Earnings Release • Apr 23, 2015
Earnings Release
Open in ViewerOpens in native device viewer
| SEK MILLIONS | Jan–Mar 2015 |
Jan–Mar 2014 |
Jan–Dec 2014 |
|---|---|---|---|
| Net sales | 3,325 | 2,848 | 12,000 |
| Operating profit | 152 | 145 | 705 |
| Adjusted operating profit | 172 | 147 | 759 |
| Earnings before tax | 84 | 35 | 440 |
| Cash flow from operating activities | 289 | 272 | 659 |
| Operating cash flow | 359 | 382 | 916 |
| Operating margin, % | 4.6 | 5.1 | 5.9 |
| Adjusted operating margin, % | 5.2 | 5.2 | 6.3 |
| Interest coverage ratio | 1.9 | 1.4 | 2.2 |
| Equity/assets ratio, % | 29.5 | 31.3 | 29.9 |
| Order intake | 3,236 | 2,652 | 12,149 |
| Order backlog | 6,502 | 5,879 | 6,580 |
Bravida continues to deliver good growth and stable profitability. Net sales increased by 17 per cent. Our acquisitions represented an important part of the growth, while organic growth amounted to 5 per cent. This means that, excluding acquisitions, we continue to grow faster than the market.
Our expansion is also clearly shown in the financial results. The adjusted operating profit increased at the same pace as sales growth, which meant that the adjusted operating margin was unchanged at 5.2 per cent. This is in spite of the fact that profits were affected by the costs of integrating acquisitions. Our existing operations thus continue to improve the margin, which is evidence that the strategic improvement work is bearing fruit in the form of increased profitability.
We are putting a great deal of effort and focus into integrating the acquired companies. This is central to realising the potential synergies in every single company acquisition. At the same time, we are maintaining a high tempo in acquisitions, with 5 companies being added during the quarter.
The order intake was also a strength factor during the quarter, with an increase of as much as 22 per cent, partly due to acquisitions. This growth represents a strong basis for the continuing development of invoicing for the rest of the year.
I am delighted that our customers show such great confidence in us. Our Satisfied Customer survey shows that our customers give us a high score.
Mattias Johansson Stockholm, April 2015.
The market is benefiting from continued good demand for residential buildings, public building and infrastructure projects, as well as low interest rates. Building companies' order books confirm good growth and stability.
The group's net sales in the first quarter amounted to SEK 3,325 million (2,848), an increase of 16.7% compared with the first quarter of 2014. Adjusted for currency changes and acquisitions, the increase was 5 per cent. Currency effects increased sales by 1 per cent, while acquisitions added 11 per cent. Acquisitions have mainly been in Sweden and Norway.
The sales increase has been in all three countries. Net sales in Sweden amounted to SEK 2,006 million (1,818), which is an increase of 10 per cent. Net sales in Norway amounted to NOK 753 million (602), an increase of 25 per cent. Net sales in Denmark amounted to DKK 405 million (330), an increase of 23 per cent. The significant increase is related to a number of large installation projects that are under production.
The order intake during the first quarter was SEK 3,236 million (2,652), an increase of 22 per cent. The order intake in Sweden increased by 28 per cent. The order intake in Norway increased by 28 per cent. The order intake in Denmark fell by 5 per cent.
Operating profit increased by 5 per cent to SEK 152 million (145), equivalent to an operating margin of 4.6 per cent (5.1). Operating profit in the Norwegian
and Danish divisions improved markedly in local currency by 29 and 26 per cent respectively and operating profit in Sweden improved by 11 per cent, compared with the first quarter of 2014. Deterioration in the operating margin is due to the costs of the ongoing improvement programme and integration of the acquired companies. Costs of a non-recurring nature have increased and amounted to SEK 19.6 million (1.9); these costs are mainly related to organizational and strategical initiatives. Adjusted operating profit amounted to SEK 172 million (147) and adjusted operating margin was 5.2 per cent (5.2).
Net financial expenses amounted to SEK -49 million (-64) and the market valuation of interest rate and currency derivatives had a negative effect on profits of SEK -20 million (-45). Earnings after net financial expense were SEK 84 million (35). Earnings after tax were SEK 62 million (23).
Bravida's activities are affected by seasonal variations in the building industry and annual holidays. Bravida normally has a lower level of activity in the 3rd quarter due to the holiday period.
Depreciation of machinery, equipment and intangible assets in the first quarter amounted to SEK 4.8 million (3.3).
Tax expenses for the quarter were SEK 22 million (12). Earnings before tax were SEK 84 million (35). The effective tax rate for the quarter was 26 per cent (34). The tax rate in Sweden is 22 per cent, in Norway it is 27 per cent and in Denmark it is 23.5 per cent.
Cash flow from operating activities was SEK 289 million (272). Cash flow from investment activities was SEK -65 million (-6). The difference is explained by there being more acquisitions this year compared with the previous year. Cash flow from financing activities was SEK -57 million (-500); a dividend was distributed in the first quarter of last year.
Investments in machinery and equipment amounted to SEK 4 million (2).
Investments in acquisition of subsidiaries/companies amounted to SEK 66 million (4).
During the first quarter, agreements have been signed for the acquisition of five companies, four of which are included in the quarter's financial results.
Bravida has acquired 75 per cent of shares in ABEKA El & Kraftanläggningar AB, based in Nyköping.
ABEKA works on electrical power plants from 0.4 to 400 kV. The company has 39 employees and in 2014 had sales of SEK 210 million.
Bravida has acquired Elservice Din Elinstallatör AB in Östersund. The company has sales of SEK 27 million and has 22 employees.
Bravida has acquired Skellefteå Elektriska AB in Skellefteå. The company
NET SALES INCOME
had sales of SEK 14 million in 2014 and has 11 employees.
Bravida has acquired Nicopia VVS AB, which focuses on heating and plumbing installations in residential projects and customer heating and plumbing service. The company, which has sales of approximately SEK 40 million and 25 employees, is based in Nyköping, although most of its activity is in Stockholm.
The remaining 30 per cent of shares in C2M Sprikler AB have been acquired during the first quarter.
The effect on net indebtedness of the above acquisitions amounts to SEK 66 million.
In February, Bravida signed an agreement for the acquisition of VVS-Teknik Rör i Väst AB, which is based in Mölndal, south of Gothenburg. The company has 45 employees and sales of SEK 85 million. VVS-Teknik performs installation and service work in heating and plumbing. Bravida takes over on 1 April 2015.
Bravida's net debt amounted SEK -2,437 million (-2,730) per 31 March 2015. Currency changes have affected net debt marginally during the quarter. The equity/assets ratio amounted to 29.5 per cent (31.3) and net debt/equity ratio to 0.7 (0.8). Net financial expenses in the quarter amounted to SEK -49 million (-64), of which net interest expenses were SEK -60 million (-62). Net interest expenses include exchange rate differences of SEK 11 (-2) million. Change in the value of derivatives amounted to SEK -20 million (-45). Consolidated cash and cash equivalents at 31 March were SEK 991 million (613). Bravida also had access to SEK 457 million (450) in undrawn credit lines. At 31 March the company had interest-bearing liabilities of SEK 3,390 million (3,313). Equity at the end of the period amounted to SEK 3,357 million (3,240).
The average number of employees increased by 11 per cent compared with the same period last year and was 8,798 (7,916). The number of employees in production increased by 11 per cent. The increase in the number of employees is related to increased production and acquisitions.
Income during the quarter was SEK 0 million (0). Profit before tax during the first quarter was SEK -9 million (-4).
Proposal for dividend of SEK 277 million.
Tore Bakke has been appointed as the new Division Manager in Norway. Tore Bakke was previously head of East region in Norway.
This interim report summarised for the Group has been prepared in accordance with IAS 34 Interim Financial Reporting and the applicable sections of the Swedish Annual Accounts Act. The interim report for the parent company has been prepared in accordance with Chapter 9 Interim Report of the Swedish Annual Accounts Act, which is consistent with the provisions of Recommendation RFR 2 Accounting for Legal Entities of the Swedish Financial Reporting Board. See note 1 on page 14 regarding segment information and cost allocation.
In other respects the interim report has been prepared in accordance with the same accounting policies and assumptions described in the annual report for 2014.
Fluctuations in the market, financial turmoil and political decisions are the exogenous factors having the greatest impact on new residential and commercial construction, and on industrial and publicsector investment. Demand for service and maintenance work is less sensitive to fluctuations in the economic cycle.
Operational risks are associated with day-to-day operations such as tendering, price risks, capacity utilisation and revenue recognition. Management of these risks is part of Bravida's ongoing business process. Percentage of completion accounting is applied in projects based on the degree of completion of the project and the final forecast. A sophisticated process for monitoring projects is crucial to limiting the risk of incorrect revenue recognition. Bravida continually monitors the economic status of projects to ensure that individual project estimates are not exceeded. The Group is also exposed to impairment loss risks in fixed-price contracts as well as financial risks such as currency, interest and credit risks. The identified material risks and uncertainties are the same for the parent company and Group.
The Group's interest risk and currency exposure has increased following borrowing in the form of a corporate bond, in 2013. These risks have been managed through currency and interest rate hedges.
| SEK millions | Jan–Mar 2015 | Jan–Mar 2014 | Jan–Dec 2014 |
|---|---|---|---|
| Net sales SEK millions | 3,325 | 2,849 | 12,000 |
| Change, SEK million | 476 | 119 | 920 |
| Change % | 16.7 | 4.4 | 8.3 |
| of which | |||
| Organic growth, % | 5 | 6 | 5 |
| Acquisition/sale, % | 11 | 0 | 3 |
| Currency effects, % | 1 | -1 | 0 |
| SEK millions | Jan–Mar 2015 |
Distribu- tion | Jan–Mar 2014 |
Distribu- tion | Jan–Dec 2014 |
Distribu- tion |
|---|---|---|---|---|---|---|
| Sweden | 2,006 | 60% | 1,818 | 64% | 7,385 | 62% |
| Norway | 809 | 24% | 639 | 22% | 2,818 | 23% |
| Denmark | 510 | 15% | 392 | 14% | 1,792 | 15% |
| Intra-Group and eliminations | - | - | - | 5 | ||
| Total | 3,325 | 2,848 | 12,000 |
| SEK millions | Jan–Mar 2015 |
Jan–Mar 2014 |
Jan–Dec 2014 |
|||
|---|---|---|---|---|---|---|
| Sweden | 103 | 5.1% | 93 | 5.1% | 474 | 6.4% |
| Norway | 42 | 5.2% | 32 | 5.0% | 150 | 5.3% |
| Denmark | 25 | 4.9% | 19 | 4.8% | 94 | 5.2% |
| Intra-Group and eliminations | -17 | 1 | -13 | |||
| Operating profit | 152 | 4.6% | 145 | 5.1% | 705 | 5.9% |
| Adjustments (streamlining programme) | 20 | 2 | 54 | |||
| Adjusted operating profit | 172 | 5.2% | 147 | 5.2% | 759 | 6.3% |
| Net financial income/expenses | -68 | - | -110 | - | -264 | - |
| Adjusted profit before tax | 104 | 38 | 495 |
| SEK millions | Jan–Mar 2015 | Jan–Mar 2014 | Jan–Dec 2014 |
|---|---|---|---|
| Sweden | 5,049 | 4,720 | 4,807 |
| Norway | 2,310 | 1,889 | 1,997 |
| Denmark | 1,357 | 1,226 | 1,333 |
| Total including intra-group | 8,798 | 7,916 | 8,213 |
The building cycle in Sweden improved during the period and is now stable, apart from in some regional markets. Bravida's market in installation and service grew by 4 per cent in 2014, the growth 2015 is expected to remain at the same level. Increased housing production in major conurbations and university towns, combined with continued growth in publicsector construction and renovation are helping to provide good growth and stability.
Sales to building companies in the first quarter increased by 13 per cent, compared with the same period the previous year. The increased sales are related to an increase in the building of homes, sports facilities and industrial buildings.
There is however a great deal of competition on the market in metropolitan regions, which is driving down prices.
Sales i Sweden in the first quarter of 2015 increased by 10 per cent to SEK 2,006 million (1,818).
The order intake in Sweden in the first quarter increased by 28 per cent to SEK 2,057 million (1,613) and at the end of the period the order backlog was SEK 3,739 million (3,359), which is an increase of 11 per cent compared with the first quarter last year.
Operating profit increased by 11 per cent to SEK 103 million (93), which gives an operating margin of 5.1 per cent (5.1). Bravida Sweden has received many important orders and signed substantial service agreements during the quarter, including a project for the new terminal building at Värtahamnen in Stockholm, delivery of evacuation alarms to Swedavia and service agreements with Akademiskahus and Familjebostäder. The average number of employees increased by 7 per cent to 5,049 (4,720).
Net sales per quarter Sweden
Rolling 12 months Sweden
| SEK MILLIONS | Jan–Mar 2015 |
Jan–Mar 2014 |
Jan–Dec 2014 |
|---|---|---|---|
| Net sales | 2,006 | 1,818 | 7,385 |
| Operating profit (EBIT) | 103 | 93 | 474 |
| Operating margin | 5.1% | 5.1% | 6.4% |
Every day the 500 employees at the Swedish-Danish Postnord post terminal in Rosersberg handle about two million letters. Bravida has already completed all the electrical, heating & plumbing, HVAC and sprinkler installations, as well as monitoring in this giant terminal. Now Bravida has also been entrusted with responsibility for the operation and maintenance.
During the first quarter of 2015, production starts of new housing have increased after the serious downturn in residential building in 2014. The general economic situation has worsened as oil prices have fallen. Investments in public construction and infrastructure are helping to stabilise the construction market. Bravida's market in installation and service grew by 5 per cent in 2014, the growth 2015 is expected to remain at the same level.
Sales in Norway during the first quarter of 2015 increased by 25 per cent to NOK 753 million (602).
Sales in the first quarter increased compared with last year, with projects in infrastructure and housing, although a decrease in health care. Bravida Norway has a very large installation assignment, which has been ongoing for several years, for the new hospital in Sarpsborg, a project that will be completed in 2015.
Bravida has a major production project at Gardermoen airport, which is extending capacity.
Operating profit in Norway increased by 29 per cent compared with the previous year and was NOK 39 million (30), which gives an improved operating margin of 5.2 per cent (5.0).
The improved margin is largely due to good selection and implementation of projects.
The order intake during the first quarter increased by 28 per cent to NOK 759 million (595).
The order backlog at the end of the period was NOK 1,308 million (1,130), an increase of 16 per cent. Bravida Norway has received some important orders during the quarter, including a project for renovation of road tunnels, a nursing home in Tromsø and a service agreement with NRK.
The average number of employees increased by 22% compared with the same period last year and was 2,310 (1,889). The increase in the number of employees is explained by acquisition and increased production.
Rolling 12 months Norway
| SEK MILLIONS | Jan–Mar 2015 |
Jan–Mar 2014 |
Jan–Dec 2014 |
|---|---|---|---|
| Net sales | 809 | 639 | 2,818 |
| Operating profit (EBIT) | 42 | 32 | 150 |
| Operating margin | 5.2% | 5.0% | 5.3% |
The new Pier North will increase capacity at Gardermoen, Oslo airport, with 17 new gates, which will enable more travellers to visit Scandinavia every year. Bravida Norway has been given the task of performing the complete electrical work, as well as laying computer and fibre-optic cable. Installation work began in 2014 and is expected to last until the summer of 2016.
The weak economy of the past few years in Denmark has had a direct impact on the construction market and consequently also on the installation market. Over the past year, however, the market has stabilised, albeit at a historically low level, in installation as well as service. Despite the weak market, Division Denmark has managed to increase its market share significantly, while at the same time improving profitability. The market grew by 1 per cent during 2014 and is expected to continue to be stable.
Division Denmark's sales increased by 23 per cent during the period to DKK 405 million (330). The volume increase comes from a number of large installation projects in health care, education and infrastructure.
Operating profit was DKK 19 million (16), representing a slightly improved operating margin of 4.9 per cent (4.8).
The order intake fell somewhat during the period to DKK 304 million (321).
The order backlog at the end of the period increased to DKK 1,099 million (1,081). The order backlog includes some large projects that will take several years to complete.
During the first quarter, Bravida Denmark received an order for a new build of an industrial property for the fishing industry.
The average number of employees during the period increased by 11 per cent to 1,357 (1,226). The increase in the number of employees is explained by increased production and the strong intake of orders over the last 18 months.
Rolling 12 months Denmark
| SEK MILLIONS | Jan–Mar 2015 |
Jan–Mar 2014 |
Jan–Dec 2014 |
|---|---|---|---|
| Net sales | 510 | 392 | 1,792 |
| Operating profit (EBIT) | 25 | 19 | 94 |
| Operating margin | 4.9% | 4.8% | 5.2% |
been working as part of a select team to build a new power line between Kassø and Tjele in Denmark. Bravida is installing vital switches and pulling all cables. The work is part of a framework agreement between Bravida and Denmark's state power company, Energinet.dk
| Jan–Mar 2015 | Jan–Mar 2014 | Jan–Dec 2014 | Apr 2014-Mar 2015 | |
|---|---|---|---|---|
| Net sales | 3,325 | 2,848 | 12,000 | 12,477 |
| Costs of production | -2,854 | -2,452 | -10,173 | -10,575 |
| Gross profit | 471 | 396 | 1,827 | 1,902 |
| Selling and administrative expenses | -318 | -252 | -1,123 | -1,189 |
| Operating profit | 152 | 145 | 705 | 712 |
| Net financial income/expenses | -49 | -64 | -279 | -263 |
| Reassessment of derivatives | -20 | -45 | 15 | 40 |
| Earnings before tax | 84 | 35 | 440 | 489 |
| Tax on profit for the period | -22 | -12 | -120 | -131 |
| Profit for period | 62 | 23 | 320 | 358 |
| Other comprehensive income | ||||
| Items that have been transferred or can be transferred to profit for the year | ||||
| Translation differences for the period from the translation of foreign operations | -13 | 12 | 28 | 4 |
| Change for period in fair value of derivatives | 2 | 4 | -100 | -103 |
| Items that cannot be transferred to profit for the year | ||||
| Revaluation of defined benefit pensions | – | – | -166 | -166 |
| Tax attributable to items in other comprehensive income | 0 | -1 | 59 | 59 |
| Comprehensive income for the period | 51 | 38 | 140 | 152 |
| Comprehensive income for the period attributable to: | ||||
| Equity holders of the parent company | 50 | 37 | 133 | 146 |
| Non-controlling interests | 1 | 1 | 6 | 6 |
| Comprehensive income for the period | 51 | 38 | 140 | 152 |
| 31 Mar 2015 | 31 Mar 2014 | 31 Dec 2014 | |
|---|---|---|---|
| Intangible assets | 7,019 | 6,749 | 6,943 |
| Other non-current assets | 365 | 339 | 362 |
| Total non-current assets | 7,384 | 7,088 | 7,305 |
| Trade receivables | 1,829 | 1,657 | 1,969 |
| Accrued but not invoiced income | 854 | 706 | 655 |
| Other current assets | 322 | 280 | 287 |
| Cash and cash equivalents | 991 | 613 | 828 |
| Total current assets | 3,996 | 3,256 | 3,739 |
| Total assets | 11,379 | 10,344 | 11,044 |
| Equity | 3,357 | 3,240 | 3,306 |
| Non-current liabilities | 3,814 | 3,533 | 3,841 |
| Trade payables | 1,104 | 979 | 975 |
| Invoiced but not accrued income | 1,278 | 1,059 | 1,287 |
| Current liabilities | 1,826 | 1,532 | 1,634 |
| Total current liabilities | 4,209 | 3,571 | 3,897 |
| Total equity and liabilities | 11,379 | 10,344 | 11,044 |
| Of which, interest-bearing liabilities | 3,397 | 3,313 | 3,441 |
| Equity attributable to: | |||
| Equity holders of the parent company | 3,343 | 3,234 | 3,293 |
| Non-controlling interests | 13 | 5 | 13 |
| Total equity | 3,357 | 3,240 | 3,306 |
| 31 Mar 2015 | 31 Mar 2014 | 31 Dec 2014 | |
|---|---|---|---|
| Consolidated equity | |||
| Opening balance | 3,306 | 3,701 | 3,701 |
| Comprehensive income for the period | 51 | 38 | 140 |
| Dividend | – | -500 | -500 |
| Group contribution made, net | – | – | -35 |
| Closing balance | 3,357 | 3,240 | 3,306 |
| Jan–Mar 2015 | Jan–Mar 2014 | Jan–Dec 2014 | |
|---|---|---|---|
| Cash flow from operating activities | |||
| Earnings before tax | 84 | 35 | 440 |
| Adjustments for non-cash items | 5 | 41 | 46 |
| Income taxes paid | -3 | -3 | -5 |
| Cash flow from operating activities before changes in working capital | 85 | 74 | 480 |
| Changes in working capital | 203 | 198 | 179 |
| Cash flow from operating activities | 289 | 272 | 659 |
| Cash flow from investing activities | -65 | -6 | -136 |
| Financing activities | |||
| Loans to Group companies | -54 | – | – |
| Change in utilisation of overdraft facility | -3 | – | – |
| Dividend paid | – | -500 | -500 |
| Group contributions paid | – | – | -45 |
| Cash flow from financing activities | -57 | -500 | -545 |
| Cash flow for the period | 167 | -234 | -22 |
| Cash and cash equivalents at beginning of year | 828 | 838 | 838 |
| Translation difference in cash and cash equivalents | -4 | 9 | 12 |
| Cash and cash equivalents at end of period | 991 | 613 | 828 |
| SEK MILLIONS | Quarter 1 2015 |
Quarter 1 2014 |
Full year 2014 |
|---|---|---|---|
| Operating profit | 152 | 145 | 705 |
| Depreciation and amortisation | 5 | 3 | 15 |
| Other adjustments for non-cash items | – | 38 | 31 |
| Investment in machinery and equipment | -1 | -2 | -15 |
| Changes in working capital | 203 | 198 | 179 |
| Operating cash flow | 359 | 382 | 916 |
| Jan–Mar 2015 | Jan–Mar 2014 | |
|---|---|---|
| Net sales | – | – |
| Selling and administrative expenses | -13 | -2 |
| Operating profit | -13 | -2 |
| Net financial income/expenses | 4 | -2 |
| Earnings before tax | -9 | -4 |
| Tax on profit for the period | – | – |
| Profit for period | -9 | -4 |
| 31 Mar 2015 | 31 Mar 2014 | |
|---|---|---|
| Shares in subsidiaries | 7,341 | 3,673 |
| Deferred tax asset | 8 | 62 |
| Total non-current assets | 7,349 | 3,734 |
| Receivables from parent company | 54 | – |
| Receivables from Group companies | 2,532 | 2,428 |
| Current receivables | 3 | 2 |
| Total current receivables | 2,589 | 2,430 |
| Cash and bank balances | 891 | 21 |
| Total current assets | 3,480 | 2,451 |
| Total assets | 10,829 | 6,185 |
| Restricted equity | 4 | 4 |
| Non-restricted equity | 4,673 | 2,795 |
| Equity | 4,677 | 2,799 |
| Provisions | 5 | – |
| Bonds | 3,390 | 3,313 |
| Total non-current liabilities | 3,390 | 3,313 |
| Liabilities to Group companies | 2,722 | 63 |
| Current liabilities | 36 | 10 |
| Total current liabilities | 2,758 | 73 |
| Total equity and liabilities | 10,829 | 6,185 |
| Of which, interest-bearing liabilities | 3,390 | 3,313 |
| Pledged assets and contingent liabilities | ||
| Pledged assets | 7,341 | 3,673 |
| Contingent liabilities | – | – |
| Total pledged assets and contingent liabilities | 7,341 | 3,673 |
| Number of shares | 403,133,196 | 403,133,196 |
| Q1 2015 |
Q4 2014 |
Q3 2014 |
Q2 2014 |
Q1 2014 |
2014 | 2013 | |
|---|---|---|---|---|---|---|---|
| PROFIT | |||||||
| Net sales | 3,325 | 3,389 | 2,772 | 2,992 | 2,848 | 12,000 | 11,080 |
| Costs of production | -2,854 | -2,796 | -2,365 | -2,559 | -2,452 | -10,172 | -9,419 |
| Gross profit | 471 | 593 | 406 | 432 | 396 | 1,828 | 1,661 |
| Administrative and selling expenses | -318 | -345 | -246 | -281 | -252 | -1,123 | -1,061 |
| Earnings before goodwill amortisation (EBITA) | 153 | 248 | 161 | 152 | 145 | 706 | 600 |
| Adjustment of items of a non-recurring nature | -20 | -33 | -9 | -10 | -2 | -54 | -49 |
| Adjusted profit after one-off items (EBITA) | 172 | 282 | 170 | 161 | 147 | 760 | 649 |
| Amortisation and write-down intangible assets | 0 | 0 | 0 | 0 | 0 | -1 | 0 |
| Operating profit (EBIT) | 152 | 248 | 160 | 151 | 145 | 705 | 600 |
| Net financial income/expenses | -68 | -32 | -82 | -41 | -109 | -265 | -378 |
| Profit after financial items (EBT) | 84 | 216 | 79 | 110 | 35 | 440 | 222 |
| Tax | -22 | -58 | -21 | -30 | -12 | -120 | -47 |
| Profit for period | 62 | 158 | 58 | 80 | 23 | 320 | 174 |
| BALANCE SHEET | |||||||
| Goodwill | 7,016 | 6,940 | 6,822 | 6,812 | 6,745 | 6,940 | 6,733 |
| Other non-current assets | 367 | 385 | 405 | 387 | 343 | 385 | 354 |
| Cash and cash equivalents | 991 | 828 | 423 | 623 | 613 | 828 | 838 |
| Current assets | 3,005 | 2,911 | 2,989 | 2,955 | 2,643 | 2,911 | 2,785 |
| Total assets | 11,379 | 11,064 | 10,638 | 10,777 | 10,344 | 11,064 | 10,710 |
| Equity | 3,357 | 3,306 | 3,347 | 3,291 | 3,240 | 3,306 | 3,701 |
| Loans | 3,390 | 3,441 | 3,366 | 3,369 | 3,313 | 3,441 | 3,312 |
| Non-current liabilities | 424 | 421 | 277 | 257 | 295 | 421 | 183 |
| Current liabilities | 4,209 | 3,896 | 3,648 | 3,859 | 3,496 | 3,896 | 3,514 |
| Total equity and liabilities | 11,379 | 11,064 | 10,638 | 10,777 | 10,344 | 11,064 | 10,710 |
| CASH FLOWS Cash flow from operating activities |
289 | 494 | -157 | 50 | 272 | 659 | 457 |
| Cash flow from investing activities | -65 | -74 | -6 | -50 | -6 | -136 | -54 |
| Cash flow from financing activities | -57 | – | -45 | – | -500 | -545 | 344 |
| Cash flow for the period | 167 | 420 | -209 | 1 | -234 | -22 | 746 |
| KEY FIGURES | |||||||
| Operating margin, % | 4.6 | 7.3 | 5.8 | 5.1 | 5.1 | 5.9 | 5.4 |
| Adjusted operating margin, % | 5.2 | 8.3 | 6.1 | 5.4 | 5.2 | 6.3 | 5.9 |
| Profit margin, % | 2.5 | 6.4 | 2.8 | 3.7 | 1.2 | 3.7 | 2.0 |
| Return on capital, % | 10.8 | 9.1 | 9.5 | 8.5 | 3.8 | 9.1 | 4.9 |
| Capital employed | 6,746 | 6,747 | 6,713 | 6,660 | 6,553 | 6,747 | 7,013 |
| Return on capital employed, % | 12.9 | 13.1 | 13.2 | 12.6 | 12.1 | 13.1 | 11.2 |
| Net loan liabilities | -2,437 | -2,595 | -3,002 | -2,764 | -2,730 | -2,595 | -2,468 |
| Debt/equity ratio | -1.0 | -1.0 | -1.0 | -1.0 | -1.0 | -1.0 | -0.9 |
| Interest coverage ratio | 1.9 | 3.3 | 1.8 | 2.2 | 1.4 | 2.2 | 1.7 |
| Equity/assets ratio, % | 29.5 | 29.9 | 31.5 | 30.5 | 31.3 | 29.9 | 34.6 |
| Order intake | 3,236 | 3,353 | 2,756 | 3,388 | 2,652 | 12,149 | 12,346 |
| Order backlog | 6,502 | 6,580 | 6,454 | 6,466 | 5,879 | 6,580 | 6,075 |
| Average no. of employees | 8,798 | 8,213 | 8,236 | 8,085 | 7,916 | 8,213 | 7,967 |
| Sales per employee | 0.378 | 0.413 | 0.337 | 0.370 | 0.360 | 1.461 | 1.391 |
| Administration costs as % of sales | 9.6% | 10.2% | 8.9% | 9.4% | 8.8% | 9.4% | 9.6% |
| Working capital as % of sales | -8.6% | -7.1% | -4.7% | -7.0% | -7.3% | -7.1% | -5.5% |
The interim report for the group has been prepared in accordance with IAS 34 Interim Reporting and appropriate parts of Chapter 9 Interim Report of the Swedish Annual Accounts Act, which is consistent with the provisions of Recommendation RFR 2 Accounting for Legal Entities of the Swedish Financial Reporting Board.
Unless otherwise stated, the accounting principles and calculation methods that have been used in the interim report correspond to those applied in preparing the most recent annual report. New and amended IFRS standards and interpretations from the IFRS Interpretations Committee that apply from 1 January 2015 have no significant effect on Bravida Holding AB's financial reporting.
Change of segment reporting From 2015 Bravida's primary segment is country.
This report contains information and statements concerning the outlook for Bravida's activities. The information is based on the group management's current expectations and estimates. The actual future result may vary significantly compared with the forward looking information provided in this report, particularly because of changed conditions regarding the economic cycle, market and competition.
New principle for allocation of costs with effect from 1 January 2015. Previously all costs for personnel that were not directly connected with production have been handled as sales and administration costs. With effect from 1 January 2015, direct and indirect costs for indirect production personnel, including calculators, service managers etc., have been allocated to costs of production. Previous periods have been recalculated so as to be comparable.
The Board of Directors and Chief Executive Officer warrant that the report gives a true and fair overview of the operations, financial position and results of the Group and parent company, and describes significant risks and uncertainties faced by the parent company and the companies included in the Group.
Stockholm, 23 April 2015 Bravida Holding AB
Mattias Johansson, President and CEO
This interim report has not been examined by Bravida's auditors.
Bravida Holding AB publishes this interim report in compliance with the Swedish Securities Market Act and/or the Swedish Financial Instruments Trading Act. This information was submitted for publication at 11.30 on 23 April 2015.
The report for the second quarter of 2015 will be published on 21 July 2015.
| Annual General Meeting | 23 April |
|---|---|
| Annual report | April |
| Interim Report, January–June | 21 July |
| Interim Report, January–September | 28 October |
Mattias Johansson, President and CEO E-mail: [email protected]
Nils-Johan Andersson, CFO E-mail: [email protected]
Telephone +46 8 695 20 00
Operating profit as a percentage of net sales.
Operating profit adjusted for nonrecurring costs in relation to net sales.
Profit after financial items in relation to net sales.
Balance sheet total less non-interestbearing liabilities including deferred tax liabilities.
Profit after financial items plus financial expense in relation to average capital employed.
Equity in the group plus, in the parent company, the equity share of untaxed reserves, as a percentage of balance sheet total.
Profit after financial items plus interest expense, divided by interest expense.
In the contract and service business, net sales are accounted for in accordance with the percentage of completion method. These revenues are recognised in proportion to the degree of completion of the project. In other operations, net sales is the same as billing.
The value of received projects and changes to existing projects during the period concerned.
The value of remaining, not yet accrued project revenues from installation orders in hand at the end of the period.
Profit according to the income statement, excluding the portion that refers to noncontrolling interests, as a percentage of average equity.
Interest-bearing liabilities and provisions minus interest-bearing assets including cash and cash equivalents.
Net loan liabilities in relation to equity.
The building or redevelopment of technical systems in buildings and infrastructure.
Operation and maintenance as well as minor redevelopment of installations in buildings, plant and infrastructure.
Calculated as the number of full-time employees during the year, taking account of full-time and part-time jobs.
Power supply, lighting, heating, automatic control and surveillance systems. Telecom and other light-current installations.
Water, waste water, heating, sanitation, cooling and sprinkler systems. Complete offerings in pipe welding, energy systems, district heating and district cooling.
Fire and burglar alarm products and systems, access control systems, CCTV surveillance and integrated security systems.
Comfort ventilation and comfort cooling in the form of air handling, air conditioning and climate control. Commercial cooling in freezer rooms and cold rooms. Process ventilation, automatic control systems. Energy assessments and energy-saving measures in the form of heat recovery ventilation, heat pumps, etc.
Change in sales in comparable units after adjustment for acquisition and exchange rate effects.
Bravida is Scandinavia's premier integrated supplier of technical installation and service solutions, with around 9,000 employees and sales of approximately SEK 12,000 million. Bravida provides specialist services and integrated solutions in installation and service in three main fields of technology: electrical, heating & plumbing and HVAC. The offerings also include services in modern technical service management, fire and security systems, sprinklers, cooling, project management services for the construction and property industries.
Bravida has 150 locations in Sweden, Norway and Denmark and offers everything from complete integrated solutions with overall responsibility and long-term service agreements to minor contracts and service assignments to customers in the public and private sectors.
Since 31 July 2012 Bravida has been owned by a number of investment funds represented by Bain Capital Europe.
"LEADING WITHIN INSTALLATION AND SERVICE IN SCANDINAVIA"
INSTALLATION / SERVICE SHARE OF BRAVIDA'S SALES
FIELDS OF TECHNOLOGY
| Service | Installation | Electrical | Heating and plumbing |
HVAC | Specialist areas | |
|---|---|---|---|---|---|---|
| Sweden | 45% | 55% | 45% | 28% | 20% | 8% |
| Norway | 52% | 48% | 80% | 15% | 2% | 3% |
| Denmark | 44% | 56% | 54% | 26% | 21% | – |
Bravida AB SE-126 81 Stockholm Visiting address: Mikrofonvägen 28 Sweden Telephone: +46 8 695 20 00 www.bravida.se
Bravida Sverige AB Box 818 SE-721 22 Västerås Visiting address: Betonggatan 1 Sweden Telephone: +46 21 15 48 00 www.bravida.se
Bravida Sverige AB SE-126 81 Stockholm Visiting address: Mikrofonvägen 28 Sweden Telephone: +46 8 695 20 00 www.bravida.se
Bravida Sverige AB Box 40 SE-431 21 Mölndal Visiting address: Alfagatan 8 Sweden Telephone: +46 31 709 51 00 www.bravida.se
Bravida Norge AS Postboks 313 Økern NO-0511 Oslo Norway Visiting address: Østre Aker vei 90 Telephone: +47 2404 80 00 www.bravida.no
Bravida Danmark A/S Park Allé 373 DK-2605 Brøndby Denmark Telephone: +45 4322 1100 www.bravida.dk
Building tools?
Free accounts include 100 API calls/year for testing.
Have a question? We'll get back to you promptly.