Turk Traktor Ve Ziraat Makineleri A.s. · BIST:TTRAK
Turk Traktor Ve Ziraat Makineleri A.s — H1 2014 Earnings Presentation
32 slides from Turk Traktor Ve Ziraat Makineleri A.s's earnings presentation, Aug 7, 2014
Slide 1: Press Meeting Presentation
Press Meeting Presentation August 07, 2014
Slide 2: TürkTraktör At a Glance
TürkTraktör At a Glance The oldest continuously manufacturer company of Turkish automotive industry The biggest tractor manufacturer in Turkey Export to more than 130 countries Annual production capacity of 50.000 tractors together with Ankara and Erenler Plants The first R&D center of Tur
Slide 3: TürkTraktör Manufacturing Facilities - Ankara Plant
TürkTraktör Manufacturing Facilities Ankara Plant Gear and heat treatment facilities Over 400 CNC benches Engine manufacturing facilities Modern quality control laboratories Engine and transmission testing equipments The sole design center for New Holland TDD and Case IH JX series tractors
Slide 4: TürkTraktör Manufacturing Facilities - Erenler Plant
TürkTraktör Manufacturing Facilities Erenler Plant 150Km 4
Slide 5: Erenler Plant assembly lines designed with high technology
TürkTraktör Manufacturing Facilities Erenler Plant 2 assembly lines designed with high technology state of the art enable to have operational efficiency enable to produce high HP tractors – over 110 HP 2 modern robotized paint lines – being the first company having robotized paint shops in tra
Slide 6: Erenler Plant eco-friendly production and LEED certificate
TürkTraktör Manufacturing Facilities Erenler Plant Erenler Plant supports eco-friendly production not only low energy and water consumption but also getting the most out of the sunlight with “green building” concept. Erenler Plant deserved to receive GOLD level of LEED certificate by the USA Green B
Slide 7: Wide Product Range – Tractor Series Sold to Local Market
Wide Product Range – Tractor Series Sold to Local Market >140 HP T7000-T8 MAGNUM – PUMA CVX MAXXUM PUMA T6000 120 – 140 HP TR6 110 HP T5000 105 HP JXU 98 HP QUANTUM 95 HP T4000 88 HP TDD JX 85 HP 80 HP TDB TDS 75 HP Utility Light 72 HP JXC 56S TTJ 65 HP TT TTB 55 HP T3000 50 HP 48 HP T480 7
Slide 8: Wide Product Range – Tractor Series Sold to Export Market
Wide Product Range – Tractor Series Sold to Export Market 140 HP TR6 130 HP 120 HP 110 HP 105 HP 98 HP Utility Medium Utility Medium 95 HP 88 HP TDD JX 85 HP Straddle Straddle 80 HP TDB 75 HP Utility Light 72 HP JXC TTJ 65 HP Steyr 55 HP 50 HP Planning process 48 HP F480 TD3,5 8
Slide 9: New Holland TTJ Series
Continuously Growing Product Range New Holland TTJ Series Outstanding Performance in Narrow Fields developed through TürkTraktör’s knowledge and experience will be the first choice of the vineyards and gardens with its ideal sizes and high performance TTJ Series orchard tractors open a new era
Slide 10: Local Giant New Holland TR6
Continuously Growing Product Range Local Giant New Holland TR6 Assembled at Ankara Plant Introduced to the local market on May 2014 Turkey’s biggest local tractor Gives important export chances for the future Launched with 120 HP – 130 HP – 140 HP engines 10
Slide 11: Export Penetration
Export Penetration Turkey’s biggest and the most diversified tractor exporter WHERE AREN’T WE , YET? Dominican Republic Guinea Burkina Faso Benin Nigeria Niger Burundi Yemen Afghanistan Tajikistan Kyrgyzstan Nepal Bangladesh Laos Cambodia 11
Slide 12: Agricultural Sector in Turkey
Agricultural Sector in Turkey (Source : www.tarim.gov.tr) 4th biggest country in terms of number of sold tractors in 2014/3 8th 7th biggest biggest country in country in terms of terms of cultivated agricultural area production TURKEY 62 1,663 billion $ agricultural in terms of products agricultural
Slide 13: Agricultural Sector in Turkey
Agricultural Sector in Turkey In governmental supports, the policy has not been changed and it is expected that the total amount of support will reach to the level of 9,7 billion TL at the end of 2014. As of beginning of the year, the subsidized interest rate of Ziraat Bank is continuing around
Slide 14: Agricultural Sector in Turkey
Agricultural Sector in Turkey Increasing rainfall in spring supported tractor sales in general but yield expectation is affected due to frost and hails. It is expected that grain harvest drop will be around 15-20% and fruit harvest loss will be around 35-40% but yield losses are expected to be c
Slide 15: World Tractor Market
World Tractor Market (Source : Systematics (units in thousand)) 2012 2013 2014/3 India 524 India 612 India 137 China 324 China 346 China 105 N. America 211 N. America 229 N. America 44 Europe 173 Europe 174 Europe 38 Pakistan 65 Brazil 65 TURKEY 13 Brazil 56 TURKEY 53 Brazil 11 TURKEY 49 Pakistan 42
Slide 16: World Tractor Market – Tractor Sales by Regions
World Tractor Market (Source : Systematics (units)) Turkey in the world market – Tractor Sales to Customers by Regions – 2014/3 Germany China 7.719 104.835 North America 43.912 France India 5.451 136.935 Turkey Latin America Italy 12.850 14.659 4.616 16
Slide 17: Tractor Market in Turkey
Tractor Market in Turkey (Source: TURKSTAT Traffic Registration Data, 2014/5) TürkTraktör maintains leader position by having 50% market share. 4% 52.286 50.318 21.545 7% 18.799 20.155 17
Slide 18: Construction Equipment Sector in Turkey
Construction Equipment Sector in Turkey (Source : İMDER) World’s 11th Current Situation in the Market : biggest CE market The important contractors which hold a big percentage of the market are delaying their purchases due to payment postponement of Europe’s 4th biggest CE project owners. market Aft
Slide 19: Construction Equipment Market in Turkey
Construction Equipment Market in Turkey (Source: İMDER – Monthly Market Data) The market 10.983 volume decreased 10.568 to 4.480 units from 6.486 units by 31% contraction due to uncertainty 6.486 31% in election period, 5.545 fluctuation in exchange rates 4.480 and increasing leasing rates. 19
Slide 20: Highlights
Highlights Total Revenue (2014/6) 1.3 billion TL Local Tractor Sales Units (2014/6) 14.545 Export Tractor Sales Units (2014/6) 7.712 Manufactured Tractor Units (2014/6) 23.283 Total Employment (2014/6) 2.786 person R&D Employees (2014/6) 118 person 20
Slide 21: Manufacturing Units
Manufacturing Units In 1H2014 21% compared to 1H2013, tractor manufacturing units increased by 21% and in the same period, transmission 2012 2013 2012/6 2013/6 2014/6 manufacturing units decreased by 16%. 16% 2012 2013 2012/6 2013/6 2014/6 21
Slide 22: Total Tractor Sales (units)
Total Tractor Sales (units) Local tractor 40.162 39.026 sales increased by 22% compared to 1H2013 and reached to 23.808 17% 14.545 units. 22.257 19.047 In 1H2014 tractor export sales increased by 9%. 22
Slide 23: Combine Sales (units)
Combine Sales (units) In 1H2014, due to exchange rate increase, interest rate and straw prices, combine sales decreased by 71% and reduced to 177 units. 71% 2012 2013 2012/6 2013/6 2014/6 23
Slide 24: Transmission Sales (units)
Transmission Sales (units) In 1H2014 compared to 1H2013, due to export demand, transmission sales decreased by 19%. 19% 2012 2013 2012/6 2013/6 2014/6 24
Slide 25: Total Sales Revenue
Total Sales Revenue 2.175 Local revenue reached to 863 1.974 million TL by increasing 10%, and export sales revenue reached 21% 1.331 to 467 million TL 1.181 by increasing 1.103 46%. 46% In 1H2014 compared to 10% 1H2013, total revenue increased by 21%. 25
Slide 26: Profitability (million TL)
Profitability (million TL) 500 21% 22% 21% 21% 450 21% 400 19% 350 300 250 472 200 422 150 254 236 254 100 50 0 11% 2012 2013 2012/6 2013/6 2014/6 Gross profit Gross Margin 400 16% 16% 16% 17% 400 14% 14% 15% 15% 15% 15% 14% 16% 14% 14% 14% 14% 350 16% 350 12% 14% 13% 13% 13% 13% 13% 12% 12% 15% 12%
Slide 27: Net Financial Position (million TL)
Net Financial Position (million TL) 23 -173 -84 -139 -536 42% 58% 27
Slide 28: High Profitability Ratios
High Profitability Ratios Having higher RoA and RoE ratios, comparing to the local and global peers 28
Slide 29: Dividend (million TL)
Dividend (million TL) TürkTraktör which paid the total amount of 300 million TL dividend in 2014, is amongst the companies paid highest dividend in BIST. 29
Slide 30: Stock Performance (31.07.2013=100)
Stock Performance (31.07.2013=100) 31.07.2013 Closing Price 60,50 TL 31.07.2014 Closing Price 75,50 TL BİST 100 TTRAK 12% BİST 30 25% 14% 30
Slide 31: Disclaimer
Disclaimer This presentation contains forward-looking statements that reflect the Company management’s current views with respect to certain future events. Although it is believed that the expectations reflected in these statements are reasonable, they may be affected by a variety of variables and c
Slide 32: Question & Answer
EX, ) Ds. TiirkTraktor celebrating 60 years QUESTION & ANSWER GAKog TiirkTraktor CNH
TürkTraktör ve Ziraat Makineleri A.Ş. — H1 2014 Earnings Presentation on 6ix