Slide 1: FUCHS PETROLUB / 1st half year 2014 Analyst Conference Call
FUCHS PETROLUB / 1st half year 2014 Analyst Conference Call Dr. Alexander Selent, Vice Chairman & CFO Reiner Schmidt, Member of the Group Management Committee Dagmar Steinert, Head of Investor Relations Mannheim, 1 August 2014
Slide 2: The first half year 2014
The first half year 2014 Good organic growth of just under 5% substantially eroded by currency effects; sales revenues rise by 1% to €919 million EBIT of €151 million just under 2% lower than in previous year, currency adjusted an EBIT increase of 2% Earnings per share at previous year’s level EBIT
Slide 3: 2nd quarter 2014 sales revenues below previous year due to currency effects
2nd quarter 2014 sales revenues below previous year due to currency effects € mn 500 468.3 468.7 452.6 456.8 462.5 442.0 400 300 200 100 0 Q1 '13 Q2 '13 Q3 '13 Q4 '13 Q1 '14 Q2 '14 - 1.2 % YoY + 1.2 % QoQ 3 FUCHS PETROLUB SE
Slide 4: 2nd quarter EBIT at previous quarter's level
2nd quarter EBIT at previous quarter’s level € mn 80.4 83.4 80 73.4 75.1 75.6 75.6 60 40 20 0 Q1 '13 Q2 '13 Q3 '13 Q4 '13 Q1 '14 Q2 '14 - 6.0 % YoY + 0.0 % QoQ 4 FUCHS PETROLUB SE
Slide 5: In the first half year sales revenues increased organically by almost 5%
In the first half year sales revenues increased organically by almost 5% and after currency effects by 1% € mn + 9.0 Mio € (1.0 %) Organic growth of 4.7% or €42.9 mn External growth of 0.2% or €1.4 mn Currency effects of -3.9% or -€35.3 mn 5 FUCHS PETROLUB SE
Slide 6: Organic growth outside Europe eroded by currency effects
Organic growth outside Europe eroded by currency effects Regional sales growth Asia/Pacific, North and Group 1st half year 2014* Africa South America € mn 9.0 2.2 Organic growth 25 -1.7 42.9 Currency effects External growth 14.8 23.5 5 1.4 10.0 -2.4 1.4 -11.7 -15 -21.3 -35.3 -35 Total growth +2.5% +
Slide 7: EBIT of €151.2 million below previous year by almost 2%
EBIT of €151.2 million below previous year by almost 2%, currency adjusted an increase of 2% € mn 1-6/2014 1-6/2013 Variance Sales revenues 919.3 910.3 9.0 1.0% Gross profit 343.0 343.1 -0.1 0.0% Gross profit margin 37.3% 37.7% Admin., sales, R&D and other net operating expenses 198.0 196.1 1.9 1.0%
Slide 8: EBIT increase in Europe, decrease in Asia-Pacific, Africa and North and South America
EBIT increase in Europe, decrease in Asia-Pacific, Africa and North and South America 1st half year 2014 € mn -10.3% -1.7% 150 27.8 -2.8 151.2 -10.3% 46.0 100 +8.2% 80.2 50 0 Europe Asia Pacific, North and South Holding Group Africa America costs/cons. EBIT margin before at equity income 14.2% 16.5%
Slide 9: Quarterly development
Quarterly development € mn Q1 13 Q2 13 Q3 13 Q4 13 Q1 14 Q2 14 Sales revenues 442.0 468.3 468.7 452.6 456.8 462.5 Gross profit 165.6 177.5 177.6 169.2 170.9 172.1 (37.5%) (37.9%) (37.9%) (37.4%) (37.4%) (37.2%) Admin., sales, R&D and other net 95.4 100.7 97.5 97.5 98.3 99.7 operating expenses (21.6%
Slide 10: Free cash flow at previous year's level
Free cash flow at previous year’s level € mn 1-6/2014 1-6/2013 Gross cash flow 110.9 107.6 Change in working capital -45.0 -23.0 Other changes -2.1 -10.3 Operating cash flow 63.8 74.3 Capex (incl. acquisitions) -25.1 -33.6 Other changes 6.2 4.1 Free cash flow 44.9 44.8 10 FUCHS PETROLUB SE
Slide 11: Further substantial investments will come up in the second half of the year
Further substantial investments will come up in the second half of the year € mn Key investments 33.6 The investments were mainly made in Germany, China and the USA. Significant outflows are expected for projects in Germany and the USA during the next quarters. 15.1 Acquisition in Great Britain. 1-6
Slide 12: Increase in employees
Increase in employees 166 new employees in all regions since June 2013 30 June 2014 31 Dec 2013 30 June 2013 12 FUCHS PETROLUB SE
Slide 13: Outlook
Outlook FUCHS remains committed to its forecast of organic growth in the low single- digit range for the financial year 2014 and for the second half of the year. However, the development of currency exchange rates must be taken into account. As regards EBIT, the Group has become more cautious due to
Slide 14: Thank you for your attention
Thank you for your attention Disclaimer This presentation contains statements about future development that are based on assumptions and estimates by the management of FUCHS PETROLUB SE. Even if the management is of the opinion that these assumptions and estimates are accurate, future actual develop