Slide 1: Half-Year Results Fiscal Year 2012/13
Half-Year Results Fiscal Year 2012/13 7 November 2012
Slide 2: Agenda
Agenda 1. Key highlights of H1 2012/13 2. Financial results of H1 2012/13 3. Outlook P2
Slide 3: Key figures
Key figures In € million Alstom delivers according to plan Sept 2011 Sept 2012 Variation Orders 10,183 12,129 +19% Backlog 47,382 52,015 +10% Sales 9,389 9,748 +4% Income from operations 627 703 +12% Operating margin 6.7% 7.2% Net income 363 403 +11% Free cash flow (914) 101 P3
Slide 4: Evolution of the global context
Evolution of the global context A challenging world 2011 & 2012 GDP growth by region • Sluggish economic environment in developed world Russia European Union 4.3%/3.7% USA China India 1.8 %/2.2% 1.6%/-0.2% • Slower growth in BRICs Brazil 9.2%/7.8% 6.8%/4.9% 2.7%/1.5% Source: IMF, World Economic Outl
Slide 5: Market environment (1/2)
Market environment (1/2) Contrasted markets THERMAL POWER RENEWABLE POWER TODAY TODAY • Gas: growing overall share • Hydro: medium-term solid, despite slow recovery in mature temporary low demand in China countries • Wind: significant pressure on • Coal: stable demand still mainly prices for onshore
Slide 6: Market environment (2/2)
Market environment (2/2) GRID TRANSPORT TODAY TODAY • Continued expansion in urban • Dynamic high-end segments rolling stock, signalling and (HVDC, smart grids, power services electronics) • Delays in large Very High • Still overcapacity in the Speed contracts but projects transformer market expecte
Slide 7: Orders
Orders Reaching 2 years of sustained commercial activity Orders received per half year Split of H1 2012/13 orders 12.0 12.1 In € billion 11.5 turnkey Transport 10.2 equipment 38% Thermal 1.24 Power 1.15 services 7.8 1.08 1.09 39% 7.1 Grid 7.0 18% Book -to- Renewable Power Bill = 1 5% 0.78 0.74 Order
Slide 8: Operational excellence
Operational excellence Strict execution and cost control Gross margin (on sales) secured • Execution of contracts in line with expectations • Sourcing moving to LCC (today 30% - objective 40% in FY2014/15) S&A under control • Stable selling costs in percentage of sales at around 4.8% to support inte
Slide 9: Technology
Technology Innovation and partnerships strengthening portfolio THERMAL POWER RENEWABLE POWER R&D expenses - Gas turbine upgrades In € million - Construction of a Global Technology - JV with Vietnam Electricity Centre in Brazil dedicated to hydro 351 to establish a state-of-the-art Kaplan turbines ga
Slide 10: Internationalisation
Internationalisation High capex with focus on strategic priorities In € million Capex split by Sector THERMAL POWER RENEWABLE POWER - Russia: construction of new - Construction of service workshop Thermal Power hydro manufacturing facility in in Saudi Arabia partnership with RusHydro - New turbine s
Slide 11: Transmashholding
Transmashholding A key partnership TMH Potential of the Russian & CIS market • Largest rolling stock supplier to Russian Railways • A €10Bn railway market with a 10% CAGR in rolling (more than 60% market share) stock over the 2012-16 period • 13 plants (12 in Russia, 1 in Ukraine) • Freight traffic:
Slide 12: Financial structure
Financial structure Actively managing balance sheet Liquidity position: ample room for manoeuvre Gross debt: no repayment before 2014 and early refinancing In € billion 3.4 3.0 In € million Gross Cash 750 750 750 Undrawn 500 500 500 Credit line 350 31 March 12 30 Sep 12 • A €1.35 billion syndicated
Slide 13: Agenda
Agenda 1. Key highlights of H1 2012/13 2. Financial results of H1 2012/13 3. Outlook P 13
Slide 14: Thermal Power Key figures
Thermal Power Key figures In € million +2% • Sustained orders with a book-to-bill above 1 for the 4th 4,765 4 650 consecutive semester Orders and book-to-bill 1.15 1.12 • 5 gas turbines booked • Strong activity in steam equipment (especially ECS) • Thermal Services orders strong at €2.5 Bn H1 2011/1
Slide 15: Renewable Power Key figures
Renewable Power Key figures In € million 1 015 -41% • Low orders in hydro due to the lack of large projects Orders and 602 book-to-bill 0.98 • Mid-sized orders expected in H2 0.70 • Sound activity in wind with two major contracts in Brazil H1 2011/12 H1 2012/13 1 037 -17% • No significant milestones
Slide 16: Grid Key figures
Grid Key figures 2,180 In € million +18% Orders and 1,853 • Good flow of small and medium-sized orders worldwide book-to-bill 1.17 1.00 • 800kV UHVDC contract in India H1 2011/12 H1 2012/13 1,863 1,844 +1% Sales • Sound sales level • Well balanced by region (app. 30% in Europe, 20% in Americas, 30%
Slide 17: Transport Key figures
Transport Key figures In € million 4,582 +72% • Very high level of orders Orders and 2 665 • Sustained activity in Western Europe, representing c75% book-to-bill 1.65 of H1 orders 1.08 • Urban transport and regional trains driving demand H1 2011/12 H1 2012/13 2,771 +13% • Sales recovering from the l
Slide 18: Income statement
Income statement In € million Sept 2011 Sept 2012 Variation Sales 9,389 9,748 4% Income from operations 627 703 12% Operating margin 6.7% 7.2% Grid PPA & acquisition costs (68) (43) Restructuring costs (38) (29) Capital gains & other (4) (40) EBIT 517 591 14% Financial result (74) (113) Tax result (
Slide 19: Free cash flow
Free cash flow In € million Sept 2011 Sept 2012 1st H1 positive FCF since 2009 Income from operations 627 703 Despite still negative Change in Working Restructuring cash out (74) (73) Capital due to: Depreciation 170 175 • Mix of orders Capital expenditure (199) (186) impacting the level of R&D cap.
Slide 20: Net debt & equity evolution
Net debt & equity evolution In € million Net debt evolution Equity evolution Net debt Net debt Free xxx Dividends Acquisitions Net debt 30 Sept 11 31 Mar 12 Cash Flow paid & Other 30 Sept 12 403 4,434 18 4,449 (236) (170) 101 (2,492) (236) (2,748) (244) (2,871) Equity Net Dividends Pensions Other Eq
Slide 21: Agenda
Agenda 1. Key highlights of H1 2012/13 2. Financial results of H1 2012/13 3. Outlook P 21
Slide 22: Three-year guidance reiterated (from FY 2012/13 to FY 2014/15)
Three-year guidance reiterated (from FY 2012/13 to FY 2014/15) Assuming a sound level of orders over the period: CAPEX To remain at a high level R&D To progressively increase SALES GROWTH Over 5% per year on current scope OPERATING MARGIN to gradually improve to around 8% in FY 2014/15 FREE CASH FLO
Slide 23: Contacts & agenda
Contacts & agenda CONTACTS AGENDA Delphine BRAULT 22 January 2013 Vice President Investor Relations +33 (0)1 41 49 26 42 Orders and sales for the first nine months of FY 2012/13 Perrine DE GASTINES Individual Shareholders coordinator 27-28 February 2013 +33 (0)1 41 49 21 79 Analyst Day in Nantes (Fr
Slide 24: Disclaimer
Disclaimer This presentation contains forward-looking statements which are based on current plans and forecasts of Alstom’s management. Such forward-looking statements are by their nature subject to a number of important risk and uncertainty factors (such as those described in the documents filed by
Slide 25: www.alstom.com
www.alstom.co due one Ahaping the fistine. | ALSTOM