Idun Industrier AB (publ)

Hello and welcome to Idun Industries presentation of the second quarter of 2025. My name is Carl Korsheden and I work as an analyst here at Carnegie and with me in the studio I have the CEO and CFO from Idun who will help us go through the second quarter and where we will round off with a Q&A. And on that topic, I just want to remind you again that there is a chat function for those of you who are listening in there on LinkedIn. So just shoot your questions and I'll read them up in the room. With that said, I'll hand it over to you and the second quarter.

Yes, this is only the second quarter that we are presenting a quarterly report, so I was going to start by giving a short introduction to Idun Industries. So we are an industry group that accounts for about 2.2 billion, has a turnover of –at just over SEK 300 million. We are an industry group with a focus in the north. About three-quarters of the sales take place in Sweden, more than 90% in the north. We consist of two business areas, manufacturing, which accounts for about 60% of revenue and services, and maintenance, which accounts for 40%. If you remember two things about Idunp, on the investment side, we are looking for market leaders. It can be market leaders within areas that may be quite small, but where you otherwise have a very high market share. And if you remember one thing about our business model, it is that we add the pilot school in a very consistent and, one might say, dogmatic way. All of us who are in the fashion company management have most of our private capital invested in food stocks. And in 100% of the cases in the group companies, we have management who are shareholders in respective group companies. So there is a very strong interest community with you as shareholders in food industries. A few words about the long term. Since we established a little more than 10 years ago, IDUN has had a strong financial development. From 2018 to 2024, the turnover has grown by about 30% per year. And we currently have a net debt over EBITDA of 2. Så det är bara för att man zoomar ut och tar den långa bilden. Över till dig, Oskar.

Thank you, Henrik. Yes, we can say that we are not quite satisfied with this quarter, which historically has been our strongest, both in terms of turnover and income, but still on good levels, but could have been a little better. The turnover increases organically by 0.3 percent, while EBITDA organically decreases by 6.2 percent. We have two business areas and within the business areas of production or the companies that are included there, we have both positive revenue and EBITDA to growth organically in the quarter and also the interagro forest additional acquisition. The additional acquisition to LMI contributes positively with another 5 million in results. In the area of business, service and maintenance, we lose about 5% of our turnover per quarter. And it's not a specific company or any individual company that stands out, but we have a few companies where we have a slightly lower turnover. And among other things, as we mention in the introduction, we have Ståtöga Emma Teknik, which has heavy industrial maintenance. And we have Elema, environmental analysis, which does air emission measurements. And Triton, wave technology, which serves and manufactures waves. We are happy with the quarter. We continue to strengthen our gross margin. We go from 60.8% to 61.2%. At the same time, the EBITDA margin is decreasing somewhat, which means that the costs have increased a little compared to previous years, so that the turnover does not really cover in comparison to previous years. If we sum up, the revenue increases by 2.6% to 592 million SEK and EBITDA decreases by 2.2% reported to 89 million SEK. The EBITDA margin in the quarter lands at 15% and if you look at the last three years in the quarter, it has been between 15% and just under 16%. If we look at the last 12 months, we have a revenue growth of 3.2% and 2.4% organically. And on the RÖS result in Bita, we increased LTM, or the last 12 months, by 4.4% and organically by 4.7%. Funly, the cash flow is strengthened in the quarter from 54 to 71 million and the improvement between the quarters is mainly improved capital movement. Also, results and results adjusted for Goodwill continue to increase in the quarter and range from 4 to 4.2. And here we see corresponding graphs divided by our business areas. Manufacturing, where, as I said, both revenue and revenue increase organically for the companies that are included there. And we go from 351 million in revenue to 377, and where we also have Interagro Skog, which contributes positively with about 5 million in the result. For service and maintenance, we lose about 5% of the turnover in the quarter. We improve the gross margin in both manufacturing and service and maintenance, but given that we have increased costs compared to the previous year, we lose a bit of margin. If we look at cash generation, it is still good and in line with the history. What can be mentioned briefly is that only 2022 stands out. We, like many others, during 2022 built a number of layers. And then there was a lot of timing in customer invoicing at the end of the year. So there we had a slightly weaker cash generation, but a part of it was also released in 2023. And with that I leave it back to Henrik.