Durr Ag · XETR:DUE
Durr — Dürr Aktiengesellschaft — Q1 2024 Earnings Presentation
43 slides from Durr's earnings presentation, May 14, 2024
Slide 1: Results January-March 2024
RESULTS JANUARY-MARCH 2024 Dr. Jochen Weyrauch, CEO Dietmar Heinrich, CFO May 14, 2024 Bietigheim-Bissingen
Slide 2: Disclaimer
Disclaimer This publication has been prepared independently by Dürr AG/Dürr Group (“Dürr”). It may contain statements which address such key issues as strategy, future financial results, events, competitive positions and product developments. Such forward-looking statements are subject to a number o
Slide 3: Agenda
1 Overview 2 Divisions 3 Financials 4 Outlook AGENDA 5 Summary
Slide 4: Overview: Highlights Q1 2024
1. Overview: Highlights Q1 2024 Record order intake and solid cash flow – guidance confirmed ▪ New quarterly record order intake achieved with € 1.5 bn. Large automotive order received as expected. Pipeline continues to look very solid. HOMAG order intake supported by project business with long lead
Slide 5: Overview: KPI development Q1 2024 vs. Q1 2023
1. Overview: KPI development Q1 2024 vs. Q1 2023 Solid operational development in € m Q1 2023 Q1 2024 Margin +2% +8% 1,465 1,489 1,098 +27% 1,015 -43% 53 44 42 -4% 4.9% 21 20 25 4.1% 2.1% 1.8% Incoming orders Sales revenues EBIT before Net profit Free cash flow extraord. effects ▪ Incoming orders dr
Slide 6: Overview: Quarterly record order intake
1. Overview: Quarterly record order intake High book-to-bill ratio of 1.36 in € m Book-to-bill Order intake Key aspects +1.6% +34.6% ▪ Large automotive project booked 1.44 1.36 ▪ Clean Technology Systems orders higher than last three quarters 1.00 ▪ Slow start in Production Automation but solid pipe
Slide 7: Overview: Strong demand in Germany
1. Overview: Strong demand in Germany Regional order intake with different dynamics in € m +2% ▪ Large automotive order in Germany ▪ Decline in Europe (w/o Germany) due to high base effect 1,465 1,489 ▪ USA coming down from high prior year level ▪ Slow start in China; rest of Asia stable +288% -43%
Slide 8: Dürr Group sells Danish subsidiary Agramkow
Dürr Group sells Danish subsidiary Agramkow Agramkow ▪ World leading supplier of systems for filling refrigerators, air-conditioning systems, and heat pumps with refrigerant ▪ Sales of around €45 million in 2023 ▪ Enterprise value: €47 million Transaction details ▪ Sale of Agramkow Fluid Systems A/S
Slide 9: Divisions
2 DIVISIONS
Slide 10: Divisions: Paint and Final Assembly Systems
2. Divisions: Paint and Final Assembly Systems Order intake almost on record level – solid sales and margin development Q1 2024 Q1 2023 Δ Incoming orders in € m 570.2 606.6 -6.0% Sales revenues in € m 302.9 267.6 13.2% EBIT in € m 14.2 12.4 14.4% EBIT margin in % 4.7 4.6 +0.0 ppts. EBIT before extra
Slide 11: Divisions: Application Technology
2. Divisions: Application Technology Strong start into 2024 – record order intake and high margins Q1 2024 Q1 2023 Δ Incoming orders in € m 262.2 227.2 15.4% Sales revenues in € m 144.1 141.8 1.6% EBIT in € m 15.2 9.8 55.9% EBIT margin in % 10.6 6.9 +3.7 ppts. EBIT before extraordinary effects in €
Slide 12: Divisions: Clean Technology Systems
2. Divisions: Clean Technology Systems High margins and ROCE Q1 2024 Q1 2023 Δ Incoming orders in € m 120.9 158.4 -23.7% Sales revenues in € m 114.2 100.8 13.3% EBIT in € m 6.2 1.2 414.6% EBIT margin in % 5.4 1.2 +4.2 ppts. EBIT before extraordinary effects in € m 8.8 2.2 302.1% EBIT margin before e
Slide 13: Divisions: Industrial Automation Systems
2. Divisions: Industrial Automation Systems Slow order intake in Q1 but solid pipeline – robust sales and margin Q1 2024 Q1 2023 Δ Incoming orders in € m 169.2 134.7 25.6% Sales revenues in € m 200.5 113.2 77.1% EBIT in € m 3.1 -2.5 - EBIT margin in % 1.5 -2.2 +3.8 ppts. EBIT before extraordinary ef
Slide 14: Divisions: Woodworking Machinery and Systems
2. Divisions: Woodworking Machinery and Systems Sales and margins decline as expected – order intake supported by project business Q1 2024 Q1 2023 Δ Incoming orders in € m 377.3 352.6 7.0% Sales revenues in € m 347.0 403.8 -14.1% EBIT in € m 9.2 25.3 -63.8% EBIT margin in % 2.6 6.3 -3.6 ppts. EBIT b
Slide 15: Divisions: Service business
2. Divisions: Service business Sequential improvement of service share with higher margins % of group sales Service sales in € m Key aspects Q1 ▪ High service share in automotive business; solid 29.8 29.1 27.8 28.1 service development at HOMAG 27.3 ▪ Service margin further improved Service mix Q1 20
Slide 16: Financials
3 FINANCIALS
Slide 17: Financials: Update ROCE definition
3. Financials: Update ROCE definition Updated definition of KPI with respect to operational performance and steering model Rationale Previous approach New definition ▪ Better positioning as operational KPI, ▪ Based on EBIT reported on a year-to- ▪ Based on EBIT before extraordinary avoiding impacts
Slide 18: Financials: Overview of key financial indicators
3. Financials: Overview of key financial indicators Q1 2024 Q1 2023 Δ Sales revenues in € m 1,098.4 1,014.7 8.3% Gross profit on sales in € m 242.4 231.6 4.6% Gross margin in % 22.1 22.8 -0.8 ppts. EBITDA in € m 79.7 65.9 21.0% EBIT in € m 39.7 37.7 5.3% EBIT margin in % 3.6 3.7 -0.1 ppts. EBIT befo
Slide 19: Financials: Revenue growth on track
3. Financials: Revenue growth on track Sales revenues in € m Key aspects Q1 ▪ Year-on-year growth of 8.3% despite decline at HOMAG +8.3% -17.3% ▪ China losing share as activities in other regions increase Sales per region Q1 2024 1,328 +2 pp. 1,164 -3 pp. 1,120 1,098 Germany 1,015 15% 17% Europe (w/
Slide 20: Financials: EBIT margin with solid start
3. Financials: EBIT margin with solid start EBIT margin bef. e. e.* in % EBIT bef. e. e.* in € m Key aspects Q1 ▪ Improved service share and margin 7.1 7.0 ▪ Margin decline at HOMAG compensated by other divisions 5.6 ▪ Extraordinary effects increased due to higher PPA effects 4.9 4.1 +27% 94 82 -9 6
Slide 21: Financials: Good free cash flow generation
3. Financials: Good free cash flow generation Free cash flow in € m Key aspects Q1 ▪ Higher capex level driven by HOMAG and tooling business ▪ Increased interest payments due to higher indebtedness ▪ Positive contribution from NWC development 121 5 -11 44 44 12 2 -10 25 2 15 -18 25 -50 Q1 Q2 Q3 Q4 Q
Slide 22: Financials: Net working capital stable at target level
3. Financials: Net working capital stable at target level in € m DWC NWC Key aspects Q1 48 ▪ Higher prepayments offset by lower trade payables 44 ▪ Receivables and contract assets slightly reduced vs. end of 2023 36 42 ▪ DWC at lower end of target range 34 in € m 03/31/2024 12/31/2023 03/31/2023 581
Slide 23: Financials: Net debt declined
3. Financials: Net debt declined in € m Gearing Net financial status Key aspects Q1 ▪ Net debt declined due to solid free cash flow generation 33% 31% 29% ▪ Net financial status includes € 118.4 m leasing liabilities 10% 0% -4 ▪ Leverage with 1.5x well below target of at most 2.0x -120 -517 -493 in
Slide 24: Financials: €350m green Schuldschein issued
3. Financials: €350m green Schuldschein issued Proceeds earmarked for example for operating expenses arising from taxonomy-aligned customer projects and investments in the sustainability of Group sites Tranches with three, five, and seven years maturities – fix and variable interest rates Average in
Slide 25: Financials: Comfortable liquidity headroom
3. Financials: Comfortable liquidity headroom Pro-forma incl. €350m green Schuldschein + repayment of €300m bridge in April 2024 in € bn Maturity profile (financial instruments only) in € million 2.0 1.80 250 1.5 200 0.75 150 1.0 0.05 100 0.5 0.87 50 0.11 0.0 0.13 0 Available funds Financial liabili
Slide 26: Outlook
4 OUTLOOK
Slide 27: Outlook: Strong fundamental demand drivers
4. Outlook: Strong fundamental demand drivers Our solutions help our customers achieve efficient and sustainable production Sustainable production Energy and resource efficiency KEY Enabling sustainable products for a zero CO2 society DEMAND DRIVERS Electric vehicles (EVs), wooden houses, alternativ
Slide 28: Outlook: Guidance 2024
4. Outlook: Guidance 2024 Net debt guidance adjusted – all other targets confirmed Actual 2023 Targets 2024 Incoming orders in € m 4,615.5 4,600 – 5,000 Sales revenues in € m 4,627.3 4,700 – 5,000 EBIT margin before extraordinary effects in % 6.1 4.5 – 6.0 EBIT margin in % 4.1 3.5 – 5.0 Earnings aft
Slide 29: Outlook: Breakdown of 2024 guidance by division
4. Outlook: Breakdown of 2024 guidance by division Order intake Sales revenues EBIT margin (in %) (in € m) (in € m) before e.e.* 2023 Targets 2024 2023 Targets 2024 2023 Targets 2024 Paint and Final Assembly Systems 1,476 1,450 - 1,600 1,364 1,400 - 1,500 5.1 6.0 - 7.0 Application Technology 720 600
Slide 30: Outlook: Strategy and mid-cycle targets
4. Outlook: Strategy and mid-cycle targets More than €6 billion sales targeted in 2030 Technology Life Cycle Glocal digital@Dürr Efficiency Leadership Services ▪ Global business with ▪ Most efficient and ▪ Software as ▪ Drive synergies, esp. ▪ Leverage vast 5% - 6% local supply chain sustainable pro
Slide 31: Summary
5 SUMMARY
Slide 32: Summary
5. Summary 1. Quarterly record order intake driven by a large automotive order as expected 2. Revenue growth on track; consolidation of BBS Automation and organic growth in all other divisions more than compensated HOMAG decline 3. EBIT margin before extraordinary effects with a good start overall a
Slide 33: Appendix
Appendix
Slide 34: P&L in detail
P&L in detail in € m Q1 2024 Q1 2023 Δ Sales revenues 1,098.4 1,014.7 8.3% Cost of sales -856.1 -783.1 -9.3% Gross profit on sales 242.4 231.6 4.6% Selling expenses -103.0 -97.3 -5.8% General administrative expenses -65.1 -57.8 -12.6% Research and development costs -34.7 -39.0 11.0% Other operating
Slide 35: Balance sheet highlights (1/2)
Balance sheet highlights (1/2) 03/31/2024 12/31/2023 03/31/2023 Non-current assets 1,914.8 1,916.3 1,463.8 of which goodwill and intangibles 1,071.4 1,088.8 714.4 of which property, plant and equipment 665.9 655.2 586.3 of which investment and financial assets 44.4 45.5 44.2 Current assets 3,239.4 3
Slide 36: Balance sheet highlights (2/2)
Balance sheet highlights (2/2) Equity and Liabilities in € m 03/31/2024 12/31/2023 03/31/2023 Total equity 1,200.7 1,177.0 1,139.8 of which non-controlling interests 7.2 7.1 5.6 Non-current liabilities 1,179.0 1,225.3 928.1 of which provisions 59.5 60.9 57.0 of which bond and Schuldschein loans 919.
Slide 37: Cash flow
Cash flow in € m Q1 2024 Q1 2023 EBT 29.3 32.3 Depreciation and amortization of non-current assets 40.0 28.2 Interest result 9.7 5.2 Income taxes paid -8.5 -10.9 Δ Provisions 0.0 -4.6 Δ Net working capital 13.0 8.4 Other -4.9 18.0 Operating cash flow 78.7 76.6 Interest paid (net) -12.0 -2.1 Repaymen
Slide 38: Overview: Financial figures by division (1/2)
Overview: Financial figures by division (1/2) 2024 2023 2022 Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Incoming orders in € m 570.2 570.2 606.6 400.9 258.7 209.9 1,476.0 426.6 317.8 481.9 328.0 1,554.4 Sales revenues in € m 302.9 302.9 267.6 317.0 351.0 428.0 1,363.6 232.6 288.4 331.9 41
Slide 39: Overview: Financial figures by division (2/2)
Overview: Financial figures by division (2/2) 2024 2023 2022 Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Incoming orders in € m 377.3 377.3 352.6 318.8 296.6 427.4 1,395.5 573.8 457.0 386.8 288.2 1,705.8 Sales revenues in € m 347.0 347.0 403.8 412.9 405.5 402.8 1,625.1 366.8 414.7 413.4 40
Slide 40: Overview: extraordinary effects
Overview: extraordinary effects in € m 2024 2023 2022 Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total PFS -1.0 -1.0 -0.6 1.0 -0.1 -2.0 -1.7 -0.6 -0.7 -0.5 -2.3 -4.1 thereof PPA -1.0 -1.0 -0.6 -0.6 -0.6 -0.5 -2.3 -0.6 -0.6 -0.6 -0.6 -2.4 APT -0.1 -0.1 -0.1 -0.4 -0.1 -0.1 -0.6 0.1 0.1 -0.1 -0.1
Slide 41: Shareholder structure
Shareholder structure Free float at 70.3%1 Heinz Dürr GmbH, Berlin 26.2% Heinz und Heide Dürr Stiftung, Berlin 2 Institutional and private investors, including − Candriam : 3.05% − Harris Associates: 3.02% − Members of the Dürr AG Supervisory Board: 0.12% − Members of the Dürr AG Board of Management
Slide 42: Financial calendar
Financial calendar May 2024 June 2024 ▪ 05/14/2024 Interim statement for the first quarter of 2024 ▪ 06/20/2024 Sustainability report 2023 ▪ 05/16/2024 Annual General Meeting HOMAG Group AG ▪ 05/17/2024 Annual General Meeting Dürr AG Dürr AG Corporate Communications & Investor Relations contact Andr
Slide 43: Results January-March 2024
RESULTS JANUARY-MARCH 2024 Dürr Aktiengesellschaft Carl-Benz-Str. 34 74321 Bietigheim-Bissingen Dr. Jochen Weyrauch, CEO Dürr AG Germany Dietmar Heinrich, CFO Dürr AG +49 7142 78-0 May 14, 2024 corpcom@durr.com Bietigheim-Bissingen www.durr-group.com
Dürr Aktiengesellschaft — Q1 2024 Earnings Presentation on 6ix