Wartsila Oyj Abp · OMXHEX:WRT1V
Wartsila Oyj Abp — Wärtsilä — Baird 2017 Global Industrial Conference
18 slides from Wartsila Oyj Abp's conference presentation, Nov 9, 2017
Slide 1: Wärtsilä Corporation – Baird 2017 Global Industrial Conference
WÄRTSILÄ CORPORATION Baird 2017 Global Industrial Conference 9 November 2017 Natalia Valtasaari, Director, Investor & Media Relations 1 © Wärtsilä PUBLIC 9 November 2017 Baird 2017 Global Industrial Conference
Slide 2: This is Wärtsilä
This is Wärtsilä Net sales by business 1-9/2017 SERVICES, 45% ENERGY SOLUTIONS, 28% MARINE SOLUTIONS, 27% 2 © Wärtsilä PUBLIC 9 November 2017 Baird 2017 Global Industrial Conference
Slide 3: Net sales and profitability
Net sales and profitability MEUR 5 500 14% 5 000 Review period development 12% 4 500 11.9% 12.2% 12.1% 4 000 10.9% 11.2% 4 000 14% 10% 3 500 12% 3 500 8% 3 000 3 000 10% 2 500 10.2% 10.0% 2 500 6% 8% 2 000 2 000 6% 1 500 4% 1 500 4% 1 000 1 000 2% 500 500 2% 0 0% 0 0% 2012 2013 2014 2015 2016 1-9/20
Slide 4: Marine Energy
Lifecycle INCREASING DEMAND FOR CLEAN Optimization DEMAND FOR SMART AND SAFE Energy Innovative ENERGY Efficiency solutions MARINE AND FLEXIBLE ENERGY Enabling sustainable societies with TRANSPORTATION smart technology Strong High presence performance in growth culture markets Operational Excellence
Slide 5: We are where our customers need us to be
SERVICES We are where our customers need us to be 11,000 service professionals in 70 countries, 160 locations… Marine installed base by operating country Power installed base by operating country Service locations 5 © Wärtsilä PUBLIC 9 November 2017 Baird 2017 Global Industrial Conference
Slide 6: Services’ sales development
SERVICES Services’ sales development MEUR 2 400 Special vessels 7% (8) 2 200 Offshore 2 000 8% (9) 1 800 1 600 Navy Power plants 8% (8) 39% (38) 1 400 1-9/2017: 1 200 MEUR 1,561 1 000 (1,554) 800 600 400 Merchant 200 23% (24) 0 Cruise & ferry 2013 2014 2015 2016 2017 15% (13) Q1-Q3 Q4 6 © Wärtsilä P
Slide 7: Installed base covered by service agreements
SERVICES Installed base covered by service agreements 20 000 30% 18 000 25% 16 000 14 000 20% 12 000 MW 10 000 15% 8 000 10% 6 000 4 000 5% 2 000 0 0% 2009 2010 2011 2012 2013 2014 2015 2016 1-9/2017 MW under agreement – Energy Solutions MW under agreement – Marine Solutions % of Energy Solutions’ i
Slide 8: 12-year strategic partnership with Carnival Corporation
12-year strategic partnership with Carnival Corporation • Ensuring safety and reliability of Carnival’s fleet and reduced operational costs • Scope includes all engine maintenance and monitoring for 79 vessels • Emphasis on continuous planning together with Carnival and digitising fleet operations •
Slide 9: >4,700 power plants in 176 countries
ENERGY SOLUTIONS >4,700 power plants in 176 countries Utilities Industrials Europe Africa & Middle East IPP’s Asia Americas * December 2016 9 © Wärtsilä PUBLIC 9 November 2017 Baird 2017 Global Industrial Conference
Slide 10: Energy Solutions’ order intake
ENERGY SOLUTIONS Energy Solutions’ order intake MEUR 1 800 Review period order intake 1 600 by fuel in MW 1 400 1 200 1 000 800 Oil Gas 600 51% 49% 400 200 0 2013 2014 2015 2016 2017 Q1-Q3 Q4 10 © Wärtsilä PUBLIC 9 November 2017 Baird 2017 Global Industrial Conference
Slide 11: Market for gas and liquid fuel power plants, <500 MW
ENERGY SOLUTIONS Market for gas and liquid fuel power plants, <500 MW Other GT’s 4% (4) Wärtsilä 14% (12) GE 30% (31) MHI 14% (15) Siemens 19% (24) Ansaldo 19% (15) <500 MW market volume last 12 months: 24.8 GW (28.4) Total market volume last 12 months: 54.6 GW (58.0) Market shares are calculated on
Slide 12: Capturing growth through global energy systems integration
ENERGY SOLUTIONS CAPTURING GROWTH THROUGH GLOBAL ENERGY SYSTEMS INTEGRATION LNG INFRASTRUCTURE SOLAR PV, STORAGE & ENGINE© Wärtsilä POWER PLANTS ENERGY STORAGE INTEGRATION HYBRID POWER PLANTS PUBLIC
Slide 13: Improving conditions in the marine markets
MARINE SOLUTIONS Improving conditions in the marine markets Merchant Offshore Cruise and Ferry Special vessels 3 months moving average in CGT* 250 5,0 4,5 200 4,0 3,5 Number of vessels 150 3,0 * Million CGT 2,5 100 2,0 1,5 50 1,0 0,5 0 0,0 01.09 03.09 05.09 07.09 09.09 11.09 01.10 03.10 05.10 07.10
Slide 14: Marine Solutions’ order intake supported by favourable contracting mix
MARINE SOLUTIONS Marine Solutions’ order intake supported by favourable contracting mix MEUR 1 800 Review period development Total EUR 1,112 million (1,028) 1 500 Offshore 3% Special vessels 1 200 8% Gas carriers 26% 900 Cruise 31% 600 300 Traditional merchant 17% 0 Ferry 2013 2014 2015 2016 2017 Ot
Slide 15: Developing technologies that enable a Smart Marine future
Developing technologies that enable Kuva a Smart Marine future pitää • Efficient and reliable remote control and monitoring capabilities are central to vaihtaa, the enablement of intelligent shipping • Wärtsilä recently successfully tested bonny the remote control of ship operations using standard b
Slide 16: Prospects for 2017 unchanged
Setti 1 Setti 1 Prospects for 2017 unchanged The overall development in 2017 is expected to be relatively unchanged from the previous year. Demand by business area is anticipated to develop as follows: • Solid in Services with growth opportunities • Good in Energy Solutions • Solid in Marine Solutio
Slide 17: Our long-term financial targets
OUR LONG-TERM FINANCIAL TARGETS Grow faster than Reach 14% Maintain gearing Dividend ≥50% of global GDP profitability below 50% EPS over the cycle Focus on Enhanced Unleveraged balance Committed to strengthening our performance through sheet supports providing solid position in strategic continuous
Slide 18: Thank you!
THANK YOU! IR Contact: Natalia Valtasaari Director, Investor & Media Relations Tel. +358 (0) 40 187 7809 E-mail: natalia.valtasaari@wartsila.com 18 © Wärtsilä PUBLIC 9 November 2017 Baird 2017 Global Industrial Conference