Slide 1: ANDRITZ GROUP: results for Q1-Q3 2017
ANDRITZ GROUP: results for Q1-Q3 2017 November 3, 2017
Slide 2: Group sales in Q1-Q3 2017 slightly down
Group sales in Q1-Q3 2017 slightly down Decrease in Q3 2017 mainly due to PULP & PAPER and HYDRO SALES (MEUR) SALES by business area (MEUR) -2% Q1-Q3 Q1-Q3 +/- Q3 2017 Q3 2016 +/- 4,239 2017 2016 4,144 HYDRO 1,072 1,180 -9% 347 372 -7% PULP & PAPER 1,474 1,534 -4% 483 554 -13% Q3: Q3: 1,478 -8% 1,36
Slide 3: Very favorable development of service business
Very favorable development of service business Increase in all four business areas SHARE OF SERVICE SALES of Group and business area sales (%) Q1-Q3 2016: ANDRITZ GROUP Q1-Q3 2017: +200 bps 32% 34% Q1-Q3 2016: HYDRO Q1-Q3 2017: Q1-Q3 2016: METALS Q1-Q3 2017: +200 bps +200 bps 27% 29% 22% 24% Q1-Q3 2
Slide 4: Group order intake in Q1-Q3 2017 slightly up, decline in Q3
Group order intake in Q1-Q3 2017 slightly up, however decline in Q3 due to HYDRO and METALS (Schuler) ORDER INTAKE (MEUR) ORDER INTAKE by business area (MEUR) +2% Q1-Q3 Q1-Q3 +/- Q3 2017 Q3 2016 +/- 2017 2016 4,037 4,113 HYDRO 939 1,061 -11% 425 470 -9% PULP & PAPER 1,552 1,351 +15% 427 435 -2% Q3:
Slide 5: Group order backlog slightly below year-end 2016
Group order backlog slightly below year-end 2016 -6% ORDER BACKLOG (as of end of period in MEUR) -2% 7,511 7,324 7,044 6,789 6,651 2014 2015 Q1-Q3 2016 2016 Q1-Q3 2017 ORDER BACKLOG by business area (as of end of period in MEUR) HYDRO and PULP & PAPER account for 74% of total backlog Q1-Q3 2017 Q1-Q
Slide 6: Earnings down practically in line with sales decline
Earnings down practically in line with sales decline Profitability at solid level EBITA (MEUR) Q3 2017: EBITA in Q3 2017 declined practically in line with sales to 98.9 MEUR (Q3 2016: 109.1 MEUR). Profitability, at 7.2%, remained at solid level (Q3 2016: 7.4%). +5% Q1-Q3 2017: 306.2 292.1 Desp
Slide 7: Key figures Q3/Q1-Q3 2017 at a glance
Key figures Q3/Q1-Q3 2017 at a glance Q1-Q3 Q1-Q3 Unit +/- Q3 2017 Q3 2016 +/- 2016 2017 2016 Order intake MEUR 4,112.5 4,036.5 +1.9% 1,341.2 1,470.1 -8.8% 5,568.8 Order backlog (as of end of period) MEUR 6,650.8 7,043.6 -5.6% 6,650.8 7,043.6 -5.6% 6,789.2 Sales MEUR 4,143.6 4,239.3 -2.3% 1,364.6 1,
Slide 8: HYDRO (1): Unchanged challenging market environment
HYDRO (1): Unchanged challenging market environment with only a few medium-sized projects awarded Modernizations/rehabilitations New hydropower plants Unchanged, difficult market conditions Some new projects in impacted by low electricity and energy emerging markets, particularly prices, especially
Slide 9: HYDRO (2): Lower order intake and sales, satisfactory profitability
HYDRO (2) Lower order intake and sales, however satisfactory profitability Q1-Q3 Q1-Q3 HYDRO Unit +/- Q3 2017 Q3 2016 +/- 2016 2017 2016 Order intake below the high reference figure in Q3 2016, but considerably higher than Order intake MEUR 939.0 1,060.9 -11.5% 425.0 469.5 -9.5% 1,500.3 the order in
Slide 10: PULP & PAPER (1): Solid market environment continued
PULP & PAPER (1) Solid market environment continued Paper Satisfactory market development for tissue and packaging equipment continued. Pulp Satisfactory project and investment activity, Competition particularly for modernization of existing Stable competitive pulp mills. No order awards for greenfi
Slide 11: PULP & PAPER (2): Satisfactory business development
PULP & PAPER (2) Satisfactory business development Q1-Q3 Q1-Q3 PULP & PAPER Unit +/- Q3 2017 Q3 2016 +/- 2016 2017 2016 Solid development in both Order intake MEUR 1,552.0 1,351.0 +14.9% 427.1 435.0 -1.8% 1,919.5 capital and service Order backlog (as of end of period) MEUR 1,899.1 1,790.6 +6.1% 1,89
Slide 12: METALS (1): Unchanged weak metalforming market
METALS (1): Unchanged weak metalforming market Recovery of METALS processing market Metalforming Unchanged low investment activity in metalforming with only a few large METALS processing orders placed for press lines; Further increase in project activity - favorable development of Yadon however from
Slide 13: METALS (2): Earnings and profitability at unsatisfactory level
METALS (2) Earnings and profitability at unsatisfactory level Order intake in Q3 Q1-Q3 Q1-Q3 METALS Unit +/- Q3 2017 Q3 2016 +/- 2016 substantially below high 2017 2016 reference figure of last year; low order intake in Order intake MEUR 1,143.6 1,179.5 -3.0% 329.4 410.8 -19.8% 1,551.5 metalforming
Slide 14: SEPARATION (1): Improved project and investment activity
SEPARATION (1): Improved project and investment activity for solid/liquid separation equipment Municipal Feed and biomass pelleting Investment activity at good levels, Low project activity. mainly in developed markets. Industrial Competition Good project activity in mining and Unchanged market envir
Slide 15: SEPARATION (2): Improved business development
SEPARATION (2) Improved business development in solid/liquid separation Q1-Q3 Q1-Q3 SEPARATION Unit +/- Q3 2017 Q3 2016 +/- 2016 2017 2016 Upward trend of order intake for solid/liquid separation equipment continued in Q3; Order intake MEUR 477.9 445.1 +7.4% 159.7 154.8 +3.2% 597.5 lower order intak
Slide 16: Unchanged guidance for 2017
Unchanged guidance for 2017 Slight decrease in sales, but at least same profitability as in 2016 Project activity for modernizations and new hydropower Continued solid market environment in pulp, stations to remain at subdued level especially for modernization of existing plants; no greenfield o