Oxford Instruments Plc · LSE:OXIG
Oxford Instruments — FY2011/12 Earnings Presentation
25 slides from Oxford Instruments's earnings presentation, Jun 12, 2012
Slide 1: Preliminary Results Announcement 2011/12
Preliminary Results Announcement 2011/12 The Business of Science® Jonathan Flint Chief Executive Kevin Boyd Group Finance Director 12 June 2012 © Oxford Instruments 2012
Slide 2: Agenda
Agenda The Business of Science® • Highlights • Financial Summary • Operational Review • Summary and Outlook © Oxford Instruments 2012
Slide 3: Highlights
Highlights The Business of Science® • Strong performance across all markets and territories • Organic and Acquisitive growth • Product and Process innovation • Leveraging the OI Brand • Increased final dividend An excellent first year of the 14 Cubed plan © Oxford Instruments 2012
Slide 4: Three Elements of the Cubed Plan
Three Elements of the 14 Cubed Plan The Business of Science® • Organic Growth • Structural growth in Nanotechnology • Research and Industrial Markets remain robust • Strong new product pipeline • Efficiency • Productivity and margin improvements • Targeted Acquisitions • Omicron Nanotechnology • Omn
Slide 5: Global Diversity
Global Diversity The Business of Science® • Europe • North America • Asia • Opportunities in BRIC and other emerging markets © Oxford Instruments 2012
Slide 6: Financial Review
The Business of Science® Financial Review Kevin Boyd © Oxford Instruments 2012
Slide 7: Highlights
Highlights The Business of Science® 2011/12 2010/11 Change Orders (£m) 337.8 273.5 23.5% Revenues (£m) 337.3 262.3 28.6% Adjusted operating profit (£m) 42.1 28.1 49.8% Return On Sales (%) 12.5% 10.7% +1.8pp Adjusted profit before tax (£m)* 42.0 26.2 60.3% Adjusted EPS (pence)* 61.6 41.5 48.4% Divide
Slide 8: Segments
Segments The Business of Science® Nanotechnology Industrial Tools Products Service Total 2011/12 2010/11 2011/12 2010/11 2011/12 2010/11 2011/12 2010/11 £m £m £m £m £m £m £m £m External revenue 153.3 121.4 128.0 98.5 56.0 42.4 337.3 262.3 Inter-segment revenue 0.6 0.4 1.1 2.0 0.3 0.1 Sector revenue
Slide 9: Sales Bridge
Sales Bridge The Business of Science® 35.4 0.8 (0.9) 337.3 350 39.7 262.3 300 250 200 £m 150 100 50 0 2010/11 Vol Acq Copper Fx 2011/12 © Oxford Instruments 2012
Slide 10: Sales by Geography
Sales by Geography The Business of Science® 100% 3.2% 3.9% 90% 80% 33.8% 37.9% 70% 60% Rest of World 50% 28.2% 26.9% Asia 40% 30% North America 20% 34.1% 32.0% Europe 10% 0% 2011/12 2010/11 © Oxford Instruments 2012
Slide 11: Sales by Market Segment
Sales by Market Segment The Business of Science® 100% 10% 7% 90% 9% 11% 80% 13% 12% Energy 70% 6% 13% Semicon/IT 60% 18% 20% Metals & 50% Construction Environment 40% 30% Life Sciences 20% 43% 38% Research and Academia 10% 0% 2011/12 2010/11 © Oxford Instruments 2012
Slide 12: Profit Bridge
Profit Bridge The Business of Science® 60.0 1.0 (11.3) 1.8 4.6 2.8 50.0 16.9 42.0 40.0 £m 26.2 30.0 20.0 10.0 0.0 © Oxford Instruments 2012
Slide 13: Efficiencies
Efficiencies The Business of Science® 200.0 1.60 180.0 1.40 160.0 1.20 £'000 140.0 1.00 120.0 0.80 100.0 0.60 80.0 0.40 2005/06 2006/07 2007/08 2008/09 2009/10 2010/11 2011/12 Sales/employee Value Add Index © Oxford Instruments 2012
Slide 14: Cash
Cash The Business of Science® 52.1 2.4 5.0 70.0 2.4 4.5 7.8 60.0 0.7 7.3 50.0 4.8 35.1 40.0 £m 30.0 13.1 20.0 10.0 0.0 © Oxford Instruments 2012
Slide 15: Pensions
Pensions The Business of Science® Mar-06 Mar-07 Mar-08 Mar-09 Mar-10 Mar-11 Mar-12 200 173.1 180.2 157.6 135.1 139.8 150 127.4 125.0 100 50 0 Assets Liabilities £m (14.4) (11.7) (21.2) Deficit -50 (30.8) (35.1) (35.2) (53.4) -100 -150 (139.4) (165.9) (161.0) -200 (180.8) (184.8) (192.7) (215.4) -250
Slide 16: Orders
Orders The Business of Science® 337.3 337.8 350.0 273.5 300.0 262.3 Sales 250.0 Orders Orderbook 200.0 £m 136.8 150.0 115.3 100.0 50.0 - 2010/11 2011/12 © Oxford Instruments 2012
Slide 17: Sales Progress
Sales Progress The Business of Science® 400.0 350.0 300.0 16.6% CAGR 12.9% Organic CAGR 250.0 200.0 £m 150.0 100.0 50.0 0.0 2005/06 2006/07 2007/08 2008/09 2009/10 2010/11 2011/12 © Oxford Instruments 2012
Slide 18: Profit and Margin Progress
Profit and Margin Progress The Business of Science® 45.0 14.0% 40.0 12.0% 35.0 10.0% 30.0 £m ROS % 8.0% Operating Profit 25.0 20.0 6.0% 15.0 4.0% 10.0 2.0% 5.0 0.0 0.0% 2005/06 2006/07 2007/08 2008/09 2009/10 2010/11 2011/12 © Oxford Instruments 2012
Slide 19: Operational Review
The Business of Science® Operational Review Jonathan Flint © Oxford Instruments 2012
Slide 20: Three Business Sectors
Three Business Sectors The Business of Science® Nanotechnology Industrial Service Tools Products Nanoanalysis Industrial OI Service Analysis Service NanoScience Superconducting elements Wire of other two sectors Plasma Austin Technology Omicron Magnetic NanoTechnology Resonance © Oxford Instruments
Slide 21: NanoTechnology Tools
NanoTechnology Tools High-performance technology products for research and industry The Business of Science® • New product introductions driving organic growth • Benefiting from increased investment in nanotechnology • Leveraging added value from combined sector offering © Oxford Instruments 2012
Slide 22: Industrial Products
Industrial Products Analytical systems for Quality Control, Environmental and Compliance Testing for industry and research The Business of Science® • Diverse range of global markets and applications • Process improvements driving productivity • Launch of X-MET7500 exceeded expectations • Opportuniti
Slide 23: Service
Service Service, support, training, refurb, consumables, accessories The Business of Science® • Increased installed base • Adoption of service contract model in Asia • CT/MRI Service business establishing strong market presence in North America © Oxford Instruments 2012
Slide 24: Summary and Outlook
Summary and Outlook The Business of Science® • Strong growth and record profitability • Increased investment in people and product development • Acquisition programme on track • Markets remain strong despite macro-economic uncertainty • Well positioned for further growth © Oxford Instruments 2012
Slide 25: Disclaimer
Disclaimer The Business of Science® This presentation is prepared for and addressed to authorised persons within the meaning of the Financial Services and Markets Act 2000 (FSMA). The information contained in this presentation is not for publication, distribution or reproduction, in whole or in part