4th Quarter 2010 presentation. 15 February 2011 Lars Nilsen, CEO and Arnt Eriksen, CFO

Transkript

1 4th Quarter 2010 presentation 15 February 2011 Lars Nilsen, CEO and Arnt Eriksen, CFO

2 Q Highlights Group Strong and improved results Positive development in both segments Production ramp-up continues for the Swedish operation Operating revenues and results are increased. Operational EBITDA margin at 13.0% Strong financial situation Positive cash flow in spite of production growth Net interest-bearing debt further reduced The Board will propose a dividend of NOK 0.90 per share Market conditions Positive key drivers in Norway and Sweden Strong demand in the residential market Positive development in the professional market. Contracts with NCC and HSB PAGE 2

3 Financials

4 Operational key figures Q and 2010: Based on operating results from the segments NOK million Q Q Y/Y Operating revenues % EBITDA % % 30.8% % 274 EBIT % % 32.0% % 250 Cash flow from operations after interest and tax New orders % Order backlog % Number of employees % Strong results and improved margins Increased number of employees and production capacity have given growth in turnover PAGE 4

5 Quarterly development: Revenues: +30.6% EBIT: +32.0% Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Revenue Q4-2010: NOK 858 million. Revenue Q4-2009: NOK 657 million EBIT Q4-2010: NOK 107 million, 12.5% margin. EBIT Q4-2009: NOK 81 million, 12.4% margin. PAGE 5

6 Quarterly development: New orders: +5.0% Q 2Q 3Q 4Q New orders Q4-2010: 724 million. New orders Q4-2009: 690 million. Order backlog: NOK 1.8 billion Q 2Q 3Q 4Q Order backlog Q4-2010: NOK million. Order backlog Q4-2009: NOK million. PAGE 6

7 Cash flow and Net interest-bearing debt NOK million Q Q Net cash flow from operating activities Net cash flow from investing activities Net cash flow from financing activities Change in cash in period Net interest-bearing debt Net cash flow from operations are positive in both segments in spite of volume growth. Reduced by NOK 99 million y/y due to lower activity levels in 2009 Net interest-bearing debt reduced by NOK 136 million y/y Ordinary and extraordinary instalments of NOK 135 million in total in 2010 Strong cash flow All covenants fulfilled for Q PAGE 7

8 Balance sheet (IFRS) NOK million Total non-current assets Total inventory and land Total receivables Bank deposits and cash Total current assets Total assets Total equity Total provisions Long term intererest-bearing debt Short term intererest-bearing debt Total current liabilities Total equity and liablilities Equity ratio 41.6% 40.8% 38.3% PAGE 8

9 IFRS key figures Q and 2010 NOK million Q Q Operating revenues EBITDA % % % % EBIT % % % % EBT Earnings in the period EPS (NOK) PAGE 9

10 Share dividend for financial year 2010 The Group has strengthened its financial position considerably in 2009 and 2010 Operations are expected to yield good results for the coming years The Board will propose to the General Meeting to pay dividend of NOK 0.90 per share PAGE 10

11 The Norwegian operation

12 Norway: Q Financials New orders down 6.7% on Q4-2009, but up 5.3% on 2009 Increasing order backlog, up 18.0% on Q Improved profitability in operations and strong margins in Q Increasing manpower and production capacity backed by sales and order backlog NOK million Q Q Y/Y Operating revenues % Gross profit % % 16.9% % % EBITDA % % 20.2% % % EBIT % % 20.5% % % Number of employees % PAGE 12

13 Norway: Q Highlights No 3 player in Norway Strong development in results and strong margins in the quarter Still low interest rates and available credit facilities for customers 32 unsold finished units by end of Q Target approx. 15% increase in production staff through 2011 Ongoing improvement programmes to further streamlining the operations Focus on production efficiency, contracting of land and start-up of new housing projects PAGE 13

14 The Norwegian operation: Hetlandhus brand Nine highly standardized houses in the value for money segment, based on SmålandsVillan modules Eight of nine houses are certified for energy class B 50 houses contracted during houses to be delivered to the Norwegian builder chain Mestergruppen as Klart Hus PAGE 14

15 The Swedish operation

16 Sweden: Q Financials New orders up 18.3% on Q4-2009, and 17.1% on 2009 Order backlog growth, up 26.3% on Q Improved results, but pressure on margins due to ramp-up costs One-off costs of NOK 12 million in 2010; 0.7%-points on EBITDA-margin Volume growth improves the turnover, but increases costs and affects efficiency until the target capacity is reached NOK million Q Q Y/Y Operating revenues % Gross profit % % 34.1% % % EBITDA % % 51.4% % % EBIT % % 58.2% % % Number of employees % PAGE 16

17 Sweden: Q Highlights No 1 player in its segment. 11% market share Myresjöhus and SmålandsVillan combined Low interest rates and falling unemployment Improving sales for SmålandsVillan Order backlog growth 15 unsold finished units by end of Q Ongoing improvement programmes for further utilization of the production capacity and increase efficiency Increased focus on contracting of land and development of housing projects PAGE 17

18 Outlook 2011

19 Technical demand -> undersupply Macro economy Population growth Technical demand (population growth/2.1 person per house) vs housing starts Boy meets girl Interest rates (inter-bank) Employment Replacements E2011 E2012 Norway Sweden Norway Sweden Norway Sweden Norway Sweden Norway Sweden Technical demand Housing starts Undersupply Sources: SSB, SCB, Prognosesenteret PAGE 19

20 Summary outlook 2011 Still undersupply of new homes both in Norway and Sweden Positive development in the professional market Key drivers look favourable for BWG products and operations The on-going improvement programmes are expected to yield positive effects in 2011 The market situation for affordable homes is positive PAGE 20

21 Welcome back 1st Quarter 2011: 12 May 2011 at 11:00 hrs PAGE 21

22 Appendix 1 Shareholder Information 10 largest shareholders per 14 February 2011 Share price development Feb SHAREHOLDER % TOTAL Lani Industrier AS 28.70% Rasmussengruppen AS 12.01% Lani Development AS 3.51% Vital Forsikring ASA 3.24% Staff-Gruppen 2.54% Skandinaviska Enskilda Banken 2.34% State Street Bank and Trust Co. 2.14% DnB NOR SMB VPF 2.11% MP Pensjon 2.04% DnB NOR Norge (IV) VPF 1.75% CEO Lars Nilsen owns 32.52% PAGE 22

23 Appendix 2 Riksbanken ser ingen bostadsbubbla Riksbankens hemliga bostadsutredning Riksbanken ser ingen bostadsbubbla eller något bubbelbeteende på den svenska bostadsmarknaden, enligt vice riksbankschefen Barbro Wickman-Parak. - Men detta är svår materia, man kan inte utesluta att det finns en viss övervärdering som kan bero på en viss överoptimism vad gäller den fortsatta ränteutvecklingen. Barbro Wickman-Parak sade att hushållens ökande upplåning är oroande. En upplåning som ökar med 8 procent per år, som i dag, är inte långsiktigt hållbar. - Vi har en skuldkvot som vi inte har sett någon motsvarighet till, sade hon. Norman pekade ut bostadsmarknaden, hushållens skuldsättning och bankernas expansion som tre oroande faktorer. Source: e24.se, Riksbankens bostadsutredning går i tryck senast nästa vecka. Rapporten innehåller fler regelförslag kring bolånen för att kväva bubbelrisker. Men den förblir hemlig fram till i vår. Just nu är osäkerheten stor kring den framtida spelplanen för bolåntagare. Bland de politiska förslagen för att dämpa skuldökningen finns amorteringskrav och minskade ränteavdrag. - Vid sidan av det redan införda bolånetaket kan Sverige enligt Ingves till exempel införa ett tak för hushållens skuldkvot, det vill säga skulderna i förhållande till inkomsterna, eller ett krav att räntebetalningarna ska vara fasta under en viss tid, sa Ingves. Source: di.se, PAGE 23

24 Appendix 3 Bostadsministern om bopriserna: "Det är något som inte fungerar" Bostadsbristen bort för 19 miljarder Gör det förmånligare att hyra ut delar av bostaden. Det är den nye ministern Stefan Attefalls snabba recept mot bostadsbristen. Men det måste också bli fart på byggandet. Det under många år låga byggandet i Sverige jämfört med andra länder betraktar han som osunt för prisutveckligen. Jag vill att vi skapar en attraktiv miljö för att bygga nya bostäder, så att vi får en större rörlighet på bostadsmarknaden. Då får vi lättare tillväxt i ekonomin för människor kan komma till jobben lättare, säger han utan att vilja sätta en siffra på ambitionerna. Source: di.se, Ny kalkyl från Statens Bostadskreditnämnd Det skulle kosta 19 miljarder kronor att bygga bort bostadsbristen i Sverige nya lägenheter per år behövs, fler än vad som byggs. Beräkningen har gjorts av Statens Bostadskreditnämnd. I dag investeras totalt cirka 115 miljarder kronor per år i bostäder. Source: byggnyheter.se, PAGE 24

25 Appendix 4 - Skrikende behov for boliger Frykter ny boligboble -Vi er nødt til å ha betydelig økt aktivitet på nybyggsiden i Det må bygges nye boliger de neste årene for å møte behovet, sier Christian Dreyer, leder i Norges Eiendomsmeglerforbund (NEF) til E24. - Urealistisk Partner i prognosesenteret, Bjørn-Erik Øye mener at selv om markedet trenger nye boliger, er dette urealistisk å få til. Han mener etterslepet er en tung trend å snu. Dersom befolkningsveksten fortsetter vil Norge trenge nye boliger i Det paradoksale er at det ikke er nok byggeklare tomter til priskonkurranse, sier han og mener å ta tilstrekkelig areal byggeklart og at myndighetene må se på selvpålagte krav, som markagrensa, for å bedre situasjonen. Source: e24.no, Prognosesenteret, som lager markedsrapporten Boligmeteret for Eiendomsmegler 1-kjeden, anslår en vekst på syv prosent det kommende året. I bakgrunnen truer en mulig boligboble. Odd Nymark, administrerende direktør for Eiendomsmegler 1 Oslo og Akershus peker på at det over tid er bygget for få boliger for å møte etterspørselsøkningen, som kommer som følge av økt tilflytting til byene og økt innvandring til landet. -Det er for lite boliger i markedet, og etterspørselen kan bli så kraftig at prisene skyter i været. Source: dn.no, PAGE 25