Iveco Group Nv · MIL:IVG
Iveco Group Nv — Q3 2022 Earnings Presentation
38 slides from Iveco Group Nv's earnings presentation, Nov 9, 2022
Slide 1: Iveco Group N.V. Q3 2022 Financial Results
Iveco Group N.V. | Q3 2022 Financial Results Turin, Italy – 9th November 2022
Slide 2: Safe Harbor statement and disclosures
Safe Harbor statement and disclosures All statements other than statements of historical fact contained in the slides presented today, including competitive strengths; business strategy; future financial position or operating results; budgets; projections with respect to revenue, income, earnings (o
Slide 3: CEO Executive Summary
Q3 2022 | CEO Executive Summary • Solid quarter performance, mainly on the back of better volume and price realisation, more than offsetting energy and production costs • Consolidated Net Revenues were up 19% vs. Q3 2021, and Adjusted EBIT(1) margin was at 2.9% Adjusted Diluted EPS(1) was at €0.10 p
Slide 4: GATE: a new rental model for electric trucks and vans
GATE: a new rental model for electric trucks and vans Green & Advanced Transport Ecosystem for the pay-per-use offering of electric CVs A comprehensive service based on a pay-per-use formula for electric trucks and vans to support the industry’s energy transition: • new entity, created in June and a
Slide 5: Main facts
Q3 2022 | Main facts FPT Industrial to power the first LNG trucks on IVECO and Petit Forestier, MoU for the India’s roads supply of 2,000 eDAILYs 12th July FPT Industrial and Blue Energy Motors, a zero-emission truck technology 20th September IVECO and Petit Forestier Group, the European leader in c
Slide 6: Main facts: a full range of sustainable solutions @ IAA 22 (1/2)
Q3 2022 | Main facts: a full range of sustainable solutions @ IAA 2022 (1/2) IAA Transportation in Hanover, Germany – 19th-25th September 2022 eDAILY – just electric Nikola Tre BEV • Total energy storage up to 738 kWh • Total energy storage up to 111 kWh • Driving range of up to 500 km • Driving ran
Slide 7: Main facts: a full range of sustainable solutions @ IAA 22 (2/2)
Q3 2022 | Main facts: a full range of sustainable solutions @ IAA 2022 (2/2) IAA Transportation in Hanover, Germany – 19th-25th September 2022 September POWERTRAINS 2022 OF THE FUTURE TESTING THE TRANSPORT OF THE FUTURE, NOW NEW XC13 Fair participants tested 8 vehicles in a total of 605 test drives
Slide 8: Main facts | Subsequent events
Q3 2022 | Main facts | Subsequent events 13th October - IVECO BUS wins 'Sustainable Bus of the Year' Award and launches innovative on-demand mobility technology in collaboration with Via IVECO BUS has won the coveted award in the intercity category for its CROSSWAY Low Entry 27thSeptember - LEITWOLF
Slide 9: Industry volume
Q3 2022 | Industry volume Industry statistics in units (Q3 2022 % change vs. Q3 2021) Europe (*) South America (*) Rest of the World (*) Worldwide LCV (17)% +5% (19)% (16)% (3.5-7.49t) M&H +12% (3)% +5% +5% (≥7.5t) Buses (19)% +24% +5% +1% Total Industry Volume % change Q3 2022 vs. Q3 2021 reflectin
Slide 10: Channel inventory
Q3 2022 | Channel inventory Iveco Group and Dealer Unit statistics LCV M&H (3.5-7.49t) (≥7.5t) Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2019 2020 2021 2022 22E 2019 2020 2021 2022 22E Company inventory Third party dealer inventory Retails Produc
Slide 11: Deliveries and Order intake
Q3 2022 | Deliveries and Order intake Truck and Bus Unit statistics LCV M&H Buses (3.5-7.49t) (≥7.5t) 1.72 1.17 0.90 1.00 1.44 0.81 1.03 1.16 0.95 Deliveries Orders Deliveries Orders Deliveries Orders Deliveries Orders Deliveries Orders Deliveries Orders Q3 2021 Q3 2022 Q3 2021 Q3 2022 Q3 2021 Q3 20
Slide 12: Preliminary market share in Europe
Q3 2022 | Preliminary market share in Europe Registration units LCV M&H (3.5-7.49t) (≥7.5t) 63.6% 74.0% 14.5% Supply chain and 64.0% component shortages 13.5% 54.0% 12.5% 53.2% 11.5% 44.0% 10.5% 31.0% 34.0% 9.5% 24.0% 8.5% 7.8%7.5% 13.8% 7.1% 14.0% 6.5% 4.0% 5.5% Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Q2 21
Slide 13: Financials | Q3 2022
IVECO*»GROUP veco | IVECO ErFPT | IDV @asren MA nmacinus Financials | Q3 2022
Slide 14: Financial summary
Q3 2022 | Financial summary Financial results presented under IFRS Industrial Net Revenues Industrial Free Cash Flow(1) • Up 18.6% vs. Q3 2021 to €3.5bn, mainly thanks to higher volume • At €(232)mn, +€0.3bn compared to Q3 2021, primarily on lower €3.5bn and positive price realisation €(232)mn worki
Slide 15: Industrial Activities Net Revenues
Q3 2022 | Industrial Activities Net Revenues Split by region and segment, and walk – €mn 13% 2% % Chg. YoY Europe 12% 17% By region South America 88% 68% North America 42% Rest of the World (2)% €3.5bn +18.6% YoY 23% % Chg. YoY 2,926 3,471 Trucks 24% 5% By segment NET NET 60% VOLUME AND Buses 19% RE
Slide 16: Industrial Activities Adjusted EBIT
Q3 2022 | Industrial Activities Adjusted EBIT Walk by segment & driver – €mn 1.8% 1.1% 33 46 206 (152) (27) (4) (30) (8) 64 ADJUSTED EBIT PRODUCTION OTHER AND ADJUSTED EBIT VOLUME AND MIX NET PRICING SG&A R&D FX | OTHER Q3 2021 COST(1) ELIMINATIONS Q3 2022 Segments View C&SV 41 37 206 (154) (27) 2 (
Slide 17: Financial Services
Q3 2022 | Financial Services Adjusted EBIT and Managed portfolio Adjusted EBIT Equity(3) and Profitability ratio(1) (€mn) 830 2.5% 3.0% 2.1% 2.5% 780 1.7% 1.9% 1.8% 1.9% 1.7% 2.0% Q3 2022 37 730 1.5% 789 1.0% 680 725 743 740 752 723 723 0.5% 630 0.0% Q3 2021 24 Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3
Slide 18: Industrial Activities Net Cash, Working Capital and FCF
Q3 2022 | Industrial Activities Net Cash, Working Capital and FCF Walk and dynamics – €mn Industrial FCF €(232)mn 625 257 (47) (231) (69) (189) 47 - 168 561 NET IND. CASH IA ADJUSTED CASH INTEREST Δ IN WORKING Δ IN PROVISIONS & DIVIDENDS & EQUITY NET IND. CASH PP&E CAPEX(2) OTHER CHANGES FX & OTHER
Slide 19: Debt maturity profile and Available Liquidity
30th September 2022 | Debt maturity profile and Available Liquidity €mn Available Liquidity 3,554 2,000 Cash and cash equivalents 1,491 Total cash maturities Undrawn committed facilities 2,000 €768mn Other current financial assets(2) 28 1,554 517 Financial receivables from CNH Industrial(3) 35 214 2
Slide 20: CEO | Closing remarks
IVECO*»GROUP IVECO HEULIEZ IVECO | IVECO ErFPT | IDV @asren MA nmacinus CEO | Closing remarks
Slide 21: FY 2022E | Industry Outlook
FY 2022E | Industry Outlook Units (% change vs. FY 2021) Europe (*) South America (*) Rest of the World (*) Worldwide LCV ~(15)% ~(5)% ~(20)% ~(15)% (3.5-7.49t) M&H Flat - 5% (5)% - Flat% (5)% - Flat ~Flat (≥7.5t) Bus ~Flat 10% - 15% ~5% ~5% Industry outlook based on current visibility. Continuous u
Slide 22: FY 2022E | Financial Outlook
FY 2022E | Financial Outlook IFRS Previous New FY22 Guidance FY22 Guidance Group Adjusted EBIT €400-420mn €420-440mn Industrial Activities Net Revenues +3-4% +5-6% (including currency translation effects) vs. FY 2021 vs. FY 2021 SG&A <6.5% <6.5% over Net Sales over Net Sales Net Industrial Cash(1) ~
Slide 23: CEO | Takeaway messages
CEO | Takeaway messages • Better availability of semiconductors will allow us to start normalising our weeks of production in the Truck segments. Supply chain and raw material costs (including energy) to remain in the headwinds in Q4. FY 2022 product cost expected to be offset by pricing • Continuou
Slide 24: Appendix
IVECO*»GROUP IVECO HEULIEZ IVECO | IVECO ErFPT | IDV @asren MA nmacinus Appendix
Slide 25: 9M 2022 | Industrial Activities Net Revenues
9M 2022 | Industrial Activities Net Revenues Split by region and segment, and walk – €mn 14% % Chg. YoY 2% Europe 1% 14% By region South America 67% 70% North America 41% Rest of the World (5)% €9.8bn +6.8% YoY 26% % Chg. YoY 9,183 9,810 By segment Trucks 10% 57% NET NET 6% Buses 20% VOLUME AND GROS
Slide 26: 9M 2022 | Industrial Activities Adjusted EBIT
9M 2022 | Industrial Activities Adjusted EBIT Walk by segment & driver – €mn 2.8% 2.4% 259 51 454 (418) (39) 8 (55) (23) 237 ADJUSTED EBIT PRODUCTION OTHER AND ADJUSTED EBIT VOLUME AND MIX NET PRICING SG&A R&D FX | OTHER 9M 2021 COST(1) ELIMINATIONS 9M 2022 Segments View C&SV 194 101 454 (409) (42)
Slide 27: Reconciliation table (1/7)
Q3 2022 | Reconciliation table (1/7) Reconciliation of EBIT to Adjusted EBIT by segment of Q3 2022 and Q3 2021 – €mn Unallocated items, Commercial and Total Powertrain eliminations and Financial Services Eliminations Total Specialty Vehicles Industrial Activities Q3 2022 other EBIT 76 34 (21) 89 37
Slide 28: 9M 2022 | Reconciliation table (2/7)
9M 2022 | Reconciliation table (2/7) Reconciliation of EBIT to Adjusted EBIT by segment of 9M 2022 and 9M 2021 – €mn Unallocated items, Commercial and Total Powertrain eliminations and Financial Services Eliminations Total Specialty Vehicles Industrial Activities 9M 2022 other EBIT 196 126 (124) 198
Slide 29: Q3 & 9M 2022 | Reconciliation table (3/7)
Q3 & 9M 2022 | Reconciliation table (3/7) Reconciliation of Adjusted net profit (loss) and Adjusted income tax (expense) benefit to Consolidated Profit (Loss) and Income tax (expense) benefit and calculation of Adjusted diluted EPS and Adjusted ETR €mn Q3 2022 Q3 2021 9M 2022 9M 2021 Profit (Loss) 4
Slide 30: Q3 & 9M 2022 | Reconciliation table (4/7)
Q3 & 9M 2022 | Reconciliation table (4/7) Reconciliation of Adjusted net profit (loss) and Adjusted income tax (expense) benefit to Consolidated Profit (Loss) and Income tax (expense) benefit and calculation of Adjusted diluted EPS and Adjusted ETR €mn Q3 2022 Q3 2021 9M 2022 9M 2021 Restructuring c
Slide 31: Reconciliation table (5/7)
30th September 2022 | Reconciliation table (5/7) Reconciliation of Total (Debt) to Net Cash (Debt) Consolidated Industrial Activities Financial Services €mn 30th September 2022 31st December 2021 30th September 2022 31st December 2021 30th September 2022 31st December 2021 Third party (debt) (3,493)
Slide 32: Reconciliation table (6/7)
30th September 2022 | Reconciliation table (6/7) Reconciliation of cash and cash equivalents to Available Liquidity €mn 30th September 2022 30th June 2022 31st March 2022 31st December 2021 Cash and cash equivalents 1,491 1,431 1,738 897 Undrawn committed facilities 2,000 2,000 1,613 41 Other curren
Slide 33: Q3 & 9M 2022 | Reconciliation table (7/7)
Q3 & 9M 2022 | Reconciliation table (7/7) Industrial FCF €mn Q3 2022 Q3 2021 9M 2022 9M 2021 Net cash provided by (used in) Operating Activities (33) (400) (21) (219) - Cash flows from Operating Activities of Financial Services net of eliminations (57) (40) (66) (76) = Operating cash flow of Industr
Slide 34: Q3 2022 Book-to-Bill
Q3 2022 | Book-to-Bill Q3 2022 vs. Q3 2021 Book-to-Bill Order intake Deliveries Q3 2022 Q3 2021 ∆ Q3 2022 Q3 2021 ∆ Q3 2022 Q3 2021 ∆ Trucks 0.83 1.87 (56)% 23,050 43,631 (47)% 27,667 23,275 19% Light Commercial Vehicles (LCV) 0.87 1.89 (54)% 17,513 32,120 (45)% 20,163 17,005 19% Europe Medium and H
Slide 35: 9M 2022 Book-to-Bill
9M 2022 | Book-to-Bill 9M 2022 vs. 9M 2021 Book-to-Bill Order intake Deliveries 9M 2022 9M 2021 ∆ 9M 2022 9M 2021 ∆ 9M 2022 9M 2021 ∆ Trucks 1.09 1.63 (33)% 88,132 132,326 (33)% 80,611 81,247 (1)% Light Commercial Vehicles (LCV) 1.06 1.59 (33)% 64,871 97,242 (33)% 61,145 61,333 (0)% Europe Medium an
Slide 36: Non-IFRS financial measures
Non-IFRS financial measures Iveco Group monitors its operations through the use of several non-IFRS financial measures. Iveco Group’s management believes that these non-IFRS financial measures provide useful and relevant information regarding its operating results and enhance the readers’ ability to
Slide 37: Geographic information
Geographic information Financials - The composition of our regions is as follow: • Europe: member countries of the European Union, European Free Trade Association, the United Kingdom, Ukraine and Balkans. • South America: Central and South America, and the Caribbean Islands. • North America: United
Slide 38: IR contacts
IR contacts Federico Donati – Head of Investor Relations Luis Cordova – Investor Relations Claudia Zolin – Investor Relations Analyst Enza Marsala – Investor Relations Assistant E-mail: investor.relations@ivecogroup.com Website: www.ivecogroup.com/investors/contacts