Bufab Ab · OMXSTO:BUFAB
Bufab Ab — Q3 2014 Earnings Presentation
22 slides from Bufab Ab's earnings presentation, Nov 4, 2014
Slide 1: Q3 2014 Presentation
Q3 2014 Presentation Värnamo, November 4, 2014
Slide 2: Who we are
Third quarter Who we are Bufab is a leading Supply Chain Partner. We provide C-Parts, covering everything from traditional fasteners to complicated processed and assembled components in different materials, and services to the industry worldwide, providing solutions in manufacturing, quality, sourci
Slide 3: Bufab Group
Third quarter Bufab Group Established Approx 2 000 in 1977 MSEK in turnover Around 800 Headquarters in 120 000 employees Värnamo, Sweden articles 30 wholly owned Listed on the 12 000 In-house subsidiaries in stock exchange customers production 23 countries 3
Slide 4: Volume vs. value
Third quarter Volume vs. value 4
Slide 5: Global Parts Productivity™
Third quarter Global Parts Productivity™ Global Over Supplier 120 000 Network C-Parts Lower total cost Secured quality Reliable delivery Less complexity Focus on core CUSTOMER SATISFACTION In-house Production 5
Slide 6: Financial targets
Third quarter Financial targets Sales growth Bufab’s goal is to achieve average annual organic growth over a business cycle exceeding the growth of the manufacturing +3 ppt industry in countries where Bufab is active by three percentage points. In addition, Bufab intends to grow through acquisitions
Slide 7: Bufab´s Strategy
Third quarter Bufab´s Strategy Quality and Customer First! Accelerated organic 2 Improved cost/capital Value-adding Growth Efficiency Acquisitions • New Business Growth - • Consolidate Sourcing • Good Base Performance Customer Value Creation • Growth Synergies • Logistics Productivity • Products • A
Slide 8: Financial highlights, Group
Third quarter Financial highlights, Group 12 month Δ Jan-Sep Δ Full year Δ Quarter 3 rolling SEK millions 2014 2013 % 2014 2013 % 2013/14 2013 % Order intake 528 503 5.0 1,656 1 553 6.7 2,175 2,072 5.0 Net sales 536 490 9.4 1,667 1 519 9.7 2,178 2,031 7.3 Gross margin, % 28.4 28.2 29.5 29.0 29.7 29.
Slide 9: Financial development, Group
Third quarter Financial development, Group Quarterly year-on-year net sales growth, %* 2500 15 15 10 2000 12 10 8 LTM Net sales, SEK millions 6 6 1500 9 5 4 Margin, % 1000 6 0 -1 500 3 -5 -6 -6 -8 0 0 -10 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2012 2012 2013 2013 2013 2013 2014 2014 2
Slide 10: Segment Sweden
Third quarter Segment Sweden Quarter 3 Δ Jan-Sep Δ 12 month Δ rolling SEK millions 2014 2013 % 2014 2013 % 2013/14 2013 % Order intake* 212 237 -10.2 736 757 -2.8 977 998 -2.1 Net sales* 220 218 1.2 752 727 3.5 995 970 2.6 Adjusted operating profit 29 31 -6.1 117 103 13.3 157 143 9.6 Adjusted operat
Slide 11: Financial development, segment Sweden
Third quarter Financial development, segment Sweden Quarterly year-on-year net sales growth, % 2000 20 15 10 1500 15 LTM Net sales, SEK millions 6 5 Margin, % 3 1000 10 2 1 0 -2 500 5 -5 -6 -7 -6 -9 0 0 -10 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2012 2012 2013 2013 2013 2013 2014 2014
Slide 12: Segment International
Third quarter Segment International Quarter 3 Δ Jan-Sep Δ 12 month Δ rolling SEK millions 2014 2013 % 2014 2013 % 2013/14 2013 % Order intake* 316 267 18.5 921 797 15.6 1,198 1,074 11.5 Net sales* 316 272 15.9 914 792 15.4 1,183 1,061 11.5 Adjusted operating profit 23 27 -13.6 63 64 -2.4 82 83 -1.9
Slide 13: Financial development, segment International
Third quarter Financial development, segment International Quarterly year-on-year net sales growth, %* 2000 20,0 15 14 14 13 10 10 1500 15,0 LTM Net sales, SEK millions 6 5 5 Margin, % 1000 10,0 0 500 5,0 -5 -5 -6 -7 0 0,0 -10 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2012 2012 2013 2013
Slide 14: Net working capital
Third quarter Net working capital 1000 50,0% 800 45,0% As of % of net sales 600 40,0% SEK millions 400 35,0% 200 30,0% 0 25,0% Q2 2012 Q3 2012 Q4 2012 Q1 2013 Q2 2013 Q3 2013 Q4 2013 Q1 2014 Q2 2014 Q3 2014 Net Working Capital As of % of net sales 14
Slide 15: Summary Q3 2014
Third quarter Summary Q3 2014 Strong growth in a weaker market – increased market shares Order intake in Sweden weaker than net sales Margin somewhat weaker than strong Q3 2013 Increased earnings per share 15
Slide 16: BACK UP
BACK UP 16
Slide 17: Consolidated income statement
Third quarter Consolidated income statement Quarter 3 SEK millions 2014 2013 Net sales 536 490 Cost of goods sold -384 -352 Gross profit 152 138 Distribution costs -77 -61 Administrative expenses -28 -29 Other operating income 6 8 Other operating expenses -5 -5 Operating profit Note 1 48 51 Profit/l
Slide 18: Consolidated balance sheet
Third quarter Consolidated balance sheet 30-sep-14 30-sep-13 31-dec-13 SEK millions ASSETS Non-current assets Intangible assets 745 739 739 Property, land and equipment 144 130 145 Financial assets 25 26 25 Total non-current assets 914 895 909 Current assets Inventories 670 585 626 Current receivabl
Slide 19: Key figures
Third quarter Key figures Quarter3 Δ 2014 2013 % Order intake, SEK million 528 503 5,0 Net sales, SEK million 536 490 9,4 Gross profit, SEK million 152 138 10,1 Adjusted EBITDA, SEK million 56 57 -2,8 Operating profit, SEK million 48 51 -6,5 Adjusted operating profit, SEK million 48 49 -3,7 Profit a
Slide 20: Expected market growth for Supply Chain Partners in Europe of 6-7%
Third quarter Expected market growth for Supply Chain Partners in Europe of 6-7% Fundamental trend for C-Parts supply chain solutions… …drive strong growth for Supply Chain Partners* % of direct material cost In-house production Direct sourcing from ~4% manufacturer Wholesaler ~6-7% Supply Chain Par
Slide 21: Improved cost/capital efficiency
Strategy - Efficiency Improved cost/capital efficiency Improved cost/capital Efficiency • Consolidate Sourcing • Logistics Productivity • Common Tools & Processes Consolidate Sourcing Logistics Productivity Common Tools & Processes 21
Slide 22: Case: Global leader in power and automation technologies
Third quarter Case: Global leader in power and automation technologies Started 2005 with 3 countries and Geographical expansion Sales development 9 MSEK in sales 2005-2012 2005-2012 2013 Bufab delivered in 18 countries with sales of > 120 MSEK Started as supplier of commodity 2005 In 2013 Bufab prov