Slide 1: Q4 2018 Results
Q4 2018 Results March 13, 2019
Slide 2: Achievements 2018
Achievements 2018 • Major steps in Agfa’s transformation reached in 2018 • Split-up into Agfa HealthCare and Agfa within the Agfa- Gevaert Group • New, more simplified divisional structure • Strategic alliance in the offset industry • Refocus on core businesses • Reorganization of hardcopy distribut
Slide 3: New structure and strategy
New structure and strategy • New divisional structure: technology and solutions oriented and open to future partnerships • Offset Solutions • Radiology Solutions • Digital Print and Chemicals • HealthCare IT • Strategy: • Offset Solutions : partner to drive the consolidation in the industry : Lucky
Slide 4: Future steps
Future steps • After a strategic options review, the Board of Directors of the Agfa-Gevaert Group has decided to further extend the independence of Agfa Healthcare. In this respect, the Board will be appointing J.P. Morgan as financial advisor. Further details on scope and timing will be communicate
Slide 5: Profit & Loss: Key Figures (in million Euro)
Profit & Loss: Key Figures (in million Euro) Q4'17 Q4'18 Δ% FY'17 FY'18 Δ% (excl. X-rate) (excl. X-rate) Sales 640 600 -6,3% (-5,5%) 2,443 2,247 -8,0% (-5,3%) Gross Profit* 213 192 -9.8% 814 722 -11.3% as a % of sales 33.3% 32.1% 33.3% 32.1% SG&A* -120 -121 -0.1% -496 -476 -4.2% SG&A as % of sales 1
Slide 6: Profit & Loss: Key Figures (in million Euro)
Profit & Loss: Key Figures (in million Euro) Q4 '17 Q4 '18 Δ% FY'17 FY'18 Δ% Recurring EBIT* 56 44 -22.5% 169 125 -26.4% Restructuring and non-recurring -17 -37 -31 -66 Operating result 39 6 138 59 Non-operating result -11 -8 -39 -39 Share of profit of associates, net of tax -1 0 -1 -1 Profit before
Slide 7: Main Group Drivers behind Key Figures
Main Group Drivers behind Key Figures Q4 2018 • Excluding portfolio rationalizations and currency effects, the Agfa-Gevaert Group’s revenue decline amounted to 3.4%, which is markedly better than in the previous quarter. Topline growth was recorded for several of the Group’s growth engines, includin
Slide 8: Net Financial Debt (in million Euro)
Net Financial Debt (in million Euro) 144 94 102 99 83 58 52 55 40 31 27 22 18 19 Q1'15 Q2'15 Q3'15 Q4'15 Q1'16 Q2'16 Q3'16 Q4'16 Q1'17 -37 Q2'17 Q3'17 Q4'17 Q1'18 Q2'18 Q3'18 Q4'18 -18
Slide 9: Working Capital: Key Figures (in million Euro/days)
Working Capital: Key Figures (in million Euro/days) Q4 2017 Q4 2018 Inventories (Mio Eur) 476 498 • DIOH in days 105 117 Trade Receivables, Contract Assets, 393 375 Contract liabilities (Mio Eur) • DSO in days 55 56 Trade Payables (Mio Eur) (224) (219) • DPO in days 50 52 Trade Working Capital (Mio
Slide 10: Graphics
Graphics AGFA
Slide 11: Graphics: YTD Sales per Business Segment
Graphics: YTD Sales per Business Segment 12M 2018 100% = 1049 million Euro Inkjet, Software, Service 25% Analog Prepress Digital 10% Prepress 65%
Slide 12: Graphics: Key Figures (in million Euro)
Graphics: Key Figures (in million Euro) Q4'17 Q4'18 Δ% FY'17 FY'18 Δ% (excl. curr.) (excl. curr. ) Sales 302 271 -10,0% (-10,9%) 1,195 1,049 -12,2% (-9,9%) Gross Profit* 85 70 -17.7% 347 277 -20.4% as a % of sales 28.3% 25.9% 29.1% 26.4% SG&A* -61 -60 -1.3% -251 -238 -5.2% as % of sales 20.2% 22.1%
Slide 13: Graphics: Main Drivers behind Key Figures
Graphics: Main Drivers behind Key Figures Q4 2018 • Excluding the effects of the decision to discontinue certain prepress-related reseller activities in the United States, Agfa Graphics’ top line decreased by 5.4%. • The prepress segment continued to suffer from the elements mentioned above. The str
Slide 14: HealthCare
HealthCare AGFA
Slide 15: HealthCare: YTD Sales per Business Segment
HealthCare: YTD Sales per Business Segment 12M 2018 100% = 1004 million Euro HealthCare IT = 49%
Slide 16: HealthCare: Key Figures (in million Euro)
HealthCare: Key Figures (in million Euro) Q4'17 Q4'18 Δ% FY'17 FY'18 Δ% (excl. curr.) (excl. curr. ) Sales 291 280 -3,7% (-1,0%) 1,052 1,004 -4,6% (-1,0%) Gross Profit* 118 111 -6.0% 418 395 -5.6% as a % of sales 40.4% 39.4% 39.8% 39.3% SG&A* -54 -55 2.0% -221 -214 -3.0% as % of sales 18.5% 19.6% 21
Slide 17: HealthCare: Main Drivers behind Key Figures
HealthCare: Main Drivers behind Key Figures Q4 2018 • Excluding currency effects, Agfa HealthCare’s revenue decreased by only 1.0% compared to the strong fourth quarter of 2017. Volumes in the Imaging segment’s hardcopy business started to pick up again. The Direct Radiography business posted strong
Slide 18: Specialty Products
Specialty Products AGFA
Slide 19: Specialty Products: Key Figures (in million Euro)
Specialty Products: Key Figures (in million Euro) Δ% Δ% Q4 '17 Q4 '18 (excl. curr.) FY '17 FY '18 (excl. curr.) Sales 47 48 0,9% (0,5%) 195 194 -0,7% (0,2%) Gross profit* 10 12 12.1% 48 50 4.5% as a % of sales 22.1% 24.5% 24.5% 25.9% SG&A* -6 -6 -7.0% -24 -23 -4.9% as a % of sales 12.6% 11.6% 12.3%
Slide 20: Specialty Products: Main Drivers behind Key Figures
Specialty Products: Main Drivers behind Key Figures Q4 2018 • Agfa Specialty Products’ top line increased by 0.9% to 48 million Euro, with good performances of the Specialty Chemicals business (including Orgacon Electronic Materials) and the Industrial Foils business. • The business group’s recurrin
Slide 21: Pensions
Pensions AGFA
Slide 22: Pension status (4 material countries)
Pension status (4 material countries) Excluding Belgian DC-plans Mio Euro 2017 2018 Delta Funded Status (1078) (1001) (77) Obligations 2110 1970 (140) Assets 1033 969 (64) 22
Slide 23: Pension cost and cash outflow (4 material countries)
Pension cost and cash outflow (4 material countries) Excluding Belgian DC-plans Mio Euro 2017 2018 2019 (Est) Pension Cost in Ebit 23 21 21 Net interest cost 24 22 22 Non recurring - 1 - Total pension cost 47 44 43 Pension cash 70 98 106 outflow • Pension cost: • Total recurring pension cost expecte