Interroll Holding AG · SIX:INRN
Interroll — FY2022 Earnings Presentation
37 slides from Interroll's earnings presentation, Mar 17, 2023
Slide 1: Interroll Holding AG Analyst Conference on Financial Year 2022
Interroll Holding AG Analyst Conference on Financial Year 2022 March 17, 2023 PUBLIC 1 Analyst Conference on Financial Year 2022 March 17, 2023 PUBLIC © Interroll Group
Slide 2: Agenda
Interroll Group Analyst Conference on Financial Year 2022 Agenda 1. Group Overview Ingo Steinkrüger, CEO 2. Results 2022 Heinz Hössli, CFO 3. Productivity & Capacities: The backbone of Interroll Jens Strüwing, EVP Products & Technology 4. The way to Sales Excellence: Customer Promises Maurizio Catin
Slide 3: Agenda: Group Overview
Interroll Group Analyst Conference on Financial Year 2022 Agenda 1. Group Overview Ingo Steinkrüger, CEO 2. Results 2022 Heinz Hössli, CFO 3. Productivity & Capacities: The backbone of Interroll Jens Strüwing, EVP Products & Technology 4. The way to Sales Excellence: Customer Promises Maurizio Catin
Slide 4: Momentum for growth
Momentum for growth Interroll product areas Key Figures for the Interroll Group (2022) Distribution of order intake 8.5% 19.4% CHF 664.4 Mio. Sales Pallet Handling Rollers CHF 572.6 Mio. Order Intake CHF 105.2 Mio. EBIT 40.5% 31.6% Conveyors & Sorters Drives 4 Analyst Conference on Financial Year 20
Slide 5: Highlights of our Growth Strategy
Highlights of our Growth Strategy Three pillars: Solutions, Markets, Services Services Markets Solutions I NNOVATI ONS REGI ONAL P RES ENCE AF T ER S AL ES EMEA Americas Asia Pacific • Food Conveyor Platform • Extensions Germany • Mexico gaining • New Factory in China • EMEA Service fully establishe
Slide 6: Level of strategic achievement
Strategic Phases 2000-2030 Level of strategic achievement • Modularity / digitalization • Industry solutions • Business excellence • Platform-concept • Global footprint • Restructuring • End-user approach • Re-positioning • Divestments / Acquisitions 2000 2010 2020 2030 6 Analyst Conference on Finan
Slide 7: Agenda: Results 2022
Interroll Group Analyst Conference on Financial Year 2022 Agenda 1. Group Overview Ingo Steinkrüger, CEO 2. Results 2022 Heinz Hössli, CFO 3. Productivity & Capacities: The backbone of Interroll Jens Strüwing, EVP Products & Technology 4. The way to Sales Excellence: Customer Promises Maurizio Catin
Slide 8: Order intake: CHF 572.6m (-27.4%)
Order intake: CHF 572.6m (-27.4%) In local currency: -24.3% 800 71 600 • Rollers: -29.0% 316 49 • Drives: -26.0% 400 232 • Conveyors & Sorters: -26.6% 245 200 181 • Pallet Handling: -31.6% 156 111 0 • Book-to-bill Ratio: 0.86 (PY: 1.23) 1812 1912 2012 2112 2212 Rollers Drives Conveyors/Sorters Palle
Slide 9: Sales by region: CHF 664.4m (+3.8%)
Sales by region: CHF 664.4m (+3.8%) In local currency: +8.0% 800 Sales development: • EMEA: +14.5% 600 • Americas: +4.1% 400 • Asia-Pacific: -35.5% 200 Sales by region: • EMEA: 58% (PY: 52%) 0 1812 1912 2012 2112 2212 • Americas: 33% (PY: 33%) EMEA AMERICAS ASIA • Asia-Pacific: 9% (PY: 15%) In CHF m
Slide 10: EBIT: CHF 105.2m (+5.9%)
EBIT: CHF 105.2m (+5.9%) EBITDA CHF 129.3m (+5.6%) in % of sales 19.5% (PY: 19.1%) 20% • Supply chain improvements, massive 100 105.2 99.3 reduction of backlog and delivery times 10% • High cost discipline underlined 50 EBIT CHF 105.2m (+5.9%) in % of 0 0% sales 15.8% (PY: 15.5%) 1812 1912 2012 2112
Slide 11: Result: CHF 82.8m (+2.7%)
Result: CHF 82.8m (+2.7%) 16.0% 14.0% Result CHF 82.8m (+2.7%) 100 12.0% In % of sales 12.5% (PY: 12.6%) 10.0% 80.6 82.8 8.0% • Negative financing result from FX 50 6.0% currency loss 4.0% • Higher tax rate of 21.0% (PY 2.0% 18.8%), driven by a normalization in result mix 0 0.0% 1812 1912 2012 2112
Slide 12: Operating cash flow: CHF 71.4m (+51.0%)
Operating cash flow: CHF 71.4m (+51.0%) Operating cash flow CHF 71.4m (+51.0%) 20% In % of sales: 10.7% (PY: 7.4%) 100 • Reduction of inventories (+18.7m) 71.4 • Less income tax paid 50 10% 47.3 Free cash flow CHF 49.2m In % of sales: 7.4% (PY: -0.1%) 0 0% 1812 1912 2012 2112 2212 • Investments CHF
Slide 13: Value creation: ROE 22.4% and RONA 24.5%
Value creation: ROE 22.4% and RONA 24.5% ROE & RONA vs. WACC of 9% 30% 20% 10% 0% 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 ROE 4.3% 11.1% 13.4% 12.8% 11.9% 9.9% 14.4% 16.4% 15.8% 19.0% 19.0% 23.3% 24.5% 22.4% RONA 1.6% 10.4% 9.9% 12.6% 12.2% 9.8% 15.3% 17.1% 16.5% 20.9%
Slide 14: Dividend increase by 3.2% to CHF 32.00 per share proposed
Dividend increase by 3.2% to CHF 32.00 per share proposed 100 94.4 96.9 84.0 For the General Assembly on May 65.6 12th, 2023, it is proposed: 60.7 50 • A dividend of CHF 32.00 per share (PY: CHF 31.00) 31.8 32.0 22.5 27.0 • The payout ratio reaches 33.0% 22.0 (PY: 32.8%) 0 2018 2019 2020 2021 2022 P
Slide 15: Dividend Development
Dividend Development Period from FY 2002-2022 35.0 30.0 25.0 20.0 15.0 10.0 5.0 0.0 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Dividend per share 2.5 2.5 4.0 6.0 7.0 10.5 5.0 5.0 5.0 7.0 8.0 8.8 9.0 12.0 16.0 16.5 22.0 22.5 27.0 31.0 32.0
Slide 16: Sustainability Report 2022
Sustainability Report 2022 Setting the baseline • First Interroll Sustainability Report • Compliant with international GRI Standards 2021 • Definition of 12 material topics in Corporate Policies published on www.interroll.com • Strengthened commitment to UN Global Compact and Sustainable Development
Slide 17: 4 Impact Areas – 12 Material Topics – 80 KPIs
Sustainability Report 2022 4 Impact Areas – 12 Material Topics – 80 KPIs Impact Area Material Topic Sustainable Growth INTERROLL SUSTAINABILITY Economic Product Responsibility FRAMEWORK Sustainable Procurement Climate Protection Global Compact & Sustainable Development Goals Environment Environmenta
Slide 18: Triumph Video
Triumph Video Our contribution for a more sustainable material handling 19 Analyst Conference on Financial Year 2022 March 17, 2023 PUBLIC © Interroll Group
Slide 19: Agenda: Productivity & Capacities
Interroll Group Analyst Conference on Financial Year 2022 Agenda 1. Group Overview Ingo Steinkrüger, CEO 2. Results 2022 Heinz Hössli, CFO 3. Productivity & Capacities: The backbone of Interroll Jens Strüwing, EVP Products & Technology 4. The way to Sales Excellence: Customer Promises Maurizio Catin
Slide 20: Products & Technology Overview
Products & Technology Overview Capacity Innovation Global Lifetime Service 21 Analyst Conference on Financial Year 2022 March 17, 2023 PUBLIC © Interroll Group
Slide 21: Operation Challenges 2022
Operation Challenges 2022 Drivers for result Flexibility in Capacities Inventory Reduction Secure Budget target for Inventories: Adaption of capacity in accordance with market • Order rescheduling based on ABC / XYZ demands: analysis • Reduction of Fix Cost –14,1% vs Plan • New planning tool install
Slide 22: Capacities for sustainable growth
Capacities for sustainable growth Global activities to secure customer demands EMEA Asia Pacific America Expansion of Production Space: New Factory in China: Extension of capacity in Brazil: • Baal (CoE*), +7.000 sqm • Suzhou (RCoE**), 22.000 sqm • Joaguariuana (LA*** ), • Modular Hygienic Platfor
Slide 23: Innovation in Practice
Innovation in Practice Expansion of proven Product Range Food Processing Controls LCP* Top Loader New platform to automate and Vertical integration of platforms Connecting Conveyor and AMR** improve hygienic applications solutions • Cabinet Engineering and • Fast Return on Investment Production •
Slide 24: HPP – High Performance Platform
HPP – High Performance Platform Closing the gap Platform Multi Belt Interroll solution Switch Layouter • Integration with • Capacity: 6000 • Proven in MCP and Sorter and pcs/h on a conveyor MPP Conveyor Platforms • Integration of 3rd Party solutions *** Product launch in April 2023 *** 25 Analyst Co
Slide 25: Digitalization at Interroll
Digitalization at Interroll Triple benefit: Production, Products and Processes INTERNAL EXTERNAL Digitalization of Production Digitalization of Products • Product Lifecycle Management • RollerDrive: Big Data • Interroll Production System as SYSTEM • MultiControl: Simple Machine-to- digital productio
Slide 26: Global Lifetime Service
Global Lifetime Service Status and next steps STATUS DONE FOR EMEA TO COME Dedicated service organization: Enabling EMEA roll-out completed Expansion of America started – completion in spare parts customers to Q4’2023 grow Asia planned for 2024 business in 2022 Consulting, Training, Retrofit Spare p
Slide 27: Agenda: The way to Sales Excellence
Interroll Group Analyst Conference on Financial Year 2022 Agenda 1. Group Overview Ingo Steinkrüger, CEO 2. Results 2022 Heinz Hössli, CFO 3. Productivity & Capacities: The backbone of Interroll Jens Strüwing, EVP Products & Technology 4. The way to Sales Excellence: Customer Promises Maurizio Catin
Slide 28: Sales Strategy
Sales Strategy Focus on Growth HIGH Partnerships (trusted) • Focus on long-term relationship Strategic Growth • Core values Solutions • Consultation on decisions • Focus on Customer needs • Experiences & Influences • Goals & Objectives • Licence to sell LOW Features • Focus on Price • Service & Busi
Slide 29: Strategic Partnerships
Strategic Partnerships Trust matters 30 Analyst Conference on Financial Year 2022 March 17, 2023 PUBLIC © Interroll Group
Slide 30: The success of Rolling On Interroll
The success of Rolling On Interroll Analysis FY 2022 20.7% 49% Of ROI partners with Increase in revenue of total ROl Community 2022 increase in annual spend (€ 57M) vs 2021 2.8% 13.9% 14 millionaires € 6.4M Churn rate in 2022 net growth of ROI i.e. ROI partners with Annual spend of largest ROI Commu
Slide 31: Business Intelligence and Digital Sales
Digital Sales Planning Success • Business Intelligence Team • Competitive landscape • Successful rollout of Customer Relationship Management • Digital Sales Platform • Precise and reliable forecasting 32 Analyst Conference on Financial Year 2022 March 17, 2023 PUBLIC © Interroll Group
Slide 32: Customer promise: Quality, Speed, Simplicity
Customer promise What we are valued for QUALITY SPEED SIMPLICITY 33 Analyst Conference on Financial Year 2022 March 17, 2023 PUBLIC © Interroll Group
Slide 33: Agenda: Summary and Outlook
Interroll Group Analyst Conference on Financial Year 2022 Agenda 1. Group Overview Ingo Steinkrüger, CEO 2. Results 2022 Heinz Hössli, CFO 3. Productivity & Capacities: The backbone of Interroll Jens Strüwing, EVP Products & Technology 4. The way to Sales Excellence: Customer Promises Maurizio Catin
Slide 34: Outlook
Outlook Customer and Markets Strong Innovation Business Excellence Platform Strategy Pipeline • Cost Fitness • Deepening of technology • Strategic Partnerships • Food Conveyor Platform • Breathing Production platform • Rolling on Interroll Program • Capacities in Place • Interroll as trusted partner
Slide 35: Time for Questions
Time for Questions 36 Analyst Conference on Financial Year 2022 March 17, 2023 PUBLIC © Interroll Group
Slide 36: Contact details
Contact details Heinz Hössli Chief Financial Officer h.hoessli@interroll.com Phone +41 91 850 25 44 Interroll Holding AG Via Gorelle 3 6592 Sant’Antonino Switzerland www.interroll.com 37 Analyst Conference on Financial Year 2022 March 17, 2023 PUBLIC © Interroll Group
Slide 37: Disclaimer
Disclaimer This presentation contains certain future-oriented statements. Future-oriented statements include all statements which do not relate to historical facts and events and contain future-oriented expressions such as “believe”, “estimate”, “assume”, “expect”, “forecast”, “intend”, “could” or “