Kion Group Ag · XETR:KGX
Kion — Q1 2023 Earnings Presentation
24 slides from Kion's earnings presentation, Apr 27, 2023
Slide 1: KION GROUP AG Q1 2023 Update Call
KION GROUP AG Q1 2023 Update Call Rob Smith (CEO) Marcus Wassenberg (CFO) Frankfurt, 27 April 2023
Slide 2: Agenda
Agenda 1. Summary Q1 2023 2. Financial Update 3. Outlook 2023 2 KION GROUP AG | Q1 2023 Update Call | 27 April 2023
Slide 3: Q1 2023 Key Financial Figures
Q1 2023 Key Financial Figures KION Group off to a strong start in fiscal year 2023 thanks to ITS segment Order intake Revenue Adj. EBIT1 Free cash flow EPS DPS2 €2.4bn €2.8bn €156m €105m €0.55 €0.19 -16% yoy +2% yoy -8% yoy +538m yoy -9% yoy ~25% payout ratio -4% qoq -4% qoq +91% qoq -151m qoq >100%
Slide 4: Q1 2023 Highlights
Q1 2023 Highlights Combining our strengths across the group for our customers Agreement with Li-Cycle to form strategic Li-ion battery recycling partnership focused on circular economy (95% recovery rate) Own fuel cell systems production in Hamburg to start in 2023 giving KION a competitive edge vs
Slide 5: Sustainability Report 2022 Published
Sustainability Report 2022 Published Progressing on our sustainability journey GHG emission targets for 2027 ISO 14001 & 45001 certification already achieved in 2022: increased from ~70% in 2021 to ~80% CO2 emissions -30% vs 2017 LTIFR2 decreased ~25% compared to Annual emission1 targets 2021 (targe
Slide 6: Agenda
Agenda 1. Summary Q1 2023 2. Financial Update 3. Outlook 2023 6 KION GROUP AG | Q1 2023 Update Call | 27 April 2023
Slide 7: ITS – Key Financials
ITS – Key Financials Better-than-expected supply chains drive revenue and margin development 1 Change Change (in €m) Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 yoy qoq Order intake (in ‘000 units) 87.4 86.3 53.5 41.0 59.4 -32% +45% Order intake 2,082 2,745 1,905 1,694 1,957 -6% +16% Order book 3,193 4,
Slide 8: SCS – Key Financials
SCS – Key Financials Adj. EBIT back in the black while order intake impacted by postponements 1 Change Change (in €m) Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 yoy qoq Order intake 843 1,022 614 882 497 -41% -44% Of which E-Commerce (%)2 16% 21% 1% 4% 29% Order book 3,695 3,762 3,477 3,327 3,000 -19%
Slide 9: KION Group – Key Financials
KION Group – Key Financials KION Group off to a strong start in fiscal year 2023 thanks to ITS segment 1 Change Change (in €m) Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 yoy qoq Order intake 2,900 3,755 2,517 2,536 2,444 -16% -4% Order book 6,855 7,941 7,697 7,078 6,687 -2% -6% Revenue 2,734 2,802 2,70
Slide 10: Adjusted EBITDA to Net Income
Adjusted EBITDA to Net Income Higher net financial expenses impact net income Change Change (in €m) Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 yoy qoq Comments Adj. EBITDA 391 368 135 325 390 -0% 20% 1 Net financial expenses D&A -221 -227 -236 -243 -234 +6% -4% substantially higher due to higher intere
Slide 11: Cash Flow Statement
Cash Flow Statement FCF swing mainly due to almost no NWC build-up Free cash flow Q1 2023 Comments (in €m) 2 -11 -49 173 1 Lower NWC build-up 119 1 -14 129 enabled by improved supply -75 105 chain in Q1 23. Semi-finished 7 -42 -6 57 trucks in ITS were further reduced to <3k units EBIT D&A on NWC Tax
Slide 12: Net Debt
Net Debt Leverage ratios stabilized sequentially Indebtedness and leverage1 ratios as at 31 March 2023 Comments (in €m) 2 2.8x 1 Positive free cash flow in Q1 23 reduced net financial 2.3x 3,388 debt by €57m 629 2 RCF-relevant leverage ratio 2,758 stabilized vs Q4 and Q3 22, 554 leaving sufficient h
Slide 13: Agenda
Agenda 1. Summary Q1 2023 2. Financial Update 3. Outlook 2023 13 KION GROUP AG | Q1 2023 Update Call | 27 April 2023
Slide 14: FY 2023 Outlook
FY 2023 Outlook Strong Q1 2023 development at ITS leads to raised guidance KION Group Industrial Trucks & Services Supply Chain Solutions .0 Old Updated Old Updated Old Unchanged Revenue ≥€11.0bn ≥€11.2bn ≥€7.8bn ≥€8.0bn ≥€3.2bn ≥€3.2bn Adj. EBIT ≥€550m ≥€615m ≥€600m ≥€665m ≥€65m ≥€65m FCF ≥€500m ≥€
Slide 15: Key Takeaways
Key Takeaways Strong start to 2023 driven by benefits from improving supply chains and pull-forward effects from our operational and commercial agility measures in ITS We raise our FY2023 guidance based on the better-than-expected Q1 in ITS Measures to increase agility, resilience and profitability
Slide 16: Q & A Session
Q & A Session 16 KION GROUP AG | Q1 2023 Update Call | 27 April 2023
Slide 17: Appendix
Appendix
Slide 18: FY 2023 Expectation – Housekeeping Items
FY 2023 Expectation – Housekeeping Items Non-recurring items1 Operating Capex2 … between -€5m to -€15m … between -€450m to -€500m PPA R&D spending3 … around -€93m to -€96m … around 3% of group revenue Net financial expenses … between -€90m to -€120m Dividend policy … 25% to 40% of consolidated net i
Slide 19: Key Financials
Key Financials Group figures Industrial Trucks & Services Supply Chain Solutions Q1 FY Q4 Q3 Q2 Q1 FY Q1 FY Q4 Q3 Q2 Q1 FY Q1 FY Q4 Q3 Q2 Q1 FY (in €m) 2023 2022 2022 2022 2022 2022 2021 2023 2022 2022 2022 2022 2022 2021 2023 2022 2022 2022 2022 2022 2021 Order intake 2,444 11,708 2,536 2,517 3,755
Slide 20: Leverage Development and Maturity Profile
Leverage Development and Maturity Profile Leverage ratios peaked in Q3 2022 Leverage development1,2 Maturity profile and free liquidity as at 31 March 2023 (in €m) 4.0x 3.2x 1,717 2.8x 2.8x 3 2.5x 340 2.4x 2.4x 2.3x 1,500 2.7x 2.0x 1.9x 1.6x 1.6x 1.4x 1,000 1.3x 700 0.9x 590 20 1,377 1.4x 17 9 474 1
Slide 21: ITS Order Intake
ITS Order Intake Share of electrified products again at 91% in Q1 23 Development of KION ITS segment Order intake Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Change yoy Change qoq FY 2020 FY 2021 FY 2022 Change yoy Order intake (in ‘000 units) 87.4 86.3 53.5 41.0 59.4 -32% +45% 198.3 299.4 268.2 -10% Th
Slide 22: Industrial Truck Market and ITS Order Intake
Industrial Truck Market and ITS Order Intake Market normalization continues - KION Group improves OI sequentially in Q1 2023 Industrial Truck Market Development of KION ITS segment Region Q1 Q2 Q3 Q4 FY Q1 Regional growth Q1 Q2 Q3 Q4 FY Q1 1 2 2 (Change in units yoy) 2022 2022 2022 2022 2022 2023 (C
Slide 23: Financial Calendar
Financial Calendar Date Event 10 May 2023 KION @ UBS Pan European Small and Mid-Cap Conference, London, UK 10 May 2023 KION @ Berenberg Madrid Seminar, Madrid, Spain 12 May 2023 KION @ Stifel German Corporate Conference, Frankfurt, Germany 17 May 2023 AGM, physically in Frankfurt 23 – 24 May 2023 KI
Slide 24: Disclaimer
Disclaimer This document has been prepared by KION GROUP AG (the “Company”, and together with its consolidated subsidiaries, the "KION Group") solely for informational purposes. This disclaimer shall apply in all respects to the entire presentation (including all slides of this document), the oral p