Rheinmetall Ag · XETR:RHM

Rheinmetall — Investor Presentation (November 2022)

77 slides from Rheinmetall's investor presentation, November 2022

Slide 1: Investor Presentation November 2022
PASSION FOR TECHNOLOGY Rheinmetall Investor Presentation November 2022
Slide 2: Agenda
Rheinmetall - Investor Presentation Agenda Rheinmetall at a glance Market & Drivers Five divisions under one roof Financials Outlook Responsibility @ Rheinmetall Appendix © Rheinmetall AG I November 2022 2
Slide 3: Rheinmetall at a glance: Selected key business highlights
Rheinmetall - Investor Presentation Rheinmetall at a glance Selected key business highlights Sales by division Result by division In €m In €m -6% 11% 12% 22% Weapon and Ammunition -11% 48% Weapon and Ammunition Electronic Solutions 23% Electronic Solutions 23% 5,658 16% Vehicle Systems 594 Vehicle S
Slide 4: The new corporate structure - Five divisions under one roof
Rheinmetall - Investor Presentation Rheinmetall at a glance The new corporate structure - Five divisions under one roof Rheinmetall Group Holding Weapon and Electronic Vehicle Sensors and Materials Ammunition Solutions Systems Actuators and Trade  Mid & Large  Integrated  Tactical Vehicles  Pump
Slide 5: Historic financial development
Rheinmetall - Investor Presentation Rheinmetall at a glance Historic financial development Sales, operating result and operating margin Operating FCF and operating FCF to Sales In €m / in % Op. Margin Sales Op. Result In €m / in % oFCF oFCF/Sales 6,148 6,255 10.5% 5,896 8.3% 7.4 5,602 5,658 5,405 4.
Slide 6: Strategy Recap: Our strategic vision is becoming a reality
Rheinmetall - Investor Presentation Strategy Recap Our strategic vision is becoming a reality TRANSFORMATION GROWTH PORTFOLIO TECHNOLOGY SUSTAINABILITY DIVISIONAL STRUCTURE ACCELERATED GROWTH ACTIVE PORTFOLIO TECHNOLOGY FOCUS ESG INTEGRAL PART OF WELL IMPLEMENTED IN ALL END MARKETS MANAGEMENT DEFINE
Slide 7: Sustainability is a central component of our corporate strategy
Rheinmetall - Investor Presentation Rheinmetall at a glance Sustainability is a central component of our corporate strategy FRAME-WORKS & INITIATIVES CSR-DIA* GRI UN GC CDP SBTi TCFD SASB Since 2017 Since 2017 Joined in 2021 Applied in 2021 Commitment Q4 2021 2022 2022 ACTION ENVIRONMENT SOCIAL GOVE
Slide 9: World economy is being restructured
Rheinmetall - Investor Presentation Markets & Drivers: The world as we know it is changing dramatically – with implications for virtually every aspect of our business World economy is being restructured A new world (dis)order is emerging The battle for resources intensifies. New forms of energy prod
Slide 10: Acceleration of defence spending more backend loaded
Rheinmetall - Investor Presentation Markets & Drivers: Germany Acceleration of defence spending more backend loaded Total Defence expense 50.4 58.6 >70 Special fund NATO 2% goal: in €bn CONFIRMED  0.0 8.5 Backend loaded Olaf Scholz Defence Budget 50.4 50.1 50.1 50.1 50.1 German Federal Chancellor 4
Slide 11: Status quo on German potential
Rheinmetall - Investor Presentation Markets & Drivers: Status quo on German potential All major projects included in special fund and annual budget €100bn special fund RHM Projects Defence base budget Apparel and  Ammo  Headsets with built-in hearing protection  Negotiation of framework personal
Slide 12: Germany status quo: Slow order processing delays order intake into 2023
Rheinmetall - Investor Presentation Markets & Drivers: Germany status quo Slow order processing delays order intake into 2023 Slow administrative progress Negotiations on major projects in progress  Delays in order intake driven by slower than All projects confirmed with delay expected administrati
Slide 13: Defence projects with short-term implementation potential
Rheinmetall - Investor Presentation Markets & Drivers: Start of a new era in German defence policy Defence projects with short-term implementation potential Lead time Sales period Ammunition 6-12 months ~10 years Trucks ~12 months ~10 years 8x8 and 6x6 12-18 months 6-7 years Puma 24 months 6-7 years
Slide 14: Main challenges are addressed
Rheinmetall - Investor Presentation Markets & Drivers: Start of a new era in German defence policy Main challenges are addressed Highest risk: availability of raw materials Personal / Recruiting  Enormous demand for raw materials e.g. steel,  ~1,500 – 3,000 additional people needed electronics  R
Slide 15: Rheinmetall's global production capacities
Rheinmetall - Investor Presentation Markets & Drivers: Start of a new era in German defence policy Rheinmetall‘s global production capacities Germany UK Vehicles • Kassel: Vehicles • Unterlüss: Vehicles, Ammunition Canada Electronics, Vehicles • Kiel: Vehicles, Electronics • Bremen: Soldier Systems,
Slide 16: Participating in the defence super cycle
Rheinmetall - Investor Presentation Markets & Drivers Participating in the defence super cycle 100bn fund 2022 Ukraine invasion Demand for 1990 next generation Upscaling of systems Downscaling forces and of forces Inflection Return to treaty modernization and point and territorial armament Out of NA
Slide 17: NATO spending has accelerated
Rheinmetall - Investor Presentation Markets & Drivers: NATO NATO spending has accelerated NATO total expenditures in trillion US-$ +23.3% New members to join NATO 1.268 +0.3% 1.136 1.155 1.105 1.026 1.013 1.029 0.910 0.912 Recently announced defence budget increases previous value (1.41 %) (2.10 %)
Slide 18: Significant reduction in export risk due to high NATO order backlog
Rheinmetall - Investor Presentation Markets & Drivers: NATO Significant reduction in export risk due to high NATO order backlog  NATO NATO und nahe and related stehende Staaten* countries*  RoW  Rest der Welt 30.09.2022 FY 2021 FY 2018 FY 2015 13% 11% 27% 35% 87% 89% 65% 73% 5.8 €bn 8.6 €bn 13.9
Slide 19: Home markets offer further potentials for growth
Rheinmetall - Investor Presentation Markets & Drivers: Home Markets Home markets offer further potentials for growth OUR HOME MARKETS Germany Australia UK Hungary  Largest customer  Established „home market“  JV with BAE serves „home  Established „home market“ with  Commitment to 2% goal and 
Slide 20: LYNX pipeline refilled with even larger potential
Rheinmetall - Investor Presentation Markets & Drivers LYNX pipeline refilled with even larger potential in Southern Europe  Italy Greece Tender expected in 2023 USA US Army Bradley replacement ~4.000 vehicles ~ € 40 bn Tender: 2021-2023 Australia Tender expected in 2023 Potential start of productio
Slide 21: US tenders pursued with a new market approach
Rheinmetall - Investor Presentation Markets & Drivers: Creating additional markets US tenders pursued with a new market approach Next Generation Vehicle Platforms Next Generation Munitions Lynx – Optionally Manned Fighting Vehicle  Americanization of Lynx next-gen platform  Strong all American tea
Slide 22: Modernization of Southern Europe
Rheinmetall - Investor Presentation Markets & Drivers: Creating additional markets Modernization of Southern Europe Italy Greece  10 year budget with up to €8bn for the  IFV Marder already participated in Greece renovation of the armored vehicle fleet Independence Parade MBT: Replacement of the Ar
Slide 23: Product life cycle potential
Rheinmetall - Investor Presentation Markets & Drivers: Product life cycle potential Platform sales are just the tip of the iceberg – success creates opportunities  Service sales* in €m +14% Service sales 2025 1X SALES OF PLATFORM +24% 475 590 ~€1bn 2020 2021 2022e 2023e 2024e 2025e 2X LIFECYCLE SPE
Slide 24: Lessons learned from war in Ukraine
Rheinmetall - Investor Presentation Markets & Drivers: Lessons learned from war in Ukraine Acquisition of EXPAL positions Rheinmetall perfectly for high growth scenario NATO requires a Ukraine war puts Industry capacities minimum of 30 days of restocking at risk overwhelmed ammo inventory • Demand e
Slide 25: EXPAL Acquisition Summary
Rheinmetall - Investor Presentation Markets & Drivers: EXPAL Acquisition Summary Strategic move to strengthen our core business Financial Transaction Rationale Timeline evaluation  Rheinmetall acquires  Readily available state-  Financial Data for FY  Signing on November 100% of privately of-the
Slide 26: EXPAL product portfolio
Rheinmetall - Investor Presentation Markets & Drivers: EXPAL product portfolio Full offering of mission-critical products to expand our business Mortar & Air Fuzes and Mortar Combat Eng. Artillery Med Cal Grenades Armament missile Systems DEMIL et al propulsion 41%* 17%* 12%* 5%* 6%* 6%* 18%* Field
Slide 27: EXPAL Key Investment Highlight: A unique opportunity
Rheinmetall - Investor Presentation Markets & Drivers: EXPAL Key investment Highlight A unique opportunity offering a superior value proposition Commercial Fit Portfolio Fit Sustainable Sales Growth Sustainable Profitability Scalable Mass Production Horizontal Diversification Continous market growth
Slide 28: Excess capacities allow for flexible adjustment to demand
Rheinmetall - Investor Presentation Markets & Drivers: EXPAL Key investment Highlight Excess capacities allow for flexible adjustment to demand expansion Artillery Medium Calibre In rounds In rounds >250,000 >350,000 >1,000,000 >2,000,000 >1,000,000 >100,000 Rheinmetall Expal Combined Capacity Rhein
Slide 29: Attractive financial profile with superior margins and cash conversion
Rheinmetall - Investor Presentation Markets & Drivers: EXPAL Key investment Highlight Attractive financial profile with superior margins and cash conversion Strong backlog to turbo • Current backlog of ~€520m charge organic growth • Strong acceleration sparked by increasing demand Sales growth • Com
Slide 30: Market trends: Strong underlying growth drivers
Rheinmetall - Investor Presentation Markets & Drivers: Market trends Strong underlying growth drivers create opportunities New Applications E 3+ Efficiency (CO2 Reduction) Emission (Reduction) Electrification Outside powertrain The innovation pipeline is packed! © Rheinmetall AG I November 2022 30
Slide 31: Clean Mobility: Green ambitions as a clear global trend
Rheinmetall - Investor Presentation Markets & Drivers: Clean Mobility Green ambitions as a clear global trend for cleaner mobility g CO2/km Europe USA China 162 Q4 Q1 130 2030: NEV 40% of total Sales ‘20 ‘21 but 121 117 Until 2060: Survival of ICE 108 95 100 93 81 89 70 73 59g (-37%) Trump Admin tar
Slide 32: LV growth: Declining ICE volumes and accelerated growth for alternative powertrains
Rheinmetall - Investor Presentation Markets & Drivers: LV growth Declining ICE volumes and accelerated growth for alternative powertrains IHS LV production forecast* In million units 105 +2.4% 105 +8% 101 101 95 95 +6% 88 EV 88 AP 82 19% Hybrid 82 ICE 77 12% 38% 77 9% 52% 23% 34% 6% 11% ICE 13% 18%
Slide 33: Mobility market trends: From combustion engine to alternative powertrain
Rheinmetall - Investor Presentation Markets & Drivers: Mobility market trends From combustion engine to alternative powertrain Mechenical Coolant Pumps ICE Solenoid Valves Variable valve train Electronic throttle Electronic Coolant valve Engine Blocks Valves Heat pumps Exhaust Flaps Engine Bearings
Slide 34: Civil business portfolio: Well prepared to address market potentials
Rheinmetall - Investor Presentation Markets & Drivers: Civil business portfolio Well prepared to address market potentials Electrification Industrial Technology  Drive market penetration  Digital solutions for mobility and industry applications  Well equipped Electrification Portfolio  Technolog
Slide 35: Sensors & Actuators: Prepared for future growth
Rheinmetall - Investor Presentation Markets & Drivers: Sensors & Actuators Prepared for future growth Outperforming the Innovative solutions Growth in alternative Diversify into market for clean mobility powertrains (AP) new applications * Estimated sales development in €bn G r o w t h c a t a l y s
Slide 36: Trucks: Diverse portfolio for truck applications
Rheinmetall - Investor Presentation Markets & Drivers: Trucks Diverse portfolio for truck applications Permaglide bearings for truck compressors and truck hydraulics Main coolant pumps Auxiliary coolant pumps Electrical oil pumps Bushings for Sales injection pumps in €m Main-bearings 600 ~386 ~436 ~
Slide 37: China: Chinese operations geared towards growth
Rheinmetall - Investor Presentation Markets & Drivers: China Chinese operations geared towards growth Highlights  Sales China in €m  Partner of local big players SAIC and HASCO (50/50 1,149 1,003 957 joint ventures) 871 889 WFOEs*  Biggest casting capacities in China – technology leader JVs 401 (
Slide 39: Division Overview: Vehicle Systems
Rheinmetall - Investor Presentation Five divisions under one roof Division Overview: Vehicle Systems 2021 Results In €m / in % Sales Operating Result OFCF 1,846 1,883 and Margin 8.1% 9.2% 321 149 174 77 2020 2021 2020 2021 2020 2021 Products Market profile Key Competitors Differentiators Market posi
Slide 40: Division Overview: Weapon and Ammunition
Rheinmetall - Investor Presentation Five divisions under one roof Division Overview: Weapon and Ammunition 2021 Results In €m / in % Sales Operating Result OFCF and Margin 1,199 1,233 132 15.4% 17.6% 184 218 -8 2020 2021 2020 2021 2020 2021 Products Market profile Key Competitors Differentiators Mar
Slide 41: Division Overview: Electronic Solutions
Rheinmetall - Investor Presentation Five divisions under one roof Division Overview: Electronic Solutions 2021 Results In €m / in % Sales Operating Result OFCF and Margin 931 932 9,8% 10,6% 105 92 99 -52 2020 2021 2020 2021 2020 2021 Products Market profile Key Competitors Differentiators Market pos
Slide 42: Division Overview: Sensors and Actuators
Rheinmetall - Investor Presentation Five divisions under one roof Division Overview: Sensors and Actuators 2021 Results In €m / in % Sales Operating Result OFCF and Margin 1,202 1,315 7.8% 3.0% 29 103 5 36 2020 2021 2020 2021 2020 2021 Products Market profile Key Competitors Differentiators Market p
Slide 43: Division Overview: Materials and Trade
Rheinmetall - Investor Presentation Five divisions under one roof Division Overview: Materials and Trade 2021 Results In €m / in % Sales Operating Result OFCF and Margin 651 7.8% 39 536 5.4% 24 51 29 2020 2021 2020 2021 Q1 2021 Q1 2022 Products Market profile Key Competitors Differentiators Market p
Slide 45: Q3 2022 Group Highlights: Acceleration of growth
Rheinmetall - Investor Presentation Q3 2022 Group Highlights Acceleration of growth  Group sales growth of 12% to €1,415 m  Operating profit rose by €11 m to €117 m  Sequentially improved operating margin of 8.3%  OFCF at -€37m  Full-year guidance 2022 confirmed  Large bore piston disposal sig
Slide 46: Market update: International markets provide sustainable growth
Rheinmetall - Investor Presentation Market update: International markets International markets provide sustainable growth Australia United Kindom Ring Swaps  No shortage of defence budget!  Updated budget draft indicates path Leopard 2A4  Instead of cutting the budget, review towards 3% defence s
Slide 47: Q3 2022 Key financial data
Rheinmetall - Investor Presentation Q3 2022 Group Highlights: Key financial data Double digit growth of sales and operating result Sales* Operating result and margin in %* Earnings per share in €m in €m in € +157 (+12.5%) +11 1,415 (+10.6%) +4.1% 0 18 (+0.4%) 36 (+1.4%) 1,258 2 (+2.8%) (+1.8%) 103 (
Slide 48: Q3 2022 Cash Flow
Rheinmetall - Investor Presentation Q3 2022 Group Highlights: Cash Flow Operating Free Cash Flow on previous year’s level Operating Free Cash flow* Highlights / Comments in €m -4 (-10.5%)  Working capital build up continues  Strong operating cash inflow from major projects in all divisions +36 -36
Slide 49: Q3 2022 Balance Sheet
Rheinmetall - Investor Presentation Q3 2022 Group Highlights: Balance Sheet Strategic working capital build impacts net financial position Equity and Equity ratio Net financial position* Pensions in % and €m Equity ratio Total equity In €m In €m 2,620 2,849 118 773 33.9 35.7 484 -958 31.12.2021 30.0
Slide 50: Q3 2022 Division Highlights
Rheinmetall - Investor Presentation Q3 2022 Division Highlights Strong growth across all divisions Sales* Operating Result* Margin* OFCF* Q3 2021 Q3 2022 delta Q3 2021 Q3 2022 delta Q3 2021 Q3 2022 Q3 2021 Q3 2022 delta Vehicle Systems 434 469 8.1% 39 45 17.8% 8.9% 9.7% 60 44 -16 Weapon and Ammuniti
Slide 51: Order Backlog coverage supports Q4 growth ambitions
Rheinmetall - Investor Presentation Q3 2022 Markets & Drivers Order Backlog coverage supports Q4 growth ambitions Order intake* Order Backlog Profile* In €m In €m +3.2% Total 17,559 18,136 -16% 831 Frame Backlog** ~3,500 ~3,300 483 702 14,836 14,059 8,563 7,890 162 143 9,995 251 Order 10,481 Backlog
Slide 52: Great interest for innovative electrification products
Rheinmetall - Investor Presentation Q3 2022 Markets & Drivers Great interest for innovative electrification products Booked business for Sensors + Actuators and Materials + Trade divisions In €m Booked Business Booked Business +16% Q3 2021 Q3 2022 831 716 180 49 62 188 (6.9%) (7.5%) 160 (19.2%) 145
Slide 53: Chinese market recovery in line with expectations
Rheinmetall - Investor Presentation Q3 2022 Markets & Drivers Chinese market recovery in line with expectations Sales* Chinese Market update in €m +54 298  Catch-up effects after Covid lockdown visible 244 27 44 27 42  First positive results from price escalation 254 202 clauses Q3 2021 organic FX
Slide 54: Inflation and supply chain challenges are well addressed
Rheinmetall - Investor Presentation Supply Chain & Energy Inflation and supply chain challenges are well addressed Energy Raw materials & Parts Recruitment  Total energy cost in 2021 were  Important raw materials  Successful recruitment lifts around 50€m incl. gas significantly down from peak hea
Slide 56: Outlook 2022: FY guidance confirmed
Rheinmetall - Investor Presentation Outlook 2022 FY guidance confirmed Organic Sales Growth ~15%  Operating Margin >11%  This growth forecast assumes that the German government's plans for possible procurements from the defence budget for 2022 and from the special funds to be created for the Bunde
Slide 57: Mid-term guidance: Security divisions
Rheinmetall - Investor Presentation Mid-term guidance: Security divisions The supercycle 2.0 is happening Top potentials  Sales contribution share of total sales estimates in %  Ammunition Germany  Trucks Germany  Puma  Lynx Phase III  “Schwerer Waffentraeger” ~40%  Soldier Systems  Characal
Slide 58: Mid-term guidance: Double digit growth over the next years
Rheinmetall - Investor Presentation Mid-term guidance: Double digit growth over the next 5 years 10.5% >11% ~13% In €bn, operating margin in % ~10.0-11.0 >20% ~2.5 ~6.5 11-12% ~1.5-2.0 ~5.7 10-12% 4.0-5.0 ~10% ~2.0 >10% <1.0 ~-500 2021a 2022e 2025 target © Rheinmetall AG I November 2022 M&T S&A VS E
Slide 59: Our new Financial Targets 2025
Rheinmetall - Investor Presentation Our new Financial Targets 2025 are… ATTRACTIVE GROWTH PROFILE Sales target 2025 10-11 €bn HIGHER PROFITABILITY Operating margin target 2025 ~13% CASH GENERATION 4-6% Cashflow to sales target 2025 © Rheinmetall AG I November 2022 59
Slide 60: Environmental goals: 2035 CO2 neutral
Rheinmetall - Investor Presentation Responsibility @ Rheinmetall Environmental goals 2035: CO² neutral * In thousand tCO2  Consistent energy management system well established; energy saving Total Emissions Scope 1 Emissions goals and use of renewable sources Scope 2 Emissions  Reduction of CO2 in
Slide 61: Biodiversity activities
Rheinmetall - Investor Presentation Responsibility @ Rheinmetall Biodiversity acitivities  Fojana – Rheinmetall‘s 5,500 Hectares Natural Paradise near Unterlüss  137t of CO₂ capture/ha 3,300 ha forest bind 452,272t CO₂  1,500 m³ of groundwater formation/ha  30t of O₂/ha One hectare of deciduous
Slide 62: Being a responsible corporate citizen
Rheinmetall - Investor Presentation Responsibility @ Rheinmetall Being a responsible corporate citizen Social responsibility Rheinmetall Worldwide  Awarded a special price by the German Corporate Health  Automotive product portfolio actively reduces CO² emission Award for extra strong commitment i
Slide 63: Compliance & Governance System
Rheinmetall - Investor Presentation Responsibility @ Rheinmetall Compliance & Governance System Culture  " ESG" and "transparency" as pillars of the strategy  Zero tolerance policy  Top Tier ranking in Transparency International Defence Communication Companies Anti-corruption Index 2020  Target
Slide 64: Implementing transparency in the supply chain
Rheinmetall - Investor Presentation Responsibility @ Rheinmetall Implementing transparency in the supply chain Frequent Supplier Monitoring process started  Complex multi-tiered sourcing activities  Environmental and human rights due diligence are a significant responsibility and a major challenge
Slide 65: New Executive Board remuneration policy with 20% ESG targets
Rheinmetall - Investor Presentation Responsibility @ Rheinmetall New Executive Board remuneration policy with 20% share ESG targets Short Term Incentive Long Term Incentive Overall payout cap: 250% Overall payout cap: 250% Target achievement per target (0% - 250%) Performance period (4 years forward
Slide 67: Generating value for shareholders with clear capital allocation priorities
Rheinmetall - Investor Presentation Financials of the Supercycle 2.0 Generating value for shareholders with clear capital allocation priorities Strategic priorities Funding of organic Strategic M&A  Sustainable financing of growth growth  Strong balance-sheet Return  Maintain investment grade of
Slide 68: Growth needs to be organized
Rheinmetall - Investor Presentation Financials of the Supercycle 2.0 Growth needs to be organized Sales Consolidation (in €m / in % of Sales) 5.7% 6.5% ~8% >10% Increased consolidation driven by ~1.300 growing structures ~500 309 365  Sales consolidation reflects new growth dynamics 2020 2021 2022e
Slide 69: Milestones in acquisition strategy
Rheinmetall - Investor Presentation Acquisitions Milestones in acquisition strategy Zeppelin Drone 4iG Mobile manufacturer Polycharge Systems EMT 25.1% Stake Closing 12/2021 Closing 01/2022 Closing 2022 Closing 03/2022  Positioning further in a  Digitization strategy  Electrification strategy  D
Slide 70: ROCE development
Rheinmetall - Investor Presentation ROCE development  ROCE in % 20 19.0 17.1 15.4 15 13.4 12.3 Average 12.2% 11.8 10 5 0 2016 2017 2018 2019 2020 2021 © Rheinmetall AG I November 2022 70
Slide 71: 2016-2020: Key figures (as reported)
Rheinmetall - Investor Presentation Rheinmetall 2016-2020: Key figures (as reported) in €m 2016 2017 2018 2019 2020 Balance Sheet Total assets 6.150 6.101 6.759 7.415 7.267 Shareholder's equity 1.781 1.870 2.173 2.272 2.053 Equity ratio (in %) 29,0 30,7 32,1 30,6 28 Pension liabilities 1.186 1.080 9
Slide 72: Key Figures
Rheinmetall - Investor Presentation Key Figures Key Figures 2021 2 0 2 0 ¹⁾ 2 0 19 2 0 18 2 0 17 ² SA LES/EA RNINGS Sales €millio n 5.658 5.405 6.255 6.148 5.896 Of which generated abro ad % 65,9 64,4 68,9 72,3 75,9 Operating result €millio n 594 446 505 491 400 Operating margin % 10,5 8,3 8,1 8,0 6
Slide 73: Balance Sheet
Rheinmetall - Investor Presentation Balance Sheet In € m 12/31/2021 12/31/2020 12/31/2021 12/31/2020 Assets Equity and liabilities Goodwill 481 476 Share capital 112 112 Other intangible assets 287 240 Capital reserves 561 556 Right-of-use assets 214 233 Retained earnings 1.755 1.233 Property, plant
Slide 74: Income Statement
Rheinmetall - Investor Presentation Income Statement In € m 2021 2020 Sales 5.658 5.405 Changes in inventories and work performed by the enterprise and capitalized 117 142 Total operating performance 5.775 5.547 Other operating income 134 114 Cost of materials 2.745 2.792 Staff costs 1.643 1.537 Amo
Slide 75: Cashflow Statement
Rheinmetall - Investor Presentation Cashflow Statement In € m 2021 2020 Earnings after taxes 332 1 Amortization, depreciation and impairment 254 303 Impairment of non-current assets of discontinued operations 91 254 Allocation of CTA assets to secure pension and partial retirement obligations (35) (
Slide 76: Next events and IR contacts
Rheinmetall - Investor Presentation Next events and IR contacts Next Events IR Contacts CMD 15/16 November 2022 Dirk Winkels Head of Investor Relations Deutsches Eigenkapitalforum 29 November 2022 Tel: +49-211 473-4749 Goldman Sachs, Industrial Conference 06 December 2022 Email: dirk.winkels@rheinme
Slide 77: Disclaimer
Rheinmetall - Investor Presentation Disclaimer This presentation contains “forward-looking statements” within the meaning of the US Private Securities Litigation Reform Act of 1995 with respect to Rheinmetall’s financial condition, results of operations and businesses and certain of Rheinmetall’s pl

Rheinmetall — Investor Presentation (November 2022) on 6ix

Rheinmetall — Investor Presentation (November 2022)

Slide 1: Investor Presentation November 2022

Slide 2: Agenda

Slide 3: Rheinmetall at a glance: Selected key business highlights

Slide 4: The new corporate structure - Five divisions under one roof

Slide 5: Historic financial development

Slide 6: Strategy Recap: Our strategic vision is becoming a reality

Slide 7: Sustainability is a central component of our corporate strategy

Slide 8: Markets & Drivers

Slide 9: World economy is being restructured

Slide 10: Acceleration of defence spending more backend loaded

Slide 11: Status quo on German potential

Slide 12: Germany status quo: Slow order processing delays order intake into 2023

Slide 13: Defence projects with short-term implementation potential

Slide 14: Main challenges are addressed

Slide 15: Rheinmetall's global production capacities

Slide 16: Participating in the defence super cycle

Slide 17: NATO spending has accelerated

Slide 18: Significant reduction in export risk due to high NATO order backlog

Slide 19: Home markets offer further potentials for growth

Slide 20: LYNX pipeline refilled with even larger potential

Slide 21: US tenders pursued with a new market approach

Slide 22: Modernization of Southern Europe

Slide 23: Product life cycle potential

Slide 24: Lessons learned from war in Ukraine

Slide 25: EXPAL Acquisition Summary

Slide 26: EXPAL product portfolio

Slide 27: EXPAL Key Investment Highlight: A unique opportunity

Slide 28: Excess capacities allow for flexible adjustment to demand

Slide 29: Attractive financial profile with superior margins and cash conversion

Slide 30: Market trends: Strong underlying growth drivers

Slide 31: Clean Mobility: Green ambitions as a clear global trend

Slide 32: LV growth: Declining ICE volumes and accelerated growth for alternative powertrains

Slide 33: Mobility market trends: From combustion engine to alternative powertrain

Slide 34: Civil business portfolio: Well prepared to address market potentials

Slide 35: Sensors & Actuators: Prepared for future growth

Slide 36: Trucks: Diverse portfolio for truck applications

Slide 37: China: Chinese operations geared towards growth

Slide 38: Five Divisions under one roof

Slide 39: Division Overview: Vehicle Systems

Slide 40: Division Overview: Weapon and Ammunition

Slide 41: Division Overview: Electronic Solutions

Slide 42: Division Overview: Sensors and Actuators

Slide 43: Division Overview: Materials and Trade

Slide 44: Financials

Slide 45: Q3 2022 Group Highlights: Acceleration of growth

Slide 46: Market update: International markets provide sustainable growth

Slide 47: Q3 2022 Key financial data

Slide 48: Q3 2022 Cash Flow

Slide 49: Q3 2022 Balance Sheet

Slide 50: Q3 2022 Division Highlights

Slide 51: Order Backlog coverage supports Q4 growth ambitions

Slide 52: Great interest for innovative electrification products

Slide 53: Chinese market recovery in line with expectations

Slide 54: Inflation and supply chain challenges are well addressed

Slide 55: Outlook

Slide 56: Outlook 2022: FY guidance confirmed

Slide 57: Mid-term guidance: Security divisions

Slide 58: Mid-term guidance: Double digit growth over the next years

Slide 59: Our new Financial Targets 2025

Slide 60: Environmental goals: 2035 CO2 neutral

Slide 61: Biodiversity activities

Slide 62: Being a responsible corporate citizen

Slide 63: Compliance & Governance System

Slide 64: Implementing transparency in the supply chain

Slide 65: New Executive Board remuneration policy with 20% ESG targets

Slide 66: Appendix

Slide 67: Generating value for shareholders with clear capital allocation priorities

Slide 68: Growth needs to be organized

Slide 69: Milestones in acquisition strategy

Slide 70: ROCE development

Slide 71: 2016-2020: Key figures (as reported)

Slide 72: Key Figures

Slide 73: Balance Sheet

Slide 74: Income Statement

Slide 75: Cashflow Statement

Slide 76: Next events and IR contacts

Slide 77: Disclaimer