Assa Abloy : Q1 Presentation-2024

ASSA ABLOY

Q1 interim report 2024

Strong execution in a challenging market

• Sales affected by three fewer working days in March
• • Stable sales in Entrance Systems
  • Sales decline in Americas, EMEIA, APAC and Global Technologies
• Operating income and margin improvement
• • Price realization
  • Cost actions
  • Lower direct material costs
• Seasonally strong cash conversion
• Continued solid acquisition pace
• • 3 acquisitions signed in the quarter

2

Q1 2024 figures in summary

 Sales MSEK 35,200

+9%

Sales	EBIT*
+9%	+5%

- -2% organic

- +11% acquired and divested

- +0% currency

 EBITA-margin* 16.3% (16.6%)

1. 000

1. 000

1. 000

32 000

30 000

5 427

6 500

6 000

5 500

5 000

 EBIT-margin* 15.4% (16.0%)

 EBIT* MSEK 5,427	+5%
 EPS* SEK 3.12	-6%

*Adjusted for items affecting comparability.

3

5 186

1. 000

1. 000

1. 000

1. 000

20 000

Q1 2023		Q1 2024
	Sales, MSEK		EBIT*, MSEK

4 500

4 000

3 500

3 000

Sales by region

Jan-Mar 2024

33

2

-2

53 14 -4

11616

3

27

8

Share of sales, %	Change in local currencies
QTD 2023 vs. QTD 2022, %
	4

ASSA ABLOY	100	9	-2
Emerging markets	13	12	5

6 4 -3

4 -3-3

Organic change

QTD 2023 vs. QTD 2022, %

Emerging markets follows IMF's definition as per 2018-12-31

Q1 2024 Market highlights

Project wins and achievements

• Loading dock solutions delivered to three large distribution and logistics facilities in the US and Europe
• One million Yale Doorman sold in the Nordic countries since launch in 2011
• Large US public university selects electronic access control package

Product launches

• Yale Durus - a smart lock fitted within a door, offering full functionality on any door style, launched in Sweden
• Twin X - a keying system for high security environments with new innovative features for the Australian market
• HID's identification system with facial recognition integrated with self- check-in kiosks for use in airports, hospitals, hotels etc.

Awards

• iF Design awards to the Expression Speedgate series and Yale's smart video doorbell, smart outdoor and indoor cameras
• Two awards won during ISC West 2024: Control iD's iDFace won the Biometrics category and Centrios won best Access Control Software

5

FX adjusted sales growth

%

30

25

20

15

10

5

0

-5

-10

-15

-20

MSEK

140 000

130 000

120 000

110 000

100 000

90 000

80 000

70 000

60 000

2019	2020	2021	2022	2023	2024
		Organic growth, %		Acquired growth, %		Sales in fixed currencies, MSEK

6

Operating margin	16.5%
				EBITA-margin
				run rate
%			Run rate: EBIT-margin 15.6% (15.6%)
19

18

17

Long term target range (average)

16
15
14
13
12
11
10
2019	2020	2021	2022	2023	2024
	Quarter	EBIT* Rolling 12-months	EBITA* Rolling 12-months

*) Operating margin before amortization of intangible assets recognized in business combinations.

Excluding items affecting comparability

7

Operating profit

Record high

Q1 EBIT

MSEK					MSEK
6 000					22 500
5 000					20 000
					17 500
4 000					15 000
3 000					12 500
					10 000
2 000					7 500
1 000					5 000
					2 500
0					0
2019	2020	2021	2022	2023	2024
		Quarter	Rolling 12-months

Excluding items affecting comparability

8

Acquisitions

• Active pipeline
• • 3 acquisitions signed in Q1
  • Representing annualized sales of MSEK 2,000

9

Integrated Warehouse Solutions

 A US manufacturer of loading dock equipment

 Complementary product offering and branding to the existing product portfolio

 Sales of MSEK 1,850 in 2023

 Accretive to EPS from the start

10