Kordsa Teknik Tekstil A.s. · BIST:KORDS
Kordsa Teknik Tekstil A.s — Kordsa Global — H1 2015 Earnings Presentation
17 slides from Kordsa Teknik Tekstil A.s's earnings presentation, 2015
Slide 1: KordSA Global 2015 First Half Earnings Presentation
Strictly confidential KordSA Global 2015 First Half Earnings Presentation
Slide 2: Disclaimer
Disclaimer The information and opinions contained in this document have been compiled by Kordsa Global Endüstriyel İplik ve Kord Bezi Sanayi ve Ticaret Anonim Şirketi (the “Company”) from sources believed to be reliable and in good faith, but no representation or warranty, expressed or implied, is m
Slide 3: Market Dynamics: Global Automotive Market
Market Dynamics Global Automotive Market 4% • Light vehicle sales increased by 1.2% Global LV Assembly – M Units / Year (2015-2020E CAGR) compared to same period last year. West Europe, USA leading the increase, East Europe and Brazil showing a decrease. • With strong car sales in the West EU, total
Slide 4: Market Dynamics: Tire Reinforcement Market
Market Dynamics +2.5% (Demand) Tire Reinforcement Market (NY6.6) (2015-2020E CAGR) • Decreasing oil prices are driving textile reinforcement material prices down. • Kordsa has a stronger hand with its differentiated product base in PET • Nylon 66 is our domain with own technology, producing premium
Slide 5: Strategy house
Strategy house Pillar Initiatives •Reinforcements for •Competitive Cost •New Products for High Composites Industry Performing Tires •Product and Service Quality Leadership •Reinforcements for •Profitable Growth for Tire Construction Industry •Lean and Agile Processes Industry and Teams •Fibers for A
Slide 6: What we have been doing in 1H2015
What we have been doing in 1H2015 1. Operating Excellence a. Continuing Cost Reduction Programs • Energy, labor and equipment efficiency initiatives • Alternative raw material and chemicals source developments and purchasing excellence b. Lean Kordsa Global • High capacity utilization at large entit
Slide 7: Global Footprint by Revenue Split – 2015 H1
Global Footprint by Revenue Split – 2015 H1 North America South America EMEA Asia Pacific 18% 14% 40% 28% 6
Slide 8: Regional Revenue Split (2014 H1 vs 2015 H1)
2015 H1 Regional Revenue Split (2014 H1 vs 2015 H1) 2014 2015 42% 40% 28% 25% 21% 18% 12% 14% EMEA NA SA APAC 7
Slide 9: Revenue Split (2014 H1 vs 2015 H1)
2015 H1 Revenue Split (2014 H1 vs 2015 H1) 120% 100% 7% 8% 80% 23% 18% 60% 40% 71% 75% 20% 0% 2014 2015 TCF NY Yarn Other 8
Slide 10: Key Financials
2015 H1 Key Financials In MMTL 2014 Q2 2015 Q2 Change 2014 H1 2015 H1 Change Net Sales 429 458 6.7% 868 869 0.1% Gross Profit 60 82 37.4% 132 142 7.9% Gross Profit % 14% 18% +4 pts 15% 16% +1 pts Operating Profit 25 48 92.0% 72 74 3.5% Operating Profit % 6% 10% +4 pts 8% 9% +0.3 pts EBITDA 47 61 29.
Slide 11: Operating Profit (2014 H1 vs 2015 H1)
2015 H1 Operating Profit (2014 H1 vs 2015 H1) 10
Slide 12: Balance Sheet
2015 H1 Balance Sheet December 31, June 30, In MMTL 2014 2015 Cash and Cash Equivalents 13.7 22.7 Account Receivable 359.2 393.9 Inventories 437.5 451.8 Accounts Payable (208.5) (221.0) Working Capital 588.2 624.6 WCAP Turnover 2.9 2.8 Total Debt 557.2 640.3 Net Debt 543.5 617.5 Short Term 404.6 405
Slide 13: Free Cash Flow
2015 H1 Free Cash Flow 30 June, 30 June, 2014 2015 Net Income with Minority 56.6 47.8 Depreciation and Amortisation 37.6 42.7 Financial expense / (income) 2.8 7.7 Change in Working Capital (69.9) (65.2) Cash Used in Investing Activities (125.5) (24.8) Other 19.3 20.8 Free Cash Flow (79.0) 28.9 12
Slide 14: Dividend Distribution
Dividend Distribution In MMTL 80.0 76 70.0 68 60.0 50.0 40.0 35 32 30.0 20.0 10.0 0 - 2011 2012 2013 2014 2015 Kordsa distributes all the distributable income subject to Gen Assembly approval. Basis of distribution is the lower of the Turkish solo tax books or consolidated TFRS net income. 13
Slide 15: Guidance
Guidance May'2015 A ug'2015 Revenue Growth %10 - %20 Confirmed Ebitda %25 - %35 Confirmed Raw Material Highly correlated with NY -------> Butadiene, Benzene, Confirmed Propylene Highly correlated with Pet -------> Confirmed PTA, MEG Recurring Creep Capex 23 M$ Confirmed 2015 Composite Investment 23
Slide 16: Appendix
APPENDIX KORDOOQ GLOBAL =
Slide 17: RM Price Drivers
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