Rockwool A/s Class A · OMXCOP:ROCK_A
Rockwool A/s Class A — ROCKWOOL International — H1 2020 Earnings Presentation
17 slides from Rockwool A/s Class A's earnings presentation, Aug 20, 2020
Slide 1: H1/Q2 2020 Financial Results
H1/Q2 2020 Financial Results 1
Slide 2: Forward-looking statement
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 environment, including interest and exchang
Slide 3: H1 highlights
H1 highlights Sales Sales decrease in local currencies EUR 1,232 million 7.4% down 7.7% in reported figures incl. 0.6% from Parafon EBIT EBIT margin EUR 138 million 11.2% down 22.7% over last year down 1.4 percentage points excl. legal settlement in Q2 2019 Free cash flow Net profit EUR -51 million
Slide 4: Q2 highlights
Q2 highlights Sales Sales decrease in local currencies EUR 583 million 15.0% down 16.1% in reported figures incl. 0.7% from Parafon EBIT EBIT margin EUR 58 million 10.0% down 43.0% over last year down 3.2 percentage points excl. legal settlement in Q2 2019 Free cash flow Net profit EUR 46 million EU
Slide 5: H1 sales down 7.4 percent
H1 sales down 7.4 percent NET SALES EURm Sales declined 7.4 percent in local currencies -7.4% including a 0.6 percent impact from the Parafon acquisition, and reached EUR 1,232 million. -7.7% Sales decreased 7.7 percent in reported figures with a Reported figures negative currency effect of 0.3 perc
Slide 6: Q2 sales down 15.0 percent
Q2 sales down 15.0 percent NET SALES EURm Sales declined 15.0 percent in local currencies -15.0% including a 0.7 percent impact from the Parafon acquisition, and reached EUR 583 million. Sales decreased 16.1 percent in reported figures with -16.1% Reported figures a negative currency effect of 1.1 p
Slide 7: Q2 regional sales development
Q2 regional sales development Geographic Growth in local currencies Key developments share of sales* Western Europe Positive impact of 1.1 percent from the Parafon acquisition. Especially Southwestern Europe, the UK and Germany -17.2% incl. Parafon were negatively impacted by COVID-19. 60% -17.5
Slide 8: Q2 double-digit profitability
Q2 double-digit profitability -27.8% EBITDA reached EUR 104 million, down 22.6 EBITDA & EBIT -43.0% percent adjusted for the positive impact from the 2019 EURm 144 142 142 legal case settlement. 132 138 125 120 125 EBITDA margin of 17.8 percent compared to 20.7 91 97 102 99 94 104 percent in Q2 20
Slide 9: Q2 profitability – both segments impacted
Q2 profitability – both segments impacted -40.8% EBIT EURm Insulation EBIT decreased 40.8 percent to EUR 40 68 -47.5% million in Q2 2020. EBIT margin was 8.0 percent, down 3.2 percentage 40 Q2 2019 points compared to Q2 2019. 34 Q2 2020 18 Insulation Systems Systems EBIT decreased 27.1 percent to
Slide 10: Q2 investment activities
Q2 investment activities Investments totalled EUR 80 million in Q2 2020 (Q2 2019: EUR 94 million). Capacity investments mainly relate to the factory project in the United States (West Virginia) and the expansion in Germany. Sustainability investments are in line with last year. INVESTMENTS excl.
Slide 11: Q2 cash flow
Q2 cash flow Q2 free cash flow ended at EUR 46 million, up EUR 30 million compared to Q2 2019, with a positive impact from net working capital. Net working capital was 10.6 percent (2019: 11.8 FREE CASH FLOW EURm percent) of net sales, and ended at EUR 282 million, EUR 40 million better than Q2 2019
Slide 12: Outlook 2020
Outlook 2020 12
Slide 13: Outlook assumptions
Outlook assumptions Net sales declined seven percent during first half of 2020, significantly affected by the COVID-19 pandemic. We do believe, however, that the building activity across most of our markets will improve in the coming months, though still with uncertainties around the mid-term impact
Slide 14: Outlook full year 2020
Outlook full year 2020 1. Sales Mid-single digit sales decline in local currencies. 2. EBIT EBIT margin around 12 percent. 3. Investment Investment level around EUR 400 million excluding acquisitions. 2020 outlook overview 5 February 2020 24 March 2020 13 May 2020 20 August 2020 Net sales in local L
Slide 15: Key figures for the Group
Key figures for the Group EURm Q2 2020 Q2 2019 YoY (%) H1 2020 H1 2019 YoY (%) FY 2019 Income statement Net Sales 583 695 -16.1% 1,232 1,336 -7.7% 2,757 EBITDA 104 144 -27.8% 229 264 -13.4% 548 EBIT 58 102 -43.0% 138 179 -22.7% 372 Profit before tax 53 100 -46.8% 133 173 -22.8% 367 Profit for the pe
Slide 16: Questions?
Questions? 16
Slide 17: ROCKWOOL International A/S contact details
ROCKWOOL International A/S Hovedgaden 584 DK-2640 Hedehusene Denmark CVR No. 54879415 Tel: +45 46 56 03 00 www.rockwoolgroup.com 17
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