Momentum Group Q2 2023: Continued favourable organic and acquisition-driven growth

A continued healthy sales performance in the existing operations, combined with acquisitions, contributed to a revenue increase of 23 per cent during the second quarter compared with the previous year, of which 7 per cent was attributable to comparable units. Two companies were acquired during the quarter, adding combined annual revenue of approximately SEK 370 million. Revenue growth, combined with effective cost control, led to a 20 per cent increase in EBITA compared with the second quarter last year.

Second quarter 2023

• Revenue increased by 23% to SEK 549 million (446), of which 7% was attributable to comparable units.
• Operating profit rose by 20% to SEK 59 million (49), corresponding to an operating margin of 10.7% (11.0).
• EBITA increased by 20% to SEK 65 million (54), corresponding to an EBITA margin of 11.8% (12.1).
• Profit for the quarter increased by 16% to SEK 43 million (37), corresponding to earnings per share of SEK 0.90 (0.70).
• Acquisition of Askalon, a leading player in advanced valve solutions primarily for the power, refinery and process industries in Sweden, Denmark and Iceland.
• Acquisition of Danish company Regal, a specialist in solutions in transmission, electrical automation and control.

January–June 2023

• Revenue increased by 24% to SEK 1,051 million (845), of which 8% was attributable to comparable units.
• Operating profit rose by 33% to SEK 114 million (86), corresponding to an operating margin of 10.8% (10.2).
• EBITA increased by 28% to SEK 125 million (98), corresponding to an EBITA margin of 11.9% (11.6).
• Profit for the period increased by 31% to SEK 85 million (65), corresponding to earnings per share of SEK 1.75 (1.25).
• The return on working capital (EBITA/WC) was 60% (62).
• The equity/assets ratio was 32 per cent (44) at the end of the period.
• As of 30 June, the number of repurchased Class B shares totalled 1,259,624.
• During the first quarter, Hydmos Industriteknik, LocTech and Agera were acquired.

Events after the end of the period

• After the end of the quarter, Processkontroll Items was acquired, which holds a leading niche position in instrumentation for demanding operating conditions.

A quarterly presentation is available on the company’s website, momentum.group, where CEO Ulf Lilius and CFO Niklas Enmark present the report and provide an update on operations.

For further information, please contact:

Ulf Lilius, President & CEO
Tel: +46 8 92 90 99
 
Niklas Enmark, CFO
Tel: +46 703 93 66 73
info@momentumgroup.com.se

Ann-Charlotte Svensson, IR
Tel: +46 720 85 72 62
info@momentumgroup.com.se

About Momentum Group

Momentum Group operates, develops and acquires successful sustainable companies in the Nordic region through active ownership with decentralised profit and business responsibility. The Group consists of a number of companies that together constitute one of the Nordic region’s leading suppliers of industrial components, industrial services and other related services in the industrial sector. What the businesses have in common is that they help make customers’ operations easier, safer and more profitable by offering sustainable, long-life products and services with a strong local presence close to customers. The Group generates revenue of approximately SEK 1.8 billion and has some 550 employees. Momentum Group's B share is listed on Nasdaq Stockholm. For more information, please visit momentum.group.

This information is information that Momentum Group AB (publ) is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The information was submitted for publication, through the agency of the contact persons set out above, at 2023-07-14 07:55 CEST.