Alligo Year-end Report 1 Jan–31 Dec 2022 – Profitable growth on all markets

Fourth quarter highlights

• Revenue increased by 11.8 per cent to MSEK 2,723 (2,436).
• EBITA increased by 19 per cent to MSEK 298 (250), corresponding to an EBITA margin of 10.9 per cent (10.3).
• Operating profit amounted to MSEK 268 (194) and the operating margin was 9.8 per cent (8.0).
• Operating profit was charged with items affecting comparability of MSEK -15 (-40), which comprise costs for organisational changes of MSEK -9 and rental costs for the coordination of logistics of MSEK -6.
• Profit from continuing operations amounted to MSEK 194 (139), profit from discontinued operations to MSEK 0 (31) and profit for the Group as a whole to MSEK 194 (170).
• Earnings per share from continuing operations amounted to SEK 3.82 (2.75), earnings per share from discontinued operations to SEK 0.00 (0.60) and earnings per share for the Group as a whole to SEK 3.82 (3.35).
• Cash flow from operating activities amounted to MSEK 417 (432).

Full year 2022 highlights

• Revenue increased by 9.4 per cent to MSEK 9,211 (8,417).
• EBITA increased by 17 per cent to MSEK 756 (645), corresponding to an EBITA margin of 8.2 per cent (7.7).
• Operating profit amounted to MSEK 669 (427) and the operating margin was 7.3 per cent (5.1). Operating profit was charged with items affecting comparability of MSEK -24 (-155), which comprise costs for organisational changes of MSEK -13, rental costs for the coordination of logistics of MSEK -6 and costs ahead of the separate listing of Momentum Group of MSEK -5.
• Profit from continuing operations amounted to MSEK 481 (291) and profit from discontinued operations to MSEK 28 (139). The impact on earnings of the distribution of Momentum Group was MSEK 3,553 and total profit from the Group amounted to MSEK 4,062 (430).
• Earnings per share from continuing operations amounted to SEK 9.51 (5.75) and earnings per share from discontinued operations amounted to SEK 0.55 SEK (2.75). The impact on earnings of the distribution of Momentum Group was SEK 70.38 per share and earnings per share for the Group as a whole amounted to SEK 80.44 (8.50).
• Cash flow from operating activities amounted to MSEK 507 (750).
• The Board of Directors proposes a dividend for 2022 of SEK 3.00 per share (1.75).

Discontinued Operations

In the interim report for the third quarter 2022, Alligo’s former subsidiary Momentum Group AB (the Components & Services business area) is reported as discontinued operations in accordance with IFRS 5. The Alligo business area represents continuing operations. Comments and figures relate to continuing operations unless otherwise specified. Comparison figures in the consolidated income statement have been recalculated.

Comments from the CEO

“Despite the uncertainty in the world around us, 2022 was a financially stable year in which we also carried out a large number of integration and improvement projects.”

“Sales in the fourth quarter were stable, although we observed a slowdown in Sweden towards the end of the quarter.”

“The improvement in profit can be attributed to increases on all three markets in Sweden, Norway and Finland. The changes and investments we have made in the sales organisations have contributed to this and there is further scope for improvement as we now have a clearer focus on sales and operational efficiency rather than integration.”

“Nine acquisitions during 2022 are proof that our model works and we will continue to acquire the right companies at the right time during 2023.”

Significant events during the fourth quarter

• Alligo acquired 75 per cent of the shares in Profeel Sweden AB, which specialises in corporate branded clothing and product media and operates two stores, one in Eskilstuna and one in Västerås.
• Alligo signed an agreement for premises for a new flagship store for Tools and Grolls in central Konala, strengthening its presence in the Helsinki region. A new head office for the Finnish operations is being established next to the store, with move-in scheduled for 2023.
• Alligo signed an agreement to acquire 70 per cent of the shares in Profilföretaget Z-Profil AB, which specialises in corporate branded clothing and product media and has operations in Umeå and Skellefteå. Closing took place in January 2023.
• Alligo signed an agreement to acquire 70 per cent of the shares in corporate branding companies Kents Textiltryck i Halmstad AB and Olympus Profile i Uddevalla AB. Closing took place in January 2023.

Events after the end of the period

• Alligo completed acquisitions of Profilföretaget Z-Profil AB, Kents Textiltryck i Halmstad AB and Olympus Profile i Uddevalla AB on 2 January 2023.

Presentation of the year-end report 2022

Alligo publishes its year-end report on Thursday, 16 February 2023 at 08:00 a.m. CET.
In conjunction with this, Alligo is pleased to issue this invitation to a webcast conference call in which
Group President & CEO Clein Johansson Ullenvik and CFO Irene Wisenborn Bellander will present the report and answer any subsequent questions. The presentation will be held in English.

Date and time: Thursday, 16 February 2023 at 11:00 a.m. CET
Web link:   https://edge.media-server.com/mmc/p/yso5eisv
Telephone conference: https://register.vevent.com/register/BId8733991b6bb48d9b8a2b7ae68bdf2c8
To participate in the conference call, you need to register via the link above before the conference starts. When you register, you will receive a phone number and a personal code.

Contact information

Clein Johansson Ullenvik, President & CEO, tel: +46 70 558 84 17, e-mail: clein.ullenvik@alligo.com

Irene Wisenborn Bellander, CFO, tel: +46 72 452 60 40, e-mail: irene.bellander@alligo.com

This information is information that Alligo AB (publ) is obliged to publish under the EU Market Abuse Regulation. The information was submitted for publication through the agency of the Chief Executive Officer on 16 February 2023 at 08:00 CET.

Alligo is a leading player within workwear, personal protective equipment, tools, and consumables in the Nordic region. The Group has annual revenue of approximately SEK 8.5 billion and approximately 2,300 employees. Alligo AB (publ) has been listed on Nasdaq Stockholm since June 2017. Read more at www.alligo.com.