Q4 2018 PRESENTATION - Cramo Group · Q4/17 Acquisitions Divestments Organic growth FX-changes IFRS 15 impact Q4/18 n Sales Q4/17 vs Q4/18 EQUIPMENT RENTAL: FINLAND AND EASTERN EUROPE

8th February 2019

Q4 2018 PRESENTATION

Leif Gustafsson, CEO

Aku Rumpunen, CFO

Philip Isell Lind af Hageby, EVP, Modular Space

Q4 2018 HIGHLIGHTS

• Sales increased by 10.6% (13.8% in local currencies) to

EUR 217.5 (196.7) million. NMG acquisition completed

and consolidated since 31 Oct contributing EUR 12.8

million to sales growth.

• Group comparable EBITA improved by 6.2% to EUR 34.4

million (32.4) supported by ER Central and ER Finland

and Eastern Europe and Modular Space.

• All ER segments contributed positively to organic sales

growth of 1.9%.

• Modular Space organic rental sales grew by 13.5% and

EBITA improved by 28.8% vs LY.

• The Board of Directors of Cramo has decided to pursue

towards spin-off of the Company’s Modular Space

business to Cramo’s existing shareholders in the Nasdaq

Stockholm latest in the third quarter of 2019

• The Board of Directors proposes a dividend of EUR 0.90

per share

2

Capturing full business potential

Growth

▪ Increase opportunity to optimize

operational efficiency and create value

Competitive strength

▪ Increase competitiveness through

specialization

▪ More focused management for

separate companies

Financial clarity

▪ Two clear investment options with

different risk and growth profiles

Creating conditions for greater shareholder value

with two stand-alone companies that can grow

stronger separately

▪ Cramo Board of Directors has decided

to pursue towards separation of the

Modular Space (Cramo Adapteo)

business through a partial demerger

▪ The transaction and separate listing

(Nasdaq Stockholm) of Cramo Adapteo

is expected to take place latest in the

third quarter of 2019

▪ Execution of a partial demerger requires

approvals by Cramo Board of Directors

and general meeting of the

shareholders

POTENTIAL FOR RELEASING SHAREHOLDER VALUE

Spin-off through a partial demerger

3

▪ In a partial demerger, all assets and

liabilities belonging to the Modular

Space business would be transferred to

a new company to be incorporated in

the demerger

▪ Shareholdings in Cramo would remain

unchanged as a result of the demerger

▪ Shares in the new Modular Space

company would be issued as demerger

consideration to Cramo’s shareholders

in proportion to shareholdings in Cramo

SPIN-OFF THROUGH A PARTIAL DEMERGER

100 %

Partial demerger (Modular Space assets and

liabilities transferred to a new company)

New shares in new

Modular Space

company as demerger

consideration1)

100 %1)

1) The New Modular Space company may issue new shares to the sellers of the shares in Nordic Modular Group Holding AB, with which Cramo entered into an agreement in June 2018 concerning the option under certain

conditions to reinvest purchase price receivables from said transaction into the Modular Space business.

Overview of structure

Cramo’s shareholders

Cramo PlcNew Modular

Space company

4

13

.3 %

15

.2 %

14

.4 %

14

.5 %

0%

5%

10%

15%

20%

Q3/

15

Q4/

15

Q1/

16

Q2/

16

Q3/

16

Q4/

16

Q1/

17

Q2/

17

Q3/

17

Q4/

17

Q1/

18

Q2/

18

Q3/

18

Q4/

18

Comparable ROCE

Comparable ROCE Target 2017-20

3.5

%

4.0

%

10

.2 %

7.8

%

6.1

%

5.4

%

3.7 % 2.3 %

0%

5%

10%

15%Q

3/1

7

Q4/

17

Q1/

18

Q2/

18

Q3/

18

Q4/

18

Organic** sales growth (y-o-y)

Organic sales growth (YTD) Market 2017* Market 2018*

9.5

%

9.3

%

14

.2 %

15

.7 %

15.0

%

14

.6 %

10

.0 %

0%

5%

10%

15%

20%

Q3/

17

Q4/

17

Q1/

18

Q2/

18

Q3/

18

Q4/

18

Organic** rental sales growth (y-o-y)

Organic rental sales growth (YTD) Target 2017-20

12.6

%

11

.4 %

9.1

%

8.8

%

12

.5 %

0%

5%

10%

15%

20%

Q3/

15

Q4/

15

Q1/

16

Q2/

16

Q3/

16

Q4/

16

Q1/

17

Q2/

17

Q3/

17

Q4/

17

Q1/

18

Q2/

18

Q3/

18

Q4/

18

Comparable ROCE

Comparable ROCE Target 2017-20

FINANCIAL TARGET REALISATION

EQUIPMENT RENTAL MODULAR SPACE

* Target to grow faster than market. Market growth according to ERA (European Rental Association) in the markets where Cramo is present.

** Organic sales growth excludes the impact of acquisitions, divestments and exchange rate changes and IFRS changes

5

SALES GROWTH TARGETS REACHED IN BOTH BUSINESS DIVISIONS

6

BUSINESS

SEGMENTS

103.7 101.9 100.1

0

20

40

60

80

100

120

Q4/

16

Q1/

17

Q2/

17

Q3/

17

Q4/

17

Q1/

18

Q2/

18

Q3/

18

Q4/

18

Sa

les

(E

UR

mil

lio

n)

Sales

18.9

21.5 20.5

16.2

%

18

.7 %

19

.3 %

10%

12%

14%

16%

18%

20%

22%

24%

0

5

10

15

20

25

Q4/

16

Q1/

17

Q2/

17

Q3/

17

Q4/

17

Q1/

18

Q2/

18

Q3/

18

Q4/

18

Co

mp

ara

ble

RO

CE

Co

mp

ara

ble

EB

ITA

(E

UR

mil

lio

n) Comparable EBITA and ROCE

Comparable EBITA Comparable ROCE

101.9 100.1

0.0 0.0 2.9 -4.60.0

0

20

40

60

80

100

120

Q4/17 Acquisitions Divestments Organicgrowth

FX-changes IFRS 15impact

Q4/18

EU

R m

illi

on

Sales Q4/17 vs Q4/18

• In Sweden, fourth-quarter sales increased by 0.4% in local

currencies driven by Southern and Central regions

• In Norway, sales developed positively supported by high

utilisation rates and several large projects

• Full year profitability improved due to increased organic sales

and good cost control

• According to Forecon, equipment rental market is expected to

grow by 1% in 2019 in Sweden. The Norway outlook is positive

for 2019 driven particularly by civil engineering.

EQUIPMENT RENTAL: SCANDINAVIASOLID PERFORMANCE CONTINUED

-4.4%

Organic growth

+2.9% vs LY

ER Scandinavia has operations in Sweden and Norway with capital

employed of MEUR 379 at the end of Q4 2018.

-1.7%

All figures exclude IACs and are presented as comparable key figures

Cramo changed the calculation method of ROCE’s capital employed component into 12 months average in Q4’2018.

7

37.4 38.7 39.3

0

5

10

15

20

25

30

35

40

45

50

Q4/

16

Q1/

17

Q2/

17

Q3/

17

Q4/

17

Q1/

18

Q2/

18

Q3/

18

Q4/

18

Sa

les

(E

UR

mil

lio

n)

Sales

7.1

7.0 7.3

11

.6 %

13

.1 % 1

1.4

%

0%

5%

10%

15%

20%

0

2

4

6

8

10

12

14

Q4/

16

Q1/

17

Q2/

17

Q3/

17

Q4/

17

Q1/

18

Q2/

18

Q3/

18

Q4/

18

Co

mp

ara

ble

RO

CE

Co

mp

ara

ble

EB

ITA

(E

UR

mil

lio



38.7 39.3

0.0 0.0 0.7 0.0 0.0

0

5

10

15

20

25

30

35

40

45



Q4/18

EU

R m

illi

on


EQUIPMENT RENTAL: FINLAND AND EASTERN EUROPESALES AND PROFITABILITY IMPROVED IN THE FOURTH QUARTER

+4.4%

Organic growth

1.8% vs LY

+1.7%

• Organic sales increased by 1.8% in Q4. In Finland, sales were

close to last year level decreasing by 1.0%. This was offset by good

sales development in segment’s other countries.

• Profitability increased strongly in Poland, Estonia and Lithuania due

to higher sales and good cost control. In Finland profitability was

below last year, but improved from previous quarter due to

executed organisational restructuring.

• Market outlook is mainly positive in all countries

ER Finland and Eastern Europe has operations in four countries with

capital employed of MEUR 193 at the end of Q4 2018.8All figures exclude IACs and are presented as comparable key figures


20.3 20.6

32.4

0

5

10

15

20

25

30

35

40

Q4/

16

Q1/

17

Q2/

17

Q3/

17

Q4/

17

Q1/

18

Q2/

18

Q3/

18

Q4/

18

Sa

les

(E

UR

mill

ion

)

Sales

1.6 1.3

2.5

4.1

%

4.7

% 5.7

%

-3%

-1%

1%

3%

5%

7%

-3

-2

-1

0

1

2

3

4

5

6

Q4/

16

Q1/

17

Q2/

17

Q3/

17

Q4/

17

Q1/

18

Q2/

18

Q3/

18

Q4/

18

Co

mp

arable R

OC

E

Co

mp

arab

le E

BIT

A (E

UR

mill

ion

) Comparable EBITA and ROCE


20.6

32.4

9.9 0.02.0 0.0 0.0

0

5

10

15

20

25

30

35



Q4/18

EUR

mill

ion


EQUIPMENT RENTAL: CENTRAL EUROPEORGANIC SALES GREW AND PROFITABILITY IMPROVED

Organic growth

+9.6% vs LY

ER Central Europe has operations in five countries with capital

employed of MEUR 153 at the end of Q4 2018.

• Strong sales growth supported by KBS Infra acquisition (EUR 9.9 million

impact) supported by all segment countries, including Germany, where

trading sales were on a high level in the fourth quarter.

• Comparable EBITA increased to EUR 2.5 (1.3) million or 7.6% (6.3%) of

sales. The fourth quarter profitability was positively affected by the KBS

Infra acquisition’s contingent liability remeasurement of EUR 1.1 million.

• The underlying performance of Germany has not reached our targets

and improvement actions will be continued

+91.5%

+57.7%

9

Organic rental

growth

+0.5% vs LY



8.27.4

9.6

11

.4 %

9.1

%

8.8

%

5%

7%

9%

11%

13%

15%

17%

19%

0

2

4

6

8

10

12

Q4/

16

Q1/

17

Q2/

17

Q3/

17

Q4/

17

Q1/

18

Q2/

18

Q3/

18

Q4/

18

Co

mp

ara

ble

RO

CE

Co

mp

ara

ble

EB

ITA

(E

UR

mil

lio



20.0 22.1

30.4

11.513.7

15.931.6

35.8

46.3

0

5

10

15

20

25

30

35

40

45

50

Q4/

16

Q1/

17

Q2/

17

Q3/

17

Q4/

17

Q1/

18

Q2/

18

Q3/

18

Q4/

18

Sa

les

(E

UR

mil

lio

n)

Sales

Other sales Rental sales Sales

35.846.3

12.8 0.0 -1.4 -1.0 0.1

0

10

20

30

40

50

60



Q4/18

EU

R m

illio

n


• Driven by NMG acquisition, Q4 sales increased by 29.3%

(32.9% in local currencies). Rental sales grew by 37.3%

(40.8% in local currencies). Organic rental sales growth was

13.5%.

• Fourth quarter EBITA increased by 28.8% and totalled EUR

9.6 (7.4) million. Improvement was particularly driven by

NMG, which increased EBITA by EUR 2.1 million.

• Segment profitability was diluted by cost provisions of EUR

2.1 million relating to certain integration and restructuring

measures.

MODULAR SPACERENTAL SALES GROWTH CONTINUED STRONG

Modular Space has operations in seven countries with

capital employed of MEUR 623 at the end of Q4 2018.

+28.8%

Organic growth

-4.0% vs LY

+29.3%

+29.3%

10

Organic rental

sales growth

+13.5% vs LY



LEADING MODULAR SPACE SOLUTION PROVIDERMODULAR SPACE BUSINESS (ADAPTEO) IN BRIEF*

OFFICE NETWORK

KEY FINANCIALS FY2018 (illustrative)*

Net sales (M€)* EBITA (M€) and EBITA margin*222* 52* (23.4%)

OFFICE NETWORK

PEOPLE

FLEET

Sales office

Hub/Warehouse

Production (own)

ADAPTEO PRESENCE

Day care AccommodationOfficeSchoolEvents/

Exhibitions

CUSTOMER SEGMENTS

OFFICE NETWORK

PERSONNEL ~400 employees

RENTAL MODULES

23 sales offices and hubs and two (2) factories across seven (7) countries

~31.000 modules

OFFICE NETWORK

PEOPLE

FLEET

BUSINESS UNITS

School

* Not representative of stand-alone Adapteo. Calculated based on Cramo’s modular space segment information where NMG is included for two months Nov-Dec 2018 and added with

illustrative NMG impact for ten months Jan-Oct 2018 calculated with Cramo’s accounting principles including the impact of purchase price allocation. Figures are unaudited.

Production (outsourced)

11

MODULAR SPACE RENTAL OPERATIONS MODEL EXPLAINEDCOMPLETE SOLUTION PROVIDER ACROSS ALL PHASES IN THE MODULAR SPACE RENTAL CYCLE

12

RENTAL MARKET OVERVIEW AND POSITIONINGCRAMO ADAPTEO WELL POSITIONED TO CAPTURE MARKET SHARES IN AN ATTRACTIVE AND RENTAL MARKET

MARKET SIZE 2018 ~125 M€ ~110 M€ ~290 M€ ~145 M€ ~750 M€

MARKET CAGR 2017-2023 ≥10% 5-10% 5-10% ≥10% 5-10%

OVERALL MARKET ATTRACTIVENESS

OPCO MARKET POSITION 2 3 1 2 12*

TOP 3 COMPETITIVE LANDSCAPE 1. GSV

2. Adapteo

3. Jytas

1. Malthus-Uniteam

2. Expandia

3. Adapteo

1. Adapteo

2. Expandia

3. Indus

1. Parmaco

2. Adapteo

3. Ramirent

1. Algeco

2. Kleusberg

3. FAGSI

High attractiveness

Low attractiveness

The rental modular space market in current Adapteo markets is worth ~1.4 bn€ and is forecasted to grow by approximately 9% p.a. reaching ~2.2 bn€ in 2023

Source: Market studies

13

SOLUTION OFFERING PORTFOLIOBROAD PREMIUM SOLUTION OFFERING FULFILLING ACROSS THE BOARD CUSTOMER SEGMENT NEEDS

QUALITY

TIMEShort term Long term SalesEvent/exhibitions

Special customized

Premiumwooden

Standard wooden

Steel

14

NORDIC MODULAR GROUP ACQUISITION RATIONALESTRENGHTENING OUR POSITION IN THE NORDIC MODULAR SPACE INDUSTRY

NewCo presence

Strengthen our modular space market position in the Nordics with

adequate size and cost efficiency to attract top-tier investors

Penetrate the short-term/long-term rental business with optimized

and differentiated solutions towards targeted customer segments

Establish a strong platform with capacity to grow the rental and sales

business in Central Europe, both organically and through acquisitions

Form a versatile modular space group with inhouse R&D, design and

manufacturing to expand the semi-permanent sales business

Increase modular space concept awareness and business transparency

driving long-term value creation – Be a true shaper of the industry

15

NEW MODULAR SPACE PROJECTS IN Q4/18

Skanska, Hämeenlinna, Finland

▪ Customer: Skanska Big Room

▪ Rental period: 60 months

▪ Solution: Office

▪ Number of modules: 12 units

▪ Module type: Temporent NOVA

▪ Area: 672 sqm in two floors

▪ Other: First NOVA project in Finland

Germany

Cramo Adapteo is a leading

modular space solution provider

with a well established presence in

seven countries serving customers

in both the public and private sector

with school, daycare, office, event

and accommodation solutions.

16

Hålabäckskolan, Kungsbacka, Sweden

▪ Customer: Kungsbacka kommun

▪ Rental period: 21 months

▪ Solution: School

▪ Number of modules: 91 units

▪ Module type: C90

▪ Area: 2,975 sqm in two floors

▪ Other: Added fire proof solution – better space usage. Natural sciences class

rooms.

2

11

Denmark

Germany

Slovakia

Lithuania

Estonia

Norway

Sweden

Finland

2

1

GROUP

PERFORMANCE

Q4 2018

187

155

179185

193

163

178

192197

175

189

198

218

-2%

0%

2%

4%

6%

8%

10%

12%

0

50

100

150

200

250

Q4/

15

Q1/

16

Q2/

16

Q3/

16

Q4/

16

Q1/

17

Q2/

17

Q3/

17

Q4/

17

Q1/

18

Q2/

18

Q3/

18

Q4/

18

Sales grow

th (%, y-o-y)S

ales

(EU

R m

illio

n)

668

676

694

707712

720 719

726730

742

753759

780

0%

1%

2%

3%

4%

5%

6%

7%

8%

600

620

640

660

680

700

720

740

760

780

800

Q4/

15

Q1/

16

Q2/

16

Q3/

16

Q4/

16

Q1/

17

Q2/

17

Q3/

17

Q4/

17

Q1/

18

Q2/

18

Q3/

18

Q4/

18

R12M

sales growth (%

, y-o-y)

R12

M s

ales

(EU

R m

illio

n)

SALES DEVELOPMENTORGANIC SALES GROWTH OF 1.9% IN Q4

* in local currencies

** organic sales growth in local currencies

Quarters Rolling 12 months

R12M Q4/18 vs.

R12M Q4/17:

+6.9%

Q4/18 vs. Q4/17:

+10.6% (+13.8%*)

(+1.9%**)

18

196.7217.5

22.7 0.0 3.7 -5.60.1

0

50

100

150

200

250

Q4/17 Acquisitions Divestments Organic

growth

FX-changes IFRS 15

impact

Q4/18

EUR

mill

ion


GROUP Q4 SALES GROWTH VS LYORGANIC SALES GROWTH 1.9% VS REPORTED SALES GROWTH 10.6%

Organic sales growth +1.9%

vs LY

▪ Equipment Rental +3.5%

▪ Scandinavia +2.9%

▪ Finland and Eastern Europe

+1.8%

▪ Central Europe +9.6%

▪ Modular Space -4.0%

19

NMG

increasing

sales by

+12.8MEUR,

KBS by

+9.9MEUR

729.5 779.8

45.4 -16.342.2 -24.1

2.9

0

100

200

300

400

500

600

700

800

900

Q1-Q4/17 Acquisitions Divestments Organic

growth

FX-changes IFRS 15

impact

Q1-Q4/18

EUR

mill

ion

Sales Q1-Q4/17 vs Q1-Q4/18

GROUP FULL YEAR SALES GROWTH VS LYORGANIC SALES GROWTH 6.1% VS REPORTED SALES GROWTH 6.9%

Organic sales growth +6.1%

vs LY

▪ Equipment Rental +5.4%

▪ Scandinavia +7.0%

▪ Finland and Eastern Europe

+3.4%

▪ Central Europe +2.2%

▪ Modular Space +10.1%

20

NMG

increasing

sales by

+12.8MEUR,

KBS by

+31.6MEUR

27.0

13.0

26.6

38.9

32.6

19.7

27.8

40.2

32.4

23.1

31.0

41.6

34.4

14.4 %

16.9 %16.5 %

15.8 %

5%

7%

9%

11%

13%

15%

17%

19%

21%

23%

0

5

10

15

20

25

30

35

40

45

Q4/

15

Q1/

16

Q2/

16

Q3/

16

Q4/

16

Q1/

17

Q2/

17

Q3/

17

Q4/

17

Q1/

18

Q2/

18

Q3/

18

Q4/

18

EB

ITA

ma

rgin

(%, lin

e g

rap

h)

EB

ITA

(E

UR

mill

ion

)

8790

98

105

111

118 119 120 120123

127 128 130

13.0 %

15.6 %16.5 %

16.7 %

5%

7%

9%

11%

13%

15%

17%

19%

0

20

40

60

80

100

120

140

Q4/

15

Q1/

16

Q2/

16

Q3/

16

Q4/

16

Q1/

17

Q2/

17

Q3/

17

Q4/

17

Q1/

18

Q2/

18

Q3/

18

Q4/

18

R1

2M

EB

ITA

ma

rgin (%

, line

gra

ph)

R1

2M

EB

ITA

(E

UR

mill

ion

)

COMPARABLE EBITA DEVELOPMENTY-O-Y INCREASE SUPPORTED BY MODULAR SPACE, ER CENTRAL AND ER EAST

Quarters Rolling 12 months

Q4/18 vs. Q4/17:

+6.2%

R12M Q4/18 vs.

R12M Q4/17:

+8.3%

21

239.

4

240.

4

259.

4

65.5

67.9 72

.6

59.8 64

.2

65.7

59.3

56.9 62

.0

54.8

51.4 59

.1

33.6

%

33.0

%

33.3

%

34.0

%

34.5

%

33.4

%

32.3

%

33.5

%

33.2

%

33.1

%

31.9

%

32.8

%

35.3

%

31.5

% 33.7

%

0

50

100

150

200

250

300

0.0 %

5.0 %

10.0 %

15.0 %

20.0 %

25.0 %

30.0 %

35.0 %

40.0 %

2016 2017 2018 2016 2017 2018 2016 2017 2018 2016 2017 2018 2016 2017 2018

Jan-Dec Q4 Q3 Q2 Q1

Dire

ct cost (E

UR

millio

n)D

irect

co

st r

atio

Direct costs (right axis) Direct cost ratio (left axis)

272.

9

276.

3 289.

0

73.8

72.8 82

.3

63.6

63.6

65.3 70

.4

70.7

72.1

65.1

69.2

69.3

38.3

%

37.9

%

37.1

%

38.2

%

37.0

%

37.8

%

34.4

%

33.1

%

33.0

%

39.3

%

39.7

%

38.1

%

41.9

%

42.5

%

39.5

%

0

50

100

150

200

250

300

350

400

0.0 %

5.0 %

10.0 %

15.0 %

20.0 %

25.0 %

30.0 %

35.0 %

40.0 %

45.0 %

50.0 %

2016 2017 2018 2016 2017 2018 2016 2017 2018 2016 2017 2018 2016 2017 2018

Jan-Dec Q4 Q3 Q2 Q1

Ind

irect co

st (EU

R m

illion

)Ind

irect

co

st ra

tio

Indirect costs (right axis) Indirect cost ratio (left axis)

240.

4 259.

4

67.9

72.6

64.2

65.7

56.9

62.0

51.4 59

.1

33.0

%

33.3

%

34.5

%

33.4

%

33.5

%

33.2

%

31.9

%

32.8

%

31.5

% 33.7

%

0

50

100

150

200

250

300

350

400

0.0 %

5.0 %

10.0 %

15.0 %

20.0 %

25.0 %

30.0 %

35.0 %

40.0 %

2017 2018 2017 2018 2017 2018 2017 2018 2017 2018

Jan-Dec Q4 Q3 Q2 Q1

Direct cost (E

UR

million)

Dire

ct c

ost

ratio

Direct costs (right axis) Direct cost ratio (left axis)

276.

3

289.

0

72.8 82

.3

63.6

65.3

70.7

72.1

69.2

69.3

37.9

%

37.1

%

37.0

%

37.8

%

33.1

%

33.0

%

39.7

%

38.1

%

42.5

%

39.5

%

0

50

100

150

200

250

300

350

400

0.0 %

5.0 %

10.0 %

15.0 %

20.0 %

25.0 %

30.0 %

35.0 %

40.0 %

45.0 %

50.0 %

2017 2018 2017 2018 2017 2018 2017 2018 2017 2018

Jan-Dec Q4 Q3 Q2 Q1

Indirect cost (EU

R m

illion)

Indi

rect

cos

t ra

tio

Indirect costs (right axis) Indirect cost ratio (left axis)

* Comparison before IACs

1 Direct cost refers to income statement line ”Materials and services”

2 Indirect cost refers to income statement lines ”Employee benefit expenses” and ”Other operating expenses”

QUARTERLY INDIRECT COST 2QUARTERLY DIRECT COST 1

DEVELOPMENT IN COST BASE*

22

32.4

34.4

32.4

-0.90.3

1.22.1

-0.70.3

2.1-0.4

0

5

10

15

20

25

30

35

40

Q4/2017 ERScandinavia

ER EasternEurope

ER CentralEurope

MS Non-allocated Q4/2018 ER MS Non-allocated Q4/2017

Development against LY Development against LY

Com

para

ble

EB

ITA

(E

UR

milli

on)

COMPARABLE EBITA BRIDGE Q4/18 VS Q4/17

16.5% of

sales

15.8% of

sales

23

16.5% of

sales

120.0

130.1

120.0

0.6 -2.7 4.57.9

-0.3 2.27.9

-0.1

0

20

40

60

80

100

120

140

Q1-Q4/2017 ERScandinavia

ER EasternEurope

ER CentralEurope

MS Non-allocated Q1-Q4/2018 ER MS Non-allocated Q1-Q4/2017

Development against LY Development against LY

Com

para

ble

EB

ITA

(E

UR

milli

on)

COMPARABLE EBITA BRIDGE Q1-Q4/18 VS Q1-Q4/17

16.5% of

sales16.7% of

sales

24

16.5% of

sales

0.40

0.16

0.41

0.64

0.51

0.28

0.42

0.66

0.51

0.35

0.48

0.71

0.50

0.00

0.50

1.00

1.50

2.00

2.50

0.00

0.20

0.40

0.60

0.80

1.00

1.20

1.40

1.60

1.80

2.00

Q4/15 Q1/16 Q2/16 Q3/16 Q4/16 Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 Q2/18 Q3/18 Q4/18

EP

S R

12

M (E

UR

, line

gra

ph)

Qu

art

erl

y E

PS

(E

UR

, ba

r g

rap

h)

COMPARABLE EPS PERFORMANCE

1.87

2.05

1.70

25

73.5

23.6

39.3

51.258.2

42.3

27.1

47.5

69.7

20.8

53.2 49.9

71.6

-130

-80

-30

20

70

-130

-80

-30

20

70

Q4/15 Q1/16 Q2/16 Q3/16 Q4/16 Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 Q2/18 Q3/18 Q4/18

Cash flow

after investments(E

UR

million, line graph)

Ope

ratin

g ca

sh fl

ow (

EU

R m

illio

n, b

ar g

raph

)

OPERATING CASH FLOW AND CASH FLOW AFTER INVESTMENTSQ4 OPERATING CASH FLOW INCREASED SLIGHTLY FROM LY

19.416.8

-119.7

Acquisition of shares

of Just Pavillion

(-8.1 MEUR)

26

37.0

KBS

acquisition

17.8 MEUR

Positive

impact of

divestments

(28 MEUR)

NMG

acquisition

-140.3 MEUR

14.9 %15.4 %

15.7 %

15.0 %

0%

2%

4%

6%

8%

10%

12%

14%

16%

18%Q

1/16

Q2/

16

Q3/

16

Q4/

16

Q1/

17

Q2/

17

Q3/

17

Q4/

17

Q1/

18

Q2/

18

Q3/

18

Q4/

18

Com

para

ble

RO

E%

Comparable ROE Target >15.0% 2017-20

1.771.65

2.88

3.00

2.63

0.00

0.50

1.00

1.50

2.00

2.50

3.00

3.50

Q1/

16

Q2/

16

Q3/

16

Q4/

16

Q1/

17

Q2/

17

Q3/

17

Q4/

17

Q1/

18

Q2/

18

Q3/

18

Q4/

18

Ne

t de

bt /

EB

ITD

A

Net debt / EBITDA pro-forma* Net debt / EBITDA

Target < 3.00 2017-20

COMPARABLE ROE AND NET DEBT TO EBITDA

27

GROUP LEVEL TARGETS REACHED IN 2018

* Pro-forma EBITDA contains KBS Jan-Feb pro-forma EBITDA and NMG Jan-Oct pro-forma EBITDA

DIVIDEND DEVELOPMENT 2014-2018THE BOARD OF DIRECTORS PROPOSES A DIVIDEND OF 0.90 (0.85) PER SHARE

0.550.65

0.750.85

0.90

0.00

0.10

0.20

0.30

0.40

0.50

0.60

0.70

0.80

0.90

1.00

2014 2015 2016 2017 2018

Div

idend (

EU

R /

share

)

CONCLUSION

AND OUTLOOK

2018

CONCLUSIONS

SHAPE

AND

SHARE

• Q4 organic sales growth of 1.9% supported by both

business divisions

• Comparable EBITA grew by 6.2% driven by Modular Space,

ER Finland and Eastern Europe and ER Central Europe

performance

• Performance improvement actions in Modular Space are

showing results – EBITA grew by 28.8% in the fourth

quarter. NMG effect was EUR 2.1 million.

• ER Germany did not meet our targets and performance

actions will continue

• Cramo completed the acquisition of Nordic Modular Group

Holding AB on 31 October 2018

• The Board of Directors of Cramo have decided to pursue

towards spin-off of the Company’s Modular Space business

to its existing shareholders. Spin-off through partial

demerger is expected to take place latest in the third quarter

of 2019.

30

OUTLOOK

Equipment Rental

• The 2019 rental market outlook remains still positive

despite increased economic uncertainties. In Sweden

and Finland, the rental market still shows growth due to

growth outside new residential building construction.

• In the Eastern European countries market growth is

expected to remain strong.

Modular Space

• The outlook for the rental market development is

positive for 2019; over ten (10) percent growth is

expected for Finland and Denmark and five (5) to ten

(10) percent for Sweden, Norway and Germany.

31

Documents

Q4 2018 PRESENTATION - Cramo Group · Q4/17 Acquisitions Divestments Organic growth FX-changes IFRS 15 impact Q4/18 n Sales Q4/17 vs Q4/18 EQUIPMENT RENTAL: FINLAND AND EASTERN EUROPE