Quarterly Financial Statements as per 31 March 2016 Conference Call

Transcription

1 Quarterly Financial Statements as per 31 March 2016 Conference Call Munich, Andreas Helber, CFO

2 Agenda 1. Development of the Group 1-3/ Development of the Segments 1-3/ Outlook for FY 2016 Appendix Page 2

3 Development of the Group 1-3/2016 Page 3

4 Development of the Group 1-3/2016 Summary Revenues EUR 3,468.4 million (Δ 15/16: EUR million) Sharp increase in grain and oilseed selling volumes through expansion of international trading activities Oil price-induced revenue decline in conventional energy Building materials business benefits from mild weather conditions in EUR m +0.5% 3, , EBIT EUR million (Δ 15/16: EUR -9.1 million) in EUR m > -100% Shortfall in Agri Trading due to pressure on margins and delayed inputs business Increase y/y in Energy and Building Materials Segments * Figures adjusted *

5 Development of the Segments 1-3/2016 Page 5

6 Agriculture Segment 1-3/2016 Grain Oilseed Seed Fertilisers Crop protection Feedstuff Fruit Agricultural Equipment Digital Farming Page 6

7 Agriculture Segment 1-3/2016 Market developments: Products Products Global grain production 2015/16 at around two billion tons for the third time in a row; oilseed harvest at yearearlier record level of 675 million tons World grain balance (excluding rice; April 2016) In million tons Inventory change Production Consumption Inventories 2015/16 (grain & oilseed) continue to increase despite higher consumption Grain prices (Matif) in a sharp downtrend from November 2015 to March 2016; since then marginal recovery to 150 /t (wheat) & 160 /t (maize); reluctance of farmers to sell Harvest estimates 2016/17 predict another aboveaverage volume of grain: Global grain production at ca 1,997 million tons (+0.2%) EU harvest volume at around 306 million tons (-0.8%) Good growing conditions in Germany: grain volume of around 48.2 million tons anticipated in 2016 (previous year: 48.9 million tons) Source: USDA; 2015/16 forecast Page 7

8 Agriculture Segment 1-3/2016 Market developments: Inputs, Fruit, Equipment Input Resources Fruit Agri-Equipment Delayed start to the fertiliser season due to weather conditions; postponing effects in Q2 Reduction of EU stocks from apple harvest 2015 progressing Downturn in almost all EU markets Slight delay to NZ apple harvest 2016; high volumes and fruit qualities promise rising export volumes Significant decrease in willingness to invest of German farmers New tractor registrations in Germany continue to decline (-11.9% y/y) Downtrend in fertiliser prices Solid demand for seed Q1 demand for crop protection lower year on year; recovery as from March Fruit selling season from the southern hemisphere has started Page 8

9 Agriculture Segment 1-3/2016 Revenues and EBIT as against the previous year BAST BAV (BayWa Agri Supply & Trade) (BayWa Agrar Vertrieb) in EUR m BAST + BAV in EUR m +3.4% 2, , Revenues 2,150.1 Revenues Revenues % EBIT EBIT EBIT Commentary on BAST: Sharp increase in grain and oilseed trading volumes of BAGI companies (+35% y/y) Margin pressure due to sustained price declines in agricultural products Risk averse trading strategy narrows profit margins * Commentary on BAV: Y/y decline in domestic fertiliser and crop protection sales due to delayed vegetation; increase in seed sales Significant downtrend in fertiliser prices puts pressure on margins * Figures adjusted

10 Agriculture Segment 1-3/2016 Revenues and EBIT as against the previous year Agricultural Equipment Digital Farming in EUR m in EUR m -16.2% Revenues Revenues > -100% EBIT EBIT * Revenues: 15/16 EUR million EBIT: 15/16 EUR -7.8 million Revenue decrease as expected owing to decline in new and used machinery business Downturn in demand for farm and animal equipment Stable service capacity utilisation Cost increases (personnel) burden result Revenues from the activities of PC-Agrar GmbH and its subsidiaries (software licensing fees etc.) Investment in new Next Farming product generation incurs R&D costs * Figures adjusted

11 Agriculture Segment 1-3/2016 Revenues and EBIT as against previous year Fruit In EUR m +9.0% Revenues > -100% EBIT * Revenues: 15/16 EUR million EBIT: 15/16 EUR -1.3 million Revenue increase largely due to initial consolidation of TFC Holland Good start of NZ apple exports Higher costs because of special payment (T&G employees) and TFC acquisition costs * Figures adjusted Page 11

12 Agriculture Segment 1-3/2016 Key Financials Income Statement Agriculture in EUR m Q Q Q1 2014* Q1 2015* Q /16 (%) Revenues 1, , , , , % % 2.7% 1.2% 1.6% 1.3% 0.5% % 0.8% 1.1% 0.8% 0.0% % 0.6% 0.6% 0.3% -0.5% EBITDA % of Revenues EBIT % of Revenues EBT % of Revenues > -100% > -100% * Figures adjusted Page 12

13 Energy Segment 1-3/2016 Fuels Heating Oil Lubricants Solid Biofuels BayWa r.e. Page 13

14 Energy Segment 1-3/2016 Market developments Renewable Energies Conventional Energy Installations of 64 GW anticipated globally for wind in 2016; Germany is largest EU market with 3.6 GW Growth drivers of solar energy are China, USA and Japan; in 2016 around 64 GW of new installations predicted worldwide Crude oil prices fall to 12-year low in January; since then slight recovery to currently around USD 45 per barrel Demand for heating oil benefits from low oil price level High privat consumption determines positive economic development in Germany Another Amendment of German Renewable Energies Act planned Heating oil prices Germany ( ) Source: TECSON, as of May 2016 Page 14

15 Energy Segment 1-3/2016 Revenues and EBIT as against previous year Conventional Energy Renewable Energy In EUR m in EUR m -15.4% +29.8% Revenues Revenues > +100% > +100% EBIT EBIT * Revenues: 15/16 EUR million EBIT: 15/16 EUR +2.8 million Oil price-induced downturn in revenues Sales growth in fuels and heating energy sources: heating oil +6% y/y; wood pellets +9% y/y Improved heating oil margins Very strong first quarter * Revenues: 15/16 EUR million EBIT: 15/16 EUR million Sales growth through expansion of UK project business: commissioning of 6 solar farms (128 MW) Homestead solar farm sold in UK (17.7 MW) Income of 10.7 million from currency hedging (GBP) * Figures adjusted Page 15

16 Energy Segment 1-3/2016 Key Financials Income Statement Energy in EUR m Q Q Q1 2014* Q1 2015* Q /16 (%) Revenues % > 100% 1.9% 1.4% 1.1% 1.4% 4.0% % 0.3% 0.0% 0.2% 2.6% % -0.2% -0.4% -0.4% 2.0% EBITDA % of Revenues EBIT % of Revenues EBT % of Revenues > 100% > 100% * Figures adjusted Page 16

17 Building Materials Segment 1-3/2016 Building Materials Page 17

18 Building Materials Segment 1-3/2016 Market developments Market trends Weather conditions enable early and dynamic start to the 2016 building season Sentiment in German Construction Sector Construction Industry Increase in building permits of 8.4% in 2015 boosts demand Forecast of 3% revenue increase in German construction industry in 2016 Government promotes public-sector construction and residential construction through additional incentives and tax relief Sustained boom in residential building in conurbations: Completion of 300,000 apartments expected in 2016 Business climate of construction industry improved: ifo index up 0.2 points in April Assessment present state of business Expectation business development Source: ifo-institut; as of April 2016 Page 18

19 Building Materials Segment 1-3/2016 Revenues and EBIT as against previous year Building Materials Segment in EUR m Revenues: EBIT: +7.5% Building Materials Building Materials % Revenues: 15/16 EUR million Higher demand for building materials due to mild weather Increase in sales of the entire product range; civil engineering and garden & landscape design benefits from short period of ground frost * EBIT: 15/16 EUR +1.8 million Seasonally typical negative result Volume increase in the warehouse and transit business enhances profit Savings on fuel costs * Figures adjusted Page 19

20 Building Materials Segment 1-3/2016 Key Financials Income Statement Building Materials in EUR m Q Q Q1 2014* Q1 2015* Q /16 (%) Revenues % EBITDA % -4.1% -9.0% -3.7% -5.2% -4.1% % -10.2% -5.0% -6.7% -5.5% % -10.4% -6.3% -8.0% -6.8% % of Revenues EBIT % of Revenues EBT % of Revenues 10.8% 9.5% * Figures adjusted Page 20

21 Other Activities 1-3/2016 Revenues and EBIT as against previous year In EUR m -2.9% Revenues -65.8% EBIT * Revenues: 15/16 EUR -0.1 million EBIT: 15/16 EUR -5.2 million EBIT consists of overhead costs and consolidation effects Lower income from associated companies, currency losses and higher administration costs cause EBIT to decline * Figures adjusted Page 21

22 Development of the Group 1-3/2016 Key Financials Income Statement Q /16 (%) in EUR m Q Q Q1 2014* Q1 2015* Revenues 2, , , , , % % 1.5% 0.6% 1.1% 0.8% 0.5% % -0.2% 0.2% -0.1% -0.4% % -0.5% -0.2% -0.6% -0.9% % % -53.8% -24.4% -58.0% -15.0% -2.5% % 124.4% 158.0% 115.0% 102.5% EBITDA % of Revenues EBIT % of Revenues EBT % of Revenues Consolidated net loss Share of minority interest as % of net income Share of owners of parent company as % of net income Earnings per share (EPS) in EUR > -100% -53.3% -40.9% -39.2% * Figures adjusted Page 22

23 Development of the Group 1-3/2016 Key Financials Balance Sheet in EUR m Q /16 (%) Q Q Q1 2014* Q1 2015* FY 2015 Total assets 4, , , , , , % Equity 1, , , , , , % 23.2% 19.6% 19.8% 16.9% 17.8% 16.2% 21.8% 22.0% 20.5% 21.4% 19.5% Q Q Q1 2014* Q1 2015* FY 2015 Non-current assets 1, , , , , , % Current assets 2, , , , , , % Provisions % Non-current financial liabilities , , , % Current financial liabilities , , , , , % Equity ratio Equity ratio adjusted** in EUR m Q /16 (%) * Figures adjusted ** Adjusted for the reserve formed since 2012 for actuarial profits and losses Page 23

24 Outlook for FY 2016 Page 24

25 Outlook for 2016 AGRICULTURE AGRICU LTURE E ENERGY Expansion in the trading activities of the BAGI companies (Wessex, Evergrain) Approximately 10% growth in trading volume of grain and oilseed anticipated Input resources business likely to exceed year-earlier level if weather conditions remain normal Lower y/y order intake budgeted for new and used machinery; good service capacity utilisation unlikely to compensate for downturn in sales Strong fruit business expected from TFC acquisition and T&G export activities Output capacity of around 375 MW planned for 2016 (175 MW wind, 200 MW solar) Margin pressure due to growing competition in international project business; PV trade in Europe likely to have bottomed out No sustainable recovery in oil prices foreseeable; high demand for heating oil likely to slow Stable demand for fuel and lubricants expected due to positive economic development Slight increase predicted in construction for 2016: sales growth of 3% in German construction industry Growth secured through government incentives for residential building Recovery in demand anticipated for SanReMo product portfolio (subsidy program in Bavaria); expansion of e-commerce Price pressure on building services and building materials due to increasing competition Earnings growth should virtually compensate for cost increases (wages & salaries) ENERGY BUILD. MAT. BUIL DING MAT ERIA LS

26 Thank you for your attention The information in this presentation is partly made up of forward-looking statements which are based on assumptions and are subject to unforeseeable risks. In as much as the assumptions on the successful integration of acquisitions and on the internal growth of the company should prove to be inaccurate, or should other unforeseeable risks occur, the possibility of the assets, financial position and results of operations of the Group diverging negatively from the target figures cited in this presentation should not be discounted. can therefore undertake no guarantee that the actual development of the net worth, financial position and results of operations of the Group will concur with the target figures described in this presentation.

27 Appendix Page 27

28 Agriculture Segment 1-3/2016 Market Price Trends Wheat & Corn International Paris, 25/04/2016 Granulated Urea & CAN Baltic Sea Ports, 25/04/2016 /t /t Closing price as of 25/04/ closing price as of 25/04/ Closing price as of 25/04/2016 = Wheat Matif, Paris = Granulated Urea, Baltic Sea Ports = Corn Matif, Paris = CAN, Baltic Sea Ports Closing price as of 25/04/2016 Source:: Page 28

29 BayWa Share Page 29

30 BayWa Share Shareholder Structure as per 31/03/2016 Bayerische RaiffeisenBeteiligungs AG 35.2% Freefloat 39.6% BayWa Share Profile (March 2016) Stock Exchanges Frankfurt, Munich, Xetra Segment Official Market/Prime Standard Stock exch. Index SDAX (Sec. code no and ) ISIN DE und DE Share capital EUR 89,046, Number of Shares 34,783,980 Raiffeisen Agrar Invest GmbH 25.2% Denomination No-par value shares with an arithmetical portion of 2.56 each in the share capital Securitisation In the form of a global certificate deposited with Clearstream Banking AG. Shareholders participate as coowners corresponding to the number of shares held (collective custody account) Page 30

31 BayWa Share Share Price Performance Share From 01/01/2015 to 28/04/2016 BayWa (Sec. code no ) Closing Price on 31/03/ High (15/04/2015) Low (14/12/2015) Closing Price on 31/03/ Market Capitalisation in EUR m As per 31/03/2015 1,267.3 As per 31/03/2016 Freefloat Market cap. (31/03/2016) 1, Page 31

32 Contact and Financial Calendar Financial Calendar 2016/17 May /05 Analysts Conference Call Q1 June /06 Annual General Meeting, ICM Munich August /08 Analysts Conference Call Q2 November /11 Analysts Conference Call Q3 March /03 Analysts Conference, Frankfurt a.m. Head of Investor Relations Josko Radeljic St.-Martin-Str Munich Germany Tel: +49 (0)89 / Fax: +49 (0)89 / investorrelations@baywa.de