Slide 1: Interim Report January - September 2002
Interim Report January - September 2002 November 5, 2002 5.11.2002 Interim Report
Slide 2: Highlights
Highlights ! Comparable net sales similar to last year ! Profitability at a good level ! Strong cashflow and healthy balance sheet ! Winter Sports’ sales at a new record level ! Golf Division returned to profitability 5.11.2002 Interim Report
Slide 3: Precor Inc.
Precor Inc. ! Acquisition completed on October 31 ! Purchase price EUR 180 million ! A leading supplier of fitness equipment ! Net sales EUR 195 million, EBIT EUR 24 million (est. 2002) ! Precor’s figures will be consolidated with those of the Amer Group as of November 1 5.11.2002 Interim Report
Slide 4: Financial Review
Financial Review Pekka Paalanne CFO 5.11.2002 Interim Report
Slide 5: January - September key indicators
January - September key indicators Q1-Q3/02 Q1-Q3/01 FY 2001 Net sales (MEUR) 835.8 855.3 1,099.8 EBIT(MEUR) 77.2 81.6 98.6 EBT (MEUR) 72.0 73.8 89.3 EPS (EUR) 2.23 2.40 2.90 5.11.2002 Interim Report
Slide 6: July - September key indicators
July - September key indicators Q3/2002 Q3/2001 FY 2001 Net sales (MEUR) 283.6 304.5 1,099.8 EBIT(MEUR) 38.7 33.7 98.6 EBT (MEUR) 36.5 31.8 89.3 EPS (EUR) 1.13 1.05 2.90 5.11.2002 Interim Report
Slide 7: Net sales, rolling 12 months (MEUR)
Net sales, rolling 12 months (MEUR) 1250 1086,6 1096,5 1105,7 1123,9 1099,8 1113 1101 1080,3 1000 750 500 250 0 IV/00 I/01 II/01 III/01 IV/01 I/02 II/02 III/02 5.11.2002 Interim Report
Slide 8: EBIT, rolling 12 months (MEUR)
EBIT, rolling 12 months (MEUR) 120 101,6 99,8 98,6 99,5 100 94,9 95,1 94,2 89,2 80 60 40 20 0 IV/00 I/01 II/01 III/01 IV/01 I/02 II/02 III/02 5.11.2002 Interim Report
Slide 9: Breakdown of net sales
Breakdown of net sales Q1-Q3/02 Q1-Q3/01 FY2001 Racquet 204.6 216.6 264.8 Golf 184.8 197.9 235.9 Team 162.0 162.8 204.7 Winter sports 136.2 131.1 199.3 Sports instruments 61.8 61.3 83.4 Tobacco 86.4 77.8 103.9 835.8 847.5 1,092.0 Sold operations - 7.8 7.8 Total 835.8 855.3 1,099.8 5.11.2002 Interim
Slide 10: Geographic breakdown of net sales
Geographic breakdown of net sales Q1-Q3/02 Q1-Q3/01 FY2001 North America 435.7 459.1 562.1 Europe 296.0 285.0 393.5 Japan 46.1 50.4 60.6 Asia Pacific 27.8 28.0 35.9 Other 30.2 32.8 47.7 Total 835.8 855.3 1,099.8 5.11.2002 Interim Report
Slide 11: Breakdown of EBIT
Breakdown of EBIT Q1-Q3/02 Q1-Q3/01 FY2001 Wilson 53.9 46.4 47.0 Winter sports 23.0 23.4 40.2 Sports instruments 6.8 7.9 10.1 Tobacco 7.3 7.5 9.6 HQ -7.1 2.7 0.3 Group goodwill -6.7 -7.0 -9.3 Sold operations - 0.7 0.7 Total 77.2 81.6 98.6 5.11.2002 Interim Report
Slide 12: Profit and loss statement
Profit and loss statement Q1-Q3/02 Q1-Q3/01 FY 2001 Net sales 835.8 855.3 1,099.8 EBIT 77.2 81.6 98.6 Net financials -5.2 -7.8 -9.3 EBT 72.0 73.8 89.3 Taxes -20.2 -16.9 -20.5 Net profit 51.8 56.9 68.5 ROCE % *) 17.5 16.8 17.0 *) Rolling 12 months 5.11.2002 Interim Report
Slide 13: EPS, rolling 12 months (EUR)
EPS, rolling 12 months (EUR) 3,5 2,91 2,87 2,9 3,01 3 2,7 2,69 2,65 2,73 2,5 2 1,5 1 0,5 0 IV/00 I/01 II/01 III/01 IV/01 I/02 II/02 III/02 5.11.2002 Interim Report
Slide 14: ROCE, rolling 12 months (%)
ROCE, rolling 12 months (%) 20 16,9 17 17,5 17,5 16,6 16,1 16,8 16,1 15,7 16 12 8 4 0 III/00 IV/00 I/01 II/01 III/01 IV/01 I/02 II/02 III/02 5.11.2002 Interim Report
Slide 15: Balance sheet
Balance sheet 30 Sept 2002 30 Sept 2001 31 Dec 2001 Goodwill 183.0 202.7 208.1 Fixed assets 215.0 224.9 227.7 Inventories 140.1 154.9 155.2 Receivables 294.2 303.8 282.4 Cash 24.1 20.0 28.5 Equity 480.3 463.4 469.3 Int. bearing debt 93.2 135.4 143.0 - Long term 49.7 81.6 73.4 - Short term 43.5 53.8
Slide 16: Equity ratio and gearing, %
Equity ratio and gearing, % 60 50 40 Eq ratio 30 Gearing 20 10 0 II/00 III/00 IV/00 I/01 II/01 III/01 IV/01 I/02 II/02 III/02 Q1-Q3/02 Q1-Q3/01 FY2001 EqRatio % 54.8 49.9 50.7 Gearing % 15 26 26 5.11.2002 Interim Report
Slide 17: Divisional highlights
Divisional highlights Roger Talermo President & CEO 5.11.2002 Interim Report
Slide 18: Winter Sports
Winter Sports ! Sales at a new record level ! North American sales up 11% ! Alpine ski sales up 9%, bindings up 11% ! Net sales expected to grow, EBIT to decline slightly in 2002 as a whole Q1-Q3/02 Q1-Q3/01 Ch Net sales 136.2 131.1 4 EBIT 23.0 23.4 -2 5.11.2002 Interim Report
Slide 19: Sports Instruments
Sports Instruments ! Wristop computers sales up 23% ! New products to the market: X6 HR, S6, G9 ! Suunto M9 to the market in Q1/2003 ! Cooperation with the Austrian alpine ski team ! Net sales and EBIT expected to be stable Q1-Q3/02 Q1-Q3/01 Ch Net sales 61.8 61.3 1 EBIT 6.8 7.9 -14 5.11.2002 Interi
Slide 20: Racquet Sports
Racquet Sports • EBIT declined slightly • Tennis racquet sales declined 6% • Tennis ball sales similar to last year • Improved sales of performance footwear • Net sales expected to decline slightly, EBIT to remain stable Q1-Q3/02 Q1-Q3/01 Ch Net sales 204.6 216.6 -6% 5.11.2002 Interim Report
Slide 21: Golf
Golf ! Return to profitability ! Performance club sales grew ! Golf ball sales declined – New ”Wilson Jack” ! Net sales expected to decline slightly, EBIT positive Q1-Q3/02 Q1-Q3/01 Ch Net sales 184.8 197.9 -7% 5.11.2002 Interim Report
Slide 22: Team Sports
Team Sports ! EBIT improved slightly ! Baseball glove sales up 15%, baseball and softball bat sales up 10% ! Sales and EBIT expected to remain stable Q1-Q3/02 Q1-Q3/01 Ch Net sales 162.0 162.8 -0.5% 5.11.2002 Interim Report
Slide 23: Tobacco
Tobacco ! Tax free deliveries to the Baltic Sea area ! Net sales expected to grow, EBIT to decline slightly Q1-Q3/02 Q1-Q3/01 Ch Net sales 86.4 77.8 11 EBIT 7.3 7.5 -3 5.11.2002 Interim Report
Slide 24: Outlook for full year 2002
Outlook for full year 2002 ! Sporting goods market expected to remain stable ! Estimated net sales in 2002 as a whole EUR 1.1 billion ! EBIT in line with last year’s good performance ! Precor expected to have a positive influence on the EPS in the current year ! Strong cashflow and balance sheet 5.1
Slide 25: Interim Report
AMER SPORTS PRECOR: wa => move beyond" 5.11.2002 Interim Report [1] Wikson. SUUNTO A Aramic
Slide 26: Precor: an excellent strategic fit
Precor: an excellent strategic fit ! An established brand ! Focus on technology leadership ! Premium products ! True specialist in fitness ! Growing market 5.11.2002 Interim Report
Slide 27: Precor's philosophy
Precor’s philosophy ! Working with natural movements – Minimal impact and resistance – Better aerobic workouts 5.11.2002 Interim Report
Slide 28: US Equipment market 2001
US Equipment market 2001 Manufacturers’ sales 4000 3500 3000 2500 2000 1500 1000 500 0 Fitness Golf Baseball/softball Tennis SGMA State of the Industry Jan 2002 SGMA Tracking the fitness movement 2002 5.11.2002 Interim Report
Slide 29: Fitness equipment market
Fitness equipment market ! The largest sporting goods equipment segment in the USA (2001: $3.6 billion) ! 7% CAGR in fitness equipment purchases since 1990 ! Increased focus on safe, low-impact forms of exercise (e.g. elliptical training) 5.11.2002 Interim Report
Slide 30: Precor: breakdown of net sales
Precor: breakdown of net sales International 20% Retail 35% Commercial 65% North America 80% 5.11.2002 Interim Report
Slide 31: Amer Sports taking Precor forward
Amer Sports taking Precor forward ! International distribution know-how ! Brand building ! R & D cooperation 5.11.2002 Interim Report
Slide 32: Target: To be the no. 1 sports equipment company in the world
Target: To be the no. 1 sports equipment company in the world 5.11.2002 Interim Report