Ramirent Q1 2012

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Ramirent's Interim Report Q1/2012: good start of the year, but low visibility

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Ramirent Q1 2012

  1. 1. Interim reportJanuary–March201210 May 2012President and CEO Magnus RosénCFO Jonas Söderkvist
  2. 2. Q1/2012: Good start of the year, but low visibility Net sales up 22.3% MEUR 164.3 (134.4) or 21.8% at comparable exchange rates. Like-for-like* growth 12.4% EBITDA MEUR 41.9 (27.6) EBITDA-margin 25.5% (20.6%) EBIT MEUR 12.3 (2.7) EBIT-margin 7.5% (2.0%) Gross capex MEUR 35.7 (31.9) Cash flow after investments MEUR 6.4 (-10.7) Net debt MEUR 257.7 (190.6) Gearing 83.8% (60.2%) Number of outlets 394 (382) * Excluding acquisitions in Sweden and Norway 2 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  3. 3. All financial targets fulfilled in Q1 Good sales growth based on ROI >18 % p.a. over a business cycle strengthened market positions 35 % and rental rates 30 % Growth was fuelled also by 25 % 20 % acquisitions and outsourcing 15 % deals 10 % 19 % Dividend payout ratio for fiscal 5 % 0 % year 2011 was 68% (payout ratio 2005 2006 2007 2008 2009 2010 2011 Q1 target 40%) 2012 ROI Target EPS growth > 15 % p.a. over a business cycle Gearing ≤ 120 % at end of each fiscal year300 % 140 % 120 %200 % 100 %100 % *167% 80 % 0% 60 % 40 % 84 %-100 % 20 %-200 % 0 % 2005 2006 2007 2008 2009 2010 2011 Q1 2005 2006 2007 2008 2009 2010 2011 Q1 2012 2012 EPS Target Gearing Target *R12 Q1 2012 vs. Q1 2011 3 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  4. 4. Capital turnover continued to develop positively and was 126% for the last 12 mths Invested capital by quarterMEUR800 160 % 708 707700 654 140 % 586 588 591600 562 581 578 565 552 544 568 120 % 536 515 524 508 509 496 508 494500 100 %400 80 %300 60 %200 40 %100 20 % 0 0% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2007 2008 2009 2010 2011 2012 Invested capital Net sales/Invested capital, rolling 12 month Capital turnover amounted to 126% (100%) for the last 12 months at the end of March 2012 4 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  5. 5. Development programs, with which we improveour competitiveness, progressedKey objective Progress in Q1  Integration of year end 2011 acquisitions progressed well  Organic growth based on strengthened market positions  Strengthening solutions offering to support growth Sustainable focused on Safety, Eco, Power and Climate control profitable growth  Streamlining shared processes for Ramirent platform  Advancing the group wide IT infrastructure  Developing supplier relations and reducing the number of Operational suppliers to realise further economies of size excellence  Strengthening offering portfolio to cater for industrial customers, including wind power and oil and gas  Disciplined CapEx spending Balanced  Adjusting operations in Europe Central countries, where risk level market is weakening 5 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  6. 6. Events after the reporting periodForklifts were added to the product portfolioin Finland Cooperation agreement signed with Toyota Material Handling Finland Oy on the short-term rental of forklifts to Ramirents customers in Finland Cooperation to be expanded to all Nordic countries in autumn of 2012 and to other Ramirent countries in 2013 Forklifts belong to the Heavy Machinery Product Group Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  7. 7. Ramirent and market outlook as of 10 May 2012Ramirent outlook 2012 unchanged Market outlook 2012 Country 2012 SourceIn 2012, net sales are expected to Finnish Construction Finland -2%increase and the result before Industries, RT *taxes is expected to improve Sweden -1% Swedish Construction Federation**compared to 2011. Norway 6% Euroconstruct Denmark 4% Euroconstruct Poland 4% Euroconstruct Czech -4% Euroconstruct Republic Europe Central Slovakia 3% Euroconstruct Hungary -2% Euroconstruct Russia 0-5% Euroconstruct Estonia 8% Euroconstruct Latvia -4% Euroconstruct Europe East Lithuania -4% Euroconstruct Ukraine n.a Euroconstruct Source: Euroconstruct Nov 2011, *April 2012, **February 2012 7 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  8. 8. Priorities for 2012 due to low visibility anduncertainties in the general economy Maintain preparedness for tackling different market scenarios Caution in capex spending Keep strong cost control Maintain a strong balance sheet Continue to develop the product portfolio to provide integrated solutions and cater to customers’ needs in the areas of eco-efficiency and safety 8 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  9. 9. SEGMENT REVIEW 9 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  10. 10. Q1 2012 Finland Highlights Sales and EBIT by quarter MEUR Growth was driven by 50 25 % 45 continued high construction 41 42 38 36 38 35 20 % and industrial activity 40 34 37 31 30 15 % Demand increased in all 30 29 28 product groups 10 % 20 EBIT recovered to satisfactory 5% level due to high utilisation 10 0% rates and improved price levels 0 -5 % in many product groups Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2009 2010 2011 2012 Anna Hyvönen was appointed new SVP, Finland effective 2 Net sales EBIT-% June 2012Finland Q1 2012 Q1 2011 Change Change 2011 (EUR) (Local)Net sales, MEUR 38.4 30.2 27% 27% 154.7EBIT, MEUR 5.0 1.3 267% 22.8EBIT-margin 12.9% 4.4% 14.7%Employees 579 566 2% 596Outlets 84 84 N/A 83 10 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  11. 11. Q1 2012 Sweden Highlights Sales and EBIT by quarter Organic growth 3.3% MEUR 60 54 25 % Demand was still strong in the 48 50 45 45 capital city area and in western 41 42 20 % 35 36 Sweden, while activity in 40 32 33 31 32 29 15 % southern Sweden is slowing 30 10 % down 20 EBIT remained on the same 10 5% level compared to previous 0 0% year, due to higher Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 amortisation of intangible 2009 2010 2011 2012 assets arising from acquisitions Net sales EBIT-%Sweden Q1 2012 Q1 2011 Change Change 2011 (EUR) (Local)Net sales, MEUR 48.1 41.3 17% 17% 182.7EBIT, MEUR 6.5 6.1 6% 33.2EBIT-margin 13.5% 14.9% 18.2%Employees 675 552 22% 630Outlets 84 74 14% 79 11 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  12. 12. Q1 2012 Norway Highlights Sales and EBIT by quarter MEUR Organic growth 11.7% 50 16 % 42 44 Demand was driven by 40 14 % 40 12 % residential construction and 31 33 30 10 % 29 29 28 27 28 industrial activity that 30 25 27 8% showed continued strong 20 6% 4% development 2% EBIT improved on the back of 10 0% -2 % high utilisation rates and 0 -4 % increased margins in most Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2009 2010 2011 2012 product groups Net sales EBIT-%Norway Q1 2012 Q1 2011 Change Change 2011 (EUR) (Local)Net sales, MEUR 43.7 32.6 34% 30% 144.8EBIT, MEUR 3.9 0.4 N/A 11.2EBIT-margin 8.9% 1.2% 7.7%Employees 477 514 -7% 486Outlets 43 41 5% 42 12 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  13. 13. Q1 2012 Denmark Highlights Sales and EBIT by quarter MEUR Growth was driven by good 16 15 20 % construction activity, including 14 12 10 % infrastructure projects that 12 11 11 10 11 10 0% 10 10 continued on a relatively good 10 8 9 9 8 -10 % level 8 -20 % 6 EBIT improved on the back of 4 -30 % good fleet utilisation and 2 -40 % stable price levels due to a 0 -50 % slightly improved competitive Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2009 2010 2011 2012 situation Net sales EBIT-%Denmark Q1 2012 Q1 2011 Change Change 2011 (EUR) (Local)Net sales, MEUR 9.8 8.4 17% 17% 44.1EBIT, MEUR -0.2 -1.3 84% 0.1EBIT-margin -2.1% -15.0% 0.2%Employees 178 150 19% 186Outlets 22 21 5% 22 13 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  14. 14. Q1 2012 Europe East Highlights Sales and EBIT by quarterNet sales increased in all the MEURsegment’s countries 20 19 17 16 30 % 20 %Growth drivers were energy, 15 13 13 10 %renovation as well as 12 11 12 12 0%infrastructure projects in the 10 9 8 10 9 -10 %Baltic countries. Infrastructure -20 %construction continued to develop 5positively also in Russia and -30 %Ukraine 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 -40 %EBIT improved due to good fleet 2009 2010 2011 2012utilisation and warm winter Net sales EBIT-%weatherEurope East Q1 2012 Q1 2011 Change Change 2011 (EUR) (Local)Net sales, MEUR 12.2 9.4 30% 29% 56.1EBIT, MEUR -0.1 -1.7 96% 5.9EBIT-margin -0.6% -17.7% 10.5%Employees 428 407 5% 439Outlets 58 48 21% 58 14 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  15. 15. Q1 2012 Europe Central Highlights Sales and EBIT by quarter MEUR In Poland construction and 25 20 % 22 industrial activity started to 20 19 19 19 15 % 18 weaken. Market conditions 20 16 16 16 10 % 5% remained difficult in the other 15 14 12 14 13 0% countries, especially in Hungary -5 % 10 Operations of Slovakia, Czech -10 % Republic and Hungary are being 5 -15 % -20 % restructured in order to drive 0 -25 % higher synergies and cost Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 efficiencies 2009 2010 2011 2012 EBIT burdened by lower price Net sales EBIT-% levels and utilisations ratesEurope Central Q1 2012 Q1 2011 Change Change 2011 (EUR) (Local)Net sales, MEUR 13.3 14.4 -8% -2% 73.9EBIT, MEUR -2.2 -1.2 -89% 5.5EBIT-margin -16.8% -8.2% 7.4%Employees 726 835 -13% 825Outlets 103 114 -10% 122 15 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  16. 16. FINANCIAL REVIEW 16 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  17. 17. Positive development in financial performance continued in Q1 Net Sales (MEUR) EBITDA (MEUR) EBIT (MEUR) Net sales Y-o-y change-% EBITDA EBITDA-% EBIT EBIT-%200 179187 40 % 70 35 % 35 31 20 %180 164 59 30 30 % 60 55 30 % 25160 150 150 15 % 141 134 20 % 25140 122 130 125 126 129 50 42 41 42 25 % 112 10 % 20 17 15 10 %120 40 36 37 37 20 % 14 30 31 15 12 11 12100 0% 28 5% 30 26 15 % 7 80 10 7 -10 % 60 18 3 -20 % 20 10 % 5 0% 40 -30 % 10 5% 0 20 -5 % 0 -40 % 0 0% -5 -4 Q1Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 -10 -6 -10 % 2009 2010 2011 2012 2009 2010 2011 2012 Q1Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2009 2010 2011 2012 Cash flow (MEUR) Net debt (MEUR) Gross Capex (MEUR) Cash flow after investments Net debt Gearing-% Gross Capex Share of net sales-%40 280 263 28 300 281 120 % 140 80 %30 22 20 24 255 258 120 18 230 238 120 70 %20 13 14 16 250 100 % 207212209 6 197 191 100 60 %10 200 177 80 % 50 % 0 80 150 60 % 40 %-10 -4 60 45 46 36 30 %-20 -11 100 40 % 32 40 20 % -20 22 18-30 50 20 % 13 20 10-40 3 5 3 8 10 % -37 0 0% 0 0%-50 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q1Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2009 2010 2011 2012 2009 2010 2011 2012 2009 2010 2011 2012 17 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  18. 18. Net sales grew 22.3% in Q1/2012, like-for- like growth was 12.4% Change in net sales YoY, %40 %30 % 27 % 24 % 22 % 19 % 19 % 19 % 20 %20 % 16 % 13 % 9%10 % 3% 0% -4 %-10 % -9 %-20 %-30 % -25 % -27 % -31 %-31 %-40 % Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2008 2009 2010 2011 2012 18 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  19. 19. Net sales grew in all segments except Europe Central Change in Q1 net sales YoY, %40 % 34 % 35 %35 % 30 % 30 % 30 % 29 % 27 % 29 %30 % 27 % 22 %25 % 22 % 22 % 20 %20 % 18 % 17 % 17 % 17 % 17 %15 %10 % 5% 0% -5 % -2 %-10 % -8 % -11 %-15 % Group Finland Sweden Norway Denmark East Central EUR Comparable exchange rates Adjusted for inter-segment sales (in EUR) 19 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  20. 20. Higher share of ancillary income and incomefrom sold equipment Breakdown of net sales MEUR100% 3% 5% 200 +101%80% 32 % 33 % 7.5 150 +23% 3.7 53.760% 43.6 100 +18%40% 65 % 63 % 50 87.0 103.120% 0% 0 Q1/2011 Q1/2012 Q1/2011 Q1/2012 Income from sold equipment Income from sold equipment Ancillary income Ancillary income Rental income Rental income Share of ancillary income has increased from last year due to higher degree of work and service in our solutions offering Sales of equipment increased due to sold modules in Norway 20 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  21. 21. Gross margin decreased in Q1/2012 compared to previous year Gross margin by quarter72 % 71 %71 % 70 %70 % 69 % 69 %69 % 68 % 68 % 68 % 68 %68 % 67 % 67 % 67 %67 % 66 % 66 % 66 %66 % 65 % 65 %65 %64 %63 %62 % Q1 Q2 Q3 Q4 FY Gross margin 2009 Gross margin 2010 Gross margin 2011 Gross margin 2012 Gross margin was impacted by an increase in sold equipment and use of external services 21 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  22. 22. Number of employees increased due to acquisitions, especially in Sweden Number of employees by segment900 835825800 726 675700 630 596579600 566 552 514 486477500 439428 407400300 186178200 150100 0 Finland Sweden Norway Denmark Europe East Europe Central Personnel 31/3/11 Personnel 31/12/11 Personnel 31/3/12 At the end of March 2012, the Group’s number of employees amounted to 3,086 (3,045) persons 22 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  23. 23. We continue to develop our outlet network –394 outlets at the end of March 2012 Number of outlets per segment450 394400 359350 103 99300 43 22 58250 57 3718 52200150 84100 50 96 84 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2008 2009 2010 2011 2012 Finland Sweden Norway Denmark Europe East Europe Central 23 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  24. 24. Fixed cost level increased due to acquisitions Fixed costs by quarterMEUR80 70 6870 63 66 62 6260 57 57 56 56 52 52 54 25 28 2550 24 27 25 23 23 22 23 22 19 22403020 38 41 42 42 35 33 33 33 33 32 37 37 3010 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2009 2010 2011 2012 Employee benefit expenses Other operating expenses The fixed cost level increased year-on-year due to • Acquisitions and outsourcing deals (more employees and outlets) • Higher market activity (more outsourced services and intensified sales activities) • Cost for building common platform 24 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  25. 25. Q1 EBIT margin increased to 7.5% EBIT margin by quarter25 % 19.6 %20 % 18.2 % 18.4 % 17.0 %15 % 13.6 % 10.8 % 11.8 % 10.3 % 9.0 %10 % 7.5 % 7.5 % 5.9 % 5.8 % 5% 2.0 % 0% -5 % -2.9 % -5.0 %-10 % -11.4 %-15 % Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2008 2009 2010 2011 2012 EBIT-margin January-March 2012: 7.5% (2.0%) 25 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  26. 26. Q1 EBIT margin improved in Finland, Norway, Denmark and Europe East year-on-year EBIT-margin by segments20 % 14.9 %15 % 12.9 % 13.5 % 8.9 %10 % 7.5 % 4.4 % 5% 2.0 % 1.2 % 0% -0.6 % -5 % -2.1 %-10 % -8.2 %-15 % -15.0 % -16.8 %-20 % -17.7 % Group Finland Sweden Norway Denmark East Central Q1 2011 Q1 2012 26 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  27. 27. Q1/2012 rental fleet investments were EUR 20.3million Purchased and sold equipment by quarterMEUR8070 66.86050 38.340 34.4 29.630 18.9 20.320 17.4 11.8 7.5 8.9 6.0 7.510 6.7 6.5 5.2 4.45.0 4.7 5.0 3.7 3.3 4.4 3.7 2.0 3.7 2.10 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2009 2010 2011 2012 Purchased equipment Sold equipment In January-March 2012, gross CapEx was EUR 35.7 (31.9) million of which EUR 20.3 (29.6) million in rental fleet The value of sold rental equipment was EUR 7.5 (3.7) million Committed investments at the end of quarter were EUR 3.4 (18.0) million. 27 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  28. 28. Capital expenditure increased due to acquisitions, in particular in Sweden Capital Expenditure by segmentsMEUR40 3635 3230 25252015 1310 4 4 5 45 3 4 2 2 2 00 Group Finland Sweden Norway Denmark East Central 1-3/2011 1-3/2012 28 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  29. 29. Working capital at -1% of net sales Working capital by quarter MEUR120 10 % 8% 80 124 120 114 6% 109 88 90 90 99 97 95 86 80 83 40 4% 2% 16 15 15 15 15 14 14 16 16 17 17 17 18 0 0% -2 % -66 -68 -70 -67 -69 -40 -86 -86 -89 -82 -84 -4 % -107 -109 -80 -139 -6 % -8 %-120 -10 % Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2009 2010 2011 2012 Trade payables and other liabilities Trade and other receivables Inventories Working capital/Net sales Rolling 12 month basis 29 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  30. 30. Q1/2012 cash flow after investments 6.4 MEUR Cash flow after investments MEUR806040 6720 25 28 22 20 24 18 13 14 16 0 6 -11 -20 -30 -4 -37-20 -55-40-60-80 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2008 2009 2010 2011 2012 Cash flow after investments 30 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  31. 31. Net debt decreased by 5 MEUR in Q1 2012; gearing was 83.8% at end of the period Net debt and gearing MEUR400 113 % 120 % 106 % 108 %350 96 % 81 % 99 % 100 % 86 % 92 %300 84 % 69 % 81 % % 84 74 % 80 % 70 % 71 % 80 %250 68 % % 68 64 % 60 %200 56 % 60 %150 40 %100 20 % 50 0 0% 2004200520062007 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2008 2009 2010 2011 2012 Net debt Gearing (%) Equity ratio was 38.0% (47.5%) Net debt amounted to EUR 257.7 (190.6) million 31 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  32. 32. At end of Q1 2012, Ramirent had unused committed back-up facility of EUR 132.1 million Repayment schedule of interest-bearing liabilities MEUR 450 390 MEUR in committed credit facilities 400 350 300 257.7 MEUR in net debt 240 250 200 150 100 150 50 0 2012 2013 2014 2015 2016 2017 Committed credit facilities32 32 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  33. 33. Ramirent is in good shape to managepossible changes in market conditionsBroadest range of equipment andDynamic Rental SolutionsTM3,100 dedicated problem solversWide network of outlets close to our customersStrong financial positionDeriving higher synergies through a more uniform”Ramirent platform” and brand 33
  34. 34. MORE INFORMATIONwww.ramirent.comMagnus Rosén, CEO+358 20 750 2845magnus.rosen@ramirent.comJonas Söderkvist, CFO+358 20 750 3248jonas.soderkvist@ramirent.comFranciska Janzon, IR+358 20 750 2859franciska.janzon@ramirent.com 34
  35. 35. COMPANY OVERVIEW 35
  36. 36. Ramirent in briefLeading equipment rental company in Northern, Centraland Eastern Europe with net sales of EUR 650 million(2011)394 rental customer centers located in 13 countries andproviding 200 000 rental items3 086 employees serving 100 000 customersFounded in 1955 and headquartered in FinlandListed on NASDAQ OMX Helsinki since 1998 36 Ramirent Plc I 10 May 2012 I Interim Report January-March 2012
  37. 37. More than 50 years of experience as a supplier to the construction industry GreenfieldSteel Nail shop First move entry toRakennusmies outside Finland Enter Acquires Czech Republicfounded through JV in Lithuania Bautas in Moscow, Russia Norway The rental Acquires business is MBO by key Enter Altima in established personnel and Poland Sweden capital investors1955 1983 1988 1994 1995 1996 1997 1998 2000 2001 2002 2003 2004 2005 2006 2008 Acquired by Partek Enter Renamed Enter and renamed Latvia Ramirent Ukraine A-rakennusmies Plc Enter The third county Slovakia becomes Estonia with Listed on the Greenfield the expansion to Helsinki Stock entry to Tallinn Exchange Hungary 37
  38. 38. Our strategic choicesVisionTo be the leading and most progressive equipmentrental solutions company in Europe, setting thebenchmark for industry performance and customerserviceMissionWe simplify business by Delivering DynamicRental Solutions™ValuesOpen, Progressive, EngagedBrand promiseLet’s solve it 38
  39. 39. One of the leading equipment rental companies both in Europe (#3) and globally (#12) Largest rental companies in Europe Largest rental companies globally Turnover 2010 (MEUR) Turnover 2010 (MEUR) Aggreko Loxam United Rentals Cramo* Ashtead Group Ramirent Algeco… RSC Equipment RentalSpeedy Hire Algeco Scotsman Sarens Coates Hire Ltd Liebherr-… Hertz Equipment Rental Kiloutou Loxam Mediaco… Nishio Rent All Co HKL… Nikken Corp Cramo* 0 200 400 600 800 1000 Ramirent 0 500 1000 1500 2000 *Cramo + Theisen PF Source: IRN June 2011 39
  40. 40. Leading market position in five of our six geographical segments Finland 84 depots Sweden (25 franchises) 84 depots Market #1 Employees Norway (10 franchises) Market #2 43 depots Europe Finland (4 franchises) Central 579 Market #1 726 Europe East 58 depots 10 re-renting Total agents Denmark 3,086 Market #1 22 depots Sweden Market #1Europe 675 East Europe Central 428 103 depots (24 franchises) Market #1 Denmark Norway 178 477 40
  41. 41. Nordic countries are our largest markets and construction is our largest customer sector Sales per segment 1-3/2012 Sales per customer sector 2010 Europe Central Households Public sector 5% Europe 8% Finland 5% East 23% Construction 7% 76% IndustryDenmark 14% 6% Norway Sweden 26% 29% 41
  42. 42. Broadest range of equipment and Dynamic Rental SolutionsTM OUTSOURCING Ramirent takes care of, and caters SOLUTIONS to, the total customer needs • TotalSolve • AccessSolve SERVICES • SafeSolve • PowerSolve • EcoSolve • ClimateSolveRAMIRENT OFFERING • Planning & • Fuel / gas Benefits: design refilling • SpaceSolve By outsourcing functions to • Ramirent • Site logistics Ramirent, companies can increase know-how coordinator efficiency and simplify their PRODUCTS • Transportation • Facility business by focusing on core Benefits: • Lifts • Modules • Installation management competences • Maintenance • Paperwork Easy to buy, reduced number of • Heavy machinery • Safety and subcontractors, increased focus on • Tower, cranes formworks • Inspections for authorities the core business and hoists • Light machinery • Insurance • Technical • Scaffolding • Power and • Operators support heating Benefits: Benefits: More uptime in core operations Lighter balance sheets, due to less downtime in equipment, less investments less maintenance costs, right choice of equipment improves efficiency, less product liability risk INDUSTRIES • Construction • Mining • Paper • Power generation • Oil & gas • Shipyards • Facility management • Public sector • Households CUSTOMER NEEDS 42
  43. 43. Light machinery, lifts and modules are the biggestproduct groups measured by rental income19% 8% 5% 11% TOWER CRANESLIFTS HEAVY MACHINERY AND HOISTS SCAFFOLDING17% 5% 26% 10%MODULES SAFE LIGHT MACHINERY POWER & HEATING Ramirent’s equipment fleet is organised along eight core product groups 43
  44. 44. The Group’s key strategic objectives Sustainable profitable growth  Accelerate growth with acquisitions and outsourcing deals  Evaluate entry into new markets  Strengthen local offerings and develop solution concepts Operational excellence  Develop a common Ramirent platform  Develop group wide IT platform and realise synergies  Maintain strong focus on cost efficiency Balanced risk level  Diversified portfolios of customers, products and markets  Continuous employee competence development  A strong financial position 44
  45. 45. Strong long-term growth drivers Long-term growing industry Increasing rental penetration 100 % Increasing rental penetration in most 70 % 90 % 60 % markets, still high potential compared 80 % 45 % to mature UK market 70 % 40 % 40 % 60 % 30 % 30 % Fragmented European rental market of 25 % 50 % 20 % 20 % 15 % 15 % 15 % 40 % EUR 20bn with top 10 rental companies 10 % 10 % 10 % 30 % 5% accounting for 19% of the market 20 % 10 % CEE construction markets on a low 0 % level compared to Nordics and Western Europe European consolidation opportunities High potential CEE construction markets Inhabitants Ramirent (million) Loxam Construction output (BEUR) Cramo Algeco Scotsman Speedy Hire Liebherr-Mietpartner GAM Mediaco Lifting Sarens Kiloutou HKL Baumschinen Others St. Petersburg + Moscow only 45 Source: ERA, Euroconstruct
  46. 46. The Group’s financial targets• ROI >18 % p.a. over a business cycle• EPS growth > 15 % p.a. over a business cycle• Gearing ≤ 120 % at end of each fiscal year• Dividend pay-out > 40 % of earnings per share 46
  47. 47. APPENDIX 47
  48. 48. CONSOLIDATED INCOME STATEMENTCONSOLIDATED INCOME STATEMENT 1−3/12 1−3/11 1−12/11(EUR 1,000)Rental income 103 073 87 040 430 848Ancillary income 53 745 43 565 192 355Sales of equipment 7 513 3 746 26 658NET SALES 164 331 134 351 649 861Other operating income 427 342 1 526Materials and services −55 056 −43 815 −209 357Employee benefit expenses −42 489 −36 629 −156 101Depreciation and amortisation −29 512 −24 933 −107 659Other operating expenses −25 361 −26 635 −104 140EBIT 12 340 2 681 74 131Financial income 7 016 2 116 11 405Financial expenses −8 687 −4 954 −24 776EBT 10 670 −157 60 760Income taxes −2 773 50 −16 030NET RESULT FOR THE PERIOD 7 896 −108 44 730Net result for the period attributable to:Owners of the parent company 7 896 −108 44 730Non-controlling interest – – –TOTAL 7 896 −108 44 730Earnings per share (EPS)EPS on parent company shareholders share of profit, 0.07 0.00 0.41basic and diluted, EUR 48
  49. 49. BALANCE SHEET – ASSETSCONSOLIDATED BALANCE SHEET 31.3.2012 31.3.2011 31.12.2011ASSETS(EUR 1,000)NON-CURRENT ASSETSProperty, plant and equipment 486 878 432 136 487 310Goodwill 133 413 94 030 124 452Other intangible assets 40 443 10 565 35 719Available-for-sale investments 1 385 422 1 368Deferred tax assets 12 988 14 347 12 183NON-CURRENT ASSETS, TOTAL 675 108 551 500 661 032CURRENT ASSETSInventories 17 837 16 493 17 309Trade and other receivables 113 702 94 804 120 000Current tax assets 1 225 2 371 344Cash and cash equivalents 2 625 911 2 431CURRENT ASSETS, TOTAL 135 388 114 580 140 084TOTAL ASSETS 810 496 666 080 801 117 49
  50. 50. BALANCE SHEET – EQUITY AND LIABILITIESEQUITY AND LIABILITIES 31.3.2012 31.3.2011 31.12.2011(EUR 1,000)EQUITYShare capital 25 000 25 000 25 000Revaluation fund −4 223 −1 258 −4 192Invested unrestricted equity fund 113 329 113 329 113 329Retained earnings 173 442 179 374 191 862PARENT COMPANY SHAREHOLDERS’ EQUITY 307 547 316 445 326 000Non-controlling interests – – –EQUITY, TOTAL 307 547 316 445 326 000NON-CURRENT LIABILITIESDeferred tax liabilities 77 643 59 880 73 690Pension obligations 7 113 7 106 7 226Provisions 1 373 2 205 1 553Interest-bearing liabilities 225 129 131 408 219 773Other long-term liabilities 10 127 2 602 11 748NON-CURRENT LIABILITIES, TOTAL 321 385 203 200 313 990CURRENT LIABILITIESTrade payables and other liabilities 139 117 82 362 109 020Provisions 1 208 1 415 1 163Current tax liabilities 6 017 2 595 5 496Interest-bearing liabilities 35 222 60 063 45 448CURRENT LIABILITIES, TOTAL 181 564 146 435 161 127LIABILITIES, TOTAL 502 949 349 635 475 117TOTAL EQUITY AND LIABILITIES 810 496 666 080 801 117 50
  51. 51. KEY FIGURES(MEUR) 1–3/12 1–3/11 CHANGE 1–12/11Net sales 164.3 134.4 22.3% 649.9EBITDA 41.9 27.6 51.6% 181.8% of net sales 25.5% 20.6% 28.0%EBIT 12.3 2.7 360.3% 74.1% of net sales 7.5% 2.0% 11.4%Earnings per share (EPS), (basic and diluted), EUR 0.07 0.00 N/A 0.41Gross capital expenditure on non-current assets 35.7 31.9 12.0% 242.2Gross capital expenditure, % of net sales 21.7% 23.7% 37.3%Cash flow after investments 6.4 −10.7 N/A −52.0Invested capital at the end of period 567.9 507.9 11.8 % 591.2Return on invested capital (ROI), % 1) 18.6 % 9.3 % 15.7%Return on equity (ROE), % 1) 16.9 % 6.3 % 13.9%Net debt 257.7 190.6 35.2 % 262.8Gearing, % 83.8 % 60.2 % 80.6%Equity ratio, % 38.0 % 47.5 % 40.7%Personnel at end of period 3 086 3 045 1.3 % 3 1841) The figures are calculated on a rolling twelve month basis. 51
  52. 52. CONDENSED CASH FLOW STATEMENTCONSOLIDATED CONDENSED CASH FLOW 1−3/12 1−3/11 1−12/11STATEMENT(MEUR)Cash flow from operating activities 41.2 27.3 177.4Cash flow from investing activities −34.8 −38.1 −229.5Cash flow from financing activitiesBorrowings / repayment of short-term debt −8.5 18.7 30.6Borrowings / repayment of long-term debt 5.0 −5.2 52.9Purchase of treasury shares −2.7 −3.3 −3.4Dividends paid – – −27.0Cash flow from financing activities −6.2 10.3 53.1Net change in cash and cash equivalents 0.2 −0.4 1.1Cash and cash equivalents at the beginning of the period 2.4 1.4 1.4Translation difference on cash and cash equivalents – – –Net change in cash and cash equivalents 0.2 −0.4 1.1Cash and cash equivalents at the end of the period 2.6 0.9 2.4 52
  53. 53. SEGMENT INFORMATIONNet sales, MEUR 1−3/12 1−3/11 Change 1-12/11Finland, net sales (external) 37.9 29.2 30 % 151.4-Inter-segment sales 0.5 1.1 -58 % 3.3Sweden, net sales (external) 48.1 41.0 18 % 182.0-Inter-segment sales - 0.3 N/A 0.6Norway, net sales (external) 43.7 32.4 35 % 144.3-Inter-segment sales 0.1 0.2 -42 % 0.5Denmark, net sales (external) 9.8 8.2 20 % 43.5-Inter-segment sales - 0.2 N/A 0.6Europe East, net sales (external) 12.0 9.3 29 % 55.8-Inter-segment sales 0.2 0.1 97 % 0.2Europe Central, net sales (external) 12.8 14.3 -11 % 72.8-Inter-segment sales 0.5 0.1 500 % 1.0Elimination of sales between segments -1.2 -1.9 38 % -6.3Net sales, total 164.3 134.4 22 % 649.9 53
  54. 54. EBIT BY SEGMENTEBIT (EUR million) 1−3/12 1−3/11 Change 1-12/11Finland 5.0 1.3 267% 22.8% of net sales 12.9% 4.4% 14.7%Sweden 6.5 6.1 6% 33.2% of net sales 13.5% 14.9% 18.2%Norway 3.9 0.4 926% 11.2% of net sales 8.9% 1.2% 7.7%Denmark -0.2 -1.3 84% 0.1% of net sales -2.1% -15.0% 0.2%Europe East -0.1 -1.7 96% 5.9% of net sales -0.6% -17.7% 10.5%Europe Central -2.2 -1.2 -89% 5.5% of net sales -16.8% -8.2% 7.4%Net items not allocated to operating segments -0.5 -1.1 51% -4.5Group EBIT 12.3 2.7 360% 74.1% of net sales 7.5% 2.0% 11.4% 54
  55. 55. LARGEST SHAREHOLDERS % of Market Cap EUR 705.2 million Largets shareholders Number of share on 31 March 2012 shares 8.9 % capital1 Nordstjernan AB 31 882 078 29.33 34.7 %2 Oy Julius Tallberg Ab 11 962 229 11.013 Varma Mutual Pension Insurance Company 7 831 299 7.204 Ilmarinen Mutual Pension Insurance Company 5 262 059 4.84 40.2 %5 Odin Funds 4 595 085 4.22 17.4 %6 Tapiola Mutual Pension Insurance Company 2 407 668 2.22 Foreign owners7 Veritas Pension Insurance Company Ltd 1 448 120 1.338 Investment Fund Aktia Capital 1 192 540 1.10 Nominee registered9 Investment Fund Nordea Fennia 1 000 000 0.92 Finnish companies and 825 000 0.76 organisations10 Föreningen Konstsamfundet rf Finnish householdsRamirent Plc’s treasury shares 1 030 192 0.95Nominee registered shares 18 627 031 17.14Other shareholders 22 253 788 20.47Total number of shares 108 697 328 100.00 Trading information Listing: NASDAX OMX Helsinki Date of listing: April 30, 1998 Segment: Mid Cap Sector: Industrials Trading code: RMR1V 55
  56. 56. Share price development EUR MEUR22.36 180 300 19.87 160 250 17.39 140 14.90 120 200 100 12.42 150 80 9.94 7.45 60 100 4.97 40 50 2.48 20 0 Share turnover Osakevaihdon arvo Ramirent OMX Helsinki 56
  57. 57. Thank you!

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