Reporting period January - June
· Net sales declined by 2.5 per cent to
· EBITA* decreased by 4.3 per cent to
· The EBITA margin* declined by 0.3 percentage points to 18.2 (18.5) per cent.
· Profit before tax grew 0.4 per cent to
· Net profit for the period grew by 0.4 per cent to
· Earnings per share increased by 1.0 per cent to
· Cash flow from operating activities increased by 144 per cent to
· In April and May, the effects of the COVID-19 pandemic had a significant impact on demand and profitability for many of the Group's subsidiaries. In June, all European dental markets recovered, and an improvement was also noted in the European markets for the operations in Systems Solutions that were affected by the pandemic.
· Five businesses were acquired during the period with total annual sales of about
Reporting period April - June
· Net sales declined by 12.9 per cent to
· EBITA* decreased by 17.4 per cent to
· The EBITA margin* declined by 1.0 percentage point to 18.5 (19.5) per cent.
· Profit before tax declined by 19.2 per cent to
· Net profit for the period decreased by 18.8 per cent to
· Cash flow from operating activities increased by 109 per cent to
Summary of financial performance
SIX SECOND Rolling FULL
MONTHS QUARTER 12 YEAR
months
SEK million 2020 2019 change 2020 2019 change change 2019
Net sales 6,720 6,893 -2.5% 3,079 3,536 -12.9% 13,672 -1.2% 13,845
EBITA* 1,221 1,276 -4.3% 569 689 -17.4% 2,468 -2.2% 2,523
EBITA 18.2% 18.5% -0.3 18.5% 19.5% -1.0 18.1% -0.1 18.2%
margin*
Profit 979 975 0.4% 439 543 -19.2% 2,000 0.2% 1,996
before tax
Net profit 734 731 0.4% 329 405 -18.8% 1,531 0.2% 1,528
for the
period
Earnings 7.98 7.90 1.0% 3.56 4.39 -18.9% 16.65 0.5% 16.57
per share
Return on 21.5% -3.5 21.5% -3.5 18.0% -1.5 19.5%
capital 18.0% 18.0%
employed
Return on 114% 136% -22 114% 136% -22 114% 6 108%
capital
employed
excl.
goodwill
*Before
acquisition
costs and
non
-recurring
items.
COMMENTS FROM THE CEO
In April and May, the effects of the COVID-19 pandemic had a significant impact on demand and profitability for many of the Group's subsidiaries.
As
During the first half of the year,
On
Per Waldemarson
President and CEO
GROUP PERFORMANCE IN JANUARY - JUNE
Net sales declined 2.5 per cent to
EBITA* declined 4.3 per cent to
Net financial items were
Profit before tax grew by 0.4 per cent to
Average capital employed excluding goodwill declined by
The Group's net debt declined by
On
The net debt/equity ratio at
Cash flow from operating activities increased by 144 per cent to
GROUP PERFORMANCE IN THE SECOND QUARTER
Net sales declined in the second quarter by 12.9 per cent to
Due to dividends to minorities in the second quarter, Other income and expenses was impacted by
EBITA* declined 17.4 per cent to
Net financial items were
Profit before tax declined by 19.2 per cent to
Average capital employed excluding goodwill declined by
The Group's net debt fell during the quarter by
Cash flow from operating activities increased by 109 per cent to
FINANCIAL PERFORMANCE - BUSINESS AREAS
Dental
SIX SECOND Rolling FULL
MONTHS QUARTER 12 YEAR
months
SEK 2020 2019 change 2020 2019 change change 2019
million
Net 2,012 2,252 -10.7% 841 1,125 -25.2% 4,153 -5.5% 4,393
sales
EBITA* 385 465 -17.2% 144 233 -38.2% 794 -9.2% 874
EBITA 19.1% 20.6% -1.5 17.1% 20.7% -3.6 19.1% -0.8 19.9%
margin*
The companies in
Net sales in Dental declined by 10.7 per cent to
The dental market remains generally stable. The results of individual companies in
As of
Demolition & Tools
SIX SECOND Rolling FULL
MONTHS QUARTER 12 YEAR
months
SEK 2020 2019 change 2020 2019 change change 2019
million
Net 1,637 1,823 -10.2% 775 991 -21.8% 3,424 -5.2% 3,610
sales
EBITA* 355 415 -14.5% 176 243 -27.6% 774 -7.2% 834
EBITA 21.7% 22.8% -1.1 22.7% 24.5% -1.8 22.6% -0.5 23.1%
margin*
Demolition & Tools develops, manufactures and sells equipment for the construction and demolition industries. The Group is the world's leading supplier of demolition robots and crane attachments. The Group is also one of the leading global suppliers of excavator attachments. The business area's EBITA margin might fluctuate between quarters due to single, major special orders and changes to the product mix.
During the first half of the year, sales decreased by 10.2 per cent to
Systems Solutions
SIX SECOND Rolling FULL
MONTHS QUARTER 12 YEAR
months
SEK 2020 2019 change 2020 2019 change change 2019
million
Net 3,071 2,818 9.0% 1,463 1,420 3.0% 6,095 4.3% 5,842
sales
EBITA* 536 445 20.4% 274 236 16.1% 1,000 10.0% 909
EBITA 17.5% 15.8% 1.7 18.7% 16.6% 2.1 16.4% 0.8 15.6%
margin*
Through its operating units, Systems Solutions operates in industries offering systems solutions. Systems Solutions is divided into five divisions: Construction Materials, Contract Manufacturing, Environmental Technology, Service and Distribution (previously Interiors for Service Vehicles) and Forest.
Net sales in Systems Solutions increased by 9.0 per cent to
During the first quarter, EBITA* increased by 20.4 per cent to
The Construction Materials division has reported a stable performance for the first half of the year. The division was relatively unaffected by the pandemic given that deliveries of input materials to the construction industry continued during the pandemic.
The Contract Manufacturing division is directed at industries that have not been particularly affected by the pandemic and have reported strong sales growth in both the first half of the year and the second quarter with improved result.
Growth in the Environmental Technology division is primarily the result of acquisitions. In the first half of the year, the results improved while the second quarter was weak as the result of a relatively large impact due to the pandemic.
Growth in the Service and Distribution division is primarily the result of acquisitions. The division improved its results both in the first half of the year and in the second quarter.
The Forest division reported a weak first half of the year and second quarter with decreased sales and weaker result following lower volumes.
The majority of Italian company
ACQUISITIONS
Consolidated Acquisitions Business area Net sales Employees
from month
January Rönvig Dental Dental
Manufacturing
February Workplace Dental
Safety
February Dental Grupa Dental
February Cramaro Systems Solutions
Tarpaulin
Systems
June TrollDental's Dental
product
portfolio
Further information on the acquisitions is provided on page 16. The figures for net sales and number of employees refer to estimated annual net sales and the number of employees at the acquisition date.
Taken together, the acquisitions will have a positive impact on
OTHER FINANCIAL INFORMATION
Employees
The average number of employees was 5,446 (5,236) in the first half of the year. At the end of the period, the number of employees was 5,382 (5,328). Acquisitions added around 160 employees.
Events after the end of the reporting period
Related party transactions
No significant transactions with related parties took place during the period.
Annual General Meeting 2020
The 2020 Annual General Meeting was held on 24 June in
Risks and uncertainties
The risk factors which have the biggest impact for
Accounting policies
The Group's interim report has been prepared in accordance with IAS 34 Interim Financial Reporting and the Swedish Annual Accounts Act. In respect of the Parent Company, the report has been prepared in accordance with the Annual Accounts Act and Recommendation RFR 2 Financial Reporting for Legal Entities of the Swedish Financial Reporting Board. The accounting policies have been applied in accordance with those which are presented in the 2019 Annual Report and should be read in conjunction with these. In many countries,
This report has not been examined by the Company's auditors.
DECLARATION OF THE BOARD OF DIRECTORS
The Board of Directors and Chief Executive Officer warrant and declare that this six-month report gives a true and fair view of the Parent Company's and Group's operations, financial positions and results, and that it describes significant risks and uncertainties faced by the Parent Company and the companies included in the Group.
Enköping,
Carl BennetChairman of Ulrika DellbyDirector Dan FrohmDirector
the Board
Director Director
Anders Johan SternVice Caroline af
LorentzsonDirector, Chairman UgglasDirector
employee representative
Axel WachtmeisterDirector Per Peter
WaldemarsonPresident WibergDirector,employee
and CEO, Director representative
FINANCIAL CALENDAR
The report for the third quarter will be published on 22 October.
The 2020 year-end report will be published on
FURTHER INFORMATION
Media and investor relations: Åse Lindskog, ir@lifco.se, telephone: +46 730 24 48 72.
TELECONFERENCE
Media and analysts are welcome to call in to a teleconference, where CEO Per Waldemarson and CFO Therése Hoffman will present the interim report. After the presentation, there will be an opportunity to ask questions.
Time: Friday, 17 July at
Link to the presentation: https://tv.streamfabriken.com/lifco-q2-2020
Telephone numbers:
US +1 646 722 49 02
ABOUT
This information constitutes information that
under the EU's Market Abuse Regulation and the
Act. The information was submitted for publication through the aforementioned
contact person on
CONDENSED CONSOLIDATED INCOME STATEMENT
SIX MONTHS SECOND QUARTER FULL YEAR
SEK million 2020 2019 change 2020 2019 change 2019
Net sales 6,720 6,893 -2.5% 3,079 3,536 -12.9% 13,845
Cost of goods sold -3,940 -3,999 -1.5% -1,823 -2,018 -9.7% -8,033
Gross profit 2,780 2,894 -3.9% 1,256 1,518 -17.3% 5,812
Selling expenses -775 -784 -1.1% -345 -407 -15.2% -1,600
Administrative -953 -968 -1.5% -424 -462 -8.2% -1,928
expenses
Development costs -55 -85 -35.3% -28 -45 -37.8% -171
Other income and 10 -50 -120% 2 -42 -104.8% -54
expenses
Operating profit 1,007 1,007 0.0% 461 562 -18.0% 2,059
Net financial -28 -32 -12.5% -22 -19 -15.8% -63
items
Profit before tax 979 975 0.4% 439 543 -19.2% 1,996
Tax -245 -244 0.4% -110 -138 -20.3% -468
Net profit/loss 734 731 0.4% 329 405 -18.8% 1,528
for the period
Profit
attributable to:
Parent Company 725 718 1.0% 323 399 -19.0% 1,505
shareholders
Non-controlling 9 13 -30.8% 6 6 - 23
interests
Earnings per share 7.98 7.90 1.0% 3.56 4.39 -18.9% 16.57
before and after
dilution for the
period,
attributable to
Parent Company
shareholders
EBITA* 1,221 1,276 -4.3% 569 689 -17.4% 2,523
Depreciation of 178 152 17.1% 89 79 12.7% 311
tangible assets
Amortisation of 5 7 -28.6% 2 4 -50.0% 15
intangible assets
Amortisation of 204 154 32.5% 102 80 27.5% 329
intangible assets
arising from
acquisitions
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
SIX SECOND FULL
MONTHS QUARTER YEAR2019
SEK million 2020 2019 change 2020 2019 change
Net profit for the period 734 731 0.4% 329 405 -18.8% 1,528
Other comprehensive income
Items which can later be
reclassified to profit or
loss:
Hedge of net investment 82 11 646% -28 18 -256% 6
Translation differences -222 218 -202% -353 59 -698% 140
Tax related to other -18 -2 800% 6 -4 -250% -1
comprehensive income
Total comprehensive income 576 958 -39.9% -46 478 -110% 1,673
for the period
Comprehensive income
attributable to:
Parent Company shareholders 569 942 -39.6% -50 471 -111% 1,648
Non-controlling interests 7 16 -56.3% 4 7 -42.9% 25
576 958 -39.9% -46 478 -110% 1,673
SEGMENT OVERVIEW
NET SALES TO EXTERNAL CUSTOMERS
No sales are made between the segments.
SIX SECOND Rolling FULL
MONTHS QUARTER 12 YEAR
months
SEK 2020 2019 change 2020 2019 change change 2019
million
Dental 2,012 2,252 -10.7% 841 1,125 -25.2% 4,153 -5.5% 4,393
Demolition 1,637 1,823 -10.2% 775 991 -21.8% 3,424 -5.2% 3,610
& Tools
Systems 3,071 2,818 9.0% 1,463 1,420 3.0% 6,095 4.3% 5,842
Group
Net sales by type of income:
SIX SECOND Rolling FULL
MONTHS QUARTER 12 YEAR
months
SEK million 2020 2019 change 2020 2019 change change 2019
Dental 2,012 2,252 -10.7% 841 1,125 -25.2% 4,153 -5.5% 4,393
products
Machinery and 1,637 1,823 -10.2% 775 991 -21.8% 3,424 5.2% 3,610
tools
Construction 591 601 -1.7% 302 304 -0.7% 1,182 -0.8% 1,192
Materials
Contract 590 500 18.0% 321 262 22.5% 1,145 8.5% 1,055
Manufacturing
Environmental 876 798 9.8% 372 411 -9.5% 1,933 4.2% 1,855
Technology
Service and 651 437 49.0% 321 234 37.2% 1,096 24.3% 882
Distribution
Forest 363 482 -24.7% 147 209 -29.7% 739 -13.9% 858
Group 6,720 6,893 -2.5% 3,079 3,536 -12.9% 13,672 -1.2% 13,845
EBITA
A breakdown of results by segment is made up to and including EBITA. EBITA is reconciled to profit before tax in accordance with the following table:
[][]
SIX SECOND Rolling FULL
MONTHS QUARTER 12 YEAR
months
SEK million 2020 2019 change 2020 2019 change change 2019
Dental 385 465 -17.2% 144 233 -38.2% 794 -9.2% 874
Demolition & 355 415 -14.5% 176 243 -27.6% 774 -7.2% 834
Tools
Systems 536 445 20.4% 274 236 16.1% 1,000 10.0% 909
Solutions
functions
EBITA before 1,221 1,276 -4.3% 569 689 -17.4% 2,468 -2.2% 2,523
acquisition
costs
Acquisition -10 -59 -83.1% -6 -47 -87.2% -30 -62.0% -79
costs[1]
Non-recurring - -56 -100% - - - - -100% -56
items[2]
EBITA 1,211 1,161 4.3% 563 642 -12.3% 2,438 2.1% 2,388
Amortisation of -204 -154 32.5% -102 -80 27.5% -379 15.2% -329
intangibleassets
arising from
acquisitions
Net financial -28 -32 -12.5% -22 -19 15.8% -59 -6.3% -63
items
Profit before 979 975 0.4% 439 543 -19.2% 2,000 0.2% 1,996
tax
[1] Of which, change in put/call options and additional considerations for the current year,
[2] Pertaining to costs in connection with management change.
CONDENSED CONSOLIDATED BALANCE SHEET
SEK million
ASSETS 11,701
Intangible assets 10,257 11,209
Tangible assets 1,491 1,312 1,503
Financial assets 182 179 182
Inventories 2,014 2,127 1,997
Accounts receivable 1,645 1,751 1,584
Current receivables 477 486 374
Cash and cash equivalents 781 340 729
TOTAL ASSETS 18,291 16,452 17,578
EQUITY AND LIABILITIES
Equity 8,061 7,261 7,972
Non-current interest-bearing 1,459 578 1,674
liabilities incl. pension
provisions
Other non-current liabilities 2,017 1,658 1,986
and provisions
Current interest-bearing 3,689 4,551 3,691
liabilities
Accounts payable 805 815 680
Other current liabilities 2,260 1,589 1,575
TOTAL EQUITY AND LIABILITIES 18,291 16,452 17,578
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
Attributable to Parent Company shareholders
SEK million
Opening equity 7,915 6,685 6,685
Comprehensive income for the period 569 942 1,648
Dividend -477 -418 -418
Closing equity 8,007 7,209 7,915
Equity attributable to:
Parent Company shareholders 8,007 7,209 7,915
Non-controlling interests 54 52 57
8,061 7,261 7,972
CONDENSED CONSOLIDATED CASH FLOW STATEMENT
SIX MONTHS SECOND QUARTER FULL YEAR
SEK million 2020 2019 2020 2019 2019
Operating activities
Operating profit 1,007 1,007 461 562 2,059
Non-cash items 385 361 196 203 705
Interest and financial -28 -32 -22 -19 -63
items, net
Tax paid -337 -293 -169 -134 -571
Cash flow before changes 1,027 1,043 466 612 2,130
in working capital
Changes in working
capital
Inventories 37 -313 159 -130 -94
Current receivables 12 -179 205 -41 137
Current liabilities 183 -35 -46 -66 -183
Cash flow from operating 1,259 516 784 375 1,990
activities
Business acquisitions -778 -815 -21 -300 -1,781
and sales, net
Net investment in -81 -122 -13 -59 -243
tangible assets
Net investment in -12 -8 -10 -6 -32
intangible assets
Cash flow from investing -871 -945 -44 -365 -2,056
activities
Borrowings/repayment of -263 818 -608 458 863
borrowings, net
Dividends paid -38 -487 -34 -478 -490
Cash flow from financing -301 331 -642 -20 373
activities
Cash flow for the period 87 -98 98 -10 307
Cash and cash 729 405 714 348 405
equivalents at beginning
of period
Translation differences -35 33 -31 2 17
Cash and cash 781 340 781 340 729
equivalents at end of
period
ACQUISITIONS IN 2020
Five new businesses were consolidated in the first half of the year. The acquisitions refer to TrollDental's product portfolio, all shares in the Danish companies Rönvig Dental Manufacturing A/S and the Workplace Safety division of KiiltoClean A/S as well as the majority of the Croatian company Dental Grupa and the Italian Cramaro Tarpaulin Systems.
The purchase price allocation includes all acquisitions made during the first half of the year.
Acquisition-related expenses of
Acquired net assets
Net assets, SEK million Carrying Value Fair
amount adjustment value
Trademarks, customer relationships, licences 5 499 504
Tangible assets 46 - 46
Inventories, accounts receivable and other receivables 175 -2 173
Accounts payable and other liabilities -175 -98 -273
Cash and cash equivalents 85 - 85
Net assets 136 399 535
Total net assets 136 763 899
Effect on cash flow, SEK million
Consideration 899
Consideration not paid -78
Cash and cash equivalents in acquired -85
companies
Consideration paid relating to acquisitions from 42
previous years
Total cash flow 778
effect
FINANCIAL INSTRUMENTS
[]
SEK million
Financial assets at
amortised cost
Accounts receivable 1,645 1,751 1,584
Other non-current 11 18 9
financial receivables
Cash and cash 781 340 729
equivalents
Total 2,437 2,109 2,322
Liabilities at fair
value through profit or
loss
Other liabilities[1] 908 698 916
Financial liabilities at
amortised cost
Interest-bearing 5,107 5,092 5,325
borrowings
Accounts payable 805 815 680
Total 6,820 6,605 6,921
[1] Other liabilities classified as financial instruments refer to mandatory put/call options related to non-controlling interests and additional considerations.
The carrying amount is the same as the fair value. Financial instruments at fair value are classified into different levels depending on how fair value is determined. All financial instruments at fair value in the
KEY PERFORMANCE INDICATORS
ROLLING TWELVE MONTHS TO 202030
Net sales, SEK million 13,672 13,845 13,134
Change in net sales, % -1.2 15.8 9.9
EBITA*, SEK million 2,468 2,523 2,466
EBITA margin*, % 18.1 18.2 18.8
EBITDA*, SEK million 2,818 2,849 2,699
EBITDA margin*, % 20.6 20.6 20.5
Capital employed, SEK million 13,706 12,925 11,456
Capital employed excl. goodwill and 2,173 2,345 1,807
other intangible assets, SEK million
Return on capital employed, % 18.0 19.5 21.5
Return on capital employed excl. 114 108 136
goodwill, %
Return on equity, % 18.9 20.3 21.9
Net debt, SEK million 5,275 5,552 5,487
Net debt/equity ratio, times 0.7 0.7 0.8
Net debt/EBITDA* 1.9 1.9 2.0
Interest-bearing net debt, SEK 3,815 4,040 4,312
million
Interest-bearing net debt/EBITDA*, 1.4 1.4 1.6
times
Equity/assets ratio, % 44.1 45.4 44.1
Number of shares, thousand 90,843 90,843 90,843
Average number of employees 5,446 5,255 5,236
CONDENSED PARENT COMPANY INCOME STATEMENT
[][]
SIX MONTHS SECOND QUARTER FULL YEAR
SEK million 2020 2019 2020 2019 2019
Administrative expenses -51 -112 -18 -26 -162
Other operating income[1] - - - - 139
Operating profit -51 -112 -18 -26 -23
Net financial items[2] 887 765 788 730 837
Profit after financial items 836 653 770 704 814
Appropriations 6 - 6 - -30
Tax -9 18 5 2 -6
Net profit for the period 833 671 781 706 778
[1] Invoicing of Group-wide services.
[2] Net financial items include
CONDENSED PARENT COMPANY BALANCE SHEET
SEK million
ASSETS
Tangible assets - 0 0
Financial assets 4,989 4,468 4,872
Current receivables 6,039 4,828 5,226
Cash and cash equivalents 328 45 379
TOTAL ASSETS 11,356 9,341 10,477
EQUITY AND LIABILITIES
Equity 3,628 3,164 3,271
Untaxed reserves 65 70 72
Provisions 11 -
Non-current interest-bearing liabilities 946 - 1,004
Current interest-bearing liabilities 3,511 4,499 3,670
Current non-interest-bearing liabilities 3,195 1,608 2,460
TOTAL EQUITY AND LIABILITIES 11,356 9,341 10,477
Pledged assets - - -
Contingent liabilities 211 81 46
DEFINITIONS AND OBJECTIVES
Return on equity Net profit for the period divided by
average equity.
Return on capital employed EBITA before acquisition costs and non
-recurring items divided by capital
employed.
Return on capital employed excluding EBITA before acquisition costs and non
goodwill and other intangible assets -recurring items divided by capital
employed excluding goodwill and other
intangible assets.
EBITA EBITA is a measure which
relevant for investors who wish to
understand the earnings generated after
investments in tangible and intangible
assets requiring reinvestment but before
investments in intangible assets
attributable to acquisitions.
defines earnings before interest, tax
and amortisation (EBITA) as operating
profit before amortisation and
impairment of intangible assets arising
from acquisitions. In its financial
reports,
costs and non-recurring items. This is
indicated by an asterisk.
EBITA margin EBITA divided by net sales.
EBITDA EBITDA is a measure which
considers relevant for investors who
wish to understand the earnings
generated before investments in non
-current assets.
before interest, tax, depreciation and
amortisation (EBITDA) as operating
profit before depreciation, amortisation
and impairment of tangible and
intangible assets. In its financial
reports,
costs and non-recurring items. This is
indicated by an asterisk.
EBITDA margin EBITDA divided by net sales.
Net debt/equity ratio Net debt divided by equity.
Net debt
additional KPI which allows users of the
financial reports to assess the Group's
ability to pay dividends, make strategic
investments and meet its financial
obligations.
follows: current and non-current
liabilities to credit institutions,
bonds, interest-bearing pension
provisions, liabilities related to
put/call options and additional
considerations relating to acquisitions
as well as lease liabilities less cash
and cash equivalents.
Earnings per share Profit after tax attributable to Parent
Company shareholders, divided by the
average number of shares outstanding.
Interest-bearing net debt
-bearing net debt.
this is a useful additional KPI which
allows users of the financial reports to
assess the Group's ability to pay
dividends, make strategic investments
and meet its financial obligations.
current and non-current liabilities to
credit institutions, bonds as well as
interest-bearing pension provisions less
cash and cash equivalents.
Equity/assets ratio Equity divided by total assets (balance
sheet total).
Capital employed Capital employed is a measure which
capital employed and for measuring how
efficient the Group is.
that capital employed is useful in
helping users of the financial reports
to understand how the Group finances
itself.
as total assets less cash and cash
equivalents, interest-bearing pension
provisions and non-interest-bearing
liabilities with the exception of
liabilities related to put/call options
and additional considerations relating
to acquisitions, calculated as the
average of the last four quarters.
Capital employed excluding goodwill Capital employed excluding goodwill and
and other intangible assets other intangible assets is a measure
which
return on capital employed and for
measuring how efficient the Group is.
excluding goodwill and other intangible
assets is useful in helping users of the
financial reports to understand the
impact of goodwill and other intangible
assets on that capital which requires a
return.
excluding goodwill and other intangible
assets as total assets less cash and
cash equivalents, interest-bearing
pension provisions, non-interest-bearing
liabilities with the exception of
liabilities related to put/call options
and additional considerations relating
to acquisitions, goodwill and other
intangible assets, calculated as the
average of the last four quarters.
RECONCILIATION OF ALTERNATIVE KEY PERFORMANCE INDICATORS
The interim report presents alternative key performance indicators for assessing the Group's performance. The primary alternative KPIs presented in this interim report are EBITA, EBITDA, net debt and capital employed. Definitions of the alternative KPIs are presented on pages 19-20.
EBITA compared with financial statements in accordance with IFRS
SEK million SIX MONTHS2020 SIX MONTHS2019 FULL YEAR2019
1,007
Operating profit 1,007 2,059
Amortisation of intangible 204 154 329
assets arising from
acquisitions
EBITA 1,211 1,161 2,388
Acquisition costs and non 10 115 135
-recurring items
EBITA before acquisition 1,221 1,276 2,523
costs and non-recurring items
EBITDA compared with financial statements in accordance with IFRS
SEK million SIX MONTHS2020 SIX MONTHS2019 FULL YEAR2019
1,007
Operating profit 1,007 2,059
Depreciation of tangible 178 152 311
assets
Amortisation of intangible 5 7 15
assets
Amortisation of intangible 204 154 329
assets arising from
acquisitions
EBITDA 1,394 1,320 2,714
Acquisition costs and non 10 115 135
-recurring items
EBITDA before acquisition 1,404 1,435 2,849
costs and non-recurring items
Net debt compared with financial statements in accordance with IFRS
SEK million
Non-current interest-bearing 1,051 112 1,093
liabilities including pension
provisions
Current interest-bearing 3,545 4,540 3,676
liabilities
Cash and cash equivalents -781 -340 -729
Interest-bearing net debt 3,815 4,312 4,040
Put/call options, additional 908 698 916
considerations
Lease liability 552 477 596
Net debt 5,275 5,487 5,552
Capital employed and capital employed excluding goodwill and other intangible assets compared with financial statements in accordance with IFRS
SEK million
2020
Total assets 18,291 19,278 17,578 17,400
Cash and cash equivalents -781 -714 -729 -456
Interest-bearing pension -41 -38 -40 -39
provisions
Non-interest-bearing -4,174 -3,841 -3,325 -3,545
liabilities
Capital employed 13,295 14,685 13,484 13,360
assets
Capital employed excluding 1,594 2,430 2,275 2,391
goodwill and other intangible
assets
Capital employed and capital employed excluding goodwill and other intangible assets calculated as the average of the last four quarters compared with financial statements in accordance with IFRS
SEK million Average Q2 Q12020 Q4 Q32019
2020 2019
Capital employed 13,706 13,295 14,685 13,484 13,360
Capital employed excluding goodwill 2,173 1,594 2,430 2,275 2,391
and other intangible assets
Total
EBITA* 2,468 569 652 651 596
Return on capital employed 18.0%
Return on capital employed excluding 114%
goodwill and other intangible assets
https://news.cision.com/lifco-ab/r/interim-report-january--june-2020,c3155785
https://mb.cision.com/Main/5431/3155785/1280478.pdf
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