Stadler Rail Ag · SIX:SRAIL
Stadler Rail — H1 2024 Earnings Presentation
34 slides from Stadler Rail's earnings presentation, Aug 28, 2024
Slide 1: Half-Year Results 2024
Half-Year Results 2024 28 August 2024
Slide 2: Presenters
Markus Bernsteiner Representing Group CEO Stadler today Raphael Widmer Group CFO Stadler half-year results 2024 | 28 August 2024 | © Stadler 2
Slide 3: Agenda
AGENDA 1 Highlights Half-Year 2024 Markus Bernsteiner, Group CEO 2 Half-Year 2024 financial results Raphael Widmer, Group CFO 3 Summary and outlook Markus Bernsteiner, Group CEO 4 Q&A Stadler half-year results 2024 | 28 August 2024 | © Stadler 3
Slide 4: Highlights Half-Year 2024
Highlights Half-Year 2024
Slide 5: Key figures Half-Year 2024
Half-Year 2024 Order intake | CHF 2.5bn Key figures Again exceeding our strategic ambition of 1.5x book-to-bill Order backlog | CHF 26.8bn Increases by 10% versus year-end 2023 Net revenues | CHF 1.3bn Stable versus H1 2023, incl. 1% negative FX effects EBIT margin | 2.2% Impacted by seasonal mix an
Slide 6: Global Challenges
Global Challenges Energy prices Wage costs Global Geopolitics Supply chains environment with negative Procurement market/ Currency development impact on transport results Inflation Labour shortage Stadler half-year results 2024 | 28 August 2024 | © Stadler 6
Slide 7: Rolling Stock Half-Year 2024 order intake
Rolling Stock Half-Year 2024 order intake CHF 2.0 billion Trains 1 − 50 FLIRT for Poland Locomotives − 9 locomotives equipped − 33 FLIRT Evo for CH/FR with ETCS and 24 hybrid − 10 intercity trains with battery-diesel yard shunt option of +10 trains for locomotives for Saudi Arabia New Zealand − 16 b
Slide 8: Leading in Green Mobility
Leading in Green Mobility USA − SBCTA: 1 FLIRT H2 Italy − ARST: 6 hydrogen multiple units − ASPIRE: 1 FLIRT Akku − FdC: 9 hydrogen multiple units More than 180 trains sold − Caltrain: 1 battery-powered KISS − FAL: 5 Tailormade Akku with battery or hydrogen − Caltrans: 4 FLIRT H2/6 KISS H2 − Metra: 8
Slide 9: Service & Components and Signalling order intake
Service & Components Half-Year 2024 order intake CHF 512 million1 − Saudi Arabia (SAR): Service contract for 10 years − Hungary (MÁV): Up to 40 vehicles for 10 years − Poland (KM): Service contract for 18 years − Alpha Trains: Full-service-agreement for EURO9000 Signalling Half-Year 2024 order intak
Slide 10: World record: FLIRT H2 hydrogen train
FLIRT H2 Hydrogen train 2803 kilometres without refuelling WORLD RECORD Stadler half-year results 2024 | 28 August 2024 | © Stadler 10
Slide 11: Half-Year 2024 financial results
Half-Year 2024 financial results
Slide 12: Half-year results 2024 summary I
CHFm Half-year results 2024 summary I Order -45% Order +10% intake 4’664 backlog 24’414 26’785 2’549 H1 23 H1 24 31.12.2023 30.06.2024 Net +0.3% EBIT revenues 1’289 1’293 -41% 3.7% 2.2% 48 28 H1 23 H1 24 H1 23 H1 24 EBIT as % of net revenues Stadler half-year results 2024 | 28 August 2024 | © Stadle
Slide 13: Half-year results 2024 summary II
CHFm Half-year results 2024 summary II Net cash1 -506 Net +376 399 working capital2 -479 -108 -856 31.12.2023 30.06.2024 31.12.2023 30.06.2024 Capital -27 Free cash -688 expen- 125 flow4 303 diture3 98 -385 H1 23 H1 24 H1 23 H1 24 Notes: 1 Net cash is calculated as cash and cash equivalents less cur
Slide 14: Order intake
CHFm Order intake 3.6x 2.0x Comments -45% − Total order intake of CHF 2.5bn in 4’664 4’664 H1-2024 which – as expected – is 0% 37 a decline year-on-year on a very 1’067 high comparison base 43% − Order intake in the Rolling Stock segment of CHF 2.0bn 2’549 0% 2’549 − Order intake in the Service & 33
Slide 15: Order backlog
CHFbn Order backlog 26.8 Comments 24.4 0.2 Order backlog of CHF 26.8bn with a 22.0 0.2 growing Service & Components +13% CAGR 6.6 0.2 share providing long-term visibility 5.9 17.9 4.8 16.1 0.1 15.0 4.4 13.2 2.8 4.1 11.0 2.3 9.3 2.0 20.0 0.8 17.0 18.4 12.3 12.0 13.4 10.9 8.5 9.0 2016 2017 2018 2019 2
Slide 16: Net revenues
CHFm Net revenues +0.3% Comments 1’289 1’293 − Overall net revenues remain 26 42 4% 1% 7% stable year-on-year incl. FX 215 8% 7% 232 translation impact of -1.0% 6% − Rolling Stock net revenues 30% decline 2.8% year-on-year incl. FX 26% translation impact of -0.8% − Service & Components net revenues
Slide 17: Production output
CHFm Production output +6.8% Comments 1’974 − Operating activities significantly 1’849 ahead of revenue recognition by units-of-delivery 681 560 − Production output grows by 6.8% vs H1-2023, exceeding net revenues by CHF 681m 1’289 1’293 H1 23 H1 24 Net revenues Delta gross work in progress Stadler
Slide 18: Production output versus revenues
CHFbn Production output versus revenues 8.6 3.5 – 3.7 4.0 – 4.2 5.0 – 5.5 ~95% ~85% >80% ∅ order intake 6.8 CHF 6.3bn 5.6 4.3 3.7 3.6 3.8 3.8 3.6 3.9 3.6 3.1 2020 2021 2022 2023 2024E 2025E 2026E Order intake Net revenues Production output % of net revenues in order backlog XX = Guidance net revenue
Slide 19: EBIT
CHFm EBIT Comments 3.7% − EBIT reaches CHF 28.2m − No major additional currency effects in H1-2024 − However, EBIT margin remains negatively affected by past 48 2.2% currency movements and inflation due to long term nature of orders 28 − EBIT impacted by higher growth- related SG&A costs (mainly fix
Slide 20: Net income
CHFm Net income H1 2023 H1 2024 Change YOY Comments Operating result (EBIT) 47.5 28.2 (40.7%) − At CHF 27.5m, profit for the Financial result (12.9) 3.1 period increased by 6.6% year-on- year Share of results from associated companies 1.7 2.3 − Interest income of CHF 7.8m and Ordinary result 36.3 33
Slide 21: Net cash position
CHFm Net cash position -506 Comments 399 399 − High level of advance payments collected in 2023, which are being used in the current 1’087 financial year 808 − The processing of various orders with negative cash flows is being ramped up -172 -235 − These effects had a negative impact on free cash fl
Slide 22: Net working capital
CHFm Net working capital +376 Comments 316 Overall increase of net working capital 334 of CHF 376m mainly driven by an 695 733 increase of work in progress (net) 302 327 147 216 -1’207 -479 -1’592 -248 -159 -618 -583 -479 -856 -856 31.12.2023 30.06.2024 31.12.2023 30.06.2024 Trade receivables Compen
Slide 23: Capital expenditure
CHFm Capital expenditure 288 Comments 57 − Capacity investments driven by 248 244 expansions in Germany, Spain 35 and Hungary 79 − Intangibles Capex mainly relate 188 184 to R&D in locomotives, alternative 14 177 propulsion technology 59 and signalling 66 231 213 98 76 174 166 28 55 11 112 125 8 65
Slide 24: Cash flow cycles through project execution
Cash flow cycles through project execution Comments Front-end − No structural change in payment loaded terms cash − Customer and market specific profile cash flow profiles typically vary significantly − Key driver for cashflows in a specific period are the mix of ongoing orders combined with advance
Slide 25: Summary and outlook
Summary and outlook
Slide 26: Stadler @ InnoTrans 2024
Stadler @ InnoTrans 2024 Innovative solutions for the rail transport of the future Firefighting and rescue MU Future of CO2-free local transport Next generation for the for ÖBB for Pfalznetz Centovalli railway First CITYLINK for VDV for Saarland Bimodal locomotive for flexible First presentation of
Slide 27: RS ZERO Zero-emission regio-shuttle
RS ZERO Zero-emission regio-shuttle − Relaunch of a classic − RS1 has been popular in German commuter traffic for more than 25 years − ~500 RS1 vehicles in operation in Germany − RS ZERO integrates state-of-the-art and environmentally friendly drive technologies − Market potential in Germany, Slovak
Slide 28: Stadler strategic target markets
Market volume 2021 in € billion1 Stadler strategic target markets € 54 billion Stadler strategic markets +5.1% p.a. Growth rate € 32 billion Freight waggon 10 +9.4% p.a. Growth rate High speed 10 China 11 Asia High speed Opportu- 6 Multiple units 11 (excl. China) 8 Multiple units nistic RoW 3 market
Slide 29: Mid-term strategy
Focused on profitable growth Mid-term strategy Markets Rolling Stock Signalling Service & Compon. Europa − Selectively win market − Must have ETCS − Growth in accessible Win market share and stabilize in share through best − Further advance in- markets and installed focus markets products and new ho
Slide 30: Actions to achieve the objectives
Focus Actions to achieve the objectives Order intake Selective tender participation Profitable growth in the service and and revenue signalling segments Operations Permanent optimisation of Decentralised supply chains and new order execution strategic suppliers Innovation Strengthening the position
Slide 31: Guidance
Guidance 2024 2025 2026 Order intake ~1.5x ø book-to-bill ~1.5x ø book-to-bill ~1.5x ø book-to-bill Net revenues CHF 3.5 - 3.7bn CHF 4.0 - 4.2bn CHF 5.0 - 5.5bn EBIT margin comparable to FY 2023 approx. 7% 7 - 8% CAPEX ~ CHF 200m ~ CHF 200m ~ CHF 200m Dividend1 60% 60% 60% 1) in % of net income All
Slide 32: Leading global railway player
Stadler on track Leading global Market environment Leading position in a growing, dynamic market railway player Product portfolio Stadler is increasingly operating as an integrated system provider Strong demand reflected in high order Order intake intake Technological leadership secures strong Innov
Slide 33: Information
Information SHARE INFORMATION Listing SIX Swiss Exchange Currency CHF Ticker symbol SRAIL ISIN CH0002178181 Listing date 12 April 2019 FINANCIAL CALENDAR 19 March 2025 Annual Report 2024 07 May 2025 General Assembly 27 August 2025 Half-Year Report 2025 INVESTOR CONTACT MEDIA CONTACT Daniel Strickler
Slide 34: Disclaimer
IMPORTANT NOTICE This presentation (the “Presentation”) has been prepared by Stadler Rail AG ("Stadler" and together with its subsidiaries, “we”, “us” or the “Group”) and includes forward-looking information and statements concerning the outlook for our business. These statements are based on curren