Jost Werke Se · XETR:JST
Jost Werke — FY2023 Earnings Presentation
25 slides from Jost Werke's earnings presentation, Mar 26, 2024
Slide 1: Results Full Year 2023
JOST WERKE SE – MARCH 26, 2024 RESULTS FULL YEAR 2023 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 Highlights in 2023
Strategic Highlights in 2023 Expansion of product portfolio through M&As and R&D Expansion of geographical footprint through a greenfield investment in India and M&As in Brazil and Finland New OEMs customer contracts in Transport and Agriculture as well as in Construction to boost mid-term growth Fu
Slide 4: JOST Expands its Product Portfolio Through M&A and R&D
JOST Expands its Product Portfolio Through M&A and R&D + Three-point linkages + Coupling hooks + Pick-up hitches + Counterweights + Centerboom + BusLink Systems 4 JOST Werke SE – ANALYSTS’ AND INVESTORS’ CONFERENCE CALL FY 2023 RESULTS
Slide 5: Financial Highlights in 2023
Financial Highlights in 2023 Sales at €1.25bn on prior year’s level, with organic sales in Transport up by +9% offsetting decline in Agriculture of organic -25% Adj. EBIT margin expanded significantly by 1.5pp to 11.3% and adj. EBIT reached at €141m a new record level Free cashflow increased signifi
Slide 6: Financial Targets for 2023 Achieved
Financial Targets for 2023 Achieved On previous year’s level -1% to Sales (2022: €1,265m) €1,250m High-single digit growth y-o-y +14% to Adj. EBIT (2022: €124m) €141m Adj. EBIT Significant increase 11.3% margin (2022: 9.8 %) Capex Approx. 2.5% of sales 2.5% (% of sales)1 (2022: 2.6%) Lower than prev
Slide 7: Market Development FY 2023 vs. FY 2022
Market Development FY 2023 vs. FY 2022 EUROPE NORTH AMERICA ASIA-PACIFIC-AFRICA TRUCK Production of class 8 truck Truck market in China recovered +14% Robust demand for trucks +4% remained strong, softening +31% some, up from very low levels. MARKET driven by pent-up demand. some in H2 2023. Demand
Slide 8: Key Financials FY 2023
KEY FINANCIALS FY 2023 8 JOST Werke SE – ANALYSTS’ AND INVESTORS’ CONFERENCE CALL FY 2023 RESULTS
Slide 9: Europe – Profitability Improvements Despite Weakness in Agriculture
Europe – Profitability Improvements Despite Weakness in Agriculture Reported -1.1% 4.5% Growth + Strong demand for trucks partially offset weakness in trailer and 696 688 Organic -2.6% -5.7% agriculture Sales (€m) 160 167 + Consolidation of Crenlo do Brasil and LH Lift increased sales in Q4 2023 - F
Slide 10: North America – Strong Profitability Boost Despite Sales Decline
North America – Strong Profitability Boost Despite Sales Decline Reported -10.6% -32.9% Growth + Robust demand for Transport products in 2023 Organic -8.1% -28.7% - Sales (€m) 396 354 FX headwinds of -2.5pp in FY 2023 100 67 - Sharp decline in compact-loader market - Strong seasonality in Q4 paired
Slide 11: Asia-Pacific-Africa – Strong Market Demand Continues
Asia-Pacific-Africa – Strong Market Demand Continues Reported 20.2% 17.4% Growth Organic 29.7% 23.3% + Strong markets in India, Australia, New Zealand, South Africa Sales (€m) 208 173 + Ongoing recovery of Chinese truck market (export-driven in 2023) 51 44 + LH Lift sales in China supported Q4 growt
Slide 12: Group – JOST Profitability Improves Significantly Despite Flat Sales
Group – JOST Profitability Improves Significantly Despite Flat Sales Reported -1.2% -5.9% Growth + Robust demand for Transport (organic +9%) Organic 1,265 0.1% 1,250 -9.0% - Sales (€m) 328 256 Weak demand for agricultural loaders due to high dealer inventories -22% and declining compact tractor mark
Slide 13: Adjusted Net Income and Adjusted EPS Improved
Adjusted Net Income and Adjusted EPS Improved - Interest payments for loans tripled as a result of rising 10 EURIBOR + Taxes declined by 5% compared to 2022 12 141 26 -18 Reported EPS declined from €4.02 to €3.51 21 93 -30 93 - Final earn-out for Ålö acquisition 19 86 - M&A consulting fees, ramp-up
Slide 14: ROCE, Equity Ratio and Leverage Development
ROCE, Equity Ratio and Leverage Development +2.8pp + ROCE jumped by +2.8pp to 21.0% (+15.4%), showcasing the efficient ROCE1 18.2% 21.0% used of capital and high shareholder value creation (%) Dec 31, 2022 Dec 31, 2023 Equity ratio 35.9% 38.0% + Reported net income in 2023 boosted equity growth + Fu
Slide 15: Cash Flow and Working Capital Development
Cash Flow and Working Capital Development Free cash flow1 Cash conversion rate2 0.3 1.2 + Strong operative performance and strict inventory management (€m) 112.3 + Free cash flow up by 374% to €+112m 23.7 + Cash conversation rate back in long-term target range of ≥1 FY 2022 FY 2023 Capex3 2.6% 2.5%
Slide 16: Strong Reductions of CO2 Emissions and Energy Consumption Achieved
Strong Reductions of CO 2 Emissions and Energy Consumption Achieved Energy consumption -2.7% + Energy consumption down due to investments in energy efficiency (in m kWh) 108 105 Gas/District heating - Consolidation of Crenlo do Brasil and LH Lift contributed additional 5.7m 56 54 kWh to energy balan
Slide 17: Outlook FY 2024
OUTLOOK FY 2024 17 JOST Werke SE – ANALYSTS’ AND INVESTORS’ CONFERENCE CALL FY 2023 RESULTS
Slide 18: Market Development Expectations for FY 2024
Market Development Expectations for FY 2024 EUROPE NORTH AMERICA ASIA-PACIFIC-AFRICA TRUCK (5) – (10) % (15) – (20) % 5 – 10 % Normalization of demand, compared to Demand for Class 8 trucks expected to Chinese truck market should continue its INDUSTRY (Volume) very high, pent-up-demand-driven levels
Slide 19: JOST Outlook for 2024
JOST Outlook for 2024 Single digit decline y-o-y; Sales (2023: €1,250m) Single digit decline y-o-y Adj. EBIT (2023: €141m) Decline y-o-y, remaining within Adj. EBIT margin strategic corridor of 10.0-11.5% Capex Approx. 2.5% - 2.9% of sales (in % of sales) 1 Working Capital Below 19% from sales (2023
Slide 20: Strategic Focus in 2024
Strategic Focus in 2024 In Agriculture: Generate new global cross-selling opportunities for JOST’s new agricultural products and continue acquiring new OEM contracts. In Transport: Increase revenue per customers by upselling new products and continue strengthening market positioning in all regions.
Slide 21: Executive Summary
Executive Summary JOST is posed to achieve strong, profitable mid-term growth by leveraging its excellent market positioning to grow its global business further. High flexibility and continued efficiency gains supported major increase in profitability despite the flat sales development in 2023. Impr
Slide 22: Q&A Appendix
Q&A Appendix Further information 22 JOST Werke SE – ANALYSTS’ AND INVESTORS’ CONFERENCE CALL FY 2023 RESULTS
Slide 23: 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 %) 342 330 327 312 322 304 292 286 273 266 257 252 231 40 199 202 37 192 197 34 33 178 175 32 30 30 157 30 30 27 27 24 23 24 19 20 21 10.0% 9.3% 8.9% 11.4% 12.0% 11.2% 15 11.7% 11.6% 7.8% 11.0% 11
Slide 24: Shareholder Structure and Share Information
Shareholder Structure and Share Information SHAREHOLDER STRUCTURE AS OF MARCH 26, 2024 SHARE INFORMATION ISIN DE000JST4000 Trading symbol JST German Sec. Code Number (WKN) JST400 20% 42% Shares in issue 14,900,000 Allianz Global Investors Index SDAX Listed since July 20, 2017 PMB Management FMR LLC
Slide 25: Financial Calendar 2024 Contact
Financial Calendar 2024 Contact March 26 Publication of Annual Group Report 2023 Investor Relations Contact: May 8 Annual General Meeting ROMY ACOSTA May 15 Publication of Q1 2024 Interim Report Head of Investor Relations Aug 14 Publication of Q2 2024 Interim Report Nov 14 Publication of Q3 2024 Int