Slide 1: Publication of Results 2020
PUBLICATION OF RESULTS 2020 Lengau, February 26, 2021 PALFINGER Publication of Results 2020
Slide 2: Andreas Klauser, CEO
ANDREAS KLAUSER CEO 26/02/21 PALFINGER Publication of Results 2020
Slide 3: 2020 at a glance: Challenge Accepted
2020 at a glance SOLID PROFITABILITY AND STRENGTHENED BALANCE SHEET ACHIEVED IN CRISIS YEAR MASSIVE COVID-19 IMPACT IN 1ST HALF OF 2020 SINCE SUMMER 2020, STABILIZATION OF MARKETS 2020 CHALLENGE ACCEPTED COVID-19 TASK FORCE: OVER 220 ACTIONS DEFINED AND CARRIED OUT 26/02/21 PALFINGER Publication of
Slide 4: PALFINGER: Globally well positioned
PALFINGER at a glance PALFINGER: GLOBALLY WELL POSITIONED GROUP 2020 REVENUE EUR 1.53 billion EMPLOYEES 10,824 35 production sites & SITES ca 5,000 worldwide service centers 62% EMEA REVENUE 21% NAM SPREAD 3% LATAM 14% APAC, CIS 26/02/21 PALFINGER Publication of Results 2020 4
Slide 5: With our corporate incubator, we are shaping the future
We are investing in our future, especially during the crisis. P21st - CHALLENGE ACCEPTED: WITH OUR CORPORATE INCUBATOR, WE ARE SHAPING THE FUTURE. P21st STRUCINSPECT STATE PRIZE DIGITALIZATION 2020 DIGITAL IMPULSE AWARD 2020 26/02/21 PALFINGER Publication of Results 2020 5
Slide 6: Long-term competitiveness through sustainable action
Corporate responsibility LONG-TERM COMPETITIVENESS THROUGH SUSTAINABLE ACTION Strategic realignment of sustainability focus & comprehensive climate protection strategy planed for 2021 Responsible Employer Eco-Efficient Production ▪ Focus on HSE & ▪ -43% CO2 compared to 2015 COVID-19 Task Force (-16%
Slide 7: COVID-19 Task Force reacted quickly and extensively
Operational highlights COVID-19 TASK FORCE REACTED QUICKLY & EXTENSIVELY FOCUS, TEAMWORK & PROACTIVE STEERING AS SUCCESFUL CORE ELEMENTS COVID-19 Task Force implemented at end of February 2020: completed over 220 actions in 3 work packages: 01 1. Health & Safety / HR / Communication, 2. Production &
Slide 8: 2020: A landmark year
Operational highlights PALFINGER 2020: A LANDMARK YEAR COVID-19 Task Force: COVID-19 crisis managed successfully. Acquired the 2nd-largest worldwide distribution partner: Swedish company HINZ Försäljnings AB. Segment SEA restructuring completed and fully integrated in GPO. PALFINGER World Tour: Laun
Slide 9: Martin Zehnder, COO
MARTIN ZEHNDER COO 26/02/21 PALFINGER Publication of Results 2020
Slide 10: Crisis-resistant thanks to sector diversity
Understanding of Customers shapes our actions CRISIS-RESISTANT THANKS TO SECTOR DIVERSITY Construction Industry Railway Offshore Wind Aquaculture & Fishing Forestry & Agriculture Transport & Logistics Waste Mgmt. & Recycling Passenger Commercial Infrastructure Public Sector Offshore / Oil & Gas 26/0
Slide 11: Industries react differently to COVID-19 crisis
Understanding of Customers shapes our actions INDUSTRIES REACT DIFFERENTLY TO COVID-19 CRISIS 26/02/21 PALFINGER Publication of Results 2020 11
Slide 12: Innovative and powerful product portfolio
Technology as a driving force INNOVATIVE AND POWERFUL PRODUCT PORTFOLIO LOADER TIMBER / HOOKLIFTS & TAIL TURNKEY MARINE OFFSHORE WINCHES CRANES RECYCLING SKIPLOADERS LIFTS SOLUTIONS CRANES CRANES PASSENGER ACCESS TRUCK MOUNTED BRIDGE INSPECTION RAILWAY WIND DAVITS BOATS SYSTEMS PLATFORMS FORKLIFTS &
Slide 13: Innovation leadership further expanded
PALFINGER Innovation INNOVATION LEADERSHIP FURTHER EXPANDED OVER 20 PRODUCT LAUNCHES TURNKEY SOLUTIONS Investment of around EUR 60 million in Research & Development Loader, Marine & • Configured comprehensive solutions Wind Crane • Production site Solec, Kujawski/Poland: Complete truck crane bodies
Slide 14: PALFINGER invests in digital transformation
PALFINGER Digitization PALFINGER INVESTS IN DIGITAL TRANSFORMATION Smart Lifting Solutions IT Digital Backbone Autonomous systems, CLOUD first, CYBER PALFINGER Connected, E3 SECURITY, Power BI Autonomous systems Digital E2E Processes Smart Control, Intelligent Loading Assist, SAP S/4 HANA, Offshore
Slide 15: Production and supply network feature high level of resilience
PALFINGER Operations Footprint PRODUCTION AND SUPPLY NETWORK FEATURE HIGH LEVEL OF RESILIENCE Production Network Customer Proximity, Flexibility, CoE Supply Chain Management Make or Buy, Transport Logistics Suppliers Partnerships, Procurement Organization, Synergies Quality, HSE Quality Leadership,
Slide 16: Felix Strohbichler, CFO
FELIX STROHBICHLER CFO 26/02/21 PALFINGER Publication of Results 2020
Slide 17: Segment Sales & Service
SEGMENT SALES & SERVICE 26/02/21 PALFINGER Publication of Results 2020 17
Slide 18: Positive trend in 2nd half of 2020
Segment SALES & SERVICE POSITIVE TREND IN 2ND HALF OF 2020 01 Effects of COVID-19 crisis felt across all product lines in 2020. 02 Drop in earnings reduced by short-time work and cost-cutting measures. 03 Sales and service activities of the former segment SEA included. 04 Market recovery as at 3rd q
Slide 19: EBIT margin at stable level despite sales decline
Segment SALES & SERVICE EBIT MARGIN AT STABLE LEVEL DESPITE SALES DECLINE in EUR million 20191) 2020 Δ% External revenue 1,641.5 1,443.4 -12.1% EBITDA 182.6 166.0 -9.1% EBIT 148.4 118.6 -20.1% EBIT margin 9.0% 8.2% – 1) Figures adjusted retroactively to new segment reporting structure. 26/02/21 PALF
Slide 20: Segment Operations
SEGMENT OPERATIONS 26/02/21 PALFINGER Publication of Results 2020 20
Slide 21: 2020 shaped by COVID-19
Segment OPERATIONS 2020 SHAPED BY COVID-19 Lockdown in Q1 2020 used to create work environments best suited 01 to safeguarding health, safety and well-being. Lower capacity utilization in Q2 2020 due to lockdowns, market environment and 02 COVID-19 crisis health-measure compliance. Introduction of S
Slide 22: Lower utilization and lagging manufacturing for 3rd parties
Segment OPERATIONS LOWER UTILIZATION UND LAGGING MANUFACTURING FOR 3RD PARTIES in EUR million 20191) 2020 Δ% External revenue 112.3 90.5 -19.4% EBITDA 64.8 39.0 -39.8% EBIT 30.0 4.2 -86.0% 1) Figures adjusted retroactively to new segment reporting structure 26/02/21 PALFINGER Publication of Results
Slide 23: Holding Unit
HOLDING UNIT 26/02/21 PALFINGER Publication of Results 2020 23
Slide 24: Short-term work and project prioritization reduce holding costs
Segment HOLDING SHORT-TERM WORK AND PROJECT PRIORITIZATION REDUCE HOLDING COSTS in EUR million 2019 2020 Δ% EBITDA -23.8 -16.3 31.5% EBIT -29.4 -22.5 23.3% 26/02/21 PALFINGER Publication of Results 2020 24
Slide 25: PALFINGER Group
PALFINGER GROUP 26/02/21 PALFINGER Publication of Results 2020 25
Slide 26: Comprehensive actions secure good profitability in crisis year
PALFINGER Group COMPREHENSIVE ACTIONS SECURE GOOD PROFITABILITY IN CRISIS YEAR in EUR million 2019 2020 Δ% Revenue 1,753.8 1,533.9 -12.5% EBITDA 223.6 188.7 -15.6% EBITDA margin 12.8% 12.3% - EBIT (operating income) 149.0 100.3 -32.7% EBIT margin 8.5% 6.5% - EBT (result before income tax) 133.1 85.1
Slide 27: Intentional reduction of investment volume
PALFINGER Group INTENTIONAL REDUCTION OF INVESTMENT VOLUME 160 139,6 140 120 95,7 90,81) 100 88,4 71,4 69,8 74,6 80 68,3 68,2 60 49,9 40 20 0 2016 2017 2018 2019 2020 Net Investment Depreciation, amortization and impairment 1) Includes additions from leases (IFRS 16); excluding divestment of 2.5% of
Slide 28: Lowest net debt since 2013, taking IFRS 16 into account
PALFINGER Group LOWEST NET DEBT SINCE 2013, TAKING IFRS 16 INTO ACCOUNT in EUR million 31/12/2019 31/12/2020 Financial liabilities1) 591.8 524.8 Ø Interest on financial liabilities2) 1.69% 1.33% Ø Maturity on financial liabilities 4.51 years 4,01 years Cash equivalents 42.0 104.2 Net debt 525.6 397.
Slide 29: Balance sheet key figures significantly better
PALFINGER Group DESPITE CHALLENGING SITUATION, BALANCE SHEET KEY FIGURES SIGNIFICANTLY BETTER 31/12/2019 31/12/2020 Equity ratio 38.3% 39.6% Gearing 83.6% 64.4% Net debt/EBITDA 2.35 2.10 According to IFRS 16, slight rounding differences are possible.. 26/02/21 PALFINGER Publication of Results 2020 2
Slide 30: Historically-high cashflow through liquidity optimization program
PALFINGER Group HISTORICALLY-HIGH CASHFLOW THROUGH COMPREHENSIVE LIQUIDITY OPTIMIZATION PROGRAM in EUR million 2019 2020 EBTDA 207.7 173,5 +/- non-cash income from at-equity companies -14.0 -4,0 +/- change in working capital +5.1 71,0 +/- cashflow from tax payments -42.8 -15,8 Cashflow from operatin
Slide 31: Significant event after year end - cyberattack
Significant event after year end 2020 SIGNIFICANT EVENT AFTER YEAR END - CYBERATTACK On January 25th, 2021 PALFINGER was target of a global cyberattack that affected IT infractructure of almost all sites worldwide. Promptly, all systems were systematically shut down and a Task Force set up. PALFINGE
Slide 32: Outlook for 2021
OUTLOOK FOR 2021 ANDREAS KLAUSER 26/02/21 PALFINGER Publication of Results 2020
Slide 33: Revenue target 2021: close to 2019's record
OUTLOOK 2021 REVENUE TARGET 2021: CLOSE TO 2019'S RECORD A positive market environment and full order books secure good visibility for the 1st half of 2021; high market risk remains due to COVID-19. 2021 target: revenue of over EUR 1.7 billion 8 percent EBIT margin Planed reversal of cross-holding w
Slide 34: Financial targets 2024
Financial targets 2024 CLEAR STRATEGY TO ACHIEVE FINANCIAL TARGETS FINANCIAL TARGETS 2024 MARKET LEADER IN CRANE AND LIFTING SOLUTIONS #1 EUR 2 billion 10% 10% average EBIT margin average ROCE revenue from organic growth over the economic cycle over the economic cycle 26/02/21 PALFINGER Publication
Slide 35: Stay healthy!
STAY HEALTHY! PALFINGER Publication of Results 2020
Slide 36: Investor Relations and Press Contact
INVESTOR RELATIONS UND PRESS CONTACT ANDREAS KLAUSER FELIX STROHBICHLER HANNES ROITHER CEO CFO Croup Spokesperson +43 662 2281-81008 +43 662 2281-81006 +43 662 2281-81100 a.klauser@palfinger.com f.strohbichler@palfinger.com h.roither@palfinger.com PALFINGER AG Lamprechtshausener Bundesstraße 8 This