Tomra Systems Asa · OSL:TOM
Tomra Systems Asa — Q1 2020 Earnings Presentation
22 slides from Tomra Systems Asa's earnings presentation, May 5, 2020
Slide 1: 1st quarter 2020 results announcement
st 1 quarter 2020 results announcement TOMRA Systems ASA 5 May 2020 © TOMRA
Slide 2: Highlights from the quarter
HIGHLIGHTS FROM THE QUARTER 2
Slide 3: Key financial highlights
Key financial highlights Revenues • Revenues of 2,302 MNOK (2,081 MNOK in first quarter 2019) – up 11% Adjusted for currency, revenues were: - Up 3% for TOMRA Group - Up 5% in TOMRA Collection Solutions - Up 1% in TOMRA Sorting Solutions Gross margin • Gross margin 42.3% (up from 42.0% in first quar
Slide 4: Highlights from the quarter
Highlights from the quarter Collection Solutions Food Recycling & Mining • Revenues well above last year • Improved order intake compared to same • Order intake slightly up despite strong year- - Growth in Northern Europe and Australia quarter last year over-year comparison • Gross margin was stable
Slide 5: COVID-19 business update for TOMRA
COVID-19 business update for TOMRA Ensuring resilient and robust business operations Focus areas Status Actions Workforce protection • Small number of confirmed cases • Policies and actions for protection and prevention, incl. work from • Morale has been maintained home procedures • Stepping up enga
Slide 6: COVID-19 business update for TOMRA Collection Solutions
COVID-19 business update for TOMRA Collection Solutions Exposure to lockdowns and COVID-19 responses TOMRA stays close to customers and helps consumers recycle Solid customer base in an essential industry, immediate term impact on volumes Online Sales New York Revenue Share Europe Europe New RVM mac
Slide 7: COVID-19 business update from TOMRA Food
COVID-19 business update from TOMRA Food Disruptions in the food value chain creating uncertainties TOMRA taking actions to ensure business continuity Production Distribution Consumption • Stay close to our customers and understand market dynamics • Use our global scale to help pre-empt potential di
Slide 8: COVID-19 business update for TOMRA Recycling & Mining
COVID-19 business update for TOMRA Recycling & Mining Different customer segments posing different characteristics TOMRA being a proactive solution-seeker Municipal Solid Waste Plastics upgrading TOMRA technology helping recycling operations to decrease number of manual sorters in • Defined as criti
Slide 9: Circular Economy Highlights – We forge ahead
Circular Economy Highlights – We forge ahead TOMRA signed the European Plastic Pact to TOMRA engages in a set of initiatives TOMRA provides expertise and solutions to enable accelerate transition towards a Circular Economy through the Alliance to End Plastic Waste high quality upgrade of recycled pl
Slide 10: Financials and Outlook
FINANCIALS AND OUTLOOK 10
Slide 11: Currency risk and hedging policy
Currency risk and hedging policy Measured against NOK *Average 1Q20 vs 1Q19 **31 March vs 31 December 10% change in NOK towards other currencies will impact: Revenues Expenses EBITA EUR* 4.5% 4.0% 7.0% +19.7%** +10.6%* USD 3.5% 2.5% 8.0% +16.7%** +7.3%* OTHER** 2.0% 3.0% -4.0% ALL 10.0% 9.5% 11.0% 1
Slide 12: Decomposition of currency effects on TOMRA's financials
Decomposition of currency effects on TOMRA’s financials* EFFECT ON BALANCE SHEET STATEMENTS OF FINANCIAL POSITION 31 March 31 Dec EFFECT ON PROFIT AND LOSS STATEMENT (MNOK) 2020 2019 A ASSETS Deferred tax assets 343,4 307,3 STATEMENT OF PROFIT AND LOSS 1st Quarter Currency effect on total assets: In
Slide 13: Financial highlights | P&L statement
Financial highlights | P&L statement 1st quarter Amounts in NOK million 2020 2019 2019 Adj* Revenues 2,302 2,081 2,244 Collection Solutions 1,168 1,042 1,116 Sorting Solutions 1,134 1,039 1,128 Gross contribution 973 874 944 in % 42% 42% 42% Operating expenses 745 667 714 EBITA 228 207 230 in % 10%
Slide 14: Collection Solutions financials
Collection Solutions financials 1st quarter Amounts in NOK million 2020 2019 2019 Adj* Revenues 1,168 1,042 1,116 Northern Europe 192 152 Europe (ex Northern) 423 391 North America 386 353 Rest of the world 167 146 Gross contribution 462 417 445 in % 40% 40% 40% Operating expenses 311 278 297 EBITA
Slide 15: Sorting Solutions financials
Sorting Solutions financials 1st quarter Amounts in NOK million 2020 2019 2019 Adj* Revenues 1,134 1,039 1,128 Europe 473 403 America 358 359 Asia 152 149 Rest of the world 151 128 Gross contribution 511 457 499 in % 45% 44% 44% Operating expenses 397 365 391 EBITA 114 92 108 in % 10% 9% 10% P/L Foo
Slide 16: Development in order intake and order backlog
Development in order intake and order backlog Order intake Order backlog Revenues • TOMRA Sorting Solutions: - Revenues of 1,134 MNOK, up from 1,039 MNOK last year - Order intake of 1,591 MNOK in the quarter, compared to 1,104 MNOK same quarter last year, up 11% currency adjusted - All time high ord
Slide 17: Financial highlights | Balance sheet and cash flow
Financial highlights | Balance sheet and cash flow 31 March 31 Dec 2020 2019 2019 Amounts in NOK million ASSETS 12,250 10,695 10,868 Intangible non-current assets 4,226 3,765 3,788 Tangible non-current assets 2,638 2,281 2,330 Financial non-current assets 463 343 406 Inventory 1,943 1,563 1,596 Rece
Slide 18: TOMRA has a solid financial position
TOMRA has a solid financial position Debt maturity profile Current funding sources • Weighted average debt maturity of 2.3 years • TOMRA has a satisfactory liquidity situation with available unused • All interest-bearing debt except for the overdraft is swapped to EUR credit lines of approx. 900 MNO
Slide 19: Update from Annual General Meeting 2020
Update from Annual General Meeting 2020 • Revised dividend proposal approved: - Board is granted an authorization to resolve dividends, up to NOK 2.75 per share, at a later stage - The authorization covers the period until the annual general meeting in 2021 • PwC selected as new auditor: - KPMG has
Slide 20: Outlook
Outlook • Europe showing resilience, but delays in installations should be expected Collection Solutions • Throughput volumes dependent on length and severity of lockdown • Growth in ramp-up expenses slows down • Solid order backlog as basis, but delays in installations Sorting Solutions - Food shou
Slide 21: Q&A
Q&A 21
Slide 22: Copyright and Disclaimer
Copyright The material in this Document (which may be a presentation, video, brochure or other material), hereafter called Document, including copy, photographs, drawings and other images, remains the property of TOMRA Systems ASA or third-party contributors where appropriate. No part of this Docume