Several trends indicate a greater need for service and installation over the coming years: Demand for energy efficiency is increasing and installations are growing in complexity. At the same time, significant public investment is being made in the Nordic region, including in infrastructure, health care and education
Bravida has significant risk diversification. Around half of the business consists of recurring service and maintenance work. With more than 55,000 customers, we aren’t dependent on any one assignment or project. Together, this provides a high degree of predictability and stability for sales
We have excellent growth prospects, but we don’t want to grow at any price. We only take on assignments with calculable risks and we always prioritise margins over growth. This generates results. We have grown organically in recent years, while also retaining profitability.
Bravida’s approach, the Bravida Way, is based on the important principle that each local branch is responsible for its own earnings. They are supported by Bravida’s groupwide tools and methods. Continual follow-up ensures that together we create a profitable business with good cash flow.
Our market in the Nordic region largely consists of lots of small companies, giving us a basis for long-term growth through acquisitions. We mainly acquire companies that complement our offering locally. Acquisitions also provide us with greater opportunities to achieve synergies in the business.
Bravida’s cash conversion has remained stable for many years. One of Bravida’s financial targets is to distribute at least 50 percent of net profit as dividends to shareholders. The dividend has increased by an average of 26 percent a year since the IPO in 2015.
*12-month cash conversion = 12-month EBITDA +/- change in working capital and investments in machinery and equipment in relation to EBIT.
Read more - Risks and uncertainties for Bravida