Durr Ag · XETR:DUE
Durr — Q1 2010 Earnings Presentation
22 slides from Durr's earnings presentation, Apr 28, 2010
Slide 1: Welcome to the conference call: Dürr AG Results January - March 2010
Welcome to the conference call Dürr AG Results January - March 2010 Dürr Group Ralf Dieter, CEO Ralph Heuwing, CFO Bietigheim-Bissingen, April 28, 2010
Slide 2: Disclaimer
Disclaimer This presentation has been prepared independently by Dürr AG (“Dürr”). The presentation contains statements which address such key issues as Dürr´s strategy, future financial results, market positions and product development. Such statements should be carefully considered, and it should b
Slide 3: Book to bill ratio at 1.6
Book to bill ratio at 1.6 Q1 2010 Q1 2009 ∆ in € m Incoming orders 362.2 208.4 73.8% Sales revenues 230.3 309.5 -25.6% Orders on hand (03/31) 1,146.5 817.8 40.2% Strong improvement of order intake in both divisions - Paint and Assembly Systems: +82% - Measuring and Process Systems: +56% Stabilizatio
Slide 4: Continuous improvement of order intake since Q4 2008
Continuous improvement of order intake since Q4 2008 in € m 600 Measuring and Process Systems Paint and Assembly Systems 517.8 500 131.3 401.2 400 358.3 339.1 338.8 362.2 € 347 m 107.5 298.4 100.6 on average 300 386.4 102.4 59.5 80.4 66.3 208.4 200 293.6 186.7 64.4 261.6 255.4 258.4 94.2 232.1 279.6
Slide 5: Incoming orders: Underlying business is improving
Incoming orders: Underlying business is improving in € m 400 362.2 339.1 338.8 298.4 95.8 300 148.7 164.9 208.4 139.1 200 186.7 56.1 266.4 Orders above € 20 m 190.1 186.7 174.2 Orders below € 20 m 100 159.3 152.3 0 Q4 2008 Q1 2009 Q2 2009 Q3 2009 Q4 2009 Q1 2010 Dürr AG © CCI, Conference Call Q1 201
Slide 6: China boom continues
China boom continues January - March 2010 Incoming orders Incoming orders Sales revenues 2010 (2009) 2010 (2009) 2010 (2009) 14.7% 18.1% 19.6% (27.6%) (10.2%) (16.6%) 27.6% (7.7%) Mature Emerging markets markets* 10.3% 39% (12.6%) (58%) 61% (42%) 12.6% 23.5% (12.2%) 27.8% (31.9%) 24.2% (30.3%) (30.3
Slide 7: Order backlog of € 1.1 bn secures utilization in 2010
Order backlog of € 1.1 bn secures utilization in 2010 €m Delivery of order backlog 1.200 1,147 1,147 1,082 1,002 16% 1.000 17% 925 14% 800 805 22% 43% in 2011 or later 724 17% 15% 600 86% 84% 83% 78% 400 83% 57% in 2010 85% 200 0 12/2005 2005 12/2006 2006 12/2007 2007 12/2008 2008 12/2009 2009 3/201
Slide 8: Q1 earnings at low point, sequential improvements in the next quarters
Q1 earnings at low point, sequential improvements in the next quarters Q1 2010 Q1 2009 ∆ in € m Gross profit on sales 42.6 60.9 -30.0% EBITDA -1.5 9.8 - EBIT -6.1 4.8 - Net loss/income -10.4 0.5 - Gross margin decline to 18.5% (19.7%) due to lower order quality Reduction of SG&A costs (-11%), person
Slide 9: Cash flow increase due to further reduction of NWC
Cash flow increase due to further reduction of NWC Cash flow/free cash flow Q1 2010 Q1 2009 in € m EBT -11.0 0.8 Depreciation and amortization of non-current assets 4.6 5.0 Interest result 4.8 4.3 Income taxes paid -2.2 -6.9 ∆ Provisions 0.1 -4.6 ∆ Net working capital 26.9 -35.8 Other -6.8 4.9 Cash
Slide 10: NWC: Again significant progress
NWC: Again significant progress 03/31/2010 12/31/2009 03/31/2009 NWC in € m 31.6 57.4 187.5 DWC (Days Working Capital) 12.4 19.2 54.5 DSO (Days Sales Outstanding) 89.2 108.9 103.1 NWC reduction in Q1 due to lower business volume and strict NWC management Prepayments at an unchanged level compared to
Slide 11: Factoring and forfaiting further reduced
Factoring and forfaiting further reduced 03/31/2010 12/31/2009 03/31/2009 12/31/2008 in € m Factoring 7.7 11.9 12.5 15.0 Forfaiting 0.0 0.0 17.2 67.6 Total 7.7 11.9 29.7 82.6 Change vs year end -4.2 -52.9 On a comparable basis – including the change in factoring/forfaiting of € -4.2 m – cash flow wa
Slide 12: Optimized WIP and progress billings
Optimized WIP and progress billings 03/31/10 12/31/09 03/31/09 in € m Assets Work in process from contracts (WIP) 627.7 516.6 657.0 Progress billings -486.4 -377.5 -504.1 1 WIP in excess of billings 141.4 139.1 153.0 Liabilities Work in process from contracts (WIP) -401.9 -485.0 -645.4 Progress bill
Slide 13: WIP and progress billings
WIP and progress billings 03/31/10 12/31/09 03/31/09 in € m Balance: total WIP less total progress billings 1 - 2 - 4 -52.2 -53.3 24.2 Prepayments (liabilities) 2 + 3 201.9 200.5 139.2 Progress billings were € 52 m higher than future receivables1) on March 31, 2010 The amount of € 52 m will lead to
Slide 14: Solid financial ratios
Solid financial ratios 03/31/2010 12/31/2009 03/31/2009 in € m Equity 298.3 301.4 345.9 Equity ratio in % 31.4 31.1 32.2 Net financial status 11.9 3.0 -73.0 Cash 117.6 103.9 102.0 Gearing -4.2 -1.0 17.4 ROCE1) -7.1% 1.9% 16.8% Net financial status improved by € 84.9 m in the last 12 months 1)annuali
Slide 15: Paint and Assembly Systems: Strongly improved order intake in Q1
Paint and Assembly Systems: Strongly improved order intake in Q1 Q1 2010 Q1 2009 in € m Incoming orders 261.6 144.0 Sales revenues 167.1 223.3 EBIT -2.1 8.1 Clear improvement of incoming orders particularly from emerging markets Margin quality in new orders slowly improving Dürr AG © CCI, Conference
Slide 16: Measuring and Process Systems: Strong rebound
Measuring and Process Systems: Strong rebound Q1 2010 Q1 2009 in € m Incoming orders 100.6 64.4 Sales revenues 63.2 86.2 EBIT -4.1 -2.2 Incoming orders increase by more than 50% in both business units Lead time of orders: 2-3 months, industrial upturn fuels momentum Sales decline lead to negative EB
Slide 17: Market: Change of passenger car sales Q1 2010/Q1 2009
Market: Change of passenger car sales Q1 2010/Q1 2009 China 77% India 30% Japan 24% Brazil 17% USA 16% Western Europe 11% New EU-countries -18% Russia -25% Germany -27% -40 -20 0 20 40 60 80 100 Source: VDA Dürr AG © CCI, Conference Call Q1 2010, April 28, 2010 - 17 -
Slide 18: Higher production forecast mainly driven by China
Higher production forecast mainly driven by China CAGR of more than 4% in the next 4 years Region 2008 2009 2010 2011 2012 2013 2014 CAGR 2008-2014 North America 12.6 (-16.6%) 8.5 (-32.5%) 10.8 (27.1%) 12.4 (14.8%) 13.7 (10.5%) 14.4 (5.1%) 14.9 (3.5%) 2.8% Mercosur 3.4 (6.2%) 3.3 (-2.9%) 3.6 (9.1%)
Slide 19: Summary
Summary Automotive production stronger than expected Dürr’s markets gaining momentum; project pipeline further improving Growth is picking up in the machinery business for the first time after 18 months (broader customer base and regional diversification) Important service business shows signs of im
Slide 20: Financial calendar
Financial calendar 04/30/2010 Annual general meeting, Bietigheim-Bissingen 08/05/2010 Interim financial report for the first half of 2010 11/03/2010 Interim report for the first nine months of 2010 Contact: Dürr Aktiengesellschaft Günter Dielmann Corporate Communications & Investor Relations Carl-Be
Slide 21: Dürr AG © CCI, Conference Call Q1 2010, April 28, 2010
Dürr AG © CCI, Conference Call Q1 2010, April 28, 2010 - 21 -
Slide 22: Shareholder structure April 21, 2010
Shareholder structure April 21, 2010 Dürr AG © CCI, Conference Call Q1 2010, April 28, 2010 - 22 -