Vossloh Aktiengesellschaft · XETR:VOS
Vossloh Aktiengesellschaft — Vossloh — Investor Presentation (May 2011)
24 slides from Vossloh Aktiengesellschaft's investor presentation, May 2011
Slide 1: Presentation to Investors
Presentation to Investors May 2011 1
Slide 2: Disclaimer
Disclaimer NB: The presentation contains forward-looking statements that are based on current estimates and assumptions made by the management of Vossloh to the best of its knowledge. Such forward-looking statements are subject to risks and uncertainties, the non-occurrence or occurrence of which co
Slide 3: Specialist in rail technology with leading market positions
Vossloh Specialist in rail technology with leading market positions Vossloh AG Rail Infrastructure Transportation Vossloh Fastening Systems Transportation Systems Vossloh Locomotives Vossloh Switch Systems Vossloh Rail Vehicles Vossloh Rail Services Vossloh Electrical Systems 3
Slide 4: Business in 2010 with new record highs
Vossloh Group Business in 2010 with new record highs ► Sales in € mill. ► EBIT in € mill./EBIT margin in % 160 152.1 1,300 1,351.3 137.7 137.9 1,232.1 1,212.7 1,173.7 140 1,200 121.5 1,015.2 120 996.4 1,000 100 90.8 800 82.7 80 600 60 11.4 11.7 11.3 9.1 9.9 400 40 8.1 200 20 0 0 2005 2006 2007 2008
Slide 5: Order intake and order backlog at all-time highs
Vossloh Group, Q1/2011 Order intake at €622.8 million and order backlog at €1,448.2 million both reaching all-time highs Order intake: ► Fastening Systems: €142.6 million (+49.8%) ► Transportation Systems: €169.5 million (up from a negative €13.0 million) ► Switch Systems: €153.8 million (+14.8%) ►
Slide 6: Several reasons for a weak start into 2011
Vossloh Group, Q1/2011 Several reasons for a weak start into 2011 ► Sales down by 12.1% or €35.9 million; project delays and suspended shipments hamper business at Rail Infrastructure; Transportation sales receding as expected ► EBIT and EBIT margin shrinking, also due to higher raw material cost ra
Slide 7: Working capital, capital employed and net financial debt all improved
Vossloh Group, Q1/2011 Working capital, capital employed and net financial debt all improved ► Working capital whittled down ► Capital employed trimmed ► Net financial debt and net leverage slashed 3/31/2010 12/31/2010 3/31/2011 Total assets € mill. 1,413.3 1,405.8 1,444.3 Total equity € mill. 525.8
Slide 8: Cash flow from operating activities far in the black
Vossloh Group, Q1/2011 Cash flow from operating activities far in the black Cash flow analysis (€ mill.) Q1/2010 Q1/2011 EBIT 35.4 17.9 ► Cash flow from operating Amortization/depreciation/write-down (less write-up) of activities improved year-on-year 8.4 9.7 by nigh €100 million noncurrent assets N
Slide 9: Rail Infrastructure, Q1/2011
Rail Infrastructure, Q1/2011 Project delays and shipment suspension slacken business ► Sales shrinking year-on-year by 8.2% ► EBIT and EBIT margin significantly lower ► Fastening Systems sales down 7.4% to €65.8 million ► Switch Systems sales falling 12.7% to €81.2 million ► Rail Services sales up 2
Slide 10: Transportation, Q1/2011
Transportation, Q1/2011 Rail Vehicles sales wilting as expected, Vossloh Locomotives’ doubled ► Sales showing downturn ► EBIT and EBIT margin below year-earlier level ► ROCE above 15% benchmark despite weaker operating activities ► Transportation Systems sales down 19.0% to €62.0 million; Vossloh Lo
Slide 11: Favorable outlook reaffirmed
Vossloh Group, 2010–2012p Favorable outlook reaffirmed ► Order backlog supports 2011 and 2012 budgets; large contracts especially upgrade prospects for Transportation ► Capex program continued in order to seize market opportunities whenever deemed expedient ► Ample financial scope for M&A in selecte
Slide 12: Strongly positioned to outpace market growth
Vossloh Group Strongly positioned to outpace market growth Growth drivers: products and new markets Vossloh easily outperforming the market ► Efficient products: Vossloh offers intelligent products and ► Vossloh’s annual sales growth rate: 11.9%1 solutions for growing mobility needs: reliably and in
Slide 13: Rail-bound transportation growing at a steady rate
Vossloh Group Rail-bound transportation growing at a steady rate Urbanization and global trading trigger rail haulage trends Worldwide rail haulage output (1994=100)1 ► The favorable energy and emissions balance of rail- ► Freight haulage rising despite crisis: 3.7% annually1 bound haulage is a pers
Slide 14: Transportation Systems: Order intake rebounding
Vossloh Transportation Systems Order intake rebounding ► Orders for EURO 4000 and EURO 3000 locomotives worth some €140 million placed with Vossloh Rail Vehicles in Q1/2011 ► Northern Spanish railway company (Ferrocarriles de Vía Estrecha – FEVE) awards in 2010 first contract for Vossloh tram and tr
Slide 15: Rolling stock with potential in selected regions
Vossloh Transportation Systems Rolling stock with potential in selected regions Growth mainly in Africa/Middle East, Eastern Europe and CIS, Western Europe remaining no. 2 market1 ► Vossloh Transportation is a successful Overall transport vehicle market volume (€ billion, 2007/08/09) specialist in s
Slide 16: Modular mid-cab locomotive family
Vossloh Transportation Systems, Locomotives Modular mid-cab locomotive family Growth through modern and efficient locomotives ► Capex totaling around €24 million, incl. €6 million budgeted for 2011 ► Mid-cab locomotive family: parts commonality strategy enhances customer benefits regarding quality,
Slide 17: EUROLIGHT and trams
Vossloh Transportation Systems, Rail Vehicles EUROLIGHT and trams EUROLIGHT for lines with axle load limits ► Capex totaling around €11 million, incl. €3 million budgeted for 2011 ► Four-axle diesel-electric locomotive for freight and passenger haulage, rating 2,800 kW ► Access to new markets with l
Slide 18: Rail infrastructure market still inviting
Vossloh Rail Infrastructure Rail infrastructure market still inviting Asia and Western Europe with large market volume, CIS and South America booming1 ► Between 2005 and 2010e, Vossloh Rail Infrastructure has easily outgrown its Overall rail infrastructure market volume (€ billion, 2007/08/09) marke
Slide 19: Fasteners for Russia
Vossloh Fastening Systems Fasteners for Russia New production facility ► Expenditures of €15 million, incl. €7 million budgeted for 2011; annual capacity of some €60 million ► W 30 fastening system: homologated specifically for Russian conditions since September 2010, engineered for the challenging
Slide 20: Switches and turnouts for China
Vossloh Switch Systems Switches and turnouts for China New production facility ► Vossloh spending €15 million, incl. €10 million budgeted for 2011; annual capacity for over €80 million (2,600 switches) ► Setting up a joint venture together with China Railway Materials Group (CRMG) and Huaxing close
Slide 21: High-speed grinding
Vossloh Rail Services High-speed grinding Innovative rail maintenance technology ► Capex to total around €13 million, incl. €11 million budgeted for 2011; annual capacity for over €24 million ► Development and construction of three grinding trains together with Vossloh Locomotives ► High-speed grind
Slide 22: Capex surge to boost growth
Vossloh Group, 2010–2012p Capex surge to boost growth Capital expenditures (€ million) ► Capex of around €90 million at group level in 2011 for expanding and bolstering market position, thereafter sinking 100 toward the level of amortization/depreciation 90 2 ► Amortization/depreciation expected at
Slide 23: Further growth following record sales and EBIT in 2010
Vossloh Group, 2010–2012p Further growth following record sales and EBIT in 2010 ► Vossloh expects further organic growth for 2011 and 2012; customer- focused products and services as well as ongoing internationalization, especially outside of Europe, continue to be the key growth drivers ► Rail Inf
Slide 24: Financial diary and contacts
Financial diary and contacts Financial diary ► May 25, 2011 Annual general meeting ► July 27, 2011 Interim report as of June 30, 20111 ► October 27, 2011 Interim report as of September 30, 20111 ► December 2, 2011 Investors and analysts conference1 Contacts ► Werner Andree, CEO ► IR contacts: Lucia