Siemens Aktiengesellschaft · XETR:SIE

Siemens Aktiengesellschaft — Siemens — Q1 FY2019 Earnings Presentation

21 slides from Siemens Aktiengesellschaft's earnings presentation, Jan 30, 2019

  1. Slide 1: Strong orders continue into the new fiscal year

    Strong orders continue into the new fiscal year Joe Kaeser, President and CEO | Ralf P. Thomas, CFO Q1 FY 2019 Analyst Call | Munich, January 30, 2019 Unrestricted © Siemens AG 2019 siemens.com

  2. Slide 2: Notes and forward-looking statements

    Notes and forward-looking statements This document contains statements related to our future business and financial performance and future events or developments involving Siemens that may constitute forward-looking statements. These statements may be identified by words such as “expect,” “look forw

  3. Slide 3: Significant customer wins drive strong order growth

    Significant customer wins drive strong order growth 32 train sets Moray East VIA Rail Canada 950 MW offshore €0.8bn grid connection © VIA Rail Metro trains First H-class turbine London Underground UAE >600 MW €1.6bn © Transport for London © Mubadala Business Forum 2018 Unrestricted © Siemens AG 2019

  4. Slide 4: Impressive order book growth continues – with a few “but’s”

    Impressive order book growth continues – with a few “but’s” below Orders Revenue IB Adj. EBITA margin excl. severance +13% +2% 10.6% EPS excl. severance IB Cash conversion Indust. ND/EBITDA seasonally weak Healthy capital structure €1.34 0.25 0.7x Orders and Revenue growth comparable Unrestricted ©

  5. Slide 5: PG: Book-to-bill encouraging; EM: Strong customer wins, unsatisfactory execution

    PG: Book-to-bill encouraging, but will remain volatile EM: Strong customer wins clouded by unsatisfactory execution Power and Gas (PG) Energy Management (EM) Orders Revenue Orders Revenue €bn €bn +16%1) -9%1) +36%1) +1%1) 3.1 3.5 3.2 2.9 2.8 3.8 2.8 2.8 Q1 FY 18 Q1 FY 19 Q1 FY 18 Q1 FY 19 Q1 FY 18 Q

  6. Slide 6: BT: On the lighter side; MO: Another great quarter

    BT: On the lighter side mainly due to additional opex spend MO: Another great quarter on industry benchmark levels Building Technologies (BT) Mobility (MO) Orders Revenue Orders Revenue €bn €bn +41%1) +4%1) +1%1) 4.5 -1%1) 3.2 1.7 1.8 1.6 1.6 2.2 2.2 Q1 FY 18 Q1 FY 19 Q1 FY 18 Q1 FY 19 Q1 FY 18 Q1 F

  7. Slide 7: DF: Robust performance; PD: Strong top line

    DF: Robust performance in a leading position PD: Strong top line, structural improvements paying off Digital Factory (DF) Process Industries and Drives (PD) Orders Revenue Orders Revenue €bn €bn -4%1) +6%1) +15%1) +9%1) 3.5 3.4 3.0 3.2 2.4 2.1 1.9 2.0 Q1 FY 18 Q1 FY 19 Q1 FY 18 Q1 FY 19 Q1 FY 18 Q1

  8. Slide 8: Outlook FY 2019 confirmed

    Outlook FY 2019 confirmed We assume a continued favorable market environment, particularly for our short-cycle businesses, with limited 7.88 risks related to geopolitical uncertainties. 0.76 severance Mid point growth For fiscal 2019, we expect moderate growth in revenue, net of +11% currency transl

  9. Slide 9: Appendix

    Appendix Unrestricted © Siemens AG 2019 Page 9 Munich, January 30, 2019 Q1 FY 2019 Analyst Call

  10. Slide 10: Q1 FY 2019 – Financial cockpit

    Q1 FY 2019 – Financial cockpit Orders Revenue Adj. EBITA Industrial Business (IB) Net Income in €bn +13% Comp. +2% in €bn in €bn (+12%) (nom.) (+1%) -6% -49% 25.2 2.2 2.1 2.2 22.5 19.8 20.1 11.4% 10.6% 1.1 Margin B-t-B 1.13 1.25 11.1% 10.2% Q1 FY 18 Q1 FY 19 Q1 FY 18 Q1 FY 19 Q1 FY 18 Q1 FY 19 Q1 FY

  11. Slide 11: Q1 FY 2019 – Below Industrial Business

    Q1 FY 2019 – Below Industrial Business €m 155 -79 40 -218 2,068 -284 Tax rate @28% Therein: -134 -€68m Pensions -429 -€150m Corp. Items Minorities -€104m 1,118 0 1,118 1,014 IB SFS CMPA SRE Corp. Items PPA Elim., Corp. Tax Inc. Cont. Disc. Ops. Net Income & Pen. Treasury, Ops Oth. Interest Unrestric

  12. Slide 12: Q1 FY 2019 – Net debt bridge

    Q1 FY 2019 – Net debt bridge Q1 ΔQ4 in €bn • SFS Debt +24.4 +0.2 Ind. Net Debt/ • Post emp. Benefits -9.2 -1.5 EBITDA (c/o) • Credit guarantees -0.4 0.0 0.7x • Fair value adj. +0.3 0.0 (Q4 FY18: 0.4x) (hedge accounting) Operating Activities -19.8 -21.9 -6.8 therein: therein a.o.: • Δ Contract assets

  13. Slide 13: Provisions increase due to negative return on plan assets

    Provisions increase due to negative return on plan assets and a decrease in discount rate Q1 FY 2019 – Pensions and similar obligations Q1 in €bn1) FY 2016 FY 2017 FY 2018 FY 2019 Defined benefit obligation (DBO)2) (42.2) (36.9) (35.9) (36.4) Fair value of plan assets2) 28.7 27.6 28.7 27.7 Provision

  14. Slide 14: Q1 FY 2019 – Strategic Companies

    Q1 FY 2019 – Strategic Companies Siemens Healthineers (SHS) Siemens Gamesa Renewable Energy (SGRE) Orders Revenue Orders Revenue €bn €bn +5%1) +3%1) -11%1) +8%1) 3.4 3.5 3.2 3.3 2.9 2.5 2.1 2.3 Q1 FY 18 Q1 FY 19 Q1 FY 18 Q1 FY 19 Q1 FY 18 Q1 FY 19 Q1 FY 18 Q1 FY 19 Adj. EBITA Adj. EBITA margin Adj.

  15. Slide 15: Q1 FY19 Profit Bridge from SGRE to SAG disclosure

    Q1 FY19 Profit Bridge from SGRE to SAG disclosure Different profit definitions at SGRE and SAG to be considered in models in €m disclosure (as of Jan 29, 2019) disclosure (as of Jan 30, 2019) 6.1% 138 5.3% 4.4% 120 -32 100 20 -9 3 -66 66 1.7% 40 EBIT Integration & PPA effects EBIT PPA effects Financ

  16. Slide 16: Outlook for FY 2019 confirmed

    Outlook for FY 2019 confirmed As disclosed on Jan. 29, 2019 ▪ FY 19 revenue coverage of 92%2 Guidance FY 19 ▪ Additional synergies of 1.2% of revenues by end of FY 19 included in margin expectations. Estimated FY 19 impact of: Q1 19 FY 19 E1 ▪ PPA amortization of intangible fair value: €250m (€66m i

  17. Slide 17: Q1 FY19 Profit Bridge from SHS disclosure to SAG disclosure

    Q1 FY19 Profit Bridge from SHS disclosure to SAG disclosure Different profit definitions at SHS and SAG to be considered in models in €m disclosure (as of January 29, 2019) disclosure (as of January 30, 2019) 16.5% 16.5% 16.1% 16.2% 545 546 -13 532 534 13 1 Profit Severance Profit Consolidation Adj.

  18. Slide 18: Outlook – full year guidance confirmed

    Outlook – full year guidance confirmed As disclosed on Jan. 29, 2019 Unrestricted © Siemens AG 2019 Page 18 Munich, January 30, 2019 Q1 FY 2019 Analyst Call

  19. Slide 19: New Siemens Financial Framework (as of April 1, 2019)

    New Siemens Financial Framework (as of April 1, 2019) Ambitious financial goals based on benchmarks Siemens (targets over the cycle) Growth Siemens Cash conversion (CCR) comparable revenue growth Industrial Businesses margin3) FCF IB / Adj. EBITA IB 4 – 5% 11 – 15% CCR = 1 – comp. growth rate Capita

  20. Slide 20: Financial calendar

    Financial calendar January January 30, 2019 2019 Q1 Earnings Release and AGM February 2019 March March 20, 2019 2019 Bank of America Merrill Lynch Conference (London) Unrestricted © Siemens AG 2019 Page 20 Munich, January 30, 2019 Q1 FY 2019 Analyst Call

  21. Slide 21: Investor Relations contacts

    Investor Relations contacts Investor Relations Internet: www.siemens.com/investorrelations E-Mail: investorrelations@siemens.com Telefon: +49 89 636-32474 Fax: +49 89 636-1332474 Unrestricted © Siemens AG 2019 Page 21 Munich, January 30, 2019 Q1 FY 2019 Analyst Call

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