Slides
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Internal ASSA ABLOY Q1 interim report 2025 Download our IR app
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Internal Stable organic sales development – Strong sales growth in Global Technologies – Good sales growth in Americas – Stable sales in EMEIA and Entrance Systems – Sales decline Asia Pacific Improved underlying operating margin – 140bps dilution from acquisitions and divestments Solid but seasonally weaker cash flow – Inventory build up due to tariff uncertainty 6 acquisitions completed MFP10 launched 2 Strong performance in challenging market conditions
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Internal Q1 2025 figures in summary Sales MSEK 37,940 +8% – +2% organic sales – +5% acquired and divested – +1% currency EBITA-margin* 15.9% (16.3%) EBIT-margin* 14.9% (15.4%) EBIT* MSEK 5,645 +4% EPS* SEK 3.20 +3% 35 200 37 940 5 427 5 645 4 500 5 000 5 500 6 000 6 500 7 000 20 000 22 000 24 000 26 000 28 000 30 000 32 000 34 000 36 000 38 000 40 000 Q1 2024 Q1 2025 Sales, MSEK EBIT*, MSEK 3 Sales +8% EBIT* +4% *Excluding items affecting comparability
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Internal Sales by region Jan-Mar 2025 4 ASSA ABLOY 100 7 2 Emerging markets 12 2 1 Emerging markets follow IMF’s definition as per 2018-12-31 54 7 2 3 6 7 33 8 2 1 0 8 6 -3 -6 3 4 -1 Share of sales, % Change in local currencies QTD 2025 vs. QTD 2024, % Organic change QTD 2025 vs. QTD 2024, %
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Internal 5 Q1 2025 Market highlight Baldwin Hardware joins forces with Level Lock Hidden technology, flawless design Seamless connectivity Smart home integration Best in class security
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Internal Entrance Systems launched Insight Mobile App Digital remote control and access management of doors Effortless access for users and management ASSA ABLOY is unique as a full solution provider – Door + Insight Mobile + Service – We install, onboard and support the entire door solution 6 Q1 2025 Market highlight
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Internal FX adjusted sales growth 7 60 000 70 000 80 000 90 000 100 000 110 000 120 000 130 000 140 000 150 000 -20 -15 -10 -5 0 5 10 15 20 25 30 2020 2021 2022 2023 2024 2025 Organic growth, % Acquired growth, % Sales in fixed currencies R12M, MSEK MSEK% Sales R12M +57% vs 2020
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Internal Operating margin 8 10 11 12 13 14 15 16 17 18 19 2020 2021 2022 2023 2024 2025 Quarter EBIT Rolling 12-months EBITA Rolling 12-months Run rate: EBIT-margin 16.0% (15.6%)% Long term target range (average) 17.0% EBITA-margin run rate Excluding items affecting comparability
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Internal 0 2 500 5 000 7 500 10 000 12 500 15 000 17 500 20 000 22 500 25 000 0 1 000 2 000 3 000 4 000 5 000 6 000 7 000 2020 2021 2022 2023 2024 2025 Quarter Rolling 12-months MSEKMSEK Operating profit 9 Run rate EBIT up 106% vs 2020 Excluding items affecting comparability
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Internal Active pipeline – 6 acquisitions completed in Q1 – Representing annualized sales of MSEK 3,600 Divestment of Citizen ID – Divestment loss before taxes of MSEK 50 10 Acquisitions
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Internal US-based provider of precision-engineered connected asset protection and access control solutions Adds complementary products and solutions to our core business Sales of MSEK 1,850 in 2024 Accretive to EPS from the start 11 InVue
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Internal German supplier of access control handles, knobs, and corresponding software Adds complementary products and solutions to our core business Increases our electromechanical presence in Germany Sales of MSEK 240 in 2024 Accretive to EPS from the start 12 Uhlmann & Zacher
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Internal Stable organic sales – Strong sales growth in Central Europe and the Nordics – Stable sales growth in UK/Ireland – Sales decline in South Europe and Middle East, India and Africa Operating margin* 13.8% (13.7%) – Strong operating leverage (+60bps) due to positive mix, price realization and operational efficiencies – FX -30bps – M&A -20bps 13 Opening Solutions EMEIA 17% of Group sales Excluding items affecting comparability 5% 7% 9% 11% 13% 15% 17% 1 000 1 500 2 000 2 500 3 000 3 500 4 000 4 500 5 000 5 500 6 000 6 500 Q1 23 Q2 23 Q3 23 Q4 23 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Sales, MSEK Operating margin, % *Excluding items affecting comparability
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Internal Organic sales 2% – Strong sales growth in Latin America and North America Non-Residential segment – Sales decline in North America Residential segment Operating margin* 17.1% (18.1%) – Negative operating leverage (-20bps) due to investments in R&D and sales, and negative volumes in the North America Residential segment – FX +30 bps – M&A -110 bps Level Lock (integration costs and investments in R&D) 16% 17% 18% 19% 20% 21% 22% 3 000 4 000 5 000 6 000 7 000 8 000 9 000 10 000 11 000 12 000 Q1 23 Q2 23 Q3 23 Q4 23 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Sales, MSEK Operating margin, % 14 Opening Solutions Americas 29% of Group sales *Excluding items affecting comparability Excluding items affecting comparability
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Internal Organic sales -5% – Stable sales growth in Pacific & North East Asia – Significant sales decline in Greater China & South East Asia Operating margin* 4.1% (5.1%) – Negative operating leverage (-50bps) due to volume decline – FX -50bps Weaker AUD – No M&A -10% -5% 0% 5% 10% 15% 1 000 1 500 2 000 2 500 3 000 Q1 23 Q2 23 Q3 23 Q4 23 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Sales, MSEK Operating margin, % 15 Opening Solutions Asia Pacific 5% of Group sales *Excluding items affecting comparability Excluding items affecting comparability
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Internal Organic sales +8% – Very strong sales growth in Global Solutions – Strong sales growth in HID Operating margin* 13.7% (15.4%) – Very strong operating leverage (+100bps) driven by strong price realization and operational efficiencies – FX +10bps – M&A -280bps Capital loss from the divestment of Citizen ID One-off acquisition and integration costs 8% 10% 12% 14% 16% 18% 20% 2 000 2 500 3 000 3 500 4 000 4 500 5 000 5 500 6 000 6 500 Q1 23 Q2 23 Q3 23 Q4 23 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Sales, MSEK Operating margin, % 16 Global Technologies 16% of Group sales *Excluding items affecting comparability Excluding items affecting comparability
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Internal Organic sales 0% – Very strong sales growth in Perimeter Security – Good sales growth in Pedestrian – Stable sales in Doors & Automation1 – Sales decline in Industrial – Good sales growth in service Operating margin* 16.8% (17.0%) – Excellent operating leverage (+140bps) driven by positive mix, price/cost, and operational efficiencies – FX +30bps – M&A -190bps SKIDATA 17 Entrance Systems 33% of Group sales 11% 12% 13% 14% 15% 16% 17% 18% 5 000 6 000 7 000 8 000 9 000 10 000 11 000 12 000 13 000 14 000 Q1 23 Q2 23 Q3 23 Q4 23 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Sales, MSEK Operating margin, % 1Previously named Residential *Excluding items affecting comparability Excluding items affecting comparability
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Internal Financial summary 18 FX & acquisition ‘run-rate’ effects in Q1 2025 (31 Mar 2025): SALES FX: -5% M&A: 6% *Excluding items affecting comparability January-March* SEK M 2024 2025 Change Sales 35,200 37,940 8% - Organic growth -762 607 2% - Acquired net growth 3,607 1,709 5% - FX-differences -35 424 1% Operating income (EBIT) 5,427 5,645 4% EBITA-margin 16.3% 15.9% -0.4 pts EBIT-margin 15.4% 14.9% -0.5 pts Income before tax 4,616 4,766 3% Net income 3,462 3,551 3% EPS, SEK 3.12 3.20 3% Operating cash flow 3,096 2,424 -22% ROCE (12 months) 14.6% 14.2% -0.4 pts
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Internal Bridge analysis – Q1 2025 19 MSEK Q1 2024 Organic Currency Acq/div Q1 2025 Growth 9% 2% 1% 5% 8% Sales 35,200 607 424 1709 37,940 Operating income* 5,427 361 103 -246 5,645 Operating margin, %* 15.4% 60% 24.2% -14.4% 14.9% Dilution/accretion 0.7 pts 0.2 pts -1.4 pts Sales drivers Price +1% and volume +1% Margin drivers Organic – good accretive effect driven by price realization, positive mix effects and operational efficiencies M&A – dilution from SKIDATA, Level Lock and one-off acquisition and integration costs related to other acquisitions (InVue). Capital loss from the divestment of Citizen ID. *Excluding items affecting comparability
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Internal Cost breakdown as % of sales – Q1 2025 20 % QTD 2024 QTD 2025 excl. acq/div Δ QTD 2025 Direct material -33.9% -32.4% +1.5pts -32.5% Conversion cost -24.8% -24.8% 0.0 pts -24.7% Gross margin 41.3% 42.8% +1.5 pts 42.8% S, G & A -25.9% -26.5% -0.6 pts -27.9% EBIT* 15.4% 16.3% +0.9 pts 14.9% • Direct material – strong positive mix effect (~50bps), lower material costs and price realization • Conversion cost – inflation and higher wage costs offset by operational efficiencies • S, G & A – inflation and investments in the sales organization *Excluding items affecting comparability.
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Internal Launch of the 10th Manufacturing Footprint Program 21 Restructuring projects from all divisions – 10 factory closures – 16 office and warehouse closures – 27 “conversion to assembly” projects Financial effects – Restructuring costs of MSEK 1,332 – Total annualized savings of SEK ~1bn by end of 2027 – Payback time less than 2 years Manning reduction of ~1,300 persons
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Internal Operating cash flow, MSEK 22 -1 500 1 000 3 500 6 000 8 500 11 000 13 500 16 000 18 500 21 000 23 500 26 000 0 1 000 2 000 3 000 4 000 5 000 6 000 7 000 8 000 9 000 2020 2021 2022 2023 2024 2025 Quarter, MSEK Cash rolling 12 months, MSEK EBT* rolling 12 months, MSEK 12 months cash flow / EBT* = 106%Quarter 12 months *Excluding items affecting comparability.
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Internal Gearing % and net debt, MSEK 23 0 10 20 30 40 50 60 70 80 0 10 000 20 000 30 000 40 000 50 000 60 000 70 000 80 000 2020 2021 2022 2023 2024 2025 Net debt, MSEK Gearing, % Net debt Gearing %Net debt/Equity 70% (68%) Net debt/EBITDA* 2.4 (2.4) *Excluding items affecting comparability
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Internal Earnings per share, SEK 24 2 4 6 8 10 12 14 16 0,50 1,00 1,50 2,00 2,50 3,00 3,50 4,00 2020 2021 2022 2023 2024 2025 Quarter, SEK Rolling 12 months, SEK Quarter 12 months Excluding items affecting comparability
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Internal Strong sales growth of 8% Operating margin of 14.9% – 140bps M&A dilution, largely temporary MFP10 launched – Savings of SEK 1bn Solid but seasonally low operating cash flow Challenging and uncertain market conditions Capital Markets Day November 19, 2025 Registration open assaabloy.com/investors 25 Conclusions
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Internal Q&A
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Internal Appendix
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Internal Cost breakdown as % of sales 28 % QTD 2024 QTD 2025 excl. acquisitions Δ QTD 2025 Direct material -33.9% -32.4% +1.5pts -32.5% Conversion cost -24.8% -24.8% 0.0 pts -24.7% Gross margin 41.3% 42.8% +1.5 pts 42.8% S, G & A -25.9% -26.5% -0.6 pts -27.9% EBIT* 15.4% 16.3% +0.9 pts 14.9% *Excluding items affecting comparability.
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Internal Opening Solutions EMEIA’s bridge 29 MSEK Q1 2024 Organic Currency Acq/Div Q1 2025 Growth 0% 0% 1% 3% 4% Sales 6,216 27 39 183 6,464 Operating income* 850 40 -8 12 894 Operating margin, %* 13.7% 150.1% -21.5% 6.6% 13.8% Dilution/accretion 0.6pts -0.3pts -0.2pts 12 months figures Sales 24,818 25,346 EBIT* 3,380 3,597 Operating cash flow before paid interest 4,224 3,636 Cash flow/EBIT* 125% 101% * Excluding items affecting comparability
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Internal Opening Solutions Americas’ bridge 30 MSEK Q1 2024 Organic Currency Acq/Div Q1 2025 Growth 34% 2% 2% 2% 6% Sales 10,532 225 181 232 11,171 Operating income* 1,910 19 64 -78 1,915 Operating margin, %* 18.1% 8.3% 35.4% -33.4% 17.1% Dilution/accretion -0.2pts 0.3pts -1.1pts 12 months figures Sales 40,680 44,979 EBIT* 7,389 8,212 Operating cash flow before paid interest 8,021 7,460 Cash flow/EBIT* 109% 91% * Excluding items affecting comparability
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Internal Opening Solutions Asia Pacific’s bridge 31 MSEK Q1 2024 Organic Currency Acq/Div Q1 2025 Growth -15% -5% 0% 0% -5% Sales 2,048 -106 -7 0 1,936 Operating income* 105 -15 -11 0 80 Operating margin, %* 5.1% 13.7% 157.9% N/A 4.1% Dilution/accretion -0.5pts -0.5pts 0.0pts 12 months figures Sales 9,921 9,008 EBIT* 657 594 Operating cash flow before paid interest 1,424 744 Cash flow/EBIT* 217% 125% * Excluding items affecting comparability
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Internal Global Technologies’ bridge 32 MSEK Q1 2024 Organic Currency Acq/Div Q1 2025 Growth -3% 8% 2% 5% 15% Sales 5,433 436 93 295 6,258 Operating income* 839 118 24 -125 855 Operating margin, %* 15.4% 26.9% 25.3% -42.5% 13.7% Dilution/accretion 1.0pts 0.1pts -2.8pts 12 months figures Sales 22,951 25,003 EBIT* 3,896 4,239 Operating cash flow before paid interest 4,010 4,822 Cash flow/EBIT* 103% 114% * Excluding items affecting comparability
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Internal Entrance Systems’ bridge 33 MSEK Q1 2024 Organic Currency Acq/Div Q1 2025 Growth 4% 0% 1% 9% 10% Sales 11,442 22 123 999 12,586 Operating income* 1,944 185 36 -55 2,109 Operating margin, %* 17.0% 845.0% 28.9% -5.5% 16.8% Dilution/accretion 1.4pts 0.3pts -1.9pts 12 months figures Sales 47,071 50,594 EBIT* 7,965 8,657 Operating cash flow before paid interest 10,161 9,758 Cash flow/EBIT* 128% 113% * Excluding items affecting comparability
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Internal Thank you assaabloy.com