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Airbus — Kepler Cheuvreux Autumn Conference 2016
15 slides from Airbus's conference presentation, Sep 15, 2016
Slide 1: Airbus Group H1 2016 Roadshow Presentation
AIRBUS GROUP H1 2016 ROADSHOW PRESENTATION KEPLER CHEUVREUX – AUTUMN CONFERENCE PARIS, 15 SEPTEMBER 2016 HARALD WILHELM CFO AIRBUS GROUP
Slide 2: H1 2016 Highlights
H1 2016 HIGHLIGHTS 2 Robust and diversified commercial backlog supporting ramp-up H1 financials driven by back-loaded delivery schedule Continued focus on ramp-up and transition A400M and A350 programme charges recognised in Q2 2016 Significant progress on strategy to focus on core – material capita
Slide 3: 2016 Guidance
2016 GUIDANCE 3 As the basis for its 2016 guidance, Airbus Group expects the world economy and air traffic to grow in line with prevailing independent forecasts, which assume no major disruptions Airbus Group confirms its 2016 earnings and Free Cash Flow guidance based on a constant perimeter: Airbu
Slide 4: 2016 Perspective on EBIT before one-off
2016 PERSPECTIVE ON EBIT BEFORE ONE-OFF 15 FX Hedging impact R&D Reduction A320 Volume A330 Volume Transition pricing 2015 2016 EBIT* EBIT* before A350 Ramp-up cost before one-off one-off €4.1bn Stable 2016 stable EBIT* before one-off at stable perimeter vs 2015 Earnings profile H2 loaded * Pre-good
Slide 5: 2016 Perspective on EPS
2016 PERSPECTIVE ON EPS 16 Share Buyback M&A / Capital gains Defence & Space Perimeter changes Programme related one-offs 2015 EPS FX one-offs 2016 EPS €3.43 Stable EPS before one-off – 2016 EPS supported by divestments Box sizes for illustration only
Slide 6: 2016 Perspective on Net Cash
2016 PERSPECTIVE ON NET CASH 17 FCF before M&A stable with 2015 Divestment proceeds / M&A Perimeter change Dividend 2015 Net Cash Share Buyback 2016 Net Cash €10 bn 2016 Net Cash supported by proceeds from divestments Box sizes for illustration only
Slide 7: Building Blocks of Shareholder Value
BUILDING BLOCKS OF SHAREHOLDER VALUE 7 End of decade Boost Performance R&D Reduction A350 Turning Profitable A320 Volume and Price FX Hedging Impact 2016 No more capital gains* EPS Defence & Space Perimeter change On track to deliver significant EPS growth potential Box sizes for illustration only *
Slide 8: Driving Cash Performance
DRIVING CASH PERFORMANCE 8 CASH CONVERSION End of decade Capex Reduction Working Capital Control Business Performance 2016 FCF (before M&A) FCF generation and increasing cash conversion by end of decade Box sizes for illustration only
Slide 9: Key Takeaways
KEY TAKEAWAYS 9 Robust and diversified backlog, supporting ramp-up plans Continued focus on ramp-up and transition EPS / FCF growth story confirmed
Slide 10: Back Up
BACK UP AIRBUS GROUP
Slide 11: H1 2016 Commercial Positioning
H1 2016 COMMERCIAL POSITIONING 11 Airbus Group Order Book* Airbus Group External by Region (by value) Revenue Split by Division 10% 19% 6% 33% 11% 8% € 978 bn* € 29 bn t/o Defence € 37 bn t/o Defence € 5 bn 18% 73% 22% Asia Pacific Europe Airbus North America Middle East Airbus Helicopters Latin Ame
Slide 12: H1 2016 Financial Performance
H1 2016 FINANCIAL PERFORMANCE 12 Revenues EBIT* before one-off 80 6 70 64 60 5 4,13 in € bn / RoS (%) 50 4 in € bn 40 3 30 6,5% 5.9% 2 20 29 29 1 1,88 10 1.68 0 0 H1 2015 H1 2016 H1 2015 H1 2016 EPS** before one-off FCF before M&A 4,00 2 3,41 1,2 3,50 2 1 in € bn 3,00 in € 2,50 1 2,00 0 1,50 -1 -1,0
Slide 13: H1 2016 Profitability
H1 2016 PROFITABILITY 13 EBIT* Performance H1 2016 EBIT* reported of € 1.9 bn 2,23 H1 2016 one-offs resulting from: 1,88 1,86 € - 1,026 m A400M LMC in € bn 1,68 € - 385 m A350 LMC € - 509 m $ PDP mismatch / BS Revaluation € + 1,139 m ASL creation H1 2015 H1 2016 € + 868 m Dassault disposal € + 85 m
Slide 14: H1 2016 Cash Evolution
H1 2016 CASH EVOLUTION 14 IN € BILLION 1.3 2.1 -3.3 -1.7 -1.2 Free Cash Flow before M&A -3.2 Temporary unavailability of European Export Credit Financing as a result of heightened compliance programme * Excluding reclassification of certain trade liabilities ** Thereof Capex of € - 1.3 bn; *** M&A t
Slide 15: Airbus Backlog and Deliveries
AIRBUS BACKLOG AND DELIVERIES 15 Airbus backlog* well aligned with regional Over 10 years production in backlog needs and demand forecast in units H1’16 Cancellation rate of 0.7% below historical levels 7 000 6 831 6 386 6 000 5 559 Europe North & CIS 4 682 Asia 5 000 4 437 America 17% / 24% Pacific
Airbus Group — Kepler Cheuvreux Autumn Conference 2016 on 6ix