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Alimak Group Interim / Quarterly Report 2021
2997_ir_2021-07-20_b130f9eb-a0bf-4997-a3ae-d9f24842aac2.pdf
Interim / Quarterly Report
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Alimak Group AB
ALIG, SE0007158910
ALIMAK GROUP
Interim Report
JANUARY - JUNE 2021
Continued margin improvements
- Currency translation effects continued to impact reported order intake, revenue and earnings negatively
- New Heights Programme delivering margin improvements in line with plan
- Continuing to exit the low margin Tower Internal business within Wind
- Underlying organic order intake growth, supported by strong performance in service
SECOND QUARTER
- Order intake decreased by 5% to MSEK 915 (962) with an organic increase of 1%
- Revenue decreased by 2% to MSEK 951 (976) with an organic increase of 4%
- EBITA increased to MSEK 126 (87), margin 13.2% (8.9)
- Result for the period increased to MSEK 78 (51)
- Earnings per share, basic and diluted, increased to SEK 1.45 (0.94)
- Cash flow from operations increased to MSEK 151 (124)
JANUARY - JUNE
- Order intake decreased by 2% to MSEK 1,988 (2,029) with an organic increase of 4%
- Revenue decreased by 5% to MSEK 1,797 (1,892) with an organic increase of 1%
- EBITA increased to MSEK 221 (166), margin 12.3% (8.8)
- Result for the period increased to MSEK 141 (92)
- Earnings per share, basic and diluted, increased to SEK 2.60 (1.70)
- Cash flow from operations was MSEK 263 (136)
- Leverage (Net Debt/EBITDA) at June 30, 2021 was 1.23 (1.50 as of December 31, 2020)
| KEY FIGURES, GROUP | Q2 2021 | Q2 2020 | Δ | Jan-Jun 2021 | Jan-Jun 2020 | Δ |
|---|---|---|---|---|---|---|
| Order intake, MSEK | 915 | 962 | -5.0% | 1,988 | 2,029 | -2.0% |
| Revenue, MSEK | 951 | 976 | -2.5% | 1,797 | 1,892 | -5.0% |
| EBITA, MSEK | 126 | 87 | 45.1% | 221 | 166 | 33.0% |
| EBITA margin, % | 13.2% | 8.9% | 12.3% | 8.8% | ||
| EBIT, MSEK | 117 | 74 | 57.8% | 203 | 142 | 43.5% |
| EBIT margin, % | 12.3% | 7.6% | 11.3% | 7.5% | ||
| Result for the period, MSEK | 78 | 51 | 54.7% | 141 | 92 | 53.0% |
| Earnings per share, basic and diluted, SEK | 1.45 | 0.94 | 54.3% | 2.60 | 1.70 | 52.9% |
| Cash flow from operations, MSEK | 151 | 124 | 22.2% | 263 | 136 | 93.8% |
| Net debt/EBITDA, ratio | 1.23 | 1.71 | -28.1% | 1.23 | 1.71 | -28.1% |
Alimak Group AB
Interim Report Q2 JANUARY - JUNE 2021
Comments by the CEO
In the quarter, currency translation effects continued to impact our reported order intake, revenue and earnings negatively. Organically, order intake and revenue continued to recover. Service continues to be a main contributor. We see clear signs of increased business activity in most of our segments and expect demand to continue to gradually improve in the coming quarters. Margins improved across all divisions in line with plan.
Organic order intake for the Group was up 1% in the quarter and with an underlying organic growth of 5%, excluding the effects of our exit from Tower Internals in Wind. We saw strong order development in Industrial, up 24% organically in the quarter and with organic growth also in the BMU division. In Construction, orders were at the same level as last year with solid order intake of new equipment sale and spare parts, while for Rental order intake was softer after a strong Q1. In Wind, the core business, except China, remained stable.
Revenue increased 4% organically and with an underlying organic growth of 8%, excluding the effects of our exit from Tower Internals. Construction showed strong growth of 24% driven by Equipment sales together with increased rental activity in Europe and Australia. BMU also had solid development. Revenue in Industrial decreased due to low backlog, and in Wind due to exiting Tower Internals. Service revenue was strong in all divisions.
Significant margin improvements
Our main focus for the year is to secure margin improvements and start implementing our divisional strategies to drive profitable growth. Our updated financial targets and sustainability target, presented in June, reflect the value creation potential we have identified and our contribution to workplace safety, reduced climate impact and social responsibility. I am pleased to see continued result improvements with a 45% increase in EBITA and a margin increase of 4.3 percentage points in the quarter. We saw margin improvements in all divisions supported by our cost reduction measures launched in 2020, improving factory production results and lowering SG&A expenses. This gives us a good base for further profitability improvements as volumes increase. I am pleased to see that BMU showed a positive result in Q2 as planned, and we continue to execute on our planned activities to further lift the margin. In Wind, one-off costs were taken in the quarter to mitigate the effects of decreasing volumes in Tower Internals, that will continue for the rest of the year.
Cash flow was strong which further strengthen our financial position. The efficiency measures launched in 2020 are delivering well in line with the targeted savings and will from now on have full effect. So far, we have been able to manage the effects of raw material and freight cost increases. We have also managed the semi-conductor shortage issues. However, we see increased uncertainty regarding semi-conductor availability which could impact our supply. We continue to monitor these issues, as well as the development of the pandemic, and work with mitigating actions.
Prepared for growth
Our decentralised and customer focused divisions are now implementing the strategies for profitable growth. The core elements of the divisional growth strategies are; developing our value propositions, geographical expansion, further service penetration as well as pursuing M&A opportunities. The recent acquisition of Cento Engineering Group July 1 is an example of a bolt on acquisition expanding our service business.
We expect markets to continue to improve going forward, supported by trends like urbanization, digitalisation, sustainability and increased focus on safety. We are well on track to set the foundation for sustainable profitable growth and are highly committed to deliver on our targets.
Ole Kristian Jødahl, President and CEO
Alimak Group AB
Interim Report Q2 JANUARY - JUNE 2021
3
Group Performance
Share of EBITA
Industrial
Construction
Wind
Share of revenue
Industrial
Construction
Wind
SECOND QUARTER
Order intake in the quarter decreased by 5% to MSEK 915 (962) with an organic increase of 1%. Excluding the Tower Internals business in Wind that we are exiting, organic growth was 5%. Service orders showed strong performance in the quarter.
Revenue decreased by 2% to MSEK 951 (976) with an organic increase of 4%. Excluding the Tower Internals business in Wind that we are exiting, organic growth was 8%. The increase was driven by solid growth in Construction, BMU and service revenue in all divisions. Revenue decreased in Industrial due to lower backlog and Wind decreased due to exiting Tower Internals.
EBITA for the quarter was MSEK 126 (87), corresponding to a margin of 13.2% (8.9). EBITA-margins improved in all divisions in line with plan. One-off costs were taken in Wind to mitigate effects of lower volumes.
Amortisation in the quarter amounted to MSEK 9 (13) largely related to the acquired businesses. The decrease is related to customer relations fully amortized.
EBIT in the quarter amounted to MSEK 117 (74).
The financial net was MSEK -11 (-10). The interest net was MSEK -3 (-5), leases MSEK -1 (-2) and the remaining largely related to currency fluctuations.
Tax expense for the quarter was MSEK 27 (14), a tax rate of 25.5% (21.9).
Result for the period amounted to MSEK 78 (51) where the increase came from the higher operating result. EPS thereby increased to SEK 1.45 (0.94) for the quarter.
Cash flow from operations in the quarter was MSEK 151 (124). The improvement comes from a higher operating result and further reduction in working capital of MSEK 12 (23).
Net investments in fixed assets in the quarter totalled MSEK 10 (16), of which MSEK 7 (12) was related to additions to the rental fleet.
Capitalised investments in intangibles amounted to MSEK 0 (3).
Net addition to borrowings amounted to MSEK 129 (9) used to finance the dividend paid of MSEK 162 (94).
JANUARY - JUNE
Order intake during the period decreased by 2% to MSEK 1,988 (2,029) with an organic increase of 4%. Excluding the Tower Internals business in Wind we are exiting, organic growth was 7%.
Revenue decreased by 5% to MSEK 1,797 (1,892) with an organic increase of 1% driven by solid growth in Construction, BMU and service revenue in all divisions. Revenue decreased in Industrial due to lower backlog and Wind decreased due to exiting Tower Internals.
EBITA for the period was MSEK 221 (166), corresponding to a margin of 12.3% (8.8). Compared to last year, all divisions have improved result and margin.
Amortisation in the period amounted to MSEK 17 (24) largely related to acquired businesses. The decrease in amortisation relates to customer relations from acquired businesses being fully amortized.
EBIT for the period amounted to MSEK 203 (142).
The financial net was MSEK -15 (-24) whereas interest net was MSEK -7 (-10), the impact from IFRS 16 was MSEK -3 (-4) and the remaining largely derived from currency impact.
Tax expense for the period was MSEK 48 (26) and the tax rate was 25.3% (22.0%).
Result for the period amounted to MSEK 141 (92) where the increase relates to the higher operating result. EPS increased to SEK 2.60 (1.70).
Cash flow from operations in the period was MSEK 263 (136) subsequent decrease in working capital of MSEK 29 (63).
Net investments in tangible fixed assets in the period totalled MSEK 26 (33). The majority of investments relate to additions in the rental fleet of MSEK 18 (18).
The capitalised investments in intangibles for ERP and Field Service Management Systems amounted to MSEK 3 (12).
Net addition to borrowings amounted to MSEK 11 (last year repayment of 65).
Dividend of MSEK 162 (94) was paid out in May.
Alimak Group AB
Interim Report Q2 JANUARY - JUNE 2021
| ORDER INTAKE | Q2 | Jan-Jun | ||
|---|---|---|---|---|
| 2021 | 2020 | 2021 | 2020 | |
| Orders, MSEK | 915 | 962 | 1,988 | 2,029 |
| Change, MSEK | -48 | -188 | -41 | -222 |
| Change, % | -5.0% | -16.3% | -2.0% | -9.8% |
| Whereof: | ||||
| Volume & price, % | 0.5% | -15.0% | 4.1% | -10.3% |
| Exchange rate, % | -5.9% | -1.3% | -6.7% | 0.5% |
| Acquisition & divestment, % | 0.4% | 0.0% | 0.5% | 0.0% |
| REVENUE | Q2 | Jan-Jun | ||
| --- | --- | --- | --- | --- |
| 2021 | 2020 | 2021 | 2020 | |
| Revenue, MSEK | 951 | 976 | 1,797 | 1,892 |
| Change, MSEK | -24 | -218 | -95 | -469 |
| Change, % | -2.5% | -18.2% | -5.0% | -19.9% |
| Whereof: | ||||
| Volume & price, % | 3.6% | -17.4% | 1.3% | -20.3% |
| Exchange rate, % | -6.7% | -0.9% | -6.8% | 0.5% |
| Acquisition & divestment, % | 0.6% | 0.0% | 0.5% | 0.0% |
| EBITA | Q2 | Jan-Jun | ||
| --- | --- | --- | --- | --- |
| 2021 | 2020 | 2021 | 2020 | |
| EBITA, MSEK | 126 | 87 | 221 | 166 |
| Change, MSEK | 39 | -85 | 55 | -157 |
| Change, % | 45.1% | -49.7% | 33.0% | -49.0% |
| Whereof: | ||||
| Volume & price, % | 52.1% | -49.7% | 38.0% | -49.6% |
| Exchange rate, % | -9.8% | 0.0% | -7.1% | 0.6% |
| Acquisition & divestment, % | 2.7% | 0.0% | 2.0% | 0.0% |
Share of order intake
Share of revenue
Cash flow from Operations by quarter
FINANCIAL POSITION
As of June 30, 2021, net debt totalled MSEK 617 (680 as of December 31, 2020).
The equity ratio was $63.2\%$ (62.8 as of December 31, 2020) and the leverage (net debt/EBITDA) was 1.23 (1.50 as of December 31, 2020).
EMPLOYEES
As of June 30, 2021, there were 2,063 (2,136) FTEs in the Group.
SIGNIFICANT EVENTS DURING THE REPORTING PERIOD JANUARY - JUNE 2021
Next step in the New Heights Programme
In October 2020, Alimak Group launched the New Heights programme, consisting of three steps 1. Establish the base, 2. Secure margin improvements and 3. Profitable growth. The first step of the programme is completed, and the Group has now entered the second step; Securing margin improvements.
As of January 1, 2021 a new organisation and subsequent reporting structure came into effect with four, customer centric divisions: BMU, Construction, Industrial, and Wind. As a consequence of this the reporting segments are changed compared to the Annual report 2020. A detailed description of the New Heights programme and the new organisation is found in the Annual Report 2020. The reorganisation in combination with restructuring will result in targeted annual savings of around MSEK 60, with full effect as of H2 2021.
Management changes
On February 9, 2021, Alimak Group appointed Thomas Hendel as CFO, effective as of May 17, 2021. Thomas Hendel joins Alimak Group from the role as Deputy Chief Financial Officer of Saab Group, a position he has held since 2016. He has 30 years of experience from different financial and general management roles within Saab and ABB, including as Interim Chief Financial Officer at Saab between May and September 2020.
On March 12, 2021, Alimak Group appointed Salomeh Tafazoli as EVP Industrial division, effective as of June 1, 2021. Salomeh Tafazoli was previously Vice President Sales and Marketing EMEA at Snap-on Equipment, an American based company listed on NYSE. She has extensive experience from the automotive industry, working with both products and services, and has previously held various strategic and commercial roles within Volvo Group and Car-O-Liner Group.
Updated financial targets
On June 17, 2021, The Board of Directors of Alimak Group decided to update the financial targets and dividend policy to reflect the value creation potential identified as part of the New Heights Programme launched in October 2020. In addition, the Group has decided on a new sustainability target.
The updated mid-term financial targets and dividend policy are:
Revenue growth target: $5 - 7\%$
The Group's mid-term target is to have an average annual revenue growth of $5 - 7\%$ (previous target: achieve
Alimak Group AB
Interim Report Q2 JANUARY - JUNE 2021
an average annual organic revenue growth of at least 6%).
EBITA-margin target: 14-16%
The Group's mid-term target is to reach an operating EBITA margin of 14-16% (previous target: achieve an operating EBITA margin of at least 15%).
Net Debt/EBITDA target: ~2.0x
The company will maintain an effective capital structure with a net debt of around 2.0x EBITDA over a cycle. The capital structure will be flexible and allow for strategic initiatives (unchanged).
Dividend policy: 40-60%
The Group has a target of paying a dividend of 40-60% of its net profit to its shareholders (previous target: The Company aims to pay its shareholders approximately 50% of its net profit for the applicable period in dividends).
New sustainability target:
Aim to reduce CO2-footprint with 30% cross our value chain by 2025.
Dividend for 2020
The Board of Directors proposed a dividend of SEK 2.00 (1.75) per share based on existing number of shares. In addition, the Board proposed an extra dividend of SEK 1.00. The proposed dividend was approved by the AGM and paid out in May.
FINANCIAL TARGETS AND POLICIES
Please refer to alimakgroup.com
SIGNIFICANT EVENTS AFTER THE REPORTING PERIOD JANUARY - JUNE 2021
Alimak Group entered an agreement on July 1, 2021, to acquire the shares of Cento Engineering Group, a UK BMU engineering and service provider with a large share of the service portfolio consisting of Manntech units.
Cento Engineering Group's revenue in 2020 amounted to MGBP 5.1 (approximately MSEK 60) and the company will become a part of Alimak Group's BMU division. The purchase price is not material relative to Alimak Group's market capitalisation.
Alimak Group AB
Interim Report Q2 JANUARY - JUNE 2021
BMU
Share of order intake
Equipment
= Service
Share of revenue
Equipment
= Service
Order intake decreased by 1%, up 5% organically, to MSEK 233 (237). The growth was achieved through a significant increase in service order intake in most regions. Equipment sales decreased, particularly in the US market where we still face challenges due to delayed project awards.
Revenue increased by 6%, up 12% organically, to MSEK 252 (238). The increase was a result of improved service revenues in Europe and Americas. Equipment project revenue was also up, driven by strong volume in the Middle East as well as in Australia, which was underpinned by the Sydney Harbour Bridge project.
EBITA was MSEK 6 (-3), corresponding to a margin of 2.5% (-1.4). The improved result was driven by higher revenue volume, better utilisation and reduced SG&A costs. Activities to improve profitability are ongoing.
| ORDER INTAKE | Q2 | Jan-Jun | ||
|---|---|---|---|---|
| 2021 | 2020 | 2021 | 2020 | |
| Orders, MSEK | 233 | 237 | 523 | 488 |
| Change, MSEK | -4 | -148 | 34 | -127 |
| Change, % | -1.5% | -38.4% | 7.0% | -20.6% |
| Whereof: | ||||
| Volume & price, % | 5.1% | -39.7% | 14.0% | -22.9% |
| Exchange rate, % | -8.4% | 1.3% | -9.1% | 2.3% |
| Acquisition & divestment, % | 1.8% | 0.0% | 2.1% | 0.0% |
| REVENUE | Q2 | Jan-Jun | ||
| --- | --- | --- | --- | --- |
| 2021 | 2020 | 2021 | 2020 | |
| Revenue, MSEK | 252 | 238 | 480 | 489 |
| Change, MSEK | 14 | -84 | -9 | -89 |
| Change, % | 5.8% | -26.0% | -1.8% | -15.4% |
| Whereof: | ||||
| Volume & price, % | 11.9% | -27.1% | 4.6% | -17.3% |
| Exchange rate, % | -8.4% | 1.1% | -8.4% | 1.9% |
| Acquisition & divestment, % | 2.3% | 0.0% | 2.0% | 0.0% |
| EBITA | Q2 | Jan-Jun | ||
| --- | --- | --- | --- | --- |
| 2021 | 2020 | 2021 | 2020 | |
| EBITA, MSEK | 6 | -3 | 1 | -11 |
| Change, MSEK | 10 | -18 | 12 | -37 |
| Change, % | 283.7% | -123.3% | 106.0% | -143.7% |
| Whereof: | ||||
| Volume & price, % | 187.9% | -122.3% | 78.9% | -141.5% |
| Exchange rate, % | 26.4% | -1.0% | -2.9% | -2.2% |
| Acquisition & divestment, % | 69.4% | 0.0% | 29.9% | 0.0% |
Orderintake and revenues by Quarters
EBITA % & EBITA By Quarters
Alimak Group AB
Interim Report Q2 JANUARY - JUNE 2021
Construction
Share of order intake
Share of revenue
Order intake decreased by 4% to MSEK 278 (291) but was on par with last year organically. New equipment sale in Europe and Australia together with continuing Parts demand contributed positively. Order intake in Rental was lower year on year due to strong orders in Q1 2021. Year-to-date, Rental has had solid growth.
Revenue increased by 19% to MSEK 304 (256) and by 24% organically. The increase primarily comes from new equipment and parts deliveries in the Americas and Europe together with increased rental activity in Europe and Australia.
EBITA was MSEK 61 (33), corresponding to a margin of 20.2% (13.1%). The increase was due to the cost reduction measures launched in 2020 improving factory production results and lower SG&A expenses.
| ORDER INTAKE | Q2 | Jan-Jun | ||
|---|---|---|---|---|
| 2021 | 2020 | 2021 | 2020 | |
| Orders, MSEK | 278 | 291 | 653 | 628 |
| Change, MSEK | -13 | -8 | 25 | -17 |
| Change, % | -4.4% | -2.8% | 3.9% | -2.7% |
| Whereof: | ||||
| Volume & price, % | -0.4% | -2.0% | 8.8% | -3.4% |
| Exchange rate, % | -4.1% | -0.8% | -4.9% | 0.7% |
| Acquisition & divestment, % | 0.0% | 0.0% | 0.0% | 0.0% |
| REVENUE | Q2 | Jan-Jun | ||
| --- | --- | --- | --- | --- |
| 2021 | 2020 | 2021 | 2020 | |
| Revenue, MSEK | 304 | 256 | 537 | 506 |
| Change, MSEK | 48 | -163 | 31 | -255 |
| Change, % | 18.9% | -39.0% | 6.1% | -33.5% |
| Whereof: | ||||
| Volume & price, % | 24.4% | -38.7% | 11.1% | -34.1% |
| Exchange rate, % | -5.5% | -0.3% | -5.0% | 0.6% |
| Acquisition & divestment, % | 0.0% | 0.0% | 0.0% | 0.0% |
| EBITA | Q2 | Jan-Jun | ||
| --- | --- | --- | --- | --- |
| 2021 | 2020 | 2021 | 2020 | |
| EBITA, MSEK | 61 | 33 | 96 | 66 |
| Change, MSEK | 28 | -42 | 30 | -69 |
| Change, % | 82.9% | -58.4% | 45.5% | -50.9% |
| Whereof: | ||||
| Volume & price, % | 85.3% | -58.0% | 47.1% | -52.8% |
| Exchange rate, % | -2.4% | -0.4% | -1.6% | 1.9% |
| Acquisition & divestment, % | 0.0% | 0.0% | 0.0% | 0.0% |
Orderintake and revenues by Quarters
EBITA % & EBITA By Quarters
Alimak Group AB
Interim Report Q2 JANUARY - JUNE 2021
Industrial
Share of order intake
Share of revenue
Order intake increased by 18% to MSEK 247 (209) with an organic growth of 24%. The increase was mainly driven by solid Equipment sales in Europe but also in Americas and emerging markets as well as improvements in service and parts.
Revenue decreased by 24% to MSEK 189 (248) with an organic decrease of 18%. The decrease was mainly due to a low backlog and timing of some deliveries in the US. Americas currently impacting the most but shows positive signals with solid order intake.
EBITA decreased to MSEK 35 (38) due to the lower revenue. However, the margin increased to 18.7% (15.2%) driven by the previously implemented cost reduction measures.
| ORDER INTAKE | Q2 | Jan-Jun | ||
|---|---|---|---|---|
| 2021 | 2020 | 2021 | 2020 | |
| Orders, MSEK | 247 | 209 | 493 | 464 |
| Change, MSEK | 38 | -63 | 30 | -106 |
| Change, % | 18.4% | -23.1% | 6.4% | -18.6% |
| Whereof: | ||||
| Volume & price, % | 23.6% | -21.9% | 12.8% | -19.0% |
| Exchange rate, % | -5.2% | -1.2% | -6.4% | 0.4% |
| Acquisition & divestment, % | 0.0% | 0.0% | 0.0% | 0.0% |
| Q2 | Jan-Jun | |||
| REVENUE | 2021 | 2020 | 2021 | 2020 |
| Revenue, MSEK | 189 | 248 | 401 | 469 |
| Change, MSEK | -59 | -21 | -68 | -90 |
| Change, % | -23.8% | -7.7% | -14.5% | -7.4% |
| Whereof: | ||||
| Volume & price, % | -18.4% | -5.4% | -8.5% | -16.2% |
| Exchange rate, % | -5.4% | -2.3% | -6.0% | 8.8% |
| Acquisition & divestment, % | 0.0% | 0.0% | 0.0% | 0.0% |
| Q2 | Jan-Jun | |||
| EBITA | 2021 | 2020 | 2021 | 2020 |
| EBITA, MSEK | 35 | 38 | 86 | 76 |
| Change, MSEK | -2 | -16 | 10 | -32 |
| Change, % | -5.9% | -29.4% | 13.1% | -29.9% |
| Whereof: | ||||
| Volume & price, % | 1.2% | -31.1% | 19.0% | -31.6% |
| Exchange rate, % | -7.1% | 1.7% | -6.0% | 1.7% |
| Acquisition & divestment, % | 0.0% | 0.0% | 0.0% | 0.0% |
Orderintake and revenues by Quarters
EBITA % & EBITA By Quarters
Alimak Group AB
Interim Report Q2 JANUARY - JUNE 2021
9
Wind
Share of order intake
Share of revenue
Equipment Service
Order intake decreased by 31% to MSEK 156 (225), down 25% organically. The decrease is due to the decision to exit Tower Internals, affecting China and US. The delay of government support programs has slowed down the market in China, something expected to improve in Q4. Brazil and Northern Europe saw good order intake. Service order intake for the division was strong, up 26% organically. The decrease in order intake from Tower Internals in the quarter was MSEK 30 and MSEK 42 YTD.
Revenue decreased by 12% to MSEK 207 (234), down 5% organically. The decrease in revenue from Tower Internals in the quarter was MSEK 35 and with MSEK 46 YTD. UK showed solid development and revenue in the US was stable. Service revenue growth was strong.
EBITA was MSEK 23 (20), corresponding to a margin of 11.1% (8.0%). The improvement was driven by the previously implemented cost reduction measures. One-off costs were taken in the quarter to mitigate effects of lower volumes in tower internals.
Orderintake and revenues by Quarters
| ORDER INTAKE | Q2 | Jan-Jun | ||
|---|---|---|---|---|
| 2021 | 2020 | 2021 | 2020 | |
| Orders, MSEK | 156 | 225 | 320 | 449 |
| Change, MSEK | -70 | 31 | -130 | 28 |
| Change, % | -30.9% | 15.8% | -28.8% | 6.8% |
| Whereof: | ||||
| Volume & price, % | -25.2% | 21.9% | -22.7% | 8.2% |
| Exchange rate, % | -5.7% | -6.1% | -6.2% | -1.4% |
| Acquisition & divestment, % | 0.0% | 0.0% | 0.0% | 0.0% |
| REVENUE | Q2 | Jan-Jun | ||
| --- | --- | --- | --- | --- |
| 2021 | 2020 | 2021 | 2020 | |
| Revenue, MSEK | 207 | 234 | 379 | 428 |
| Change, MSEK | -27 | 50 | -49 | -34 |
| Change, % | -11.7% | 26.8% | -11.5% | -7.4% |
| Whereof: | ||||
| Volume & price, % | -4.9% | 28.8% | -3.6% | -7.9% |
| Exchange rate, % | -6.8% | -2.0% | -7.9% | 0.5% |
| Acquisition & divestment, % | 0.0% | 0.0% | 0.0% | 0.0% |
| EBITA | Q2 | Jan-Jun | ||
| --- | --- | --- | --- | --- |
| 2021 | 2020 | 2021 | 2020 | |
| EBITA, MSEK | 23 | 20 | 38 | 37 |
| Change, MSEK | 2 | -9 | 2 | -19 |
| Change, % | 11.7% | -10.1% | 4.3% | -35.2% |
| Whereof: | ||||
| Volume & price, % | 20.2% | -8.4% | 11.6% | -24.5% |
| Exchange rate, % | -8.5% | -1.7% | -7.3% | -10.7% |
| Acquisition & divestment, % | 0.0% | 0.0% | 0.0% | 0.0% |
EBITA % & EBITA By Quarters
Alimak Group AB
Interim Report Q2 JANUARY - JUNE 2021
DECLARATION
The Board of Directors and CEO declares that the interim report presents a true and fair view of the operations, financial position and results of the Parent Company and Group, and describes the significant risks and uncertainties facing the Parent Company and the companies forming part of the Group.
Stockholm, 19 July 2021
Alimak Group AB (publ) corporate identity number 556714-1857
| Johan Hjertonsson | Petra Einarsson | Helena Nordman-Knutson |
|---|---|---|
| Chairman of the Board | Board member | Board member |
| Tomas Carlsson | Christina Hallin | Sven Törnkvist |
| Board member | Board member | Board member |
| Örjan Fredriksson | Employee representative | Christina Lindberg Ghimpu |
| Employee representative | ||
| Ole Kristian Jødahl | Board Member | President and CEO |
This interim report has not been reviewed by the company's auditors.
Alimak Group AB
Interim Report Q2 JANUARY - JUNE 2021
Condensed statement of comprehensive income, Group
| Amounts in MSEK | Note | Q2 2021 | Q2 2020 | Jan-Jun 2021 | Jan-Jun 2020 |
|---|---|---|---|---|---|
| Revenue | 2 | 951.3 | 975.7 | 1,796.9 | 1,891.5 |
| Cost of sales | -629.8 | -662.4 | -1,197.4 | -1,287.0 | |
| Gross profit | 321.7 | 313.3 | 599.5 | 604.5 | |
| Operating expenses | -204.6 | -239.2 | -396.2 | -462.7 | |
| Operating profit (EBIT) | 116.9 | 74.1 | 203.3 | 141.7 | |
| Financial net | -11.4 | -9.8 | -14.9 | -23.8 | |
| Profit before tax (EBT) | 105.5 | 64.3 | 188.4 | 117.9 | |
| Income tax | -27.2 | -13.7 | -47.6 | -25.9 | |
| Result for the period | 78.3 | 50.6 | 140.8 | 92.0 | |
| Attributable to owners of the parent company | 78.3 | 50.6 | 140.8 | 92.0 | |
| Earnings per share, basic and diluted, SEK | 1.45 | 0.94 | 2.60 | 1.70 | |
| OTHER COMPREHENSIVE INCOME | |||||
| Items that will not be reclassified to net profit for the period | |||||
| Remeasurements of defined benefit pension plans | -3.1 | -3.0 | 19.3 | -12.4 | |
| Income tax relating to remeasurements of pension plans | 0.6 | 0.7 | -4.0 | 2.7 | |
| Total | -2.5 | -2.3 | 15.3 | -9.7 | |
| Items that may be reclassified to net profit for the period | |||||
| Forreign exchange translation differences | -52.9 | -173.8 | 73.6 | -24.9 | |
| Change in fair value of cash flow hedges | 1.4 | 0.6 | -7.8 | 4.1 | |
| Income tax relating to change in fair value of cash flow hedges | -0.7 | -0.1 | 2.1 | -1.0 | |
| Total | -52.2 | -173.3 | 67.9 | -21.8 | |
| Other comprehensive income | -54.7 | -175.6 | 83.2 | -31.5 | |
| Total comprehensive income | 23.6 | -125.0 | 224.0 | 60.5 | |
| Attributable to owners of the parent company | 23.6 | -125.0 | 224.0 | 60.5 |
Alimak Group AB
Interim Report Q2 JANUARY - JUNE 2021
Condensed statement of financial position, Group
| Amounts in MSEK | 30 Jun 2021 | 30 Jun 2020 | 31 Dec 2020 |
|---|---|---|---|
| ASSETS | |||
| Goodwill and other Intangible assets | 2,866.7 | 2,969.4 | 2,831.8 |
| Property, plant and and equipment | 349.9 | 369.1 | 351.4 |
| Right-of-use assets | 180.7 | 231.0 | 207.9 |
| Financial and other non-current assets | 265.6 | 211.0 | 215.1 |
| Total non-current assets | 3,662.9 | 3,780.5 | 3,606.2 |
| Inventories | 487.7 | 602.6 | 439.0 |
| Contract assets | 200.1 | 337.7 | 291.5 |
| Trade receivables | 798.4 | 862.1 | 769.2 |
| Other receivables and assets | 174.0 | 210.7 | 199.4 |
| Prepaid expenses and accrued income | 54.1 | 77.3 | 64.3 |
| Short term investments | 32.1 | 42.8 | 24.1 |
| Cash and cash equivalents | 271.6 | 221.8 | 225.6 |
| Total current assets | 2,018.0 | 2,355.0 | 2,013.2 |
| TOTAL ASSETS | 5,680.9 | 6,135.5 | 5,619.4 |
| EQUITY AND LIABILITIES | |||
| Shareholders equity | 3,589.0 | 3,651.0 | 3,527.9 |
| Long-term borrowings | 616.0 | 941.9 | 666.8 |
| Lease liability | 123.0 | 178.4 | 158.1 |
| Other long term liabilities | 384.5 | 374.8 | 382.9 |
| Total non-current liabilities | 1,123.5 | 1,495.1 | 1,207.8 |
| Short-term borrowings | 119.5 | 104.0 | 48.7 |
| Lease liability | 62.6 | 58.8 | 56.5 |
| Contract liabilities | 66.3 | 89.1 | 75.8 |
| Trade payables | 250.9 | 303.5 | 246.1 |
| Other current liabilities | 469.1 | 434.0 | 456.6 |
| Total current liabilities | 968.4 | 989.4 | 883.7 |
| TOTAL EQUITY AND LIABILITIES | 5,680.9 | 6,135.5 | 5,619.4 |
Alimak Group AB
Interim Report Q2 JANUARY - JUNE 2021
13
Condensed statement of changes in equity, Group
| Amounts in MSEK | Share capital | Other paid-in capital | Translation reserve | Hedging reserve | Retained earnings and profit for the period | Total equity |
|---|---|---|---|---|---|---|
| Opening balance, 1 Jan 2020 | 1.1 | 2,914.6 | 227.8 | -3.2 | 543.9 | 3,684.2 |
| Result for the period | - | - | - | - | 92.0 | 92.0 |
| Changes of fair value | - | - | - | 4.1 | - | 4.1 |
| Revaluation of pension plans | - | - | - | - | -12.4 | -12.4 |
| Tax attributable to revaluations | - | - | - | -1.0 | 2.7 | 1.7 |
| Translation difference | - | - | -24.8 | - | - | -24.8 |
| Total comprehensive income | - | - | -24.8 | 3.1 | 82.3 | 60.6 |
| Dividend | - | - | - | - | -94.3 | -94.3 |
| Share based payments | - | 0.5 | - | - | - | 0.5 |
| Closing balance, 30 Jun 2020 | 1.1 | 2,915.1 | 203.0 | -0.1 | 531.9 | 3,651.0 |
| Result for the period | - | - | - | - | 90.7 | 90.7 |
| Changes of fair value | - | - | - | -6.8 | - | -6.8 |
| Revaluation of pension plans | - | - | - | - | -11.3 | -11.3 |
| Tax attributable to revaluations | - | - | - | 1.3 | 1.4 | 2.7 |
| Translation difference | - | - | -198.4 | - | - | -198.4 |
| Total comprehensive income | - | - | -198.4 | -5.5 | 80.8 | -123.1 |
| Closing balance, 31 Dec 2020 | 1.1 | 2,915.1 | 4.6 | -5.6 | 612.7 | 3,527.9 |
| Opening balance, 1 Jan 2021 | 1.1 | 2,915.1 | 4.6 | -5.6 | 612.7 | 3,527.9 |
| Result for the period | - | - | - | - | 140.8 | 140.8 |
| Changes of fair value | - | - | - | -7.8 | - | -7.8 |
| Revaluation of pension plans | - | - | - | - | 19.3 | 19.3 |
| Tax attributable to revaluations | - | - | - | 2.1 | -4.0 | -1.9 |
| Translation difference | - | - | 73.6 | - | - | 73.6 |
| Total comprehensive income | - | - | 73.6 | -5.7 | 156.1 | 224.0 |
| Dividend | - | - | - | - | -161.6 | -161.6 |
| Share based payments | - | -1.3 | - | - | - | -1.3 |
| Closing balance, 30 Jun 2021 | 1.1 | 2,913.8 | 78.2 | -11.3 | 607.2 | 3,589.0 |
Alimak Group AB
Interim Report Q2 JANUARY - JUNE 2021
14
Cash flow statement, Group
| Amounts in MSEK | Q2 2021 | Q2 2020 | Jan-Jun 2021 | Jan-Jun 2020 |
|---|---|---|---|---|
| Operating activities | ||||
| Profit before tax | 105.5 | 64.3 | 188.4 | 117.9 |
| Depreciation, amortisation and impairment losses | 43.6 | 44.7 | 83.1 | 92.6 |
| Other non-cash items | -8.0 | 7.1 | -12.2 | 3.6 |
| Income taxes paid | -2.4 | -15.6 | -25.3 | -141.5 |
| Cashflow before change in working capital | 138.7 | 100.5 | 234.0 | 72.6 |
| Change in working capital | ||||
| Change in inventory | -22.4 | 36.1 | -35.1 | -3.9 |
| Change in contract assets | 49.3 | -5.5 | 102.3 | 13.7 |
| Change in operating receivables | -52.8 | -65.2 | -19.8 | 71.3 |
| Change in operating liabilities | 38.1 | 57.6 | -18.6 | -18.1 |
| Cash flow from working capital | 12.2 | 23.0 | 28.8 | 63.0 |
| Cash flow from operating activities | 150.9 | 123.5 | 262.8 | 135.6 |
| Investing activities | ||||
| Purchase of intangible fixed assets | 0.0 | -3.1 | -3.4 | -11.5 |
| Purchase of property, plant and equipment | -10.1 | -16.5 | -26.1 | -33.3 |
| Net change in short term financial investments | -4.5 | 18.1 | -6.7 | 18.2 |
| Cash flow from investing activities | -14.6 | -1.5 | -36.2 | -26.6 |
| Financing activities | ||||
| Proceeds from borrowings | 158.1 | 91.6 | 169.9 | 138.0 |
| Repayment of borrowings | -29.3 | -82.6 | -158.8 | -202.6 |
| Repayment of Lease liability | -22.4 | -16.9 | -37.5 | -36.7 |
| Dividends paid | -161.6 | -94.3 | -161.6 | -94.2 |
| Cash flow from financing activities | -55.2 | -102.2 | -188.0 | -195.5 |
| Net change in cash and cash equivalents | 81.1 | 19.8 | 38.6 | -86.5 |
| Cash & cash equivalents at beginning of period | 192.7 | 215.4 | 225.6 | 313.6 |
| Exchange rate differences in cash and cash equivalents | -2.2 | -13.4 | 7.4 | -5.3 |
| Cash & cash equivalents at end of period | 271.6 | 221.8 | 271.6 | 221.8 |
Alimak Group AB
Interim Report Q2 JANUARY - JUNE 2021
15
Key figures
| KEY FIGURES | 2021 | 2020 | ||||
|---|---|---|---|---|---|---|
| Q2 | Q1 | Q4 | Q3 | Q2 | Q1 | |
| INCOME STATEMENT ITEMS (MSEK) | ||||||
| Order intake | 915 | 1,073 | 845 | 888 | 962 | 1,067 |
| Revenue | 951 | 846 | 933 | 916 | 976 | 916 |
| EBITDA | 161 | 126 | 121 | 101 | 119 | 116 |
| EBITA | 126 | 95 | 86 | 67 | 87 | 79 |
| EBIT | 117 | 86 | 77 | 59 | 74 | 68 |
| Result for the period | 78 | 63 | 50 | 41 | 51 | 41 |
| Total comprehensive income, MSEK | 24 | 200 | -127 | 4 | -125 | 186 |
| BALANCE SHEET ITEMS (MSEK) | ||||||
| Total assets | 5,681 | 5,673 | 5,619 | 6,022 | 6,136 | 6,382 |
| Capital employed | 4,206 | 4,331 | 4,208 | 4,508 | 4,668 | 4,916 |
| Equity | 3,589 | 3,728 | 3,528 | 3,655 | 3,651 | 3,870 |
| Net debt | 617 | 603 | 680 | 854 | 1,017 | 1,045 |
| Goodwill and other intangible assets | 2,867 | 2,914 | 2,832 | 2,954 | 2,969 | 3,086 |
| Capital employed, excluding goodwill | 1,908 | 2,003 | 1,948 | 2,163 | 2,307 | 2,477 |
| Working capital | 1,063 | 1,088 | 1,050 | 1,178 | 1,320 | 1,414 |
| Cash and cash equivalents | 272 | 193 | 226 | 229 | 222 | 215 |
| CASH FLOW ITEMS (MSEK) | ||||||
| Cash flow from working capital | 12 | 16 | 55 | 104 | 23 | 40 |
| Cash flow from operating activities | 151 | 112 | 164 | 206 | 123 | 12 |
| Cash flow for the period | 81 | -42 | 8 | 13 | 20 | -106 |
| Depreciations | -35 | -31 | -35 | -34 | -32 | -36 |
| Amortizations | -9 | -9 | -9 | -9 | -13 | -12 |
| Purchase of intangible fixed assets | 0 | -3 | -3 | 0 | -3 | -8 |
| Purchase of property, plant and equipment | -10 | -16 | -5 | -23 | -16 | -17 |
| Rolling 12 Months | ||||||
| Order intake | 3,720 | 3,768 | 3,761 | 3,990 | 4,142 | 4,329 |
| Revenue | 3,646 | 3,670 | 3,740 | 3,950 | 4,119 | 4,337 |
| EBITDA | 504 | 467 | 456 | 508 | 595 | 687 |
| EBITA | 372 | 335 | 319 | 367 | 451 | 537 |
| EBIT | 337 | 296 | 278 | 323 | 405 | 493 |
| Result for the period | 231 | 204 | 183 | 221 | 279 | 337 |
| Total comprehensive income, MSEK | 100 | -48 | -62 | 71 | 235 | 495 |
| Cash flow from operating activities | 632 | 605 | 505 | 567 | 496 | 478 |
| Cash flow for the period | 59 | -2 | -66 | 2 | -101 | -81 |
Alimak Group AB
Interim Report Q2 JANUARY - JUNE 2021
16
Key figures (cont)
| 2021 | 2020 | |||||
|---|---|---|---|---|---|---|
| Q2 | Q1 | Q4 | Q3 | Q2 | Q1 | |
| GROWTH (Year-Over-Year) | ||||||
| Order intake, total % | -5.0 | 0.6 | -21.3 | -14.6 | -16.3 | -3.1 |
| Order intake, organic % | 0.5 | 7.3 | -13.8 | -8.6 | -15.0 | -5.1 |
| Order intake, acquisitions % | 0.4 | 0.7 | 0.2 | 0.0 | 0.0 | 0.0 |
| Revenue, total % | -2.5 | -7.7 | -18.4 | -16.0 | -18.2 | -21.5 |
| Revenue, organic % | 3.6 | -2.1 | -11.4 | -10.3 | -17.4 | -23.4 |
| Revenue, acquisitions % | 0.6 | 1.7 | 0.4 | 0.0 | 0.0 | 0.0 |
| FINANCIAL RATIOS | ||||||
| Gross margin % | 33.8 | 32.9 | 31.9 | 31.4 | 32.1 | 31.8 |
| EBITDA margin % | 16.9 | 14.9 | 13.0 | 11.0 | 12.2 | 12.6 |
| EBITA margin % | 13.2 | 11.2 | 9.2 | 7.3 | 8.9 | 8.7 |
| Operating expenses % of revenue | 21.5 | 22.7 | 23.6 | 25.0 | 24.5 | 24.4 |
| Depreciation and amortization % of revenue | 4.6 | 4.7 | 4.6 | 4.7 | 4.6 | 5.2 |
| Investments % of revenue | 1.1 | 2.3 | 0.9 | 2.5 | 2.0 | 2.7 |
| Equity ratio % | 63.2 | 65.7 | 62.8 | 60.7 | 59.5 | 60.6 |
| Return on equity % | 6.4 | 5.5 | 5.0 | 6.0 | 7.8 | 9.1 |
| Return on capital employed % | 8.0 | 6.8 | 6.2 | 6.8 | 8.5 | 10.2 |
| Return on capital employed, excluding goodwill % | 17.7 | 14.8 | 15.1 | 13.5 | 16.9 | 20.0 |
| Net debt/EBITDA, ratio | 1.23 | 1.29 | 1.50 | 1.68 | 1.71 | 1.52 |
| Interest coverage ratio, times | -25.8 | -17.7 | 13.8 | 6.4 | 8.0 | 7.0 |
| SHARE RATIOS (SEK) | ||||||
| Number of shares, thousands | 54,158 | 54,158 | 54,158 | 54,158 | 54,158 | 54,158 |
| Earnings per share | 1.45 | 1.15 | 0.92 | 0.75 | 0.94 | 0.76 |
| Equity per share | 66.27 | 68.84 | 65.14 | 67.48 | 67.41 | 71.50 |
| Cash flow per share | 1.50 | -0.78 | 0.15 | 0.23 | 0.37 | -1.96 |
| OTHER | ||||||
| Number of Employees - Full Time Equivalent | 2,063 | 2,033 | 2,049 | 2,087 | 2,136 | 2,200 |
Alimak Group AB
Interim Report Q2 JANUARY - JUNE 2021
Historical quarterly data 2019 – 2021
| Amounts in MSEK | 2021 | 2020 | 2019 | |||||||
|---|---|---|---|---|---|---|---|---|---|---|
| Q2 | Q1 | Q4 | Q3 | Q2 | Q1 | Q4 | Q3 | Q2 | Q1 | |
| Order Intake | ||||||||||
| BMU | 233 | 289 | 262 | 225 | 237 | 252 | 327 | 304 | 384 | 231 |
| Construction | 278 | 374 | 245 | 216 | 291 | 337 | 255 | 254 | 300 | 346 |
| Industrial | 247 | 246 | 187 | 217 | 209 | 255 | 256 | 231 | 272 | 298 |
| Wind | 156 | 164 | 152 | 230 | 225 | 224 | 235 | 252 | 195 | 226 |
| Total | 915 | 1,073 | 845 | 888 | 962 | 1,067 | 1,073 | 1,039 | 1,150 | 1,101 |
| Revenue | ||||||||||
| BMU | 252 | 228 | 247 | 227 | 238 | 251 | 300 | 288 | 322 | 256 |
| Construction | 304 | 234 | 255 | 246 | 256 | 251 | 350 | 273 | 419 | 343 |
| Industrial | 189 | 212 | 245 | 203 | 248 | 221 | 269 | 312 | 269 | 290 |
| Wind | 207 | 172 | 186 | 240 | 234 | 194 | 224 | 211 | 184 | 277 |
| Total | 951 | 846 | 933 | 916 | 976 | 916 | 1,143 | 1,084 | 1,193 | 1,167 |
| EBITA | ||||||||||
| BMU | 6 | -6 | -2 | -21 | -3 | -8 | 14 | 14 | 15 | 11 |
| Construction | 61 | 35 | 25 | 30 | 33 | 33 | 61 | 48 | 76 | 59 |
| Industrial | 35 | 50 | 42 | 32 | 38 | 38 | 53 | 64 | 53 | 55 |
| Wind | 23 | 15 | 21 | 26 | 19 | 16 | 6 | 25 | 28 | 26 |
| Total | 126 | 95 | 86 | 67 | 87 | 79 | 134 | 152 | 172 | 151 |
| EBIT | ||||||||||
| BMU | 4 | -7 | -4 | -22 | -9 | -13 | 10 | 9 | 11 | 6 |
| Construction | 61 | 34 | 25 | 30 | 33 | 32 | 60 | 48 | 75 | 59 |
| Industrial | 35 | 50 | 41 | 31 | 37 | 38 | 53 | 64 | 53 | 55 |
| Wind | 17 | 10 | 15 | 20 | 13 | 10 | 0 | 20 | 22 | 20 |
| Total | 117 | 86 | 77 | 59 | 74 | 68 | 123 | 141 | 161 | 140 |
Following the reorganisation that forms the base of the New Heights programme, the Group is since January 1, 2021 organised into four, customer centric divisions: Construction, Industrial, BMU and Wind. The subsequent reporting structure is also effective as of January 1, 2021 and is reported for first time in the interim report for the first quarter 2021. Numbers for periods before Q1 2021 are restated according to the new organisation.
Alimak Group AB
Interim Report Q2 JANUARY - JUNE 2021
18
Bridge
| In MSEK | Q2 2021 | Q2 2020 | Jan-Jun 2021 | Jan-Jun 2020 |
|---|---|---|---|---|
| EBIT | 116.9 | 74.1 | 203.3 | 141.7 |
| Add back: | ||||
| Amortization | 8.7 | 12.5 | 17.2 | 24.2 |
| EBITA | 125.6 | 86.6 | 220.5 | 165.9 |
| Add back: | ||||
| Depreciation | 35.0 | 32.2 | 65.9 | 68.5 |
| EBITDA | 160.6 | 118.8 | 286.4 | 234.4 |
| In MSEK | 30 Jun 2021 | 30 Jun 2020 | 31 Dec 2020 | |
| --- | --- | --- | --- | |
| Non-current interest bearing debts | 616.0 | 941.9 | 666.8 | |
| Current interest bearing debts | 119.5 | 104.0 | 48.7 | |
| Non-current lease liability | 123.0 | 178.4 | 158.0 | |
| current lease liability | 62.6 | 58.8 | 56.6 | |
| Deduct: | ||||
| Long term interest bearing receivables | 0.1 | 1.5 | 0.1 | |
| Short term interest bearing receivables | 32.1 | 42.8 | 24.0 | |
| Cash and cash equivalents | 271.6 | 221.8 | 225.6 | |
| Net debt | 617.3 | 1,017.0 | 680.4 | |
| Net debt | 617.3 | 1,017.0 | 680.4 | |
| Add: | ||||
| Shareholders equity | 3,589.0 | 3,651.0 | 3,527.9 | |
| Capital Employed | 4,206.3 | 4,668.0 | 4,208.3 |
Alimak Group AB
Interim Report Q2 JANUARY - JUNE 2021
19
Condensed Income statement, parent company
| Amounts in MSEK | Q2 2021 | Q2 2020 | Jan-Jun 2021 | Jan-Jun 2020 |
|---|---|---|---|---|
| Revenue | - | 2.7 | - | 5.5 |
| Operating expenses | -9.1 | -9.0 | -16.1 | -18.2 |
| Operating profit/loss (EBIT) | -9.1 | -6.3 | -16.1 | -12.7 |
| Financial net | 6.5 | 6.0 | 12.2 | 12.3 |
| Profit/loss after financial items | -2.6 | -0.5 | -3.9 | -0.4 |
| Profit/loss before tax (EBT) | -2.6 | -0.5 | -3.9 | -0.4 |
| Income tax | 0.6 | 0.0 | 1.0 | 0.0 |
| Result for the period | -2.0 | -0.5 | -2.9 | -0.4 |
| Other comprehensive income | - | - | - | - |
| Total comprehensive income | -2.0 | -0.5 | -2.9 | -0.4 |
Condensed Balance sheet, parent company
| Amounts in MSEK | 30 Jun 2021 | 30 Jun 2020 | 31 Dec 2020 |
|---|---|---|---|
| Non-current assets | |||
| Shares in group companies | 1,898.4 | 1,898.4 | 1,898.4 |
| Other non-current assets | 3.5 | 2.4 | 10.0 |
| Total non-current assets | 1,901.9 | 1,900.8 | 1,908.4 |
| Current assets | |||
| Receivables from group companies | 1,666.2 | 1,474.2 | 1,617.0 |
| Other short term receivables | 24.1 | 22.5 | 28.1 |
| Cash and cash equivalents | - | 6.6 | 11.0 |
| Total current assets | 1,690.3 | 1,503.3 | 1,656.1 |
| TOTAL ASSETS | 3,592.2 | 3,404.1 | 3,564.5 |
| EQUITY AND LIABILITIES | |||
| Shareholders equity | 2,868.5 | 2,743.5 | 3,032.3 |
| Untaxed reserves | 63.2 | 47.3 | 63.2 |
| Non-current liabilities, interest bearing | 94.6 | 82.1 | - |
| Current liabilities, interest bearing | 59.4 | - | - |
| Liabilities to group companies | 484.4 | 518.9 | 438.3 |
| Other current liabilities | 22.1 | 12.3 | 30.7 |
| TOTAL EQUITY AND LIABILITIES | 3,592.2 | 3,404.1 | 3,564.5 |
Alimak Group AB
Interim Report Q2 JANUARY - JUNE 2021
20
Notes
NOTE 1. ACCOUNTING POLICIES
This Interim Report was prepared in accordance with IFRS, applying IAS 34, Interim Financial Reporting. The same accounting and valuation policies were applied as in the most recent annual report except for new and revised standards and interpretations effective from January 1, 2021. Non-IFRS measures are also presented in the report since they are considered to be important supplemental measures of the Alimak Group's performance. The definition of these can be found on the Group's homepage and a bridge from IFRS measures into non-IFRS measures is found on page 18 of this report.
Alimak Group AB is the Parent Company of Alimak Group. The Interim Report for the parent company has been prepared in accordance with the Annual Accounts Act and with the standard RFR 2 Reporting by a legal entity, issued by the Swedish Financial Reporting Board. The same accounting principles and methods of computation are followed in the interim financial statements as compared with the most recent annual report. Alimak Group AB is applying the exception from IFRS 16 allowed under RFR 2. Right-of-use assets or lease liabilities are not recognised.
A detailed description of the Groups risks and uncertainties can be found in the Annual report 2020. There are no significant changes in risks during the first half of 2021.
NOTE 2. REVENUE SPLIT
| Amounts in MSEK | Q2 2021 | Q2 2020 | Jan-Jun 2021 | Jan-Jun 2020 |
|---|---|---|---|---|
| Europe | 386.6 | 349.5 | 704.2 | 666.3 |
| APAC | 319.4 | 347.7 | 640.2 | 690.4 |
| Americas | 239.7 | 269.3 | 442.4 | 517.1 |
| Other markets | 5.6 | 9.2 | 10.1 | 17.7 |
| Total | 951.3 | 975.7 | 1,796.9 | 1,891.5 |
| Over time | ||||
| BMU | 165.1 | 162.3 | 322.4 | 347.5 |
| Construction 1) | 48.0 | 48.3 | 93.0 | 97.4 |
| Industrial | 6.6 | 40.3 | 9.8 | 52.2 |
| Wind | - | - | - | - |
| Total over time | 219.7 | 250.9 | 425.2 | 497.1 |
| Point in time | ||||
| BMU | 86.6 | 75.7 | 157.6 | 141.1 |
| Construction | 256.0 | 207.3 | 444.4 | 409.0 |
| Industrial | 182.4 | 207.8 | 391.2 | 416.7 |
| Wind | 206.6 | 234.0 | 378.5 | 427.6 |
| Total point in time | 731.6 | 724.8 | 1,371.7 | 1,394.4 |
| Total | 951.3 | 975.7 | 1,796.9 | 1,891.5 |
1) Part of business area Construction is accounted for applying IFRS 16, Leases.
Alimak Group AB
Interim Report Q2 JANUARY - JUNE 2021
NOTE 3. FINANCIAL INSTRUMENTS
| Amounts in MSEK | Total carrying amount | ||
|---|---|---|---|
| 30 Jun 2021 | 30 Jun 2020 | 31 Dec 2020 | |
| FINANCIAL ASSETS | |||
| Derivative financial instruments | - | 4.4 | 6.2 |
| Other financial receivables | 1,080.3 | 1,135.3 | 1,010.1 |
| Cash and cash equivalents | 271.6 | 221.8 | 225.6 |
| Total | 1,351.9 | 1,361.5 | 1,241.9 |
| FINANCIAL LIABILITIES | |||
| Derivative financial instruments | 12.7 | 3.5 | 5.0 |
| Interest bearing debts | 735.6 | 1,046.3 | 716.5 |
| Other financial liabilities | 631.2 | 728.0 | 653.7 |
| Total | 1,379.5 | 1,777.8 | 1,375.2 |
Fair values are the same as carrying values for all financial assets and liabilities.
| FINANCIAL ASSETS AND LIABILITIES AT FAIR VALUE | |
|---|---|
| 30 Jun 2021 | Level 2 |
| Financial assets | |
| Currency derivatives | - |
| Total | - |
| Financial liabilities | |
| Currency derivatives | 12.7 |
| Total | 12.7 |
| 30 Jun 2020 | Level 2 |
| Financial assets | |
| Currency derivatives | 4.4 |
| Total | 4.4 |
| Financial liabilities | |
| Currency derivatives | 3.5 |
| Total | 3.5 |
| 31 Dec 2020 | Level 2 |
| Financial assets | |
| Currency derivatives | 6.2 |
| Total | 6.2 |
| Financial liabilities | |
| Currency derivatives | 5.0 |
| Total | 5.0 |
Level 1 - quoted prices in active markets for identical financial instruments
Level 2 - inputs other than quoted prices included in level 1 that are observable for the financial instrument, either directly (i.e. as prices) or indirect (i.e. derived from prices).
Level 3 - inputs for the financial instrument that are not based on observable market data (unobservable inputs)
Currency derivatives are valued at fair value by discounting the difference between the contracted forward rate and the rate that can be subscribed for on the balance sheet date for the remaining contract term.
Alimak Group AB
Interim Report Q2 JANUARY - JUNE 2021
NOTE 4. ACQUISITIONS
No acquisitions are made in Q2 2021.
In 2020 (Q3) Alimak Group made one minor acquisition, the assets of Verta Corporation, an American service provider with a large share of the portfolio consisting of Manntech units.
NOTE 5. ASSETS PLEDGED AND CONTINGENT LIABILITIES
As of June 30, 2021, the maximum potential future payments Alimak Group could be required to make under issued financial guarantees totalled MSEK 438.3 (June 30 2020, 432.0, December 31 2020, 361.6) of which MSEK 437.7 (June 30 2020, 431.4, December 31 2020, 361.0) refers to indemnity bonds for commitments to customers. Assets pledged totalled MSEK 27.8 (June 30 2020, 18.2, December 31, 2020, 24.5).
Alimak Group AB
Interim Report Q2 JANUARY - JUNE 2021
FINANCIAL CALENDAR.
— The Interim Report for the third quarter of 2021 will be published October 21, 2021.
— The year-end report of 2021 will be published on February 10, 2022
Alimak Group's financial calendar is available at www.alimakgroup.com
TELEPHONE CONFERENCE/PRESENTATION
A telephone conference for investors, analysts and financial media will be held at 11.00 CEST on Tuesday July 20, 2021. CEO Ole Kristian Jødahl and CFO Thomas Hendel will present and comment on the report. The presentation, held in English, can also be followed via audiocast.
To participate by phone – please call:
SE: +46850558375
UK: +443333009274
US: +1 6319131422 (Only for US number/ PIN: 81755376#)
Link to audiocast:
https://streams.eventcdn.net/alimak/january-june-2021/
DEFINITIONS
Alimak Group presents certain financial measures that are not defined in the interim report in accordance with IFRS. Alimak Group believes that these measures provide useful supplemental information to investors and the company's management when they allow evaluation of trends and the company's performance. As not all companies calculate the financial measures in the same way, these are not always comparable to measures used by other companies. These financial measures should not be seen as a substitute for measures defined under IFRS. For definitions of key figures that Alimak Group uses, please visit
https://www.alimakgroup.com/English/investor-relations/financials/definitions/
For further information, contact:
Thomas Hendel, CFO, Phone +46 (0)8 402 14 40
This information is information that Alimak Group 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 July 20, 2021.
About Alimak Group
Alimak Group is a world-leading provider of vertical access solutions for professional use. Through a global reach covering more than 100 countries, the Group provides products and unmatched service and support solutions leading to improved safety, productivity, resource efficiency, under the brands Alimak, CoxGomyl, Manntech, Avanti and Alimak Service. The Group has an installed base of more than 70,000 elevators, hoists, platforms, service lifts and building maintenance units around the world. Founded in Sweden 1948, the Group has its headquarters in Stockholm, 11 production and assembly facilities in 8 countries and 2,000 employees around the world. www.alimakgroup.com
ALIMAK GROUP