Annual General Meeting Fiscal Year 2013

Transcription

1 Annual General Meeting Fiscal Year 2013 Oberhausen, April 16, 2014 Check against delivery. GEA Group Aktiengesellschaft

2 Performance of GEA Group 2 Annual General Meeting Fiscal Year 2013

3 Highlights of the fiscal year 2013 Increase in order intake (excl. HX): +6.8 % yoy - organic Increase in sales (excl. HX): +6.5 % yoy - organic Operating Results Operating EBITDA: EUR 701 million Record operating EBIT margin (excl. HX): 10.6 % Cash flow drivers: 9.4 % of sales Significant reduction in net debt GEA 2020 strategy elaborated Strategy Decision to separate from the GEA Heat Exchangers Segment (HX) HX reported under discontinued operations since 12/31/ Annual General Meeting Fiscal Year 2013

4 GEA achieved targets (1) (EUR million) Order Intake Sales 5,901 HX * 4, % +6.8% 6,223 6,093 4,727 4,628 5,720 5,898 5, % HX +6.5% 4,142 4,410 4, Organic 2013 adjusted 2013 reported 2013 reported w/o HX Organic 2013 adjusted 2013 reported 2013 reported w/ohx * GEA Heat Exchangers = HX 4 Annual General Meeting Fiscal Year 2013

5 GEA achieved targets (2) (EUR million) Operating EBITDA Cash-Flow-Driver-Margin (incl. HX) 9.4% 662 HX % +9.2% % Organic 2013 adjusted 2013 reported 2013 reported w/o HX 2012 EBITDA Reduction CAPEX Reduction WC Annual General Meeting Fiscal Year 2013

6 GEA fiscal year 2013 (EUR million) Cash-Flow-Driver Net Debt % % Cash-Flow-Driver-Margin: EBITDA Capex +/- Working Capital (LTM*) Sales Divided (Proposal) * Last 12 months 6 Annual General Meeting Fiscal Year

7 Performance by segment GEA Food Solutions GEA Farm Technologies GEA Mechanical Equipment GEA Process Engineering GEA Refrigeration Technologies Sales increased by 6.5% (organic) Positive operating EBITDA (EUR 3.8 million) Steady sales Operating EBITDA margin nearly on par with prior-year level Sales increased by 6.5% (organic) Record EBITDA of EUR 211 million Sales increased by 7.5% (organic) Record operating EBITDA margin (11.3%) Sales increased by 9.1% (organic) Record operating EBITDA margin (9.6%) 7 Annual General Meeting Fiscal Year 2013

8 Order intake * (EUR million) +5% 4, % +2% +5% 4, ,018 GEA Food Solutions GEA Farm Technologies 1, % 2, % GEA Mechanical Equipment GEA Process Engineering GEA Refrigeration Technologies * Continued operations 8 Annual General Meeting Fiscal Year 2013

9 Sales * (EUR million) +4% 4,142 4, % -1% GEA Food Solutions % 978 GEA Farm Technologies 1,716 +5% 1, % GEA Mechanical Equipment GEA Process Engineering GEA Refrigeration Technologies * Continued operations 9 Annual General Meeting Fiscal Year 2013

10 Sales * by customer industry Food/Beverages Dairy 6% 7% 3% 5% 3% 4% Sales 2013 EUR 4,320 million 35% 72% Beverages Solid food Pharma Chemical Climate & Environment 23% 14% Oil & Gas Marine Others * Continued operations 10 Annual General Meeting Fiscal Year 2013

11 Regional sales 1 split Top-3-Countries USA 16% abs.: +0% YoY China 10% abs.: +10% YoY Germany 9% abs.: +10% YoY 9% 7% 5% 4% Sales 2013 EUR 4,320 million 34% Western Europe Asia/Pacific North America Eastern Europe 17% Latin America Emerging markets 2 exposure: 40% abs.: +5% YoY *) 25% 1 continued operations 2 According to the definition of emerging/developing economies by International Monetary Funddenen 17 für GEA relevant sind Middle East Africa 11 Annual General Meeting Fiscal Year 2013

12 Development service business * Change in service sales FY 2013 yoy: +3.5% to a total of EUR 1,153m Share of service sales FY 2013: 26.7 % (FY 2012: 26.9 %) (EUR million) 1,114 1,153 +4% * Continued operations Annual General Meeting Fiscal Year 2013

13 Operating EBITDA * (EUR million) +7% % GEA Food Solutions % 211 GEA Farm Technologies GEA Mechanical Equipment % 203 GEA Process Engineering 65 +9% GEA Refrigeration Technologies * Continued operations 13 Annual General Meeting Fiscal Year 2013

14 Development operating EBITDA-Margin 1 (EUR million) (% of Sales) 6,000 5, % 10.5% 12.3% 11.9% 12.3% 14% 12% 4, % 10% 8% 3,000 2,000 1,000 3,353 2,814 2,963 3,828 4,142 4,320 6% 4% 2% % 1 Continued operations 2 before purchase price allocation and restructuring 3 before purchase price allocation 4 before purchase price allocation and non-recurring items Sales Operating EBITDA-Margin 14 Annual General Meeting Fiscal Year 2013

15 Working Capital Development * (EUR million) Working Capital / Sales ratio stabilised on low level % 14.4% 13.4% 12.4% bps 11.6% 11.3% 11.0% 11.3% 11.4% 12.1% 12.8% 12.9% 12.7% 12.2% 11.9% 11.7% 11.7% 18% 16% 14% 12% % 8% 6% 4% 2% 0 Q4 09 Q1 10 Q2 10 Q3 10 Q4 10 Q1 11 Q2 11 Q3 11 Q4 11 Q1 12 Q2 12 Q3 12 Q4 12 Q1 13 Q2 13 Q3 13 Q4 13 0% * Continued operations Working Capital Working Capital (average LTM) as % of sales (LTM) 15 Annual General Meeting Fiscal Year 2013

16 Net Liquidity Reconciliation (EUR million) Cash generation LTM: EUR ~320m Net Debt 12/31/2012 EBITDA Delta Working Capital CAPEX Taxes / Interests / Others Net Debt bef. DOP, M&A and Dividend Discontinued Operations Effect from Acquisitions 2 Δ Incl. HX 2 w/o HX Dividend Net Debt 12/31/ Annual General Meeting Fiscal Year 2013

17 Cash Flow Driver Margin Development * (EUR million) % 9.0% 9.6% 10% 9% EBITDA Capex Δ Working Capital Cash Flow Driver % 8% % 4.3% 4.6% 5.0% % 6% 5% 4% 3% % 1% % Q1 12 Q2 12 Q3 12 Q4 12 Q1 13 Q2 13 Q3 13 Q4 13 Cash-Flow-Driver (LTM) Cash-Flow-Driver-Marge (LTM) * Continued operations 17 Annual General Meeting Fiscal Year 2013 Ø WC 2012 Ø WC 2013

18 Worldwide employees * of GEA Group 17% 11% 1% Western Europe 4% 2% 2% Asia/Pacific Employees ,750 +3% 63% North America Eastern Europe Latin America 11,230 3,069 1, Africa 361 Middle East 66 * Full-time equivalents (FTE) excluding vocational trainees and inactive employment contracts 18 Annual General Meeting Fiscal Year 2013

19 GEA That s all of us! 19 Annual General Meeting Fiscal Year 2013

20 Development GEA Heat Exchangers (EUR million) Order intake 1, ,509.8 Order backlog * Sales 1, ,608.8 Operating EBITDA as % of sales EBITDA Operating EBIT as % of sales EBIT Employees * 7,201 7,329 * As of reporting date 20 Annual General Meeting Fiscal Year 2013

21 Comparison of net assets (2013 v. 2012) * (EUR million) * Amounts adjusted due to first time classification of a business area as discontinued operation and due to change in accounting policy for employee benefits 21 Annual General Meeting Fiscal Year 2013

22 Financial liabilities main cash credit lines (EUR million) 2,000 1,800 1,600 1,400 1,200 1, As of 12/31/ Extension of debt maturity profile by concluding agreement on a new syndicated credit facility Scheduled redemption and repayment in the amount of EUR 89m in Annual General Meeting Fiscal Year 2013

23 GEA Share 2013 appreciably better than benchmark Total Shareholder Return (TSR) 2013 at +44.5% 150% GEA Group MDAX STOXX Europe TMI Industrial Engineering 140% 130% 120% GEA (TSR) = +44.5% 110% 100% 90% Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 23 Annual General Meeting Fiscal Year 2013

24 GEA* vs. STOXX Europe TMI Industrial Engineering Share development Market capitalization Last 3 months percentage points Last 6 months percentage points Last 12 months percentage points Last 24 months percentage points Last 36 months percentage points * Balance sheet date (12/31/2013) 24 Annual General Meeting Fiscal Year 2013

25 Earnings per share (EUR) % Proposed dividend: 0.60 EUR per share (paid from the tax contribution account (section 27 of the Körperschaftsteuergesetz (KStG German Corporate Income Tax Act)) 25 Annual General Meeting Fiscal Year 2013

26 Dividend payments 1 and -proposal (EUR million) (in EUR) Dividend payments respectively for the preceding fiscal year 2 On basis of dividend proposal 26 Annual General Meeting Fiscal Year 2013 Dividend payment Dividend per Share in EUR

27 Agenda 27 Annual General Meeting Fiscal Year 2013

28 Annual General Meeting: Agenda (1/2) 1. Annual Financial Statements, Management Report & Report of the Supervisory Board 2. Appropriation of Net Earnings 3. Ratification of the Acts of the Executive Board in the 2013 Fiscal Year 4. Ratification of the Acts of the Supervisory Board in the 2013 Fiscal Year 5. Election of the Auditor for the 2014 Fiscal Year 6. Cancellation of Authorized Capital III in accordance with s. 4 para. 5 of the Articles of Association, Creation of new Authorized Capital III and Authorization to decide on the Exclusion of Shareholders Subscription Rights, and the corresponding Amendment to s. 4 para. 5 of the Articles of Association 28 Annual General Meeting Fiscal Year 2013

29 Annual General Meeting: Agenda (2/2) 7. Approval of the Amendment to existing Domination and Profit & Loss Transfer Agreements concluded between GEA Group Aktiengesellschaft and various subsidiaries 8. Approval of the Amendment and Revision of existing Domination and Profit & Loss Transfer Agreements concluded between GEA Group Aktiengesellschaft and various subsidiaries 9. Approval of the Amendment and Revision of existing Profit & Loss Transfer Agreements concluded between GEA Group Aktiengesellschaft and various subsidiaries 29 Annual General Meeting Fiscal Year 2013

30 GEA Annual General Meeting Fiscal Year 2013

31 Structured strategic realignment Technology & Competence Mapping Long-term strategic direction Comprehensive portfolio analysis of all GEA BUs HX Divestment Application Strategy Analysis of >30 applications and selected technologies GEA Fit for Annual General Meeting Fiscal Year 2013

32 Target Footprint 2020 with focus on food Clear growth path in target applications Sales exposure 2020 Grow market position in milk production, dairy & liquid food processing Expand presence in animal proteins, renewable foods* & packaging Maintain growth in demanding non-food industries = Well-balanced application & customer portfolio % 75% Food Non-Food Organic growth and acquisitions * e.g. edible oils or starch 32 Annual General Meeting Fiscal Year 2013

33 Divestment of GEA Heat Exchangers GEA Food Solutions GEA Farm Technologies GEA Heat Exchangers GEA Mechanical Equipment GEA Process Engineering GEA Refrigeration Technologies Bowl Choppers Milking & Cooling Finned, Shell & Tube Separators Spray Drying Compressors Spiral Cookers Cooling Towers Decanters Aseptic Filling Packages and Skids Slicers Farm Services Plate Heat Exchangers Homogenizers Brewery & Dairy Systems Ice Machines Thermoformers Farm Equipment HVAC Systems ) Valves Pharma Systems Freezers 33 Annual General Meeting Fiscal Year 2013

34 Consolidation of current Group Structure GEA Food Solutions GEA Farm Technologies GEA Heat Exchangers GEA Mechanical Equipment GEA Process Engineering GEA Refrigeration Technologies Bowl Choppers Milking & Cooling Finned, Shell & Tube Separators Spray Drying Compressors Spiral Cookers Cooling Towers Decanters Aseptic Filling Packages and Skids Slicers Farm Services Plate Heat Exchangers Homogenizers Brewery & Dairy Systems Ice Machines Thermoformers Farm Equipment HVAC Systems ) Valves Pharma Systems Freezers 34 Annual General Meeting Fiscal Year 2013

35 Current Group Structure GEA Farm Technologies GEA Mechanical Equipment GEA Process Engineering GEA Refrigeration Technologies Milking & Cooling Mechanical Separation Spray Drying Compressors Food Solutions Aseptic Filling Packages and Skids Farm Services Homogenizers Brewery & Dairy Systems Ice Machines Farm Equipment Valves Pharma Systems Freezers 35 Annual General Meeting Fiscal Year 2013

36 Adjustment of customer industries End market customer industry Share of sales * Dairy Farming 13% (until now part of milk processing) Food/ Beverages Dairy Processing 22% 72% Food 23% Beverages 14% Non-Food Pharma/Chemical Other Industries 13% 15% (incl. former Industries Environment, Oil & Gas, Marine and Power) 28% * Continued operations 36 Annual General Meeting Fiscal Year 2013

37 Innovations for the Future 37 Annual General Meeting Fiscal Year 2013

38 GEA IceCon freeze concentration Principle Water partly frozen out (e.g. of fruit juices, coffee or milk) in crystallizer Flavor-preserving separation of ice crystals from juice concentrate in a wash column New Continuous process Significantly less expensive in terms of purchase price and operating costs, floor space reduced by half 38 Annual General Meeting Fiscal Year 2013

39 Outlook 39 Annual General Meeting Fiscal Year 2013

40 Guidance FY 2014 continued operations At the condition of no unexpected economic downturns, assuming constant FX-rates versus FY 2013 and disregarding potential acquisitions and one-off expenses we are aiming in 2014 for: Sales: moderate growth Operating EBITDA: EUR 550m - EUR 590m Cash Flow Driver Margin: 9.0% 9.5% Cash Flow Driver Margin: EBITDA Capex +/- Working Capital (LTM*) Sales * Last 12 months 40 Annual General Meeting Fiscal Year 2013

41 Preliminary Sales Q (EUR million) % % +6.0% GEA Farm Technologies GEA Mechanical Equipment GEA Process Engineering GEA Refrigeration Technologies Q Currency Effects Organic Development Q Annual General Meeting Fiscal Year 2013

42 Financial Calendar 2014 May 6, 2014 July 28, 2014 October 28, 2014 Interim Report Q1 Interim Report Q2 Interim Report Q3 42 Annual General Meeting Fiscal Year 2013

43 Disclaimer Forward-looking statements are based on our current assumptions and forecasts. These statements naturally entail risks and uncertainties, which may cause the actual results of operations, financial position or performance to diverge significantly from the estimates given here. Factors that could cause such a divergence include changes in the economic and business environment, fluctuations in exchange rates and interest rates, launches of competing products, poor acceptance of new products or services, and changes in business strategy. We are under no obligation to update forward-looking statements. 43 Annual General Meeting Fiscal Year 2013

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