Ratos AB
STO:RATO B
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Ratos AB
STO:RATO B
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Ratos AB
Ratos AB is an investment company, which comprises acquisition, development, and divestment of unlisted companies. The company is headquartered in Stockholm, Stockholm and currently employs 7,066 full-time employees. The company owns and develops over 10 unlisted medium-sized enterprises in Nordic region. Enterprises are active in various sectors, such as industry, consumer goods, services and life science, among others. The Company’s portfolio comprises Aibel, the supplier of maintenance and modification services for production platforms and onshore installations within oil and gas industry; Bisnode, the data and analytics company; HENT, the construction company with focus on public and commercial real estate; Plantasjen, the chain for sales of plants and gardening accessories; HL Display, the supplier of products and solutions for in-store communication and merchandising; and Diab, the manufacturer of materials for sandwich composite structures, among others enterprises.
Ratos AB is an investment company, which comprises acquisition, development, and divestment of unlisted companies. The company is headquartered in Stockholm, Stockholm and currently employs 7,066 full-time employees. The company owns and develops over 10 unlisted medium-sized enterprises in Nordic region. Enterprises are active in various sectors, such as industry, consumer goods, services and life science, among others. The Company’s portfolio comprises Aibel, the supplier of maintenance and modification services for production platforms and onshore installations within oil and gas industry; Bisnode, the data and analytics company; HENT, the construction company with focus on public and commercial real estate; Plantasjen, the chain for sales of plants and gardening accessories; HL Display, the supplier of products and solutions for in-store communication and merchandising; and Diab, the manufacturer of materials for sandwich composite structures, among others enterprises.
Sales Decline: Net sales decreased by 6% year-on-year, with organic sales down 4%, mainly affected by negative currency impacts and weaker market conditions.
Strong Cash Flow: Cash flow from operating activities remained strong at SEK 783 million, with cash conversion around 170% and ongoing improvement in working capital.
Industry Segment Outperformance: Industry segment saw 21% EBITA growth and an improved margin close to 10%, with all subsidiaries contributing to higher earnings.
Restructuring Actions: Major restructuring continued in Plantasjen, including closing around 35 stores and exiting Finland, aimed at making the company smaller but more profitable.
Knightec-Semcon Merger: The merger of Knightec and Semcon was launched, aiming to form a leading R&D and digital solutions partner in Northern Europe, with integration progressing well.
Buy-and-Build Progress: HL Display highlighted a successful buy-and-build strategy, with 10 add-on acquisitions in 3 years and entry into North America through the Kost Klip deal.
Order Backlog & Intake: Order intake and backlog remained strong, especially in Construction and Critical Infrastructure, though quarterly sales were impacted by project phasing.
Leverage & Capital Allocation: Leverage decreased to 0.7x (1.2x adjusted), and management indicated a preference for add-on acquisitions and minority buyouts over share buybacks.
