Villeroy & Boch Analysts and Financial Results Press Conference. Frankfurt, 8 February 2018

Transcription

1 Villeroy & Boch Analysts and Financial Results Press Conference Frankfurt, 8 February 2018

2 Course of business 2017 Consolidated revenue up 2.0 % EBIT improves by 8.5 % Revenue in million EBIT in million +2.0 % +8.5 %

3 Course of business 2017 Double-digit EBIT increase in the Bathroom and Wellness division Revenue by divisions in million EBIT by divisions in million +2.0 % % 49.8 Bathroom and Wellness % Bathroom and Wellness % 41.0 Tableware % Tableware %

4 Course of business 2017 Continuous improvement of operating EBIT continues Operating EBIT in million

5 Bathroom and Wellness Division Bathroom and Wellness grows in all product categories +4 % +7 % Sanitary ware Bathroom furniture +3 % +10 % Wellness Taps & Fittings

6 Bathroom and Wellness Division Extremely high demand for new products such as DirectFlush WCs Erfolgstreiber 2017 Bad und Wellness DirectFlush-WCs TitanCeram wash basins

7 Bathroom and Wellness Division Particularly strong performance in growth markets Europe Overseas % % million million

8 Bathroom and Wellness Division Strong performance once again revenue in China increases by 45 % Revenue in million +45 % +32 % +22 %

9 Bathroom and Wellness Division Revenue in project business increases by 22 % Revenue project business in million %

10 Tableware Division Revenue in Tableware Division decreases due to strategic decisions Revenue Tableware in million -5.8 % Revenue Optimization of shop portfolio More restrictive discount policy

11 Tableware Division Quarterly data show we are on the right track Loss in revenue year-on-year reduces more with every quarter Q 1 Q 2 Q 3 Q 4-5.2% -3.4% -6.5% -9.3%

12 Tableware Division Operating margin increases due to more restrictive discount policy Revenue/EBIT Tableware in million Revenue More restrictive discount policy Increase in operating margin +0.7 PP EBIT

13 Tableware Division Great potential with existing and prospective customers Of a total of 28 mio. buyers of glass/porcelain/ceramics, Villeroy & Boch has approx. 10 million holders 80 with very high loyalty approx. 9 million potential new customers who have a positive view on our brand Villeroy & Boch Intent to buy again (%) is a brand with style. is a likeable brand. Source: Brand Image Tracking, MRC 2016 Source: Brand Image Tracking, MRC 2016 Quelle: Brand Image Tracking, MRC 2016

14 Tableware Division Highest results for brand awareness and first choice in Germany brand awareness 87 % 85 % 83 % 38 % Relevant set relevant set 57 % 36 % 61 % 23 % Relevant set first choice 20 % 3 % 19 % 6 % Quelle: Brand Image Tracking, MRC 2016 Source: Brand Image Tracking, MRC 2016

15 Tableware Division Brand awareness of Villeroy & Boch as competitive advantage Brand awareness (%) 87 Villeroy und Boch more than 12 million visitors p.a. on V&B websites coming from search engines Source: Brand Image Tracking, MRC 2016

16 Tableware Division Classic décors still popular esp. with harmonisers and bon vivants Wildrose Modern setting

17 Tableware Division Old Luxembourg Brindille : new edition with new price positioning Old Luxembourg Old Luxembourg Brindille

18 Tableware Division Manufacture : Crafted-trend addresses new target groups

19 Tableware Division Marketing co-operation with Vapiano is a great success

20 Tableware Division Target group analysis and direct marketing as key to future success

21 Financial report 2017 Earnings forecast achieved, revenue meets expectations of Q2/2017 Specified forecast Q2/2017 Actual result 2017 Revenue growth EBIT growth (operating) Return on net operating assets +2 to 3 % 2.0 % (on constant currency basis 2,7 %) +5 to 10 % (upper end of range) 8.5 % > 15.7 % 17.7 %

22 Financial report 2017 EBIT margin approaches goal of 7.0 % Consolidated Income Statement in million Revenue Cost of sales Selling, marketing and development costs General administrative expenses Other income Other expenses Operating EBIT Immobilienprojekt Luxemburg 0,0 1,7 EBIT 49,8 47,6 Development of operating EBIT margin* Finanzergebnis -4,4-6,0 EBT 45,4 41,6 4.9 % 5.0 % 5.2 % 5.6 % 6.0 % Ertragsteuern 4.2 % -15,6-12, % +8.5 % Over-proportionate growth of EBIT Konzernergebnis , ,1 * Before real estate income

23 Financial report 2017 Good financial result contributes to marked EBT growth Consolidated Income Statement in million Revenue Cost of sales Selling, marketing and development costs General administrative expenses Other income Other expenses Operating EBIT Real estate project Gustavsberg EBIT Financial result EBT Ertragsteuern -15,6-12,5 Konzernergebnis 29,8 29, %

24 Financial report 2017 Group result improves by 0.7 million to 29.8 million Consolidated Income Statement in million Revenue Cost of sales Selling, marketing and development costs General administrative expenses Other income Other expenses Operating EBIT Real estate project Gustavsberg EBIT Financial result EBT Income taxes Group result

25 Financial report 2017 Balance sheet structure: equity ratio improves significantly to 28.3 % Balance sheet structure Assets (in million) Equity and liabilities (in million) Equity ratio improves by 2.8 PP 25.5 % 28.3 % Assets (in million) non-current assets current assets cash and cash equivalents Total assets Equity and liabilities (in million) equity non-current liabilities current liabilities Total equity and liabilities

26 Financial report 2017 Investments: focus on production capacity in the B&W Division 26.2 Investments in million 35.9 Investment focus 2017 Bathroom and Wellness New production facilities for sanitary ware in Germany, France, Hungary and Mexico to increase production capacity Bathroom and Wellness Tableware Tableware Renovation of own stores (e.g. Luxembourg, Madrid and Brisbane) Replacement investments in the plants in Merzig and Torgau

27 Financial report 2017 Return on net operating assets achieves new all-time high Return on net operating assets in % 7.5 % 8.6 % 10.2 % 12.0 % 13.0 % 13.6 % 15.7 % 17.7%

28 Financial report 2017 Earnings per share improved higher dividend proposal Earnings per share Dividend per ordinary share Dividend per preference share Dividend increase: +7.5 %

29 Outlook 2018 Outlook 2018: Further revenue and earnings increase expected Revenue 2018e in million +3-5 % KPI Forecast Revenue growth +3-5 % EBIT growth % Return on net operating assets Investments % > 40 million