BAUER Aktiengesellschaft · HAM:B5A0

BAUER Aktiengesellschaft — Bauer — H1 2016 Earnings Presentation

50 slides from BAUER Aktiengesellschaft's earnings presentation, Aug 12, 2016

  1. Slide 1: BAUER AG Group Presentation First half-year 2016

    BAUER AG Group Presentation First half-year 2016 Foundation works for new convention center – Jakarta, Indonesia 16-08-12 IR-Presentation_Q2_2016 © BAUER AG, D-86529 Schrobenhausen

  2. Slide 2: Key Figures 6M 2016

    Key Figures 6M 2016 6M 2015 6M 2016 ∆ 6M in EUR million in EUR million in % Total Group revenues, of which 780.4 757.0 -3.0 % - Germany 217.0 263.1 +21.3 % - International 563.4 493.9 -12.3 % - Construction 369.9 331.9 -10.3 % - Equipment 333.4 312.4 -6.3 % - Resources 102.1 139.0 +36.1 % - Other/Co

  3. Slide 3: Key Figures 6M 2016 – Main topics

    Key Figures 6M 2016 Main topics  Total Group revenues at the end of the first half of 2016 were EUR 757.0 million, 3.0 % below the previous year comparative (EUR 780.4 million). Sales revenues grew by 1.2 % to EUR 649.8 million. EBIT increased by 14.8 % from EUR 16.0 million to EUR 18.4 million yea

  4. Slide 4: Table of Content

    Table of Content BAUER Group – Strategy, Chances & Markets Financials Q2/6M 2016 & Guidance Appendix 16-08-12 IR-Presentation_Q2_2016 © BAUER AG, D-86529 Schrobenhausen 4

  5. Slide 5: BAUER Group – Mission & Strategy

    BAUER Group Mission & Strategy Mission EUR 1.66 billion total Group revenues The BAUER Group is a leading provider of services, equipment & products dealing with ground and groundwater. EUR 90.7 million EBIT Strategy 6.6 %  The world is our market. EBIT margin 27.2 %  Global network organization w

  6. Slide 6: BAUER Group – The three segments

    BAUER Group The three segments Construction Equipment Resources  Global provider for specialist  Market leader in specialist  Products & services related to foundation engineering services foundation equipment water, environment and natural resources.  Focus on complex, international  New produ

  7. Slide 7: Total Group Revenues

    Total Group Revenues Longstanding healthy business development in EUR million (segment after deducting Other/Consolidation) Total 1,656 1,800 1,600 Resources 218 1,400 1,200 Equipment 1,000 705 800 Construction 600 Overseas 551 400 200 Construction Domestic 0 182 1980 1983 1985 1987 1989 1991 1993 1

  8. Slide 8: Worldwide network

    Worldwide network More than 110 subsidiaries in about 70 countries Schrobenhausen 2.027 Permanent Offices: Construction Equipment sales Resources Equipment production Conroe 156 Tianjin 215 Kuala Lumpur 129 16-08-12 IR-Presentation_Q2_2016 © BAUER AG, D-86529 Schrobenhausen 8

  9. Slide 9: Challenges of the world provide chances for the company

    BAUER Group Challenges of the world provide chances for the company Urbanization Infrastructure Water The megatrend urbanization leads to High demand for new infrastructure and The shortage of clean drinking water more complex inner-city solutions for restoration of existing structures is one of the

  10. Slide 10: Solutions for the biggest challenges and megatrends

    BAUER Group Solutions for the biggest challenges and megatrends Urbanization & Infrastructure Construction Equipment  Leading position in special  Market leader in specialist foundation engineering. foundation equipment.  Global activities with presence  Focus on specialized and in over 50 count

  11. Slide 11: Chances

    BAUER Group Chances Construction Equipment Resources  Growing construction markets  Growth potential in new markets  Full-service provider for products worldwide. and with specialized machines. and solutions related to water.  Huge pent-up demand in  Manufacture of customized deep  Ground-brea

  12. Slide 12: World construction markets

    World construction markets Bauer market potential Russia: - Germany: quite good. + Eastern Europe: slowly positive o Crisis regarding Ukraine; difficult to predict. USA / Canada: + development public demand, power plants, dams, etc. Western Europe: weak markets o Middle East: o Central Asia: good ma

  13. Slide 13: Global economic situation

    Global economic situation IMF projection of the real annual GDP growth in % 1.0 1.6 -1.2 1.2 1.5 2016 2017 1.8 1.9 2016 2017 -0.6 2.2 2.5 Russia Germany 2016 2017 2016 2017 CIS* 6.6 6.2 2016 2017 European Union United States 6.4 6.3 3.4 3.3 0.5 -3.3 2016 2017 2016 2017 2016 2017 3.3 China Middle Eas

  14. Slide 14: Table of Content

    Table of Content BAUER Group – Strategy, Chances & Markets Financials Q2/6M 2016 & Guidance Appendix 16-08-12 IR-Presentation_Q2_2016 © BAUER AG, D-86529 Schrobenhausen 14

  15. Slide 15: Financials: Revenues, earnings & orders – Group

    Financials Revenues, earnings & orders – Group Revenues Order backlog in EUR million in EUR million Total Group revenues Sales revenues 995.6 1,010.2 1,800 1,656 1,000 1,560 881.5 1,504 1,402 1,376 1,379 765.2 762.7 1,350 750 900 500 780 757 642 650 450 250 0 0 2013 2014 2015 6M 2015 6M 2016 2013 20

  16. Slide 16: Financials: Revenues, earnings & orders – Segments

    Financials Revenues, earnings & orders – Segments Revenues Order intake in EUR million in EUR million Construction Equipment Resources Construction Equipment Resources 899 780 +36.1 % 757 405 102 +54.4 % 383 123 +35.3 % 772 371 374 +41.0 % 139 48 48 67 75 166 -6.3 % 332 333 155 +2.8 % -1.9 % -7.5 %

  17. Slide 17: Regional breakdown – Total Group revenues 6M 2016

    Financials Regional breakdown – Total Group revenues 6M 2016 in EUR million Total 757 Germany 263 (35 %) Africa 44 (6 %) Americas 101 (13 %) Full year 2015 in EUR million Germany 474 (29 %) Total 1,656 Africa 77 (4 %) Americas 297 (18 %) Asia-Pacific, Far East & Australia Europe (other) 348 (21 %) 7

  18. Slide 18: Regional breakdown – Segments 6M 2016

    Financials Regional breakdown – Segments 6M 2016 Construction segment Equipment segment Resources segment in EUR million Total 325 Total 293 Total 139 Germany 101 (31 %) Germany 75 (26 %) Germany 87 (63 %) Africa 7 (5 %) Africa 27 (8 %) Africa 10 (3 %) Americas 7 (5 %) Americas 31 (10 %) Americas 63

  19. Slide 19: Working capital needs & net debt

    Financials Working capital needs & net debt Bauer’s business model with its three segments Net working capital requires considerably more working capital than in EUR million other companies in construction markets. 800 600  Changes during the year: - Levels of working capital in the balance sheet d

  20. Slide 20: Working capital needs & cash flow

    Financials Working capital needs & cash flow Building construction  Equipment segment: EUR positive cash contribution - Due to very special parts being installed, parts need to be pre-ordered well in advance  approx. 3 months pre-financing of equipment during production. Contract value Negative ca

  21. Slide 21: Income statement 6M 2016

    Financials Income statement 6M 2016 in EUR '000 6M 2015 6M 2016 ∆ in % Sales revenues (P&L) 641.990 649.767 1,2% Consolidated revenues (P&L) 740.674 720.162 -2,8% Cost of materials -362.195 -353.412 -2,4% Personel expenses -184.836 -182.918 -1,0% Other operation expenses -130.615 -121.111 -7,3% EBIT

  22. Slide 22: Balance sheet June 30, 2016

    Financials Balance sheet June 30, 2016 in EUR '000 June 30, 2015 June 30, 2016 ∆ in % Assets 1.688.736 1.715.896 1,6% A. Non-current assets 600.482 615.823 2,6% I. Intangible assets 33.013 26.041 -21,1% II. Property, plant and equipment and investment property 457.660 398.301 -13,0% III. Investments

  23. Slide 23: Cash flow statement 6M 2016

    Financials Cash flow statement 6M 2016 in EUR '000 6M 2015 6M 2016 ∆ in % Cash flow from operational activity -58.473 -41.896 n/a Cash flow from investment activity -27.157 -25.779 n/a Cash flow from financing activity 83.172 65.167 -21,6% Free Cash Flow -85.630 -67.675 n/a Changes in liquid funds a

  24. Slide 24: Guidance 2016

    Guidance 2016 Business year without exceptional earnings expected BAUER Group 2015e 2015 final 2016e Total Group Revenues ~ 1,600 EUR million 1,656 EUR million ~ 1,650 EUR million EBIT ~ 75 EUR million 90.7 EUR million ~ 75 EUR million Earnings after tax ~ 18 – 23 EUR million 29.0 EUR million ~ 20 –

  25. Slide 25: Financial calendar 2016 and Investor Relations

    BAUER AG Financial calendar 2016 Publication Annual Report 2015 April 18, 2016 Annual Press Conference April 18, 2016 Analyst Conference April 18, 2016 Annual General Meeting June 23, 2016 Quarterly Statement Q1 2016 May 13, 2016 Half-Year Interim Report to June 30, 2016 August 12, 2016 Quarterly St

  26. Slide 26: Table of Content

    Table of Content BAUER Group – Strategy, Chances & Markets Financials Q2/6M 2016 & Guidance Appendix 16-08-12 IR-Presentation_Q2_2016 © BAUER AG, D-86529 Schrobenhausen 26

  27. Slide 27: The history – Two centuries of experience

    BAUER Group The history – Two centuries of experience 1790 · 1900 · 1902 · 1928 · 1948 · 1956 · 1958 · 1967 · 1969 · 1972 · 1975 · 1976 · 1984 · 1990 · 1992 · 1994 · 1998 · 2001 · 2015 1790 1900-1970 1980-1990 2000-2015 End of 1970’s: Early 1980’s: FY 2015: Start of Selling of equipment to 4. Jul 20

  28. Slide 28: The three segments

    BAUER Group The three segments  Target: ~ 40 % of  Target: ~ 20 % of total Group revenues total Group revenues  Market leader in  Activities in specialist foundation environmental equipment technology, mining, deep drilling, well  New products for construction, mining, deep drilling materials a

  29. Slide 29: Headquarters and plant Schrobenhausen, Germany

    BAUER Group Headquarters and plant Schrobenhausen, Germany 16-08-12 IR-Presentation_Q2_2016 © BAUER AG, D-86529 Schrobenhausen 29

  30. Slide 30: What is specialist foundation?

    What is specialist foundation? Building an excavation pit Supporting Wall Ground Water Underpinning Injection Injection Anchor Pile Foundation Sealing Slab 16-08-12 IR-Presentation_Q2_2016 © BAUER AG, D-86529 Schrobenhausen 30

  31. Slide 31: What is specialist foundation used for?

    What is specialist foundation used for? Applications for projects Buildings Infrastructure Water – Energy Industry Foundations Excavation pits Cut-off walls Ground improvement 16-08-12 IR-Presentation_Q2_2016 © BAUER AG, D-86529 Schrobenhausen 31

  32. Slide 32: Construction: Ismailia, Egypt – Road tunnel underneath Suez Canal

    Construction Ismailia, Egypt – New road tunnel underneath Suez Canal 16-08-12 IR-Presentation_Q2_2016 © BAUER AG, D-86529 Schrobenhausen 32

  33. Slide 33: Construction: Doha, Qatar – Mozoon Towers construction pit

    Construction Doha, Qatar – Construction pit for the Mozoon Towers 16-08-12 IR-Presentation_Q2_2016 © BAUER AG, D-86529 Schrobenhausen 33

  34. Slide 34: Construction: Munich, Germany – Wastewater treatment plant pit

    Construction Munich, Germany – Construction pit for wastewater treatment plant 16-08-12 IR-Presentation_Q2_2016 © BAUER AG, D-86529 Schrobenhausen 34

  35. Slide 35: Construction: Zwenkau, Germany – Harth canal

    Construction Zwenkau, Germany – Construction works for Harth canal © euroluftbild.de 16-08-12 IR-Presentation_Q2_2016 © BAUER AG, D-86529 Schrobenhausen 35

  36. Slide 36: Drilling rigs (BG series) – ValueLine

    Equipment Product range: Drilling rigs (BG series) – ValueLine BG 20 BG 30 BG 38 ValueLine The BG ValueLine is a fully dedicated Kelly drilling rig. 16-08-12 IR-Presentation_Q2_2016 © BAUER AG, D-86529 Schrobenhausen 36

  37. Slide 37: Drilling rigs (BG series) – PremiumLine

    Equipment Product range: Drilling rigs (BG series) – PremiumLine BG 20 BG 42 BG 50 PremiumLine Multi-purpose drilling rigs for various applications of foundation works. 16-08-12 IR-Presentation_Q2_2016 © BAUER AG, D-86529 Schrobenhausen 37

  38. Slide 38: Duty-cycle cranes (MC series)

    Equipment Product range: Duty-cycle cranes (MC series) MC 64 MC 96 MC 128 16-08-12 IR-Presentation_Q2_2016 © BAUER AG, D-86529 Schrobenhausen 38

  39. Slide 39: Deep Drilling (PR series)

    Equipment Product range: Deep Drilling (PR series) PR 440 M2 In order to meet the upcoming PR 200 market challenges, out-of-the-box thinking is necessary and therefore customized rig solutions are of growing importance. Based on more than 40 years of experience in engineering and manufacturing of dr

  40. Slide 40: Resources Segment – Pool of competences

    Resources Segment Pool of competences from a single hand Water Environment Natural Resources  Industrial Waste Water  Remediation  Exploration Drilling  Process & Produced Water  Landfill Restoration  Deep Geothermal Drilling  NORM  Decommissioning  Oil & Gas Drilling  Constructed Wetlands

  41. Slide 41: Resources Segment – The Competence Centers

    Resources Segment The Competence Centers Environment Natural Waste Treatment Resources & Disposal Water Drilling Constructed Water Well Techno- Wetlands Design & logies Remediation Construction Water Treatment Process Technology Beverage & Biotec 16-08-12 IR-Presentation_Q2_2016 © BAUER AG, D-86529

  42. Slide 42: Resources Water – Process Water & Water Distribution Management

    Resources Water – Process Water & Water Distribution Management 16-08-12 IR-Presentation_Q2_2016 © BAUER AG, D-86529 Schrobenhausen 42

  43. Slide 43: Resources Environment – Soil remediation in Germany

    Resources Environment – Soil remediation in Germany 16-08-12 IR-Presentation_Q2_2016 © BAUER AG, D-86529 Schrobenhausen 43

  44. Slide 44: Resources Environment – Remediation of Kesslergrube landfill

    Resources Environment – Remediation of Kesslergrube landfill, Germany © Source: Press picture Roche 16-08-12 IR-Presentation_Q2_2016 © BAUER AG, D-86529 Schrobenhausen 44

  45. Slide 45: Resources Natural Resources – Oil and Exploration Drilling in Jordan

    Resources Natural Resources – Oil and Exploration Drilling in Jordan 16-08-12 IR-Presentation_Q2_2016 © BAUER AG, D-86529 Schrobenhausen 45

  46. Slide 46: Market environment – Germany

    Market environment – Germany German construction market 2015/ 2015/ Jan-Mar March 2016 Germany 1995 2014 2016/2015 Employees in 1000 763.4 -45.9 0.8 0.9 Revenues in EUR billion 101.0 -13.6 1.6 4.1 Building construction 65.0 -17.6 1.4 4.2 Foundation engineering 36.0 -5.1 1.9 3.7 Orders received * in

  47. Slide 47: BAUER share – Facts & Figures

    BAUER share Facts & Figures Share performance (07/2015 – 08/2016)  Listed on Frankfurt stock exchange, Prime Standard, since July 4, 2006  Share capital EUR 73,001,420.45  Shares issued 17,131,000  Issue price EUR 16.75 Shareholder structure in EUR 2012 2013 2014 2015 2016 Earnings per share 1.4

  48. Slide 48: BAUER share – Dividend policy

    BAUER share Dividend policy Dividend payment Dividend policy founded on a reasonable in EUR per share balance between shareholders and company 1.20  fair participation of shareholders 1.00 1.00  continuity over the years 0.90  safeguarding of the equity base All shareholders shall participate in

  49. Slide 49: Key Figures Time Line FY 2008 – Q2 2016

    Key Figures Time Line FY 2008 – Q2 2016 Total Group Revenues 2008 2009 2010 2011 2012 2013 Q1 14 Q2 14 Q3 14 Q4 14 2014 Q1 15 Q2 15 Q3 15 Q4 15 2015 Q1 16 Q2 16 (in EUR million) BAUER Group 1.527,2 1.275,8 1.304,0 1.371,8 1.435,8 1.504,2 378,1 371,1 413,9 397,1 1.560,2 409,1 371,3 414,5 461,5 1.656,

  50. Slide 50: Disclaimer

    Disclaimer This presentation contains forward-looking statements. Forward-looking statements are statements that are not historical facts, including statements about our beliefs, intentions, expectations, predictions and the assumptions underlying them. These statements are based on factors as they

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