www.osram.com OSRAM - Historical financials for the new segment reporting structure Light is OSRAM
Safe Harbor Statement This presentation may contain forward-looking statements that are subject to risks and uncertainties, including those pertaining to the anticipated benefits to be realized from the proposals described herein. Forward-looking statements may include, in particular, statements about future events, future financial performance, plans, strategies, expectations, prospects, competitive environment, regulation and supply and demand. has based these forward-looking Statements on its views and assumptions with respect to future events and financial performance. Actual financial performance could differ materially from that projected in the forward-looking Statements due to the inherent uncertainty of estimates, forecasts and projections, and financial performance may be better or worse than anticipated. Given these uncertainties, readers should not put undue reliance on any forward-looking statements. The information contained in this presentation is subject to change without notice and does not undertake any duty to update the forwardlooking statements, and the estimates and assumptions associated with them, except to the extent required by applicable laws and regulations. Due to rounding, numbers presented throughout this and other documents may not add up precisely to the totals provided and percentages may not precisely reflect the absolute figures. 2
new segment reporting structure Lamps Lighting Solutions & Systems (LSS) Specialty Lighting (SP) Opto Semiconductors (OS) Thermal lamps (Halogen and Incandescent lamps) Lighting solutions & Luminaires for professional applications Automotive (forward, rear, signal & interior lighting) LED (e.g. general lighting, automotive headlamps and mobile flashes) will be carved out Fluorescent lamps High & Low-pressure discharge lamps Lighting control systems & Electronic control gears Display / Optic (e.g. special lamps for medicine, industry, entertainment and projection) Infrared emitters, detectors, sensors and power lasers (e.g. for mobile phones, CCTV, automotive safety) LED Retrofit lamps Light Engines and modules OLED 3
New segment reporting structure Foundation for Q4 FY15 reporting Opto Semiconductors (OS) and Specialty Lighting s (SP) segment structure unchanged. The traditional lamps business and the LED lamps of the CLB and LLS segments have been put under common management as of July 1 and are now being reported as Lamps (LP) segment. Business activities with traditional ballasts and LED modules, drivers, and light management systems are being allocated in the new Digital Systems (DS) Business Unit. The former Luminaires & Solutions (LS) segment is being renamed Lighting Solutions (LS). OSRAM s remaining general lighting business is being grouped in a single reporting segment for external reporting purposes due to the similar business activities and economic characteristics of the DS and LS business units. This will be reported as the Lighting Solutions & Systems (LSS) segment from the fourth quarter of 2015. Figures of Lamps and LSS of prior periods of fiscal year 2014 and Q1 to Q3 2015 are reconciled to reflect the new segment structure (unaudited). Final Lamps carve-out historical figures will differ due to handling of today s intercompany business asset base of carve out object not reflected tax, pensions, and other matters. 4
Reconciliation Q1 * Q1 SP OS LSS Lamps CIE 1) Osram Licht Group 2014 2015 2014 2015 2014 2015 2014 2015 2014 2015 2014 2015 Revenue 376.3 432.7 269.7 294.7 243.1 233.9 538.0 545.2 (100.8) (113.2) 1,326.3 1,393.3 Change % vs. PY reported 5% 15% 17% 9% (7%) (4%) (8%) 1% -.- -.- (2%) 5% Change % vs. PY comparable 9% 6% 20% 4% (3%) (7%) (3%) (1%) -.- -.- 2% 0% EBITA 57.7 64.3 35.7 47.7 (21.9) (11.0) 47.6 (73.3) (6.8) (69.0) 112.2 (41.3) EBITA margin 15.3% 14.9% 13.2% 16.2% (9.0%) (4.7%) 8.8% (13.4%) 6.8% 61.0% 8.5% (3.0%) Special items EBITA (1.5) (5.2) (0.1) 0.0 (4.5) (2.3) (2.5) (124.6) (2.2) (60.1) (10.8) (192.2) therein transformations costs (1.4) (3.5) (0.1) 0.0 (4.4) (2.3) (2.4) (124.6) (1.5) (53.6) (9.7) (184.0) EBITA before special items 59.2 69.5 35.7 47.7 (17.4) (8.7) 50.1 51.4 (4.6) (8.9) 123.0 150.9 EBITA margin before special items 15.7% 16.0% 13.2% 16.2% (7.2%) (3.7%) 9.3% 9.4% 4.6% 7.9% 9.3% 10.8% Assets 2) 416.3 507.8 457.7 520.1 288.5 330.7 697.5 608.1 2,540.3 2,785.3 4,400.4 4,752.0 Free cash flow 3) 44.4 70.9 58.6 35.0 (37.5) (31.3) 24.0 14.3 (17.9) (33.0) 71.5 56.0 Additions to intangible assets and property, plant and equipment 8.6 13.2 7.2 32.3 2.8 4.1 14.1 6.2 0.2 2.8 32.9 58.6 Amortization 4) 0.9 3.3 1.9 0.2 2.5 2.4 1.5 1.3 1.1 0.9 7.8 8.0 Depreciation 5) 8.9 9.5 24.0 26.9 5.0 4.9 16.1 15.8 0.1 0.3 54.0 57.4 Minor differences may occur due to rounding. 2014 figures are adjusted for OLED integration in SP as well as for asset reallocations (mainlyreal estate) 1) Contains corporate items, pensions, eliminations, corporate treasury and other reconciling items. 2) Assets of the segments and Corporate items (include eliminations, corporate treasury, other reconciling items and pensions) are defined as Total assets, less financing receivables and tax assets as well as noninterest-bearing provisions and liabilities, and liabilities other than tax liabilities (e.g. trade payables). 3) Free cash flow constitutes net cash provided by (used in) operating activities less additions to intangible assets and property, plant and equipment. For the Segments, it primarily excludes income tax related and financing interest payments and proceeds. 4) Amortization and impairments represents amortization and impairments of goodwill and intangible assets, net of reversals of impairments. 5) Depreciation represents depreciation and impairments of property, plant and equipment, net of reversals of impairments. * Figures of prior periods of fiscal year 2014 and Q1 to Q3 2015 are reconciled to reflect the new OSRAM segment structure (unaudited). 5
Reconciliation Q2 * Q2 SP OS LSS Lamps CIE 1) Osram Licht Group 2014 2015 2014 2015 2014 2015 2014 2015 2014 2015 2014 2015 Revenue 393.0 475.3 270.0 321.5 208.5 225.2 512.1 509.2 (105.7) (132.3) 1,277.9 1,398.9 Change % vs. PY reported 7% 21% 12% 19% (12%) 8% (9%) (1%) -.- -.- (3%) 9% Change % vs. PY comparable 11% 5% 14% 8% (9%) (1%) (3%) (9%) -.- -.- 1% (2%) EBITA 58.4 70.6 51.8 54.8 (33.5) (13.2) 10.9 30.5 (6.3) (17.9) 81.2 124.7 EBITA margin 14.9% 14.8% 19.2% 17.0% (16.1%) (5.9%) 2.1% 6.0% 6.0% 13.5% 6.4% 8.9% Special items EBITA (2.3) (5.1) 0.0 0.0 (1.6) (2.1) (28.4) (6.4) (2.7) (13.3) (34.9) (26.8) therein transformations costs (2.3) (4.7) 0.0 0.0 (1.6) (2.1) (28.4) (6.4) (1.7) (12.8) (33.9) (25.9) EBITA before special items 60.6 75.6 51.8 54.8 (32.0) (11.1) 39.3 36.9 (3.7) (4.7) 116.1 151.5 EBITA margin before special items 15.4% 15.9% 19.2% 17.0% (15.3%) (4.9%) 7.7% 7.2% 3.5% 3.5% 9.1% 10.8% Assets 2) 392.7 565.3 481.4 551.9 279.0 366.9 687.8 650.4 2,550.3 2,689.3 4,391.2 4,823.8 Free cash flow 3) 18.6 35.4 42.6 56.5 (29.1) (33.4) 10.1 47.2 (0.5) (78.4) 41.8 27.3 Additions to intangible assets and property, plant and equipment 8.6 15.5 27.0 25.1 4.2 3.6 16.6 2.8 0.0 0.2 56.4 47.2 Amortization 4) 0.9 3.3 0.1 0.2 2.5 2.3 1.5 1.3 1.0 0.9 6.1 8.0 Depreciation 5) 8.8 10.7 23.2 28.3 4.9 5.2 21.6 17.4 0.1 0.3 58.6 61.9 Minor differences may occur due to rounding. 2014 figures are adjusted for OLED integration in SP as well as for asset reallocations (mainlyreal estate) 1) Contains corporate items, pensions, eliminations, corporate treasury and other reconciling items. 2) Assets of the segments and Corporate items (include eliminations, corporate treasury, other reconciling items and pensions) are defined as Total assets, less financing receivables and tax assets as well as noninterest-bearing provisions and liabilities, and liabilities other than tax liabilities (e.g. trade payables). 3) Free cash flow constitutes net cash provided by (used in) operating activities less additions to intangible assets and property, plant and equipment. For the Segments, it primarily excludes income tax related and financing interest payments and proceeds. 4) Amortization and impairments represents amortization and impairments of goodw ill and intangible assets, net of reversals of impairments. 5) Depreciation represents depreciation and impairments of property, plant and equipment, net of reversals of impairments. * Figures of prior periods of fiscal year 2014 and Q1 to Q3 2015 are reconciled to reflect the new OSRAM segment structure (unaudited). 6
Reconciliation Q3 * Q3 SP OS LSS Lamps CIE 1) Osram Licht Group 2014 2015 2014 2015 2014 2015 2014 2015 2014 2015 2014 2015 Revenue 378.1 467.1 285.5 332.8 220.5 233.3 433.9 457.4 (114.9) (138.0) 1,203.1 1,352.6 Change % vs. PY reported 5% 24% 2% 17% (8%) 6% (13%) 5% -.- -.- (6%) 12% Change % vs. PY comparable 10% 4% 5% 4% (5%) (5%) (7%) (5%) -.- -.- (1%) (1%) EBITA 51.8 62.2 56.5 61.4 (22.3) (12.2) (2.7) 12.7 (2.5) (23.8) 80.9 100.3 EBITA margin 13.7% 13.3% 19.8% 18.5% (10.1%) (5.2%) (0.6%) 2.8% 2.1% 17.3% 6.7% 7.4% Special items EBITA (2.6) (3.5) 0.0 0.0 (1.8) (0.8) (12.3) (10.9) (6.1) (13.1) (22.9) (28.3) therein transformations costs (2.1) (3.0) 0.1 0.0 (1.8) (0.8) (12.3) (10.9) (4.0) (8.5) (20.2) (23.2) EBITA before special items 54.3 65.7 56.5 61.4 (20.5) (11.4) 9.7 23.6 3.7 (10.7) 103.7 128.6 EBITA margin before special items 14.4% 14.1% 19.8% 18.5% (9.3%) (4.9%) 2.2% 5.2% (3.2%) 7.8% 8.6% 9.5% Assets 2) 407.1 575.1 493.5 507.0 287.7 348.4 673.9 582.0 2,525.8 2,694.5 4,388.0 4,706.9 Free cash flow 3) 54.5 51.3 33.6 88.6 (28.4) (3.8) 13.2 55.0 (20.9) (51.4) 52.0 139.6 Additions to intangible assets and property, plant and equipment 14.0 17.4 34.6 39.8 4.5 6.0 23.9 11.0 0.0 0.1 77.0 74.4 Amortization 4) 0.9 2.4 0.2 0.2 2.5 2.2 1.4 1.2 1.0 0.9 5.9 7.0 Depreciation 5) 9.4 10.4 23.4 28.9 4.9 5.6 18.1 18.9 0.1 0.3 55.9 64.0 Minor differences may occur due to rounding. 2014 figures are adjusted for OLED integration in SP as well as for asset reallocations (mainlyreal estate) 1) Contains corporate items, pensions, eliminations, corporate treasury and other reconciling items. 2) Assets of the segments and Corporate items (include eliminations, corporate treasury, other reconciling items and pensions) are defined as Total assets, less financing receivables and tax assets as well as noninterest-bearing provisions and liabilities, and liabilities other than tax liabilities (e.g. trade payables). 3) Free cash flow constitutes net cash provided by (used in) operating activities less additions to intangible assets and property, plant and equipment. For the Segments, it primarily excludes income tax related and financing interest payments and proceeds. 4) Amortization and impairments represents amortization and impairments of goodwill and intangible assets, net of reversals of impairments. 5) Depreciation represents depreciation and impairments of property, plant and equipment, net of reversals of impairments. * Figures of prior periods of fiscal year 2014 and Q1 to Q3 2015 are reconciled to reflect the new OSRAM segment structure (unaudited). 7
Reconciliation Q4 * Q4 SP OS LSS Lamps CIE 1) Osram Licht Group 2014 2015 2014 2015 2014 2015 2014 2015 2014 2015 2014 2015 Revenue 403.7 -.- 299.3 -.- 242.2 -.- 502.3 -.- (112.6) -.- 1,334.8 -.- Change % vs. PY reported 9% -.- 11% -.- (10%) -.- (4%) -.- -.- -.- 0% -.- Change % vs. PY comparable 10% -.- 11% -.- (10%) -.- (2%) -.- -.- -.- 1% -.- EBITA 56.9 -.- 49.8 -.- (15.2) -.- (32.3) -.- (23.1) -.- 36.2 -.- EBITA margin 14.1% -.- 16.7% -.- (6.3%) -.- (6.4%) -.- 20.5% -.- 2.7% -.- Special items EBITA (3.2) -.- (0.0) -.- (5.7) -.- (43.6) -.- (17.6) -.- (70.0) -.- therein transformations costs (2.7) -.- 0.0 -.- (5.7) -.- (43.6) -.- (14.0) -.- (66.0) -.- EBITA before special items 60.0 -.- 49.8 -.- (9.5) -.- 11.2 -.- (5.4) -.- 106.2 -.- EBITA margin before special items 14.9% -.- 16.7% -.- (3.9%) -.- 2.2% -.- 4.8% -.- 8.0% -.- Assets 2) 421.5 -.- 511.7 -.- 304.7 -.- 676.5 -.- 2,795.0 -.- 4,709.5 -.- Free cash flow 3) 69.8 -.- 46.4 -.- (25.6) -.- (9.8) -.- (30.1) -.- 50.6 -.- Additions to intangible assets and property, plant and equipment 14.6 -.- 30.8 -.- 8.3 -.- 23.2 -.- 0.0 -.- 76.8 -.- Amortization 4) 1.1 -.- 0.2 -.- 2.9 -.- 1.6 -.- 0.8 -.- 6.5 -.- Depreciation 5) 10.4 -.- 29.4 -.- 5.4 -.- 32.0 -.- 0.1 -.- 77.3 -.- Minor differences may occur due to rounding. 2014 figures are adjusted for OLED integration in SP as well as for asset reallocations (mainlyreal estate) 1) Contains corporate items, pensions, eliminations, corporate treasury and other reconciling items. 2) Assets of the segments and Corporate items (include eliminations, corporate treasury, other reconciling items and pensions) are defined as Total assets, less financing receivables and tax assets as w ell as noninterest-bearing provisions and liabilities, and liabilities other than tax liabilities (e.g. trade payables). 3) Free cash flow constitutes net cash provided by (used in) operating activities less additions to intangible assets and property, plant and equipment. For the Segments, it primarily excludes income tax related and financing interest payments and proceeds. 4) Amortization and impairments represents amortization and impairments of goodwill and intangible assets, net of reversals of impairments. 5) Depreciation represents depreciation and impairments of property, plant and equipment, net of reversals of impairments. * Figures of prior periods of fiscal year 2014 and Q1 to Q3 2015 are reconciled to reflect the new OSRAM segment structure (unaudited). 8
Disclaimer This presentation contains certain non-ifrs measures. FCF, EBITDA, EBITA, EBIT, EBITA margin, capital expenditure, capital expenditure as percentage of revenue and other operating income, net financial debt, net working capital and certain other items included herein are not recognized measures in accordance with IFRS and should not be considered as an alternative to the applicable IFRS measures. We have provided these measures and other information in this presentation because we believe they provide investors with additional information to measure our performance. Our use of the terms FCF, EBITDA, EBITA, EBIT, EBITA margin, capital expenditure, capital expenditure as percentage of revenue and other operating income, net financial debt, net working capital varies from others in our industry and should not be considered as an alternative to net income (loss), cash flows from operating activities, revenue or any other performance measures derived in accordance with IFRS as measures of operating performance or to cash flows as measures of liquidity. FCF, EBITDA, EBITA, EBIT, EBITA margin, capital expenditure, capital expenditure as percentage of revenue and other operating income, net financial debt and net working capital have important limitations as analytical tools and should not be considered in isolation or as substitutes for analysis of our results as reported under IFRS. Certain numerical data, financial information and market data (including percentages) in this presentation have been rounded according to established commercial standards. As a result, the aggregate amounts (sum totals or interim totals or differences or if numbers are put in relation) in this presentation may not correspond in all cases to the amounts contained in the underlying (unrounded) figures appearing in the consolidated financial statements. Furthermore, in tables and charts, these rounded figures may not add up exactly to the totals contained in the respective tables and charts. 9