Gestamp Automocion S.a. · BME:GEST
Gestamp Automocion — 9M 2018 Earnings Presentation
21 slides from Gestamp Automocion's earnings presentation, Oct 22, 2018
Slide 1: Presentation of 9M 2018 Results
Presentation of 9M 2018 Results October 22nd, 2018 © Gestamp 2018
Slide 2: Disclaimer
Disclaimer This presentation has been prepared solely for use at this presentation of our results as of and for the quarter ended September 30, 2018. By attending the conference call meeting where this presentation is made, or by reading the presentation slides, you agree to be bound by the followin
Slide 3: Agenda
Agenda Key Highlights for Q3 and 9M 2018 Financial Overview Closing Remarks © Gestamp 2018 3
Slide 4: Key Highlights for Q3 and 9M 2018
Key Highlights for Q3 and 9M 2018 • Gestamp’s performance for the first nine months of 2018 has been in line with our expectations, despite having experienced a more challenging Q3 than expected as a result of the underlying market conditions • Macro outlook continues to be solid although global gro
Slide 5: Global Auto Market Update
Global Auto Market Update • Despite ongoing auto market uncertainties, which have led to a 1.9%(1) decline in global light vehicle production in Q3 2018, the first nine months of 2018 have experienced a 1.1%(1) growth rate ‒ Growth in 9M 2018 mainly driven by Mercosur (+7.6%)(1), Eastern Europe (+3.
Slide 6: Automotive Growth 9M 2018 vs. 9M 2017
Automotive Growth 9M 2018 vs. 9M 2017 Gestamp Revenue Growth at Constant FX vs. Market Production Growth in Gestamp’s Footprint Eastern Europe 34.8% NAFTA Western Europe 3.5% 16.6% Market Gestamp -1.6% -2.4% -0.1% Market Gestamp Market Gestamp Asia 1.8% Mercosur -3.4% 48.3% Market Gestamp Total in O
Slide 7: Gestamp's Financial Performance in 9M 2018
Gestamp’s Financial Performance in 9M 2018 (In €m) 9M 2017 9M 2018 Total Revenue 6,005 6,155 EBITDA 627 681 EBITDA margin (%) 10.4% 11.1% EBIT 321 366 EBIT margin (%) 5.3% 6.0% Net Income 153 163 Net debt 2,150 2,498 9M 2018 Revenue increased by 8.9% at constant FX(1) and EBITDA increased by 16.8% a
Slide 8: Gestamp's Financial Performance in Q3 2018
Gestamp’s Financial Performance in Q3 2018 (In €m) Q3 2017 Q3 2018 Total Revenue 1,874 1,894 EBITDA 175 196 EBITDA margin (%) 9.3% 10.3% EBIT 79 92 EBIT margin (%) 4.2% 4.8% Net Income 36 31 Net debt 2,150 2,498 Q3 2018 Revenue increased by 7.6% at constant FX(1) and EBITDA increased by 22.2% at con
Slide 9: Financial Performance
Financial Performance EBITDA(1) Net Income Considerations (In €m) (In €m) • Strong EBITDA of €196m in Q3 18 +€21m +€54m -€5m +€10m or 22.2% growth at constant FX • Net Income growth in 9M 18 with €196m €681m €36m €163m €153m Q3 18 negatively impacted by €175m €31m ‒ Increase in financial expenses €6
Slide 10: Agenda
Agenda Key Highlights for Q3 and 9M 2018 Financial Overview Closing Remarks © Gestamp 2018 10
Slide 11: Revenue and EBITDA Summary Overview
Revenue and EBITDA Summary Overview (In €m) Considerations • Q3 Revenue increase of 1.1% or 7.6%(1) at constant FX, reaching €1,894m − Strong growth in NAFTA and Eastern Europe 1,894 6,005 6,155 partially offset by a decrease in Western 1,874 Revenue Europe and Asia − FX headwinds especially in East
Slide 12: Western Europe Financial Overview
Western Europe Financial Overview (In €m) Considerations -1.9% • Q3 Revenue decline of 5.5% reaching €865m 3,060 3,000 − Decrease in Germany in line with market production volumes and lower tooling revenues Revenue 915 865 − Continued decrease in the UK − France and Iberia have been stable • 9M Reve
Slide 13: Eastern Europe Financial Overview
Eastern Europe Financial Overview (In €m) Considerations • Q3 Revenue of €269m resulting in 25.1% growth − Strong growth across all countries except for 841 Turkey, impacted by continued FX headwinds 699 269 Revenue 215 − Underlying growth driven by ramp-up of projects − Continued market recovery in
Slide 14: NAFTA Financial Overview
NAFTA Financial Overview Considerations (In €m) • Q3 Revenue growth of 25.8% reaching €410m − Good growth in Mexico as a result of project 1,167 ramp-ups 1,077 410 − Solid growth in the US despite change-over of Revenue 326 some programs • 9M Revenue growth of 8.4% reaching €1,167m − Growth for the
Slide 15: Mercosur Financial Overview
Mercosur Financial Overview (In €m) Considerations • Q3 Revenue of €137m resulting in 47.4% growth 0.1% at constant FX(2) 426 − Strong above market growth in Brazil 392 − Argentina impacted by FX headwinds as well as 137 137 Revenue a slow-down in underlying market dynamics • 9M Revenue of €426m res
Slide 16: Asia Financial Overview
Asia Financial Overview (In €m) Considerations • Q3 Revenue decrease of 23.9% reaching €214m − Decrease mainly driven by weaker production 778 volumes 720 281 − China performance in line with market Revenue 214 production volume slowdown • 9M Revenue fell 7.3% reaching €720m based on similar reasons
Slide 17: Capital Expenditure Overview 9M 2018
Capital Expenditure Overview 9M 2018 Capex Breakdown Considerations (In €m) Q3 2018 Capex as % Capex as % 12.2% 10.6% • Gestamp has continued to make investments of revenues of revenues to support high-quality projects which will translate into profitable growth in the future 751 56 • Total capex 20
Slide 18: Net Financial Debt Position
Net Financial Debt Position Net Financial Debt / EBITDA (x) Net Financial Debt / EBITDA (x) — Q3 Seasonality Considerations Net Financial NFD Delta €2,150m €2,498m (€m) +€502m +€517m +€600m Debt (€m) • Lower level of activity in Q3 reduces cash-flow from operating activities, and leads to higher 2.4
Slide 19: Agenda
Agenda Key Highlights for Q3 and 9M 2018 Financial Overview Closing Remarks © Gestamp 2018 19
Slide 20: Closing Remarks
Closing Remarks • Gestamp’s performance for the first nine months of 2018 has been positive and in line with the guidance provided at the beginning of the year • Macro and Auto sector growth expectations have become slightly more cautious given the recent downward revision of forecasts but they cont
Slide 21: Working for a Safer and Lighter Car Investor Relations
Working for a Safer and Lighter Car www.gestamp.com Investor Relations Phone: +34 91 275 28 72 Email: investorrelations@gestamp.com Web: www.gestamp.com © Gestamp 2018 © Gestamp 2018