© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016
BAUER AG
Remediation of Kesslergrube landfill – Germany © Source: Press picture Roche
Group Presentation 9M/Q3 2016
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 2
Key Figures 9M 2016
9M 2015 in EUR million
9M 2016 in EUR million
∆ 9M in %
Total Group revenues, of which - Germany - International - Construction - Equipment - Resources
- Other/Consolidation
1,194.9 356.5 838.4 564.4 496.6 177.2
-43.3
1,146.3 384.5 761.8 516.4 465.7 205.4
-41.2
-4.1 % +7.9 % -9.1 % -8.5 %
-6.2 % +15.9 %
n/a
Sales revenues 1,018.8 992.6 -2.6 % Order intake 1,449.8 1,169.6 -19.3 % Order backlog 1,017.6 1,019.0 +0.1 % EBITDA 107.0 104.6 -2.3 % EBIT 36.4 38.0 +4.4 % EBIT margin in % (of sales revenues) 3.6 3.8 n/a Earnings after tax -2.7 -4.0 n/a Earnings per share in EUR -0.24 -0.40 n/a Equity ratio in % 24.5 24.2 n/a Number of employees (average over the year) 10,679 10,662 -0.2 %
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 3
Total Group revenues at the end of the third quarter 2016 were EUR 1,146.3 million, down 4.1% versus the previous year (EUR 1,194.9 million). Sales revenues decreased by 2.6 % to EUR 992.6 million. EBIT increased by 4.4 % from EUR 36.4 million to EUR 38.0 million year-on-year. Earnings after tax were EUR -4.0 million (previous year: EUR -2.7 million).
Total Group revenues for the Construction segment were 8.5 % lower year-on-year at EUR 516.4 million. EBIT grew by 1.7 % to EUR 12.6 million. The key figures were negatively impacted above all by financial burdens from Malaysia and Hong Kong attributable to long delays and resulting significant order shortages. Moreover, there were delays in starting our major projects in the first half 2016.
Sales revenues of the Equipment segment fell by 5.8 % from EUR 367.3 million to EUR 346.0 million. EBIT is EUR 22.8 million, which is 7.3 % less than the previous year's EUR 24.6 million. When comparing the results, it should be considered that there was an extraordinary income item in the third quarter 2015. The year-on-year improvement in the operating result is mainly due to the delivery of some large and special rigs.
Total Group Revenues of the Resources segment amounted to EUR 205.4 million, 15.9 % up year-on-year (EUR 177.2 million). EBIT amounted to EUR 3.4 million (previous year: EUR -1.2 million). The segment's performance at the beginning of the year was considerably better than last year, mainly due to major projects in the environmental business.
Order backlog of the Group is EUR 1,019.0 million (previous year: EUR 1,017.6 million). This growth compared to earlier years is mainly due to the Construction and Resources segments.
Order shortages and delays in the Construction segment led to financial impacts. As a result, we were obliged to adjust our forecast 2016: total Group revenues of slightly less than EUR 1.65 billion, EBIT of around EUR 65 million and earnings after tax of around EUR 10 to 15 million.
Main topics
Key Figures 9M 2016
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 4
Table of Content
BAUER Group – Strategy, Chances & Markets
Appendix
Financials Q3/9M 2016 & Guidance
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 5
The BAUER Group is a leading provider of services, equipment & products dealing with ground and groundwater.
Mission
Strategy
The world is our market.
Global network organization with flexible, decentralized management.
Three forward-looking segments providing high level of synergies: Construction, Equipment, Resources
World market leadership for foundation technology.
Powerful development of drilling applications and services for related markets.
Highly innovative products and services related to water, environment and natural resources.
Bagatelle Dam project – Mauritius
BAUER Group Mission & Strategy
EUR 1.66 billion total Group revenues EUR 90.7 million EBIT 6.6 % EBIT margin 27.2 % equity ratio 10,738 employees FY 2015
Key targets
Revenue growth: 3 - 8 % per year
EBIT margin: 7 - 9 %
Equity ratio: > 30 %
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 6
BAUER Group The three segments
Construction Equipment Resources
Market leader in specialist foundation equipment
New products for mining, deep drilling and offshore drilling
80 % of sales abroad
Full year 2015:
43 % of total Group revenues *
EBIT margin: 18.1 % *
Key targets:
~ 40 % of total Group revenues
EBIT margin: 10 - 12 %
Global provider for specialist foundation engineering services
Focus on complex, international projects
~ 50/50 infrastructure / industrial
Full year 2015:
44 % of total Group revenues *
EBIT margin: 2.1 % *
Key targets:
~ 40 % of total Group revenues
EBIT margin: 4 - 6 %
Products & services related to water, environment and natural resources.
Service provider for the oil, gas and mining industry
Full year 2015:
13 % of total Group revenues *
EBIT margin: n/a *
Key targets:
~ 20 % of total Group revenues
EBIT margin: 6 - 8 %
* Figures include positive and negative exceptional earnings in all segments
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 7 Note: from 2003 based on IFRS figures
Total Group Revenues Longstanding healthy business development in EUR million (segment after deducting Other/Consolidation)
Equipment 705
Construction Overseas 551
Total 1,656
Construction Domestic 182
Resources 218
1,600
1,000
1,400
800
600
200
0 1980 1983 1985 1987 1997 1999 2001 2003 2005 2007 1991 1989 1993 1995 2009 2011 2013 2015
1,200
400
1,800
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 8
Permanent Offices: Construction Equipment sales Resources Equipment production
Schrobenhausen 2.027
Kuala Lumpur 129 Conroe 156 Tianjin 215
Worldwide network More than 110 subsidiaries in about 70 countries
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 9
BAUER Group Challenges of the world provide chances for the company
Urbanization Infrastructure Water
Environment Energy / Oil & Gas Values
The megatrend urbanization leads to more complex inner-city solutions
High demand for new infrastructure and for restoration of existing structures
Changing social values influence the working and corporate environment
The pollution and contamination of soil require innovative purification solutions
Energy and resource scarcity provide chances for underwater and deep drilling
The shortage of clean drinking water is one of the worlds biggest problems
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 10
BAUER Group Solutions for the biggest challenges and megatrends
Urbanization & Infrastructure
Water
Environment
Energy / Oil & Gas
Leading position in special foundation engineering.
Global activities with presence in over 50 countries worldwide.
Construction Equipment
Resources
Market leader in specialist foundation equipment.
Focus on specialized and high-end equipment.
Construction Innovative construction
methods and services with a special focus on environmental issues.
Extensive solutions in the field of decontaminating polluted ground and groundwater and for remediation works.
Equipment Resources Longstanding experience in
the manufacture of well drilling rigs.
Innovative products and services for wells and for cleaning of drinking and process water.
Equipment Resources Customized solutions for
deep drilling, which set new standards of safety, efficiency, productivity and service.
Comprehensive service provider for clients in the exploration and mining fields.
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 11
BAUER Group Chances
Construction Equipment Resources
Growth potential in new markets and with specialized machines.
Manufacture of customized deep drilling solutions, which set new standards of safety, efficiency, productivity and service.
Powerful duty-cycle crane series, which entered new markets.
Innovative offshore equipment for the foundation of wind farms and tidal turbines.
Growing construction markets worldwide.
Huge pent-up demand in developed countries and in emerging markets.
Specialist foundation grows somewhat stronger than construction markets.
Construction segment with considerable number of major projects currently under construction and tendered for worldwide.
Full-service provider for products and solutions related to water.
Ground-breaking projects in the field of cleaning drinking and process water, e.g. a biological water treatment plant in Oman.
Promising opportunities due to its focus on growth markets water, environment and natural resources.
High expertise in exploration and mining services for the resources water, oil, gas and geothermal energy.
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 12
World construction markets Bauer market potential
USA / Canada: public demand, power plants, dams, etc.
+
Other Americas: several chances in Central America
Africa: slight construction activities, regional growth (Ethiopia, Algeria); demand for water and resources
o Far East: positive development in all areas, especially Hongkong, Malaysia, Indonesia
+
Western Europe: weak markets o
Germany: quite good + Eastern Europe:
slowly positive development
Russia: Crisis regarding Ukraine; difficult to predict.
Middle East: stable, especially Qatar Abu Dhabi, Saudi Arabia; increasing risk regarding oil price
Central Asia: good market potentials +
-- weak - slightly weak o stable + growing ++ strong growth
o -
o
Last update: November 2016
o
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016
China
Source: International Monetary Fund, World Economic Outlook Database, October 2016 * CIS = Commonwealth of Independent States (incl. Georgia; excl. Russia)
United States
Brazil
CIS*
Germany
Middle East & North Africa
Sub-Saharan Africa
World Advanced Economies
Emerging Markets & Develop. Economies
Russia
Australia
2016 2017
2016 2017
2016 2017
2016 2017 2016 2017 2016 2017
2016 2017
2016 2017
2016 2017
2016 2017
2016 2017
2016 2017
2016 2017
2016 2017
2016 2017
Developing Asia
Latin America
1.6 1.8 3.1 3.4 4.2 4.6
-0.6 1.6
-0.3 1.4
6.5 6.3
-0.8 1.1
6.6 6.2
2.9 2.7
1.6 2.2
-3.3 0.5
1.7 1.5
1.7 1.4
1.4 2.9
3.4 3.4
Europe
13
Global economic situation IMF projection of the real annual GDP growth in %
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 14
Table of Content
BAUER Group – Strategy, Chances & Markets
Appendix
Financials Q3/9M 2016 & Guidance
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 15
1,800
1,350
900
450
0
2015 2016 2014 2013
Q1
Q2
Q3
Q4
349
456
351
329
1,485
Financials Revenues, earnings & orders – Group
Revenues
Earnings
Order backlog
Order intake
in EUR million
in EUR million in EUR million
in EUR million Total Group revenues Sales revenues
EBIT Earnings after tax
334
424
421
342
1,521 +2.5 % 100
75
50
25
0
-25
1,000
750
500
250
0
494
+19.1 %
405
550
1,811
362
2015 9M 2015 2014 2013 9M 2016
1,195 1,019
1,146 993
1,504 1,402
1,560 1,376
1,656
1,379
2015 9M 2015 2014 2013 9M 2016
765.2
995.6
762.7
1,019.0
389
-19.3 %
30.1
76.4
-19.4 15.7
36.4
-2.7
2015 9M 2015 2014 2013 9M 2016
90.7
29.0 38.0
-4.0 383
1,017.6
398
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 16
Revenues
Earnings
Financials Revenues, earnings & orders – Segments
Order intake
Order backlog
in EUR million
in EUR million in EUR million
in EUR million Construction Resources Equipment Construction Resources Equipment
9M 2016 9M 2015
698 503
-27.9 %
-1.9 % 498 488
298
219
-26.4 %
1,450
1,170
Construction Resources Equipment
9M 2016 9M 2015
584 578 -1.1 %
-5.7 % 160 151
274 290 +6.1 %
1,018 1,019
Construction Resources Equipment
Order book (in months)
Group
Construction
Equipment
Resources
7.7
9.3
2.7
15.7
The totals include Other/Consolidation
Q3 2015 Q3 2016
551
398
188 228
163 166
62
-17.6 %
-1.8 %
n/a 175
564 516 -8.5 %
-6.2 % 497 466
177 205
+15.9 % 1,195 1,146
9M 2016 9M 2015 Q3 2015 Q3 2016
195 185
163 153
75 66
-5.1 %
-6.1 %
-11.6 % 414
389
EBIT 2.0 7.3 12.4 12.6
EBIT margin (in %) 1.1 4.5 2.5 2.7
EBIT 16.2 9.4 24.6 22.8
EBIT margin (in %) 12.5 7.7 6.7 6.6
EBIT 2.0 3.5 -1.2 3.4
EBIT margin (in %) 3.0 6.2 n/a 1.9
9M 2015 Q3 2016 Q3 2015 9M 2016
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 17
Financials Regional breakdown – Total Group revenues 9M 2016 in EUR million
Total 1,146
in EUR million
Africa 77 (4 %) Americas 297 (18 %)
Asia-Pacific, Far East & Australia 348 (21 %)
Middle East & Central Asia 227 (14 %)
Germany 474 (29 %)
EU excl. Germany 162 (10 %)
Europe (other) 71 (4 %)
Total 1,656
Full year 2015
Africa 66 (6 %)
Americas 158 (14 %)
Asia-Pacific, Far East & Australia 184 (16 %)
Middle East & Central Asia 141 (12 %)
Germany 384 (34 %)
EU excl. Germany 142 (12 %)
Europe (other) 71 (6 %)
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 18 Figures after deducting Other/Consolidation
Financials Regional breakdown – Segments 9M 2016
in EUR million Total 505 Total 438 Total 203
Construction segment Equipment segment Resources segment
Africa 46 (9 %)
Americas 53 (11 %)
Asia-Pacific, Far East & Australia 91 (18 %)
Middle East & Central Asia 81 (16 %)
Germany 153 (30 %)
EU excl. Germany 49 (10 %)
Europe (other) 32 (6 %)
Africa 12 (3 %)
Americas 95 (22 %)
Asia-Pacific, Far East & Australia 92 (21 %)
Middle East & Central Asia 24 (5 %)
Germany 98 (22 %)
EU excl. Germany 82 (19 %)
Europe (other) 35 (8 %)
Africa 8 (4 %) Americas 10 (5 %)
Asia-Pacific, Far East & Australia 1 (0 %)
Middle East & Central Asia 36 (18 %)
Germany 133 (66 %)
EU excl. Germany 11 (5 %)
Europe (other) 4 (2 %)
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 19
Financials Working capital needs & net debt
Net financial debt & pensions
Net
fina
ncia
l de
bt
Pens
ions
Net working capital
800
600
400
200
0
in EUR million
in EUR million
Bauer’s business model with its three segments requires considerably more working capital than other companies in construction markets. Changes during the year: - Levels of working capital in the balance sheet during
the year are typically higher than year-end positions.
Construction segment:
- Construction contracts with short duration need approx. 2 - 3 months pre-financing (no advance payments, no front-loading of prices possible, comparably long time needed for final account settlement).
- On some jobs collection of money takes long time due to disputes with the customer. Bad payment is frequently used by customers to achieve reductions in final payments. This can cause law cases.
Comparison with main contractor: they can finance their company by a positive cash flow from jobs.
2013 2014 2015 9M 2015 9M 2016
605 604 629 700 684
2013 2014 2015 9M 2015
84
672 646 665
119
749 736
112
9M 2016
115 143
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 20
Building construction positive cash contribution
Specialist foundation engineering pre-financing need
Financials Working capital needs & cash flow
EUR
12 24 months
Positive cash contribution
Negative cash contribution
Con
trac
t val
ue
EUR
Negative cash contribution
12 24 months
Con
trac
t val
ue
Equipment segment:
- Due to very special parts being installed, parts need to be pre-ordered well in advance approx. 3 months pre-financing of equipment during production.
- Spare parts store is needed for large customer base.
- A relatively large rental fleet is needed for different contract types (e.g. rental purchase).
- Deep drilling rigs add large numbers in value.
Resources segment:
- A mixture of the Construction and Equipment segments.
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 21
Financials Income statement 9M 2016 in EUR '000 9M 2015 9M 2016 ∆ in %
Sales revenues (P&L) 1.018.818 992.552 -2,6%
Consolidated revenues (P&L) 1.134.782 1.084.705 -4,4%
Cost of materials -549.680 -531.816 -3,2%
Personel expenses -280.915 -275.177 -2,0%
Other operation expenses -197.146 -173.083 -12,2%
EBITDA 107.041 104.629 -2,3%
Depreciation of fixed assets -61.022 -55.037 -9,8%
Write-downs of inventories due to use -9.638 -11.576 20,1%
EBIT 36.381 38.016 4,5%
Financial income 3.261 3.604 10,5%
Financial expenses -30.422 -31.590 3,8%
Share of profit/loss of associated companies (equity method) 1.450 -1.034 n/a
Earnings before tax (EBT) 10.670 8.996 -15,7%
Income tax expense -13.321 -12.983 -2,5%
Earnings after tax -2.651 -3.987 n/a
of which attributable to shareholders of BAUER AG -4.197 -6.827 n/a
of which attributable to non-controlling interests 1.546 2.840 83,7%
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 22
Financials Balance sheet September 30, 2016 in EUR '000 Sep. 30, 2015 Sep. 30, 2016 ∆ in %
Assets 1.710.720 1.706.651 -0,2%
A. Non-current assets 596.085 613.500 2,9%I. Intangible assets 31.228 24.653 -21,1%
II. Property, plant and equipment and investment property 443.993 391.222 -11,9%
III. Investments accounted for using the equity method 52.953 128.140 n/a
IV. Participations 3.613 3.457 -4,3%
V. Other non-current assets & deferred tax assets 64.298 66.028 2,7%
B. Current assets 1.114.635 1.093.151 -1,9%I. Inventories 470.236 500.709 6,5%
II. Receivables and other assets 593.760 534.507 -10,0%
III. Effective income tax refund claims 1.599 3.127 95,6%
IV. Cash and cash equivalents 49.040 38.636 -21,2%
V. Assets classified as held for sale 0 16.172 n/a
Equity and liabilities 1.710.720 1.706.651 -0,2%
A. Equity 419.495 412.588 -1,6%B. Non-current debt 542.782 595.508 9,7%I. Provisions for pensions 109.457 140.320 28,2%
II. Non-current liabilities & deferred tax liabilities 433.325 455.188 5,0%
C. Current debt 748.443 698.555 -6,7%I. Financial liabilities 385.068 352.912 -8,4%
II. Other current liabilities 330.267 315.208 -4,6%
III. Effective income tax obligations 14.885 12.515 -15,9%
IV. Provisions 18.223 17.920 -1,7%
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 23
Financials Cash flow statement 9M 2016 in EUR '000 9M 2015 9M 2016 ∆ in %
Cash flow from operational activity -39.143 9.468 n/a
Cash flow from investment activity -39.176 -34.044 -13,1%
Cash flow from financing activity 84.874 18.497 -78,2%
Free Cash Flow -78.319 -24.576 -68,6%
Changes in liquid funds affecting payments 6.555 -6.079 n/a
Influence of exchange rate movements on cash 650 -2.691 n/a
Total change in liquid funds 7.205 -8.770 n/a
Cash and cash equivalents at beginning of reporting period 41.835 47.406 13,3%
Cash and cash equivalents at end of reporting period 49.040 38.636 -21,2%
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 24
Guidance 2016 Lower key figures than expected
2015e 2015 final 2016e
Total Group Revenues ~ 1,600 EUR million 1,656 EUR million slightly below 1,650 EUR million
EBIT ~ 75 EUR million 90.7 EUR million ~ 65 EUR million
Earnings after tax ~ 18 – 23 EUR million 29.0 EUR million ~ 10 – 15 EUR million
Bagatelle dam – Mauritius Water treatment plant – Leuna, Germany In-house exhibition 2015 – Schrobenhausen
BAUER Group
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 25
Investor Relations BAUER Aktiengesellschaft BAUER-Straße 1 86529 Schrobenhausen Germany Tel.: +49 8252 97-1218 Fax: +49 8252 97-2900 [email protected] www.bauer.de
BAUER AG Financial calendar 2017
Publication Annual Report 2016 April 13, 2017 Annual Press Conference April 13, 2017 Analyst Conference April 13, 2017 Annual General Meeting June 29, 2016 Quarterly Statement Q1 2017 May 15, 2017 Half-Year Interim Report to June 30, 2017 August 11, 2017 Quarterly Statement 9M/Q3 2017 November 14, 2017
Listing CDAX, GEX, Classic All Share Prime All Share DAXplus Family
Get the BAUER App for Apple and Android
ISIN DE0005168108 Reuters B5AG.DE Bloomberg B5A GR
www.youtube.com/Bauergruppe
www.facebook.com/BauerAGgroup
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 26
Table of Content
BAUER Group – Strategy, Chances & Markets
Appendix
Financials Q3/9M 2016 & Guidance
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 27
1790 · 1900 · 1902 · 1928 · 1948 · 1956 · 1958 · 1967 · 1969 · 1972 · 1975 · 1976 · 1984 · 1990 · 1992 · 1994 · 1998 · 2001 · 2015
BAUER Group The history – Two centuries of experience
End of 1970’s: Start of
internationalisation
Early 1990’s: Build up of
specialist construction/ environmental business
FY 2015: Total Group
revenues EUR 1.656
billion, 10,738
employees
4. Jul 2006: IPO
Early 1970’s: Start of equipment
manufacturing
Company founded as copper forge
After WW II (1950's): Start of construction
business
Early 1980’s: Selling of equipment to
third parties
1790 1900-1970 1980-1990 2000-2015
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 28
BAUER Group The three segments
28 © BAUER AG, D-86529 Schrobenhausen
Target: ~ 40 % of total Group revenues
Market leader in specialist foundation equipment
New products for mining, deep drilling and offshore drilling
80 % of revenues from sales abroad
Multi-branding strategy
Target: ~ 40 % of total Group revenues
Global provider for specialist foundation engineering services
Specialist construction services
Focus on complex, international projects
Target: ~ 20 % of total Group revenues Activities in
environmental technology, mining, deep drilling, well construction, materials
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 29
BAUER Group Headquarters and plant Schrobenhausen, Germany
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 30
What is specialist foundation? Building an excavation pit
Ground Water
Injection Anchor
Sealing Slab
Supporting Wall
Underpinning Injection
Pile Foundation
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 31
What is specialist foundation used for? Applications for projects
Foundations Cut-off walls Excavation pits
Buildings Infrastructure Water – Energy Industry
Ground improvement
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 32
Construction Ismailia, Egypt – New road tunnel underneath Suez Canal
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 33
Construction Doha, Qatar – Construction pit for the Mozoon Towers
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 34
Construction Munich, Germany – Construction pit for wastewater treatment plant
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 35
Construction Zwenkau, Germany – Construction works for Harth canal
© euroluftbild.de
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 36
Equipment Product range: Drilling rigs (BG series) – ValueLine
ValueLine The BG ValueLine is a fully dedicated Kelly drilling rig.
BG 30 BG 38 BG 20
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 37
Equipment Product range: Drilling rigs (BG series) – PremiumLine
BG 42 BG 50 BG 20
PremiumLine Multi-purpose drilling rigs for various applications of foundation works.
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 38
Equipment Product range: Duty-cycle cranes (MC series)
MC 128 MC 96 MC 64
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 39
Equipment Product range: Deep Drilling (PR series)
PR 200 PR 440 M2 In order to meet the upcoming
market challenges, out-of-the-box
thinking is necessary and therefore
customized rig solutions are of
growing importance.
Based on more than 40 years of
experience in engineering and
manufacturing of drilling rigs, Bauer
develops and manufactures
customized drilling solutions which
set new standards of safety,
efficiency, productivity and ease
of service in the deep drilling
business.
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 40
Resources Segment Pool of competences from a single hand
Industrial Waste Water Process & Produced Water NORM Constructed Wetlands Modelling & Well Design Construction Material for Wells
and Geothermal Water Distribution Management Irrigation Systems
Remediation Landfill Restoration Decommissioning Demolition Hazardous Waste Management Soil Treatment and Waste
Management
Exploration Drilling Deep Geothermal Drilling Oil & Gas Drilling Well Drilling Blast Hole Drilling
Environment Water Natural Resources
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 41
Resources Segment The Competence Centers
Environment
Water
Natural Resources Waste
Treatment & Disposal
Remediation
Constructed Wetlands
Water Treatment
Process Technology Beverage &
Biotec
Water Well Design &
Construction
Drilling Techno- logies
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 42
Resources Water – Process Water & Water Distribution Management
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 43
Resources Environment – Soil remediation in Germany
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 44
Resources Environment – Remediation of Kesslergrube landfill, Germany
© Source: Press picture Roche
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 45
Resources Natural Resources – Oil and Exploration Drilling in Jordan
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 46
Market environment – Germany German construction market
Source: Federal Statistical Office, Statistical Office Bavaria
Germany2015
Employees in 1000
Revenues in EUR billion 101.0Building construction 65.0Foundation engineering 36.0
Orders received *in EUR billion
Housebuilding 13.1Industrial building 24.6Public sectorof which
public buildings 4.0road building 10.1underground structures 7.5
*) only companies > 20 employees
10.3
-28.4 5.2 16.9
5.4
1.9
18.4
18.221.5
59.1
-45.9
-13.6
2015/
14.9
August 2016 2015/ Jan-Aug1995 2014 2016/2015
-37.5
13.3
1.1
9.3
-43.7
-23.8-22.0
17.9
23.12.9
7.0
-0.1
5.9
-41.3
11.1
763.4
6.4
5.0
0.8
-17.6
-5.1
1.6
1.4
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 47
BAUER share Facts & Figures
Bauer family
Free float 51.81 %
Listed on Frankfurt stock exchange, Prime Standard, since July 4, 2006
Share capital EUR 73,001,420.45
Shares issued 17,131,000
Issue price EUR 16.75
Shareholder structure
Share performance (07/2015 – 11/2016)
in EUR 2012 2013 2014 2015 2016
Earnings per share 1.44 -0.99 0.85 1.73 ---
Share price year end 19.32 18.81 13.35 17.40 ---
Share price highest 26.50 23.05 20.04 19.20 17.16
Share price lowest 16.13 17.33 11.75 13.85 11.65
Market Cap (in EUR million)
331.0 322.2 228.7 298.1 ~200
48.19 %
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 48
BAUER share Dividend policy
2009
Dividend payment
2010 2008 2007 2006
0.30
0.00
0.60
0.90
1.20
0.50
1.00 1.00
0.60 0.60
Dividend policy founded on a reasonable balance between shareholders and company
fair participation of shareholders continuity over the years safeguarding of the equity base
All shareholders shall participate in the success of the business. In turbulent times such as the financial crisis our goal of strategic and safe growth of the company led to higher profit retention for the last years. To secure an adequate equity ratio is an important aim of the company’s management. With this we intend to safeguard the long-term success of the Group.
2011
0.50
2012
0.30
2013
0.00
0.15
2014
in EUR per share
2015
0.15
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 49
Key Figures Time Line FY 2008 – Q3 2016
In all three segments, total Group revenues and EBIT figures of Q4 2015 and FY 2015 were influenced by exceptional earnings.
Total Group Revenues(in EUR million)BAUER Group 1.527,2 1.275,8 1.304,0 1.371,8 1.435,8 1.504,2 378,1 371,1 413,9 397,1 1.560,2 409,1 371,3 414,5 461,5 1.656,4 383,2 373,8 389,3
Construction 700,9 570,0 615,4 606,6 655,2 741,7 178,5 173,0 181,8 192,3 725,6 193,5 176,4 194,5 178,5 742,9 159,9 172,0 184,5Equipment 780,1 608,5 581,7 636,5 589,1 628,6 163,8 157,6 186,1 131,7 639,2 173,8 159,6 163,2 256,5 753,1 165,0 147,5 153,3Resources 135,1 174,3 177,7 211,5 262,8 188,9 48,4 52,5 59,6 92,3 252,8 54,3 47,8 75,1 44,4 221,6 71,5 67,5 66,5
Sales Revenues(in EUR million)BAUER Group 1.290,8 1.096,5 1.131,7 1.219,6 1.344,4 1.402,2 313,4 332,2 368,1 362,0 1.375,7 299,6 342,4 376,8 360,2 1.379,0 317,6 332,2 342,8
Construction 584,3 487,9 505,8 506,2 579,1 657,5 167,8 160,8 163,5 154,5 646,6 156,0 163,9 179,4 151,5 650,8 143,6 154,9 162,7Equipment 601,2 456,5 469,3 511,4 520,6 561,6 102,9 120,6 147,4 161,8 532,7 100,5 137,4 129,3 180,8 548,0 107,8 115,2 123,0Resources 105,1 152,0 156,4 201,5 244,3 182,6 42,5 50,7 57,2 45,5 195,9 42,9 40,9 67,9 27,6 179,3 65,9 61,6 56,7
EBIT(in EUR million)BAUER Group 167,5 84,4 88,4 82,3 72,0 30,1 4,9 8,7 24,7 38,1 76,4 1,2 14,8 20,4 54,3 90,7 4,8 13,6 19,7
Construction 46,3 25,7 28,8 17,9 22,0 21,2 1,5 6,0 12,9 5,6 26,0 4,9 5,5 2,0 1,5 13,9 1,0 4,3 7,3Equipment 118,3 51,3 48,3 53,0 34,0 32,2 5,6 7,7 12,7 10,0 36,0 -0,9 9,3 16,2 74,8 99,4 5,9 7,5 9,4Resources 4,0 6,0 8,1 10,9 15,2 -24,0 -2,1 -1,2 -2,4 21,6 15,9 -2,9 -0,3 2,0 -18,6 -19,8 -1,6 1,5 3,5
EBIT margin(in %)BAUER Group 13,0% 7,7% 7,8% 6,7% 5,4% 2,1% 1,6% 2,6% 6,7% 10,5% 5,6% 0,4% 4,3% 5,4% 15,1% 6,6% 1,5% 4,1% 5,7%
Construction 7,9% 5,3% 5,7% 3,5% 3,8% 3,2% 0,9% 3,7% 7,9% 3,6% 4,0% 3,1% 3,4% 1,1% 1,0% 2,1% 0,7% 2,8% 4,5%Equipment 19,7% 11,2% 10,3% 10,4% 6,5% 5,7% 5,4% 6,4% 8,6% 6,2% 6,8% -0,9% 6,8% 12,5% 41,4% 18,1% 5,5% 6,5% 7,6%Resources 3,8% 3,9% 5,2% 5,4% 6,2% -13,1% -4,9% -2,4% -4,2% 47,5% 8,1% -6,8% -0,7% 2,9% -67,4% -11,0% -2,4% 2,4% 6,2%
Q4 15
Q4 15
Q4 15
Q4 15
2012
2012 Q1 14
2012
Q3 14Q2 14
2013
2013 Q2 14
2013
20122010
2011
2010
2011
2011
2010
2009
2008 2009
2008
2008
2008 2009
2009
2011
2010 Q4 14
Q3 14 Q4 14
Q3 14
Q3 14Q1 14 Q2 14
Q4 14
2013 Q4 14
Q1 14
Q1 14
Q2 14 2014
2014
2014
2014
Q1 15
Q1 15
Q1 15
Q1 15
Q3 15
Q3 15
Q1 16
Q1 16
Q1 16
Q1 16
2015
2015
2015
2015
Q2 15
Q2 15
Q2 15
Q2 15
Q3 15
Q3 15
Q3 16
Q3 16
Q3 16
Q3 16
Q2 16
Q2 16
Q2 16
Q2 16
© BAUER AG, D-86529 Schrobenhausen 16-11-14 IR-Presentation_Q3_2016 50
Disclaimer
This presentation contains forward-looking statements. Forward-looking statements are statements that are not historical facts, including statements about our beliefs, intentions, expectations, predictions and the assumptions underlying them. These statements are based on factors as they are currently available to the management of BAUER AG and therefore speak only as of the date they are made. We assume no liability to update publicly or conform any of them to future events or future developments. Forward-looking information is subject to various known and unknown risks and un-certainties, which could lead to material differences between the actual future results, financial situation, development or performance of the BAUER Group and those factors contained in any forward-looking statement. In view of these uncertainties, no assurance can be given that these forward-looking statements will prove accurate and correct, or that anticipated and projected future results will be achieved and we caution you not to place undue reliance on these forward-looking statements.
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