Gerresheimer Ag · XETR:GXI
Gerresheimer — Q2 2017 Earnings Presentation
21 slides from Gerresheimer's earnings presentation, Jul 13, 2017
Slide 1: Q2 2017 Earnings Presentation
Q2 2017 Earnings Presentation Uwe Röhrhoff, CEO Rainer Beaujean, CFO July 13, 2017
Slide 2: Disclaimer
Disclaimer This presentation may contain certain forward-looking statements, including assumptions, opinions and views of the Company or cited from third party sources. Various known and unknown risks, uncertainties and other factors could cause the actual results, financial position, development or
Slide 3: Agenda
Agenda 1. Q2 2017 Highlights 2. Financial Review 3. Outlook 4. Appendix July 2017 Q2 2017 Earnings 3
Slide 4: Soft performance in Q2 2017, as previously communicated
Soft performance in Q2 2017, as previously communicated Q2 revenues down 2.2% year-on-year at EUR 339.5m Revenues decrease in line with Q1 business trends, albeit at a softer pace Down 3.7% organic Adj. EBITDA margin of 22.3% in Q2 2017 against 23.2% in Q2 2016 Margin in Plastics & Devices maintaine
Slide 5: Demand fluctuations & shifts into H2 as main drivers behind revenues decrease in Q2 2017
Demand fluctuations & shifts into H2 as main drivers behind revenues decrease in Q2 2017 Evolution of Revenues and Adj. EBITDA margin in Q2 17 vs Q2 16 % EBITDA Margin 23.2% 22.3% 27.0% 27.0% 22.7% 20.4% 347.3 339.5 193.2 185.8 154.3 153.7 Q2 16 Q2 17 Q2 16 Q2 17 Q2 16 Q2 17 Group P&D PPG P&D Q2 201
Slide 6: Improved visibility for remainder of the year
Improved visibility for remainder of the year IDENTIFIED DRIVERS H2 2017 P&D IDENTIFIED DRIVERS H2 2017 PPG Revenues shifts in Devices from H1 into H2 Normalizing of US demand to drive sales growth in H2 Strong tooling pipeline to drive higher sales Europe and cosmetics with further solid Primary pa
Slide 7: Agenda
Agenda 1. Q2 2017 Highlights 2. Financial Review 3. Outlook 4. Appendix July 2017 Q2 2017 Earnings 7
Slide 8: Lower adjusted EBITA as main adjusted EPS driver
Lower adjusted EBITA(1) as main adjusted EPS(1) driver EUR M Q2 2017 Q2 20161 CHANGE in EUR Adjusted EBITDA 75.8 80.7 -4.9 Depreciation -22.8 -21.4 -1.4 Adjusted EBITA 53.0 59.3 -6.3 Total one-off effects -0.5 -0.1 -0.4 Amortization of fair value adjustments -8.6 -8.9 +0.3 Result from operations (EB
Slide 9: Increase in net debt reflects dividend and interest payments, leverage at 2.7x
Increase in net debt reflects dividend and interest payments, leverage at 2.7x EUR M MAY 31, 2017 NOV 30, 2016 CHANGE IN % Total assets 2,289.3 2,374.3 -3.6% Equity 752.0 763.3 -1.5% Equity ratio 32.9% 32.1% +80bps Net working capital 230.4 200.3 + 15.0% NWC in % of LTM revenues2 17.1% 14.6% +250bps
Slide 10: Agenda
Agenda 1. Q2 2017 Highlights 2. Financial Review 3. Outlook 4. Appendix July 2017 Q2 2017 Earnings 10
Slide 11: The short and longer term view: Driving earnings and cash growth
The short and longer term view: Driving earnings and cash growth, while top line targets remain ambitious 2017 GUIDANCE REPORTED FY 2016 EXPECTED FY 2017 PRECISION POST Q2 ~ EUR 1.43bn (FXN1 - plus/minus EUR 25m) Revenues EUR 1,375.5m ~ EUR 1.4bn (FXN1) Starting at lower end of the range Adj. EBIT
Slide 12: Addressing specialty pharma market opportunity
Addressing specialty pharma market opportunity Glass product portfolio systematically upgraded Elite & Valor RTU Vials & cartridges New value proposition for Biotech & new organisation Growing niche market Gx solutions set up in H1 2017 Emergence of new actors requiring Spanning across all divisions
Slide 13: Clear focus on execution for the mid and long term
Clear focus on execution for the mid and long term Ongoing strict monitoring of order book, product ramp up and contract execution Dedicated management of operations to balance key drivers of margin performance Continuing to lay important ground work to support growth strategy in the long term Long-
Slide 14: Agenda
Agenda 1. Q2 2017 Highlights 2. Financial Review 3. Outlook 4. Appendix July 2017 Q2 2017 Earnings 14
Slide 15: P&D margins maintained at a high level, PPG margins impacted by lower production output
P&D margins maintained at a high level, PPG margins impacted by lower production output during the quarter Revenues by division Organic EUR M Q2 2017 Q2 2016 GROWTH IN % Growth in % Total Group 339.5 347.3 -2.2 -3.7 - Of which P&D 185.8 193.2 -3.8 -5.9 - Of which PPG 153.7 154.3 -0.4 -1.1 Adjusted E
Slide 16: Development of net working capital
Development of net working capital MAY 31, 2017 NOV 30, 2016 MAY 31, 2016 EUR M EUR M EUR M 3 Inventories 172.5 155.4 190.4 thereof prepayments made 2.5 3.1 3.7 Trade receivables 222.9 232.1 229.6 Trade payables 126.7 157.0 148.6 Payments received on account 38.3 30.2 40.7 of orders Net working capi
Slide 17: Development of inventories
Development of inventories MAY 31, 2017 NOV 30, 2016 MAY 31, 2016 EUR M EUR M EUR M(1) Raw materials, consumables and supplies 51.0 49.9 53.4 Work in progress 20.1 18.4 24.6 Finished goods and merchandise 98.9 84.0 108.7 Prepayments made on inventories 2.5 3.1 3.7 Inventories 172.5 155.4 190.4 1. In
Slide 18: GXI Key Data
GXI Key Data in EUR per share 2008 2009 2010 2011 2012 2013 2014 2015 2016 Adjusted EPS after non-controlling 1.83 1.34 1.95 2.44 2.621 3.08 2.89 3.41 4.072 interests Cash flow from operating activities per 5.26 3.74 5.09 4.13 5.53 4.67 5.04 6.49 5.52 share Dividend 0.40 – 0.50 0.60 0.65 0.70 0.75 0
Slide 19: Overview of Abbreviations and Definitions
Overview of Abbreviations and Definitions Abbreviations and Definitions Adj. EBITDA Earnings before income taxes, net finance expense, amortization of fair value adjustments, depreciation and amortization, impairment losses, restructuring expenses and one-off income and expenses Adjusted EPS Adjuste
Slide 20: Financial calendar and contact details
Financial calendar and contact details FINANCIAL CALENDAR October 11, 2017 Interim Report 3rd Quarter 2017 CONTACT DETAILS Name Corporate Investor Relations Phone +49 211 6181 257 Fax +49 211 6181 121 E-mail Gerresheimer.ir@gerresheimer.com IR website www.gerresheimer.com/ir July 2017 Q2 2017 Earnin
Slide 21: Our Vision
Our Vision Gerresheimer will become the leading global partner for enabling solutions that improve health and well-being. Our success is driven by the passion of our people.