Hella Gmbh & Co. Kgaa · XETR:HLE
Hella Gmbh & Co. Kgaa — 9M FY2023 Earnings Presentation
26 slides from Hella Gmbh & Co. Kgaa's earnings presentation, Nov 7, 2023
Slide 1: HELLA 9M 2023 Results
HELLA 9M 2023 Results January 1, 2023 – September 30, 2023 November 7 th , 2023
Slide 2: Summary
Summary 01 Achievements| Michel Favre 02 Financial Results | Bernard Schäferbarthold 03 Outlook | Michel Favre 04 Key Takeaways
Slide 3: Conversion of fiscal year to calendar year: comparison with first nine months of 2022
After conversion of the fiscal year to the calendar year: Comparison with the first nine months of the calendar year 2022 ❯ HELLA has changed the fiscal year to the calendar year with effect from 1 January 2023 ! ❯ The first nine months of the fiscal year 2023 (9M FY 2023) therefore cover the period
Slide 4: Achievements
01 Achievements
Slide 5: Key highlights achieved in Q3 2023
Key highlights achieved in Q3 2023 Successful nominations for top management positions • Bernard Schäferbarthold will become new HELLA CEO as of 1 January 2024 • Stefanie Rheker (currently: Arvato) appointed as member of the Management Board responsible for HR (Q1/2024) Sale of BHTC shares based on
Slide 6: Strong sales momentum in 9M FY 2023; improvement of profitability and Net Cash Flow
Strong sales momentum in 9M FY 2023; improvement of profitability and Net Cash Flow Strong organic sales growth of +16.8%; all Operating Income up 67.6%, Net Cash Flow three Business Groups growing double-digit improved ❯ Global market outperformance at 780bps ❯ Operating Income up 67.6% to €363m, •
Slide 7: Strong order intake in Q3, new awards for core technologies
Strong order intake in Q3, new awards for core technologies from diversified customer base ❯ Electronics receives order intake for high-content technologies ⚬ Record-size 77GHz radar package for German OEM; SOP 2025 ⚬ HV Battery Management System for US OEM, SOP 2026 ⚬ Smart Car Access for US OEM, S
Slide 8: Profitability and cash generation key; supported by FORVIA synergies and focus on core business
Profitability and cash generation key; supported by FORVIA synergies and focus on core business activities ❯ Continuous attention on profitability and cash flow generation • follow through ‘Manage by Cash’ program • continue to pass-through inflation to customers, implement further cost reductions ❯
Slide 9: Financial Results
02 Financial Results
Slide 10: Double-digit sales growth in 9M FY 2023 based on well-positioned product offering
Double-digit sales growth in 9M FY 2023 based on well-positioned product offering and balanced customer portfolio ❯ Organic sales 9M FY 2023 up 16.8%, €223m negative FX in 9M, organic sales Q3 up by 12.8% ❯ Double-digit organic sales growth in all three business groups, especially strong sales contr
Slide 11: Electronics with high demand for core technologies and ongoing investments
Electronics with high demand for core technologies and ongoing investments in future projects ELECTRONICS ❯ Leverage strong product portfolio in recovering markets 9M CY 2022 9M FY 2023 • continued business success with high voltage battery External Sales (€m) 2,107 2,294 vs. LVP management systems,
Slide 12: Strong performance in Lighting with further sales growth and improvement in profitability
Strong performance in Lighting with further sales growth and improvement in profitability LIGHTING ❯ Strong sales growth due to market leadership position and favorable customer mix 9M CY 2022 9M FY 2023 • increased demand for the latest lighting technologies from External Sales (€m) 2,414 2,825 vs.
Slide 13: Lifecycle Solutions shows increased contribution with further sales growth
Lifecycle Solutions shows increased contribution with further sales growth and good operational performance LCS ❯ Sales performance driven by • continuous growth of spare parts business especially in 9M CY 2022 9M FY 2023 Poland, Mexico and Brazil External Sales (€m) 733 810 • strong commercial vehi
Slide 14: Ongoing global outperformance; Asia/Pacific and NSA impacted by FX effects
Ongoing global outperformance; Asia/Pacific and NSA negatively impacted by FX effects especially in Q3 LVP global +9.0% NSA Europe Asia/ Pacific incl. RoW GROUP sales +12.6% 21 % 58 % 22 % (organic +16.8%) of group sales of group sales of group sales Outperformance 360bps (organic 780bps) 3,415 537
Slide 15: 200bps improvement of profitability up to 6.1% of sales
200bps improvement of profitability up to 6.1% of sales with top line growth and mitigated inflation burden In €m 9M CY 2022 9M FY 2023 YoY Change ❯ Gross Profit margin up 250bps with higher volumes Sales 5,268 5,932 + 12.6% and successful cost compensation COGS (4,071) (4,434) + 8.9% % of sales -77
Slide 16: NCF with expected seasonal development and improvements due to factoring
NCF with expected seasonal development and improvements due to factoring Net Cash Flow ❯ Net Cash Flow increased by €28m to €40m in €m and % of sales • increased funds from operations 40 • semiconductor inventories still at a high level +28 • remaining cash inflows from inflation compensation 12 0.7
Slide 17: Outlook
03 Outlook
Slide 18: Rising S&P market forecast driven by China, no change in HELLA outlook
Rising S&P market forecast driven by China, no change in HELLA company outlook Expected Global Light Vehicle production Expected Global Light Vehicle production in million units, S&P Global Mobility per October 2023 in million units, S&P Global Mobility per October 2023 +7.5% HELLA sales outlook rem
Slide 19: FY 2023 outlook confirmed
FY 2023 outlook confirmed Outlook for the period January 1, 2023, to December 31, 2023 Based on an assumed LVP of around 86million vehicles for the period Consolidated sales In a range of around € 8.0 to 8.5 billion Currency and portfolio adjusted expected to be around the midpoint of the forecast r
Slide 20: Key Takeaways
04 Key Takeaways
Slide 21: Key Takeaways
Key Takeaways ❯ 9M FY 2023 with strong performance in a demanding, volatile market environment • Electronics and Lighting outperforming the market, all Business Groups with double-digit organic sales growth • continuous global outperformance • step-up in group profitability despite high level R&D in
Slide 22: Appendices
APPENDICES
Slide 23: Upcoming events
Upcoming events HELLA Analysts Meeting at Deutsches Eigenkapitalforum, November 28, 2023 Frankfurt February 16, 2024 Prelim. FY 2023 March 15, 2024 FY 2023 April 17, 2024 Sales Update Q1 FY 2024 April 25, 2024 Q1 FY 2024 April 26, 2024 HELLA AGM
Slide 24: LVP production and Group sales per region
LVP production and Group sales per region 9M CY 2022 9M FY 2023 HELLA Group sales Worldwide 5,268 5,932 in €m 2,879 3,415 Europe +18.6% 1,145 1,220 North & South America +6.5% 1,244 1,297 Asia/Pacific & Rest of World +4.2% Light vehicle production Worldwide 60,440 65,875 in 1.000 units 11,511 13,128
Slide 25: Disclaimer
Disclaimer o This document was prepared with reasonable care. Certain numerical data, financial information and market data in this presentation have been rounded in accordance with commercial rounding. However, no responsibility can be assumed for the correctness of the provided information. In add
Slide 26: -ORVIA
-ORVIA
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