Ratos AB: Increased EBITA, strong cash flow and decreased leverage

Regulatory Information 2023-07-19

Q2 2023

• Adjusted EBITA amounted to SEK 1,078m (963)
• Operating profit amounted to SEK 1,038m (925)
• Profit for the period amounted to SEK 682m (689) and was impacted by weaker net financial items of SEK -107m
• Diluted earnings per share amounted to SEK 1.79 (1.83)
• Cash flow from operating activities amounted to SEK 2,024m (1,054)

January-June 2023

• Adjusted EBITA amounted to SEK 1,402m (1,215)
• Operating profit amounted to SEK 1,323m (930)
• Operating profit in the year-earlier period was negatively impacted by an unrealised loss of SEK -118m related to the revaluation of shares in Dun & Bradstreet Holding Inc and restructuring costs of SEK -130m attributable to Diab
• Diluted earnings per share amounted to SEK 1.71 (1.17)
• Cash flow from operating activities amounted to SEK 2,531m (674)
• Leverage excluding finance leases was 1.6x (0.6x)

Significant events during and after the end of the quarter

• During the second quarter, Ratos concluded the process for a compulsory buy-out of the remaining shares in Semcon. As of 30 June, the company is a wholly owned subsidiary
• On 3 April, HL Display acquired the companies Oechsle Display Systems and werba print & display
• On 2 June, Speed Group signed an agreement to acquire Supplier Partner, a Gothenburg-based company in industrial logistics

“Adjusted EBITA amounted to SEK 1,078m (963) for the quarter, up 12%. Excluding the acquisitions of Knightec and Semcon, both of which were carried out in autumn 2022, EBITA increased 9%. The Group’s sales in the quarter increased 19% to SEK 10,001m, of which 7% was organic growth. Cash flow improved, and Ratos’s leverage declined to 1.6x compared with 2.5x by the end of 2022.”

Jonas Wiström, President and CEO, Ratos

A presentation of the interim report will be held today at 09.00 CEST. The presentation will be held in English and will also be available as a webcast on Ratos website, www.ratos.com.

The presentation can be followed on Youtube via the following link; https://y-outube.com/live/7LR1TozAeYg?feature=share

Participants who wish to ask questions live are asked to pre-register, please send an e-mail to helena.jansson@ratos.com in advance for a personal invitation.

Representatives of the media are welcome to contact Josefine Uppling, Vice President Communication, for interview requests.

Stockholm 19 July 2023
Jonas Wiström
President and CEO

For further information, please visit www.ratos.com or contact:
Josefine Uppling, Vice President Communication and Sustainability
+46 76 114 54 21
josefine.uppling@ratos.com

Jonas Ågrup, CFO and IR
+46 8 700 17 00

Jonas Wiström, President and CEO
+46 8 700 17 00

This is information that Ratos AB is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was submitted for publication, through the agency of the contact person set out above, at 07:00 a.m. CEST on 19 July 2023.


About Ratos
Ratos is a business group consisting of 16 companies divided into three business areas: Construction & Services, Consumer and Industry. The companies have approximately SEK 33 billion in net sales (LTM). Our business concept is to own and develop companies that are or can become market leaders. We have a distinct corporate culture and strategy – everything we do is based on our core values: Simplicity, Speed in execution and It’s All About People. We enable independent companies to excel by being part of something larger. People, leadership, culture and values are key focus areas.