Schindler Holding Ltd. · SIX:SCHN
Schindler — Schindler Hldg Ag Akt — H1 2024 Earnings Presentation
22 slides from Schindler's earnings presentation, Jul 19, 2024
Slide 1: H1 2024 results
H1 2024 results July 19, 2024 © Schindler 2024 I © Schindler 2024 I We Elevate I July 19, 2024 I Investor Relations
Slide 2: Agenda
Agenda 1. Key messages Silvio Napoli 2. Market outlook and order intake Paolo Compagna 3. Financial results and 2024 guidance Carla De Geyseleer 4. Q&A Silvio Napoli/Carla De Geyseleer/ Paolo Compagna 2 I © Schindler 2024 I We Elevate I July 19, 2024 I Investor Relations
Slide 3: H1 results – delivering on commitments
H1 results – delivering on commitments Six consecutive quarters of margin improvement Service and MOD Successful product Portfolio growth (units) markets robust launches +5% NI markets mixed US mid-rise product launched Delivering Maintained portfolio cloud China weak, APAC soft, Modular platform ro
Slide 4: Agenda
Agenda 1. Key messages Silvio Napoli 2. Market outlook and order intake Paolo Compagna 3. Financial results and 2024 guidance Carla De Geyseleer 4. Q&A Silvio Napoli/Carla De Geyseleer/ Paolo Compagna 4 I © Schindler 2024 I We Elevate I July 19, 2024 I Investor Relations
Slide 5: Market outlook 2024
Market outlook 2024 NI in EMEA and Americas raised, APAC w/o China lowered Indicative APAC Schindler Units Americas EMEA China w/o China Global revenue split New Installations ––– + –– New Installations Modernization (value) + + ++ ++ ++ Modernization and Service + + ++ ++ ++ Service China 0 to <5%
Slide 6: Schindler order intake by region and product line – H1
Schindler order intake by region and product line – H1 APAC H1 24 vs. H1 23 in units Americas EMEA China w/o China Global New Installations + + – + – Modernization (value) +++ + +++ –– ++ Service + + +++ ++ + 0 to <5% + 0 to > –5% – 5% to 10% + + –5% to –10% –– >10% + + + < –10% ––– Stable Note: Mod
Slide 7: Agenda
Agenda 1. Key messages Silvio Napoli 2. Market outlook and order intake Paolo Compagna 3. Financial results and 2024 guidance Carla De Geyseleer 4. Q&A Silvio Napoli/Carla De Geyseleer/ Paolo Compagna 7 I © Schindler 2024 I We Elevate I July 19, 2024 I Investor Relations
Slide 8: Sustained improvement in operating margins
Sustained improvement in operating margins 4’900.00Order intake Revenue Operating cash flow Q2 24 vs. Q2 23 4’700.00 4’500.00 4’300.00 +6.7% + 3.8% + 1.5% +2.5% -0.4% YoY growth +15.2% + 0.9% + 4.3% + 1.1% +1.7% 4’100.00 in LC 3’900.00 600 547 507 3’700.00 3’500.00 3’300.00 3 049 3’100.00 2 844 2 79
Slide 9: Order intake and revenue
Order intake and revenue Stable order intake in declining NI markets Order intake in CHF million Revenue in CHF million YoY growth in LC –0.4% +1.7% YoY growth in CHF –2.4% –0.2% 9 I © Schindler 2024 I We Elevate I July 19, 2024 I Investor Relations
Slide 10: Operating profit
Operating profit Improvement driven by efficiency gains, pricing and mix EBIT – Q2 in CHF million EBIT – H1 in CHF million 1) 1) EBIT adj. EBIT adj. EBIT Operational Adjustments FX EBIT EBIT adj. EBIT adj. EBIT Operational Adjustments FX EBIT Q2 23 Q2 24 Q2 23 Q2 24 H1 23 H1 24 H1 23 H1 24 3.3% Grow
Slide 11: Net profit
Net profit Net profit margin at 9.0% in Q2 Net profit – Q2 in CHF million Net profit – H1 in CHF million +7% 494 463 +4% 251 262 Q2 23 Q2 24 H1 23 H1 24 8.6% Margin 9.0% 8.1% Margin 8.8% 2.15 Earnings per share (CHF) 2.27 3.99 Earnings per share (CHF) 4.32 11 I © Schindler 2024 I We Elevate I July 1
Slide 12: Operating cash flow
Operating cash flow H1 improvement in cash flow, despite NWC deterioration in Q2 Operating cash flow – Q2 in CHF million Operating cash flow – H1 in CHF million +30% -30% 12 I © Schindler 2024 I We Elevate I July 19, 2024 I Investor Relations
Slide 13: 2024 guidance confirmed
2024 guidance confirmed Delivering operational improvements Outlook 2024: 11% EBIT reported margin Low single-digit revenue growth Tailwinds Headwinds ▪ Growing Service and Modernization markets ▪ Challenging NI market conditions ▪ Operational efficiency and pricing discipline ▪ Wage inflation ▪ Mix
Slide 14: Appendix
Appendix 14 I © Schindler 2024 I We Elevate I April July 19, 18, 2024 2024 I Investor Relations
Slide 15: Q2 2024 key figures
Q2 2024 key figures In CHF million Q2 2024 Q2 2023 r% r% in LC Order intake 2 977 3 049 –2.4 –0.4 Revenue 2 920 2 926 –0.2 1.7 Operating profit (EBIT) 326 320 1.9 3.8 in % 11.2 10.9 Operating profit (EBIT), adjusted 339 1) 334 2) 1.5 3.3 in % 11.6 11.4 . Financing and investing activities 12 2 Profi
Slide 16: H1 2024 key figures
H1 2024 key figures In CHF million H1 2024 H1 2023 r% r% in LC Order intake 5 768 5 938 –2.9 1.0 Revenue 5 593 5 722 –2.3 1.4 Operating profit (EBIT) 618 602 2.7 6.5 in % 11.0 10.5 Operating profit (EBIT), adjusted 637 1) 606 2) 5.1 8.9 in % 11.4 10.6 . Financing and investing activities 16 –6 Profi
Slide 17: Balance sheet
Balance sheet . 17 I © Schindler 2024 I We Elevate I July 19, 2024 I Investor Relations
Slide 18: Quarterly overview Key figures
Quarterly overview Key figures In CHF million 2024 2023 Q2 Q1 Q4 Q3 Q2 Q1 Order intake 2 977 2 791 2 844 2 657 3 049 2 889 Revenue 2 920 2 673 2 960 2 812 2 926 2 796 Operating profit (EBIT) 326 292 296 290 320 282 in % 11.2 10.9 10.0 10.3 10.9 10.1 Operating profit (EBIT), adjusted 339 298 338 311
Slide 19: Schindler order intake by region and product line – Q2
Schindler order intake by region and product line – Q2 APAC Q2 24 vs. Q2 23 in units Americas EMEA China w/o China Global New Installations ++ + –– + – Modernization (value) +++ ++ +++ –– ++ Service + + +++ ++ + 0 to <5% + 0 to > –5% – 5% to 10% + + –5% to –10% –– >10% + + + < –10% ––– Stable Note:
Slide 20: Executive Committee
Executive Committee President of Americas re-instated; new President of Europe South appointed Group Executive Committee (as of July 1, 2024) Changes since January 2022 ▪ Combined Chairman and CEO role ▪ New COO position ▪ New President Asia-Pacific ▪ FQE removed from ExCo and Chairman and CEO lead
Slide 21: Mid-term target: 13% EBIT
Mid-term target: 13% EBIT Focus on performance drivers across the value chain 13.0% 10.3% Products New Installations Modernization Digital services Procurement Connectivity Efficiency Field execution Portfolio density SG&A Processes Back-office Support functions Business Mix EBIT reported Mid-term F
Slide 22: Calendar 2024/2025
Calendar 2024/2025 2024 2025 Full year results analyst and media conference 14 February February Ordinary General Meeting Schindler Holding Ltd. 19 March March Publication of key figures as of March 31 18 April April Publication of Interim Report as of June 30 19 July July Publication of key figures
Schindler Hldg Ag Akt — H1 2024 Earnings Presentation on 6ix