Disclaimer. Haniel Investor Update Call 2017 April 10th,

Transcription

1 INVESTOR UPDATE CALL Duisburg, April 10 th 2017

2 Disclaimer PLEASE NOTE THAT THIS PRESENTATION (INCLUDING ANY INFORMATION CONTAINED HEREIN AND ANY INFORMATION, WHETHER OR NOT IN WRITING, SUPPLIED IN CONNECTION WHEREWITH) IS FOR INSTITUTIONAL INVESTORS ONLY. THIS PRESENTATION IS FURNISHED TO YOU SOLELY FOR YOUR INFORMATION, SHOULD NOT BE TREATED AS GIVING INVESTMENT ADVICE AND MAY NOT BE REPRODUCED OR REDISTRIBUTED, IN WHOLE OR IN PART, TO ANY OTHER PERSON. No representation or warranty (expressed or implied) is made as to, and no reliance should be placed on, the fairness, accuracy or completeness of the information contained herein and, accordingly, none of Franz Haniel & Cie. GmbH (hereinafter referred to as the Company or as Haniel ), or any of its parent or subsidiary undertakings or any of such person s officers, directors or employees accepts any liability whatsoever arising directly or indirectly from the use of this document. This presentation may contain forwardlooking statements. In addition to statements which are forward-looking by reason of context, forward-looking statements are indicated by the use of words such as forecast, expect, intend, plan, predict, assume, believe, estimate, may, shall, anticipate or expressions with similar meanings. Forward-looking statements are based on certain expectations and assumptions at the time of preparation of this presentation and are subject to risks and uncertainties, e.g. such relating to the future development of the economic and regulatory environment, the behaviour of competitors and other market participants or the ability to successfully integrate acquired business and achieve anticipated synergies. If any of these or other risks and uncertainties occur or if the assumptions underlying any of these statements prove incorrect, actual results may differ materially from those expressed or implied by a forward-looking statement. Therefore, no representation of warranty, expressed or implied, is made regarding any forwardlooking statement. Haniel neither intends nor undertakes to update forward-looking statements. Please note that data from external sources cited in this presentation has not been independently verified by Haniel. By accepting this Presentation you acknowledge that you will be solely responsible for your own assessment of the market and the market position of the Company and that you will conduct your own analysis and be solely responsible for forming your own view of the potential future performance of the Company s business. This Presentation speaks as of April Neither the delivery of this Presentation nor any further discussions of the Company with any of the recipients shall, under any circumstances, create any implication that there has been no change in the affairs of the Company since such date. This material is given in conjunction with an oral Presentation and should not be taken out of context. Haniel Investor Update Call 2017 April 10th,

3 Agenda Investment Modus And Strategy Business Development of Divisions Outlook Haniel Investor Update Call 2017 April 10th,

4 Digital Transformation DIGITAL AGENDA IN DIVISIONS VENTURE CAPITAL FUNDS LEARNING OPPORTUNITIES SCHACHT ONE DIGITAL WORKBENCH Haniel Investor Update Call 2017 April 10th,

5 Learning Opportunities Haniel Leadership Lab Corporate Development / M&A Networking CEO-Roundtable Schacht One Business models Haniel Investor Update Call 2017 April 10th,

6 Successful Buy-and-Build Strategy Bekaert, CWS-boco and TAKKT strengthen their businesses with M&A (2015 and 2016) With the acquisition of DesleeClama Bekaert Textiles significantly strengthens its position and enables growth potential, particularly in developing countries as well as in the health and wellness segment TAKKT expands its portfolio successfully through the acquisitions of Post-Up Stand in the US, the leading specialist in customized printed promotional material, and BiGDUG in the UK, the leading online retailer of business equipment CWS-boco acquires German full cleanroom services provider Zahn HiTex to further strengthen its cleanroom business Haniel Investor Update Call 2017 April 10th,

7 Successful Buy-and-Build Strategy CWS-boco aquires parts of Rentokil Initial - Establishment of the Joint Venture planned for mid Haniel will hold around 82 percent of the shares - CWS-boco to receive equity injection - The EUR 520m cash to be received by Rentokil Initial will be funded through debt raised by the joint venture. This debt will initially be provided to the joint venture by Haniel at market based interest rates - Minimum repayment of the loan of EUR 100m annually Haniel Investor Update Call 2017 April 10th,

8 Advantages of planned Rentokil Initial transaction 1 Investment philosophy The planned transaction generally fits with Haniel's investment philosophy The continued development of the division is in line with the business model cycle (increase in margins, establishing a market-leading position) No significant expansion of portfolio share during the first stage Financial resources tied up only temporarily 3 Strengthening of market position Strengthening of position in highly competitive environment Catch up with major European competitors 2 Attractive market 4 Synergies Megatrend-based business model Market expected to grow in line with GDP overlap Less-cyclical service business in attractive B2B sector Synergies based on high level of geographical Haniel Investor Update Call 2017 April 10th,

9 Improved Portfolio Balance Investment Holding Franz Haniel & Cie. GmbH Divisions Financial Investment Financial Assets BekaertDeslee % CWS-boco % ELG % TAKKT 50.25%* METRO GROUP 25.00%** Fixed income portfolio Revenue 310 Mio. Euro Operating Profit 28 Mio. Euro Revenue 800 Mio. Euro Operating Profit 77 Mio. Euro Revenue 1,386 Mio. Euro Operating Profit 18 Mio. Euro Revenue 1,125 Mio. Euro Operating Profit 142 Mio. Euro Haniel Investment Result 46 Mio. Euro Assets under Management ~ 1.4 Bn. Euro Employees*** 2,340 Employees*** 7,661 Employees*** 1,181 Employees*** 2,489 * shares (unchanged) ** shares (unchanged) *** Annual average (head count) Haniel Investor Update Call 2017 April 10th,

10 Exchangeable Bond and proposed Metro demerger METRO demerger * with positive impact on asset diversity Financial Assets 19% Financial Assets 19% CECONOMY 16% METRO 39% BekaertDeslee 5% ELG 6% METRO demerger BekaertDeslee 5% ELG 6% METRO WFS 23% TAKKT 11% CWS-boco 20% TAKKT 11% CWS-boco 20% Top 3 investments > 60% Top 3 investments < 60% * Analysts expectation of a 40/60 demerger into CECONOMY and METRO WFS Haniel Investor Update Call 2017 April 10th,

11 Exchangeable Bond and proposed Metro demerger Exchangeable Bond Basic Information Volume EUR 500m nominal Maturity Current After proposed Metro demerger Underlying Metro AG Ceconomy AG (Focus on Consumer Electronics) Exchange Price # of Shares Bond documentation EUR Initially EUR Mio. Ordinary shares (4.00%) Initially Mio. Ordinary shares (3.71%) (less than the 25% of shares that Haniel is holding) To remain unchanged Haniel Investor Update Call 2017 April 10th,

12 Further Balanced Portfolio Gross Asset Value as of December 31 st, 2016 Net Asset Value as of December 31 st, 2016 Financial Assets 19% Metro 39% EUR 6.5 bn 50% EUR 5.6 bn BekaertDeslee 5% 31% ELG 6% 19% EUR -0.9 bn CWS-boco 20% TAKKT 11% Gross Market Value Portfolio Net Asset Value Portfolio Asset values at spot market prices Net Financial Debt Listed Assets Unlisted Assets Financial Assets Haniel Investor Update Call 2017 April 10th,

13 Market Value Gearing Stable within Investment Grade Area 0% Target 5% 10% Net Financial Debt 15% -1 20% 25% 30% -2 35% 40% Market Value Gearing 45% -3 in EURbn Haniel Investor Update Call 2017 April 10th,

14 Improved and Stabilised Total Cash Cover e Dividends received Interest payments Above par interest received on financial assets Interest payments one-off effects Holding costs Cash outflow one-off effects (Kalksandstein) Cashflow from operations Dividends paid to shareholders Share buyback Total Cash Cover 1.1x 1.1x 1.3x Total Cash Cover (without one-off effects) 1.3x 1.3x 1.3x Haniel Investor Update Call 2017 April 10th,

15 Solid Maturity Profile Gross Debt as of December 31 st, 2015 Gross Debt as of December 31 st, Committed facilities used Other financial liabilities Liablities against shareholders (subordinated) Bonds, Commercial Paper and other securities Haniel Investor Update Call 2017 April 10th,

16 Excellent Liquidity Situation in Line with Financial Strategy Committed Bank Facilities as of December 31 st, 2015 Committed Bank Facilities as of December 31 st, Committed facilities used Committed facilities unused Haniel Investor Update Call 2017 April 10th,

17 Enlargement of Credit Opinions Offered by Rating Agencies Haniel on the path to a stable investment grade rating Ba1, positive outlook, since January BBB-, stable outlook, since February BBB-, stable outlook, since April Haniel Investor Update Call 2017 April 10th,

18 Agenda Investment Modus And Strategy Business Development of Divisions Outlook Haniel Investor Update Call 2017 April 10th,

19 BekaertDeslee 2016 Positive revenue and operating profit development Revenue Operating Profit Dividend* ** ** * Dividend for FY to be paid in the following year **The 2015 figures refer to the period from June 2015 to December 2015 Haniel Investor Update Call 2017 April 10th,

20 CWS-boco 2016 Operating profit increased again Revenue Operating Profit Dividend Haniel Investor Update Call 2017 April 10th,

21 ELG 2016 Revenue decreased and operating profit significantly increased Revenue Operating Profit Dividend 1, , Haniel Investor Update Call 2017 April 10th,

22 TAKKT 2016 Revenue and operating profit improved Revenue Operating Profit Dividend per share * 1,064 1, e * Dividend for FY 2016 to be paid in 2017 Haniel Investor Update Call 2017 April 10th,

23 METRO Group 2016 Lower investment result of METRO investment Revenue Operating Profit Dividend per share** 58,991 58,313 1,448* 1,553* ,076 1, * Operating profit before one-off effects ** Dividend for FY 2016 paid in February 2017 Haniel Investor Update Call 2017 April 10th,

24 Agenda Investment Modus And Strategy Business Development of Divisions Outlook Haniel Investor Update Call 2017 April 10th,

25 Outlook Exp. Revenue Exp. Op. Profit BekaertDeslee CWS-boco ELG Higher sales of knitted fabrics and expansion of business with mattress covers Successful ongoing integration of DesleeClama Digital initiatives, e.g. establishment of leading online platform for mattress- and bed designs Integration measures around proposed acquisition of parts of the central European business of Rentokil Initial Digital transformation through new divisional structure and continued investment in IT landscape Market conditions expected to be moderately positive Innovation committee and companywide web-based innovation platforms TAKKT Vision 2020 Digital Transformation : digitalisation of the entire value chain, agile corporate structures and innovative business models METRO Group Result from the Metro investment expected to be below the level of the previous year due to one-off items from, among other things, the proposed demerger Haniel Investor Update Call 2017 April 10th,

26 Focus on further investments D/A/CH, Nordics, UK/Ireland /BeNeLux Future-proof business model Market leader Profitable and low capital intensity Mittelstand size Growth market Not listed Few previous owners Haniel Investor Update Call 2017 April 10th,

27 Haniel Portfolio 20xx Haniel as leading SME holding with a balanced portfolio of different divisions Current Portfolio Target Portfolio Listed assets Haniel Investor Update Call 2017 April 10th,

28 Contact Data Dr Florian Funck Chief Financial Officer T +49 (0) E ffunck@haniel.de Franz Haniel & Cie. GmbH Franz-Haniel-Platz Duisburg, Germany Dr Axel Gros Senior Vice President Finance T +49 (0) E agros@haniel.de The presentation as pdf download will be available on Haniel Investor Update Call 2017 April 10th,