Oc Oerlikon Corporation Ag · SIX:OERL
Oc Oerlikon — Q2 2024 Earnings Presentation
15 slides from Oc Oerlikon's earnings presentation, Aug 6, 2024
Slide 1: Q2 & H1 2024 Financial Results
Q2 & H1 2024 Financial Results 6 August 2024 Page 1
Slide 2: Overview Q2
Overview Q2 Raising 2024 guidance after strong execution in the first half; separation on track -0.9% ▪ Order intake +1% YoY at constant FX FX adj.: +1.1% 657 651 ▪ Polymer Processing Solutions orders are up sequentially for second quarter in a Orders row; slight organic YoY improvement ▪ Surface So
Slide 3: Soft end markets; Filament and Non-Filament with improving momentum
Soft end markets; Filament and Non-Filament with improving momentum Surface Solutions Polymer Processing Solutions General Ind. & Tooling Automotive Luxury Aviation Filament Non-Filament 28% of 2023 Group sales 14% 6% 8% 26% 18% Soft industrial Stable with Wait and see Continued Sequential order Sof
Slide 4: Surface Solutions with improving profitability and higher sales despite stagnant markets
Surface Solutions with improving profitability and higher sales despite stagnant markets Markets Orders Sales Operational EBITDA ▪ Continued cautious customer ▪ Improved +0.5% FX adjusted YoY ▪ Increased +2.1% FX adjusted organic ▪ Improved +14% with margin up 230bps purchasing behavior due to macro
Slide 5: Polymer Processing Solutions orders improved sequentially and YoY; robust margin of 11.7%
Polymer Processing Solutions orders improved sequentially and YoY; delivered robust margin of 11.7% Markets Orders Sales Operational EBITDA ▪ Filament market with sequential ▪ Q2 improved sequentially and YoY FX ▪ Decreased 26% FX adjusted, reflecting ▪ Robust margin despite cyclically low momentum
Slide 6: Sustainable double-digit ROCE
Focus on Cash Flow and ROCE Solid operating FCF ROCE impacted despite Filament downturn by challenging environment H1’24 ▪ Operating FCF strongly improved to CHF 67m Q2 LTM ▪ Operational ROCE 1 impacted by current filament downturn which led to from CHF -141m in H1’23, despite lower EBITDA transitor
Slide 7: Raising 2024 guidance
Raising 2024 guidance Oerlikon delivering robust H1 ▪ H1 sales increased +1% YoY (constant FX organic); expect flat sales growth YoY (prev.: low to mid-single-digit % sales growth) in FY 2, Surface despite soft PMIs and slowing momentum in automotive and luxury Solutions ▪ Improved profitability by
Slide 8: Q2 conclusion
Q2 conclusion Executing operationally and strategically On track with pure play strategy execution >20% operational EBITDA margin mid-term target in Surface Solutions confirmed with H1 margin improving 180bps YoY On track with transformation into attractive Second sequential order improvement in Pol
Slide 9: Oerlikon
cerlikon
Slide 10: Appendix
Appendix
Slide 11: Q2 reconciliation of profitability measures
Q2 reconciliation of profitability measures EBITDA to EBIT bridge Group Surface Solutions Polymer Processing Solutions Q2' 24 Q2' 23 Q2' 24 Q2' 23 Q2' 24 Q2' 23 EBITDA 96 110 73 62 25 44 Depreciation -29 -35 -22 -27 -6 -6 Impairments -0 -0 -0 -0 0 -0 EBITA 67 75 50 35 19 37 Amortization of Acquired
Slide 12: YTD reconciliation of profitability measures
YTD reconciliation of profitability measures EBITDA to EBIT bridge Group Surface Solutions Polymer Processing Solutions HY 24 HY 23 HY 24 HY 23 HY 24 HY 23 EBITDA 180 224 137 120 44 99 Depreciation -58 -66 -44 -51 -12 -13 Impairments 0 -0 0 0 -0 -0 EBITA 122 158 92 69 31 86 Amortization of Acquired
Slide 13: Return on Capital Employed (ROCE)
Return on Capital Employed (ROCE) 2023 H1'24 12.1% 10.8% EBIT 105 70 - Total current income tax -67 -59 8.2% - Total deferred income tax 25 29 7.6% 7.0% NOPAT 63 41 6.5% 5.7% 5.0% Net Operating Assets 2'429 2'535 + Current income tax receivables 27 26 3.1% 5.3% + Deferred tax assets 134 149 reported
Slide 14: Investor Relations
Investor Relations Stephan Gick Stephan.gick@oerlikon.com +41 58 360 98 50 Aymeric Jamin Aymeric.jamin@oerlikon.com +41 58 360 96 59 ir@oerlikon.com www.oerlikon.com/en/investors
Slide 15: Disclaimer
Disclaimer OC Oerlikon Corporation AG, Pfäffikon, (together with its affiliates hereinafter referred to as “Oerlikon”) has made great efforts to include accurate and up-to-date information in this document. However, Oerlikon makes no representation or warranties, expressed or implied, as to the trut