Dassault Systemes Se · EURONEXT:DSY
Dassault Systemes — Q1 2012 Earnings Presentation
31 slides from Dassault Systemes's earnings presentation, April 2012
Slide 1: Dassault Systèmes Q1 2012 Earnings Presentation
Dassault Systèmes Presentation 2012 Earnings Q1 2012 3DS.COM © Dassault Systèmes || Q1 Presentation Earnings Presentation A Strategic Move Towards Natural Resources 3DS.COM Thibault de Tersant, Senior EVP and CFO 1
Slide 2: Q1 2012 Highlights
Q1 2012 Highlights Delivering 18% increase ex FX in new licenses revenue 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation Demonstrating established PLM business continues to strongly progress Customers sharing enthusiasm for 3DExperience platform Announcing new GEOVIA brand, Gemcom Softwa
Slide 3: Agenda
Agenda 1 Q1 2012 Business & Strategy Review 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation 2 New GEOVIA brand & Gemcom Acquisition 3 Q2 & FY12 Financial Objectives 4 Financial Information Appendix 5
Slide 4: Delivering 18% Increase ex FX in New Licenses Revenue
Delivering 18% Increase ex FX in New Licenses Revenue Non-IFRS* € millions Q1 12 Revenue 462.4 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation New business growth well distributed Growth +13% across geographies & brands, leading Growth ex FX +10% to double-digit top line growth New Licen
Slide 5: Revenue by Product Line
Revenue by Product Line Non-IFRS* Software Revenue Growth ex FX by Product Line Q1 new business growth Q1 12 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation demonstrates relevance of DS PLM +9% diversified portfolio CATIA +6% Strong ENOVIA new business growth ENOVIA +17% supported by V6
Slide 6: Revenue by Region
Revenue by Region Non-IFRS* Revenue Growth ex FX by Region Q1 12 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation Improved revenue growth in Americas Americas +8% Continued good performance in Europe Europe +8% after 2 years of sustained investments Asia +15% Asia driven by strong perform
Slide 7: Demonstrating Established PLM Business Continues to Strongly Progress
Demonstrating Established PLM Business Continues to Strongly Progress Further Increasing V6 Footprint 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation 9
Slide 8: Further Increasing V6 Footprint
Further Increasing V6 Footprint Beginning of a new product cycle with V6 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation V6 online platform adoption: more than 1,000 V6 large customers Start of CATIA migration cycle: CATIA V6 R2012X released in December 2011 Q1 2012 ENOVIA non-IFRS softw
Slide 9: Valeo Selecting ENOVIA V6
Valeo Selecting ENOVIA V6 Context Leading automotive supplier of components, integrated systems and modules, in particular for the reduction of CO2 emissions 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation 2011 revenue: ~€11bn - 68,000 employees Challenges Develop new complex products pu
Slide 10: Demonstrating Established PLM Business Continues to Strongly Progress
Demonstrating Established PLM Business Continues to Strongly Progress Further Increasing V6 Footprint 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation Broadening Industry Coverage and Diversification 12
Slide 11: Broadening Industry Coverage and Diversification
Broadening Industry Coverage and Diversification 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation Broad-based growth across 11 targeted industries in Q1 2012 Excellent performance in automotive Continued strengthening of new industries especially in consumer goods and consumer packaged go
Slide 12: Expanding in High Tech with Lenovo
Expanding in High Tech with Lenovo Context Lenovo, leading high tech company 2011 revenue: $22bn - ~1,700 engineers in 46 labs 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation Challenges Create high quality and reliable strong notebook while keeping cost and product development time down
Slide 13: Demonstrating Established PLM Business Continues to Strongly Progress
Demonstrating Established PLM Business Continues to Strongly Progress Further Increasing V6 Footprint 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation Broadening Industry Coverage and Diversification Deepening Regional Market Diversification 15
Slide 14: Deepening Regional Market Diversification
Deepening Regional Market Diversification Revenue by Region 1Q12 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation Expanding presence in all geographic markets in Q1 2012 27% 29% High growth countries non-IFRS software revenue growth: ~ +17% ex FX 44% Americas Europe Asia High Growth Count
Slide 15: Diversifying in China with Hisense
Diversifying in China with Hisense Context Hisense Electric, leading High Tech company headquartered in China - Subsidiary of Hisense Group 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation Flat screen television leader in China 2010 Hisense Group revenue: ~$10bn - Employees: 60,000 Challe
Slide 16: Demonstrating Established PLM Business Continues to Strongly Progress
Demonstrating Established PLM Business Continues to Strongly Progress Further Increasing V6 Footprint 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation Broadening Industry Coverage and Diversification Deepening Regional Market Diversification Expanding User Universe 18
Slide 17: Expanding User Universe
Expanding User Universe Connecting the dots with 3DExperience, enlarging users to: 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation Engineering Marketing R&D Sales Executives 19
Slide 18: Expanding to Manufacturing with PSA
Expanding to Manufacturing with PSA Context PSA, leading automotive OEM 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation 2011 revenue: €60bn - ~400,000 vehicles sold Challenges Introduce innovation while complying with production schedule Achievements Extending DELMIA to powertrain divisi
Slide 19: Change in Net Financial Position
Change in Net Financial Position IFRS Operating cash flow: +€166M, compared to +€134M in Q1 11 +55 +33 +38 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation +73 -14 -23 -19 1,294 1,151 Net Financial Net Income Non cash P&L items Change in working Capital expenditure Acquisitions and DS sto
Slide 20: Agenda
Agenda 1 Q1 2012 Business & Strategy Review 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation 2 New GEOVIA brand & Gemcom Acquisition 3 Q2 & FY12 Financial Objectives 4 Financial Information Appendix 22
Slide 21: Dassault Systèmes' Purpose
3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation 23 Dassault Systèmes’ Purpose
Slide 22: A New Brand to Advance in Fulfilling our Purpose
A New Brand to Advance in Fulfilling our Purpose 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation Creation of the brand GEOVIA to model & simulate our Planet Model and simulate Nature to improve predictability, efficiency, safety and sustainability 24
Slide 23: Gemcom Company profile
Gemcom Company profile Key facts #1 in software mining FY11 revenue: ~ US$ 90m, up ~25% 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation Privately held company Worldwide coverage Headquartered in Vancouver, Canada 360 employees Software and services for mining customers to discover, measu
Slide 24: Gemcom Acquisition
Gemcom Acquisition Extend DS Reach Transaction signed on April 25, 2012 Closing planned in July 2012 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation Price: approximately US$ 360 million in cash Gemcom financials to be included in Q3 2012 Immediately accretive to non-IFRS earnings Neutral
Slide 25: Mining: a Strategic and Fast Growing Sector
Mining: a Strategic and Fast Growing Sector A very large and fast growing sector (1) Estimated annual mineral production market value > 1.8T$ 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation (2) 22% Revenues CAGR driven by coal & metals consumption increase Facing major challenges Resourc
Slide 26: New Target Industry: Natural Resources
New Target Industry: Natural Resources Mining is a key vertical in the Natural Resources industry Mining Water Oil&Gas Others Agriculture 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation Forestry Landscape … Benefits DS & GEMCOM will bring to mining Resources Availability : Geological Mod
Slide 27: Agenda
Agenda 1 Q1 2012 Business & Strategy Review 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation 2 New GEOVIA brand & Gemcom Acquisition 3 Q2 & FY12 Financial Objectives 4 Financial Information Appendix 29
Slide 28: Upgrading FY 2012 Financial Objectives
Upgrading FY 2012 Financial Objectives Upgrading 2012 financial objectives for full Q1 revenue over-performance 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation Leaving unchanged revenue growth assumptions ex FX for the nine-month period Continued good trend in Q2 Cautious H2 stance given
Slide 29: Objectives change: from February to April Non-IFRS
Objectives change: from February to April Non-IFRS Revenue (€m) EPS (€) 2,000 3.50 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation 1,950 3.25 +0.10 +0.05 +15 +35 -0.05 1,900 3.00 1,905 - 1,935 3.10 - 3.20 1,850 2.75 3.00 - 3.10 1,855 - 1,885 1,800 2.50 1,750 2.25 1,700 2.00 Initial Obj.
Slide 30: Proposed Objectives Non-IFRS
Proposed Objectives Non-IFRS € millions 2Q 2012 FY 2012 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation Revenue 470-480 1,905-1,935 Growth +10-12% +7-8% Growth ex FX +7-9% +6-8% Operating Margin ~28% ~30% EPS (€) 0.68-0.72 3.10-3.20 EPS Growth +6-12% +6-10% €/$ rates 1.36 1.35 €/¥ rates
Slide 31: 3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation
3DS.COM © Dassault Systèmes | Q1 2012 Earnings Presentation 56