Zaandam, March 22, 2023

Results 2022 Timber and Building Supplies Holland NV

Results lower than last year

• Turnover increase of 6,8% to € 1.027 million (2021: € 962 million)

• Cost increase (excluding special items) 13% compared to 2021

• Operating result excluding exceptional items €88 million (2021: €132 million)

• Result after tax €67 million (2021: €99 million)

• Result per share €10,56 (2021: €15,70)

• Dividend proposal per share €3,95 (2021: €4,75)

René Olsthoorn, CEO of Timber and Building Supplies Holland:
“The year 2022 will go down in our books as the year after the peak year of 2021. The higher sales prices have led to higher turnover figures, but the underlying volumes were clearly less good. In addition, there were no one-off margin-boosting effects in 2022, in the way we saw in 2021. The frenzy in the market continued for a variety of reasons: sharply rising, but in some product groups also sharply falling, prices of materials, sharply rising prices of labor and certainly energy, which have fueled inflation. This is noticeable on several cost lines of TABS Holland. This concern is also reflected in discussions with customers, because inflation, especially in combination with rising interest rates, puts a brake on investments and therefore on new construction projects (both large and small).

Finally, the war in Ukraine and the import restrictions imposed on Russia and Belarus have led to new disruptions to supply chains. And even though the availability of materials in 2022 was clearly better than the year before, there were still several challenges.
All this means that there were both stimulating and inhibiting effects in the market, as can also be read in the most recent report from the Economic Institute for Construction (EIB).”

TABS Holland ended the year with a satisfactory operating result. Purchasing prices have also been very volatile in 2022. While there were mainly price increases in 2021, this was not the case in 2022. Some products fell in price, while others rose (especially those whose production process is energy intensive). As a result, lying stocks became less valuable for some product groups, while the reverse was the case for other product groups. In total, the effect of this on the result in 2022 is small, while it was material in 2021, as explained earlier.

This year too, it was hard work to continue to serve customers well in the challenging circumstances. We are therefore proud of the way in which all TABS Holland employees have committed themselves and the results that we have achieved together with customers and suppliers.

The EIB's report of last January expects total construction production to decline by approximately 2023% in 2. There is talk of a 'gloomy picture' and 'a minus for the coming years'. This picture is not the same for every sub-segment: new residential construction, the utility sector and civil engineering is expected to decline, while renovation and conversion of both homes and the utility sector can generate growth see, especially as a result of the need for sustainability. The EIB also indicates that the uncertainties in these forecasts are greater than usual.

For the longer term, expectations remain positive, because the underlying need for construction is generally good.

We closely monitor developments, but above all we continue our strategic line: putting the customer first, paying attention to the little ones, working hard and acting as a real partner for customers and suppliers through an extensive range, good knowledge and service.

In 2015, the PontMeyer and Deli Building Supplies companies merged into Timber and Building Supplies Holland NV (TABS Holland). At the beginning of 2022, Hormes Building Materials, Houthandel Looijmans and Withagen Houtprodukten were acquired, and later in the year Alex van Gruijthuijsen. KoningsBlaauw Houthandel was added to the group at the beginning of 2023. By making use of the possibilities that the company has available throughout TABS Holland through the combination of trading companies and wholesalers, the best systems and best practices, the companies offer the customer maximum service.”

Explanation of the results
TABS Holland's turnover increased to €1.027 million (2021: €962 million) and the operating result before exceptional items to €88 million (2021: €132 million). The result after tax was €67 million (2021: €99 million). The damage that the TABS Holland companies suffered due to bankruptcies was small, just like last year.

The number of FTEs increased from 1.624 to 1.708 due to increased demand and strategic investments. On the one hand, costs have increased as a result of the increase in turnover, logistical movements that were necessary to maintain availability, various price increases in the market (such as energy), collective labor agreement increases, but also as a result of the acquisitions.

In addition to the acquisitions, significant investments were also made in the company in 2022, through improvements to branches and distribution centers, investments in production facilities, various E-commerce platforms, solar panels and various ICT projects. The balance sheet has become longer compared to last year, both as a result of the acquisitions and the higher value of the working capital, in which inventory in particular has a higher value.

dividend
Dividends of €2021 per share were paid out for 4,75, partly as a result of the exceptionally good result. The proposal is to pay out a dividend of €2022 per share for 3,95, the same as for 2020.

Profile
TABS Holland is a leading supplier of wood and building materials on the Dutch market for new construction, renovation and maintenance. Thanks to the customer-oriented approach, the complete range and the high level of service, TABS Holland is the partner for the construction industry in the Netherlands.

The activities of TABS Holland consist of fourteen different companies:

  • the national timber and building materials traders PontMeyer with 48 branches, Koninklijke Jongeneel with 42 branches and Hormes Bouwmaterials, Alex van Gruijthuijsen and Houthandel Looijmans with one branch each;
  • and the importers/wholesalers Heuvelman Hout (two locations), KoningsBlaauw Houthandel, RET Bouwproducten, Hillegersbergsche Gevelproducten (HGPro), Centrop Houtimport, Withagen Houtprodukten, Trima, Houthandel Van Dam, and Astrimex (three locations).

For further information:
René Olsthoorn (CEO) and René van 't Hof (CFO), telephone: 075 – 6536 234