Sulzer Ag · SIX:SUN

Sulzer — Investor Day (2005)

21 slides from Sulzer's investor day presentation, 2005

  1. Slide 1: Sulzer Metco Capital Market Day 2005

    Sulzer Metco Capital Market Day 2005 Sulzer Metco Henri Steinmetz, Division President

  2. Slide 2: Our Business: Surface Technology Solutions and Services

    Our Business: Surface Technology Solutions and Services Sulzer Metco „ Products and Services High end solutions and products for critical technical surface applications „ Surface technology equipment and materials „ Thermal spray and PVD (physical vapor deposition) coating services „ Plasma heat-tre

  3. Slide 3: Orders Received: Split by Segment and Market Area

    Orders Received Split by Segment and Market Area Sulzer Metco Orders received 2004 by segment Orders received 2004 by market area Total CHF 534 million Total CHF 534 million 2% 39% Specialty markets 17% 52% 18% Automotive 29% 14% Industrial gas turbines Switzerland Aerospace Europe (excl. Switzerlan

  4. Slide 4: Sulzer Metco's Global Presence

    Sulzer Metco’s Global Presence Sulzer Metco Manufacturing (10) Coating Facilities (17) Sales and Field Service Distributors Capital Market Day 2005 | Henri Steinmetz, Sulzer Metco | page 4

  5. Slide 5: Products and Services at a Glance

    Products and Services at a Glance Sulzer Metco Non-conventional Consumables Equipment Services Machining No. 1 in Thermal No. 1 in Thermal Establishing Unique Spray Market Spray Market Leading Position Capabilities „ Spray powders „ Equipment, „ Thermal spray „ Co-development „ Spray wires integrate

  6. Slide 6: Major Customers

    Major Customers Sulzer Metco „ General Electric „ Volkswagen „ Pratt & Whitney „ TRW Automotive „ Chromalloy „ ZF Friedrichshafen „ Rolls Royce „ Wood Group „ MTU Aero Engines „ Barmag „ Siemens Westinghouse „ Hydrodyne Capital Market Day 2005 | Henri Steinmetz, Sulzer Metco | page 6

  7. Slide 7: Market Sizes and Growth Expectations

    Market Sizes and Growth Expectations Sulzer Metco in million CHF Services Consumables Equipment Coatings Turbine Comp.2 Aero Target Industry Segments IGT >2,000 300 2,000 5,000+ 3,000 20,000+ 5%1 4%1 5%1 6%1 10%1 5%1 Auto- motive Specialty Markets Thermal Spray & related Thin Film Turbine Components

  8. Slide 8: Competitive Landscape

    Competitive Landscape Sulzer Metco „ Progressive Tech Inc. „ GTV GmbH EQUIPMENT „ PST1 Sulzer Metco CONSUMABLES SERVICES „ HC Starck (Bayer) „ Balzers AG „ Deloro Stellite plc „ PST1 „ Höganäs AB „ Tocalo Co. Ltd „ Showa Denko K.K. „ Bodycote Ltd „ Engelhard 1 PST = Praxair Surface Technologies, Inc

  9. Slide 9: The Last 12 Months in Review

    The Last 12 Months in Review Sulzer Metco „ New market penetration External „ Growth in adjacent applications Growth „ Solid acquisition platform Organic „ Differentiation through innovation Growth „ Customer satisfaction „ Efficient processes Operational „ Improved productivity Excellence „ On-time

  10. Slide 10: Focus from Products to Business Models

    Focus from Products to Business Models Sulzer Metco Previously—alignment Now—alignment along along products business models Thermal Spray Thermal Spray Products Products and services Equipment and materials Refocus - Surface Solutions Thin Film 3 distinctive Services/ Coating services Equipment and

  11. Slide 11: Driving Improvements Through Re-Engineering

    Thermal Spray Driving Improvements Through Re-Engineering Sulzer Metco Re-Engineering Project Innovation Improved customer „ Simple processes satisfaction + „ Clear accountabilities + „ New products „ New services Reaching 2007 Thermal Spray MRP Targets „ Raise operating profit margin „ Raise return

  12. Slide 12: Examples of What We Want to Achieve

    Examples of What We Want to Achieve Sulzer Metco Improved Customer Simple Processes/ Innovation Satisfaction Accountabilities „ Reduce number of key „ Reduce number of „ Double vitality index accounts from 800 to touch-points in pricing by 2008 200 by 12/2005 process from 40 to 15 by 10/2005 „ Creat

  13. Slide 13: Stage Gate Process to Manage Innovation

    Stage Gate Process to Manage Innovation Sulzer Metco Product Ideas „ Customers STAGE 2 First Input STAGE 1 STAGE 3 „ Sales Product STAGE 4 Idea and Product Lifecycle „ Marketing/PLM Concept and Product Research Develop- Management „ Technology Business Launch Phase ment „ Operations Plan „ Other Det

  14. Slide 14: Project Organization to Help Line Management to Take Charge

    Project Organization to Help Line Management to Take Charge Sulzer Metco 8/2004 1/2005 7/2005 7/2006 Avoidance phase Benefits Continuous Design Rollout Implementation improvement „ Develop blue „ Get line „ Enable line „ Line management print of future management management to carry forward organiza

  15. Slide 15: Sulzer Metco Is Set Up to Deliver on Commitments

    Sulzer Metco Is Set Up to Deliver on Commitments Sulzer Metco „ From Products to Business Model MRP 2007 „ Operational Excellence „ ROS >10% „ Strengthened Management Team „ ROCE >13% „ Innovation „ Organic growth >6% p.a. „ Financial Leadership Changes enables Sulzer Metco to deliver on commitments

  16. Slide 16: Financial Performance January–June 2005

    Financial Performance January–June 2005 Sulzer Metco in million CHF 2005 2004 U „ Orders received 290.1 268.0 8.2% „ Net sales 288.1 255.2 12.9% „ Order backlog 71.0 66.1 7.4% „ EBITDA 31.7 28.4 11.6% „ EBITA 18.2 15.2 19.7% „ ROS (EBITA/sales) 6.3 % 6.0 % „ Personnel employed 1 761 1 725 (in number

  17. Slide 17: Midrange Targets

    Midrange Targets Sulzer Metco Midterm in million CHF 2003 2004 targets „ Orders received 423 534 Organic „ Net sales 424 521 growth >6% „ Order backlog 54 66 „ EBITDA 43 47 „ EBITA 17 19 „ ROS (EBITA/sales) 4.0 % 3.6 % >10% ROS „ ROCE (EBITA/capital employed) 4.3 % 4.1 % >13% ROCE „ Personnel employ

  18. Slide 18: Strategy–Outlook

    Strategy–Outlook Sulzer Metco „ New market penetrations External „ Growth in “new” industries Growth „ Selected acquisitions „ Differentiation through innovation Organic „ New applications Growth „ Superior processes „ Expansion into emerging markets „ Efficient processes Operational „ Improved prod

  19. Slide 19: Summary

    Summary Sulzer Metco „ Focusing on long-term value creation „ Goal is to deliver on commitments by achieving ROCE >13% „ Grow organically and through selective acquisitions „ Focus on strengthening position in attractive segments „ Taking full advantage of technological leadership in surface technol

  20. Slide 20: Sulzer Metco

    Sulzer Metco

  21. Slide 21: Safe Harbor Statement

    Safe Harbor Statement Sulzer Metco THE SAFE HARBOR STATEMENT UNDER THE US PRIVATE SECURITIES LITIGATION REFORM ACT 1995 This presentation contains forward-looking statements, including, but not limited to projections of future performance of materials and products, containing risks and uncertainties

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