Komax Holding AG · SIX:KOMN
Komax — H1 2014 Earnings Presentation
18 slides from Komax's earnings presentation, Aug 19, 2014
Slide 1: Half-year results and outlook 2014
THE WAY TO MAKE IT Half-year results and outlook 2014 19 August 2014 19 August 2014 / Half-year results and outlook 2014 / 1 Agenda THE WAY TO MAKE IT Half-year results 2014 Outlook Komax – focussed on markets in the automation sector Komax Wire Komax Medtech 19 August 2014 / Half-year results and o
Slide 2: First half 2014 in brief; Key figures
First half 2014 in brief THE WAY TO MAKE IT Strong first half of 2014 Revenues1 increased by 8.6% to CHF 171.6 million Operating profit (EBIT) from continuing operations at CHF 22.5 million maintained Group profit after taxes from continuing operations increased by 6.7% to CHF 21.0 million Komax Wir
Slide 3: Distribution of net sales by segment and region
Distribution of net sales by segment and region THE WAY TO MAKE IT H1 2013 H1 2014 by segment Komax Wire 80% 80% Komax Medtech 20% 20% by region Switzerland 2% 3% Europe 44% 52% Africa 6% 8% North/South America 27% 18% Asia 21% 19% 19 August 2014 / Half-year results and outlook 2014 / 5 Net sales1 –
Slide 4: EBIT – gross profit margin slightly increased
EBIT1 – gross profit margin slightly increased THE WAY TO MAKE IT in CHF million -6.2 9.1 -0.2 -2.9 Gross profit margin H1 2014: 62.0% Gross profit 22.7 margin H1 2013: 22.5 61.5% H1 2013 2 Material/revenues Personnel Depreciation Others H1 2014 1 EBIT of continued operations. 2 Prior-year figures r
Slide 5: Komax Wire – still strong; Komax Medtech – on last year's level
Komax Wire – still strong THE WAY TO MAKE IT Margin Net sales by region 18 0 20.5% 19.1% 2% Switzerland 16 0 21% 14 0 Asia 139.9 in CHF million 12 0 127.7 46% Net sales Europe 10 0 EBIT 80 60 21% North/ 40 South America 10% 20 Africa 26.1 26.7 0 H1 2013 H1 2014 Change from previous year -40% -20% 0%
Slide 6: Komax Solar – Management Buy-out (Asset Deal)
Komax Solar – Management Buy-out (Asset Deal) THE WAY TO MAKE IT Result from discontinued operations Assets and liabilities classified as held for sale (CHF million) (CHF million) The “result from discontinued operations” includes non- cash expenditures for value adjustments for technology, goodwill
Slide 7: Outlook
Outlook THE WAY TO MAKE IT For Komax Wire we are not expecting any substantial changes to the market environment in the second half, and are thus anticipating continued strong performance. On the basis of the information currently available, we are expecting net sales in the second half of 2014 to b
Slide 8: Group strategy geared to long-term profitable growth
Group strategy geared to long-term profitable growth THE WAY TO MAKE IT Business Unit Revenues growth target EBIT margin target Acquisitions Business Unit Wire 3 – 5% ~20% selective Business Unit Medtech -- ~5% -- Targets implemented in March 2011, time horizon 3 to 5 years. Komax Medtech is in syst
Slide 9: Komax Wire – a highly attractive and profitable business
Komax Wire – a highly attractive and profitable business THE WAY TO MAKE IT Key figures 2009 – H1 2014 Solutions for wire processing and harness and module testing Marge 26.2% 23.1% 24.6% 30 0 18.7% 19.1% 20 .0% 25 0 253.8 -3.2% 0.0 % 228.3 20 0 217.8 194.5 -2 0.0 % 15 0 139.9 -4 0.0 % 10 0 91.9 -6
Slide 10: Komax Wire covers the most capital intensive stages of the value chain
Komax Wire covers the most capital intensive stages of the value chain THE WAY TO MAKE IT Net sales by industry Value chain wire harness manufactures (automotive industry) 20-30% Others 70-80% Automotive 19 August 2014 / Half-year results and outlook 2014 / 19 Automotive is the most important market
Slide 11: Above-average growth of Komax Wire
Above-average growth of Komax Wire THE WAY TO MAKE IT Komax Wire vs. automotive industry 1997 - 2013 Additional growth drivers Basis 1997 Advance in new markets other than the 200 automotive industry 180 New concepts for automation/innovation 160 Synergies from acquisitions 140 (TSK, MCM and SLE) 12
Slide 12: 40% market share – Komax Wire is the leading company
40% market share – Komax Wire is the leading company THE WAY TO MAKE IT Market shares Success factors Technological leadership Others Komax Wire Comprehensive product range – Competitor 4 complete solution provider Global presence Competitor 3 High level of innovation Competitor 2 Competitor 1 19 Au
Slide 13: Quality monitoring tools; Global presence offers great advantages
Examples – quality monitoring tools for guaranteeing process stability THE WAY TO MAKE IT Automatic Conductor Detector (ACD) Stripping Quality Check (SQC) Good stripping Pulled strands Played strands The stripping quality check (SQC) monitors stripping length and ascertains the presence of pulled or
Slide 14: Around 20% of revenues generated with services and spare parts
Around 20% of revenues generated with services and spare parts THE WAY TO MAKE IT Installed base – around 20 000 machines • Spare parts and service business • Machine replacements Service organization – around 80 employees globally Komax direct Komax machines installed 19 August 2014 / Half-year res
Slide 15: Komax Medtech – profitability is the top priority
Agenda THE WAY TO MAKE IT Half-year results 2014 Outlook Komax – focussed on markets in the automation sector Komax Wire Komax Medtech 19 August 2014 / Half-year results and outlook 2014 / 29 Strategy Komax Medtech – profitability is the top priority THE WAY TO MAKE IT Profitability Focus on self-me
Slide 16: A structured approach from concept to high volume production
A structured approach from the concept to high volume production THE WAY TO MAKE IT Value chain Market shares Komax Medtech Others Competitor 1 Competitor 4 Competitor 3 Competitor 2 19 August 2014 / Half-year results and outlook 2014 / 31 Focus on self-medication and repeat business, and … THE WAY
Slide 17: New markets in assembly automation; Contact/Financial calendar
… in addition new markets in assembly automation are going to be developed THE WAY TO MAKE IT Use of existing standards • Modules and standardized interfaces • Multiplication of existing processes Use of existing platforms • KSL (linear platform) and KSD (rotary platform) • For prototypes and small
Slide 18: Disclaimer
Disclaimer THE WAY TO MAKE IT This presentation contains forward-looking statements in relation to Komax which are based on current assumptions and expectations. Unforeseeable events and developments could cause actual results to differ materially from those anticipated. Examples include: changes in