technologies | Systems | Other | Total | ||||||||
| SEK M | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 | 2021 | 2022 |
| Mechanical locks, lock systems and fittings | 4,958 | 5,357 | 4,120 | 5,239 | 2,037 | 2,196 | 165 | 170 | 4 | 4 | -324 | -398 | 10,959 | 12,568 |
| Electromechanical and electronic locks | 3,357 | 3,337 | 2,378 | 3,463 | 888 | 1,030 | 6,740 | 8,292 | 501 | 570 | -445 | -620 | 13,419 | 16,071 |
| Security doors and hardware | 1,686 | 1,927 | 3,072 | 4,539 | 1,052 | 936 | 37 | 6 | 1,399 | 1,998 | -51 | -69 | 7,195 | 9,338 |
| Entrance automation | 291 | 249 | 15 | 35 | 40 | 97 | - | - | 13,602 | 17,754 | -67 | -55 | 13,880 | 18,080 |
| Total | 10,292 10,870 | 9,585 13,276 | 4,017 | 4,259 | 6,942 | 8,468 | 15,506 20,326 | -888 -1,142 | 45,454 56,057 |
| Number of | Approx. | Month of | |||
|---|---|---|---|---|---|
| Acquisition | Division | Country | employees | sales in 2021 | consolidation |
| Keytechnik | Global Technologies | Belgium | <50 | <50 MSEK | 2022-03 |
| Jotec | Entrance Systems | Germany | 100 | 200 MSEK | 2022-04 |
| Vigil Health Solutions | Global Technologies | Canada | <50 | <50 MSEK | 2022-04 |
| Vizinex | Global Technologies | USA | <50 | <50 MSEK | 2022-05 |
| Arran Isle | EMEIA | UK | 556 | 1,450 MSEK | 2022-06 |
| Acura | Global Technologies | Brazil | 70 | 60 MSEK | 2022-06 |
| Caldwell | Asia Pacific/EMEIA | USA | 415 | 1,000 MSEK | 2022-06 |
| Q2 | Jan-Jun | ||||
|---|---|---|---|---|---|
| SEK M | 2021 | 2022 | 2021 | 2022 | |
| Purchase prices | |||||
| Cash paid for acquisitions during the year | 258 | 3,085 | 408 | 3,092 | |
| Holdbacks and deferred considerations for acquisitions during the year | 21 | 137 | 74 | 139 | |
| Adjustment of purchase prices for acquisitions in prior years | 0 | 0 | -7 | 8 | |
| Total | 279 | 3,221 | 475 | 3,240 | |
| Acquired assets and liabilities at fair value | |||||
| Intangible assets | -5 | 15 | 128 | 115 | |
| Property, plant and equipment and right-of-use assets | 1 | 219 | 9 | 242 | |
| Other non-current assets | 1 | 27 | 2 | 28 | |
| Inventories | 36 | 748 | 64 | 759 | |
| Current receivables and investments | 22 | 503 | 75 | 465 | |
| Cash and cash equivalents | 8 | 114 | 88 | 116 | |
| Non-current liabilities | 96 | 6 | -20 | -13 | |
| Current liabilities | -111 | -547 | -173 | -560 | |
| Total | 48 | 1,085 | 174 | 1,151 | |
| Goodwill | 231 | 2,136 | 301 | 2,088 | |
| Change in cash and cash equivalents due to acquisitions | |||||
| Cash paid for acquisitions during the year | 258 | 3,085 | 408 | 3,092 | |
| Cash and cash equivalents in acquired subsidiaries | -8 | -114 | -88 | -116 | |
| Paid considerations for acquisitions in prior years | 178 | 43 | 405 | 83 | |
| Total | 429 | 3,013 | 724 | 3,060 |
Fair value adjustments of acquired net assets from acquisitions made in previous periods are included in the above table.
| 30 June 2022 | Financial instruments at fair value |
|||||
|---|---|---|---|---|---|---|
| Carrying | Fair | |||||
| SEK M | amount | value | Level 1 | Level 2 Level 3 | ||
| Financial assets | ||||||
| Financial assets at amortized cost | 21,665 | 21,665 | ||||
| Financial assets at fair value through profit and loss | 60 | 60 | ||||
| Derivatives - hedge accounting | 35 | 35 | 35 | |||
| Derivatives - held for trading | 527 | 527 | 527 | |||
| Financial liabilities | ||||||
| Financial liabilities at amortized cost | 38,352 | 37,695 | ||||
| Financial liabilities at fair value through profit and loss | 465 | 465 | 465 | |||
| Lease liabilities | 3,697 | 3,697 | ||||
| Derivatives - hedge accounting | 156 | 156 | 156 | |||
| Derivatives - held for trading | 547 | 547 | 547 | |||
| Financial instruments | ||||||
| 31 December 2021 | at fair value | |||||
| Carrying | Fair | |||||
| SEK M Financial assets |
amount | value | Level 1 | Level 2 Level 3 | ||
| Loans and other receivables | ||||||
| 20,393 52 |
20,393 52 |
|||||
| Financial assets at fair value through profit and loss Available-for-sale financial assets |
85 | 85 | 85 | |||
| Derivative instruments - hedge accounting | 177 | 177 | 177 | |||
| Financial liabilities | ||||||
| Financial liabilities at amortized cost | ||||||
| Financial liabilities at fair value through profit and loss | 34,763 403 |
34,960 403 |
403 | |||
| Lease liabilities | 3,515 | 3,515 | ||||
| Derivatives - hedge accounting | 3 | 3 | 3 |
Financial liabilities at fair value through profit and loss pertains to deferred considerations, Deferred considerations are initially measured on the day of acquisition based i.e. additional payments for acquired companies. The size of a deferred consideration is on management's best estimate regarding future outcomes and belong to usually linked to the earnings and sales performance in an acquired company during a level 3 in the hierarchy. specific period of time.
| CONDENSED INCOME STATEMENT | Jan-Jun | ||
|---|---|---|---|
| SEK M | 2021 | 2021 | 2022 |
| Operating income | 1,053 | 497 | 325 |
| Income before appropriations and tax | 6,721 | 3,068 | 1,190 |
| Net income for the period | 6,631 | 2,979 | 1,151 |
| CONDENSED BALANCE SHEET | 31 Dec | 30 Jun | |
|---|---|---|---|
| SEK M | 2021 | 2021 | 2022 |
| Non-current assets | 46,435 | 43,437 | 47,030 |
| Current assets | 18,231 | 20,832 | 17,550 |
| Total assets | 64,666 | 64,269 | 64,580 |
| Equity | 28,481 | 26,971 | 27,264 |
| Untaxed reserves | 1,606 | 1,125 | 1,606 |
| Non-current liabilities | 14,577 | 14,192 | 14,988 |
| Current liabilities | 20,002 | 21,980 | 20,722 |
| Total equity and liabilities | 64,666 | 64,269 | 64,580 |
Change in sales for comparable units after adjustments for Average capital employed excluding restructuring reserves acquisitions, divestments and exchange rate effects. for the last twelve months.
Operating income before depreciation and amortization as a Interest-bearing liabilities less interest-bearing assets. percentage of sales. See the table on net debt for detailed information.
Operating income before amortization of intangible assets Net debt at the end of the period in relation to EBITDA for recognized in business combinations, as a percentage of sales. the last twelve months.
Operating margin (EBIT) Net debt/Equity ratio Operating income as a percentage of sales. Net debt in relation to equity.
Profit margin (EBT) Equity ratio
Restructuring costs and significant non-recurring operating expenses Equity excluding non-controlling interests in relation to such as revaluation of previously owned shares in associates and number of outstanding shares after any potential dilution. goodwill impairment.
Cash Flow from operating activities excluding restructuring Comparability, for the last twelwe months as a percentage of payments and tax paid on income minus net capital expenditure average adjusted capital employed. and repayment of lease liabilities.
Operating cash flow in relation to income before tax excluding for the last twelve months as a percentage of average equity items affecting comparability. attributable to parent company's shareholders for the
Investments in, less disposals of, intangible assets and Earnings per share before and after dilution
Depreciation, amortization and impairment of intangible assets, are expected to result in significant dilution in the future. property, plant and equipment and right-of-use assets.
Total assets less interest-bearing assets and non-interest- Net income attributable to parent company's shareholders
Income before tax as a percentage of sales. Shareholders' equity as a percentage of total assets.
Operating cash flow Operating Income (EBIT), excluding Items Affecting
Cash conversion Net income attributable to parent company's shareholders same period.
property, plant and equipment. Net income attributable to parent company's shareholders divided by weighted average number of outstanding shares. Depreciation and amortization None of the Group's outstanding long-term incentive programs
bearing liabilities including deferred tax liability. excluding items affecting comparability, net of tax, divided by weighted average number of outstanding shares. None of the Group's outstanding long-term incentive programs are expected to result in significant dilution in the future.
Building tools?
Free accounts include 100 API calls/year for testing.
Have a question? We'll get back to you promptly.