Friedrich Vorwerk Group Se · XETR:VH2
Friedrich Vorwerk — Investor Presentation (March 2021)
89 slides from Friedrich Vorwerk's investor presentation, March 2021
Slide 1: Driving the clean energy transition
Driving the clean energy transition. March 2021
Slide 2: Disclaimer
Disclaimer The following presentation, including any printed or electronic copy of these slides, the talks given by the presenters, the information communicated during any delivery of the presentation and any question and answer session and any document or material distributed at or in connection wi
Slide 3: Disclaimer
Disclaimer The Presentation includes statements that are, or may be deemed to be, forward-looking statements. The words “believes”, “expects”, “may”, “will”, “could”, “should”, “shall”, “risk”, “intends”, “estimates”, “aims”, “plans”, “predicts”, “continues”, “assumes”, “positioned” or “anticipates”
Slide 4: Introduction
Introduction © ®)
Slide 5: VORWERK is driving the clean energy transition
VORWERK is driving the clean energy transition 4
Slide 6: Clean energy transition requires significant energy infrastructure investments
Clean energy transition requires significant energy infrastructure investments Planned energy infrastructure investments1 Key catalysts Natural gas grid expansion Expansion of natural gas infrastructure to compensate for coal and nuclear phase-out Electricity highways Realization of electricity high
Slide 7: VORWERK plans, realizes and operates the energy infrastructure of the future
VORWERK plans, realizes and operates the energy infrastructure of the future In highly attractive markets With success Hydrogen €291m >1,300 H2 revenue employees Electricity Gas 16% >15% since 1962 EBIT margin organic CAGR 6 Notes: Management estimate for 2020; CAGR based on 2014-2020
Slide 8: VORWERK offers critical solutions to transform and transport energy
VORWERK offers critical solutions to transform and transport energy Production/ Transformation/ transportation Consumer import Compressor Storage & Gas pressure LNG Pipelines Terminals station measurement regulating & metering stations Landfall Underground Transformer Power- cable stations to-heat H
Slide 9: VORWERK in the midst of the universe of innovative energy players
VORWERK in the midst of the universe of innovative energy players Energy Energy Transformation Grids Operation & Service Hydrogen 8
Slide 10: VORWERK benefits from sustainable market entry barriers
VORWERK benefits from sustainable market entry barriers Customers & References Turnkey competence Energy grids Energy transformation Service & Operation Intelligent Infrastructure Mgmt. Regulation & accreditation Technology & Patents G 468-1 OrQa® flow metering HDD drilling Cathodic corrosion protec
Slide 11: Best-in-class governance through an experienced supervisory board
Best-in-class governance through an experienced supervisory board Dr Christof Nesemeier Heike von der Heyden Dr Julian Deutz Chairman of the supervisory board Member of the supervisory board Member of the supervisory board CEO & Member of the Board at MBB SE Head of M&A at Green City AG Chief Financ
Slide 12: Key Investment Highlights
Key Investment Highlights Climate change commands billions in infrastructure investments in VORWERK core end markets gas, electricity and hydrogen 50+ years of technology leadership in design, realization and operation of system critical energy infrastructure Key player in ramping up the European hy
Slide 13: Business model & technologies
Business model & technologies 12
Slide 14: Full turnkey competence across all core end-markets from one source
Full turnkey competence across all core end-markets from one source H Adjacent Natural gas Electricity Hydrogen opportunities Planning & Design Energy grids Energy transformation Service & Operation 13
Slide 15: Planning & engineering complex energy grids and transformation systems
Planning & engineering complex energy grids and transformation systems Metaplanning • Route planning • Parameter & material selection • Feasibility & geological • Cost optimisation based on analysis route and material choices Approval • Specific route & • Rights of way & land approval planning acqui
Slide 16: VORWERK leverages state-of-the-art digital planning and engineering tools
VORWERK leverages state-of-the-art digital planning and engineering tools VORWERK competence in Grid Infrastructure & Plant Engineering 15
Slide 17: Intelligent Infrastructure Management is the brain of VORWERK's integrated offering
Intelligent Infrastructure Management is the brain of VORWERK‘s integrated offering Intelligent Infrastructure Management Intelligent Infrastructure Management Electrical & Automation Engineering Digital Control System (DCS) Emergency Shutdown System (ESD) Gas analysis & chromatography Flow metering
Slide 18: Realizing critical energy grids through specialized technologies
Realizing critical energy grids through specialized technologies Specialized • Specialized welding for safe • Sophisticated, manual tie-in and reliable energy grids welding welding technologies • Hot tapping • Specialized non-destructive examination techniques Grid inspection & • Stress pressure & i
Slide 19: HDD drilling technologies for optimised efficiency and low ecological impact
HDD drilling technologies for optimised efficiency and low ecological impact Horizontal Directional Drilling (HDD) Cable & Pipe (C&P) technology Horizontal Casing Drilling (HCD) Specialized near-surface drilling technology to inserts a protective plastic tube simultaneously to puncture the borehole
Slide 20: Delivering complex energy transformation systems based on best-in-class engineering
Delivering complex energy transformation systems based on best-in-class engineering Plant • Process engineering, material • Welding certification through and welding expertise ultrasonic & x-ray testing engineering Planning & Design • Innovative heat exchangers, • Own state-of-the-art Proprietary pl
Slide 21: Tailored heat exchanger solutions for specialised applications in energy transformation
Tailored heat exchanger solutions for specialised applications in energy transformation 1/2 Proprietary heat exchangers • Enables efficient and safe controlling and regulating temperature changes during gas pressure regulation • Used in: Gas regulating, compressor, storage, LNG & electrolyzer system
Slide 22: Cutting-edge gas processing & measurement for precise and reliable operation
Cutting-edge gas processing & measurement for precise and reliable operation 2/2 Proprietary vortex tubes • Enables CO2-neutral gas warming • Based on thermodynamic process with four tangential gas feed-ins to separate warm from the cold gas streams • No gas volume losses as no gas combustion is req
Slide 23: Ensuring reliability through our extensive service, maintenance & operation offering
Ensuring reliability through our extensive service, maintenance & operation offering Commissioning & • Gassing of natural gas & • Works & repairs on pressurised hydrogen pipelines systems expansion • Hot tapping procedures • Inductive preheating for welding works on pipes in use Cathodic corrosion •
Slide 24: VORWERK focuses on high value-added proprietary solutions
VORWERK focuses on high value-added proprietary solutions VORWERK High value-added products & components value-add (e.g. heat exchangers, flow meters) Proprietary technologies (e.g. HD drilling, CCP, special welding) Engineering services (Process engineering, electrical and mechanical engineering CA
Slide 25: Our natural gas opportunity
Our natural gas opportunity 24
Slide 26: Natural gas has gained significant momentum on European and German level
Natural gas has gained significant momentum on European and German level Total natural gas consumption in PJ, blue bubbles show share of natural gas in total primary energy consumption 18% 24% 15% 25% 16,680 12,435 3,193 2,293 1990 2017 1990 2019 -28 Note: PJ = Petajoule = 1015 Joule 25 Source: Euro
Slide 27: Industry and buildings sectors are currently largest gas consumers
Industry and buildings sectors are currently largest gas consumers +9% vs. 2014 Industry +11% District heat vs. 2014 Industrial sector, e.g. Steel and iron District heating systems manufacturing, Chemicals Switch from individual heating Continued demand for natural gas 39% solutions to centralised m
Slide 28: The nuclear and coal phase-out calls for rapid changes in the German energy sector
The nuclear and coal phase-out calls for rapid changes in the German energy sector Lignite, coal and nuclear exit Structure of the controllable power today vs 2038 No. of nuclear 8 0 0 power plants 43 GW 30 GW 17 GW 0 GW 2017 2022 2030 2038 Lignite Coal 27 Source: Deutscher Gewerkschaftsbund, abc ne
Slide 29: Gas-fired power plants represent the only viable complement to renewables
Gas-fired power plants represent the only viable complement to renewables CO2 footprint in electricity generation in g CO2/kWh -67% Highly flexible due to short ramp-up time 1,148 High level of operational efficiency 847 Independent of extreme weather conditions 382 Suited for back-up due to high st
Slide 30: Investments in the transmission grid have seen continuous increases since 2012
Investments in the transmission grid have seen continuous increases since 2012 Historical investments in the German natural gas network Network development plan (NDP) in €bn; based on network development plan • Developed and published every 1.5-2 years to outline the grid expansion plan 8.9 for the
Slide 31: Investments in the German gas transmission grid of >€5bn over the next 5 years
Investments in the German gas transmission grid of >€5bn over the next 5 years Planned investments in the German natural gas infrastructure in €bn Planned start €1.0bn of operation 2026+ €8.9 NDPs typically with high visibility over 4-6 years bn Planned start €5.2bn – projects in years 6+ of operati
Slide 32: VORWERK covers all critical components of the gas transmission grid
VORWERK covers all critical components of the gas transmission grid LNG terminals Compressor stations Valves Intelligent infrastructure Dedicated port terminals ensure gas remains management to enable large liquefied pressurized during act as „gateways“ placed natural gas (LNG) carrier transportatio
Slide 33: VORWERK has a unique track-record and is set to benefit from strong projects pipeline
VORWERK has a unique track-record and is set to benefit from strong projects pipeline from NDP as well as additional investment opportunities Network development plan Additional market opportunities • Large industrial gas Single energy consumers consumers • Dedicated on-site power plants • Pipeline
Slide 34: With the Closed Loop pigsar calibration facility VORWERK set the standard for gas meters
With the Closed Loop pigsar calibration facility VORWERK set the standard for gas meters Case study: Technology highlights Closed Loop pigsar (CLP) calibration facility for gas meters • World’s leading high-pressure gas meter test facility located in Dorsten, Germany • Home to the national standard
Slide 35: VORWERK's project for Ineos Phenol showcases our end-to-end turnkey competence
VORWERK‘s project for Ineos Phenol showcases our end-to-end turnkey competence Case study: Technology highlights Ineos Phenol turnkey project Gladbeck • Full turnkey project including energy grid, transformation and recurring operation & service • Connection of on-site gas-fired power plant to trans
Slide 36: VORWERK maintains and operates the largest part of the gas network in Eastern Germany
VORWERK maintains and operates the largest part of the gas network in Eastern Germany Case study: Technology highlights Ontras service & operation contract for East German gas transmission grid • 10-year service, maintenance and operation contract with Ontras • Full range of maintenance and operatio
Slide 37: Our electricity opportunity
Our electricity opportunity 36
Slide 38: The energy transition requires large-scale electrification
The energy transition requires large-scale electrification Final energy Final energy Clean Energy Transition consumption consumption 2020 2035+ Molecular fuels Clean molecules Fuel switch Low-carbon electricity Electricity Electrification 37
Slide 39: The power sector is the key to decarbonizing the economy
The power sector is the key to decarbonizing the economy Electrical heat pumps E-mobility Residential buildings Passenger vehicles Commercial buildings Light Commercial vehicles Other light vehicles Industrial energy Low to medium temperature heat (100-400°C) Power-to-heat Electrolysis 38
Slide 40: Significantly increased demand for electricity across sectors
Significantly increased demand for electricity across sectors Gross electricity demand in Germany TWh 748 117 Others 595 55 Electrolysis 85 +157% 75 Transport 11 213 230 Buildings 286 271 Industrials 2018 2030 39 Source: Handelsblatt, Energiewissenschaftliches Institut an der Universität Köln (EWI)
Slide 41: To enable decarbonization, electrification is becoming increasingly carbon-neutral
To enable decarbonization, electrification is becoming increasingly carbon-neutral Share of renewable energy in total electricity generation 65% 42% 2% 4% 7% 8% 19% 8% 20% 5% 0% 1990 2000 2010 2019 2030 Target Hydro power PV solar Biofuels On and offshore wind Others 40 Source: IEA
Slide 42: In Germany, energy generation and consumption are becoming increasingly disparate
In Germany, energy generation and consumption are becoming increasingly disparate Germany Wind Energy Production by State Germany Electricity Consumption by State in MW in million kWh Baltic Sea High Low North Sea 1,076 6,440 Schleswig- Schleswig- Holstein Mecklenburg- Holstein Mecklenburg- 6,996 Vo
Slide 43: To enhance transmission capacity, Germany is realizing four major electricity highways
To enhance transmission capacity, Germany is realizing four major electricity highways 1 A Nord 2 3 Suedlink Route: Emden Ost (Lower Saxony) to Osterath ROUTE 2 (North Rhine Westphalia) Length: approx. 300 km Route: Brunsbüttel (Schleswig-Holstein) to Großgartach (Baden-Wuerttemberg) Capacity: 2 GW
Slide 44: To promote public acceptance of DC projects, underground cabling is required by law
To promote public acceptance of DC projects, underground cabling is required by law 3-10x higher costs compared to overland lines +€3-8bn additional investments for major electricity projects due to underground cabling 43 Source: en:former; BMWi
Slide 45: VORWERK is prequalified for all major high-voltage DC projects
VORWERK is prequalified for all major high-voltage DC projects A-Nord Suedlink Route 2 €2bn €5bn1 Suedostlink Suedlink Route 3 €5bn €5bn1 1) Assuming equal distribution of total investment volume of €10bn among both routes of Suedlink project 44 Source: en:former; BMWi
Slide 46: Investments in the transmission grid have increased continuously
Investments in the transmission grid have increased continuously Investments in the German electricity network Network development plan (NDP) in €bn, based on network development plan (NDP) electricity (Scenario B) • Developed and published every 1.5- 2 years to outline the grid expansion 72-76.5 pl
Slide 47: Investments in the German electricity transmission network of €61bn until 2030
Investments in the German electricity transmission network of €61bn until 2030 Planned investments in the German electricity infrastructure1 €61bn €30bn • DC 21 €13 Planned AC • DC 23 completion by bn €31bn • DC 25 2030 • Others €61.0 bn Addressable by VORWERK • Suedlink Planned >€17 • Suedostlink D
Slide 48: VORWERK covers all critical components of the electricity transmission grid
VORWERK covers all critical components of the electricity transmission grid Power-to-heat Landfall Transformer station enables the generation of heat with the use of connecting offshore serves to connect electrical energy (e.g. for wind farms to the different voltage levels district heating) onshore
Slide 49: VORWERK ready to capitalize on significant market opportunities in electricity
VORWERK ready to capitalize on significant market opportunities in electricity Network development plan Additional market opportunities Underground • Pilot projects for AC projects underground AC connections Single energy • Large industrial clients consumers • Dedicated on-site €17 €3.4 power plants
Slide 50: VORWERK enables the transport of green energy from wind farms to the mainland
VORWERK enables the transport of green energy from wind farms to the mainland Case study: Technology highlights DolWin 6 - 900 MW DC connection linking wind farms to the onshore grid • 45 km onshore underground cable for transporting 900 MW green offshore wind electricity from landfall to converter
Slide 51: VORWERK realized the substation Stade West as turnkey project
VORWERK realized the substation Stade West as turnkey project Case study: Technology highlights Substation Stade-West • Realization in the DOW chemistry park demand highest level of safety requirements • Special requirements due to construction works in areas of plants in operation • GPS controlled
Slide 52: VORWERK realized the substation Stade West as turnkey project
VORWERK realized the substation Stade West as turnkey project 51
Slide 53: Our hydrogen opportunity
Our hydrogen opportunity o © @
Slide 54: Without clean molecules deep decarbonisation will not be possible
Without clean molecules deep decarbonisation will not be possible Transport Buildings Industry Passenger vehicles Residential buildings Industrial energy Electrification Low to medium temperature heat Light Commercial vehicles Commercial buildings (100-400°C) Other light vehicles Heavy-duty trucks R
Slide 55: Hydrogen offers many advantages as the clean molecule of the future
Hydrogen offers many advantages as the clean molecule of the future Infinite supply Extremely efficient Zero CO2 emissions when combusted Most abundant element One of the highest energy Combustion produces water in the universe density values per mass vapour and warm air Diverse production Non-toxic
Slide 56: Going forward hydrogen demand is expected to increase substantially
Going forward hydrogen demand is expected to increase substantially Global energy demand supplied with hydrogen in EJ +670% 78 9 Power generation, buffering 22 Transportation 16 Industrial energy 28 11 Building heat and power 14 10 9 New feedstock (CCU, DRI) 10 Existing feedstock uses 2020 2030 2040
Slide 57: Two main drivers accelerate ramp-up of the hydrogen economy
Two main drivers accelerate ramp-up of the hydrogen economy H Strategic push in Reducing production political roadmaps cost of clean hydrogen (driven by public pressure) 56
Slide 58: EU Hydrogen Strategy may finally drive hydrogen beyond the tipping point
EU Hydrogen Strategy may finally drive hydrogen beyond the tipping point Targets Phase 1 €430bn Today - 2024 6 GW of electrolysis capacity total investment volume by 20301 1 m tons of green hydrogen 13-14% Phase 2 2024-2030 40 GW share of hydrogen in the European energy mix of electrolysis capacity
Slide 59: Many countries have taken decisive action to kick start the hydrogen economy
Many countries have taken decisive action to kick start the hydrogen economy 2030: 5.0 GW €10.0bn 2030: 5.0 GW €9.0bn 2040: 10.0 GW 2025: 0.5 GW >€50bn €9.0bn 2030: 3.5 GW 2024: 0.3-0.6 GW €8.9bn total national investment programmes 2030: 4.0 GW into hydrogen economy 2030: 6.5 GW €7.2bn 2030: 2.0-2.
Slide 60: Electrolyzer stack accounts for <50% of electrolyzer cost but is under price pressure
Electrolyzer stack accounts for <50% of electrolyzer cost but is under price pressure Cost split electrolyzer production Price development electrolyzer stacks in US$/kW by increasing production volume, in USD, 1 MW plant Components Market dynamics -49% -57% Membrane Technology disruption risk (PEM v
Slide 61: VORWERK covers all critical components of the hydrogen value chain
VORWERK covers all critical components of the hydrogen value chain Compressor stations Water electrolyzer Valves ensure hydrogen produces hydrogen remains pressurized act as „gateways“ and through the chemical during transportation. enable safe daily Building heat decomposition of water Distances be
Slide 62: VORWERK is already working on the nucleus of the European hydrogen backbone
VORWERK is already working on the nucleus of the European hydrogen backbone 2030 2050 Refinery Customer Lingen, BP Power plant Customer Lingen, RWE Electrolyzer Chemical park Marl, Evonik Additional order volume upgrade up to ~€18m €64 bn1 Order volume Plan developed by new construction Ruhr Oel ref
Slide 63: VORWERK customers are planning 500 MW of new electrolysis capacity
In Germany, VORWERK customers are planning 500 MW of new electrolysis capacity Select planned electrolyzer projects Location Plant size Planned by 30 6 MW 1 Lingen 100 MW 100 MW 2 Diele 100 MW 2 100 3 Wesseling 100 MW ITM Power MW 5 10 1 35 9 MW 4 Leuna 100 MW MW 10 8 MW 100 5 Bad Lauchstädt 35 MW T
Slide 64: VORWERK participated in the realization of the first German electrolyzer pilot project
VORWERK participated in the realization of the first German electrolyzer pilot project Pilot plant VORWERK‘s balance-of-plants electrolysis competencies1 Power-to-Gas Falkenhagen 4 1 5 6 9 17 2 3 8 7 13 12 11 16 10 15 19 "World's first 18 14 demonstration plant for the storage of wind power in the n
Slide 65: VORWERK is realizing the most important gas infrastructure project for Lower Saxony
VORWERK is realizing the most important gas infrastructure project for Lower Saxony Case study: Technology highlights Decarbonisation of industry through H2-ready pipeline Walle/ Wolfsburg • ETL 178 will lead to a significant reduction in CO2 emission in Lower Saxony • The annual CO2 savings amount
Slide 66: Financial Overview
Financial Overview 65
Slide 67: Key financial highlights
Key financial highlights I Combining high double digit organic and inorganic growth… …and high revenue visibility from a strong order backlog… II 15% 22% €306m CAGR 2014-2020 CAGR 2014-2020 order backlog excl. BoDo incl. BoDo 31 December 2020 acquisition acquisition € € 16% ~75% EBIT margin Ø cash c
Slide 68: Revenue growth: Combining high double digit organic and inorganic growth
I Revenue growth: Combining high double digit organic and inorganic growth Revenue development Revenue 2020 by segment in €m revenue split in % CAGR: 22.2% 291 269 13% CAGR: 14.6% 1% 173 12% €291m 88 74% … 2014 2019 2019 2020 as-if as-if excl. incl. BoDo1 BoDo2 Natural Gas Clean Hydrogen Electricity
Slide 69: Revenue growth: VORWERK has substantially increased service revenues
I Revenue growth: VORWERK has substantially increased service revenues Revenue split by type Service revenue 2020 by type 13% 17% 23% 87% 83% 77% 2019 like-for-like 2020 Project-based Service Recurring Non-recurring 68 Source: VORWERK
Slide 70: Order backlog: High revenue visibility from a strong order backlog
II Order backlog: High revenue visibility from a strong order backlog Order backlog Project pipeline1 as at 31 December 2020 name and estimated project volume OGE new compressor station Legden €32m CENAM Closed Loop high-pressure €30m 7% test rig Mexico 7% Amprion Corridor A-Nord up to €300m 13% €30
Slide 71: The order backlog clearly reflects changes in the German energy mix
II The order backlog clearly reflects changes in the German energy mix Order backlog as at 31 December 306 286 7% 6% 7% H 2% 12% 13% 174 9% 2% 80% 73% 90% 2018 2019 2020 Natural Gas Electricity Clean Hydrogen Adjacent Opportunities 70 Source: VORWERK
Slide 72: Profitability: Best-in-class profitability profile
III Profitability: Best-in-class profitability profile EBIT adj. EBIT adj. 2020 by segment1 in €m and margin in bubbles as % of EBIT adj. 12.5% 14.7% 16.3% 47.4 10% 39.5 1% 16% €47m 13.2 73% 2018 2019 2020 as-if incl. BoDo Natural Gas Clean Hydrogen Electricty Adjacent opportunities 1) Reconciliatio
Slide 73: Cash Conversion: Proven ability of strong cash generation
IV Cash Conversion: Proven ability of strong cash generation Cash conversion1 Trade working capital in % of EBITDA in €m and as % of revenue 24.8% 7.8% 11.6% 81.8% 73.8% Ø 73.0% 65.2% 33.8 21.1 4.9 3.8 26.3 3.3 20.3 27.8 10.4 22.3 24.6 20.9 -4.0 2018 2019 2020 -5.7 -21.5 -17.8 as-if incl. -2.0 BoDo
Slide 74: Asset-light: Fully invested and asset-light platform, ready-to-scale
V Asset-light: Fully invested and asset-light platform, ready-to-scale Capital expenditure Depreciation and amortization in €m and as % of revenue in €m and as % of revenue 4.9% 2.0% 7.0% 6.3% 3.9% 3.8% 20.4 11.2 10.5 11.4 6.7 9.1 2.3 5.2 1.8 9.0 6.8 3.4 2018 2019 2020 2018 2019 2020 as-if as-if inc
Slide 75: Our asset-light business model results in a solid balance sheet
Our asset-light business model results in a solid balance sheet Assets Equity and Liabilities in €m as at 31 December 2020 in €m as at 31 December 2020 177 177 Fixed assets 64 Equity 72 10 Mezzanine financing1 17 Financial liabilities Working capital Operating liabilities (LT) 60 22 Operating liabil
Slide 76: Substantial growth perspectives driven by accelerating clean energy transition
Substantial growth perspectives driven by accelerating clean energy transition Revenue outlook Segment revenue split in €m, bubbles show EBIT margin targets in €m >16% >1,000 291 >500 >1,000 >500 291 2020 Mid-term Long-term 2020 Mid-term Long-term 3-5 years 7-10 years 3-5 years 7-10 years Clean Hydr
Slide 77: Strategy & Outlook
Strategy & Outlook o © @
Slide 78: Clear strategic building blocks for sustainable and profitable growth
Clear strategic building blocks for sustainable and profitable growth Capture structural growth by focusing on clean energy and hydrogen Drive profitable growth M&A as catalyst to accelerate leveraging existing client future growth network and proven technology International rollout of proven busine
Slide 79: Capturing structural growth across markets with our fully integrated business model
Capturing structural growth across markets with our fully integrated business model Natural gas Electricity Hydrogen >€5 bn ~€17 bn €430 bn Planned investment Planned investment Planned investment until 20261 until 20262 until 20303 1) NDP investment volume 2020-2026; volume attributed to year of pl
Slide 80: The hydrogen economy is now at a critical tipping point
The hydrogen economy is now at a critical tipping point Hydrogen economy today €11 sees the opportunity to become a major driver of the European tn clean hydrogen revolution … and needs to further strengthen its technological edge right now 79 Source: Bank of America
Slide 81: Leveraging long-lasting customer relationships as partner of choice
Leveraging long-lasting customer relationships as partner of choice • Repurpose/ upgrade existing grid infrastructure Transmission System Operators • Comply with increasingly strict regulation (RED II) H • Compensate rising CO2 prices Industrial companies • Innovate manufacturing process • Scale ren
Slide 82: The dedicated VORWERK hydrogen lab will focus on hydrogen-ready infrastructure
The dedicated VORWERK hydrogen lab will focus on hydrogen-ready infrastructure Readily Development Research VORWERK Component deployable required required Gas compressor Electrolyzer Gas dryer technologies Gas separator Flow meters Heat extractor Chromatograph Transmission pipeline Compressor statio
Slide 83: VORWERK will continue to invest in acquiring the best talent on the market
VORWERK will continue to invest in acquiring the best talent on the market Employee development University cooperations & scholarships1 In-house events (e.g. Pipeline Forum) 1,304 1,239 Attractive salary packages 705 Industry fair presence 572 Employer branding Social media presence 2017 2018 2019 2
Slide 84: VORWERK leverages its operational excellence through state-of-the-art digital solutions
VORWERK leverages its operational excellence through state-of-the-art digital solutions Complete harmonization and integration of ERP system GPS route tracking Airborne laser Improve precision and scanning efficiency in engineering Drive process automation Maximize utilization of machinery and perso
Slide 85: M&A remains a key catalyst to further accelerate profitable growth
M&A remains a key catalyst to further accelerate profitable growth Specialized technologies Hydrogen technologies Horizontal direct drilling (HDD) Biogenic gases and synthetic fuels Power grids 2020 Employees & competencies HDD drilling Smaller regional players with fully certified Laufend employees
Slide 86: Key Investment Highlights
Key Investment Highlights Climate change commands billions in infrastructure investments in VORWERK core end markets gas, electricity and hydrogen 50+ years of technology leadership in design, realization and operation of system critical energy infrastructure Key player in ramping up the European hy
Slide 87: Driving the clean energy transition Appendix
Driving the clean energy transition Appendix 86
Slide 88: Legal structure of the VORWERK Group
Legal structure of the VORWERK Group ALX1 MBB 33.33% 66.67% Friedrich Vorwerk Group SE Management board Tostedt Supervisory board Torben Kleinfeldt (CEO) Dr Christof Nesemeier (chairman) Tim Hameister (CFO) Heike von der Heyden Dr Julian Deutz Irene Vorwerk 10.07% 89.93% 100.00% Friedrich Vorwerk Ma
Slide 89: VORWERK is leading the way towards a sustainable future
VORWERK is leading the way towards a sustainable future Reporting according to SASB standards Decarbonisation Social engagement Work safety Shift towards emission-free resources Irene & Friedrich Vorwerk Foundation Total Recordable Incident Rate (TRIR)1 Educational support of universities 2.34 -67%
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