CORPORATE PRESENTATION

Transcription

1 Investor Relations CORPORATE PRESENTATION Caxias do Sul May, 2015.

2 DISCLAIMER This presentation contains future information. Such information is not simply historical facts, but reflects the desires and the expectations of the Company s leadership. The words anticipates, desires, hopes, forecasts, intends, plans, predicts, projects, wishes and similar ones, intend to identify affirmations that necessarily involve known and unknown risks. Known risks include uncertainties that are not limited to the impact of the competitiveness of the prices and services, market acceptance of services, the Company s service transitions and its competitors, the approval of regulations, currency, fluctuation in the exchange rate, changes in the mix of services offered, and other risks described in the reports of the Company. This presentantion is updated until the present date. However, Marcopolo is not obligated to update it with new information and/or future events.

3 OUTLINE Marcopolo Volare Business Bus Market Overview Operating & Financial Highlights Corporate Governance & Sustainability Marcopolo Corporation & Product Line

4 MARCOPOLO S PROFILE OVERVIEW Founded in 1949, Marcopolo has more than 64 years in the business Five factories in Brazil and twelve abroad Products are presents in over 100 countries Over 21,000 employees in Brazil and abroad HIGHLIGHTS 14.1% Return On Equity in 1Q % Return on Invested Capital in 1Q15 Economic Value Added oriented Company PRODUCTS State-of-the-art technology Integrated production of nearly all parts used in manufacturing process Complete product line: coaches, transit buses, midi, micro & minibuses 4

5 UNDERSTANDING OUR PRODUCT BUS BODY CHASSI BUS (montadoras) VOLARE - COMPLETE VEHICLES 5

6 COMPETITIVE ADVANTAGES Image & Relationship - Reliable Brand - Financial and economic soundness - Sustainability & community - Respect and commitment to people - Global presence Hardiness & Durability (Under R66) Mechanical resistance of the structure and components Longer Useful Life Structural and components durability Active & Passive Safety Emergency exit, standards of rollover, TILT TEST, frontal impact Customer Intimacy - Transparency - Reliability - Flexibility Lower Operating Cost/Lifetime Cost - Lower fuel consumption - Low frequency, cost and time of maintenance Processes & Services - Customization - Insourcing - Resale value - Own commercial network and outsourced (Volare) - Own and outsourced technical assistence - Spare parts 6

7 STRATEGIC POSITIONING (unit) CANADA RUSSIA (Commercial JV) USA CHINA (components) MEXICO 1Q15 = 364 1Q14 = 285 COLOMBIA 1Q15* = 496 1Q14 * = 658 ARGENTINA 1Q15* = 305 1Q14* = 413 BRAZIL 1Q15 = Q14 = EGYPT 1Q15* = 268 1Q14* = 234 SOUTH AFRICA 1Q15 = 78 1Q14 = 89 INDIA 1Q15* = Q14* = AUSTRALIA 1Q15 = 103 1Q14 = 107 * = in accordance with the new accounting standard ( IFRS 10 & 11), these companies are no longer consolidated in Marcopolo s output. All figures are showing 100% of each business. 7

8 OUTLINE Marcopolo Volare Business Bus Market Overview Operating & Financial Highlights Corporate Governance & Sustainability Marcopolo Corporation & Product Line

9 ABOUT VOLARE Volare Production started in 1998 Production Capacity: 7,500 units/year 1Q15 Production: 724 units 1Q15 Net Revenue: R$ 99.5 million New facility in São Mateus, Espírito Santo/Brazil assembly of CKD kits sent from Caxias has already started. The launch of the 5-ton model is expected for the second half Final production capacity will be 5,000 units/year. 9

10 VOLARE S PRODUCTION (Units) 5,070 4,870 4,665 5, % 4,412 3,623 3,896 2,879 2,855 3, Q15 10

11 VOLARE MARKET SHARE IN BRAZIL (%) * -0.9pp 58.9% 58.0% 49.6% 50.8% 46.4% 45.7% * Source: ANFAVEA Volare s market share considers 6-10 tons units. 11

12 OUTLINE Marcopolo Volare Business Bus Market Overview Operating & Financial Highlights Corporate Governance & Sustainability Marcopolo Corporation & Product Line

13 BRAZILIAN BUS BODY PRODUCTION (Units) 35,410 35,989 32,027 33,395 33,080 33, % 26,983 27,952 25,645 28, % 34.1% 31.6% 28.9% 17.7% 15.3% 11.7% 13.5% 12.9% 13.4% 13.2% 5, Q15 Brazilian Production Exports SOURCE: Fabus does not include Volare s production. 13

14 BRAZILIAN BUS FLEET Total Fleet & Average Age ,8 13, , ,2 14, ,4 14, Total Fleet (thousand units) Average Fleet Age (years) SOURCE: Fenabrave 14

15 MARKET SHARE IN BRAZIL (%) 50% 46.3% 45.7% 45.2% 45.0% 44.2% 43.0% 41.7% 47.0% 40% 39.2% 36.7% 41.0% 40.9% 39.5% 39.8% 39.6% 41.2% (*) 30% 20% 10% (**) (**) (**) Irizar, Metalbus. (**) Irizar, Metalbus. 0% Q15 Source: Fabus/Simefre (*) According to the new accounting standard IFRS 10 & 11 Marcopolo s stake in Neobus is no longer considered. 15

16 OUTLOOK Events in Brazil 2016 Olympic and Paralympic Games / Municipal Elections Growth Drivers / Opportunities Expectation of official publication by ANTT of the rules of authorization model for the interstate lines, which could unlock the demand for intercity segment; The devaluation of the Brazilian real against the U.S. dollar is favorable to exports; FINAME-PSI line with still competitive rates compared to market interest rates; Less favorable economic and political scenario, with worse financing conditions is impacting the demand at the beginning of this year; Order book weaker than normal for the period; Collective vacation and flexible work hours; First phase of the new Volare s facility in the state of Espírito Santo has already started (assembly of CKD kits sent from Caxias). The launch of the 5-ton model is expected for the second half

17 OUTLOOK Targets/Goals #1 or #2 in every country in which we have factories Premium prices Be a world reference in solution for mass transportation Threats Strong exchange rate appreciation in Brazil Regional airlines Trains/subways Cars/motorcycles 17

18 OUTLINE Marcopolo Volare Business Bus Market Overview Operating & Financial Highlights Corporate Governance & Sustainability Marcopolo Corporation & Product Line

19 TOTAL PRODUCTION (UN) & MARKET SHARE (%) MARCOPOLO S TOTAL PRODUCTION 20, % 20% 17,713 23% -11.5% ME MI 3,719 19% 81% 3,292 25% 75% 80% 77% 1Q14 1Q Marcopolo s Market Share in Brazil pp -0.2pp Q14 1Q

20 FINANCIAL HIGHLIGHTS (R$ Million) (*) Total Net Revenues -7.1% 3, % 3, % -11.5% ME % % 69% 66% MI 72% 55% 1Q14 1Q Gross Profit and Margin % % % 17.1% 20.0% 17.4% 1Q14 1Q

21 FINANCIAL HIGHLIGHTS (R$ Million) EBITDA and Margin % % ,8 10.1% 10.0% 11.9% 9.0% 1Q14 1Q Net Profit and Margin % % % 5.2% 8.0% 6.6% 1Q14 1Q

22 FINANCIAL HIGHLIGHTS (R$ Million) Net Equity & ROE +3.8% +8.7% 1, , , , % 14.1% 22.5% 14.8% 4Q14 1Q ROIC (%) -0.1pp pp Q14 1Q

23 FINANCIAL HIGHLIGHTS (R$ Million) Investments % % Q14 1Q Net Indebtedness -2.6% 1, , ,040.8 Net Debt (Industrial Segment)/LTM EBITDA 0.9x 1.6x 1.5x Q15 = Financial Segment = Industrial Segment

24 OUTLINE Marcopolo Volare Business Bus Market Overview Operating & Financial Highlights Corporate Governance & Sustainability Marcopolo Corporation & Product Line

25 ORGANIZATION CHART SHAREHOLDERS FISCAL COUNCIL BOARD OF DIRECTORS COMMITTEE OF: EXECUTIVE COMMITTEE INTERNAL AUDIT HR AND ETHICS STRATEGY AND INNOVATION AUDIT ANS RISK EXTERNAL AUDIT IR DIRECTOR CEO 25

26 CORPORATE GOVERNANCE Marcopolo adopts corporate governance best practices, following the principles of transparency, accountability, social responsibility and equitable treatment of shareholders. Independent Board Members (4 out of 7) Fiscal Council Support Committees: Human Resouces & Ethics; Audit & Risks; Strategy & Innovation; and Executive Independent External Audit Tag Along (100% Common and 80% Preferred shares) BM&FBovespa Corporate Governance Level 2 since 2002 Financial Statements in IFRS Code of Conduct Disclosure and Negotiation Policy Participation in the BM&Fbovespa IBOVESPA, IBrX, IGC, SMLL, INDX, IGCT, IBRA, ITAG indexes Heirs Succession Plan and Senior Management Succession 26

27 SHAREHOLDING DISTRIBUTION Common Shares 11.5% Other Shareholders 3.9% 3.0% Marcopolo Norges Bank Foundation 15.2% Fund. Bco. Central - CENTRUS 66.4% Controlling Shareholders As of March 31 st,

28 SHAREHOLDING DISTRIBUTION Preferred Shares 15.0% Fundo Petrobras Seg. Soc. - Petros 3.9% Jose Antonio F. Martins 1.2% Marcopolo Foundation 1.4% Controling Shareholders 22.8% Other Shareholders in Brazil 55.7% Foreign Shareholders As of March 31 st,

29 CORPORATE STRUCTURE 896,900,084 Total Shares 555,274,340 PN Shares 341,625,744 ON Shares Free Float: 71,4% (outstanding shares) Market cap on March 31 st, 2015 R$ 2.5 billion 29

30 STOCK PERFORMANCE Marcopolo PN x Ibovespa - Base 100 POMO4: -49.2% IBOV: +1.5% 50,414 pts 51,150 pts R$ 4.55 R$ /31/2014 6/30/2014 9/30/ /31/2014 3/31/

31 Average Daily Volume (R$ MM) Market Cap (R$ Million) SHARE LIQUIDITY & VALUATION Marcopolo PN - POMO4 45,0 40, ,0 30,0 25,0 20,0 15,0 10,0 5, Mar-14 Apr-14 May-14 Jun-14 Jul-14 Aug-14 Sep-14 Oct-14 Nov-14 Dec-14 Jan-15 Feb-15 Mar-15 0 Average Daily Volume (R$ MM) Market Cap (R$ MM) 31

32 SHAREHOLDER REMUNERATION (R$ Million) AVERAGE PAY OUT: 47% % 53% 51% 48% 47% 44% 224,1 44% 39% ,3 97, * 2011* 2012* 2013* 2014* * Net Profit in IFRS Net Profit Dividends Pay Out (%) 32

33 SUSTAINABILITY Sustainability Committee: Marcopolo has a Sustainability Committee, comprised of representatives from the Financial, Environmental and Social areas, whose goal is to promote the development of the theme Sustainability on the agenda of the company's business through discussions, stakeholder engagement and actions in the internal environment and external. Benefits for Employees: MarcoSaúde; PSP (Profit Sharing Program); Pension plan and other benefits; In addition to the benefits offered by Marcopolo, employees participate in social programs sponsored by Marcopolo Foundation. Programs for the Community: Schools Project; Volunteer Joy; Allocation of Taxes - Marcopolo passes 1% income tax to the Municipal Fund of the Rights of Children and Adolescents in the cities of Caxias do Sul and Duque de Caxias. 33

34 CO2 EMISSION COMPARISON Source: Abrati e ANAC 34

35 BRT SYSTEM IN RIO DE JANEIRO 35

36 OUTLINE Marcopolo Volare Business Bus Market Overview Operating & Financial Highlights Corporate Governance & Sustainability Marcopolo Corporation & Product Line

37 BUS BUSINESS UNITS Ana Rech Caxias do Sul-RS Superpolo Cota Marcopolo Auto Components C.O.LTD. Volgren Melbourne - Australia Planalto Caxias do Sul-RS Polomex Monterrey Volgren Perth - Australia Volgren Brisbane - Australia Neobus Caxias do Sul-RS Metalsur Santa Fe Tata Marcopolo Motors LMTD Dharward - India GB Polo Suez - Egypt Ciferal Duque de Caxias - RJ Metalpar Loma Hermosa Tata Marcopolo Motors LMTD Lucknow - India MASA Johannesburg South Africa Volare Veículos São Mateus - ES 37

38 PRODUCT LINE 38

39 INVESTOR RELATIONS CONTACTS José A. Valiati CFO & Investor Relations Director Tel: + 55 (54) Thiago A. Deiro Finance & Investor Relations Manager thiago.deiro@marcopolo.com.br Tel: + 55 (54) Rafael L. Ritter Investor Relations Analyst rafael.ritter@marcopolo.com.br Tel: +55 (54) Varleida C. P. Perin Investor Relations Analyst varleida.perin@marcopolo.com.br Tel: +55 (54) ir.marcopolo.com.br ri@marcopolo.com.br