Forvia Se · EURONEXT:FRVIA
Forvia — Q3 2022 Earnings Presentation
27 slides from Forvia's earnings presentation, Oct 21, 2022
Slide 1: Q3 2022 Sales
Q3 2022 SALES ❯ Sales of €6.6bn, up 92% on a reported basis • Including a scope effect of 54% from the consolidation of HELLA (€1.8bn) • Strong organic sales growth of 31% driven by production recovery; outperformance of +140bps or +490bps restated for unfavorable geographic mix of -350bps ❯ Upgrade
Slide 2: Summary
Summary 01 Q3 2022 sales review 02 Update on ongoing topics 03 Updated FY 2022 guidance 04 Key takeaways
Slide 3: Q3 2022 main events (1/2)
Q3 2022 main events (1/2) ❯ Continued strong order intake of €24.5bn YTD, while being selective on programs, including: • Major award with Daimler for complete seats (1st and 2nd rows) with lifetime sales of €2bn (SOP in 05/2025) • Award with a global long-haul truck leader for the first mass-produc
Slide 4: Q3 2022 main events (2/2)
Q3 2022 main events (2/2) ❯ On track for the disposal program of €1bn by end 2023, contributing to Group deleveraging, with 30% achieved to date • On July 28, HELLA announced the divestment of its 33% stake in the HBPO JV to its co-shareholder Plastic Omnium for €290m • This is a further milestone r
Slide 5: Q3 2022 sales of €6.6bn, up 92% on a reported basis
Q3 2022 sales of €6.6bn, up 92% on a reported basis and up 31% at constant scope and currencies; outperformance of +490bps ❯ Strong sales growth of +92.4% on a reported basis included: • A scope effect of €1.8bn or +53.6%, related to the consolidation of HELLA (consolidated since Feb. 1) • A currenc
Slide 6: Seating and Interiors
Seating Interiors 30% of Group consolidated sales in the period 20% of Group consolidated sales in the period €533m - €1,960m €276m - €1,333m €997m €60m €1,305m €122m +40.9% +6.0% +27.7% +9.3% vs. automotive production vs. automotive production growth* of +29.5% growth* of +29.5% (Hella consolidatio
Slide 7: Clean Mobility and Clarion Electronics
Clean Mobility Clarion Electronics 18% of Group consolidated sales in the period 4% of Group consolidated sales in the period €202m - €1,207m €47m - €256m €928m €77m €195m €14m +21.8% +23.9% +8.3% +7.2% vs. automotive production vs. automotive production growth* of +29.5% growth* of +29.5% (Hella co
Slide 8: HELLA's contribution to consolidated sales amounted to €1.8bn
HELLA’s contribution to consolidated sales amounted to €1.8bn 28% of Group consolidated sales in the period ❯ HELLA is consolidated since February 1 and its 3-month contribution to the Group’s consolidated sales in Q3 amounted to €1,835m, of which: Q3 2022 Sales (€m) 1,835 Lighting 745 Electronics 8
Slide 9: Europe and North America
Europe North America (comments are related to Faurecia’s standalone perimeter in the region) (comments are related to Faurecia’s standalone perimeter in the region) 40% of Group consolidated sales in the period 26% of Group consolidated sales in the period €957m €2,647m €398m €1,728m €381m €240m €18
Slide 10: Asia and Rest of the world
Asia Rest of the world (comments are related to Faurecia’s standalone perimeter in the region) (comments are related to Faurecia’s standalone perimeter in the region) 29% of Group consolidated sales in the period 5% of Group consolidated sales in the period €455m €1,925m €25m €292m €82m €356m +13.3%
Slide 11: Summary
Summary 01 Q3 2022 sales review 02 Update on ongoing topics 03 Updated FY 2022 guidance 04 Key takeaways
Slide 12: €1bn disposal program by end-2023 well underway
€1bn disposal program by end-2023 well underway ❯ On August 14, 2021, along with the announcement of the HELLA acquisition, Faurecia announced a disposal program of €500m by end-2023 to contribute to deleveraging post-acquisition ❯ On April 26, 2022, Faurecia upgraded the disposal program to €1bn by
Slide 13: Refinancing of the Hella acquisition nearly complete
Refinancing of the Hella acquisition nearly complete ❯ €705m capital increase in June 2022 successfully refinanced the bridge-to-equity, ahead of initial Acquisition price for 82% of HELLA €5.4bn deadline (mid-February 2023) Part paid in Faurecia shares to the Hueck/Roepke Family (€0.5bn) Part paid
Slide 14: Energy crisis management
Energy crisis management ❯ Our operations are not highly energy-intensive, while benefiting from very efficient historical hedging policies >10x • In 2021 (“reference year”), the total Faurecia + HELLA energy bill (electricity c. 70% + gas c. 30%) amounted to c. €170m, representing 0.7% of sales • F
Slide 15: Summary
Summary 01 Q3 2022 sales review 02 Update on ongoing topics 03 Updated FY 2022 guidance 04 Key takeaways
Slide 16: Updated FY 2022 guidance: Upgraded sales target & confirmed operating margin and NCF targets
Updated FY 2022 guidance: Upgraded sales target & confirmed operating margin and NCF targets ❯ Upgraded FY 2022 sales guidance to reflect: • Upward revision of worldwide automotive production* to 77 million LVs (vs. 74m LVs previously), considering already c. 58m LVs produced in 9m 2022 and maintain
Slide 17: Summary
Summary 01 Q3 2022 sales review 02 Update on ongoing topics 03 Updated FY 2022 guidance 04 Key takeaways
Slide 18: Q3 2022 key takeaways
Q3 2022 key takeaways ❯ Strong consolidated sales growth of 92.4% in Q3, fed by: • Scope effect of 53.6% due to the consolidation of HELLA that started on February 1 • Positive currency effect of 7.9% • Strong organic growth of 30.9%, reflecting: ⚬ Worldwide automotive production growth of 29.5% in
Slide 19: Appendix
00 APPENDIX
Slide 20: Definitions of terms (1/3)
Definitions of terms Used in this document (1/3) SALES GROWTH Faurecia’s year-on-year sales evolution is made of three components: • A “Currency effect”, calculated by applying average currency rates for the period to the sales of the prior year, • A “Scope effect” (acquisition/divestment), • And “G
Slide 21: Definitions of terms (2/3)
Definitions of terms Used in this document (2/3) ADJUSTED EBITDA Adjusted EBITDA is Operating income as defined above + depreciation and amortization of assets; to be fully compliant with the ESMA (European Securities and Markets Authority) regulation, this term of “Adjusted EBITDA” will be used by
Slide 22: Definitions of terms (3/3)
Definitions of terms Used in this document (3/3) NET CASH-FLOW Net cash-flow is defined as follow: Net cash from (used in) operating and investing activities less (acquisitions)/disposal of equity interests and businesses (net of cash and cash equivalents), other changes and proceeds from disposal o
Slide 23: Breakdown by quarter of FORVIA 2021 proforma sales
Breakdown by quarter of FORVIA 2021 proforma sales FY 2021 pro forma is presented in chapter 6 of Faurecia’s 2021 Universal Registration Document Sales in €m (unaudited) Q1 2021 Q2 2021 Q3 2021 Q4 2021 FY 2021 Faurecia 2021 as released 4,005 3,778 3,426 4,409 15,618 HELLA 12/2020 – 11/2021 1,679 1,6
Slide 24: Financial Agenda
Financial Agenda November 3, 2022 Capital Markets Day November 4, 2022 Sustainability Day January 2023 CES in Las Vegas
Slide 25: Investor relations
Investor relations Share Data Bloomberg Ticker: EO:FP Reuters Ticker: EPED.PA Datastream: F:BERT ISIN Code: FR0000121147 Marc MAILLET Tel: +33 1 72 36 75 70 Bonds ISIN Codes E-mail: marc.maillet@forvia.com 2025 bonds: XS1785467751 2026 bonds: XS1963830002 23-27, avenue des Champs Pierreux 2027 bonds
Slide 26: Disclaimer
Disclaimer Important information concerning forward looking statements This presentation contains certain forward-looking statements concerning Faurecia. Such forward-looking statements represent trends or objectives and cannot be construed as constituting forecasts regarding the future Faurecia’s r
Slide 27: -ORVIA
-ORVIA ‘Faurecia