1 / 25

Solar Equity Story

Solar Equity Story. Our three value drivers are growth , EBITA margin and networking capital. Investor presentation - agenda. Group strategy #1 in Technical Wholesale 2013-2015 We aim at creating operational excellence. Our strategy will ensure that we as a group:.

vanna
Download Presentation

Solar Equity Story

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Solar Equity Story Ourthreevalue drivers aregrowth, EBITA margin and networkingcapital

  2. Investor presentation - agenda

  3. Group strategy #1 in Technical Wholesale 2013-2015We aim at creating operational excellence Our strategy will ensure that we as a group: Strengthen our position as one of Northern Europe’s leading technical wholesalers within electrical, plumbing and ventilation products, Profit more from our business model which offers competitive logistics, product and service solutions, Benefit maximally from daily operations by utilising our employees’ strong individual skills to create high-performance teams, Are seen by customers as their preferred technical wholesaler, In time become one of the most profitable enterprises within our industry. Enterprises / functions Company programmes Day-to-day operations Local projects

  4. Group strategy #1 in Technical Wholesale 2013-2015Group company programmes Blue Energy Sales Excellence People Development Local strategic projects Solar Way

  5. Group strategy #1 in Technical Wholesale 2013-2015 Strategic direction focuses on three areas Acumen Operations People

  6. Group strategy #1 in Technical Wholesale 2013-2015 Go-to-market strategy New markets Solar’s business model Service offer Product offer Structure Size Characteristics Market segmentation Customer segmentation Customer drivers Go-to-market strategy Operational objectives KPIs Logistics offer

  7. Group strategy #1 in Technical Wholesale 2013-2015 Short-term financial objectives Short-term financial objectives Prerequisites: Average growth exceeding 3% for this period and stabilisation of the Dutch market in 2013. Long-term financial objectives EBITA margin of 5-6%. Prerequisites: Average growth exceeding 4%.

  8. The actual figures and guidance Guidance 2012 and 2013 Q3 2012

  9. Organic growth of -0.1% in Q3 when adjusted for working days - revenue developed as expected Organic growth

  10. Strong growth in Denmark due to solar panelsThe Dutch and German markets are decreasing Market update In Denmark, we saw increased business opportunities within renewable energy and energy efficiency. Our market position in Norway was improved again. Solar Nederland’s results were negatively impacted by changes to the customer mix and pricing pressure in the much declining market. Overall, our Dutch enterprises held their market positions.

  11. Gross profit margin 0.5% up compared to Q3 2011 Gross profit margin • Gross profit in Solar Norge went up from 21.0% in Q2 2012 to 23.2%. • Fierce price competition in the Netherlands. • Denmark delivered according to plan.

  12. Normalised EBITA of € 13.9m in Q3 2012 EBITA margin • Solar 8000 costs of € 1.1m in Q3 2012 and € 1.3m in Q3 2011.

  13. Normalised EBITA of € 31.7m in 9M 2012 EBITA margin • Solar 8000 costs of € 5.7m in 9M 2012 and € 3.4m in 9M 2011. • Restructuring costs of € 1.0m.

  14. Gearing unchanged at 2.2 Adjusted for acquisitions in Sep 2011, NWC was 14.7% Net working capital (NWC) Net interest-bearing debt (NIBD) Acquisition of Vegro and Eltomont Acquisition of enterprises in NL, BE, DE, AU Acquisition of operations from Otra

  15. Cash flow from operating activities was € 3.9m in Q3 and € 13.2m in 9M Cash flow Cash flow, operating activities

  16. Guidance 2012: Revenue € 1,710m, EBITA € 44m Expected Solar 8000 implementation costs of approx. € 7m and restructuring costs of approx. € 2m. We expect low growth. For the year, revenue expectations equal organic growth of approximately 1%. Net working capital at approx. 14% on average. 2012 expectations:

  17. Guidance 2013: Revenue € 1,720-1,770m, EBITA € 42-51m Expected Solar 8000 implementation costs of approx. € 4m and restructuring costs of approx. € 2m. The lower expectation level equals a no-growth scenario, while the upper expectation level equals positive organic growth of some 3%. Net working capital below 14% on average. 2013 expectations:

  18. Facts about Solar Group Appendix

  19. Solar in short Solar is one of Northern Europe’s leading technical wholesalers Solar is one of Northern Europe’s leading technical wholesalers Listed on NASDAQ OMX Copenhagen * € 1,532m revenue – approx. 3,600 people Servicing customers in 9 countries from 11 central warehouses Electrical, heating, plumbing and ventilation components and solutions Aurora Group - accessories to consumer electronic goods in 4 countries (*2011 figures)

  20. Solar is listed onNASDAQOMX Copenhagen and has a majority of long term investors

  21. Marine & Offshore Installation Cables Lighting Industry Heating, Water & Sanitation Renewable energy Security Communication Ventilation Solar’s business areas are within: Electrical - HVAC&R - Plumbing - Renewable Energy

  22. Solar delivers products and solutions to customers within: Utility and Infrastructure Marine and Offshore Residential and Commercial Buildings Industry Public Sector

  23. A strategic focus area A sales, marketing and training concept One energy-efficient product is good– an intelligent solution is better Focus on renovation projects through cases and cost-savings potential Cooperation between strategic suppliers and Solar Solar Blue Energy- making energy efficiency a better business • The 20-20-20 targets of the EU Climate and Energy Package are: • a 20% reduction in EU greenhouse gas emissions based on 1990 levels by 2020 • 20% of EU energy to come from renewable sources by 2020 • a 20% reduction in primary energy use through improved energy efficiency by 2020,compared with projected levels 23

  24. Corporate social responsibilityWe take our responsibilities with regard to people and the environment seriously 24 We have signed up for the United Nations’ Global Compact Programme, which contains ten principles, including human rights, working environment/labour, the environment and anti-corruption. We see our involvement in the programme as an asset in relation to customers and suppliers and a clear advantage in respect of attracting and maintaining employees. In addition, there is the need for and a desire to be seen as a company in which both Danish and foreign investors can safely invest – also from an ethical standpoint. Carbon Disclosure Project: Solar has established a reporting system for the company’s CO2 consumption. UN Global Compact – Communication of Progress: http://www.unglobalcompact.org/participant/10987-Solar-A-S

  25. Corporate social responsibilityStrong focus on ethics 25 As a condition for entering into strategic partnerships with suppliers, Solar requires that such suppliers observe the Global Compact principles. We have implemented a Code of Conduct across the group. Under the code, Solar is committed to comply with current legislation and regulations and to act in an ethical, sustainable and socially responsible way in all its business activities. We value a broad and diverse workforce in terms of gender, age and nationality. Solar shows respect for all employees and is committed to ensuring a good working environment with room for diversity.

More Related