Hella Gmbh & Co. Kgaa · XETR:HLE

Hella Gmbh & Co. Kgaa — Q1 FY 2019/20 Earnings Presentation

20 slides from Hella Gmbh & Co. Kgaa's earnings presentation, Sep 26, 2019

  1. Slide 1: HELLA Investor Update Q1 FY 2019/20

    HELLA Investor Update Q1 FY 2019/20 Conference Call on September 26, 2019 Dr. Rolf Breidenbach, CEO Bernard Schäferbarthold, CFO HF-7761DE_C (2012-12)

  2. Slide 2: Disclaimer

    Disclaimer This document was prepared with reasonable care. However, no responsibility can be assumed for the correctness of the provided information. In addition, this document contains summary information only and does not purport to be comprehensive and is not intended to be (and should not be co

  3. Slide 3: Outline

    HELLA Investor Update Q1 FY 2019/20 Outline ■ HELLA Financial Highlights Q1 FY 2019/20 ■ HELLA Financial Results Q1 FY 2019/20 ■ Outlook ■ Q&A 3 HELLA Investor Update Q1 FY 2019/20, Conference Call on September 26th, 2019

  4. Slide 4: Financial Highlights Q1 FY 2019/20

    Expected negative sales and EBIT development in Q1 FY 2019/20 Financial Highlights Q1 FY 2019/20 ■ HELLA Group currency and portfolio adjusted sales declined by Sales 5.5% YoY to 1.6 bill. EUR ■ Adj. Gross Profit margin at 26.1% (-0.8%-points YoY) Profitability ■ Adj. EBIT -20.9 mill. EUR (-15.6% Yo

  5. Slide 5: Automotive still outperforms LVP on a global basis

    Automotive still outperforms LVP on a global basis Financial Highlights Q1 FY 2019/20 HELLA Automotive external sales by region (in EUR millions) Global Europe North & South America Asia & RoW 1.372 1.322 866 328 220 217 1.227 762 777 201 1.163 754 286 -3.6% 264 181 -1.5% +11.8% +13.6% -10.2% +9.7%

  6. Slide 6: Outline

    HELLA Investor Update Q1 FY 2019/20 Outline ■ HELLA Financial Highlights Q1 FY 2019/20 ■ HELLA Financial Results Q1 FY 2019/20 ■ Outlook ■ Q&A 6 HELLA Investor Update Q1 FY 2019/20, Conference Call on September 26th, 2019

  7. Slide 7: HELLA top line with expected decline in Q1 FY 19/20

    HELLA top line with expected decline in Q1 FY 19/20 Financial Results Q1 FY 2019/20 HELLA Group sales (in EUR millions) Comment ■ Currency (+0.7pp) and portfolio adjusted 1.787 (-7.3pp) decrease of HELLA Group at 5.5% to 1.558 mill. EUR 137 -12,1% ■ Reported sales of HELLA Group declined by 12.1% (d

  8. Slide 8: Adj. GPM decreased despite material and personnel cost savings

    Adj. GPM decreased despite material and personnel cost savings due to lower growth dynamics and volatility in call offs Financial results Q1 FY 2019/20 Adj. Gross Profit Highlights EUR millions 444 ■ Adj. Gross Profit decreased by 34 412 391 410 mill. EUR (-7.6%) to 410 mill. EUR -22 +53 -34 − Autom

  9. Slide 9: Continuous high R&D expenses to prepare new customer projects

    Continuous high R&D expenses to prepare new customer projects and develop future technologies Financial results Q1 FY 2019/20 R&D expenses Highlights ■ Absolute R&D expenses EUR millions 167 3.7% 158 139 increased by 9 mill. EUR (+5.9% 131 +9 3.4% +19 YoY) to 167 mill. EUR; main +8 drivers: − Prepar

  10. Slide 10: SG&A costs declining due to continuous cost savings

    SG&A costs declining due to continuous cost savings Financial results Q1 FY 2019/20 Adj. SG&A expenses Highlights EUR millions ■ Adj. SG&A costs decreased (-26 3.7% 178 mill. EUR, -15.8%) to 137 mill. EUR 163 144 3.4% 3.4% 137 − Decrease in logistic costs (-19 mill. -34 +18 -26 EUR) with realized sa

  11. Slide 11: Adjusted EBIT below prior-year's level despite improved cost efficiency

    Adjusted EBIT below prior-year’s level despite improved cost efficiency. Margin pressure from high R&D and lower GPM Financial results Q1 FY 2019/20 Adjusted EBIT Highlights EUR millions 134 ■ Adjusted EBIT decreased by 21 118 119 113 mill. EUR (-15.6%) to 113 mill. EUR: +1 +15 -21 − decrease in adj

  12. Slide 12: P&L including reconciliation

    P&L including reconciliation Financial results Q1 FY 2019/20 FY comparison Comments HELLA GROUP ■ Reported EBIT Q1 Q1 FY 18/19* Q1 FY 19/20 in EUR mill. 19/20 decreased by 28 Gross Profit reported 490.6 407.8 mill. EUR mainly due to Adjustments -46.8 2.2 adjusted 443.7 410.0 a lower Gross Profit and

  13. Slide 13: Adj. Free Cash Flow from operating activities increased

    Adj. Free Cash Flow from operating activities increased with further reduction of Working Capital Financial results Q1 FY 2019/20 Adj.1 FCF from operating activities Highlights EUR millions +12.2% ■ Adj. Free Cash Flow from +24.0% 70 operating activities increased by +63.8% 62 8 mill. EUR to 70 mill

  14. Slide 14: Automotive segment with sales decline, profitability under pressure

    Automotive segment with sales decline, profitability under pressure Financial results Q1 FY 2019/20 +11.2% -3.6% Automotive Sales +5.9% 1,244 1,383 1,333 ■ Decline of 3.6% with lower production ramp-ups, 1,175 +0.5% expected EOPs and high comparable basis +10.8% 606 609 +6.3% 515 547 − Demand for el

  15. Slide 15: Non Automotive segments with negative sales development

    Non Automotive segments with negative sales development, profitability supported by savings program and mix effects Financial results Q1 FY 2019/20 -8.9% Aftermarket* 174 159 -8.9% ■ Total sales decline of 8.9%: negative workshop 14.6 13.3 business due to high comparable basis, IAM 8.4 8.4 demand st

  16. Slide 16: Outline

    HELLA Investor Update Q1 FY 2019/20 Outline ■ HELLA Financial Highlights Q1 FY 2019/20 ■ HELLA Financial Results Q1 FY 2019/20 ■ Outlook ■ Q&A 16 HELLA Investor Update Q1 FY 2019/20, Conference Call on September 26th, 2019

  17. Slide 17: Market outlook characterized by uncertainties and downward trend

    Market outlook characterized by uncertainties and a continuous downward trend in predictions, further revisions possible Market Outlook Unstable market environment IHS AS OF TODAY: Global Light Vehicle Production Development of Global Light Vehicle Production Comparison of IHS LVP estimates FY 2019/

  18. Slide 18: Company Guidance

    Despite declining industry trend and further high uncertainties, HELLA still expects to outperform the market Company Guidance Against the backdrop of declining sector-specific framework and high insecurities HELLA is currently expecting the following for FY 2019/20: Currency and portfolio ■ In the

  19. Slide 19: Outline

    HELLA Investor Update Q1 FY 2019/20 Outline ■ HELLA Financial Highlights Q1 FY 2019/20 ■ HELLA Financial Results Q1 FY 2019/20 ■ Outlook ■ Q&A 19 HELLA Investor Update Q1 FY 2019/20, Conference Call on September 26th, 2019

  20. Slide 20: Thanks for your attention

    Thanks for your attention Dr. Kerstin Dodel, CFA Head of Investor Relations Office phone +49 2941 38 - 1349 Facsimile +49 2941 38 - 471349 Mobile phone +49 174 3343454 E-Mail kerstin.dodel@hella.com Internet www.hella.com

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