BAUER Aktiengesellschaft · HAM:B5A0
BAUER Aktiengesellschaft — H1 2022 Earnings Presentation
51 slides from BAUER Aktiengesellschaft's earnings presentation, Aug 11, 2022
Slide 1: Group Presentation 6M/Q2 2022
Investor Relations Group Presentation 6M/Q2 2022 BAUER AG August 11, 2022
Slide 2: Overview
1 Overview ▪ BAUER Group ▪ Highlights 6M 2022 2
Slide 3: Three closely interlinked segments – a business model with a future
BAUER Group Three closely interlinked segments – a business model with a future Mission The BAUER Group is a leading provider of services, equipment & products dealing with ground and groundwater Construction Equipment Resources Global provider for One of the technical leading manufacturer Products
Slide 4: Highlights 6M 2022
Highlights 6M 2022 Very different development in the three segments Total Group revenues EBIT Earnings after tax Order backlog Equity ratio EUR 841.4 million EUR 12.4 million EUR 12.4 million EUR 1,508.4 million 30.1% (+9.6%) (EUR 15.3 million) (EUR -5.6 million) (+17.9%) (27.3%) Significant financi
Slide 5: Financials
2 Financials ▪ Group key figures ▪ Market environment and course of business in the segments ▪ Balance sheet 5
Slide 6: Group key figures 6M 2022
Financials Group key figures 6M 2022 in EUR million 6M 2021 6M 2022 ∆ 6M in % Total Group revenues 767.4 841.4 +9.6% Construction 358.6 367.0 +2.3% Equipment 314.4 376.7 +19.8% Resources 138.2 133.8 -3.2% Corporate Services/Consolidation -43.8 -36.1 n/a Sales revenues 685.5 762.1 +11.2% Order intake
Slide 7: Revenues & Earnings – Group
Financials Revenues & Earnings – Group Revenues Development 6M 2022 in EUR million Total Group revenues Sales revenues ▪ Significant increase of total Group revenues in a difficult market ∆ 6M environment 2,000 +9.6% 1,538 +11.2% 1,600 1,454 1,433 ▪ Correspondingly, sales revenues were also above pr
Slide 8: Order situation – Group
Financials Order situation – Group Order intake Development 6M 2022 in EUR million ▪ Strong order intake in the first half-year on Group level 1,740 1,589 ▪ Increase in Equipment and Resources; Construction nearly on the Q4 318 482 same level Q3 297 374 +11.4% Q2 518 368 453 Q1 455 516 532 2020 2021
Slide 9: Construction segment
Financials Construction segment Market environment 6M 2022 and course of business ▪ Construction recorded a mixed first half of the year – revenue performance was in line with planned levels, but earnings remained behind ▪ Operative performance in most markets was rather subdued. The subsidiaries in
Slide 10: Equipment segment
Financials Equipment segment Market environment 6M 2022 and course of business ▪ Equipment recorded a very positive first half of the year – the positive trend regarding revenues, earnings and order intake that began in Q4 2021 continued ▪ Sales markets were very stable – one exception is China, bec
Slide 11: Resources segment
Financials Resources segment Market environment 6M 2022 and course of business ▪ Resources started the year in line but is behind expectations after the first half of the year ▪ Earnings are influenced above all by the area of drilling services, where two large-scale projects were postponed to next
Slide 12: Balance sheet – Group
Financials Balance sheet – Group Working Capital Development 6M 2022 in EUR million ▪ Equity and equity ratio increased substantially to 30.1% because 800 of the positive development of interest rates and currencies 726 ▪ Working capital was slightly higher, as inventory and contract 700 assets incr
Slide 13: Markets & Regions
3 Markets & Regions ▪ Markets ▪ Regional distribution 13
Slide 14: Construction market environment vs. order backlog
BAUER Group Construction market environment vs. order backlog Europe USA / Canada Germany o Market: Western European countries stable; war in + Market: good construction + Market: still a good market Ukraine and material market; major demand for infrastructure in the USA + Bauer: good order situatio
Slide 15: Total Group revenues 6M 2022 – Group
Regional breakdown Total Group revenues 6M 2022 – Group Total 841 in EUR million Germany 265 (31%) Europe 170 (20%) Middle East 89 (11%) Full year 2021 Total 767 Europe 138 (18%) in EUR million Middle East 86 (11%) Germany 266 (35%) Asia-Pacific 112 (15%) Africa Asia-Pacific Americas 43 (6%) 109 (13
Slide 16: Total Group revenues 6M 2022 – Segments
Regional breakdown Total Group revenues 6M 2022 – Segments Construction segment Equipment segment Resources segment Total 363 Total 349 Total 130 in EUR million Germany 65 (18%) Germany 98 (28%) Germany 102 (78%) Europe 86 (24%) Europe 75 (21%) Europe 10 (7%) Middle East Middle East Middle East 58 (
Slide 17: Outlook
4 Outlook ▪ Forecast 2022 ▪ Focus topics and business potentials 17
Slide 18: Framework for the business year 2022
BAUER Group Framework for the business year 2022 Potential risk factors – for the global economy and our business ▪ Continuing influence of COVID-19 pandemic possible ▪ Russia’s war against Ukraine is considerable factor of uncertainty for the future course of business in 2022 ▪ Raw material prices,
Slide 19: Cautious forecast for 2022
BAUER Group Cautious forecast for 2022 – Increase in revenues and earnings expected Group forecast in EUR million 2021 final Forecast 2022 Total Group revenues 1,541 significant increase EBIT 36.0 significant increase 19
Slide 20: Focus topics and business potentials
BAUER Group Focus topics and business potentials ▪ Focus on extension of constructed wetlands business Resources ▪ Expansion of the energy business (geothermal applications) ▪ Enormous need for rehabilitation services in the infrastructure sector in Germany ▪ Supply chain management project is inten
Slide 21: Appendix
5 Appendix ▪ Investment case and Megatrends ▪ BAUER Group ▪ The three segments ▪ Financials ▪ Financial ambition for 2023 ▪ CSR management and activities ▪ BAUER share ▪ Financial calendar & IR contact 21
Slide 22: Investment Case and Megatrends
BAUER Group Investment Case and Megatrends Investment Case ▪ With our highly specialized and innovative services and equipment, we ▪ We offer highly specialized services when it comes to sustainable are one of the world's leading providers for complex specialist protection of the environment foundat
Slide 23: Longstanding healthy business development
BAUER Group Longstanding healthy business development Total Group revenues in EUR million (segment after deducting Other/Consolidation) Total 1,538 1,800 1,600 Resources 280 1,400 Equipment 1,200 591 1,000 800 Construction Overseas 600 528 400 200 Construction Domestic 139 0 1980 1984 1988 1992 1996
Slide 24: The three segments
BAUER Group The three segments ▪ Target: ~ 40 % of ▪ Target: ~ 20 % of total Group revenues total Group revenues ▪ Market leader in specialist ▪ Innovative products and foundation equipment services in the fields of drilling services and water ▪ Specialized products for wells, environmental mining,
Slide 25: Worldwide network
BAUER Group Worldwide network Permanent Offices:: Construction Equipment sales Resources Equipment production Conroe Schrobenhausen Tianjin Kuala Lumpur 25
Slide 26: The history – Over two centuries of experience
BAUER Group The history – Over two centuries of experience Dipl.-Ing. Dr.-Ing. Prof. Dr. Dipl.-Kfm. Karl Bauer Karlheinz Bauer Thomas Bauer 1790 - 1956 1958 - 1990 1992 - 2008 2009 - 2021 ▪ 1790 Sebastian Bauer acquires a ▪ 1958 Invention of the injection anchor on the ▪ 1992 Takeover of SCHACHTBAU
Slide 27: Executive Board
BAUER Group Executive Board Michael Stomberg (CEO) Florian Bauer Peter Hingott (CFO) ▪ Digitalization ▪ Financing & Treasury ▪ Technology ▪ Group Controlling & Accounting ▪ Human Resources 27
Slide 28: Construction segment Overview
Construction segment Overview Key facts ▪ About 50 small-/mid-size local companies around the world ▪ Focus on complex, international projects ▪ About 400 to 500 projects per year with a 50/50 infrastructure/industrial split ▪ Figures are somewhat cyclical between the quarters – focus on the entire
Slide 29: What is specialist foundation?
What is specialist foundation? Building an excavation pit Mixed-In-Place Method Diaphragm and Cut-off Wall Piling Retaining Ground Anchor Wall Permeation Grouting Pile Foundation 29
Slide 30: What is specialist foundation used for?
What is specialist foundation used for? Applications Excavation Pits Cut-off-Walls Foundations Soil Improvement ... for every problem and requirement … as solution for dams and dikes …for the highest buildings in the world … allows projects on weak ground 30
Slide 31: Arab Potash, Dead Sea, Jordan
Construction segment Arab Potash, Dead Sea, Jordan 31
Slide 32: Operaparken, Copenhagen, Denmark
Construction segment Operaparken, Copenhagen, Denmark 32
Slide 33: Equipment segment Overview
Equipment segment Overview Key facts ▪ Provider for the full range of equipment for specialist foundation engineering as well as for the exploration, mining and extraction of natural resources ▪ Multi-branding strategy ▪ About 80% of sales abroad Market environment ▪ Growing construction markets wor
Slide 34: Whole range of products for special foundation engineering
Equipment segment Whole range of products for special foundation engineering 34
Slide 35: Resources segment Overview
Resources segment Overview Key facts ▪ Focus on the development, production and execution of innovative products and services in the areas of drilling services and water wells, environmental services, constructed wetlands, mining and rehabilitation. ▪ Operating with multiple business divisions and s
Slide 36: Resources segment Business fields
Resources segment Business fields Drilling Services & Environmental Water Wells Services Constructed Wetlands Rehabilitation Mining ▪ Drilling Services ▪ Remediation ▪ Produced Water ▪ Concrete rehabilitation ▪ Mineshafts ▪ Exploration Drilling ▪ Brownfield Remediation ▪ Industrial Waste Water ▪ Res
Slide 37: Resources segment Business field drivers
Resources segment Business field drivers Drilling Services & Environmental Water Wells Services Constructed Wetlands Rehabilitation Mining ▪ Climate Change is ▪ Remediation is a ▪ The carbon footprint of ▪ Rehabilitation of building ▪ New minerals needed, forcing an even more significant contributio
Slide 38: World's largest reed bed treatment plant, Nimr, Oman
Resources segment World's largest reed bed treatment plant, Nimr, Oman 38
Slide 39: Income statement 6M 2022
Financials Income statement 6M 2022 in EUR thousand 6M/2021 6M/2022 ∆ 6M in % Sales revenues (P&L) 685,464 762,107 11.2% Change in inventories 35,153 36,864 4.9% Other own work capitalised 8,336 6,138 -26.4% Other income 7,837 9,417 20.2% Consolidated revenues (P&L) 736,790 814,526 10.6% Cost of mat
Slide 40: Balance sheet as of June 30, 2022
Financials Balance sheet as of June 30, 2022 in EUR thousand June 30, 2021 June 30, 2022 in EUR thousand June 30, 2021 June 30, 2022 Intangible assets 14,342 15,795 Equity of BAUER AG shareholders 448,789 533,014 Property, plant and equipment 465,962 514,979 Non-controlling interests 1,573 3,145 Inv
Slide 41: Cash flow statement 6M 2022
Financials Cash flow statement 6M 2022 in EUR thousand 6M/2021 6M/2022 ∆ in % Cash flow from operational activity -50,949 -30,125 -40.9% Cash flow from investment activity -50,307 -35,093 -30.2% Cash flow from financing activity 96,626 68,442 -29.2% Free Cash Flow -101,256 -65,218 n/a Changes in liq
Slide 42: Working capital & net debt – Financing of future revenues
Financials Working capital & net debt – Financing of future revenues Key facts ▪ Bauer’s business model requires considerably more working capital than building construction companies ▪ Net debt is needed to pre-finance the operating business (working capital) ▪ Working capital mainly consists of In
Slide 43: Working capital needs – Comparison with building construction
Financials Working capital needs – Comparison with building construction Specialist foundation engineering Building construction ▪ Pre-financing need ▪ Positive cash contribution ▪ Construction contracts with short duration need ▪ Construction contracts with long durations ▪ No advance payments, no
Slide 44: Timeline – FY 2008 to Q2 2022
Financials Timeline – FY 2008 to Q2 2022 Total Group revenues in EUR million 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Q1 19 Q2 19 Q3 19 Q4 19 2019 Q1 20 Q2 20 Q3 20 Q4 20 2020 Q1 21 Q2 21 Q3 21 Q4 21 2021 Q1 22 Q2 22 BAUER Group 1,527.2 1,275.8 1,304.0 1,371.8 1,435.8 1,504.2 1,560.2 1
Slide 45: Financial ambition 2023 – mid-term financial targets unchanged
BAUER Group Financial ambition 2023 – mid-term financial targets unchanged Key topics Growth: 3 - 5% (CAGR) ▪ Top line growth is not our primary focus EBIT margin: ▪ Further rollout of Bauer Construction Process for standardize project management and Group: 7 - 9% optimization of local footprint (Co
Slide 46: CSR management and activities
BAUER Group CSR management and activities Current status & roadmap ▪ Responsibility: The Executive Board, particularly the CEO, and the Managing Directors of the segments Organization ▪ Group CSR Steering Committee actively manages the key activities relating to sustainability ▪ All sustainability a
Slide 47: BAUER share Facts & Figures
BAUER share Facts & Figures Shareholder structure Share performance (five years) Doblinger Beteiligung GmbH 30.00% Bauer family 36.02% 33.98% Free float ▪ Listed on Frankfurt stock exchange (Prime Standard), since July 4, 2006 ▪ Share capital: EUR 111,186,566.80 ▪ Shares issued 26,091,781 in EUR 201
Slide 48: BAUER share Dividend policy
BAUER share Dividend policy Dividend policy Dividend payment ▪ The dividend policy founded on a reasonable balance between in EUR shareholders and company 0.60 ▪ fair participation of shareholders 0.50 ▪ maintaining continuity ▪ safeguarding of the equity ratio 0.30 0.30 ▪ All shareholders shall par
Slide 49: Financial calendar & contact
Investor Relations Financial calendar & contact Financial Calendar 2022 IR contact March 7, 2022 Preliminary figures for 2021 Christopher Wolf April 7, 2022 Annual Report 2021 Head of Investor Relations Analyst Conference Press Conference BAUER Aktiengesellschaft BAUER-Straße 1 Quarterly Statement Q
Slide 50: Disclaimer
Disclaimer This presentation contains forward-looking statements. Forward-looking statements are statements that are not historical facts, including statements about our beliefs, intentions, expectations, predictions and the assumptions underlying them. These statements are based on factors as they
Slide 51: © 2022 BAUER AG. All rights reserved.
© 2022 BAUER AG. All rights reserved.
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