In This Article:
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Revenue Growth: Group turnover increased by 4% to 1.9 billion SEK.
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EBITDA: Slightly behind last year by 6 million SEK, maintaining a margin of 10%.
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Operational Cash Flow: 177 million SEK, with a 94% cash conversion rate over the last 12 months.
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Net Debt/EBITDA Ratio: 2.8, within the target range of 2 to 3 times.
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Annual Turnover: Operating at 7.7 billion SEK with an EBITDA of almost 660 million SEK.
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Organic Growth: ETI Group increased sales organically by 15% in the quarter.
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Acquisition-Driven Growth: SOIC Group showed a 5% growth driven by acquisitions.
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Return on Adjusted Equity: 15%, below the financial target due to lower growth.
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Acquisitions: Three acquisitions in the last 12 months, totaling 24 since 2020.
Release Date: October 25, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Volati AB (FRA:VOG) achieved a strong organic growth of 15% in one of its platforms, with improved margins reaching 21% over the last 12 months.
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The SOIC group delivered a strong quarter with acquisition-driven growth of 5% and maintained margins in line with the previous year.
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The company has a solid cash conversion rate of 94% over the last 12 months, providing a strong foundation for future acquisitions.
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Volati AB (FRA:VOG) has grown its turnover by an average of 18% per year since 2018, demonstrating consistent long-term growth.
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The company has completed 24 acquisitions since 2020, showcasing its effective model for growth through acquisitions.
Negative Points
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Four out of six platforms were affected by a challenging market environment, impacting overall performance.
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The industry segment experienced a tough quarter with a significant drop in EBITA, primarily due to challenges in the agricultural and construction markets.
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The company's growth has been below its financial target of at least 15% since 2021, largely due to market-driven factors.
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Volati AB (FRA:VOG) does not expect rapid changes in the market environment in the short term, indicating continued challenges ahead.
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The company's return on adjusted equity came in at 15%, below its financial target, driven by lower growth during the year.
Q & A Highlights
Q: You mentioned that a market turnaround is getting closer. Could you elaborate on this? A: As Martin pointed out, one of the main markets that has affected us negatively the last couple of years is the construction market. External sources indicate that we will see slight growth in 2025, suggesting a shift from negative to positive growth over the next 18 months.