Kongsberg Gruppen Asa · OSL:KOG
Kongsberg Gruppen Asa — Kongsberg — Investor Day (June 2024)
73 slides from Kongsberg Gruppen Asa's investor day presentation, Jun 4, 2024
Slide 1: Capital Markets Day 2024
Capital Markets Day 2024 Geir Håøy, President & CEO KONGSBERG #protectingpeopleandplanet KONGSBERG PROPRIETARY: This document contains KONGSBERG information which is proprietary and confidential. Any disclosure, copying, distribution or use is prohibited if not otherwise explicitly agreed with KONGS
Slide 2: See Statement of Proprietary information
See Statement of Proprietary information
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Slide 5: See Statement of Proprietary information
See Statement of Proprietary information
Slide 6: See Statement of Proprietary information
See Statement of Proprietary information
Slide 7: See Statement of Proprietary information
See Statement of Proprietary information
Slide 8: Join us pioneer change to protect people and planet
Join us pioneer change to protect people and planet by innovating technology today, for a better tomorrow
Slide 9: Mette Toft Bjørgen, CFO KONGSBERG
Mette Toft Bjørgen, CFO KONGSBERG KONGSBERG PROPRIETARY: This document contains KONGSBERG information which is proprietary and confidential. Any disclosure, copying, distribution or use is prohibited if not otherwise explicitly agreed with KONGSBERG in writing. Any authorised reproduction in whole o
Slide 10: 2025 targets met ahead of plan
Status 2025 targets 2025 targets met ahead of plan LTM Q1 24 Targets 25 Revenues 41.4bn 40.0bn EBIT % 13.2% 12.0% See Statement of Proprietary information
Slide 11: Solid performance in all Business Areas, well positioned for further growth
Revenue development Solid performance in all Business Areas, well positioned for further growth Kongsberg Kongsberg +13% +16% Maritime +8% 21.0 Discovery +5% 4.1 16.5 3.0 13.1 2.6 2019* 2020 2021 2022 2023 LTM 2024 2019* 2020 2021 2022 2023 LTM 2024 Q124 Q124 *Proforma Kongsberg Maritime/Kongsberg D
Slide 12: Strong profit development
EBIT development Strong profit development Kongsberg Kongsberg Maritime Discovery 11.0% 15.5% 13.4% 13.7% 7.6% 2.3 0.6 0.5 1.3 0.3 0.1% 2019 2020 2021 2022 2023 LTM Q124 2019 2020 2021 2022 2023 LTM Q124 *Proforma Kongsberg Maritime/Kongsberg Discovery *Proforma Kongsberg Maritime/Kongsberg Discover
Slide 13: Capital allocation is a key to secure profitable growth
Capital allocation is a key to secure profitable growth 1. Solid Balance sheet 2. Invest for organic growth 3. Shareholder Remuneration 4. Portfolio Management Our operation requires good → R&D funded by → Healthy shareholder Active portfolio management to liquidity and predictable KONGSBERG remuner
Slide 14: Continued strong demand in existing markets; increased margins
Continued strong demand in Increased margins driven by existing markets (footprint) performance management (scale and efficiency) See Statement of Proprietary information
Slide 15: KONGSBERG PROPRIETARY: This document contains KONGSBERG information which is proprietary and confidential. Any disclo…
KONGSBERG PROPRIETARY: This document contains KONGSBERG information which is proprietary and confidential. Any disclosure, copying, distribution or use is prohibited if not otherwise explicitly agreed with KONGSBERG in writing. Any authorised reproduction in whole or in part, must include this legen
Slide 16: Eirik Lie, President KDA
Eirik Lie, President KDA KONGSBERG PROPRIETARY: This document contains KONGSBERG information which is proprietary and confidential. Any disclosure, copying, distribution or use is prohibited if not otherwise explicitly agreed with KONGSBERG in writing. Any authorised reproduction in whole or in part
Slide 17: Kongsberg Defence & Aerospace
PUBLIC Kongsberg Defence & Aerospace See Statement of Proprietary information
Slide 18: 1. Delivering on record high order backlog
1. Delivering 16 on record high countries order backlog 16.8 BNOK revenues* 4,365 employees
Slide 19: Record high order backlog of NOK 65 bn
PUBLIC Kongsberg Defence & Aerospace Record high order backlog of NOK 65 bn MNOK 70 000 Order backlog Strong demand since 2018, driven by new orders for air 60 000 defence and missiles 50 000 40 000 Total order intake in 2023 was NOK 38 bn, leading to an order backlog above NOK 30 000 20 000 65 bn –
Slide 20: Strengthening delivery muscles and capabilities
PUBLIC Strengthening delivery muscles and capabilities Production Supply Chain Partnerships Building capacity in Norway • Extensions Arsenalet, Air Defence, Cosmos • New strike missile production plant - June 2024 • KAMS, F-35 depot and 2nd site Moss International growth • 2,500 sqm facility in Aust
Slide 21: 2. Positioned for further growth
2. Positioned for further growth
Slide 22: Geopolitical unrest puts defence on top of agenda
PUBLIC Geopolitical unrest puts defence on top of agenda See Statement of Proprietary information
Slide 23: The defence industry is transforming
PUBLIC The defence industry is transforming Industrial warfare • More production • Lower cost/higher volumes • Faster innovation Changing battlefields • From counter-insurgency • Nation conflicts • Future Air-Sea-Space See Statement of Proprietary information
Slide 24: Defence budgets are rising
i n f o r m a t i o n Defence budgets are rising Europe +239% 138 143 129 109 After a decade of slow 91 70 54 59 growth, Europe has entered 44 43 39 38 42 47 35 37 37 a new investment phase Procurement, USD bn 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 Asia +100% Asia continues strong 72 74
Slide 25: Well positioned in current defence market
PUBLIC Well positioned in current defence market $ bn NOK bn 1 000 30 900 25 Market trends 800 700 • Industrial warfare 20 600 • Nation conflicts 500 15 400 KDA developments 10 300 • Backlog 200 • Credible prime 5 100 • Product portfolio 0 0 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 KDA
Slide 26: 3. Building the future KDA
CMD 3. Building the future KDA @ KONGSBERG
Slide 27: Preparing KDA for the future
PUBLIC Preparing KDA for the future Air Defence Space for Defence MRO 3SM Vanguard
Slide 28: NASAMS
PUBLIC NASAMS Ground based air defence system 2024-06-04 CMD
Slide 29: World class Medium Range Air Defence (MRAD) system
PUBLIC NASAMS Air Defence World class Medium Range Air Defence (MRAD) system See Statement of Proprietary information Photo: PTE Nicholas Marquis
Slide 30: Multi-missile capability – A complex challenge for adversaries
PUBLIC NASAMS Air Defence Multi-missile capability – A complex challenge for adversaries See Statement of Proprietary information Photo: Mediafoto
Slide 31: Dual-use missiles
PUBLIC NASAMS Air Defence Dual-use missiles See Statement of Proprietary information
Slide 32: Full Spectrum Air Defence (FSAD)
PUBLIC NASAMS Air Defence Full Spectrum Air Defence (FSAD) SHORAD One system – Layered capability MRAD LRAD and anti-TBM See Statement of Proprietary information CUAS & VSHORAD
Slide 33: KONGSBERG PROPRIETARY: This document contains KONGSBERG information which is proprietary and confidential. Any disclo…
KONGSBERG PROPRIETARY: This document contains KONGSBERG information which is proprietary and confidential. Any disclosure, copying, distribution or use is prohibited if not otherwise explicitly agreed with KONGSBERG in writing. Any authorised reproduction in whole or in part, must include this legen
Slide 34: Lisa Edvardsen Haugan, President KM
Lisa Edvardsen Haugan, President KM KONGSBERG PROPRIETARY: This document contains KONGSBERG information which is proprietary and confidential. Any disclosure, copying, distribution or use is prohibited if not otherwise explicitly agreed with KONGSBERG in writing. Any authorised reproduction in whole
Slide 35: Kongsberg Maritime – The ocean space experts
Kongsberg Maritime 6,700 Integration & Energy employees The ocean 20 BNOK revenues* Automation & Control 34 space experts countries Propulsion & Handling 34,000 vessels * 2023 operating revenue Global Customer Support
Slide 36: Building on our broad portfolio
Building on our broad portfolio NEWBUILDING MARKET DEVELOPMENT MARKET SIZE INDICATOR Renewed Grow by positioning ourselves into ?? 6000 portfolio adjacent portfolio areas Historical Vessel Ordering New FCST # of contracted vessels 5000 Previous FCST Current 40% The mix of vessels will be favourable
Slide 37: Securing our position as the life cycle partner
Securing our position as the life cycle partner # of vessels installed YoY 1980-2023 40000 34000 35000 RECENT INITIATIVES SECURING GROWTH: 30000 • Sustainability partnership signed with Solstad. 25000 • Upgrades for SEACOR cementing KM 20000 position as the number 1 hybrid integrator for the sailing
Slide 38: CMD
CMD actin -?% ~~. @ KONGSBERG IN
Slide 39: Our five strategic priorities
Our five strategic priorities ENERGY TRANSITION MISSION CRITICAL EMERGING PARTNER PRODUCTS OCEAN SPACE INTEGRATED SYSTEMS DIGITALISATION People & competence Knowledge about marine operations Technology
Slide 40: Strategic projects
Strategic projects ENERGY TRANSITION PARTNER Strengthen our propulsion range INTEGRATED SYSTEMS MISSION CRITICAL Grow integrated electrical solutions PRODUCTS DIGITALISATION Secure growth opportunties within naval EMERGING OCEAN SPACE
Slide 41: The ocean space experts
The ocean space experts KONGSBERG
Slide 42: The trusted energy transition partner
A holistic approach, domain knowledge and industry leading technologies make us The trusted energy transition partner Kongsberg Maritime’s next generation platform supply and anchor Energy-efficient upgrade for Solstad’s Normand Sentinel - handler vessels anticipating energy savings of up to 16% dur
Slide 43: KONGSBERG PROPRIETARY: This document contains KONGSBERG information which is proprietary and confidential. Any disclo…
KONGSBERG PROPRIETARY: This document contains KONGSBERG information which is proprietary and confidential. Any disclosure, copying, distribution or use is prohibited if not otherwise explicitly agreed with KONGSBERG in writing. Any authorised reproduction in whole or in part, must include this legen
Slide 44: Martin Wien Fjell, President Kongsberg Discovery
Martin Wien Fjell, President Kongsberg Discovery KONGSBERG PROPRIETARY: This document contains KONGSBERG information which is proprietary and confidential. Any disclosure, copying, distribution or use is prohibited if not otherwise explicitly agreed with KONGSBERG in writing. Any authorised reproduc
Slide 45: Discovering the secrets of the ocean
Vision Discovering the secrets of the ocean See Statement of Proprietary information
Slide 46: Discovering the secrets of the ocean
Discovering the secrets of the ocean Food Climate / Energy Security See Statement of Proprietary information
Slide 47: Serving the entire ocean space
Serving the entire ocean space See Statement of Proprietary information
Slide 48: Kongsberg Discovery
Kongsberg Discovery ~1100 employees ~4 BNOK revenue Strong technology Uncrewed Ocean Marine Life backbone Technologies Technologies Seatex Platforms See Statement of Proprietary information
Slide 49: Generating value through product development and partnerships
Generating value through product development and partnerships See Statement of Proprietary information
Slide 50: Market access
Market access See Statement of Proprietary information
Slide 51: Mastering advanced technologies
Technology based value creation based on a strong technology backbone Mastering advanced technologies Hydro acoustics Inertial navigation GNSS Positioning Laser Radar/Communication Robotics …while keeping an eye out for new technologies See Statement of Proprietary information
Slide 52: Illuminating the ocean with sound
Illuminating the ocean with sound Hydro acoustics See Statement of Proprietary information
Slide 53: Submarine detection
Hydro acoustics Submarine detection
Slide 54: Fish-finding
Hydro acoustics Fish-finding
Slide 55: Ecosystem assessment
Hydro acoustics Ecosystem assessment
Slide 56: Ocean currents
Hydro acoustics Ocean currents
Slide 57: Seafloor mapping – large scale
Hydro acoustics Seafloor mapping – large scale
Slide 58: Seafloor mapping – inspection
Hydro acoustics Seafloor mapping – inspection
Slide 59: Hydro acoustics applications
Hydro acoustics Submarine detection Fish-finding Ecosystem assessment Ocean currents Seafloor mapping – large scale Seafloor mapping - inspection
Slide 60: Sustainability and security
Positioned for growth Sustainability and security Limited knowledge about Smarter and improved Autonomy and robotics Reliable data life in the ocean sensors See Statement of Proprietary information
Slide 61: KONGSBERG PROPRIETARY: This document contains KONGSBERG information which is proprietary and confidential. Any disclo…
KONGSBERG PROPRIETARY: This document contains KONGSBERG information which is proprietary and confidential. Any disclosure, copying, distribution or use is prohibited if not otherwise explicitly agreed with KONGSBERG in writing. Any authorised reproduction in whole or in part, must include this legen
Slide 62: Shane McArdle, President Kongsberg Digital
Shane McArdle, President Kongsberg Digital KONGSBERG PROPRIETARY: This document contains KONGSBERG information which is proprietary and confidential. Any disclosure, copying, distribution or use is prohibited if not otherwise explicitly agreed with KONGSBERG in writing. Any authorised reproduction i
Slide 63: Shaping the Future of Work
Shaping the Future of Work …through our Digital Twin, we make industrial data more accessible and meaningful to humans and machines, such as AI, to unlock better ways of working See Statement of Proprietary information
Slide 64: Kongsberg Digital rigged for the future
Kongsberg Digital rigged for the future Test & exploration Invest & build Adapt & scale Beta launch of KONGSBERG DIGITAL TWIN & DIGITAL MARITIME Shell Global MCS Chevron Raised Yara Copilot established PRODUCT EFA fleet EFA 90 MUSD Chemicals release equity 2016 2019 2020 2021 2022 2023 2024 Offshore
Slide 65: Building on a solid foundation
Building on a solid foundation >1.4 BNOK >3.000 ~1.200 >50.000 Revenue connected assets FTEs globally users See Statement of Proprietary information
Slide 66: Delivered robust growth
Delivered robust growth 1.4 BNOK 2023 Revenue Recurring revenue Revenue +57% +45% 950 MNOK 2022 Revenue See Statement of Proprietary information
Slide 67: The digital twin market is large and rapidly growing
The digital twin market is large and rapidly growing Total addressable DIGITAL TWIN …WITH expected HIGH …Driven by SEVERAL market trends market (2024) GROWTH ACROSS INDUSTRIES Human centric technology Integrated value chains ~5 BUSD Increasing system complexity +20-40% Significant AI advance
Slide 68: Our competitive advantage derives from key differentiators
Domain knowledge Our competitive advantage derives from key Ai driven industrial software differentiators Agile and global tech organisation …where we combine domain and software knowledge to DIGITAL partner FOR BLUE-CHIP CLIENTS serve as trusted digital partners to our customer Eco system of world
Slide 69: Put AI to work
Put AI to work embedded in the core of our products Reliable and safe Intuitive human Solves a business with responsible interactions with data challenge integration, usage, and and systems representation of AI
Slide 70: Rewiring operating models at scale
Rewiring operating models at scale Autonomous monitoring & performance assessment AI reasoning engine We automate and eliminate manual tasks for 1000’s of users every single day See Statement of Proprietary information
Slide 71: Realising customer value
Realising customer value “..for our greenfield asset the “..in pursuit a zero-emission fleet “..with Kognitwin we get the right “Digital twin is considered a key digital win enable us to see the we are actively digitalizing our information to the right people enabler on the road to remote same, at t
Slide 72: Listen to how our users leverage the digital twin
Listen to how our users leverage the digital twin in their day-to-day work Learn how Norske Shell and others drives more efficient, safe and sustainable operations Watch now >
Slide 73: Thank you
Thank you shane.mcardle@kongsbergdigital.com KONGSBERG PROPRIETARY: This document contains KONGSBERG information which is proprietary and confidential. Any disclosure, copying, distribution or use is prohibited if not otherwise explicitly agreed with KONGSBERG in writing. Any authorised reproduction