Trelleborg Ab Class B · OMXSTO:TREL_B
Trelleborg Ab Class B — Q3 2010 Earnings Presentation
26 slides from Trelleborg Ab Class B's earnings presentation, Oct 28, 2010
Slide 1: Trelleborg interim report January – September 2010
Trelleborg interim report January – September 2010 Peter Nilsson, President & CEO Bo Jacobsson, CFO October 28, 2010 TRELLEBORG GROUP
Slide 2: Agenda
Agenda ■ Highlights ■ Business areas ■ Financials ■ Outlook Q4 2010 ■ Q&A TRELLEBORG GROUP 2 October 28, 2010
Slide 3: Continued improved performance
Continued improved performance Q3 2010 ■ Increase in sales ■ Improved margins ■ Focus on long-term positioning TRELLEBORG GROUP 3 October 28, 2010
Slide 4: Continued improved performance: group financial highlights
Continued improved performance Group financial highlights1 Net sales SEK M Q3 2010 Q3 2009 Change ■ Organic sales: 15% Net sales 6,865 6,230 10% ■ Currency: -5% EBITDA2 861 681 26% Margin, % 12.5 10.8 170bp Earnings Operating profit2 600 412 46% ■ Higher volumes Margin, % 8.7 6.5 220bp ■ Positive ef
Slide 5: Good demand level
Good demand level Demand ■ Continued improvement in General industry and Light vehicles ■ High activity level in Offshore oil/gas and Infrastructure construction ■ Improvement in Agriculture TRELLEBORG GROUP 5 October 28, 2010
Slide 6: Agenda
Agenda ■ Highlights ■ Business areas ■ Financials ■ Outlook Q4 2010 ■ Q&A TRELLEBORG GROUP 6 October 28, 2010
Slide 7: Improved demand: Trelleborg Engineered Systems
Improved demand Trelleborg Engineered Systems1 ■ Organic sales: 1% SEK M Q3 2010 Q3 2009 Change ■ Continued improvement in Net sales 2,640 2,740 4% general industry EBITDA2 341 325 5% ■ High activity level, not yet fully Margin, % 12.9 11.8 110bp reflected in sales, in project related business Opera
Slide 8: Continued favorable light vehicle production: Trelleborg Automotive
Continued favorable light vehicle production Trelleborg Automotive1 ■ Organic sales: 19% SEK M Q3 2010 Q3 2009 Change ■ Continued favorable light vehicle Net sales 2,061 1,800 15% production EBITDA2 191 164 16% ■ Geographical differences Margin, % 9.1 8.9 20bp ■ Continuous efforts to mitigate Operat
Slide 9: Continued increase in demand: Trelleborg Sealing Solutions
Continued increase in demand Trelleborg Sealing Solutions1 ■ Organic sales: 41% SEK M Q3 2010 Q3 2009 Change ■ Continued improvement in Net sales 1,477 1,104 34% general industry EBITDA2 292 149 96% ■ Continued favorable light vehicle Margin, % 19.8 13.5 630bp production ■ Demand in aerospace stabil
Slide 10: Strong demand in industrial tire market: Trelleborg Wheel Systems
Strong demand in industrial tire market Trelleborg Wheel Systems1 ■ Organic sales: 22% SEK M Q3 2010 Q3 2009 Change ■ Improvement in demand from Net sales 732 630 16% agriculture OEM EBITDA2 101 75 35% ■ Strong demand in industrial tire Margin, % 13.8 11.9 190bp market ■ Continuous efforts to mitiga
Slide 11: Agenda
Agenda ■ Highlights ■ Business areas ■ Financials ■ Outlook Q4 2010 ■ Q&A TRELLEBORG GROUP 11 October 28, 2010
Slide 12: Continued improved performance: Financial highlights Q3 2010
Continued improved performance Financial highlights Q3 20101 Operating key ratios, Key ratios, SEK M Q3 2010 Q3 2009 Change Q3 2010 Q3 2009 Change SEK M Items affecting Net sales 6,865 6,230 10% -55 -31 - comparability Operating profit 545 381 43% Operating profit2 600 412 46% Profit for the period
Slide 13: Organic sales: 15%. Currency effects: -5%
Organic sales: 15%. Currency effects: -5% Sales development1 % Q3 2010 Q3 2009 % Organic sales +15 -19 40 Structural change 0 -1 20 Currency -5 +7 Total +10 -13 0 -20 -40 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 07 08 08 08 08 09 09 09 09 10 10 10 Organic Structure Currency Total TRELLEBORG GROUP Note: 1
Slide 14: Improved demand: Group net sales
Improved demand Group net sales R12M and by quarter1 Net sales SEK M SEK M 32000 8000 28000 7000 24000 6000 20000 5000 16000 4000 12000 3000 8000 2000 4000 1000 0 0 Q4 07 Q1 08 Q2 08 Q3 08 Q4 08 Q1 09 Q2 09 Q3 09 Q4 09 Q1 10 Q2 10 Q3 10 Quarter (RHS) R12M (LHS) TRELLEBORG GROUP Note: 14 October 28,
Slide 15: Margins at target level
Margins at target level Group EBITDA and margin R12M1,2 EBITDA and margin SEK M % 3,500 14 3,000 12 2,500 10 2,000 8 1,500 6 1,000 4 500 2 0 0 Q4 07 Q1 08 Q2 08 Q3 08 Q4 08 Q1 09 Q2 09 Q3 09 Q4 09 Q1 10 Q2 10 Q3 10 EBITDA (LHS) EBITDA margin (RHS) TRELLEBORG GROUP Note: 15 October 28, 2010 1 Continu
Slide 16: SEK 55 M in items affecting comparability
- SEK 55 M in items affecting comparability Items affecting comparability1 SEK M Q3 2010 Q3 2009 Oct. 2009 – Sep. 2010 Full year 2009 Trelleborg Engineered Systems -44 -11 -231 -163 Trelleborg Automotive -1 -2 -35 -23 Trelleborg Sealing Solutions -9 -10 -69 -152 Trelleborg Wheel Systems -1 -8 -12 -1
Slide 17: Increase in sales affecting cash flow
Increase in sales affecting cash flow Operating cash flow by quarter and R12M1 SEK M SEK M 1200 3600 1000 3000 800 2400 600 1800 400 1200 200 600 0 0 -200 -600 -400 -1200 Q4 07 Q1 08 Q2 08 Q3 08 Q4 08 Q1 09 Q2 09 Q3 09 Q4 09 Q1 10 Q2 10 Q3 10 Quarter (LHS) R12M (RHS) TRELLEBORG GROUP Note: 17 Octobe
Slide 18: Solid capital structure
Solid capital structure Net debt, equity and net gearing development Financial position SEK M % 14000 140 12000 120 10000 100 8000 80 6000 60 4000 40 2000 20 0 0 Q4 07 Q1 08 Q2 08 Q3 08 Q4 08 Q1 09 Q2 09 Q3 09 Q4 09 Q1 10 Q2 10 Q3 10 Net debt (LHS) Total equity (LHS) D/E (RHS) TRELLEBORG GROUP 18 Oc
Slide 19: Earnings per share
Earnings per share1,2 EPS SEK 2.50 2.00 1.45 1.50 1.30 1.00 0.50 0.00 -0.50 -1.00 -2.85 Q4 07 Q1 08 Q2 08 Q3 08 Q4 08 Q1 09 Q2 09 Q3 09 Q4 09 Q1 10 Q2 10 Q3 10 R12M1: 7.40 7.30 7.80 7.55 5.55 4.35 2.65 2.25 3.20 3.70 4.70 5.20 R12M1: 5.30 5.70 6.15 5.95 1.90 0.85 -0.60 -0.55 2.20 2.65 3.90 4.30 EPS
Slide 20: Agenda
Agenda ■ Highlights ■ Business areas ■ Financials ■ Outlook Q4 2010 ■ Q&A TRELLEBORG GROUP 20 October 28, 2010
Slide 21: Outlook Q4 2010
Outlook Q4 2010 ■ Overall, demand is expected to remain in line with or slightly better than the third quarter of 2010, adjusted for seasonal variations TRELLEBORG GROUP 21 October 28, 2010
Slide 22: Continued improved performance
Continued improved performance Q3 2010 ■ Increase in sales ■ Improved margins ■ Focus on long-term positioning TRELLEBORG GROUP 22 October 28, 2010
Slide 23: Agenda
Agenda ■ Highlights ■ Business areas ■ Financials ■ Outlook Q4 2010 ■ Q&A TRELLEBORG GROUP 23 October 28, 2010
Slide 24: www.trelleborg.com
www.trelleborg.com TRELLEBORG GROUP
Slide 25: Capital Markets Day, November 24, 2010
November 24, 2010 Capital Markets Day Program: 11:30 a.m. Lunch buffet 12:30 p.m. Presentations from CEO, CFO and Business Area Presidents Approx. The day will be concluded with dinner served at Berns 5:00 p.m. Salonger Venue: Berns Salonger, Berzelii Park (Näckströmsgatan 8), in Stockholm, Sweden T
Slide 26: Forward looking statement
Forward looking statement ■ This presentation contains forward-looking statements that are based on the current expectations of the management of Trelleborg. Although management believes that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that