Byggmästare A J Ahlström H (AJA) Byggmästardagen 2025 summary

Strategic direction and investment model

• Focus on active ownership and long-term value creation, targeting companies with strong leadership and scalable business models in large markets, with no defined ownership horizon.

• Portfolio is concentrated, with disciplined principles emphasizing profitable growth, buy-and-build strategies, and a preference for companies valued between SEK 50–300m.

• Investment decisions are based on a 4-M model (Man, Market, Moat, Money), requiring a minimum 20% IRR and high scoring across criteria.

• Shifted to a situation-driven investment company (BM 3.0), now expanding and executing a new strategy (BM 4.0).

• High insider ownership, with 45% of capital held by the board, and approximately 2,000 shareholders as of Q3 2025.

Portfolio performance and financials

• Net asset value (NAV) CAGR of 10.4% since December 2014, with a 19x increase in original investment since 2013.

• Current holdings valued at 3.0x invested capital, delivering a 24% IRR overall; standout performers include Safe Life (54% IRR) and DP Patterning (73% IRR).

• Substantial value growth driven by two successful buy-and-builds, with significant potential in DP Patterning.

• Recent year saw NAV growth nearly offset by a decline in Green Landscaping, primarily due to lower EBITA and multiple contraction.

• Dividend of SEK 32 per share distributed in November, with a one-off dividend of SEK 233m and a buyback program of SEK 50m.

Portfolio developments and market outlook

• Divested part of Safe Life for SEK 525m, reducing its NAV share but retaining it as the largest holding.

• Increased investment in DP Patterning, now holding 75% after investing SEK 67m.

• Green Landscaping's market value drop attributed to EBITA decline and lower valuation multiples; now valued below historical average but maintains long-term growth prospects.

• Green Landscaping operates in a large, growing market driven by urbanization, sustainability, and outsourcing trends.

• Portfolio now consists of three core holdings and four additional investments, with ongoing evaluation of new opportunities.