Leonardo Spa · MIL:LDO

Leonardo Spa — Finmeccanica — Q1 2013 Earnings Presentation

18 slides from Leonardo Spa's earnings presentation, May 15, 2013

  1. Slide 1: 1Q2013 Results Presentation

    1Q2013 Results Presentation Gian Piero Cutillo Chief Financial Officer 15 May 2013 1

  2. Slide 2: First quarter in line with our expectations

    FIRST QUARTER IN LINE WITH OUR EXPECTATIONS Group results broadly in line with plan, although 1Q is not fully representative of the FY performance Strong performance in our core Helicopters and Aeronautics businesses Continued benefits from established restructuring programmes Impacts from budget cu

  3. Slide 3: Group Performance

    GROUP PERFORMANCE FY 1Q ACTUAL ACTUAL Total € Mln 2013 2012* 2012* Change New Orders 3,025 3,480 (13%) 16,703 Backlog 43,944 45,721 (4%) 44,908 Revenues 3,700 3,686 n.s. 17,218 EBITA 181 173 5% 1 080 1,080 EBITA margin 4.9% 4.7% 6.3% EBIT 149 142 5% -457 Net Income after minorities - 17 - 828 EPS S

  4. Slide 4: Helicopters

    Helicopters FY 1Q ACTUAL ACTUAL %ch. %ch 2013 2012 2012 € Mln YoY Orders 906 826 10% 4,013 Revenues 954 853 12% 4,243 EBITA 115 88 31% 473 EBITA Margin 12.1% 10.3% 1.7p.p. 11.1% Order increase mainly due to 8 AW159 Korea (€270mln). 45 civil/gov helicopters sold in Q1 Revenues up 12% : sharp growth i

  5. Slide 5: Aeronautics

    Aeronautics FY 1Q ACTUAL ACTUAL %ch. %ch 2013 2012 2012 € Mln YoY Orders 919 873 5% 3,169 Revenues 670 584 15% 2,974 EBITA 21 13 62% 104 EBITA Margin 3.1% 2.2% 0.9p.p 3.5% Orders up 5%. Key military orders include 12 EFA for Oman and support activities for M346, C27J and AMX; key civil orders includ

  6. Slide 6: European Defence Electronics and Security (2012 pro-forma SELEX ES)

    European Defence Electronics and Security (2012 pro-forma SELEX ES) FY 1Q ACTUAL ACTUAL %ch. 2013 2012 2012 € Mln YoY Orders 476 658 (28%) 3,206 Revenues 720 765 (6%) 3,612 EBITA 6 27 (78%) 156 EBITA Margin 0.8% 3.6% (2.8)p.p. 4.3% Orders and Revenues in line with expectations but still affected by

  7. Slide 7: Defence Electronics and Security – DRS

    Defence Electronics and Security – DRS FY 1Q ACTUAL ACTUAL %ch. 2013 2012 2012 $ Mln YoY Orders 364 548 (34%) 2,477 Revenues 535 671 (25%) 2,769 EBITA 27 36 (25%) 293 EBITA Margin 5.1% 5.4% (0.3)p.p. 10.6% Bookings affected by the uncertainties in US defense environment (ie. continuing resolution, s

  8. Slide 8: Space and Defence Systems

    Space 1Q ACTUAL FY ACTUAL %ch. 2013 2012 2012 € Mln YoY Orders 126 110 15% 866 Revenues 210 218 (4%) 1,053 EBITA 9 10 (10%) 84 EBITA Margin 4.3% 4.6% (0.3)p.p. 8.0% Order increase mainly related to Cosmo SkyMed, Sicral and Cosmo 2G and Exomars contracts Revenues and Profitability substantially in li

  9. Slide 9: Energy (55% stake) and Ansaldo STS

    Energy (55% stake) FY 1Q ACTUAL ACTUAL %ch. 2013 2012 2012 € Mln YoY Orders 29 83 (65%) 834 Revenues 122 139 (12%) 715 EBITA 9 11 (18%) 65 EBITA Margin 7.4% 7.9% (0.5)p.p. 9.1% Orders lower due to phasing of Service contracts that we expect to correct in 2H Revenues down mainly due to lower activiti

  10. Slide 10: AnsaldoBreda

    AnsaldoBreda FY 1Q ACTUAL ACTUAL %ch. 2013 2012 2012 € Mil YoY Orders 12 20 (40%) 782 Revenues 144 177 (19%) 456 EBITA (24) (12) n.m. (160) EBITA Margin (16.7%) (6.8%) n.m. (35.1%) Orders: Service almost in line with 1Q 2012; overall below expectations, due to Italian Mass Transit options not yet ex

  11. Slide 11: 2013 priorities

    2013 priorities Focus Impact Centralisation Challenge our operating businesses Increase speed and effectiveness of decisions Governance Restore the company's reputation Behaviour that maximises value and reduces risk Restructuring Deliver the right g long‐term g portfolio p To be more competitive wi

  12. Slide 12: Building a stronger more sustainable Finmeccanica

    Building a stronger more sustainable Finmeccanica First quarter trading broadly in line with expectations Financial position remains robust Focused on key priorities for 2013; guidance unchanged Committed to restructuring 12

  13. Slide 13: Appendix

    Ny 7) * FINMECCANICA APPENDIX 13

  14. Slide 14: Right portfolio plan focusing on the right markets

    RIGHT PORTFOLIO PLAN FOCUSING ON THE RIGHT MARKETS Aerospace & Defence Civil International Strategic sectors Partnerships Defence Electronics and Space, Helicopters Aeronautics Energy, Transportation Securityy Defence Systems Group 81% of total orders 19% of total orders Proportion 85% of total reve

  15. Slide 15: Confirming 2013 group guidance

    CONFIRMING 2013 GROUP GUIDANCE FY2012A FY2013E € mln Orders 16,703 ca. 17,000 Revenues 17 218 17,218 Ca 16,700 Ca. 16 700-17 17,000 000 EBITA Adj 1,080 ca. 1,100 FOCF 89 Ca 100 Ca. Net Financial debt 3,373 Ca. 3,300 before disposals p 15

  16. Slide 16: Robust financial position (as of end of March 2013)

    ROBUST FINANCIAL POSITION (as of end of March 2013) No meaningful refinancing needs before end 2017 Strong liquidity position Bonds have neither financial covenants nor rating pricing grids Revolving credit facility also has no financial covenants Average life ≈ 10 years Maturing Dec 2013, refinance

  17. Slide 17: Safe Harbor Statement

    SAFE HARBOR STATEMENT NOTE: Some of the statements included in this document are not historical facts but rather statements of future expectations, expectations also related to future economic and financial performance, performance to be considered forward forward‐ looking statements. These forward‐

  18. Slide 18: Investor Relations contact

    TESTO FINTO T t Testo Investor Relations Finmeccanica investor_relations@finmeccanica.com investor relations@finmeccanica com Website: http://www.finmeccanica.it/Corporate/EN/Corporate/Investor_Relations/index.sdo Raffaella Luglini Head of Investor Relations +39 06 32473.066 raffaella.luglini@finmec

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