Techtronic Industries Co., Ltd. · HKEX:669
Techtronic Industries — 1H 2012 Earnings Presentation
39 slides from Techtronic Industries's earnings presentation, Aug 17, 2012
Slide 1: Interim Results Presentation
2012 Interim Results Presentation August 17, 2012
Slide 2: Frank Chan
Frank Chan
Slide 3: 1H 2012 Results
1H 2012 Results
Slide 4: 2012 1H Results
2012 1H Results (US$ m) 1H 2011 1H 2012 Change Sales $1,784 $1,855 +4.0% Gross Margin % 32.9% 33.5% +0.7pts EBIT $115 $127 +10.4% % of sales 6.4% 6.8% Net Profit $80 $96 +20.1% % of sales 4.5% 5.2% EPS (cents) $5.00 $5.69 * +13.8% * After 100% CB conversion
Slide 5: 2012 1H Income Statement
2012 1H Income Statement (US$ m) 1H 2011 1H 2012 Change Sales $1,784 $1,855 +4.0% Gross Margin $586 $622 +6.1% % of sales 32.9% 33.5% Selling, Distribution, & Advertising $242 $256 +5.4% Administrative Expenses $200 $205 +2.3% Research & Development $31 $37 +19.5% Total SG&A Expenses $474 $498 +5.1%
Slide 6: 2012 1H Financial Position
2012 1H Financial Position (US$ m) 1H 2011 1H 2012 Change Non-current Assets $1,385 $1,413 +2.0% Current Assets $2,175 $2,144 (1.4%) Current Liabilities $1,796 $1,617 (10.0%) Net Current Assets $379 $527 +39.1% Long-term Liabilities $549 $475 (13.5%) Equity $1,199 $1,456 +21.5% Interest Coverage (x)
Slide 7: 2012 1H Gearing
2012 1H Gearing 1H 2010 1H 2011 1H 2012 Gearing 78.6% 66.1% 37.4%
Slide 8: 2012 1H Key Financial Figures
2012 1H Key Financial Figures (US$ m) 1H 2011 1H 2012 Change Inventory $801 $752 (6.1%) Days 82 73 (9) days Trade Rec $664 $659 (0.9%) Days 68 64 (4) days Trade Payables ($679) ($705) +3.8% Days 70 69 (1) day Net Working Capital $787 $706 (10.2%) % of Sales 22.1% 18.9% (3.2)pts Cash Balance $525 $53
Slide 9: 2012 1H Debts with Fixed Maturity Profile
2012 1H Debts with Fixed Maturity Profile (US$ m) 1H 2011 1H 2012 Change Cash Balance $525 $530 +1.0% Short-term Debt Total 45% $340 32% $168 (50.6%) Long-term Debt Total 55% $422 68% $362 (14.3%) Total Debt $762 $530 (30.5%) Floating Rate 61% $466 75% $396 (15.1%) Fixed Rate 39% $296 25% $134 (54.8
Slide 10: Debt Profile with Fixed Maturity as at 30 Jun 12 before Term Loan refinancing
Debt Profile with Fixed Maturity as at 30 Jun 12 before US$146m Term Loan refinancing
Slide 11: Proforma Debt Profile after US$146m Term Loan refinancing
Proforma Debt Profile with Fixed Maturity after US$146m Term Loan refinancing
Slide 12: Joe Galli
Joe Galli
Slide 13: 1st Half Sales
1st Half Sales +5.2% Before Currency +4.0% After Currency
Slide 14: 2012 1H Results
2012 1H Results (US$ m) 1H 2011 1H 2012 Change Sales $1,784 $1,855 +4.0% GM % 32.9% 33.5% +0.7pts SG&A % 26.6% 26.8% +0.2pts EBIT $115 $127 +10.4% % of sales 6.4% 6.8% +0.4pts
Slide 15: 2012 1H Results
2012 1H Results (US$ m) 1H 2011 1H 2012 Change EBIT $115 $127 +10.4% Net Profit $80 $96 +20.1% EPS $5.00 $5.69 * +13.8% * After 100% CB conversion
Slide 16: 1st Half Organic Sales Growth
1st Half Organic Sales Growth * Power Equipment: + 10.1% Floorcare/Appliances: - 7.9% (Branded: - 1.4%) * Before Currency
Slide 17: 1st Half Sales
st 1 Half Sales +23.7% +23.7% Before Currency Before Currency
Slide 18: 1st Half Sales
st 1 Half Sales Global Power Tool Accessories +19% +19% Before Currency Before Currency
Slide 19: 2012 1H Working Capital Performance
2012 1H Working Capital Performance (US$ m) 1H 2011 1H 2012 Change Inventory $801 $752 (6.1%) Days 82 73 (9) days Trade Rec $664 $659 (1.0%) Days 68 64 (4) days Trade Payables ($679) ($705) +3.8% Days 70 69 (1) day Net Working Capital $787 $706 (10.2%) WC % of Sales 22.1% 18.9% (3.2)pts
Slide 20: Free Cash Flow
Free Cash Flow 1H 2010 1H 2011 1H 2012 -$86M +$65M +$99M $34M improvement
Slide 21: Productivity Progress
Productivity Progress $1,855 M Sales $1,784 M +4.0% Headcount 19,360 (4.3%) 18,521 Jun 2011 Jun 2012
Slide 22: 1H Continuous Improvement
1H Continuous Improvement 2009 2010 2011 2012 Gross Margin +33.5% +32.9% +32.6% +31.7% EBIT +4.5% +5.3% +6.4% +6.8%
Slide 23: LDP – Campus Recruiting Program
LDP – Campus Recruiting Program 190 Hired Worldwide - 2012 750 Hired - Since 2007 309 LDP’s Promoted To Date
Slide 24: Engineering Leadership Development Program - Asia
Engineering Leadership Development Program - Asia Class of 2014 Name: Ren Ping Name: Deng Li Gender: Male Gender: Female Age: 22 Age: 22 School: Hubei University of Technology (HBUT) School: Hubei University of Technology (HBUT) Major: Mechanical Manufacture and Automation Major: Mechanical Manufact
Slide 25: Milwaukee
Milws DRIVEN TO OUTPERFORM.”
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Slide 30: Hand Tools
HAND TOOLS
Slide 31: Milwaukee
Milws DRIVEN TO OUTPERFORM.”
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Slide 34: Outdoor Products
aithium miLithium) * uD ONE nD Bey OUTDOOR PRODUCTS
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Slide 39: New Generation
NEW GENERATION Background?
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