Interim report Q2 2019
Improvement in Individual & Family and focus on growth in other business areas
Second quarter, April-June 2019
- Operating revenue was SEK 1,918m (1,696), an increase of 13%, of which organic growth was 2.5%.
- Operating profit was SEK 45m (78), a decrease of 42%. Excluding the effects of IFRS 16, the new standard for recognising leases that applies from 1 January 2019, and excluding acquisition expenses and revenues along with integration costs, operating profit amounted to SEK 65m (74), a decrease of 12%. The effects of IFRS 16 on operating profit amounted to SEK 10m (-). Acquisition expenses and revenues amounted to SEK -26m (4) and integration costs for Coronaria Hoiva were SEK -4m (-).
- Net profit after tax for the period amounted to SEK -2m (47). Excluding the effects of IFRS 16, profit after tax amounted to SEK 4m (47).
- Earnings per share for the period before and after dilution amounted to SEK -0.04 (0.88). Excluding the effects of IFRS 16, earnings per share amounted to SEK 0.07 (0.88).
- Operating cash flow amounted to SEK 136m (143). Excluding the effects of IFRS 16, operating cash flow totalled SEK 62m (143).
The six-month period, January-June 2019
- Operating revenue was SEK 3,626m (3,344), an increase of 8%, of which organic growth was 2%.
- Operating profit was SEK 122m (159), a decrease of 23%. Excluding the effects of IFRS 16 and excluding acquisition expenses and revenues as well as integration costs, operating profit amounted to SEK 137m (155), a decrease of 12%. The effects of IFRS 16 on operating profit amounted to SEK 17m (-). Acquisition expenses and revenues amounted to SEK -28m (4) and integration costs for Coronaria Hoiva were SEK -4m (-).
- Net profit after tax for the period amounted to SEK 42m (92). Excluding the effects of IFRS 16, profit after tax amounted to SEK 52m (92).
- Earnings per share for the period before and after dilution amounted to SEK 0.79 (1.73). Excluding the effects of IFRS 16, earnings per share amounted to SEK 0.98 (1.73).
- Operating cash flow amounted to SEK 169m (113). Excluding the effects of IFRS 16, operating cash flow totalled SEK 38m (113).
Significant events in and after the second quarter
- In April, the Finnish competition authority approved Humana’s acquisition of Finnish company Coronaria Hoiva Oy from its owner Coronaria Oy and the transaction was completed. The purchase price amounted to EUR 71m, approximately SEK 736m (enterprise value).
- Humana acquired assistance company Assistans på Gotland AB during the quarter. The company’s annual revenues amount to approximately SEK 56m and it has around 115 employees.
- During the quarter and after the end of the quarter, Humana signed agreements for four new elderly housing units under own management. During the quarter, Humana signed agreements on new housing units in Falkenberg and Norrtälje, with 60 and 80 apartments respectively. After the end of the quarter, Humana signed an agreement for two more housing units with 60 apartments each, another in Norrtälje and one in Ängelholm. All units are expected to open in 2021.
- After the end of the quarter, Humana entered an agreement with Samhällsbyggnadsbolaget i Norden for the sale of 37 commercial properties in Finland, Sweden and Norway. The value of the property portfolio, which was transferred through a sale and leaseback transaction, amounts to SEK 468m. The average length of the leases for the properties is 14.2 years and the additional annual rental charge amounts to SEK 32m.
President and CEO Rasmus Nerman comments on the quarter:
"The second quarter of the year was eventful and among Humana’s achievements are two acquisitions, two new contracts for elderly housing under own management (and an additional two after the end of the quarter) and that we saw effects from our sales initiatives in Individual & Family. Revenue is growing in line with our financial targets, but in terms of profits the quarter was weak, mainly due to costs for our various growth initiatives", Rasmus Nerman said.
"Humana’s operating revenue amounted to SEK 1.9bn during the quarter, an increase of 13 percent, which was primarily acquisition driven. We are pleased with the development in Personal Assistance, Elderly Care, the Norwegian operations and Arjessa in Finland and that our measures within Individual & Family are having an effect, but this is overshadowed by a weak development in our newly acquired Coronaria Hoiva and the burden of acquisition- and growth-related non-recurring costs making the quarterly profits weak", he said.
A conference call will be held 16 August 2019 at 09:00 CET, at which President and CEO Rasmus Nerman and Vice President and CFO Ulf Bonnevier will present the report and answer questions. To participate, call:
SE: +46 8 505 583 57
UK: +44 333 300 92 66
USA: +1 833 526 83 82
This information is information that Humana AB is obliged to make public pursuant to the EU Market Abuse Regulation and the Securities Market Act. The information was submitted for publication, through the agency of the contact persons set out below, at 08:00 CET on 16 August 2019.
For more information, please contact:
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Humana är ett ledande nordiskt omsorgsföretag som erbjuder tjänster inom individ- och familjeomsorg, personlig assistans, äldreomsorg och bostäder med särskild service enligt LSS. Humana har cirka 16 000 engagerade medarbetare i Sverige, Norge, Finland och Danmark som utför omsorgstjänster till 9 000 människor. Vi arbetar efter visionen ”Alla har rätt till ett bra liv”. 2018 uppgick rörelseintäkterna till 6 725 MSEK. Humana är börsnoterat på Nasdaq Stockholm sedan 2016 och har huvudkontor i Stockholm.