GlobeNewswire by notified

Sdiptech AB (publ) publishes interim report for the third quarter (July - September) 2021

Share

Press release
26 October 2021, 08:00

Sdiptech AB (publ) publishes interim report for the third quarter (July - September) 2021
The report is available on the company's website: www.sdiptech.se

INCREASED ACQUISITION GOAL, NEW MARKETS AND SOLID INCREASE OF SALES DESPITE SEVERAL UNCERTAINTIES IN THE WORLD

THIRD QUARTER 2021

  • Net sales increased by 25.3% to SEK 646.2 million (515.9). In total for the Group, organic sales growth was 3.6%, excluding currency effects.

  • Operating profit EBITA* increased by 28.6% to SEK 119.3 million (92.8), corresponding to an EBITA*margin of 18.5% (18.0). Organic EBITA* growth for the Group was -13.5%, excluding currency effects.

  • Operating profit (EBIT) increased by 18.4% and amounted to SEK 102.5 million (86.6).

  • Earnings after tax for the Group amounted to SEK 77.0 million (87.1), of which SEK 76.8 million (86.5) was attributable to the Parent Company’s shareholders. Last year's results included a capital gain of SEK 27 million from previous divestments.

  • Cash flow from current operations amounted to SEK 75.4 million (74.6), corresponding to a cash conversion of 77% (59).

  • Earnings per ordinary share (average number), less minority interests and dividends on preference shares amounted to SEK 2.07 (2.47). After dilution, earnings per shares amounted to SEK 2.05 Kr (2.44). Last year's earnings included a capital gain of SEK 0.79 per share from previous divestments.
  • On September 3, Sdiptech acquired all shares in Wake Power Distribution Ltd (IDE Systems).

  • On September 14, Sdiptech communicated annually raised acquisition targets amounting to an annual acquired profit, EBIT, of SEK 120-150 million (90).

EVENTS AFTER REPORTING DATE

  • On October 13, Sdiptech acquired 85% of the shares in Certus Technologies Holding B.V. The acquisition is the Group’s first business entity in the Netherlands.

FIRST NINE MONTHS 2021

  • Net sales increased by 32.8% to SEK 1,969.8 million (1,483.7). In total for the Group, organic sales growth was 8.4%, excluding currency effects.

  • Operating profit EBITA* increased by 44.4% to SEK 355.9 million (246.4), corresponding to an EBITA* margin of 18.1% (16.6). Organic EBITA* growth for the Group was -4.5%, excluding currency effects.

  • Operating profit (EBIT) increased by 20.7% and amounted to SEK 281.7 million (233.4). Included in the operating profit are high acquisition costs for major acquisitions in the UK and associated stamp duty. In addition, capital loss related to divestments amounted SEK 20 million.

  • Earnings after tax for the Group amounted to SEK 199.9 million (177.3), of which SEK 199.2 million (175.4) was attributable to the Parent Company’s shareholders.

  • Cash flow from current operations amounted to SEK 141.9 million (296.5), corresponding to a cash conversion of 50% (99). Due to high profits and postponements of tax in 2020, more tax was paid than normal during the period. In addition, an increased amount of accounts receivables due to good sales and inventory was built to prevent material shortage.

  • Earnings per ordinary share (average number), less minority interests and dividends on preference shares amounted to SEK 5.40 (5.20). After dilution, earnings per shares amounted to SEK 5.35 Kr (5.16). Last year's earnings included a capital gain of SEK 0.84 per share from previous divestments.
  • During the period January to September, Sdiptech acquired Rolec Services Ltd, One Stop Europe (Rolec), Ficon Oy and Wake Power Distribution Ltd (IDE Systems).
  • During the first nine months, divestments of Tello Service Partner as well as the Swedish and Austrian elevator businesses were completed. All units belonged to the Property Technical Services segment.

  • On March 9, Sdiptech carried out a directed share issue that contributed approx. SEK 464 million to equity after issuance costs.

COMMENTS BY THE CEO

INCREASED ACQUISITION GOAL, NEW MARKETS AND SOLID INCREASE OF SALES DESPITE SEVERAL UNCERTAINTIES IN THE WORLD

Sdiptech's overall goal is to increase profits through both organic growth and acquisitions. During the first nine months of the year, we have increased the pace and despite tough comparative figures, EBITA* rose by a total of 44.4 percent. The multi-year trend of increased profitability continues and our EBITA* margin has risen from 16.6 to 18.1 percent.

THE QUARTER – Strong sales increase in a quarter with high comparative figures
We are proud to present another good quarter for Sdiptech. During the third quarter, our business units experienced a continued good demand, corresponding to sales growth of 25.3 percent, of which 3.6 percent was organically excluding currency effects. To some extent, revenues have been affected by delayed deliveries following disruptions in supply chains, and the situation is still somewhat difficult, even though our business units are working fantastically to obtain deliveries to customers. The problem is to some extent broader than just our own supply of goods, as our customers sometimes pause their placed orders because they in turn lack other deliveries.

In terms of profit development, we would like to start by recalling some key effects from the pandemic last year. Sdiptech showed an extraordinarily high profitability during the third quarter of 2020, which led to an organic profit increase of an exceptional 18.6 percent, compared with -13.5 percent this year. The background to the high profitability in 2020 was partly extra revenue volumes when we delivered to catch up with orders that had been paused during the first months of the pandemic, and partly extra low costs that remained from measures from the beginning of the pandemic. This phenomenon is particularly evident with exceptional comparative figures for the companies in the Special Infrastructure Solutions business area.

With large fluctuations from one extreme situation to another, it is justified to see what the development looked like from a time before the pandemic struck, until today. During the period from 1 January 2020 to 30 September 2021, we had an average organic sales growth around 6 percent and an average organic profit growth around 7 percent, which is perfectly in line with our financial targets.

ACQUISITIONS – High quality and group additions
In early September, IDE Systems, which specialises in temporary electricity and electricity usage monitoring systems in the UK, was acquired. IDE has over 20 years of experience in designing and manufacturing electricity distribution solutions and focuses on delivering equipment for temporary electricity, including charging stations with temporary electricity for electric vehicles. IDE also develops an important software for energy monitoring and management tools that enables reduced energy use and thus reduced carbon dioxide emissions. IDE contributes to the Sustainable Development Goals 7.1 and 7.2.

In mid-October, after the end of the third quarter, Certus Automation was acquired, which is our first business unit in the Netherlands. The company is a global supplier of automation solutions for port and terminal logistics. The core of the products is a proprietary software and image recognition system. The products automate the identification, registration and positioning of containers and vehicles for increased efficiency, safety and reduced emissions. Certus contributes to Sustainable Development Goals 8.8 and 9.4.

OUTLOOK – Ready for a higher acquisition target
With new geographic markets, a number of growing segments in infrastructure, and a strong and experienced organisation, we were able to raise our acquisition target from SEK 90 million in acquired profit growth to SEK 120–150 million, in the quarter. The target applies from 2021 we are pleased to declare that we have reached our new target, including the divestments that were conducted this spring.

Over the past year, we have carried out pilot work in new geographies to evaluate how our methodology and working methods can operate effectively in new markets. After analyses of thousands of companies and conversations with hundreds of entrepreneurs and acquisition advisors, we have now established ourselves in Italy, as well as completed our first acquisition in the Netherlands. Our geographical expansion is done in a controlled and thoughtful manner in accordance with how we work with all important issues concerning our development and growth.

We also conclude the divestments within Property Technical Services by moving the two remaining business units to Special Infrastructure Solutions. This means that we now have two business areas instead of the previous three in the Group.

Our acquisition methodology is based on well-developed structural capital and careful analyses, and thanks to this, we have in recent years been able to welcome some of the best companies within their niches. After many years’ focus on infrastructure, we are increasingly experiencing that the acquisitions add complementary technology and customer segments to existing business units, and the group is to a larger extent able to operate as a cohesive group. An example of this is that we already, two quarters after the acquisition of Rolec, distribute our own charging stations for electric cars via several other business units and thus reach out to new customer segments.

Jakob Holm
President and CEO

For further information, please contact:
Bengt Lejdström, CFO, +46 702 74 22 00, bengt.lejdstrom@sdiptech.com
My Lundberg, Sustainability & IR Manager, +46 703 61 18 10, my.lundberg@sdiptech.com

Sdiptech AB (publ) is required to disclose this information pursuant to EU Market Use Regulation 596/2014. The information was provided by the above contact persons for publication on 26 October 2021 at 08.00 CEST.

Sdiptech’s common shares of series B are traded on Nasdaq Stockholm under the short name SDIP B with ISIN code SE0003756758. Sdiptech’s preferred shares are traded under the short name SDIP PREF with ISIN code SE0006758348. Further information is available on the company's website: www.sdiptech.com

Sdiptech is a technology group that acquires and develops market-leading niche operations that contribute to creating more sustainable, efficient and safe societies. Sdiptech has approximately SEK 2,500 million in sales and is based in Stockholm.

Attachment

To view this piece of content from www.globenewswire.com, please give your consent at the top of this page.
To view this piece of content from ml-eu.globenewswire.com, please give your consent at the top of this page.

About GlobeNewswire by notified

GlobeNewswire by notified
GlobeNewswire by notified
One Liberty Plaza - 165 Broadway
NY 10006 New York

https://notified.com

GlobeNewswire by notified is one of the world's largest newswire distribution networks, specializing in the delivery of corporate press releases financial disclosures and multimedia content to the media, investment community, individual investors and the general public.

Subscribe to releases from GlobeNewswire by notified

Subscribe to all the latest releases from GlobeNewswire by notified by registering your e-mail address below. You can unsubscribe at any time.

Latest releases from GlobeNewswire by notified

Information on the total number of voting rights and shares26.11.2021 22:30:00 CET | Press release

REGULATED INFORMATION Information on the total number of voting rights and shares Mont-Saint-Guibert (Belgium), November 26, 2021, 10:30 pm CET / 4:30 pm ET – In accordance with article 15 of the Law of 2 May 2007 on the disclosure of large shareholdings, Nyxoah SA(Euronext Brussels and Nasdaq: NYXH) publishes the belowinformation following the exercise of subscription rights and the issue of new shares. Share capital: EUR 4,427,369.69 Total number of securities carrying voting rights: 25,772,359 (all ordinary shares) Total number of voting rights (= denominator): 25,772,359 (all relating to ordinary shares) Number of rights to subscribe to securities carrying voting rights not yet issued: 105 “2016 ESOP Warrants” issued on November 3, 2016, entitling their holders to subscribe to a total number of 52,500 securities carrying voting rights (all ordinary shares); 100 “2018 ESOP Warrants” issued on December 12, 2018, entitling their holders to subscribe to a total number of 50,000 securit

Fobi to Host Shareholder Update and Earnings Webinar26.11.2021 17:57:56 CET | Press release

VANCOUVER, British Columbia, Nov. 26, 2021 (GLOBE NEWSWIRE) -- Fobi AI Inc. (FOBI:TSXV) (FOBIF:OTCQB) (the “Company” or “Fobi”), a leading data intelligence company using artificial intelligence to help clients turn real-time data into actionable insights and personalized customer engagement, is pleased to announce that Fobi will host a virtual-only shareholder update webinar on Thursday, December 2, 2021, from 9-10am PST (12-1pm EST). The shareholder update webinar will be facilitated by Rob Anson, CEO and Mark Lotz, CFO, who will review the company's most recent reporting period as well as discuss milestones, financial strength, M&A and the outlook for the remainder of the fiscal year. Fobi CEO Rob Anson and CFO Mark Lotz will facilitate pre-submitted and live-chat questions and answers. The company will answer pre-submitted and live questions at the conclusion of prepared remarks. Investors are asked to submit their questions to ir@fobi.ai. To register for this webinar, please visit

Nordic American Tankers Ltd (NYSE: NAT) – Purchase of shares by NAT board member Alexander Hansson (DUPLICATE)26.11.2021 16:25:26 CET | Press release

Friday, November 26, 2021 Dear Shareholders and Investors, Alexander Hansson, Board member in Nordic American Tankers Ltd and son of Herbjorn Hansson, the NAT Founder, Chairman and CEO, has today bought 50,000 share in NAT at $1.8564 per share. Following the transaction, Alexander Hansson privately owns 1,035,000 shares in Nordic American Tankers Ltd. As in the past, the Hansson family is the largest private shareholder in NAT. Alexander Hansson commented: “Uncertain times are normally good for our tankers. The recent set-back in stock markets is a good opportunity to accumulate shares” Sincerely, Herbjorn Hansson Founder, Chairman & CEO Nordic American Tankers Ltd. www.nat.bm CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS Matters discussed in this press release may constitute forward-looking statements. The Private Securities Litigation Reform Act of 1995 provides safe harbor protections for forward-looking statements in order to encourage companies to provide prospective i

CONDITIONS FOR RIKSBANK REVERSED AUCTIONS SEK GOVERNMENT BONDS26.11.2021 16:20:00 CET | Press release

Bid procedure, 2021-12-03BondsSWEDISH GOVERNMENT: 1062. SE0013935319. 2031-05-12 SWEDISH GOVERNMENT: 1063, SE0015193313, 2045-11-24 Bid date2021-12-03Bid times09.00-10.00 (CET/CEST) on the Bid dateRequested volume (corresponding nominal amount)1062: 500 mln SEK +/-250 mln SEK 1063: 500 mln SEK +/-250 mln SEK Highest permitted bid volume (corresponding nominal amount)1062: 500 mln SEK per bid 1063: 500 mln SEK per bid Lowest permitted bid volume (corresponding nominal amount)SEK 50 million per bidExpected allocation timeNot later than 10.15 (CET/CEST) on the Bid dateDelivery and payment date2021-12-07Delivery of bondsTo the Riksbank's account in Euroclear Sweden AB's securities settlement system 1 4948 6383 Stockholm, 2021-11-26 This is a translation of the special terms and conditions published on www.riksbank.se. In the case of any inconsistency between the English translation and the Swedish language version, the Swedish language version shall prevail. Complete terms and conditions c

CONDITIONS FOR RIKSBANK REVERSED AUCTIONS SEK TREASURY BILLS26.11.2021 16:20:00 CET | Press release

Bid procedure, 2021-12-01BillsSWEDISH T-BILL: SE0017084494. 2022-02-16 SWEDISH T-BILL: SE0015659529, 2022-03-16 Bid date2021-12-01Bid times10.00-11.00 (CET/CEST) on the Bid dateRequested volume (corresponding nominal amount)SE0017084494: 500 mln SEK +/-250 mln SEK SE0015659529: 1000 mln SEK +/-500 mln SEK Highest permitted bid volume (corresponding nominal amount)SE0017084494: 500 mln SEK per bid SE0015659529: 1000 mln SEK per bid Lowest permitted bid volume (corresponding nominal amount)SEK 50 million per bidExpected allocation timeNot later than 11.15 (CET/CEST) on the Bid dateDelivery and payment date2021-12-03Delivery of billsTo the Riksbank's account in Euroclear Sweden AB's securities settlement system 1 4948 6383 Stockholm, 2021-11-26 This is a translation of the special terms and conditions published on www.riksbank.se. In the case of any inconsistency between the English translation and the Swedish language version, the Swedish language version shall prevail. Complete terms an

CONDITIONS FOR RIKSBANK BID PROCEDURE KOMMUNINVEST BONDS26.11.2021 16:20:00 CET | Press release

Bid procedure, 2021-11-30BondsKOMMUNINVEST I SVERIGE: 2311. SE0010948240. 2023-11-13 KOMMUNINVEST I SVERIGE: 2505, SE0011414010, 2025-05-12 KOMMUNINVEST I SVERIGE: G23, XS1897258098, 2023-06-01 BidsBids on interest and volume are entered via Bloomberg Bond Auction SystemBid date2021-11-30Bid times10.00-11.00Requested volume (corresponding nominal amount)2311: 750 mln SEK +/-400 mln SEK 2505: 500 mln SEK +/-250 mln SEK G23: 250 mln SEK +/-150 mln SEK Highest permitted bid volume (corresponding nominal amount)2311: 750 mln SEK per bid 2505: 500 mln SEK per bid G23: 250 mln SEK per bid Lowest permitted bid volume (corresponding nominal amount)SEK 50 million per bidExpected allocation timeNot later than 11.15 (CET/CEST) on the Bid dateDelivery and payment date2021-12-02Delivery of bondsTo the Riksbank's account in Euroclear Sweden AB's securities settlement system 1 4948 6383General Terms and ConditionsGeneral Terms and Conditions General Terms and Conditions för the Riksbank’s Purchases o

CONDITIONS FOR THE RIKSBANK´S PURCHASES OF COMMERCIAL PAPER26.11.2021 16:20:00 CET | Press release

Bid procedure, 2021-12-01CertificateCommercial paper issued in SEK by non-financial companies with their registered office in Sweden and with a remaining maturity of up to six months on the Bid date. i.e. with the latest maturity date as of 2022-06-01 Delivery may not be made in commercial paper purchased by the Counterparty from the issuer less than one week prior to the date for announcing the Special terms, i.e. the purchase may not have been made after 2021-11-19 BidsCounterparties may make one bid per Credit rating class and maturity class. Bids are made to tel 08-696 69 70 and confirmed by e-mail to EOL@riksbank.se.Bid date2021-12-01Bid times09.00-09.30 (CET/CEST) on the Bid dateRequested volume (corresponding nominal amount)SEK 4 billionHighest permitted bid volume (corresponding nominal amount)The total bid volume from one Counterparty for the two Credit rating classes may not exceed SEK 4 billion. No bid may contain Commercial paper in excess of SEK 250 million issued by the s