Thank you, welcome. If we start at page three, highlights of the Q2 of 2022. We had an increased sale, 14% up to SEK 724 million. We had an EBITDA amounted to SEK 132 million, up from SEK 113 million. The margin increased up to 18.2%, the EBITDA margin, I should say, from 17.8%. We have an order book of slightly above 1 billion, and that is compared then to SEK 731 million before. Important to note here maybe is that, due to some disturbances in our supply chain, especially the outboard engines, we then of course bring with us an order book of roughly 100 million Swedish crowns from that.
Next step, this is a big thing for us, of course, the next step taken in North America. We have done some key recruitments. Our Vice President in the U.S. his name is Justin Joyner, and he has actually done for the last 10 years for one of our competitors in the industry, the same that we want to do in North America from the Nimbus Group perspective. Also important to know is that this was planned for the autumn, already autumn 2020. Due to the pandemic, we had to put that plan on ice. Now then we are happy then to actually then take up this thread again and start our journey in North America.
I have already mentioned the supply chain. What we can say is that we see a continuous improvement. We have seen that for a while now. We divide our purchasing to different categories, and that could be stainless steel, interior, electronics, and then of course, engines. Actually, we have had a very good progress in all the other categories, but what is still putting some stress on our deliveries is actually the outboard engines. Of course, we work closely with our suppliers, and what we can see for the future is that somewhere during the autumn, we will most likely balance this situation.
Still, it is a kind of a messy situation in the supply chain because of this. We have finalized during the quarter the sale and leaseback arrangement of the Lugnås property. Also important, then, of course, gives us some money to spend on our investments, among other things, of course, the North American investment. It's also an important step for us. This is one of our strategies to be asset-light. We don't need to own our factories. It's absolutely okay then to rent them and then to use the money in the right places then. We have also announced our new Aquador series, and also this is an important step.
Aquador is second in size in our product portfolio, the second brand. It has an enormous installed base, especially in the Nordic countries. Important to mention is that this is, of course, developed for the global market. We will introduce that Aquador also in other markets with these new models. If we switch the page to number 4, short reminder what is Nimbus Group. We were founded in 1968. We have a long history of international sales and trade. We have our true house of brands. Again, I have mentioned that before, but we do it for the dealers. We want to be a big part of the dealers' business.
We have our well-known Scandinavian brands, and actually then we have a very high brand awareness, and this also goes for the global picture. In February 2021, listed then on Nasdaq First North. May 2021, we did our acquisition then of Marine Store, biggest dealer network in Sweden. In February 2022, we also bought a Norwegian dealer, successful Norwegian dealer, Herholdt Andersen. That is a milestone for us, that we now start our journey into Norway. We sell quite a lot of boats in Norway, but Norway is an important market, and we have a feeling that we underperform in Norway, so we want to change that picture. This is then the first step on that journey.
As I said before, we have now our own establishment in North America from June, actually then, and this will then be really interesting to follow for the future. If we then switch to page five, shortly, we live now under uncertain conditions, you may say. We have a geopolitical situation then with, for example, then war in Ukraine. We also see that the inflation is on a very high levels. Important then to bring with you is that, already from you can say 2012, 2013, in our strategic plans, we said that we want this asset-light production platform. We're talking about the flexible production and things like that. Today we produce them in eight places where we buy complete boats.
Four of them is by our own and four of them is outsourced then, and that is on the left side of this picture. In the middle, you see exactly what I was talking about. We're talking about scaling up and of course then scaling down. We want to have a high share of variable costs in our business. It's a slightly higher cost, but from a risk management perspective, of course, good, no doubt about that. On the right side, we see the philosophy behind not only production efficiency but also the product development, which is the first step of this.
It gives us a more efficient production, it gives us a higher quality, and it actually also gives us a bargaining power that we then can gain from. If we switch to page two, number six, and this is also, you can say a reminder, I used to talk about this, but when we have this uncertain picture I was talking about before, it's also important to actually understand that if we look at the overall wealth, for example, we see a tremendous development from 2020, for example, I usually use that as an example. We actually then have 2.5 times more money to spend. Where do we spend this money? We spent a lot of them actually then to have our recreational time as high quality as possible.
This staycation trend that I'm talking about then is, that is an underlying trend. It started then well before the pandemic, and I think it's, even if we now have pandemic, a new wave, so to say, we still can say that, okay, we're through the, pandemic situation, as we know it from 2020 and 2021. We can also then clearly see that this outdoor trend continues and that people want to have this high quality, recreational time then. We also tend to spend, a lot of this money then, or a big part of this money closer to our homes. Aging boat fleet, North America, important for us. 46% of the North American fleet is actually then older than 20 years.
If we combine that with the fourth fundamental driver, the technical development, of course, a boat that we launch today is environmental friendly, it is more efficient, not only to drive, but also to be an owner of. We have focused a lot then from the industry and also from the industry group in what we call the in-water handling and the easy boating. This then together gives a less stressful journey for not only for the captain of the boat, but also then for the passengers. If you combine the aging boat fleet and the technical development, we have still a lot to do, from that point of view.
If we then switch page to number 7, sort of our order book, if we compare then the order book we have today, Q2 2022, with the Q2 2021, we have then an increase of 45%. I think it's important to keep in mind then that 2021 was a really good year. Still, it's actually then increasing, and despite the environment I was talking about earlier here. The prepayment amounted then in this order book to 11% at the moment. Actually then, not all orders confirmed due to still then capacity restraints.
We don't have enough capacity yet to actually then deliver to all the customers out there that wants to have a boat from our product portfolio. With that, I actually then leave the word to Rasmus.
Thank you, Jan-Erik Lindström. We flip to page 8. We continue to see a strong sales increase in Europe and on other markets. Europe increased by 48% and other markets with 107%, even if it is from still quite low levels. Both Sweden and Nordics are slightly below last year because of the engine disturbances when excluding acquisitions. The total value of sold boats that Jan-Erik Lindström mentioned before that is still in stock but missing an engine was about SEK 100 million, and most of these boats were intended for Sweden and the Nordics. Page nine, please. Net sales in the quarter amounted to SEK 725 million compared with SEK 633 million last year, which is an increase by 14%. The organic growth was 13%.
The LTM sales amount to 1,637 million SEK, which is an increase by 6% from the Q1 and 13% from full year 2021. Sales by own dealers represented 58% of the revenues, which is lower than last year. The reason for this is mostly referring to those missing engines. Page number 10, please. The EBITDA margin in the quarter increased to 18.2% compared with 17.8% last year. The gross margin is 1% lower than last year and amounted to 22.2%. This is caused by a product mix effect with higher share of sales coming from external brands and fewer boats that has double margin effects. As mentioned before, both Marine Store and Herholdt Andersen has only sold external brands so far.
The reason for this is that we have not been able to provide them with our own brands because of the high demand from other dealers and other markets. For future, we do see a possibility to add own brands as a complement to their present portfolios, which will then increase the margins. Overall, the gross margin effect has been compensated by operating leverage in operating costs, which has decreased from 5.7% to 4.3%. On LTM basis, the EBITDA amounted to SEK 186 million, representing an EBITDA margin of 11.4%, which is in line with full year 2021. If we flip to page 11, please. Net working capital amounted to SEK 159 million, which is SEK 100 million less than in the Q1 .
Net working capital in relation to LTM sales was 9.7%, which is a good figure considering their inventory circumstances with temporarily increased stock levels. From a historical perspective, we continue to see a positive net working capital development when having in mind that the business today has expanded by 77% since full year 2020 in terms of sales. Two significant cash flow transactions are noted in the quarter. Firstly, finalizing payment of Herholdt Andersen acquisition with SEK 90 million, as Jan-Erik Lindström described. Secondly, sale of the Mariehamn property with a net positive effect of +SEK 67 million after repaid loans and transition costs. If we flip to page 12, please. This slide shows our financial targets and comparison with actual figures.
We say that we should have an organic growth of plus 10% over business cycle, including acquisitions of dealers but not brands. Compared with full year 2021, the growth was plus 13% as per the Q2 .
With
EBITDA margin reaching 10% in a medium term, and the actual figure is 11.4%. Regarding our capital structure, we should have no senior debts except for real estate-related debts. In the Q2 , repayment of the Lugnås factory loan was made with SEK 14 million, and as before, no other financial debts except for real estate debts exists. We also have a dividend policy to pay out up to 30% of net earnings taken into account financial position, cash flow, and growth opportunities of the company. I hand over to Jan-Erik Lindström again.
Thank you, Rasmus. Okay. Then back to our maybe biggest growth potential, the North American wave, as we call it. This is a picture from the IPO, and we have slightly updated it. If you look at the picture of U.S., actually in this case, U.S. is not, as you all know, the only part of North America. If we have added Canada, we have actually seen a couple of dealers also there, and that is an interesting market for us. But as you can see in U.S., the number of dealers has increased quite a lot.
You should also then bear in mind that we couldn't take on more dealers during the pandemic years because as Rasmus pointed out earlier here, we simply didn't have the boats to deliver to them. That is something that we see for the near future that we can change then. If we look at the key enablers for 2022 then, we have then our local organization established, important. It's a real-time set up, so to say, with the technical expertise and things like that to support the dealer network. We have then the office itself in Annapolis, in Maryland. The key recruitment, important. The Vice President, Justin Joyner, experienced, really experienced guy from our industry.
We have, as we see it, an attractive product portfolio, and that is actually then ready for the market introduction. Among other things, we have chose then to go first with the Nimbus brand, and they have done it tremendously, of course. Today, Paragon is present and also Alukin, but we still then have to introduce both Aquador and Flipper. Lately then, we have then contracted several new dealers, and it's more to come. If you look at the market itself, it is the world's single largest motorboat market. It's roughly then actually 50%. I was talking about the aging fleet.
Same, you can say the same situation as we more or less see in the Nordic countries with 46% being built before the year 2000. We are well below the record still, and important now to point out that we are talking about our addressable market. But it's still a lot of headroom between the record figures and what we see today. Well-suited for the Nimbus Group products from a lot of perspectives, but the price point, it's a premium pricing. The technical level is then on a level that is very comfortable for us, et cetera. With that, I leave the word to Gunilla.
Yes. Thank you. I just wanted to update the ownership, which has been very stable since our IPO in February last year. There's been some increase by Odin Fonder, but the entry of Mandarine Gestion as the fifteenth, but the rest is very stable and with a growing number of shareholders, which is very nice. I hand it back to you, Jan-Erik.
Yes. Then it's more or less time for me to say thank you. We have our financial calendar. The Q3 report will then be presented the ninth of November and the Q4 report for 2022 then in the seventh of February 2023. With that, I leave back to the administrator for questions, possibly.
Thank you. We will now begin the question and answer session. To ask a question, you may press star then one on your telephone keypad. If you're using speakerphone, please pick up your handset before pressing the keys. If at any time your question has been addressed and you would like to withdraw your question, please press star then two. At this time, we will pause momentarily to assemble our roster. Our first question is from the line of Gustaf Östberg from Carnegie. Please go ahead.
Thank you, operator, and good morning, Jan-Erik and Rasmus. A couple of questions from my side here. Firstly, on the strong profitability in the quarter, you know, normally you would expect to see some dilutive effects on the margin from non-integrated dealers. I was just wondering what's driving sort of the strong underlying profitability or are there any other effects to take into account in Q2?
I think it's the same picture as we have seen before. From our perspective, there's not really nothing new here. It is a mix effect, of course, in products, that affects. But we don't really see any changes in what we in comparison to what we have seen before.
The change in product that Rasmus is talking about is that it's more of the new developed products where we have a higher margin. They're taking a bigger share of the sales today.
Mm.
Also, the product portfolio itself, so to say, the premium part of it is increasing then, slightly bigger boats, et cetera, et cetera.
Got it. Just, are you producing max capacity on the WTC series, or is it, or is there still room to improve the mix further?
We have taken some steps there. Today it's maximum capacity, no doubt. It's actually that we wish to have more capacity, but we're taking some steps for next year then. We will, for example, increase the capacity on the smaller WTC, and they are not that small, but in the series they are slightly smaller. We will have more capacity to produce in Finland, for example, where we then build the 8-meter, and also the 9-meter will have some possibilities then in Poland.
that will also allow for shipping to the U.S., or is that purely for the sort of home markets?
That will allow us to ship to U.S., but of course it's an important question you address there. During the pandemic, we have, of course, sourced the U.S. market for production capacity. They have a similar picture as we have, so it's not that easy. That is something then to, of course, bear with us that maybe at least a couple of models should then actually be produced in U.S. Nothing signed yet. It's a part of our ongoing business, so to say, to source. It is also for the U.S. market that we are talking about the capacity then that I initially talked about.
Got it. Thank you very much. Yes, just a quick note on sort of the OPEX levels. I see that selling costs are down by roughly SEK 9 million year-over-year in Q2. Is that sort of just the timing effect of where those costs fall in the quarter, and the full year should be relatively similar or are there any sort of level changes there to keep in mind going forward?
I'm thinking of that it's actually both that you mentioned. Of course, there is a bit of positive timing effect here since if I mention here old standards and like for instance, that we have had most of the revenues on the H1 of this year. Of course, we will have costs coming up in the autumn. We see the trend that we have seen before, that as we become bigger, our OPEX does not develop in the same way as our revenues does. We see scale advantages in OPEX. That is actually part of our plan. The OPEX effect becomes even clear as we become bigger.
We have seen that for some years now.
All right. Thank you very much. Following up with a question on demand. If I just do a very quick calculation looking at the changes in the order book and the reported sales in the quarter, it appears that implied the order intake sort of is roughly flat year-on-year, meaning that demand is still at a pretty high level. Is that sort of observation correct, what you see sort of looking at the market today?
Yes. Yes, I should say, you are correct. I had a call this morning, and then it's important to understand that our core business from the Nimbus Group point of view is then of course the premium portfolio, so to say, the premium part of our brand portfolio. That is still then doing well or even extremely well since we don't have enough capacity. The other part of the order book, the smaller boats, it's harder to see through that. It's not an important part of our business, but still it is a part of our business.
The answer to that we will not know until maybe after the vacations at the end of August, beginning of September, because that's the way the business looks for us, the business model, so to say. That is still to be proved, so to say, what will happen there. What we see, it's a bit slower in the showrooms on the smaller boats than.
Got it. Just to sort of how is that reflected in your order intake, are those orders sort of in for out orders where you get the order and can deliver within the quarter, or are those orders that will sort of stay one or Q2 in the order book before delivery?
As a quite big part of it is, you can say then inventory inside a quarter then. A big part is inventory, but it will also be visible, the boats that we will deliver during the spring 2023 will then start to be a part of our order book.
Perfect. Just a final question from my side on the supply chain constraints. You mentioned the roughly SEK 100 million impact in Q2, sort of seeing that roll over into Q3, in terms of deliveries. Do you have any update sort of on the intra-quarter development there? Is it sort of easing towards the end of the quarter? Is it virtually unchanged?
I'm thinking it's a bit too early to say at this point exactly where this will take place. We are not that far into the Q3 yet to be able to tell that. During autumn, we can say. Things need to be a bit more clear than what it is today.
What we can see is that this development of the order book, because again, compare it with the similar quarter last year, which was a very good year, it's still then is 44% bigger. That is for us then of course a good sign. New boats is selling or new models are selling and we have now introduced, for example, the new Aquador series. It's not possible to put an order on two of them. Sorry, one of them, but you can put an order on two of them. That of course pushes the order book a bit now late in the quarter. Yeah. I don't know if that's an answer for you.
No, no, that's a good clarification.
Yeah. What's one thing to mention? I don't know if I did that during this call, but I did this morning, is that we actually then canceled a part of our order book, and that is roughly the same figure as we were talking about, because of the engine shortage, when we took the decision that it's not a good thing to produce these boats because they would be standing on our yards around Europe then, without an engine. That is not-
Just to follow up, that means sort of from a technical standpoint that is not reported in the order book, but it's still an order from the customer, right?
Yes, it was in the order book, but we canceled it from the order book, and now we are waiting for the customer that you can say then hopefully he will put in the order again, but with model year 2023 instead. That is so to say what we expect. Let's see. As Rasmus said, we don't see it really until the autumn, so to say, when they are putting the orders on that type of boats or that signal.
Maybe I can clarify also that those smaller boats is different of course compared with bigger boats where you have a more defined boat, a pre-ordered boat, that particular boat with that particular equipment. That is a bit different compared with those smaller standard boats that can more easily be, you can easily take another one, so to say, instead of those more defined order boats.
Yeah. Perfect. All right. That's all questions from my side. Thank you very much.
Mm-hmm. Thank you.
Thank you.
Thank you.
Thank you. As there are no further questions in the queue, I would now like to turn the conference back over to Jan-Erik Lindström.
Okay. Again, thank you for joining in, and have a nice summer. We'll see you next quarter and the 9 November again, Q3 report. Thank you.
Thank you.