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BE Group AB Interim / Quarterly Report 2022
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Interim / Quarterly Report
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SECOND quarter 2022
- Net sales increased to SEK 2,044 M (1,403)
- The underlying operating result increased to SEK 291 M (133)
- The operating result increased to SEK 313 M (158), including inventory gains of SEK 22 M (25)
- Result after tax increased to SEK 251 M (127)
- Cash flow from operating activities increased to SEK 127 M (81)
- Earnings per share increased to SEK 19.30 (9.74)
- The acquired assets of Hercules Rebar was taken over from Hercules Grundläggning AB
- Agreement was signed to acquire all shares in Goodtech Solutions Manufacturing AB with take-over on September 1 at the latest
- Lecor Stålteknik was sold with handover on July 1
First six months 2022
- Net sales increased to SEK 3,889 M (2,503)
- The underlying operating result increased to SEK 471 M (201)
- The operating result increased to SEK 497 M (244), including inventory gains of SEK 26 M (43)
- Result after tax increased to SEK 399 M (190)
- Cash flow from operating activities increased to SEK 235 M (141)
- Earnings per share increased to SEK 30.71 (14.62)
"Continued high steel prices made the second quarter into a new record quarter with a sales growth of 46%, despite a decrease in delivered tonnage of 14%. Over the past 12 months, BE Group delivered an operating result of SEK 874 M, corresponding to an operating margin of 12.9 percent"
Peter Andersson, President and CEO
| Results overview | 2022 Apr-Jun | 2021 Apr-Jun | Change | 2022 Jan-Jun | 2021 Jan-Jun | Change |
|---|---|---|---|---|---|---|
| Tonnage, thousands of tonnes | 88 | 98 | -10 | 180 | 186 | -6 |
| Net sales, SEK M | 2,044 | 1,403 | 641 | 3,889 | 2,503 | 1,386 |
| Underlying operating result, SEK M | 291 | 133 | 158 | 471 | 201 | 270 |
| Operating result, SEK M | 313 | 158 | 155 | 497 | 244 | 253 |
| Profit/loss for the period, SEK M | 251 | 127 | 124 | 399 | 190 | 209 |
| Earnings per share, SEK | 19.30 | 9.74 | 9.56 | 30.71 | 14.62 | 16.09 |
| Cash flow from operating activities, SEK M | 127 | 81 | 46 | 235 | 141 | 94 |
BE Group, which is listed on the Nasdaq Stockholm exchange, is a trading and service company in steel, stainless steel and aluminium. BE Group offers efficient distribution and value-adding production services to customers primarily in the construction and manufacturing industries. In 2021, the Group reported sales of SEK 5.4 billion. BE Group has approximately 630 employees, with Sweden and Finland as its largest markets. The head office is located in Malmö, Sweden. Read more about BE Group at www.begroup.com.
BE Group AB (publ) / Corp. Reg. No. 556578-4724 / Interim report January-June 2022
BE Group AB (publ) / Corp. Reg. No. 556578-4724 / Interim report January-June 2022
"Over the past 12 months, BE Group delivered an operating result of SEK 874 M, corresponding to an operating margin of 12.9 percent"
Statement from the CEO
Continued high steel prices made the second quarter into a new record quarter with a sales growth of 46%, despite a decrease in delivered tonnage of 14%. The high sales in combination with good cost control led to an increased operating result of SEK 313 M (158). For the half year, net sales rose by 55% and the operating result increased to SEK 497 M (244).
Over the past 12 months, BE Group delivered an operating result of SEK 874 M, corresponding to an operating margin of 12.9 percent.
Steel price trend
The war in Ukraine initially led to sharply rising steel prices since both Russia and Ukraine are major producers of iron ore, steel and other input materials for steel production. The steel purchases BE Group made historically from Russian-controlled steel producers were immediately allocated to other suppliers with limited impact on customers.
From very high levels, steel prices have declined like a kind of slow leak in the second quarter. Demand is lower than normal due to high inventories following the wave of hoarding in connection with the invasion and continued disruptions in the supply chains. In the third quarter, we will probably see lower prices for some product types. At the beginning of July, we see that the price of scrap is rising again, which may indicate that the price of scrap-based products, such as beams, bars and rebar, may have bottomed out and are heading up again.
In the long term, there are many indications suggesting a continuation of high prices. High gas prices this winter might lead to high steel prices. The transition to sustainable steel production requires huge investments, which in turn require a sustainable price level. A sharp increase in the amount of defence spending and rearmament makes steel sought after and expensive. Furthermore, the reconstruction of Ukraine will most likely be paid for by the Western world which, when it happens, will require a considerable amount of materials.
Acquisitions and divestments
On May 1, possession was taken of the assets of Hercules Rebar acquired from Hercules Grundläggning AB, a subsidiary of NCC. The acquisition strengthens BE Group's rebar offering in Sweden and entails production and storage capacity being added close to the Norrköping facility.
On June 22, an agreement was signed to acquire all the shares in Goodtech Solutions Manufacturing AB. The take-over will take place on September 1 at the latest. The acquisition will strengthen BE Group's ready-to-weld offering and add competence and production capacity.
On June 30, Lecor Stålteknik was sold to EAB with handover on July 1. Lecor has developed positively in recent years but is significantly different from BE Group's core business. EAB is a long-standing partner to both BE Group and Lecor and, in connection with the transfer, a letter of intent was also signed regarding continued close and trusting cooperation.
Future outlook
The situation in the surrounding world makes it difficult to predict the future. What we know is that overall steel prices will be lower in Q3 than in Q2. This will entail a margin contraction, which we have already seen in the end of the quarter. However, for customers with six-month contracts, this entails the opposite. The most important thing for BE Group is to work with aspects we can affect. In addition to carefully monitoring developments and keeping our ears very close to the ground, we will continue to build on a good and long-term profitable company. Focus is on working with smaller, recurring improvements in every part of the company, with the main objective of improving the customer experience of doing business with us.
Finally, I would like to welcome all the new employees to BE Group and wish you a pleasant summer!
Peter Andersson
President and CEO
2
Comments on the report
Second quarter
The Group's consolidated net sales for the period increased by 46 percent compared to last year, amounting to SEK 2,044 M (1,403). The increase is explained by positive price and mix effects of 54 percent, acquisitions of 4 percent and positive currency effects of 2 percent counteracted by negative organic tonnage growth of -14 percent. After demand rose markedly towards the end of the first quarter due to Russia's invasion of Ukraine, demand was more moderate in the second quarter. The tonnage was relatively strong in the second quarter of the previous year when demand among OEM customers and subcontractors to the automotive industry recovered and they built up inventories in the face of future price increases.
Higher steel prices contributed to an increased gross profit of SEK 458 M (296) which resulted in a gross margin of 22.4 percent (21.1). The operating result increased to SEK 313 M (158), corresponding to an operating margin of 15.3 percent (11.3). Adjusted for inventory gains of SEK 22 M (25), the underlying operating result increased to SEK 291 M (133). The underlying operating margin during the period increased to 14.2 percent (9.5) and the improvement is mainly attributable to high steel prices and strengthened gross margin.
In the beginning of March, BE Group acquired the assets of Hercules Rebar in Norrköping from Hercules Grundläggning AB. The acquisition include machines, inventory, employees and rental agreement for the reinforcement facility and a multi-year cooperation agreement on reinforcement with NCC. The business is a smaller manufacturing unit which today employs about 20 people, own employees and temporary workers. The acquisition has been consolidated into BE Group Sverige AB during the second quarter. With the acquisition, BE Group will strengthen its offering within reinforcement in Sweden and production and storage capacity will be added close by the current facility in Norrköping.
First six months
During the first six months, the Group's net sales increased by 55 percent compared to last year and amounted to SEK 3,889 M (2,503). Tonnage in business area Sweden & Poland decreased by -5 percent including acquisitions and Finland & Baltics delivered -3 percent less. Gross profit increased to SEK 785 M (503) and the gross margin improved to 20.2 percent (20.1).
The operating result increased to SEK 497 M (244), corresponding to an operating margin of 12.8 percent (9.7). Adjusted for inventory gains of SEK 26 M (43), the underlying operating result increased to SEK 471 M (201). The underlying operating margin amounted to 12.1 percent (8.0) during the period.
The sanctions directed at Russia, a shortage of input materials and rising energy costs caused considerable price increases among producers at the end of the first quarter. Before the war began, about 10 percent of the Group's steel purchases came from Russia and Ukraine, which mainly affected the Finnish and Baltic operations. BE Group immediately ceased orders and payments to companies subject to global sanctions and immediately re-allocated to other suppliers in Europe and Asia, resulting in a higher price level for these materials. Deferred supplier payments as a consequence of imposed sanctions on Russian-controlled companies were settled with the Finnish authorities in the second quarter. The company acts in accordance with the decisions and recommendations of the governments and authorities in each market.
BE Group is also affected directly and indirectly by transport difficulties, higher fuel costs and energy prices, as well as the risk of shortages of electricity and gas. BE Group is continuing to closely monitor developments and is prepared to take actions where necessary to reduce the negative impact on the business.
THE GROUP'S SALES GROWTH AND UNDERLYING OPERATING RESULT PER QUARTER
THE GROUP'S GROSS MARGIN AND GROSS PROFIT PER QUARTER
| Bridge 2021-2022 operating result SEK M | Q1 | Q2 | Q3 | Q4 | Jan-Jun |
|---|---|---|---|---|---|
| Operating result 2021 | 86 | 158 | 219 | 158 | 244 |
| Reversal of inventory gains (-)/losses (+) | -18 | -25 | -26 | -23 | -43 |
| Items affecting comparability | - | - | - | - | - |
| Underlying operating result 2021 | 68 | 133 | 193 | 135 | 201 |
| Change in sales | 131 | 126 | - | - | 257 |
| Change in underlying gross margin | -1 | 45 | - | - | 44 |
| Change in overhead costs | -18 | -13 | - | - | -31 |
| Underlying operating result 2022 | 180 | 291 | - | - | 471 |
| Reversal of inventory gains (+)/losses (-) | 4 | 22 | - | - | 26 |
| Items affecting comparability | - | - | - | - | - |
| Operating result 2022 | 184 | 313 | - | - | 497 |
BE Group AB (publ) / Corp. Reg. No. 556578-4724 / Interim report January-June 2022
BUSINESS AREA SWEDEN & POLAND
The business area includes the Group's operations in Sweden consisting of the companies BE Group Sverige and Lecor Stålteknik, as well as the Polish operation BE Group Poland.
Second quarter
Net sales increased by 47 percent in the second quarter compared to last year and amounted to SEK 1,032 M (702). The higher sales is explained by positive price and mix effects of 55 percent, acquisitions of 7 percent counteracted by negative organic tonnage growth of -15 percent. The operating result increased to SEK 130 M (56). Adjusted for inventory gains of SEK 17 M (16), the underlying operating result increased to SEK 113 M (40).
The Swedish operations delivered a stronger underlying operating result compared to last year driven by high steel prices while tonnage was lower. Our joint venture AMBE provided a strong operating result as a result of high prices on thin sheets and slightly higher tonnage.
In the Polish operations and in Lecor Stålteknik profitability improved as a result of higher occupancy and improved price and mix effects.
The final purchase price for the acquisition of Hercules Rebar amounted to SEK 96 M. The transaction included net assets in the form of inventory of SEK 86 M, tangible assets of SEK 9 M and other of SEK 1 M. Costs related to the acquisition of approximately SEK 500 K are reported as administrative expenses. Since the take-over, the acquisition has contributed with SEK 53 M to the business area's net sales. Financially, the acquisition is expected to contribute with approximately SEK 135 M in sales for 2022 and affect the result marginally positive during the year.
First six months
Net sales for the first six months increased by 50 percent compared to last year, amounting to SEK 1,874 M (1,252). Operating result increased to SEK 206 M (92). Adjusted for inventory gains of SEK 24 M (28), the underlying operating result increased to SEK 182 M (64). Tonnage decreased by -5 percent including acquisitions, mainly due to reduced inventory sales.
BE Group AB (publ) / Corp. Reg. No. 556578-4724 / Interim report January-June 2022
BUSINESS AREA FINLAND & BALTICS
The business area includes the Group's operations in Finland and the three Baltic countries.
Second quarter
Net sales increased by 43 percent in the second quarter compared to last year amounting to SEK 1,015 M (710). Sales growth is explained by positive price and mix effects of 53 percent, positive currency effects of 3 percent and negative organic tonnage growth of -13 percent. The operating result increased to SEK 187 M (108). Adjusted for inventory gains of SEK 5 M (9), the underlying operating result increased to SEK 181 M (99).
The Finnish operations provided a very strong underlying operating result compared to last year. The result development is explained by higher steel prices and strengthened gross margin.
The Baltic operations provided a positive result driven by high steel prices.
First six months
Net sales for the first six months increased by 60 percent compared to last year, amounting to SEK 2,028 M (1,266). The operating result increased to SEK 299 M (160) and adjusted for inventory gains of SEK 2 M (15), the underlying operating result increased to SEK 297 M (145). The development is mainly attributable to high steel prices. Tonnage decreased by -3 percent.
BE Group AB (publ) / Corp. Reg. No. 556578-4724 / Interim report January-June 2022
Parent Company & consolidated items
Parent Company & consolidated items include the Parent Company, Group eliminations and also parts of the Group's operations undergoing restructuring. For additional information see the Annual Report for 2021.
The effects regarding IFRS 16 were reported under Parent Company & consolidated items and have not been allocated to the two business areas.
Sales for the second quarter of the Parent Company, BE Group AB (publ), amounted to SEK 30 M (22) during the period and derived from intra-Group services. These intra-Group services mainly include central expenses for IT and business systems, the subsidiaries' use of the BE Group brand and Finance. These expenses are distributed and invoiced to all subsidiaries in the Group. In the result follow-up of the business areas, these intra-group expenses have been eliminated except for expenses for IT and business systems. Out of the total costs for the Parent Company, of SEK -15 M (-12), SEK 10 M (9) was allocated to the subsidiaries. The operating result amounted to SEK 15 M (10).
Net financial items for the quarter amounted to SEK 253 M (0) mainly attributable to dividend from subsidiary. Profit before tax amounted to SEK 268 M (10) and profit after tax amounted to SEK 265 M (8). Investments in the Parent Company amounted to SEK 0 M (2). At the end of the period, cash and equivalents in the Parent Company amounted to SEK 157 M (182).
Net financial items for the first six months amounted to SEK 256 M (96). Profit before tax amounted to SEK 287 M (117) and profit after tax was SEK 280 M (113). Investments in the Parent Company amounted to SEK 0 M (3).
Group
Net financial items and tax
The Group's consolidated net financial items in the second quarter amounted to SEK -5 M (-4), of which net interest amounted to SEK -4 M (-3). During the quarter, interest expenses related to leasing according to IFRS 16 amounted to SEK -3 M (-2). Net financial items for the first six months amounted to SEK -7 M (-12) and net interest to SEK -7 M (-7), of which SEK -5 M (-5) relates to IFRS 16.
Taxes for the second quarter amounted to SEK -57 M (-27). Profit after tax amounted to SEK 251 M (127) and was SEK 399 M (190) for the first six months.
Cash flow
The Group's consolidated working capital amounted to SEK 1,070 M (434) at the end of the period and the average working capital tied-up for the second quarter was 12.2 percent (7.2). The higher working capital is explained by an increased inventory value by the end of the period amounting to SEK 1,396 M (559). The increased inventory value is caused by increased average prices, acquisitions and a more restrained demand in the second quarter. Cash flow from operating activities increased to SEK 127 M (81) during the quarter and to SEK 235 M (141) for the first six months. Deferred supplier payments of approximately SEK 45 M during the first quarter, as a result of sanctions imposed on Russian-controlled companies, has been settled with the Finnish authorities during the second quarter.
Cash flow from investing activities amounted to SEK -23 M (-6) during the quarter and SEK -29 M (-9) for the first six months. Cash flow after investments thus amounted to SEK 104 M (75) during the second quarter and SEK 206 M (132) for the first six months.
Financial position and liquidity
At the end of the period, consolidated cash and cash equivalents, including overdraft facilities, amounted to SEK 318 M (290) and the interest-bearing net debt excl. IFRS 16 was SEK 237 M (75). Equity amounted to SEK 1,688 M (1,101) at the end of the period.
Organization, structure and employees
The number of employees amounted to 667 compared to 623 at the same time last year. The average number of employees during the year amounted to 665 (616).
THE GROUP'S CASH FLOW FROM OPERATING ACTIVITIES, SEK M
BE Group AB (publ) / Corp. Reg. No. 556578-4724 / Interim report January-June 2022
Other information
Significant events during the first quarter
BE Group has, during the second quarter, signed a contract to acquire all shares of Goodtech Solutions Manufacturing AB in Arvika. The main focus of the business is subcontracting in machining and the turnover in 2021 amounted to approximately SEK 20 M. The company employs approximately 15 persons. The acquisition is strengthening BE Group's offering within "ready to weld" in Sweden and adds additional skills within CNC machining and increased production capacity. The take-over takes place on September 1 at the latest and the business will be a part of business area Sweden & Poland. The acquisition is estimated to have a marginally positive impact on the underlying result for 2022.
By the end of the second quarter, BE Group sold Lecor Stålteknik to EAB. Lecor Stålteknik is specialized in pre-fabricated steel structures for construction and industrial projects and has been a separate part of BE Group since 2010. The turnover in 2021 amounted to SEK 82 M. The company employs approximately 35 people. The take-over took place on July 1. Final purchase price was approximately SEK 17 M. The sale is estimated to have a marginal impact on the result in 2022.
More information about the above will be released in connection with the report for the third quarter.
Significant events after the end of the period
No significant events have taken place after the end of the period.
Transactions with related parties
No transactions took place between BE Group and related parties that had a material impact on the company's financial position and results.
Significant risks and uncertainties
Through its operations, BE Group is exposed to global macroeconomic factors, the competitive situation, structural changes in the market and the economy, as well as financial risks such as currency risks, interest risks, credit and counterparty risks. Within the companies of the Group, continuous processes are ongoing to identify existing risks and assess how these should be handled. The risk exposure is explained in the 2021 Annual Report, which was published in March 2022. Risks related to the war in Ukraine is described below.
The war in Ukraine
As Russia and Ukraine are major producers of iron ore and other inputs and European manufacturers are importing parts of their coal needs from Russia, the war will continue to have a major impact on the European steel market with shortages and sharp price increases as a possible consequence. About 10% of BE Group's total steel purchases in 2021 came from Russian-controlled steel producers. The imposed sanctions resulted in BE Group immediately stopping orders and payments to companies subject to it. BE Group is monitoring the development closely and are working proactively with finding alternatives to secure the deliveries of steel. The effect of sanctions and potentially other consequences connected to the war may affect the company's financial position.
Accounting principles
The interim report was prepared in accordance with IAS 34 Interim Financial Reporting and the Swedish Annual Accounts Act. The Parent Company's interim report is prepared in compliance with the Swedish Annual Accounts Act and the Swedish Financial Reporting Board's recommendation RFR 2 Accounting for Legal Entities.
Refer to the 2021 Annual Report for details of the Group's other accounting principles and definitions of certain terms. The principles applied are unchanged in relation to the Annual Report. In other regards, the new standards and interpretations that have come into effect from the financial year 2022 have had no significant effect on the financial reporting.
BE Group AB (publ) / Corp. Reg. No. 556578-4724 / Interim report January-June 2022
BE Group AB (publ) / Corp. Reg. No. 556578-4724 / Interim report January-June 2022
Future information
Future reporting dates
BE Group AB (publ) intends to publish financial information on the following dates:
- The Interim Report for January–September 2022 will be published on October 19, 2022.
- The Year-end report for 2022 will be published in January 2023.
Financial information is available in Swedish and English from BE Group's website and can be ordered by phone +46 (0) 40 38 42 00 or e-mail: [email protected].
The Board of Directors and the President hereby certify that this interim report provides an accurate overview of the operations, position and earnings of the Parent Company and the Group companies, and that it describes the material risks and uncertainties faced by the Parent Company and the Group companies.
Malmö, July 13, 2022
BE Group AB (publ)
| Jörgen Zahlin
Chairman of the Board | Monika Gutén
Member of the Board | Lars Olof Nilsson
Member of the Board |
| --- | --- | --- |
| Mats O Paulsson
Member of the Board | Petter Stillström
Member of the Board | Ida Strömberg
Employee Representative |
| Peter Andersson
President and CEO | | |
Questions concerning this report may be directed to:
Peter Andersson, President and CEO
Tel: +46 (0)706 53 76 55, e-mail: [email protected]
Christoffer Franzén, CFO
Tel: +46 (0)705 46 90 05, e-mail: [email protected]
BE Group AB (publ), Box 225, 201 22 Malmö, Sweden; Street address: Krangatan 4B
Corp. Reg. No: 556578-4724, Tel: +46 (0)40 38 42 00
[email protected], www.begroup.com
This report has not been reviewed by the company’s auditors.
This information is information that BE Group AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Market Act. The information was submitted for publication through the agency of the contact persons set out above at 2:00 p.m. CET on July 13, 2022.
Condensed consolidated income statement
| (SEK M) | Note | 2022 Apr-Jun | 2021 Apr-Jun | 2022 Jan-Jun | 2021 Jan-Jun | 2021 Full-year | Rolling 12 months |
|---|---|---|---|---|---|---|---|
| Net sales | 2,044 | 1,403 | 3,889 | 2,503 | 5,388 | 6,774 | |
| Cost of goods sold | 1 | -1,586 | -1,107 | -3,104 | -2,000 | -4,286 | -5,390 |
| Gross profit | 458 | 296 | 785 | 503 | 1,102 | 1,384 | |
| Selling expenses | 1 | -130 | -119 | -252 | -219 | -418 | -451 |
| Administrative expenses | 1 | -33 | -32 | -62 | -58 | -110 | -114 |
| Other operating income and expenses | -7 | 1 | -7 | 0 | -18 | -25 | |
| Participation in joint venture | 25 | 12 | 33 | 18 | 65 | 80 | |
| Operating profit/loss | 313 | 158 | 497 | 244 | 621 | 874 | |
| Financial items | -5 | -4 | -7 | -12 | -17 | -12 | |
| Profit/loss before tax | 308 | 154 | 490 | 232 | 604 | 862 | |
| Tax | -57 | -27 | -91 | -42 | -109 | -158 | |
| Profit/loss for the period | 251 | 127 | 399 | 190 | 495 | 704 | |
| Earnings per share (SEK) | 19.30 | 9.74 | 30.71 | 14.62 | 38.10 | 54.19 |
Consolidated statement of comprehensive income
| (SEK M) | 2022 Apr-Jun | 2021 Apr-Jun | 2022 Jan-Jun | 2021 Jan-Jun | 2021 Full-year | Rolling 12 months |
|---|---|---|---|---|---|---|
| Profit/loss for the period | 251 | 127 | 399 | 190 | 495 | 704 |
| Other comprehensive income | ||||||
| Items that have, or may be, reclassified to profit/loss for the period | ||||||
| Translation differences | 25 | -7 | 32 | 6 | 13 | 39 |
| Tax on items that have, or may be, reclassified to profit/loss for the period | - | - | - | - | - | - |
| Total other comprehensive income | 25 | -7 | 32 | 6 | 13 | 39 |
| Comprehensive income for the period | 276 | 120 | 431 | 196 | 508 | 743 |
BE Group AB (publ) / Corp. Reg. No. 556578-4724 / Interim report January-June 2022
Condensed consolidated balance sheet
| (SEK M) | Note | 2022
30 Jun | 2021
30 Jun | 2021
Dec 31 |
| --- | --- | --- | --- | --- |
| Goodwill | | 572 | 559 | 561 |
| Other intangible assets | | 9 | 4 | 9 |
| Tangible assets | | 109 | 88 | 90 |
| Right of use assets | | 545 | 514 | 479 |
| Investment in joint venture | | 209 | 136 | 182 |
| Financial assets | | 0 | 0 | 0 |
| Deferred tax assets | | 4 | 19 | 5 |
| Total non-current assets | | 1,448 | 1,320 | 1,326 |
| Inventories | | 1,396 | 559 | 1,033 |
| Accounts receivable | | 1,126 | 755 | 653 |
| Other receivables | | 40 | 34 | 39 |
| Cash and equivalents | | 168 | 190 | 54 |
| Total current assets | | 2,730 | 1,538 | 1,779 |
| Total assets | 2 | 4,178 | 2,858 | 3,105 |
| | | | | |
| Equity | | 1,688 | 1,101 | 1,413 |
| Non-current interest-bearing liabilities | | 398 | 260 | 287 |
| Non-current leasing liabilities | | 445 | 424 | 394 |
| Deferred tax liability | | 44 | 42 | 42 |
| Total non-current liabilities | | 887 | 726 | 723 |
| Current interest-bearing liabilities | | 8 | 6 | 8 |
| Current leasing liabilities | | 102 | 90 | 87 |
| Accounts payable | | 1,041 | 669 | 641 |
| Other current liabilities | | 451 | 244 | 229 |
| Other current provisions | | 1 | 22 | 4 |
| Total current liabilities | | 1,603 | 1,031 | 969 |
| Total equity and liabilities | 2 | 4,178 | 2,858 | 3,105 |
BE Group AB (publ) / Corp. Reg. No. 556578-4724 / Interim report January-June 2022
Condensed consolidated cash-flow statement
| (SEK M) | 2022
Apr-Jun | 2021
Apr-Jun | 2022
Jan-Jun | 2021
Jan-Jun | 2021
Full-year | Rolling
12 months |
| --- | --- | --- | --- | --- | --- | --- |
| Operating result | 313 | 158 | 497 | 244 | 621 | 874 |
| Adjustment for non-cash items | 20 | 11 | 35 | 32 | 28 | 31 |
| - of which, amortization/depreciation | 29 | 30 | 56 | 60 | 118 | 114 |
| - of which, other items | -9 | -19 | -21 | -28 | -90 | -83 |
| Interest paid/received and other financial items | -4 | -4 | -7 | -8 | -15 | -14 |
| Income tax paid | -9 | -2 | -11 | -4 | -67 | -74 |
| Change in working capital | -193 | -82 | -279 | -123 | -535 | -691 |
| Cash flow from operating activities | 127 | 81 | 235 | 141 | 32 | 126 |
| Acquisitions/divestments of subsidiaries | -9 | - | -9 | - | - | -9 |
| Changes in intangible assets | 0 | 0 | 0 | 0 | -1 | -1 |
| Changes in tangible assets | -14 | -6 | -20 | -9 | -24 | -35 |
| Other cash flow from investing activities | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash flow after investments | 104 | 75 | 206 | 132 | 7 | 81 |
| Cash flow from financing activities 1) | -56 | -174 | -94 | -108 | -121 | -107 |
| Cash flow for the period | 48 | -99 | 112 | 24 | -114 | -26 |
| Translation differences in cash and equivalents | 1 | -3 | 2 | 0 | 2 | 4 |
| Change in cash and equivalents | 49 | -102 | 114 | 24 | -112 | -22 |
1) In the cash flow from financing activities for 2022 SEK -156 M relates to dividend paid for 2021.
Condensed statement of changes in equity
| (SEK M) | 2022
Apr-Jun | 2021
Apr-Jun | 2022
Jan-Jun | 2021
Jan-Jun | 2021
Full-year | Rolling
12 months |
| --- | --- | --- | --- | --- | --- | --- |
| Equity at beginning of period | 1,568 | 981 | 1,413 | 905 | 905 | 1,101 |
| Comprehensive income for the period | 276 | 120 | 431 | 196 | 508 | 743 |
| Dividend | -156 | - | -156 | - | - | -156 |
| Equity at end of period | 1,688 | 1,101 | 1,688 | 1,101 | 1,413 | 1,688 |
BE Group AB (publ) / Corp. Reg. No. 556578-4724 / Interim report January-June 2022
BE Group AB (publ) / Corp. Reg. No. 556578-4724 / Interim report January-June 2022
Note 1 Amortizations and depreciations
| (SEK M) | 2022
Apr-Jun | 2021
Apr-Jun | 2022
Jan-Jun | 2021
Jan-Jun | 2021
Full-year | Rolling
12 months |
| --- | --- | --- | --- | --- | --- | --- |
| Amortization of intangible assets | 1 | 1 | 2 | 2 | 2 | 2 |
| Depreciation of tangible assets | 4 | 6 | 10 | 12 | 23 | 21 |
| Depreciation of right of use assets | 24 | 23 | 44 | 46 | 93 | 91 |
| Total amortizations and depreciations | 29 | 30 | 56 | 60 | 118 | 114 |
Note 2 Valuation of financial assets and liabilities
In all material respects fair value coincides with the carrying amount in the balance sheet for financial assets and liabilities.
The assessment of the fair value of the financial assets has been carried out in accordance with level 2, with the exception of cash and equivalents and bank loans, which are valued in accordance with level 1. For additional information, see Note 31 in the 2021 Annual Report. No material changes have taken place in relation to the valuation as per December 31.
12
Segment reporting
Net sales by business area
| (SEK M) | 2022 Apr-Jun | 2021 Apr-Jun | 2022 Jan-Jun | 2021 Jan-Jun | 2021 Full-year | Rolling 12 months |
|---|---|---|---|---|---|---|
| Sweden & Poland | 1,032 | 702 | 1,874 | 1,252 | 2,625 | 3,247 |
| Finland & Baltics | 1,015 | 710 | 2,028 | 1,266 | 2,790 | 3,552 |
| Parent Company & consolidated items | -3 | -9 | -13 | -15 | -27 | -25 |
| Group | 2,044 | 1,403 | 3,889 | 2,503 | 5,388 | 6,774 |
Net sales by business area and product group
| 2022 | Sweden & Poland | Finland & Baltics | Parent company & consolidated items | Total | ||||
|---|---|---|---|---|---|---|---|---|
| 2022 Apr-Jun | 2022 Jan-Jun | 2022 Apr-Jun | 2022 Jan-Jun | 2022 Apr-Jun | 2022 Jan-Jun | 2022 Apr-Jun | Rolling 12 months | |
| Long steel products | 568 | 964 | 299 | 598 | 0 | 0 | 867 | 1,562 |
| Flat steel products | 288 | 546 | 527 | 1,030 | 0 | 0 | 815 | 1,576 |
| Stainless steel | 117 | 238 | 141 | 289 | 0 | 0 | 258 | 527 |
| Aluminium | 22 | 57 | 42 | 92 | 0 | 0 | 64 | 149 |
| Other | 37 | 69 | 6 | 19 | -3 | -13 | 40 | 75 |
| Total | 1,032 | 1,874 | 1,015 | 2,028 | -3 | -13 | 2,044 | 3,889 |
| 2021 | Sweden & Poland | Finland & Baltics | Parent company & consolidated items | Total | ||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| 2021 Apr-Jun | 2021 Jan-Jun | 2021 Apr-Jun | 2021 Jan-Jun | 2021 Apr-Jun | 2021 Jan-Jun | 2021 Apr-Jun | 2021 Full-year | |
| Long steel products | 355 | 620 | 202 | 352 | 0 | 0 | 557 | 972 |
| Flat steel products | 203 | 366 | 365 | 647 | 0 | 0 | 568 | 1,013 |
| Stainless steel | 95 | 176 | 92 | 178 | 0 | 0 | 187 | 354 |
| Aluminium | 21 | 39 | 39 | 69 | 0 | 0 | 60 | 108 |
| Other | 28 | 51 | 12 | 20 | -9 | -15 | 31 | 56 |
| Total | 702 | 1,252 | 710 | 1,266 | -9 | -15 | 1,403 | 2,503 |
Net sales by country based on customer's domicile
| (SEK M) | 2022 Apr-Jun | 2021 Apr-Jun | 2022 Jan-Jun | 2021 Jan-Jun | 2021 Full-year | Rolling 12 months |
|---|---|---|---|---|---|---|
| Sweden | 1,011 | 689 | 1,836 | 1,228 | 2,575 | 3,183 |
| Finland | 918 | 607 | 1,812 | 1,089 | 2,442 | 3,165 |
| Other | 115 | 107 | 241 | 186 | 371 | 426 |
| Group | 2,044 | 1,403 | 3,889 | 2,503 | 5,388 | 6,774 |
Shipped tonnage per segment
| (Thousands of thonnes) | 2022 Apr-Jun | 2021 Apr-Jun | 2022 Jan-Jun | 2021 Jan-Jun | 2021 Full-year | Rolling 12 months |
|---|---|---|---|---|---|---|
| Sweden & Poland | 45 | 49 | 86 | 90 | 164 | 160 |
| Finland & Baltics | 44 | 50 | 95 | 97 | 180 | 178 |
| Parent Company & consolidated items | -1 | -1 | -1 | -1 | -2 | -2 |
| Group | 88 | 98 | 180 | 186 | 342 | 336 |
BE Group AB (publ) / Corp. Reg. No. 556578-4724 / Interim report January-June 2022
Operating result (EBIT) per segment
| (SEK M) | 2022 Apr-Jun | 2021 Apr-Jun | 2022 Jan-Jun | 2021 Jan-Jun | 2021 Full-year | Rolling 12 months |
|---|---|---|---|---|---|---|
| Sweden & Poland | 130 | 56 | 206 | 92 | 282 | 396 |
| Finland & Baltics | 187 | 108 | 299 | 160 | 370 | 509 |
| Parent Company & consolidated items | -4 | -6 | -8 | -8 | -31 | -31 |
| Group | 313 | 158 | 497 | 244 | 621 | 874 |
Operating margin per segment
| (SEK M) | 2022 Apr-Jun | 2021 Apr-Jun | 2022 Jan-Jun | 2021 Jan-Jun | 2021 Full-year | Rolling 12 months |
|---|---|---|---|---|---|---|
| Sweden & Poland | 12.6% | 8.0% | 11.0% | 7.4% | 10.7% | 12.2% |
| Finland & Baltics | 18.4% | 15.3% | 14.7% | 12.7% | 13.2% | 14.3% |
| Parent Company & consolidated items | neg | neg | neg | neg | neg | neg |
| Group | 15.3% | 11.3% | 12.8% | 9.7% | 11.5% | 12.9% |
Underlying operating result (uEBIT) per segment 1)
| (SEK M) | 2022 Apr-Jun | 2021 Apr-Jun | 2022 Jan-Jun | 2021 Jan-Jun | 2021 Full-year | Rolling 12 months |
|---|---|---|---|---|---|---|
| Sweden & Poland | 113 | 40 | 182 | 64 | 221 | 339 |
| Finland & Baltics | 181 | 99 | 297 | 145 | 339 | 491 |
| Parent Company & consolidated items | -3 | -6 | -8 | -8 | -31 | -31 |
| Group | 291 | 133 | 471 | 201 | 529 | 799 |
Underlying operating margin per segment 2)
| (SEK M) | 2022 Apr-Jun | 2021 Apr-Jun | 2022 Jan-Jun | 2021 Jan-Jun | 2021 Full-year | Rolling 12 months |
|---|---|---|---|---|---|---|
| Sweden & Poland | 11.0% | 5.8% | 9.7% | 5.1% | 8.4% | 10.4% |
| Finland & Baltics | 17.9% | 14.0% | 14.6% | 11.5% | 12.1% | 13.8% |
| Parent Company & consolidated items | neg | neg | neg | neg | neg | neg |
| Group | 14.2% | 9.5% | 12.1% | 8.0% | 9.8% | 11.8% |
Depreciation per segment
| (SEK M) | 2022 Apr-Jun | 2021 Apr-Jun | 2022 Jan-Jun | 2021 Jan-Jun | 2021 Full-year | Rolling 12 months |
|---|---|---|---|---|---|---|
| Sweden & Poland | 3 | 5 | 6 | 8 | 16 | 14 |
| Finland & Baltics | 2 | 3 | 5 | 6 | 11 | 10 |
| Parent Company & consolidated items | 24 | 22 | 45 | 46 | 91 | 90 |
| Group | 29 | 30 | 56 | 60 | 118 | 114 |
Investments in tangible and intangible assets per segment
| (SEK M) | 2022 Apr-Jun | 2021 Apr-Jun | 2022 Jan-Jun | 2021 Jan-Jun | 2021 Full-year | Rolling 12 months |
|---|---|---|---|---|---|---|
| Sweden & Poland | 1 | 3 | 3 | 4 | 12 | 11 |
| Finland & Baltics | 13 | 1 | 17 | 2 | 11 | 26 |
| Parent Company & consolidated items | 0 | 2 | 0 | 3 | 3 | 0 |
| Group | 14 | 6 | 20 | 9 | 26 | 37 |
1) Operating profit/loss (EBIT) adjusted for inventory gains and losses and items affecting comparability. Inventory gains and losses are the differences between the cost of goods sold at acquisition value and the cost of goods sold at replacement cost. The Group's internal model is used to calculate inventory gains and losses and has not been subject for review by the Group's auditor.
2) Underlying operating result (uEBIT) as a percentage of net sales.
BE Group AB (publ) / Corp. Reg. No. 556578-4724 / Interim report January-June 2022
Key data
| (SEK M unless otherwise stated) | 2022 Apr-Jun | 2021 Apr-Jun | 2022 Jan-Jun | 2021 Jan-Jun | 2021 Full-year | Rolling 12 months |
|---|---|---|---|---|---|---|
| Net sales | 2,044 | 1,403 | 3,889 | 2,503 | 5,388 | 6,774 |
| Earnings measurements | ||||||
| Gross result | 458 | 296 | 785 | 503 | 1,102 | 1,384 |
| Underlying gross result | 446 | 275 | 768 | 468 | 1,038 | 1,338 |
| Operating result (EBIT) | 313 | 158 | 497 | 244 | 621 | 874 |
| Underlying operating result (uEBIT) | 291 | 133 | 471 | 201 | 529 | 799 |
| Margin measurements | ||||||
| Gross margin | 22.4% | 21.1% | 20.2% | 20.1% | 20.4% | 20.4% |
| Underlying gross margin | 21.8% | 19.6% | 19.7% | 18.7% | 19.3% | 19.7% |
| Operating margin | 15.3% | 11.3% | 12.8% | 9.7% | 11.5% | 12.9% |
| Underlying operating margin | 14.2% | 9.5% | 12.1% | 8.0% | 9.8% | 11.8% |
| Capital structure | ||||||
| Net debt excl. IFRS 16 1) | 237 | 75 | 237 | 75 | 241 | 237 |
| Net debt/equity ratio excl. IFRS 16 1) | 14.0% | 6.7% | 14.0% | 6.7% | 17.0% | 14.0% |
| Working capital at end of period | 1,070 | 434 | 1,070 | 434 | 856 | 1,070 |
| Working capital (average) | 996 | 405 | 949 | 385 | 524 | 779 |
| Capital employed (average) excl. IFRS 16 1) | 1,977 | 1,387 | 1,890 | 1,336 | 1,457 | 1,721 |
| Working capital tied-up | 12.2% | 7.2% | 12.2% | 7.7% | 9.7% | 11.5% |
| Return | ||||||
| Return on capital employed excl. IFRS 16 1) | 62.6% | 44.9% | 52.0% | 35.7% | 42.0% | 50.3% |
| Per share data | ||||||
| Earnings per share (SEK) | 19.30 | 9.74 | 30.71 | 14.62 | 38.10 | 54.19 |
| Equity per share (SEK) | 130.04 | 84.82 | 130.04 | 84.82 | 108.84 | 130.04 |
| Cash flow from operating activities per share (SEK) | 9.79 | 6.24 | 18.13 | 10.86 | 2.49 | 9.76 |
| Shares outstanding at period end (thousands) | 12,983 | 12,983 | 12,983 | 12,983 | 12,983 | 12,983 |
| Average number of shares (thousands) | 12,983 | 12,983 | 12,983 | 12,983 | 12,983 | 12,983 |
| Growth | ||||||
| Sales growth | 46% | 50% | 55% | 22% | 47% | 60% |
| - of which organic tonnage growth | -14% | 28% | -5% | 12% | 11% | 2% |
| - of which price and mix changes | 54% | 25% | 57% | 13% | 38% | 57% |
| - of which currency effects | 2% | -3% | 2% | -3% | -2% | 1% |
| - of which acquisitions | 4% | - | 1% | - | - | 0% |
| Other | ||||||
| Average number of employees | 665 | 616 | 652 | 616 | 621 | 649 |
| Inventory gains and losses | 22 | 25 | 26 | 43 | 92 | 75 |
| Shipped tonnage (thousands of tonnes) | 88 | 98 | 180 | 186 | 342 | 336 |
1) To visualize the development of BE Group's financial position, some information is in the key figure overview that is not defined in IFRS. A reconciliation/bridge between alternative performance measures used in this report and the closest IFRS measure is presented under Alternative performance measures.
BE Group AB (publ) / Corp. Reg. No. 556578-4724 / Interim report January-June 2022
Condensed parent company income statement
| (SEK M) | 2022
Apr-Jun | 2021
Apr-Jun | 2022
Jan-Jun | 2021
Jan-Jun | 2021
Full-year | Rolling
12 months |
| --- | --- | --- | --- | --- | --- | --- |
| Net sales | 30 | 22 | 60 | 44 | 104 | 120 |
| Administrative expenses | -15 | -12 | -29 | -23 | -44 | -50 |
| Other operating income and expenses | 0 | 0 | 0 | 0 | 0 | 0 |
| Operating profit/loss | 15 | 10 | 31 | 21 | 60 | 70 |
| Financial items | 253 | 0 | 256 | 96 | 98 | 258 |
| Profit/loss after financial items | 268 | 10 | 287 | 117 | 158 | 328 |
| Appropriations | – | – | – | – | 124 | 124 |
| Profit/loss before tax | 268 | 10 | 287 | 117 | 282 | 452 |
| Tax | -3 | -2 | -7 | -4 | -38 | -41 |
| Profit/loss for the period, or comprehensive income for the period | 265 | 8 | 280 | 113 | 244 | 411 |
Condensed parent company balance sheet
| (SEK M) | 2022
Jun 30 | 2021
Jun 30 | 2021
Dec 31 |
| --- | --- | --- | --- |
| Intangible assets | 4 | 1 | 5 |
| Tangible assets | 0 | 5 | 0 |
| Financial assets | 881 | 903 | 880 |
| Total non-current assets | 885 | 909 | 885 |
| Current receivables | 145 | 79 | 353 |
| Cash and equivalents | 157 | 182 | 38 |
| Total current assets | 302 | 261 | 391 |
| Total assets | 1,187 | 1,170 | 1,276 |
| Equity | 1,083 | 828 | 959 |
| Non-current liabilities | 39 | 209 | 226 |
| Current liabilities | 65 | 133 | 91 |
| Total equity and liabilities | 1,187 | 1,170 | 1,276 |
BE Group AB (publ) / Corp. Reg. No. 556578-4724 / Interim report January-June 2022
Key data – multi-quarter summary
| (SEK M unless otherwise stated) | 2022 Apr-Jun | 2022 Jan-Mar | 2021 Oct-Dec | 2021 Jul-Sep | 2021 Apr-Jun | 2021 Jan-Mar | 2020 Oct-Dec | 2020 Jul-Sep | 2020 Apr-Jun |
|---|---|---|---|---|---|---|---|---|---|
| Net sales | 2,044 | 1,845 | 1,510 | 1,375 | 1,403 | 1,100 | 875 | 744 | 935 |
| Earnings measurements | |||||||||
| Gross result | 458 | 327 | 283 | 316 | 296 | 207 | 135 | 105 | 138 |
| Underlying gross result | 446 | 322 | 269 | 301 | 275 | 193 | 129 | 114 | 140 |
| Operating result (EBIT) | 313 | 184 | 158 | 219 | 158 | 86 | 18 | 4 | 21 |
| Underlying operating result (uEBIT) | 291 | 180 | 135 | 193 | 133 | 68 | 12 | 14 | 28 |
| Margin measurements | |||||||||
| Gross margin | 22.4% | 17.7% | 18.7% | 23.0% | 21.1% | 18.9% | 15.5% | 14.1% | 14.7% |
| Underlying gross margin | 21.8% | 17.5% | 17.8% | 21.9% | 19.6% | 17.5% | 14.8% | 15.3% | 14.9% |
| Operating margin | 15.3% | 10.0% | 10.4% | 15.9% | 11.3% | 7.8% | 2.1% | 0.5% | 2.2% |
| Underlying operating margin | 14.2% | 9.8% | 9.0% | 14.0% | 9.5% | 6.1% | 1.4% | 1.8% | 3.0% |
| Capital structure | |||||||||
| Net debt excl. IFRS 16 1) | 237 | 159 | 241 | 98 | 75 | 124 | 156 | 281 | 254 |
| Net debt/equity ratio excl. IFRS 16 1) | 14.0% | 10.1% | 17.0% | 7.6% | 6.7% | 12.6% | 17.0% | 30.0% | 27.5% |
| Working capital at end of period | 1,070 | 920 | 856 | 610 | 434 | 376 | 343 | 474 | 455 |
| Working capital (average) | 996 | 889 | 734 | 523 | 405 | 360 | 409 | 464 | 487 |
| Capital employed (average) excl. IFRS 16 1) | 1,977 | 1,785 | 1,639 | 1,467 | 1,387 | 1,318 | 1,272 | 1,258 | 1,258 |
| Working capital tied-up | 12.2% | 12.0% | 12.1% | 9.5% | 7.2% | 8.2% | 11.7% | 15.6% | 13.0% |
| Return | |||||||||
| Return on capital employed excl. IFRS 16 1) | 62.6% | 40.9% | 38.3% | 59.1% | 44.9% | 25.1% | 5.1% | 0.5% | 5.8% |
| Per share data | |||||||||
| Earnings per share (SEK) | 19.30 | 11.41 | 10.00 | 13.49 | 9.74 | 4.88 | 1.06 | -0.32 | 1.34 |
| Equity per share (SEK) | 130.04 | 120.80 | 108.84 | 98.68 | 84.82 | 75.55 | 69.73 | 70.87 | 70.92 |
| Cash flow from operating activities per share (SEK) | 9.79 | 8.35 | -8.87 | 0.50 | 6.24 | 4.62 | 11.72 | 0.06 | 7.32 |
| Shares outstanding at period end (thousands) | 12,983 | 12,983 | 12,983 | 12,983 | 12,983 | 12,983 | 12,983 | 12,983 | 12,983 |
| Average number of shares (thousands) | 12,983 | 12,983 | 12,983 | 12,983 | 12,983 | 12,983 | 12,983 | 12,983 | 12,983 |
| Growth | |||||||||
| Sales growth | 46% | 68% | 73% | 85% | 50% | -2% | -11% | -24% | -22% |
| - of which organic tonnage growth | -14% | 4% | 4% | 21% | 28% | -3% | -1% | -16% | -17% |
| - of which price and mix changes | 54% | 62% | 70% | 65% | 25% | 4% | -8% | -6% | -5% |
| - of which currency effects | 2% | 2% | -1% | -1% | -3% | -3% | -2% | -2% | 0% |
| - of which acquisitions | 4% | - | - | - | - | - | - | - | - |
| Other | |||||||||
| Average number of employees | 665 | 645 | 627 | 625 | 616 | 613 | 625 | 636 | 637 |
| Inventory gains and losses | 22 | 4 | 23 | 26 | 25 | 18 | 6 | -10 | -2 |
| Shipped tonnage (thousands of tonnes) | 88 | 92 | 79 | 77 | 98 | 88 | 76 | 64 | 77 |
1) To visualize the development of BE Group's financial position, some information is in the key figure overview that is not defined in IFRS. A reconciliation/bridge between alternative performance measures used in this report and the closest IFRS measure is presented under Alternative performance measures.
BE Group AB (publ) / Corp. Reg. No. 556578-4724 / Interim report January-June 2022
Alternative performance measures
The Group uses a number of alternative performance measures in its report. The alternative performance measures that BE Group considers significant are the following:
Underlying operating result (uEBIT)
| (SEK M) | 2022 Apr-Jun | 2021 Apr-Jun | 2022 Jan-Jun | 2021 Jan-Jun | 2021 Full-year | Rolling 12 months |
|---|---|---|---|---|---|---|
| Operating result | 313 | 158 | 497 | 244 | 621 | 874 |
| Reversal of inventory gains (-)/losses (+) | -22 | -25 | -26 | -43 | -92 | -75 |
| Adjustment for items affecting comparability | – | – | – | – | – | – |
| Group | 291 | 133 | 471 | 201 | 529 | 799 |
Working capital
| (SEK M) | 2022 Jun 30 | 2021 Jun 30 | 2021 Dec 31 |
|---|---|---|---|
| Inventories | 1,396 | 559 | 1,033 |
| Accounts receivable | 1,126 | 755 | 653 |
| Other receivables | 40 | 34 | 39 |
| Deduction accounts payable | -1,041 | -669 | -641 |
| Deduction other current liabilities | -451 | -244 | -229 |
| Rounding | – | -1 | 1 |
| Group | 1,070 | 434 | 856 |
Average working capital is an average for each period based on quarterly data.
Net debt excl. IFRS 16
| (SEK M) | 2022 Jun 30 | 2021 Jun 30 | 2021 Dec 31 |
|---|---|---|---|
| Non-current interest-bearing liabilities and leasing liabilities | 843 | 684 | 681 |
| Current interest-bearing liabilities and leasing liabilities | 110 | 96 | 95 |
| Deduction leasing liabilities | -547 | -514 | -481 |
| Deduction financial assets | 0 | 0 | 0 |
| Deduction cash and equivalents | -168 | -190 | -54 |
| Rounding | -1 | -1 | – |
| Group | 237 | 75 | 241 |
Net debt/equity ratio excl. IFRS 16 is calculated as net debt excl. IFRS 16 divided by Equity.
Capital employed excl. IFRS 16
| (SEK M) | 2022 Jun 30 | 2021 Jun 30 | 2021 Dec 31 |
|---|---|---|---|
| Equity excl. IFRS 16 | 1,695 | 1,107 | 1,420 |
| Non-current interest-bearing liabilities and leasing liabilities | 843 | 684 | 681 |
| Current interest-bearing liabilities and leasing liabilities | 110 | 96 | 95 |
| Deduction leasing liabilities | -547 | -514 | -481 |
| Rounding | – | -1 | 1 |
| Group | 2,101 | 1,372 | 1,716 |
Average capital employed excl. IFRS 16 is an average for each period based on quarterly data.
BE Group AB (publ) / Corp. Reg. No. 556578-4724 / Interim report January-June 2022
Definitions of key data
Adjusted results measurements
| Underlying gross result | The underlying gross result is the reported gross result adjusted for inventory gains and losses (deductions for gains and additions for losses). |
|---|---|
| Underlying operating result (uEBIT) | Operating result (EBIT) before items affecting comparability adjusted for inventory gains and losses (deductions for gains and additions for losses). |
| Items affecting comparability | Items that do not have any link to the normal operations of the Group or that are of a non-recurring nature, where a reporting together with other items in the consolidated comprehensive income statement would have given a comparison distortion effect that would have made it difficult to judge the development of the ordinary operations for an outside viewer. |
| Adjusted margin measurements | |
| Underlying gross margin | Underlying gross result as a percentage of net sales. |
| Underlying operating margin | Underlying operating result (uEBIT) as a percentage of net sales. |
| Capital structure | |
| Net debt excl. IFRS 16 | Interest-bearing liabilities excluding leasing liabilities acc. to IFRS 16 less cash and equivalents and financial assets. |
| Net debt/equity ratio excl. IFRS 16 | Net debt excl. IFRS 16 divided by equity excl. IFRS 16. |
| Working capital | Inventories and current receivables less current liabilities, excluding provisions and interest-bearing liabilities. |
| Working capital (average) | Inventories and current receivables less current liabilities, excluding provisions and interest-bearing liabilities. This measure represents an average for each period based on published quarterly data. |
| Capital employed excl. IFRS 16 | Equity excl. IFRS 16 plus interest-bearing liabilities excl. leasing liabilities acc. to IFRS 16. |
| Capital employed (average) excl. IFRS 16 | Equity excl. IFRS 16 plus interest-bearing liabilities excl. leasing liabilities acc. to IFRS 16. This measure represents an average for each period based on published quarterly data. |
| Working capital tied-up | Average working capital, as a percentage of annually adjusted net sales. |
| Return on capital | |
| Return on capital employed excl. IFRS 16 | Annually adjusted operating result excl. IFRS 16, as a percentage of average capital employed excl. IFRS 16. |
| Per share data | |
| Earnings per share | Profit/loss for the period divided by the average number of shares outstanding during the period. |
| Equity per share | Equity divided by the number of shares outstanding at the end of the period. |
| Cash flow per share from operating activities | Cash flow from operating activities divided by the average number of shares for the period. |
| Shares outstanding at the end of the period | Shares outstanding at the end of the period adjusted for rights issues and share splits. |
| Average number of shares | Weighted average number of shares outstanding during the period, adjusted for rights issued and share splits. |
| Growth | |
| Sales growth | Change in net sales from the preceding period in percent. |
| Other | |
| Inventory gains and losses | The difference between the cost of goods sold at acquisition value and the cost of goods sold at replacement cost. |
Please refer to the 2021 annual report for other definitions of key data.
BE Group AB (publ) / Corp. Reg. No. 556578-4724 / Interim report January-June 2022
About BE Group
A leading steel service company in Northern Europe
BE Group is a trading and service company in the steel and metal industry. Customers mainly operate in the construction and manufacturing industries in Sweden, Finland and the Baltic States, where BE Group is one of the market's leading actors.
With extensive expertise and efficient processes in purchasing, logistics and production, BE Group offers inventory sales, production service and direct deliveries to customers based on their specific needs for steel and metal products. BE Group has approximately 630 employees and sales of SEK 5.4 billion in 2021. The head office is located in Malmö, Sweden.
Number of employees
approx. 630
Net sales
SEK 5.4
billion
BUSINESS IDEA
BE Group is an independent efficient distributor of steel, stainless steel, aluminum and value adding services to Nordic manufacturing and construction companies.
- Sales
- Production
- Warehouse
BE Group AB (publ) / Corp. Reg. No. 556578-4724 / Interim report January-June 2022