SEMPERIT GROUP INVESTOR PRESENTATION FY 2016

Transcription

1 SEMPERIT GROUP INVESTOR PRESENTATION FY Thomas Fahnemann, CEO Frank Gumbinger, CFO 10 March

2 Agenda Operational Development and Financial Performance Outlook Appendix 2 Investor Presentation FY I 10 March 2017 I Investor Relations

3 Financial Year impacted by weak markets and one-off effects Sound Industrial Sector offset by weak Medical Sector Revenue by segment (vs. 2) ) Sempermed 41% (43%) Semperflex 24% (22%) Industrial Sector with volume growth and further gains in market share despite very difficult markets Medical Sector: not satisfying development, negative effects from challenging price and cost situation as well as one-off effects from the JV transaction Adjusted figures with expected decline Revenue decreases by -6.8% to EUR m Adjusted EBITDA -14.1% and Adjusted EBIT -26.5% 2) Significant one-off effects from JV transaction Negative non-cash effects of EUR 31.9m in overcompensated by substantial positive effects after JV closing in 2017 Semperform 18% (17%) Revenue by region (vs. 2) ) Asia, Africa, others 12% (12%) Sempertrans 17% (18%) Europe 68% (66%) Proposed dividend for FY of EUR 0.70 per share if JV transaction is closed Adjusted results before one-off effects 2) Values for restated North and South America 20% (22%) 3 Investor Presentation FY I 10 March 2017 I Investor Relations

4 Semperflex: Excellent performance Sempertrans: Competing successfully in very challenging markets FY vs. FY Semperflex Revenue EBITDA EBIT Market -10% -0.5% +4% +3% Good utilisation due to strategic alliances with key customers despite challenging market environment Hydraulic hoses: Outperforming the market in sales and profitability Industrial hoses: Continuously stable development on high level Sempertrans Revenue EBITDA EBIT Market -10% -32% -39% -15% Margins under pressure due to subdued market demand, sharply increased raw material prices and strong price competition Low demand for heavy belts Satisfactory capacity utilisation with increased production of lighter belts Sales focus on industrial customers like harbors and cement industry Values for restated 4 Investor Presentation FY I 10 March 2017 I Investor Relations

5 Semperform: Stable development Sempermed: Negative effects from margin squeeze and one-off items FY vs. FY Semperform Revenue EBITDA 2) 2) EBIT -4% Market -2% +2% +5% Market share gains in decreasing markets Profiles: successful market entry in the USA; increasing market share in Western and Central Europe compensated decline in Russia Handrails: business benefits from strong After-Sales-Market Sempermed Revenue EBITDA EBIT Market -78.1% -78% -12% n.a. +5% Global glove market still growing but all producers affected by margin squeeze One-off effects of JV transaction and start-up costs in Malaysia put pressure on earnings Focus on core markets Europe and North America Cost reduction programme and efficiency improvements continue Values for restated 2) EBITDA and EBIT in was positively influenced by one-time bad will effect from acquisition of Leeser (EUR 3.4m). 5 Investor Presentation FY I 10 March 2017 I Investor Relations

6 Highlights of agreed Joint Venture transaction Semperit Sri Trang Highlights Sempermed 100% 100% Sempermed USA, USA Sempermed Singapore, Singapore 100% 76% Siam Sempermed Corporation (SSC), Thailand 100% Approximately USD 200m cash inflow before tax USD 167.5m compensation payment to Semperit 100% Sempermed Brazil, Brazil FormTech Engineering, Malaysia Shanghai Sempermed Glove Sales, China USD 51m of SSC dividend to Semperit USD 15m dividend payment of SAC to JV partner Semperflex 100% Semperflex Shanghai, China 50% Semperflex Asia (SAC), Thailand 50% Use of proceeds to foster growth investments and to strengthen capital base Closing expected for March 2017 Semperform 100% Shanghai Semperit Rubber & Plastic Products, China 6 Investor Presentation FY I 10 March 2017 I Investor Relations

7 Challenging market conditions in all sectors Revenue by segment vs. in EUR m % Industrial Sector Medical Sector -2.8% -0.5% -10.0% +1.9% -12.1% FY Semperflex Sempertrans Semperform Sempermed FY -0.5% = % change 7 Investor Presentation FY I 10 March 2017 I Investor Relations

8 EBIT mainly impacted by one-off effects EBIT by segment vs. in EUR m % SSC effect one-offs SSC effect 7.3% 13.8% % 8.2% 11.8% -6.9% 3.2% 5.8% EBIT Semperflex Sempertrans Semperform Industrial Sector Sempermed Medical Sector Corporate Center EBIT Adj. for Sempermed one-offs Adj. EBIT 2) Values for restated 2) Adj. results before one-off effects 19.5% = EBIT margin 8 Investor Presentation FY I 10 March 2017 I Investor Relations

9 one-off effects related to the planned JV termination Total one-off effects in EUR m Negative effects in more than offset in : Value adjustments related to planned JV termination and weak Sempermed performance Impairment of Sempermed Goodwill (-17.0m) Tax accruals Brazil of 7.2m (-4.7m EBITDA effect) Deferred taxes of 7.7m Value adjustments : Positive effects from planned JV termination Tax accruals Brazil Deferred taxes e EBITDA effect EBIT effect Cash inflow of approx. USD 200m (EUR 187m) before tax at closing Estimated positive effects of EUR 85-95m (EBITDA/EBIT) and 65-75m on earnings after tax Earnings after tax effect Estimated one-off effects on EBITDA / EBIT basis after expected closing of JV transaction 9 Investor Presentation FY I 10 March 2017 I Investor Relations

10 Dividend Payment linked to closing of JV transaction Management Board will propose a dividend of EUR 0.70 per share for FY to the AGM Adjusted earnings per share (without one-off effects) of EUR 1.12 per share for FY Dividend proposal is based on the assumption that there will be a closing of the JV transaction If the closing of the transaction fails, Management Board reserves the right to propose a resolution to the AGM that deviates from this dividend proposal 10 Investor Presentation FY I 10 March 2017 I Investor Relations

11 : Solid results before one-off effects despite weak markets Key Financials Semperit Group in EUR m % Revenue % Adj. EBITDA 2) % EBITDA % Adj. EBIT 2) % EBIT % Adj. Earnings after tax 2) % Earnings after tax 2)3) Total one-off effects Profitability Adj. EBITDA margin 2) 9.7% 10.5% -0.8 PP Adj. EBIT margin 2) 5.8% 7.3% -1.5 PP Adj. Earnings per share in EUR 2)3) % Values for restated 2) Adj. results before one-off effects 3) Attributable to the shareholders of Semperit AG Holding 11 Investor Presentation FY I 10 March 2017 I Investor Relations

12 CAPEX and Working Capital Overview CAPEX per Segment in EUR m % Semperflex Sempertrans Semperform Components of Working Capital in EUR m % Inventories Trade receivables Sempermed Other Trade payables 31 Dec 31 Dec 17.6% 17.1% 17.1% = Trade Working Capital in % of LTM revenues 12 Investor Presentation FY I 10 March 2017 I Investor Relations

13 Agenda Operational Development and Financial Performance Outlook Appendix 13 Investor Presentation FY I 10 March 2017 I Investor Relations

14 Outlook 2017: Positive effects from JV transaction expected Economic outlook Moderate economic recovery anticipated Significant increase of raw material prices in H Semperit outlook Stable sales development with high capacity utilisation Results of 2017 will be driven by significant positive effects (EUR 85-95m EBIT effect) of JV transaction Adjusted EBIT 2017 before one-offs below figure (EUR 49m) expected, effected by margin pressure from rising raw material prices elimination of SSC earnings contribution Industrial Sector Price increases are implemented, however with a time lag Production capacities well utilised in all segments High capacity utilisation limits positive effects from expected market recovery Medical Sector Price and margin pressure will continue Transition year after planned JV transaction Focus on core markets Europe and North America Efficiency, optimisation and cost cutting measures under way Commissioning of the new production capacities in Malaysia 14 Investor Presentation FY I 10 March 2017 I Investor Relations

15 Contact and financial calendar Investor Relations Semperit Group Stefan Marin, Head of Investor Relations Modecenterstrasse Vienna, Austria Financial Calendar /03/2017 Publication of annual financial statements 16/05/2017 Report on Q /05/2017 Annual General Meeting 30/05/2017 Ex-dividend day 01/06/2017 Dividend payment day 17/08/2017 Report on H /11/2017 Report on Q Disclaimer The information provided in this presentation does not constitute an offer for the sale of securities nor an invitation to submit an offer to purchase shares of Semperit AG Holding, but exclusively serves information purposes. Rounding of differences in the totalling of rounded amounts and percentages may arise from the automatic processing of data. The forecasts, plans and forward-looking statements contained in this presentation are based on the knowledge and information available and the assessments made at the time that this report was prepared. As is true of all forward-looking statements, these statements are subject to risk and uncertainties. As a result, the actual events may deviate significantly from these expectations. No liability whatsoever is assumed for the accuracy of projections or for the achievement of planned targets or for any other forward-looking statements. 15 Investor Presentation FY I 10 March 2017 I Investor Relations

16 Agenda Operational Development and Financial Performance Outlook Appendix 16 Investor Presentation FY I 10 March 2017 I Investor Relations

17 Sharp increase in raw material prices since November Prices for important raw materials rose quickly by % in the last 4 months 225 Styrene Butadiene Rubber 1502 in MYRc/kg 900 Natural Latex 60% MRB SBR Europe SBR Asia Index based on 01/01/ = Investor Presentation FY I 10 March 2017 I Investor Relations

18 Group and Sectors: vs. Industrial Sector Medical Sector Semperit Group In EUR m restated 2) % restated 2) % restated 2) % Revenue % % % Adjusted EBITDA % % Adjusted EBITDA margin 3.3% 7.5% -4.2 PP 9.7% 10.5% -0.8 PP EBITDA % % % EBITDA margin 17.7% 18.0% -0.3 PP 1.9% 7.5% -5.6 PP 9.1% 10.5% -1.4 PP Adjusted EBIT % Adjusted EBIT margin -0.6% 4.4% -5.0 PP 5.8% 7.3% -1.5 PP EBIT % % EBIT margin Adjusted Earnings after tax 13.8% 14.8% -1.0 PP -6.9% 4.4% PP 3.2% 7.3% -4.1 PP % Earnings after Tax Earnings per share in EUR 3) Investments Employees % 3,637 3, % % 3,183 3, % % 6,974 7, % Including Corporate Center (Holding, central functions, special projects): Costs of EUR 18.7m in FY (EUR 27.7m in FY ) 2) Values for restated 3) Attributable to shareholders of Semperit AG Holding 18 Investor Presentation FY I 10 March 2017 I Investor Relations

19 Semperit Group per quarter Key Financials Semperit Group in EUR m FY 2014 Q1 Q2 Q3 Revenue Q4 FY Q1 Q2 Q3 Q4 FY Adj. EBITDA EBITDA margin 11.9% 10.0% 12.2% 10.4% 9.4% 10.5% 12.2% 11.9% 9.3% 2.8% 9.1% 9.7% EBIT EBIT margin 7.4% 7.0% 9.0% 7.3% 5.8% 7.3% 8.5% 8.0% 5.0% -9.4% 3.2% 5.8% Financial result Earnings after tax Earnings per share in EUR 2) Values for 2014 and restated 2) Attributable to shareholders of Semperit AG Holding 19 Investor Presentation FY I 10 March 2017 I Investor Relations

20 Semperflex and Sempertrans per quarter Key Financials Semperflex in EUR m FY 2014 Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Q4 FY Revenue EBITDA EBITDA margin 24.0% 24.6% 25.3% 22.7% 17.6% 22.7% 25.2% 26.0% 20.7% 22.7% 23.7% EBIT EBIT margin 18.2% 21.0% 21.5% 18.6% 13.4% 18.8% 21.1% 22.0% 16.1% 18.5% 19.5% Key Financials Sempertrans in EUR m FY 2014 Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Q4 FY Revenue EBITDA EBITDA margin 14.3% 12.2% 14.6% 14.1% 15.1% 14.0% 13.6% 14.5% 9.2% 4.1% 10.7% EBIT EBIT margin 11.5% 10.2% 12.5% 12.2% 13.2% 12.1% 11.3% 12.1% 6.3% 1.5% 8.2% Values for 2014 and restated 20 Investor Presentation FY I 10 March 2017 I Investor Relations

21 Semperform and Sempermed per quarter Key Financials Semperform in EUR m FY 2014 Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Q4 FY Revenue EBITDA EBITDA margin 14.5% 11.6% 24.2% 16.7% 9.0% 15.9% 15.6% 17.9% 16.4% 15.5% 16.4% EBIT EBIT margin 9.9% 8.9% 21.2% 13.4% 4.4% 12.5% 11.2% 13.8% 11.9% 9.6% 11.8% Key Financials Sempermed in EUR m FY 2014 Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Q4 FY Adj. Revenue EBITDA EBITDA margin 8.8% 5.2% 6.8% 7.5% 10.3% 7.5% 7.0% 2.2% 2.1% -3.6% 1.9% 3.3% EBIT EBIT margin 4.6% 2.1% 3.5% 4.6% 7.1% 4.4% 3.3% -2.0% -2.3% -26.3% -6.9% -0.6% Values for 2014 and restated 21 Investor Presentation FY I 10 March 2017 I Investor Relations

22 Solid balance sheet structure and financial flexibility Balance sheet structure 31 December Financial profile as of 31 December Balance sheet total: EUR 1,035 m Cash and cash equivalents of EUR 190m despite investment programme Assets for Sale Cash and cash equivalents Current assets Trade receivables Inventories Fixed assets Other liabilities incl. deferred taxes Corporate Schuldschein loan Liabilities to banks Provisions incl. social capital Liabilities from redeemable noncontrolling interests Equity Financial liabilities: Corporate Schuldschein loan of EUR 276m Net debt of EUR 230m Net debt / EBITDA of 2.96x Equity ratio of 31.8% Assets Equity & Liabilities 22 Investor Presentation FY I 10 March 2017 I Investor Relations

23 Key figures 2008 Key performance figures in EUR m ) ) 3) Adj. Revenue EBITDA EBITDA margin 13.4% 17.5% 16.3% 13.4% 13.1% 14.6% 11.9% 10.5% 9.1% 9.7% EBIT EBIT margin 9.0% 11.8% 11.9% 9.8% 8.8% 9.7% 7.4% 7.3% 3.2% 5.8% Earnings after tax Earnings per share (EPS) 2), in EUR Gross cash flow Return on equity 12.9% 12.5% 12.9% 13.6% 11.4% 13.3% 8.6% 12.8% -2.7% Balance sheet key figures in EUR m ) ) Balance sheet total ,034.5 Equity 2) Equity ratio 60.1% 58.4% 59.2% 61.5% 49.3% 48.3% 53.7% 38.7% 31.8% Investments in tangible and intangible assets Employees (at balance sheet date) 7,064 6,649 7,019 8,025 9,577 10,276 6,888 7,053 6,974 Values for 2011 restated (see Annual Report 2012, Notes 2.18), values for 2010 not restated. 2) Attributable to the shareholders of Semperit AG Holding 3) Values for 2014 and restated 23 Investor Presentation FY I 10 March 2017 I Investor Relations