Basler Ag · XETR:BSL

Basler — H1 2023 Earnings Presentation

26 slides from Basler's earnings presentation, Aug 10, 2023

  1. Slide 1: 6-Months Report 2023

    6-Months Report 2023 August 10, 2023 Hardy Mehl | CFO/COO Public | © Basler AG

  2. Slide 2: Disclaimer

    Disclaimer This document includes forward looking statements Should these views or assumptions prove to be on Basler AG, its subsidiaries and associates wholly or partly incorrect, or should further risks („Group“), and on the economic, political and/or arise, actual business performance may differ

  3. Slide 3: Agenda

    Agenda 1. Executive Summary 2. Financials 3. Share 4. Outlook Public | © Basler AG 3

  4. Slide 4: Executive Summary: Market Environment

    Executive Summary Market Environment Market Situation ▪ Chip supply mostly back to normal with extended inventories in the supply chain ▪ Significant regional differences: ▪ Difficult market conditions in China after zero Covid policy. Rebound still muted other than for solar and EV battery equipmen

  5. Slide 5: Executive Summary: Basler Performance

    Executive Summary Basler Performance Basler Performance ▪ Bookings down -41 %, billings down -11 % ▪ Strong regional differences: EMEA billings up +35 %; however high exposure to weak verticals and regions ▪ Ongoing cancellations in Asia, especially in China ▪ Pre-tax earnings margin 0.2 % ▪ Success

  6. Slide 6: Rational Restructuring Program – Why?

    Executive Summary Rational Restructuring Program – Why? Why ▪ Weak market outlook for the remainder of the year in China, APAC and Americas ▪ Europe has just entered into the downturn and will therefore most likely be weak in 2024 ▪ Continuation of China’s economic and geopolitical uncertainties ▪ S

  7. Slide 7: Rational Restructuring Program – How?

    Executive Summary Rational Restructuring Program – How? How ▪ Keep tight management with regard to opex and capex as long as the markets stay weak ▪ Change from temporary measures to structural measures with regard to personnel costs ▪ Reduction of ~200 FTE in HY2 ▪ Focus Germany and China ▪ Mainly

  8. Slide 8: Executive Summary: The Team

    Executive Summary The Team 38 % Sales & Marketing 21 % Production 1,117* 15 % Administration 26 % R&D ▪ HY1-2023 R&D investments € 20.4 mill. ▪ R&D quota up to 17.6 % from sales due to significant increase of R&D staff combined with low revenue level in HY1 Public | © Basler AG * e/o HY1-2023 8

  9. Slide 9: New Product Launches (1/2)

    Executive Summary New Product Launches (1/2) ▪ Basler launched various mainstream ace2 cameras with 18-megapixel sensor ▪ In the area of accessory products Basler introduced a modular IP67 housing that allows all ace and ace2 camera models to be used robustly even in the harshest environmental condi

  10. Slide 10: New Product Launches (2/2)

    Executive Summary New Product Launches (2/2) ▪ Release of pylon 7.3, Basler‘s own software development kit ▪ Added image processing tools (vTools) and support for the latest MacOS versions. Public | © Basler AG 11

  11. Slide 11: From Camera Manufacturer to Full Range Provider

    Executive Summary From Camera Manufacturer to Full Range Provider Software COMPUTER VISION Product Portfolio FULL RANGE PROVIDER Processing/Embedded Lenses Cables Factory Medical & Life ITS Logistics Retail Automation Science Cameras Markets/Applications Public | © Basler AG 12

  12. Slide 12: Agenda

    Agenda 1. Executive Summary 2. Financials 3. Share 4. Outlook Public | © Basler AG 13

  13. Slide 13: Development of Bookings and Billings

    Financials Development of Bookings and Billings 88.5 Revenue 5.3 mill. € 74 Order Entry 66 64 70.8 67 mill. € 6.6 60 56 54.1 Cancellations 50.4 of orders placed in previous 7.6 13.3 39.9 years mill. € 38.7 3.1 9.8 Q1 Q2 Q3 Q4 Q1 Q2 2022 2023 Public | © Basler AG 14

  14. Slide 14: Revenue Split by Regions HY1-2023

    Financials Revenue Split by Regions HY1-2023 Strong business in Europe Weak markets in Asia and US Total € 116.1 million 16% 38% 46% Americas EMEA Asia Public | © Basler AG 15

  15. Slide 15: Development of Gross Profit and Margin

    Financials Development of Gross Profit and Margin 50.2% 51.2% Gross Margin 47.6% % 44.5% 44.6% 45.0% Gross Profit 38.1 mill. € 33.3 30.7 29.8 26.9 25.1 Q1 Q2 Q3 Q4 Q1 Q2 2022 2023 Public | © Basler AG 16

  16. Slide 16: Development of EBT and EBT-Margin

    Financials Development of EBT and EBT-Margin EBT % 13.9% 12.8% 8.7% EBT mill. € 6.0% 3.0% -2.8% 9.2 9.5 5.6 4.0 1.8 -1.6 Q1 Q2 Q3 Q4 Q1 Q2 2022 2023 Public | © Basler AG 17

  17. Slide 17: P&L KPIs (in € mill.)

    Financials P&L KPIs (in € mill.) HY1-2023 HY1-2022 +/- Order Entry 94.0 159.3 -41 % Sales 116.1 130.8 -11 % Gross Profit 52.0 63.9 -19 % Gross Profit Margin 44.8 % 48.9 % -4.1 Pp. EBITDA 10.7 23.0 -53 % EBIT 1.0 15.0 -93 % EBT 0.2 14.8 -99 % EBT-Margin 0.2 % 11.3 % -11.1 Pp. Net Income -1.7 11.5 >-1

  18. Slide 18: Cashflow (in € mill.)

    Financials Cashflow (in € mill.) CASHFLOW HY1-2023 HY1-2022 +/- Cash, b.o. period 28.7 54.8 -48 % Cashflow from -1.0 -6.1 -83 % Operations Cashflow from -8.6 -28.3 -70 % Investments Free Cashflow -9.6 -34.4 -72 % Cashflow from Financing 16.3 11.6 +40 % Cash, e.o. period 35.4 32.1 +10 % Public | © Ba

  19. Slide 19: Development of Free Cashflow

    Financials Development of Free Cashflow 9.9 8.6 FCF mill. € 6.8 2.3 -5.1 -0.9 -3.3 OCF mill. € -1.9 ICF mill. € -4.2 -3.1 -4.2 -6.3 -5.4 -7.7 -4.4 -12.8** -28.1 -22.9 * Q1 Q2 Q3 Q4 Q1 Q2 2022 2023 * extraordinary M&A investment (DATVISION and IOVIS, Korea) ** extraordinary M&A investment (Basler Ita

  20. Slide 20: Agenda

    Agenda 1. Executive Summary 2. Financials 3. Share 4. Outlook Public | © Basler AG 21

  21. Slide 21: Basler Share vs. TecDax

    Share Basler Share vs. TecDax € 29.85 € 17.10 Public | © Basler AG 22

  22. Slide 22: Basler Shareholder Structure

    Share Basler Shareholder Structure 3 % Universal Investment 4 % Dr. Dietmar Ley (CEO) 5 % 7-lndustries Holding B.V. 2 % Treasury Shares 6 % lnvesco Advisers; lnc. 53 % Norbert Basler Holding GmbH 27 % Free Float *as of June 2023 Public | © Basler AG 23

  23. Slide 23: Agenda

    Agenda 1. Executive Summary 2. Financials 3. Share 4. Outlook Public | © Basler AG 24

  24. Slide 24: Outlook: Assumptions HY2-2023

    Outlook Assumptions HY2-2023 ▪ Weak market conditions to continue ▪ Bookings to stay on low levels, but order cancellations to phase out - recovery expected by e.o. 2023/b.o. 2024 ▪ Geopolitical uncertainties to remain ▪ Ongoing highly competitive landscape in China ▪ Slight improvement of gross mar

  25. Slide 25: Outlook: Forecast 2023

    Outlook Forecast 2023 Fiscal year 2023 guidance reduced as to weak HY1-2023 performance and HY2-2023 assumptions: ▪ Revenue € 200 - 215 mill. ▪ Pre-tax loss € 12 - 20 mill.* *incl. extraordinary one-time restructuring costs expected within corridor of € 11 – 13 mill. Public | © Basler AG 26

  26. Slide 26: Questions & Answers

    Questions & Answers Dr. Dietmar Ley & Hardy Mehl Phone +49 4102 463 0 Hardy.mehl@baslerweb.com Public | © Basler AG 28

Basler — H1 2023 Earnings Presentation on 6ix