Bae Systems Plc · LSE:BA.
Bae Systems — Investor Day (May 2019)
5 slides from Bae Systems's investor day presentation, May 15, 2019
Slide 1: Major Programme Status - 15th May 2019
1 Major Programme Status - 15th May 2019 • F-35 - Ramp to 140 sets in 2019 progressing well • Qatar Typhoon and Hawk production – programme fully mobilised • UK Typhoon support – 3 years in, performing well • KSA support – Managing German licence position • Dreadnought – Under contract through 2020
Slide 2: IFRS 16
2 IFRS 16 • Effective from 1st January 2019 • No re-statement of prior years • No Impact to EPS or total cashflow • Not treated as Debt but as lease liability and fixed asset • Sector EBITA, Interest impact detailed in following slides • Only reclassifications within the cashflow statement – per att
Slide 3: Adoption of IFRS 16 Leases
3 Adoption of IFRS 16 Leases (£m) 31 Dec 1 Jan 2018 IFRS 16 2019 Intangible fixed assets 10,658 10,658 Estimated P&L impact in 2019 Tangible fixed assets 2,017 1,300 3,317 £m Investments 442 (11) 431 Electronic Systems 4 Working capital (3,288) 33 (3,255) Cyber & Intelligence 3 Pension deficit (3,93
Slide 4: Adoption of IFRS 16 Leases
4 Adoption of IFRS 16 Leases (£m) Pre- Post- IFRS 16 IFRS 16 Impact Income Statement*: Depreciation - (245) Rental expense (295) - EBITA (295) (245) +50 Finance Costs - (50) (50) Profit before Tax (295) (295) - Cash Flow statement*: EBITA (295) (245) Add back depreciation - 245 Capital element of le
Slide 5: 2019 Guidance – Incorporating IFRS 16
5 2019 Guidance – Incorporating IFRS 16 2018 Actual 2019 Guidance (1) Sales (£m) Margin (%) Sales Margin Electronic Systems 3,965 15.3 mid-single digit 14% - 16% Cyber & Intelligence 1,678 6.6 stable c.7% mid to high Platforms & Services (US) 3,005 7.0 8% - 9% single digit Air 6,712 12.8 +c.10% 11%