January-March 2022:
- Order intake and net sales increased mainly driven by megatrends in digitalization and electrification in business area AirTech.
-
The adjusted EBITA-margin was positively impacted by increased customer prices, offset by heightened supply chain constraints due to the war in
Ukraine with increased energy, raw material prices and freight costs. Also, a weak Chinese swine market in FoodTech had a dampening effect. -
Leverage (net debt/adjusted EBITDA, LTM*) increased as net debt at end of March increased compared to
December 2021 . The increase was attributable to increased lending to finance the acquisition of EDPAC in January and inventory build-up as a consequence of volume growth. -
The war in
Ukraine has led Munters to suspend all business activities withRussia . Total items affecting comparability (IACs) of MSEK -29 were identified in the first quarter related to the war. IACs of MSEK -18 were recorded as a provision in the quarter and MSEK -11 will be taken as incurred. The majority of the IACs are related to FoodTech and comprises inventory write-downs, a right-sizing severance provision and costs associated with the adaption of the strategy.
CEO comments:
Continued strong order intake driven by growing megatrends
Demand for our energy-efficient climate solutions remains high driven by the strong megatrends of digitalization and electrification. As a result, business area AirTech reported another quarter with record high order intake, including the largest order ever won for Munters. This order, comprising our customized climate control solutions to a leading data center colocation operator in the US, has a value of approximately MUSD 115. The Irish data center equipment manufacturer, EDPAC, which we acquired in January, contributed positively in the quarter. Services continued to show strong growth in line with our growth strategy for this area. Business area FoodTech also had strong growth, driven by good development in
No material effects from the war in
The current tragic situation with the war in
Price increases made in 2021 coming through and adjustment continues
As anticipated, parts of the price increases in 2021 had a positive effect in the quarter. As earlier communicated, most of the price increases done in 2021 will take effect during 2022 due to longer lead times. As a result of the war in
Investments for growth
In the quarter we continued to invest in expanded and optimized production capacity, further enhancement of our leading, innovate offering as well as in increased digitalization of our ways of working. For example, we expanded our research and development competences to ensure a more energy efficient offering.
Focused investments will continue throughout the year, aiming at creating a stable platform needed in order to capture market opportunities and achieve profitable growth.
Finally, I would like to thank all employees for your dedicated and focused work in the challenging times the world is going through right now.
Klas Forsström, CEO and President
Information about webcast:
You are welcome to join a webcast or telephone conference today at
Webcast: https://tv.streamfabriken.com/munters-q1-2022
Dial-in number for the telephone conference:
SE: +46856642707
US: +16467224903
This interim report, presentation material and a link to the webcast will be available on https://www.munters.com/en/investor-relations/
Contact person:
Ann-Sofi Jönsson, Head of Investor Relations and Enterprise Risk Management
Phone: +46 (0)730 251 005
Email: ann-sofi.jonsson@munters.com
This information is information that
About Munters Group
Munters is a global leader in energy efficient air treatment and climate solutions. Using innovative technologies, Munters creates the perfect climate for customers in a wide range of industries. Munters has been defining the future of air treatment since 1955. Today, around 3,500 employees carry out manufacturing and sales in more than 30 countries.
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