Jost Werke Se · XETR:JST
Jost Werke — Q3 2024 Earnings Presentation
22 slides from Jost Werke's earnings presentation, Nov 14, 2024
Slide 1: Results 3rd Quarter 2024
JOST WERKE SE – NOVEMBER 14, 2024 RESULTS 3RD QUARTER 2024 JOACHIM DÜRR (CEO) & OLIVER GANTZERT (CFO)
Slide 2: Disclaimer
Disclaimer THIS PRESENTATION IS CONFIDENTIAL AND MUST NOT BE RELEASED, PUBLISHED, TRANSMITTED OR DISTRIBUTED, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, INTO OR WITHIN THE UNITED STATES OF AMERICA, CANADA, AUSTRALIA, JAPAN OR ANY JURISDICTION WHERE SUCH DISTRIBUTION IS UNLAWFUL. This presentation
Slide 3: Strategic and Operating Highlights Q3 2024
Strategic and Operating Highlights Q3 2024 JOST signed agreement to acquire the Hyva Group, adding the global market leader of hydraulic tipping cylinders to its portfolio Successful localization of Quicke’s front loader design in Brazilian factory and launch of V-Loader for the Brazilian agricultur
Slide 4: Financial Highlights in Q3 2024 and 9M 2024
Financial Highlights in Q3 2024 and 9M 2024 Sales amounted to €246m in Q3 2024, additionally supported by two months of M&A contribution of €14m Adj. EBIT reached €27m and adj. EBIT margin was high at 10.8% despite declining sales Free cash flow continued to grow, reaching €83m in 9M 2024 and levera
Slide 5: Market Development Q3 2024 vs. Q3 2023
Market Development Q3 2024 vs. Q3 2023 EUROPE NORTH AMERICA ASIA-PACIFIC-AFRICA TRUCK -20% Truck demand weakened MARKET further during Q3, impacted -13% Market normalization vs. -10% Truck demand affected by strong pent-up-demand slowing of export in China and INDUSTRY (volume) by pronounced seasona
Slide 6: Key Financials Q3 2024 and 9M 2024
KEY FINANCIALS Q3 2024 AND 9M 2024 6 JOST Werke SE – ANALYSTS’ AND INVESTORS’ CONFERENCE CALL Q3 2024 RESULTS
Slide 7: Europe – European Markets Remain Weak
Europe – European Markets Remain Weak Reported Growth -7.7% -9.2% - Truck and trailer demand remained weak in Q3 Organic 521 -17.3% 480 -16.8% - Demand for agricultural loaders still low even though dealers’ Sales (€m) inventory levels have come down 154 140 + Consolidation of JACSA (former: Crenlo
Slide 8: North America – Strong Profitability Despite Sales Decline
North America – Strong Profitability Despite Sales Decline Reported -26.7% -30.9% Growth - Sales burdened by cyclical decline in North America after strong Organic -26.4% -30.1% pent-up demand in prior year’s quarter; esp. trailer business Sales (€m) 287 211 86 - Strong decline in compact-loader mar
Slide 9: Asia-Pacific-Africa – Demand for Transport Remains Robust
Asia-Pacific-Africa – Demand for Transport Remains Robust on High Level Reported -2.6% -9.3% + Robust markets in Australia & New Zealand as well as China’s Growth export business supported development in the region Organic -3.2% -12.0% - Demand in India has not quite recovered post the Q2 election S
Slide 10: Group – Profitability Remains High Despite Cyclical Sales Decline
Group – Profitability Remains High Despite Cyclical Sales Decline Reported -12.6% -15.7% - Cyclical decline for Transport in Europe and North America Growth (organic -20% in Q3 2024) Organic -17.7% -19.9% 964 - Markets for agricultural loaders start to stabilize on low level as Sales (€m) 843 193 st
Slide 11: Adjusted Net Income and Adjusted EPS
Adjusted Net Income and Adjusted EPS - Interest payments for 3rd party debt increased to 6 €12m (9M 2023: €10m) 18 95 - Taxes increased by 7% to €15m in 9M 2024 -14 (9M 2023: €14m) 14 78 71 15 Reported EPS amounted to €2.86 (9M 2023: €3.92) -21 60 EPS declined due to overall sales decline as well as
Slide 12: ROCE, Equity Ratio and Leverage Development
ROCE, Equity Ratio and Leverage Development -2.4pp - ROCE declined compared to year-end, affected by ROCE1 21.0% 18.6% sales-driven reduction of adj. EBIT as well as cash outflow for the (%) acquisition of 10% of equity in Trailer Dynamics GmbH + ROCE remained strong at approx. 19% Dec 31, 2023 Sept
Slide 13: Cash Flow and Working Capital Development
Cash Flow and Working Capital Development Free cash flow1 Cash conversion rate2 0.7 1.4 + Strong development of operative cash flow + Additional support through factoring (€m) 83.4 56.3 + Cash conversation rate in long-term target range of ≥1 YTD 2023 YTD 2024 Capex3 2.2% 2.6% CAPEX (% of sales) + C
Slide 14: Outlook FY 2024
OUTLOOK FY 2024 14 JOST Werke SE – ANALYSTS’ AND INVESTORS’ CONFERENCE CALL Q3 2024 RESULTS
Slide 15: Market Development Expectations for FY 2024
Market Development Expectations for FY 2024 EUROPE NORTH AMERICA ASIA-PACIFIC-AFRICA TRUCK (20) – (15) % (10) – (5) % (5) – 0 % Weaker demand, compared to very high, Demand for Class 8 trucks expected to Chinese truck market recovery still on INDUSTRY (Volume) pent-up-demand-driven levels in prior c
Slide 16: JOST New Outlook for 2024
JOST New Outlook for 2024 -15% decline y-o-y (+/- 2.5pp); Sales (2023: €1,250m) Low double-digit decline y-o-y, trailing Adj. EBIT sales development (2023: €141m) Adj. EBIT margin Between 10.5% - 11.0% Capex Approx. 2.5% - 2.9% of sales (in % of sales) 1 Working Capital Below 19% from sales (2023: 1
Slide 17: Hyva Deal – Current status and next steps
Hyva Deal – Current status and next steps SPA signed on October 14, 2024 Acquisition financing agreement with attractive conditions signed with up to 24 months time for refinancing Merger control filings already initiated with closing expected in Q1 2025 JOST and Hyva are both preparing for immediat
Slide 18: Executive Summary
Executive Summary Acquisition of Hyva is a key milestone to achieve JOST’s mid-term growth targets, paving the way to increase our exposure to off-highway markets Further improvements in Working Capital and operational excellence strengthen Free Cashflow, keeping leverage at the 1.0x threshold Profi
Slide 19: Q&A / Appendix
Q&A Appendix Further information 19 JOST Werke SE – ANALYSTS’ AND INVESTORS’ CONFERENCE CALL Q3 2024 RESULTS
Slide 20: Development of JOST's Sales and Adjusted EBIT by Quarter
Development of JOST’s Sales and Adjusted EBIT by Quarter SALES (€m) ADJ. EBIT (€m) ADJ. EBIT MARGIN (in %) 342 330 327 312 322 304 292 286 299 298 273 266 257 252 246 231 40 199 202 37 192 197 34 33 35 34 178 175 32 30 30 157 30 30 27 27 27 24 23 24 19 20 21 10.0%9.3% 8.9% 11.3% 11.6% 10.8% 12.0% 11
Slide 21: Shareholder Structure and Share Information
Shareholder Structure and Share Information SHAREHOLDER STRUCTURE AS OF NOVEMBER 14, 2024 SHARE INFORMATION ISIN DE000JST4000 Trading symbol JST German Sec. Code Number (WKN) JST400 20% Shares in issue 14,900,000 45% Index SDAX Allianz Global Investors Listed since July 20, 2017 PMB Management 20% F
Slide 22: Financial Calendar and Contact
Financial Calendar 2024 Contact Nov 14 Publication of Q3 2024 Interim Report Investor Relations Contact: Nov 26 Road Show, The Netherlands ROMY ACOSTA Dec 2 Berenberg European Conference 2024, Pennyhill, Head of Investor Relations London/UK JOST Werke SE Financial Calendar 2025 SIEMENSSTRASSE 2 6326