Press and financial analysts trip 2013 Update on business situation Autoneum. Martin Hirzel, CEO Autoneum Urs Leinhäuser, CFO & Deputy CEO Autoneum

Similar documents
Investor Presentation

Agenda. 1. Review of business year 2013 Martin Hirzel, CEO. 2. Financial results 2013 Urs Leinhäuser, CFO & Deputy CEO

2011 Annual Results. Martin Hirzel, Chief Executive Officer (CEO)

Investor Presentation

Welcome to the 2017 Annual Results Conference

Half-Year Results Martin Hirzel, CEO and Dr Martin Zwyssig, CFO

Welcome to the 2008 Financial Analysts Conference

Revenue EBIT. Net profit RONA. Autoneum Semi-Annual Report 2018 Autoneum at a Glance.

EBIT (in CHF million) 89.9 * RONA (in %) 20.5 *

Growth path continued with new record highs

Investor Presentation

Investor Presentation

Presentation of FY 2017 Results. February 26 th, 2018

KION Q3 UPDATE CALL Gordon Riske, CEO Thomas Toepfer, CFO Wiesbaden, 14 November 2013

Investor Update Investor presentation, October 27, Dr. Norbert Klapper, Group CEO. Joris. Gröflin,.. Group. CFO...

Good business momentum with strongly improved net profit Half year results 2012

SEMPERIT GROUP H1 2018/Q INVESTOR PRESENTATION. Dr Martin Füllenbach, CEO Frank Gumbinger, CFO 23 August 2018

Rieter - Investor Update 2017

Oerlikon reports strong operating performance in Q2 2012

SEMPERIT GROUP FY 2017 / Q INVESTOR PRESENTATION. Dr Martin Füllenbach, CEO Frank Gumbinger, CFO 16 March 2018

RENAULT GROUP 2012 FINANCIAL RESULTS

Half Year Earnings Press conference August 2, 2018

Media release. Winterthur, March 18, 2015 Page 1/7

Continuous Improvement of Operating Performance Half Year Results 2014

Financial Results H1/ July 2014

Orders received in CHF million. Sales in CHF million. EBIT in CHF million. Capital expenditures in CHF million

2017 HALF-YEAR RESULTS LEVALLOIS, JULY 21 TH, 2017

Strong performance, delivering a record free cash flow Full Year Results 2012

Q Results. Lars Brorsen (CEO) Christoph Hobo (CFO) November 22, 2018

JOHNSON ELECTRIC HOLDINGS LIMITED. FY Interim Results

2015 Half Year Results Strongly improved free cash flow, on track to achieve 2015 targets. 17 July 2015

SEMPERIT GROUP Q INVESTOR PRESENTATION. Dr Martin Füllenbach, CEO Frank Gumbinger, CFO 25 May 2018

Second Quarter Earnings Conference Call

2013 Interim Results. 14 August 2013

July 26, 2017 LafargeHolcim Ltd 2015

FUCHS PETROLUB SE The leading independent lubricants manufacturer of the world

AXA. Jean-Laurent Granier. Chairman & CEO of AXA Global P&C CEO of the Mediterranean and Latin American Region Member of the Management Committee

2016 Full Year Results Solid financial performance - in line with 2020 guidance. 31 January 2017

Half-Year Results 2018

Capital Markets Day April 3, 2013 in Helsinki

KION UPDATE CALL Q Gordon Riske, CEO Thomas Toepfer, CFO Wiesbaden, 7 May 2015

FUCHS PETROLUB SE The leading independent lubricants manufacturer of the world

Third Quarter 2017 Results Jan Jenisch, CEO Ron Wirahadiraksa, CFO. October 27, 2017 LafargeHolcim Ltd 2015

AXA. Gérald Harlin. Group CFO. May 28, Deutsche Bank Global Financial Services Investor Conference 2014

Investor Update Media and Investor presentation, October 31, Dr. Norbert Klapper, Group CEO. Joris. Gröflin,.. Group. CFO...

SEMPERIT GROUP Q / Q INVESTOR PRESENTATION. Dr Martin Füllenbach, CEO Frank Gumbinger, CFO 21 November 2018

Half Year 2013 Earnings

FY 2017 Third Quarter Earnings Call

KUKA AG Presentation Financial results 2012

Henkel AG & Co. KGaA. Klaus Keutmann Frankfurt,

Full Year 2009 Results. Givaudan reinforces its leadership position

Third Quarter 2017 Earnings Conference Call

SIX MONTHS REPORT, JAN JUN 2017

Half year presentation. Rorschacherberg, 27 July 2017

FIRST QUARTER Earnings Conference Call April 26, 2016

Full Year Results 2013

2017 Full Year Results Strong financial performance Investing for the future. 26 January 2018

* EBIT. Net profit. Revenue. Cash flow from operating activities. CHF million.

Comments on the business review and on the consolidated financial statements 3

Fourth Quarter/Full Year 2006 Results and 2007 Financial Guidance

All integration targets achieved entering a new era of profitable growth. Full Year 2010 Results

Orders received in CHF million. Sales in CHF million. EBIT in CHF million. Net result in CHF million

RENAULT GROUP UBS CONFERENCE: FRANKFURT 2011 UBS AUTO CONFERENCE - FRANKFURT 13 SEPTEMBER 2011 RENAULT PROPERTY

First-Half 2010 Results

PRESS RELEASE MARTINREA INTERNATIONAL INC. REPORTS RECORD SECOND QUARTER RESULTS, NEW PRODUCT AWARDS AND ANNOUNCES DIVIDEND

FULL YEAR REPORT, 2017 TELEPHONE/AUDIO CONFERENCE 8 FEBRUARY 2018, AT CET TOMMY ANDERSSON, PRESIDENT AND CEO HELENA WENNERSTRÖM, EVP AND CFO

FUCHS PETROLUB AG The leading independent lubricants manufacturer of the world

Henkel Q Kasper Rorsted Carsten Knobel. London. 1 August 08, Q Henkel Analyst & Investor Call

Rohm and Haas Company. Luis Fernandez Vice President and Business Group Director Paint and Coatings Materials Credit Suisse Chemicals Conference 1

HELLA Investor Update H1 FY 2016/17

MARTINREA INTERNATIONAL INC.

RECTICEL FULL YEAR 2012 RESULTS

FY 2019 First Quarter Earnings Call

MADE TO TRADE. Goldman Sachs 18 th Annual Global Retailing Conference. Dr Eckhard Cordes, CEO 8 September 2011 METRO AG 2011

Call and Webcast 4 th Quarter and FY 2018 Financial Results January 29, 2019

FULL-YEAR 2017 RESULTS

ABB Q results Joe Hogan, CEO Michel Demaré, CFO

Half year presentation. Rorschacherberg, 27 July 2016

AXA. Henri de Castries. Chairman & CEO. London - October 2, Sanford C. Bernstein Strategic Decisions Conference

Imerys and S&B: A strategic combination

Second Quarter 2017 Earnings Conference Call

Jacques Aschenbroich, Valeo s Chairman and Chief Executive Officer, commented:

2011 Results and Outlook. Paris, February 17, 2012

TI Fluid Systems plc Results Presentation for TI Fluid Systems plc 20 March 2018

The Key to Mobility Creating Value with Financial Services

SIX MONTHS REPORT, JANUARY JUNE 2014

Bekaert First Half 2017 Results

2017 ANNUAL RESULTS - STRONG PERFORMANCE IN 2017 WITH OPERATING MARGIN AT 7% OF SALES IN H2 2018, GUIDANCE AHEAD OF ROADMAP

First Quarter - Fiscal 2010 Earnings Call

Financial Information

Stericycle Investor Presentation Q NASDAQ: SRCL

Increase of profitability

H Results. Jacques ASCHENBROICH CEO. July 26, 2012

TI Fluid Systems plc Half Year Results Presentation for TI Fluid Systems plc. 8 August 2018

Full Year Results 2014/15. Analysts Conference November 4, 2015

Third Quarter Earnings Conference Call

MARTINREA INTERNATIONAL INC. Reports Record Quarterly Earnings, Strong Margin Improvement and Announces Dividend

Fourth Quarter 2017 Conference Call. February 8, 2018

FUCHS PETROLUB SE The leading independent lubricants manufacturer of the world

July 24, Interim Results

Transcription:

Press and financial analysts trip 2013 Update on business situation Autoneum Martin Hirzel, CEO Autoneum Urs Leinhäuser, CFO & Deputy CEO Autoneum

Agenda Presentation Martin Hirzel, CEO 1. Attractive automotive supply business 2. Autoneum s strategy for success 3. Conclusion Presentation Urs Leinhäuser, CFO & Deputy CEO 4. Grow profitably and generate free cash flow a strategic priority 5. Update on achievement of mid-term financial targets 6. Outlook 2013 7. Conclusion

Automotive Tier 1 supplier business model «Rules of the game» Sales curve current model Sales curve replacement model Innovationproject Predevelopment 6 months 1-2 years 5-7 years Released Innovation Request for quotation Award Start of production Good visibility of mid-term sales development thanks to transparency on lifecycle volumes Yearly negotiations with the customers to balance their price giveback requests against inflation compensation and value-engineering gains Tooling owned by customer pre-financing by supplier until start of production Upfront investment in equipment amortized by piece price Global platform business entrance barrier for local players OEM model policy determines success or failure of resp. supply business 3

Market development light vehicle production Growing industry 59.5 m units in 2009 83.4 m units in 2013 CAGR 86.7 m units in 2014 98.6 m units in 2017 4.4% * 0%* * * * * * * * * * * Compound annual growth rate (CAGR) 2014-2017 Source: IHS October 2013 (excl. truck) 4

Market outlook Short and mid-term view North America Europe BG Europe End of 2013 Mid-term End of 2013 Mid-term High volume continues until end of year Positive consumer climate with good financing options Average car age still at >10 years Market growth will continue but at lower pace Some shifts between production sites USA, Canada and Mexico expected Bottom of market decline reached 2013 volumes are expected to be 0.6% below 2012 volumes Going forward, a slow and staggered recovery foreseen in 2014 In general, moderate market growth over the next 3 years forecasted Outlook for Russia promising South America Asia End of 2013 Mid-term End of 2013 Mid-term Brazil and Argentina forecasted to achieve >5% growth rate in 2013 Argentina contributing with higher growth rate than Brazil Source: IHS October 2013 (excl. truck) South American production expected to continue on stable growth rate Global OEMs are looking at additional production capacities in Brazil China forecasted to achieve growth rate slightly above +10% in 2013 Production in India remaining below 2012 production figures Growth in China forecasted to continue only slightly below 2013 level (approx. +9%) India likely to stay under pressure Thailand gaining further importance for global OEMs 5

Highly fragmented Chinese market Significant differences in market segments Chinese market by car makers Chinese market by Segment Global OEMs Chinese OEMs Total Chinese market Market Europe A B C D E HVAN 0% 50% 100% Source: IHS 6

Agenda Presentation Martin Hirzel, CEO 1. Attractive automotive supply business 2. Autoneum s strategy for success 3. Conclusion Presentation Urs Leinhäuser, CFO & Deputy CEO 4. Grow profitably and generate free cash flow a strategic priority 5. Update on achievement of mid-term financial targets 6. Outlook 2013 7. Conclusion

Our Strategy Priorities unchanged Pursue consolidation opportunities Focus on acoustic & thermal management solutions in automotive Grow profitably and generate free cash flow High performance culture Practice operational excellence Leverage technological leadership Focus on long-term partnerships with global customers 8

Focus on acoustic & thermal management Example carpet system Carpet system influences acoustic performance by 15 db Acoustics Autoneum s lightweight solutions help to save up to 3 kg/m 2 in weight (~10 kg weight saving for 3.5 m 2 carpet) Aesthetic Cleanability More than 100 years experience in demanding carpet production for automotive industry Research focusing on alternative materials, innovative constructions and improved processing Cost effective Wear resistance Stain resistance 9

Profitable growth Success factor vertical integration Product line interior floor largest in Autoneum globally Both key materials non-woven and tufted carpets offered by Autoneum Vertical integration for profitability: Tufting in USA and Europe Non-woven in USA, Europe, Brazil Felt lines globally available IFP-R2 in Europe Further investment in vertical integration planned e.g. Non-woven line in China & Europe Felt lines in USA, Argentina & Russia IFP-R2 in USA, Japan*, Thailand *) by Japanese partner Nittoku 48% Tufted carpets Interior Floor of Autoneum Group sales Tufted carpets Non-woven carpets Inner dashes Success factor Vertical integration Non-woven carpets Felt-based insulators 10

Global platform business Success of global technologies for inner dash Autoneum s global footprint supports supply to global platform business Aligned global technologies allow offerings in all regions Trend to global sourcing decisions by OEMs continues Toyota Corolla China, Brazil, USA, UK, South Africa General Motors Malibu Ford Kuga / Escape USA, Spain, Russia, China Renault Kangoo / Clio Honda CIVIC / CRV China, Brazil, USA, UK Honda FIT / JAZZ China, Canada France, Argentina China, Brazil, UK Global platforms 11

Global platform business Future potential global carpet solutions Carpet supply requires footprint close to customer plant (sensitivity to logistic costs) High number of variants Autoneum not yet vertically integrated in all regions BMW 3-Series Czech Republic, China, South Africa Honda Accord Volvo V70 Land Rover Evoque Daimler M-Class Ford Fusion / Mondeo Belgium, Mexico Chrysler Grand Cherokee USA UK Canada Toyota Hillux Nissan Micra China, India Poland USA Argentina Global platforms Regional sourcing 12

Technology leadership Recognition as development partner 13

Innovation example: Pure-Tuft TM The Greener alternative No latex means less Volatile Organic Compounds (VOCs) Same or better abrasion achieved without use of latex The new manufacturing process does not require large ovens to dry the latex, which saves energy and makes the process cleaner With Pure-Tuft the tuft lock is achieved using thermoplastic material, which improves the recyclability of the carpet Reduced carpet weight helps OEMs to achieve their CO 2 reduction targets Product line: Interior Floor Part families: Tufted carpets 14

Operational excellence Numerous activities to boost productivity Consistent implementation of APS (Autoneum Production System) Example regarding carpet: Waste reduction strategy levels of implementation Waste reduction strategy Wide range of initiatives at all locations Best practice sharing between the regions Different stages of implementation offer promising improvement potential examples reduce Blank size reduction In-mold clamping recycle Pelletizing of carpet cutoffs for recycling in extrusion process reuse Carpet fiber waste reused in own felt production avoid Net shape production technologies Process innovation IFP-R2 15

Importance of partnerships Leverage on win-win situation Key advantages: Share risks when entering new markets Share funding for new plants Access to specific OEMs Promotion of Autoneum innovations Long-term partnership with Nittoku towards global Japanese OEMs 1 JV North America (1986) 3 JVs China* (2003; 2004, 2013) 1 JV Thailand** (2007) 1 JV India (2008) 1 JV Indonesia** (2013) North America, Somerset China, Tianjin India, Chennai China, Guangzhou * 1 JV with minority share ** JVs with minority shares 16

Agenda Presentation Martin Hirzel, CEO 1. Attractive automotive supply business 2. Autoneum s strategy for success 3. Conclusion Presentation Urs Leinhäuser, CFO & Deputy CEO 4. Grow profitably and generate free cash flow a strategic priority 5. Update on achievement of mid-term financial targets 6. Outlook 2013 7. Conclusion

Conclusions regional action plans Clear focus on implementing the strategy Expand Resolve capacity issues Launch underbody strategy Fix Transform Clear focus on profitability increase Streamline technology spread Grow Further growth with global and local OEMs Build up Hyundai/Kia as global focus customer Resolve capacity issues and improve performance 18

Agenda Presentation Martin Hirzel, CEO 1. Attractive automotive supply business 2. Autoneum s strategy for success 3. Conclusion Presentation Urs Leinhäuser, CFO & Deputy CEO 4. Grow profitably and generate free cash flow a strategic priority 5. Update on achievement of mid-term financial targets 6. Outlook 2013 7. Conclusion

Grow profitably and generate free cash flow One of Autoneum s six strategic priorities is to grow profitably and to generate free cash flow What are the first results of this strategy? Since going public in spring 2011 Autoneum reported the following developments (HY 2011 vs. HY 2013): Net Sales + 25% EBIT + 158% Operating Cash Flows HY 2011: - 12 Mio CHF HY 2013: + 51 Mio CHF Autoneum s mid-term financial targets were communicated prior to going public What has been achieved so far? 20

Strategic priorities Pursue consolidation opportunities Focus on acoustic & thermal management solutions in automotive Grow profitably and generate free cash flow High performance culture Practice operational excellence Leverage technological leadership Focus on long-term partnerships with global customers 21

Agenda Presentation Martin Hirzel, CEO 1. Attractive automotive supply business 2. Autoneum s strategy for success 3. Conclusion Presentation Urs Leinhäuser, CFO & Deputy CEO 4. Grow profitably and generate free cash flow a strategic priority 5. Update on achievement of mid-term financial targets 6. Outlook 2013 7. Conclusion

Mid-term financial targets* * (communicated before SIX listing) Net sales Profitability / Return on net assets Capital expenditure Annual growth of 4-5% (excluding currency effects) Flat to moderate growth in Western Europe Moderate growth in North America Strong growth in BRICS countries Return on net assets > Cost of Capital EBITDA margin >9% Mid-term EBITDA margin of 7-8% in Europe Double digit EBITDA margin in North America and Asia Average long term CAPEX of 4-4.5% of net sales Indebtedness Continue to maintain Long-term conservative leverage below 1.5x net debt / EBITDA 30% equity ratio (i.e. total equity divided by total assets) Dividend payout Target payout ratio of up to 30% of net result attributable to Autoneum shareholders 23

Mid-term financial targets Net sales Annual growth of 4-5% (excluding currency effects) Flat to moderate growth in Western Europe Moderate growth in North America Strong growth in BRICS countries Growth Rate (in LC) 2011 2012 HY1 2013 Achievement Group +15% +13% +11% BG Europe +10% +1% +2% BG North America +24% +33% +19% BG Asia +36% +3% +17% BG SAMEA +10% +8% +21% 24

Mid-term financial targets Profitability / Return on net assets Return on net assets > Cost of Capital Return on net assets 2011 2012 HY1 2013 Achievement Return on net assets 4% 10% 17% Cost of Capital 9% 9% 9% Value creation -5% 1% 8% Return 22 49 40 Ø net assets 534 509 481 + + 25

Mid-term financial targets Profitability / Return on net assets EBITDA margin >9% Mid-term EBITDA margin of 7-8% in Europe Double digit EBITDA margin in North America and Asia EBITDA margin 2011 2012 HY1 2013 Achievement Group 6.2% 7.6% 8.4% BG Europe 2.8% 4.1% 4.1% BG North America 9.2% 10.6% 12.1% BG Asia 12.2% 15.5% 15.8% 26

Mid-term financial targets Profitability / Return on net assets EBITDA margin of 7-8% in Europe 5% 7% 1% 8% 4% -3.5% 1% 0.5% Actual Sales price, inflation Sale of Italy Closure of plant France Operating improvements Mid-term target Volume, continuous improvement Mid-term target 27

Mid-term financial targets Capital expenditure Average long-term CAPEX of 4-4.5% of net sales Capital Expenditure 2011 2012 HY1 2013 Achievement CAPEX in % net sales 4.5% 3.9% 2.8% in CHF 75 75 31 Share in % by BG BG Europe 44% 37% 25% BG North America 36% 38% 45% BG Asia 14% 10% 12% + + BG SAMEA 5% 11% 9% 28

Mid-term financial targets Indebtedness Continue to maintain Long-term conservative leverage below 1.5x net debt / EBITDA Net Debt / EBITDA Net Debt / EBITDA Ratio 2011 2012 HY1 2013 Achievement 1.5 0.9 0.7 Net Debt 155 123 118 EBITDA 104 145 91 + + 29

Mid-term financial targets Indebtedness Continue to maintain 30% equity ratio (i.e. total equity divided by total assets) Equity Ratio 2011 2012 HY1 2013 2) Achievement Equity Ratio 1) 29% 32% 28% Total Assets 996 960 1042 Equity 1) 287 303 292 1) without subordinated shareholders loan 2) incl. 27 million CHF impact of IAS 19 rev. 30

Mid-term financial targets Dividend payout Target payout ratio of up to 30% of net result attributable to Autoneum shareholders (EPS) Payout Ratio 2011 2012 HY1 2013 Achievement Payout Ratio 27% n/a EPS (CHF) -2.13 2.41 4.27 + 31

Agenda Presentation Martin Hirzel, CEO 1. Attractive automotive supply business 2. Autoneum s strategy for success 3. Conclusion Presentation Urs Leinhäuser, CFO & Deputy CEO 4. Grow profitably and generate free cash flow a strategic priority 5. Update on achievement of mid-term financial targets 6. Outlook 2013 7. Conclusion

Mid-term financial targets and outlook FY 2013 HY1: Outlook FY 2013 (1) Heterogeneous and low overall growth in global light vehicle production is likely to continue in HY2 Market research institutes expect the low point in European demand was reached in HY1 Autoneum sees good opportunities for exceeding the growth in light vehicle production again in the seasonally weaker HY2 and for achieving higher sales in 2013 than in 2012 even after deconsolidation effect Focus on the consistent implementation of strategy and the vigorous pursuit of further operational improvement measures and the related lowering of costs in HY2 33

Mid-term financial targets and outlook FY 2013 HY1: Outlook FY 2013 (2) EBIT margin of 5.2% in HY1 should thus be confirmed in HY2 (before one-time expenses) One-time expenses due to the sale of Autoneum Italy and the closure of Dieppe plant in France will impact consolidated results in HY2 by approx. 40 million CHF Investments in 2013 will amount to a good 4.5% of sales as planned and are aimed at the further expansion of business in growth markets and ongoing operational improvement measures 34

Agenda Presentation Martin Hirzel, CEO 1. Attractive automotive supply business 2. Autoneum s strategy for success 3. Conclusion Presentation Urs Leinhäuser, CFO & Deputy CEO 4. Grow profitably and generate free cash flow a strategic priority 5. Update on achievement of mid-term financial targets 6. Outlook 2013 7. Conclusion

Conclusion The disciplined execution of the six strategic priorities contributes to our good results Autoneum s results are among the best in our industry but not yet fully at midterm target level The transformation of our European business has not yet been completed. To reach the mid-term financial targets, Business Group Europe has to yield the planned results Furthermore, today s achievements must be confirmed Autoneum confirms its outlook for 2013 as communicated in July 2013 36

Contacts and event calendar Contact address Autoneum Holding AG Schlosstalstrasse 43 / P.O. Box CH-8406 Winterthur www.autoneum.com Investors Media Urs Leinhäuser Dr. Anahid Rickmann CFO & Deputy CEO Head Corporate Communications T +41 (0)52 244 82 82 T +41 (0)52 244 83 88 investor@autoneum.com media@autoneum.com Important dates HY1 2014 Publication of sales figures for the 2013 financial year Publication of Annual Report 2013 Results press conference and presentation of the 2013 financial statements Annual General Meeting 2014 January 31, 2014 March 19, 2014 March 19, 2014 April 16, 2014 Autoneum listed on SIX Swiss Exchange Valor symbol Valor Number ISIN AUTN 12'748'036 CH0127480363 37

Disclaimer Autoneum is making great efforts to include accurate and up-to-date information in this document, however we make no representations or warranties, expressed or implied, as to the accuracy or completeness of the information provided in this document and we disclaim any liability whatsoever for the use of it. The information provided in this document is not intended nor may be construed as an offer or solicitation for the purchase or disposal, trading or any transaction in any Autoneum securities. Investors must not rely on this information for investment decisions. All statements in this report which do not reflect historical facts are statements related to the future which offer no guarantee with regard to future performance; they are subject to risks and uncertainties including, but not limited to, future global economic conditions, exchange rates, legal provisions, market conditions, activities by competitors and other factors outside the company's control. The vehicle production for 2013 and forward looking are based on the latest estimates of IHS Global Insight. 2013 Autoneum Holding Ltd, All rights reserved 38