Fuchs Se · XETR:FPE

Fuchs — Fuchs Petrolub — German, Swiss & Austrian Conference, Berlin 2014

33 slides from Fuchs's conference presentation, Jun 11, 2014

  1. Slide 1: The leading independent lubricants manufacturer of the world

    FUCHS PETROLUB SE The leading independent lubricants manufacturer of the world Stefan Fuchs, CEO Dagmar Steinert, Head of Investor Relations German, Swiss & Austrian Conference, Berlin June 11, 2014

  2. Slide 2: FUCHS business model & strategic position

    FUCHS business model & strategic g p position 2 FUCHS PETROLUB SE

  3. Slide 3: The leading independent lubricants manufacturer of the world

    The leading independent lubricants manufacturer of the world  Founded in 1931  2013 sales revenues: €1.8 bn  2013: 3,888 employees in 36 countries  31 production d ti ffacilities iliti  100,000 customers in more than 150 countries  Member of the MDAX, DAXplus Family 30 and STOXX Europe 600 3 F

  4. Slide 4: FUCHS - business model

    FUCHS - business model  FUCHS is fully focussed on lubricants  Technology, innovation and specialisation leadership  Independence allows customer and market proximity  FUCHS is a full-line supplier  Global presence 4 FUCHS PETROLUB SE

  5. Slide 5: FUCHS - long-term strategic objectives

    FUCHS - long-term strategic objectives  Continue to be the world’s largest independent lubricants company  Value-based growth through innovation and specialisation leadership  Organic growth coupled with potential acquisitions  Creating shareholder value through FUCHS VALUE ADDED principle  Rem

  6. Slide 6: Regional breakdown of world lubricants demand

    Regional breakdown of world lubricants demand World lubricants demand 2013: 35 mn t Demand 36.4 35.3 (mn t) 27% 20%  Asia-Pacific biggest regional lubricants Europe market & highest growth rate 28% Americas 34% Asia-Pacific  North America and Western Europe & Rest of World mature markets; focus mo

  7. Slide 7: Top 20 Lubricants Countries 2013

    Top 20 Lubricants Countries 2013 K ttons 7.000 6 000 6.000 5.000 4.000 3 000 3.000 2.000 1.000 0 China USA India Russia Japan Brazil Germany Korea Mexico Iran Indonesia UK Canada France Thailand Taiwan Turkey Australia Egypt Italy 7 FUCHS PETROLUB SE

  8. Slide 8: FUCHS is the Specialist for Lubricants

    FUCHS is the Specialist for Lubricants Worldwide lubricant market 2013 FUCHS manufactured lubricants 2013 (volume) (volume) Process Process Oils Oils 1.6% 9.9% Automotive Oils Automotive MWF/CP/ 56.0% MWF/CP/ Oils Greases* Greases 45.8% 8 3% 8.3% 30 0% 30.0% Industrial Oils 25 8% 25.8% Industrial Oi

  9. Slide 9: Competition – strong fragmentation

    Competition – strong fragmentation manufacturers:  High degree of fragmentation 130 major oil companies  Concentration especially 590 independent manufacturers among smaller companies 720 manufacturers sizes:  Differences in the size of manufacturers f t volumes l manufacturers are enormous % top

  10. Slide 10: FUCHS is strategically well positioned as the 9th largest lubricant company

    FUCHS is strategically well positioned as we are the 9th largest lubricant company in the world* world * by volume Source: FUCHS Global Competitive Intelligence 10 FUCHS PETROLUB SE

  11. Slide 11: We have a worldwide network

    We have a worldwide network production sites 11 FUCHS PETROLUB SE

  12. Slide 12: FUCHS - the niche specialist

    FUCHS - the niche specialist R & D expenses in € mn  Technical Leadership through intensive Research & Development.  398 researchers around the globe help our customers to solve their problems.  FUCHS PETROLUB spent € 31 mn in R&D expenses during 2013 12 FUCHS PETROLUB SE

  13. Slide 13: Financials – return for shareholders

    Financials – return for shareholders 13 FUCHS PETROLUB SE

  14. Slide 14: Sales revenues and earnings after tax over ten years

    During the past 10 years, sales revenues have increased by 5.8% 5 8% pp.a. a and earnings after tax by 18.5% 18 5% p p.a. a Sales Earnings after tax € mn € mn 1.800 250 1.500 200 1,652 1.200 1,819 1,832 150 218.6 207.0 183.1 900 459 394 365 1,323 92 78 171..6 1,4 1,096 6 100 1,041 1 1,3 1,19 1,3 1,1

  15. Slide 15: All world regions contribute to the success

    All world regions contribute to the success EBIT (€ mn) 180 160 140 120 100 80 60 40 20 0 Europe Asia-Pacific, Africa North and South America 2009 2010 2011 2012 2013 15 FUCHS PETROLUB SE

  16. Slide 16: FUCHS market capitalization and FVA

    During the past 10 years, FVA increased by 25% p.a. and market capitalization increased to almost €5 bn bn. FVA = Fuchs Value Added FUCHS market capitalization 250 5.000 200 4.000 150 3.000 221.9 208.2 86.0 82.7 100 2.000 18 18 136.5 116.8 110.1 100.3 50 1.000 71.4 24.1 37.4 0 0 2003 2004 2005 2006

  17. Slide 17: Solid financing

    Solid financing € mn 1.000 800 600 400 200 0 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 -200 -400 -600 net debt/net cash equity 17 FUCHS PETROLUB SE

  18. Slide 18: Dividends paid since IPO in 1985

    Since IPO in 1985 we have paid dividends - during the past 10 years dividends have been increased by 23% p years, p.a. a Dividend per preference share € 1.40 1,40 1,20 1.20 1.00 1 1,00 00 0,80 0.80 0,60 0.60 0,40 0.40 0,20 0.20 0,00 0.00 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 19

  19. Slide 19: Total return to shareholders through dividends and share buyback

    Total return to FUCHS shareholders through dividend distribution and share buyback – cash-out Di id d di Dividend distribution t ib ti and d share h b buyback b k – Cash-out C h t € mn 180 160 140 120 100 80 60 40 20 0 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 dividend distribution

  20. Slide 20: Q1 2014

    Q1 2014 LUBRICANTS. TECHNOLOGY. PEOPLE.

  21. Slide 21: Good start into the year 2014

    Good start into the year 2014  Sales up p 3.3% despite p unfavourable currency y effects; organic g g growth of 7.3%  Earnings before interest and tax (EBIT) increase by 3.0% to €75.6 mn  Outlook for the financial year confirmed € mn Q 1 2014 Q 1 2013 Variance Sales revenues 456.8 442.0 14.8 3.3%

  22. Slide 22: Outlook 2014

    Outlook 2014 22 FUCHS PETROLUB SE

  23. Slide 23: Outlook for the FUCHS Group

    Outlook for the FUCHS Group Outlook for the year 2014  organic i sales l growth th iin th the llow single-figure i l fi percentage t range for f the th year; organic growth rate of 7,3% seen in Q1 should not be extrapolated.  EBIT is forecast to grow by a low single-figure percentage.  Capital p

  24. Slide 24: Growth initiative

    Growth initiative 24 FUCHS PETROLUB SE

  25. Slide 25: Growth initiative - expanded global footprint

    Growth initiative - We have significantly expanded our global footprint € mn 80 Main focus of investments were the construction of new plants 71.4 72.8 in growth regions such as Russia, China and Brazil, the 70 modernization and expansion of our large sites in the U.S. and 60 Germany as well as an e

  26. Slide 26: Capex - completed in 2013

    Capex - completed in 2013 26 FUCHS PETROLUB SE

  27. Slide 27: Capex – planned for 2014

    Capex – planned for 2014 27 FUCHS PETROLUB SE

  28. Slide 28: Growth initiative – Personnel increase mainly in sales and R&D

    Growth initiative – Personnel increase mainly in sales and R&D Number of employees (on 31 December) 4.000 Total workforce: 3.888 ~ 50% sales and R&D 3,888 3.500 3,773 669 84 3,488 8 3,58 3,6 3.000 2009 2010 2011 2012 2013 28 FUCHS PETROLUB SE

  29. Slide 29: Mission Statement of the FUCHS PETROLUB Group

    Mission Statement of the FUCHS PETROLUB Group 29 FUCHS PETROLUB SE

  30. Slide 30: Values of the FUCHS PETROLUB Group

    Values of the FUCHS PETROLUB Group Trust Creating value Respect R li bilit Reliability Integrity 30 FUCHS PETROLUB SE

  31. Slide 31: FUCHS’ strategic position is a combination of …

    FUCHS’ strategic position is a combination of … FUCHS Size & Global Presence Cutting Customer edge focus gy technology FVA Motivated as the Employees KPI Independence & Financial Strength 31 FUCHS PETROLUB SE

  32. Slide 32: FUCHS is fully focused on lubricants

    FUCHS is fully focused on lubricants Sales €1.8 mn Automotive lubricants other Industrial lubricants 40.4% 3.6% 56.0% 100,000 customers Automotive Manufacturing Engineering Construction & Mining & Trade. services & industry transportation passenger steel & cement conveyer belt agriculture wind energ

  33. Slide 33: Thank you for your attention

    Thank you for your attention This presentation contains statements about future development that are based on assumptions and estimates by the management of FUCHS PETROLUB SE. SE Even if the management is of the opinion that these assumptions and estimates are accurate, future actual developments an

Fuchs Petrolub — German, Swiss & Austrian Conference, Berlin 2014 on 6ix