Kuehne & Nagel International Ag · SIX:KNIN
Kuehne & Nagel International — Kuehne + Nagel International — 9M 2012 Earnings Presentation
39 slides from Kuehne & Nagel International's earnings presentation, Oct 15, 2012
Slide 1: Analyst Conference Call – 9-months 2012 results
Kuehne + Nagel International AG Analyst Conference Call – 9-months 2012 results October 15, 2012 (CET 14.00) Schindellegi, Switzerland
Slide 2: Agenda
Agenda Highlights 9-months 2012 | Gerard van Kesteren Operating Review 9-months 2012 | Reinhard Lange Financial Review | Gerard van Kesteren Outlook | Reinhard Lange Kuehne + Nagel Group – 9-months 2012 results Slide 2
Slide 3: Highlights 9-months 2012
Highlights 9-months 2012 Volume development per business unit Key figures Volume growth intact in all business units, Seafreight + 7%, 20% Airfreight + 2% 15% Conversion rate improved in 10% Seafreight and stabilized in 10% 7% Airfreight 5% 4% 2-3% 2% 3% 2% Increased net invoiced turnover in 0% Cont
Slide 4: Income Statement 9-months
Income Statement 9-months CHF million 2012 One-off 2012 2011 operational actual Variance Growth Acquisition FX Impact Invoiced turnover 15'471 15'471 14'598 6.0% 4.4% 1.8% (0.2%) 873 645 258 (30) MCHF Gross profit 4'557 4'557 4'380 4.0% 2.5% 1.6% (0.1%) 177 112 68 (3) MCHF Gross profit margin 29.5%
Slide 5: Income Statement 9-months per quarter
Income Statement 9-months per quarter 2012 2012 2012 2011 2011 2011 CHF million Total Total Q1 Q2 Q3 Q1 Q2 Q3 Invoiced turnover 4'834 5'228 5'409 15'471 4'820 4'966 4'812 14'598 Forwarding expenses (3'332) (3'698) (3'884) (10'914) (3'362) (3'470) (3'386) (10'218) Gross profit 1'502 1'530 1'525 4'557
Slide 6: Agenda
Agenda Highlights 9-months 2012 | Gerard van Kesteren Operating Review 9-months 2012 | Reinhard Lange Financial Review | Gerard van Kesteren Outlook | Reinhard Lange Kuehne + Nagel Group – 9-months 2012 results Slide 6
Slide 7: Global Trends
Global Trends Global economy Logistics market trends Kuehne + Nagel Large regional differences Slower volume development Growth focus intact Muted consumption in seafreight, negative growth Positive effect of overall cost Impact Euro crisis in airfreight control measures Volatile financial markets M
Slide 8: "Stagnation" is the Applicable Scenario for the Global Economy
“Stagnation“ is the Applicable Scenario for the Global Economy Global GDP Global Trade Logistics Industry Sea: 6% I. Growth approx. 3 % approx. 7 % Air: 5% CL/R&R:GDP +/-0 % in developed markets; slower II. Stagnation slower growth growth 0% in emerging markets negative growth in developed markets n
Slide 9: Kuehne + Nagel's Targets for 2012 Continuity and Development
Kuehne + Nagel‘s Targets for 2012 Continuity and Development Continue implementation of global strategy with clear focus on customer orientation and profitability Focus on fast growing markets and industry verticals Cost- and yield-management Quality leadership, particularly through industry-leading
Slide 10: Strategy Update – Consequences of Macroeconomic Environment
Strategy Update – Consequences of Macroeconomic Environment Key parameters for achieving “Go for Growth” target in 2014 have Given the economic changed: headwind Stagnating dynamics in global economic development - delayed impact of Uncertain and diverse dynamics in the “Go for Growth” Euro zone and
Slide 11: Seafreight
Seafreight Kuehne + Nagel Group – 9-months 2012 results Slide 11
Slide 12: Seafreight: Highlights 9-months 2012
Seafreight: Highlights 9-months 2012 Seafreight forwarding market Seafreight carrier market Reduced market growth 2-3% Substantial reduction of volume growth in Asia-Europe trade leading to a greater overcapacity in the market Rates remain volatile Kuehne + Nagel performance Volume growth of 7% - Gr
Slide 13: Performance of Business Unit Seafreight 9-months
Performance of Business Unit Seafreight 9-months CHF million 2010 2011 2012 Variance Growth Acquisition FX Impact Invoiced turnover 6'792 6'235 6'813 9.3% 7.9% 1.1% 0.3% Gross profit 918 939 962 2.4% 0.7% 0.7% 1.0% EBITDA 329 331 311 (6.0%) (6.6%) - 0.6% EBIT 310 315 293 (7.0%) (7.3%) (0.3%) 0.6% EB
Slide 14: Geographical segmentation in Seafreight 9-months
Geographical segmentation in Seafreight 9-months y-o-y growth In ‘000 TEU 2'700 2'600 +18.1% 2'500 Other Export 2'400 Other Export 2'300 +10.8% 2'200 Am ericas Export 2'100 Am ericas Export 2'000 +4.2% 1'900 1'800 1'700 1'600 1'500 1'400 Asia Pacific Export 1'300 Asia Pacific Export +7% 1'200 1'100
Slide 15: Airfreight
Airfreight Kuehne + Nagel Group – 9-months 2012 results Slide 15
Slide 16: Airfreight: Highlights 9-months 2012
Airfreight: Highlights 9-months 2012 Airfreight forwarding market Airfreight carrier market Market contraction by 2 - 3% Growing market share for Middle East Asia Pacific market still weak carriers Temporary boost from hi-tech products Rates are still volatile Kuehne + Nagel performance Volume growt
Slide 17: Performance of Business Unit Airfreight 9-months
Performance of Business Unit Airfreight 9-months CHF million 2010 2011 2012 Variance Growth Acquisition FX Impact Invoiced turnover 3'002 2'989 2'994 0.2% (4.5%) 4.2% 0.4% Gross profit 551 589 623 5.8% (0.7%) 5.3% 1.2% EBITDA excl. one-off item 168 190 171 (10.0%) (13.2%) 1.6% 1.6% EBIT excl. one-of
Slide 18: Geographical segmentation in Airfreight 9-months
Geographical segmentation in Airfreight 9-months y-o-y In ‘000 Tons growth 850 800 -4.1% Other Export 750 Other Export 700 +5.2% 650 600 Americas Export Americas Export 550 500 +14.8% 450 400 Asia Pacific Export Asia Pacific Export +2% 350 -4.7% 300 250 200 Europe Export Europe Export 150 100 50 0 S
Slide 19: Road & Rail Logistics
Road & Rail Logistics Kuehne + Nagel Group – 9-months 2012 results Slide 19
Slide 20: Road & Rail: Highlights 9-months 2012
Road & Rail: Highlights 9-months 2012 Road & Rail forwarding market Road & Rail carrier market Slow down of the European overland Fuel cost still a challenge market growth Market continues to consolidate Volume decline in Southern Europe due to difficult economic environment Kuehne + Nagel performan
Slide 21: Performance of Business Unit Road & Rail 9-months
Performance of Business Unit Road & Rail 9-months CHF million 2010 2011 2012 Variance Growth Acquisition FX Impact Invoiced turnover 2'062 2'195 2'348 7.0% 6.8% 2.2% (2.0%) Net Invoiced Turnover 1'893 1'985 2'147 8.2% 7.8% 2.4% (2.1%) Gross profit 620 639 669 4.7% 3.8% 2.8% (1.9%) EBITDA 35 31 28 (9
Slide 22: Contract Logistics
Contract Logistics Kuehne + Nagel Group – 9-months 2012 results Slide 22
Slide 23: Contract Logistics: Highlights 9-months 2012
Contract Logistics: Highlights 9-months 2012 Contract Logistics market 9-months 2012 demand grew by 2% Increased competitive environment Continuous margin pressure due to economical situation Kuehne + Nagel performance Increase of Net Invoiced Turnover of 3.8% First impact of location master plan co
Slide 24: Performance of Business Unit Contract Logistics 9-months
Performance of Business Unit Contract Logistics 9-months CHF million 2010 2011 2012 Variance Growth Acquisition FX Impact Invoiced turnover 3'225 3'095 3'231 4.4% 4.6% 0.5% (0.7%) Net Invoiced Turnover 3'084 2'908 3'018 3.8% 3.8% 0.5% (0.5%) Gross profit 2'334 2'185 2'275 4.1% 3.9% 0.5% (0.3%) EBITD
Slide 25: Contract Logistics Repositioning Supported by Controlling
Contract Logistics Repositioning Supported by Controlling Background Management Measures Key figures 2011 Revenue: 4.2 bn CHF Location master plan FTE: ~40’000 EBITDA: 161 m CHF Transfer of competence from regional to corporate business and EBIT: 63 m CHF finance EBIT Margin %: 1.5 Minimum targets f
Slide 26: Agenda
Agenda Highlights 9-months 2012 | Gerard van Kesteren Operating Review 9-months 2012 | Reinhard Lange Financial Review | Gerard van Kesteren Outlook | Reinhard Lange Kuehne + Nagel Group – 9-months 2012 results Slide 26
Slide 27: Financial Overview 9-months
Financial Overview 9-months CHF million 2010 2011 2012 Gross Profit 4'453 4'380 4'557 EBITDA 746 728 622* Earnings for the period 452 457 358* Cash & Cash Equivalents 1'014 864 882 EPS (basic) 3.81 3.83 2.96 Equity % Total Assets 38.8% 38.1% 36.7% Operational Cash Flow 726 737 621* Capex 100 133 122
Slide 28: Balance Sheet
Balance Sheet 31 December 30 September 31 December 30 September CHF million CHF million 2011 2012 2011 2012 Assets Liabilities and equity Equity attributable to the equity holders 2'382 2'299 of the parent company Non-controlling interests 23 28 Total equity 2'405 2'327 Non-current assets 2'239 2'20
Slide 29: Cash flow 9-months
Cash flow 9-months CHF million 2011 2012 Better/(Worse) Operational cash flow 737 621 (116) Changes in working capital (206) (164) 42 Income taxes paid (177) (138) 39 Cash flow from operating activities 354 319 (35) Cash flow from investing activities (252) 159 411 Cash flow from financing activitie
Slide 30: Net Working Capital Development
Net Working Capital Development Whereof Extended YTD Sep CHF million Dec 2011 Sep 2012 Business Payment Increase Growth Terms Trade receivables & Work in progress 2'620 2'982 362 210 152 Trade payables & Accrued trade expenses (2'021) (2'172) (151) (141) (10) Net Working Capital 599 810 211 69 142 K
Slide 31: Finance targets 2012
Finance targets 2012 CAPEX Estimate at approx. CHF 170 mio (2011: CHF 207 mio) Working Target to maintain working capital intensity at 3.5 – 4.0% Capital Cash Emphasis on safeguarding a high cash position Tax Confirm sustainable tax rate around 21% (excl. antitrust provision) Kuehne + Nagel Group –
Slide 32: Agenda
Agenda Highlights 9-months 2012 | Gerard van Kesteren Operating Review 9-months 2012 | Reinhard Lange Financial Review | Gerard van Kesteren Outlook | Reinhard Lange Kuehne + Nagel Group – 9-months 2012 results Slide 32
Slide 33: Outlook Full Year 2012
Outlook Full Year 2012 Road & Rail Contract Seafreight Airfreight [TEU] [Ton] Logistics Logistics [net inv'd turnover] [net inv'd turnover] Kuehne + Nagel +7% +2% +8% +4% YTD 9 months Market + 2 to 3 % (2) to (3%) +3% +2% Kuehne + Nagel + 6 to 8 % + 2 to 4 % + 8 to 10 % +5% FY 2012 Market +2 to 3 %
Slide 34: Annex I-Upcoming Events
Annex I-Upcoming Events March 4, Full year 2012 results 2013 April 15, First quarter 2013 results 2013 May 7, Annual General Meeting 2013 May 14, Dividend payment for 2012 2013 July 15, Half-year 2013 results 2013 October 15, 9-months 2013 results 2013 Kuehne + Nagel Group – 9-months 2012 results Sl
Slide 35: Annex II: Key Data Sheet Quarter by Quarter 2012 vs. 2011
Annex II: Key Data Sheet Quarter by Quarter 2012 vs. 2011 Variance in CHF million 2012 2011 2012 / 2011 Change in % 2012 / 2011 Q1 Q2 Q3 Total Q1 Q2 Q3 Total Q1 Q2 Q3 Total Q1 Q2 Q3 Total CHF million Seafreight Turnover 2'031 2'283 2'499 6'813 2'071 2'065 2'099 6'235 (1.9) +10.6 +19.1 +9.3 (40) 218
Slide 36: Annex II: Key Data Sheet Quarter by Quarter 2012 vs. 2011
Annex II: Key Data Sheet Quarter by Quarter 2012 vs. 2011 Variance in CHF million 2012 2011 2012 / 2011 Change in % 2012 / 2011 Q1 Q2 Q3 Total Q1 Q2 Q3 Total Q1 Q2 Q3 Total Q1 Q2 Q3 Total CHF million Road & Rail Logistics Turnover 744 814 790 2'348 681 812 702 2'195 +9.3 +0.2 +12.5 +7.0 63 2 88 153
Slide 37: Annex II: Key Data Sheet Quarter by Quarter 2012 vs. 2011
Annex II: Key Data Sheet Quarter by Quarter 2012 vs. 2011 Variance in CHF million 2012 2011 2012 / 2011 Change in % 2012 / 2011 Q1 Q2 Q3 Total Q1 Q2 Q3 Total Q1 Q2 Q3 Total Q1 Q2 Q3 Total CHF million Real Estate Turnover - 1 0 1 - 1 0 1 Gross Profit - 1 0 1 - 1 0 1 Total Expenses 18 14 16 48 16 14 1
Slide 38: Thank you for your attention.
Thank you for your attention.
Slide 39: Disclaimer
Disclaimer Investing in the shares of Kuehne + Nagel International AG involves risks. Prospective investors are strongly requested to consult their investment advisors and tax advisors prior to investing in shares of Kuehne + Nagel International AG. This document contains forward-looking statements
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