FM Mattsson Mora Group AB (publ)

Good morning everyone and welcome to this presentation from FEMATSOM Group and our results for the first quarter of 2025. And we who present today in the usual order are Jörg Fredrik and my colleague Martin. Hello. And we will go through a couple of pictures here with the closing question time and our business that has been utgår ifrån är våra sex starka varumärken i koncernen som äktar sig mot olika målgrupper och olika regioner som tillsammans tycker vi ger oss en bra bredd och bra djup att utveckla våra befintliga och nya kolderelationer i våra olika marknader. Har vi sedan en titt in i första kvartalet 2025 så Känns väldigt roligt att kunna summera en bra start på året och speciellt beaktat att vi har en konjunktur som inte riktigt är till vår hjälp. Det har ju varit så en tid så därför känns det extra roligt med en bra start på året där försäljaren ökade med 6,1% jämfört med första kvartalet 2025-2024. Och vi kan också se att båda våra segment It grows by 4.1% in the north and increases in our international market by 9.1%. It is also fun to see that our margins are following up and an improvement in our elite margin from 10.8% to 11.1% here in the first quarter compared to the corresponding quarter. One explanation for this is that we have a good sales volume to work with. At the same time, we want to emphasize that we also have a number of initial costs that affect the margin. Without them, the margin would have been somewhat stronger and the market would have given a little more detail about this very soon, but it is initial costs that usually concern the activities in our organization. Then we continue to see a conjecture that is uncertain. We had probably thought that it would feel a little better conjecture-wise when we got into the year 2025. As we all know, a lot has happened in these tuff issues and an uncertainty in the environment that we do not know about and that affects that it is still an uncertain situation for us.

And then we think that in our

and in the business we are working with, we can see that it is more challenging in some countries and some customer segments and a little different for our brands. We can see, for example, that during the first quarter it has been a little more challenging in Sweden and Denmark, but also in Germany. Germany is a relatively small part of our total business, but it is the countries that The private sector is the business that keeps up with the best activity levels and what we call the proportional root market in different countries. And this is of course the toughest. There is still new construction and above all our Nordic markets have very low activity. Now, as we talked about earlier, a relatively small part of our total revenue is taxed. to the renovation side. At home in Sweden, we also see a hope that improved food support for consumers will be able to help our business further. Otherwise, we continue to see this year that there is an insecurity in the economy and in the environment. We have our customers a little more careful to invest in new bathrooms and kitchens. We continue to follow the situation closely and continue to work a lot on our efficiency, keeping a good cost-effectiveness. But we also see that we have good conditions in several of our brands and other countries to actually take additional market shares. We also see from the first quarter that growth

which I think is a good look at the strategy and the work that our organization is doing.

I would also like to take the opportunity to highlight a specific success during the first quarter and a work that we have worked with for large parts of 2024. It has made some progress and found some new ways forward The brand is Hotbed, and we are investing in Hotbed with a broader product programme, and also lifting our sortiment towards a clearer, more general focus. This was launched in March at the IGSÅ in Frankfurt, and we got a very nice response to the launch. We think that we have had a very good development with Hotweb over the past few years since we made the acquisition. We are looking forward to taking a new step here with a well-adjusted strategy that will strengthen the hope both for existing customers and also come in with some new Thank you, Fredrik. It was a good start to the year, especially with sales.

I would say that we have increased by 30 million, that is about 6% in turnover, and that has had a positive effect on the result as well. The brutto margin is a little higher than the first quarter of last year. That is due to ... ... ... ... Den svarar 17 procent och en justerad ebitda marginal på 11,9 procent jämfört med 10,8 förra året.

Så detta är en bra framsteg.

Sen om vi tittar med lite längre perspektiv på vår The circulation has been quite stable, about 1.9 billion since 2022. And what you see here is quite a big step up towards the top as earlier in the quarter. And the cash flow has also been very positive during most of this period. During the current quarter, there has been an increase in real estate capital, mainly in customer requests. At the end of the quarter, we will get paid for the coming quarter. And a small increase in the amount of storage. We are in line with the expectations when we build storage during the first half of the year. And then we see a reduction in the second half of the year. Vi går vidare och tittar på nettoskuld och soliditet. Väldigt stabilt. Vi är i princip obelånade. Det är bara en leasing som redovisas som en skuld. Vi har inga banklån och vi har betalats av And now we have 150 million in liquid funds, so we have a strong position to continue to invest in the business. If we sum up the performance towards our goals, I'm glad to say we have achieved the goal in the first quarter for organisk tillväxt. Målet är 5% och vi har över 6% där när vi har rensat för valutaeffekt. Vi tittar på EBITDA-marginalen under 12 månader här. Det är en liten förbättring men där är vi en bit från We expect to see an improvement in the market in the future, so that we will get closer to the target. soliditeten som har varit stabil och långt över våldet.

Nu lämnar jag tillbaka till Fredrik.

Ja, tack Martin. Tittar vi framåt här så har vi varit inne på att vi fortsätter jobba mycket med att utveckla tillväxtmöjligheter i städerna av marknaden. Vi ser att det finns, och vi ser nog i de områden som sticker ut, att vi fortsätter We tried to invest, we used a lot of focus on efficiency. But in total, we can say that we continue to keep up with the strategy we have worked on for a longer period of time. We feel that we have a very good result and that it also feels right for the future. It helps us to get growth and with a good profitability. These are our five strategic milestones that we call strong customer service. I think that today we have a broad and deep product portfolio that we will continue to try to push forward in the product segment. Sustainability and digitalization are also part of the agenda. We have to work with the industry and have a clear view of our customers and what we can help them with. We have to start with efficiency. It is important that we have the connectivity that we need to be able to deal with our supply chain and see if opportunities in the country can be more effective. and have clearly seen internally in the organization, trying to get more and more employees every day to be involved and support the strategy.

And that's what we're working on together with our various partners in the business.

And to start with the summary of the first quarter, I came in on this as a good start, sales-wise, and it's nice to see that the margins are improving. The current situation affects us on a goal level, but I think it's a good sign that we are working with the right things in the business and it feels nice to have a coming quarter. It's also nice to see after a long period of success with Hotbed that we are now taking a step forward in a strategy that will create more opportunities to develop businesses with both befintliga och nya kunder i Nederländerna men även i andra länder. Det tycker jag också känns väldigt spännande. Sedan är jag så inne på att vi fortsätter att följa konjunkturläget och sammanfattningsvis är det min ställe på att hela 2025 kommer att vara fortsatt för branschen och hur all efterfrågan ser ut.

Men med lite nyansskillnader mellan olika kundsegment och olika länder.

Det är sammanfattningen för första kvartalet och jag tänkte att vi går över till frågestund och är sugna på att ställa frågor får ni trycka på den här knappen medan det räcker upp handelsområden på er dator och därefter slå på mikrofonen. Yes, I have a question from Matslis, and I turn on the microphone, Mats. Yes, I hope it works.

But yes, congratulations on a good start to the year and I'm a little... Sorry, I can't hear you. Jag har... Ja, den är aktiverad, men det hörs inte alls. Mats, stöd att du... Ja, jag har gjort vad jag kan.

Nu hör jag dig, Judith.

Funkar det bättre nu? Ska jag göra ett försök då? Grattis för första kvartalet, det ser riktigt bra ut. Ni har jobbat lite med kostnadsmassan också och har ju lite extra kostnad där som ni är inne på. Har de effekterna fått fullt genomslag här i första kvartalet eller är det något som successivt filtrerar in i resultatet nu eller hur ska man se på det? Och kanske också om ni har gjort de anpassningar som behövs nu eller ska man räkna med att det kommer mer av den typen av åtgärder?

Thank you for the question. The one-time costs that we have had now are for a reduction in the manpower that has ended during the quarter. So we have not seen an effect, a saving from them during the quarter, but we will see that from the second quarter onwards. Det är några effektiviserings som vi har jobbat med under förra året som har börjat sig en effekt av. Men vi har nu en ocean som vi tycker är bra och effektiv för Ja, en längre period så vi förväntar oss ytterligare minskningar där i närtid men vi kommer att jobba med vår interna effektivitet framöver med inköp, med produktionsprocesser och att använda digitalisering för att effektvis är det verksamheten. Så detta är högt på agendan och vi siktar på att göra successiva förbättringar.

Och den här kostnadsbesparingen ni får av de här åtgärderna på årsbasis, hur ska man se på den? Är det motsvarande? Om ni kan ge någon indikation där?

Ja, det som...

In general, the savings that we make in recurring costs should be at least as big as the one-time cost that we have had based on the latest effects we have seen.

Then, if you look at the sales, it was really good here. And how should you look at that? Is there any kind of pre-purchase effect, that you increase prices, or is it like a natural part of a slightly better root market and activity in the international segment, perhaps, that makes this effect? And is it like, sustainable in the future? Or is it the customers who fill up the storage? Are there similar effects that you have to take into account?

I don't think there is any clear effect on storage and construction, but it has been a relatively normal purchase pattern. And then one of the few markets that drives sales a little better, we see that we have a very good development in For example, Great Britain and the Netherlands, where they grow faster than the market and manage to get in on some new calls. Now we have a rather short order clock and visibility forward in our market, which is natural. But I think we see that we have a good trend that has good conditions to continue in those countries. We have a strong position and presence in this professional market. The root segment, above all, which has historically shown itself to be able to keep up with a good demand, even if the current situation in general is a little weaker. I think that we will be able to continue to keep up, but the current situation is somewhat more challenging in the Nordic region, in my view, than it is on the export side. We as a company are a little more exposed to the Nordic region. The changes in demand affect us a little and the growth opportunities are a little more limited than when we come internationally where we are a smaller actor and see more opportunities to enter new niches and come in towards new customers. We have also made some price adjustments according to what we are used to and what we usually do, which has partly started to break through Okay.

Sen bara det här med...

Yes, you have a very strong financial position and the acquisitions you have made deliver as it sounds pretty good. How should you look at it? You are expanding Håttbatvaruvärket a little more towards premium segmentation, into different activities. Is that how you are going to grow? Or do you have a business plan? You are a niche player in many ways. What is the next year's agenda, do you think?

We definitely want to grow and I think we have it with us in the plans for the next business. Hitta dem med tillväxtmöjligheterna och de är med ett större internationellt men vi ser även inom Norden att det finns områden där vi kan ta för oss mer med vår produktportfölj men definitivt är förvärv en fortsatt viktig komponent i vår vardag som vi jobbar mycket med och fokuset är ju där att hitta bolag som kan stärka upp oss både i Norden men även ta oss in i nya områden utanför Norden. Vi tittar också på It's a bit broader than just cranes, so we see that there are opportunities for us as a company to be able to offer a broader program to the bathroom market, especially in all of our countries. And then we do a part of it already today, for example, with the adjusted strategy we do with Hotbath, from what has been a clean, smooth, mixed company, so we go in here now with a broader program. with mirrors, shelves, bathroom towels and so on. We wanted to do this journey in the area of our brand, but the heat can be a clear step forward. So the work continues to change so that the market situation we are in can also make it possible to come up with more of these opportunities I feel that we have a good situation in the company with the strategy and management structure we have and the way we have built up. And then of course we have a very good financial position, so we are eager to be able to develop more in the future.

Slutligen bara en liten tilläggsköpingsskiljning, jag var inne lite på det. Kan du bara uppdatera status där? Finns det något sådant kvar eller det kanske är redan hanterat?

Vi har betalat alla dessa brott under förra året. Ingen skuld är kvar.

Det var ungefär det jag undrar över. Tack så mycket.

Thank you, Mats.

Let's see if we have any more questions.

No, there doesn't seem to be any more questions, so I think we should thank Marta for us, and I hope that you have appreciated this presentation and this question. We look forward to next week's question and answer. Tack så mycket. Hej då. Tack så mycket. Ha en bra dag.