First quarter
2024
Aritz Larrea
President & CEO
May 7, 2024
At the centre of the payment ecosystem
2
Overview of market trends
Continued strong demand for cash handling automation solutions. CIMA performs well with positive sales synergies.
Current macro environment and gold pricing continue to impact the International and FX business negatively.
Cash remains relevant amid economic uncertainty according to the Global Payments Report 2024.
More discussions with stakeholders about our sustainability initiatives.
We progressing with the preparation for the upcoming CSRD.
Q1 Highlights
Strong US performance and actions in Europe underway
7,253
Revenue
(SEKm)
-
Positively supported by the organic growth and acquisition of
CIMA - Cyclical decline in the International business
- Negative impact from changes in currency rates, mainly from emerging markets in Turkey and Latin America
6.3%
Organic growth
- A solid organic growth for all segments, positively impact from pricing and emerging markets
- Strong performance within Automated Solutions - recurring revenue growth and successful integration of CIMA
10.4%
Operating
margin
- Volume growth and strong execution of improving operational efficiencies in the US
- Impact from macro environment
- Challenges in specific areas affects Europe and Latin America negatively
53%
Operating cash
flow of EBITA
- Impacted by a temporary cash stock build-up at quarter end of approx. 190 MSEK.
- Cash flow conversion amounts to a strong 89 percent on a rolling twelve months basis
Recent events
- Acquisition of Hosteltáctil
- 643,592 shares repurchased in the quarter.
- Decision to continue to repurchase shares
- Inaugural investment grade credit rating of BBB from S&P
Segments
Europe and Latin America
- Organic growth of 6.3%, mainly driven by price increases and emerging markets e.g. Latin America and Turkey
- Annual price negotiations ongoing
- Strong performance within Automated Solutions with the integration of CIMA
- Restructuring plans underway but more to execute
Revenue per business line,
% of revenue per business line, Q1 2024
Revenue and margin development
Revenue (SEK m) and operating margin (EBITA %), Q1 2022 to Q1 2024
4 500 | 16.0% | |||||||
4 000 | 14.0% | |||||||
3 500 | 12.0% | |||||||
3 000 | ||||||||
10.0% | ||||||||
2 500 | ||||||||
8.0% | ||||||||
2 000 | ||||||||
6.0% | ||||||||
1 500 | ||||||||
4.0% | ||||||||
1 000 | ||||||||
2.0% | ||||||||
500 | ||||||||
- | 0.0% | |||||||
Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | Q1 |
2022 | 2023 | 2024 |
Revenue (SEK m) | Operating margin (EBITA), % | |
Revenue bridge
Growth per business line (SEK m), Q1 2024 vs Q1 2023
CIT
CMS
International
ATM
Automated
Solutions
Segments
USA
- Record revenue and EBITA in local currency
- Solid organic growth of 5.8%, driven by both higher volumes and price increases
- Improvement in operating margin (EBITA)
- Double-digitgrowth for Automated Solutions
Revenue per business line,
% of revenue per business line, Q1 2024
Revenue and margin development
Revenue (SEK m) and operating margin (EBITA %), Q1 2022 to Q1 2024
4 500 | 16.0% | |||||||
4 000 | 14.0% | |||||||
3 500 | 12.0% | |||||||
3 000 | ||||||||
10.0% | ||||||||
2 500 | ||||||||
8.0% | ||||||||
2 000 | ||||||||
6.0% | ||||||||
1 500 | ||||||||
4.0% | ||||||||
1 000 | ||||||||
2.0% | ||||||||
500 | ||||||||
- | 0.0% | |||||||
Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | Q1 |
2022 | 2023 | 2024 |
Revenue (SEK m) | Operating margin (EBITA), % | |
Revenue bridge
Growth per business line (SEK m), Q1 2024 vs Q1 2023
CIT
CMS
International
ATM
Automated
Solutions
Segments
Loomis Pay
- Revenue reached SEK 16 million (7) with an organic growth of 126%.
- Transaction volumes of SEK 1.3 billion
- Growth in all three markets
- Acquisition of Hosteltáctil completed in the quarter
Revenue (SEKm)
20 | ||||||||
18 | ||||||||
16 | ||||||||
14 | ||||||||
12 | ||||||||
10 | ||||||||
8 | ||||||||
6 | ||||||||
4 | ||||||||
2 | ||||||||
- | ||||||||
Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | Q1 |
2022 | 2023 | 2024 | ||||||
Transaction volumes (SEKm) | ||||||||
1 600 | ||||||||
1 400 | ||||||||
1 200 | ||||||||
1 000 | ||||||||
800 | ||||||||
600 | ||||||||
400 | ||||||||
200 | ||||||||
- | ||||||||
Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | Q1 |
2022 | 2023 | 2024 |
Loomis Group
Sustainability
• Loomis has an important role in ensuring |
efficient and sustainable payment flows in |
society |
• Sustainability metrics trending ahead of our set |
targets for 2024 |
• Proactive measures for the safety of employees |
• Innovative solutions for the vehicle fleet |
• Reducing our climate impact despite volume |
growth |
Scope 1 & 2 emissions and revenues
tCO2e and SEK m
45 000 | 8 000 | ||||||||||||||
40 000 | 7 000 | ||||||||||||||
35 000 | 6 000 | ||||||||||||||
30 000 | |||||||||||||||
5 000 | |||||||||||||||
25 000 | |||||||||||||||
4 000 | |||||||||||||||
20 000 | |||||||||||||||
3 000 | |||||||||||||||
15 000 | |||||||||||||||
2 000 | |||||||||||||||
10 000 | |||||||||||||||
1 000 | |||||||||||||||
5 000 | |||||||||||||||
0 | 0 | ||||||||||||||
Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | Q1 | |||||||
2022 | 2023 | 2024 | |||||||||||||
Scope 1 (tCO2e) | Scope 2 (tCO2e) | Revenue (SEK m) | |||||||||||||
Lost time injury frequency rate (LTIFR)
Injuries resulting in lost workdays per million worked hours
16
14
12
10
8
6
4
2
0
Q1 Q2 Q3 Q4
2022
Q1 Q2 Q3 Q4
2023
Q1
2024
Loomis Group
Income statement
1 Revenue growth
Strong revenue growth across all three segments from both organic growth and the CIMA acquisition
2 Items affecting comparability Related to the communicated restructuring in segment Europe
3 Net financial items
Impact from higher interest rates and monetary loss from hyperinflationary economies
1
2
3
SEK m
Revenue
Real growth, %
Organic growth, %
Gross income
Selling and administration expenses
Other income and expenses
Items affecting comparability
Operating income (EBIT)
Operating margin, (EBIT) %
Net financial items and monetary loss
Income before taxes (EBT)
Income taxes
Net income for the period
Net margin, %
Earnings per share, before dilution (SEK)
Operating income (EBITA)
Operating margin, (EBITA)%
2024
Q1
-
253
9.2%
6.3%
- 942
-1 230 -2-15
695
9.6% -188
507
-148
359
4.9%
5.06
754
10.4%
2023 | 2024 | 2023 |
Q1 | Rolling 12 | Full year |
6 812 | 29 148 | 28 707 |
12.1% | 8.5% | 9.0% |
11.7% | 6.6% | 7.8% |
1 806 | 7 429 | 7 293 |
-1 123 | -4 475 | -4 369 |
-15 | -23 | -36 |
-12 | -132 | -128 |
656 | 2 799 | 2 759 |
9.6% | 9.6% | 9.6% |
-113 | -687 | -664 |
543 | 2 112 | 2 148 |
-140 | -662 | -654 |
403 | 1 450 | 1 495 |
5.9% | 5.0% | 5.2% |
5.64 | 20.42 | 21.00 |
717 | 2 772 | 3 077 |
10.5% | 10.7% | 10.7% |
In Summary
Solid organic
growth
Strong balance sheet
with capacity for
strategic M&A
Operational efficiency improvements - more to be done
Return to shareholders through dividend and share repurchases
Loomis Pay continues | Strong Cash flow, | |||
to grow | Rolling 12 months | |||
More sustainable | Ensuring employee | ||||
vehicles and optimized | |||||
safety is a key priority | |||||
routes | |||||
Attachments
- Original Link
- Original Document
- Permalink
Disclaimer
Loomis AB published this content on 07 May 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 07 May 2024 13:49:10 UTC.