Slide 1: Aspo Year 2012 and Q4
Aspo Year 2012 and Q4 February 14, 2013 CEO Aki Ojanen CFO Arto Meitsalo CTO Harri Seppälä
Slide 2: Aspo's strategy
Aspo’s strategy • Aspo is a conglomerate that owns and continually develops its business operations and structure without predefined schedules. • Business operations focusing on B-to-B customers. • Business operations in northern Europe and growth markets. • Company brands: ESL Shipping, Leipurin, T
Slide 3: Main events and operating result in 2012
Main events and operating result in 2012 • The profit targets were not achieved. • The tonnage tax act, which was approved in the spring, has improved the Group's tax efficiency. The last vessels of the investment program were received in the first half of the year. • The fourth quarter was the best
Slide 4: Net sales and operating profit 2008–2012
Net sales and operating profit 2008–2012 Net sales Operating profit 500 476,3 481,6 50 395,9 400 40 358,2 329,4 300 30 200 20 100 10 0 0 * Continuing operations 4
Slide 5: Net sales / segment 2011–2012
Net sales / segment 2011–2012 MEUR Change, % 600 +1% 476.3 481.6 500 -7% 400 +12% 300 200 +2% 100 -22% 0 2011 2012 ESL Shipping Leipurin Telko Kaukomarkkinat 5
Slide 6: Operating profit / segment
Operating profit / segment MEUR 2012 2011 Change, % ESL Shipping 3.7 10.5 -65 Leipurin 4.0 5.7 -30 Telko 8.4 8.6 -2 Kaukomarkkinat -0.6 1.4 -143 Other operations -4.9 -4.7 -4 Total 10.6 21.5 -51 6
Slide 7: Net sales / market areas
Net sales / market areas MEUR 2012 2011 Change, % Finland 158.9 181.2 -12 Nordic countries 42.6 48.8 -13 Baltic countries 49.4 50.6 -2 Russia, Ukraine + other CIS 157.8 122.6 29 Other countries 72.9 73.1 0 Total 481.6 476.3 1 7
Slide 8: Aspo countries of operation
Aspon Aspo toimipisteet countries of operation 8
Slide 9: Net sales 2008-2012 Russia, Ukraine + other CIS countries
Net sales 2008-2012 Russia, Ukraine + other CIS countries MEUR 180 157,8 160 140 122,6 120 100 88,5 80 61,1 60 56,2 40 20 0 2008 2009 2010 2011 2012 9
Slide 10: Main events in Q4
Main events in Q4 • Operatively the best quarter; operating profit amounted to EUR 3.4 million (excluding sales gains). • ESL Shipping reported a satisfactory result: gross margin was on the previous year's level at EUR 3.9 million. • Growth continued in the eastern markets. Telko's and Leipurin's p
Slide 11: Group net sales quarterly 2010–2012
Group net sales quarterly 2010–2012 MEUR 140 130,1 121,3 120 109,1 100 80 60 40 20 0 Q4/10 Q1/11 Q2/11 Q3/11 Q4/11 Q1/12 Q2/12 Q3/12 Q4/12 11
Slide 12: Group operating profit quarterly 2010–2012
Group operating profit quarterly 2010–2012 MEUR 9 8 7 6 5,5 5,0 5 4 3,6 3 2 1 0 Q4/10 Q1/11 Q2/11 Q3/11 Q4/11 Q1/12 Q2/12 Q3/12 Q4/12 12
Slide 13: Net sales and operating profit Q1-Q4
Net sales and operating profit Q1-Q4 2011/2012 Q1 Q2 Q3 Q4 Cum. Net sales 108.8 123.0 119.7 130.1 481.6 MEUR 106.7 124.6 123.7 121.3 476.3 Operating profit 0.3 3.8 2.9 3.6 10.6 MEUR 2.9 5.2 8.4 5.0 21.5 13
Slide 14: Aspo business operations
ht ASPO Aspo business operations
Slide 15: Integral part of Finnish security of supply
Intergral part of Finnish security of supply
Slide 16: ESL Shipping Q4 2012
ESL Shipping Q4 2012 • Global prices of dry bulk cargo continued to be at a record low. • Transportation volumes in the Baltic Sea were at a satisfactory level. • The steel industry continues to run a reduced production capacity. Because of high water stocks, coal transport volumes were below normal
Slide 17: ESL Shipping net sales and operating profit 2008–2012
ESL Shipping net sales and operating profit 2008–2012 Net sales Operating profit MEUR 100 50 93,1 84,1 79,5 80 40 72,3 63,8 60 30 40 20 20 10 0 0 Not including the sales gains of vessels 17
Slide 18: ESL Shipping key figures Q4
ESL Shipping key figures Q4 Q4/12 Q4/11 Change, % Net sales, MEUR 18.4 22.1 -17 Operating profit, MEUR 2.0 2.7 -26 Personnel 219 211 4 18
Slide 19: Expert in flavors and structure
Expert in flavors and structure
Slide 20: Leipurin Q4 2012
Leipurin Q4 2012 • Prices of basic raw materials in the food industry have stabilized at a high level. • The fourth-quarter operating profit was the best in the year. • Net sales and profitability of bakery raw materials grew steadily. • Net sales in Russia, Ukraine, and other CIS countries increase
Slide 21: Leipurin net sales and operating profit 2008–2012
Leipurin net sales and operating profit 2008–2012 Net sales Operating profit 140 7 131,1 128,2 120 6 108,7 99,3 100 5 80 4 69,3 60 3 40 2 20 1 0 0 21
Slide 22: Leipurin key figures Q4
Leipurin key figures Q4 Q4/12 Q4/11 Change, % Net sales, MEUR 36.8 35.1 5 Operating profit, MEUR 1.7 1.8 -6 Personnel 281 275 2 22
Slide 23: Net sales in Russia, Ukraine + other CIS countries Q4 2007–2012
Net sales in Russia, Ukraine + other CIS countries Q4 2007–2012 MEUR 14 13,0 12 11,4 10 8 7,0 6,6 6 5,6 5,4 4 2 0 Q4/07 Q4/08 Q4/09 Q4/10 Q4/11 Q4/12 Leipurin has been part of Aspo Group as of 5/2008 23
Slide 24: Leading expert in chemicals and plastic raw materials
Leading expert in chemicals and plastic raw materials
Slide 25: Telko Q4 2012
Telko Q4 2012 • Prices of sold raw materials decreased and remained at a good level. • The net sales and profitability of the plastics business area improved. • The sales and profitability of industrial chemicals decreased. • Net sales in Russia, Ukraine and other CIS countries grew moderately to EU
Slide 26: Telko net sales and operating profit 2008–2012
Telko net sales and operating profit 2008–2012 Net sales Operating profit 250 237,7 10 211,6 200 8 172,7 175,2 150 6 128,8 100 4 50 2 0 0 26
Slide 27: Telko key figures Q4
Telko key figures Q4 Q4/12 Q4/11 Change, % Net sales, MEUR 59.4 52.3 14 Operating profit, MEUR 1.4 1.3 8 Personnel 265 230 15 27
Slide 28: Net sales in Russia, Ukraine + other CIS countries Q4 2007–2012
Net sales in Russia, Ukraine + other CIS countries Q4 2007–2012 MEUR 35 30,8 30 28,3 25 20 18,3 15 11,1 9,8 9,3 10 5 0 Q4/07 Q4/08 Q4/09 Q4/10 Q4/11 Q4/12 28
Slide 29: Expert in energy efficiency
Expert in energy efficiency
Slide 30: Kaukomarkkinat Q4 2012
Kaukomarkkinat Q4 2012 • Net sales grew, which was particularly due to a project in China recognized as income. • Investments were increased in line with the new strategy, which also increased the cost level and resulted in a negative operating profit. • The cleantech product offering has been expan
Slide 31: Kaukomarkkinat net sales and operating profit 2008–2012
Kaukomarkkinat net sales and operating profit 2008–2012 Net sales Operating profit 50 5 43,4 40,5 4 40 36,4 32,5 30,8 3 30 2 20 1 10 0 0 -1 31
Slide 32: Kaukomarkkinat key figures Q4
Kaukomarkkinat key figures Q4 Q4/12 Q4/11 Change, % Net sales, MEUR 15.5 11.8 31 Operating profit, MEUR -0.3 0.1 -400 Personnel 94 85 11 32
Slide 33: Financing
ht ASPO Financing Harri Seppala
Slide 34: Equity ratio and gearing
Equity ratio and gearing % 200 180 160 153,3 148,4 140 131,6 120 115,8 116,3 101,5 100 94,4 93,1 94,1 80 60 40 33,2 33,7 34,2 35,2 32,9 31,7 29,0 29,2 27,7 20 0 Q4/10 Q1/11 Q2/11 Q3/11 Q4/11 Q1/12 Q2/12 Q3/12 Q4/12 Equity ratio Gearing 34
Slide 35: Operational cash flow
Operational cash flow MEUR 16 15,8 14 12 9,7 10 8,8 8 7,1 5,9 6 5,1 4 2 0 -2 -4 -2,9 -6 -4,8 -8 -8,1 -10 Q4/10 Q1/11 Q2/11 Q3/11 Q4/11 Q1/12 Q2/12 Q3/12 Q4/12 35
Slide 36: Interest bearing liabilities and net debt
Interest bearing liabilities and net debt MEUR 160 140 134,4 120 127,3 118,7 111,0 100 80 87,0 82,0 81,6 78,1 70,6 60 40 20 0 Q4/10 Q1/11 Q2/11 Q3/11 Q4/11 Q1/12 Q2/12 Q3/12 Q4/12 Net debt Cash and cash equivalents 36
Slide 37: Maturity of loan agreements Q4 2012
Maturity of loan agreements Q4 2012 MEUR 60 40,0 50 40 42,0 20,0 30 20 20,0 10,0 10 5,0 5,0 5,0 0 2013 2014 2015 2016 2017+ Loans Covertible capital loan Revolving credit facilities Commercial papers, overdraft facilities, and financial leasing agreements not included
Slide 38: Liquidity Q4 2012
Liquidity Q4 2012 MEUR Total In use Revolving credit facilities 60.0 20.0 Commercial paper program 50.0 28.0 Cash and cash equivalents 21.4 Interest-bearing liabilities which will mature within one (1) year total EUR 55.9 million. Cash + binding unutilized revolving credit facilities total EUR 61.4
Slide 39: Financials
ht ASPO Financials Arto Meitsalo
Slide 40: Income statement and key figures
Income statement and key figures MEUR 2012 2011 Net sales 481.6 476.3 Depreciations -10.8 -8.2 Operating profit 10.6 21.5 Net financial expenses -3.2 -4.0 Profit before taxes 7.4 17.4 Profit for the period 10.8 13.3 2012 2011 Earnings/share, EUR 0.36 0.45 Equity ratio, % 29.2 35.2 Equity/share, EUR
Slide 41: Balance sheet
Balance sheet Assets Shareholders’ equity and liabilities 350 350 311.2 311.2 300 300 268.9 268.9 86,6 250 250 124,7 72,2 68,4 200 50,8 200 43,1 150 150 108,0 96,3 100 100 173,8 153,6 50 50 92,5 90,2 0 0 2012 2011 2012 2011 Non-current assets Shareholders' equity Inventories Long-term liabilities Ca
Slide 42: Investments excl. acquisitions
Investments excl. acquisitions 45 40 35 30 25 20 38,8 15 26,8 10 18,8 5 11,1 3,1 0 2008 2009 2010 2011 2012 ESL Shipping Leipurin Telko Kaukomarkkinat Other operations 42
Slide 43: Financial targets
Financial targets Return on investment, return on equity Group on the whole ROI, % ROE, % 45 45 40 40 35 35 30 30 25 25 25,7 25,4 24,1 20 20 18,5 15 15 16,4 15,2 12,7 12,5 13,0 10 11,1 10 11,8 5 5 5,4 0 0 2007* 2008* 2009* 2010 2011 2012* 2007* 2008* 2009* 2010 2011 2012* Target * Including non-recu
Slide 44: Financial target
Financial target Operating profit, % 8 7 6 5 4 1,7 3 2 4,5 4,5 3,9 0,5 2,9 1 1,7 0 2008 2009 2010 2011 2012 Excluding non-recurring sales gains and losses Non-recurring sales gains and losses Target 44
Slide 45: Personnel Q4/2012 Group total 871
Personnel Q4/2012 Group total 871 Share of Group personnel Distribution per country Other Other operations countries Kaukomarkkinat 1% ESL Shipping Russia, 8% Finland 11% 25% Ukraine 52% other CIS 29% Baltic Telko countries 31% Leipurin 8% Nordic countries 32% 3% 45
Slide 46: Shareholders / allocation
Shareholders / allocation Share Q4/2012 Number of shareholders 7000 Personnel 6497 fund 6183 Non-domestic 0.3% Institutions 6000 5760 & nominee 23.2% registrations 5036 4860 5161 2.0% 5000 4000 3000 2000 1000 Manage- ment Private investors 2.3% 0 56.1% Board 16.0% 46
Slide 47: Market value
Market value Share price, EUR Market value, MEUR (incl. own shares) Closing Average 10,00 250 222 8,26 211 198 8,00 200 6,80 156 5,90 6,39 6,00 150 4,03 106 4,00 100 2,00 50 0,00 0 Aspo started its rights issue on April 6, 2011. Share prices before this date are historical prices (not adjusted). 47
Slide 48: Dividend proposal 2012
Dividend proposal 2012 • “On average, Aspo will pay approximately at least half of its earnings as dividends.” • “The aim is to increase shareholder value.” • The Board of Directors proposes a dividend of EUR 0.42 per share to the Annual Shareholders’ Meeting. 48
Slide 49: Financial targets
Financial targets Dividend/earnings, adjusted for rights issue EUR 1,00 0,80 0,60 0,56 0,57 0,45 0,40 0,42 0,42 0,40 0,40 0,40 0,40 0,38 0,36 0,31 0,20 0,00 2007 2008 2009 2010 2011 2012* Effective dividend yield 6.5 % 10.4 % 7.1 % 5.1 % 6.2 % Dividend (2011 repayment of capital) Earnings per share
Slide 50: Outlook for 2013
ht ASPO Outlook for 2013
Slide 51: Expectations for Aspo Group in 2013
Expectations for Aspo Group in 2013 • Aspo has good preconditions to improve its profitability and continue its organic growth. • The share of growth markets (i.e., Russia, CIS, Ukraine, China, the Baltic region, and Poland) of the Group’s sales will continue to increase. • Having completed its inve
Slide 52: Guidance for 2013
Guidance for 2013 – Aspo aims to increase its operating profit and to achieve the previous year’s level in net sales. 52
Slide 53: Next interim report Q1 on April 29, 2013
Next interim report Q1 on April 29, 2013