Slide 1: Austrian Post 2012 Financial Year Investor Presentation
AUSTRIAN POST 2012 FINANCIAL YEAR INVESTOR PRESENTATION Georg Pölzl/CEO, Walter Oblin/CFO Vienna, March 14, 2013
Slide 2: Agenda
1. Highlights and overview 2. Performance of the divisions 3. Group results 4. Outlook 2013 INVESTOR PRESENTATION 2012 I Investor Relations I Vienna, March 14, 2013 2
Slide 3: Austrian Post in 2012
AUSTRIAN POST IN 2012 Challenging market environment – structural trends persist Consistent implementation of the chosen strategy Good revenue and earnings development in Q4 and the entire year 2012 Solid balance sheet and strong cash flow, continuation of attractive dividend policy INVESTOR PRESENT
Slide 4: The Most Important Market Trends in 2012
THE MOST IMPORTANT MARKET TRENDS IN 2012 Letter Mail Substitution International Austrian Advertising Industry Source: IPC 2012, digitalised economies Source: Advertising tax, Federal Ministry of Finance Electronic substitution Volatile development 4.2% 3.1% 1.4% 0.4% -1.4% -1.5% -2.4% -3.2% -3.3% -3
Slide 5: Successful Strategy Implementation in 2012
SUCCESSFUL STRATEGY IMPLEMENTATION IN 2012 1. DEFENDING OF MARKET 2. GROWTH IN SELECTED LEADERSHIP IN THE CORE MARKETS BUSINESS ü Letter mail expansion: ü Maintained market leadership in the Poland: 100% Kolportaz Rzetelny Austrian letter mail market Romania: 100% PostMaster ü Increased market share
Slide 6: Results in 2012 Confirm Successful Development
RESULTS IN 2012 CONFIRM SUCCESSFUL DEVELOPMENT MODERATE GROWTH INCREASED PROFITABILITY STRONG CASH FLOW Cash flow from operating Revenue EBIT activities EUR m EUR m EUR m At equity Disposal MEILLERGHP Benelux 2,357 2,351 2,349 2,366 247 230 228 182 179 168 149 157 2009 2010 2011 2012 2009 2010 2011
Slide 7: Financial Highlights 2012
FINANCIAL HIGHLIGHTS 2012 § Revenue growth of 0.7% in 2012 (+1.9% excl. Benelux) 1 Revenue § Revenue increase in both divisions § EBITDA margin of 11.5% 2 Earnings § EBIT up 8.9% to EUR 182.4m, earnings step-up in the Parcel & Logistics Division Cash flow § Free cash flow before acquisitions/divestm
Slide 8: Group Revenue Up 1.9%
GROUP REVENUE UP 1.9% Revenue development EUR m Group revenue: +0.7% / +1.9% EUR 2,366.1m (+1.9% excl. Benelux) excl. Benelux 2,348.7 2,366.1 Mail & Branch Network: - Revenue increase in Letter Mail of 2.7% due to positive effects 1,500.71 +0.5% 1,508.2 - Stable revenue in the Direct Mail/Media Post
Slide 9: Group EBIT Increase of 8.9% in 2012
GROUP EBIT INCREASE OF 8.9% IN 2012 Earnings development EUR m Group EBIT: +8.9% EUR 182.4m (+8.9%) Mail & Branch Network: 182.4 Earnings decline includes 167.5 -34.0 impairment loss of EUR 9.6m rreported for MEILLERGHP -4.6 +53.5 Parcel & Logistics: P Operational earnings improvement O of EUR 11.5m
Slide 10: Performance of the Divisions
1. Highlights and overview 2. Performance of the divisions 3. Group results 4. Outlook 2013 INVESTOR PRESENTATION 2012 I Investor Relations I Vienna, March 14, 2013 10
Slide 11: Mail & Branch Network Division: Highlights 2012
MAIL & BRANCH NETWORK DIVISION: HIGHLIGHTS 2012 Nationwide launch of the KUVERT “High tech” collator distribution centres Zeiterfassung 06:02 New developments in delivery: Max Muster Zustellung (noch keine Buchungen) IT and logistics optimisation, agreement on a new working time K D Anf G D Ende Pau
Slide 12: Mail & Branch Network Division: Volume Development in Austria
MAIL & BRANCH NETWORK DIVISION: VOLUME DEVELOPMENT IN AUSTRIA Letter Mail 2012: : -2.5% on a comparable basis Direct Mail/Media Post 2012: - Ongoing decline due to electronic substitution addressed: -0.7% unaddressed: -3.2% - Positive effects in 2012: - Volatility related to economic environment - V
Slide 13: Mail & Branch Network Division: Revenue Development in 2012
MAIL & BRANCH NETWORK DIVISION: REVENUE DEVELOPMENT IN 2012 Letter Mail & Mail Solutions 2012: +2.7% Direct Mail and Media Post 2012: +1.0% - Volume shifts from direct mail and Internet shipments to - Shift from direct mail to higher quality letter mail higher quality letter mail products - Positive
Slide 14: Branch Network: Ongoing Structural Change
BRANCH NETWORK: ONGOING STRUCTURAL CHANGE Sustainable structural transformation of the branch network in order to improve services and the cost structure Approx. 2,000 1,880 1,931 1,850 1,552 Statutory minimum of 1,650 418 1,117 1,258 1,376 approx. 1,500 Postal partners 1,134 733 Company- 622 555 ap
Slide 15: Parcel & Logistics Division: Highlights 2012
PARCEL & LOGISTICS DIVISION: HIGHLIGHTS 2012 Austria: Record 65m parcels, Expansion of B2B market share to 22% Expansion of fulfillment services in the new business Post Logistics Services trans-o-flex: Disposal of Benelux companies, growth in pharmaceutical logistics, efficiency improvements Financ
Slide 16: Volume Development of Parcel & Logistics Business
VOLUME DEVELOPMENT OF PARCEL & LOGISTICS BUSINESS Austria 2012: +9.4% International 2012: -2.3% - Volume increase above market growth of 3.5% - Focus on qualitative growth - Market leadership in private customer business - Realisation of growth potential in South East and and B2B market share of 22%
Slide 17: Parcel & Logistics Division: Revenue Increase of 4.8%
PARCEL & LOGISTICS DIVISION: REVENUE INCREASE OF 4.8%1 Germany 8.2% 2012: +0.5% Germany: 6.0% 5.0% Slight revenue growth of 0.5%, 1.8% 3.4% 2.9% focus on profitability -3.0% -1.3% Austria 2012: +11.1% Austria: 12.2% Significant revenue increase of 9.7% 10.6% 10.4% 11.3% 11.1%, impetus from online 8.
Slide 18: Group Results
1. Highlights and overview 2. Performance of the divisions 3. Group results 4. Outlook 2013 INVESTOR PRESENTATION 2012 I Investor Relations I Vienna, March 14, 2013 18
Slide 19: Overview of Key Financial Indicators in 2012
OVERVIEW OF KEY FINANCIAL INDICATORS IN 2012 2011 2012 1 Revenue 2,348.7 2,366.1 Group revenue up 0.7% (+1.9% excl. Benelux) 2 EBITDA margin 12.0% 11.5% Margin in the targeted range of 10-12% 3 EBIT margin 7.1% 7.7% Further increase of profitability 4 Earnings per share 1.82 1.82 Earnings per share
Slide 20: Balance Sheet and Valuation Issues in 2012
BALANCE SHEET AND VALUATION ISSUES IN 2012 EARLY APPLICATION OF IAS 19 (REVISED) § Minor earnings effects (adjustment in figures for 2011) § No balance sheet effects on provisions, which had been recognised at their full value also in the past GOODWILL/IMPAIRMENTS § Impairment loss of EUR 9.6m on at
Slide 21: Consolidated Income Statement
CONSOLIDATED INCOME STATEMENT Change EUR m 2011 2012 % Absolute Q4 2011 Q4 2012 Revenue 2,348.7 2,366.1 0.7% 17.4 638.7 643.2 Revenue up Revenue excl. Benelux1 2,304.4 2,348.9 1.9% 44.5 627.6 643.2 1.9% Raw materials and services used -759.8 -766.9 0.9% 7.1 -211.1 -203.9 Non-operational Staff costs
Slide 22: Mail & Branch Network Division: Income Statement
MAIL & BRANCH NETWORK DIVISION: INCOME STATEMENT Change EUR m 20111 2012 % Absolute Q4 2011 Q4 2012 External Sales 1,500.7 1,508.2 0.5% 7.5 409.7 417.0 Positive revenue development Letter Mail & Mail Solutions 764.2 784.6 2.7% 20.3 211.1 212.6 Direct Mail 445.7 445.2 -0.1% -0.5 118.9 126.4 Media Pos
Slide 23: Parcel & Logistics Division: Income Statement
PARCEL & LOGISTICS DIVISION: INCOME STATEMENT Change EUR m 2011 2012 % absolute Q4 2011 Q4 2012 External sales 846.5 858.1 1.4% 11.6 228.5 226.1 Revenue External sales excl. Benelux1 802.2 840.9 4.8% 38.7 217.3 226.1 increase of 4.8% Premium Parcel/B2B 659.9 650.8 -1.4% -9.1 174.4 167.0 Standard Par
Slide 24: Solid Balance Sheet Structure
SOLID BALANCE SHEET STRUCTURE Liquid financial Low level of financial liabilities resources of EUR 315m at EUR 23m 1,701 1,701 Financial liabilities Cash and cash 23 equivalents/securities 355 Liabilities/Other Shareholdings/financial 415 investments 57 Provisions are largely non- current Receivable
Slide 25: Strong Cash Flow Enables Active Investment and Dividend Policy
STRONG CASH FLOW ENABLES ACTIVE INVESTMENT AND DIVIDEND POLICY EUR m +6.0 +2.1 Proposal to the Annual General 248.6 254.6 Meeting: EUR 1.80/share Dividend yield of 5.8% 170.5 -86.2 131.3 121.6 -39.3 2011 2012 Changes in net CAPEX Free cash flow Acquisitions 2012 2012 Operating cash flow working capi
Slide 26: Dividend Policy
DIVIDEND POLICY Continuation of attractive dividend policy § Dividend proposal to the Annual General Meeting: EUR1.80/share § Dividend yield as at December 31, 2012: 5.8% § Dividend policy: dividend of at least 75% of the Group net profit § Dividend should develop further 1.801 1.70 reflecting the G
Slide 27: Capital Market Positioning of Austrian Post
CAPITAL MARKET POSITIONING OF AUSTRIAN POST 1 Defensive business model 2 Strong balance sheet and solid cash flow Revenue (EUR m) and EBIT margin1 (%) EBIT margin Operating cash flow (EUR m) and equity ratio (%) 2,441 2,357 2,351 2,349 2,366 Revenue 233 247 Equity ratio 230 228 Cash flow 179 6.9% 6.
Slide 28: Outlook 2013
1. Highlights and overview 2. Performance of the divisions 3. Group results 4. Outlook 2013 INVESTOR PRESENTATION 2012 I Investor Relations I Vienna, March 14, 2013 28
Slide 29: Priorities in 2013
PRIORITIES IN 2013 1 EXPLOIT MARKET OPPORTUNITIES IN AUSTRIA § Election year 2013 opens up opportunities for mail business § Parcel business features growth opportunities with private and business customers (B2B market share: target 25%) 2 COST DISCIPLINE AND INCREASED LOGISTICS EFFICIENCY § Achieve
Slide 30: Outlook 2013
OUTLOOK 2013 § Ongoing electronic substitution of letters, stable development of Market advertising mail expected environment § Growth in the private parcel customer segment, intensive competition continues for business parcel customers § Confirm medium-term growth target of 1-2% annually Revenue §
Slide 31: Contact
CONTACT Austrian Post Financial calendar 2013 Investor Relations March 14, 2013 Annual results 2012 Haidingergasse 1, 1030 Vienna April 18, 2013 Annual General Meeting 2013 Website: www.post.at/ir May 2, 2013 Dividend payment day E-mail: investor@post.at May 17, 2013 Interim report Q1 2013 Tel: +43
Slide 32: www, pestat
www, pestat