Jost Werke Se · XETR:JST
Jost Werke — Investor Presentation (November 2024)
29 slides from Jost Werke's investor presentation, Nov 19, 2024
Slide 1: Investor Presentation JOST Werke SE – November 2024
INVESTOR PRESENTATION JOST WERKE SE – November 2024
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: Who We Are: A Leading Global Supplier for Commercial Vehicles
WHO WE ARE A LEADING GLOBAL SUPPLIER FOR COMMERCIAL VEHICLES CENTERBOOM CABINS IMPLEMENTS VARIOBLOC » 1,250 COUNTERWEIGHTS FY 2023 CABINS TURNTABLES SALES m€ BUCKETS FRONT DRAWBAR AND FY 2023 » 141 LOADERS TOWING EYES TOWING CONTAINER HITCHES TECHNOLOGY ADJ. EBIT m€ SUPPORT BALL BEARING LEGS TURNTAB
Slide 4: JOST Brand Experience
JOST BRAND EXPERIENCE BRAND LOYALTY OF WIDE VARIETY OF PURCHASING DECISSION MAKERS Our strong brands and our customer focus build the foundation of JOST’s Push & Pull sales strategy, strengthening customers' trust in JOST and generating a high market demand for our solutions SAFETY-RELATED COMPONENT
Slide 5: Our Market Position
OUR MARKET POSITION THE GLOBAL LEADING SUPPLIER FOR FIFTH WHEELS, LANDING LEGS AND FRONT LOADERS APPLICATION MIX 2023 Landing leg: (in % of sales) EUROPE + #1 41% MIDDLE EAST 5th wheel: NORTH of sales #1 21% AMERICA Front loaders: #1 Tractors 41% Trailers Landing leg: #1 5th wheel: 23% 12% ASIA 38%
Slide 6: Flexible and Asset-Light Global Footprint with Local for Local
FLEXIBLE AND ASSET-LIGHT GLOBAL FOOTPRINT WITH “LOCAL FOR LOCAL” REGIONAL CORE 24 KEY PARTS OF THE VALUE CHAIN Number of product variants 20 100 100 1,500 On demand production plants Purchased Mech. Assembly Design/ Forging and Quality Logistics Vehicle Production stage engineering casting materials
Slide 7: What Drives Us: Finding Solutions for Tomorrow's Challenges
WHAT DRIVES US FINDING SOLUTIONS FOR TOMORROW'S CHALLENGES JOST spearheads the technological shift towards more connected, environmentally friendly and intelligent commercial vehicles. Our commitment to progress keeps our portfolio evolving with the market. KKS DCA WEIGHTMASTER PLUS E-Catalogue JOST
Slide 8: Ambition 2030
OUR TARGET COMMITMENT TO DRIVE VALUE CREATION Ambition 2030 SALES ADJ. ADJ. EBIT REVENUE EPS MARGIN 10.0% > € 2bn > €10 to per share 12.0% Shifting margin corridor CAGR: 7% p.a. CAGR: 8% p.a. up by 0.5pp JOST Werke SE I INVESTOR PRESENTATION – NOVEMBER 2024 8
Slide 9: Opportunities to Achieve Profitable Growth
OPPORTUNITIES TO ACHIEVE PROFITABLE GROWTH Balanced sizeable opportunities for all market applications, with growing significance of trends in off-highway OEM earnings power by end markets Balancing TODAY 2025-2030 (Ø EBIT margin) end markets Efficiency trends Off-highway Off-highway Mining 25% Auto
Slide 10: Investment Highlights
Investment INVESTMENT HIGHLIGHTS HIGHLIGHTS Technology leader with strong brands and high market shares worldwide Flexible and asset light business model with proven resilience through industry cycles Wide diversification by product, customer and region with high aftermarket shares Proven value crea
Slide 11: Financials
bi o Ls |
Slide 12: First Nine Months 2024 Strategic and Operating Highlights
FIRST NINE MONTHS 2024 STRATEGIC AND OPERATING HIGHLIGHTS JOST signed agreement to acquire the Hyva Group, adding the global market leader of hydraulic tipping cylinders to its portfolio Successful localization of Quicke’s front loader design in Brazilian factory and launch of V-Loader for the Brazi
Slide 13: Strong Performance: Development of Sales and Earnings by Region
STRONG PERFORMANCE DEVELOPMENT OF SALES AND EARNINGS BY REGION Sales Growth (%) 2023 vs PY 9M 2024 − Cyclical decline for Transport in vs PY (€m) CAGR: 9 % Europe and North America 1,265 1,250 -1% -13% (organic -18% in 9M 2024) 173 1,049 208 +20 % 794 171 396 964 − Markets for agricultural loaders 7
Slide 14: Robust Financial Profile
ROBUST FINANCIAL PROFILE ROCE, EQUITY RATIO AND LEVERAGE DEVELOPMENT ROCE1 (%) Equity ratio (%) Net debt2 (€m) -2.4pp +1.9pp 0.99x Leverage3 1.02x 21.0% 180 163 18.6% 38.0% 39.9% 268 267 -88 -104 Dec 31, 2023 Sept 30, 2024 Dec 31, 2023 Sept 30, 2024 Dec 31, 2023 Sept 30, 2024 Interest-bearing capita
Slide 15: High Cash Generation
HIGH CASH GENERATION CASH FLOW AND WORKING CAPITAL DEVELOPMENT Free cash flow1 (€m) CAPEX (€m) Net working capital (€m) 0.7 Cash 1.4 2.2% Capex3 2.6% 20.4% NWC 17.7% conversion rate2 (% of sales) (% of sales) 277 83.4 199 21.2 21.7 191 56.3 120 203 186 -117 -107 YTD 2023 YTD 2024 YTD 2023 YTD 2024 Y
Slide 16: Historical Seasonality
HISTORICAL SEASONALITY DEVELOPMENT OF JOST’S SALES AND ADJUSTED EBIT BY QUARTER Sales (€m) Adj. EBIT (€m) / Adj. EBIT Margin (%) 40 342 37 330 322 327 312 304 34 35 34 292 286 299 298 33 32 273 266 30 30 30 30 257 252 246 27 27 27 231 24 24 199 202 197 23 10.8% 192 21 178 175 12.0% 20 11.2% 19 11.7%
Slide 17: Market Development Expectations for 2024
MARKET DEVELOPMENT EXPECTATIONS FOR 2024 INDUSTRY (VOLUME) EUROPE NORTH AMERICA ASIA-PACIFIC-AFRICA (20) – (15) % (10) – (5) % (5) – 0 % Weaker demand, compared to Demand for Class 8 trucks Chinese truck market recovery TRUCK very high, pent-up-demand-driven expected to contract, compared still on h
Slide 18: JOST Outlook for 2024
JOST OUTLOOK FOR 2024 -15% decline y-o-y (+/- 2.5pp); Sales (2023: €1,250m) Low double-digit decline y-o-y, trailing Adj. EBIT sales development (2023: €141m) Adj. EBIT Between 10.5% - 11.0% margin Capex Approx. 2.5% - 2.9% of sales (in % of sales) 1 Working Below 19% from sales (2023: 18.0%) Capita
Slide 19: Acquisitions
Acquisi TIONS
Slide 20: SPA to Acquire Hyva Group Signed
SALES AND PURCHASE AGREEMENT (SPA) TO ACQUIRE HYVA GROUP SIGNED Hyva fits JOST’s corporate and M&A strategy perfectly Renowned branded products added to portfolio Global market leader in hydraulic tipping cylinders with experienced management and staff More balanced geographical exposure in regions
Slide 21: Strategic M&A Criteria Fulfilled
STRATEGIC M&A CRITERIA FULFILLED Products and systems for transport, Commercial vehicles agriculture, mining and infrastructure (no passenger car!) industry Global market leader in hydraulic tipping Relative (regional) market cylinders with approx. 40% global market strength share High share of bran
Slide 22: Hyva Product Portfolio Complements and Enhances JOST
HYVA PRODUCT PORTFOLIO COMPLEMENTS AND ENHANCES JOST Combining two highly complementary industry leaders to create value and enhance JOST’s investment case PRODUCTS Front-end cylinders Underbodies cylinders Digital tipping systems Fifth wheels Towing hitches Skiploaders Cranes Refuse collection Hook
Slide 23: Acquisition of Hyva Contributes to Higher Share of Off-Highway
ACQUISITION OF HYVA AS STRONG CONTRIBUTOR TO JOST STRATEGY TOWARDS HIGHER SHARE OF OFF- HIGHWAY Balancing share of sales by end market applications JOST JOST + HYVA Agriculture 25%- Construction 30% Other off-highway OFF highway ~45% - 50% 70%- Transport 75% Logistics ON highway ~50% - 55% JOST Werk
Slide 24: Key Financials Pro-Forma Combined
KEY FINANCIALS PRO-FORMA COMBINED FX Rate USD/EUR = 1.11 JOST + HYVA PRO FORMA [€M] LTM JUL-23 2023A TO JUN-24 SALES 1,874 1,813 GROSS PROFIT 466 467 GP % SALES 24.9% 25.7% ADJ. EBIT 175 175 ADJ. EBIT IN % SALES 9.4% 9.6% JOST Werke SE I INVESTOR PRESENTATION – NOVEMBER 2024 24
Slide 25: Increase Exposure to Regions with Above Average Growth
INCREASE EXPOSURE TO REGIONS WITH ABOVE AVERAGE GROWTH Pre-Deal Post-Deal GDP CAGR1) Sales JOST 2023 JOST + HYVA 2024-2029 EMEA2) 56% €700m 49% €912m 1.6% North America 28% €354m 22% €406m 2.1% South America3) 2% €22m 5% €92m 2.3% India 2% €29m 9% €160m 6.5% China & Rest of Asia China 3.8% 11% €144m
Slide 26: Main Areas of Synergies
MAIN AREAS OF SYNERGIES Fitness Growth Cross-selling opportunities in the Direct and indirect COGS Americas, Asia and Brazil Significantly higher purchasing Operating leverage in India, power Brazil and North America Sales force and sales companies’ Stronger global market position organisation by le
Slide 27: Shareholder Structure and Share Information
SHAREHOLDER STRUCTURE AND SHARE INFORMATION Shareholder structure as of November 14, 2024 Share information Allianz Global Investors 20% ISIN DE000JST4000 Trading symbol JST Other 45% German Sec. Code Number (WKN) JST400 Shares in issue 14,900,000 20% PMB Management Index SDAX Listed since July 20,
Slide 28: Upcoming Investor Events / Investor Relations Contact
UPCOMING INVESTOR EVENTS Nov 26, 2024 Road Show, The Netherlands Dec 2, 2024 Berenberg European Conference 2024, Pennyhill, London/UK Jan 9, 2025 ODDO BHF Forum 2025, Lyon/France Jan 14-15, 2025 German Investment Seminar 2025, New York/US Jan 22, 2025 German Corporate Conference 2025, Frankfurt/Germ
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