Slides
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FINANCIAL REPORT 1 April – 30 June 2025 16 July 2025 Magnus Söderlind – CEO Peter Schön - CFO 1
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HIGHLIGHTS First Quarter 2025/2026 2 Increased earnings, profitability & EPS ❖ Turnover increased 5 percent ❖ EBITA increased 9 percent – 22 consecutive quarter with improved profits ❖ EBITA margin 9.9 percent (9.5) ❖ EBIT and EBT increased 3 percent ❖ Profitability (P/WC) increased 5 percentage units to 32 percentage ❖ EPS R12 (adjusted) improved to SEK 8.30 (7.40) before dilution ❖ The competition authorities approved the divestment of the Skydda companies. Ahlsell has taken over as owner on July 1.
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HIGHLIGHTS First Quarter 2025/2026 3 Increased earnings, profitability & EPS Market remains sluggish ❖ No signs of general pick up, either in the Construction nor Industry sectors in the Nordics Diamonds are formed under pressure ❖ Company-by–Company by our (Focus) capital allocation model ❖ Four acquisitions, one after end of period, annual sales ~ MSEK 300
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Annual Revenue EBITA P/WC Division MSEK % % Safety Ontec Technology 45 >>>15 >>>45 Core Raintite Solutions 90 >15 >>45 Industrial Mann & Co Equipment 30 ~15 45 Core H C Coils Solutions 135 >15 >>45 Total 300 FOUR ACQUISTIONS FY2526– ON ACQUISITION TARGET OF MSEK 50–80 Q1 Q2
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22 CONSEQUTIVE QUARTERS WITH INCREASED EBITA EBITA per quarter MSEK% 5 37 57 64 66 68 73 78 81 84 88 91 84 103 104 105 107 110 116 119 120 121 125 130 0 20 40 60 80 100 120 140 0 2 4 6 8 10 12 14 Q3 19/20 Q4 Q1 20/21 Q2 Q3 Q4 Q1 21/22 Q2 Q3 Q4 Q1 22/23 Q2 Q3 Q4 Q1 23/24 Q2 Q3 Q4 Q1 24/25 Q2 Q3 Q4 Q1 25/26 EBITA EBITA % 94 ❖ EBITA increased by 9 percent to MSEK 130 (119) ❖ EBITA CAGR 20 percent ❖ EBITA margin totalled 9.9 percent (9.5)
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FIVE PERCENTAGE REVENUE GROWTH DESPITE A CONTINUED SLUGGISH UNDERLYING MARKET Revenue per quarter 800 900 1,000 1,100 1,200 1,300 1,400 Q1 20/21 Q2 Q3 Q4 Q1 21/22 Q2 Q3 Q4 Q1 22/23 Q2 Q3 Q4 Q1 23/24 Q2 Q3 Q4 Q1 24/25 Q2 Q3 Q4 Q1 25/26 Revenue Revenue Trend Quarterly Revenue, % -3 -3 11 5 Organic Currency Acquisitions Actual MSEK 6
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OWN PRODUCTS SHARE AT TARGET LEVEL NEW CUSTOMER ONBOARDING DRIVES ONE-OFF GROSS MARGIN EFFECTS Gross margin per quarter 30 32 34 36 38 40 42 44 46 48 50 Q1 20/21 Q2 Q3 Q4 Q1 21/22 Q2 Q3 Q4 Q1 22/23 Q2 Q3 Q4 Q1 23/24 Q2 Q3 Q4 Q1 24/25 Q2 Q3 Q4 Q1 25/26 GM GM Trend Revenue per type of products Rolling 12 months % 7 70% 72% 74% 75% 30% 28% 26% 25% 31 Mar 2023 31 Mar 2024 31 Mar 2025 30 Jun 2025 Own Proprietary Products Other Products 75% OWN PRODUCTS latest FY2526
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GROUP TARGET OVERVIEW AND STATUS 8 EBIT EBIT- margin P/WC 500 MSEK latest FY2526 >10% latest FY2526 45% latest FY2627 216 236 189 247 298 339 372 399 402 500 0 100 200 300 400 500 600 17/18 18/19 19/20 20/21 21/22 22/23 23/24 24/25 2506 R12 25/26 5.6 6.0 4.7 5.7 6.5 7.1 7.9 8.0 8.0 10 0 2 4 6 8 10 12 17/18 18/19 19/20 20/21 21/22 22/23 23/24 24/25 2506 R12 25/26 20 22 16 20 22 21 26 31 32 45 0 10 20 30 40 50 17/18 18/19 19/20 20/21 21/22 22/23 23/24 24/25 2506 R12 26/27
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EPS continues to improve 9 1.50 1.45 1.60 1.60 1.80 1.90 1.90 2.00 2.05 1.80 2.05 1.90 1.70 1.80 1.95 1.70 1.95 1.95 2.00 2.30 2.10 0.00 1.00 2.00 3.00 4.00 5.00 6.00 7.00 8.00 9.00 Q1 20/21 Q2 Q3 Q4 Q1 21/22 Q2 Q3 Q4 Q1 22/23 Q2 Q3 Q4 Q1 23/24 Q2 Q3 Q4 Q1 24/25 Q2 Q3 Q4 R12 Q1 25/26 EPS Q R12 SEK
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INVENTORY LEVEL – YoY ORGANIC REDUCTION BY MSEK 30 ❖ Inventory amounted to MSEK 1,158 (1,127) ❖ Organic inventory reduction MSEK 30 ❖ Improved ITO almost on pre covid level ❖ Reduction will continue but at a slower pace 10 0.0 1.0 2.0 3.0 700 800 900 1,000 1,100 1,200 1,300 1,400 1,500 1,600 Q1 20/21 Q2 Q3 Q4 Q1 21/22 Q2 Q3 Q4 Q1 22/23 Q2 Q3 Q4 Q1 23/24 Q2 Q3 Q4 Q1 24/25 Q2 Q3 Q4 Q1 25/26 Inventory R12 ITO MSEK ITO
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CASH FLOW FROM OPERATING ACTIVITIES – SEASONALLY STRONG ❖ Cash flow from operating activities MSEK 182 (187) ❖ Increased profitability ❖ Lower pace in inventory reduction 11 133 133 142 -25 94 57 110 -36 79 50 59 145 179 176 207 94 187 87 207 28 182 -50 0 50 100 150 200 250 Q1 20/21 Q2 Q3 Q4 Q1 21/22 Q2 Q3 Q4 Q1 22/23 Q2 Q3 Q4 Q1 23/24 Q2 Q3 Q4 Q1 24/25 Q2 Q3 Q4 Q1 25/26 Cashflow Cash flow Trend MSEK Cash flow per quarter
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ACQUISITIONS INCREASED NET DEBT ❖ Operational Net Debt MSEK 1,412 (962) ❖ Net Debt/EBITDA 2,5 (1,9) ❖ Increased due to MSEK 261 in acquisitions during the quarter and SEK 579 during the last 12 months ❖ Acquisition target remains intact, and pipeline is strong ❖ After the quarter ❖ One acquisition (H C Coils) ❖ Payment for Skydda 12 0.0 0.5 1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0 0 200 400 600 800 1,000 1,200 1,400 1,600 Q1 20/21 Q2 Q3 Q4 Q1 21/22 Q2 Q3 Q4 Q1 22/23 Q2 Q3 Q4 Q1 23/24 Q2 Q3 Q4 Q1 24/25 Q2 Q3 Q4 Q1 25/26 Operational Net Debt ND / EBITDA excl IFRS 16 MSEK ND/EBITDA
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❖ ESSVE three new, large customer agreements with ‘take-back’ volumes’ effected margins ❖ Raintite acquired April 16 ❖ Revenue increased 20 percent to MSEK 464 (388) ❖ EBITA increased by 22 percent to MSEK 55 (45) ❖ EBITA margin increased to 11.9 percent (11.6) CORE SOLUTIONS Demand from the Nordic construction sector remained stable but at a low level 13 40 60 80 100 120 140 160 180 Q1 20/21 Q2 Q3 Q4 Q1 21/22 Q2 Q3 Q4 Q1 22/23 Q2 Q3 Q4 Q1 23/24 Q2 Q3 Q4 Q1 24/25 Q2 Q3 Q4 Q1 25/26 EBITA R12 1,100 1,300 1,500 1,700 1,900 Q1 20/21 Q2 Q3 Q4 Q1 21/22 Q2 Q3 Q4 Q1 22/23 Q2 Q3 Q4 Q1 23/24 Q2 Q3 Q4 Q1 24/25 Q2 Q3 Q4 Q1 25/26 Revenue R12 4 6 8 10 12 Q1 20/21 Q2 Q3 Q4 Q1 21/22 Q2 Q3 Q4 Q1 22/23 Q2 Q3 Q4 Q1 23/24 Q2 Q3 Q4 Q1 24/25 Q2 Q3 Q4 Q1 25/26 EBITA % R12 MSEK MSEK
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SAFETY TECHNOLOGY Several division's companies experienced increased demand, while overall demand remained relatively weak 14 4 6 8 10 12 Q1 20/21 Q2Q3Q4Q1 21/22 Q2Q3Q4Q1 22/23 Q2Q3Q4Q1 23/24 Q2Q3Q4Q1 24/25 Q2Q3Q4Q1 25/26 EBITA % R12 1,100 1,300 1,500 1,700 1,900 Q1 20/21 Q2Q3Q4Q1 21/22 Q2Q3Q4Q1 22/23 Q2Q3Q4Q1 23/24 Q2Q3Q4Q1 24/25 Q2Q3Q4Q1 25/26 Revenue R12 40 60 80 100 120 140 160 180 Q1 20/21 Q2Q3Q4Q1 21/22 Q2Q3Q4Q1 22/23 Q2Q3Q4Q1 23/24 Q2Q3Q4Q1 24/25 Q2Q3Q4Q1 25/26 EBITA R12 ❖July 1, divestment of Skydda's Nordic operations to Ahlsell was completed. ❖ Opportunities increased volumes on our personal protective equipment companies ❖ Operations outside the Nordics not affected by the transaction -important channel our PPE companies ❖ Divested business corresponds annual earnings MSEK 45 million ❖ EV of 300 MSEK, earn out potential of max 80 MSEK ❖ Goodwill write down MSEK 270 Q4 2024/25. ❖ Restructuring cost MSEK ~70 ❖ Acquired Ontec April 4 ❖ Revenue increased by 4 percent to MSEK 434 (416) ❖ EBITA increased by 3 percent to MSEK 35 (34) ❖ EBITA margin amounted to 8.1 percent (8.2) MSEK MSEK
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INDUSTRIAL EQUIPMENT Demand varied depending companies' end markets. In total, a slightly weaker demand main explanation for lower results. ❖Demand varied depending companies' end markets ❖ Luna & Teng Tools, selling to retailers, experienced continued weak demand. Polartherm (mobile heaters) also experienced continued low demand ❖ Strong demand in newly acquired UK companies (ATE, Orbital) ❖Acquired Mann & Co May 15 ❖Revenue totalled MSEK 427 (457) ❖EBITA MSEK 45 (46) - lower sales & gross margin, partly offset by lower operational expenses ❖EBITA margin increased to 10.5 percent (10.1) 15 0 2 4 6 8 10 12 14 Q1 20/21 Q2Q3Q4Q1 21/22 Q2Q3Q4Q1 22/23 Q2Q3Q4Q1 23/24 Q2Q3Q4Q1 24/25 Q2Q3Q4Q1 25/26 EBITA % R12 1,100 1,300 1,500 1,700 1,900 Q1 20/21 Q2 Q3 Q4 Q1 21/22 Q2 Q3 Q4 Q1 22/23 Q2 Q3 Q4 Q1 23/24 Q2 Q3 Q4 Q1 24/25 Q2 Q3 Q4 Q1 25/26 Revenue R12 40 90 140 190 240 Q1 20/21 Q2Q3Q4Q1 21/22 Q2Q3Q4Q1 22/23 Q2Q3Q4Q1 23/24 Q2Q3Q4Q1 24/25 Q2Q3Q4Q1 25/26 EBITA R12 MSEK MSEK
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WHAT WE ALWAYS DO ❖ Profit expansion over revenue growth ❖ B&B Focus Model guides capital allocation company-by-company ❖ Group support – B&B Tool Box ❖ Acquisition of highly profitable B2B companies with leading positions in growing niche markets THE WAY TO ‘500/ten/45’ The Skydda divestment corresponds to annual earnings of MSEK 45. In combination with a challenging economic environment, it's challenging to reach this year's targets of 500/10 16 CURRENT GROUP THEMES ❖ Stock (ITO) back to ‘pre-corona’ levels ❖ Tight Cost Control (COS%) ❖ Gross margin protection ❖ Ensure able to capitalize on an improved economic situation UNDERLYING MARKET ❖ Market recovery – hopefully year end
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Contact Investor Relations Calendar Peter Schön +46 70 339 89 99 ir@bb.se 22 October 2025 Interim Report 1 April – 30 September 2025 17 28 August 2025 Annual General Meeting
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SHAPING GREAT COMPANIES SINCE 1906