Rational Aktiengesellschaft · XETR:RAA

Rational Aktiengesellschaft — Rational — 9M 2022 Earnings Presentation

68 slides from Rational Aktiengesellschaft's earnings presentation, November 2022

  1. Slide 1: Fast. Precise. Versatile. Consistently enhanced. IR Presentation 9M 2022

    Fast. Precise. Versatile. Consistently enhanced. IR Presentation 9M 2022

  2. Slide 2: For people

    For people Preparing hot food in large and commercial kitchens 2

  3. Slide 3: RATIONAL - a good investment for customers and investors

    RATIONAL - a good investment for customers and investors Focus on the greatest possible customer benefit Customer benefit as a … leads to attractive sales … and economic strength. driver… opportunities … Market and technology leader Presence in > 120 countries 8% CAGR (12 years)* Very high repurchas

  4. Slide 4: RATIONAL increases already best in class customer satisfaction

    RATIONAL increases already best in class customer satisfaction Net promoter score (NPS) increased by 3 points to 64 0 Source: -20 +20 B2B International (2022) – in 17 markets of RATIONAL AG -40 +40 -60 +60 -80 +80 -100 +100 RATIONAL +64 Food & Drink Average +37 B2B Average +32 Manufacturing Average

  5. Slide 5: 7.8 billion people living on earth

    7.8 billion people are living on earth +80 million more every year 150,000,000 Dishes are prepared in RATIONAL appliances every day 4,800,000 Potential professional kitchens 75% still use traditional appliances 5

  6. Slide 6: For kitchens

    Forkitchens In which 20 or 20,000 meals are prepared 6

  7. Slide 7: Combi-steamers produced since 1976

    > 1,100,000 combi-steamers produced since 1976 > 50,000 Multifunctional cooking systems produced since 2005 7

  8. Slide 8: Worldwide presence. Close to the customer

    Worldwide presence Close to the customer 31 120 Local presence in more than subsidiaries countries 4,000 More than partners worldwide 8

  9. Slide 9: High untapped market potential for both product groups

    High untapped market potential for both product groups Aiming to substitute traditional equipment in professional kitchens 4.8 million addressable kitchens for iCombi 1.6 million addressable kitchens for iVario 2% iVario 12% iCombi 13% Competitors 2% Competitors 75% Traditional appliances 96% Tradit

  10. Slide 10: Our customers worldwide

    Our customers worldwide Establishments with over 20 meals per service ~40% (2018: 45%) Restaurants with service ~40% (unchanged) Community Catering ~7% (2018: 5%) ~13% (2018: 10%) Restaurants without service Retail Graphic refers to the number of sold appliances 10

  11. Slide 11: For food

    For food That sets standards in terms of quality 11

  12. Slide 12: The desired result. Day after day. Year after year. Millionfold

    The desired result Day after day. Year after year. Millionfold “Without RATIONAL we would not be able to prepare 20,000 Peking ducks per day in such high quality.“ Quanjude Gruppe Yan Dajian, Head of R&D, P.R. China 12

  13. Slide 13: For healthy nutrition

    For healthy nutrition With more nutrients and less pollutants 13

  14. Slide 14: For a customer benefit

    For a customer benefit That exceeds all expectations 14

  15. Slide 15: Greater customer benefit

    Higher Cost profits degression Greater attraction Greater Higher productivity customer benefit Customer benefit Positive Increasing learning demand curve 15 Growth

  16. Slide 16: Milestones for higher customer benefit

    Milestones for higher customer benefit 2020 1 million produced combi-steamers FRIMA becomes RATIONAL 2019 iVario iCombi 2018 ConntectedCooking Pro ConnectedCooking 2017 VarioCookingCenter 112L Foundation of 2016 RATIONAL GmbH VarioCookingCenter 112T SelfCookingCenter XS 2014 1973 VarioCookingCenter

  17. Slide 17: RATIONAL production sites

    RATIONAL production sites Landsberg/Lech Wittenheim 17

  18. Slide 18: iCombi Pro

    iCombi Pro The new golden standard. 18

  19. Slide 19: Intelligent and powerful

    Intelligent and powerful Grilling. Roasting. Baking. Steaming. All in one appliance 19

  20. Slide 20: iCombi Pro: The new golden standard

    iCombi Pro The new golden standard Reliable desired result. High productivity. Optimal planning. Effective cleaning. 20

  21. Slide 21: iVario Pro

    iVario Pro The multifunctional cooking appliance with contact heat 21

  22. Slide 22: Roast. Boil. Frying.

    Roast. Boil. Frying. 0 Up to 4 times faster, up to 40% less power consumption 22

  23. Slide 23: iVario Pro: The new performance class

    iVario Pro The new performance class Reliable results. Intelligent heating technology. Intelligent heating zone management. 23

  24. Slide 24: 50,000 iVario / VarioCookingCenter

    50,000 iVario / VarioCookingCenter 24

  25. Slide 25: An investment that pays off

    An investment that pays off For the environment, the cash flow and the future Save up to 30 % space Replace conventional cooking units with RATIONAL cooking systems Conventional technology Research project by Zurich University, using ABB Schweiz AG as an example › Proven savings: Multifunctional tec

  26. Slide 26: ConnectedCooking

    ConnectedCooking Digital kitchen management by RATIONAL

  27. Slide 27: Make your kitchen faster, easier, safer

    Make your kitchen faster, easier, safer With ConnectedCooking Distribute cooking programs | Update unit software | Document HACCP data Make everything easier. No matter where your cooking systems are.

  28. Slide 28: The digital kitchen is our biggest driving force

    "The digital kitchen is our biggest driving force. We only cook with ConnectedCooking. Everything is networked here." Johann Fiedler, Managing Director, DC Catering, Austria

  29. Slide 29: For services

    For services That inspire long-term 29

  30. Slide 30: First-class services

    First-class services For greater customer benefit › Expert advice › Personal introduction training › Academy RATIONAL › ConnectedCooking › ChefLine 30

  31. Slide 31: RATIONAL Technical Service

    RATIONAL Technical Service Always at the customer’s service › Original service parts › Certified service partners › Professional installation › Global service network 31

  32. Slide 32: International success stories

    International success stories RATIONAL at work 32

  33. Slide 33: 100% reliable

    100% reliable BMW World, Munich “I decide on the desired result, RATIONAL does the rest, and I can rely on the quality 100%.” BMW Group Kurt Rass , Kitchen Manager Munich, Germany 33

  34. Slide 34: 35% less energy - Hilton, Birmingham

    35% less energy Hilton, Birmingham 34

  35. Slide 35: The all-round carefree package - Nando's

    The all-round carefree package Nando‘s, International 35

  36. Slide 36: How do they do it?

    How do they do it? 36

  37. Slide 37: With employees

    With employees Who are committed and inspire 37

  38. Slide 38: With the U.i.U.-principle

    With the “U.i.U.”-principle Making decisions, assuming responsibility 38

  39. Slide 39: With courage

    Withcourage To reinvent customer benefit 39

  40. Slide 40: With 1,000 chefs

    With 1,000 chefs At work every day 4 chefs, 4 journeys 40

  41. Slide 41: With new talent

    Withnew talent More than 80 apprentices and students 41

  42. Slide 42: With responsibility

    Withresponsibility For people and the environment 42

  43. Slide 43: Everything for the one goal

    Everything for the one goal Happy customers 43

  44. Slide 44: The Executive Board

    The Executive Board For customers and employees Dr Peter Stadelmann Peter Wiedemann Dr Martin Hermann Markus Paschmann Jörg Walter CEO COO CTO CSMO CFO

  45. Slide 45: Great results

    Great results Figures. Facts. Data. 45

  46. Slide 46: Improved availability of electronic components

    Improved availability of electronic components Forecast 2022: 23% to 28% sales growth deemed as realistic 960 - 998 844 778 780 702 650 613 +23% - +9% +15% +11% +8% -23% +20% +28% 2016 2017 2018 2019 2020 2021 2022e Sales reveneues in mEUR Sales revenues growth in % 46

  47. Slide 47: Sales revenues grow from one all-time high to the next

    Sales revenues grow from one all-time high to the next Component availability, price increases and FX support strong growth +33% 274 +10% +34% 225 232 231 205 212 213 207 194 193 168 2019 2021 2022 2019 2021 2022 2019 2021 2022 2019 2021 Q1 Q2 Q3 Q4 Sales revenues in mEUR Individual values and total

  48. Slide 48: Delivery times are returning to normal in some markets

    Delivery times are returning to normal in some markets 330 mEUR or 36,000 units in order backlog end of Q3 2022 › In some markets new orders can be delivered within 4-8 weeks (e.g. UK). ~ 330 mEUR › We expect lead times and order backlog to get back to pre-crisis level in Q1 2023. › Number of semi-f

  49. Slide 49: RATIONAL is the global market leader for combi-steamers

    RATIONAL is the global market leader for combi-steamers Because we focus on what we know best RATIONAL Competitors (100 in total worldwide) Convotherm (Ali Group), Blodgett Middleby, MKN, Lainox (Ali Group), Eloma (Ali Group), Electrolux, Alto-Shaam, Unox 49

  50. Slide 50: 9M 2022 sales revenue by region

    9M 2022– sales revenue by region All regions well above 2019 - Asia slightly below previous year Europe North America 318 Asia 272 259 150 84 92 91 117 103 +46% -1% 9M 2019 9M 2021 9M 2022 9M 2019 9M 2021 9M 2022 +23% 9M 2019 9M 2021 9M 2022 Latin America Germany Rest of the world 93 74 77 33 39 41

  51. Slide 51: iVario to exceed 100 mEUR of sales revenues in 2022

    iVario to exceed100 mEUR of sales revenues in 2022 Both product groups were in strong demand Sales revenues iCombi Sales revenues iVario 634 559 526 98 54 60 +20% +63% 9M 2019 9M 2021 9M 2022 9M 2019 9M 2021 9M 2022 Sales revenues in mEUR Sales revenue growth in % 51

  52. Slide 52: EBIT on all-time high with 22% growth

    EBIT on all-time high with 22% growth EBIT margin at 22% in 9M 2022 +108% +14% +7% +12% +22% 132 142 160 64 134 163 -60% 26% 25% 26% 22% 23% 14% 9M 2017 9M 2018 9M 2019 9M 2020 9M 2021 9M 2022 EBIT in mEUR EBIT margin in % EBIT growth in % 52

  53. Slide 53: Solid balance sheet provides security and flexibility

    Solid balance sheet provides security and flexibility High equity ratio and liquidity in mEUR 9M 2022 9M 2021 Non-current assets 234 216 Inventories 101 77 Trade receivables 163 117 Other assets 86 44 Liquid funds 252 307 Total assets 836 761 Equity 613 581 Non-current liabilities 33 35 Current prov

  54. Slide 54: Capex targeted for growth and efficiency

    Capex targeted for growth and efficiency Due to delayed projects capex in 2022 lower than expected 43 40 40 32 30 31 30 - 29 26 35 25 14 12 2017 2018 2019 2020 2021 2022e The years 2019 and following include Depreciation/amortisation in mEUR depreciation resulting from IFRS 16. Investments in mEUR 5

  55. Slide 55: Dividend 2021

    Dividend 2021 Dividend of 7.50 Euros and special dividend of 2.50 Euros 15.09 The basic dividend represents a return to 13.84 the traditionally high payout ratio of around 12.58 70% of net profits. 11.18 10.88 2.00 The special dividend is intended to 2.00 9.50 2.50 8.80 compensate shareholders parti

  56. Slide 56: Employee satisfaction remaining on high level

    Employee satisfaction remaining on high level 87% of our employees are proud to work for RATIONAL 2,356 This summer we again conducted a global 2,258 2,248 2,180 employee satisfaction survey. 2,113 1,884 The three main strengths of RATIONAL are › the satisfaction of employees with their working rela

  57. Slide 57: Why we will stay successful

    Why we will stay successful Crises are creating new opportunities – we will benefit from them. › Enormous free market potential for the iCombi (3.6 million kitchens) and the iVario (1.5 million kitchens) will ensure constant demand in the coming years. › The growing shortage of skilled workers in th

  58. Slide 58: Sales revenue and profit outlook for 2022

    Sales revenue and profit outlook for 2022 2022 expected to develop better than originally forecasted › Material availability has improved since August, leading to higher production and sales volumes. This is expected to continue in Q4 2022. › In addition, strong after-sales business, price increases

  59. Slide 59: What may we expect in the future?

    What may we expect in the future? 59

  60. Slide 60: The crisis is causing risks …

    − Restrictions in tourism, event and restaurant business etc. The crisis is − Less business travel, more home office. causing − More home cooking and cold nutrition. risks … − Consolidation of dealers and end- customer sectors. − Growing second-hand market. − Limitation of investment behaviour of ou

  61. Slide 61: … but also numerous chances.

    − New customer groups gaining in importance (retail, … but also delivery, dark kitchens...). numerous − Government program support investments. − Higher spending per restaurant visit expected. chances. − More focus on hygiene and healthy cooking methods. − More pressure on efficiency in professional

  62. Slide 62: Positive megatrends for RATIONAL

    Positive megatrends for RATIONAL › Worldwide population That is how the world of tomorrow lives growth. › Varying catering loations. › Increasing purchasing power in developing countries. › Increasing hygiene requirements in kitchens. › Increased meaning of efficient kitchen processes. › Demand for

  63. Slide 63: Investment story: RATIONAL strength profile

    Investment story RATIONAL strength profile › High brand awareness in professional kitchens. › World market leader, free market potential. › High customer satisfaction and loyalty. › Global footprint of sales and service network, scalable business model. › Flexible and lean production, low degree of

  64. Slide 64: RATIONAL share price development

    RATIONAL share price development Markets remain volatile 64

  65. Slide 65: Investment recommendations: Broad Coverage

    Investment recommendations Broad Coverage Median Fair Value = 595 euros Sell; 2 Buy; 6 Hold; 6 Status: November 2022 65

  66. Slide 66: Investor relations contact, Financial calendar

    Investor relations contact Financial calendar Company information Financial calendar 2022 RATIONAL AG 24.03.2021 Financial Figures Fiscal Year 2021 (virtual) Siegfried-Meister-Straße 1 04.05.2022 General Shareholder‘ Meeting 2022 (virtual) 86899 Landsberg am Lech 11.05.2022 Financial Figures Q1 2022

  67. Slide 67: RATIONAL

    RATIONAL

  68. Slide 68: Disclaimer

    Disclaimer This presentation serves the single purpose of introducing the RATIONAL Group and providing a brief overview. The information contained is not intended to be exhaustive and does not provide a basis for corporate decisions or serve as investment advice. We assume no warranty, guarantee or

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