INVESTMENT CASE
Byggmax Group has a strong brand and an established low-price concept with a presence in four Nordic markets. Byggmax Group works on the basis of a simple and cost-effective operational model. We offer a wide range of DIY products through a well-developed omni-channel offering with a well thought-out online site and an extensive store network. The strong cash flow puts the company in a good position for dividends and growth investments.
1. CLEAR LOW-PRICE POSITION
A strong low-price position requires not just a low price but also a good customer experience. A good customer experience with a relevant product range, clear and accessible product information, flexible delivery options, professional customer care and a genuine commitment to sustainability. Keeping prices low also requires low overheads; and Byggmax Group has the lowest operating costs in the industry.
We have a simple efficient operational model with low administration, a limited store range with economies of scale in logistics and purchasing combined with centralised support functions.
2. STRONG ONLINE SALES COMBINED WITH A WIDESPREAD STORE NETWORK
Byggmax Group has a successful online shopping concept that offers a wide range of products for home improvement projects. Our e-commerce has good interaction with the stores. This provides customers with a flexible and convenient shopping experience wherever, whenever and however they wish to shop.
Byggmax Group continuously develops new ways to meet customer wishes in terms of product range and product information as well as different delivery options. The possibility for customers to collect online purchases in store remains a popular delivery option for online shopping.
3. CASH FLOW ENABLES ORGANIC GROWTH AND DIVIDEND
The Group's balance sheet, combined with a strong cash flow from operating activities, provides the opportunity for investment in growth and scope for dividends to shareholders. Byggmax is mainly investing in new stores, store upgrades and improvements and personalisation of the company's e-commerce site.
The cumulative cash flow from operating activities over the last three years amounts to SEK 2.1 billion.