Slide 1: PALFINGER AG Presentation on the 2013 financial year
PALFINGER AG Presentation on the 2013 financial year February 2014
Slide 2: Ongoing market volatility
ONGOING MARKET VOLATILITY REVENUE (HALF YEAR) AREA UNITS EUROPEAN UNITS 550 500 450 400 350 300 250 200 150 100 50 0 -50 2005 2006 2007 2008 2009 2010 2011 2012 2013 Î Flexibility and internationality as bases for success Acc. to IFRS in EUR million. 2
Slide 3: Highlights 2013
HIGHLIGHTS 2013 Growth in spite of difficult economic situation – another record year » Positive development outside Europe and in the Marine business area » Internationalization enabled consolidation of leading market position » Slight upward trend in Europe in the second half of the year Revenue i
Slide 4: Strategy
STRATEGY 4
Slide 5: Palfinger at a glance
PALFINGER AT A GLANCE Leading international manufacturer of innovative lifting solutions » World market leader in loader cranes, marine cranes, wind cranes and container handling systems » Leading specialist in timber and recycling cranes, tail lifts, truck mounted forklifts and high-tech railway sy
Slide 6: Strategic targets 2017
STRATEGIC TARGETS 2017 Growth, primarily in BRIC countries Development of China into second domestic market Global balance of production and proximity to customers Consolidation of leading position in the marine and offshore areas Maintaining innovation leadership worldwide Meeting customers’ expect
Slide 7: Strategic highlights 2013
STRATEGIC HIGHLIGHTS 2013 Joint ventures with SANY » Sany Palfinger: Positive sales development in China » Palfinger Sany: Dealers and first sales in CIS » Expansion of partnership planned Palfinger Platforms Italy » Joint venture opens up large market segment for access platforms (trucks of up to 3
Slide 8: Strategic highlights 2013 (2)
STRATEGIC HIGHLIGHTS 2013 (2) MCT ENG » Takeover of the business of longstanding supplier in Korea » Manufacturing capacities and know-how for marine and offshore cranes Palfinger systems GmbH and Megarme Group » Majority takeovers » Innovative systems for accessing and performing work on ships and
Slide 9: Strategic highlights 2013 (3)
STRATEGIC HIGHLIGHTS 2013 (3) Ground-breaking ceremony for new Group headquarters Increasing value-creation in local markets and plants Numerous process and product innovations increase sustainability Internal reporting expanded to include sustainability indicators » Integrated Annual Report 2013 Î
Slide 10: Internationalization
INTERNATIONALIZATION REVENUE 2009 REVENUE 2013 19.9% 33.6% AREA UNITS AREA UNITS 80.1% 66.4% EUROPEAN UNITS EUROPEAN UNITS 10
Slide 11: Internationalization (2): revenue by region 2013
INTERNATIONALIZATION (2) REVENUE BY REGION 2013 4.3% 2.8% REST OF EUROPE AFRICA AND MIDDLE EAST CIS 5.4% FAR EAST 7.3% 9.2% 50.8% CENTRAL AND EUROPEAN UNION SOUTH AMERICA 20.2% NORTH AMERICA 11
Slide 12: 33 Production sites
33 PRODUCTION SITES Lengau/AUT Köstendorf/AUT Elsbethen/AUT Weng/AUT Löbau/GER Ganderkesee/GER Krefeld/GER Seifhennersdorf/GER Barneveld/NED Bergen/NOR W. Garden City/GBR Cadelbosco/ITA Modena/ITA Caussade/FRA Marburg/SLO Delnice/CRO Skrljevo/CRO Lazuri/ROU Tenevo/BUL Cherven Brjag/BUL Ischimbai/RUS
Slide 13: Segments
SEGMENTS 13
Slide 14: Segment financials
SEGMENT FINANCIALS SEGMENT REVENUE 2012 2013 % EUROPEAN UNITS 617.0 651.0 + 5.5% AREA UNITS 318.2 329.6 + 3.6% VENTURES – – – SEGMENT EBIT 2012 2013 % EUROPEAN UNITS 74.2 83.5 + 12.5% AREA UNITS 11.0 11.4 + 3.9% VENTURES (15.1) (20.3) (34.1%) Acc. to IFRS in EUR million. Minor rounding differences m
Slide 15: European Units segment
EUROPEAN UNITS SEGMENT Situation in Europe remained difficult, slight recovery in the second half » Decline in revenue – except for loader cranes, railway systems, production, distribution company in Germany » Nevertheless, positive results in almost all business units Global Marine business area re
Slide 16: Area Units segment
AREA UNITS SEGMENT Share in revenue came to 33.6% » Positive trend in North America continued, further increases » Expanded product portfolio and higher profitability in South America » Asia recorded substantial increases in revenue, in particular in China » India still marked by difficult environme
Slide 17: Ventures unit
VENTURES UNIT Expansion of joint ventures with SANY – market development Mutual shareholdings of PALFINGER and SANY prepared Expansion of Marine business area (Korea, Brazil, Singapore, Europe) Further projects: Palfinger systems, Megarme in UAE, PM-Group Lifting Machine Roll-out of product groups,
Slide 18: Key financials
KEY FINANCIALS 18
Slide 19: Key figures
KEY FIGURES 2011 2012 2013 % Revenue 845.7 935.2 980.7 + 4.9% EBITDA 96.8 98.0 105.5 + 7.7% EBITDA margin 11.4% 10.5% 10.8% – EBIT 67.9 68.5 74.1 + 8.3% EBIT margin 8.0% 7.3% 7.6% – Result before income tax 57.0 53.7 61.1 + 13.8% Consolidated net result for the period 42.0 40.4 44.0 + 9.0% Dividend
Slide 20: Quarterly figures
QUARTERLY FIGURES Revenue EBIT 300 50 265 241 247 249 241 250 223 222 224 223 226 40 210 187 192 200 30 150 20 100 20.9 21.1 17.7 19.5 18.1 18.1 13.5 16.5 15.5 16.5 16.9 15.1 14.8 10 50 0 0 Q4/10 Q1/11 Q2/11 Q3/11 Q4/11 Q1/12 Q2/12 Q3/12 Q4/12 Q1/13 Q2/13 Q3/13 Q4/13 EBIT 7.2% 7.9% 9.4% 7.8% 7.0% 7.
Slide 21: Capital employed
CAPITAL EMPLOYED* Net working capital (as percentage of revenue) Non-current operating assets 594 600 552 501 500 460 462 172 (18%) 151 (16%) 119 (14%) 400 152 (30%) 118 (18%) 300 200 382 401 422 308 344 100 0 2009 2010 2011 2012 2013 Increase through expansion of business volume, Î relation to reve
Slide 22: Investments
INVESTMENTS Net investments Depreciation, amortization and impairment 50 40.8 40 32.0 31.4 28.8 29.5 30 23.7 21.5 22.7 18.7 20 15.9 10 0 2009 2010 2011 2012 2013 Î Investments to support further development of the areas Acc. to IFRS in EUR million. Minor rounding differences may occur. 22
Slide 23: Gearing ratio and equity
GEARING RATIO AND EQUITY Net debt Equity Gearing % 450 100% 385.9 400 352.8 364.9 350 319.9 292.3 75% 300 217.6 217.9 250 56.5% 59.6% 50% 200 151.9 52.0% 160.9 50.3% 166.9 47.3% 150 100 25% 50 0 0% 2009 2010 2011 2012 2013 Î Debt financed for the long term Acc. to IFRS in EUR million. Minor rounding
Slide 24: Free cash flows
FREE CASH FLOWS 2011 2012 2013 EBTDA 85.6 82.8 92.5 +/– Non-cash result from companies at equity (7.9) (1.9) (6.1) +/– Change in working capital (28.7) (12.8) (18.1) +/– Cash flows from tax payments (11.3) (12.7) (5.8) Cash flows from operating activities 37.7 55.4 62.5 +/– Cash flows from investing
Slide 25: Outlook
OUTLOOK 25
Slide 26: Expansion of partnership with SANY
EXPANSION OF PARTNERSHIP WITH SANY Mutual participations of 10 per cent each planned Contracts signed at the end of 2013, transaction carried out after authorizations have been obtained PALFINGER AG: half of stake existing shares from the Palfinger family half of stake new shares (authorized capital
Slide 27: Outlook and objectives – internally
OUTLOOK AND OBJECTIVES – INTERNALLY Consolidation following rapid expansion in 2013 Focus on further steps in South America and the Marine business area Introduction of additional product groups in BRIC markets, primarily China Further increase in flexibility Establishment of a plant in China 27
Slide 28: Outlook and objectives – externally
OUTLOOK AND OBJECTIVES – EXTERNALLY Improvement of economic situation in Europe noticeable Further growth outside Europe Massive potential of Marine business area Organic and inorganic growth in revenue expected Î Objective: another record revenue year 28
Slide 29: Investor Relations
INVESTOR RELATIONS Herbert Ortner, CEO Hannes Roither, Company Spokesperson Phone +43 662 46 84-2222 Phone +43 662 46 84-2260 h.ortner@palfinger.com h.roither@palfinger.com PALFINGER AG Franz-Wolfram-Scherer-Strasse 24 5020 Salzburg www.palfinger.ag This presentation contains forward-looking stateme
Slide 30: Back up
BACK UP 30
Slide 31: Return on capital employed
RETURN ON CAPITAL EMPLOYED NOPLAT Capital employed Return on capital employed % 593.9 600 552.2 50% 500.7 500 460.2 462.3 40% 400 30% 300 20% 200 11.1% 10.2% 9.8% 7.1% 10% 100 55.5 56.3 58.5 0.0% 0 0% (0.1) 32.7 -100 -10% 2009 2010 2011 2012 2013 Acc. to IFRS in EUR million. Minor rounding differenc
Slide 32: Balance sheet structure
BALANCE SHEET STRUCTURE ASSETS LIABILITIES Current liabilities Current assets Non-current liabilities Non-current assets Equity 1000 850 1000 850 814 814 800 800 180 211 600 392 420 600 269 253 400 400 200 422 429 200 365 386 0 0 2012 2013 2012 2013 Î Long-term financial structure Acc. to IFRS in EU
Slide 33: Financing structure as at December 2013
FINANCING STRUCTURE AS AT 31 DECEMBER 2013 150 138 Ø Interest rate 3.15% Ø Remaining time to maturity 2.5 years 100 Financial assets EUR 16.0m 50 46 Equity ratio 45.4% 50 0 Maturity 2014 2015 after 2015 Acc. to IFRS in EUR million. Minor rounding differences may occur. 33
Slide 34: Palfinger shares: shareholder structure
PALFINGER SHARES SHAREHOLDER STRUCTURE SHAREHOLDER INFORMATION AS AT 31 DECEMBER 2013 1% PALFINGER AG ISIN AT0000758305 34% Number of shares 35,730,000 free float thereof own shares 328,090 Share price as at EUR 28.85 end of period Market capitalization EUR 1,030.8m Earnings per share EUR 1.24 65% P
Slide 35: Performance of Palfinger shares since 2013
PERFORMANCE OF PALFINGER SHARES SINCE 2013 200 180 PALFINGER AG EUR 31.15 160 140 120 DAX ATX 100 80 2 Jan 2013 2 Jan 2014 31 Jan 2014 35
Slide 36: Financial calendar 2014
FINANCIAL CALENDAR 2014 12 March 2014 Annual General Meeting 14 March 2014 Ex-dividend day 18 March 2014 Dividend payment day 7 May 2014 Publication of results for the first quarter of 2014 7 August 2014 Publication of results for the first half of 2014 7 November 2014 Publication of results for the