Annual General Meeting Fiscal Year 2012

Transcription

1 Annual General Meeting Fiscal Year 2012 Oberhausen, April 18, 2013 Check against delivery. GEA Group Aktiengesellschaft

2 Niels Graugaard Member of the Executive Board since August 1, 2007 Previously, President of the former GEA Process Engineering Division since Annual General Meeting Fiscal Year 2012

3 Performance of GEA Group 3 Annual General Meeting Fiscal Year 2012

4 Highlights GEA Group 2012 Operating Results Risk management Forward-looking Record order intake: EUR 5.9 billion Record revenue: EUR 5.7 billion Operating cash flow: EUR 286 million Net debt reduced by EUR 61 million Acquisitions - Aseptomag and Milfos Conclusion of award proceedings that started in 1999 & ensuing capital increase Final agreement with the buyer of Lurgi Rollout of important new innovations Winner of various innovation awards 4 Annual General Meeting Fiscal Year 2012

5 Segment highlights GEA Food Solutions New management Working Capital Improvement in 2012 Rollout of important innovations Decision in favor of major investments, incl. R&D projects GEA Farm Technologies 2 award-winning innovations at the EuroTier trade fair New record levels in terms of order intake and revenue Strong EBIT margin improvement Highest ROCE since record year 2008 GEA Heat Exchangers Reorganization measures are visibly bearing fruit EBIT margin rose from 7.5% to 8.4% despite the slight decline in revenue and the difficult situation in the energy end market which remains difficult Reduction in absolute working capital 5 Annual General Meeting Fiscal Year 2012

6 Segment highlights GEA Mechanical Equipment Plant at the new production site in Oelde started operations Preparation of production in China Innovation award at the ACHEMA 2012 for new ecoforce line decanter New record EBIT margin of 20.2% GEA Process Engineering Order for world s largest spray dryer (will process more than 4.4 million liters of milk per day) New record order intake, revenue and EBIT margin (9.5%) ROCE at 55.9% GEA Refrigeration Technologies Strong organic growth in terms of order intake New record EBIT margin (8.1%) New record ROCE of 21.2% 6 Annual General Meeting Fiscal Year 2012

7 GEA builds milk powder plant for Fonterra in New Zealand Order volume exceeding EUR 70 million Only utilization of GEA process technology to cover milk reception, standardization, evaporation, drying, powder transport and packaging Capacity of 30 tons of whole milk powder per hour = more than 4.4. million liters of milk per day Seventh greenfield plant in New Zealand supplied by GEA over the past five years 7 Annual General Meeting Fiscal Year 2012

8 Segment highlights GEA Mechanical Equipment Plant at the new production site in Oelde started operations Preparation of production in China Innovation award at the ACHEMA 2012 for new ecoforce line decanter New record EBIT margin of 20.2% GEA Process Engineering Order for world s largest spray dryer (will process more than 4.4 million liters of milk per day) New record order intake, revenue and EBIT margin (9.5%) ROCE at 55.9% GEA Refrigeration Technologies Strong organic growth in terms of order intake New record EBIT margin (8.1%) New record ROCE of 21.2% 8 Annual General Meeting Fiscal Year 2012

9 Order intake 2012 (EUR million) +5% 5, % +11% 5, GEA Food Solutions GEA Farm Technologies 1,653-9% 1,510 GEA Heat Exchangers % 972 GEA Mechanical Equipment 1,710 +8% 1,850 GEA Process Engineering +16% GEA Refrigeration Technologies 9 Annual General Meeting Fiscal Year 2012

10 Order intake by customer industry Other end markets 30% 6% 3% 4% 25% Food & Beverages 55% Dairy Beverages Solid food 11% 6% 6% Order intake 2012 EUR 5,901 million + 5% 11% Power Oil & Gas Climate & Environment Chemical 15% 8% 19% Pharma Marine Energy Others 10 Annual General Meeting Fiscal Year 2012

11 Revenue 2012 (EUR million) +6% 5, % +14% 5, GEA Food Solutions GEA Farm Technologies 1,617 0% 1,609 GEA Heat Exchangers % 934 GEA Mechanical Equipment +9% 1,577 1,716 +7% GEA Process Engineering GEA Refrigeration Technologies 11 Annual General Meeting Fiscal Year 2012

12 Revenue by region 2012 (2011) Latin America abs.: +7% Eastern Europe & CIS abs.: +2% Africa abs.: +2% 10% (10%) 7% (7%) Middle East abs.: -4% 5% (5%) 5% (5%) 2012: EUR 5,720 million + 6% 35% (37%) Western Europe abs.: -1% Top 3 Countries USA 14% (12%) abs.: +24% Germany 10% (11%) abs.: -5% China 10% (11%) abs.: -2% North America abs.: +22% 15% (13%) 23% (22%) Asia/Pacific abs.: +11% Emerging markets* exposure: 33% (34%) abs.: +2% (average of Dow Jones and MSCI definition*) * Dow Jones Emerging Markets Index consists of 35 countries whereof 20 are GEA relevant; MSCI defines 21 countries as emerging markets whereof 17 are GEA relevant 12 Annual General Meeting Fiscal Year 2012

13 Service business Growth in service sales FY 2012: +14% to a total of EUR million Share of service sales FY 2012: 21.3% (FY 2011: 19.7%) +14% +14% % +14% -2% % % % 33% % % 28% 20% 11% 13% 13% 14% 30% 38% 22% 24% GEA Group GEA FS* GEA FT GEA HX GEA ME GEA PE GEA RT (EUR million) % Service business as % of revenue * Calculated without one-time POC-related accounting adjustments of EUR 42m (in the denominator) 13 Annual General Meeting Fiscal Year 2012

14 Operating EBIT* (before PPA and non-recurring items) (EUR million) +7% % +11% +16% +10% % GEA Food Solutions GEA Farm Technologies GEA Heat Exchangers GEA Mechanical Equipment GEA Process Engineering GEA Refrigeration Technologies * Before effects of purchase price allocations (PPA) from revalued assets and liabilities (EUR 40 million) and, in 2012, before non-recurring items from GEA Food Solutions (EUR 66.5 million). 14 Annual General Meeting Fiscal Year 2012

15 Focus on operating EBIT margin improvement (EUR million) 7, , , , % 6.9% 8.3% 9.9% 7.8% 8.3% 9.7% 10.0% % 10.7% 9.8% 10% 332 8% 6% 3, , ,059 3,391 4,346 4,856 5,179 4,411 4,418 5,071 5,388 4% 1, % 2% % 15 Revenue w/o GEA FS EBIT margin w/o GEA FS bef. PPA. and restr. Annual General Meeting Fiscal Year 2012 Revenue GEA FS EBIT margin incl. GEA FS bef. PPA., restr. and one-offs GEA FS

16 Earnings per share (EUR) % increase in average number of GEA shares due to award proceedings : : 183.8m shares 2012: 185.8m shares Proposed dividend: 0.55 EUR per share (paid from the tax contribution account (section 27 of the Körperschaftsteuergesetz (KStG German Corporate Income Tax Act)) 16 Annual General Meeting Fiscal Year 2012

17 Further reduction in net debt (EUR million) Net debt (as of December 31, 2011) EBITDA Working Capital 61.4 Capex Operating cash flow Interests/Taxes Other Net debt before M&A, dividend and one-offs Cash out restructuring Discontinued operations Effect from acquisitions Dividend Net debt (as of December 31, 2012) Annual General Meeting Fiscal Year 2012

18 Development of cash flow drivers (EUR million) Jan 12 Feb 12 Mar 12 Apr 12 May 12 Jun 12 Jul 12 Aug 12 Sep 12 Oct 12 Nov 12 Dec 12 10% 9% 8% 7% 6% 5% 4% 3% 2% 1% 0% 18 Annual General Meeting Fiscal Year 2012 Cash flow drivers L12M Cash flow driver margin

19 Worldwide employees* of GEA Group North America (10%) Asia/Pacific (14%) Latin America (3%) Eastern Europe & CIS (8%) 9% 16% Africa (2%) Middle East % (1%) Western Europe % Asia/Pacific % 3% North America Employees 2012 (2011) 61% Eastern Europe & CIS Latin America Africa Middle East Total Western Europe (62%) * Full-time equivalents (FTE) excluding vocational trainees and inactive employment contracts 19 Annual General Meeting Fiscal Year 2012

20 Worldwide employees of GEA Group 20 Annual General Meeting Fiscal Year 2012

21 Worldwide employees of GEA Group 21 Annual General Meeting Fiscal Year 2012

22 Worldwide employees of GEA Group 22 Annual General Meeting Fiscal Year 2012

23 Overview consolidated balance sheet Assets (EUR million) Goodwill 1, ,846.1 Property, plant, and equipment Other noncurrent assets Noncurrent assets 3, ,480.0 Cash and cash equivalents Other current assets 2, ,187.5 Current assets 2, ,931.0 Assets held for sale Total assets 6, ,429.5 Equity and liabilities Equity 2, ,166.3 Noncurrent liabilities 1, ,003.4 Current liabilities 2, ,259.8 Total equity and liabilities 6, , Annual General Meeting Fiscal Year 2012 Rise in cash and cash equivalents relating to the increase in borrowing Equity ratio decreased from 34.8% to 33.7%

24 Sound financial position GEA cash credit lines (EUR million) Maturity 12/31/2012 committed 12/31/2012 used 12/31/2011 unused Total cash credit lines (incl. bilateral) 1,846 1, of which: Borrower s loan note 08/ Syndicated credit line 06/ Bond 04/ KfW I Amortization loan KfW II Amortization loan 05/ / European Investment Bank 07/ Borrower s loan note (New) 09/ Annual General Meeting Fiscal Year 2012

25 Financial liabilities - Cash credit lines (EUR million) , , , , , , Cash credit lines per 12/31/ Successful placement of a borrower s loan note of EUR 300 million with a maturity of five years in September 2012 leading to the further optimization of GEA Group s financing structure Extension of the maturity profile of GEA Group s financial liabilities GEA s financial liabilities will not become due before 2016 more than 80 percent of 25 Annual General Meeting Fiscal Year 2012

26 Credit rating Agency Rating Outlook Rating Outlook Moody s Baa3 stable Baa3 stable Fitch BBB- stable BBB- stable 26 Annual General Meeting Fiscal Year 2012

27 GEA share price performance 160% GEA Group MDAX STOXX Europe TMI Industrial Engineering 140% 120% 100% 80% 60% Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Settlement of award proceedings Dairy technology prize at ANUGA FoodTec Acquisition of Aseptomag Innovation award at ACHEMA Borrower s loan note of EUR 300 million Innovation awards at EuroTier Acquisition of Milfos Release of preliminary key figures for FY Annual General Meeting Fiscal Year 2012

28 Conclusion of award proceedings Tranche Issuance Amount 1 July 16, ,093,945 shares 2 September 3, ,967,361 shares 3 December 3, ,626,325 shares Total 8,687,631 shares April 24, 2012 AGM approval of capital increase Issuance of about 8.7 million new shares Subscribed capital increased by around EUR 23.5 million (4.7%) December 31, 2012: 192,495,476 no-par value bearer shares 28 Annual General Meeting Fiscal Year 2012

29 Technology leadership and innovation 29 Annual General Meeting Fiscal Year 2012

30 Innovation culture at GEA engineering for a better world 30 Annual General Meeting Fiscal Year 2012

31 GEA innovation 2012 double-seat 24/7 PMO Valve 24/7 PMO Valve 24/7 PMO Valve % less cleaning losses 40% less weight First supplier with authorization of U.S. Food and Drug Administration Cleaning during simultaneous operation 31 Annual General Meeting Fiscal Year 2012

32 GEA innovation 2013 tablet manufacturing facility Precision dosing of powdery substances Continuous and thorough blending Online measurement of homogeneity and concentration of active ingredients Final compression of the tablet 32 Annual General Meeting Fiscal Year 2012

33 GEA is a leading driver of innovation 33 Annual General Meeting Fiscal Year 2012

34 GEA will continue to attend leading international trade fairs in Annual General Meeting Fiscal Year 2012

35 Outlook 35 Annual General Meeting Fiscal Year 2012

36 1st Quarter 2012 preliminary order intake (EUR million) Of which more than EUR 70 million from the major order for a milk powder plant in New Zealand booked in Q ,545 1,447 Q Currency Effects Structural Change Organic Development Q Hauptversammlung Geschäftsjahr 2012

37 Outlook for fiscal year 2013 Assuming worldwide sustainable economic growth, we seek to achieve the following targets in fiscal year 2013: Cash flow driver margin: at least 8% Revenue: moderate growth EBITDA: around EUR 700 million Calculation Cash Flow Driver Margin: EBITDA Capex +/- Working Capital (LTM) Revenue 37 Annual General Meeting Fiscal Year 2012

38 Financial Calendar 2013 May 8, 2013 July 30, 2013 October 31, 2013 Interim Report Q1 Interim Report Q2 Interim Report Q3 38 Annual General Meeting Fiscal Year 2012

39 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. 39 Annual General Meeting Fiscal Year 2012

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