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Green Landscaping Group

Green Landscaping Group

Green Landscaping Group is a Nordic company that has established itself, primarily through M&A, as a leading player (~5% market share) in the fragmented and steadily growing market for the landscaping and maintenance of outdoor environments. Most of the customers are city councils and local municipalities (i.e. government-backed). The contracts are often small (SEK 0.5m-5m), but generally last for 3-5 years. The business is divided into three segments: Sweden (56% of sales in '22), Norway (38%) and Finland and Baltic (5%).

Sustainability information

M&A execution, performance of acquired units post-acquisition, working capital discipline, contract/price calculations on undertaken projects, cost inflation, heightened competition on price in tender processes

SEKm 2024 2025e 2026e
Sales 6353 6371 6652
Sales growth (%) 9 0,3 4,4
EBITDA 801 867 932
EBITDA margin (%) 12,6 13,6 14
EBIT adj. 440 440 479
EBIT adj. margin (%) 6,9 6,9 7,2
Pretax profit 271 314 398
EPS 3,44 4,15 5,25
EPS growth (%) -9,1 20,5 26,7
EPS adj. 5,09 5,86 7
DPS 0 0 0
EV/EBITDA (x) 7,7 6,8 5,9
EV/EBIT adj. (x) 14 13,3 11,4
P/E (x) 18,8 15,6 12,3
P/E adj. (x) 12,7 11 9,2
EV/sales (x) 0,97 0,92 0,82
FCF yield (%) 5,6 12,9 16,3
Le. adj. FCF yld. (%) 0 7,2 10,3
Dividend yield (%) 0 0 0
Net IB debt/EBITDA (x) 3,1 2,5 1,9
Le. adj. ND/EBITDA (x) 2,8 2,2 1,5
SEKm 2024 2025e 2026e
Sales 6353 6371 6652
COGS -2829 -2444 -2860
Gross profit 3524 3927 3792
Other operating items -2723 -3060 -2860
EBITDA 801 867 932
Depreciation and amortisation -274 -305 -321
of which leasing depreciation -161 -170 -182
EBITA 527 562 611
EO Items -21 -4 0
Impairment and PPA amortisation -108 -126 -132
EBIT 419 436 479
Net financial items -148 -122 -81
Pretax profit 271 314 398
Tax -75 -79 -99
Net profit 197 236 298
Minority interest -1 0 0
Net profit discontinued 0 0 0
Net profit to shareholders 196 236 298
EPS 3,44 4,15 5,25
EPS adj. 5,09 5,86 7
Total extraordinary items after tax -15 -3 0
Leasing payments -161 -170 -182
Tax rate (%) 27,5 25,1 25
Gross margin (%) 55,5 61,6 57
EBITDA margin (%) 12,6 13,6 14
EBITA margin (%) 8,3 8,8 9,2
EBIT margin (%) 6,6 6,8 7,2
Pre-tax margin (%) 4,3 4,9 6
Net margin (%) 3,1 3,7 4,5
Sales growth (%) 9 0,3 4,4
EBITDA growth (%) 8,4 8,2 7,5
EBITA growth (%) 3,2 6,6 8,6
EBIT growth (%) 6,5 4,1 9,8
Net profit growth (%) -9 19,9 26,7
EPS growth (%) -9,1 20,5 26,7
Profitability N/A N/A N/A
ROE (%) 12,4 13,2 14,6
ROE adj. (%) 20,3 20,5 21
ROCE (%) 9,4 9,2 10,5
ROCE adj. (%) 12,3 12 13,4
ROIC (%) 9,8 10,2 11,4
ROIC adj. (%) 10,2 10,3 11,4
Adj. earnings numbers N/A N/A N/A
EBITDA adj. 822 871 932
EBITDA adj. margin (%) 12,9 13,7 14
EBITDA lease adj. 661 701 750
EBITDA lease adj. margin (%) 10,4 11 11,3
EBITA adj. 548 566 611
EBITA adj. margin (%) 8,6 8,9 9,2
EBIT adj. 440 440 479
EBIT adj. margin (%) 6,9 6,9 7,2
Pretax profit Adj. 400 444 530
Net profit Adj. 320 365 430
Net profit to shareholders adj. 319 365 430
Net adj. margin (%) 5 5,7 6,5
SEKm 2024 2025e 2026e
EBITDA 801 867 932
Goodwill 2192 2222 2222
Net financial items -148 -122 -81
Other intangible assets 564 450 326
Paid tax -94 -79 -99
Tangible fixed assets 469 464 451
Non-cash items -15 0 0
Right-of-use asset 722 762 800
Cash flow before change in WC 544 666 751
Total other fixed assets 0 0 0
Change in working capital 57 6 8
Fixed assets 3947 3898 3799
Operating cash flow 601 672 759
Inventories 87 87 91
Capex tangible fixed assets -67 -115 -126
Receivables 1083 1160 1164
Capex intangible fixed assets -1 -7 -8
Other current assets 235 287 266
Acquisitions and Disposals -327 -76 -26
Cash and liquid assets 688 552 531
Free cash flow 206 474 599
Total assets 6041 5984 5852
Dividend paid -6 0 0
Shareholders equity 1664 1900 2198
Share issues and buybacks -58 0 0
Minority 19 19 19
Leasing liability amortisation -206 -210 -220
Total equity 1683 1919 2217
Other non-cash items -364 26 26
Long-term debt 2149 1749 1349
Pension debt 0 0 0
Convertible debt 0 0 0
Leasing liability 635 635 635
Total other long-term liabilities 462 462 462
Short-term debt 364 338 312
Accounts payable 314 440 426
Other current liabilities 434 442 452
Total liabilities and equity 6041 5984 5852
Net IB debt 2460 2169 1764
Net IB debt excl. pension debt 2460 2169 1764
Net IB debt excl. leasing 1825 1534 1129
Capital employed 4831 4640 4513
Capital invested 4143 4088 3981
Working capital 658 652 644
Market cap. diluted (m) 3669 3669 3669
Net IB debt adj. 2460 2169 1764
Market value of minority 19 19 19
Reversal of shares and participations 0 0 0
Reversal of conv. debt assumed equity N/A N/A N/A
EV 6148 5857 5452
Total assets turnover (%) 111,4 106 112,4
Working capital/sales (%) 9,6 10,3 9,7
Financial risk and debt service N/A N/A N/A
Net debt/equity (%) 146,2 113,1 79,6
Net debt / market cap (%) 67 59,1 48,1
Equity ratio (%) 27,9 32,1 37,9
Net IB debt adj. / equity (%) 146,2 113,1 79,6
Current ratio 1,88 1,71 1,73
EBITDA/net interest 5,4 7,1 11,5
Net IB debt/EBITDA (x) 3,1 2,5 1,9
Net IB debt/EBITDA lease adj. (x) 2,8 2,2 1,5
Interest coverage 3,6 4,6 7,5
SEKm 2024 2025e 2026e
Shares outstanding adj. 57 57 57
Diluted shares adj. 57 57 57
EPS 3,44 4,15 5,25
Dividend per share 0 0 0
EPS adj. 5,09 5,86 7
BVPS 29,3 33,44 38,7
BVPS adj. -19,23 -13,6 -6,16
Net IB debt/share 43,31 38,19 31,06
Share price 64,6 64,6 64,6
Market cap. (m) 3669 3669 3669
P/E (x) 18,8 15,6 12,3
EV/sales (x) 0,97 0,92 0,82
EV/EBITDA (x) 7,7 6,8 5,9
EV/EBITA (x) 11,7 10,4 8,9
EV/EBIT (x) 14,7 13,4 11,4
Dividend yield (%) 0 0 0
FCF yield (%) 5,6 12,9 16,3
Le. adj. FCF yld. (%) 0 7,2 10,3
P/BVPS (x) 2,21 1,93 1,67
P/BVPS adj. (x) -3,36 -4,75 -10,48
P/E adj. (x) 12,7 11 9,2
EV/EBITDA adj. (x) 7,5 6,7 5,9
EV/EBITA adj. (x) 11,2 10,3 8,9
EV/EBIT adj. (x) 14 13,3 11,4
EV/CE (x) 1,3 1,3 1,2
Investment ratios N/A N/A N/A
Capex/sales (%) 1,1 1,9 2
Capex/depreciation 0,6 0,9 1
Capex tangibles / tangible fixed assets 14,3 24,7 28
Capex intangibles / definite intangibles 0,2 1,6 2,5
Depreciation on intang / def. intang 0 0 0
Depreciation on tangibles / tangibles 24,1 29,06 30,74

Equity research

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Media

Green Landscaping Group - Company presentation with CFO Marcus Holmström
Green Landscaping Group - Company presentation with Head of IR Magnus Larsson

Main shareholders - Green Landscaping Group

Main shareholders Share capital % Voting shares % Verified
Salén Group 17.0 % 17.0 % 27 Mar 2025
Byggmästare Anders J Ahlström Holding AB 16.1 % 16.1 % 27 Mar 2025
Johan Nordström 6.3 % 6.3 % 27 Mar 2025
Andra AP-fonden 5.9 % 5.9 % 27 Mar 2025
Handelsbanken Fonder 5.5 % 5.5 % 30 Apr 2025
Nordnet Pensionsförsäkring 4.1 % 4.1 % 27 Mar 2025
AFA Försäkring 4.0 % 4.0 % 27 Mar 2025
ODIN Fonder 3.2 % 3.2 % 30 Apr 2025
Peter Lindell 2.2 % 2.2 % 27 Mar 2025
Amiral Gestion 1.7 % 1.7 % 31 Oct 2024
Source: Holdings by Modular Finance AB