Krones Ag · XETR:KRN
Krones — H1 2019 Earnings Presentation
21 slides from Krones's earnings presentation, Jul 25, 2019
Slide 1: First Half Year 2019 Conference Call
KRONES First Half Year 2019 Conference Call July 25, 2019
Slide 2: KRONES Highlights 1st HY 2019
2 ｜KRONES Conference Call July 25, 2019 KRONES Highlights 1st HY 2019 + 1.2% 2,038.6 € Mio. 1,889.3 Revenue (+5.5%) € Mio. New orders 2.5% -230.1 Operating free cash flow € Mio. (PY -48.9 € Mio.) 47.9 € Mio. EBT margin
Slide 3: House of KRONES
3 ｜KRONES Conference Call July 25, 2019 House of KRONES Digitalisation Automatic control systems IT services Process technology Bottling and Intralogistics packaging equipment Beer Labelling technology Warehouse Malt beverages Inspection technology management systems Soft drinks Filling technology I
Slide 4: Stable long term growth
4 ｜KRONES Conference Call July 25, 2019 Stable long term growth
Slide 5: PET
5 ｜KRONES Conference Call July 25, 2019 PET
Slide 6: KRONES' revenue split remains balanced
6 ｜KRONES Conference Call July Press Conference 25, 2019Meeting - 29th of April 2019 & Analyst KRONES' revenue split remains balanced Share of revenue (1st HY) CIS/Central Asia 2017 2018 2019 Europe 2.1 % 2.3 % 1.8% 2017 2018 2019 37.9 % 37.3 % 41.1% 3.7% China 1.6% North America 2017 2018 2019 45.0
Slide 7: KRONES key figures – EBT 1st HY 2019 burdened by cost increases
7 ｜KRONES Conference Call July 25, 2019 KRONES key figures – EBT 1st HY 2019 burdened by cost increases New orders (in € million) Sales (in € million) EBT (in € million) EBITDA (in € million) 3,957 258.8 3,787 +5% 3,854 258.8 340.2 3,691 +4% 237.6 +9% +9% 320.8 +6% +10% 237.6 305.9 3,441 3,391 +9% +
Slide 8: Personnel and material cost
8 ｜KRONES Conference Call July 25, 2019 Personnel and material cost Personnel cost (€ million) 1st HY 641.7 540.1 574.4 496.0 33.6 31.8 31.5 31.8 2016 2017 2018 2019 Personnel cost to total performance (%) Material cost (€ million) 1st HY 974.4 896.2 826.2 749.4 51.0 48.0 48.2 49.6 2016 2017 2018 20
Slide 9: KRONES continues to grow its workforce in Emerging Markets
9 ｜KRONES Conference Call July 25, 2019 KRONES continues to grow its workforce in Emerging Markets KRONES employee worldwide KRONES employee development in the Emerging Markets 17,128 16,545 Year South Africa Asia CIS/East China Total 15,299 America Europe 2017 581 393 734 172 608 2,488 31.12. 2018
Slide 10: Development sales and EBT per segment Q2
10 ｜KRONES Conference Call July 25, 2019 Development sales and EBT per segment Q2 Segments Sales (€ million) 1st HY EBT (€ million) 1st HY Targets 2019 Product filling Growth EBT margin and decoration * +7% +2% +3 % 8.1% 7.6% 3.6% Growth 1,499 1,530 1,581 ~3% 121.1 116.5 57.0 EBT margin ~3% Beverage
Slide 11: Working capital ratio improved
11 ｜KRONES Conference Call July 25, 2019 Working capital ratio improved Working capital* in % ROCE* in % (1st HY) of revenue (1st HY) 16.3 15.5 28.8 26.3 26.0 5.5 2017 2018 2019 2017 2018 2019 *LTM (Last Twelve Months)
Slide 12: Higher working capital and investments caused lower free cash flow
12 ｜KRONES Conference Call July 25, 2019 Higher working capital and investments caused lower free cash flow 1st HY (€ million) 2019 2018 Working capital development (€ million) Earnings before taxes 47.9 112.7 2019 @ -271 € million 1,089 +/– Other non-cash changes +102.0 +82.0 121 9 43 +/– Changes i
Slide 13: Outlook 2019
Outlook 2019
Slide 14: Major drivers for revised guidance
14 ｜KRONES Conference Call July 25, 2019 Major drivers for revised guidance Expected EBT margin 6% 3% EBT 1 After sales 1 2 2 Price 3 4 5 3 PET 4 Material cost 5 Q2 utilization 2019 Plan Revised guidance for 2019
Slide 15: KRONES targets 2019
15 ｜KRONES Conference Call July 25, 2019 KRONES targets 2019 Revenue growth EBT margin Working capital to revenue 3% ~ 3% 26%
Slide 16: Mid-Term Targets
Mid-Term Targets
Slide 17: Mid-term plan
17 ｜KRONES Conference Call July 25, 2019 Mid-term plan In the VUCA world our outlook has to be build on scenarios Mid-term targets Annual revenue growth * 3-5% EBT margin 6-8% Key factors influencing our achievement of targets Working − Markets: Given the macro-economical uncertainty, we assume a hi
Slide 18: Questions and answers
18 ｜KRONES Conference Call July 25, 2019 Questions and answers ? …
Slide 19: Thank you
Thank you for your attention! Sd e f )( KRONES
Slide 20: Financial calender 2019
20 ｜KRONES Conference Call July 25, 2019 Financial calender 2019 October 30, 2019 Conference Call Group Q3 2019 and Quarterly Statement as per September 30 Olaf Scholz Head of Investor Relations KRONES AG Böhmerwaldstrasse 5 93073 Neutraubling Germany Phone +49 9401 70-1169 Fax +49 9401 70-911169
Slide 21: Disclaimer
21 ｜KRONES Conference Call July 25, 2019 Disclaimer This investor presentation contains forward-looking statements that are based on current estimates, forecasts and assumptions made by KRONES AG management to the best of its knowledge and other information currently available to KRONES AG. The forw