Dogus Otomotiv Servis Ve Ticaret Anonim Sirketi · BIST:DOAS
Dogus Otomotiv Servis Ve Ticaret Anonim Sirketi — Doğuş Otomotiv Servis ve Ticaret A.Ş. — Investor Presentation (October 2008)
37 slides from Dogus Otomotiv Servis Ve Ticaret Anonim Sirketi's investor presentation, October 2008
Slide 1: October, 2008
October, 2008
Slide 2: Agenda
Agenda • Doğuş Group • Doğuş Otomotiv • Macroeconomic Outlook • Automotive Market • Dogus Otomotiv Financial Results • New Projects • Expectations • Appendix 2
Slide 3: Competitive companies becoming regional leaders
Competitive companies becoming regional leaders BANKING BANKING&& TOURISM REAL FINANCIAL FINANCIAL AUTOMOTIVE AUTOMOTIVE CONSTRUCTION CONSTRUCTION MEDIA MEDIA & ENERGY ESTATE SERVICES SERVICES LEISURE • Import and • TV • Tourism • Banking • Infrastructure • REIT • Production Distribution Investments
Slide 4: Agenda
Agenda • Doğuş Group • Doğuş Otomotiv • Macroeconomic Outlook • Automotive Market • Dogus Otomotiv Financial Results • New Projects • Expectations • Appendix 4
Slide 5: Automotive Value Chain
Automotive Value Chain Current Future Sales EBIT Sales EBIT Import & Distribution 70% 70% 55-57% 30 - 35% International Operations - - 8-10% 10% Production - - 10-15% 10 - 15% Retail, After Sales Services, Automotive Related Services 30% 30% 25% 40 - 45% DOAS produces, finances, sells, rents, insure
Slide 6: Widest network of Turkey
Widest network of Turkey Apprx. 500 customer points, widest among the competitors (*) DOAS brands, including VW, Audi, Porsche, Scania, Seat, Krone, VW Marine, Scania Marine, Skoda as of September 30th 6
Slide 7: Success Story of DOAS
Success Story of DOAS M/S: 12% Car park more than 600K units TRY22.5mn cash dividends to shareholders Group’’s total vehicle population div. yield: 7.1% TRY7mn cash dividends to shareholders M/S: 5.8% div. yield: 2.2% TRY45mn cash dividends to shareholders div. yield: 14.2% TRY35mn cash dividends to
Slide 8: Success Story of DOAS
Success Story of DOAS 1994 Scania distribution started 1998 Seat and Skoda partnership started 2001 VW Consumer Finance JV, DOD 2004 Krone distribution started 2006- to date Otofix, DOD City Direct dealership in Egypt Krone production agreement VW marine engines distribution Bentley distribution Lam
Slide 9: Key Strengths of DOAS
Key Strengths of DOAS Leader in import market in Turkey with 20% m/s among c. 30 pure importers One-stop shopping concept showroom, after sales services, consumer financing, insurance Well-positioned multi-brand products 15 different brands Creating its own brands DOD, Oto-fix Youngest fleet in the
Slide 10: DOAS' Position in the Market
DOAS’ Position in the Market LCV PV VW LCVs are the market leader in imports, #3 in total Passat is the segment leader 3rd biggest market of VW commercial vehicles after Germany and the UK Golf is #3 in its segment VW PVs ranked 6th in the market HCV Scania is the market leader in import with 9% m/s
Slide 11: Launches in 2008
Launches in 2008 Volkswagen PV Tiguan, Passat Coupe, Scirocco, New Golf Volkswagen LCV Caddy Maxi, Caddy Life, Transporter Sportsline, Caravelle Limited Edition Audi A4, A4 Avant, A3 Cabrio, A3 (face lift), RS6 Porsche 911 GT2, Carrera (face lift), Boxster (face lift), Cayman (face lift) Seat Altea
Slide 12: Agenda
Agenda • Doğuş Group • Doğuş Otomotiv • Macroeconomic Outlook • Automotive Market • Dogus Otomotiv Financial Results • New Projects • Expectations • Appendix 12
Slide 13: Current Macroeconomic Outlook
Current Macroeconomic Outlook Structural improvements in Turkish economy (social security reform, tax reform, banking sector restructuring, independent central bank, increased transparency in fiscal accounts) Strong net exports and decent demand conditions Tight fiscal policy (though relatively loos
Slide 14: Macroeconomic Indicators
Macroeconomic Indicators YoY Inflation (%) Nominal Exchange Rates 40% 2,10 35% 30% 1,90 1,81 25% 1,70 20% 14.7% 15% 1,50 1,52 10% 11.8% 1,30 5% 1,24 0% 1,10 8 3 4 5 6 7 8 8 8 3 4 5 6 7 7 8 y-0 r-0 r-0 r-0 r-0 r-0 r-0 l-0 n-0 p-0 p-0 p-0 p-0 p-0 v-0 p-0 N 3 N 4 N 5 N 6 N 7 8 03 M 3 4 M 4 5 M 5 6 6 7
Slide 15: Macroeconomic Indicators
Macroeconomic Indicators Foreign Trade Volume (US$bn) FDI Inflows in OECD Countries (US$bn) 250 2003 2004 2005 2006 2007 204 25 200 20 150 130 15 100 10 50 5 0 0 Slovak Rep. Hungary Czech Poland Turkey Mexico 8 8 08 03 03 4 04 5 05 6 06 7 07 8 -0 l-0 -0 -0 -0 -0 -0 p- p- p- p- p- n- - Republic ay ar
Slide 16: Agenda
Agenda • Doğuş Group • Doğuş Otomotiv • Macroeconomic Outlook • Automotive Market • Dogus Otomotiv Financial Results • New Projects • Expectations • Appendix 16
Slide 17: Turkish Automotive Market Outlook
Turkish Automotive Market Outlook The market was weak in 1H07, due to deferred demand until elections Recovery in the market starting with August’07 Domestic demand improved 12% YoY in 1H08. Turkish Automotive Market (units) 900,000 725,672 767,443 800,000 652,877 580-600,000 700,000 635,087 600,000
Slide 18: 2007 Market Review
2007 Market Review 700,000 -4% 2006 2007 619K 593K 600,000 -3% 500,000 371K -6% 400,000 359K 300,000 248K 233K 200,000 100,000 0 PV LCV TOTAL Ford Others Ford Others 17% 22% 17% 22% 2006 2007 Toyota Renault Renault 5% 13% Toyota 15% 5% Peugeot 4% Peugeot 4% Opel Opel 6% 6% DOAS DOAS Hyundai Hyundai
Slide 19: DOAS Sales Performance
DOAS Sales Performance MODEL 1H08 1H07 YoY ch 2007 2006 YoY ch VW 22,398 20,720 8% 53,779 59,566 -10% VW PV 11,189 9,740 15% 26,110 27,619 -5% VW LCV 11,209 10,980 2% 27,669 31,947 -13% AUDI 2,660 2,272 17% 5,898 4,956 19% PORSCHE 78 103 -24% 218 220 -1% BENTLEY 8 10 - 19 - - LAMBORGHINI 3 1 - 3 - -
Slide 20: Agenda
Agenda • Doğuş Group • Doğuş Otomotiv • Macroeconomic Outlook • Automotive Market • Dogus Otomotiv Financial Results • New Projects • Expectations • Appendix 20
Slide 21: Doğuş Otomotiv Headline Figures - I
Doğuş Otomotiv Headline Figures- I Vehicle Sales Volume 1H08 1H07 YoY ch. Unit sales 30,043 26,899 12% 2nd hand sales 7,809 6,484 20% P&L (US$ mn) 1H08 1H07 YoY ch. Revenues 948 774 23% Gross Profit 118 116 2% Gross Margin 12.4% 14.9% - Operating Profit 12 27 -55% Operating Margin 1.3% 3.5% - EBITDA
Slide 22: Doğuş Otomotiv Headline Figures - II
Doğuş Otomotiv Headline Figures- II BS (US$ mn) 30-Jun-2008 31-Dec-2007 ch. Total Assets 1,025 993 3% Shareholders' Equity 333 466 -28% Capital Expenditures 13 88 -85% Net Cash (Debt) (60) (112) -46% Net Working Capital (51) (7) 603% Turnovers (days) Receivable Turnover 19 21 -8% Inventory Turnover
Slide 23: Agenda
Agenda • Doğuş Group • Doğuş Otomotiv • Macroeconomic Outlook • Automotive Market • Dogus Otomotiv Financial Results • New Projects • Expectations • Appendix 23
Slide 24: Krone production
Krone production Entering production with Krone • Krone is leader of the import market with 40% market share (14% in total, ranking 3rd) • Expansion of authorized dealership and service network in 2007 • Production kicks off in 2Q09 • Initial capacity will be 5,000 and increased to 10,000 after 1st
Slide 25: Meiller production
Meiller production Production of tippers with Meiller • Dogus Otomotiv has become the main exclusive importer and distributor of of the Meiller brand in Turkey in February 2007. • As per the Letter of Intent (LoI) signed in October 2007, Dogus Otomotiv and Meiller formed a joint venture (JV) company
Slide 26: Porsche sales in Lausanne
Porsche sales in Lausanne Porsche in Lausanne • Marketing, sales and after-sales retail operations of Porsche in Lausanne, Switzerland • In Switzerland; an important market for Porsche, 1,842 units of Porsche cars sold in 2007 vs 218 in Turkey • Establishment of a new showroom in Lausanne will be on
Slide 27: Agenda
Agenda • Doğuş Group • Doğuş Otomotiv • Macroeconomic Outlook • Automotive Market • Dogus Otomotiv Financial Results • New Projects • Expectations • Appendix 27
Slide 28: Expectations...
Expectations... January-December 2008E 2007 2006 Total Market (PV,LCV,HCV) 580-600,000 618,774 652,877 DOAS Unit Sales 65-70,000 71,690 77,711 DOAS Market share 12% 11.5% 12% DOD 2nd hand car sales 20,000 13,024 7,760 Revenues (US$mn) 2,000 1,979 1,766 Gross Margin 12.0-13.0% 13.8% 11.5% Operating P
Slide 29: Agenda
Agenda • Doğuş Group • Doğuş Otomotiv • Macroeconomic Outlook • Automotive Market • Dogus Otomotiv Financial Results • New Projects • Expectations • Appendix 29
Slide 30: Vdf is a hidden value...
Vdf is a hidden value... 2006 22 different brands: 16 vehicles and 6 motorbike brands Total car portfolio at 99,051 units 50,961 new contracts Total credit given totalling TRY1,194mn Market Share: 14% among all financial institutions Consumer Finance 50% among consumer finance companies 2007: • New
Slide 31: Motor Vehicle Inspection Stations (MVIS)
Motor Vehicle Inspection Stations (MVIS) TUVTURK – a cash cow business of DOAS, Akfen Holding and TÜV SÜD Right to build & operate MVIS in Turkey for 20 years in exchange of US$552mn. 189 fixed and 38 mobile inspection stations will be built until end-1Q09 with an investment of US$200mn. The operati
Slide 32: DOD: second hand vehicle sales
DOD: second hand vehicle sales Almost 100% of the second-hand vehicles sales market is non-organized. The market is expected to grow exponentially in the coming years, due to increase in consumer awareness about organized side and much more favorable tax rates compared to new cars. DOD is the larges
Slide 33: Doğuş Otomotiv Headline Figures - 2007
Doğuş Otomotiv Headline Figures- 2007 Vehicle Sales Volume 2006 2007 YoY ch. Unit sales 76,902 70,808 -8% 2nd hand sales 7,760 13,024 68% P&L (US$ mn) 2006 2007 YoY ch. Revenues 1,766 1,979 12% Gross Profit 203 273 35% Gross Margin 11.5% 13.8% Operating Profit 41 68 67% Operating Margin 2.3% 3.4% EB
Slide 34: Doğuş Otomotiv Headline Figures - 2007
Doğuş Otomotiv Headline Figures- 2007 BS (US$ mn) 2006 2007 YoY ch. Total Assets 804 993 24% Shareholders' Equity 340 464 36% Capital Expenditures 16 88 444% Net Cash (Debt) 41 (43) - Net Working Capital 99 63 -36% Turnovers (days) Receivable Turnover 21 21 0% Inventory Turnover 69 51 -26% Payable T
Slide 35: Stock Performance
Stock Performance 1,20 12,00 Closing Price (TRY) (29thSep08) 2.88 52 wk High (TRY) (14Jan08) 8.79 1,00 10,00 52 wk Low (TRY) (3rdJuly08) 2.50 0,80 8,00 % Price Change 1 Month Ago -27% 0,60 6,00 % Price Change 3 Months Ago -7% % Price Change 6 Months Ago -45% 0,40 4,00 % Price Change 1 Year Ago -63%
Slide 36: THANK YOU
Se THANK YOU
Slide 37: Disclaimer
DISCLAIMER: Dogus Otomotiv Servis ve Ticaret A.S. (the “DOAS”) has prepared this presentation documents (the “Document”) consisting of documents and appendixes thereto for the sole purposes of providing information and projections and statements relating to the DOAS (the “Information”). DOAS cannot
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