Slide 1: Gurit Full Year 2013 Results
Gurit Full Year 2013 Results Zürich, March 14, 2014
Slide 2: Forward-looking statements
This presentation may include forward-looking statements that reflect the intentions, beliefs or current expectations and projections of Gurit Holding AG about the future results of operations, financial condition, liquidity, performance and similar circumstances. Such statements are made on the bas
Slide 3: Key Messages on FY 2013 Business Result (1)
Key Messages on FY 2013 Business Result (1) Sales: Difficult development – extremely difficult HY1, better HY2 Sales contraction 2013 of 19.9% from CHF 351 million to CHF 281 million, mostly due to turbulent Wind Energy market Wind Energy: Recovery in HY2 2013, better outlook for 2014 Non-Wi
Slide 4: Key Messages on FY 2013 Business Result (2)
Key Messages on FY 2013 Business Result (2) Group CHF 281.1 million; -19.9% Wind Energy CHF 117.4 million; -42.6% Net sales by Aero CHF 46.9 million; -2.3% area 2013 Industrial & Marine CHF 62.9 million; +9.4% %Chg. vs 2012 Tooling CHF 32.8 million; +31.3% Automotive CHF 15.0 million; +24.1% Eng. St
Slide 5: Net Sales Development by Target Market
Net Sales Development by Target Market CHFm 140 Gurit Composite Materials Wind Energy Aerospace Industrial & Marine 120 Growth in material sales to the 100 Wind Energy market has 80 stopped sharply in Q4 2012 60 but started to recover in 2013 40 Stable Aerospace sales 20 Growing sales in Marin
Slide 6: Strategy Deployment 2013 – Key Points
Strategy Deployment 2013 – Key Points New organizational structure implemented Gurit Composite Materials and Gurit Sytems and Engineering 12 strategic projects for future, profitable, and better-balanced growth Continuation of earlier de-risking strategies Focus on higher, value-adding in th
Slide 7: Development by Target Markets
Development by Target Markets
Slide 8: Wind Energy
Wind Energy Slide 8 Wind Energy
Slide 9: Wind Energy – Strategy and Achievements
Wind Energy – Strategy and Achievements Strategy GW installed annually* Core materials: move from #3 to #2 50 45 position with 25-35% market share 40 Carbon fibre prepregs: maintain/expand 35 30 America leading position with shares >60% 25 Asia / Pacific Better utilize prepreg factories again
Slide 10: Wind Energy – Results and Outlook
Wind Energy – Results and Outlook Market environment 2013 CHFm Wind Energy: Annual Net Sales USA – some recovery in 2013 after complete 250 halt in Q4 2012 due to delay in PTC renewal 200 Asia – gradual improvement in 2013 but 150 overcapacity, price pressure and bad payment 100 conditions requi
Slide 11: Aerospace
Aerospace Slide 11 Aerospace
Slide 12: Aerospace Strategy and Achievements
Aerospace Strategy and Achievements Strategy Industry Growth Potential – CHFm Maintain leading position in aircraft interiors 600 Accessible Market and certain structural applications at Airbus 500 Develop position at Boeing and others 400 Attack structural material market for business 300 200
Slide 13: Aerospace Results and Outlook
Aerospace Results and Outlook Market environment CHFm Aerospace & Rail: Annual Net Sales 80 Steady Aerospace market Some cost-out pressures creating 60 new offering opportunities, as well 40 20 Sales 2013 0 Net sales of CHF 46.9 million 2009 2010 2011 2012 2013 Down 2.3% vs. 2012, due to Aer
Slide 14: Industrial & Marine
Industrial & Marine Slide 14 Industrial & Marine
Slide 15: Industrial & Marine – Strategy and Achievements
Industrial & Marine – Strategy and Achievements Strategy Marine CHFm Marine Growth Potential 150 Penetrate all geographies and segments Mediterranean, Middle East and Far East All boat sectors incl. commercial, military 100 and production vessels Asia / Pacific North A me rica Europe Strategy
Slide 16: Industrial & Marine – Results and Outlook
Industrial & Marine – Results and Outlook CHFm Industrial and Marine: Annual Net Sales Market environment 70 Marine business recovering gradually with 60 more momentum in super yacht and race 50 boats, regionally in Europe and UAE 40 Increasing sales to non-marine customers 30 Australia and Ne
Slide 17: Tooling
Tooling Slide 17 Tooling
Slide 18: Tooling – Strategy and Achievements
Tooling – Strategy and Achievements Strategy Asia: Leader in affordable, quickly available quality moulds for wind turbine blades Internationally: High quality, custom tailored, affordable, quick and higher-volume mould making and outsourcing partner of choice Penetrate residual European and A
Slide 19: Tooling – Results and Outlook
Tooling – Results and Outlook Market environment CHFm Tooling: Annual Net Sales Cyclical, fully hit from HY2 2012 until HY1 2013 50 China/India: almost stand-still in HY2 2012, 40 slight recovery in HY1 2013 Pre-acquisition Europe: Good demand 30 20 Sales 2013 10 Net sales of CHF 32.8 millio
Slide 20: Automotive
Automotive Slide 20 Automotive
Slide 21: Automotive – Strategy and Achievements
Automotive – Strategy and Achievements Strategy Automotive Pursue two strategic avenues Further grow client/project base for complex, smaller CHFm Size of new Automotive press technology parts market series, class A, lightweight exterior car body panels Launch press moulded, class A, up to 200
Slide 22: Automotive – Results and Outlook
Automotive – Results and Outlook Market environment CHFm Automotive: Annual Net Sales 20 Increasing interest of the Automotive market for composite material solutions 15 10 Sales 2013 5 Net sales of CHF 15.0 million 0 Up +24.1% vs. 2012 thanks to larger 2009 2010 2011 2012 2013 series and incr
Slide 23: Engineered Structures
Engineered Structures Slide 23 Corporate
Slide 24: Engineered Structures – Strategy, Achievements
Engineered Structures – Strategy, Achievements Strategy Establish Gurit early in new applications in existing and newly emerging or converting industries Leverage leading composites engineering, prototyping, tooling and manufacturing capabilities Assess new industry trends and approach key pla
Slide 25: Engineered Structures – Results and Outlook
Engineered Structures – Results and Outlook Market environment CHFm Eng. Structures: Quarterly Net Sales Hardly any existing market data 2 Engineering for marine, construction and new special projects Promote Gurit as expert of complex, big, 1 lightweight structures Sales 2013 Net sales of C
Slide 26: Financial Results 2013
Financial Results 2013 Gurit ==*EZZ<«£=&===«_— |
Slide 27: Net Sales Analysis by Market
Net Sales Analysis by Market Low sales in Composite Materials but solid growth in Systems and Engineering Net sales in CHFm 351.0 281.1 • Drop in Wind Energy sales Materials Systems & Engineering overshadows sales growth to the Marine and Industrial 195.6 155.4 129.7 151.4 markets. • Wind Energy sal
Slide 28: Operating profit and EBIT development
Operating profit and EBIT development Operating profit of 3.9% during 2HY 2013, recovering from low 0.5% during 1HY 2013 Operating profit (CHFm) EBIT (CHFm) 17.2 13.9 17.2 12.7 • Increasing operating profit of 3.9% 5.9 6.5 during 2HY 2013 vs. 1HY 2013, thanks to 5.9 6.5 0.6 -3.3 -4.5 • better loadin
Slide 29: Operating profit bridge FY 2012 to FY 2013
Operating profit bridge FY 2012 to FY 2013 Volumes, sales price reductions, and some production inefficiencies burdened the operating profit Slide 29 Corporate
Slide 30: Exchange result and Tax
Exchange result and Tax Stable exchange result, tax charge continues to be impacted by non tax effected losses Exchange result in CHFm 0.9 • Small exchange loss mainly due to the weakening of the 0 -0.8 -0.7 -0.8 USD against EUR and GBP -1.6 1HY 2HY 1HY 2HY FY 2012 FY 2013 2012 2012 2013 2013 Income
Slide 31: Net Result FY 2013
Net Result FY 2013 Break-even net result for the full year 2013 after a loss of 2.4 CHFm during 1HY 2013 Consolidated P&L 2013 2012 CHFm % NS CHFm % NS Net sales 281.1 100.0% 351.0 100.0% Gross margin 130.6 46.5% 154.6 44.0% Operating expenses -125.8 -44.7% -127.7 -36.4% Operational profit before on
Slide 32: Cash Flow
Cash Flow Decreased , though still positive cash flow from operating activities, and stable net cash position Group Consolidated Cash Flow 2013 2012 Cash flow from operating activities in CHFm CHFm CHFm 48.3 EBIT 6.5 13.9 Depreciation, amortisation, impairment 11.3 22.6 Change in working capital -5.
Slide 33: Balance Sheet
Balance Sheet Stable, strong equity ratio of 71% thanks to reduced asset basis. CONSOLIDATED ASSETS Dec 2013 Dec 2012 • A tighter cash management enabled CHFm % CHFm % Cash and cash equivalents 23.1 10% 37.3 16% the decrease of cash Trade receivables 63.0 28% 61.1 26% and borrowings Inventories 37.5
Slide 34: Outlook 2014
Outlook 2014 Gurit ==*EZZ<«£=&===«_— |
Slide 35: Outlook 2014
Outlook 2014 Net Sales: No exact guidance at this point but a significant recovery is expected due to: Wind Energy Materials: Steadier demand in the US, some improved market position in the Chinese market and additional volume in core material sales (PVC, Balsa) Other Composite Materials: Steady