Slide 1: H1 2024 Results – Analyst & Investor Presentation
HENSOLDT H1 2024 Results – Analyst & Investor Presentation Fürstenfeldbruck, 26th of July 2024 Oliver Dörre, CEO Christian Ladurner, CFO This document and its content is the property of HENSOLDT AG. It shall not be communicated to any third party without the owner’s written consent. © Copyright HENS
Slide 2: Disclaimer Forward Looking Statement
HENSOLDT – H1 2024 results Disclaimer Forward Looking Statement This presentation and the information contained herein are for information purposes only and should not be treated as This presentation may contain forward-looking statements about HENSOLDT and its businesses, including statements inves
Slide 3: 100 days as CEO of HENSOLDT
HENSOLDT – H1 2024 results 100 days as CEO of HENSOLDT 3 This document and its content is the property of HENSOLDT AG. It shall not be communicated to any third party without the owner’s written consent. © Copyright HENSOLDT AG 2024. All rights reserved.
Slide 4: German defence spending confirmed at 2% GDP
HENSOLDT – H1 2024 results German defence spending confirmed at 2% GDP ~ €80bn > €80bn 2% 2% 2% of GDP of GDP of GDP Delta funded by G7 loan to Ukraine Ukraine military support ~8 ~4 ~20 ~22 Special fund Regular defence budget ~52 ~53 2024 2025E 2026E 2027E 2028E Projected defence spending of German
Slide 5: Market environment remains favourable
HENSOLDT – H1 2024 results Market environment remains favourable 23 ~800 of 40 EUR billion EUR billion 32 Support package announced Additional defence spending NATO members for Ukraine at NATO Summit. announced until 2028 by European will reach or exceed Pledge to strongly enhance NATO member states
Slide 6: Key orders received in Q2 2024
HENSOLDT – H1 2024 results Key orders received in Q2 2024 TRML-4D Skyranger 30 F126 frigates A400M TRML-4D radars for Latvia SPEXER radars for Austria TRS-4D radars Material Management and Slovenia and Denmark for F126 frigates for A400M provided by ESG ~€100m ~€75m ~ €45m ~ €45m 6 This document and
Slide 7: Key orders expected in 2024
HENSOLDT – H1 2024 results Key orders expected in 2024 Boxer RCT30 Leopard 2 MBT EF re-baselining 2 ZEBEL Optronics for German Optronics for German Additional features required Operation of the central German Boxer RCT 30 IFV Leopard 2 by customer Armed Forces spare parts ~€170m ~€100m ~ €290m logis
Slide 8: ESG Integration – Fully on track by Day 100
HENSOLDT – H1 2024 results ESG Integration – Fully on track by Day 100 Pre-Closing April 3rd – Day 1 Day 100 Day 200 Target org structure Business & processes PMI program org continuity signed-off Target org structure onboarded across & legal requirements & processes both companies assured implement
Slide 9: ESG: Solutions provider for CH-47F Chinook platform
HENSOLDT – H1 2024 results ESG: Solutions provider for CH-47F Chinook platform Environment, Safety, German Military Entry into service Aviation Regulations Warehousing Occupational Health Analysis Certification Obsolescence Qualification Supply chain Documentation Information security Change managem
Slide 10: Financials
HENSOLDT Financials This document and its content is the property of HENSOLDT AG. It shall not be communicated to any third party without the owner’s written consent. © Copyright HENSOLDT AG 2024. All rights reserved.
Slide 11: H1 2024 – excellent performance in top line
HENSOLDT – H1 2024 results H1 2024 – excellent performance in top line in €m Strong order intake Execution on track Order backlog again at record level +27% +11% 166 +17% 122 +10% 82 726 -26% -23 64 88 6,553 1,359 849 1,071 5,671 638 H1 2023 Organic M&A H1 2024 H1 2023 Pass-through Core M&A H1 2024
Slide 12: H1 2024 – strong bottom line sustained
HENSOLDT – H1 2024 results H1 2024 – strong bottom line sustained in €m Further increase of profitability Investment in Working Capital as planned Core margin excluding Reported margin pass-through revenue +26% H1 2023 H1 2024 +15% 9 +15% 103 +4% 5 12 52 2 -145 82 45 -157 13.2% 7.1% 6.6% 12.8% 11.3%
Slide 13: H1 2024 – Sensors segment
HENSOLDT – H1 2024 results H1 2024 – Sensors segment in €m Strong order intake Significant increase of core revenue Excellent margin performance Core margin excluding Reported margin pass-through revenue +53% 166 +23% +33% +36% 82 +25% 9 +16% 117 270 603 -26% 22 81 -23 17.2% 1,253 86 88 744 16.7% 15
Slide 14: H1 2024 – Optronics segment
HENSOLDT – H1 2024 results H1 2024 – Optronics segment in €m Order intake in line with expectations Revenue develops as planned Investments in digitalization and growth H1 2023 H1 2024 (4) (14) 257 125 108 139 H1 2023 H1 2024 H1 2023 H1 2024 Order intake(1) Revenue Adj. EBITDA(2) Order intake as pla
Slide 15: Strong basis and visibility for growth in Optronics
HENSOLDT – H1 2024 results Strong basis and visibility for growth in Optronics in number of units Sights SETAS Laser range finder +11% +14% 425 15 614 384 538 0 2023A 2024E 2023A 2024E 2023A 2024E ▪ Basis to execute record order book established ▪ German business already growing with back end loaded
Slide 16: Deleveraging on track
HENSOLDT – H1 2024 results Deleveraging on track in €m Net debt development Net leverage(1) 2.3x 1.9x 2.8x Net leverage w/o 1.5x debt for ESG ESG purchase price acquisition payment Purchase price funded by new debt of Net debt 989 €450m and capital raise of €234m Debt for partial financing of ESG 45
Slide 17: Guidance short and mid-term confirmed
HENSOLDT – H1 2024 results Guidance short and mid-term confirmed 2024 Organic ESG(5) Combined Orders to grow faster Book-to-bill ratio 1.1 - 1.2x than revenues 1.1 - 1.2x ~2 bn€ ~2.3 bn€ Revenue growth(1) with stronger growth in core revenue ~300 m€ with stronger growth in core revenue excl. excl. p
Slide 18: HENSOLDT on track
HENSOLDT – H1 2024 results HENSOLDT on track Achievements ▪ Record order backlog of €6.6bn ▪ Efficient project execution and strong profitability ▪ First pre-payments of our German customer received ▪ ESG integration on track and strong contribution to Group performance FY 2024 guidance confirmed fo
Slide 19: HENSOLDT 2.0
HENSOLDT – H1 2024 results HENSOLDT 2.0 We are actively preparing our future with a comprehensive strategic and organizational transformation Mid-term priorities New divisional setup Operational Radar Excellence North Optronics HENSOLDT Internationalization Services & Training Star 2.0 Digitalizatio
Slide 20: Q&A session
HENSOLDT Q&A session This document and its content is the property of HENSOLDT AG. It shall not be communicated to any third party without the owner’s written consent. © Copyright HENSOLDT AG 2024. All rights reserved.
Slide 21: Domestic German position strong and broad
HENSOLDT – H1 2024 results Domestic German position strong and broad Service Programs 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 EF Mk1 + Re-baselining Rebaselining Ph 1 Rebaselining Ph 2 To 2035 -> Twinvis Batch 2 2028+ -> LuWES SOJ Development Procurement 2030+ -> F-351 (TOR Replacemen
Slide 22: … but also for international programs
HENSOLDT – H1 2024 results … but also for international programs Service Programs 2019 2020 2021 2022 2023 2024 2025 2026 2027 → Eurofighter Halcon Spain Airborne Helicopter Self-Protection India Airborne Self-Protection Ukraine Airborne Self-Protection APAC Air Air Defense European Sky Shield (East
Slide 23: Guidance 2025 confirmed
HENSOLDT – H1 2024 results Guidance 2025 confirmed Organic ESG Combined Orders to grow significantly faster Orders to grow faster Orders to grow significantly Book-to-bill ratio than revenues than revenues faster than revenues Revenue growth(1) 10% ~400 m€ low double-digit growth average annual grow
Slide 24: Medium term guidance confirmed
HENSOLDT – H1 2024 results Medium term guidance confirmed Organic medium term target Combined medium term target Orders to grow significantly Orders to grow significantly Order intake faster than revenue faster than revenue Revenue growth(1) 10% 10% average annual growth average annual growth Adjust
Slide 25: Financial Section
HENSOLDT Financial Section This document and its content is the property of HENSOLDT AG. It shall not be communicated to any third party without the owner’s written consent. © Copyright HENSOLDT AG 2024. All rights reserved.
Slide 26: Consolidated Income Statement
HENSOLDT – H1 2024 results Consolidated Income Statement First half year in € million 2024 2023 Revenue 849 726 Cost of sales -689 -602 Gross profit 160 124 Selling and distribution expenses -62 -55 General administrative expenses -74 -48 Research and development costs -17 -13 Other operating income
Slide 27: Consolidated Statement of Financial Position – Assets
HENSOLDT – H1 2024 results Consolidated Statement of Financial Position – Assets As at in € million H1 2024 YE 2023 Non-current assets 2,238 1,405 Goodwill 1,128 658 Intangible assets 638 380 Property, plant and equipment 162 140 Right-of-use assets 266 189 Investments and other financial assets (1)
Slide 28: Consolidated Statement of Financial Position – Equity & Liabilities
HENSOLDT – H1 2024 results Consolidated Statement of Financial Position – Equity & Liabilities As at in € million H1 2024 YE 2023 Share capital 116 116 Capital reserve and other reserves 529 645 Retained earnings 100 48 Equity held by shareholders of the HENSOLDT AG 744 808 Non-controlling interests
Slide 29: Consolidated Statement of Cash Flow (1/2)
HENSOLDT – H1 2024 results Consolidated Statement of Cash Flow (1/2) First half year in € million 2024 2023 Group result -26 -16 Depreciation, amortisation and impairments of non-current assets 72 58 Financial expenses (net) 11 15 Change in Provisions -31 26 Inventories -116 -121 Contract balances -
Slide 30: Consolidated Statement of Cash Flow (2/2)
HENSOLDT – H1 2024 results Consolidated Statement of Cash Flow (2/2) First half year in € million 2024 2023 Cash flows from operating activities -151 -120 Cash flows from investing activities -620 -51 Change in other financing liabilities 429 0 Payment of lease liabilities -15 -10 Dividend payments
Slide 31: Reconciliation of order intake, segment revenue and adjusted EBITDA to group figures
HENSOLDT – H1 2024 results Reconciliation of order intake, segment revenue and adjusted EBITDA to group figures First half year in € million 2024 2023 Order intake 1,359 1,071 Sensors 1,253 817 Optronics 139 257 Elimination/Transversal/Others -33 -3 in € million Revenue 849 726 Sensors Optronics Tog
Slide 32: Overview of EBITDA and EBIT adjustments
HENSOLDT – H1 2024 results Overview of EBITDA and EBIT adjustments EBITDA adjustments First half year EBIT adjustments First half year in € million 2024 2023 in € million 2024 2023 EBIT 4 14 EBIT 4 14 (+) Depreciation 30 23 (+) Effect on earnings from purchase price allocations 20 22 (+) Amortizatio
Slide 33: Reconciliation of reported to adjusted FCF
HENSOLDT – H1 2024 results Reconciliation of reported to adjusted FCF First half year in € million 2024 2023 Cash flows from operating activities -151 -120 Cash flows from investing activities -620 -51 Free cash flow -772 -172 (+) Transaction costs 11 – (+) OneSAPnow-related special items 18 3 (+) M
Slide 34: Reconciliation of reported to adjusted net income
HENSOLDT – H1 2024 results Reconciliation of reported to adjusted net income First half year in € million 2024 2023 Group result -26 -16 (+) Effect on earnings from purchase price allocations 20 22 (+) Transaction costs 2 – (+) OneSAPnow-related special items 6 3 (+) Other special items 19 6 Adjuste
Slide 35: Special items
HENSOLDT – H1 2024 results Special items in € million H1 2024 2024 2025 mid-term Effect on earnings from purchase price allocations -20 ~(49) ~(45) ~(35) PPA -20 ~(49) ~(45) ~(35) in € million H1 2024 2024 2025 mid-term Special items are driven by - Move to new site Oberkochen Special items (Transac
Slide 36: Q2 Financial Overview HENSOLDT Group
HENSOLDT – H1 2024 results Q2 Financial Overview HENSOLDT Group Second quarter in € million 2024 2023 Order intake 694 724 Book-to-bill ratio(1) 1.3x 1.9x Revenue 520 388 Adjusted EBIT(2) 41 32 Adjusted EBITDA(3) 70 52 Adjusted EBITDA margin 13.4 % 13.3 % Adjusted free cash flow(4) -64 -20 (1) The b
Slide 37: Back-up
HENSOLDT Back-up This document and its content is the property of HENSOLDT AG. It shall not be communicated to any third party without the owner’s written consent. © Copyright HENSOLDT AG 2024. All rights reserved.
Slide 38: EBIT to net income bridge
HENSOLDT – H1 2024 results EBIT to net income bridge in €m ▪ Solely valuation effect ▪ Hedging has saved over 4.5 million Euro in cash interest up to now Reported EBIT Interest Interest expense Interest on Interest on Valuation interest Other effects Income tax Reported net income H1 2024 income TLB
Slide 39: Upcoming IR events
HENSOLDT – H1 2024 results Upcoming IR events* FY 2023 FY 2023 3M 2024 AGM H1 2024 9M 2024 preliminary audited Feb 23rd Mar 22nd May 7th May 17th Jul 26th Nov 6th 2024 2024 2024 2024 2024 2024 39 This document and its content is the property of HENSOLDT AG. It shall not be communicated to any third
Slide 40: IR Contacts
HENSOLDT – H1 2024 results IR Contacts Contact HENSOLDT share Reports ▪ Contact: ▪ Type of share: ▪ Financial Reports: Veronika Endres Bearer shares https://investors.hensoldt.net Tim Schmid ▪ Stock Exchange: ▪ Annual Report: ▪ Phone: Frankfurt Stock Exchange https://annualreport.hensoldt.net +49 89
Slide 41: This document and its content is the property of HENSOLDT AG. It shall not
This document and its content is the property of HENSOLDT AG. It shall not be communicated to any third party without the owner’s written consent. © Copyright HENSOLDT AG 2024. All rights reserved.