Quarterly Report • Apr 25, 2024
Quarterly Report
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Interim report January – March 2024
Q1
"A better sales mix, including a larger service business, supported the higher margins"
Read more in Sven Kristensson's CEO's comments on page 2.
The new year began with healthy orders received, higher margins and a strong cash flow. In a more uncertain macro environment, we have continued to advance our position through the launch of new products, a stronger presence in growing industries and markets, and investments in increased capacity and efficiency.
Nederman began the new year with high order activity – for example in structurally growing industries such as battery manufacturing, food and recycling – and continued positive geographic development, particularly in the US, Nederman's single largest market. In the first quarter, orders received increased currency neutrally by 0.8 percent to SEK 1,519m (1,505), and the current order backlog of just over SEK 2 billion continues to offer good short-term support to sales. The decrease in currency neutral sales during the quarter of 5.7 percent to SEK 1,397m (1,482) was mainly due to fewer project deliveries in Process Technology. The adjusted EBITA margin increased to 12.5 percent (11.7). It was particularly pleasing that the gross margin strengthened to 39.1 percent (36.5). A better sales mix, including a larger service business, contributed to the higher margins. We can also see that our investments in production and logistics are making an increasingly clear contribution to profitability.
Demand for industrial air filtration is strong worldwide. As a leading player, we drive development with new innovative products and solutions, but also through more efficient deliveries. The official launch took place in early April of Nordfab Now, Duct & Filter Technology's concept in the US for product delivery within 24 hours from the expanded production and warehouse facility in Thomasville. During the spring, our largest division – Extraction & Filtration Technology – is transferring the previously acquired US RoboVent's operations to a completely new plant, and at the end of the year the ultra-modern plant in Helsingborg will be inaugurated, offering a new warehouse management system, among other benefits. In parallel, we are continuing to invest in expanded capacity, for example in NEO Monitors, and are pursuing efficiency improvements in markets displaying weaker development, such as China, where we have now finished restructuring our operations.
We are The Clean Air Company, and the products and solutions we continuously develop help to create better conditions for clean air in a large number of industries, and thereby for society as a whole. Today, value creation is largely pursued through digitalisation and servicification. During the quarter, we rolled out another project in our digital concept Clean Air as a Service, and began work to develop the next generation of digital products within the framework of our Nederman Insight platform. There is still significant interest in our service package for energy-efficient filter systems, Nederman SAVE. We secured our first orders in Americas during the quarter. We are addressing the growing need for clean air and reduced energy consumption in the textile sector with our efficient CFB fan system, and accelerating developments in critical areas such as carbon capture and waste management. As a world-leading company in environmental technology, we, quite simply, are well placed to drive positive change. In our own operations, we have reduced greenhouse gas emissions proportional to sales by 80 percent over the past ten years. We have now committed to the Science Based Targets initiative with the objective to be climate-neutral by 2050.
Extraction & Filtration Technology reported high activity with double-digit growth for service, which contributed to improved profitability. Process Technology secured new, major orders linked to a strong sustainability trend in various customer industries, and profitability remained healthy. Duct & Filter Technology's production and logistics initiatives in the US have provided strengthened competitiveness and, not least, sustained high profitability. Monitoring & Control Technology noted a new order record for a single quarter although the sales mix and Finnish port strike dampened profitability.
Even if the performance of our divisions remains positive, the risk remains that high inflationary pressure and a weaker economic outlook will impact customers' investment decisions. Moreover, we believe that there is a risk that the growing geopolitical uncertainty could eventually lead to increased protectionism. However, Nederman continues to stand strong in this macro environment. In view of our large order backlog and our ability to increase our share of sales in industries with good structural growth, we take a cautiously positive view of opportunities during the year.
Q1 INTERVIEW WITH SVEN KRISTENSSON
Watch the interview on Nederman's YouTube channel. Playlist: Financial reports
Nederman is organised in four operating segments. This organisation is based on technology, customer structure and business logic with its starting point in the group's brands. This means that the operating segments are global. The organisation has four overriding priorities: strengthened profitability, improved efficiency, utilisation of all the possibilities offered by digitalisation and internal and external sustainability.
Nederman Extraction & Filtration Technology develops and sells a broad range of filters and monitoring services, capturing devices, fans, high-vacuum products and reels for the distribution of a variety of liquids and compressed air. Sales are conducted through a network of partners and through own sales companies. Customers operate in industries with various types of air emissions that must be dealt with in an efficient and safe manner.
Nederman Process Technology offers services and filter solutions that are often integrated into the customer companies' production processes, where they capture harmful particles and gases, and other process-critical equipment. Sales activities are conducted through the division's own sales organisation that has direct contact with the customers. The number of orders is low, but the individual order value is high. The customers comprise major companies in a large number of industries.
Nederman Duct & Filter Technology sells different types of ducting systems, valves and filter elements to ensure good air quality in a number of industries. Sales are mainly conducted through distributors, but there are also internal sales to Nederman's other divisions. The customers are found in a long line of industries, such as woodworking, cement & concrete production, automotive, metalworking and recycling.
Nederman Monitoring & Control Technology offers advanced measurement technology for gases and particles, and an IoT platform that consists of hardware and software that communicate with the cloud and provide customers with information and insight into critical parameters and processes. Sales are conducted through own companies, their networks of distributors and other divisions within Nederman. The division works with a broad spectrum of industries that need to continuously monitor and control their production and their processes.
| External orders received, SEKm | 2024 | 1 Jan–31 Mar 2023 |
Currency neutral growth |
Organic growth |
Full year 2023 |
Apr–Mar 12 months |
|---|---|---|---|---|---|---|
| Nederman Extraction & Filtration Technology | 615.7 | 597.4 | 2.7% | -1.7% | 2,581.2 | 2,599.5 |
| Nederman Process Technology | 485.7 | 523.9 | -7.7% | -7.7% | 1,921.0 | 1,882.8 |
| Nederman Duct & Filter Technology | 184.0 | 193.0 | -4.2% | -4.2% | 762.7 | 753.7 |
| Nederman Monitoring & Control Technology | 233.9 | 190.2 | 23.4% | 23.4% | 739.7 | 783.4 |
| Total Nederman group | 1,519.3 | 1,504.5 | 0.8% | -1.0% | 6,004.6 | 6,019.4 |
| Total sales, SEKm | 2024 | 1 Jan–31 Mar 2023 |
Currency neutral growth |
Organic growth |
Full year 2023 |
Apr–Mar 12 months |
|---|---|---|---|---|---|---|
| Nederman Extraction & Filtration Technology | 636.2 | 614.4 | 3.1% | 0.2% | 2,582.5 | 2,604.3 |
| Nederman Process Technology | 392.3 | 512.8 | -23.4% | -23.4% | 2,146.6 | 2,026.1 |
| Nederman Duct & Filter Technology | 206.8 | 212.0 | -2.0% | -2.0% | 839.0 | 833.8 |
| Nederman Monitoring & Control Technology | 186.6 | 170.9 | 9.6% | 9.6% | 732.8 | 748.5 |
| Elimination | -25.0 | -28.1 | -113.1 | -110.0 | ||
| Total Nederman group | 1,396.9 | 1,482.0 | -5,7% | -7.0% | 6,187.8 | 6,102.7 |
| 1 Jan–31 Mar | Full year | Apr–Mar | ||
|---|---|---|---|---|
| Adjusted EBITA, SEKm | 2024 | 2023 | 2023 | 12 months |
| Nederman Extraction & Filtration Technology | 103.1 | 88.9 | 339.5 | 353.7 |
| Nederman Process Technology | 31.5 | 42.4 | 209.0 | 198.1 |
| Nederman Duct & Filter Technology | 42.6 | 41.6 | 156.5 | 157.5 |
| Nederman Monitoring & Control Technology | 27.8 | 32.9 | 152.6 | 147.5 |
| Other - non-allocated | -31.0 | -33.1 | -142.7 | -140.6 |
| Total Nederman group | 174.0 | 172.7 | 714.9 | 716.2 |
| 1 Jan–31 Mar | Full year | Apr–Mar 12 months |
||
|---|---|---|---|---|
| Adjusted EBITA margin | 2024 | 2023 | 2023 | |
| Nederman Extraction & Filtration Technology | 16.2% | 14.5% | 13.1% | 13.6% |
| Nederman Process Technology | 8.0% | 8.3% | 9.7% | 9.8% |
| Nederman Duct & Filter Technology | 20.6% | 19.6% | 18.7% | 18.9% |
| Nederman Monitoring & Control Technology | 14.9% | 19.3% | 20.8% | 19.7% |
| Total Nederman group | 12.5% | 11.7% | 11.6% | 11.7% |
Nederman Extraction & Filtration Technology develops and sells a broad range of filters and monitoring services, capturing devices, fans, high-vacuum products and reels for the distribution of a variety of liquids and compressed air.
Brands: Nederman, RoboVent
In the first quarter, orders received increased currency neutrally by 2.7 percent and sales increased currency neutrally by 3.1 percent. The figures include the Danish company Aagaard, which was acquired in July 2023. The adjusted EBITA margin increased to 16.2 percent (14.5).
The increase in orders received was driven by several major orders while the base business was in line with the corresponding quarter last year. In terms of the various sales types, service reported double-digit growth followed by moderate growth in solutions. An earlier strong trend for solutions has created a platform for a growing service business. Among the regions, EMEA again reported the strongest performance. Higher volumes, a positive sales mix and efficient project deliveries supported the strong profitability. The recent quarters' healthy orders received means the order backlog remains at a high level and lays the foundation for sustained solid sales development over the next few quarters.
Seven major orders were registered during the quarter, four in EMEA and three in Americas. Two orders concerned the woodworking segment. Two orders were secured in the green energy sector, of which one in the US for solar panel production and one in Spain for manufacturing control systems for water, gas and heating. In EMEA, a major order was also secured in environmental technology and one in the medical sector from a manufacturer of optical lenses. In Americas, a major order was secured from a manufacturer of ambulances. Many orders were again secured globally for solutions in prioritised growth areas, including green energy, transport and waste management. Interest remained strong for the energy-saving system solution Nederman SAVE, with the first orders secured in Americas and new orders in EMEA, including in Poland and Germany.
In terms of development in the various regions, EMEA recorded the strongest trend with healthy growth in orders received and sales. The acquisitions and the four aforementioned major orders made strong contributions to orders received. Only one major order was registered during the corresponding quarter of 2023. Activity was good in almost the entire region, where the Nordic region, particularly Denmark, and countries in southern Europe reported the largest increase in orders received. Danish Aagaard, which was acquired in July 2023, has strengthened the division's position in the woodworking segment and accounted for one major order in the quarter. Americas as a whole displayed unchanged development in terms of orders received and sales compared with the corresponding quarter last year. The US reported solid order growth and accounted for all of the region's three major orders in the quarter. The breakthrough for Nederman SAVE in the region in the quarter came from orders in the US. The relocation of the previously acquired RoboVent's production and offices to a new plant in the US is expected to be completed during the second quarter, yielding increases in capacity and efficiency. APAC continued to develop weakly in terms of both orders received and sales. However, sales of solutions reported slight growth in the quarter thanks to several medium-sized orders in China and India. The relocalisation and restructuring of the operations in China have now been completed.
| SEKm | Note | 2024 | 1 Jan–31 Mar 2023 |
Currency neutral growth |
Organic growth |
Full year 2023 |
Apr–Mar 12 months |
|---|---|---|---|---|---|---|---|
| External orders received | 615.7 | 597.4 | 2.7% | -1.7% | 2,581.2 | 2,599.5 | |
| Total sales | 3 | 636.2 | 614.4 | 3.1% | 0.2% | 2,582.5 | 2,604.3 |
| Adjusted EBITA | 103.1 | 88.9 | 339.5 | 353.7 | |||
| Adjusted EBITA margin | 16.2% | 14.5% | 13.1% | 13.6% |
Nederman Process Technology offers services and advanced filter solutions that are integrated into the customers' production processes where they catch harmful particles and gases.
Brands: MikroPul, Luwa, Pneumafil and LCI
In the first quarter, orders received fell currency neutrally by 7.7 percent and sales decreased currency neutrally by 23.4 percent, which should be compared with a very strong corresponding quarter last year. The adjusted EBITA margin was 8.0 percent (8.3).
Orders received included two substantial orders; one in EMEA and one in Americas, and followed a similar major order in the fourth quarter of 2023. EMEA as a whole reported healthy order growth in the quarter. The lower sales in the quarter were impacted by fewer project deliveries. Service noted continued growth, however. A better mix, an increased share of service, and high manufacturing and delivery efficiency yielded continued favourable profitability. A deterioration in the global economy in the wake of geopolitical turmoil and weakness in certain markets and segments is expected to yield lower orders received over the next few quarters. In parallel, the division's long-term potential remains considerable, with investments in new segments and new markets expected to generate healthy returns. There are also good opportunities to secure further major orders, as the division did in the last two quarters.
The division's orders received and sales in the textile segment decreased compared with a strong corresponding quarter in 2023. Continued weak demand in China, the world's largest textile market, had a dampening effect, while India remains stable. A major order was also secured in Uzbekistan during the quarter. Capacity utilisation at spinning mills is low, which is curbing demand for new equipment. The division's focus is to optimise profitability based on the prevailing market conditions and to drive product innovation. The innovative fan system for textile plants that the division launched in 2023 continues to generate additional business, since it contributes to significant and important energy savings.
In the foundry and smelter segment, a strong sustainability trend is contributing to an increase in demand for the division's solutions in, for example, metal recycling. A new significant order was secured for a smelter project in EMEA during the quarter. For the segment as a whole, both orders received and sales declined compared with the corresponding quarter of 2023. The strategic initiatives to grow in Americas with the same offering and with favourable profitability, such as in EMEA, continued with undiminished energy. Despite short-term uncertainty related to the global economic trend, the potential within the segment is considerable, particularly in aluminium recycling.
The segment for customised solutions displayed strong order growth during the quarter, mainly driven by several major orders in Americas. These included an order for a project linked to the renovation of gas turbines, and an order for more environmentally friendly applications in the chemicals sector. The division's sales often represent minor parts of major capital investments, which brings a risk of dampened demand in the event of increased economic uncertainty. Nonetheless, the division is cautiously optimistic, as strategic and sustainability-oriented investments in the mining and petrochemical industries, for example, are expected to favour demand for the division's equipment.
| SEKm | Note | 2024 | 1 Jan–31 Mar 2023 |
Currency neutral growth |
Organic growth |
Full year 2023 |
Apr–Mar 12 months |
|---|---|---|---|---|---|---|---|
| External orders received | 485.7 | 523.9 | -7.7% | -7.7% | 1,921.0 | 1,882.8 | |
| Total sales | 3 | 392.3 | 512.8 | -23.4% | -23.4% | 2,146.6 | 2,026.1 |
| Adjusted EBITA | 31.5 | 42.4 | 209.0 | 198.1 | |||
| Adjusted EBITA margin | 8.0% | 8.3% | 9.7% | 9.8% |
Nederman Duct & Filter Technology sells different types of ducting systems, valves and filter elements to ensure good air quality in a number of industries.
Brands: Nordfab and Menardi
In the first quarter, orders received decreased currency neutrally by 4.2 percent and sales decreased currency neutrally by 2.0 percent. Higher production and inventory efficiency in the US contributed to a strengthening of the adjusted EBITA margin to 20.6 percent (19.6).
The decrease in orders received was primarily due to the weak trend for Nordfab in EMEA and APAC while the corresponding operations in the US performed strongly. New orders were secured in growth segments, such as battery manufacturing, food and green energy. Profitability was positively impacted by primarily improved production and inventory processes in the US, which was partially a result of earlier investments in Nordfab's plant in Thomasville. In early April 2024, the Nordfab Now concept was launched, offering deliveries of a selected range within 24 hours.
The US accounts for the bulk of the division's sales, which encompass ducting systems operations, under the Nordfab brand, and the smaller filter solutions operations, under the Menardi brand. During the quarter, Nordfab's orders received and sales in the US developed strongly, both compared with the corresponding quarter last year and the immediately preceding quarter. New significant orders were secured in growth segments, a result of such factors as competitive production and logistics stemming from investments in the plant in Thomasville. Sales of the new spark arrestor Spark Trap 2.0 developed robustly and more than half of the volume of the phased out older product has now been converted.
In EMEA, both orders received and sales declined compared with a strong corresponding quarter last year. Development in the UK was unchanged, while there is still uncertainty in the EU concerning major investment projects in traditional industries. As a whole, the pipeline remains satisfactory, even though the central parts of Europe are showing signs of weakness.
In APAC, orders received continued to recover in Thailand, and sales increased compared with both the immediately preceding quarter and the corresponding quarter in 2023. Australia reported a weak quarter, with a decline in orders received. Orders of the ducting system Nordfab Quick Fit (QF), launched in October 2023, are developing according to plan. In the first quarter, the division's digital quotation and order tool, QTO, was launched, which is a key factor in efforts to develop the reseller network in the country.
Orders received for Menardi, the division's filter operation, declined in the US compared with the immediately preceding quarter and the corresponding quarter in 2023 but remain at historically high levels. New major orders were secured in the competitive cement industry during the quarter. Sales developed well, a result of earlier strong orders received, while efficient deliveries and high production utilisation led to sustained high profitability.
| SEKm | Note | 2024 | 1 Jan–31 Mar 2023 |
Currency neutral growth |
Organic growth |
Full year 2023 |
Apr–Mar 12 months |
|---|---|---|---|---|---|---|---|
| External orders received | 184.0 | 193.0 | -4.2% | -4.2% | 762.7 | 753.7 | |
| Total sales | 3 | 206.8 | 212.0 | -2.0% | -2.0% | 839.0 | 833.8 |
| Adjusted EBITA | 42.6 | 41.6 | 156.5 | 157.5 | |||
| Adjusted EBITA margin | 20.6% | 19.6% | 18.7% | 18.9% |
Nederman Monitoring & Control Technology offers advanced measurement technology of gases and particles and an IoT platform that consists of hardware and software that provide customers with information and insight into critical parameters and processes.
Brands: Nederman Insight, NEO Monitors, Auburn FilterSense and Gasmet
In the first quarter, orders received increased currency neutrally by 23.4 percent and sales increased currency neutrally by 9.6 percent. The adjusted EBITA margin was 14.9 percent (19.3).
The division's orders received in the quarter were the highest ever recorded for a single quarter, with a particularly strong performance for Gasmet among the division's brands and spearheaded by EMEA among the regions. Gasmet secured several major orders in such areas as carbon capture and the defence industry. The increase in the division's sales was mainly driven by NEO Monitors, which reported a new sales record in March following investments in increased production capacity. Despite strong orders received and sales, profitability declined. The main cause was a larger share of products with lower margins and more project sales. Profitability was also negatively affected by the port strike in Finland at the end of the quarter, which mainly halted Gasmet's system deliveries. The order backlog remains substantial and provides the conditions for positive sales development over the next few quarters. However, signs of a weaker economy in several markets could reduce demand.
Orders received for the quarter include several new orders for Gasmet's portable emissions analyser, GT6000 Mobilis. Moreover, new orders were secured in the biofuels industry, and for the incineration of medical waste. In parallel, NEO Monitors continued to develop closer partnerships with existing customers in oil and gas. The impact of both NEO Monitors and Gasmet is growing in India, where the current distributor has noted increased interest and sales. NEO Monitors is also growing in Korea and Japan.
In the different regions, orders received increased sharply in EMEA, driven by strong development for Gasmet and NEO Monitors. Sales also noted significant growth, primarily driven by rising activity for NEO Monitors and a strong performance for Gasmet's sales companies in the UK and Germany. Major orders in the region were secured in Norway, the UK and Switzerland. Also, in APAC orders received increased compared with the corresponding quarter in 2023 while sales were unchanged. Work to develop the division's distribution and sales organisation in China is beginning to generate increasingly clear results. For example, Gasmet's orders received were further strengthened, through several significant orders, and a new order was also secured in Singapore. NEO Monitors advanced its positions in Japan and Korea.
Americas noted slightly lower orders received but another strong quarter in terms of sales. The trend was mainly driven by major project deliveries for NEO Monitors, which also secured several major orders in the region in the quarter, which included customers in the chemicals sector in the US and a major aluminium manufacturer in Brazil. Sales declined for Gasmet and Auburn FilterSense.
| SEKm | Note | 2024 | 1 Jan–31 Mar 2023 |
Currency neutral growth |
Organic growth |
Full year 2023 |
Apr–Mar 12 months |
|---|---|---|---|---|---|---|---|
| External orders received | 233.9 | 190.2 | 23.4% | 23.4% | 739.7 | 783.4 | |
| Total sales | 3 | 186.6 | 170.9 | 9.6% | 9.6% | 732.8 | 748.5 |
| Adjusted EBITA | 27.8 | 32.9 | 152.6 | 147.5 | |||
| Adjusted EBITA margin | 14.9% | 19.3% | 20.8% | 19.7% |
Orders received during the period were SEK 1,519m (1,505), equivalent to currency neutral growth of 0.8 percent compared with the same period last year.
Sales for the quarter amounted to SEK 1,397m (1,482), equivalent to a currency neutral decline of 5.7 percent compared with the same period last year.
Adjusted EBITA amounted to SEK 174.0m (172.7). Adjusted EBITA margin was 12.5 percent (11.7).
Operating profit amounted to SEK 146.6m (127.1), corresponding to an operating margin of 10.5 percent (8.6).
Profit before tax increased to SEK 123.6m (104.2). Net profit was SEK 90.2m (77.8), which yielded earnings per share of SEK 2.57 (2.22).
Cash flow from operating activities amounted to SEK 95.1m (128.7). During the year's first quarter, there was a build-up of working capital amounting to a total of SEK 40.2m (24.4). The capital build-up was slightly higher than the corresponding period in the preceding year. This was primarily due to a slightly lower share of advance payments received from customers while stock build-up was on par with the comparative period. The year's other non-cash items include liquidation proceeds from a foreign subsidiary of SEK 10.7m (-), while the comparative period last year included a provision for a restructuring programme.
Cash flow from investing activities amounted to SEK -51.3m (-47.3).
Cash flow from financing activities amounted to SEK -136.0m (-63.9). During the quarter, net amortisation of bank loans and overdraft facilities totalled SEK 113.5m (41.4) while lease amortisation was on par with the comparative period.
Capital expenditure in intangible and tangible assets amounted to SEK 52.0m (47.2), of which capitalised development expenses amounted to SEK 13.7m (11.9).
At the end of the period, the group had SEK 748.2m in cash and cash equivalents as well as SEK 110.3m in available but unutilised overdraft facilities.
In addition, there was a credit facility of SEK 704.4m within the framework of Nederman's loan agreement with SEB and SHB. In 2024, loans were raised in the amount of SEK 3.5m and repayments amounted to SEK 100.0m.
Equity in the group as of 31 March 2024 amounted to SEK 2,582.3m (2,253.2). The total number of shares outstanding was 35,105,421 at the end of the period.
The equity/assets ratio for the group was 39.1 percent (35.9) as of 31 March 2024. The net debt/equity ratio was 51.4 percent (62.5).
The average number of employees during the period was 2,381 (2,328). The number of employees at the end of the period was 2,450 (2,419).
The group's parent company, Nederman Holding AB, does not conduct any operating activities but has central head office functions. The parent company owns and manages shares in subsidiaries. The parent company's net sales for the period amounted to SEK 5.2m (5.4) and is related to service revenue from subsidiaries. Net loss for the period amounted to SEK -14.6m (-38.0). The earnings improvement compared with the year-earlier period was mainly explained by the dividend received from subsidiaries of SEK 26.2m (-).
21 Q1 21 Q2 21 Q3 21 Q4 22 Q1 22 Q2 22 Q3 22 Q4 23 Q1 23 Q2 23 Q3 23 Q4 24 Q1
21 Q1 21 Q2 21 Q3 21 Q4 22 Q1 22 Q2 22 Q3 22 Q4 23 Q1 23 Q2 23 Q3 23 Q4 24 Q1
Quarter
Rolling four quarters
| SEKm 2024 Orders received 1,519.3 |
2023 1,504.5 1,482.0 172.7 |
2023 6,004.6 6,187.8 |
12 months 6,019.4 6,102.7 |
|---|---|---|---|
| Net sales 1,396.9 |
|||
| Adjusted EBITA 174.0 |
714.9 | 716.2 | |
| Adjusted EBITA margin 12.5% |
11.7% | 11.6% | 11.7% |
| Adjusted EBITDA 212.1 |
210.0 | 867.5 | 869.6 |
| Adjusted EBITDA margin 15.2% |
14.2% | 14.0% | 14.2% |
| Operating profit 146.6 |
127.1 | 592.8 | 612.3 |
| Operating margin 10.5% |
8.6% | 9.6% | 10.0% |
| Adjusted operating profit 146.6 |
147.5 | 610.0 | 609.1 |
| Adjusted operating margin 10.5% |
10.0% | 9.9% | 10.0% |
| Profit before tax 123.6 |
104.2 | 476.2 | 495.6 |
| Net profit 90.2 |
77.8 | 340.9 | 353.3 |
| Earnings per share, SEK 2.57 |
2.22 | 9.71 | 10.06 |
| Return on equity 14.6% |
14.0% | 15.0% | 14.6% |
| Return on operating capital 15.4% |
16.1% | 16.6% | 16.1% |
| Net debt | 1,332.4 | 1,327.4 | |
| Net debt/equity ratio | 56.2% | 51.4% | |
| Net debt/Adjusted EBITDA, multiple | 1.5 | 1.5 | |
| Interest-coverage ratio, multiple | 4.4 | 4.1 |
| 1 Jan–31 Mar | Full year | Apr–Mar | ||
|---|---|---|---|---|
| External orders received, SEKm | 2024 | 2023 | 2023 | 12 months |
| Americas | 575.3 | 602.0 | 2,323.8 | 2,297,1 |
| EMEA | 713.4 | 617.4 | 2,613.3 | 2,709.3 |
| APAC | 230.6 | 285.1 | 1,067.5 | 1,013.0 |
| Total Nederman group | 1,519.3 | 1,504.5 | 6,004.6 | 6,019,4 |
| 1 Jan–31 Mar | Full year | Apr–Mar | ||
|---|---|---|---|---|
| External net sales, SEKm | 2024 | 2023 | 2023 | 12 months |
| Americas | 561.4 | 567.4 | 2,423.4 | 2,417,4 |
| EMEA | 622.9 | 678.5 | 2,735.2 | 2,679.6 |
| APAC | 212.6 | 236.1 | 1,029.2 | 1,005.7 |
| Total Nederman group | 1,396.9 | 1,482.0 | 6,187.8 | 6,102,7 |
Demand and orders received remained favourable, while our base business and strong digital offering enable us to assert ourselves well in the current market. Even if the performance of our divisions remains positive, there is a risk that high inflationary pressure and a weaker economic outlook will impact customers' investment decisions. Moreover, the growing geopolitical uncertainty could eventually lead to increased protectionism. In view of our large order backlog and our ability to increase our share of sales in industries with good structural growth, we take a cautiously positive view of opportunities during the year.
Even if the outlook in our industry could be temporarily dampened by various external factors, the long-term potential remains. In a world with growing insight into the damage that poor air does to people, Nederman, with its leading industrial air filtration offering, has a key role to play and good possibilities for continued growth.
During the first quarter, Nederman group committed to the Science Based Targets initiative with the objective to be climate-neutral by 2050 at the latest, and is looking forward to the validation of the defined targets. An analysis of the climate impact of Nederman's value chain performed by the Swedish Environmental Research Institute (IVL), found that more than 99 percent of the value chain's greenhouse gas emissions are attributable to Scope 3 and that less than a half percentage are attributable to Scope 1 and 2*. The vast majority of Nederman's climate impact occurs in the user phase of Nederman products, for which reason product innovation and collaboration with customers will remain a key focus going forward.
* Scope 1, 2 and 3 is calculated in accordance with the Greenhouse Gas Protocol.
| Full year | Apr–Mar | |||
|---|---|---|---|---|
| 12 months | ||||
| 2.3 | 1,396.9 | 1,482.0 | 6,187.8 | 6,102.7 |
| -850.4 | -941.6 | -3,941.6 | -3,850.4 | |
| 546.5 | 540.4 | 2,246.2 | 2,252.3 | |
| -265.1 | -256.9 | -1,075.2 | -1,083.4 | |
| -122.6 | -112.7 | -472.4 | -482.3 | |
| -24.0 | -23.9 | -78.6 | -78.7 | |
| - | -20.0 | -14.4 | 5.6 | |
| 11.8 | 0.2 | -12.8 | -1.2 | |
| 146.6 | 127.1 | 592.8 | 612.3 | |
| 4 | -23.0 | -22.9 | -116,6 | -116,7 |
| 123.6 | 104.2 | 476.2 | 495.6 | |
| -33.4 | -26.4 | -135.3 | -142.3 | |
| 90.2 | 77.8 | 340.9 | 353.3 | |
| 90.2 | 77.8 | 340.9 | 353.3 | |
| 2.57 | 2.22 | 9.71 | 10.06 | |
| 2.57 | 2.22 | 9.71 | 10.06 | |
| 2.57 | 2.22 | 9.71 | 10.06 | |
| Note | 2024 | 1 Jan–31 Mar 2023 |
2023 |
| 1 Jan–31 Mar | Apr–Mar | |||
|---|---|---|---|---|
| SEKm | 2024 | 2023 | 2023 | 12 months |
| Net profit | 90.2 | 77.8 | 340.9 | 353.3 |
| Other comprehensive income | ||||
| Items that cannot be reclassified to net profit | ||||
| Revaluation of defined-benefit pension plans | - | - | 35.0 | 35.0 |
| Tax attributable to revaluation of defined-benefit pension plans | - | - | -7.0 | -7.0 |
| - | - | 28.0 | 28.0 | |
| Items that have been or can be reclassified to net profit | ||||
| Exchange differences arising on translation of foreign operations | 120.1 | -11.1 | -54.2 | 77.0 |
| 120.1 | -11.1 | -54.2 | 77.0 | |
| Other comprehensive income for the period, net of tax | 120.1 | -11.1 | -26.2 | 105.0 |
| Total comprehensive income for the period | 210.3 | 66.7 | 314.7 | 458.3 |
| Total comprehensive income attributable to: | ||||
| The parent company's shareholders | 210.3 | 66.7 | 314.7 | 458.3 |
| SEKm | Note | 31 Mar 2024 |
31 Mar 2023 |
31 Dec 2023 |
|---|---|---|---|---|
| Assets | ||||
| Goodwill | 2,079.3 | 2,012.9 | 2,017.8 | |
| Other intangible assets | 640.4 | 639.2 | 625.1 | |
| Tangible assets | 476.1 | 403.3 | 443.5 | |
| Right-of-use assets | 200.2 | 184.0 | 190.2 | |
| Long-term receivables | 8.4 | 4.2 | 8.2 | |
| Deferred tax assets | 139.2 | 116.4 | 127.7 | |
| Total fixed assets | 3,543.6 | 3,360.0 | 3,412.5 | |
| Inventories | 930.7 | 909.4 | 873.3 | |
| Accounts receivable | 5 | 826.8 | 783.5 | 788.8 |
| Other current receivables | 5 | 549.6 | 487.6 | 532.6 |
| Cash and cash equivalents | 5 | 748.2 | 740.8 | 815.2 |
| Total current assets | 3,055.3 | 2,921.3 | 3,009.9 | |
| Total assets | 6,598.9 | 6,281.3 | 6,422.4 | |
| Equity | 2,582.3 | 2,253.2 | 2,372.0 | |
| Liabilities | ||||
| Long-term interest-bearing liabilities | 5 | 1,788.9 | 1,875.0 | 1,862.6 |
| Long-term lease liabilities | 5 | 129.3 | 120.9 | 123.1 |
| Other long-term liabilities | 5 | 11.7 | 28.0 | 11.3 |
| Pension liabilities | 32.6 | 70.1 | 31.1 | |
| Other provisions | 35.3 | 27.8 | 37.5 | |
| Deferred tax liabilities | 122.7 | 113.1 | 120.0 | |
| Total long-term liabilities | 2,120.5 | 2,234.9 | 2,185.6 | |
| Current interest-bearing liabilities | 5 | 44.1 | 10.6 | 54.4 |
| Current lease liabilities | 5 | 80.7 | 72.5 | 76.4 |
| Accounts payable | 5 | 491.4 | 495.8 | 423.2 |
| Other short-term liabilities | 5 | 1,210.5 | 1,152.5 | 1,232.9 |
| Provisions | 69.4 | 61.8 | 77.9 | |
| Total short-term liabilities | 1,896.1 | 1,793.2 | 1,864.8 | |
| Total liabilities | 4,016.6 | 4,028.1 | 4,050.4 | |
| Total equity and liabilities | 6,598.9 | 6,281.3 | 6,422.4 |
| SEKm | 31 Mar 2024 |
31 Mar 2023 |
31 Dec 2023 |
|---|---|---|---|
| Opening balance at beginning of period | 2,372.0 | 2,186.5 | 2,186.5 |
| Net profit | 90.2 | 77.8 | 340.9 |
| Other comprehensive income | |||
| Change in translation reserve for the period | 120.1 | -11.1 | -54.2 |
| Revaluation of defined-benefit pension plans, net of tax | - | - | 28.0 |
| Total other comprehensive income for the period | 120.1 | -11.1 | -26.2 |
| Total comprehensive income for the period | 210.3 | 66.7 | 314.7 |
| Transactions with group owners | |||
| Dividend paid | - | - | -131.6 |
| Share-based payments | - | - | 2.4 |
| Closing balance at end of period | 2,582.3 | 2,253.2 | 2,372.0 |
| 1 Jan–31 Mar | Full year | Apr–Mar | ||
|---|---|---|---|---|
| SEKm Note |
2024 | 2023 | 2023 | 12 months |
| Operating profit | 146.6 | 127.1 | 592.8 | 612.3 |
| Adjustment for: | ||||
| Depreciation, amortisation and write-down of fixed assets | 65.5 | 62.5 | 258.5 | 261.5 |
| Other adjustments for non-cash items | -27.4 | 18.4 | 29.1 | -16.7 |
| Interest received and paid including other financial items | -18.5 | -11.9 | -81.9 | -88.5 |
| Taxes paid | -30.9 | -43.0 | -214.3 | -202.2 |
| Cash flow from operating activities before changes in working capital | 135.3 | 153.1 | 584.2 | 566.4 |
| Cash flow from changes in working capital | -40.2 | -24.4 | -7.9 | -23.7 |
| Cash flow from operating activities | 95.1 | 128.7 | 576.3 | 542.7 |
| Net investment in fixed assets | -51.8 | -47.3 | -198.3 | -202.8 |
| Acquisitions of business operations/repaid acquisition price | 0.5 | - | -38.4 | -37.9 |
| Cash flow from investing activities | -51.3 | -47.3 | -236.7 | -240.7 |
| Dividend paid | - | - | -131.6 | -131.6 |
| Cash flow from other financing activities | -136.0 | -63.9 | -92.6 | -164.7 |
| Cash flow from financing activities | -136.0 | -63.9 | -224.2 | -296.3 |
| Cash flow for the period | -92.2 | 17.5 | 115.4 | 5.7 |
| Cash and cash equivalents at beginning of period | 815.2 | 721.2 | 721.2 | 740.8 |
| Translation differences | 25.2 | 2.1 | -21.4 | 1.7 |
| Cash and cash equivalents at end of period | 748.2 | 740.8 | 815.2 | 748.2 |
This interim report for the group is prepared in accordance with IAS 34 Interim Financial Reporting and applicable provisions of the Swedish Annual Accounts Act. The interim report for the parent company has been prepared in accordance with Swedish Annual Accounts Act chapter 9 and RFR 2. The same accounting policies and valuation principles as described in the latest annual report, see also page 83 of the 2023 Annual Report, have been applied both to the group and the parent company. None of the new or revised standards, interpretations and improvements adopted by the EU have had any material impact on Nederman group.
Segment reporting is based on reports submitted to the group's senior executives. Nederman group is divided into four operating segments; Nederman Extraction & Filtration Technology, Nederman Process Technology, Nederman Duct & Filter Technology and Nederman Monitoring & Control Technology, which are described further on pages 4–7. The division is based on technology, customers and business logic with the aim of increasing both growth and profitability through simple structures and clear focus. Non-allocated items refer mainly to costs relating to the parent company, Nederman Holding AB, which includes the central head office functions.
| 1 Jan–31 Mar | Apr–Mar | |||
|---|---|---|---|---|
| External orders received, SEKm | 2024 | 2023 | 2023 | 12 months |
| Nederman Extraction & Filtration Technology | 615.7 | 597.4 | 2,581.2 | 2,599.5 |
| Nederman Process Technology | 485.7 | 523.9 | 1,921.0 | 1,882.8 |
| Nederman Duct & Filter Technology | 184.0 | 193.0 | 762.7 | 753.7 |
| Nederman Monitoring & Control Technology | 233.9 | 190.2 | 739.7 | 783.4 |
| Total Nederman group | 1,519.3 | 1,504.5 | 6,004.6 | 6,019.4 |
| 1 Jan–31 Mar | Full year | Apr–Mar | |||
|---|---|---|---|---|---|
| Total sales, SEKm | 2024 | 2023 | 2023 | 12 months | |
| Nederman Extraction & Filtration Technology | 636.2 | 614.4 | 2,582.5 | 2,604.3 | |
| Nederman Process Technology | 392.3 | 512.8 | 2,146.6 | 2,026.1 | |
| Nederman Duct & Filter Technology | 206.8 | 212.0 | 839.0 | 833.8 | |
| Nederman Monitoring & Control Technology | 186.6 | 170.9 | 732.8 | 748.5 | |
| Elimination | -25.0 | -28.1 | -113.1 | -110.0 | |
| Total Nederman group | 1,396.9 | 1,482.0 | 6,187.8 | 6,102.7 |
| 1 Jan–31 Mar | Apr–Mar | |||
|---|---|---|---|---|
| Adjusted EBITA, SEKm | 2024 | 2023 | Full year 2023 |
12 months |
| Nederman Extraction & Filtration Technology | 103.1 | 88.9 | 339.5 | 353.7 |
| Nederman Process Technology | 31.5 | 42.4 | 209.0 | 198.1 |
| Nederman Duct & Filter Technology | 42.6 | 41.6 | 156.5 | 157.5 |
| Nederman Monitoring & Control Technology | 27.8 | 32.9 | 152.6 | 147.5 |
| Other - non-allocated | -31.0 | -33.1 | -142.7 | -140.6 |
| Total Nederman group | 174.0 | 172.7 | 714.9 | 716.2 |
| 1 Jan–31 Mar | Full year | Apr–Mar | |||
|---|---|---|---|---|---|
| Adjusted EBITA margin | 2024 | 2023 | 2023 | 12 months | |
| Nederman Extraction & Filtration Technology | 16.2% | 14.5% | 13.1% | 13.6% | |
| Nederman Process Technology | 8.0% | 8.3% | 9.7% | 9.8% | |
| Nederman Duct & Filter Technology | 20.6% | 19.6% | 18.7% | 18.9% | |
| Nederman Monitoring & Control Technology | 14.9% | 19.3% | 20.8% | 19.7% | |
| Total Nederman group | 12.5% | 11.7% | 11.6% | 11.7% |
| Service and | 1 Jan–31 Mar 2024 | |||
|---|---|---|---|---|
| Total sales by segment and sales type, SEKm | Product sales | Solution sales | aftermarket | Total |
| Nederman Extraction & Filtration Technology | 222.7 | 275.5 | 138.0 | 636.2 |
| Nederman Process Technology | - | 262.1 | 130.2 | 392.3 |
| Nederman Duct & Filter Technology | 195.5 | 10.4 | 0.9 | 206.8 |
| Nederman Monitoring & Control Technology | 151.0 | 8.7 | 26.9 | 186.6 |
| Elimination | -10.4 | -12.2 | -2.4 | -25.0 |
| Total Nederman group | 558.8 | 544.5 | 293.6 | 1,396.9 |
| Service and | 1 Jan–31 Mar 2023 | |||
|---|---|---|---|---|
| Total sales by segment and sales type, SEKm | Product sales | Solution sales | aftermarket | Total |
| Nederman Extraction & Filtration Technology | 226.1 | 263.5 | 124.8 | 614.4 |
| Nederman Process Technology | - | 392.9 | 119.9 | 512.8 |
| Nederman Duct & Filter Technology | 189.9 | 15.7 | 6.4 | 212.0 |
| Nederman Monitoring & Control Technology | 140.0 | 5.6 | 25.3 | 170.9 |
| Elimination | -9.0 | -13.7 | -5.4 | -28.1 |
| Total Nederman group | 547.0 | 664.0 | 271.0 | 1,482.0 |
| Service and | Full year 2023 | |||
|---|---|---|---|---|
| Total sales by segment and sales type, SEKm | Product sales | Solution sales | aftermarket | Total |
| Nederman Extraction & Filtration Technology | 829.8 | 1,229.1 | 523.6 | 2,582.5 |
| Nederman Process Technology | - | 1,624.9 | 521.7 | 2,146.6 |
| Nederman Duct & Filter Technology | 772.4 | 59.1 | 7.5 | 839.0 |
| Nederman Monitoring & Control Technology | 583.3 | 47.2 | 102.3 | 732.8 |
| Elimination | -53.8 | -47.8 | -11.5 | -113.1 |
| Total Nederman group | 2,131.7 | 2,912.5 | 1,143.6 | 6,187.8 |
| Product sales | Sales are satisfied at the point in time. |
|---|---|
| Performance obligations are satisfied over time. Revenue is recognised according to the project's | |
| Solution sales | rate of progression towards completion. |
| Service and aftermarket | Sales are satisfied at the point in time. |
The Nederman group has subsidiaries in Turkey where the functional currency is Turkish Lira, which is classified as a hyperinflationary currency. This means that assets and liabilities, including goodwill and other consolidated surplus values and deficits, in Turkish Lira must be adjusted for inflation in order to reflect changes in purchasing power. Inflation and its effect on the group is monitored and assessed continually.
Pursuant to IAS 29, Nederman's subsidiary in Turkey was recognised after remeasurement for hyperinflation in the Group's financial statements. Assets and liabilities in Turkish Lira are based on cost. The index used for remeasurement of the financial statements is the consumer price index (CPI), which increased by 15.1 percent during the year. At the balance sheet date, the SEK-TRY exchange rate was 0.33.
Monetary net profit was recognised in net financial items in the consolidated income statement and amounted to an immaterial amount for the group.
| SEKm | Measured at fair value via income statement |
Derivatives that are used for hedge accounting |
Financial instruments not reported at fair value |
31 Mar 2024 Total carrying amount |
|---|---|---|---|---|
| Accounts receivable | - | - | 826.8 | 826.8 |
| Other current receivables | - | - | 268.5 | 268.5 |
| Cash and cash equivalents | - | - | 748.2 | 748.2 |
| Total | - | - | 1,843.5 | 1,843.5 |
| Bank loans | - | - | 1,833.0 | 1,833.0 |
| Other long-term liabilities | 8.5 | - | 3.2 | 11.7 |
| Lease liabilities | - | - | 210.0 | 210.0 |
| Accounts payable | - | - | 491.4 | 491.4 |
| Other short-term liabilities | 9.4 | - | 1,023.3 | 1,032.7 |
| Total | 17.9 | - | 3,560.9 | 3,578.8 |
No member of the Board of Directors or senior executives have or have had any direct or indirect participation in any business transaction with Group companies which is or was of an exceptional character with regard to terms and conditions that occurred during the year or in any previous financial year. Further, no group company has provided any loan, given any guarantees or entered into any surety relationships for any of the members of the Board of Directors or senior executives.
In addition to information on our reported IFRS results, we provide certain information on an underlying business performance basis. We believe that our underlying business performance measures provide meaningful supplemental information to both management, investors and other stakeholders. These underlying business performance measures should not be viewed in isolation or as substitutes to the equivalent IFRS measures, but should be used in conjunction with the most directly comparable IFRS measures in the reported results. This is a consistent application compared to previous periods. See page 22 for definitions.
| 1 Jan–31 Mar | Apr–Mar | ||||
|---|---|---|---|---|---|
| SEKm | 2024 | 2023 | 2023 | 12 months | |
| Operating profit | 146.6 | 127.1 | 592.8 | 612.3 | |
| Acquisition cost | 0.0 | 0.4 | 2.8 | 2.4 | |
| Restructuring costs | - | 20.0 | 14.4 | -5.6 | |
| Adjusted operating profit | 146.6 | 147.5 | 610.0 | 609.1 | |
| Adjusted operating profit | 146.6 | 147.5 | 610.0 | 609.1 | |
| Net sales | 1,396.9 | 1,482.0 | 6,187.8 | 6,102.7 | |
| Adjusted operating margin | 10.5% | 10.0% | 9.9% | 10.0% | |
| Operating profit | 146.6 | 127.1 | 592.8 | 612.3 | |
| Amortisation of intangible assets | 27.4 | 25.2 | 104.9 | 107.1 | |
| Acquisition cost | 0.0 | 0.4 | 2.8 | 2.4 | |
| Restructuring costs | - | 20.0 | 14.4 | -5.6 | |
| Adjusted EBITA | 174.0 | 172.7 | 714.9 | 716.2 | |
| Adjusted EBITA | 174.0 | 172.7 | 714.9 | 716.2 | |
| Net sales | 1,396.9 | 1,482.0 | 6,187.8 | 6,102.7 | |
| Adjusted EBITA margin | 12.5% | 11.7% | 11.6% | 11.7% |
| 1 Jan–31 Mar | Full year | Apr–Mar | ||
|---|---|---|---|---|
| SEKm | 2024 | 2023 | 2023 | 12 months |
| Operating profit | 146.6 | 127.1 | 592.8 | 612.3 |
| Depreciation and amortisation | 65.5 | 62.5 | 257.5 | 260.5 |
| EBITDA | 212.1 | 189.6 | 850.3 | 872.8 |
| EBITDA | 212.1 | 189.6 | 850.3 | 872.8 |
| Acquisition cost | 0.0 | 0.4 | 2.8 | 2.4 |
| Restructuring costs | - | 20.0 | 14.4 | -5.6 |
| Adjusted EBITDA | 212.1 | 210.0 | 867.5 | 869.6 |
| Adjusted EBITDA | 212.1 | 210.0 | 867.5 | 869.6 |
| Net sales | 1,396.9 | 1,482.0 | 6,187.8 | 6,102.7 |
| Adjusted EBITDA margin | 15.2% | 14.2% | 14.0% | 14.2% |
| Equity - closing balance | 2,372.0 | 2,582.3 | ||
| Total assets (balance sheet total) | 6,422.4 | 6,598.9 | ||
| Equity/assets ratio | 36.9% | 39.1% | ||
| Cash and cash equivalents | 815.2 | 748.2 | ||
| Long-term interest-bearing liabilities | 1,862.6 | 1,788.9 | ||
| Long-term lease liabilities | 123.1 | 129.3 | ||
| Pension liabilities | 31.1 | 32.6 | ||
| Current interest-bearing liabilities | 54.4 | 44.1 | ||
| Current lease liabilities | 76.4 | 80.7 | ||
| Net debt | 1,332.4 | 1,327.4 | ||
| Net debt | 1,332.4 | 1,327.4 | ||
| Equity - closing balance | 2,372.0 | 2,582.3 | ||
| Net debt/equity ratio | 56.2% | 51.4% | ||
| Equity - opening balance | 2,372.0 | 2,186.5 | 2,186.5 | 2,253.2 |
| Equity - closing balance | 2,582.3 | 2,253.2 | 2,372.0 | 2,582.3 |
| Equity - average | 2,477.2 | 2,219.9 | 2,279.3 | 2,417.8 |
| Net profit | 90.2 | 77.8 | 340.9 | 353.3 |
| Return on equity | 14.6% | 14.0% | 15.0% | 14.6% |
| Equity - average | 2,477.2 | 2,219.9 | 2,279.3 | 2,417.8 |
| Net debt - opening balance | 1,332.4 | 1,477.1 | 1,477.1 | 1,408.3 |
| Net debt - closing balance | 1,327.4 | 1,408.3 | 1,332.4 | 1,327.4 |
| Net debt - average | 1,329.9 | 1,442.7 | 1,404.8 | 1,367.9 |
| Operating capital - average | 3,807.1 | 3,662.6 | 3,684.1 | 3,785.7 |
| Adjusted operating profit Return on operating capital |
146.6 15.4% |
147.5 16.1% |
610.0 16.6% |
609.1 16.1% |
| Net debt | 1,332.4 | 1,327.4 | ||
| Adjusted EBITDA | 867.5 | 869.6 | ||
| Net debt/Adjusted EBITDA, multiple | 1.5 | 1.5 | ||
| Profit before tax | 476.2 | 495.6 | ||
| Financial expense | 147.1 | 157.8 | ||
| Acquisition cost | 2.8 | 2.4 | ||
| Restructuring costs | 14.4 | -5.6 | ||
| EBT excluding financial expenses, acquisition costs and restructuring costs | 640.5 | 650.2 | ||
| Financial expense | 147.1 | 157.8 | ||
| Interest-coverage ratio, multiple | 4.4 | 4.1 |
| 1 Jan–31 Mar | Full year | |||
|---|---|---|---|---|
| SEKm | 2024 | 2023 | 2023 | |
| Orders received, same period in previous year | 1,504.5 | 1,344.8 | 5,424.8 | |
| Change in orders received, organic | -14.4 | -44.0 | 80.7 | |
| Change in orders received, currency effects | 2.6 | 80.3 | 214.0 | |
| Change in orders received, acquisitions | 26.6 | 123.4 | 285.1 | |
| Orders received | 1,519.3 | 1,504.5 | 6,004.6 | |
| Order growth, organic | -1.0% | -3.3% | 1.5% | |
| Order growth, currency effects | 0.2% | 6.0% | 3.9% | |
| Order growth, acquisitions | 1.8% | 9.2% | 5.3% | |
| Order growth | 1.0% | 11.9% | 10.7% | |
| Net sales, comparative period previous year | 1,482.0 | 1,094.2 | 5,178.9 | |
| Change in net sales, organic | -103.4 | 184.1 | 452.1 | |
| Change in net sales, currency effects | 0.1 | 85.7 | 239.4 | |
| Change in net sales, acquisitions | 18.2 | 118.0 | 317.4 | |
| Net sales | 1,396.9 | 1,482.0 | 6,187.8 | |
| Sales growth, organic | -6.9% | 16.8% | 8.8% | |
| Sales growth, currency effects | 0.0% | 7.8% | 4.6% | |
| Sales growth, acquisitions | 1.2% | 10.8% | 6.1% | |
| Sales growth | -5.7% | 35.4% | 19.5% |
Nederman is exposed to a number of risks that could significantly impact the group's operations, earnings and financial position. Nederman conducts continuous risk assessments that include identifying the risks that impact the group and taking measures to manage these risks. Nederman does not calculate the economic value of all risks because many of them are highly complex and interrelated. However, the practical management of these risks is facilitated in several different ways, including through group-wide policies, business processes, training, internal controls, and processes for the audit and approval of reports. Nederman group's risks are organised into five categories: Strategic risks, Operating risks, Compliance risks, Financial risks and Cyber and information risks. For a more detailed description of these risks, refer to the Risk management section on pages 66–67 and in note 3 of the Nederman group's 2023 Annual and Sustainability Report.
No significant events have occurred after the end of the reporting period.
| 1 Jan–31 Mar | Full year | Apr–Mar | ||
|---|---|---|---|---|
| SEKm | 2024 | 2023 | 2023 | 12 months |
| Net sales | 5.2 | 5.4 | 21.2 | 21.0 |
| Administrative expenses | -50.8 | -43.7 | -185.3 | -192.4 |
| Research and development expenses | -0.1 | -3.0 | -0.1 | 2.8 |
| Other operating revenue and expenses | 0.5 | -0.5 | -2.5 | -1.5 |
| Operating profit/loss | -45.2 | -41.8 | -166.7 | -170.1 |
| Result from investment in subsidiaries | 26.2 | - | 98.2 | 124.4 |
| Other financial items | -0.3 | 0.3 | -49.7 | -50.3 |
| Profit/loss after financial items | -19.3 | -41.5 | -118.2 | -96.0 |
| Appropriations | - | - | 111.9 | 111.9 |
| Profit/loss before tax | -19.3 | -41.5 | -6.3 | 15.9 |
| Taxes | 4.7 | 3.5 | 9.7 | 10.9 |
| Net profit/loss | -14.6 | -38.0 | 3.4 | 26.8 |
| 1 Jan–31 Mar | Full year | Apr–Mar | ||
|---|---|---|---|---|
| SEKm | 2024 | 2023 | 2023 | 12 months |
| Net profit/loss | -14.6 | -38.0 | 3.4 | 26.8 |
| Other comprehensive income for the period, net of tax | - | - | - | - |
| Total comprehensive income for the period | -14.6 | -38.0 | 3.4 | 26.8 |
| 31 Mar | 31 Mar | 31 Dec | |
|---|---|---|---|
| SEKm | 2024 | 2023 | 2023 |
| Assets | |||
| Total fixed assets | 2,410.6 | 2,345.8 | 2,393.6 |
| Total current assets | 240.2 | 242.6 | 260.5 |
| Total assets | 2,650.8 | 2,588.4 | 2,654.1 |
| Equity | 882.4 | 984.8 | 897.0 |
| Liabilities | |||
| Total long-term liabilities | 1,089.7 | 1,104.7 | 1,089.2 |
| Total short-term liabilities | 678.7 | 498.9 | 667.9 |
| Total liabilities | 1768.4 | 1,603.6 | 1,757.1 |
| Total equity and liabilities | 2,650.8 | 2,588.4 | 2,654.1 |
| SEKm | 31 Mar 2024 |
31 Mar 2023 |
31 Dec 2023 |
|---|---|---|---|
| Opening balance at beginning of period | 897.0 | 1,022.8 | 1,022.8 |
| Net profit/loss | -14.6 | -38.0 | 3.4 |
| Other comprehensive income | |||
| Total other comprehensive income for the period | - | - | - |
| Total comprehensive income for the period | -14.6 | -38.0 | 3.4 |
| Transactions with owners | |||
| Dividend paid | - | - | -131.6 |
| Share-based payments | - | - | 2.4 |
| Closing balance at end of period | 882.4 | 984.8 | 897.0 |
| SEKm | 31 Mar 2024 |
31 Mar 2023 |
31 Dec 2023 |
|---|---|---|---|
| Pledged assets | none | none | none |
| Contingent liabilities | 158.8 | 159.2 | 162.7 |
Helsingborg, 25 April 2024
The Board of Directors
| MEASURE | DEFINITION | PURPOSE |
|---|---|---|
| Return on equity |
Net profit for the year after tax divided by average equity. | Return on equity shows the return on owners' capital in accounting terms. This measure is primarily used to analyse owner profitability over time. |
| Return on operating capital |
Adjusted operating profit as a percentage of average oper ating capital. |
A profitability measure that shows the return on the capital used to operate the core busi ness. Return on operating capital is one of Nederman group's long-term financial targets. |
| EBITA | Operating profit before amortisation and impairment of intangible assets. |
EBITA is reported because this is a measure often monitored by investors, analysts and other stakeholders to measure the company's financial results. The measure excludes the amortisation and impairment of intangible assets. |
| EBITA margin | EBITA as a percentage of sales. | |
| EBITDA | Operating profit before depreciation, amortisation and impairment. |
EBITDA is reported because this is a measure often monitored by investors, analysts and other stakeholders to measure the company's financial results. The measure excludes depreciation, amortisation and impairment, thereby showing the business's capacity to generate resources for investments and payment to financiers. |
| EBITDA margin | EBITDA as a percentage of net sales. | |
| Equity per share |
Equity divided by the average number of shares outstanding. | This measure shows how much equity is represented by each share. |
| Adjusted EBITA | Operating profit before amortisation and impairment of intangible assets, excluding acquisition and restructuring costs. |
Adjusted EBITA is deemed to provide a fair view of the underlying operation's earnings, whereby earnings exclude amortisation and impairment of intangible assets and non recurring items. This is a primary performance measure within the Nederman group in the internal control of the group and the segments. |
| Adjusted EBITA margin |
Adjusted EBITA as a percentage of sales. | The adjusted EBITA margin is one of the Nederman group's long-term profitability targets. Adjusted EBITA margin is deemed to provide a fair view of the underlying operation's prof itability, when this profitability excludes depreciation, amortisation and impairment, as well as income items that are non-recurring. This is a primary performance measure within the Nederman group in the internal control of the group and the segments. |
| Adjusted EBITDA | Operating profit before depreciation, amortisation and impairment, excluding acquisition and restructuring costs. |
Adjusted EBITDA is recognised because this is a measure often monitored by investors, analysts and other stakeholders to measure the company's financial results. The measure excludes depreciation, amortisation and impairment, as well as non-recurring items. The measure shows the business's capacity for investments and payment to financiers. |
| Adjusted EBITDA margin |
Adjusted EBITDA as percentage of sales. | |
| Adjusted EBITDA/ Net financial items |
Adjusted EBITDA divided by net financial items | The performance measure shows how many times current earnings (adjusted EBITDA) covers the company's net financial items. |
| Adjusted operating profit |
Operating profit excluding acquisition and restructuring cost. | Shows the result from operational activities excluding non-recurring items. |
| Adjusted operating margin |
Adjusted operating profit as a percentage of net sales. | |
| Capital turnover rate |
Net sales divided by average operating capital. | Shows the efficiency of the use of operating capital. |
| Net debt | Interest-bearing liabilities (including pensions) less cash and cash equivalents. |
The measurement shows debt and is used to monitor the debt trend and to identify the need for refinancing. This measure comprises a component of the debt ratio. |
| Net debt/ adjusted EBITDA |
Net debt divided by adjusted EBITDA. | The performance measure shows how many times greater net debt is in relation to adjusted EBITDA. This is a performance measure monitored by investors, analysts and other stakeholders. |
| Net debt /equity ratio |
Net debt divided by equity. | A measure that shows the loan-to-value ratio, which comprises the correlation between debt and equity. This makes it a measure of financial position and stability. A good level of net debt/equity ratio provides favourable conditions for growth opportunities, while the dividend policy can be upheld. |
| Operating capital | Equity plus net debt. | Operating capital shows how much capital there is in the operation. This measure is mainly used to calculate the return on operating capital. |
| Organic growth | Growth rate that does not come from acquisitions or currency effects, compared with the corresponding period in the preceding year. |
Organic growth enables a comparison over time for the companies that have been a part of the Nederman group for more than 12 months, excluding effects of changed exchange rates. The measure is used to show the ability to generate growth in existing operations. |
| Earnings per share (before dilution) |
Net profit for the year attributable to parent company shareholders in relation to the average number of shares outstanding. |
Earnings per share shows how much of the period's earnings that each share provides entitlement to. |
| Earnings per share (after dilution) |
Net profit for the year attributable to parent company shareholders in relation to the average number of shares outstanding plus the average number of convertibles and warrants, as calculated in accordance with IAS 33. |
|
| Interest-coverage ratio |
Profit before tax with a reversal of financial expenses and acquisition costs in relation to financial expenses. |
The performance measure shows the capacity to cover the financial expenses. The performance measure states how many times the group's earnings cover the financial expenses. |
| Operating profit | Operating profit after depreciation, amortisation and impairment. |
Shows the earnings from operational activities. |
| Operating margin | Operating profit as a percentage of net sales. | |
| Equity/assets ratio | Equity divided by total assets (balance sheet total). | This performance measure reflects the company's financial position and thus its long term payment capacity. A healthy equity/assets ratio, in other words, a strong financial position, provides the requirements to be able to manage weak economic periods and to capitalise on future growth opportunities. |
| Currency neutral growth |
Currency neutral growth is the growth rate that does not come from currency effects, compared with the correspond ing period in the preceding year. |
Currency neutral growth comprises organic growth plus growth from acquired subsidi aries, which are deemed to provide a fair view of the operations' development. Currency neutral growth is one of Nederman group's long-term financial targets. |
| Annual average | Average of the balance at the beginning and end of the year. |
A telephone conference regarding the report will be held, in English, Thursday 25 April 2024 at 10:00 a.m. CEST. Nederman's President and CEO, Sven Kristensson and CFO, Matthew Cusick will present the report and answer questions.
Please register on the link below if you wish to participate via teleconference. After registration you will be provided phone numbers and a conference ID to access the conference. You can ask questions verbally via the teleconference.
conference.financialhearings.com/teleconference/?id=50048539
If you wish to participate via webcast please use the link below. ir.financialhearings.com/nederman-holding-q1-report-2024
• Annual General Meeting 26 April 2024
• Interim report 2 12 July 2024
• Interim report 3 22 October 2024
This report contains forward-looking statements that are based on the current expectations of Nederman's management. Although management believes that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove correct. Accordingly, results could differ materially from those implied in the forward-looking statements as a result of, among other factors, changes in economic, market and competitive conditions, changes in the regulatory environment and other government actions, fluctuations in exchange rates and other factors.
Nederman is required to disclose the information provided herein according to the Swedish Securities Exchange and Clearing Operations Act and/or the Financial Instrument Trading Act. The information has been made public at 8:00 a.m. CEST on 25 April.
The interim report has not been reviewed by the company's auditor.
Sven Kristensson, CEO Telephone: +46 (0)42 18 87 00 e-mail: [email protected]
Matthew Cusick, CFO Telephone: +46 (0)42 18 87 00 e-mail: [email protected]
www.nedermangroup.com
Nederman Holding AB (publ), Box 602, 251 06 Helsingborg, Sweden Telephone: +46 (0)42 18 87 00 Swedish corporate identity no.: 556576-4205
Scan the QR code with your mobile phone and visit our YouTube channel.
Nederman is a world-leading environmental technology company that develops products and systems for advanced air filtration. Our products and solutions protect people, planet and production from the harmful effects of industrial processes. Our offering comprises individual products, complete future-proof IIoT solutions, project design, installation, commissioning and service.
Our head office is located in Helsingborg and we currently have about 2,500 employees, with manufacturing in 13 countries and sales in more than 50 markets through our own sales organisation, agents or resellers.
All of Nederman's products are designed to promote health and safety, enhance production efficiency and minimise the customers' environmental impact. We lead the development of digital products and solutions that future-proof our customers' operations in terms of energy use, recycling and compliance with regulatory requirements. Sales of individual products, small and medium-sized systems, and major system solutions with a high degree of customisation comprise the majority of the Group's sales. The sale of products and solutions provides a broad customer base that drives our service sales.
A key feature of our offering is the ability to guarantee our customers the highest possible availability for their solutions. Our starting point is that we must be the alternative that offers the customer the lowest total cost over the life cycle of the solution. In addition to high-quality products, this means that we offer qualified service with a high level of availability to ensure continuous operation. The offering includes technical service, service contracts, spare parts and consumables.
Since the start, Nederman has developed a broad and competitive product programme. This programme, combined with a comprehensive sales network and significant investments in new technology, is the foundation for our leading position in a global market. Size and market breadth give us economies of scale in terms of product development, purchasing and production. Nederman is already the segment leader in EMEA, but is now also second-largest in the vital Americas market and in the top five in APAC. This provides a strong platform on which to build further.
Today, Nederman addresses its market with a strong portfolio of brands. Our strategy is that each individual brand is to bring cutting-edge competence to the Group in a specific product area or market segment. Accordingly, we have the possibility to meet many different customer needs and market segments, in both mature and emerging markets. The brand portfolio is continuously evaluated, while we simultaneously actively analyse potential acquisitions.
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