LEM Holding SA · SIX:LEHN
LEM Holding SA — Q1 2011/12 Earnings Presentation
13 slides from LEM Holding SA's earnings presentation, Aug 9, 2011
Slide 1: Q1 Results 2011/12
Q1 Results 2011/12 9 August 2011 Agenda 1. LEM at a Glance 2. Business Review 3. Financial Review 4. Strategy and Outlook 2 Q1 2011/12 results, 9 August 2011 1
Slide 2: About LEM
1. About LEM ■ LEM is the global market leader in providing innovative and high quality solutions for measuring electrical parameters. ■ The current and voltage transducers are used in a broad range of industrial and automotive applications. ■ LEM is a high growth global company with approximately 1
Slide 3: LEM at a Glance - Businesses
1. LEM at a Glance - Businesses Industry segment Automotive segment Drives & welding Conventional cars ■ Motor drives ■ Battery management ■ Welding ■ Miscellaneous Green cars (HEV, EV) Renewable energies ■ Battery management & power supplies ■ Electric motor control ■ Solar ■ Wind ■ UPS ■ Battery m
Slide 4: Highlights Q1 2011/12
2. Highlights Q1 2011/12 in CHF millions Q1 2011/12 Q1 to Q1 2010/11 Q1 to Q4 2010/11 Orders 49.6 -47.1% -28.0% Sales 67.7 1.3% -12.6% Operational EBIT 11.6 -15.5% -19.6% Net earnings 7.2 -12.2% -41.5% ■ Significant decrease of bookings ■ General slow down in the market and volatile solar market ■ S
Slide 5: Quarterly View
2. Quarterly View In CHF millions Book‐to‐bill ratio 100 1.6 ■ Q1 book-to-bill ratio 0.73 90 1.4 ■ Bookings significantly impacted 80 75.0 77.0 77.4 by foreign exchange (order 67.7 1.2 book restated at new rates) 70 66.8 58.4 1.0 60 ■ Increased exposure to the 50 48.3 0.8 renewable energy business 4
Slide 6: Industry Segment: Business Development
2. Industry Segment: Business Development Businesses and Applications CHF millions Op. EBIT in % of sales Drives and Traction 300 25 Growth in local currencies across all regions regions. 260 20 Renewable energies 220 Continued slowing performance vs Q4 2010/11, mainly in Germany, Italy and 180 15 C
Slide 7: Automotive Segment: Business Development
2. Automotive Segment: Business Development Businesses and Applications CHF millions Op. EBIT in % of sales 25 25 Conventional cars New platforms for battery management to be 20 20 l launched h d iin Q2 iin N North th A America. i 15 15 Green Cars (HEV, EV) Majority of green cars shown at world car
Slide 8: Financial review: Income Statement
3. Financial review Q1 2011/12 results, 9 August 2011 3. Income Statement Q1 Q4 Q1 In CHF thousands Var. Var. 2010/11 2010/11 2011/12 Sales 66’786 +1.3% 77’379 -12.6% 67’659 Gross margin % 43.6% -1.2 ppt 40.9% +1.5 ppt 42.4% Operating costs (15’413) +11.0% (17’752) -3.7% (17’101) Operational EBIT 13
Slide 9: Results by Quarter
3. Results by Quarter In CHF millions % of sales 100 30% 90 25% ■ Continued slowing trend in 80 75.0 77.0 77.4 orders 70 67.7 20% 66.8 ■ Op. RoS stays well within target 60 15% range 58.4 48.3 50 43.2 10% ■ Tax charge stays on low level 40 35.6 30 5% ■ Net profit is still impacted by 20 additional s
Slide 10: Operating Expenses
3. Operating Expenses Q1 Q4 Q1 CHF millions % of sales 2010/11 2010/11 2011/12 Operating expenses 45 20% 15.4 17.4 17.1 in CHF million 40 18% Operating expenses 23.1% 22.5% 25.3% in % of sales 35 16% 30 14% 25 12% ■ Required structure finalized 20 10% ■ Operating expenses as a percentage of 15 8% sa
Slide 11: Financial Expense
3. Financial Expense Q1 Q4 Q1 In CHF thousands 2010/11 2010/11 2011/12 Exchange effect effect* (1’602) (1 602) (354) (2’309) (2 309) Other financial expense + income (66) 0 (30) Total (1’668) (354) (2’339) Exchange effect mainly driven by EUR and USD devaluation Hedging g gp policy: y 50% of net
Slide 12: Strategy and Outlook
4. Strategy and Outlook Q1 2011/12 results, 9 August 2011 4. Market Factors and Strategy ■ We firmlyy believe in our strategic g direction and the 4 drivers for our business remain unchanged ■ We will continue to capitalize on the drivers of LEM’s markets through ■ pure play components company ■ div
Slide 13: Outlook and Contact Details
4. Outlook ■ For 2011/12 we expect our drives business to remain robust ■ a possible rebound of the renewable business later in the year ■ ■ a ramp-up of production for various projects in the Automotive segment ■ increasing competitive pressure ■ global economic uncertainties to persist ■ The insta