Alstom Sa · EURONEXT:ALO
Alstom Sa — H1 2015/16 Earnings Presentation
23 slides from Alstom Sa's earnings presentation, Nov 5, 2015
Slide 1: Half-Year Results Fiscal Year 2015/16
Half-Year Results Fiscal Year 2015/16 05 November 2015
Slide 2: Key takeaways
Key takeaways Solid commercial and operational performance in Transport* • Sound orders level of €3.9bn (book-to-bill = 1.2) • Sales growth of 8% (4% organic) • IFO (including corporate costs) at €167m (up 10%) with margin at 5.1% Alstom - General Electric transaction closed on 2 November 2015
Slide 3: Agenda
Agenda 1 H1 2015/2016 2 Closing of Alstom - General Electric transaction 3 Outlook ALSTOM - 16/11/2015 – P 3 © ALSTOM 2015. All rights reserved. Information contained in this document is indicative only. No representation or warranty is given or should be relied on that it is complete or correct or
Slide 4: H1 2015/16 key figures
H1 2015/16 key figures In € million % change % change H1 2014/15 H1 2015/16 reported organic Orders 6,407 3,897 (39)% (41)% Sales 3,056 3,303 +8% +4% IFO * 152 167 +10% Operating margin 5.0% 5.1% Net income – Continued operations ** 29 18 Net income – Discontinued operations ** 226 (75) Net income –
Slide 5: High level of orders
High level of orders In € million Orders and book-to-bill Strong order intake 6,407 3,897 Sound level of € 3.9bn (H1 2014/15 included a €4bn contract in South Africa) 2,1 Strong flow of small/medium size orders in all regions: 1,2 • Loco in Azerbaijan and services in Kazakhstan • Metro in India,
Slide 6: Main orders – successes across all geographies
Main orders – successes across all geographies Sweden: Traffic management system Canada: Train control system France: Regional trains + Kazakhstan: Locos maintenance RER A trains Spain: High-speed rail Azerbaijan: Freight locos control Morocco: Casablanca Switzerland: Pendolino maintenance Hong-Kong
Slide 7: Sales and operating income increase
Sales and operating income increase In € million Sales growth of 8% (organic 4%) Sales 3,303 3,056 +8% Solid performance in Europe, with major * milestones on regional, suburban and very high-speed trains in France, suburban trains in Italy, maintenance contracts in UK and Sweden Continued growt
Slide 8: Focused investments for future growth
Focused investments for future growth In € million R&D Main R&D programmes 159 Citadis X05 tramway 136 Signalling programmes HealthHub predictive maintenance tool H2 H1 59 58 2013/14 2014/15 H1 2015/16 In € million Capex Recent capex developments Continued investments to consolidate 111 99 com
Slide 9: Income statement
Income statement In € million H1 2014/15 H1 2015/16 % change % change reported organic Sales 3,056 3,303 +8% +4% IFO * 152 167 +10% Operating margin 5.0% 5.1% Restructuring charges (55) (14) Other non-operating expenses (34) (52) EBIT 63 101 +60% Financial result (56) (86) Tax result (11) (2) Share
Slide 10: Free cash flow
Free cash flow In € million H1 2014/15 H1 2015/16 FCF from continued IFO 152 167 operations • Negative impact of Restructuring cash-out (20) (24) working capital (ramp- Depreciation 36 47 up of some projects) Capex (34) (50) • Strong cash management actions in R&D capitalised, net of amortisation
Slide 11: Liquidity and gross debt
Liquidity and gross debt In € billion Liquidity position* €1.35 billion credit line; fully undrawn 2,9 3,2 on 30 September 2015 €1.6 billion revolving credit facilities available until completion of GE transaction; fully drawn on 30 Mar-15 Sep-15 September 2015 Undrawn credit line Gross cash W
Slide 12: Net debt & equity
Net debt & equity In € million Net debt* In € million Equity* (57) (146) 4 224 (277) 3 744 (3,143) (1,336) (4,803) (90) (234) Mar-15 FCF Acq. & Forex & Other Sep-15 Disposals Mar-15 Net income Pensions Forex & Other Sep-15 * Pre Alstom-GE transaction closing ALSTOM - 16/11/2015 – P 12 © ALSTOM 2015.
Slide 13: Agenda
Agenda 1 H1 2015/2016 2 Closing of Alstom - General Electric transaction 3 Outlook ALSTOM - 16/11/2015 – P 13 © ALSTOM 2015. All rights reserved. Information contained in this document is indicative only. No representation or warranty is given or should be relied on that it is complete or correct or
Slide 14: Closing of Alstom – General Electric transaction
Closing of Alstom – General Electric transaction Closing of the sale of Alstom’s Energy activities to GE for c. €12.4bn Reinvestment in the 3 JVs with GE and acquisition of GE signalling activities Energy FCF from 1 April 2014 covered by GE through lock-box mechanism In € billion Net proceeds
Slide 15: Cash return to shareholders
Cash return to shareholders Public share buy-back offer (OPRA) of €3.2bn, followed by cancellation of repurchased shares • 91.5 millions Alstom shares, representing app. 29.5% of the capital • Unitary price of € 35, resulting in a premium 17.6 % over the closing price of 3 November 2015 (€ 29.8) a
Slide 16: Balance sheet impact
Balance sheet impact In € billion Net debt position as of 31 Mar 14 (3.0) Net proceeds of GE transaction 7.1 Public share buy-back offer (3.2) DoJ fine (0.7) Transport FCF (0.2) Est. net cash / (debt) position post transaction* c.0 Alstom will be deleveraged * Indicative, based on 30 September 2015
Slide 17: Indicative OPRA timetable
Indicative OPRA timetable 9 November 2015: Filing of the offer with AMF 18 December 2015: Shareholder’s meeting 23 December 2015: Opening day of the offer 20 January 2016: Closing day of the offer 28 January 2016: Settlement-delivery ALSTOM - 16/11/2015 – P 17 © ALSTOM 2015. All rights res
Slide 18: Alstom entirely refocused on rail transport
Alstom entirely refocused on rail transport Strong balance sheet structure and deleveraged Group Sound market with solid growing factors Leadership positions in trains, services, systems and signalling • Presence in all continents • Complete range of solutions and constant innovation Reinfor
Slide 19: Agenda
Agenda 1 H1 2015/2016 2 Closing of Alstom - General Electric transaction 3 Outlook ALSTOM - 16/11/2015 – P 19 © ALSTOM 2015. All rights reserved. Information contained in this document is indicative only. No representation or warranty is given or should be relied on that it is complete or correct or
Slide 20: Medium-term guidance confirmed
Medium-term guidance confirmed Medium term Organic sales growth • Over 5% per year Operating margin* • Gradual improvement within the 5-7% range Group free cash flow • In line with net income** (with possible volatility on short periods) * IFO margin including corporate costs ** Before Energy JVs AL
Slide 21: Contacts and agenda
Contacts and agenda CONTACTS AGENDA Selma BEKHECHI Investor Relations Director +33 (0)1 57 06 95 39 18 December 2015 Shareholders’ Meeting Investor.relations@chq.alstom.com 14 January 2016 Q3 2015/16 Orders and Sales ALSTOM - 16/11/2015 – P 21 © ALSTOM 2015. All rights reserved. Information containe
Slide 22: Disclaimer
Disclaimer This document does not constitute an offer to sell or acquire securities, or a solicitation of any kind in view of such an offer, directly or indirectly, in the United States, Canada, Japan, or any country where such an offer or solicitation would be illegal or would necessitate the pub
Slide 23: www.alstom.com
www.alstom.com ALSTOM nealesctigciiee