Slide 1: Q2 2022 Results: Resilience on a New Level
Q2 2022 RESULTS MELANIE KREIS, GROUP CFO 5 AUGUST 2022 RESILIENCE ON A NEW LEVEL 1
Slide 2: Another quarter with double-digit growth; guidance confirmed
Management comments: Looking back on Q2 2022, our performance shows another strong quarter for DPDHL based on our broad group portfolio. Double-digit growth in Group revenue and EBIT is mainly driven by the Forwarding, Freight and Supply Chain divisions while Express, eCommerce Solutions and P&P Ger
Slide 3: Group EBIT, Q2 2022
Management comments: Divisional Q2 performance was marked by the expected B2C normalization and continued tight capacity in freight markets. China lockdowns had an impact on volume growth, but also showed improvement after re-opening in June. DHL Express saw continued strong pricing and weight/shipm
Slide 4: Q2 2022 Group P&L
Management comments: Despite continued expected B2C normalization and general economic uncertainties, Group revenue grew double- digit. This growth also includes the automatic effect of fuel surcharges and other well established mechanisms to pass through cost inflation. EBIT, net profit and EPS are
Slide 5: EBIT, operating cash flow and free cash flow
Management comments: The combination of higher earnings base and expected higher tax rate led to increases in income taxes paid (€-186m yoy). Strong topline growth was reflected in increased receivables and led to a higher cash out from change in working capital of €451m yoy. Despite these effects,
Slide 6: Execution of Sustainability Roadmap in full focus
Management comments: Our Sustainability Roadmap presented in March 2021 (see here: New Sustainability Roadmap - DPDHL Group) remains in full execution. We continue to ramp-up the implementation of greener technologies in our operations and in this regard, we can highlight the 20,000th electric vehic
Slide 7: Resilience on a new level: strength through the economic cycle
Management comments: Moving from the Q2 review onto the relevant factors to consider for our guidance, it is obvious that external market circumstances are marked by a high degree of uncertainty due to a series of partly related factors (Covid pandemic, Ukraine war, inflation, …). One important stre
Slide 8: Current main financial market worries
Management comments: Besides the overall GDP uncertainty, we also address the three other major worries in financial markets currently. Wage and general inflation are inherent topics for all our operations and therefore addressed constantly through well- established mechanisms, notably yield managem
Slide 9: Levers to manage volatility through the economic cycle
Management comments: So far, we see no signs of global downturn in our financials. Nonetheless, we acknowledge the current market worries and in a scenario of global downturn, we have a set of well-established levers across our portfolio, which have been well proven in the past downturns, to counter
Slide 10: 2022 and mid-term guidance confirmed
Management comments: We today confirm our full guidance set for 2022/24 - acknowledging that different economic assumptions will lead to a range of outcomes. Our own 2024 assumptions factor in slower/below-trend GDP growth. Also, by 2024 we continue to expect freight markets to have reached a more b
Slide 11: 2022 guidance confirmed: €8bn (+/-5%)
Management comments: We have ended Q2 with continued solid momentum. However, for your better assessment, we also provide you potential downturn scenarios for H2. In essence, we would expect to deliver our EBIT in line with our guidance range in case of an economic downturn occurring sooner or later
Slide 12: Resilience on a new level
RESILIENCE CONNECTING PEOPLE. IMPROVING LIVES. ON A NEW LEVEL Significantly increased & Resilient e-commerce driven Industry-leadership cemented sustainable Free Cash Flow GDP+ growth at sustainably by strong strategic focus on generation, supporting higher earnings level digitalization and ESG attr
Slide 13: DHL Express Management Update & Hub Visit in Cologne/Bonn
ON A NEW LEVEL CONNECTING PEOPLE. IMPROVING LIVES. 8 September 2022 DHL Express Management Update & DHL Express Hub Visit in Cologne/Bonn Hosted by John Pearson, CEO DHL Express Q2 2022 RESULTS | DEUTSCHE POST DHL GROUP INVESTOR RELATIONS | 5 AUGUST 2022 REGISTER NOW 13
Slide 14: Appendices
APPENDICES RESILIENCE ON A NEW LEVEL 14
Slide 15: DHL Express
-5% yoy TDI Shipments/Day +15% yoy TDI Revenue/Day ▪ TDI revenue/day up +15%, mainly driven by higher yield and weight/shipment; TDI shipment/day -5% yoy due to expected B2C base effects and China lockdown DHL Express ▪ EBIT margin at 16% €6,993m €1,101m Revenue, Q2 2022 EBIT, Q2 2022 +17% yoy -6% y
Slide 16: DHL Global Forwarding, Freight
Air Freight (AFR) Ocean Freight (OFR) -8% yoy +81% yoy +11% yoy +93% yoy Volumes GP/unit Volumes GP/unit ▪ Once more, strong EBIT/GP conversion of 50% in DGF due to continued imbalances in freight markets but also increasing DHL Global Forwarding, utilization of and efficiencies from the new IT syst
Slide 17: DHL Supply Chain
+16% yoy Organic revenue growth 6% EBIT margin ▪ EBIT growth due to high renewal rates, new business wins, growth of strategic products and accelerated digitalization DHL Supply Chain ▪ Margin of 6%, in line with 5+% target €4,069m €244m Revenue, Q2 2022 EBIT, Q2 2022 +23% yoy +23% yoy Q2 2022 RESUL
Slide 18: DHL eCommerce Solutions
7% EBIT margin ▪ Revenue up 5% despite high B2C base effect in 2021, driven by yield management and FX effects ▪ EBIT margin maintained at high level of 7% DHL eCommerce Solutions €1,512m €109m Revenue, Q2 2022 EBIT, Q2 2022 +5% yoy -6% yoy Q2 2022 RESULTS | DEUTSCHE POST DHL GROUP INVESTOR RELATION
Slide 19: Post & Parcel Germany
Mail* Parcel +4% yoy +2% yoy -14% yoy -11% yoy Volumes Revenue Volumes Revenue ▪ Expected normalization from 2021 base effects led to volume decline in parcel (-14%) and increase in Mail (+4%) ▪ Additional cost inflation addressed through cost and pricing Post & Parcel Germany measures €3,963m €242m