Results Q3 2016 - Wacker Neuson · 2019-09-20 · Results Q3 2016. Agenda 2 Outlook Overview Q3/16...

19
Cem Peksaglam (CEO) Günther C. Binder (CFO) November 10, 2016 Results Q3 2016

Transcript of Results Q3 2016 - Wacker Neuson · 2019-09-20 · Results Q3 2016. Agenda 2 Outlook Overview Q3/16...

Page 1: Results Q3 2016 - Wacker Neuson · 2019-09-20 · Results Q3 2016. Agenda 2 Outlook Overview Q3/16 and 9M/16 ... Outlook: Revenue and EBIT at the lower end of forecast 17 Europe North

Cem Peksaglam (CEO) – Günther C. Binder (CFO)

November 10, 2016

Results Q3 2016

Page 2: Results Q3 2016 - Wacker Neuson · 2019-09-20 · Results Q3 2016. Agenda 2 Outlook Overview Q3/16 and 9M/16 ... Outlook: Revenue and EBIT at the lower end of forecast 17 Europe North

Agenda

2

Outlook

Overview Q3/16

and 9M/16

Financials Q3/16

and 9M/16

Page 3: Results Q3 2016 - Wacker Neuson · 2019-09-20 · Results Q3 2016. Agenda 2 Outlook Overview Q3/16 and 9M/16 ... Outlook: Revenue and EBIT at the lower end of forecast 17 Europe North

Q3 and 9M/16 Financials

Q3/16: Revenue and profits above prev. year level

Revenue: +2% yoy to € 316 m (adjusted for currency effects: +3%)

EBITDA: +14% yoy to € 36 m; margin: 11.6% (Q3/15: 10.3%)

EBIT: +25% yoy to € 19 m; margin: 6.1% (Q3/15: 5.0%)

EPS: +42% yoy to € 0.17 (Q3/15: € 0.12)

9M/16: Resilient performance against weak economic backdrop

Revenue: 0% yoy to € 1,014 m (adjusted for currency effects: +1%)

EBITDA: -7% yoy to € 121 m; margin: 11.9% (9M/15: 12.8%)

EBIT: -14% yoy to € 70 m; margin: 6.9% (9M/15: 8.0%)

EPS: -16% yoy to € 0.65 (9M/15: € 0.77)

3

Page 4: Results Q3 2016 - Wacker Neuson · 2019-09-20 · Results Q3 2016. Agenda 2 Outlook Overview Q3/16 and 9M/16 ... Outlook: Revenue and EBIT at the lower end of forecast 17 Europe North

(Revenue in € m; EBIT margin as a %)(Revenue in € m; EBIT margin as a %)

Long-term growth trends, revenue and EBIT margin

4

Revenue and EBIT margin Q3 (2012–2016) Revenue and EBIT margin 9M (2012–2016)

+25%+24%

+9%-2% +2% -0%

Page 5: Results Q3 2016 - Wacker Neuson · 2019-09-20 · Results Q3 2016. Agenda 2 Outlook Overview Q3/16 and 9M/16 ... Outlook: Revenue and EBIT at the lower end of forecast 17 Europe North

9M/16: Mixed picture in regions and business segments1

730.7 761.9

9M/15 9M/16

5

Europe2

+4% (+6%)

320.4293.5

9M/15 9M/16

Light equipment3

-8% (-6%)

254.1217.1

9M/15 9M/16

Americas2

-15% (-13%)

506.6 520.8

9M/15 H1/16

Compact equipment3

+3% (+4%)

32.6 34.5

9M/15 9M/16

Asia-Pacific2

+6% (+10%)

207.1 215.9

9M/15 9M/16

Services3

+4% (+6%)

1 In brackets: adjusted for currency effects; 2 Nominal, after cash discounts; 3 Nominal, before cash discounts

(€ m)

(€ m)

(€ m)

(€ m)

(€ m)

(€ m)

Page 6: Results Q3 2016 - Wacker Neuson · 2019-09-20 · Results Q3 2016. Agenda 2 Outlook Overview Q3/16 and 9M/16 ... Outlook: Revenue and EBIT at the lower end of forecast 17 Europe North

Construction and other industries

Agriculture

Services

9M/16 9M/15

66% 66%

13% 14%

21% 20%

Agriculture business (Weidemann, Kramer, Claas)

9M/15 9M/16

6

(in € m)

140.5137.2

Slow recovery in agriculture segment

Q1/16 vs. Q1/15: -11 %

Q2/16 vs. Q2/15: +1%

Q3/16 vs. Q3/15: +7%

(2015 vs. 2014: -2%)

-2%

Revenue breakdown for 9M/16 Revenue1 9M/16 vs. 9M/15

(% of revenue)

1 Nominal, before cash discounts

Page 7: Results Q3 2016 - Wacker Neuson · 2019-09-20 · Results Q3 2016. Agenda 2 Outlook Overview Q3/16 and 9M/16 ... Outlook: Revenue and EBIT at the lower end of forecast 17 Europe North

Agenda

7

Outlook

Overview Q3/16

and 9M/16

Financials Q3/16

and 9M/16

Page 8: Results Q3 2016 - Wacker Neuson · 2019-09-20 · Results Q3 2016. Agenda 2 Outlook Overview Q3/16 and 9M/16 ... Outlook: Revenue and EBIT at the lower end of forecast 17 Europe North

Q3/16: Revenue and profit increase (on low Q3/15 basis)

8

Q3/16 As % of

revenue

Q3/15 As % of

revenueChange in %1

Revenue 315.7 100.0 311.0 100.0 1.5 (2.6)

Gross profit 88.7 28.1 86.3 27.7 2.8

Sales and service expenses 46.8 14.8 44.8 14.4 4.5

Research and development expenses 8.3 2.6 8.0 2.6 3.9

General administrative expenses 15.7 5.0 19.1 6.1 -17.5

Operating expenses2 70.8 22.4 71.8 23.1 -1.4

EBITDA 36.5 11.6 32.1 10.3 13.7

EBIT 19.3 6.1 15.5 5.0 24.5 (23.6)

Net profit 12.0 3.8 8.5 2.7 41.2

Net profit per share in € 0.17 - 0.12 - 41.6

Income statement (extract)

(€ m)

1 in brackets: adjusted for discount currency effects

2 without other income/expenses

Page 9: Results Q3 2016 - Wacker Neuson · 2019-09-20 · Results Q3 2016. Agenda 2 Outlook Overview Q3/16 and 9M/16 ... Outlook: Revenue and EBIT at the lower end of forecast 17 Europe North

31.734.0

15.5

22.4

17.3

33.4

19.39.8%8.9%

5.0%6.3%

5.5%

8.8%

6.1%

0,0%

2,0%

4,0%

6,0%

8,0%

10,0%

12,0%

14,0%

16,0%

18,0%

20,0%

0,0

5,0

10,0

15,0

20,0

25,0

30,0

35,0

40,0

Q1/15 Q2/15 Q3/15 Q4/15 Q1/16 Q2/16 Q3/16

EBIT EBIT margin

Q3/16: Development of profit since Q1/15

9

EBIT development Q1/15-Q3/16

(EBIT in € m; EBIT margin as a %)

Revenue in € m 324.3 382.1 311.0 357.9 316.4 381.4 315.7

Volatility in revenues and earnings due to changing product and regional mix qoq

Page 10: Results Q3 2016 - Wacker Neuson · 2019-09-20 · Results Q3 2016. Agenda 2 Outlook Overview Q3/16 and 9M/16 ... Outlook: Revenue and EBIT at the lower end of forecast 17 Europe North

9M/16: Resilient performance against weak economic backdrop

10

9M/16 As % of

revenue

9M/15 As % of

revenueChange in %1

Revenue 1,013.5 100.0 1,017.4 100.0 -0.4 (1.1)

Gross profit 283.5 28.0 293.9 28.9 -3.5

Sales and service expenses 143.4 14.1 138.7 13.6 3.4

Research and development expenses 26.7 2.6 25.3 2.5 5.6

General administrative expenses 49.6 4.9 54.3 5.3 -8.7

Operating expenses2 219.8 21.7 218.3 21.5 0.7

EBITDA 121.0 11.9 130.3 12.8 -7.1

EBIT 70.0 6.9 81.2 8.0 -13.8 (-13.5)

Net profit 45.8 4.5 53.7 5.3 -14.7

Net profit per share in € 0.65 - 0.77 - -15.6

Number of employees 4,751 - 4,696 - 1.2

Income statement (extract) and number of employees

(€ m)

1 in brackets: adjusted for discount currency effects

2 without other income/expenses

Page 11: Results Q3 2016 - Wacker Neuson · 2019-09-20 · Results Q3 2016. Agenda 2 Outlook Overview Q3/16 and 9M/16 ... Outlook: Revenue and EBIT at the lower end of forecast 17 Europe North

9M/16: Comparison of EBIT vs. previous year

11

1

1 Other income & expense

Lower EBIT mainly due to lower Gross Profit Margin (difficult markets)

(€ m)

0

10

20

30

40

50

60

70

80

EBIT 9M/15 Revenue volume effect Revenue margin effect S,G&A Other EBIT 9M/16

81.2 -1.1 -9.3

-1.5 +0.7 70.0

EBIT-change 9M/16 vs. 9M/15

Page 12: Results Q3 2016 - Wacker Neuson · 2019-09-20 · Results Q3 2016. Agenda 2 Outlook Overview Q3/16 and 9M/16 ... Outlook: Revenue and EBIT at the lower end of forecast 17 Europe North

9M/16: Development of profit per region

12

EBIT-change by region 9M/16 vs. 9M/15

(€ m)

-5

5

15

25

35

45

55

65

75

85

EBIT 9M/15 Europe Americas Asia-Pacific Consolidation EBIT 9M/16

9M/16 vs. 9M/15 Europe Americas Asia-Pacific Total

Revenue +4% -15% +6% 0%

EBIT -13% -134% -383% -14%

EBIT Margin (9M/15)1 10.8% (13.0%) -1.2% (2.9%) -16.5% (6.1%) 6.9% (8.0%)

81.2 -12.7

-10.0

-7.7

+19.3 70.0

1 EBIT Margin of regions on total external sales

Page 13: Results Q3 2016 - Wacker Neuson · 2019-09-20 · Results Q3 2016. Agenda 2 Outlook Overview Q3/16 and 9M/16 ... Outlook: Revenue and EBIT at the lower end of forecast 17 Europe North

9M/15 9M/16

9M/16: Investments and cash flow development

9M/15 9M/16

9M/15 9M/16

(€ m)

9M/15 9M/16

(€ m) (€ m)(€ m)

-28.4

10.2

-81.2 -84.1

49.151.0

52.8

94.3

Cash flow from

investment activitiesDepreciation

Cash flow from

operating activitiesFree cash flow

Increase of operating cash flow due to inventory reduction positive free cash flow FY 2016 expected

+4%

4%

13

+79%

Page 14: Results Q3 2016 - Wacker Neuson · 2019-09-20 · Results Q3 2016. Agenda 2 Outlook Overview Q3/16 and 9M/16 ... Outlook: Revenue and EBIT at the lower end of forecast 17 Europe North

9M/16: Working capital development

14

350 350411

514448

154 181

201

187207

-64 -64 -89 -91 -89

September 30, 2012 September 30, 2013 September 30, 2014 September 30, 2015 September 30, 2016

Inventories Trade receivables Trade payables

Working Capital ratio (3M annualized revenue)

43.3% 42.2% 41.4% 49.0% 44.7%

Inventory program shows results further reduction of Working Capital

(€ m)

+11%

WC: -7%

566610

-2%

-13%

523

467440

Working capital 9M/12 – 9M/16

Page 15: Results Q3 2016 - Wacker Neuson · 2019-09-20 · Results Q3 2016. Agenda 2 Outlook Overview Q3/16 and 9M/16 ... Outlook: Revenue and EBIT at the lower end of forecast 17 Europe North

195 214 199241 224

913 924990

1.046 1.062

21%23%

20%

23%21%

0%

5%

10%

15%

20%

25%

30%

35%

40%

0

200

400

600

800

1.000

9M/12 9M/13 9M/14 9M/15 9M/16

Net financial debt Equity before minority interests Gearing as a %

9M/16: Gearing and equity

15

Equity ratio of 67% and gearing of 21%

(€ m)

Equity, net debt and gearing 9M/12 – 9M/16

-7%

Page 16: Results Q3 2016 - Wacker Neuson · 2019-09-20 · Results Q3 2016. Agenda 2 Outlook Overview Q3/16 and 9M/16 ... Outlook: Revenue and EBIT at the lower end of forecast 17 Europe North

Agenda

16

Outlook

Overview Q3/16

and 9M/16

Financials Q3/16

and 9M/16

Page 17: Results Q3 2016 - Wacker Neuson · 2019-09-20 · Results Q3 2016. Agenda 2 Outlook Overview Q3/16 and 9M/16 ... Outlook: Revenue and EBIT at the lower end of forecast 17 Europe North

0

5

10

15

20

25

30

0,0

200,0

400,0

600,0

800,0

1.000,0

1.200,0

1.400,0

1.600,0

2015 2016e

(Revenue in € m; EBIT margin as a %)

Revenue and margins 2015–2016e

1,375

0% to +4%

EBIT margin

7.5%

1,375–1,425

Outlook: Revenue and EBIT at the lower end of forecast

17

Europe

North America

Latin America

South Africa and Sub Sahara

Asia

Australia

Agriculture

Construction

Mining

Oil & Gas

Other channels

1

Wacker Neuson Group revenue 2016 vs. PY

High volatility, low visibilityInvestments ~ € 120 m, positive free cash flow

EBIT margin

6.5-7.5%

Page 18: Results Q3 2016 - Wacker Neuson · 2019-09-20 · Results Q3 2016. Agenda 2 Outlook Overview Q3/16 and 9M/16 ... Outlook: Revenue and EBIT at the lower end of forecast 17 Europe North

November 10, 2016 Publication of nine-month report 2016; Analysts' Conference Call

March 16, 2017 Publication of financial results 2017; Press Conference, Munich; Analysts' Conference Call

May 11, 2017 Publication of first-quarter report 2017; Analysts' Conference Call

May 30, 2017 AGM, Munich

August 8, 2017 Publication of half-year report 2017; Analysts' Conference Call

November 9, 2017 Publication of nine-month report 2017; Analysts' Conference Call

Numerous international trade fairs, roadshows and conferences

Financial calendar and IR contact

Financial Calendar

IR contact

Investor Relations Department

Preussenstrasse 41, 80809 Munich, Germany

Phone: +49-89-35402-713, Fax: +49-89-35402-298

[email protected]

18

Page 19: Results Q3 2016 - Wacker Neuson · 2019-09-20 · Results Q3 2016. Agenda 2 Outlook Overview Q3/16 and 9M/16 ... Outlook: Revenue and EBIT at the lower end of forecast 17 Europe North

DisclaimerCautionary note regarding forward-looking statements

The information contained in this document has not been independently verified and no representation or

warranty expressed or implied is made as to, and no reliance should be placed on, the fairness, accuracy,

completeness or correctness of this information or opinions contained herein.

Certain statements contained in this document may be statements of future expectations and other forward

looking statements that are based on management‘s current view and assumptions and involve known and

unknown risks and uncertainties that could cause actual results, performance or events to differ materially

from those expressed or implied in such statements.

None of Wacker Neuson SE or any of its affiliates, advisors or representatives shall have any liability

whatsoever (in negligence or otherwise) for any loss howsoever arising from any use of this document or its

content or otherwise arising in connection with this document.

This document does not constitute an offer or invitation to purchase or subscribe for any securities and neither

it nor any part of it shall form the basis of or be relied upon in connection with any contract or commitment

whatsoever.

19