Rockwool A/S Class A · OMXCOP:ROCK_A

Rockwool A/S Class A — Q1 2011 Earnings Presentation

29 slides from Rockwool A/S Class A's earnings presentation, May 25, 2011

  1. Slide 1: 2011 Q1 results Copenhagen 25 May 2011

    2011 Q1 results – Copenhagen, 25 May 2011 2011 Q1 results Copenhagen 25 May 2011 CFO Gilles Maria 11

  2. Slide 2: Forward-looking statement

    2011 Q1 results – Copenhagen, 25 May 2011 Forward-looking statement The statements on the future in this presentation, including expected sales and earnings, are associated with risks and uncertainties and may be affected by factors influencing the activities of the group, e.g. the global economic e

  3. Slide 3: Highlights

    2011 Q1 results – Copenhagen, 25 May 2011 Highlights In Europe, the markets continue to improve in volume. Conditions for sale price increases are getting better. The recovery is gaining ground also outside the lead countries of Germany and France. In Russia, the sales continue to show a strong grow

  4. Slide 4: Western Europe

    2011 Q1 results – Copenhagen, 25 May 2011 Western Europe  Germany and France lead the market recovery but also positive signs in Scandinavia and Italy. Markets in NL, Spain and UK remain difficult.  Newbuild outlook is clearly improving in Germany, France and Scandinavia.  The residential market

  5. Slide 5: Central / Eastern Europe

    2011 Q1 results – Copenhagen, 25 May 2011 Central / Eastern Europe  The market recovery continues led by Poland.  Neighbouring regions in Baltics, CZ and SK also show positive signs.  Further south, the market conditions are still difficult.  Ukraine which used to be a big market before the cris

  6. Slide 6: Russia

    2011 Q1 results – Copenhagen, 25 May 2011 Russia  The strong development continues.  Upswing is gaining ground also within newbuild.  The Troitsk factory is also sold out despite the recent major capacity expansion. Factory  The Group is importing massive quantities Volga project to satisfy the

  7. Slide 7: North America

    2011 Q1 results – Copenhagen, 25 May 2011 North America  Despite a rather flat construction market we see accelerating double-digit growth.  Building code tightenings are mushrooming in the US.  DIY and flat roof growth strategies continue to be successful in the US.  Technical insulation shows

  8. Slide 8: Asia

    2011 Q1 results – Copenhagen, 25 May 2011 Asia  The Southeast Asian construction markets continue in high gear and we are currently sold out in the region.  Increased focus on fire regulations in residential buildings in China continues to drive our facade insulation sales in that market. Sales of

  9. Slide 9: Financials

    2011 Q1 results – Copenhagen, 25 May 2011 Financials 9

  10. Slide 10: Net sales first quarter 2011

    2011 Q1 results – Copenhagen, 25 May 2011 Net sales first quarter 2011 325% 3,255 3,250 3,099 2,933 275% 2,750 2,539 DKK mill. 2,520 225% 2,250 175% 1,750 125% 1,250 75% 750 250 16% 25% -5% -1% -250 -18% -25% 2007 2008 2009 2010 2011 Net sales Changes 10

  11. Slide 11: EBIT first quarter 2011

    2011 Q1 results – Copenhagen, 25 May 2011 EBIT first quarter 2011 700 210% 615 600 160% 500 DKK mill. 115% 400 337 110% 300 200 146 60% 104 100 68 10% 0 -100 -29% -40% -200 -45% -300 -80% -90% 2007 2008 2009 2010 2011 EBIT Changes 11

  12. Slide 12: EBITDA first quarter 2011

    2011 Q1 results – Copenhagen, 25 May 2011 EBITDA first quarter 2011 784 800 240% 700 190% 600 527 DKK mill. 500 140% 400 377 347 300 274 90% 200 38% 40% 100 0 -10% -8% -100 -33% -200 -48% -60% 2007 2008 2009 2010 2011 EBITDA Changes 12

  13. Slide 13: EBIT Q1 2011 per business segment

    2011 Q1 results – Copenhagen, 25 May 2011 EBIT Q1 2011 per business segment 600 561 550 500 DKK mill. 450 400 350 297 300 250 200 150 100 81 70 50 59 54 50 34 20 20 35 11 0 -10 -11 -1 -50 2007 2008 2009 2010 2011 Insulation Systems Division Elim. & Holding companies 13

  14. Slide 14: Financial items first quarter 2011

    2011 Q1 results – Copenhagen, 25 May 2011 Financial items first quarter 2011 10 6 DKK mill. 5 0 -5 -4 -10 -8 -15 -14 -16 -20 2007 2008 2009 2010 2011 14

  15. Slide 15: Profit Q1 2011 after minority interests

    2011 Q1 results – Copenhagen, 25 May 2011 Profit Q1 2011 after minority interests 450 428 400 DKK mill. 350 300 242 250 200 150 100 78 68 50 38 0 2007 2008 2009 2010 2011 15

  16. Slide 16: Change in working capital Q1 2011

    2011 Q1 results – Copenhagen, 25 May 2011 Change in working capital Q1 2011 0 DKK mill. -50 -64 -100 -84 -150 -200 -250 -245 -300 -280 -350 -339 -400 2007 2008 2009 2010 2011 16

  17. Slide 17: Stock end of first quarter 2011

    2011 Q1 results – Copenhagen, 25 May 2011 Stock end of first quarter 2011 - The increase due to acquisitions amounts to DKK 47 million at YE 2010 and DKK 39 million in Q1 2011 1,600 1,433 1,400 DKK mill. 1,200 1,182 1,007 1,000 926 921 986 845 643 800 210 610 566 539 600 400 635 539 200 447 387 397

  18. Slide 18: Debtors end of first quarter 2011

    2011 Q1 results – Copenhagen, 25 May 2011 Debtors end of first quarter 2011 1,800 1,743 1,709 DKK mill. 1,700 1,596 1,600 1,498 1,500 1,398 1,400 1,348 1,300 1,200 1,100 1,000 2007 2008 2009 2010 2010 2011 YE Increase due to acquisitions 18

  19. Slide 19: Cash flow from first quarter 2011

    2011 Q1 results – Copenhagen, 25 May 2011 Cash flow from first quarter 2011 500 423 400 300 DKK mill. 200 143 100 79 77 37 0 -49 -25 -100 -273 -305 -200 -472 -300 -400 -500 2007 2008 2009 2010 2011 Cash flow from operations Free cash flow 19

  20. Slide 20: Investments and acquisitions Q1 2011

    2011 Q1 results – Copenhagen, 25 May 2011 Investments and acquisitions Q1 2011 700 616 600 DKK mill. 500 400 400 350 280 300 249 200 142 344 216 86 100 36 138 101 50 0 2007 2008 2009 2010 2011 Maintenance CAPEX Capacity program 20

  21. Slide 21: Cost reduction programme

    2011 Q1 results – Copenhagen, 25 May 2011 Cost reduction programme 700 650 DKK mill. 600 550 500 450 400 350 300 250 200 2H 2008 1H 2009 2H 2009 1H 2010 2H 2010 1Q 2011 Cost reduction programme Factory efficiency 21

  22. Slide 22: Energy prices on the rise

    2011 Q1 results – Copenhagen, 25 May 2011 Energy prices on the rise Indexed spot prices of oil, foundry coke, gas and electricity 2005-2010 (Q1, 2005 = 100) Q1/05 Q1/06 Q1/07 Q1/08 Q1/09 Q1/10 Q1/11 22

  23. Slide 23: Expectations

    2011 Q1 results – Copenhagen, 25 May 2011 Expectations 23

  24. Slide 24: Expectations for 2011

    2011 Q1 results – Copenhagen, 25 May 2011 Expectations for 2011 Net sales at unchanged exchange rates is now expected to increase between 10 and 15% in 2011 compared to last year. Profit after minority interests is still expected to be DKK 550 million. Investment level excluding acquisitions is now

  25. Slide 25: Long term sales development 1985-2011e

    2011 Q1 results – Copenhagen, 25 May 2011 Long term sales development 1985-2011e 14,000 12,000 DKK mill. 10,000 8,000 6,000 4,000 2,000 0 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011 2011e e 25

  26. Slide 26: Long term EBITDA ratio 1985-2011e

    2011 Q1 results – Copenhagen, 25 May 2011 Long term EBITDA ratio 1985-2011e 26% 24% Percentage 22% 20% 18% 16% 14% 12% 10% 8% 6% 4% 2% 0% 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011e 26

  27. Slide 27: Long term EBIT ratio 1985-2011e

    2011 Q1 results – Copenhagen, 25 May 2011 Long term EBIT ratio 1985-2011e 20% 18% Percentage 16% 14% 12% 10% Goal 11% 8% 6% 4% 2% 0% 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011e 27

  28. Slide 28: Investments and acquisitions full year

    2011 Q1 results – Copenhagen, 25 May 2011 Investments and acquisitions full year 2,700 2,642 2,642 2,400 2,100 DKK mill. 1,620 1,800 1,689 1,412 1,500 1,170 1,100 1,200 1,125 31 817 900 634 600 600 953 310 300 495 505 500 285 0 2007 2008 2009 2010 2011e Maintenance CAPEX Capacity program Acquisition

  29. Slide 29: Questions

    2011 Q1 results – Copenhagen, 25 May 2011 Questions 29

Rockwool — Q1 2011 Earnings Presentation on 6ix