Krones Ag · XETR:KRN
Krones — FY2016 Earnings Presentation
18 slides from Krones's earnings presentation, Mar 2, 2017
Slide 1: Financial Year 2016 Preliminary Figures
KRONES Financial Year 2016 Preliminary Figures Conference Call March 2, 2017
Slide 2: KRONES Highlights 2016
2 ｜KRONES Conference Call March 2, 2017 KRONES Highlights 2016 + 8% 3,441 € Mio. 3,391 Revenue (+7 %) € Mio. New orders 7.0% 88.9 Operating cash flow € Mio. 237.6 € Mio. EBT margin
Slide 3: Strong order intake - especially in Q4
3 ｜KRONES Conference Call March 2, 2017 Strong order intake - especially in Q4 New orders by quarter (€ million) 3,441 3,189 +8 % 3,040 +5 % +8 % 989 878 +13 % 842 +4 % Q4 +20 % 787 850 736 +8 % Q3 +2 % +7 % 737 780 723 +6 % Q2 +2 % +4 % 739 787 822 Q1 +8 % +7 % +4 % 2014 2015 2016 992 1,095 1,145 O
Slide 4: Revenue increase above expectation
4 ｜KRONES Conference Call March 2, 2017 Revenue increase above expectation Revenue development by quarter (€ million) 3,391 3,174 +7 % 2,953 +7 % 1,011 +5 % 903 +12 % Q4 789 +14 % +1 % 767 820 Q3 729 +5 % +7 % +11 % 732 765 788 Q2 +6 % +4 % +3 % Q1 703 739 772 +3 % +5 % +4 % 2014 2015 2016
Slide 5: KRONES' revenue is well balanced
5 ｜KRONES Conference Call March 2, 2017 KRONES' revenue is well balanced Share of revenue CIS/Central Asia 2015 2016 North America Europe 2.6 % 2.1 % 2015 2016 2015 2016 China 13.8 % 15.0 % 35.9 % 35.4 % 2015 2016 9.1 % 9.5 % Africa/Middle East 2015 2016 13.6 % 16.8 % Asia/Pacific 2015 2016 15.4 % 1
Slide 6: EBT increased as expected
6 ｜KRONES Conference Call March 2, 2017 EBT increased as expected EBT by quarter (€ million) 237.6 191.8 223.3 +6 % +13 % +16 % 74.0 Q4 55.1 67.2 Q3 47.3 52.0 56.3 6.5 7.0 7.0 Q2 52.2 46.3 53.9 Q1 43.1 50.2 55.1 2014 2015 2016 EBT margin in %
Slide 7: Personnel and material cost
7 ｜KRONES Conference Call March 2, 2017 Personnel and material cost Personnel cost (€ million) 919.1 974.3 810.7 853.3 28.7 29.0 29.1 29.9 2013 2014 2015 2016 Personnel cost to total performance (%) Material cost (€ million) 1,589.2 1,609.7 1,377.8 1,440.8 49.3 49.2 49.7 49.4 2013 2014 2015 2016 Mat
Slide 8: Product filling and decoration: Margin increased slightly
8 ｜KRONES Conference Call March 2, 2017 Product filling and decoration Margin increased slightly Revenue development EBT development MEDIUM-TERM TARGETS: 4 ‒ 6% (€ million) (€ million) 2,815 2,706 229.6 2,493 220.5 +4 % 193.2 +4 % +7 % +9 % +14 % +11 % Growth 8% 7.7% 8.1% 8.2% EBT margin 2014 2015 2
Slide 9: Beverage production/process technology: Turnaround achieved
9 ｜KRONES Conference Call March 2, 2017 Beverage production/process technology Turnaround achieved Revenue development EBT development MEDIUM-TERM TARGETS: 8 ‒ 10 % (€ million) (€ million) 454 +26 % 359 359 3.3 Growth +0 % -8 % 1.6 0.9 0.4 4% 2014 -0.6 2015 2016 EBT margin 0.2 -2.1 2014 2015 2016 EB
Slide 10: Compact class: Strong growth and improved profitability
10 ｜KRONES Conference Call March 2, 2017 Compact class Strong growth and improved profitability Revenue development EBT development MEDIUM-TERM TARGETS: 4 ‒ 6% (€ million) (€ million) 122 109 +12 % 102 +7% 2014 2015 2016 +7 % +5 % 6.4 Growth 4.9 5% 4.5 5.2 -4.6 EBT margin -4.7 2014 2015 2016 EBT mar
Slide 11: ROCE target missed
11 ｜KRONES Conference Call March 2, 2017 ROCE target missed Working capital* in % ROCE* in % of revenue 26.7 17.7 17.0 24.6 2015 2016 2015 2016 *LTM (Last Twelve Months)
Slide 12: Higher working capital and acquisitions caused decreasing free cash flow
12 ｜KRONES Conference Call March 2, 2017 Higher working capital and acquisitions caused decreasing free cash flow (€ million) 2016 2015 Earnings before taxes 237.6 223.3 +/– Non-cash expenses and income +158.6 +91.4 +/– Change in Working Capital -96.4 -42.2 +/– Other assets and liabilities -105.1 -9
Slide 13: Krones targets 2016
13 ｜KRONES Conference Call March 2, 2017 Krones targets 2016 ✓ ✓ Revenue growth EBT margin ROCE Target: Target: Target: +3% 7.0% 18%
Slide 14: Krones targets 2017
14 ｜KRONES Conference Call March 2, 2017 Krones targets 2017 Annual revenue EBT margin Working Capital growth +4% 7.0% 27%
Slide 15: Our latest acquisitions and new subsidiaries
15 ｜KRONES Conference Call March 2, 2017 Our latest acquisitions and new subsidiaries Vertique, Arden − Intralogistics − Complements Krones automatic picking solutions portfolio − Local solutions for US customers − Revenues: >€15m − Employees: approx. 60 Process and Data Automation, Erie Integrated
Slide 16: Thank you for your attention!
Slide 17: Financial calender 2017
17 ｜KRONES Conference Call March 2, 2017 Financial calender 2017 March 2, 2017 Preliminary figures 2016 March 23, 2017 Annual Report 2016 April 27, 2017 Conference Call Group Q1 2017 and Quarterly Statement as per March 31 June 20, 2017 Annual General Meeting Olaf Scholz July 20, 2017 Conference Cal
Slide 18: Disclaimer
18 ｜KRONES Conference Call March 2, 2017 Disclaimer This investor presentation contains forward-looking statements that are based on current estimates, forecasts and assumptions made by KRONES AG management to the best of its knowledge and other information currently available to KRONES AG. The forw