Otokar Otomotiv Ve Savunma Sanayi A.s. · BIST:OTKAR
Otokar Otomotiv Ve Savunma Sanayi A.s — Investor Presentation (December 2009)
81 slides from Otokar Otomotiv Ve Savunma Sanayi A.s's investor presentation, Dec 31, 2009
Slide 1: Investor Relations Presentation 31.12.2009
INVESTOR RELATIONS PRESENTATION 31.12.2009
Slide 2: 2
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Slide 3: Agenda
AGENDA Company Profile Highlights of 2009 Financials Market Evaluation Guide & Targets of 2010 Annex Otokar in 2015 3
Slide 4: Briefly Otokar
Otokar’s Profile Briefly Otokar Otokar was In mid 80s, Otokar In early 90s, Otokar combined In 2003 Sultan founded as manufactured the its armour technology with its midibuses were Turkey’s first first Turkish experience in military vehicles added to the intercity bus armoured vehicle by developing
Slide 5: Briefly Otokar
Otokar’s Profile Briefly Otokar Launch of the Being the only By upgrading its M2010 was new midsize designer and former Corporate launched to the bus for 35 manufacturer of Management rating market and seats named MINE RESISTANT of 7,94 to 8,12 in Vectio 215T DORUK/VECTIO TACTICAL VEHICLES March 200
Slide 6: Shareholders
Otokar’s Profile Shareholders UNVER KOÇ HOLDING HOLDING 25% 45% FREE FLOAT 30% 6
Slide 7: The Firsts of Turkey
Otokar’s Profile Briefly Otokar The Firsts of Turkey: Intercity buses of Turkey Domestically manufactured minibus Domestic armoured vehicle Armoured vehicle exporter company of Turkey 4x4 tactical vehicle production 8x8 tactical armoured vehicle Hybrid bus: Doruk 160LE Hibra Mine res
Slide 8: Briefly Otokar
Otokar’s Profile Briefly Otokar Otokar is among the leading companies of Turkey on both commercial and defence industry sides with its 47 years’ experience Otokar is quoted in ISE since 1995 and 30% share of Otokar is traded on ISE. Otokar’s capex volume is around 10-15 mio $ per annum. Otokar
Slide 9: Recently Launched Products
Otokar’s Profile Recently Launched Products Doruk 230DG Doruk 160LE Hibra 6X6 Armoured Tactical Vehicle: ARMA Mine Resistant Armoured Tactical Vehicles: KAYA Vectio / Doruk 215T 12-meter Public Transport Vehicle: KENT 290H 12-meter Low Floor Public Transport Vehicle: KENT 290LF M2010 / Centr
Slide 10: Commercial Vehicles and Defence Vehicles
Otokar’s Profile Product Range COMMERCIAL VEHICLES DEFENCE VEHICLES Land Rover 4x4 Land Vehicles Minibuses Armoured Internal Security Vehicles Midibuses Mine Resistant Armoured Tactical Vehicle: KAYA 6x6 Armoured Tactical Buses Vehicle:ARMA Armoured Tactical Vehicles Trailer/Semi
Slide 11: Commercial side product range
Otokar’s Profile Product Range OTOKAR IS ONE OF THE BIGGEST COMPANIES OF TURKEY IN COMMERCIAL VEHICLE INDUSTRY. ON COMMERCIAL SIDE OTOKAR’S PRODUCT RANGE CONSISTS OF MINIBUSES, MIDIBUSES, BUSES, TRAILERS, SEMI-TRAILERS AND TANKERS. 11
Slide 12: Commercial Vehicles
Otokar’s Profile Product Range COMMERCIAL VEHICLES Minibuses Midibuses Buses Trailer/Semi-trailers, Tankers 12
Slide 13: Minibus and Midibuses
Otokar’s Profile Product Range MINIBUS and MIDIBUSES 13
Slide 14: Buses
Otokar’s Profile Product Range BUSES 14
Slide 15: Trailers/Semi-trailers and Tankers
Otokar’s Profile Product Range TRAILERS/SEMI-TRAILERS and TANKERS 15
Slide 16: Otokar proved its world class design and production capability
Otokar’s Profile Product Range Besides the success in commercial vehicles and the ability in special vehicles, Otokar proved its world class design and production capability in military tactical vehicles. 16
Slide 17: Otokar defence industry experience
Otokar’s Profile Product Range OTOKAR OTOKAR, LEADER COMPANY IN DESIGN, TEST, INTEGRATION AND PRODUCTION OF MILITARY TACTICAL VEHICLES, AFTER THE 20 YEARS DEFENSE INDUSTRY EXPERIENCE, SCORED ALMOST 1 BILLION USD DELIVERY INCLUDING EXPORTS. AFTER THE MERGER OF ISTANBUL FRUEHAUF FACTORY AND ALSO THE L
Slide 18: Adapazari / Arifiye Plant
ADAPAZARI / ARİFİYE PLANT Total area 552.000 m² Total closed area 141.303 m² 18
Slide 19: Defence Product Range
Otokar’s Profile Product Range DEFENCE PRODUCT RANGE Land Rover Defender Armoured Vehicles Armoured Personnel Carrier Scorpion Cobra Discreetly Armoured Station Wagon Armoured Internal Security Vehicle 8x8 tactical armoured vehicle Mine Resistant Troop Carrier: Kaya Arma 6X6 T
Slide 20: Land Rover Defender
Otokar’s Profile Product Range Land Rover Defender Since 1987 Production:23000 Exports:8000 (in 20 years) DEFENDER 90 DEFENDER 110 DEFENDER 130 • General Servıce • Command Control • EOD • Pickup With • ATGM Vehicle • Narcotic Vehicle Personnel Cabin • Gun Ship • FFR • Ambulance • Rapier TFU •
Slide 21: Armoured Tactical Vehicles: APC, Scorpion and Cobra
Otokar’s Profile Product Range Armoured Tactical Vehicles: APC, Scorpion and Cobra Since 1988, 1997 Armoured Personnel Carrier Scorpion Cobra • General Duty • Night Vision Patrol Vehicle • Personnel Carrier • Ambulance • Patrol Vehicle With Thermal • Recon. Vehicle With Camera Weapon • Armoured
Slide 22: Otokar Armoured Personnel Carrier Models
Otokar’s Profile Product Range OTOKAR ARMOURED PERSONNEL CARRIER MODELS Armoured Armoured Personnel Maintenance Carrier Vehicle 22 Armoured Ambulance
Slide 23: Otokar Scorpion Models
Otokar’s Profile Product Range OTOKAR SCORPION MODELS Scorpion Scorpion - 7.62mm Internal Single Machine Security Gun Ows Vehicle Scorpion 7.62mm Scorpion Twin Ground Machine Surveillance Gun With Flir 23
Slide 24: Cobra
Otokar’s Profile Product Range COBRA 24
Slide 25: Cobra 40mm Automatic Grenade Launcher
Otokar’s Profile Product Range 'COBRA’ 40mm Automatic Grenade Launcher Inventory Entrance Date: July 1997 NATO Stok No: 2320-27-005-7064 Vehicle Technical Specifications: • Continious 4x4 Wheel Drive • 6.5lt, 190 PS Turbo Diesel Engine • 6300kg Combat Weight • 9+1 Persons • With Night Vision System
Slide 26: Cobra With 12,7mm Gun Turret
Otokar’s Profile Product Range 'COBRA' With 12,7mm Gun Turret Inventory Entrance Date: July 1997 NATO Stok No: 2320-27-005-7063 Vehicle Technical Specifications: • Continious 4x4 Wheel Drive • 6.5lt, 190 PS Turbo Diesel Engine • 6300kg Combat Weight • 8+1 Persons • With Thermal Camera or Night Visio
Slide 27: Cobra Amphibious Version
Otokar’s Profile Product Range COBRA ‘Amphibious Version’ Vehicle Technical Specifications: • Continious 4x4 Wheel Drive • 6.5lt, 190 PS Turbo Diesel Engine • 6300kg Combat Weight • 6+1 Persons • 12.7mm Turret Thermal Camera or Night Vision System • Hybrid Cooling System, Automatic Bilge Pumps, With
Slide 28: Cobra Armoured Reconnaissance/Surveillance Vehicle
Otokar’s Profile Product Range COBRA Armoured Reconnaissance/Surveillance Vehicle Inventory Entrance Date :1999 Vehicle Technical Specifications: • Continious 4x4 Wheel Drive • 6.5lt, 190 Ps Turbo Diesel Engine • 6300kg Combat Weight • 2+1 Persons • Land Watching Radar, 2.Generation Thermal Camera,
Slide 29: Cobra Command Control Vehicle
Otokar’s Profile Product Range COBRA Command Control Vehicle Inventory Entrance Date: 1999 Vehicle Technical Specifications: • Continious 4x4 Wheel Drive • 6.5lt, 190 PS Turbo Diesel Engine • 6300kg Combat Weight • 2+1 Persons • Geographical Information System, Data Base, Image Clarıty System, Comba
Slide 30: Cobra EOD Vehicle
Otokar’s Profile Product Range COBRA EOD Vehicle Inventory Entrance Date: 2000 Vehicle Technical Specifications: • Continious 4x4 Wheel Drive • 6.5lt, 190 Ps Turbo Diesel Engine • 6300kg Combat Weight • 4+1 Persons • EOD Equipments • NBC Kit • Internal Driven Dozer Blade • 12.7mm M82A1 Sniper Mounte
Slide 31: Internal Security Vehicle
Otokar’s Profile Product Range INTERNAL SECURITY VEHICLE 14 TON CLASS ARMOURED VEHICLE DESIGNED FOR THE INTERNAL SECURITY OPERATIONS 31
Slide 32: Kaya Mine Resistant Troop Carrier
Otokar’s Profile Product Range KAYA Mine Resistant Troop Carrier 32
Slide 33: 8x8 Tactical Armoured Vehicle
Otokar’s Profile Product Range 8x8 Tactical Armoured Vehicle 33
Slide 34: Arma 6x6
Otokar’s Profile Product Range ARMA 6X6 34
Slide 35: Altay Main Battle Tank of Turkey
Otokar’s Profile Product Range ALTAY Main Battle Tank of Turkey 35
Slide 36: Prime Contractor of the 1st National Main Battle Tank of Turkey
Otokar’s Profile “Prime Contractor of the 1st National Main Battle Tank of Turkey” A feasibility study was performed so that a Main Turkish Battle Tank can be designed and produced locally with a genuine model to meet the needs. A tender was opened for the preparation of the design and the prototy
Slide 37: Design verification tests
Otokar’s Profile Product Range OTOKAR BESIDES THE CAPABILITIES IN THE SYSTEM INTEGRATION, OTOKAR HAS A GREAT EXPERIENCE IN DESIGN VERIFICATION TESTS BEFORE DELIVERY. 37
Slide 38: Cobra Performance Tests
Otokar’s Profile Test Activities COBRA PERFORMANCE TESTS 38
Slide 39: Cobra USA Tests
Otokar’s Profile Test Activities COBRA USA TESTS 39
Slide 40: Protection tests
Otokar’s Profile Test Activities PROTECTION EXPLOSIVE TESTS UNDER MINES VEHICLE 40
Slide 41: Research & Development
Otokar’s Profile Research & Development R&D R&D activities have been attached great importance in Otokar since its foundation. In addition to extending the present product range, Otokar also applies a permanent R&D process in terms of designing military, semi-military and commercial original produ
Slide 42: References of Otokar
Otokar’s Profile Product Range REFERENCES OF OTOKAR National and foreign customer list of Otokar who use Otokar’s defence products at last 5 years period: NATIONAL CUSTOMERS FOREIGN CUSTOMERS •LAND FORCES COMMAND •TUNUS DEFENSE MINISTRY •NAVAL FORCES COMMAND •ALGERIA DEFENSE MINISTRY •AIR FORCES COM
Slide 43: Quality Assurance
Otokar’s Profile Product Range QUALITY ASSURANCE OTOKAR HAS, ISO 9001 QUALITY ASSURANCE STANDARD, AQAP 2110 MILITARY QUALITY ASSURANCE STANDARD AND ISO 14001 ENVIRONMENTAL STANDARD CERTIFICATES. 43
Slide 44: Security certificates
Otokar’s Profile Product Range OTOKAR HAS NATIONAL SECRET AND NATO SECRET LEVEL SECURITY CERTIFICATES. 44
Slide 45: Good Design Award for Doruk LE
Otokar’s Profile Product Range GOOD DESIGN AWARD FOR DORUK 190 LE Otokar, has been granted the “Good Design Award" for Doruk 190LE model in Design Turkey Industrial Design Awards organized for the first time with cooperation of the government, industry and designers. 45
Slide 46: Grand Award went to Otokar Vectio 250T
Otokar’s Profile Product Range GRAND AWARD WENT TO OTOKAR VECTIO 250T Otokar, has been awarded with "Grand Award“ at Midi-Coach category for Vectıo 250T model in Busworld Belgium Fair in October 2009 46
Slide 47: Dealership System
Otokar’s Profile Dealership System 37 Midibus/Minibus Dealers (14 of which is abroad) 13 Trailer Dealers 74 Authorized Service Stations 47
Slide 48: Export Markets
Otokar’s Profile Export Markets Otokar’s defence vehicles are actively used in armies of 15 countries, and also in over 30 countries the commercial vehicles of Otokar are in use. 48
Slide 49: Competitive Advantages
Otokar’s Profile Competitive Advantages Having products which the industrial Unique in Defence Industry and ownership rights belong to OTOKAR Working with well known brand names Product reliability in markets Flexible plant capacity Capability to react urgent defence oriented orders Ab
Slide 50: Vision and Mission
Otokar’s Profile Vision and Mission Developing its own technology Preserving the local and national identity of its own products. Targeting persistence satisfaction of customers, employees and partners with total excellence philosophy. Desinging, manufacturing and marketing commercial vehicl
Slide 51: Highlights of 2009
HIGHLIGHTS OF 2009 Otokar-Sultan became the new leader of 7-mt midibus market with its %36,8 share. Also the new leader of the 7-9-mt midibus segment is Otokar with its %40,1 share. Defence Industry: 542 units of 861 unit of Command Control Vehicle was delivered to the Undersecretariat of Defenc
Slide 52: Financial Indicators
Otokar’s Financials Financial Indicators Total Revenue 325,3 EBITDA 44,0 Net Profit 21,9 Shareholders’ Equity 115,0 ROE (%) 19,6 Gross Margin (%) 26,1 Operating Margin (%) 11,7 EBITDA Margin (%) 13,5 Net Margin (%) 6,7 Current Ratio 1,2 Total # of Employees 1207 As of 31.12.2009 (USD mio) 52
Slide 53: Production Units
Otokar’s Financials Production Units unit 4.500 4.409 4.245 4.125 4.000 3.933 3.712 3.500 3.374 3.000 2.955 2.500 2.302 2.000 1.500 1.000 500 0 2002 2003 2004 2005 2006 2007 2008 2009 53
Slide 54: Sales Units-Distribution
Otokar’s Financials Sales Units-Distribution units EXPORT DOMESTIC 4.500 509 4.000 621 1.122 3.500 1.267 1.150 582 3.000 502 2.500 3.862 743 2.000 3.396 2.999 2.790 2.600 2.513 1.500 2.366 1.539 1.000 500 0 2002 2003 2004 2005 2006 2007 2008 2009 54
Slide 55: Sales Unit-Comparison
Otokar’s Financials Sales Unit-Comparison TRAILER MIDIBUS&BUS units 4.500 MINIBUS ARM. T.V. 4.000 1.157 L-ROVER 994 3.500 1.375 1.155 1.340 3.000 865 1.108 422 2.500 629 747 769 1.238 1.863 2.000 750 1.251 41 569 1.500 1.416 464 1.236 368 178 788 276 1.000 529 358 498 270 40 127 91 1.101 500 782 453
Slide 56: Revenue-Distribution
Otokar’s Financials Revenue-Distribution EXPORT DOMESTIC USD thousand 418.527 358.737 115.033 298.948 100.447 239.158 179.369 256.000 224.851 119.579 59.790 0 2002 2003 2004 2005 2006 2007 2008 2009 56
Slide 57: Revenue-Distribution
Otokar’s Financials Revenue-Distribution DISTRIBUTION OF REVENUES 2008 DISTRIBUTION OF REVENUES 2009 EXPORT EXPORT 31% 31% DOMESTIC 69% DOMESTIC 69% 57
Slide 58: Revenue-Composition
Otokar’s Financials Revenue-Composition 100% 11% 6% 19% 21% 18% 21% 17% 25% 80% 6% 5% 30% 5% 20% 13% 39% 20% 35% 41% 60% 39% 27% 11% 30% 3% 21% 40% 13% 13% 2% 20% 40% 34% 20% 20% 34% 31% 24% 30% 16% 10% 6% 7% 4% 0% 2002 2003 2004 2005 2006 2007 2008 2009 TRAILER ARM. T.V. LR AUTO&MIDIBUS MINIBUS 58
Slide 59: Revenue-Composition
Otokar’s Financials Revenue-Composition 100% 11% 15% 6% 80% 39% TANK 30% 60% TRAILER 3% 11% ARM. T.V. 40% LR 40% 34% AUTO&MIDIBUS 20% MINIBUS 7% 4% 0% 2008 2009 59
Slide 60: Margins
Otokar’s Financials Margins 40% 35% 26,1% 24,3% 30% 25% 13,5% 12,6% 20% 11,5% 11,7% 15% 7,3% 6,7% 10% 5% 0% 2008 2009 Gross Margin EBITDA Margin Operating Margin Net Margin 60
Slide 61: EBITDA & EBITDA Margins
Otokar’s Financials Ebitda & Ebitda Margins USD thousand 50.000 13,5% 14% EBITDA 12,6% 13,9% 45.000 EBITDA Margin 11,3% 12% 40.000 43.995 11,3% 35.000 10% 46.453 9,7% 41.388 30.000 8% 24.500 8,0% 25.000 6% 20.000 24.500 15.000 4% 16.961 10.000 13.694 2% 5.000 0 0% 2003 2004 2005 2006 2007 2008 2009
Slide 62: Net Profit & Net Margin
Otokar’s Financials Net Profit & Net Margin USD thousand 35.000 14% Net Profit 12,3% Net Margin 32.260 30.000 12% 29.463 25.000 10% 26.880 21.887 20.000 7,2% 8,8% 8% 15.000 7,3% 6,7% 6% 15.453 4,1% 3,3% 10.000 4% 5.000 2% 6.972 5.818 0 0% 2003 2004 2005 2006 2007 2008 2009 62
Slide 63: Dividend Performance
Otokar’s Financials Dividend Performance USD thousand 25.758 14% 25.000 11% 12% 21.343 20.000 10% 8% 15.000 8% 6% 13.549 6% 10.729 5% 5% 5% 6% 10.000 4% 7.155 4% 5.000 4.761 3.192 2.660 0% 2% 0 0 0% 2001 2002 2003 2004 2005 2006 2007 2008 2009 Dividends Dividend Yield 63
Slide 64: Stock Performance
Otokar’s Financials Stock Performance As of Dec 31 2009 25 70.000 OTOKAR ISE-100 60.000 20 50.000 15 40.000 OTKAR (TL) 30.000 10 20.000 5 10.000 0 0 06.07 03.09 01.06 05.06 09.06 02.07 10.07 02.08 07.08 11.08 08.09 12.09 64
Slide 65: MCAP
Otokar’s Financials MCAP USD million MCAP USD 247 mio 500 450 400 350 300 250 200 150 100 50 0 05.06 01.06 09.06 02.07 06.07 10.07 02.08 07.08 11.08 03.09 08.09 12.09 65
Slide 66: Capital Expenditure
Otokar’s Financials Capital Expenditure USD thousand 60.000 61.917 50.000 40.000 30.000 20.000 10.867 8.022 10.000 2.570 4.873 3.281 1.084 1.143 2.575 0 2001 2002 2003 2004 2005 2006 2007 2008 2009 66
Slide 67: Market Share-Midibus-Bus
Market Evaluation Market Share-Midibus-Bus Midibus-Bus - Niche Market Market Size units Market Share 5.250 45% 4.516 40% 40% 4.500 4.192 4.208 3.809 3.660 35% 3.750 32% 30% 2.694 3.000 25% 26% 2.205 20% 2.250 22% 1.498 21% 15% 1.500 17% 17% 10% 750 2% 5% 0 0% 2002 2003 2004 2005 2006 2007 2008 2009
Slide 68: Competitors: Midibus-Bus 2009
Market Evaluation Competitors Midibus-Bus-2009 Niche Market OTOYOL BMC 5% 2% OTOKAR TEMSA 40% 28% ISUZU 25% 68
Slide 69: Market Share-Minibus
Market Evaluation Market Share-Minibus units Minibus - Niche Market 1.750 Market 100% 95% Market Share 96% 1540 1.500 87% 89% 85% 80% 1290 1.250 74% 65% 60% 1.000 905 793 750 709 655 40% 549 39% 500 430 20% 250 0 0% 2002 2003 2004 2005 2006 2007 2008 2009 69
Slide 70: Competitors: Minibus 2009
Market Evaluation Competitors Minibus-2009 Niche Market BMC 26% OTOKAR 74% 70
Slide 71: 2010 Guide
2010 Guide • Vehicles with higher margins to new markets • New models for commercial vehicles with the support of R&D • Exports of new models of Vectio, Navigo & Centro to abroad • Tender result of the Undersecretariat for Defence Industries may be announced till the end of the year 2010 • İstanbul
Slide 72: 2010 Targets
2010 Targets Revenue 350 million USD Exports 110 million USD Capex 10-15 million USD 72
Slide 73: Annex
ANNEX Summary Profit & Loss Statement (IFRS) Summary Balance Sheet (IFRS) Summary Cash Flow Statement (IFRS) Most recent Sales Volume and Production Figures Summary Working Capital 73
Slide 74: Annex: Summary Profit & Loss Statement
ANNEX SUMMARY-Profit&Loss Statement 74
Slide 75: Annex: Summary Balance Sheet
ANNEX SUMMARY-Balance Sheet 75
Slide 76: Annex: Summary Cash Flow Statement
ANNEX SUMMARY-Cash Flow Statement 76
Slide 77: Annex: Summary Cash Flow Statement
ANNEX SUMMARY-Cash Flow Statement 77
Slide 78: Annex: Most Recent Sales & Production Figures
ANNEX Most Recent Sales&Production Figures 78
Slide 79: Annex: Summary Working Capital
ANNEX SUMMARY-Working Capital 79
Slide 80: Otokar in 2015
OTOKAR in 2015 Revenue more than 400 million USD Exports to be the 1/3 of the revenue Growth with the products of which industrial and property rights belonging to Otokar High dividend yield Increasing the company market value Satisfied shareholders 80
Slide 81: Contacts
CONTACTS Hüseyin Odabaş Assist.Gen.Manager (Finance) (90 264) 229 22 44 – 451 hodabas@otokar.com.tr Yasemin Orhon Finance Section Manager (90 264) 229 22 44 – 411 yorhon@otokar.com.tr Ö.Ahmet Özerol Finance Section Investor Relations Assistant (90 264) 229 22 44 – 422 aozerol@otokar.com.tr 81
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