Embed Size (px)
DESCRIPTION
Company presentation 2011 OEM International AB.
Citation preview
CONTENTS
HIS
TOR
Y 74
75
76
77
78
79
80
81
82
83
84
85
86
87
88
89
90
91
92
93
94
95
96
97
98
99
00
01
02
03
04
05
06
07
08
09
10
11
12
1974OEM Automatic AB is set up by the Franzén and Svenberg families
1983Launch into Stockholm Stock ExchangeSet up in DenmarkSales total approximately SEK 30 million
1981The first overseas subsidiary is set up in Finland
1988Sales exceed SEK 100 million for the first time
1991OEM International is formed and becomes the parent company
1997OEM and Cyncrona mergeAcquisition of Egevo and Internordic Bearings
2000Jörgen Zahlin is appointed as Managing DirectorAcquisition of Ernström Hydraulik and Indoma
2008Acquisition of Elektro Elco and the business in OK KaapelitSet up in Slovakia
2010New logistics centre and new e-commerce platformAcquisition of All Motion and sale of Cyncrona
2006Presence established in the Czech Republic through acquisition of EIG
1982Set up in Norway
1989The first subsidiary
outside Scandinavia is set up in the UK
1986First acquisition
Industri AB Reflex
1993A. Karlsongruppen
is acquired
1996Sales exceed SEK 500 million for the first time
1998Subsidiary set up
in Poland
2002Sales declined by 30%
2005Acquisition of Telfa
and sale of hydraulics operations
2007Acquisition of Crouzet, MPX Electra and Klitsö
2009Set up in China
2011Acquisition of Svenska
Batteripoolen, Echobeach, Scapro, Helag and Flexitron
Set up in Hungary
1999Four acquisitions
completed
2001Telecom crisis and general economic
slowdown were manifest in the second
half of the year
Chief Executive’s Review
Vision, business concept, goals & strategy
Value-adding link
OEM is driving growth
OEM leading products
OEM International market
Sweden
Finland, Baltic States
Denmark, Norway, the United Kingdom Central Eastern Europe
Skilled employees
Quality, the environment & ethics
Senior Executives
The Board & shares
Key Performance Indicators
Addresses
04
06
08
10
12
14
16
18
20
22
24
26
28
30
31
3OEM 2011
OVERVIEW 2011 2010
NET SALES (SEK million) 1 590 1 430
PROFIT BEFORE TAX (SEK million) 172 137
PROFIT FOR THE YEAR (SEK million) 126 100
EARNINGS PER SHARE (SEK) 5,42 4,32
EQUITY PER SHARE (SEK) 27,95 25,63
AVERAGE NUMBER OF EMPLOYEES 570 504
EQUITY/ASSETS RATIO (%) 63,3 63,7
SHARE PRICE AT YEAR-END (SEK) 55,00 54,50
PROPOSED DIVIDEND (SEK) 3,50 3,00
OEM is a link that creates value between customers and sup-pliers of industrial components and systems. The company brings high-tech expertise and an extensive range of products to more than 20 000 customers.
Its range comprises more than 25 000 products from around 300 suppliers which are specialists and leaders in the fields of electri-cal components, flow technology, motors and transmissions, ball bearings and seals, appliance components and lighting. OEM markets and sells the products with a high degree of knowl-edge and service to its customers coupled with efficient logistics support.
The Group is divided into three market regions. Sweden is the largest. Finland and the Baltic States are the oldest outside of Sweden. Denmark, Norway, the United Kingdom and Central Eastern Europe have the greatest growth potential. The Group is made up of a total of 24 operating units in 14 countries.
In 2011, OEM completed five acquisitions and established operations in Hungary. In addition, it strengthened its position in most of its markets. OEM has moved into 2012 with a wider range, extended geographic presence, more efficient logistics system and stronger organisation.
OEM’s sales increased by 11% to SEK 1 590 million for the whole of 2011. As a result of improved efficiency and growth, profit before tax rose 26% to SEK 126 million.
OEMINTERNATIONAL
OEM IS ONE OF EUROPE'S LEADING TECHNOLOGY TRADING GROUPS IN
INDUSTRIAL COMPONENTS AND SYSTEMS IN SELECTED MARKETS IN
NORTHERN, CENTRAL AND EASTERN EUROPE AND WITH AN EXPANDING
PRESENCE IN CHINA.
4OEM 2011
RECORD YEAROur sales in 2011 were up 11 % to SEK 1 590 million. As a result of our growth and improved efficiency, profit before tax rose 26 % to SEK 172 million. Excluding the impact of foreign currency, the sales growth rate was no less than 16 %. The majority of the companies reported record sales and earnings.
EXPANDED PORTFOLIO Key to our success is our position as a link between customers and suppliers of industrial components and systems. A link that creates value across business relation-ships. Our main competitive resource is our knowledge, which enables us to help all our customers choose the right component from the right suppliers from our exten-sive range. We help sharpen our customers’ competitive edge by working to improve their products. We also drive the sales of our suppliers, often with the aim of helping them become leaders in their markets.
In 2011, we further developed our partnerships with Scania, BT-Toyota, Sandvik, Atlas Copco, Tetra Laval and others. We have more than 20 000 customers in different sectors across a range of markets. This offers us insights into numerous industries, great breadth and lower risk. In many cases, we work closely alongside our customers in several markets. When Getinge and ABB established in China, we went along too. We were also busy developing our range this past year, by expanding our partnerships with existing suppliers, welcoming new ones and taking partnerships into new markets.
GEOGRAPHICAL EXPANSIONAsco Controls, one of our most important suppliers, invited us to partner with them in the Hungarian market. We consequently set up OEM Automatic in Hungary, with head offices in Budapest. We have taken over about 400 customers and have extended the range with many of our existing suppliers.
We have also strengthened our organisation in Shang-hai this year, with product specialists and sales staff. We considered this essential as many of our key customers have transferred their production to China. This enables us to continue providing high-quality service and create new business opportunities.
FIVE ACQUISITIONS COMPLETEDWe have many years of experience of acquiring businesses to expand the product scope and reach into new markets. In 2011, we acquired Svenska Batteripoolen i Borlänge AB, Svenska Helag AB, Echobeach Ltd, Flexitron AB and the operations of Scapro AB. Their total annual turnover is in excess of SEK 100 million.
Our acquisition strategy is to acquire businesses where we can be good owners and help drive their continued expan-sion. Our target is, each year, to acquire companies with a total annual turnover of at least SEK 100 million.
ON-GOING DEVELOPMENT OF LOGISTICSAs part of our logistics development process, we decided to extend and develop our logistics centre for Finland and the Baltic States in Turku last year. Our investment process in Tranås was a positive experience leading to an improved level of service and efficiency. Our strategy is to continue developing this method of working in specific areas of the Group.
E-COMMERCE PLATFORMWe have gathered all information about 25 000 products into our new e-commerce platform and put it into opera-tion in ten companies in nine countries. This facilitates the process of launching products in new markets, updat-ing the product range and driving cross sales. It is easier for customers to compare and purchase products, espe-cially when it comes to frequent purchases and standard products.
STRONG GROWTH
5OEM 2011
STRONG BALANCE SHEET ENSURES CONTINUED PROGRESSOur strong performance in 2011 has improved our already strong balance sheet. Despite a 70 % dividend payout and a SEK 3.3 million repurchase of shares, the equity/assets ratio is 63 %.
PLENTY STILL TO DOWe can look back on 2010 and 2011 as successful years. All key performance indicators have developed in the right way and we have strengthened our posi-tions in most of the markets. We are also continuing to see huge development potential in all markets where we have a presence and many new markets remain unexplored. The strong commitment displayed by our organisation has created a successful culture that makes it interesting and exciting to push ahead with our task of developing OEM. Much has already been accomplished, but there is plenty still to do.
“IN 2011 WE INCREASED SALES TURNOVER BY
11% AND PROFIT BEFORE TAX BY 26%. EVEN
MORE IMPORTANTLY, WE IMPROVED OUR PORT-
FOLIO AND EXTENDED OUR REACH.”
Jörgen ZahlinManaging Director and CEO of OEM International
6OEM 2011
VISIONBUSINESS CONCEPTGOALS & STRATEGY
7OEM 2011
VISIONOEM shall be a leading technology trading Group in industrial components and systems in selected markets in Northern, Central and Eastern Europe.
BUSINESS CONCEPTOEM offers an extensive and detailed range of industrial components and systems from leading suppliers. A well-structured local market organisa-tion and efficient logistics make OEM a better alternative than the suppli-ers’ own sales organisations. OEM provides a high level of expertise and service and markets the products according to the specific conditions of each respective market.
GOALSOEM’s goal is to sustain stable growth and have a good return on equity with minimal financial risk.
FINANCIAL TARGETS OVER ONE ECONOMIC CYCLE• 15 % annual sales and earnings
growth.• 20 % return on equity.• Equity/assets ratio must not fall
below 35 %.
BUSINESS TARGETSOEM will be one of the largest technology trading companies in its chosen geographical markets.Profitability will be on par with, or
better than, that of the largest players in each respective market.
STRATEGIESGROWTH1. Organic growthOrganic growth takes place through increased market share and expan-sion of the product range. In areas where OEM is firmly established, its operations are expected to grow by 5 % above the underlying market growth. In markets where OEM has yet to achieve a position among the five largest players, our ambition is to achieve considerably higher growth.
2. Geographic expansionGeographic expansion will occur in markets where it is possible to become a prominent player by rep-resenting several of OEM’s suppliers. Geographic expansion will take place in Central Eastern Europe.
3. AcquisitionsAcquisitions include companies and product ranges that strengthen OEM’s market position within current product areas in existing markets, as well as companies that introduce a brand-new product area or new geographic market.
PRODUCT RANGEOEM sells a product range consisting of industrial components and systems
from leading suppliers. The range of products grows through partnerships with existing and new suppliers. Each product area is tailored to the local markets. Development of the range is central for OEM and it is the task of each local marketing organisation to find new products to improve further the competitive advantage of our portfolio of offerings.
MARKETING ACTIVITIESMarketing is conducted primarily through face-to-face sales. Personal meetings are crucial to understand-ing customer applications and needs, and a practical way for OEM to offer its unique expertise. Face-to-face sales are supported by web-based and printed marketing communication materials.
LOGISTICSOEM is in the process of developing a world-class logistics platform by investing in Group-wide logistics solutions.
EMPLOYEES AND MANAGEMENTEmployees shall be given the oppor-tunity to develop within the company taking consideration to business goals and strategies as well as the employees' ambitions. Recruitment and employee strategies will lead to a significant number of managers being recruited internally.
1000
1120
1240
1360
1480
1600
111009080750
75
100
125
150
175
11100908070
10
20 Goal
30
40
11100908070
20
40
60
80
1110090807
Goal
Turnover growth (SEK M) Profit growth (EBIT, SEK M) Return on equityl (%) Equity/asset ratio (%)
PROFITABLE GROWTH WITH STRONG FINANCES
8OEM 2011
VALUE-ADDING LINKFOUR CENTRAL PROCESSES
OEM creates value by offering its customers technical expertise and an extensive range of industrial compo-nents and systems. As a technology trading group, the company brings together an understanding of the customers' situation and knowledge of the suppliers' products.
OEM has around 20 000 customers in Northern and Central Europe and China. They look to OEM as a strate-gic supplier of components.
They often coordinate an increas-ingly larger part of their purchases via OEM. OEM offers a broad and detailed range, along with a high level of expertise, supplementary products and efficient logistics and service. OEM often has strong, long-term partnerships with its customers. Its aim is to improve its customer's product through the right choice of component. OEM drives the sales of about 25 000 products for more than 300 specialised suppliers. You could
say that OEM is an alternative to the suppliers’ own local sales companies. OEM has the responsibility for mar-keting and sales in selected markets and accesses customer groups that the suppliers themselves have difficulty coming into contact with. OEM is a long-term, loyal partner to its suppliers and does not join with competing manufacturers. Its aim is often to help the supplier evolve into a leader in its market.
8OEM 2011
9OEM 2011
9OEM 2011
SUPPLIERS CUSTOMERS
• Receive assistance with marketing on local markets.
• Have their products marketed together with supplementary products.
• Reach markets and customers that they would have difficulty reaching successfully on their own.
• Receive assistance with tailoring products to customer-specific designs.
• Receive assistance with creating logistic solutions that satisfy customer requirements.
• Receive feedback on customer requirements for use in developing future components.
• Gain access to competence concerning the product and its use.
• Gain access to a wide range of components from more than 300 suppliers.
• Can reduce the number of subcontractors thanks to OEM delivering more components.
• Obtain overall solutions with supplementary components.
• Receive deliveries in the right place at the right time.
• Ensure high product quality.
1.PRODUCT RANGE
DEVELOPMENT
4.SALES
PROCESS
FOUR CENTRAL PROCESSES
1. OEM offers a unique and extensive range of products from leading manufacturers
2. OEM has an efficient logistics process with a high service level
3. OEM creates modern marketing communi-cation that supports its sales
4. OEM runs an efficient sales process based on personal sales and profound product knowledge
2.LOGISTICS
3.MARKET
COMMUNICATION
10OEM 2011
’
OEM IS DRIVING GROWTH…
ORGANIC GROWTH AND GEOGRAPHIC EXPANSION
OEM achieves organic growth by increasing its market share and extending its range. OEM also expands geo-graphically into markets where there is the potential for the company to become a significant player. HIGHER MARKET SHAREOEM builds long-term partnerships with its customers. Good relationships are the foundation of sales success and our company carried out no less than 30 000 visits to customers in 2011. At the same time, we launched our new online catalogue in nine countries. This com-plements our printed catalogues and provides addi-tional support to the sales process. OEM currently has 20000 active customers. Sales among major customers are increasing noticeably in the Nordic markets where market share is relatively high. The increase in sales in the United Kingdom and Central Eastern Europe, where the market share is lower, is at-tributable to the continuous expansion of the customer base. The company considers that it improved its position in several markets in 2011. EXTENDED RANGEOEM is constantly evolving its portfolio of products by developing its partnerships with existing suppliers. It does so by geographically extending its collabora-tive activities in more markets and also by launching new products. On-going development of our existing supplier relationships is a strategically important part of OEM’s business concept. One example of how it has geographically ex panded its supplier relationships is THK, the Japanese manufacturer of linear motion prod-ucts, with an annual turnover in Sweden of approxi-
mately SEK 20 million, which have been on sale in Finland, Norway and Denmark since 2011.
It is the responsibility of every local company to locate new suppliers based on the needs of each market. One successful illustration of this is the launch of Ettore Cella in Norway. Ettore Cella supplies manometers to the offshore industry. OEM SETS UP IN HUNGARYAsco Controls, one of OEM’s most important suppliers, invited us to partner with them in the Hungarian market. We subsequently set up OEM Automatic in Hungary in October 2011, with head offices in Budapest. The company has taken over about 400 customers and extended the range with a number of existing suppliers. The aim is to have established a significant presence in the Hungarian market within a few years.
GROWTH IS PART OF OEM’s CORPORATE CULTURE. OEM HAS AN ANNUAL GROWTH TARGET OF 15 % WHICH IT
EXPECTS TO ACHIEVE THROUGH A BALANCED MIX OF ORGANIC GROWTH AND ACQUISITIONS. OEM REPORTED
16 % GROWTH FOR 2011 EXCLUDING THE IMPACT OF FOREIGN CURRENCY.
10OEM 2011
11OEM 2011
’
OEM IS DRIVING GROWTH…
OEM acquires businesses that strengthen the company’s market position and extend its range and scope. OEM integrates these acquisitions wherever there are benefits to be gained from coordinating the entities. Otherwise, the acquired business is operated as before as a sepa-rate entity and OEM assumes ownership responsibilities. ACQUISITION OF ECHOBEACHOEM extends its range by taking its responsibility for selling its suppliers’ products in even more markets. Echobeach, agent for Conta-Clip in the UK, with an an-nual turnover of around SEK 12 million, was acquired in March 2011. OEM has long been marketing and selling Conta-Clip products in other markets and has compre-hensive knowledge of the range. OEM is strengthening its portfolio of offerings in the United Kingdom with this acquisition. OEM took over the responsibility for sales of Conta-Clip's electrical components to more than 150 custom-ers, 100 of whom were new for OEM. The strategy is to continue developing relationships with these customers to include other products too. The stocks of goods were moved to OEM’s premises and the business had been fully integrated with OEM Automatic in Leicester by April. ACQUISITION OF SVENSKA HELAGIn the spring of 2011, OEM acquired Svenska Helag AB which produces and markets connection technology components for electrical systems. The company’s annual turnover is approximately SEK 21 million. The strategy is to develop Svenska Helag’s strong brand name and the Swedish sales organisation, as well as to extend marketing activities to countries outside of Sweden through OEM’s companies.
ACQUISITION OF SCAPRO'S OPERATIONSScapro AB’s electronic components sales business was acquired in April 2011 to take over a number of agents, including those for keyboards and capacitors. The busi-ness is now fully integrated into OEM Electronics and reports annual sales of approximately SEK 30 million. ACQUISITION OF SVENSKA BATTERIPOOLENOEM’s aim is to become one of the foremost companies in the battery business in Scandinavia. It extended its range in September 2011 with the acquisition of Sven-ska Batteripoolen AB which has an annual turnover of approximately SEK 17 million. Svenska Batteripoolen holds a strong position in starter batteries for the aftermarket with sales to workshops, depots and local dealers. This complements OEM’s range of industrial batteries which are primarily sold to uninterruptible power supply (UPS) systems and manufacturers of machinery and appliances. Svenska Batteripoolen and OEM Automatic benefit from each other’s knowledge, customer bases, purchasing volumes and cost synergies. ACQUISITION OF FLEXITRONIn November 2011, OEM acquired Flexitron AB in Täby. The company markets electronic and automation com-ponents. It reports annual sales of approximately SEK 26 million. Flexitron creates a solid platform in a number of areas, including transformers and coils, thus providing a strong complement to OEM’s existing range. The aim is to continue developing the operations in several ways, including coordination with OEM Electronics.
GROWTH THROUGH ACQUISITIONS
11OEM 2011
ELECTRICAL COMPONENTS
FLOW COMPONENTS
MOTION AND DRIVES
BEARINGS AND SEALS
APPLIANCE COMPONENTS LIGHTING
EXAMPLES OF PRODUCTS EXAMPLES OF PRODUCTS EXAMPLES OF PRODUCTS EXAMPLES OF PRODUCTS EXAMPLES OF PRODUCTS EXAMPLES OF PRODUCTS
SensorsCableSafety componentsBattery
ValvesTubesSensorsPumps
Drive ElectronicsMotors with gearsBelt transmissions Linear products
Standard rolling, spherical plain and slide bearingsSealing Circlip
DisplaysKeyboardsLED lighting
Hide-a-lite lighting using LED technology
AREAS OF APPLICATION AREAS OF APPLICATION AREAS OF APPLICATION AREAS OF APPLICATION AREAS OF APPLICATION AREAS OF APPLICATION
Machine constructors and fitters Machine constructors Machine constructors Machine constructors and automotive Electronics and appliance manufacturers Indoor and outdoor lighting
CUSTOMERS CUSTOMERS CUSTOMERS CUSTOMERS CUSTOMERS CUSTOMERS
BT-ToyotaAtlas CopcoSandvik
Bosch ThermoteknikVolvo Getinge
Tetra PakGetingeGE Health Care
KongsbergHusqvarnaBT Products
HusqvarnaPartnertechAmica
ElektroskandiaAhlsellBauhaus
MARKETS MARKETS MARKETS MARKETS MARKETS MARKETS
Sold in all markets Sold in all markets Sold in Sweden, Finland, Norway, Denmark, the UK and Poland
Sold in Sweden and Finland Sold in Sweden, Finland, Denmark, Poland and the Baltic States
Sold in Sweden, Finland and Norway
12OEM 2011
Lighting tower Flow indicator
Multi-function button Pressure gauge Servo Motor
AC-motor
OEM LEADING PRODUCTS
ELECTRICAL COMPONENTS
FLOW COMPONENTS
MOTION AND DRIVES
BEARINGS AND SEALS
APPLIANCE COMPONENTS LIGHTING
EXAMPLES OF PRODUCTS EXAMPLES OF PRODUCTS EXAMPLES OF PRODUCTS EXAMPLES OF PRODUCTS EXAMPLES OF PRODUCTS EXAMPLES OF PRODUCTS
SensorsCableSafety componentsBattery
ValvesTubesSensorsPumps
Drive ElectronicsMotors with gearsBelt transmissions Linear products
Standard rolling, spherical plain and slide bearingsSealing Circlip
DisplaysKeyboardsLED lighting
Hide-a-lite lighting using LED technology
AREAS OF APPLICATION AREAS OF APPLICATION AREAS OF APPLICATION AREAS OF APPLICATION AREAS OF APPLICATION AREAS OF APPLICATION
Machine constructors and fitters Machine constructors Machine constructors Machine constructors and automotive Electronics and appliance manufacturers Indoor and outdoor lighting
CUSTOMERS CUSTOMERS CUSTOMERS CUSTOMERS CUSTOMERS CUSTOMERS
BT-ToyotaAtlas CopcoSandvik
Bosch ThermoteknikVolvo Getinge
Tetra PakGetingeGE Health Care
KongsbergHusqvarnaBT Products
HusqvarnaPartnertechAmica
ElektroskandiaAhlsellBauhaus
MARKETS MARKETS MARKETS MARKETS MARKETS MARKETS
Sold in all markets Sold in all markets Sold in Sweden, Finland, Norway, Denmark, the UK and Poland
Sold in Sweden and Finland Sold in Sweden, Finland, Denmark, Poland and the Baltic States
Sold in Sweden, Finland and Norway
13OEM 2011
Needle bearing Keypad Downlight
Bushing Fan Downlight
14OEM 2011
OEM INTERNATIONALMARKET
OEM INTERNATIONAL MARKETSweden is OEM’s oldest and largest region. In 2011, sales increased by 15 %. OEM’s entire range of products is marketed here. To continue driving growth, the com-pany is working to introduce completely new product areas, for example, through acquisitions.
Finland and the baltic states is OEM’s oldest region outside of sweden. In 2011, sales increased by 13 % in local currency. A large part of the group's products are marketed here. Expansion is taking place both through the roll-out of products that have proved successful in sweden and through the introduction of completely new products.
Denmark, Norway, the United Kingdom and Central Eastern Europe are OEM’s second largest region. In 2011, sales increased by 12 % in local currency. The group’s products are launched here successively based on market need and business capacity. OEM is opening new operations in the region, the latest launch being in Hungary.
OEM sells products to a great number of customers across a wide range of market segments in several geographic markets. This reduces the company’s dependence on economic and seasonal fluctuations. The company faces competition from a number of com-panies, including the manufacturers’ own subsidiaries. However, there are few competitors that come close to
OEM’s extensive product range and geographic cover-age. The company’s range embraces several types of products and caters to numerous industries. This also helps to reduce the company's operational risk. A key competitive factor is the company’s technical knowledge about the products and an understanding of the custom-ers’ situation.
The market is driven by the customers’ manufacturing volumes and sales trends. Many customers are also interested in limiting the number of subcontractors and search out companies like OEM for long-term strategic partnerships. A lot of customers are also keen to work with the same partner in several countries, including China.
The market can be divided into geographic regions or product segments. The company has a higher market share in Sweden and Finland and is the market leader in some segments. In other countries, OEM still has a lower market share even if it has a prominent presence in certain product segments.
EXPANDING PRESENCE IN CHINAOEM is moving forwards its positions in China step by step. In 2011, the OEM organisation grew with several people and the ambition is to become a stronger local partner. OEM has followed a number of Swedish compa-nies that have built up their manufacturing operations in China.
15OEM 2011
76 %
12 %
12 %
65 %
21 %
14 %63 %
24 %
13 %
SALESSweden 65 % Finland and the Baltic States 14 %Denmark, Norway, the UK and Central Eastern Europe 21 %
OPERATING PROFIT Sweden 76 % Finland and the Baltic States 12 %Denmark, Norway, the UK and Central Eastern Europe 12 %
NO. OF EMPLOYEESSweden 63 % Finland and the Baltic States 13 %Denmark, Norway, the UK and Central Eastern Europe 24 %
16OEM 2011
SWEDENSWEDEN IS OEM INTERNATIONAL’S LARGEST MARKET REGION
AND ACCOUNTS FOR 65 % OF SALES. SALES INCREASED BY
15 % TO SEK 1 037 MILLION OVER THE YEAR AND OPERATING
PROFIT ROSE 23 % TO SEK 139 MILLION.
MIKAEL THÖRNKVIST, MANAGING DIRECTOR OF OEM AUTOMATIC AB
URBAN MALM, MANAGING DIRECTOR OF OEM ELECTRONICS AB
DEVELOPMENT DURING 2011OEM’s development in Sweden was driven by the continued growth of the Swedish economy and a strong de-mand from Swedish export industry. In addition, OEM completed a number of acquisitions, broadened its product range and increased its market share. A key driving force was the growth in volume mainly among the largest customers, including Tetra Pak and BT-Toyota, and success in product areas such as batteries, cables, sen-sors, cooling fans and ball bearings. Elektro Elco, which offers lighting prod-ucts, continues to experience rapid growth and posted a record year.
MARKETOEM has long-standing relationships with many of the leading engineering companies in Sweden, including Atlas Copco, ABB, Alfa Laval, BT-Toyota, DeLaval and Tetra Pak, as well as a large number of wholesalers and other manufacturing companies. These include companies in heavy industry, machinery and equipment manufacturing industries, electric wholesalers and major end users. OEM drives sales of products to its customers from about 300 suppliers,
all of whom are specialists and lead-ers within their respective product areas. OEM holds a leading position in several product areas. Competi-tors include the manufacturers’ own subsidiaries, trading companies such as Elektronikgruppen and companies within Indutrade and Addtech, local agency companies, such as Gycom, and international trading companies, such as Avnet.
BUSINESS ACTIVITIESOEM’s whole range of industrial com-ponents and systems is marketed in Sweden. OEM works closely along-side its customers and has offices in nine locations across Sweden. It provides specialist knowledge by fo-cusing on a number of product areas. Key account managers are responsi-ble for major customers.
The companies that were acquired in 2011 to broaden the product range were Svenska Batteripoolen, Svenska Helag, Flexitron and operations within Scapro. In addition, OEM strength-ened its relationships with several existing suppliers and launched prod-ucts from ten or so new suppliers, including Nippon Chemicon, Jauch,
Kingley Rubber, Optical filters, PIL Sensoren and Industrilås. One focus area is mechanical products, such as handles and locks from Industrilås. The company intends to enter into partnerships with more suppliers in this area next year. 2011 saw the launch of e-commerce, which ac-counts for a small but growing share of the company's incoming orders.
OEM’s operations in China are part of this region’s responsibility, since they previously mainly sold products to Swedish customers. OEM has moved forwards its positions in China step by step. The business began as a quality and purchasing centre mainly for ball bearings and electron-ics. The portfolio quickly expanded to include motors and valves and OEM followed Swedish customers, such as Atlas Copco and Getinge, as they expanded into China. OEM has now recruited ten or so employees as part of its strategy to become a stronger local partner and to be able to man-age more customers from countries that are extending their manufacturing operations in China.
17OEM 2011
STRONG GROWTH AND SEVERAL SUCCESSFUL ACQUISITIONS
GOALSTHE GOAL IS A GROWTH RATE AND AN OP-
ERATING MARGIN WELL ABOVE 10 % A YEAR.
STRATEGY• To broaden the product range by inten-
sifying relations with existing suppliers and initiating partnerships with new ones.
• To drive sales with considerable market awareness and product know-how.
• To acquire complementary businesses in new product areas.
ACCOMPLISHED IN 2011• 15 % increase in sales and 23 % increase in operating profit.
• Enjoyed full advantage of the new logistics centre in Tranås and devel-oped e-commerce activities.
• Acquired Svenska Helag, Svenska Batteripoolen, Flexitron and operations within Scapro.
FOCUS IN 2012• To continue broadening the product
range through closer cooperation with suppliers.
• To improve the availability of products and coordinate more parts of the Group in Sweden and internationally.
• To continue developing sales tools such as e-commerce.
Sales are conducted under the names of OEM Automatic, OEM Motor, OEM Electronics, Internordic Bearings, Telfa, Elektro Elco, Svenska Batteripoolen, Flexitron and Svenska Helag.
Number of employees: 345
Consolidated sales 65% (63)
OEM’s logistics centre in Tranås, which primarily supplies Sweden, Denmark and Norway.
Mikael Thörnkvist
Urban Malm
600
700
800
900
1000
1100
111009080750
75
100
125
150
1110090807
Turnover (SEK M) Operating income (SEK M)
18OEM 2011
FINLANDBALTIC STATESFINLAND AND THE BALTIC STATES ARE OEM INTERNATIONAL’S OLDEST MARKET REGION
OUTSIDE OF SWEDEN AND ACCOUNT FOR 14 % OF SALES. SALES IN 2011 INCREASED BY
13 % IN LOCAL CURRENCY BUT THE STRONG SWEDISH KRONA BOOSTED GROWTH BY 6 %
AND SALES REACHED SEK 229 MILLION. OPERATING PROFIT ROSE 12 % TO SEK 22 MILLION.
PATRICK NYSTRÖM, DIRECTOR FOR THE FINLAND AND BALTIC STATES REGION
DEVELOPMENT DURING 2011OEM reported healthy growth in Finland and the Baltic States, driven largely by strong demand from the Finnish engineering industry. The company broadened its range of products across the region and now offers more or less the same products throughout the region. It also launched Electro Elco’s lighting products that are marketed under the Hide-a-Lite brand name.
MARKETIn Finland and the Baltic States, OEM offers industrial components and systems to the machinery and appliance manufacturing industries, electric wholesalers and major end users. Customers include many leading Finnish engineering companies and a large number of manufacturing companies. OEM has
followed a large number of Nordic companies, which have established operations in the Baltic States in recent years. The company holds a leading position in the market in several product areas.
Competitors include SKS, Omron, Juha Elektro, Arrow, Schneider Scan-ditron, Viru Electric and Tameo.
BUSINESS ACTIVITIESIn Finland and the Baltic States, OEM tailors products to the markets and sells products from about 250 suppli-ers, all of whom are specialists and leaders within their respective product areas. This is a large share of OEM’s entire range. OEM in Finland holds a particularly strong position in the mar-ket for cables and actively contributes to developing OEM’s entire portfolio in this area.
Throughout 2011, the product range was broadened and relationships with the suppliers were developed. The year marked the start of sales of motors from Bosch and linear motion products from THK. The partner-ship with Datalogic was successfully developed from safety light curtains to include its entire programme. A new business area for lighting was established in Finland with the launch of Hide-a-Lite.
Extension work on the property in Turku will be completed in 2012 and the extra space this creates will al-low for continued expansion and a logistics centre for Finland and the Baltic States. The positive experi-ence that has been gained from the investment in Tranås plays a key role in this development process.
19OEM 2011
Sales are conducted under the names of OEM Automatic, OEM Electronics, Hide-a-lite and Internordic Bearings.
Number of employees: 72
Consolidated sales 14 % (15)
STRONG GROWTH IN EARNINGS AND INVESTMENT IN LOGISTICS
GOALSTHE GOAL IS AN ANNUAL GROWTH RATE OF
15% AND AN OPERATING MARGIN OF 10%.
STRATEGY• To tailor and offer OEM’s product range
to the markets of Finland and the Baltic States.
• To broaden the product range and streamline the logistics from the offices in Turku, while the organisation in the Baltic States focuses on sales.
• To acquire complementary businesses in new product areas.
ACCOMPLISHED IN 2011• Sales increased by 13 % in local
currency.
• Several new products and the Hide-a-Lite lighting product area were launched.
• Completion of a management devel-opment programme to ensure future growth opportunities.
FOCUS IN 2012• Create increased capacity, efficiency
and service level of the logistics through the new centre in Turku.
• Increase market share through active marketing efforts.
• Broaden the portfolio of products by introducing new suppliers and through acquisitions.
OEM’s office in Turku, Finland.
Patrick Nyström
150
175
200
225
250
11100908070
5
10
15
20
25
1110090807
Turnover (SEK M) Operating income (SEK M)
20OEM 2011
DEVELOPMENT DURING 2011OEM delivered a very strong perfor-mance in the United Kingdom, the Czech Republic, Poland and Slovakia, which resulted in new record sales levels. Demand in Norway and Denmark showed slightly weaker growth. The new office in Hungary got off to a good start and sales began in the first quarter of 2012. This success is attributable to the strengthening of the market and OEM’s sharper competitive edge, achieved through the extension of its portfolio of products and dynamic marketing efforts.
MARKETOEM’s customers in the region include leading engineering compa-nies and manufacturing companies. Most of the more than 8500 custom-ers are in the machinery and appli-ance manufacturing industry, electric wholesalers and end users. OEM has followed many British and Nordic customers, as they have moved their production to Eastern Europe. OEM has relationships at different levels and in several countries with many customers in order to support their production process. OEM’s market
share is still low in the region and lies below 5 %.
Competitors include the manufacturer’s own subsidiaries, companies in Indu-trade and Addtech, and local agency companies such as Dacpol in Poland and IMO in the United Kingdom.
BUSINESS ACTIVITIESThe market region consists of seven companies in Denmark, Norway, the United Kingdom, Poland, the Czech Republic, Slovakia and Hungary that sell industrial components and systems. In all of the markets, OEM benefits greatly from its international coverage, logistics and economies of scale in product range development. At the same time, the companies have tremendous local market aware-ness and the portfolio and sales are tailored to the specific conditions of each market. The companies conduct more than 11 000 visits to customers each year and are working actively to develop and promote the new e-commerce platform.
OEM Automatic in Hungary was set up in 2011 following an invitation by
Asco Controls, which is one of OEM’s key suppliers, to partner with it in the Hungarian market. The company has taken over about 400 customers and extended the range with a number of existing suppliers. The aim is to have established a significant presence in the Hungarian market within a few years.
OEM is evolving its portfolio of prod-ucts by building deeper relationships with more suppliers and offering a wider selection of OEM’s range in all markets. In 2011, OEM acquired Echobeach in the United Kingdom to enable it to take over agency op-erations for Conta-Clip and thereby extend its range of products. OEM offers products from more than 100 suppliers in this region.
The central logistics hub in Tranås manages all logistics for Norway, approximately half of the logistics for Denmark and some for Poland, the Czech Republic and Slovakia. There are also local warehouses in the vari-ous markets for increased flexibility and to meet local delivery deadlines.
DENMARK NORWAY UNITED KINGDOMCENTRAL EASTERN EUROPEDENMARK, NORWAY, THE UNITED KINGDOM AND CENTRAL EAS ERN EUROPE ARE OEM INTERNATIONAL’S SECOND LARGEST
MARKET REGION. SALES IN 2011 INCREASED BY 12 % IN LOCAL CURRENCY BUT THE STRONG SWEDISH KRONA BOOSTED
GROWTH BY 4 % AND SALES REACHED SEK 324 MILLION. OPERATING PROFIT ROSE 22 % TO SEK 22 MILLION.
JENS KJELLSSON, DIRECTOR FOR THE DENMARK, NORWAY, UK AND CENTRAL EASTERN EUROPE REGION
21OEM 2011
Jens Kjellsson
Sales are conducted under the names of OEM Automatic, OEM Automatic Klitsø, OEM Electronics and Hide-a-lite.
Number of employees: 135
Consolidated sales 21 % (22)
RECORD IN SEVERAL MARKETS AND LAUNCH IN HUNGARY
GOALSTHE GOAL IS AN ANNUAL GROWTH RATE
OF MORE THAN 15 % AND AN OPERATING
MARGIN OF MORE THAN OF 5 %.
STRATEGY• To broaden the product range and
eventually roll out OEM’s entire product range in all markets.
• To develop sales by maintaining a high market presence.
• To acquire complementary operations.
ACCOMPLISHED IN 2011• Sales increased by 12 % in local
currency.
• Acquired Echobeach in the United Kingdom.
• Set up a new company in Hungary.
FOCUS IN 2012• To broaden the product range based
on local market needs.
• To continue developing logistics operations in order to provide a high level of service via logistic centres and local warehouses.
• To develop sales by maintaining a high market presence and through e-commerce, and expansion in Hungary.
150
200
250
300
350
1110090807-1
5
10
15
20
25
1110090807
OEM Automatic UK’s office in Leicester.
Turnover (SEK M) Operating income (SEK M)
22OEM 2011
CORPORATE CULTUREOEM is an international Group driven by technological knowledge, sales focus and business acumen. The catchwords in the Group-wide OEM spirit are positive attitude, dedication, goal focus, openness and modesty.
SALES SCHOOLSales reps at OEM work with an extensive range of products which they sell to leading industrial com-panies and a large number of small and medium-sized companies. OEM offers new sales reps a two-year training course in sales and market-ing, divided into five parts. These consist of internal and external courses and are designed to equip the sales people with a sales method-ology and improve their performance in a range of different situations. The initial years are followed by greater challenges where the sales rep runs strategic sales with a significant level of freedom. OEM is a learning organi-sation and provides sales reps with training throughout their career in, for example, negotiation techniques and IT tools for sales work.
LEADERSHIP PROGRAMMEOEM works actively to develop the company's provision of leadership in the short and long term. Internal and external development programmes for managers promote teamwork and introduce new knowledge. A com-prehensive leadership programme for senior executive employees was carried out in Finland and the Baltic States in 2011. The programme ob-jective is to train the next generation of managers in order to secure future growth opportunities. OEM’s leader-ship culture is based on strong teams and specific targets. Each manager has to build his or her own team and set clear individual goals for his or her employees.
CAREER OPPORTUNITIESAll employees at OEM are able to influence their own careers by being interested, creative and goal-oriented. Each employee at OEM has regular personnel appraisals with individual plans. The company encourages mobility between different operations and countries. The goal is to develop and recruit managers internally. Many employees start as sales reps or product specialists and subsequently develop into managers responsible for personnel and financial budgets. The next step is the position of prod-uct or product area manager and then business area manager. Most mem-bers of OEM’s executive management team have been part of the company for many years.
RECRUITMENTOEM regularly recruits to ensure growth opportunities in all markets. In 2012, the company has increased its number of employees by 14 % to 587. The increase has mainly been among sales personnel and product specialists.
SKILLED EMPLOYEES
“Our succesful integration of Echobeach shows the company’s strength along with a competent organi-sation.” RICHARD ARMSTRONG, MANAGING DIRECTOR OF OEM AUTOMATIC UK.
OEM’s COMPETITIVENESS DEPENDS ON THE EFFORTS AND DEVELOPMENT
OF EVERY EMPLOYEE. OEM IS AN ATTRACTIVE WORKPLACE THAT RECRUITS
AND DEVELOPS COMPETENT AND GOAL-ORIENTED INDIVIDUALS. IN 2011, THE
COMPANY HAS TAKEN ON APPROXIMATELY 50 NEW EMPLOYEES.
23OEM 2011
TRAINEE PROGRAMMEIn 2011, OEM again conducted its trainee programme which introduces young new employees with ambition and potential to managerial respon-sibility. The focus is on individuals who are interested in business and sales and often have a background in technical studies. The two-year programme includes an introduction
period, project work and hands-on sales experience. It involves work in both Sweden and other countries.
STUDENT COOPERATIONOEM collaborates with several differ-ent education institutions in order to develop the company’s skills and to get to know potential employees. To ensure a supply of future skills, OEM participates in the development of post-secondary school training courses in e-commerce, logistics and economics at Tranås Education Centre. The company also offers guidance in thesis research projects and work experience to establish relationships with students.
EQUAL OPPORTUNITIESOEM’s industry has traditionally been dominated by men. OEM strives to improve equality in the organisation by seeking to employ more women to male-dominated positions.
WELL-BEINGOEM focuses on a good work envi-ronment and encourages a healthy lifestyle through physical exercise and preventive health care. The company is housed in attractive, spacious premises with ergonomically designed work areas.
“The trainee programme gave me a head start in my career. I was involved in strategic sales projects in Motors after just two years.”JENS LANDGREN, OEM AUTOMATIC KLITSÖ
25
75
125
175
225
56–46–55
36–45
26–35
–250
50
100
150
12–8–11
4–71–3
–1
Age distribution (no. of employees)
Years of experience in OEM (no. of employees)
2011 2010AVERAGE NUMBER OF EMPLOYEES 570 504
EMPLOYEES AT YEAR-END 587 514
WOMEN (%) 20 20
SICK LEAVE PERSON/YR (DAYS) 5 6
TRAINING COSTS/EMPLOYEE (TSEK) 4 3
FITNESS COSTS/EMPLOYEE (TSEK) 1 1
24OEM 2011
THE ENVIRONMENT AS A COMPETITIVE ADVANTAGEOEM’s customers demand long-term sustainable technology. This involves creating the most appropriate solu-tions by, for example, using the right sensors and measuring instruments to control the end product, correctly designing motors to minimise energy consumption, balancing the flow of valves and pumps, using the right ball bearings and seals to reduce wear and loss of energy, optimising the interaction of other components and producing energy-efficient lighting. Our customers also want to reduce the number of suppliers and obviously benefit from efficient logis-tics without delays, additional costs or too much packaging.
Our customers are driven by the need to increase sales, cut costs, minimise the impact on the environment and enhance their competitive edge in a world where their customers value environmentally-sound solutions.
OEM therefore considers environ-mental concerns to be a competitive advantage. The company offers a well-thought-out range of products
and provides the customer with the expertise required for selecting the right component to ensure the end product is of top quality, energy-ef-ficient and has a long service life. All with the aim of minimising the impact on the environment. OEM sharpens this competitive edge by developing its product range, its expertise and its routines.
FOCUS ON THE ENVIRONMENTOEM’s environmental work permeates the organisation. The most important work is conducted at the logistics centre in Tranås, which plays a cen-tral role in the company’s operations and is its largest facility. The company is now investing in a logistics centre in Finland with the same environmen-tal focus. The environmental work is governed by the ambitions of the employees, customer requirements and legislation. The aim is to minimise the company’s short and long term negative environmental impacts.
OEM’s focus on trade means that the greatest environmental impact comes from transportation, environmentally harmful substances, printed materials, packaging materials and heating.
The company is working assiduously to reduce its overall environmental footprint.
Investment in logistics and improved routines lead to better coordination of transport resources, which reduces the negative impact on the environ-ment. OEM also strives to use for-warding agents that have accredited environmental management systems and all company cars have the MK 2008 environmental classification.
OEM handles many products that contain chemicals. The company works to ensure that products are handled correctly along the supplier chain, that contents are declared to customers and that options for recycling products are available. The aim of this process is to minimise adverse impacts on the environment and to comply with the European environmental requirements under the REACH Regulation and RoHS Directive. The company also satis-fies requirements for manufacturing products in the most energy efficient way possible in compliance with the Ecodesign regulations. The subsidiar-ies that are certified conduct regular
QUALITYENVIRONMENT & ETHICSOEM’s OPERATIONS ARE BASED ON HIGH QUALITY AND ENVIRONMENTAL AWARENESS OF THE
COMPANY'S PRODUCTS AND DELIVERIES. THIS IS CREATED BY KNOWLEDGE, COMMITMENT,
DOCUMENTED PROCEDURES AND STANDARDISED FOLLOW-UP.
25OEM 2011
supplier assessments and have envi-ronmental coordinators.
OEM used to print and distribute a huge amount of printed materials. Investment in digital marketing in recent years has succesfully reduced the need for printed catalogues. When purchasing printing services, we give priority to environmentally-certified suppliers and environmentally-ap-proved paper. The company always strives to select the best environmental alternative. It chooses energy-efficient premises and environmentally-friendly solutions for heating, cooling and lighting.
HIGH QUALITY PROCESSES AND PRODUCTSThe foundation of OEM’s quality process is that all delivered products and services must live up to cus-tomer expectations. This means that our quality improvement activities apply to both products and pro-cesses. OEM works with its suppliers in close collaborative relationships to develop the quality of the range.
OEM also assists the customer with finding the right component and con-tributes with knowledge so it can be efficiently implemented in end-to-end solutions. The customers’ perception of the quality is followed up carefully and the company works continuously on identifying and implementing improvements.
The customers demand quality by expecting the right product in the right place at the right time. The new logistics hub in Tranås has quickly met the targets for deliv-ery reliability and has reduced the number of errors experienced by customers. The company is now expanding its logistics operations in Finland and the Baltic States. The continuous monitoring and develop-ment of delivery performance allows OEM to raise the bar to create world-class logistics capabilities.
OEM is also actively involved in developing its own processes. It draws much of its inspiration from its customers, such as Toyota. Some areas of the company have imple-mented OEM Quality Development (OQD) which is based on Toyota’s Lean Production system for creating open processes without any waste of resources. For example, so-called whiteboard meetings are held every day at OEM Automatic in order to quickly solve any problems that may have arisen before they affect the customer. The company is also working in a structured manner with improvement meetings to identify streamlining opportunities. OEM strives to get rid of all long and laborious processes.
MORE CERTIFIED COMPANIESIn the past year, Telfa AB and OEM Motor AB have been awarded ISO 14001 environmental management system certification and ISO 9001
quality management system certifica-tion. Five of the companies in Sweden now have accredited systems. These are:
• OEM Automatic AB• OEM Electronics AB• Internordic Bearings AB• Telfa AB• OEM Motor AB
ETHICSOEM’s business activities are based on long-term employee, supplier and customer relationships. The values of the management and our employees contribute to cultivating these rela-tionships. Common values involving respect for employees and business partners alike permeates our corpo-rate culture and safeguards long-term stability both internally and to suppli-ers and customers.
OEM uses a carefully designed meth-odology for placing requirements on the factories with which the company collaborates in China. This includes supplier assessments, checks and inspections in order to create clarity and ensure that the production com-plies with international guidelines.
26OEM 2011
SENIOR EXECUTIVES
27OEM 2011
1. JAN CNATTINGIUS (born 1955)
CFO.
Group employee since 1985.
Number of shares: 11 000 OEM Class B.
2. URBAN MALM (born 1962)
Managing Director of OEM Electronics AB.
Group employee since 1983.
Number of shares: 2 800 OEM Class B.
3. SVEN RYDELL (born 1973)
Marketing and Communications Director.
Group employee since 2008.
Number of shares: 959 OEM Class B
4. JENS KJELLSSON (born 1968)
Director for the Denmark, Norway,
UK and Central Eastern Europe region.
Group employee since 1990.
Number of shares: 11 000 OEM Class B.
5. JÖRGEN ZAHLIN (born 1964)
Managing Director of OEM International AB since
1 March 2000. Managing Director and CEO.
since 1 January 2002.
Group employee since 1985.
Number of shares: 102 000 OEM Class B.
6. PATRICK NYSTRÖM (born 1958)
Director of Business Activities in Finland
and the Baltic Countries.
Group employee since 1982.
Number of shares: 22 500 OEM Class B.
7. MIKAEL THÖRNKVIST (born 1968)
Managing Director of OEM Automatic AB.
Group employee since 1990.
Number of shares: 5 000 OEM Class B.
12
3 45
6 7
28OEM 2011
THE BOARD & SHARES
1. AGNE SVENBERG (born 1941)
Board member since 1974.
Managing Director until 29 February
2000. Engineer. Not employed by OEM.
Other appointments: Chairman of the
Board for EG’s El o Automation AB, Per-
sonality Gym AB and ISP AB. Number
of shares: 665 400 OEM Class A and
226 530 OEM Class B.
2. HANS FRANZÉN (born 1940)
Chairman of the Board 1992—2006.
Board member since 1974.
CEO until 31 Dec. 2001. Engineer. Not
employed by OEM. Other appointments:
Chairman of the Board for Tranås
Rostfria AB, TR Equipment AB, Tranås
Resebyrå AB, Opti Fresh AB, Linktech
AB, Cendio AB and Handelsbanken’s
local Board in Tranås. Board member of
Ovacon AB and IB Medical AB. Number
of shares: 707 376 OEM Class A and
619 290 OEM Class B.
3. JERKER LÖFGREN (born 1950)
Board member since 2010.
LLM. Not employed by OEM. Senior
Legal Counsel at Carnegie Private Bank-
ing. Other appointments: Chairman of
the Board for Orvaus AB and Orvaus
Nörvalen AB. Number of shares: 0.
4. ULF BARKMAN (born 1957)
Board member since 1997.
MBA. Not employed by OEM.
Number of shares: 42 000 OEM Class B.
5. LARS-ÅKE RYDH (born 1953)
Board chairman since 2010 and Board
member since 2004. M.Sc. Engineering.
Not employed by OEM. Other ap-
pointments: Chairman of the Board for
Nefab AB, San Sac AB, Plastprint AB,
Schuchardt Maskin AB and CombiQ AB.
Board member of Nolato AB, HL Display
AB, Olja economic association and Arla
Plast AB. Number of shares: 12 000
OEM Class B.
6. PETTER STILLSTRÖM (born 1972)
Board member since 2010.
Master of Economics. Not employed by
OEM. CEO and major shareholder in AB
Traction. Other appointments: Chairman
of the Board for Nilörngruppen AB
and Softronic AB. Board member of
PartnerTech AB, AB Traction and several
unlisted companies in Traction’s sphere
of influence. Number of shares: 0.
1
2
3
4
5
6
29OEM 2011
OWNERSHIP STRUCTURE OEM’s largest shareholders as at 30 December 2011
SHARE TRENDS OEM International B OMX Stockholm All Share
THE BOARD & SHARES
©
30
20
40
50
60
70
20112010200920082007
FINANCIAL INFORMATION OEM aims to maintain a high level of quality in the informa-tion it provides to the market and media. The ambition is for the information to enable correct valuation and allow for liquid trade in the share. Financial information is published on the Group’s website, www.oem.se.
As a shareholder, you also have the opportunity to receive interim reports and other press releases by email as they are published on the market. Send an email to [email protected] stating “Bolagsinformation” in the subject line and you will be included in our mailing list.
Class A shares
Class B shares
Percentage share capital
Percentage votes
Orvaus AB 1 627 320 2 802 360 19.2 % 28,9 %
Franzén Hans and family 1 280 376 1 347 990 11,4 % 21,4 %
Svenberg Agne and family 1 223 400 459 986 7,3 % 19,2 %
AB Traction 636 000 1 252 274 8,2 % 11,5 %
Lannebo equity Funds 2 373 263 10,3 % 3,6 %
Nordea Investment Funds 1 541 207 6,7 % 2,3 %
Ernström Finans AB 609 000 2,6 % 0,9 %
Skandinaviska Enskilda Banken S.A.,NQI 314 010 1,4 % 0,5 %
Didner & Gerge Aktiefond 310 200 1,3 % 0,5 %
Fjärde AP Fonden 305 329 1,3 % 0,5 %
Total 10 owners 4 767 096 11 315 619 69,6 % 89,4 %
Other 7 024 747 30,4 % 10,6 %
Total 4 767 096 18 340 366 100,0 % 100,0 %
Votes per share 10 1
30OEM 2011
KPIS FOR THE LAST FIVE YEARS
OEM GROUP 2011 2010 2009 2008 2007
Net sales ** MSEK 1 590 1 430 1 240 1 438 1 294
of which overseas ** % 35,3 37,2 37,0 38,5 35,4
Group's profit before tax
from continuing operations ** MSEK 172,4 136,5 73,2 140,5 135,9
Consolidated profit for the year MSEK 127,9 95,5 43,0 117,0 102,8
Return on ** % 18,3 15,5 8,6 16,4 15,3
Return on capital employed ** % 25,3 21,0 11,9 23,8 21,5
Return on shareholders' equity % 20,6 16,5 7,4 20,9 17,6
Debt/equity ratio ggr 0,13 0,14 0,21 0,17 0,16
Interest coverage ratio ** ggr 50,8 52,4 25,2 34,3 40,6
EBITDA/net sales ** % 12,7 11,6 8,2 11,0 11,4
Operating margin ** % 10,9 9,7 6,0 9,5 10,3
Profit margin ** % 10,8 9,5 5,9 9,8 10,7
Capital turnover rate ggr/år 1,56 1,54 1,46 1,66 1,65
Net sales/employee** MSEK 2,8 2,8 2,4 2,7 2,6
Equity/assets ratio % 63,3 63,7 61,8 59,0 58,9
Cash flows from operating activities MSEK 108,1 115,6 103,5 161,7 44,3
Quick ratio % 153 153 136 128 131
Average number of shares outstanding *** tusental 23 164 23 169 23 169 23 169 23 169
Earnings per share *** SEK 5,52 4,12 1,86 5,05 4,43
Earnings per share, continuing operations ** *** SEK 5,42 4,32 2,19 4,56 4,26
Total average shares *** tusental 23 169 23 169 23 169 23 169 23 169
Earnings per share *** SEK 5,52 4,12 1,86 5,05 4,43
Earnings per share, continuing operations ** *** SEK 5,42 4,32 2,19 4,56 4,26
Shareholders' equity per share* *** SEK 27,95 25,63 24,37 25,51 22,88
Proposed dividends *** SEK 3,50 3,00 2,00 3,00 3,00
Quoted price as per 31 December *** SEK 55,00 54,50 41,30 35,00 42,90
P/E ratio ggr 10,0 13,2 22,3 6,9 9,7
P/E ratio** ggr 10,1 12,6 18,8 7,7 10,1
Direct return % 6,4 5,5 4,8 8,6 7,0
No. of employees ** antal 570 504 516 572 520
Salaries and remuneration ** MSEK 199 182 180 191 166
* Shareholders’ equity per share = visible equity per share.
** Continuing operations
*** The key performance indicators have been adjusted to reflect the 4:1 share split and an automatic redemption of every fourth share in Q2 2007. Earlier periods have been adjusted by a factor of 3, since the financial implication of the transaction is a 3:1 split combined with an extraordinary dividend.
31OEM 2011
OEM Automatic ABP.O. Box 1011, Dalagatan 4, SE-573 28 TRANÅS, SwedenTel: +46-75-242 41 00Fax: +46-75-242 41 10E-mail: [email protected]: www.oemautomatic.se
OEM Motor ABP.O. Box 1011, Fredriksbergsgatan 2SE-573 28 TRANÅS, SwedenTel: +46-75-242 44 00Fax: +46-75-242 44 49E-mail: [email protected]: www.oem-motor.se
Telfa ABTelfa AB C/o: OEM Automatic AB, Dalagatan 4, SE-573 42 TRANÅS, SwedenTel: +46-75-24 24 450Fax: +46-75-24 24z495E-mail: [email protected] Website: www.telfa.se
Svenska Batteripoolen ABFaluvägen 21SE-784 73 BORLÄNGE, SwedenTel: +46-243-825 01Fax: +46-243-682 23E-mail: [email protected]: www.batteripoolen.se
Elektro Elco ABTallvägen 5, SE-564 35 BANKERYD, SwedenTel: +46-36-290 60 00Fax: +46-36-290 60 50E-mail: [email protected]: www.elco.se
OEM Electronics ABP.O. Box 1025, Norrabyvägen 6B, SE-573 29 TRANÅS, SwedenTel: +46-75-242 45 00Fax: +46-75-242 45 09E-mail: [email protected]: www.oemelectronics.se
Internordic Bearings ABP.O. Box 105, Lerbacksgatan 3 SE-571 22, NÄSSJÖ, SwedenTel: +46-75-242 49 40Fax: +46-75-242 49 59E-mail: [email protected] Website: www.internordic.biz
Svenska Helag ABP.O. Box 11091, Källbäcksrydsgatan 6SE-507 11 BORÅS, SwedenTel: +46-33-15 70 55Fax: +46-33-15 09 51E-mail: [email protected]: www.helag.se
Flexitron ABP.O. Box 7117, Tumstocksvägen 11ASE-187 12 TÄBY. SwedenTel: +46-8-732 85 60Fax: +46-8-756 91 32E-mail: [email protected]: www.flexitron.se
OEM Trading (Shanghai) Co., Ltd.Room 1117, Huaihai China Tower,885 Renmin Road, SHANGHAI 200010P.R. of ChinaTel: +86 (0)21 3307 0588 Fax: +86 (0)21 3307 0303 E-mail: [email protected]: www.oemtrading.com.cn
IBECAartsdijkweg 111, NL-2676 LE MAASDIJK, The NetherlandsTel: +31-174 52 51 00Fax: +31-174 52 51 06E-mail: [email protected] Website: www.ibec.biz
OEM Automatic OYP.O. Box 9 FI-20101 TURKU,Fiskarsinkatu 3, 20750 TURKU, FinlandTel: +35-8-207 499 499Fax: +35-8-207 499 456E-mail: [email protected] Website: www.oem.fi
OEM Automatic OÜKanali tee 1-328, EE-10112 TALLINN, EstoniaTel: +37-2-6550 871Fax: +37-2-6550 873E-mail: [email protected] Website: www.oem.ee
OEM Automatic UABPaliuniskio g. 1, LT-35113 PANEVEZYS, LithuaniaTel: +37-0-6550 0323Fax: +37-0-4557 7987E-mail: [email protected]: www.oem.lt
OEM Automatic SIAVilandes 3-3, LV-1010 RIGA, LatviaTel: +37-1-2919 9382E-mail: [email protected] Website: www.oemautomatic.lv
Internordic Bearings FIP.O. Box 9, FI-20101 TURKU, Fiskarsinkatu 3, 20750 TURKU, FinlandTel: +35-8-207 499 499Fax: +35-8-207 499 456E-mail: [email protected]: www.internordic.fi
OEM Electronics OYP.O. Box 9, FI-20101 TURKU, Fiskarsinkatu 3, 20750 TURKU, FinlandTel: +358-207 499 300Fax: +358-207 499 496E-mail: [email protected]: www.oemelectronics.fi
OEM Automatic ASPostboks 2144 STRØMSØ, Bjørnstjerne Bjørnsonsgate 110, NO-3003, DRAMMEN, NorwayTel: +47-32 21 05 00Fax: +47-32 21 05 01E-mail: [email protected]: www.oem.no
OEM Automatic Klitsø A/SEngholm Parkvej 4, DK-3450 ALLERØD, DenmarkTel: +45-70 10 64 00Fax: +45-70 10 64 10E-mail: [email protected] Website: www.oemklitso.dk
OEM Automatic LtdWhiteacres Cambridge Road, Whetstone LEICESTER LE8 6ZG, United KingdomTel: +44-116 284 99 00Fax: +44-116 284 17 21E-mail: [email protected]: www.oem.co.uk
OEM Automatic Sp. z o. o.ul. Postepu 2, PL-02-676 WARSAW, PolandTel: +48-22-863 27 22Fax: +48-22-863 27 24E-mail: [email protected] Website: www.oemautomatic.com.pl
OEM Electronics PLul. Postepu 2, PL-02-676 WARSAW, PolandTel: +48-22-86 32 722Fax: +48-22-86 32 724E-mail: [email protected] Website: www.oemelectronics.pl
OEM Automatic spol. s r.o.Baarova 3a, CZ-140 00 4 PRAGUE, Czech RepublicTel: +42-0-241 484 940Fax: +42-0-241 484 941E-mail: [email protected]: www.oem-automatic.cz
OEM Automatic s.r.o.Bratislavska 8356, SK-917 01 TRNAVA, SlovakiaTel: +42-1-911 122 009Fax: +42-1-335 331 567E-mail: [email protected] Website: www.oem.sk
OEM Automatic Kft.P.O. Box: 111HU-2058 BUDAÖRS, HungaryTel: +36-23-880 895Fax: +36-23-880 897E-mail: [email protected]: www.oemautomatic.hu
OEM International ABP.O. Box 1009, Norrabyvägen 6B,SE-573 28 TRANÅS, SwedenTel: +46-75-242 40 00Fax: +46-75-242 40 29E-mail: [email protected]: www.oem.se
ADDRESSES
