Siemens Aktiengesellschaft · XETR:SIE
Siemens Aktiengesellschaft — Siemens — Investor Day (December 2008)
18 slides from Siemens Aktiengesellschaft's investor day presentation, Dec 18, 2008
Slide 1: Siemens Industry: Mobility Division
Siemens Industry: Mobility Division Dr. Hans-Jörg Grundmann, CEO Mobility Division Capital Market Days 'Industry' Munich, December 18, 2008 Copyright © Siemens AG 2008. All rights reserved
Slide 2: Safe Harbour Statement
Safe Harbour Statement This document contains forward-looking statements and information – that is, statements related to future, not past, events. These statements may be identified by words such as “expects,” “looks forward to,” “anticipates,” “intends,” “plans,” “believes,” “seeks,” “estimates,”
Slide 3: Velaro RUS – Handover of first train in St. Petersburg
Velaro RUS – Handover of first train in St. Petersburg Velaro RUS: High-speed trains for Russia Reuters, September 26, 2008 Customer: Russian Railway Company RZD … Siemens Mobility is supplying eight high-speed Eight Velaro RUS high-speed trains trains with a value of €276 million to Russian O
Slide 4: We have a complete portfolio for the effective management of growing volumes of traffic
We have a complete portfolio for the effective management of growing volumes of traffic Mobility Division Infrastructure Rolling Stock Rail Automation Traffic Solutions Turnkey Systems Logistics Public transit Train control Traffic management Rail electrification Postal automation (e.g., c
Slide 5: The market is attractive, with Europe as the largest and fastest-growing segment
The market is attractive, with Europe as the largest and fastest-growing segment … Development of Mobility market Recently-won contract: €bn CAGR 2007-10 (%) 91 4 82 22 1 Asia 21 13 3 Rest of 12 world 5 19 Americas 17 38 6 Europe 32 Customer: Deutsche Bahn AG 15 Velaro D high-speed trains 2007 2010E
Slide 6: … and we are present in emerging growth markets
… and we are present in emerging growth markets Future growth segments: Development of Mobility market Emerging markets China, India, Russia €bn CAGR 2007-10 (%) 91 4 Velaro CHN 82 high-speed train 22 1 Asia 21 13 3 Rest of 12 world 5 19 Americas 17 Beijing Airport 32 38 6 baggage handling Europe sy
Slide 7: We focus on high-margin businesses in the emerging markets
We focus on high-margin businesses in the emerging markets Market description / Outlook Mobility market strategy China ~ €50 billion railway investment program from 2008 to 2010 Strengthen high-margin ~ 50% of China's Rail Expressway still to be components business finished Rapid urbanization
Slide 8: 2008: a tough year for Mobility
2008: a tough year for Mobility Comment €bn -5% 6.2 5.8 2008 profit mainly affected by: Revenue BtB- ratio 1.05 1.34 - Costs of Mobility in Motion transformation program €m 274 - Charges in major projects Margin 4.4% Profit -3.9% - Provisions related to software -230 challenges at Rail Automation
Slide 9: Mobility in Motion: Rapid progress towards profit and target margin
Mobility in Motion: Rapid progress towards profit and target margin Mobility in Motion Division leadership Operational improvement Supply Chain / Manufacturing Engineering / Procurement program targeting at Strategy / Organization Rolling Stock Central functions ~ €1.2 billion cost Project Executi
Slide 10: Mobility in Motion – We tackled our project problems
Mobility in Motion – We tackled our project problems Lessons learned, actions taken to avoid future risks We screened our projects… 1 New project selection criteria established Project reviews 2 Proven limit-of-authority conducted process introduced Financial implications booked 3 Projects wi
Slide 11: Mobility in Motion drives performance
Mobility in Motion drives performance Operational excellence program Mobility in Motion New organization established, e.g. 1 Number of BUs reduced from 10 to 5 ~ 30% reduction of Headquarter functions reduced from 16 to 7 production capacity 2 Production overcapacity reduced, e.g. at Rolling
Slide 12: Standards and platforms are successfully launched…
Standards and platforms are successfully launched… SICAS S7/SIMIS S Software platform Easy integration of hardware innovations Extend platform and standardization Open Mail Handling System (OMS) strategy Mail-sorting platform 20% higher performance than best system on the market Process Visu
Slide 13: … and platforms are also making Rolling Stock profitable
… and platforms are also making Rolling Stock profitable Velaro Platform for high-speed trains Standards and platforms introduced Desiro ML Platform for commuter trains Complexity reduced from 120 models X4 to 10 platforms Platform for locomotives Less costs, S70 less risks Platform for city
Slide 14: We deliver what we promise
We deliver what we promise Achieving our targets Profitability Order books filled n (~ €17 billion) otio i nM Capacity in line with demand lit y 'Be in target b i margin' Project risks under control Mo 'Be Operations streamlined profitable' Standards and platforms 'Clean up' established
Slide 15: Reconciliation and Definitions for Non-GAAP Measures (I)
Reconciliation and Definitions for Non-GAAP Measures (I) Profit Total Sectors is reconciled to “Income from continuing operations before income taxes” under “Reconciliation to consolidated financial statements” in the table “Segment Information.” See our Financial Publications at our Investor Relati
Slide 16: Reconciliation and Definitions for Non-GAAP Measures (II)
Reconciliation and Definitions for Non-GAAP Measures (II) Average Capital employed and average Assets for the fiscal year is calculated as a “five-point average” obtained by averaging Capital employed and Assets at the beginning of the first quarter plus the final figures for all four quarters of th
Slide 17: Reconciliation and Definitions for Non-GAAP Measures (III)
Reconciliation and Definitions for Non-GAAP Measures (III) Our capital structure target is based on an Adjusted industrial net debt divided by EBITDA (adjusted). For the calculation of Adjusted industrial net debt, we subtract from Net debt (defined as Long-term debt plus Short-term debt and current
Slide 18: Siemens investor relations contact data
Siemens investor relations contact data Michael Sen +49-89-636-33780 Munich Office +49-89-636-32474 US Office +1-408-464-2004 Internet: http://www.siemens.com/investorrelations Email: investorrelations@siemens.com Fax: +49-89-636-32830 Page 18 December 2008 Capital Market Days 'Industry' Copyright ©