Georg Fischer Ag · SIX:GF
Georg Fischer — H1 2017 Earnings Presentation
20 slides from Georg Fischer's earnings presentation, Jul 19, 2017
Slide 1: Mid-year Report 2017
Georg Fischer Ltd Mid-year Report 2017 Yves Serra, CEO 19.07.2017
Slide 2: A substantial growth in sales and profit
GF Corporation A substantial growth in sales and profit Sales increased by 7% to CHF 1’992 million, 8% organically Operating result up 10% to CHF 168 million for an 8.4% EBIT margin ROIC reached 19.2%, up one percentage point Net Profit increased by 12% to CHF 122 million 2 Mid-year Report a
Slide 3: Substantial growth at all three divisions
GF Corporation Substantial growth at all three divisions 10% 7% 7% 6% H1 2016 4% H1 2017 3% 2% 0% GF GFPS GFAU GFMS 3 Mid-year Report as of 30 June 2017 | 19.07.2017
Slide 4: Profitability up on a strong performance of GF Piping Systems
GF Corporation Profitability up on a strong performance of GF Piping Systems 11.7% EBIT margin in % 11.0% 8.2% 8.4% 7.8% 7.3% 6.3% 5.6% H1 2016 H1 2017 GF GFPS GFAU GFMS 4 Mid-year Report as of 30 June 2017 | 19.07.2017
Slide 5: A strong performance across the board
GF Piping Systems A strong performance across the board Sales increased by 10% to CHF 826 million Momentum continues for most industrial applications worldwide Utility sector picked-up, especially gas distribution in China/USA Building Technology sales stable thanks to new products and large
Slide 6: New acquisition to accelerate growth in North America
GF Piping Systems New acquisition to accelerate growth in North America Urecon, Coteau-du-Lac (Quebec, Canada) Pre-insulated pipe 6 Mid-year Report as of 30 June 2017 | 19.07.2017
Slide 7: Substantial growth achieved in all segments
GF Automotive Substantial growth achieved in all segments Rear axle casing A sharp increase in e-vehicle bookings (25% of total orders of division) Sales up 6% to CHF 723 million (+8% organically) Iron castings grew thanks to new car/truck and non-automotive orders Strong demand for light me
Slide 8: Large investments in the USA and Germany under way according to plan
GF Automotive Large investments in the USA and Germany under way according to plan Photo New light metal plant GF Linamar New molding line in Singen (Germany) (North Carolina, USA) 8 Mid-year Report as of 30 June 2017 | 19.07.2017
Slide 9: Novelties drive growth in orders and sales
GF Machining Solutions Novelties drive growth in orders and sales Orders up 13% on sustained demand in aerospace and electronic sectors Sales up 4% to CHF 444 million. All continents contributed Book-to-bill ratio at a high 1.14 EBIT increased by 17% to CHF 28 million Die insert New wire EDM
Slide 10: Consolidated financial statements
Andreas Müller, CFO Consolidated financial statements 10 Mid-year Report as of 30 June 2017 | 19.07.2017
Slide 11: Sales by division 1st Semester 2017
GF Corporation Sales by division 1st Semester 2017 CHF million 1st Sem. 1st Sem. organic growth 1) 2017 2016 growth GF Piping Systems 826 750 10.1 % 11.6 % GF Automotive 723 685 5.5 % 7.6 %* GF Machining Solutions 444 428 3.7 % 4.3 % Corporation 1’992 1’863 6.9 % 8.4 % GF Automotive (organic) adjust
Slide 12: EBIT and margin by division 1st Semester 2017
GF Corporation EBIT and margin by division 1st Semester 2017 CHF million EBIT margin % 1st Sem. 1st Sem. 1st Sem. 1st Sem. 2017 2016 2017 2016 GF Piping Systems 97 83 11.7 % 11.0 % GF Automotive 53 54 7.3 % 7.8 % GF Machining Solutions 28 24 6.3 % 5.6 % Corporation 168 153 8.4 % 8.2 % 12 Mid-year Re
Slide 13: Currency impact by division
GF Corporation Currency impact by division CHF million 1st Sem. 2017 Sales EBIT GF Piping Systems -21 -6 GF Automotive -15 -2 GF Machining Solutions -4 -1 Corporation -40 -9 13 Mid-year Report as of 30 June 2017 | 19.07.2017
Slide 14: Income statement
GF Corporation Income statement CHF million 1st Sem. 1st Sem. 2017 2016 Sales 1’992 1’863 7% Gross value added 752 714 5% Personnel expenses -517 -496 4% EBITDA 235 218 8% Depreciation, amortization -67 -65 3% EBIT 168 153 10 % Financial result -15 -17 -12 % Ordinary result 153 136 13 % Non-operat
Slide 15: Free cash flow
GF Corporation Free cash flow 1st Sem. 1st Sem. CHF million 2017 2016 EBITDA 235 218 Changes in net working capital -183 -136 Income taxes/interest paid -35 -37 Other changes 31 39 Cash flow from operating activities 48 84 Additions to property, plant, and equipment -76 -60 Additions to intangible a
Slide 16: Net debt
GF Corporation Net debt CHF million 600 Net debt / 1.1x 1.1x 1.1x 0.9x 0.7x EBITDA 500 430 436 400 394 400 315 300 200 100 0 H1 2013 H1 2014 H1 2015 H1 2016 H1 2017 16 Mid-year Report as of 30 June 2017 | 19.07.2017
Slide 17: Key figures at a glance
GF Corporation Key figures at a glance 1st Sem. 1st Sem. 2017 2016 Sales growth in % 6.9 3.4 Sales growth organically in % 8.4 1.5 ROIC in % 19.2 18.2 Return on Equity in % 20 19 Earnings per share in CHF 29 25 Number of employees (incl. trainees) 14’918 14’549 17 Mid-year Report as of 30 June 2017
Slide 18: Strategy implementation well on track
GF Corporation Strategy implementation well on track Growth and profitability development well in line with strategy objectives: Organic growth 8% (versus 3-5% objective) ROS 8.4% (versus 8-9% objective) ROIC 19.2% (versus 18-22% objective) Strong growth achieved in China/USA Innovation
Slide 19: Sales growth over target. Clear increase in profits
Outlook 2017 Sales growth over target. Clear increase in profits Sustained demand in most markets of GF Piping Systems Strong order book at GF Automotive and GF Machining Solutions Innovations to support both sales and margins 19 Mid-year Report as of 30 June 2017 | 19.07.2017
Slide 20: Thank you
Thank you 20