October-December 2022

• Net turnover 389.7 MSEK (319.9)
• Operating profit EBITA 52.2 MSEK (43.3)
• Operating margin EBITA 13.4% (13.5)
• Operating profit EBIT 50.5 MSEK (42.4)
• Operating margin EBIT 13.0% (13.2)
• Profit after tax 35.9 MSEK (37.8)
• Earnings per share before dilution 2.74 SEK (3.05)
• Earnings per share after dilution 2.66 SEK (3.05)
  

January-December 2022

• Net turnover 1,324.0 MSEK (1,186.9)
• Operating profit EBITA 164.5 MSEK (136.8)
• Operating margin EBITA 12.4% (11.4)
• Operating profit EBIT 159.2 MSEK (133.2)
• Operating margin EBIT 12.0% (11.1)
• Profit after tax 121.9 MSEK (102.8)
• Earnings per share before dilution 9.32 SEK (8.08)
• Earnings per share after dilution 9.03 SEK (8.08)
  

A word from the CEO

Stable end to the year

Strong quarter and year

Net turnover in the fourth quarter of 2022 increased to 390 MSEK (320), which corresponds to an increase of 22 percent. Just over half that growth was organic and the remainder was due to acquisitions. If we consider the whole year, turnover increased to 1,324 MSEK (1,187), which corresponds to an increase of 12 percent.

The EBITA results during the fourth quarter of the year were 52.2 MSEK (43.3), which corresponds to an increase of 21 percent. The EBITA margin was 13.4 percent (13.5). The EBITA result for the whole year increased to 164.5 MSEK (136.8), which corresponds to an increase of 20 percent and a whole year margin of 12.4 percent.

The profit per share for the quarter fell to 2.74 (3.05), primarily due to financial costs and increased tax compared to the corresponding period of the previous year. Over the full year the profit per share before dilution increased to 9.32 (8.08), that is by 15 percent. Based on the company’s dividend policy, profit and the good financial position the Board of Directors proposes a dividend of 4.50 SEK per share (3.5), which is an increase of 29 percent. The recommended dividend also allows us the opportunity to continue our intended growth during 2023.

Hard work and progress

During the quarter we have increased our network with new nodes through acquisitions. At the start of November Koteko AB and Koteko Installation AB joined. These companies provide good reinforcement within advanced industrial automation, especially within the hot areas of the energy and processing industries. Myra Industriell Design AB joined us in the same period. Myra has given cutting edge advantages within industrial and user centered design, where a large part of the work is directed at the Life Science sector.

An important piece of the strategy jigsaw is adapting each integration so that together it creates the best conditions to develop the operations in the best way. This is work that took place during the quarter and the conditions for positive development look good for all the acquisitions made in 2022. During the period an agreement was reached for 40 percent of Prevas Gävle AB to be acquired by Prevas AB. With that there was 100 percent ownership of the subsidiary from the start of 2023.

The quarter has also involved further work with communication with investors. Several meetings with local share savings associations and participants in different types of investor days organized by banks and analysis firms occurred during the period. Likewise, preparations have been made for presentation of the year end report when an organized and public dialog with the collective investors can take place.

The dialog with the customers has been deep and rewarding as always before the end of one year and the planning of the new calendar year. In the same way, the dialog with our partners was intensified during the period with plans for the coming year. The relationships with customers and partners are long term and it is important they are cultivated for common progress. New partnerships were also started during the period. One example of the new assignments during the period, where we take a step on the path towards more climate neutral steel manufacture, is the solution for Celsa Armeringsstål in Norway. The solution means the delivery of the latest generation of the FOCS optimization software. “We are seeing increased interest from our customers in upgrading their fossil fuel-fired furnaces to fossil-free alternatives. Being part of the development of the fossil free steel manufacture of the future is important and also feels very stimulating.

Full speed ahead

The end of an operating year often includes reviews of strategies and plans. This also happened during 2022 and we have validated that the developed vision, mission and strategy is fixed. Our long term aim is to earn the reputation of being a premium company where we bring high value to all interested parties. We have made huge strides in recent years and we will take new steps on that journey during 2023. We ended 2022 with high intensity and we have started the year at full speed ahead.

Our thanks go to all our customers, partners, owners and employees for the past year and we look for ward to continuing the exciting journey.

Johan Strid, CEO Prevas AB

This information is such that Prevas AB (publ) is required to make public in accordance with EU regulations to prevent market abuse and the Securities Market Act. The information was submitted by the above contact person for publication on February 9th, 2023, at 08.30.

This is a translation of an original document in Swedish. In case of dispute, the original document should be taken as authoritative (Bokslutskommuniké 2022 at www.prevas.se). Or contact the company direct.