Slide 1: Disclaimer
Disclaimer This report provides estimates on future prospects involving risk and uncertainty factors, and other factors as a result of which the performance, operation or achievements of Cargotec may substantially deviate from the estimates. Forward- looking statements relating to future prospects a
Slide 2: Performance improved from the second quarter
22 October 2020 Performance • Orders received, sales and improved from the comparable operating profit improved, remain second quarter below comparison period Cargotec’s January–September 2020 interim report Mika Vehviläinen, CEO • Mikko Puolakka, CFO Cargotec’s interim report January–September 2020
Slide 3: Contents
Contents ● Group level development ● COVID-19 situation ● Market environment ● Business areas ● Financials and outlook 3
Slide 4: Highlights of Q3/2020 – Cost savings and productivity improvements enhanced profitability
Highlights of Q3/2020 – Cost savings and productivity improvements enhanced profitability Orders received decreased by 14% ● +16% compared to Q2/2020 Sales decreased by 14% ● +3% compared to Q2/2020 Comparable operating profit decreased by 17% ● Kalmar -15 MEUR ● Hiab -3 MEUR ● MacGregor +7 MEUR ● +
Slide 5: The coronavirus pandemic impact was less significant in Q3/2020
The coronavirus pandemic impact was less significant in Q3/2020 Safety of our personnel and customers top priority From temporary to permanent productivity measures ● Cost savings resulted to savings of approximately 10 MEUR per month ● Same cost saving level expected to continue in Q4 ● Internal he
Slide 6: Gradual improvement in equipment running hours in US and Europe
Gradual improvement in equipment running hours in US and Europe -6% -7% -6% -10% -5% -9% Kalmar Mobile Solutions: Change in amount of total running hours of the connected fleet. 11-18 October compared vs. January & February average. -20% Hiab: +11% Activity index of connected loader cranes. Daily ac
Slide 7: Market environment
Global container throughput1 – Key driver for Kalmar Market environment -4.3% Number of containers handled at ports declined Construction output2 – Key driver for Hiab ● Estimates upgraded during Q3 United States Europe ● FY 2021 estimate +6.6% -3.3% -11.0% Construction activity increased from Q2/20
Slide 8: Orders received recovered after bottoming in Q2/2020
Orders received recovered after bottoming in Q2/2020 -35% (y/y) MEUR -11% (y/y) -11% (y/y) -17% (y/y) Cargotec’s interim report January–September 2020 | 22 October 2020 8
Slide 9: Hiab order book turned back to growth
Hiab order book turned back to growth Order book Order book by reporting MEUR segment, Q3 2020 48% 30% 22% Cargotec’s interim report January–September 2020 | 22 October 2020 9
Slide 10: Positive trend in comparable operating profit and sales continued
Positive trend in comparable operating profit and sales continued Sales Comparable operating profit MEUR MEUR x *) Including Corporate admin and support Cargotec’s interim report January–September 2020 | 22 October 2020 10
Slide 11: Service business resilient
Service business resilient Service and software* sales Q3/2020 service sales -9% MEUR ● Kalmar -9% ● Hiab -7% ● MacGregor -13% Software sales -12% Service and software 36% of total sales *Software sales defined as strategic business unit Navis and automation software Cargotec’s interim report Januar
Slide 12: Business areas
Business areas Cargotec’s January–September 2020 interim report Cargotec’s January-March 2020 interim report 23/4/2020 12
Slide 13: Kalmar Q3 – Profitability supported by strong Mobile Equipment result
Kalmar Q3 – Profitability supported by strong Mobile Equipment result Orders received declined MEUR Q3/20 Q3/19 Change ● Order decline especially in Automation and Orders received 328 396 -17% Projects ● Both Automation & Projects and Mobile solutions Order book 834 1,083 -23% improved compared to Q
Slide 14: Hiab Q3 – Comparable operating profit margin increased
Hiab Q3 – Comparable operating Based on 31.3.2020 profit margin increased estimate Orders received and sales MEUR Q3/20 Q3/19 Change decreased Orders received 274 307 -11% Order book 386 458 -16% ● Service sales decreased by 7% Sales 254 307 -17% Comparable operating profit Comparable decreased 3 ME
Slide 15: MacGregor Q3 – TTS synergies and productivity actions visible in result
MacGregor Q3 – TTS synergies and productivity actions visible in result Orders received decreased in Offshore and Services MEUR Q3/20 Q3/19 Change Orders received 139 156 -11% Sales decreased by 7% ● Service sales -13% Order book 532 712 -25% Sales 158 170 -7% Comparable operating profit returned Co
Slide 16: Financials and outlook
Financials and outlook Cargotec’s January-September 2020 interim report Cargotec’s January-March 2020 interim report 23/4/2020 16
Slide 17: Key figures – Q3 relative profitability remained close to 19 level
Key figures – Q3 relative profitability remained close to 2019 level Q3/20 Q3/19 Change Q1-Q3/20 Q1-Q3/19 Change Orders received, MEUR 740 858 -14% 2,158 2,752 -22% Order book, MEUR 1,751 2,251 -22% 1,751 2,251 -22% Sales, MEUR 777 901 -14% 2,391 2,669 -10% Comparable operating profit, 57 68 -17% 14
Slide 18: Strong cash flow
Strong cash flow Cash flow from operations before financing items and taxes MEUR Cargotec’s interim report January–September 2020 | 22 October 2020 18
Slide 19: Strong financial position and liquidity
Strong financial position and liquidity Net debt & gearing Total liquidity, 30 September 2020 MEUR *Cargotec adopted the IFRS 16 standard on 1 Jan 2019. Cargotec’s interim report January–September 2020 | 22 October 2020 19
Slide 20: Balanced debt portfolio
Balanced debt portfolio Loan structure, 30 September 2020 Repayment schedule of interest-bearing liabilities excluding finance lease 1% MEUR 39% 60% Cargotec’s interim report January–September 2020 | 22 October 2020 20
Slide 21: Outlook for 2020
Outlook for 2020 Cargotec estimates H2/2020 comparable operating profit to increase compared to H1/2020 (EUR 82.9 million). Cargotec’s interim report January–September 2020 | 22 October 2020 21
Slide 22: Let's reduce CO2 emissions by 2030
Let’s reduce CO, emissions at least 50 percent by 2030. This is critical for limiting global warming to 1.5 degrees.
Slide 23: Cargotec
& CARGOTEC