Autoneum Holding Ag · SIX:AUTN
Autoneum — H1 2023 Earnings Presentation
37 slides from Autoneum's earnings presentation, Aug 25, 2023
Slide 1: Half-Year Results 2023 roadshow
Eelco Spoelder, CEO and Bernhard Wiehl, CFO Half-Year Results 2023 roadshow 24-25 August 2023 Autoneum. Mastering sound and heat.
Slide 2: Today’s Presenters
Today’s Presenters CEO of Autoneum since March CFO of Autoneum since 2023 October 2019 Previously held global Previously held the position as leadership positions in the Head of Finance & Controlling automotive supply industry at Business Group Europe at Faurecia Autoneum Prior to that, he
Slide 3: Agenda
Agenda 1. Overview of Autoneum 2. Half-Year Results 2023 3. Acquisition of Borgers Automotive 4. Outlook Appendix Half-Year Results 2023 roadshow 3
Slide 4: Facts and figures
Half-Year Results 2023 Facts and figures Summary of key financials Key takeaways and achievements 1102.6 24.1% 10.7% CHF million Revenue growth Revenue growth Revenue (reported) (organic) Validation of ambitious science- Acquisition of Borgers based emission reduction targets Automotive as of April
Slide 5: The global market leader
Business development The global market leader Global market leader of sustainable acoustic and thermal management solutions for vehicles 67 16 600 24 Acquisition of 67 production facilities Represented Expanded technological Employees Borgers Automotive worldwide in 24 countries know-how and product
Slide 6: Strategic key priorities
Clear focus is now mandatory Strategic key priorities Turnaround Profitable European Borgers ONE North America growth performance integration Autoneum Half-Year Results 2023 roadshow 6
Slide 7: Important steps toward a sustainable future
Corporate Responsibility Important steps toward a sustainable future Science Based Targets initiative validated Autoneum’s climate targets 33 plants worldwide are certified in energy management Greenhouse gas emissions reduced by 33% on an absolute basis compared to 2019 214 eco-efficiency projects
Slide 8: Active in all automotive markets
Global presence Active in all automotive markets 24 67 16 600 Europe represented in production facilities employees 24 countries worldwide worldwide 45% 39 of revenue locations North America Asia 40% 16 of revenue locations 11% 20 of revenue locations SAMEA 5% 7 of revenue locations Autoneum Locatio
Slide 9: Agenda
Agenda 1. Overview of Autoneum 2. Half-Year Results 2023 3. Acquisition of Borgers Automotive 4. Outlook Appendix Half-Year Results 2023 roadshow 9
Slide 10: Highlights
Business development Highlights +10.7 % +20.2% CHF 45.0 million EBIT Strong start in all Borgers Innovation leadership Organic Inorganic excluding regions 4.5% EBIT margin one-time effects for second quarter 2023 Ultra-Silent Tune excluding for sustainable sound + CHF 213.9 million 4.1% Group EBIT o
Slide 11: Major achievements, break-even point almost reached
Turnaround North America Major achievements, break-even point almost reached Achievements Next steps 0.3* −1.9* • Volume growth of CHF 8.7 million • Advance and complete the Borgers integration in North 5.8* • Operational improvements of America CHF 5.8 million, through −16.0* 8.7* • Optimize operat
Slide 12: Overview
Key figures Overview HY1 2022 HY1 2023 CHF million Change (unaudited) (audited) Revenue 888.7 1 102.6 213.9 EBITDA 67.5 200.6 133.0 in % of revenue (change in pp) 7.6% 18.2% 10.6 EBITDA excl. one-time effects 73.1 106.7 33.6 in % of revenue (change in pp) 8.2% 9.7% 1.4 EBIT 6.4 84.9 78.5 in % of rev
Slide 13: Organic revenue growth in line with market
Revenue development Organic revenue growth in line with market CHF million 21.7 0.1 Organic 32.8 −3.0 growth 43.6 36.8% 10.7% 8.6% −2.3% 1 102.6 13.8% 888.7 Revenue BG Europe BG North BG Asia BG SAMEA Corporate Organic Revenue HY1 2022 America and growth HY1 2023 elimination in % Half-Year Results 2
Slide 14: Positive revenue development supported by inorganic growth
Revenue development Positive revenue development supported by inorganic growth CHF million 27.9 3.1 −5.9 −60.5 Inorganic growth 154.3 20.2% 21.7 0.1 Organic 32.8 −3.0 growth 43.6 36.8% 10.7% 8.6% −2.3% 1 102.6 13.8% 888.7 Revenue BG Europe BG North BG Asia BG SAMEA Corporate Inorganic/ Currency Reve
Slide 15: EBIT excluding one-time effects significantly improved
Operating result (EBIT) development EBIT excluding one-time effects significantly improved CHF million Margin 10.8% Margin Margin −0.4% +1.1pp 17.5% Margin +3.7pp 0.1 +0.9pp 4.1% Margin 4.4% − −2.3 14.1 +4.1pp Margin 21.0 45.0 1.4% 12.0 EBIT excl. BG Europe BG North BG Asia BG SAMEA Corporate and EB
Slide 16: Considerable increase in profitability and solid net profit
Income statement Considerable increase in profitability and solid net profit • EBIT includes positive one-time effects HY1 2022 HY1 2023 CHF million Change in the total amount of CHF 39.9 million: (unaudited) (audited) • CHF 109.1 million bargain purchase Revenue 888.7 1 102.6 213.9 gain from acquis
Slide 17: Free cash flow impacted by acquisition-related effects
Cash flow statement Free cash flow impacted by acquisition-related effects HY1 2022 HY1 2023 • Operating cash flow impacted by CHF million Change NWC increase of CHF 49.0 million, (unaudited) (audited) of which CHF 27.4 million related to Cash flows from operating activities 54.6 24.2 −30.4 acquisit
Slide 18: Equity ratio influenced by the acquisition of Borgers Automotive
Balance sheet Equity ratio influenced by the acquisition of Borgers Automotive 31.12.2022 30.06.2023 • Higher total assets mainly due to CHF million Change Acquired* acquisition of Borgers Automotive (blue (audited) (audited) column) Total assets 1471.9 1 883.1 411.2 385.0 Non-current assets (excl.
Slide 19: Agenda
Agenda 1. Overview of Autoneum 2. Half-Year Results 2023 3. Acquisition of Borgers Automotive 4. Outlook Appendix Half-Year Results 2023 roadshow 19
Slide 20: Reasons why it is a good fit
Acquisition of Borgers Automotive Reasons why it is a good fit 1 Strengthens Autoneum’s position as the global market leader 2 Highly complementary product, technology and customer portfolio 3 Longstanding expertise in sustainable and recycled materials 4 Improves position in EV product offering 5 R
Slide 21: Our products for light and commercial vehicles
Leading in acoustic and thermal management Our products for light and commercial vehicles Exterior Interior Engine bay Interior trim • Trunk trim • Frunk • Load floors • Engine1 and e-motor encapsulations • Parcel shelves • Outer dashes • Floor mats (heated) • Hoodliners • Back seat trim • Engine to
Slide 22: Integration process on track
Integration of Borgers Automotive Integration process on track Focus on Day-1 readiness Advance organizational integration / implement synergy potentials Phase 1 Phase 2 Achievements Initiation of projects and next steps • Organizational integration of Sales and • Make-or-buy initiative to insource
Slide 23: Realization of planned synergies under way
Integration of Borgers Automotive Realization of planned synergies under way Development of synergy phase Synergies and their enablers • Integration costs expected for 2023 with an estimated amount of ~CHF 6 million • Anticipated synergies of CHF 25 – 30 million, fully effective as of 2025, include:
Slide 24: Agenda
Agenda 1. Overview of Autoneum 2. Half-Year Results 2023 3. Acquisition of Borgers Automotive 4. Outlook Appendix Half-Year Results 2023 roadshow 24
Slide 25: Global growth of 5.7% expected in 2023
Global Light Vehicle Production Forecast Global growth of 5.7% expected in 2023 • Global production volumes are forecasted to grow by 5.7% to 87.02 million units in 2023, mainly driven by Europe and North America • 2019 volumes could finally be exceeded by 2025 • The second half-year of 2023 is expe
Slide 26: Revenue with BEVs expected to outperform BEV market share
E-mobility in focus Revenue with BEVs expected to outperform BEV market share Global BEV powertrain forecast* 2022 – 2028 (million units) • Current order intake with BEV is Autoneum revenue share on BEV targeted to increase, with interior Global electric market share floor business being the major G
Slide 27: Guidance 2023 unchanged
Guidance 2023 unchanged Market Global automotive production is forecast to increase by 5.7%1 in 2023 compared to 2022. Autoneum expects production volumes in the different regions to develop in line with S&P market forecasts. Revenue Based on the forecast market development1 and the renegotiated cus
Slide 28: Medium-term financial targets
Outlook Medium-term financial targets Revenue development in line with market EBITDA margin of 13% Free cash flow 6% of revenue Equity ratio >35% Dividend payout of at least 30% of net profit attributable to shareholders of Autoneum Holding Ltd Half-Year Results 2023 roadshow 28
Slide 29: Contact persons
Contact persons Investors and financial analysts Media Contact address Bernhard Weber Claudia Güntert Autoneum Holding Ltd Head Financial Services & IR Head Corporate Communications Schlosstalstrasse 43 / P.O. Box CH-8406 Winterthur T +41 52 244 82 07 T +41 52 244 83 88 investor@autoneum.com media.i
Slide 30: Agenda
Agenda 1. Overview of Autoneum 2. Recap of Half-Year Results 2023 3. Acquisition of Borgers Automotive 4. Outlook Appendix Half-Year Results 2023 roadshow 30
Slide 31: 2019 production volumes likely to be exceeded by 2025
Light vehicle production by region 2019 production volumes likely to be exceeded by 2025 89.0 m units in Actuals 2019 82.3 m units in Actuals 2022 (-7.4%) vs. 2019 86.7 m units in Actuals 2023 (+5.3%) vs. 2022 90.5 m units in Forecast 2025 (+4.4%) vs. 2023 +11.6% +7.1% -26.1% 29.4 +6.1% -0.6% 26.2 2
Slide 32: CO2 emissions, waste and water (excl. Borgers)
Impact and key levers for improvement CO2 emissions, waste and water (excl. Borgers) Sources of CO2 emissions according to Greenhouse Gas Protocol Scope 1 ~ 5% Direct emissions from company-owned and Revised environmental operational targets 2027 controlled resources Levers: steam loss, thermal insu
Slide 33: Selected innovations
Extensive product portfolio Selected innovations Fully recyclable carpet systems made of 100% polyester Multilayer carpet system Surface layer made of recycled PET Shredding of Mechanical opening carpet cut-offs of the fibers backing Shredded production under layer cut-offs Fiber spinning Backing an
Slide 34: Selected innovations
Extensive product portfolio Selected innovations Technology Technology Hybrid-Acoustics PET Ultra-Silent Application Application • E-motor encapsulations • Frunk for electric vehicles • Underbody systems Advantages Advantages • Contains up to 50% recycled fibers • 50% lighter than plastic solutions
Slide 35: Selected innovations
Extensive product portfolio Selected innovations Process Technology Alternative Flexi-Loft Backcoating (ABC) Application Application • Needlepunch carpets • Inner dashes • Carpets Advantages Advantages • Use of thermoplastic adhesive • Unique fiber blend increases instead of latex sustainability geo
Slide 36: Disclaimer / Legal Note
Disclaimer / Legal Note Autoneum is making great efforts to include accurate and up-to-date information in this document, however, we make no representations or warranties, expressed or implied, as to the accuracy or completeness of the information provided in this document and we disclaim any liabi
Slide 37: Autoneum. Mastering sound and heat.
Autoneum. Mastering sound and heat.