Year-end report 2021 Cabonline Group Holding AB (publ)

OCTOBER – DECEMBER

• Revenue amounted to MSEK 1,341 (997), an increase of 34%. Organically, revenue increased by 33%.
• Adjusted EBITA amounted to MSEK 52 (-11), and the corresponding margin was 3.9% (-1.1).
• Operating profit amounted to MSEK 46 (-75), including items affecting comparability of MSEK 2 (-37).
• Net income for the period amounted to MSEK -8 (-118).
• Earnings per share before and after dilution amounted to SEK -0.55 (-3.67).
• Cash flow from operating activities amounted to MSEK 38 (-32).

JANUARY – DECEMBER

• Revenue amounted to MSEK 4,537 (4,171), an increase of 9%. Organically, revenue increased by 8%.
• Adjusted EBITA was MSEK 237 (37), and the corresponding margin was 5.2% (0.9).
• Operating profit amounted to MSEK 202 (-124) including items affecting comparability of MSEK  -5 (-82).
• Net income for the period amounted to MSEK -4 (-317).
• Earnings per share before and after dilution amounted to SEK -1.49 (-10.29).
• Cash flow from operating activities amounted to MSEK 220 (24).

SIGNIFICANT EVENTS AFTER THE REPORTING PERIOD

• To pursue interests outside Cabonline, Petter Lindkvist has decided to resign from his position as Group CFO. Cabonline will transfer his responsibilities towards Fredrik Lundqvist, CFO for Sweden. With effect from February 16th, Fredrik is appointed interim Group CFO, reporting to Group CEO.
• Trygve Wiese-Haugland started as Chief commercial officer (CCO) for Cabonline Group on January 3rd.

CEO´s comment

Strong results despite a challenging year for Cabonline

It is gratifying to note that, despite a continued challenging market, we delivered a strong result in 2021. We have strengthened our profitability due to a good mix of different customer segments and efficiency improvements. It is particularly pleasing to see the stable development of our core business, public transports, during the year. As the largest taxi company in the Nordic region, we can take advantage of economies of scale and offer services that create increased value for travelers. Further, we expect a significant increase in demand in all customer segments and markets when government restrictions in society are fully lifted.

Cabonline has during the year continued to implement measures to create a more flexible and efficient operation which is better adapted to the current market situation. The restructuring of the operations in Finland has been completed, and all taxi journeys are now carried out by external transporters. Moreover, the Danish taxi fleet has been migrated to Cabonline's common technology platform.

Revenues for 2021 amounted to SEK 4,537 million, an increase of 9% compared to the previous year. During the same period, we also achieved full effect of the cost savings program throughout the organization. In the fourth quarter, revenue increased by 34% compared to the same period last year. Adjusted EBITDA for the year amounted to SEK 322 million, which is an increase of SEK 171 million, and the adjusted EBITDA margin increased to 5.2% compared to 0.9% the previous year. Operating profit was MSEK 202 compared to MSEK -124 last year.

In Sweden, Kammarkollegiet has extended its framework agreement with Cabonline until 2023, an excellent recognition of our quality and competitiveness. We have also won the procurement of airport taxis from Helsinki Airport and Oulu Airport from 1 January 2022, which is expected to result in a growth of approximately 150 cars in Finland. During the year, the vehicle fleet in Denmark reached a new peak in the number of connected vehicles. In Norway, the number of cars is continuing to increase and we have established ourselves in two new geographical areas, Ålesund and Bodö.

Sustainability

During the year, the share of electric cars in the Group increased by 168%. This development is fundamental in our sustainability work, and we put much effort into increasing the pace of the transition to a fossil-free vehicle fleet. We work continuously together with selected partners to become climate neutral by 2030. For example, we have entered a partnership with Everfuel and Toyota, enabling us to offer an attractive hydrogen alternative to our transporters in Norway. Cabonline is also working closely with partners to introduce high-power wireless charging at taxi stops in Oslo. In southern Sweden, we work together with electricity and vehicle suppliers to improve the charging infrastructure for electric vehicles.

Significant capacity challenges for the industry

Due to lower mobility and reduced demand during the pandemic, many transporters have had to lay off drivers and parts of their vehicle fleets, which has created a shortage of both drivers and vehicles in several of our geographical areas. Therefore, Cabonline has made a significant effort to retain, develop and attract the industry's best transporters and drivers. A new driver training program has been developed, and re-certification of drivers and marketing campaigns have been intensified.

Changes to the management team

To pursue interests outside Cabonline, Petter Lindkvist has decided to resign from his position as CFO. Cabonline will transfer his responsibilities towards Fredrik Lundqvist, CFO for Sweden. With effect from February 16th, Fredrik is appointed interim Group CFO, reporting to Group CEO. Fredrik Lundqvist has a strong track record in Cabonline’s finance department since 2018, with broad knowledge about Cabonline’s business and organization. Petter will remain with Cabonline on a full-time basis until July 31st to ensure a smooth transition. After that, he will enter a new role as a Senior Consultant in Cabonline in charge of selected strategic projects, reporting to Group CFO.

We are happy to announce that Trygve Wiese-Haugland January 3rd started as Chief commercial officer (CCO) for Cabonline Group. He will have overall responsibility for achieving Cabonline’s commercial strategic goals by strengthening Cabonline’s products, systems, brands, and organization. Wiese-Haugland will be a part of Cabonline’s group management, reporting to Group CEO.

Future

With a strong year behind us, considering the commercial realities, we continue to develop our customer offering, creating sustainable and profitable growth. I am grateful for all the hard work that all colleagues, transporters, and drivers do to ensure that we always perform at the highest level and always take care of our passengers in the best possible way. As we begin to see the end of the pandemic, I look forward to continuing to develop the Nordic region's leading taxi company together with the entire organization.

During the year, it was announced that Cabonline's main shareholder H.I.G, the Board of Directors and management, with the support of external advisors, has initiated a strategic review of Cabonline's future, financing, and development. The review has been ongoing during the year and will continue in 2022.

Cabonline’s bond matures in December and the Company has therefore begun exploring a refinancing process with the support of external advisors, including involvement from Pareto Securities AS who were the bookrunner for the previous issuance.

Dag Kibsgaard-Petersen
President and CEO

For further information, please contact:
Dag Kibsgaard-Petersen, CEO, tel. + 47 400 11 981, dag.kibsgaard-petersen@cabonline.com

This information is such that Cabonline Group Holding AB (publ) is obliged to disclose in accordance with the EU’s Market Abuse Regulation. The information was issued for publication through the agency of the contact persons set out above on February 16, at 13:00 a.m. (CET).

About Cabonline: 
Cabonline is the leading taxi company in the Nordic region with 2,600 connected transporters and approximately 4,600 vehicles in Sweden, Norway, Finland and Denmark. Cabonline contains a series of well-known brands, such as Flygtaxi, TaxiKurir, Norgestaxi, TOPCAB, Kovanen, Taxi Skåne, Taxi Väst, Umeå Taxi, Sverigetaxi and Taxi 4x27. Through Cabonline, transporters have access to attractive customer agreements, support from industry-leading technological development and utilization of economies of scale, efficient service and shared infrastructure. The Group revenue in 2021 was approximately 4.5 billion. For further information: cabonlinegroup.com/en