2019 group results were largely on par with guidance. At the Annual General Meeting, the Board of Directors will propose 2019 dividends distribution of DKK 14 per share.
CEO Jens Andersen says:
"In 2019, our core business achieved the best financial result in a decade with a significant EBITA increase. As a clear indicator of value creation, ROIC from core business was almost 11%.
Once again we generated a strong cash flow, allowing us to pay out dividends of more than DKK 100m to our shareholders.
Entering 2020, we are well-positioned to benefit from the green transition. We are experiencing continuous growth within climate and energy and see obvious green business opportunities ahead of us.”
| Financial highlights (DKK million)* | Q4 2019 | Q4 2018 | 2019 | 2018 | |||
| Revenue | 3,077 | 3,009 | 11,679 | 11,098 | |||
| EBITA | 115 | 109 | 360 | 327 | |||
| Earnings before tax | 73 | 54 | 120 | 237 | |||
| Cash flow from operating activities | 305 | 327 | 300 | 224 | |||
| Financial ratios (%) | |||||||
| Organic growth adj. for number of working days | 2.6 | 2.5 | 4.9 | 2.2 | |||
| EBITA margin | 3.7 | 3.6 | 3.1 | 2.9 | |||
| Net working capital, period-end/revenue (LTM) | 11.0 | 9.8 | 11.0 | 9.8 | |||
| Gearing (NIBD/EBITDA), no. of times | 1.7 | 1.2 | 1.7 | 1.2 | |||
| * Due to the divestments of our Austrian and Belgian business activities, GFI GmbH and Claessen ELGB NV, in 2018, and the divestment of our Norwegian training business, STI, in Q1 2019, 2018 and 2019 figures in this announcement relate to our continuing operations. | |||||||
2019 Revenue
2019 EBITA
BIMobject AB valuation
• Based on the share price on 31 December 2019, the BIMobject value amounted to DKK 139m. In 2019, Solar thus identified a need for write-down of DKK 86m. In 2018, we reversed the write-down of DKK 59m on BIMobject originally recognised in 2017.
Dividends distribution
2020 outlook
| Guidance 2020 DKK million | Core business | Related business | Solar Group |
| Revenue | 11,200 | 600 | 11,800 |
| EBITA | 400 | 0 | 400 |
Audio webcast and teleconference today
The presentation of Annual Report 2019 will be made in English on 6 February 2020 at 11:00 CET. The presentation will be transmitted as an audio webcast and will be available at www.solar.eu. Participation will be possible via a teleconference.
Teleconference call-in numbers:
DK: tel. +45 781 501 08
UK: tel. +44 333 300 9032
US: tel. +1 646 722 4956
Yours faithfully,
Solar A/S
Jens Andersen
Contacts
CEO Jens Andersen - tel. +45 79 30 02 01
CFO Michael H. Jeppesen - tel. +45 79 30 02 62
Director, Stakeholder Relations Charlotte Risskov Kræfting - tel. +45 40 34 29 08
Enclosure: Annual Report 2019, pages 1-150, including Q4 2019 quarterly information.
Facts about Solar
Solar is a leading European sourcing and services company mainly within electrical, heating and plumbing, ventilation and climate and energy solutions. Our core business centres on product sourcing, value-adding services and optimisation of our customers’ businesses.
We facilitate efficiency improvement and provide digital tools that turn our customers into winners. We drive the green transition and provide best in class solutions to ensure sustainable use of resources.
Solar Group is headquartered in Denmark, generated revenue of approx. DKK 11.7bn in 2019 and has approx. 3,000 employees. Solar is listed on Nasdaq Copenhagen and operates under the short designation SOLAR B. For more information, please visit www.solar.eu
Disclaimer
This announcement was published in Danish and English today via Nasdaq Copenhagen. In the event of any inconsistency between the two versions, the Danish version shall prevail.
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