Kongsberg Gruppen Asa · OSL:KOG
Kongsberg Gruppen Asa — Q3 2014 Earnings Presentation
19 slides from Kongsberg Gruppen Asa's earnings presentation, Oct 31, 2014
Slide 1: Investor presentation 3rd Quarter 2014
Investor presentation 3rd Quarter 2014 | 31st October 2014 © 2014 KONGSBERG – All rights reserved.
Slide 2: Highlights
Highlights • Strong overall performance • Record high revenues and EBITDA in KM, EBITDA-margin 18.9% • Strong performance in KDS with EBITDA- margin in KDS at 16.1% • Challenging quarter for KPS with negative EBITDA • Continued challenging situation in KOGT • Strong MNOK 2 037 YTD cash flow from ope
Slide 3: Financial status Q3 - 2014: Operating revenues
Financial status Q3 - 2014 Operating revenues 5 000 4 500 4 000 • High overall Q3 revenues 3 500 3 000 – Driven by growth in KM 2 500 and solid performance in 2 000 KDS 1 500 1 000 500 • 15.7 % revenue growth over 0 Q1-12 Q2-12 Q3-12 Q4-12 Q1-13 Q2-13 Q3-13 Q4-13 Q1-14 Q2-14 Q3-14 Q3 2013 – Growth i
Slide 4: Financial status Q3 - 2014: EBITDA
Financial status Q3 - 2014 EBITDA 700 • Overall strong 3rd quarter, 600 EBITDA MNOK 614 (MNOK 518) 500 400 • Very strong Q3 EBITDA in KM, 300 18.9% EBITDA-margin 200 100 • Record high EBITDA-margin in 0 Q1-12 Q2-12 Q3-12 Q4-12 Q1-13 Q2-13 Q3-13 Q4-13 Q1-14 Q2-14 Q3-14 KDS, 16.1 % due to solid projec
Slide 5: Financial status YTD Q3 - 2014
Financial status YTD Q3 - 2014 Operating revenues and EBITDA – per Segment 15 000 • 5.3 % YTD operating revenue growth 14 000 13 000 – KM up 18.0 % 12 000 1 159 5 11 000 – KDS up 5.5 % 10 000 3 095 9 000 – KOGT up 2.2 % 8 000 789 7 000 – KPS down 35,0 % 6 000 12 195 5 000 4 000 3 000 7 157 2 000 1 0
Slide 6: Financial status Q3 2014: Order backlog
Financial status Q3 2014 Order backlog Backlog of orders 42% 25 000 20 000 41% 15 000 17% 10 000 2014 2015 2016=> 5 000 0 After sales and framework agreements not converted into Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 delivery contracts are not included in the backlog 2012 2013 2014 New orders Q3 2014 3
Slide 7: Financial status Q3 2014: Cash Flow
Financial status Q3 2014 Cash Flow 4800 4500 4200 445 614 39 3900 3600 83 3300 3000 2700 2400 3 900 2100 1800 3 775 1500 1200 900 600 300 0 Cash IB EBITDA Q3 Change in other operating Investments Net changes in financing Cash UB related items activities and exchange rates Q3-14 Q2-14 Q4-13 Q3-13 201
Slide 8: Business Area Status
Business Area Status © 2014 KONGSBERG – All rights reserved.
Slide 9: Kongsberg Maritime
Kongsberg Maritime High activity level 18.0 % revenue growth, all divisions and record high above YTD last year on revenues EBITDA - 30 % YoY revenue growth in Subsea in Q3 - 60 % YoY revenue growth in Merchant Marine in Q3 KM has a high level of MNOK 459 EBITDA, 18.9 % EBITDA- activity, a strong or
Slide 10: Kongsberg Maritime: First HUGIN equipped for pipe survey delivered
Kongsberg Maritime First HUGIN equipped for pipe survey operations delivered • AXA Engehnaria Submarina of Brazil have recently taken delivery of the first of two HUGIN AUVs specifically configured for pipe survey operations • The second, with similar payload suite, is to be delivered to Deep Ocean
Slide 11: Kongsberg Defence Systems
Kongsberg Defence Systems Record high Solid execution of delivery programs, EBITDA-margin especially within missiles and air defence - 5.5 % revenue growth - 16.1 % EBITDA-margin KDS has a strong Increasing market Significant prospects for sale of backlog of orders. In potential NASAMS and missiles
Slide 12: Kongsberg Defence Systems: NSM firing from US Navy Littoral Combat Ship
Kongsberg Defence Systems NSM firing from US Navy Littoral Combat Ship • US Navy conducted a successful NSM test firing in September • Launched from USS CORONADO • First long-range anti-ship missile test from this class of vessels • Another important confirmation of the qualities of The Littoral Com
Slide 13: Kongsberg Protech Systems
Kongsberg Protech Systems Declining volumes 1.62 book/bill ratio gives highest order but growing order backlog in 2.5 years backlog - Deliveries of new systems declining but life cycle business is growing - Deliveries dominated by CROWS III and Nordic The leading global Some delays in ongoing progra
Slide 14: Kongsberg Oil & Gas Technologies
Kongsberg Oil & Gas Technologies Lower activity level Revenues are higher compared to Q3 than planned, 2013 but lower than planned negative - Recovery actions already initiated in early Q1, further actions being underlying EBITDA implemented - “One-off” gives positive effect on KOGT is a business EB
Slide 15: All-time high YOUR EXTREME-participation
All-time high YOUR EXTREME-participation • Student campaign together with NTNU to reduce drop-out rate – 48 hour case-solving challenge This years challenge: “Trondheim hit by extreme weather in 2050” • Record high participation: – 353 students, 83 teams © 2014 KONGSBERG – All rights reserved. 30.10
Slide 16: Capital Markets Day 2014
Capital Markets Day 2014 • Kongsberg, 5th November 2014 • Deep dive into KONGSBERG focusing on: • Status and outlook • Innovation • Technology • An opportunity to meet and listen to the CEO, CFO and all business area Presidents • The best day of the year to get to know KONGSBERG even better © 2014 K
Slide 17: 2014 Outlook
2014 Outlook • Kongsberg Maritime – Continued high level of activity – Somewhat slower contracting of new vessels in parts of the offshore market • Kongsberg Defence Systems – Several important long-term opportunities – Strong backlog provides a robust business platform • Kongsberg Protech Systems –
Slide 18: Disclaimer
Disclaimer This presentation contains certain forward-looking information and statements. Such forward-looking information and statements are based on the current, estimates and projections of the Company or assumptions based on information currently available to the Company. Such forward-looking in
Slide 19: kongsberg.com
kongsberg.com © 2014 KONGSBERG – All rights reserved.