Exel Composites Oyj · OMXHEX:EXEL
Exel Composites Oyj — Q1 2015 Earnings Presentation
20 slides from Exel Composites Oyj's earnings presentation, May 6, 2015
Slide 1: Q1 2015 Results
Q1 2015 RESULTS Scandic Hotel Simonkenttä 6 May 2015 Riku Kytömäki President and CEO Exel Composites Oyj
Slide 2: Q1 2015 Highlights: Exel Composites grew 20.7%
Q1 2015 Highlights Exel Composites grew 20.7% • Net sales increased by Net sales, MEUR Order backlog, MEUR 20.7% • Operating profit increased 21.1 to MEUR 2.0 (1.9) 16.9 19.0 17.5 • Operating profit margin 21.4 17.1 decreased slightly to 9.3% 21.5 11.8 14.3 13.8 16.9 17.8 (10.6%) due to increased Q1
Slide 3: Key figures Q1 2015
Key figures Q1 2015 MEUR Q1 2015 Q1 2014 Change-% Net sales 21.5 17.8 20.7 Operating profit 2.0 1.9 5.3 Operating profit, % 9.3 10.6 Net cash flow from operating activities 0.7 0.6 6.2 Order backlog 13.8 14.3 -3.2 Order intake 22.8 21.8 4.6 Return on capital employed, % 21.8 21.1 Net gearing, % -8.3
Slide 4: Net sales increased by 20.7% and order intake by 4.6% in Q1 2015
Net sales increased by 20.7% and order intake by 4.6% in Q1 2015 • Net sales increased to MEUR 21.5 (17.8) • Order intake increased by 4.6% to MEUR 22.8 (21.8) • Order backlog on 31 March 2015 was MEUR 13.8 (14.3) • Order backlog increased by MEUR 1.0 from MEUR 12.8 on 31 December 2014 25 20 15 MEUR
Slide 5: In Q1 2015 net sales growth came from Industrial applications
In Q1 2015 net sales growth came from Industrial applications • In Q1 2015 Group net sales Net sales by Customer increased by 20.7% from Q1 2014 Industry to MEUR 21.5 (17.8), which was MEUR 0.4 or 2.0% more than in 3,1 Q4 2014 3,9 4,6 • Net sales of Industrial applications increased by 41.4% to MEUR
Slide 6: Majority of growth in net sales came from Europe in Q1 2015
Majority of growth in net sales, MEUR 2.4, came from Europe in Q1 2015 Europe +15.9% 17.5 15.1 APAC Rest of world +74.0% 3.5 0.5 (-28.6%) 2.0 0.7 I-3/2015 (MEUR) I-3/2014 (MEUR) Rest of world Europe APAC Net sales in the region Rest of Net sales in Europe grew by Net sales in the region APAC world d
Slide 7: Demand in some markets of Exel Composites is picking up
Demand in some markets of Exel Composites is picking up Market Demand Transportation industry Increased demand with new applications Building, Construction & Infrastructure Recovery in demand Energy industry New projects opening up*) Telecommunication industry 4G network building increases demand Ex
Slide 8: Q1 2015 operating profit increased to MEUR 2.0 (1.9)
Q1 2015 operating profit increased to MEUR 2.0 (1.9) • Q1 2015 operating profit increased to MEUR 2.0 (1.9) • Operating profit margin was 9.3% (10.6%) of net sales – Decrease was due to increased costs attributable to the strengthening of the organization, especially in sales, product development an
Slide 9: Operating profit margin decreased slightly to 9.3% (10.6%)
Operating profit margin decreased slightly to 9.3% (10.6%) 1-3/2015 1-3/2014 Change in % of net % of net % of net MEUR Value sales Value sales sales Net sales 21.5 100% 17.8 100% Materials and services -7.8 36.1 -6.0 33.6 +2.5 Employee expenses -6.5 30.0 -5.4 30.3 -0.3 Depreciation and impairment -0
Slide 10: In Q1 2015 net cash flow was MEUR +0.7 (+0.6)
In Q1 2015 net cash flow was MEUR +0.7 (+0.6) • Cash flow from operating activities was positive at MEUR +0.7 (+0.6) due to improved operating profit • Capital expenditure was MEUR 0.8 (0.7) Net cash flow 6 5 4 MEUR 3 2 0.6 0.7 1 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2010
Slide 11: Net cash flow improved due to higher profit and lower working capital
In Q1 2015 net cash flow improved due to higher profit and lower working capital MEUR Q1 2015 Q1 2014 Change Profit for the period 1.6 1.1 +0.4 Adjustments 1.7 1.6 +0.1 Change in working capital -2.0 -1.5 -0.5 Cash flow from operations 1.2 1.2 0 Interests and taxes paid/received -0.5 -0.6 +0.1 Net c
Slide 12: Strong balance sheet allows potential investments and acquisitions
Strong balance sheet allows potential investments and acquisitions 70% 60% 53.2% 50% 40% 30% 20% 10% 0% -8.3% -10% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2010 2011 2012 2013 2014 2015 Net gearing, % Equity ratio, % Exel Composites Oyj 12
Slide 13: ROCE in Q1 was 21.8% (21.1%)
ROCE in Q1 was 21.8% (21.1%) 30% 60 21.8% Capital employed, MEUR 20% 40 ROCE-% 10% 20 0% 0 2010 2011 2012 2013 2014 Q1/2015 Capital employed, MEUR ROCE, % Exel Composites Oyj 13
Slide 14: Earnings per share increased to EUR 0.13 (0.09) per share
Earnings per share increased to EUR 0.13 (0.09) per share Quarterly EPS 0,25 0,20 0,15 0.13 0,10 0.09 EUR 0,05 - Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 (0,05) 2010 2011 2012 2013 2014 2015 (0,10) *) (0,15) * Q4 2012 EPS was negative due to impairment of MEUR 2.5 Exel Composit
Slide 15: Share price development in Q1 2015
Share price development: in Q1 2015 the highest share quotation was EUR 9.85 (6.28) and the lowest EUR 8.46 (5.56) 10.2 (14.3) % of shares outstanding were traded Exel Composites share price development in Jan-Mar 2015 January 2010 – March 2015 In Jan-Mar 2015 the highest share quotation was EUR 9.8
Slide 16: Strategy implementation continues
Strategy implementation continues • Expansion project in Austria has been initiated in Q1 2015 – Target is to more than double the production capacity in Austria – Total investment of the project is estimated at EUR 8 million – Expansion project is estimated to be completed during H2 2016 • Expansio
Slide 17: Major near-term risks and uncertainties
Major near-term risks and uncertainties • The most significant near-term business risks are related to the general economic development, government regulations and financial crisis in the Euro area as well as to market demand • Continuing low demand in the Australian market may require further corre
Slide 18: Outlook for full year 2015
Outlook for full year 2015 • The market has stabilized and we can see positive signs in the Company’s key market segments • However, uncertainties relating to general growth prospects in the economy continue • The Company implements its new strategy by reinforcing the organization, especially in sal
Slide 19: Major Shareholders on 31 March 2015
Major Shareholders on 31 March 2015 Number of Percentage of shares share capital Skandinaviska Enskilda Banken AB (nominee reg.) 2,215,912 18.63 Nordea Bank Finland Plc (nominee reg.) 1,485,020 12.48 Nordea Fennia Fund 610,000 5.13 Svenska Handelsbanken AB (publ), Branch Operation in Finland (nomine
Slide 20: More information is available on Exel Composites website
More information is available on Exel Composites website • Exel Composites website: www.exelcomposites.com • For further information contact Riku Kytömäki Mikko Kettunen President and CEO CFO +358 50 511 8288 +358 50 3477 462 riku.kytomaki@exelcomposites.com mikko.kettunen@exelcomposites.com Q2 2015