Autoneum Holding AG · SIX:AUTN
Autoneum — FY2012 Earnings Presentation
35 slides from Autoneum's earnings presentation, Mar 20, 2013
Slide 1: 2012 Annual Results
2012 Annual Results March 20, 2013
Slide 2: Agenda
Agenda 1. Review of business year 2012 Martin Hirzel, CEO 2. Financial results Urs Leinhäuser, CFO & Deputy CEO 3. Strategy and outlook 2013 Martin Hirzel, CEO
Slide 3: Highlights 2012: Sales
Highlights 2012 Sales • Increased net sales in all regions • Market shares gained • Business with premium car manufacturers compensated for declining sales to South European OEMs • Well taken advantage of market boom in North America • Asia: new customer orders for future growth acquired + 2012 Annu
Slide 4: Highlights 2012: Financials
Highlights 2012 Financials • EBIT-Margin doubled to 4.0% • Positive EPS • Return exceeded the cost of capital • Equity ratio increased • First time proposal of dividend payment 2012 Annual Results . March 20, 2013 4
Slide 5: Highlights 2012: Strategy
Highlights 2012 Strategy • Progress achieved in all strategic priorities through launch of specific projects • Autoneum brand and positioning as a market leader in acoustics and thermal management further strengthened • Additional lightweight innovations released to support CO2 reductions • Identity
Slide 6: Financial results
Financial results Urs Leinhäuser, CFO & Deputy CEO
Slide 7: Introduction financial results
Introduction financial results Outlook 2012 Achievements 2012 Sales • Outperforming market development • Market growth 6.1% • Autoneum’s growth 12.5% Operating results • Enhanced operating performance, • EBIT-Margin Group doubled especially in Europe • EBIT BG Europe +13.6 Mio. CHF Mid-term financia
Slide 8: Net sales: Significant growth thanks to global presence
Net sales Significant growth thanks to global presence Mio. CHF • Growth above market Sales 2011: 1’682 development based on Sales 2012: 1’908 global presence, broad BG SAMEA customer portfolio and leading technological BG Asia 7% position 5% (8%) (6%) • BG North America with rising share in Autoneu
Slide 9: Net sales development: Organic growth in local currencies
Net sales development Organic growth in local currencies Mio. CHF CHF million • Organic growth in all regions Net Sales 2011 1’682.4 • Growth also in Europe BG Europe +7.2 despite adverse economic trends BG North America +185.9 +206.2 Mio. CHF • Sales growth (+12.5%) outstripping market BG Asia +2.5
Slide 10: Operating result (EBITDA)
Operating result (EBITDA) EBITDA improved considerably Mio. CHF Margin Margin • EBITDA rose 6.2% 7.6% 160 considerably by 38.8% 144.6 to 144.6 million CHF • EBITDA margin equals 120 7.6% of net sales and 104.2 increased by 1.4% points 80 • EBITDA increase mainly driven by consistent implemen- 40 tat
Slide 11: Operating result (EBIT)
Operating result (EBIT) All Business Groups with positive EBIT Margin Margin Mio. CHF 2.1% 4.0% • EBIT more than 80 75.5 doubled from 34.9 to 2.8 8.8 75.5 million CHF 60 • EBIT margin almost 34.9 doubled to 4.0% of net 7.2 sales 40 5.8 60.1 • All BGs recorded a positive EBIT for the 20 29.9 first ti
Slide 12: Operational Excellence
Operational Excellence Further progress in cost reduction • Operational Excellence 20121 20111 Progress2 was the decisive factor Material costs 51.6% 52.1% 0.5% for increased profitability Employee costs 27.2% 27.7% 0.5% • Profitability was Other operating considerably improved expenses 14.1% 14.4%
Slide 13: Net profit
Net profit Net profit improved and positive EPS CHF million 2012 2011 • Net profit before taxes increased from 12.6 to Net sales 1’907.7 1’682.4 54.0 million CHF mainly EBITDA 144.6 104.2 due to improved EBIT Operating result before 75.5 34.9 • Tax rate improved, but interest and taxes (EBIT) still
Slide 14: RONA: Economic value created
RONA Economic value created Mio. CHF • RONA exceeded 10 9.5% WACC for the first time 8.7% WACC • RONA more than 8 doubled to 9.5% (2011: 4.1%) 6 • Value created and financial milestone 4.1% reached earlier than 4 targeted 2 0 2011 2012 2012 Annual Results . March 20, 2013 14
Slide 15: Cash flows
Cash flows Positive free cash flow CHF million 2012 2011 • Strong improvement in cash flow mainly based Net profit 28.7 2.3 on the improvement of Depreciation and amortization and other 66.5 70.6 the net profit non-cash items Cash flow 72.9 • Significant reduction of 95.2 NWC, especially Change in n
Slide 16: Balance sheet
Balance sheet Solid financing structure CHF million 2012 2011 • Autoneum demon- strates solid balance Total assets 959.9 996.4 sheet with no goodwill Non-current assets 442.4 430.2 • Active and disciplined Net working capital 45.2 77.9 management of operating NWC helped Cash and cash equivalents 75.
Slide 17: Net debt
Net debt Substantial reduction of net debt Mio. CHF • Reduced net debt due 200 to positive free cash flow 155.9 154.8 155.4 • Net debt declined by 160 more than 20% to 123.0 123.0 million CHF 120 • Gearing reduced to 40% (from 54% in 2011) 80 40 0 30.06.2011 31.12.2011 30.06.2012 31.12.2012 2012 Ann
Slide 18: Dividend proposal
Dividend proposal First time dividend payout 2012 2011 • Dividend proposal of 0.65 CHF per share Net profit in Mio. CHF 28.7 2.3 (equivalent to Attributable to shareholders of 11.2 -10.0 3 Mio. CHF) Autoneum Holding Ltd in Mio. CHF • The distribution is Earnings per share (EPS) in CHF 2.41 -2.13 pla
Slide 19: Summary financial results
Summary financial results • Improved operative performance level • Strengthened financial basis • Solid fundament for consistent implementation of strategy CHF 2012 Annual Results . March 20, 2013 19
Slide 20: Strategy and outlook 2013
Strategy and outlook 2013 Martin Hirzel, CEO
Slide 21: Major trends in Autoneum's environment
Major trends in Autoneum’s environment Impact on Growing car demand Alternative powertrain in emerging markets concepts • Participate in BRICS growth • Reduce complexity and Shrinking market concentrate on core business Tightening CO2 and in Europe pass-by noise regulations • Balance continuing high
Slide 22: Strategic priorities
Strategic priorities Focus on acoustic & thermal management Pursue solutions in Grow profitably consolidation automotive and generate free opportunities cash flow High performance culture Focus on Practice long-term operational partnerships with excellence Leverage global customers technological lea
Slide 23: Focus on acoustics and thermal management
Focus on acoustics and thermal management • Leverage on core competencies while phasing out trunk and trim business • Develop more innovations for lightweight solutions • Execute additional pre-development studies to optimize full-vehicle acoustic and thermal management performance • Foster deployme
Slide 24: Grow profitably
Grow profitably • Continue strong focus on performance improvement programs - Analyze capacities adaptation in Europe - Streamline overhead structures - Live business model of an automotive supplier based on continuous improvement and cost savings • Grow in Asia and other BRICS markets - Setup JVs i
Slide 25: Sales 2012 per customer
Sales 2012 per customer Well-diversified customer base • Diversified global customer portfolio 9% 7% • Well-positioned with 7% 11% globally active OEMs 6% • No single customer amounted to more than 6% 14% 14% of sales • Leading partner for the 6% major light vehicle 5% 7% manufacturers worldwide Tru
Slide 26: Focus on long-term partnerships with global customers
Focus on long-term partnerships with global customers Autoneum parts in global platforms: Ford Kuga / Escape Honda Civic BMW 3-series • Europe • Europe • Europe • Russia • Turkey • South Africa • Asia • Asia • Asia • North America • North America • South America 2012 Annual Results . March 20, 2013
Slide 27: Leverage technological leadership
Leverage technological leadership • Promote latest innovations: - Hybrid Acoustics - New needle punch carpet • Continue market penetration with: - Ultra Silent 20% - Theta-Fiber / Theta-FiberCell • Push migration from traditional concepts to lightweight solutions • Invest in vertical integration of
Slide 28: Practice Operational Excellence
Practice Operational Excellence • Leverage on group-wide best practice sharing • Roll-out standardized and efficient business processes • Start implementation of new, state-of-the-art ERP system • Further harmonize manufacturing processes through Autoneum Production System (APS) 2012 Annual Results
Slide 29: Pursue alliance opportunities
Pursue alliance opportunities • Broaden decade-long partnership with Nittoku • Develop new alliance with Toyota Boshoku for system integrator approach • Profit from customer trend to consolidate supplier base 2012 Annual Results . March 20, 2013 29
Slide 30: High Performance Culture
High Performance Culture Build on long-term principles: Delight your customers. Enjoy your work. Fight for profit. Autoneum values: • We perform with PASSION • We act with ACCOUNTABILITY • We profit from INNOVATION • We live a GLOBAL spirit • We progress through CONTINUOUS IMPROVEMENT • We strive fo
Slide 31: Global automobile production 2012 vs. Forecast 2013 by region
Global automobile production 2012 vs. Forecast 2013 by region 15.4 15.9 15.8 15.2 33.6 31.4 +2.9% -4.3% 9.5 9.8 North America Europe +3.7% Automobile production +7.1% Automobile production South America Automobile production Asia (without Japan) Automobile production Mio. vehicles Production forecas
Slide 32: Outlook 2013
Outlook 2013 • Growth of global automobile production is likely to weaken to just 1.4% • Autoneum assumes to exceed the market performance at stable exchange rates • Focus on consistent implementation of the strategy and on a further distinct improvement of the operating results • Main priorities in
Slide 33: Conclusion
Conclusion • Autoneum is the recognized market and technology leader in acoustics and thermal management to the global automotive industry • First successes in all six strategic priorities confirm: Autoneum is on track! • Considerable progress in sales and profitability achieved • Focus on further c
Slide 34: Contacts and event calendar
Contacts and event calendar Contact address Investors Media Autoneum Holding AG Urs Leinhäuser Dr. Anahid Rickmann Schlosstalstrasse 43 / P.O. Box CFO and Deputy CEO Head Corporate Communications CH-8406 Winterthur T +41 (0)52 244 82 82 T +41 (0)52 244 83 88 www.autoneum.com investor@autoneum.com me
Slide 35: Disclaimer
Disclaimer Autoneum is making great efforts to include accurate and up-to-date information in this document, however we make no representations or warranties, expressed or implied, as to the accuracy or completeness of the information provided in this document and we disclaim any liability whatsoeve