Q1 - 2016
CEO: Lars Blecko
Stockholm,
May 3, 2016
Contents
 Highlights
 Segments
 Financials
 Q&A
2
Q1 2016
Highlights Q1 2016
 Organic
growth 5 percent (2)
-
US organic growth 14 percent
-
Continued positive development in Spain, Turkey and Argentina
 Operating
margin 9.3 percent (9.0)
-
Increased revenue share from CMS and SafePoint in the US
-
Efficiency work continues
 EPS
increased by 16 percent to SEK 3.17 (2.73)
 Patrik Andersson
3
incoming President and CEO
Highlights
Operating margin development
12,0%
10,6%
10,2%
9,7%
10,0%
9,1%
8,4%
8,2%
8,0%
9,3%
9,0%
8,4%
7,2%
8,0%
7,5%
7,1%
6,0%
6,5%
4,0%
2,0%
0,0%
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1
2010
2011
2012
Quarters
4
2013
Rolling 12
2014
2015
2016
Highlights
Operating margin development
12%
10%
9,0%
8%
9,3%
8,4%
8,0%
7,5%
7,1%
6%
6,5%
4%
2%
0%
10 11 12 13 14 15 16 10 11 12 13 14 15 10 11 12 13 14 15 10 11 12 13 14 15
Q1
5
Q2
Q3
Q4
Highlights
Analysis of the Branches
100%
90%
80%
32%
29%
25%
21%
21%
16%
28%
27%
26%
75%
79%
79%
84%
74%
2012
2013
2014
2015
2016
70%
60%
50%
40%
30%
68%
71%
72%
73%
2008
2009
2010
2011
20%
10%
0%
QUARTER 1
Performing
6
Non-performing
Segments
Europe Q1 2016

Organic growth 1 percent (0)
Revenue development
‒ Positive growth in Spain, Turkey and Argentina
‒ Partly offset by slight decline in the Nordic
countries

Real growth 3 percent (6)
‒ Acquisition of Cardtronic’s retail cash handling
operations in the UK – July 2015

Operating margin 10.1 percent (10.0)
‒ Efficiency improvements continue to yield
results, mainly in Southern Europe
‒ Positive results from initiatives taken in the UK
7
Operating margin development
Segments
USA Q1 2016

Organic growth 14 percent (4)
Revenue development
‒ Major CMS roll-outs completed during 2015
‒ SafePoint revenue increased more than 23
percent
‒ Increased CIT market share through new
contracts
‒ Organic growth adjusted for fuel fees was 15
percent

Real growth 16 percent (4)
‒ Acquisition of Dunbar Global Logistics in 2015

Operating margin 11.2 percent (10.3)
‒ Increased CMS and SafePoint revenue share
‒ Continued focus on cost control and efficiencies
in the branches
8
Operating margin development
Segments
SafePoint as of March 31, 2016
 15,937
 Close
 More
9
Safes installed (1,311 in Q1)
to 2,000 customers
than 160 provisional credit banks
Segments
SafePoint installations per quarter
Q1
Q2
Q3
2010
10
Q4
Q1
Q2
Q3
2011
Q4
Q1
Q2
Q3
2012
Q4
Q1
Q2
Q3
2013
Q4
Q1
Q2
Q3
2014
Q4
Q1
Q2
Q3
2015
Q4
Q1
2016
Segments
USA Q1 2016
Revenue development by line of business
100%
80%
60%
83%
82%
80%
77%
74%
73%
71%
67%
78%
26%
27%
29%
33%
23%
Q1 12
Q1 13
Q1 14
Q1 15
Q1 16
40%
20%
17%
18%
20%
22%
Q1 8
Q1 9
Q1 10
Q1 11
0%
CMS
11
CIT
Segments
Baltimore – a challenge and an opportunity
Pre roll-out
Preparation
Roll-out
Fine tuning
March
12
Post roll-out
Segments
Rochester – still some fine tuning to be done
Pre roll-out
Preparation
Roll-out
Fine tuning
March
13
Post roll-out
Segments
International Services Q1 2016

Organic growth negative 9 percent (n/a)
‒ Decline in transportation of
precious metals continued into Q1
‒ Less gold deliveries to India due to strikes
among jewelers and gold traders
‒ Few new art exhibitions

Operating margin of 5.1 percent (6.0)
‒ Margin affected by lower volumes
14
Financials
Statement of income
Statement of income
2016
2015
2016
Jan-Mar
Jan-Mar
Rolling 12
4,032
3,842
16,287
Real growth, %
7
17
5
Organic growth, %
5
2
3
Operating income (EBITA)
376
345
1,734
Operating margin, %
9.3
9.0
10.6
Amortization
-16
-14
-63
-5
-22
-62
-
-
12
-28
-27
-115
Income before taxes (EBT)
327
281
1,506
Net income
239
205
1,102
Net margin, %
5.9
5.3
6.8
3.17
2.73
14.65
SEK m
Revenue
Acquisition related costs
Items affecting comparability
Net financial items
Earnings per share, diluted (SEK)
15
Financial targets
Priorities
Targets
Revenue
16
SEK 17 bn by 2017
Ebita Margin
10-12%
Debt gearing
Max 3.0 (net debt/ebitda)
Dividend
40-60% of net income
•
•
•
•
CMS in USA
SafePoint in USA
International Services
M&A
• Fewer underperforming ”branches”
• Business mix ”less CIT more CMS and LI”
• Benchmarking/Best Practice through the Loomis Model
• Increased gearing supports growth plans
• Stable capital expenditures predicted
• History shows stability
• Commitment to delivering shareholder value
Q&A
17