ARBONIA AG Annual results 2022
Alexander von Witzleben, Executive Chairman Daniel Wüest, Group CFO
Overview FY 2022 Key metrics (CHF M)
Net revenues
+15.8%
EBITDA1
EBITDA margin
11.0% 11.3% 9.4%
Net debt/cash
Leverage Ratio
0.9x -0.7x 1.6x
1′038
+1.3%
1′186 1′202
-1.8%
-16.3%
114 134 112
141184
-93
2020 2021 2022
2020 2021 2022
2020 2021 2022
Despite challenging environment (destocking, FX) revenues growth of 1.3% due to growth products and price increases
Organic growth of 5.5% (FX and acquisition adjusted) in-line with mid- term guidance of >5%
Combination of unprecedented destocking of radiators, higher energy prices and delay in passing-on higher raw material prices had a negative impact on EBITDA and margin in 2022 despite strong top- and bottom-line performance of growth products
Substantial cash-out in FY 2022 due to increase of NWC, accelerated capex programme and acquisitions resulted in a net debt position of CHF 184 M at year end
Destocking and surge of energy prices overshadow good operational performance
1 excl. one-time effects
Annual results 2022 | 28 February 2023 | 2 |
2022 in context
Overall
The war in Ukraine led to geopolitical and economic uncertainty with challenging effects:
- Strengthening of CHF, disrupted supply chains and unprecedented increase in energy and raw material prices
- Availability of semi-conductors and electronics improving, cost of wooden materials stayed at high levels
- High inflation and rising interest rates lead to uncertainty and a slow-downin construction industry
Arbonia SPR1 sales (in m2) | Arbonia heat pumps volume | |||||
2021 | 2022 Act | 2022 Bud | (in thousand units)2 | |||
1.000
750 | CAGR +48.0% | |||||
-50% | ||||||
500 | ||||||
250 | ||||||
0 | ||||||
Mar | Jun | Sep | Dec | 2014 | 2021 | 2022 |
Impact on Arbonia
Doors produced by Prüm and Garant (in M units)3
CAGR +3.5%
+19% | |||||
1.50 | 1.55 | 1.63 | 1.77 | 1.81 | 1.78 |
2017 2018 2019 2020 2021 2022
- Economic uncertainty, rising interest rates and declining raw material prices in H2 led to a slow-down in construction which caused a significant destocking at wholesalers (especially radiators, but also shower enclosures and standard doors)
- Shock in energy prices leading to a surge in demand for modern, energy-efficient products leading to double-digit volume growth
- Project business performed much better than standard mass products
- With new construction slowing down due to inflation and uncertainty, free installer capacities are moving to renovation, which is additionally supported by the renovation backlog and subsidies
1 SPR: steel panel radiator | 2 without heat pump water heaters | 3 without Joro, Invado and RWD Schlatter
Annual results 2022 | 28 February 2023 | 3 |
Development of the HVAC and Doors Division
For illustrative purposes1,2
In M CHF | >1′525 | |||||||||
1.07 | 1.11 | 1.15 | 1.11 | 1.07 | 1.08 | 1.01 | ~1'300 | |||
1′183 | 1′199 | >725 | ||||||||
1′058 | 1′038 | |||||||||
1′008 | ||||||||||
895 | 552 | |||||||||
502 | 503 | 509 | ||||||||
487 | >210 | |||||||||
441 | 147 | >800>15.0% | ||||||||
73 | 121 | |||||||||
506 | 555 | 529 | 631 | 76 | 62 | |||||
368 | 43 | 408 | ||||||||
>12.5% | ||||||||||
2 | 71 | 59 | ||||||||
41 | ||||||||||
2015 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 BU | 2026 Mid-term | ||
Guidance | ||||||||||
Capital | ||||||||||
Markets Day | ||||||||||
(Oct 2021) |
HVAC | Doors | |||
Revenue | Revenue | EUR / CHF | ||
EBITDA3 | EBITDA3 | annual average | ||
2015 HVAC incl. Sabiana
From 2017 Doors incl. Prüm, Garant, Invado
From 2018 HVAC incl. Tecna, Vasco; Doors incl. Arbonia Glassysteme From 2021 HVAC incl. Cicsa, Termovent
From 2022 incl. Joro From 2023 incl. Cirelius
1 without divestments and excl. holding costs | 2 excl. corporate revenues | 3 without one-time effects; EBITDA margin for 2026 according to Mid-term Guidance
Annual results 2022 | 28 February 2023 | 4 |
Electric power sourcing strategy
Reducing price volatility by increasing own production and structured sourcing
Status quo (2022) | Target (2026) | ||||||||||
Wind | PV | ||||||||||
Local suppliers (regulated) | |||||||||||
1% | PV | ||||||||||
4% | 14% | ||||||||||
CHP1 8% | |||||||||||
20% | |||||||||||
Wind | |||||||||||
1% | |||||||||||
~ 100 M | 20-25% | ||||||||||
kWh | |||||||||||
~ 100 M | |||||||||||
kWh | |||||||||||
25% | Tranches | ||||||||||
CHP1 | |||||||||||
87% | External sourcing | 15-25% | |||||||||
Spot |
- In 2022 Group wide electric power consumption of c. 100 M kWh p.a. whereof 13% own production
- Clear path to reach c. 44% own production combined with structured sourcing of remaining part by 2026 - majority of capex already expensed or planned
- Due to efficiency measures power consumption expected to remain stable despite projected sales growth
- Structured sourcing of rolling purchase of power bands over 36 months tranches and 15-25% spot to keep flexibility
1 combined Heat & Power plants: producing electricity and heating energy in a combined, highly-efficient process
Annual results 2022 | 28 February 2023 | 5 |
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Arbonia AG published this content on 28 February 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 28 February 2023 06:14:06 UTC.
