BMV: RASSINI Fourth Quarter February 20, 2018

Transcription

1 BMV: RASSINI Fourth Quarter 2017 February 20,

2 Twelve-months figures 4Q 2017 Highlights Net revenue increased to $18,104 million pesos. EBITDA grew to $3,366 million pesos. Net income reached $1,475 million pesos. Net Debt/annualized EBITDA ratio as of December 31 was 0.2x. EBITDA/Net Interest Expense ratio as of December 31 was 11.1x. Consolidated 2017 (mill. Pesos) Fiscal Year 2017 Results (January 1- December 31) 2016 (mill. Pesos) % Change Sales $18,104 $16,340 11% Gross Profit $4,581 $4,373 5% EBITDA $3,366 $3,190 6% Net Income before taxes and $1,992 $1,935 3% minority interest Net Income $1,475 $1,431 3% 2

3 Industry Update Auto Show Detroit 2018

4 May 08 Dec 14 Dec 17 May 08 Dec 17 May 08 Dec 17 Housing Starts 1.3 Million of houses Macroeconomics December 2017 Unemployment 4.1% 5.4% 4.2% Exceeding a million homes for thirty-two consecutive months 4.1 Fuel Cost 2.5 US$ / Gallon Sources: Reuters, Bureau of Labor Statistics and Gas Buddy. 4

5 US Light Vehicle SAAR Annual average Dec 17.8 Industry Snapshot Million units Expected Light Vehicle Production % 0% 1% Country USA CAN MEX NAFTA J M M J S N J M M J S N J M M J S N J M M J S N J M M J S N J M M J S N Actual IHS Forecast / Dec'17 NAFTA Light Vehicle Production (4%) SAAR reached 17.8 million units during December Production in North America is expected to reach 17.5 million units in 2020 according to the experts from IHS. December inventories closed at a level of 61 days supply. Light Trucks production increased 3% vs previous year Passenger Cars Light Trucks Source: December 17 5

6 Brazilian Vehicle Production Million vehicles 3, ,502 Passenger Cars Light Commercials Trucks Buses 2, , , , ,899 2,339 2,436 2,540 2,643 2,748 2,174 2,018 1, , , , Trucks and buses represent 86% of RNA business e 2018e 2019e 2020e 2021e 2022e Commercial Vehicles 14% Trucks 3% Buses 1% By 2022 Brazil will reach 3.3 million units Passenger cars 82% Source: 17 6

7 Consolidated Financial Highlights MxP/USD Dec'16 Dec'17 End Average

8 Consolidated Sales and EBITDA Million Pesos CAGR '12-'17 Sales 14% EBITDA 23% 18,104 16,340 Sales EBITDA 11,900 12,897 3,190 3,366 9,353 9,392 10,362 2,141 1,178 1,203 1,343 1,

9 Sales YTD Sales and EBITDA by Region Million Pesos Jan-Dec '16 Jan-Dec '17 16,340 18,104 15,034 16,223 Actual dist. Sales NAFTA 90% Brazil 10% Consolidated 100% 44% 11% 8% 1,306 1,881 EBITDA 6% 2% 3,190 3,366 3,139 3,215 Actual dist. EBITDA NAFTA 95% Brazil 5% Consolidated 100% 199% Consolidated Rassini Nafta Brazil* * EBITDA before Fees and Royalties 9

10 Sales by Product and Region Jan-Dec Jan-Dec 2016 % 2017 % Leaf Springs (1) 8, , Coil Springs 1, , NAFTA Suspensions 10, , Brakes (1) 4, , Trailers Brazil 1% Aftermarket 2% European OEMs 6% Consolidated Sales Breakdown Million Pesos Sales distribution by customer Other 7% Asian OEMs 9% US OEMs 75% TOTAL NAFTA 15, , Leaf Springs (1) 1, ,601 9 BRAZIL Coil Springs TOTAL BRAZIL 1, , OEM: Original Equipment Manufacturer CONSOLIDATED SALES 16, , (1) Includes elimination of intercompany transactions. 10

11 Consolidated Income Statement Million Pesos Consolidated Jan-Dec Jan-Dec % Var Income Statement /16 Net Sales 16, , Cost of sales 11, ,523.2 (13) Gross Profit 4, , % of sales SG&A 1, ,214.3 (3) EBITDA 3, , % of sales Depreciation (4) Interest & other financial charges Other expenses (64) Income before Taxes & Minority Int. 1, , Other non-recurring income (134.0) Taxes & Deferred Taxes Minority Interest (84.9) (101.1) (19) Net Income 1, ,

12 Consolidated Cash Flow Million Pesos Consolidated Jan-Dec Jan-Dec % Var Cash Flow /16 EBITDA 3, , Working Capital and Taxes (785.3) (541.3) Net operating cash flow 2, , Interest expense (251.7) (230.4) Cash flow after int. expense 2, , Capex (849.7) (853.9) Cash flow available for debt service 1, , Financing & Debt Amortization (44.6) (521.1) Dividends paid (480.2) (640.3) Other (88.1) (501.7) Beginning cash balance 1, ,913.1 Ending cash balance 1, ,

13 As of End of December 2017 Short Term Current Portion LTD Long Term Total Consolidated Debt Million US dollars Suspension Division NA Brakes Division Cash balance Dec 17 = US$101 mill. Net Debt Dec 17 = US$30 mill. Suspension Division Brazil TOTAL Long Term Debt Amortization Profile US$ Million Nafta Suspensions Brakes Note: Debt profile does not include working capital financings 13

14 Financial Ratios by Region (Times) Net debt / EBITDA Dec'16 Dec'17 35% % 56% EBITDA / Net interest 3% 9% % Consolidated North America Brazil * * EBITDA before Fees and Royalties 14

15 Appendix BMV: RASSINI

16 What defines Rassini World s largest producer of suspension components for light commercial vehicles Largest fully integrated brake disc producer in the Americas Leader in technology and market share designing and producing suspension components and high performance brake rotors. Within the Top 100 North American suppliers by Automotive News. Recognized year after year for our operational excellence. 16

17 Brakes Motor balancers Clutch plates Spacers 31% Bushings Leaf Springs 58% Silverado Coil Springs 11% 17

18 8 4 Plants around the world Operating divisions Mexico Leaf Springs and Coil Springs Piedras Negras, Coahuila Leaf Springs Xalostoc, Estado de Mexico Elastomers and Bushing Assemblies San Juan del Rio, Queretaro Brakes San Martin, Puebla Headquarters Mexico City USA Coil Springs Montpelier, Ohio Sales, Engineering, Research and Development Plymouth, Michigan Brakes Flint, Michigan Brazil Leaf Springs and Coil Spring São Bernardo do Campo, São Paulo Leaf Springs Nova Iguacu, Rio de Janeiro Engineering Office Stuttgart, Germany 5 R&D Centers Engineering Office Tokyo, Japan 18

19 Juan Pablo Sánchez Emma Bocanegra Edgar Landeros CFO Financial Planning & IR Financial Analyst & IR BMV: RASSINI

20 20