Slides
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Q1-2 2025
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A quarter of continued recovery and brighter outlookOur Business environment •The second quarter confirms the brighter outlook we have seen since the end of last year•Customs duties, tariffs and politically unstable climate have a negative impact on consumer confidence•Strong Swedish currency obscures parts of the positive sales increase in the quarter•Increased sales, better productivity and good cost control, main explanations for the positive earnings development in the quarter •Positive momentum in consumers' preference to invest in heat pumps vs. fossil alternatives•Difficult to assess the impact of the global economic and political uncertainty•We expect a gradual improvement in sales in all three business areas going forward •Our ambition to be back at operating margin levels, within the historical range for each business area, during 2025 remains, but we realize that the uncertain global situation and the strengthening of the Swedish currency will be troublesome factors Q1-2 2025
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2025 2024Q1-Q2 Q1-Q2REVENUE +1.2% (-16.8%)OPERATING PROFIT +45.7% (-67.1*) adjustedOPERATING MARGIN+8.7% (+6.1%*) adjusted Improved performance Q1-2 2025
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*Key ratios have been calculated excluding items affecting comparability 2025Q1-Q22024Q1-Q2Past 12 months2024Full yearInvoiced sales MSEK19,75519,52940,74740,521Growth%+1.2-16.8-4.6-13.1of which acquired%+0.2+5.5+0.6+3.3Gross margin%30.028.2*30.0*29.1*Operating profitMSEK1,7261,185*3,767*3,226*Growth%+45.7-67.1+8.8-53.7Operating margin%8.76.1*9.2*8.0*Profit after net financial itemsMSEK1,214580*2,725*2,091*Growth%+109.3-82.7+10.7-67.0Net profit margin%6.13.0*6.7*5.2* Q1-2 2025
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Q1-2 2025 2025Q22024Q2Invoiced sales MSEK10,08210,035Growth %0.5-15.2of which acquired%+0.2+5.5Gross margin%30.329.0Operating profitMSEK944669Growth %+41.1-63.7Operating margin%9.46.7Profit after net financial itemsMSEK700396Growth %+76.8-76.7Net profit margin%6.93.9
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Q1-2 2025 6 Net salesPast nine quarters (in millions of SEK)
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Q1-2 2025 7 Profit after financial itemsPast nine quarters (in millions of SEK)* *Profit has been calculated excluding items affecting comparability
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•Second quarter shows improvement in sales and margin•Confirmation of earlier signs of recovery in heat pump sales•Implemented cuts in interest rates have had a positive impact•Assessed long-term positive growth – despite consumer demand being significantly dampened by the uncertain global situation•Stable development in both heating and cooling in the commercial sector •Successful efforts for increased joint product development and cross-selling within the Group•Return to more traditional sales pattern with expectation of a clear increase in sales in the second half of the year•Our ambition to be back at operating margin levels, within the historical range during 2025 remains, however we are aware that the unpredictable external environment makes this harder Continued increase in sales and improved marginsQ1-2 2025
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9 2025Q1-Q22024Q1-Q2Net salesMSEK12,84612,350Operating profitMSEK1 397838*Operating margin%10.86.8* Q1-2 2025 *Profit and keyratioshavebeencalculatedexcludingitemseffectingcomparability
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Q1-2 2025 •Relatively stable demand in most product segments•Strong demand linked to electrification•Continued positive indications from both the Rail- and Semiconductor industry•We expect a continuous improvement in sales to the heat pump industry going forward, but with a slightly deferred business cycle compered to our heat pump customers •A generally weaker climate in the industrial segment•Imminent risk that trade conflicts and political uncertainty will lead to a general slowdown in several product segments•Our ambition to be back at an operating margin level, within the historical range during 2025 remains, but has been significantly hampered by currency developments, tariffs and turbulent political environment Fluctuating demand in a turbulent environment
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11 2025Q1-Q22024Q1-Q2Net salesMSEK5,6805,530Operating profitMSEK363279*Operating margin%6.45.0**Profit and keyratioshavebeencalculatedexcludingitemseffectingcomparability Q1-2 2025
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Q1-2 2025 •Positive development in North America, weaker consumer confidence in Europe•Low energy prices, weak consumer confidence and continued low level of new construction and renovation contributes to creating a challenging market•Clear return to a traditional seasonal pattern where the fall and winter represent stronger sales •A first half-year with significant product launches and marketing activities in all markets•Lower total sales and increased trade tariffs between the US and Canada negatively affected our margin•Our ambition to be back at an operating margin level, within the historical range during 2025 remains, but the full recovery will likely take a few more quarters A continued challenging market but with future oriented initiatives
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13 2025Q1-Q22024Q1-Q2Net salesMSEK1,6041,854Operating profitMSEK1062*Operating margin%0.63.3**Profit and keyratioshavebeencalculatedexcludingitemseffectingcomparability Q1-2 2025
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14 NIBEElementNIBEClimate Solutions NIBE Stoves Q1-2 2025Distribution of Net sales
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15 NIBE StovesDistribution of operating profit NIBEElement NIBEClimate Solutions Q1-2 2025
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16 Others Europe excl the Nordic countries North AmericaNordic countries Geographical distribution of Group sales Q1-2 2025
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2025Q1-Q22024Q1-Q2Past 12 months2024Full yearNet salesMSEK12,84612,35026,53426,037Growth%+4.0-22.1-4.8-17.0of which acquired%0+7.2+0.6+4.2Gross margin%32.630.9*32.4*31.6*Operating profitMSEK1,397838*2,984*2,425*Growth%+66.7-71.0+7.4-56.7Operating margin%10.96.8*11.2*9.3* Q1-2 2025 *Key ratios have been calculated excluding items affecting comparability
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2025Q22024Q2Net salesMSEK6,8246,516Growth %+4.7-19.8of which acquired%0.07.1Gross margin%33.031.9Operating profitMSEK842506Growth %+66.4-67.1Operating margin%12.37.8 Q1-2 2025
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Others Europe excl the Nordic countries North America Nordic countries Geographical distribution of Group sales Q1-2 2025
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2025Q1-Q22024Q1-Q2Past 12 months2024Full yearNet salesMSEK5,6805,53011,24111,092Growth%+2.7-7.4-1.9-6.8of which acquired%+0.5+1.9+0.9+1.6Gross margin%20.719.2*20.9*20.2*Operating profitMSEK363279*713*629*Growth%+30.1-46.7+64.5-33.2Operating margin%6.45.0*6.3*5.7* Q1-2 2025 *Key ratios have been calculated excluding items affecting comparability
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2025Q22024Q2Net salesMSEK2,7922,819Growth %-1.0-4.6of which acquired%+0.6+1.9Gross margin%21.120.3Operating profitMSEK184142Growth %+29.6-41.6Operating margin%6.65.0 Q1-2 2025
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Others Europe excl the Nordic countriesNorth America Nordic countries Q1-2 2025Geographical distribution of Group sales
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2025Q1-Q22024Q1-Q2Past 12 months2024Full yearNet salesMSEK1,6041,8543,6143,864Growth%-13.5-20.6-15.5-18.8of which acquired%0+1.7+0.1+1.0Gross margin%34.033.5*34.3*34.0*Operating profitMSEK1062*151*203*Growth%-83.9-76.7-48.1-61.9Operating margin%0.63.3*4.2*5.3* Q1-2 2025 *Key ratios have been calculated excluding items affecting comparability
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2025Q22024Q2Net salesMSEK678802Growth %-15.5-26.1of which acquired%0+1.5Gross margin%30.031.6Operating profitMSEK-51-3Growth %-1600.0-103.0Operating margin%-7.5-0.3 Q1-2 2025
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Others Europe excl the Nordic countries North America Nordic countries Q1-2 2025Geographical distribution of Group sales
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Q1-2 2025Balance sheet202530 Jun202430 Jun202431 DecIntangible assetsMSEK30,06731,85632,241Tangible assetsMSEK12,68712,38913,214Financial assetsMSEK1,7081,3831,524Non-financial current assetsMSEK17,79919,52217,820Financial current assetsMSEK5,6234,0815,607Total assetsMSEK67,88469,23170,406
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Q1-2 2025 202530 Jun202430 Jun202431 DecEquity MSEK29,86329,45832,140Long term liabilities–Non interest-bearingMSEK4,3275,3934,990Long term liabilities–Interest-bearingMSEK17,19519,90617,625Current liabilities–Non interest-bearingMSEK7,8868,8648,565Current liabilities–Interest-bearingMSEK8,6135,6107,086Total equity and liabilitiesMSEK67,88469,23170,406 Balance sheet
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Q1-2 2025Cash flow analysis2025Jan-Jun2024Jan-Jun2024Jan-DecCash flow –operating activitiesMSEK1,6157213,826Change in working capitalMSEK-1,006-374180Investments –current operationsMSEK-1,101-1,234-2,224Operating cash flowMSEK-492-8871,782Acquisitions MSEK0-536-621Financing activitiesMSEK9331,088-64Exchange rate difference in liquid assets MSEK-425133227Change in liquid assetsMSEK16-2021,324
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Q1-2 2025Key financial figures2025Jan-Jun2024Jan-Jun2024Jan-DecInvestmentsMSEK1,1011,2632,328of which in current operationsMSEK1,1011,2342,224Unappropriated liq, assetsMSEK6,0334,6436,177Interest bearing liabilities/Equity%86.486.676.9Net debt/EBITDAtimes3.23.1*3.5*Equity/assets ratio%44.042.645.6 *Key ratios have been calculated excluding items affecting comparability
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Q1-2 2025Key financial figures2025Jan-Jun2024Jan-Jun2024Jan-DecWorking capital incl cash and bankMSEK15,53614,73914,862Working capital incl cash and bank%38.134.536.7Working capital excl cash and bankMSEK9,91310,6589,255Working capital excl cash and bank%24.325.022.8
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Q1-2 2025 2025Jan-Jun2024Jan-Jun2024Jan-DecReturn oncapital employed%8.59.3*6.8*Return on equity%8.49.5*5.4*Net profit/shareSEK0.440.13*0.80*Equity/shareSEK14.7914.5915.92Closing day share priceSEK40.3444.9443.24 Key financial figures *Key ratios have been calculated excluding items affecting comparability
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Q & A
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Thank your for your attention.