Fiskars Oyj Abp · OMXHEX:FSKRS
Fiskars Oyj Abp — Fiskars Group — Q4 2012 Earnings Presentation
41 slides from Fiskars Oyj Abp's earnings presentation, Feb 7, 2013
Slide 1: Fiskars Group Q4/2012
Fiskars Group Q4/2012 1.1. – 31.12.2012 Helsinki, February 7, 2013 Page 1 Fiskars Q4 2012
Slide 2: Agenda
Agenda Highlights Business Review Spotlight: Strategy review Financials Appendixes Page 2
Slide 3: Fiskars in brief
Fiskars in brief Net sales EUR 747.8 million Including Royal Copenhagen some 4,100 employees around the world Products sold in over 60 countries Production units in Finland Helsinki, Iittala, Nuutajärvi, Billnäs, Sorsakoski, Ähtäri Madison/Garden & Portland SOC Outdoor/Gerber Sourcing offices, Bangk
Slide 4: Q4: Record sales for Home business
Q4: Record sales for Home business EBIT 13.0 MEUR, Net sales 190.3 +22 % Home business MEUR,+2 % EBIT w/o non-recurring performed strongly, led by Living and SOC 13.0 MEUR, -5 % Royal Copenhagen Home sales becomes part of 101 MEUR, +9 %, Fiskars in setting a new record January 2013 Page 4 Fiskars Q4
Slide 5: Fiskars acquires Royal Copenhagen
Fiskars acquires Royal Copenhagen – creates a portfolio of leading Scandinavian design brands • Royal Copenhagen a part of Fiskars’ Home Business Area since January 2013 • Strong strategic fit & complementary offering • Accelerates international expansion - strengthens position in Scandinavia and As
Slide 6: 2012: Record operating profit and strong progress in strategy implementation
2012: Record operating profit and strong progress in strategy implementation EBIT excl. NRI Net sales 63.1 MEUR, +2 % 5th year of consistent 747.8 MEUR, +1 % New record for 3rd transformation year in a row Outlook for 2013: Strong year for Home, Board proposes led by Living and EUR 0.65 FY net sales
Slide 7: Q4 Business review
Q4 Business review Page 7 Fiskars Q4 2012
Slide 8: Operating environment in Q4
Operating environment in Q4 • Overall economic climate continued to impact Fiskars’ customers and consumers in Europe • Consumer confidence in the Nordics was inconsistent, and shopping was price-driven • Trade remains cautious and reluctant to commit to volumes • Sales in the holiday season seemed
Slide 9: HOME
HOME Record sales for Home, driven by Living Modern Scandinavian design products for the kitchen, table, living and SOC room and school, office and craft Q4/2012 • Strong sales for Living products 101.0 MEUR net sales +9% • Sales increased across main markets in Europe and in Asia • Total of 32 new
Slide 10: GARDEN
GARDEN Good Garden sales in the Americas Ergonomically designed tools for Q4/2012 gardening and construction • In the Americas, Garden business developed positively 53.1MEUR net sales, • Good development across many key accounts -10 % • Net sales in EMEA decreased during the quarter 28 % of total sa
Slide 11: OUTDOOR
OUTDOOR Continued growth in Europe for Gerber Innovative, essential products for an active lifestyle and durable leisure Q4/2012 boats • In Europe, strong commercial sales for Gerber offset 35.3 MEUR net sales, +2 % softness in the boat markets • In the Americas, decrease in institutional channels 1
Slide 12: Q4 Spotlight: Strategy review
Q4 Spotlight: Strategy review Page 12 Fiskars Q4 2012
Slide 13: Tomorrow's Fiskars
TOMORROW’S FISKARS World Class Branded Consumer Goods Company
Slide 14: Steps to growth
Steps to growth Step 1: From holding Step 2: Creating the Step 3: Delivering results Company towards Platform for growth • Becoming preferred supplier integrated consumer • Focus, group wide integration to global key accounts goods company • New operating and business • Excelling in execution models
Slide 15: Fiskars' strategic agenda
Fiskars’ strategic agenda Theme Actions in 2012 • Strong business area focus • Ebert and Sankey combined into • Specialist premium brand portfolio one container gardening offering Focus • Optimized product range for • Rörstrand and Leborgne selected categories elevated to regional brands • Platform
Slide 16: Fiskars expands its regional brand offering
Fiskars expands its regional brand offering Page 16 Fiskars Q4 2012
Slide 17: Tomorrow's Fiskars
TOMORROW’S FISKARS World Class Branded Consumer Goods Company
Slide 18: Our mission and vision
Our mission and vision Mission Vision Our mission is to enrich Our vision is to be a global branded consumers’ lives with lasting consumer goods company that products that increase enjoyment delivers: and solve everyday problems • Brands that people desire through their functionality, • Lasting prod
Slide 19: Strategy for growth
Strategy for growth Toolbox Growth drivers Target Inspired and Organic Acquisition engaged employees growth Gain market share in Strong financial current business position and markets Outperforming markets while Global ambitions maintaining Enter new categories solid long-term profitability Premium
Slide 20: Our markets
Our markets Page 20 Fiskars Q4 2012
Slide 21: Q4 Financials
Q4 Financials Page 21 Fiskars Q4 2012
Slide 22: Net Sales in Q4 2012 by Segment
Net Sales in Q4 2012 by Segment +2% Net sales, MEUR Net sales, MEUR Net sales, MEUR +1% 250 250 250 190,3 200 200 +3% 200 150 132,9 150 150 100 100 58,5 100 50 50 50 0 0 0 Q4 Q1 Q2 Q3 Q4 Q4 Q1 Q2 Q3 Q4 Q4 Q1 Q2 Q3 Q4 2011 2012 2012 2012 2012 2011 2012 2012 2012 2012 2011 2012 2012 2012 2012 Cn - 1 %
Slide 23: Net Sales in Q4 2012 by Business Area
Net Sales in Q4 2012 by Business Area +9% Net sales, MEUR Net sales, MEUR Net sales, MEUR 120 120 - 10 % 120 101,0 100 100 100 +2% 80 80 80 60 60 53,1 60 35,3 40 40 40 20 20 20 0 0 0 Q4 Q1 Q2 Q3 Q4 Q4 Q1 Q2 Q3 Q4 Q4 Q1 Q2 Q3 Q4 2011 2012 2012 2012 2012 2011 2012 2012 2012 2012 2011 2012 2012 2012 20
Slide 24: Net Sales and EBIT in Q4 2012
Net Sales and EBIT in Q4 2012 Fiskars Group Net sales by quarter, MEUR EBIT by quarter, MEUR +2% 250 25 201,1 187,3 188,3 190,3 20 200 168,0 15 150 10 19,7 17,1 100 13,7 13,2 13,0 5 50 0 -3,0 0 -5 Q4 2011 Q1 2012 Q2 2012 Q3 2012 Q4 2012 Q4 2011 Q1 2012 Q2 2012 Q3 2012 Q4 2012 Cn – 1 % +0,8 EBIT % 7,
Slide 25: Net Sales and EBIT in Q4 2012: EMEA
Net Sales and EBIT in Q4 2012 EMEA segment Net sales by quarter, MEUR 140 131,6 130,6 130,4 132,9 Net sales in EMEA increased 1% to 120 108,0 EUR 132.9 million (Q4 2011: 131.6), 100 thanks to strong sales in the Home 80 business – best quarter ever - and 60 continued good sales in Outdoor. 40 Garden
Slide 26: Net Sales and EBIT in Q4 2012: Americas
Net Sales and EBIT in Q4 2012 Americas segment Net sales by quarter, MEUR 80 Net sales + 3% to EUR 58.5 million 72,3 70 60,7 (56.9), boosted by the strengthening of 60 56,9 58,9 58,5 the US dollar and good development in 50 40 SOC 30 • Using comparable currency rates, 20 10 sales decreased by 1% 0 •
Slide 27: Cash flow and debt Q4 2012, MEUR
Cash flow and debt Q4 2012, MEUR CF from operating Working Capital Capital Net debt activities expenditure 45 160 14,0 42 250 40 39 140 11,7 12,0 200 194 35 120 109 109 10,0 9,6 30 9,0 100 96 151 150 24 83 8,0 7,3 25 80 71 20 19 100 6,0 100 60 4,7 15 14 72 4,0 40 51 10 50 20 2,0 5 0 0 0,0 0 Page 27
Slide 28: Key ratios Q4 2012
Key ratios Q4 2012 EPS* Equity per Share Equity ratio, % Gearing, % 1,40 8,0 7,74 80 80 7,56 7,21 7,0 6,77 70 66 70 1,20 64 64 6,38 59 6,0 60 60 1,00 55 5,0 50 50 0,80 1,06 4,0 40 40 37 0,60 30 30 27 3,0 0,40 20 20 17 2,0 12 0,20 0,39 10 8 0,32 1,0 10 0,24 0,26 0,22 0,00 0 0,0 0 Gain of Wärtsilä sal
Slide 29: FY2012 Group financial performance
FY2012 Group financial performance • Net sales 747.8 MEUR (742.5); + 1% or -1 % at comparable currency rates and excluding Silva • Operating profit excluding non-recurring items 63.1 MEUR (62.1) • Operating profit 63.9 MEUR (52.8) Net sales, MEUR EBIT excl. non-recurring items, MEUR 800 742,5 747,8
Slide 30: FY2012 EMEA and Americas segments
FY2012 EMEA and Americas segments • EMEA Net sales 502 MEUR (517); -3 % or -4 % at comparable currency rates • Americas Net sales 250 MEUR (233); + 8 % or 0 % at comparable currency rates Net sales, MEUR EBIT excl. non-recurring items, MEUR 800 80 700 70 223 233 250 600 60 28,1 31,6 34,2 500 50 400
Slide 31: FY2012 financial performance per share
FY2012 financial performance per share • Earnings per share 2.18 EUR (1.91) • Board’s dividend proposal 0.65 EUR per share Earnings per share, EUR Dividend per share, EUR 2,00 2,00 1,80 1,80 1,60 1,12 1,60 0,85 1,40 1,40 1,20 1,30 1,20 1,00 1,00 0,75 0,80 0,80 0,60 0,60 1,15 1,06 1,06 0,40 0,40 0,60
Slide 32: Cash flow and debt full year 2012, MEUR
Cash flow and debt full year 2012, MEUR CF from operating Working Capital Capital Net debt activities expenditure 120 120 35,0 32,7 250 107 101 30,0 100 95 100 200 93 200 83 25,0 24,4 80 80 71 151 150 20,0 18,5 60 60 15,0 100 40 40 72 10,0 50 20 20 5,0 0 0 0,0 0 2010 2011 2012 2010 2011 2012 2010 20
Slide 33: Key ratios in full year 2012
Key ratios in full year 2012 EPS* Equity per Share Equity ratio, % Gearing, % 2,00 8,0 7,56 70 40 66 36 1,80 6,76 7,0 6,77 59 60 57 1,06 1,60 0,85 6,0 30 1,40 50 27 5,0 1,20 40 1,00 4,0 20 30 0,80 3,0 12 0,60 1,15 1,06 20 1,12 2,0 10 0,40 1,0 10 0,20 0,00 0,0 0 0 2010 2011 2012 2010 2011 2012 2010 2
Slide 34: Fiskars share price development 2009 – Q4 2012
Fiskars share price development 2009 – Q4 2012 Valuation of Fiskars’ own operations and the share of Wärtsilä shares 14 Fiskars Stand alone / share Wärtsilä / Fiskars share OMXH25 12 Dividend 10 8 6 4 Dividend Dividend Dividend Dividend 2 A: 0,50 € 0,52 € 1,90 € 0,62 € K: 0,48 € 0 1/2009 4/2009 7/20
Slide 35: Outlook for 2013
Outlook for 2013 • Fiskars’ operating environment remained uncertain throughout 2012, and recovery cannot be expected in the near future. • Both consumer and trade behavior may be affected by lengthened economic and financial uncertainty. • Fiskars will continue implementing its integrated company s
Slide 36: Q4 Appendixes
Q4 Appendixes Page 36 Fiskars Q4 2012
Slide 37: Key figures Q4 2012
Key figures Q4 2012 EUR million Q4 2012 Q4 2011 Change 2012 2011 Change Net sales 190.3 187.3 2% 747.8 742.5 1% Operating profit (EBIT)* 13.0 10.7 22% 63.9 52.8 21% Operating profit excluding non- 13.0 13.7 -5% 63.1 62.1 2% recurring items Share of profit from associated 19.7 13.4 47% 47.8 42.7 12%
Slide 38: Fiskars IR Calendar and Contact Information
Fiskars IR Calendar and Contact Information • Q1 Interim Report May 3, 2013 • Fiskars Corporation • Q2 Interim Report August 2, 2013 Hämeentie 135 A • Q3 Interim Report November 1, 2013 P.O. Box 130 FI-00561 Helsinki, Finland Tel. +358 204 3910 • AGM March 14, 2013 Fax +358 9 604 053 communications@
Slide 39: Analyst coverage
Analyst coverage • To the best of our knowledge, the following persons follow the Fiskars share. They do so on their own initiative, and Fiskars takes no responsibility for the opinions expressed. – Carnegie Investment Bank Tommy Ilmoni, +358 9 618 71 235 tommy.ilmoni@carnegie.fi – Evli Bank Mika Ka
Slide 40: Disclaimer
Disclaimer The content of this presentation contains time-sensitive information that is accurate as of the time hereof. A number of forward-looking statements will be made during this presentation. Forward-looking statements are any statements that are not historical facts. These statements are base
Slide 41: Lasting everyday design, since 1649
Lasting everyday design, since 1649 Page 41 Fiskars Q4 2012