Dassault Aviation Sa · EURONEXT:AM
Dassault Aviation Sa — FY2020 Earnings Presentation
35 slides from Dassault Aviation Sa's earnings presentation, Mar 5, 2021
Slide 1: Press Conference 2020 Annual Results
Press Conference 2020 Annual Results - March 5, 2021
Slide 2: Post Year-End Events
POST YEAR-END EVENTS Order by Greece of 18 Rafale (6 new and 12 pre-owned) Signature and coming into force of the contract in January 2021 1st European Rafale Export country and 4th Rafale Export customer 1st used aircraft deliveries from 2021 This brings the total number of Rafale Export orde
Slide 3: Activities & Programs
ACTIVITIES & PROGRAMS
Slide 4: 2020 Context
2020 CONTEXT Covid-19: o unprecedented worldwide sanitary crisis o strong impacts on global economy o severe travel restrictions o aviation sector strongly affected o French aviation support plan International tensions due to some country’s policy of power affirmation Terrorism Rise of envir
Slide 5: French Aviation Support Plan
FRENCH AVIATION SUPPORT PLAN In addition to temporary furlough, the French government support plan for the aviation industry launched on June 9, 2020 is being implemented: Government secured loans and flexible temporary furlough plan enabled to avoid major bankrupcies in 2020 Investment fund imp
Slide 6: Dassault Aviation Facing Covid-19
DASSAULT AVIATION FACING COVID-19 A robust health protocol allowed a quick resumption of activities following a total shutdown of the Company in March 2020 (resort to temporary furlough). Responsive and agile, we focused on meeting our commitments: support for the Armed Forces and Falcon customers
Slide 7: Rafale Export
RAFALE EXPORT 13 Rafale deliveries to India and Qatar, as per our commitments entry into service of the Rafale in India ongoing prospection abroad, despite the Covid-19 constraints 7 PRESS CONFERENCE MARCH 5, 2021 This document is the intellectual property of Dassault Aviation. It cannot be us
Slide 8: Rafale France
RAFALE FRANCE Continuation of Standard F4 development works No French Rafale delivery in 2020 and 2021 in accordance with France’s Military Procurement Law (“LPM”) Deliveries of Rafale to France due to resume in 2022 ; 40 Rafale still to be delivered out of 180 ordered + 12 announced 5th bat
Slide 9: Military Support (1/2)
MILITARY SUPPORT (1/2) RAFALE RAVEL France Rafale availability rate target reached development and 1st application of the Big Data 3DExpérienceTM platform (Dassault Systèmes / Dassault Aviation) Rafale Export ongoing training of Indian pilots and mechanics at our “Conversion Training Center”
Slide 10: Military Support (2/2)
MILITARY SUPPORT (2/2) ATLANTIQUE 2 Signature of the OCEAN support contract for the French Navy’s ATL2: Dassault Aviation: sole contractor, excluding engines, for the 10-year integrated support contract (including Thales) organization of this support based on a Dassault Aviation/Dassault Système
Slide 11: Multi-Mission Falcon
MULTI-MISSION FALCON France Albatros: contract for the maritime surveillance aircraft program based on a Falcon 2000LXS platform (7 ordered, 5 in option) Archange: launch of the strategic intelligence aircraft program based on a Falcon 8X platform (2 ordered in 2019, 1 in option) Falcon 50M: d
Slide 12: Future Combat Air System (FCAS)
FUTURE COMBAT AIR SYSTEM (FCAS) February 2020: following the launch of the JCS (Joint Concept Studies), launch of phase 1A of the FCAS demonstrators, and in particular the New Generation Fighter December 2020: integration of Spain in the initial contract and new equilibrium 2021: preparation o
Slide 13: Eurodrone
EURODRONE Contract between the Organization for Joint Armament Cooperation (OCCAR) and Airbus Defence & Space GmbH (prime contractor) has been negociated Contracts between Airbus Defence & Space and its main partners, Leonardo and Dassault Aviation are being finalized Dassault Aviation will be
Slide 14: Falcon Market Context
FALCON MARKET CONTEXT Delivery of 34 Falcon, for an initial forecast of 40, revised to 30 due to Covid-19 crisis. Travel restrictions and the severe economic consequences due to the Covid-19 pandemic affect the business jet market: 15 orders including 7 Albatros aircraft due to customers’ lack of
Slide 15: Falcon 6X
FALCON 6X 1st flight early 2021 Entry into service expected late 2022 eRoll-out of the Falcon 6X on December 8, 2020 new standard for the long-range, ultra-widebody business jet segment first 3 development aircraft on test, and assembly eRoll-out on serial aircraft #4 and #5 started PW812D e
Slide 16: Future Falcon
FUTURE FALCON Continued development of the Falcon family Announce due 1st half 2021 16 PRESS CONFERENCE MARCH 5, 2021 This document is the intellectual property of Dassault Aviation. It cannot be used, replicated, edited or communicated without its prior authorization. Dassault Aviation Proprietary
Slide 17: Falcon Customer Services
FALCON CUSTOMER SERVICES Falcon customer support ranking For the 2nd year running, Dassault Aviation recognized as the best in class for its customer support by AIN: #1 in the overall rankings #1 for spare parts availability #1 for Aircraft On Ground (AOG) response #1 for fulfillment of warranty ter
Slide 18: Falcon: Eco-Responsibility
FALCON: ECO-RESPONSIBILITY Falcon Family: 100% compatible with biofuels, for which a distribution network is emerging Environmentally responsible approach over the entire aircraft life cycle: design, production, choice of materials, recycling Active participation in French, European and intern
Slide 19: Transformation Plan (1/3)
TRANSFORMATION PLAN (1/3) Transformation plan goals: Develop and manufacture aircraft more and more competitive and tailored to match our existing and future customers expectations 3 main priorities today: Leading our future: collaborative engineering platform, digital technology and tools (Big Da
Slide 20: Transformation Plan (2/3)
TRANSFORMATION PLAN (2/3) GEOGRAPHICAL FOOTPRINT FALCON SERVICE CENTERS NOT INCLUDED SECLIN • Shaped and machined metallic parts TETERBORO (DFJ) ARGENTEUIL / CERGY PROJECT • Falcon sales 2021 • Spare parts LE BOURGET • Marketing • Complex piping • Showroom, Falcon deliveries • Forward fuselage assem
Slide 21: Transformation Plan (3/3)
TRANSFORMATION PLAN (3/3) GLOBAL NETWORK OF FALCON MRO SERVICE CENTERS: + 60 LOCATIONS 21 PRESS CONFERENCE MARCH 5, 2021 This document is the intellectual property of Dassault Aviation. It cannot be used, replicated, edited or communicated without its prior authorization. Dassault Aviation Proprieta
Slide 22: Make in India
MAKE IN INDIA DRAL: ramp-up of the structure Components transferred in India in 2020: o Falcon 2000: front section and fuselage elements o Rafale: canopy, windshield, flight control surface 1st set of engine doors produced by DRAL integrated on French Rafale production line Developpement of an I
Slide 23: Corporate Social Responsibility
CORPORATE SOCIAL RESPONSIBILITY HIGHLIGHTS 2020 Challenges ranking: Environmental performance profile 2020 vs 2017 constant scope (*) Dassault Aviation ranked #1 of French Aviation / Navy / Space companies in terms of greenhouse gas reduction electricity -7.6% Gas -15.0% Industrial footprint: Ener
Slide 24: 2020 Results
2020 RESULTS
Slide 25: Order Intake, Deliveries and Backlog
ORDER INTAKE, DELIVERIES AND BACKLOG IN UNITS Order Intake Deliveries Backlog 2020 2019 2020 2019 12.31.2020 12.31.2019 53 40 34 40 34 15 Falcon Revised 2020 guidance: 30 ( ) 75 62 * 34 47 26 Rafale Export 13 Rafale France 0 0 28 28 2020 Guidance: 13 (*) i.e. 80 incl. Greece order 25 PRESS CONFERENC
Slide 26: Order Intake, Net Sales and Backlog
ORDER INTAKE, NET SALES AND BACKLOG IN € BILLION p.m.: Dassault Aviation recognizes the Rafale Export contracts in their entirety (with the Thales and Safran parts) Falcon Defense Export Defense France Order intake Net sales Backlog 2020 2019 2020 2019 12.31.2020 12.31.2019 17.8 7.3 15.9 2.3 2.1 5.7
Slide 27: Investments
INVESTMENTS Despite the crisis, high level of investment maintained: 1. Falcon 6X and future Falcon developments 2. decarbonized technologies (through CORAC) 3. transformation plan 27 PRESS CONFERENCE MARCH 5, 2021 This document is the intellectual property of Dassault Aviation. It cannot be used, r
Slide 28: Consolidated Self-Funded R&D
CONSOLIDATED SELF-FUNDED R&D IN € MILLION AND % OF NET SALES €€ 538 538 M M € 527 M 9.8% of 9.8% of net net sales sales 7.2% of net sales 28 PRESS CONFERENCE MARCH 5, 2021 This document is the intellectual property of Dassault Aviation. It cannot be used, replicated, edited or communicated without i
Slide 29: Thales
THALES Dassault Aviation has been a shareholder of Thales since 2009 and as leading industrial shareholder Dassault Aviation has entered into a shareholders' agreement with the French state. The change in adjusted net income since 2009 is as follows: in million euros 2020 2019 2018 2017 2016 201
Slide 30: Adjusted Consolidated Income Statement
ADJUSTED CONSOLIDATED INCOME STATEMENT in million euros 2020 2019 NET SALES 5,489 7,341 OPERATING INCOME 261 765 Operating margin 4.8% 10.4% FINANCIAL INCOME -34 -52 THALES and other equity affiliates 236 351 TAXES -67 -250 NET INCOME 396 814 net income margin 7.2% 11.1% Earnings per share € 47.6 €
Slide 31: Consolidated Available Cash
CONSOLIDATED AVAILABLE CASH The € 3.4 Bn cash includes in particular, Rafale Export down payments received for € 4.6 Bn ongoing contracts. The decrease is primarily due to the Rafale € 3.4 Bn Export contract execution (increase in working capital requirement resulting from the decrease in advances a
Slide 32: Dividends
DIVIDENDS €12.3 per share dividend proposal to be submitted to the Annual General Meeting on May 11, 2021 2019 2020 st revised on April 1 proposed on Febr. 26 th Dividends € 103 M €0M € 212 M ( ) Payout * 26% - 26% Dividend per share € 12.3 - € 25.4 (*) on Group adjusted net income The application o
Slide 33: Split of the Par Value of the Share
SPLIT OF THE PAR VALUE OF THE SHARE Proposal to split, by 10, the par value of the Dassault Aviation share in order to: align the share value with peers of the industry, allow a better accessibility to individual investors and to investment funds dedicated to individuals, help stock liquidity,
Slide 34: Outlook and Strategy
OUTLOOK AND STRATEGY In 2020, this crisis demonstrated the relevance of our dual model as well as our resilience. For 2021: Export Rafale: perform contracts and continue to explore new business opportunities Falcon: increase sales Falcon 6X: continue development aiming at its entry into servic
Slide 35: Disclaimer
DISCLAIMER This press conference may contain forward-looking statements which represent objectives and cannot be construed as forecasts regarding the Company's results or any other performance indicator. The actual results may differ significantly from the forward-looking statements due to various r