CRAMO PLC...CRAMO PLC INTERIM REPORT 1.1.2016 –31.3.2016 CEO Leif Gustafsson CFO Martti...
Transcript of CRAMO PLC...CRAMO PLC INTERIM REPORT 1.1.2016 –31.3.2016 CEO Leif Gustafsson CFO Martti...
CRAMO PLC INTERIM REPORT
1.1.2016 – 31.3.2016
CEO Leif Gustafsson
CFO Martti Ala-Härkönen
FOR A GREAT DAY AT WORK
2
Contents
Highlights of Q1/2016 and market
outlook
Interim report Q1/2016
Group performance
Business segments
Group strategy and future prospects
Appendix
Additional information
3
Highlights of Q1/2016 Profitable growth continued
Sales:
Sales grew by 5.7% to EUR 155.4 (147.1) million
Sales growth 6.4% in local currencies
Sales grew by 18.9% in FIN and by 7.7% in SWE in local currencies
Sales grew in modular space by 26.3% in local currencies
Costs:
In Q1/2016, indirect costs as a share of sales decreased from
44.1% to 41.9%
Direct cost ratio remained at last year’s level, although
installation services within modular space increased direct
costs in relation to sales
Results / other:
EBITA EUR 13.0 (10.1) million, EBITA margin 8.3% (6.9%)
Strong cash flow from oper. activities: EUR 23.6 (3.5) million
EPS EUR 0.16 (0.09)
Closing down unprofitable depots in Central Europe – results
expected to improve during 2016
On 1 April 2016, Cramo acquired Kurottaja- ja kuljetuspalvelu
Parviainen Oy’s business in Finland to strenghten its worksite
logistics services
-60
-40
-20
0
20
40
60
Jan-08
Apr-08
Jul-08
Oct-08
Jan-09
Apr-09
Jul-09
Oct-09
Jan-10
Apr-10
Jul-10
Oct-10
Jan-11
Apr-11
Jul-11
Oct-11
Jan-12
Apr-12
Jul-12
Oct-12
Jan-13
Apr-13
Jul-13
Oct-13
Jan-14
Apr-14
Jul-14
Oct-14
Jan-15
Apr-15
Jul-15
Oct-15
Jan-16
Apr-16
Co
nst
ruct
ion
Co
nfi
de
nce
In
dic
ato
r (m
ea
n-a
dju
ste
d)
Finland Sweden Germany Denmark Poland Europe
Source: European Commission, April 2016
Long-term
average
Jun 2009
Lead indicator: Constr. confidence 2008 – Apr 2016 Cramo’s main markets performing well
Feb 2011Conclusions
General construction
confidence in Europe has
recently turned above
long-term average
Construction confidence on
a high level in Sweden and
Germany, and more
recently also in Finland
Recent development in
Finland promising
All Cramo countries
showing above average
construction confidence
figures in early 2016
Construction growth estimates 2016-18Generally positive projections for Cramo countries in 2016
Sources: Euroconstruct, December 2015 and Forecon, December 2015
Country-specific data in brackets includes: Finland - Rakennusteollisuus RT (April 2016); Sweden - Sveriges Byggindustrier
(February 2016); Norway – Prognosesenteret (March 2016); Denmark - Dansk Byggeri (February 2016)
Highlights
In the Nordics, generally
positive construction outlook
estimated over 2016-18
Finland turning to positive
after 2015
Growth projected to
continue in SWE in 2016,
but to level out in 2017
Solid growth in Norway
and Denmark. However,
in Norway regional
variations and growth
focused in civil engineering
Moderate growth outlook for
Central Europe
Baltics projected to turn to
positive in 2016
Strong construction growth
expected in Poland and
Czech
Construction output (%
change in real terms)2015E 2016F 2017F 2018O
-0,3 % 3,2 %(-1,0 %) (+3,5 %)
5,5 % 2,8 %(+9,0 %) (+4,0 %)
2,4 % 3,9 % 2,1 % 2,6 %(+1,8 %) (+4,2 %) (+2,2 %)
1,3 % 2,3 % 2,7 %(+1,6 %) (+2,5 %) (+3,2 %)
Germany 0,4 % 2,0 % 1,1 % 0,3 %
Austria 0,2 % 1,0 % 1,3 % 1,3 %
Estonia -3,8 % 2,4 % 3,4 % 2,1 %
Latvia -11,0 % 1,2 % 5,8 % 5,6 %
Lithuania 3,5 % 1,1 % 3,7 % 3,3 %
Poland 5,6 % 7,4 % 8,3 % 7,7 %
Czech Republic 7,4 % 3,3 % 3,4 % 4,3 %
Slovak Republic 10,3 % -1,1 % 1,1 % 1,1 %
Russia -7,9 % -2,6 % 2,7 % 7,0 %
Denmark 2,8 %
Norway
Finland 0,6 % 0,9 %
Sweden -0,3 % 2,2 %
6
Q1 / 2016
Group performance
16
0,0
16
1,4
18
2,4
18
4,6
14
8,5
16
0,1
17
3,6
17
5,1
14
0,3
15
9,8
17
1,1
18
0,6
14
7,1
16
1,3
17
2,4
18
7,2
15
5,4
-10%
-5%
0%
5%
10%
15%
20%
0
20
40
60
80
100
120
140
160
180
200
Q1/1
2
Q2/1
2
Q3/1
2
Q4/1
2
Q1/1
3
Q2/1
3
Q3/1
3
Q4/1
3
Q1/1
4
Q2/1
4
Q3/1
4
Q4/1
4
Q1/1
5
Q2/1
5
Q3/1
5
Q4/1
5
Q1/1
6
Qu
arte
rly s
ale
s g
row
th %
(y-o
-y), lin
e g
rap
h)
Qu
art
erl
y s
ale
s (
EU
R m
illi
on
, b
ar
gra
ph
)
7
Cramo quarterly sales development
Q1/2016 sales EUR 155.4m,
y-o-y sales growth +5.7%
(+6.4% in local currencies)
− In local currencies in Q1, sales
grew by 18.9% in Finland, by
7.7% in Sweden and by 18.5%
in Denmark
− Sales decreased in Norway,
Central Europe and Eastern
Europe. In Central Europe due
to a decrease in trading sales,
whereas rental sales increased
− As for product areas, sales
grew in local currencies by
3.0% in equipment rental and
by 26.3% in modular space
Q1/16 vs. Q1/15:
+5.7% (+6.4%*)
* Change in local currencies
Highlights
Group financial target: Sales growth faster than the market
10
,6
14
,3
31
,2
21
,9
6,4
16
,5
32
,3
24
,8
4,4
12
,5
30
,5
23
,0
10
,1
18
,4
30
,2
26
,1
13
,0
-25%
-20%
-15%
-10%
-5%
0%
5%
10%
15%
20%
25%
0
5
10
15
20
25
30
35
40
45
50
Q1/1
2
Q2/1
2
Q3/1
2
Q4/1
2
Q1/1
3
Q2/1
3
Q3/1
3
Q4/1
3
Q1/1
4
Q2/1
4
Q3/1
4
Q4/1
4
Q1/1
5
Q2/1
5
Q3/1
5
Q4/1
5
Q1/1
6
EB
ITA
% (lin
e g
rap
h)
Qu
art
erl
y E
BIT
A (
EU
R m
illi
on
, b
ar
gra
ph
)
8
Cramo quarterly EBITA development
Q1/16 EBITA improved to
EUR 13.0 (10.1) million, or
8.3% (6.9%) of sales
EBITA grew by 27.9% y-o-y
The result improved in
Finland, Sweden, Denmark
and Central Europe
The result improved in both
product areas
In equipment rental, EBITA
EUR 6.9 (5.6) million or
5.4% (4.5%) of sales
In modular space, EBITA
EUR 7.9 (6.8) million or
28.4% (30.5%) of sales.
Margin affected by the
significant proportion of
installation services during
the period
Group financial target:
EBITA margin > 15%
Highlights
10,1
13,0
10,1
1,0
1,0
-0,4
0,3
1,0
-0,3
0,2 1,4
1,2
0,3
5,0
6,0
7,0
8,0
9,0
10,0
11,0
12,0
13,0
14,0
Group Q12015
Finland Sweden Norway Denmark CentralEurope
EasternEurope
Non-allocatedand elim.
Group Q12016
ER MS Non-allocatedand elim.
Group Q12015
Co
nso
lid
ate
d E
BIT
A (
EU
R m
illi
on
)
EBITA bridge Q1/15 Q1/16 by segment and product areaAbsolute EBITA and EBITA margin improved, both product areas
performing well
EBITA improved to EUR 13.0
(10.1) million: +27.9%, with
margin of 8.3% (6.9%)
EBITA above LY in Finland,
Sweden, Denmark and
Central Europe
EBITA margin improved in
Finland, Denmark and Central
Europe. In Sweden EBITA
margin remained at LY level
EBITA above LY in both
product areas
Implementation of focused
strategy continues in 2016
Highlights
CE: Strong EBITA
improvement,
room for further
improvement in
2016
6.9%
of
sales
8.3%
of
sales
DK: Improved
profitability driven
by modular space
FI and SWE:
Strong improve-
ment vs. LY
NO: Challenging
market environment
continued
EE: performance
differs between
markets
Strong performance
both in ER and MS
261,9
257,4
64,8
65,1
40,2
%
38,5
%
44,1
%
41,9
%
0
50
100
150
200
250
300
350
400
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
50%
55%
2014 2015 2015 2016
Jan-Dec . Q1
Ind
irect c
ost (E
UR
millio
n)
Ind
ire
ct
co
st
rati
o
Indirect cost (right axis) Indirect cost ratio (left axis)
232,7
236,7
52,0
54,8
35,7
%
35,4
%
35,3
%
35,3
%
0
50
100
150
200
250
300
350
400
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
50%
55%
2014 2015 2015 2016
Jan-Dec . Q1
Dire
ct c
ost (E
UR
millio
n)
Dir
ect
co
st
rati
o
Direct cost (right axis) Direct cost ratio (left axis)
10
Development in cost base*In Q1/16, indirect costs as a share of sales decreased from 44.1% to
41.9%. Direct cost ratio was on par compared to Q1/15
* Comparison before reported non-recurring items
1 Direct cost refers to income statement line ”Materials and services”
2 Indirect cost refers to income statement lines ”Employee benefit expenses” and ”Other operating expenses”
QUARTERLY INDIRECT COST 2QUARTERLY DIRECT COST 1
0,0
4
0,1
1
0,4
3
0,3
4
-0,0
4
0,1
9
0,4
8
0,3
8
-0,0
3 0,1
1
0,4
5
-0,1
7
0,0
9
0,2
3
0,4
3
0,3
7
0,1
6
0,3
7
0,0
2
0,0
2
-0,3
-0,2
-0,1
0,0
0,1
0,2
0,3
0,4
0,5
0,6
Q1
/12
Q2
/12
Q3
/12
Q4
/12
Q1
/13
Q2
/13
Q3
/13
Q4/1
3
Q1
/14
Q2
/14
Q3
/14
Q4
/14
Q1
/15
Q2
/15
Q3
/15
Q4
/15
Q1
/16
Qu
art
erl
y d
ilu
ted
EP
S (
EU
R)
Earnings per share, diluted Impact of non-recurring items
Cramo EPS performance (diluted)
Q1/16 EPS EUR 0.16
(0.09): +79.5%
Q1/16 net financial
expenses EUR 2.8 (3.1)
million
Q1/16 effective tax rate
21.0% (21.0%)
* Q4/2012 includes non-recurring items having a positive net impact of EUR 3.5m on net result, or EPS EUR 0.08
** Q4/2013 includes non-recurring items having a positive impact of EUR 1.6m on net result, or EPS EUR 0.04
*** Q3/2015 includes costs from a CEO change of EUR 1.2m with a negative impact on EPS of EUR 0.02
**** Q4/2015 includes EUR 0.8m restructuring costs with a negative impact on EPS of EUR 0.02
*
**
Highlights
Q4/2014 non-recurring items amounted to EUR 0.54
***
****
7,3
%
6,8
%
7,0
% 7,5
%
6,9
%
8,0
%
8,0
%
8,3
%
8,5
%
8,7
%
8,2
%
8,3
%
9,6
%
10
,8 %
10
,6 %
12
,0 %
10
,5 %
11
,6 %
-1%
1%
3%
5%
7%
9%
11%
13%
15%
Q1/1
2
Q2/1
2
Q3/1
2
Q4/1
2
Q1/1
3
Q2/1
3
Q3/1
3
Q4/1
3
Q1/1
4
Q2/1
4
Q3/1
4
Q4/1
4
Q1/1
5
Q2/1
5
Q3/1
5
Q4/1
5
Q1/1
6
RO
E %
Return on Equity %
12
Return on Equity
ROE improvement continued
in Q1/2016
ROE (R12m) 11.6% (4.5%)
Comparable ROE (R12m)
before the costs occurring in
2015 from CEO change (EUR
1.2m) and restructuring costs
in Central Europe (EUR
0.8m) 12.0% (9.6%)
Comparable ROE reached
the financial target level of
12% ROE
Performance improvement
actions continue in 2016
Implementation of focused
strategy / must-win battles
continue
Group financial target:
ROE-% > 12%
Highlights
13
Quarterly cash flowStrong cash flow in Q1/2016
Q1/2016:
− Cash flow from operating
activities improved clearly
to EUR 23.6m (3.5m),
contributed by higher EBITDA
and reduced NWC
− Cash flow after investments
EUR -4.3m (-27.8m)
− Gross CapEx EUR 30.6m
(41.5m)
Gearing at 80.0% (92.9%)
Formation of Fortrent,
acquisitions in Norway
Highlights
Acquisition of
Optirent in Finland
and C/S
RaumCenter in
Germany
Acquisition of
Vuokra-Pekat
Oy and Visby
Hyrmaskiner
3,5
23,6
-27,8
-4,3
-40
-20
0
20
40
60
80
Q1/1
2
Q2/1
2
Q3/1
2
Q4/1
2
Q1/1
3
Q2/1
3
Q3/1
3
Q4/1
3
Q1/1
4
Q2/1
4
Q3/1
4
Q4/1
4
Q1/1
5
Q2/1
5
Q3/1
5
Q4/1
5
Q1/1
6
Qu
art
erl
y c
as
h f
low
(E
UR
m)
Cash flow from operations Cash flow after investments
14
Q1 / 2016
Business segments
15
FinlandStrong sales growth and improved profitability
In Q1/16, sales grew by 18.9% y-o-y
− Cramo managed to capitalize on the improved market
situation, driven especially by renovation and new
construction projects
− In equipment rental, the share of larger customers
increased
− Demand for modular space continued to be strong and
the quotation base is good
In Q1/16, profitability on a good level, EBITA EUR
3.9 (2.9) million, margin 13.6% (12.1%)
− The result improved in both product areas
In order to stregthen its logistics services
business, Cramo acquired Kurottaja- ja kuljetus-
palvelu Parviainen Oy’s business on 1 April 2016
HighlightsRolling 12-month sales and EBITA-%
1 European Rental Association, Equipment Rental Industry Report 2015, November 2015
115,5
16,3
%
16,6
%
17,4
%
18,6
%
19,1
%
19,2
%
18,8
%
18,8
%
19,4
%
20,4
%
20,5
%
19,6
%
19,5
%
19,9
%
20,5
%
20,2
%
20,3
%
0%
5%
10%
15%
20%
25%
0
20
40
60
80
100
120
140
Q1/2
012
Q2/2
012
Q3/2
012
Q4/2
012
Q1/2
013
Q2/2
013
Q3/2
013
Q4/2
013
Q1/2
014
Q2/2
014
Q3/2
014
Q4/2
014
Q1/2
015
Q2/2
015
Q3/2
015
Q4/2
015
Q1/2
016
Qu
arte
rly ro
lling
12-m
on
th E
BIT
A m
arg
in
Qu
art
erl
y s
ale
s (
Ro
llin
g 1
2 m
on
ths, E
UR
m)
Sales (R12m) EBITA-% (R12m)
1-3/ 1-3/ Change 1-12/
2016 2015 % 2015
Sales (€m) 28,6 24,0 18,9 % 110,9
EBITA (€m) 3,9 2,9 34,1 % 22,4
EBITA-% 13,6 % 12,1 % 20,2 %
No of personnel (FTE) 455 453 0,4 % 448
No of depots 58 54 7,4 % 54
Key figures
1-3/ 1-3/ Change 1-12/
2016 2015 % 2015
Sales (€m) 80,2 74,1 8,3 % 331,2
EBITA (€m) 13,2 12,2 8,2 % 61,7
EBITA-% 16,5 % 16,5 % 18,6 %
No of personnel (FTE) 836 810 3,2 % 825
No of depots 100 101 -1,0 % 100
Key figures
16
SwedenSales growth with good profitability
In Q1, sales increased by 8.3% (+7.7% in locals)
In Q1, EBITA at EUR 13.2m (12.2m) with margin
of 16.5% (16.5%)
− The good market situation was capitalised on both product
areas. Profitability was affected by a high amount of
modular space assembly sales and higher depreciations
− The equipment rental market situation is good in nearly all
major urban areas. Utilisation rates are at a good level
and investments have been increased
− The demand for modular space also remained good
Long-term contract with the construction company
JM was renewed for five years
Construction growth1 forecast 4% for 2016. ERA1
forecasts growth of about 1% for equipment rental
HighlightsRolling 12-month sales and EBITA-%
* Change in local currencies
+7.7%*
1 Forecast published by the Swedish Construction Federation (Sveriges Byggindustrier) in February; European Rental Association,
Equipment Rental Industry Report 2015, November 2015
33
7,3
19
,3 %
18
,5 %
18
,3 %
17,9
%
17
,2 %
17
,3 %
17
,9 %
17
,5 %
17
,4 %
17
,3 %
16
,9 %
17
,8 %
18
,5 %
18
,7 %
18
,7 %
18
,6 %
18
,6 %
0%
5%
10%
15%
20%
25%
250
260
270
280
290
300
310
320
330
340
Q1/2
012
Q2/2
012
Q3/2
012
Q4/2
012
Q1/2
013
Q2/2
013
Q3/2
013
Q4/2
013
Q1/2
014
Q2/2
014
Q3/2
014
Q4/2
014
Q1/2
015
Q2/2
015
Q3/2
015
Q4/2
015
Q1/2
016
Qu
arte
rly ro
lling
12
-mo
nth
EB
ITA
ma
rgin
Qu
art
erl
y s
ale
s (
Ro
llin
g 1
2 m
on
ths
, E
UR
m)
Sales (R12m) EBITA-% (R12m)
17
DenmarkProfitability continued to improve, market developing favourably
In Q1, sales increased by 18.5% year-on-year
− The market situation in both product areas continued to
develop favourably
Q1/16 EBITA was EUR 0.7m (0.4m), or 9.3%
(6.7%) of sales.
− Profitability improved due to strong demand for modular
space, new modular space deliveries and better cost
control
− In equipment rental, Cramo continued to focus on best-
performing markets and product areas
− The market situation also offers opportunities for targeted
growth investments
Equipment rental1 market forecasted to grow 2.6%
and construction market1 slightly over 2% in 2016
HighlightsRolling 12-month sales and EBITA-%
1 European Rental Association, Equipment Rental Industry Report 2015, November 2015; Euroconstruct, December 2015
29,5
-5,3
%
-5,1
%
-3,9
%
-13,3
%
-10,3
%
-8,8
%
-12,1
%
0,1
%
-1,9
%
-4,1
%
-3,2
%
-11,4
%
-7,2
% -5,3
%
-4,0
%
6,6
%
7,3
%
-15%
-10%
-5%
0%
5%
10%
0
5
10
15
20
25
30
35
40
45
Q1/2
012
Q2/2
012
Q3/2
012
Q4/2
012
Q1/2
013
Q2/2
013
Q3/2
013
Q4/2
013
Q1/2
014
Q2/2
014
Q3/2
014
Q4/2
014
Q1/2
015
Q2/2
015
Q3/2
015
Q4/2
015
Q1/2
016
Qu
arte
rly ro
lling
12-m
on
th E
BIT
A m
arg
in
Qu
art
erl
y s
ale
s (
Ro
llin
g 1
2 m
on
ths, E
UR
m)
Sales (R12m) EBITA-% (R12m)
1-3/ 1-3/ Change 1-12/
2016 2015 % 2015
Sales (€m) 7,7 6,5 18,5 % 28,3
EBITA (€m) 0,7 0,4 65,0 % 1,9
EBITA-% 9,3 % 6,7 % 6,6 %
No of personnel (FTE) 98 111 -11,7 % 97
No of depots 9 8 12,5 % 8
Key figures
Cramo modular space: Harmonised high-quality fleet
with excellent references and growth opportunities
• Renovation needs / mold
problems
• Aging building stock
• Senior citizen housing
• Refugee inflow
• Both private and public sector
demand
• Temporary space needs in large
industrial and infrastructure
projects
• Industrial customers’ demand for
flexibility in cost base (temporary
vs. permanent buildings)
• Improving economic cycle creates
more demand for office space
• Modular space has high reputation
among private customers
Schools
&
Daycare
• Renovation needs / mold
problems
• Aging building stock
• Urbanisation
• Refugee inflow
• Increasing birth rate in Sweden:
More need for new schools
• Mainly public sector customers
Offices
Accom-
modation
Growth Drivers
Q1 Sales 28.0 M€ 2015: 22.2 M€
Q1 Sales growth 26.3% In locals
Q1 EBITA 7.9 M€ 2015: 6.8 M€
Q1 EBITA-% 28.4% 2015: 30.5%
19
Group strategy and future prospects
Continued strategy execution in 2016
Further roll-out of Cramo Story in all
operating countries
Further strengthen the Cramo brand and
deliver on customer promises
Execution and training in all work streams
and deployment of corporate culture
Reap the benefits of performance
management
Capture growth opportunities and focus
on sales and business development
Continued benefits from performance
improvement actions
Strategic initiatives to back core strategy
Cramo Group’s strategy work on
“Vision 2020” has been initiated
Modular Space
growth strategy
Dynamic pricing
strategy
Outsourcing and
M&A strategy
In Finland, bolt-on acquisition in April 2016 to
strengthen the worksite logistics services businessKurottaja- ja Kuljetuspalvelu Parviainen Oy’s business
22
Founded in 2004, 23 employees
Sales of ~ EUR 3m
Specialising in worksite logistics and
telehandler rental with operators
Fleet brands well known in the industry
Main customers: the leading companies in the
construction industry
Cramo Finland – Worksite services
Traffic guidance
Logistics responsibleperson
Forklift with driver
Logistics management/
Scheduling withweb-based application
Hauling
Work site cleaning
Interim Warehousing
Access control – Cramo Control
Transportation frominterim warehouse to
work site
In Q1/16, several modular space projects installed
3-storey pavillion for KaeserCompressors at the Bauma2016 exhibition in Munich, Germany
Bauma 2016: In total 20 stands
built from Cramo modules (2,700
sqm of space) were delivered to
exhibitors at the largest
construction machinery fair in the
World, Bauma
Office space in open landscape for Volvo Real Estate, Gothenburg, Sweden
Two parallel buildings with 2,300
sqm space in two stores
Includes open landscape
solutions, office rooms,
conference and group rooms
Cramo Adapteo has a well-
established presence in 8
countries with over 20 000
modular space units and with
capital employed of about
EUR 256m at the end Q1/16
Germany
Sweden
Denmark
Norway
Estonia
Finland
Latvia
Lithuania
24
Future prospects
European Central Bank expects favourable financing conditions and low mortgage interest rates to boost demand for housing in Europe
Intensely increasing immigration impacts positively on construction and modular space in Europe
Favorable construction outlook according to Euroconstructand Forecon
In the long term, equipment rental is expected to grow faster than construction. ERA expects the usage of rental services to increase in all Cramo’s main markets in 2016
For modular space, numerous growth drivers in place. Cramo estimates that demand for modular space has increased in the Nordics by appr. 6% in recent years and that market growth is somewhat stronger in Baltics / GER
Guidance for 2016 unchanged: “In 2016, Cramo Group’s sales will grow in local currencies and the EBITA margin will improve compared to 2015.”
Appendix
25
26
Key figuresChange
EUR million (unless otherwise stated) %
INCOME STATEMENT
Sales 155,4 147,1 5,7 % 667,9
EBITDA 38,7 34,3 12,9 % 185,7
Operating profit (EBITA) before amortisation and impairment of intangible
assets resulting from acquisitions
13,0 10,1 27,9 % 84,8
Operating profit/loss (EBIT) 11,7 8,0 46,0 % 76,7
Profit/Loss before tax (EBT) 8,9 4,9 81,0 % 63,8
Profit/Loss for the period 7,0 3,9 81,0 % 49,7
SHARE-RELATED INFORMATION
Earnings per share (EPS), EUR 0,16 0,09 78,5 % 1,13
Earnings per share (EPS), diluted, EUR 0,16 0,09 79,5 % 1,12
Shareholders' equity per share, EUR 10,46 10,11 3,5 % 11,05
BALANCE SHEET
Equity ratio, % 43,7 % 42,3 % 45,7 %
Gearing, % 80,0 % 92,9 % 75,1 %
Net interest-bearing liabilities 372,1 412,4 -9,8 % 368,4
OTHER INFORMATION
Return on investment, rolling 12-month, % 9,5 % 4,9 % 9,0 %
Return on equity, rolling 12-month, % 11,6 % 4,5 % 10,5 %
Gross capital expenditure (incl. acquisitions) 30,6 41,5 -26,3 % 175,0
of which related to acquisitions and business combinations 8,5 -100,0 % 9,8
Cash flow from operating activities 23,6 3,5 572,4 % 174,9
Cash flow after investments -4,3 -27,8 35,6
Average number of personnel, FTE 2 497 2 487 0,4 % 2 486
Number of personnel at end of period, FTE 2 505 2 494 0,4 % 2 473
1-3/
2016
1-3/
2015
1-12/
2015
27
Consolidated income statement
Change
EUR (1 000) %
SALES 155 436 147 061 5,7 % 667 877
Other operating income 3 284 4 182 -21,5 % 13 462
Materials and services -54 806 -51 981 -5,4 % -236 619
Employee benefit expenses -36 601 -35 999 -1,7 % -143 899
Other operating expenses -28 490 -28 820 1,1 % -115 510
Depreciation and impairment on tangible assets and
assets held for sale
-25 763 -24 173 -6,6 % -100 878
Share of profit/loss of joint ventures -101 -140 395
EBITA 12 958 10 130 27,9 % 84 827
% of sales 8,3 % 6,9 % 12,7 %
Amortisation and impairment on intangible assets
resulting from acquisitions and disposals
-1 284 -2 137 39,9 % -8 114
OPERATING PROFIT/LOSS (EBIT) 11 674 7 993 46,1 % 76 714
% of sales 7,5 % 5,4 % 11,5 %
Finance costs (net) -2 813 -3 097 9,2 % -12 923
PROFIT/LOSS BEFORE TAXES 8 861 4 896 81,0 % 63 791
% of sales 5,7 % 3,3 % 9,6 %
Income taxes -1 861 -1 028 -14 075
PROFIT/LOSS FOR THE PERIOD 7 000 3 868 81,0 % 49 715
% of sales 4,5 % 2,6 % 7,4 %
1-3/
2016
1-3/
2015
1-12/
2015
28
Consolidated balance sheet31.3. 31.3. Change
EUR (1 000) 2016 2015 %
ASSETS
NON-CURRENT ASSETS
Tangible assets 689 189 641 991 7,4 %
Goodwill 151 114 152 185 -0,7 %
Other intangible assets 66 339 75 445 -12,1 %
Deferred tax assets 14 966 15 760 -5,0 %
Investments in joint ventures 1 684 7 020 -76,0 %
Loan receivables 15 036 17 161 -12,4 %
Trade and other receivables 1 375 1 081 27,2 %
TOTAL NON-CURRENT ASSETS 939 703 910 831 3,2 %
CURRENT ASSETS
Inventories 9 326 10 248 -9,0 %
Trade and other receivables 120 811 123 324 #REF!
Income tax receivables 3 356 11 334 965,9 %
Derivative financial instruments 98 874 284,0 %
Cash and cash equivalents 3 499 4 355 -97,7 %
TOTAL CURRENT ASSETS 137 089 150 136 -8,7 %
Assets held for sale
Assets to be transferred to joint venture
TOTAL ASSETS 1 076 793 1 060 967 1,5 %
31.3. 31.3. Change
EUR (1 000) 2016 2015 %
EQUITY AND LIABILITIES
EQUITY
Share capital 24 835 24 835 0,0 %
Other reserves 326 297 323 516 0,9 %
Fair value reserve
Hedging fund -9 486 -8 482
Translation differences -27 968 -22 533 -24,1 %
Retained earnings 151 355 126 366 19,8 %
EQUITY ATTRIBUTABLE TO OWNERS OF THE PARENT
COMPANY 465 033 443 703 4,8 %
Hybrid capital
TOTAL EQUITY 465 033 443 703 4,8 %
NON-CURRENT LIABILITIES
Interest-bearing liabilities 283 501 323 908 -12,5 %
Derivative financial instruments 11 436 9 784 16,9 %
Deferred tax liabilities 69 228 68 362 1,3 %
Retirement benefit obligations 1 730 1 906 -9,2 %
Other non-current liabilities 2 067 3 156 -34,5 %
TOTAL NON-CURRENT LIABILITIES 367 962 407 117 -9,6 %
CURRENT LIABILITIES
Interest-bearing liabilities 92 114 92 868 -0,8 %
Derivative financial instruments 537 552 -2,6 %
Trade and other payables 148 936 113 971 30,7 %
Income tax liabilities 1 916 2 282 -16,0 %
Provisions 295 473
TOTAL CURRENT LIABILITIES 243 798 210 146 16,0 %
TOTAL LIABILITIES 611 760 617 264 -0,9 %
TOTAL EQUITY AND LIABILITIES 1 076 793 1 060 967 1,5 %
29
Cash flow statement1-3/ 1-3/
EUR (1 000) 2016 2015
Net cash flow from operating activities 23 589 3 508
Net cash flow from investing activities -27 915 -31 341
Cash flow after investments -4 326 -27 833
Cash flow from financing activities
Change in interest-bearing receivables 232 493
Change in finance lease liabilities -1 761 -3 632
Change in interest-bearing liabilities 5 447 27 948
Hybrid capital
Proceeds from share options exercised 376 1 608
Proceeds from share issue
Non-controlling interest
Dividends paid
Net cash flow from financing activities 4 294 26 417
Change in cash and cash equivalents -32 -1 417
Cash and cash equivalents at period start 3 511 5 689
Translation differences 20 83
Cash and cash equivalents at period end 3 499 4 355
1-3/ 1-3/ Change 1-12/
2016 2015 % 2015
Sales (€m) 16,0 18,6 -14,1 % 70,4
EBITA (€m) 1,2 1,6 -22,2 % 5,4
EBITA-% 7,7 % 8,5 % 7,7 %
No of personnel (FTE) 226 227 -0,4 % 219
No of depots 28 28 0,0 % 28
Key figures
30
NorwaySolid profitability in a challenging market
In Q1, sales decreased by 14.1% year-on-year
(-6.3% in local currency)
− The equipment rental market remained challenging
− Resources were increased in the modular space product
area and the quotation base took an upward turn
Q1 EBITA EUR 1.2m (1.6m), margin 7.7% (8.5%)
− Profitability was impaired by the decrease in sales and
the fiercer competition in equipment rental in Southern
Norway
− Cost adjustments continued. Target for 2016 is to develop
sales operations and customer service. Operations are
focused on growing market segments and geographic
regions where demand is expected to increase
ERA estimates1 that the rental market will take an
upward turn and grow appr. 2% in 2016
HighlightsRolling 12-month sales and EBITA-%
-6.3%*
* Change in local currencies
1 European Rental Association, Equipment Rental Industry Report 2015, November 2015
67,8
1,7
%
3,9
%
5,0
%
6,3
%
6,1
%
6,8
%
6,9
% 7,3
%
8,2
%
6,7
%
5,9
%
5,4
%
5,5
%
7,5
%
7,5
%
7,7
%
7,4
%
0%
1%
2%
3%
4%
5%
6%
7%
8%
9%
0
10
20
30
40
50
60
70
80
90
100
Q1/2
012
Q2/2
012
Q3/2
012
Q4/2
012
Q1/2
013
Q2/2
013
Q3/2
013
Q4/2
013
Q1/2
014
Q2/2
014
Q3/2
014
Q4/2
014
Q1/2
015
Q2/2
015
Q3/2
015
Q4/2
015
Q1/2
016
Qu
arte
rly ro
lling
12-m
on
th E
BIT
A m
arg
in
Qu
art
erl
y s
ale
s (
Ro
llin
g 1
2 m
on
ths, E
UR
m)
Sales (R12m) EBITA-% (R12m)
31
Central EuropeRental sales grew and profitability improved
In Q1, sales decreased by 3.3% y-o-y
− Sales decrease was due to a decrease in trading sales.
Rental sales grew both in equipment rental and in the
modular space product area
Q1 EBITA was EUR -3.2m (-4.1m), with margin of
-22.8% (-28.7%).
− Profitability continued to improve but was still affected by
the strong seasonal variation of the Central European
business operations
− In equipment rental, operations were focused on the best-
performing geographic regions
− The modular space business is growing and demand is
expected to remain good
In Germany, both construction1 and rental1 expected
to grow about 2% in 2016
HighlightsRolling 12-month sales and EBITA-%
1 European Rental Association, Equipment Rental Industry Report 2015, November 2015; Euroconstruct, December 2015
76,8
0,8
%
-0,2
%
-1,1
%
-0,4
%
-0,9
% -0,2
%
-0,6
%
-1,4
%
-1,3
%
-4,7
%
-6,8
%
-7,7
% -7,0
% -5,9
%
-4,6
%
-4,3
%
-3,1
%
-10%
-8%
-6%
-4%
-2%
0%
2%
0
10
20
30
40
50
60
70
80
90
Q1/2
012
Q2/2
012
Q3/2
012
Q4/2
012
Q1/2
013
Q2/2
013
Q3/2
013
Q4/2
013
Q1/2
014
Q2/2
014
Q3/2
014
Q4/2
014
Q1/2
015
Q2/2
015
Q3/2
015
Q4/2
015
Q1/2
016
Qu
arte
rly ro
lling
12-m
on
th E
BIT
A m
arg
in
Qu
art
erl
y s
ale
s (
Ro
llin
g 1
2 m
on
ths, E
UR
m)
Sales (R12m) EBITA-% (R12m)
1-3/ 1-3/ Change 1-12/
2016 2015 % 2015
Sales (€m) 13,9 14,4 -3,3 % 77,2
EBITA (€m) -3,2 -4,1 -3,3
EBITA-% -22,8 % -28,7 % -4,3 %
No of personnel (FTE) 345 361 -4,4 % 350
No of depots 65 74 -12,2 % 71
Key figures
1-3/ 1-3/ Change 1-12/
2016 2015 % 2015
Sales (€m) 9,3 9,8 -4,4 % 50,9
EBITA (€m) -1,1 -0,8 6,3
EBITA-% -11,3 % -7,8 % 12,3 %
No of personnel (FTE) 476 464 2,6 % 466
No of depots 68 63 7,9 % 67
Key figures
32
Eastern Europe1
Performance varies between markets, softness especially in Latvia
1 As of 1 March 2013, sales in Eastern Europe come from Estonia, Latvia, Lithuania, Poland, the Czech Republic, Slovakia and the
Kaliningrad region in Russia. Cramo’s share (50 per cent) of the net result of Fortrent, the joint venture of Cramo and Ramirent in Russia
and Ukraine, is included in the EBITA of the Eastern Europe business segment.
In Q1, sales decreased by 4.4% y-o-y (-3.5% in
local currencies)
− In Poland and Estonia, sales developed favourably
during the period. Sales declined especially in Latvia.
Q1 EBITA EUR -1.1m (-0.8m), with margin of
-11.3% (-7.8%)
− Profitability improved in Poland and Estonia. In Czech
Republic Cramo is growing its business, which impaired
the early-year profitability. In Lithuania and Latvia, the
demand for equipment rental was slower than expected
Fortrent Q1/2016
− Sales EUR 5.5m (7.2m), i.e. down by 23.6% y-o-y. In
local currencies, sales decreased by 11.2%
− Profit for the period EUR -0.2m (-0.3m). Cramo’s share
-0.1m (-0.1m) included in Eastern Europe EBITA
HighlightsRolling 12-month sales and EBITA-%
* Change in local currencies
-3.5%*
50,4
4,6
%
7,7
% 9,2
%
9,6
% 10,8
%
11,2
% 13,3
% 15,5
%
13,9
%
15,3
%
15,2
%
12,3
%
13,5
%
13,8
%
13,2
%
12,3
%
11,8
%
0%
5%
10%
15%
20%
25%
0
10
20
30
40
50
60
70
80
Q1/2
012
Q2/2
012
Q3/2
012
Q4/2
012
Q1/2
013
Q2/2
013
Q3/2
013
Q4/2
013
Q1/2
014
Q2/2
014
Q3/2
014
Q4/2
014
Q1/2
015
Q2/2
015
Q3/2
015
Q4/2
015
Q1/2
016
Qu
arte
rly ro
lling
12-m
on
th E
BIT
A m
arg
in
Qu
art
erl
y s
ale
s (
Ro
llin
g 1
2 m
on
ths, E
UR
m)
Sales (R12m) EBITA-% (R12m)
ADDITIONAL
INFORMATION BY
PRODUCT AREA
EUR 1'000 1-3 2016 1-3 2015 1-3 2016 1-3 2015 1-3 2016 1-3 2015 1-3 2016 1-3 2015
Sales 127 637 124 927 28 014 22 236 -215 -102 155 436 147 061
Sales growth 2,2 % 26,0 % 5,7 %
EBITDA 28 234 26 000 12 191 10 385 -1 704 -2 082 38 721 34 303
% of sales 22,1 % 20,8 % 43,5 % 46,7 % 24,9 % 23,3 %
Depreciation -21 314 -20 441 -4 242 -3 609 -207 -124 -25 763 -24 173
EBITA 6 920 5 560 7 949 6 776 -1 911 -2 205 12 958 10 130
% of sales 5,4 % 4,5 % 28,4 % 30,5 % 8,3 % 6,9 %
Capital employed 630 136 665 560 255 970 219 977 624 6 390 886 730 891 927
Equipment rental Modular SpaceUnallocated amounts and
eliminationsGROUP
Financial summary by product area 1-3/2016Profitable growth continued in both product areas. High installation
services boosted modular space growth, while affecting its margin
+26.3%*+3.0%*
* Change in local currencies
2,9 3,9
24,028,6
2015 2016
12,2 13,2
74,1
80,2
2015 2016
1,6 1,2
18,616,0
2015 2016
0,4 0,7
6,5 7,7
2015 2016
-0,8 -1,1
9,8 9,3
2015 2016
NORWAY DENMARKCENTRAL
EUROPE
EASTERN
EUROPEFINLAND SWEDEN
Sales and EBITA by business segment Q1/16 vs. Q1/15
34* Sales change in local currency
Sales
EBITA
+18.9%
12.1% 13.6%
EBITA margin:
Sales growth:
+8.3% (+7.7%*)
16.5% 16.5%
EBITA margin:
Sales growth:
-14.1% (-6.3%*)
8.5% 7.7%
EBITA margin:
Sales growth:
+18.5%
6.7% 9.3%
EBITA margin:
Sales growth:
-3.3%
-28.7% -22.8%
EBITA margin:
Sales growth:
-4.4% (-3.5%*)
-7.8% -11.3%
EBITA margin:
Sales growth:
-4,1 -3,2
14,4 13,9
2015 2016
35
Modular space order book8
1,6
98
,3
95
,3
89
,5
97
,1
96
,6
95
,1
85
,2
94
,0
10
3,4
99
,4
97
,5
98
,9
10
0,6
98
,0 10
4,6
10
6,1
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
0
20
40
60
80
100
120
140
Q1/1
2
Q2/1
2
Q3/1
2
Q4/1
2
Q1/1
3
Q2/1
3
Q3/1
3
Q4/1
3
Q1/1
4
Q2/1
4
Q3/1
4
Q4/1
4
Q1/1
5
Q2/1
5
Q3/1
5
Q4/1
5
Q1/1
6
Sh
are
of r
en
tal (%
of to
tal o
rd
er b
oo
k)
Ord
er b
oo
k (
EU
R m
)
Rental Sales
36
Quarterly capital expenditure
In Q1/2016, organic gross
CapEx was EUR 30.6m
(33.0m)
− Organic CapEx decreased by
7.2% from Q1/15
− Acquisitions EUR 0.0m (8.5m)
Gross capital expenditure
grew especially in Finland,
Sweden and Eastern Europe.
In Central Europe and
Norway, investments were
decreased
As for product areas, Cramo
continued its growth
investments in modular space
Note:Acquisitions in Q1/2013 include Lambertsson and Kranpunkten completed in February 2013 and Russia joint venture completed in
March 2013. Acquisitions in Q2/14 include OptiRent Oy and C/S RaumCenter and in Q1/15 acquisition of Vuokra-Pekat Oy in Finland
and assets of Visby Hyrmaskiner AB in Sweden. In Q4/15, acquisitions include MDS Raumsysteme’s modular space business
Highlights
24,3
40,8
33,5
25,6
15,0
22,4
31,9 31,227,3
41,745,4
33,3 33,0
46,1 46,8
39,4
30,6
0,0
0,0
0,8
0,0
31,2
-0,8 -0,8 -0,6
0,0
11,3
-0,3
0,4
8,5
0,0
-0,1
1,3
0,0
24,3
40,8
34,4
25,6
46,2
21,6
31,1 30,7
27,3
53,1
45,1
33,6
41,5
46,1 46,7
40,7
30,6
0%
10%
20%
30%
40%
50%
60%
-20
0
20
40
60
80
100Q
1/1
2
Q2/1
2
Q3/1
2
Q4/1
2
Q1/1
3
Q2/1
3
Q3/1
3
Q4/1
3
Q1/1
4
Q2/1
4
Q3/1
4
Q4/1
4
Q1/1
5
Q2/1
5
Q3/1
5
Q4/1
5
Q1/1
6
Gro
ss
Cap
ital E
xp
en
ditu
re to
Qu
arte
rly s
ale
s (%
)
Gro
ss
Cap
ital E
xp
en
dit
ure
(E
UR
m)
CapEx CapEx, acquisitions Gross CapEx to sales
375392 388
347365
428402
365 375
414 415385
412 420 407
368 372
77
,4 %
79
,8 %
74
,3 %
65
,1 %
69
,7 %
92
,4 %
82
,9 %
72
,9 %
76
,3 %
89
,0 %
85
,6 %
84
,7 % 9
2,9
%
91
,2 %
87
,3 %
75
,1 %
80
,0 %
0%
20%
40%
60%
80%
100%
120%
140%
0
300
600
900
1 200Q
1/1
2
Q2/1
2
Q3/1
2
Q4/1
2
Q1/1
3
Q2/1
3
Q3/1
3
Q4/1
3
Q1/1
4
Q2/1
4
Q3/1
4
Q4/1
4
Q1/1
5
Q2/1
5
Q3/1
5
Q4/1
5
Q1/1
6
Ge
arin
g %
Ne
t i
nte
re
st-b
ea
rin
g lia
bil
itie
s (
EU
R m
)
Net interest-bearing liabilities Gearing %
37
Strong capital structure
At the end of Q1/16, net
interest-bearing debt was
EUR 372.1m (412.4m)
In Q1/16, gearing at 80.0%
(92.9%)
− Gearing positively impacted
by strong cash flow
− Gearing impacted negatively
periodically by the effect of
dividend liability on equity
Gearing clearly meeting the
financial target level of
< 100%
Group financial target:
Gearing < 100%
Highlights
65
70
75
80
85
90
95
100
105
110
115
120
125
Jan-08
Apr-08
Jul-08
Oct-08
Jan-09
Apr-09
Jul-09
Oct-09
Jan-10
Apr-10
Jul-10
Oct-10
Jan-11
Apr-11
Jul-11
Oct-11
Jan-12
Apr-12
Jul-12
Oct-12
Jan-13
Apr-13
Jul-13
Oct-13
Jan-14
Apr-14
Jul-14
Oct-14
Jan-15
Apr-15
Jul-15
Oct-15
Jan-16
Apr-16
Eco
no
mic
Se
nti
me
nt
Ind
icat
or
(ESI
)
Finland Sweden Germany Denmark Poland Europe
Conclusions
Source: European Commission, April 2016
Long-term
average
Mar 2009
Jan 2011
Lead indicator: economic sentiment 2008 – Apr 16
While economic sentiment
was still somewhat mixed in
2015, the trend lines of early
2016 show a positive trend
Europe’s overall economic
sentiment remaining also
positive
Sentiment above long-term
average in Sweden and
Germany
Sentiment in Poland and
Denmark close to long-term
average
Finland still slightly below
long-term average, but
improving lately