Slide 1: Preliminary Figures Fiscal Year 2023
PRELIMINARY FIGURES FISCAL YEAR 2023 Dr. Jochen Weyrauch, CEO Dürr AG Dietmar Heinrich, CFO Dürr AG February 27, 2024 Bietigheim-Bissingen
Slide 2: Disclaimer
Disclaimer This publication has been prepared independently by Dürr AG/Dürr Group. It may contain statements which address such key issues as strategy, future financial results, events, competitive positions and product developments. Such forward-looking statements are subject to a number of risks,
Slide 3: Agenda
1 Overview 2 Divisions 3 Financials 4 Outlook AGENDA 5 Summary
Slide 4: Overview
1 OVERVIEW
Slide 5: Overview: 2023 in a nutshell
1. Overview: 2023 in a nutshell ▪ Very solid operational performance driven by all divisions − New record sales revenues: € 4.63 bn (up 7.3%) − EBIT before extraordinary effects: up 21% − Strong FCF generation for fourth year in a row ▪ Capacity reduction at HOMAG initiated to reduce exposure to cyc
Slide 6: Overview 2023: Taking action for profitable growth
1. Overview 2023: Taking action for profitable growth ▪ Order intake above mid-point of guidance at € 4.62 bn – selective approach in automotive in-line with value before volume strategy – larger but lower margin projects left to more aggressive competitors; HOMAG won two larger projects in China an
Slide 7: Overview: Solid operations – HOMAG market declines
1. Overview: Solid operations – HOMAG market declines Lower incoming orders – strong operations – capacity adjustments impact net profit in € m 2022 2023 Margin -8% +7% +21% 5,008 4,627 4,615 4,314 280 232 -18% +10% 134 6.1% 110 129 117 5.4% 3.1% 2.4% Incoming orders Sales revenues EBIT before Net p
Slide 8: Overview: Actuals against targets
1. Overview: Actuals against targets Original targets for order intake, sales revenues and EBIT margin bef. e. e. reached Targets February 2023 Targets November 2023 Actual 2023 Incoming orders in € m 4,400 – 4,800 4,400 – 4,800 4,615 Sales revenues in € m 4,500 – 4,800 4,500 – 4,800 4,627 EBIT marg
Slide 9: Overview: Order intake
1. Overview: Order intake Book-to-bill at 1.00 (2022: 1.16) despite strong decline at HOMAG in € m Book-to-bill Key aspects Order intake ▪ Automotive stable yoy 1.55 ▪ Disciplined value before volume approach in Paint and Final 1.15 1.17 Assembly Systems 1.44 ▪ Battery business weaker due to 1.00 de
Slide 10: Overview: Global footprint balances order intake
1. Overview: Global footprint balances order intake Increasing orders from Europe and Asia outside China in € m -8% ▪ Orders in Americas declined after a record year with several large projects 5,008 4,616 ▪ Reduction in China reflects economic slowdown ▪ Growth in Asia (w/o China) due to automotive
Slide 11: Overview: Established critical mass in Automation
1. Overview: Established critical mass in Automation Established new powerhouse with Top 3 market position Significant top- and bottom-line synergies ▪ Complementary portfolio of solutions ▪ Utilizing geographic footprint of partners ▪ One stop shop for the whole production chain ▪ Joint execution o
Slide 12: Overview: Expanded capabilities in battery production
1. Overview: Expanded capabilities in battery production Acquisition of Ingecal and cooperation with LiCAP broaden offering to customers Acquisition of Ingecal adds calendering technology Cooperation with LiCAP on dry electrode coating ▪ Important process step in wet and dry coating of ▪ Partnership
Slide 13: Overview: Dürr Group progresses on 1.5°C pathway
1. Overview: Dürr Group progresses on 1.5°C pathway Dürr Group advancing fast on Scope 1 and Scope 2 targets Scope 1 and 2 emissions1 (in t CO2e) Highlights 2023 ▪ Investments in further PV systems in Germany, France and South Africa: self-generated electricity reaching ~3.9 million kWh in total 60,
Slide 14: Divisions
2 DIVISIONS
Slide 15: Divisions: Paint and Final Assembly Systems
2. Divisions: Paint and Final Assembly Systems Earnings growth clearly outpacing sales increase Q4 Q4 2023 2022 Δ 2023 2022 Δ Incoming orders in € m 1,476.0 1,554.4 -5.0% 209.9 328.0 -36.0% Sales revenues in € m 1,363.6 1,266.5 7.7% 428.0 413.6 3.5% EBIT in € m 67.4 51.8 30.0% 16.8 30.1 -43.9% EBIT
Slide 16: Divisions: Application Technology
2. Divisions: Application Technology New record order intake – high service share drives margin improvement Q4 Q4 2023 2022 Δ 2023 2022 Δ Incoming orders in € m 719.8 654.0 10.1% 168.5 137.7 22.4% Sales revenues in € m 614.0 586.6 4.7% 164.8 167.3 -1.5% EBIT in € m 60.0 48.9 22.8% 21.6 17.5 23.6% EB
Slide 17: Divisions: Clean Technology Systems
2. Divisions: Clean Technology Systems Significant EBIT margin improvement Q4 Q4 2023 2022 Δ 2023 2022 Δ Incoming orders in € m 480.4 587.1 -18.2% 114.4 232.2 -50.8% Sales revenues in € m 481.2 456.1 5.5% 132.5 126.2 4.9% EBIT in € m 25.3 5.8 >100% 7.7 3.3 >100% EBIT margin in % 5.3 1.3 +4.0 ppts. 5
Slide 18: Divisions: Industrial Automation Systems
2. Divisions: Industrial Automation Systems Ready for realizing top- and bottom-line synergies in automation business Q4 Q4 2023 2022 Δ 2023 2022 Δ Incoming orders in € m 583.8 562.1 3.9% 197.5 109.9 79.7% Sales revenues in € m 590.7 447.9 31.9% 212.9 133.9 59.0% EBIT in € m 11.3 20.0 -43.6% 2.5 6.4
Slide 19: Divisions: Woodworking Machinery and Systems
2. Divisions: Woodworking Machinery and Systems Good operational performance but stronger than expected order decline Q4 Q4 2023 2022 Δ 2023 2022 Δ Incoming orders in € m 1,395.5 1,705.8 -18.2% 427.4 288.2 48.3% Sales revenues in € m 1,625.1 1,602.1 1.4% 402.8 407.2 -1.1% EBIT in € m 71.1 107.5 -33.
Slide 20: Service business
2. Service business Service sales and gross margin continue to grow % of group sales Service sales in € m Key aspects 30.6 29.8 ▪ Service share on prior year’s level despite market 28.1 27.8 27.8 27.3 downturn at HOMAG 26.9 28.1 ▪ Service margin further improved Service mix 2023 (y-o-y pp.) 373 344
Slide 21: Financials
3 FINANCIALS
Slide 22: Financials: Overview of key financial indicators
3. Financials: Overview of key financial indicators 2023 2022 Δ Q4 2023 Q4 2022 Δ Sales revenues in € m 4,627.3 4,314.1 7.3% 1,328.2 1,236.0 7.5% Gross profit on sales in € m 1,005.1 938.7 7.1% 246.6 259.8 -5.1% Gross margin in % 21.7 21.8 -0.0 ppts. 18.6 21.0 -2.5 ppts. EBITDA in € m 322.2 337.5 -4
Slide 23: Financials: Revenues with new quarterly record in Q4
3. Financials: Revenues with new quarterly record in Q4 Annual growth of 7.3% in line with strategic target Sales revenues in € m Key aspects +7.5% +14.1% ▪ Strong operational finish in Q4 ▪ BBS Automation contributes ~ € 107 m in 2023 ▪ Americas and Europe gain share Sales per region 2023 (y-o-y pp
Slide 24: Financials: Solid operative EBIT margin development
3. Financials: Solid operative EBIT margin development EBIT margin bef. e. e. in % Key aspects EBIT bef. e. e. in € m ▪ Gross margin before extraordinary effects up ~ 70 bps 7.1 7.0 ▪ Improved efficiency and supply chain 6.8 ▪ Higher margin projects in execution 5.6 5.6 4.9 3.9 4.1 +21% 94 -54 84 82
Slide 25: Financials: Strong free cash flow generation
3. Financials: Strong free cash flow generation Cash conversion1 of 114% achieved Free cash flow in € m Key aspects ▪ High EBIT before extraordinary effects in Q4 ▪ Very disciplined NWC management ▪ Capex limited to 3.4% of sales 121 75 -1 61 -23 48 44 80 -19 8 129 15 117 -24 3 -11 -50 -67 Q1 Q2 Q3
Slide 26: Financials: Net working capital well managed
3. Financials: Net working capital well managed Only € 23 m operational increase – majority added by BBS Automation acquisition in € m DWC NWC Key aspects 48 ▪ Successful inventory reduction 42 ▪ Reduced prepayment levels almost compensated 36 38 37 36 ▪ DWC at lower end of target range 35 34 in € m
Slide 27: Financials: Net debt within target range
3. Financials: Net debt within target range Leverage with 1.6x well below 2x net debt / EBITDA in € m Gearing Key aspects Net financial status ▪ Strong FCF generation 33% 31% 10% 5% 4% 10% ▪ Acquisitions of BBS Automation and Ingecal 1% 0% ▪ Net debt includes € 118.1 m leasing liabilities -11 -4 -55
Slide 28: Financials: Comfortable liquidity headroom
3. Financials: Comfortable liquidity headroom in € bn Maturity profile in € million 2.0 1.79 500 1.5 400 0.75 300 1.0 200 0.5 1.04 100 0.30 0.11 0.0 0 Available funds Financial liabilities 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 < 12 months Bridge Financing 1 Cash credit facilities Bi
Slide 29: Outlook
4 OUTLOOK
Slide 30: Outlook: Fundamental demand drivers intact
4. Outlook: Fundamental demand drivers intact Our solutions help our customers achieve efficient and sustainable production SUSTAINABLE PRODUCTION Energy and resource efficiency KEY ENABLING SUSTAINABLE PRODUCTS for a zero CO2 society DEMAND DRIVERS Electric vehicles (EVs), wooden houses, alternativ
Slide 31: Outlook: BEVs drive automotive industry dynamics
4. Outlook: BEVs drive automotive industry dynamics Existing OEMs and new players invest into modern manufacturing facilities Worldwide production volume of BEVs In million vehicles 35.9 32.5 29.0 +19.3% 25.4 21.3 17.4 13.4 10.4 2023 2024 2025 2026 2027 2028 2029 2030 Transformation towards BEVs is
Slide 32: Outlook: Production automation
4. Outlook: Production automation Accessible market for automation technology to grow by 9% CAGR over the next years Market potential (in €bn) Market drivers ▪ Automation becomes even more important due to increasing labor shortage and near-/onshoring to 23.4 developed nations +9% ▪ E-mobility 16.4
Slide 33: Outlook: Guidance 2024
4. Outlook: Guidance 2024 Potential for further sales growth in 2024 – manage cyclical downturn at HOMAG Actual 2023 Targets 2024 Incoming orders in € m 4,616 4,600 – 5,000 Sales revenues in € m 4,627 4,700 – 5,000 EBIT margin before extraordinary effects in % 6.1 4.5 – 6.0 EBIT margin in % 4.1 3.5
Slide 34: Outlook: Breakdown of 2024 guidance by division
4. Outlook: Breakdown of 2024 guidance by division Order intake Sales revenues EBIT margin (in %) (in € m) (in € m) before e.e.* 2023 Targets 2024 2023 Targets 2024 2023 Targets 2024 Paint and Final Assembly Systems 1,476 1,450 – 1,600 1,364 1,400 – 1,500 5.1 6.0 – 7.0 Application Technology 720 600
Slide 35: Strategy and mid-cycle targets for profitable growth
4. Strategy and mid-cycle targets for profitable growth More than €6 billion sales targeted in 2030 Technology Life Cycle Glocal digital@Dürr Efficiency Leadership Services ▪ Global business with ▪ Most efficient and ▪ Software as ▪ Drive synergies, esp. ▪ Leverage vast local supply chain sustainabl
Slide 36: Summary
5 SUMMARY
Slide 37: Summary
5. Summary 1. 2023 operationally a strong year: record sales, improved EBIT margins before extraordinary effects, strong FCF 2. Already achieved solid margin improvements at HOMAG, now focus on resilience with capacity cuts, HOMAG to emerge stronger from downturn with clear potential to reach 10% EB
Slide 38: Appendix
APPENDIX
Slide 39: P&L in detail
P&L in detail in € m 2023 2022 Δ Q4 2023 Q4 2022 Δ Sales revenues 4,627.3 4,314.1 7.3% 1,328.2 1,236.0 7.5% Cost of sales -3,622.2 -3,375.3 7.3% -1,081.6 -976.2 10.8% Gross profit on sales 1,005.1 938.7 7.1% 246.6 259.8 -5.1% Selling expenses -412.1 -382.6 7.7% -107.7 -96.5 11.6% General administrat
Slide 40: Balance sheet highlights (1/2)
Balance sheet highlights (1/2) Assets 2023 2022 Non-current assets 1,916.3 1,482.3 of which goodwill and intangibles 1,088.8 717.3 of which property, plant and equipment 655.2 588.5 of which investment and financial assets 45.5 45.0 Current assets 3,239.7 3,048.6 of which inventories and prepayments
Slide 41: Balance sheet highlights (2/2)
Balance sheet highlights (2/2) Equity and Liabilities in € m 2023 2022 Total equity 1,177.0 1,124.2 of which non-controlling interests 7.1 5.5 Non-current liabilities 1,225.3 957.9 of which provisions 60.9 56.8 of which bond and Schuldschein loans 953.2 756.4 of which other financial liabilities 113
Slide 42: Cash flow
Cash flow in € m 2023 2022 2021 EBT 171.3 188.1 132.6 Depreciation and amortization of non-current assets 130.8 131.6 123.7 Interest result 24.8 19.1 42.9 Income taxes paid -83.6 -59.2 -45.5 Δ Provisions 32.4 -47.3 -18.0 Δ Net working capital -9.2 13.9 19.9 Other 21.1 18.5 1.5 Operating cash flow 28
Slide 43: Overview: Financial figures by division (1/2)
Overview: Financial figures by division (1/2) 2023 2022 2021 Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Incoming orders in € m 606.6 400.9 258.7 209.9 1,476.0 426.6 317.8 481.9 328.0 1,554.4 284.8 321.0 225.6 390.1 1,221.5 Sales revenues in € m 267.6 317.0 351.0 428.0 1,363.6 232.6 288.4
Slide 44: Overview: Financial figures by division (2/2)
Overview: Financial figures by division (2/2) 2023 2022 2021 Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Incoming orders in € m 352.6 318.8 296.6 427.4 1,395.5 573.8 457.0 386.8 288.2 1,705.8 440.1 432.3 495.0 345.4 1,712.8 Sales revenues in € m 403.8 412.9 405.5 402.8 1,625.1 366.8 414.7
Slide 45: Overview: Extraordinary effects
Overview: Extraordinary effects in € m 2023 2022 2021 Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total PFS -0.6 1.0 -0.1 -2.0 -1.7 -0.6 -0.7 -0.5 -2.3 -4.1 -0.6 -4.4 -0.2 -0.3 -5.5 thereof PPA -0.6 -0.6 -0.6 -0.5 -2.3 -0.6 -0.6 -0.6 -0.6 -2.4 -0.6 -0.6 -0.6 -0.6 -2.4 APT -0.1 -0.4 -0.1 -0.1 -0.
Slide 46: Shareholder structure
Shareholder structure Free float at 70.3%1 Heinz Dürr GmbH, Berlin 26.2% Heinz und Heide Dürr Stiftung, Berlin 2 Institutional and private investors, including ▪ Candriam Luxembourg: 3.05% ▪ Harris Associates: 3.02% ▪ Members of the Dürr Supervisory Board: 0.12% ▪ Members of the Dürr Board of Manage
Slide 47: Financial calendar
Financial calendar March 2024 May 2024 ▪ 03/20/2024 Annual report 2023 ▪ 05/14/2024 Interim statement for the first quarter of 2024 ▪ 05/16/2024 Annual General Meeting HOMAG Group ▪ 05/17/2024 Annual General Meeting Dürr Group Dürr Corporate Communications & Investor Relations contact Andreas Schall
Slide 48: Preliminary Figures Fiscal Year 2023
PRELIMINARY FIGURES FISCAL YEAR 2023 Dürr Aktiengesellschaft Carl-Benz-Str. 34 74321 Bietigheim-Bissingen Dr. Jochen Weyrauch, CEO Dürr AG Germany Dietmar Heinrich, CFO Dürr AG +49 7142 78-0 February 27, 2024 corpcom@durr.com Bietigheim-Bissingen www.durr-group.com