Tarkett Sa · SWB:1T9
Tarkett Sa — Q1 2014 Earnings Presentation
17 slides from Tarkett Sa's earnings presentation, Apr 17, 2014
Slide 1: Q1 2014 Financial Results
Q1 - 2014 Financial Results April 2014
Slide 2: Tarkett is a global leader in flooring solutions
Tarkett is a global leader in flooring solutions Tarkett is a global company providing 2013 Net sales breakdown by product integrated flooring and sports surface solutions Sports 11% Rubber & Various 7% Tarkett offers one of the broadest product Wood & Vinyl & ranges and the most diversified geograp
Slide 3: Q1 2014 Highlights
Q1 -2014 Highlights (1) Net sales: €492.9m, -5.4% vs 2013. Stable organic growth (-0.2%) despite adverse situation in the CIS (2) Adjusted EBITDA of €35.8m vs. €45.1m last year, -140 bps vs.2013 Sharp currency devaluations penalize sales by -€26.9m (of which -€11.9m of lag effect in the CIS) and adj
Slide 4: Q1-2014 Activity
@ Tarkett THE ULTIMATE FLOORING EXPERIENCE Q1-2014 Activity
Slide 5: Organic growth: -0.2% vs. Q1 2013
Organic growth(1) (same perimeter and exchange rates): -0.2% vs. Q1 2013 Sports -0.5% CIS & Others NA -3.4% -0.7% EMEA +3.6% Note: (1) Organic growth: at same perimeter and exchange rates (NB : in the CIS, price increases implemented to offset currency fluctuations are not included in the organic gr
Slide 6: An unfavorable currency environment
An unfavorable currency environment Average Average Impact on Sales 1 euro = % Change (1) Q1-2014 Q1-2013 US dollar (USD) 1.37 1.32 -3.6% Canadian dollar (CAD) 1.51 1.33 -11.9% Brazilian real (BRL) 3.22 2.64 -18.0% (€15.0m) Australian dollar (AUD) 1.53 1.27 -17.0% Norwegian crown (NOK) 8.35 7.45 -10
Slide 7: Stable organic growth despite adverse situation in the CIS
Stable organic growth despite adverse situation in the CIS €m Q1-2014 Q1-2013 % growth Organic Positive performance in Scandinavia and Central EMEA EMEA 169.4 166.4 +1.8% +3.6% Europe, positive signs in Italy On-going weak demand in France America Good performance in Commercial North North America 1
Slide 8: Currencies explain most of the performance vs. 2013
Currencies explain most of the performance vs. 2013 Of which lag effect 540,0 of selling price increases in CIS Net Sales €m -€11.9m Organic (1) 520,0 Growth -0.2% 500,0 0.6 (26.9) (1.9) 480,0 460,0 521,1 492,9 440,0 420,0 400,0 Q1 2013 Currencies Volume/Mix Sales pricing Q1 2014 Note: (1) Organic g
Slide 9: Adjusted EBITDA Q1 2014 vs. Q1 2013
Adjusted EBITDA1 Q1 2014 vs. Q1 2013 Of which net 50,0 currency effects in CIS -€8.5m Of which lag effect 45,0 of selling price increases in CIS -€8.5m 7.4 40,0 0.8 35,0 45,1 (4.6) 2.0 (12.4) 0.6 30,0 35,8 (3.4) 25,0 Q1 2013 Currencies Volume/Mix Sales Purchase Industrial Wage One Q1 2014 pricing pr
Slide 10: Quick reaction to the devaluation of CIS currencies
Quick reaction to the devaluation of CIS currencies Price increase +10%, effective February 24, 2014 Ukraine Subsequently, additional prices increases or prices fixed in euros Russia Price increase: +5.0%, effective April 1, 2014 Kazakhstan Prices fixed in euros, effective February 17, 2014 • Our lo
Slide 11: Innovation, a driver for sustainable growth
Innovation, a driver for sustainable growth Eco-innovation Performance New generation of vinyl flooring based on Launch of CoolPlay, breakthrough artificial turf for phthalate-free technology and low VOC, combining sport fields, reducing heat surface and combining performance, design and improved in
Slide 12: Innovation, a driver for sustainable growth
Innovation, a driver for sustainable growth Modularity Materials Increased demand for the new modular vinyl ranges Narrative, new ‘out-of-the-box’ hybrid resilient flooring, (LVT) from all regions, both for commercial and consumer combining the softness and design benefits of textile and markets: ea
Slide 13: Potential acquisition – Gamrat Flooring
Potential acquisition – Gamrat Flooring Main Transaction Rationale Leading player in Commercial resilient Marketing & sales reinforcement in Flooring in Central Europe resilient flooring for Commercial applications in Central Europe Polish company headquartered in Jaslo (South Eastern Poland) Cost o
Slide 14: Conclusion
Conclusion al @ Tarkett THE ULTIMATE FLOORING EXPERIENCE
Slide 15: Take-aways
Take-aways Organic Stable organic growth demonstrates the strength of our balanced Growth business model (geographies, end-markets) Profitability Currency devaluations impacted the profitability We remain cautious regarding the economic outlook in the region CIS We will continue to adapt quickly to
Slide 16: Q1 2014 Financial Results Q&A session
Q1 - 2014 Financial Results Q&A session April 2014
Slide 17: Disclaimer
Disclaimer The information contained in this presentation has not been independently verified and no representation or warranty expressed or implied is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained herein