76% increase in operating profit in the fourth quarter (year-end report 2021)

Fourth Quarter | Oct–Dec 2021

• Net sales amounted to TSEK 96,148 (73,268), which is an increase by 31.2 % compared to the same period last year.
• The gross margin amounted to 57.8 % (55.2).
• Operating profit before depreciation and amortization (EBITDA) amounted to TSEK 27,979 (15,982), which corresponds to an operating margin before depreciation and amortization of 29.1 % (21.8).
• Operating profit (EBIT) amounted to TSEK 19,687 (11,204), which corresponds to an operating margin of 20.5 % (15.3).
• Earnings per share before dilution amounted to SEK 1.43 (0.52).

Jan–Dec 2021

• Net sales amounted to TSEK 326,175 (208,994), which is an increase by 56.1 % compared to the same period last year.
• The gross margin amounted to 57.0 % (55.5).
• Operating profit before depreciation and amortization (EBITDA) amounted to TSEK 82,438 (41,617), which corresponds to an operating margin before depreciation and amortization of 25.3 % (19.9).
• Operating profit (EBIT) amounted to TSEK 53,680 (25,331), which corresponds to an operating margin of 16.5 % (12.1).
• Earnings per share before dilution amounted to SEK 3.90 (1.89).

Comments from the CEO

Strong organic growth with increased profitability

We look back on 2021 as a fantastic year with both strong growth and high profitability. Organic growth increased by as much as 56% and operating profit increased by 112% compared with the previous year. Operating profit amounted to SEK 54 million, which shows very good underlying profitability despite investing in growth.

The gross margin landed for the full year at 57%, which was also an increase compared to previous years, despite the fact that there is a global component shortage. Through good inventory and development-oriented organization, we saw no impact on our delivery capacity during the year, however, we could see a temporary impact on cash flow due to inventory tie up.

Growth in sales fluctuated throughout the year, which was mainly due to the distribution of the inventory structure of our customers. We saw a major inventory build-up during the first part of the year, which mainly consisted of factors such as low opening inventories and strong growth in Norway. We then saw an equalization of these inventory levels in the fourth quarter, after which growth did not increase as sharply as in the other quarters. Installations increased more evenly throughout the year, and in total they increased by 49%, which was more in line with sales growth.

The highlight of the year was growth in Norway, which had an increase in sales of an incredible 470% during the fourth quarter and 530% for the full year compared with the same periods last year. We see a growth curve in Norway that is more and more similar to the development we have had in Sweden. Thus, we have strengthened our position in the Norwegian market, a market in which we see as much potential as the Swedish market. Finland and the Netherlands also had good growth during the year. With product adaptations approaching launch, we should see an increased growth in these markets in the coming years.

We launched two new products during the year. The first out was DAL-01 (DALI Broadcast), which paved the way for continued growth in the commercial lighting control segment. At the end of the year, the long-awaited SPR-01 (Smart plug) was also launched, an important complement to our system. Shortly after launch, we had orders for almost 60k units.

The team delivered a very strong year and we are now looking forward to continued multidimensional growth and growing profitability.
 

Babak Esfahani
CEO of Plejd AB (publ)

For further information

Phone: +46 (0) 10 207 89 01

E-mail: investor@plejd.com

About the company

Plejd is a leading Nordic supplier of smart lighting controls. By focusing on the user experience, smart lighting controls are made easy and available to everyone.