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Dassault Aviation SA — H1 2020 Earnings Presentation

22 slides from Dassault Aviation SA's earnings presentation, Jul 23, 2020

  1. Slide 1: Press Conference July 23rd 2020

    PRESS CONFERENCE July 23rd 2020

  2. Slide 2: Context

    CONTEXT

  3. Slide 3: Covid-19 a major sanitary and economic crisis (1/3)

    COVID-19 A MAJOR SANITARY AND ECONOMIC CRISIS (1/3) The Covid-19 epidemic triggered an unprecedented global crisis as to its sanitary and economic consequences, its magnitude, its geographic scope and its duration. Contribution of Dassault Aviation Group to the national effort in France by providing

  4. Slide 4: Covid-19 a major sanitary and economic crisis (2/3)

    COVID-19 A MAJOR SANITARY AND ECONOMIC CRISIS (2/3) Launch of a Business Continuity Plan that prioritized our efforts :  customer support (Armed forces in priority),  production and delivery of Rafale and Falcons,  development of the Falcon 6X. Cancellation of the dividend proposal and suspension

  5. Slide 5: Covid-19 a major sanitary and economic crisis (3/3)

    COVID-19 A MAJOR SANITARY AND ECONOMIC CRISIS (3/3) Covid-19 crisis consequences :  decrease of Falcon deliveries which leads to a new 2020 guidance of 30 Falcons whereas 40 were initially guided,  beyond this lag in net sales, 1st half results negatively impacted by costs associated with unworked

  6. Slide 6: Crisis recovery strategy

    CRISIS RECOVERY STRATEGY UNCHANGED AMBITION IN A HARSH AND UNCERTAIN ECONOMIC ENVIRONMENT  Sell and deliver Falcons  Falcon 6X: comply with our schedule (entry into service in 2022)  Rafale: negotiate an additional batch for France, and pursue export prospection  Pursue the future Falcon develop

  7. Slide 7: Activities & Programs

    ACTIVITIES & PROGRAMS

  8. Slide 8: Rafale deliveries

    RAFALE DELIVERIES 7 Rafale (India and Qatar) delivered during the 2020 1st half Rafale Qatar Rafale India 8 PRESS CONFERENCE – JULY 23RD 2020 Ce document est la propriété intellectuelle de Dassault Aviation. Il ne peut être utilisé, reproduit, modifié ou communiqué sans son autorisation. Dassault Av

  9. Slide 9: Rafale

    RAFALE  Negotiation of an additional batch for France  Ongoing works on the F4-Standard  No Rafale delivery to France in 2020 and 2021 in accordance with the French Military Procurement Law  Resumption of deliveries in 2022 of the 28 Rafale out of 180 ordered by France  Ongoing discussions with

  10. Slide 10: Future Combat Air System (FCAS)

    FUTURE COMBAT AIR SYSTEM (FCAS) February 20, 2020 : French and German governments awarded Dassault Aviation, Airbus, together with their partners MTU Aero Engines, Safran, MBDA and Thales, the initial framework contract (Phase 1A), which launches the demonstrator phase for the FCAS, including the de

  11. Slide 11: Eurodrone

    EURODRONE Final contract negotiations are ongoing between the OCCAR (Organization for Joint Armament Cooperation) and Airbus Defense & Space (lead contractor), Leonardo and Dassault Aviation (main subcontractors) 11 PRESS CONFERENCE – JULY 23RD 2020 Ce document est la propriété intellectuelle de Das

  12. Slide 12: Multi-mission aircraft

    MULTI-MISSION AIRCRAFT Falcon  Launch of the strategic intelligence program “Archange” based on a Falcon 8X platform (2 ordered, 1 option)  Design study of maritime surveillance and intervention Falcon 2000 AVSIMAR for the “Albatros” contract  Delivery of the 3rd Falcon 50SurMar equipped with hat

  13. Slide 13: Falcon context

    FALCON CONTEXT Travel restrictions related to the Covid-19 epidemic and the serious economic consequences of the health crisis are deeply impacting the business jet market. During the crisis, priority was given to the :  client support continuity  aircraft deliveries  Falcon 6X ongoing developmen

  14. Slide 14: Falcon 6X

    FALCON 6X Falcon 6X development was part of our core priorities during this period Nominal program advancement : maiden flight planned in 2021, entry into service in 2022  aircraft #1 assembly completed in Mérignac and powered-up performed for the 1st time  start of aircraft #1 ground tests  airc

  15. Slide 15: Future Falcon

    FUTURE FALCON Pursuing the development of the Falcon family. Announcement postponed. 15 PRESS CONFERENCE – JULY 23RD 2020 Ce document est la propriété intellectuelle de Dassault Aviation. Il ne peut être utilisé, reproduit, modifié ou communiqué sans son autorisation. Dassault Aviation Proprietary D

  16. Slide 16: 2020 1st half results

    2020 1st HALF RESULTS

  17. Slide 17: Order intakes, deliveries and backlog in units

    ORDER INTAKES, DELIVERIES AND BACKLOG IN UNITS Order Intake Deliveries Backlog 2020 1st half 2019 1st half 2020 1st half 2019 1st half 06.30.2020 12.31.2019 53 16 17 42 Falcon 5 7 2020 Guidance: 30 2019 Deliveries: 40 68 75 40 47 10 Rafale Export 7 Rafale France 0 0 28 28 2020 Guidance: 13 2019 Deli

  18. Slide 18: Order intake, net sales and backlog

    ORDER INTAKE, NET SALES AND BACKLOG IN € BILLION p.m. : Dassault Aviation recognizes the Rafale Export contracts in their entirety (with the Thales and Safran parts) Falcon Defense Export Defense France Order Intake Net Sales Backlog 2020 1st half 2019 1st half 2020 1st half 2019 1st half 06.30.2020

  19. Slide 19: Consolidated self-funded R&D

    CONSOLIDATED SELF-FUNDED R&D IN € MILLION AND IN % OF NET SALES € 262 M € 258 M 9.9% of net sales 8.4% of net sales H1 2020 H1 2019 19 PRESS CONFERENCE – JULY 23RD 2020 Ce document est la propriété intellectuelle de Dassault Aviation. Il ne peut être utilisé, reproduit, modifié ou communiqué sans so

  20. Slide 20: Adjusted consolidated income statement

    ADJUSTED CONSOLIDATED INCOME STATEMENT 1st half in € million 2020 2019 NET SALES 2,641 3,058 OPERATING INCOME 55 250 Operating margin 2.1% 8.2% FINANCIAL INCOME -19 -26 THALES and other equity affiliates 60 143 TAXES -9 -81 NET INCOME 87 286 Net margin 3.3% 9.3% 20 PRESS CONFERENCE – JULY 23RD 2020

  21. Slide 21: Consolidated available cash

    CONSOLIDATED AVAILABLE CASH € 4,6 Bn Available cash stands at € 3.9 Bn € 3,9 Bn including Rafale Export downpayments received for ongoing contracts. The decrease is mainly due to the increase of working capital (decrease of downpayments received on Export contracts further to deliveries and raise in

  22. Slide 22: Revised 2020 guidance

    REVISED 2020 GUIDANCE In an uncertain Covid-19 context, and its economic consequences, our new guidance is:  Delivery of 30 Falcon (vs 40 planned before Covid)  Delivery of 13 Rafale (same as before Covid)  Decrease of net sales 22 PRESS CONFERENCE – JULY 23RD 2020 Ce document est la propriété in

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