Opmobility · EURONEXT:OPM
Opmobility — Plastic Omnium — H1 2014 Earnings Presentation
27 slides from Opmobility's earnings presentation, Jul 24, 2014
Slide 1: 2014 Interim Results
LEVALLOIS, 24 JULY 2014 2014 Interim Results Laurent Burelle Chairman and Chief Executive Officer Paul Henry Lemarié Director, Chief Operating Officer Jean-Michel Szczerba Director, Chief Operating Officer
Slide 2: Basis of preparation of 2014 interim financial statements
2014 Interim Results In order to give the accurate picture of the Group's business and operational position, the 2014 interim financial statements were prepared using the same accounting methods as the 2013 audited consolidated financial statements. These financial statements, which have been review
Slide 3: Contents
2014 Interim Results CONTENTS First-Half 2014 Highlights 2014 Interim Results 2014 Outlook 24 July 2014 3
Slide 4: First-Half 2014 Highlights Summary
2014 Interim Results FIRST-HALF 2014 HIGHLIGHTS SUMMARY Revenue : €2,666m +3.8% Operating Margin : 8.2% of revenue +15% EBITDA : 12.0% of revenue +9% Net Profit, Group share : €108m +12% Free Cash Flow : €38m 1.4% of revenue 24 July 2014 4
Slide 5: Highlights: Financial Performance - Revenue and Operating Margin
2014 Interim Results FIRST-HALF 2014 HIGHLIGHTS FINANCIAL PERFORMANCE REVENUE +11.6% 3 000 +3.8% 2 500 • 7.3% revenue growth, excluding -€90 million 2,568 2,666 currency effect 2 000 2,390 In €m 1 500 1 000 500 0 H1 2012 H1 2013 H1 2014 OPERATING MARGIN • Tight cost control 250 +29% +15% • Full impa
Slide 6: Highlights: Financial Performance - Capex and Free Cash Flow
2014 Interim Results FIRST-HALF 2014 HIGHLIGHTS FINANCIAL PERFORMANCE INDUSTRIAL CAPEX & CAPITALIZED R&D 200 181 In €m and as % of revenue 150 • Strong Capex: 6.8% of revenue 129 6.8% 5.9% 100 5.4% • Funds from Operations : €303 million, 0 11.4% of revenue H1 2012 H1 2013 H1 2014 FREE CASH FLOW In €
Slide 7: Strong Order Intake - Automotive
2014 Interim Results FIRST-HALF 2014 HIGHLIGHTS STRONG ORDER INTAKE - AUTOMOTIVE 17 automotive plants in North America • Two new plants in the United States : ₋ Body components and modules: Windsor (1) Chattanooga (Tennessee) for Volkswagen in 2015 Adrian (1) Huron (1) ₋ Fuel systems: Fairfax (Kansa
Slide 8: Strong Order Intake - Environment
2014 Interim Results FIRST-HALF 2014 HIGHLIGHTS STRONG ORDER INTAKE - ENVIRONMENT Major contract wins in first-half 2014 : Wheeled bins ₋ Communauté Urbaine de Bordeaux ₋ Chartres ₋ Saint Denis de la Réunion ₋ Greater Copenhagen District Underground containers ₋ Lac du Bourget ₋ Hamburg, Berlin ₋ Br
Slide 9: Strengthened R&D - Automotive
2014 Interim Results FIRST-HALF 2014 HIGHLIGHTS STRENGTHENED R&D - AUTOMOTIVE Gross R&D spend 300 247.4 250 x2 243.7 • R&D spend doubled in six years 206.2 200 ₋ 5.2% of Automotive sales 139.8 143.7 In €m 127.9 150 109.6 ₋ 2,000 people, 9% of employees 100 ₋ 22 R&D centers, including two newly 50 op
Slide 10: Innovation as Growth Driver
2014 Interim Results FIRST-HALF 2014 HIGHLIGHTS INNOVATION AS GROWTH DRIVER • New products, new functions ₋ Aerodynamics (reduced CO2 by improved Cx) ₋ Integration of functions (sensors, electronics, etc.) ₋ Weight reduction (thermoplastics, carbon fiber, etc.) ₋ Design (greater freedom in styling,
Slide 11: Innovation as Growth Driver - Cleaner Diesel (SCR)
2014 Interim Results FIRST-HALF 2014 HIGHLIGHTS INNOVATION AS GROWTH DRIVER SCR market (millions of systems) x 3,5 • Cleaner diesel (SCR) Total: 7.6 ₋ A strong growing market driven by 1.0 1.1 standards: ₋ Europe: Euro 6.1 (2014) and 6.2 (2017) Total: 2.2 ₋ North America: Lev 3 (2018) 0.1 5.5 0.6 ₋
Slide 12: Innovation as Growth Driver - Underground Containers
2014 Interim Results FIRST-HALF 2014 HIGHLIGHTS INNOVATION AS GROWTH DRIVER New underground container ranges with customizable design • Ongoing growth in voluntary deposit Geneva contract • Target of #1 position in Europe reached • Sustained innovation for underground containers : ₋ New designed pil
Slide 13: Contents
2014 Interim Results CONTENTS First-Half 2014 highlights 2014 Interim Results 2014 Outlook 24 July 2014 13
Slide 14: First-Half 2014 Revenue by Business
2014 Interim Results FIRST-HALF 2014 REVENUE By business At constant In €m 06.30.2013 06.30.2014 Change exchange rates Automotive division 2,339 2,450 +4.7% +8.5% % of revenue 91% 92% Environment division 229 216 -5.5% -5.3% % of revenue 9% 8% Revenue 2,568 2,666 +3.8% +7.3% 24 July 2014 14
Slide 15: Further Outperformance: H1 2014 Vehicle Production by Region
2014 Interim Results FURTHER OUTPERFORMANCE H1 2014 : 43.1 million vehicles H1 2014 Automobile production: +1.6m (+3.8%), PO Automobile revenue +8.5% H1 2013 : 41.5 million vehicles PO rev. PO rev. North America Western Europe Asia (excl. China) PO rev. +5.1% +12.9% and RoW -0.5% +1.7% +4.2% 11.5 11
Slide 16: 44 Automotive Program Launches in H1 2014
2014 Interim Results 44 AUTOMOTIVE PROGRAM LAUNCHES IN H1 2014 Eastern Europe 3 launches Western Europe Incl : North America 14 launches 6 launches Asia Incl: Incl: 19 launches Incl: South America 2 launches Incl: 24 July 2014 16
Slide 17: First-Half 2014 Revenue by Region
2014 Interim Results FIRST-HALF 2014 REVENUE By Region H1 2013: €2,568 m H1 2014: €2,666 m (*) * (*) 10.6% of Automotive revenue 24 July 2014 17
Slide 18: First-Half 2014 Automotive Revenue by Client
2014 Interim Results By nationality at 30 June 2013 FIRST-HALF 2014 AUTOMOTIVE REVENUE 4% By clients Others H1 2014: €2,449.6m 16% 23% French Asian 25% American 31% German 24 July 2014 18
Slide 19: Income Statement
2014 Interim Results INCOME STATEMENT In €m 06.03.2013 06.30.2014 Change Revenue 2,567.9 2,665.6 +3.8% Operating margin 190.1 218.7 +15.0% % of revenue 7.4% 8.2% Automotive 183.7 206.2 +12.3% % of revenue 7.9% 8.4% Environment 6.4 12.5 +95.3% % of revenue 2.8% 5.8% EBITDA 293.0 320.4 +9.4% % of reve
Slide 20: Income Statement: Production, Structure and Labor Costs
2014 Interim Results INCOME STATEMENT Production and structure costs 30 29.3 28.7 28.1 29,3 • Good utilization rate In % of revenue 20 10 • €17 million restructuring costs in H1 0 2014 vs. €23 million in FY2013 and H1 2012 H1 2013 H1 2014 €42 million in FY2012 Labor cost 20 17.7 17.1 16.8 • Headcoun
Slide 21: Financial Structure
2014 Interim Results FINANCIAL STRUCTURE In €m 06.30.2013 12.31.2013 06.30.2014 Debt at the beginning of the period -390 -390 -355 Funds from operations +272 +537 +303 Taxes and interest paid -59 -115 -68 Capital expenditure -150 -338 -181 Change in working capital requirement +18 +28 -16 Free cash
Slide 22: Financial Structure: Net Debt, Gearing and ROCE
2014 Interim Results FINANCIAL STRUCTURE EBITDA NET DEBT NET DEBT/EBITDA 400 400 As points 375 370 0,5 0.6 0.6 In €m 320 In €m 200 293 200 0 0 0 H1 2013 H1 2014 H1 2013 H1 2014 H1 2013 H1 2014 EQUITY GEARING ROCE 32% 1000 50% 800 1,012 864 43% 31% In €m As % 600 As % 37% 400 200 0 2.5% 0% H1 2013 H1
Slide 23: Contents
2014 Interim Results CONTENTS First-Half 2014 highlights 2014 Interim Results 2014 Outlook 24 July 2014 23
Slide 24: Further Market Improvement: H2 2014 Vehicle Production
2014 Interim Results FURTHER MARKET IMPROVEMENT H2 2014: 42.6 million vehicles H2 2014 Automobile production: +1.3m (+3.3%) H2 2013: 41.3 million vehicles North America Western Europe Asia (excl.China) and RoW +0% +6.3% 11.4 11.4 +1.8% 7.9 8.4 In million In million 6.2 In million 6.1 0 0 0 H2 2013 H
Slide 25: 52 Automotive Program Launches in 2014
2014 Interim Results 52 AUTOMOTIVE PROGRAM LAUNCHES IN 2014 Eastern Europe 2 launches North America 5 launches Western Europe Asia 7 launches 35 launches South America 3 launches 24 July 2014 25
Slide 26: 2014 Outlook
2014 Interim Results CONCLUSION 2014 OUTLOOK • Growth in all financial aggregates over full-year 2014 • Speed up overseas Capex • Strengthen technological leadership 24 July 2014 26
Slide 27: 2014 Interim Results
LEVALLOIS, 24 JULY 2014 2014 Interim Results Laurent Burelle Chairman and Chief Executive Officer Paul Henry Lemarié Director, Chief Operating Officer Jean-Michel Szczerba Director, Chief Operating Officer