Kuehne & Nagel International Ag · SIX:KNIN

Kuehne & Nagel International — Kuehne + Nagel International — H1 2012 Earnings Presentation

37 slides from Kuehne & Nagel International's earnings presentation, Jul 16, 2012

  1. Slide 1: Analyst Conference Call – 1st Half-Year 2012 Results

    Kuehne + Nagel International AG Analyst Conference Call – 1st Half-Year 2012 Results July 16, 2012 (CET 14.00) Schindellegi Switzerland Schindellegi,

  2. Slide 2: Agenda

    Agenda Highlights 1st Half-Year 2012 | Gerard van Kesteren Operating Review 1st Half-Year 2012 | Reinhard Lange Financial Review | Gerard van Kesteren Outlook | Reinhard Lange Kuehne + Nagel Group – 1st Half-Year results 2012 Slide 2

  3. Slide 3: Highlights 1st Half-Year 2012

    Highlights 1st Half-Year 2012 Volume development per business unit Key figures  Volume growth above market in 20% all business units 15%  Strong operational cash flow development from CHF 136 to 217 10% 10% million 8% 7% 3-4% 3% 2%  Strict cost control resulted in % 5% 1% improved GP/EBIT convers

  4. Slide 4: Income Statement 1st Half-Year

    Income Statement 1st Half-Year CHF million 2012 One-off 2012 2011 operational actual Variance Growth Acquisition FX Impact Invoiced turnover 10'062 10 062 10'062 10 062 9'786 9 786 2 8% 2.8% 3 9% 3.9% 1 7% 1.7% (2 8%) (2.8%) 276 382 164 (270) MCHF Gross profit 3'032 3'032 2'954 2.6% 3.7% 1.6% (2.6%)

  5. Slide 5: Income Statement 1st Half-Year

    Income Statement 1st Half-Year 2012 2012 2011 2011 CHF million Total Total Q1 Q2 Q1 Q2 Invoiced turnover 4'834 5'228 10'062 4'820 4'966 9'786 Gross profit 1'502 1'530 3'032 1'458 1'496 2'954 Gross profit margin 31.1% 29.3% 30.1% 30.2% 30.1% 30.2% Total expenses (1'284) (1'294) (2'578) (1'209) (1'243

  6. Slide 6: Development Main Exchange Rates vs. CHF

    Development Main Exchange Rates vs. CHF Income Statement (average rates) EUR USD GBP Full year 2010 1.3864 1.0430 1.6119 2011 1 2350 1.2350 0 8908 0.8908 1 4226 1.4226 st 1 Half-Year 2011 1.2608 0.9037 1.4499 2012 1.2066 0.9252 1.4622 B Better/(Worse) /(W ) (4 3%) (4.3%) 2 4% 2.4% 0 8% 0.8% (1.6%) (

  7. Slide 7: Agenda

    Agenda Highlights 1st Half-Year 2012 | Gerard van Kesteren Operating Review 1st Half-Year 2012 | Reinhard Lange Financial Review | Gerard van Kesteren Outlook | Reinhard Lange Kuehne + Nagel Group – 1st Half-Year results 2012 Slide 7

  8. Slide 8: Seafreight

    Seafreight Kuehne + Nagel Group – 1st Half-Year results 2012 Slide 8

  9. Slide 9: Seafreight: Highlights 1st Half-Year 2012

    S f i h Hi Seafreight: hli h 1stt Half-Year Highlights H lf Y 2012 Seafreight forwarding market Seafreight carrier market  Reduced market growth 3 - 4%  Carriers incurred heavy losses in Q1 2012  Capacity increased  Heavy rate increases start to hit market Kuehne + Nagel performance  Volume Gro

  10. Slide 10: Performance of Business Unit Seafreight 1st Half-Year

    Performance of Business Unit Seafreight 1st Half-Year CHF million 2010 2011 2012 Variance Growth Acquisition FX Impact Invoiced turnover 4'305 4'136 4'314 4.3% 5.8% 0.9% (2.4%) Gross profit 591 625 630 0.8% 1.9% 0.5% (1.6%) EBITDA 204 220 196 (10 9%) (10.9%) (9 1%) (9.1%) (0 5%) (0.5%) (1 4%) (1.4%)

  11. Slide 11: Geographical segmentation in Seafreight 1st Half-Year

    Geographical segmentation in Seafreight 1st Half-Year In ‘000 TEU y-o-y growth 11'700 700 1'600 Other Export +21.2% 1'500 Other Export Am ericas Export 1'400 +9.5% Am ericas Export 11'300 300 1'200 1'100 1'000 +5.3% 900 Asia Pacific Export Asia Pacific Export 800 700 600 500 400 300 +6.2% Europe Exp

  12. Slide 12: Volume Development Seafreight 1st Half-Year

    Volume Development Seafreight 1st Half-Year in TEU '000 0 200 400 600 800 1'000 1'200 1'400 1'600 1'800 2009 1'183 +19.4% 2010 1'412 +11.8% CAGR 12.8% 2011 1'579 +7.5% 2012 1'698 Kuehne + Nagel Group – 1st Half-Year results 2012 Slide 12

  13. Slide 13: Airfreight

    Airfreight Kuehne + Nagel Group – 1st Half-Year results 2012 Slide 13

  14. Slide 14: Airfreight: Highlights 1st Half-Year 2012

    Ai f i h Hi Airfreight: hli h 1stt Half-Year Highlights H lf Y 2012 Airfreight forwarding market Airfreight carrier market  Market contraction by 3-4%  Growing market share for Middle East  Asia Pacific market still weak carriers  Capacity switch from Asia Pacific to other th trade t d lanes l 

  15. Slide 15: Performance of Business Unit Airfreight 1st Half-Year

    Performance of Business Unit Airfreight 1st Half-Year CHF million 2010 2011 2012 Variance Growth Acquisition FX Impact Invoiced turnover 1'940 2'033 1'981 (2.6%) (4.5%) 4.0% (2.1%) Gross profit 359 396 415 4.8% 0.8% 5.6% (1.5%) EBITDA excl. one-off item 105 129 115 (10.9%) (10.9%) 0.8% (0.8%) EBIT e

  16. Slide 16: Geographical segmentation in Airfreight 1st Half-Year

    Geographical segmentation in Airfreight 1st Half-Year In ‘000 Tons y-o-y growth 550 500 Other Export -4.5% Other Export 450 400 +7 8% +7.8% Americas Export Americas Export 350 300 Asia Pacific Export +10 0% +10.0% Asia Pacific Export 250 200 150 Europe Export 100 -5.8% Europe Export 50 0 June YTD 20

  17. Slide 17: Volume Development in Airfreight 1st Half-Year

    Volume Development in Airfreight 1st Half-Year in Tons '000 0 50 100 150 200 250 300 350 400 450 500 550 2009 345 +31.3% 2010 453 +17.7% CAGR 16% 2011 533 +0.9% 2012 538 Kuehne + Nagel Group – 1st Half-Year results 2012 Slide 17

  18. Slide 18: Road & Rail Logistics

    Road & Rail Logistics Kuehne + Nagel Group – 1st Half-Year results 2012 Slide 18

  19. Slide 19: Road & Rail: Highlights 1st Half-Year 2012

    R d&R Road Rail: il Hi hli h 1stt Half-Year Highlights H lf Y 2012 Road & Rail forwarding market Road & Rail carrier market  European overland market growth  Fuel cost still a challenge of 3%  Shortage of drivers continues  Volume decline in Southern Europe due  Market continues to consolidate

  20. Slide 20: Performance of Business Unit Road & Rail 1st Half-Year

    P f Performance off Business B i Unit U i RRoad d&R Railil 1 1st H Half-Year lf Y CHF million 2010 2011 2012 Variance Growth Acquisition FX Impact Invoiced turnover 1'370 1'493 1'558 4.4% 6.2% 2.3% (4.2%) Net Invoiced Turnover 1'261 1'347 1'421 5.5% 7.3% 2.5% (4.4%) Gross profit 423 438 456 4.1% 5.0

  21. Slide 21: Contract Logistics

    Contract Logistics Kuehne + Nagel Group – 1st Half-Year results 2012 Slide 21

  22. Slide 22: Contract Logistics: Highlights 1st Half-Year 2012

    C Contract L Logistics: i i Hi hli h 1stt Half-Year Highlights H lf Y 2012 Contract Logistics market  1st Half-Year 2012 saw demand grow by some 2%  Increased competition especially in France and Greece  Continuous margin g p pressure due to economical situation Kuehne + Nagel performance  Incre

  23. Slide 23: Performance of Business Unit Contract Logistics 1st Half-Year

    P f Performance off Business B i Unit U i CContract L i i 1stt Half-Year Logistics H lf Y CHF million 2010 2011 2012 Variance Growth Acquisition FX Impact Invoiced turnover 2'165 2'060 2'150 4.4% 7.1% 0.5% (3.2%) Net Invoiced Turnover 2'094 1'935 2'009 3.8% 6.4% 0.5% (3.0%) Gross profit 1'566 1'475

  24. Slide 24: Agenda

    Agenda Highlights 1st Half-Year 2012 | Gerard van Kesteren Operating Review 1st Half-Year 2012 | Reinhard Lange Financial Review | Gerard van Kesteren Outlook | Reinhard Lange Kuehne + Nagel Group – 1st Half-Year results 2012 Slide 24

  25. Slide 25: Financial Overview 1st Half-Year

    Fi Financial i lOOverview i 1stt Half-Year H lf Y CHF million 2010 2011 2012 Gross Profit 2'961 2'954 3'032 EBITDA (incl. o ne-o ff item) 475 502 389 Earnings for the period 281 312 211 Cash & Cash Equivalents 792 684 785 EPS (basic) 2.38 2.64 1.76 Equity % Total Assets 37.2% 37.2% 34.7% Operational

  26. Slide 26: Balance Sheet

    Balance Sheet 31 December 30 June 31 December 30 June CHF million CHF million 2011 2012 2011 2012 Assets Liabilities and equity q y Equity attributable to the equity holders 2'382 2'126 of the parent company Non-controlling interests 23 27 Total equity 2'405 2'153 Non-current assets 2'239 2'194 Non-

  27. Slide 27: Cash flow 1st Half-Year

    Cash flow 1stt Half-Year CHF million 2011 2012 Better/(Worse) Operational cash flow 505 387 (118) Changes in working capital (254) (138) 116 Increase of provision for antitrust fine - 65 65 Income taxes paid (115) (97) 18 Cash flow from operating activities 136 217 81 Cash flow from investing activi

  28. Slide 28: Net Working Capital Development

    Net Working Capital Development CHF million June 2011 Dec 2011 March 2012 June 2012 Trade receivables & Work in progress 2'454 2'620 2'600 2'917 Trade payables & Accrued trade expenses (1'824) (1 824) (2'021) (2 021) (1'903) (1 903) (2'171) (2 171) Net Working Capital 630 599 697 746 KPI's: Working

  29. Slide 29: Finance targets 2012

    Finance targets 2012 CAPEX  Estimate at approx. approx CHF 170 mio (2011: CHF 207 mio) Working  Target to maintain working capital intensity at 3.5 – 4.0% Capital Cash  Emphasis on safeguarding a high cash position Tax  Confirm sustainable tax rate around 21% (excl. antitrust provision) Kuehne +

  30. Slide 30: Agenda

    Agenda Highlights 1st Half-Year 2012 | Gerard van Kesteren Operating Review 1st Half-Year 2012 | Reinhard Lange Financial Review | Gerard van Kesteren Outlook | Reinhard Lange Kuehne + Nagel Group – 1st Half-Year results 2012 Slide 30

  31. Slide 31: Outlook Volume Growth

    Outlook Volume o u e Growth G o t 1st Half-Year 2012 Outlook 2012 Market Kuehne + Nagel Market Kuehne + Nagel Seafreight (TEU) 3 to 4% 8% 3 to 4% 8% Airfreight (TON) -3 to -4% 1% (3%) 2 to 4% Road oad & Rail a ((net et inv'd d tu turnover) o e ) 3% 10% 0% 3% 8 to 10% 0% Contract Logistics (net inv'd

  32. Slide 32: Annex I - Upcoming Events

    Annex I-Upcoming Events September 19,  Capital Market Day 2012 in London at Nomura‘s Office 2012 October 15,  Nine-months 2012 results 2012 March 4,  Full year 2012 results 2013 April 15,  First q quarter 2013 results 2013 May 7,  Annual General Meeting g 2013 Kuehne + Nagel Group – 1st Half-Ye

  33. Slide 33: Annex II: Key Data Sheet Quarter by Quarter 2012 vs. 2011

    A Annex II Key II: K Data D Sheet Sh Q Quarter by b Quarter Q 2012 vs. 2011 Variance in CHF million 2012 2011 2012 / 2011 Change in % 2012 / 2011 Q1 Q2 Total Q1 Q2 Total Q1 Q2 Total Q1 Q2 Total CHF million Seafreight Turnover 2'031 2'283 4'314 2'071 2'065 4'136 (1.9) +10.6 +4.3 (40) 218 178 Gross Pr

  34. Slide 34: Annex II: Key Data Sheet Quarter by Quarter 2012 vs. 2011

    A Annex II Key II: K Data D Sheet Sh Q Quarter by b Quarter Q 2012 vs. 2011 Variance in CHF million 2012 2011 2012 / 2011 Change in % 2012 / 2011 Q1 Q2 Total Q1 Q2 Total Q1 Q2 Total Q1 Q2 Total CHF million Road & Rail Logistics Turnover 744 814 1'558 681 812 1'493 +9.3 +0.2 +4.4 63 2 65 Gross Profit

  35. Slide 35: Annex II: Key Data Sheet Quarter by Quarter 2012 vs. 2011

    A Annex II Key II: K Data D Sheet Sh Q Quarter by b Quarter Q 2012 vs. 2011 Variance in CHF million 2012 2011 2012 / 2011 Change in % 2012 / 2011 Q1 Q2 Total Q1 Q2 Total Q1 Q2 Total Q1 Q2 Total CHF million Real Estate Turnover - 1 1 - 1 1 Gross Profit - 1 1 - 1 1 Total Expenses 18 14 32 16 14 30 +12

  36. Slide 36: Thank you for your attention.

    Thank you for your attention.

  37. Slide 37: Disclaimer

    Disclaimer Investing in the shares of Kuehne + Nagel International AG involves risks. risks Prospective investors are strongly requested to consult their investment advisors and tax advisors prior to investing in shares of Kuehne + Nagel International AG. This document contains forward-looking state

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