Annual results by J. De Wilde, CEO BOUWEN AAN DE TOEKOMST. De kracht van toekomstgericht denken.

Transcription

1 Annual results 23 De kracht van toekomstgericht denken. BOUWEN AAN DE TOEKOMST by J. De Wilde, CEO

2 2 Business highlights 23 Overall strong performance Central Europe and Asia : very strong North America and Western Europe : weak Financials Results from operations reached m 112 (an increase by 74 %) A net result of m 85 EPS before goodwill amounts to 4.32 euro Proposed gross dividend euro per share (an increase by 4 %)

3 3 Sales m Consolidated Joint ventures and associates

4 4 Sales per segment Combined sales Consolidated sales Advanced wire products Fencing systems Europe Advanced materials Advanced coatings Others Total m % % m % % % -5.3% % -.8% % -8.5 % % -8.5% % 5.5 % % 5.5 % % -7.3 % % -6.5% 1. % % % -6.8% % -3.6% Advanced materials 4% Fencing systems Europe 17% Combined sales Advanced coatings 5% Advanced wire products 74% Fencing systems Europe 21% Consolidated sales Advanced coatings Advanced 6% materials 6% Advanced wire products 67 %

5 5 Spread Combined sales Consolidated sales European Union C & E Europe North-America Latin-America Asia Rest of the world Total Asia 8% Latin America 26% Combined sales Rest of the world 2% m % % m % % Eur. Union 35% North America 21% 35.8 % 7.6 % 21. % 25.6 % 8.2 % 1.8 % 1 % C & E Europe 8% -6.3 % 38.9 % % -9.2 % 2. % 2.4 % -6.8 % Asia 12% Latin America 1% Rest of the world 2% Consolidated sales North America 27% % 11.1 % 26.9 % 1.3 % 11.7 % 1.6 % 1 % Eur. Union 47% C & E Europe 11% -6.1 % 38.9 % % % 2.3 % 18.2 % -3.6 %

6 6 Activity report

7 7 Advanced wire products Sales m Consolidated Companies Joint ventures & associates

8 8 Advanced wire products Combined sales Consolidated sales Asia 8,8% Rest of the world 1,6% Eur. Union 23,1% Latin America 1,1% Asia 13,8% Rest of the world 1,4% Eur. Union 36,7% C & E Europe 8,4% Latin America 34,1% North America 24,% North America 33,5% C & E Europe 13,5%

9 9 Advanced wire products Combined sales per activity platform Steel cord others 3.3% Others 1.5% Wire Europe 17.1% Steel cord China 5.8% Building Products 5.3% Wire Asia.7% Wire L. America 28.6% Wire N. America 1.7%

10 1 Advanced Wire Products Wire Europe Weak performance Increased pressure on margins Significant growth in C. & E. Europe acquisition Drôtovña Drôty European plant reconfiguration Wire North America Weak performance Sharp increase of wire rod prices Intense competition Acquisition of the remaining 5% in Contours Wire Latin America Continued positive trend in 23 Mercosur : good year, due to higher exports Andina : lower demand and increased pressure on prices Vicson : good results (after restructuring)

11 11 Advanced Wire Products Wire Asia Consolidation and growth Start up of nylon-coated wire at Jiangyin (China) Good sales of traditional agricultural fencing products Building products Maintained level of activity Weak local markets compensated by large scale projects Relocation of products to Central Europe Steel cord China High growth Production capacity expansion (target 12 tonnes by end 24) Bekaert quality award handed to Shanghai Baosteel (wire rod supplier)

12 12 Advanced Wire Products Steel cord others North America: American Tokyo Ropes stopped production Europe : - tyre producers relocate production - acquisition of Drôtovña Kordy - growing Russian market Latin America: growth and capacity expansion Asia : steady developments in India and Indonesia Other polymer reinforcement products : overall positions were held or improved production of belt cord relocated from Zwevegem to Hlohovec Other advanced wire products (card clothing, rope) Carding products : growing market, specific in Asia Ropes : weak performance

13 13 Fencing systems Europe Sales m Consolidated companies Joint ventures & associates

14 14 Fencing systems Europe Rationalisation plan successfully implemented more products with higher added value optimisation of the plant configuration, sales and the administration Growing demand for security fencing systems Sales in Central Europe increased significantly Bekaert Handling restructuring on going

15 15 Advanced materials Sales m Consolidated companies Joint ventures & associates

16 16 Advanced materials Combined sales : geographical Combined sales per activity C. & E. Europe 3.3% North America 19.1% Latin America.6% Asia 14.6% Composites 23.4% Fibre technologies 47.9% Eur. Union 61.4% Rest of the world 1.% Combustion technologies 28.7%

17 17 Advanced materials Fibre technologies Filtration : market share maintained Textile : demand for vehicle seat heating continued to rise Strong position in heat-resistant fibre mats for window screen production Strong growth in metal fibre textiles for metal-fibre burners Combustion technologies Market leader in burners for high-efficiency boilers Partnership with Bosch Junkers Acquisition of Solaronics, early 24 Composites Low demand for composite profiles Composite profiles business sold to Exel Oyj (Finland) Stable sales in glass fibre-reinforced pressure vessels

18 18 Advanced coatings Sales m Consolidated companies Joint ventures & associates

19 19 Advanced coatings Combined sales : geographical Combined sales per activity North America 53.7% Latin America 3.4% Specialised films Asia Industrial coatings 55.6% 4.6% Rest of 44.4% the world 6.7% C. & E. Europe 1.8% Eur. Union 29.8%

20 2 Advanced coatings Industrial coatings World leader in rotating sputter targets high demand for glass with special coatings increased substitution of planar targets by rotating targets Significant adhesion improvement in thermal spraying strong position in coatings for racing car components and DVD moulds Consolidate leading position in industrial coatings increased interests in Sorevi (France) and PST (Singapore) Specialised films Exit Unisolar Difficult year due to very weak demand in the U.S. Sharp increase in sales outside U.S., mainly Europe and Asia Increased development efforts

21 21 Consolidated financial statements

22 22 Income statement

23 23 Ebit Ebit/sales ,1 6,6 6, ,7 5,7 6,6 4,1 6,2 5 3,3 3, EBIT Before non-recurring EBIT / sales Before non-recurring

24 24 Ebit : currency impact in m Margin on sales ,% 112 m 26 7,% 7,1% 6,% 6,2% 1 5,% 4,% 3,% 5 2,% 1,%,%,5 1 1,5 2 2,5 Nominal At constant Nominal At constant

25 25 15 Ebit per business segment in m 12,% Ebit/sales ,% 1,1% adv.wire products 9 8,% 7,5% adv.mat ,% 4,% 2,% 6,2% 6,6% fencing systems Europe -3-6 Adv. wire products Fencing systems Europe Adv. materials Adv. coatings Others,% -2,% -4,% -1,9% adv. coatings,5 1 1,5 2 2,5-2,2% Others

26 26 Results from operations per segment In EBIT EBIT/sales EBITDA EBIT EBIT/sales EBITDA Advanced wire products % % Fencing systems Europe % (8 838) -2.1% 1 11 Advanced materials % % Advanced coatings (2 14) -1.9% % Others* (4 491) -2.3% (36 625) (52 93) -2.8% (32 238) TOTAL % % (*) Mainly group services

27 27 Ebitda Ebitda/sales 3 in m ,1 13, ,2 12,1 11,

28 28 Cash flow In m Cash flow EBITDA

29 29 Share in the result of joint ventures in m ,7 4, 4,1 4, 3, Share in the result Amortisation goodwill

30 3 Consolidated net result In m Result Result before goodwill

31 31 Balance sheet

32 32 Balance sheet : restatements IFRS In m Reported in IFRS Reported in 22 Restatements Restatements 22 IFRS Non current assets Equity 832 (74) 758 Minorities Current assets (other receivables pension assets ) 785 (37) 748 Non current liabilities (Employee benefit obligations) Current liabilities Deferred tax assets Deferred tax 7 (4) (31) (31) 1 922

33 33 Consolidated balance sheet 23 Assets Equity and liabilities In m Non-current assets Equity Minority interests Non-current liabilities Current assets Current liabilities Deferred tax assets 15 1 Deferred tax liabilities TOTAL ASSETS TOTAL EQUITY AND LIABILITIES

34 34 Financial structure Equity to total assets Net debt to equity (gearing) 25 2 m % , % 51.6 % 43.7 % 41.8 % 42.7 % ,5 45,6 44, , Total balance Equity to total assets

35 35 Capital expenditure Depreciation & amortisation 25 m 222 m Consolidated J.V. & associates Total 99 ' '1 '2 '3 Consolidated J.V. & Associates Total

36 36 Return on capital employed 15 Roce 2 Asset rotation 1 8,8 9, 1,5 1,38 1,37 1,28 1,36 1,45 7, ,2 4,7, Roce Sales/capital employed

37 37 Return on equity Earnings per share 12 1 % 8,6 1,2 11, ,56 3,83 4,56 4,86 3,85 4, , ,15 4 4, ,9-1,4-4 -4, ' '1 '2 '3-6 EPS EPS before goodwill R.O.E.

38 38 WACC 15% 1% 5% % % -1% WACC RoIC Spread

39 39 Dividend Gross dividend Dividend yield Dividend yield Share price (31.12) % Share price (average) % ,9,8 1, ,4 3,9 3,9 3,5 4,5 4 3, ,7 3,3 4,1 3,7 4,2 4,5 4 3,5,7,6,5 1,6 1,68 1,68 1, ,9 55,1 49,85 43,27 43,15 5,5 3 2, ,17 5,46 4,51 45,57 41,22 3 2,5 2,4 3 1,5 3 1, ,3 1,5 1,5, Share price % yield Share price (average) % yield

40 4 Outlook

41 41 24 Outlook North American and West European markets remain hesitant Further growth expected in Latin America, Central Europe and Asia Order book Slightly increasing within advanced wire products High for steel cord products for tire reinforcement Season for fencing activities took off well Forecast for advanced materials and coatings is good Challenges Wire rod price increase and wire rod supply $/ exchange rate Continuous evaluation of the product portfolio