Bombardier Inc. Class A · TSX:BBD.A
Bombardier Inc. Class A — Investor Presentation (February 2014)
37 slides from Bombardier Inc. Class A's investor presentation, February 2014
Slide 1: Bombardier Transportation Profile, Strategy and Market
Bombardier Transportation Profile, Strategy and © Bombardier Inc. or its subsidiaries. All rights reserved. Market FEBRUARY 2014
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation includes forward-looking statements, which may involve, but are not limited to: statements with respect to our objectives, guidance, targets, goals, priorities, our market and strategies, financial position, beliefs, prospects, plans, expectations, antici
Slide 3: Agenda
3 2 1 Agenda OUR PROFILE OUR MARKETS OUR STRATEGY © Bombardier Inc. or its subsidiaries. All rights reserved.
Slide 4: Highlights of the year
Highlights of the year Bombardier Transportation [Fiscal Year ended December 31, 2013] REVENUES EBIT EBIT MARGIN © Bombardier Inc. or its subsidiaries. All rights reserved. WE ARE A LEADER IN THE $8.8B $505M 5.8 % RAIL INDUSTRY CUSTOMERS PRESENCE ORDER IN IN1) BACKLOG2) > 60 40 countries countries $
Slide 5: A global player with a European base
Bombardier Transportation – a global player with a European base © Bombardier Inc. or its subsidiaries. All rights reserved. North America 18% Europe 23% 67% 67% Asia-Pacific Rest of world1) 9% 6% 8% 2% Total BT revenues 2013: 8.8$B Total BT employees2): 38,500 Customers in > 60 countries Global Hea
Slide 6: Diversifying the portfolio in growth areas
Traditionally strong in rolling stock, BT is diversifying the portfolio in growth areas TRANSPORTATION REVENUES BREAKDOWN BY BUSINESS [IN %] 2013 REVENUES © Bombardier Inc. or its subsidiaries. All rights reserved. ANNUAL AVERAGE ANNUAL AVERAGE System and 2008-2010 2011-2013 Signalling 19% Syst. & S
Slide 7: Broadest portfolio of products and services (1)
BT offers one of the broadest and most innovative portfolio of products and services in the industry (1) ROLLING STOCK LIGHT RAIL VEHICLES Application: Efficient transit in urban centers Major products: FLEXITY family (FLEXITY 2, Outlook, Freedom, Berlin, Classic, Swift) © Bombardier Inc. or its sub
Slide 8: Broadest portfolio of products and services (2)
BT offers one of the broadest and most innovative portfolio of products and services in the industry (2) ROLLING STOCK INTERCITY, HIGH SPEED TRAINS, AND VERY HIGH SPEED TRAINS Application: Equipment for medium and long-distance operations Major products: ZEFIRO family, REGINA and TWINDEXX Express ©
Slide 9: Broadest portfolio of products and services (3)
BT offers one of the broadest and most innovative portfolio of products and services in the industry (3) ROLLING STOCK BOGIES Application: Complete solutions for our full portfolio and third-party businesses Major products: FLEXX bogies portfolio including latest technologies: FLEXX Eco, FLEXX Urban
Slide 10: Broadest portfolio of products and services (4)
BT offers one of the broadest and most innovative portfolio of products and services in the industry (4) SYSTEMS OPERATIONS AND MAINTENANCE OF SYSTEMS Application: Operations and maintenance (O&M) services for fully automated transit and mass transit systems Competitive advantages: Strong O&M experi
Slide 11: Broadest portfolio of products and services (5)
BT offers one of the broadest and most innovative portfolio of products and services in the industry (5) SIGNALLING MASS TRANSIT SIGNALLING Application: Rail control and signalling solutions for mass transit systems such as metros, light rail or APMs Major products: CITYFLO Competitive advantages: C
Slide 12: Broadest portfolio of products and services (6)
BT offers one of the broadest and most innovative portfolio of products and services in the industry (6) SERVICES MATERIAL SOLUTIONS Application: Supply chain, spare parts inventory management, obsolescence management and technical support services for rail operators Competitive advantages: Advanced
Slide 13: Our game-changing products shape the market
Our game-changing products shape the market BOMBARDIER TRANSPORTATION’S GAME CHANGING PRODUCTS 1) C30 Metro Stockholm Latest flagship of MOVIA metros for Sweden’s capital New generation of metros, meeting the highest environmental standards © Bombardier Inc. or its subsidiaries. All rights reserved.
Slide 14: C30 project for Stockholm
C30 project for Stockholm Latest flagship of MOVIA metros 1) C30 increases capacity by 34%, without higher axle loads compared to older trains on the line Bombardier offered the best value for money to our © Bombardier Inc. or its subsidiaries. All rights reserved. customer: C30 offered the overall
Slide 15: New family of TRAXX locomotives
New family of TRAXX 3 locomotives Standardization and modular technologies help our customers Our new locomotives fulfil the most demanding customer requirements, either for freight or passenger applications (e.g., proven track record for reliability; low life-cycle costs and energy © Bombardier Inc
Slide 16: PRIMOVE – enabling true emission-free mobility
PRIMOVE – enabling true emission-free mobility E-mobility redefined PRIMOVE introduces a complete e-mobility package that allows cities and the transportation industry to easily incorporate electric mobility for improved economics and quality of life © Bombardier Inc. or its subsidiaries. All rights
Slide 17: Agenda
3 2 1 Agenda OUR PROFILE OUR MARKETS OUR STRATEGY © Bombardier Inc. or its subsidiaries. All rights reserved.
Slide 18: Innovative solutions to customers during the whole lifecycle
We offer innovative solutions to our customers during the whole lifecycle We continue to leverage our technology leadership to respond to our customers’ needs – taking a comprehensive and long-term perspective We are a trusted partner for our customers worldwide – and we work hard to earn this disti
Slide 19: Innovation, local presence and flawless execution
Innovation, local presence and flawless execution will enable us to remain an industry leader DEVELOP INNOVATIVE AND BEST VALUE FOR MONEY SOLUTIONS We constantly invest in innovations and successfully implement them in our products to satisfy customer needs – C30, Stockholm metro: high environmental
Slide 20: Innovation is a driving factor across all products
Innovation is a driving factor across all our products and 1 divisions OUR INNOVATIVE SOLUTIONS CREATE GREAT CUSTOMER VALUE We attract creative engineers and qualified We have state of the art engineering and project managers, who develop innovative manufacturing capacities worldwide for efficient t
Slide 21: We continue to expand our global presence
We continue to expand our global presence 2 WE ARE ACTIVE ALL OVER THE WORLD AND CONTINUE TO ENTER NEW MARKETS © Bombardier Inc. or its subsidiaries. All rights reserved. New markets opened1) by Bombardier Transportation in the last 5 years (2009-2013) Existing markets that have ordered1) products f
Slide 22: Flawless execution: delivering projects as sold
Flawless execution: we are committed to deliver our 3 projects as sold WHAT WE PROMISE (PRODUCT RENDERED IMAGES) Understanding our customers’ needs is key for Bombardier Transportation We assist our customers in © Bombardier Inc. or its subsidiaries. All rights reserved. every step of the project pr
Slide 23: Agenda
3 2 1 Agenda OUR PROFILE OUR MARKETS OUR STRATEGY © Bombardier Inc. or its subsidiaries. All rights reserved.
Slide 24: Product portfolio and global presence sustain long-term growth
Our product portfolio and global presence sustain our long- term growth © Bombardier Inc. or its subsidiaries. All rights reserved. In 2013, BT year-on-year revenues grew by double digit percentage points, clearly outgrowing the rail market1) BT continues to secure large and strategic orders around
Slide 25: BT continues to secure large and strategic orders
BT continues to secure large and strategic orders around the world 775 metro cars1) 450 cars and maintenance for BART in San Francisco for Queensland Rail $1.5 B (2012) $2.7 B (2014) O&M for 130 TRAXX Locomotives2) Metrolinx and Go Transit for DB $937 M (2012) © Bombardier Inc. or its subsidiaries.
Slide 26: Backlog includes several very high-volume projects
BT’s backlog includes several very high-volume projects to be executed through 2016 and beyond SELECTION OF BT’S ORDER BACKLOG – PROJECTS WITH BT SHARE OF >650 $M 780 metro car for Stockholm, Sweden © Bombardier Inc. or its subsidiaries. All rights reserved. 775 metro cars for San Francisco, USA 130
Slide 27: Broadest portfolio of products of all players
BT offers the broadest portfolio of products of all players in the rail industry BOMBARDIER TRANSPORTATION’S KEY COMPETITORS Rolling stock Commuter High speed System Head- Loco- Signalling Light-rail Metros and and Monorail integration quarters motives © Bombardier Inc. or its subsidiaries. All righ
Slide 28: Accessible markets expected to reach $112.6B per year
Our accessible markets are expected to grow, reaching $112.6B per year in 2015-17 ANNUAL ACCESSIBLE MARKET1) BY SEGMENT ANNUAL ACCESSIBLE MARKET1) BY REGION [3-year average, $B] [3-year average, $B] 112.6 112.6 100.5 17.9 100.5 © Bombardier Inc. or its subsidiaries. All rights reserved. System and 2
Slide 29: Europe – the largest market for rail
Europe – the largest market for rail maintains its high level of investment ANNUAL ACCESSIBLE MARKET1) BY SEGMENT OUTLOOK [3-year average, $B] Following large orders and options in the 42.5 regional and intercity segment, France and © Bombardier Inc. or its subsidiaries. All rights reserved. 39.0 8.
Slide 30: Asia-Pacific – focus on urban mass transit
Asia-Pacific – focus will be on urban mass transit ANNUAL ACCESSIBLE MARKET1) BY SEGMENT OUTLOOK [3-year average, $B] In China we see a continued need for © Bombardier Inc. or its subsidiaries. All rights reserved. rolling stock products, especially mass 23.4 24.1 transit and a growing demand for se
Slide 31: North America – significant investment in metros
North America – significant investment is expected in metros, high speed and signalling have promising potential ANNUAL ACCESSIBLE MARKET1) BY SEGMENT OUTLOOK [3-year average, $B] The market has been resilient to the economic downturn with major cities such as New York, © Bombardier Inc. or its subs
Slide 32: Rest of world – mega-events, ageing fleets and freight
Rest of world – mega-events, ageing fleets and freight drive rail investment ANNUAL ACCESSIBLE MARKET1) BY SEGMENT OUTLOOK [3-year average, $B] In light of upcoming Olympic Games and © Bombardier Inc. or its subsidiaries. All rights reserved. 26.3 FIFA World Cups, governments in Brazil, 3.8 Russia,
Slide 33: We secured the large majority of target opportunities
We deliver on our promises – we secured the large majority of target opportunities we announced since 2009 PROJECTS MENTIONED AS OPPORTUNITIES SINCE 2009 IN OUR ANNUAL REPORTS: Very-high speed Toronto light rail WE ARE SUCCESSFUL IN THE © Bombardier Inc. or its subsidiaries. All rights reserved. tra
Slide 34: Upcoming key opportunities for BT by region
Selection of upcoming key opportunities for BT by region KEY PROJECTS EUROPE KEY PROJECTS NORTH AMERICA Metro projects in London and United Metro, signalling, LRV and USA © Bombardier Inc. or its subsidiaries. All rights reserved. the Crossrail project Kingdom O&M opportunities Options for regional
Slide 35: Urbanization, energy cost and environmental issues favour rail
Urbanization, energy cost and environmental issues continue to favour rail GLOBAL TRENDS URBANIZATION AND POPULATION GROWTH According to the McKinsey Global Institute1), by 2025, the 600 largest cities by GDP will represent nearly 65% of + world GDP. Rapidly expanding medium-sized and mega cities ha
Slide 36: Public funding and liberalization secure cash flow to rail
Public funding and liberalization of the transport system secure cash flow to the rail market GLOBAL TRENDS PUBLIC FUNDING Governments responded to the 2008 financial crisis through stimulus packages and rescue plans which partly = targeted rail. Nevertheless, since over 90% of the rolling stock bus
Slide 37: © Bombardier Inc. or its subsidiaries. All rights reserved.
© Bombardier Inc. or its subsidiaries. All rights reserved.