Quarterly report 2023
Page 1
CVR: 36440414
INTERIM REPORT Q3
2023
Accounting period:
1. January – 30. September 2023
Revenue
(DKKm)
Q1-Q3: 372.5 (+18.8%)
Q3: 120.4 (+8.4%)
EBIT before special items
(DKKm)
Q1-Q3: 27.8 (+39.3%)
Q3: 10.3 (+12.5%)
EBIT margin before special items
Q1-Q3: 7.5% (+1.1pp)
Q3: 8.5% (+0.3pp)
ROIC
Q1-Q3: 19.6% (+6.0pp)
Order backlog
(DKKm)
Q1-Q3: 204.4 (-3.7%)
Quarterly report 2023
Page 2
This document contains forward-looking statements. Words such as believe, expect, may, will, plan, strategy, prospect, foresee, estimate, project,
anticipate, can, intend, outlook, guidance, target and other words and terms of similar meaning in connection with any discussion of future operation
of financial performance identify forward-looking statements. Statements regarding the future are subject to risks and uncertainties that may result in
considerable deviations from the outlookset forth. Furthermore, some of these expectations are based on assumptions regarding future events which
may prove incorrect
Important notice about this document
CONTENTS
Quarterly report 2023
Page 2
1 Q3 2023 IN BRIEF 3
2 KEY FIGURES AND FINANCIAL RATIOS 4
3 FINANCIAL REVIEW Q1-Q3 2023 8
4 SKAKO CONCRETE 11
5 SKAKO VIBRATION 15
6 FINANCIAL STATEMENTS 19
6.1 STATEMENT BY MANAGEMENT 20
6.2 CONSOLIDATED INCOME STATEMENT 21
6.3 CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME 22
6.4 CONSOLIDATED BALANCE SHEET 30 SEPTEMBER 23
6.5 CONSOLIDATED CASH FLOW STATEMENT 25
6.6 CONSOLIDATED STATEMENT OF CHANGES IN EQUITY 26
6.7 SEGMENT INFORMATION 28
6.8 QUARTERLY KEY FIGURES AND FINANCIAL RATIOS 30
Quarterly report 2023
Page 3
1. Q3 2023 IN BRIEF
Order intake
(DKKm)
Order backlog
(DKKm)
Revenue
(DKKm)
EBIT before special items
(DKKm)
EBIT margin
before special items
Earnings per share
(DKKm)
Employees ROIC
112.3
(-1.2%)
204.4
(-3.7%)
120.4
(+8.4%)
10.3
(+12.5%)
8.5%
(+0.3pp)
2.48
(-0.15)
214
(+7.5%)
19.6%
(+6.0pp)
Down from 113.7 in Q3 2022 Down from 212.2 in Qq-Q3 2022 Up from 111.1 in Q3 2022 Up from 9.1 in Q3 2022 Up from 8.2% in Q3 2022 Up from 2.63 in Q3 2022 Up from 199 in Q3 2022 Up from 13.6% in Q3 2022
Quarterly report 2023
Page 3
SKAKO Concrete
63.4 (mDKK)
EBIT margin 6.0%
SKAKO Vibration
58.0 (mDKK)
EBIT margin 12.2%
Revenue split by
Concrete &
Vibration
After sales
41.1 (mDKK)
Plant sales
79.3 (mDKK)
Revenue split
by plant sales
and aftersales
Quarterly report 2023
Page 4
2. KEY FIGURES AND FINANCIAL RATIOS
DKK thousands
Q3 2023 Q3 2022 Q1-Q3 2023 Q1-Q3 2022 FY 2022
INCOME
STATEMENT
Revenue
120,376 111,065 372,510 313,666
437,920
Gross
profit
29,789 26,292 89,189 77,955
114,637
Operating profit (EBIT)
before special items
10,278 9,136 27,813 19,961
30,842
Special items
- - -1,934 -1,650
-1,650
Operating
profit (EBIT) after special items
10,278 9,136 25,879 18,311
29,192
Net
financial items -252 246 -2,827 -1,492
-4,962
Profit
before tax 10,026 9,382 23,052 16,819
24,230
Profit
for the year 7,645 8,119 17,107 13,957
25,074
BALANCE
SHEET
Non
-current assets
93,392 80,776 93,392 80,776
88,599
Current
assets
331,005 253,727 331,005 253,727
295,458
Assets
424,397 334,503 424,397 334,503 384,057
Equity
147,368 133,454 147,368 133,454 146,167
Non
-current liabilities 25,983 29,640 25,983 29,640 26,473
Current liabilities
251,046 171,409 251,046 171,409 211,417
Net debt
9,576
28,444 9,576 28,444
20,997
Net working capital
103,358
113,387 103,358 113,387
110,681
OTHER KEY
FIGURES
Investment in intangible assets
1,729
- 1,809 1,474 4,153
Investment in tangible assets
721 297 10,428 1,301
3,179
Cash flow from operating activities (CFFO)
51,073 4,687 40,629 15,266
28,850
Free cash flow
48,623 4,390 28,392 12,491
22,213
Average number of employees
214 199 214 199
205
Quarterly report 2023
Page 5
KEY FIGURES AND FINANCIAL RATIOS CONTINUED
DKK thousands
Q3 2023 Q3 2022 Q1-Q3 2023 Q1-Q3 2022 FY 2022
FINANCIAL
RATIOS
Gross
profit margin
24.7%
23.7%
23.9%
24.9%
26.2%
Profit
margin (EBIT margin) before special items
8.5% 8.2% 7.5% 6.4%
7.0%
Profit margin (EBIT margin)
after special items
8.5% 8.2% 6.9% 5.8%
6.7%
Liquidity ratio
131.9% 148.0% 131.9% 148.0%
140.1%
Equity ratio
34.7%
39.9%
34.7%
39.9%
38.3%
Return
on equity
20.1% 14.4% 20.1% 14.4%
17.9%
ROIC
19.6%
13.6%
19.6%
13.6%
16.5%
Financial leverage
6.5% 21.3% 6.5% 21.3% 14.2%
Net debt to EBITDA
0.2
0.8
0.2
0.8 0.5
NWC/Revenue
20.8%
27.0%
20.8%
27.0% 25.3%
Earnings per share
2.48 2.63 5.55 4.53
8.13
Equity value per share
47.8
43.3
47.8
43.3
48.0
Share price
77.0 50.0 77.0 50.0 62.6
Price
-book ratio
1.61 1.2 1.61 1.2 1.3
Market capitalization
239,194 155,321 239,194 155,321 194,461
Order backlog
204,392
212,217
204,392
212,217 215,202
Page 5
For calculation of financial ratios please see page 35. Net working capital is calculated as inventory, trade receivables and contract assets less contract liabilities and trade payables. Backlog represents revenue from signed
contracts or orders executed but not yet completed or performed in full.
Quarterly report 2023
Page 6
KEY FIGURES AND FINANCIAL RATIOS – EUR
EUR thousands
Q3 2023 Q3 2022 Q1-Q3 2023 Q1-Q3 2022 FY 2022
INCOME
STATEMENT
Revenue
16,160 14,928 50,009
42,159
58,883
Gross
profit
3,999 3,534 11,973 10,478
15,414
Operating
profit (EBIT) before special items
1,380 1,228 3,734 2,683
4,147
Special items
- - -260 -201
-222
Operating profit (EBIT)
after special items
1,380 1,228 3,474 2,482
3,925
Net
financial items -34 33 -379
-201
-667
Profit
before tax 1,346 1,261 3,095 2,281
3,258
Profit
for the year 1,026 1,091 2,297 1,876
3,371
BALANCE
SHEET
Non
-current assets
12,525 10,857 12,525 10,857
11,913
Current
assets
44,393 34,103 44,393 34,103
39,728
Assets
56,919 44,960 56,919 44,960 51,640
Equity
19,765 17,937 19,765 17,937 19,654
Non
-current liabilities 3,485 3,984 3,485 3,984 3,560
Current liabilities
33,669 23,039 33,669 23,039 28,430
Net debt
1,284
3,082 1,284 3,823
2,824
Net working capital
13,862
15,240 13,862 15,240
14,884
OTHER KEY
FIGURES
Investment in intangible assets
232
- 243 198 558
Investment in tangible assets
97 40 1,399 175
427
Cash flow from operating activities (CFFO)
6,853 630 5,452 2,052
3,879
Free cash flow
6,524 590 3,810 1,679
2,714
Average number of employees
Quarterly report 2023
Page 7
KEY FIGURES AND FINANCIAL RATIOS – EUR CONTINUED
EUR thousands
Q3 2023 Q3 2022 Q1-Q3 2023 Q1-Q3 2022 FY 2022
FINANCIAL
RATIOS
Gross
profit margin
24.7% 23.7% 23.9% 24.9%
26.2%
Profit margin (EBIT margin)
before special items
8.5% 8.2% 7.5% 6.4%
7.0%
Profit
margin (EBIT margin) afer special items
8.5% 8.2% 6.9% 5.8%
6.7%
Liquidity ratio
131.9% 148.0% 131.9% 148.0%
140.1%
Equity ratio
34.7% 39.9% 34.7% 39.9%
38.3%
Return
on equity
20.1% 14.4% 20.1% 14.4%
17.9%
ROIC
19.6% 13.6% 19.6% 13.6% 16.5%
Financial leverage
6.5% 21.3% 6.5% 21.3% 14.2%
Net debt to EBITDA
0.2 0.8 0.2 0.8 0.5
NWC/Revenue
20.8% 27.0% 20.8% 27.0%
25.3%
Earnings per share
0.33 0.35 0.74 0.61
1.09
Equity value per share
6.41 5.82 6.41 5.82 6.45
Share price
10.33 6.72 10.33 6.72 8.42
Price
-book ratio
1.61 1.2 1.61 1.2 1.3
Market capitalization
32,080 20,876 32,080 20,876 26,150
Order backlog
27,412
28,524 27,412 28,524
28,939
Quarterly report 2023
Page 8
3. FINANCIAL REVIEW Q1-Q3 2023
DKK thousands
Q3 2023 Q3 2022 Change Q1-Q3 2023 Q1-Q3 2022 Change
Plant sales revenue
79,318 66,884 18.6% 244,911 184,323 32.9%
Aftersales revenue
41,058 44,182 -7.1% 127,599 129,344 -1.3%
Total revenue
120,376 111,066 8.4% 372,510 313,666 18.8%
Production costs
-90,587 -84,773 6.9% -283,321 -235,711 20.2%
Gross profit
29,789 26,292 13.3% 89,189 77,955 14.4%
Gross profit margin
24.7% 23.7% 1.0pp 23.9% 24.9% -1.0pp
Distribution costs
-10,217 -11,259 -9.3% -33,259 -33,824 -1.7%
Administrative expenses
-9,294 -5,897 57.6% -28,117 -24,169 16.3%
Operating profit (EBIT) before special items
10,278 9,136 12.5% 27,813 19,961 39.3%
Operating profit margin (EBIT margin) before special items
8.5% 8.2% 0.3pp 7.5% 6.4% 1.1pp
Special items
- - -1,934 -1,650 17.2%
Operating profit (EBIT)
after special items 10,278 9,136 12.5% 25,879 18,311 41.3%
Operating profit margin (EBIT margin)
after special items 8.5% 8.2% 0.3pp 6.9% 5.8% 1.1pp
Profit for the period
7,645 8,119 -5.8% 17,107 13,957 22.6%
Order backlog beginning of period
212,433 209,582 1.4% 215,202 122,309 75.9%
Order intake
112,335 113,700 -1.2% 361,700 403,574 -7.7%
Revenue
-120,376 -111,066 8.4% -372,510 -313,666 18.8%
Order backlog end of period
204,392 212,217 -3.7% 204,392 212,217 -3.7%
0
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20000
40000
60000
80000
100000
120000
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Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023
EBIT %
tDKK
SKAKO Group revenue and EBIT margin
Plant revenue Aftersales revenue EBIT margin
Quarterly report 2023
Page 9
The markets of SKAKO continue to show high level of activity, in line with what
we saw in the second half of 2022 and first half of 2023.
As expected, SKAKO delivered a strong Q3 with good order intake and improved
profitability. The order backlog continues to be at a very high level in both
Concrete and Vibration. This gives SKAKO a good outset for delivering strong
results in 2023 and 2024 in accordance with increased guidance, see company
announcement 8/2023. For a detailed financial review of each business unit,
please see section 4 for SKAKO Concrete and section 5 for SKAKO Vibration.
Revenue
In Q3 2023 revenue was DKK 120.4m which is an increase of 8.4% compared to
the same period in 2022 which was also a very strong quarter after the strong
order build up in the previous quarter. YTD revenue growth was 19% due to the
continuous strong order build up since Q2 2022.
Revenue from plant orders increased by 19%, while revenue from aftersales
decreased by 7.1%, compared to Q3, 2022.
Gross profit
Gross profit was DKK 29.8m in Q3 2023 which is an increase of 13.3% compared
to Q3 2022, driven by both higher revenue and better gross profit margin. Gross
profit margin in Q3 2023 increased by 1.0pp to DKK 25% mainly driven by an
increase in SKAKO Vibration. YTD gross profit increased by 14.4% driven by
higher revenue.
Capacity costs
In Q3 2023 capacity costs increased by DKK 2.3m or 13.4% compared to Q3
2022. The main reason is more personnel to support the high growth in
activities.
Operating profit
Operating Profit (EBIT) increased by 12.5% to DKK 10.3m compared to DKK 9.1m
in Q3 2022.
The increase is driven by an increase in revenue with 8.4%, and an improved
EBIT margin of 0.3pp.
YTD operation Profit after special items increased by 39.3% driven by higher
revenue and an increase in operating profit margin of 1.1pp.
Net financial items
Net financial items consist of interest income, interest expenses as well as
realized and unrealized foreign exchange gains and losses and amount to an
expense of DKK 0.3m for the period compared to an income of DKK 0.2m in Q3
2022. The increasing interest rate only has a slightly negative impact on net
financial items due to SKAKO’s low net debt.
Profit for the period
Profit after tax amounted to DKK 7.6m in Q3 2023 compared to DKK 8.1 in the
same period in 2022. The lower profit after tax is due to a low effective tax rate
in Q3 2022 where the tax rate was adjusted for using a too high tax rate in the
two previous quarters. YTD profit after tax amounted to DKK 17.1m compared
to DKK 14.0m in the same period last year corresponding to a growth of 23%.
Order intake and backlog
Order intake in Q3 2023 amounted to DKK 112.3m compared to DKK 113.7m in
Q3 2022, a decrease of 1.2%. Despite the decrease compared to same period in
2022, the order intake is still maintained at a high level. The pipeline of new
orders remains strong for both SKAKO Vibration and SKAKO Concrete and gives
a strong outset for the rest of the year and 2024.
Financial highlight
Quarterly report 2023
Page 10
Cash flow developments
Cash flow from operating activities (CFFO) in Q3 2023 amounted to DKK 51.1m
compared to DKK 4.7m last year. The very positive cash flow development in Q3
2023 was driven by large payments from customers and prepayments on
development contracts. The very strong cash flow in Q3 2023 is also a
consequence of postponed payments from some customers in Q2 2023 as
mentioned in the quarterly report for Q2 2023.
Free cash flow amounted to DKK 48.6m due to the positive operating cash flow.
YTD free cash flow was DKK 28.4m compared to DKK 12.5m in the same period
last year. This is due to very strong growth in operating profit as well as
improved net working capital.
Equity
Group equity was DKK 147.4m on 30 September 2023 (DKK 133.5m on 30
September 2022) corresponding to an equity ratio of 35% (40% on 30
September 2022).
ROIC
As of 30 September 2023, return on invested capital (rolling four quarters)
amounted to 20% compared to 13.6% as of 30 September 2022. The increase in
return on invested capital is due to strong results in 2023 compared to 2022.
Balance sheet
As of 30 September 2023, Group’s total assets were DKK 424.4m (30 September
2022: DKK 334.5m). Non-current assets increased by DKK 12.6m and amounted
to DKK 93.4m (30 September 2022: DKK 80.8m) while current assets increased
by DKK 77.3m to DKK 331.0m (30 September 2022: DKK 253.8m). The increase
in current assets relates mainly to an increase in cash of DKK 70.0m due to the
strong operating result and improved net working capital.
Due to the positive cash flow development net debt decreased by DKK 18.9m to
DKK 9.6m in Q3 2023.
The ratio of net debt to EBITDA amounted to 0.2 compared to 0.8 on 30
September 2022 due to the positive cash flow development. It is our ambition to
keep the ratio of net debt to EBITDA below 2.5.
Events after the balance sheet date
There have been no events that materially affect the assessment of this interim
report after the balance sheet date and up to today.
Outlook 2023
Guidance for 2023 is still the same as in company announcement 8/2023 and is
as follows:
• Operating profit (EBIT) before special items is expected to be DKK 36-40m.
Special items for 2023 are still expected to amount to DKK 2.0-2.5m related
to transaction costs in connection with the terminated transaction process
with Zefyr Invest.
Expectations are based on current exchange rates, in particular USD/DKK,
remaining at current levels.
The outlook is based on the assumption that no events with a material negative
impact on the global economy and SKAKO's markets will occur in the last quarter
of 2023.
Accounting policies as well as financial estimates and assumptions
The interim report has been prepared in accordance with IAS 34, Interim
financial reporting, as adopted by the EU and further Danish disclosure
requirements in respect of interim reports for listed companies.
The accounting policies used for the interim report are the same as the
accounting policies used for Annual Report 2022 to which we refer for a full
description. The Group has adopted all new, amended and revised accounting
standards and interpretations as published by the IASB and adopted by the EU
effective for the accounting period beginning on 1 January 2023. We refer to the
notes to the annual report for a description of material estimates and
assumptions.
Compared with the description in Annual Report 2022, there have been no
changes in the accounting estimates and assumptions made by Management in
the preparation of the interim report.
Financial highlight
Quarterly report 2023
Page 11
4. SKAKO CONCRETE
Quarterly report 2023
Page 11
Quarterly report 2023
Page 12
Q1-Q3 2023 FINANCIAL REVIEW SKAKO CONCRETE
DKK million
Q3 2023 Q3 2022 Change Q1-Q3 2023 Q1-Q3 2022 Change
Plant sales revenue
37.3 25.4 46.9% 116.2 61.2 89.9%
Aftersales
revenue 26.1 27.3 -4.4% 79.1 80.4 -1.6%
Total revenue
63.4 52.7 20.3% 195.3 141.6 37.9%
Gross profit
12.2 11.2 8.9% 35.3 29.9 18.1%
Gross profit margin
19.2% 21.3% -2.1pp 18.1% 21.1% -3.0pp
Operating profit (EBIT)
3.8 3.2 18.8% 10.8 7.2 50.0%
Profit margin (EBIT margin)
6.0% 6.1% -0.1pp 5.6% 5.1% 0.5pp
Order backlog beginning of period
135.1 126.8 6.5% 142.7 72.2 97.6%
Order intake
60.0 65.7 -8.7% 184.3 209.6 -12.1%
Order backlog end of period
131.7 140.2 -6.1% 131.7 140.2 -6.1%
-1
0
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10000
20000
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40000
50000
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70000
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Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023
EBIT %
tDKK
SKAKO Concrete revenue and EBIT margin
Plant revenue Aftersales revenue EBIT margin
Quarterly report 2023
Page 13
FINANCIAL PERFORMANCE IN Q3 2023
Financial performance in Q3 2023
SKAKO Concrete continued the positive development on key markets resulting in
strong growth in revenue, operating profit and order backlog.
As, in H1 2023 SKAKO Concrete continued to experience a higher demand for
plants from both existing and new customers.
Financial results
Below, the key financials for SKAKO Concrete in Q3 2023:
• Revenue increased by 20% amounting to DKK 63.4m driven by an increase
in plant sales of 47% and a decrease of 4.4% in aftersales. Aftersales in Q1-
Q3 2023 decreased by 1.6% compared to same period in 2022. YTD revenue
increased with 38% driven by high plant sales while aftersales decreased
slightly.
• Gross profit increased by 8.9% amounting to DKK 12.2m while gross profit
margin decreased with 2.1pp. The decrease in margin is due to the larger
share of plant sales which has a lower margin than aftersales.
• Operating profit (EBIT) increased by 19% to DKK 3.8m driven by growth in
revenue while maintaining EBIT margin of the same level compared to the
same period last year. YTD operating profit increased with 50% due to high
revenue growth and an increase in margin of 0.5pp.
• Order intake in Q3 2023 was DKK 60.0m compared to DKK 65.7m in the
same period of 2022 fueling an order backlog of DKK 131.7m at the end of
Q3 2023, a decrease of 6.1% compared to last year. The order backlog was
maintained at a high level above DKK 120m for the sixth consecutive
quarter.
Quarterly report 2023
Page 14
BUSINESS UPDATE
Maintaining high order backlog
SKAKO Concrete continues to maintain the order backlog at a very high level of
DKK 132m.
Despite dampening of activity on Concretes markets we continue to see a very
positive development in plant projects. Especially United States shows a very
positive development driven by a positive business climate and supported by
the implemented changes in management and organization. We also see good
demand for our products in the German speaking countries.
Aftersales
Aftersales still has our high focus and we have through Q3 engaged in market
research and expect to have the result from this research ready for
implementation at the end of 2023. We therefor expect an increase in aftersales
in the coming years with our new strategy and increased focus on customer
satisfaction where we have adopted a more proactivity approach.
Customer care is essential for a business like SKAKO Concrete and therefor we
have implemented a more focused aftersales strategy. The plan is to reach out
earlier to our customers to be ahead of their needs. To do so, we have
employed additional aftersales managers in several countries.
Project refurbish
As a part of the ESG transition with higher focus on the E (Environmental), we
have further developed our refurbish strategy. In Q3 2023 we therefor had
increased focus on refurbishing of existing plants. We have as a result made
agreements regarding refurbishment of existing plants as well as the reuse of
spare parts in new plants.
We see an increased demand for our refurbish approach and expect that this
approach will contribute positively to SKAKO Concrete in the years ahead.
ESG
As a part of our future development and contribution to the ESG transition, we
have raised the focus on ESG data. The increased focus on ESG, will create
higher demands on our value chain, including ourselves. We want to be an
active part of the green transition, and as a part of the strategy we are investing
in internal resources in ESG.
Quarterly report 2023
Page 15
5. SKAKO VIBRATION
Quarterly report 2023
Page 15
Quarterly report 2023
Page 16
Q1-Q3 2023 FINANCIAL REVIEW SKAKO VIBRATION
DKK thousands
Q3 2023 Q3 2022 Change Q1-Q3 2023 Q1-Q3 2022 Change
Plant sales revenue
42.5 41.3 2.9% 130.6 123.1 6.1%
Aftersales
revenue 15.5 14.8 4.7% 50.9 48.9 4.1%
Total revenue
58.0 56.1 3.4% 181.5 172.0 5.5%
Gross profit
18.4 17.6 4.5% 56.4 52.0 8.5%
Gross profit margin
31.7% 31.4% 0.3pp 31.1% 29.7% 1.4pp
Operating profit (EBIT)
7.1 7.0 1.4% 19.7 15.6 26.3%
Profit margin (EBIT margin)
12.2% 12.5% -0.3pp 10.9% 8.9% 2.0pp
Order backlog beginning of period
77.0 84.5 -8.9% 72.6 53.9 34.7%
Order intake
53.1 52.3 1.5% 181.0 200.3 -9.6%
Order backlog end of period
72.1 79.0 -8.7% 72.1 79.0 -8.7%
0
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Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023
EBIT %
tDKK
SKAKO Vibration revenue and EBIT margin
Plant revenue Aftersales revenue EBIT margin
Quarterly report 2023
Page 17
FINANCIAL PERFORMANCE IN Q3 2023
Financial performance in Q3 2023
For SKAKO Vibration, Q3 2023 ended a little lower that previous quarters, but still with a
high momentum and a revenue just below DKK 60m. The order backlog is still above DKK
70m on 30 September 2023.
Below, the key financials for SKAKO Vibration in Q2 2023:
• Revenue increased by 3.4% amounting to DKK 58.0m driven by an increase in both
aftersales of 4.7% and plant sales of 2.9%. YTD revenue increased with 5.5% with an
increase in plant sales of 6.1% and aftersales of 4.1%.
• Gross profit increased by 4.5% amounting to DKK 18.4m due to growth in revenue
and an increase in gross profit margin of 0.3pp. The increase in margin was driven
by the higher share of aftersales with higher margin than plant sales. YTD gross
profit increased with 8.5% due to higher revenue and an increase in margin of 1.4pp
to 31%.
• Operating profit (EBIT) increased with 1.4% to DKK 7.1m with a margin of 12.2%
compared to 12.5% in the same period last year. YTD operating profit increased with
26% to DKK 19.7m due to higher revenue and an increase in margin of 2.0pp to
10.9%. This is ahead of our mid-term margin ambition of 10% in 2024.
• Order intake in Q3 2023 was DKK 53.1m compared to DKK 52.3m in the same period
of 2022 fueling an order backlog of DKK 72.1m at the end of Q3 2023, a decrease of
8.7% compared to last year but still at a high level.
Quarterly report 2023
Page 18
BUSINESS UPDATE
Growth
We continue to see robust demand for our products in Q3 2023, particularly in
the Mineral and Recycling segments.
Sharing of knowledge between business units
Our strategy has a high focus on realising synergies between the different
segments in SKAKO Vibration. Experience and knowhow in the different
segments are shared across segments and therby contribute to a positive
development thoughout the business.
We believe that sharing the knowledge between the business units, will make
every unit stronger in their own way. Through the process, we have had benefits
in both the individual units in relation to the knowledge that is generated, but
also focused on further development of the existing business procedures, and
know-how in the individual unit as a knowledge sharer.
As a consequence our strategy strengthens our position in all market segments
of the SKAKO Vibration business.
Visibility in the market
In Q3, there has been a high focus on the marketing and sales of SKAKO
Vibration e.g. by participation in various trade fairs in France, Holland, Poland
and United Kingdom.
The visibility helps to support our pipeline, especially within recycling projects,
where there is a high focus throughout Europe and therefore underpinning the
green development.
It is expected that the investments in market activities will help SKAKO Vibration
to become a partner in many companies’ green transition projects. We are
experiencing that SKAKO Vibrations products can contribute positively to many
industries in connection with their green transition.
SKAKO Vibrations products can contribute positively to many industries in
connection with their green transition. We have many products that can support
different industries and these products can easily be adpted to new as well as
existing constructions and therby help the transition to greener products.
Quarterly report 2023
Page 19
6. FINANCIAL STATEMENTS
Quarterly report 2023
Page 19
Quarterly report 2023
Page 20
6.1 STATEMENT BY MANAGEMENT
Faaborg, 8 November 2023
EXECUTIVE BOARD
BOARD OF DIRECTORS
Quarterly report 2023
Page 21
6.2 CONSOLIDATED INCOME STATEMENT
DKK thousands
Q3 2023 Q3 2022 Q1-Q3 2023 Q1-Q3 2022 2022
Revenue from contracts with customers
Production costs
-90,587 -84,773 -283,321 -235,711
-323,283
Gross profit
Distribution costs
-10,217 -11,259 -33,259 -33,824
-43,923
Administrative expenses
-9,295 -5,897 -28,117 -24,169
-39,872
Operating profit (EBIT) before special items
Special items
-1,650
Operating profit (EBIT)
after special items
Financial income
Financial expenses
-680 -641 -3,807 -2,379 -5,878
Profit before tax
Tax on profit for the period
-2,381 -1,263 -5,945 -2,862
Profit for the period
Profit for the period attributable to SKAKO A/S shareholders
Earnings per share (EPS), DKK
Diluted earnings per share (EPS), DKK
Quarterly report 2023
Page 22
6.3 CONSOLIDATED STATEMENT OF COMPREHENSIVE
INCOME
DKK thousands
Q3 2023 Q3 2022 Q1-Q3 2023 Q1-Q3 2022 2022
Profit for the period
Other comprehensive income:
Items that have been or may subsequently be reclassified to the income
statement:
Foreign
currency translation, subsidiaries
-2,842 -2,750 -543 -899
Value
adjustments of hedging instruments
Other comprehensive income
-2,842 -2,751 -538 -899
Comprehensive income
Comprehensive income attributable to SKAKO A/S shareholders
Quarterly report 2023
Page 23
6.4 CONSOLIDATED BALANCE SHEET 30 SEPTEMBER
DKK thousands
30 September 2023 30 September 2022 31 December 2022
Intangible assets
Intangible assets under development
Intangible assets
Leased assets
Land and buildings
Plant and machinery
Operating equipment, fixtures and fittings
Leasehold improvements
Tangible assets under construction
Property, plant and equipment
Other receivables
Deferred tax assets
Other non
-current assets
Total non
-current assets
Inventories
Trade receivables
Contract assets
Income tax
Other receivables
Prepaid expenses
Cash
Current assets
Assets
Quarterly report 2023
Page 24
CONSOLIDATED BALANCE SHEET 30 SEPTEMBER CONTINUED
DKK thousands
30 September 2023 30 September 2022 2022
Share capital
Foreign currency translation reserve
-461 -1,350 82
Hedging reserve
-44 -49
-49
Proposed dividends
Retained earnings
Equity
Other payables
Leasing
Loans and borrowings
Provisions
Non
-current liabilities
Loans and borrowings
Bank loans and credit facilities
Leasing
Provisions
Contract liabilities
Trade payables
Income tax
Other
liabilities
Deferred income
Current liabilities
Liabilities
EQUITY AND LIABILITIES
Quarterly report 2023
Page 25
6.5 CONSOLIDATED CASH FLOW STATEMENT
DKK thousands
Q3 2023 Q3 2022 Q1-Q3 2023 Q1-Q3 2022 2022
Profit
before tax 10,026 9,382 23,052 16,819 24,230
Adjustments
Changes
in receivables, etc.
-25,890
Change
in inventories
-949 -2,173 -8,578 -15,296
-9,367
Change
in trade payables and other liabilities, etc.
Cash flow from operating activities before financial items and tax
Financial
items received and paid
-4,710
Taxes
paid and received
-1,056 -1,087 -1,701 -532
-2,105
Cash
flow from operating activities 51,073 4,687 40,629 15,266 28,850
Investment
in intangible assets -721 -1 -801 -1,474 -4,153
Investment
in tangible assets
-1,729 -296 -11,436 -1,301
-6,174
Acquisition of entities
Cash
flow from investing activities
-2,450 -297 -12,237 -2,775 -8,637
Change in
borrowings
Repayments
Paid
dividends
Change
in short-term bank facilities
-18,999
-3,031 16,252 -25,789
Cash flow from financing activities
-18,506
-3,931 7,040 -40,822
-12,258
Change in cash and cash equivalents
Cash and cash equivalents beginning of the period
Foreign exchange adjustment, cash and cash
-581
-2,664 -1,440 -1,612 -1,888
Cash and cash equivalents at the end of the period
Breakdown of cash and cash equivalents at the end of the year:
- -
-
Cash and other investments
79,134 9,132 79,134 9,132
45,142
Cash
and cash equivalents at the end of the year:
79,134 9,132 79,134 9,132
45,142
Quarterly report 2023
Page 26
6.6 CONSOLIDATED STATEMENT OF CHANGES IN
EQUITY
Shared capital
Foreign currency
translation reserve
Hedging reserve
Retained
earnings
Proposed
dividends
Equity
Equity 1 January 2023
Comprehensive
incomein Q1-Q32023
Profit for the period
Paid dividends
-15,532 -15,532
Other comprehensive income:
Foreign currency translation
-543 -543
adjustments, subsidiaries
Value adjustments of hedging instruments
Other comprehensive income
-543
Comprehensive income, period
-543
Share
-based payment, warrants
Equity 30 September 2023
-44 116,809 - 147,368
Quarterly report 2023
Page 27
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY CONTINUED
Shared capital
Foreign currency
translation reserve
Hedging reserve
Retained
earnings
Proposed
dividends
Equity
Equity 1 January 2022
Paid dividends
-12,335 -12,335
Comprehensive
income in Q1-Q3 2022:
Profit for the period*
Other comprehensive income:
Foreign currency translation adjustments, subsidiaries
-899 -899
Value adjustments of hedging instruments
Other comprehensive income
-899 -899
Comprehensive income, period
-899
Share
-based payment, warrants
Equity 30 September 2022
-49 103,789 - 133,454
Quarterly report 2023
Page 28
6.7 SEGMENT INFORMATION
Q1
-Q3 2023 Concrete Vibration
Not distributed including
parent company
Eliminations Group total
Revenue, external
195,248 177,262 372,510
Revenue, internal
36 4,261 -4,297 -
Total revenue
195,284 181,523 -4,297 372,510
Depreciations
-2,452 -2,666 -5,118
Operating profit (EBIT) before special items
10,841 19,721 -2,749 27,813
Special items
- - -1,634 -1,634
Operating profit (EBIT)
after special items 10,841 19,721 -4,683 25,879
Order backlog, beginning
142,652 72,550 215,202
Order intake
184,301 181,080 -3,681 361,700
Order backlog, ending
131,668 72,107
617 204,392
Segment non
-current assets
39,792 43,212
176,989 -166,601 93,392
Segment assets
249,531 234,615
184,960 -244,709 424,397
Segment liabilities
170,596 113,801
70,807 -78,176 277,028
Investments in intangible and tangible asset
4, 271 7,966
12,237
Average number of employees
103 111
214
Quarterly report 2023
Page 29
SEGMENT INFORMATION CONTINUED
Q1
-Q3 2022 Concrete Vibration
Not distributed including
parent company
Eliminations Group total
Revenue, external
141,613 172,053 313,666
Revenue, internal
- 3,071 -3,071 -
Total revenue
141,613 175,124 -3,071 313,666
Depreciations
-2,351 -2,971 -5,322
Operating profit (EBIT) before special items
7,191 15,655 -2,885 19,961
Special items
- - -1,650 -1,650
Operating profit (EBIT)
after special items 7,191 15,655 -4,535 18,311
Order backlog, beginning
71,822 53,884 -3,397 122,309
Order intake
209,994 200,257 -6,677 403,574
Order backlog, ending
140,203 79,017
-7,003 212,217
Segment non
-current assets
30,289 40,533
9,954 80,776
Segment assets
159,275 227,209
-51,981 334,503
Segment liabilities
95,418 125,058
-19,423 201,053
Investments in intangible and tangible asset
1,411 1,364
2,775
Average number of employees
91 108
199
Quarterly report 2023
Page 30
6.8 QUARTERLY KEY FIGURES AND FINANCIAL RATIOS
DKK thousands
Q3 2023 Q2 2023 Q1 2023 Q4 2022 Q3 2022 Full year 2022
INCOME STATEMENT
Revenue
120,376 122,774 129,360 124,254 111,065 437,920
Gross profit
29,789 30,606 28,794 36,682 26,292 114,637
Operating profit (EBIT) before special items
10,278 9,707 7,828 10,881 9,136 30,842
Operating profit (EBIT)
after special items 10,278 9,707 5,894 10,881 9,136 29,192
Net financial items
(252) (1,541) (1,034) (3,470) 246 (4,962)
Profit before tax
10,026 8,166 4,860 7,411 9,382 24,230
Profit for the year
7,645 6,088 3,374 11,117 8,119 25,074
BALANCE SHEET
Non
-current assets
93,392 95,510 92,780 88,599 80,776 88,599
Current assets
331,005 318,369 304,346 295,458 253,727 295,458
Assets
424,397 413,879 397,126 384,057 334,503 384,057
Equity
147,368 142,565 150,256 146,167 133,454 146,167
Non
-current liabilities
25,983 28,733 28,652 26,473 29,640 26,473
Current liabilities
251,046 242,581 218,218 211,417 171,413 211,417
Net debt
0.2 57,619 23,355 20,997 28,444 20,997
Net working capital
103,358 140,280 113,514 110,681 113,387 110,681
OTHER KEY FIGURES
Investment in intangible and tangible assets
2,450 2,928 6,859 4,557 296 7,332
Cash flow from operating activities (CFFO)
51,073 (16,286) 4,883 13,731 4,687 28,850
Free cash flow
48,623 (19,214) (1,976) 7,840 4,390 20,183
Average number of employees
214 208 207 205 199 205
Quarterly report 2023
Page 31
QUARTERLY KEY FIGURES AND FINANCIAL RATIOS CONTINUED
DKK thousands
Q3 2023 Q2 2023 Q1 2023 Q4 2023 Q3 2023 Full year 2022
FINANCIAL
RATIOS
Gross
profit margin 24.7% 24.9% 22.3% 29.5% 23.7% 26.2%
Profit
margin (EBIT margin) before special items 7.5% 7.9% 6.1% 8.8% 8.2% 7.0%
Profit margin (EBIT margin)
after special items 7.5% 7.9% 4.6% 8.8% 8.2% 6.7%
Liquidity ratio
131.9% 131.2% 139.5% 139.8% 148.0% 140.1%
Equity ratio
34.7% 34.4% 37.8% 38.1% 39.9% 38.3%
Return
on equity 20.1% 21.2% 17.4% 18.0% 14.4% 17.9%
ROIC
19.6% 16.9% 17.1% 16.8% 13.6% 16.5%
Financial
leverage 6.5% 40.4% 15.5% 14.4% 21.3% 14.2%
Net
debt to EBITDA 0.2 1.3 0.7 0.5 0.8 0.5
NWC/revenue
20.8% 28.8% 24.1% 25.1% 27.0% 25.3%
Earnings per share
2.48 1.97 1.09 3.61 2.63 8.13
Equity value per share
47.79 46.23 48.72 47.40 43.28 48.0
Share price
77.0 73.5 81.0 62.6 50.00 62.6
Price
-book ratio 1.61 1.59 1.66 1.32 1.16 1.3
Market capitalization
239,194 228,322 251,620 194.462 155,321 194,461
Quarterly report 2023
Page 32
FINANCIAL RATIO
• Financial ratios are calculated as follows:
• Gross profit margin = Gross profit x 100 / Revenue
• Profit margin = EBIT x 100 / Revenue
• EBIT margin before special items = EBIT before special items x 100
/ Revenue
• EBIT after special items = EBIT after special items x 100 / Revenue
• Liquidity ratio = Total current assets x 100 / Total current liabilities
• Equity ratio = Total equity x 100 / Total assets
• Return on equity = Profit for the period x 100 / (Equity this year +
equity prior year) / 2*
• Financial leverage = Net interest-bearing debt x 100 / Equity
• Net debt to EBITDA = Net debt / EBITDA (EBIT less depreciations)*
• NWC/Revenue = Net working capital x 100 / Revenue*
• Earnings per share = Profit for the period / Shares in free flow
• Equity value per share = Equity / Total shares
• Share price = Share price at end of period
• Price-book ratio = Share price / Equity per share
• Market capitalization = Total number of share x Share price
• ROIC = NOPAT / (Invested capital this year + invested capital prior
year) / 2*
• NOPAT = Profit for the period +/- net financial income*
• Invested capital = Total assets - net cash and credits - deferred tax
* Measured over a 12-month period
Quarterly report 2023
Page 33
Bygmestervej 2
DK-5600 Faaborg
Denmark
Tel.: +45 6311 3860
CVR No. 36440414