Siemens Aktiengesellschaft · XETR:SIE
Siemens Aktiengesellschaft — Siemens — Investor Day (February 2006)
25 slides from Siemens Aktiengesellschaft's investor day presentation, Feb 23, 2006
Slide 1: OSRAM – Leading Position through New Technologies
OSRAM – Leading Position through New Technologies Martin Goetzeler, Group President and CEO Capital Market Days February 23-24, 2006
Slide 2: Safe harbor statement
Safe harbor statement This presentation contains forward-looking statements and information – that is, statements related to future, not past, events. These statements may be identified either orally or in writing by words as “expects”, “anticipates”, “intends”, “plans”, “believes”, “seeks”, “estima
Slide 3: Who would have thought it 100 years ago, that …
Who would have thought it 100 years ago, that … ... LEDs set new … UV light could standards of purify water. sharpness and resolution for displays. ... intelligent ... invisible light in electronics help night vision save up to 80% systems improves energy. safety in cars. … OSRAM is today one of wor
Slide 4: Global presence - We are close to the customer
Global presence - We are close to the customer Americas 53% 44% 37% Europe 30% 37% 41% 33% 36% Sales Employees Sales Employees Asia/Pacific 29% 22% 16% Rest of World 11% 3% 3% 5% 0% FY 2001 2005 Sales Employees Sales Employees Siemens Capital Market Days, February 23-24, 2006 Page 4
Slide 5: Living organism – We proactively act on market opportunities
Living organism – We proactively act on market opportunities Kazakhstan, New sales companies/offices Kenya, Macedonia, Serbia- Lithuania Bosnia Monte- and negro, Herze- Columbia govina Columbia, Iran 5 2006 00 Yugoslavia, Chile, JV 4 2 Bulgaria, Philippines Egypt 2003 200 Croatia, 002 01 2 JV Kunsha
Slide 6: OSRAM – Strong contributor to Siemens’ success
OSRAM – Strong contributor to Siemens’ success High Group profit Profit converted into Ongoing sales growth* cash year after year within target corridor +5 % Volume growth +12 % In % of sales Cash conversion rate +8 % 129% +1 % 10.2 % 10.5% 10.8% 9.8% 102% 100% +3% 8.4% Comparable Target corridor 78
Slide 7: Operational excellence as driver for profitable growth
Operational excellence as driver for profitable growth Tight cost control Low-cost / high-cost countries Production sites: Blended strategy regarding high-cost and low-cost countries 36% 12,500 46% 17,500 Low-cost countries Low-cost production sites worldwide* 22,500 High-cost 64% 54% 21,000 cou
Slide 8: Innovation as driver for profitable growth
Innovation as driver for profitable growth 40% of OSRAM sales: Research activities in Beverly, MA, USA; innovative products Munich and Regensburg, Germany R&D expenses (of sales): Development close to production, from 4.8% (FY 2001) to 5.2% (FY 2005); also in low-cost countries in Opto Semic
Slide 9: A lighting specialist offering one-stop-shopping
A lighting specialist offering one-stop-shopping Worldwide Sales by Divisions* Precision Display/Optic Materials & Components 4% Opto Semi- 7% conductors 11% 50% General Ballasts 11% Lighting and Luminaires 17% Automotive Lighting 100% = €4.3 bn * LED sales are included in the figure for Opto Semico
Slide 10: General Lighting: Better light for better living
General Lighting: Better light for better living Osram growth rate: 3% (comparable, Ø FY 2002 - FY 2005) Innovation pipeline / customer benefit POWERBALL® Shoplight → Excellent color rendering + high efficiency OSTAR® High-Power LED → Higher packaging densities; up to 420 lm Trends towards MINIS
Slide 11: Ballasts and Luminaires: Intelligent lighting
Ballasts and Luminaires: Intelligent lighting Osram growth rate: 6% (comparable, Ø FY 2002 - FY2005) Innovation pipeline / customer benefit In rot QUICKTRONIC© INTELLIGENT → Reduction of ECG types by around 50% DALI EASY → One single, flexible light management system for 5 types of applications
Slide 12: Automotive Lighting: Tailored light systems
Automotive Lighting: Tailored light systems Osram growth rate: 7% (comparable, Ø FY 2002 – FY 2005) Innovation pipeline / customer benefit: XENARC® → Completely mercury-free xenon system solution for headlamps JOULE™ → LED-System for rear lighting Trend towards LED headlights … combination of cl
Slide 13: Display / Optic: Leading-edge technology
Display / Optic: Leading-edge technology Osram growth rate: 10% Innovation pipeline / customer benefit (comparable, Ø FY 2002 – FY 2005) HBO® lamp for production of LCD panel → High intensity irradiation 4ArXS HCD® for ‘architainment’ → Lifetime* of up to 8,000 hours LED Backlighting (40 to 82 inc
Slide 14: Opto Semiconductors: Driving innovation
Opto Semiconductors: Driving innovation Osram growth rate: 16% Innovation pipeline / customer benefit (comparable, Ø FY 2002 – FY 2005) OSTAR family / Golden Dragon family (white color: up to 420 lm/ up to 64 lm) → High-power LED with thin film technology for different use General Lighting: - OSTA
Slide 15: New division: LED Systems
New division: LED Systems Customized LED solutions LED Systems include Applications: – LEDs or LED modules – Illumination – Optical devices – Automotive lighting (lenses, diffusers etc.) – Backlighting for – Electronic control systems LCD screens – Control components (for dimming, changing color
Slide 16: Applications for future lighting business
Applications for future lighting business Illumination Visualization Sensing Special 3%* 10%* 6%* 6%* Making something visible Use light to display Light is detected or Other applications from any type of information detects something material and water treatment to medical e.g. energy saving lamps,
Slide 17: Environmental protection as business driver
Environmental protection as business driver Implementing high standards for “eco-production” in all OSRAM sites Adherence to environmental regulations (e.g. EUP, WEEE, RoHS) Environmentally friendly products, e.g. – aluPARTM entertainment lamp with economic friendly waste disposal (Innovation
Slide 18: Energy saving as innovation driver
Energy saving as innovation driver Innovation pipeline / customer benefit: Compact fluorescent lamps → Saves up to 80% energy* + intelligent electronic components IRC lamps → More light with less energy (e.g. XIR xenon lamps designed for operating theater lighting) LEDs → Osram‘s thin film technol
Slide 19: Asia & Eastern Europe as growth regions
Asia & Eastern Europe as growth regions Sales by regions Estimated market growth (FY 2001; FY 2005; target FY 2015) (CAGR 2006-2015) 11% 16% 1/3 Asia / Pacific 8% Asia/Pacific Americas 53% 44% Eastern 1/3 7% Europe Europe Other Regions 33% 37% World 4% 1/3 1/3 1/3 3% 3% FY 2001 2005 2015 Megatrends:
Slide 20: Further expansion in Asia
Further expansion in Asia OSRAM in Asia today Goal Concrete actions Companies & sales Grow market share Regional Asia offices in 11 countries; Strengthen Asian organization to be built 9 factories product portfolio in 2006 and 2007 Strong market position Further expansion of Division B
Slide 21: Further expansion in Eastern Europe
Further expansion in Eastern Europe OSRAM in Goal Concrete actions Eastern Europe* today Companies & sales Grow market share Stronger local presence offices in 22 countries; 3 factories Further expansion of Marketing & sales Expansion of our regional production for initiatives factories
Slide 22: Marketing strengths
Marketing strengths Valuable brands Global distribution Efficient e-processes OSRAM, SYLVANIA 65 subsidiaries / sales Successful e-business (North America), offices for 100 e.g. 70% of sales in the MITSUBISHI OSRAM countries U.S. processed via (Japan) About 50 additional electronic media O
Slide 23: Success by long-term strategy...
Success by long-term strategy... Our approach: Long-term strategy ... Customer ... combined with continuous Focus adjustment to current market requirements. Innovation Global Our goal: Cost Compe- Create value ... Leadership titiveness ... by driving innovations, … focusing on regional growth, T
Slide 24: Reconciliations and definitions
Reconciliations and definitions ”Group profit from Operations” is reconciled to ”Income before income taxes” of Operations under ”Reconciliation to financial statements” on the table ”Segment information.” See ”Financial Reports/Fiscal 2006, Quarter 1 / Financial Statements” at our Investor Relation
Slide 25: Siemens Investor Relations Team
Siemens Investor Relations Team Marcus Desimoni +49-89-636-32445 Frank Heffter +49-89-636-34095 Irina Pchelova +49-89-636-33693 Christina Schmöe +49-89-636-32677 Susanne Wölfinger +49-89-636-30639 Webpage: http://www.siemens.com Investor Relations e-mail: investorrelations@siemens.com Fax: +49-89-63