Wacker Neuson Se · XETR:WAC
Wacker Neuson — Q3 2022 Earnings Presentation
20 slides from Wacker Neuson's earnings presentation, Nov 10, 2022
Slide 1: Wacker Neuson Group – Q3/22 Conference Call
Wacker Neuson Group – Q3/22 Conference Call Dr. Karl Tragl (CEO), Christoph Burkhard (CFO) November 10, 2022
Slide 2: Agenda
Overview Q3/22 // 9M/22 Agenda 1. 2. Outlook 3. Appendix Wacker Neuson SE, Q3/22 conference call, November 10, 2022 2
Slide 3: Overview Q3/22 // 9M/22
Overview Q3/22 // 9M/22 Q3/22 9M/22 Revenue EBIT margin FCF Revenue EBIT margin FCF (before fixed-term (before fixed-term investment)1 investment)1 € 569 m 10.0% € 1,641 m 8.8% € -27 m € -150 m (+23.2% yoy) (PY: 9.7%) (PY: € 52 m) (+18.1% yoy) (PY: 10.4%) (PY: € 186 m) ✓ Continuing strong Inef
Slide 4: 9M/22: Double-digit growth in all reporting regions
9M/22: Double-digit growth in all reporting regions +13% [€ m] 1,099.3 1,242.2 76% of Group sales1 20% 9M/21 9M/22 4% EUROPE of Group sales1 of Group sales1 +37% +38% [€ m] [€ m] 333.1 65.7 242.7 47.7 9M/21 9M/22 9M/21 9M/22 AMERICAS APAC 1 9M/21: Americas 17%; Europe 79%; APAC 3%. Wacker Neuson SE,
Slide 5: Slight improvements in the supply situation
Slight improvements in the supply situation Supply chain Share of late deliveries Container rates improving, but still at high levels disruptions still a Development of transport prices for sea major challenge with many freight (Shanghai to Rotterdam) for a 40ft uncertainties regarding dry container
Slide 6: Cash flow impacted by increase in net working capital
Cash flow impacted by increase in net working capital EUR -150m Free cash flow1 EUR 254m Net financial debt2 0.8 Net financial debt/EBITDA3 1 Free cash flow before inflows of € 130 m. 2 Long-term borrowings + short-term borrowings from banks + current portion of long-term borrowings - liquid funds -
Slide 7: Outlook
CECE1 Outlook business barometer for the European construction equipment sector on a continued moderate downward path despite growing sales on the European market. Material, energy and shipping costs still at very high levels CEMA1 CEMA business Order backlog Earnings guidance for 2022 reiterated ba
Slide 8: Bauma 2022 – the largest trade fair in the world
Bauma 2022 – the largest trade fair in the world 8
Slide 9: Battery One Alliance – accelerate the transition to emissions-free construction
Battery One Alliance – accelerate the transition to emissions-free construction Customer Cross-manufacturer benefits battery system ▪potential for synergies and cost savings for construction sites ▪simplified construction site logistics The new brand will offer batteries and chargers ▪advantages for
Slide 10: New logistics center in Mühlheim-Kärlich
New logistics center in Mühlheim-Kärlich European central location for future-proof spare parts supply Construction work is expected to be completed in 2023. Commissioning is planned for 2024 and there will be around 130 employees working on site. Source: Dietz AG/OX.11 Agency for visualization and
Slide 11: Financial calendar and contact
Financial calendar and contact March 28, 2023 Publication of the annual report 2022, analysts‘ & investors‘ conference call Disclaimer Contact This presentation contains forward-looking statements which are based on the current estimates and assumptions by the corporate management of Wacker Neuson G
Slide 12: Appendix
Appendix Wacker Neuson SE, Q3/22 conference call, November 10, 2022 12
Slide 13: Share development
Share development The share in 20221 Dividend payout % -42% 300% 2,80 300% 62% 48% 53% 0% 41% 45% 150% 100 2,30 0% 2,06 1,99 -150% 1,80 -300% 1,25 -450% 1,26 1,30 1,10 -600% 0,81 0,90 -750% 0,80 0.50 -900% 0,60 0,60 50 0,50 -1050% Jan-22 Feb-22 Mar-22 Apr-22 May-22 Jun-22 Jul-22 Aug-22 Sep-22 Oct-22
Slide 14: Revenue and earnings
Revenue and earnings Continued dynamic growth Comments on 9M/22 Revenue +18.1% EBIT Revenue +18.1% yoy (adj. for currency effects: +15.1%) [€ m] margin ▪ Strong revenue development 600 551 569 20% 494 522 ▪ High demand from construction and agricultural industries sectors 461 477 500 428 434 ▪ Posit
Slide 15: Revenue and earnings
Revenue and earnings Dynamic growth, improved profitability Comments on Q3/22 Revenue +23.2% EBIT Revenue +23.2% yoy (adj. for currency effects: +18.8%) [€ m] margin ▪ Continuing strong customer demand; increased revenue dynamics 600 551 569 20% 522 esp. towards end of quarter 494 477 500 461 ▪ High
Slide 16: Business development by region and business segment
Business development by region and business segment Double-digit growth in all reporting regions Comments on Q3/22 Revenue [€ m] Revenue Europe (EMEA) +14.8% yoy (adj. for FX effects +14.5%) share yoy EBIT1 Europe 415,9 73% +15% 55.0 ▪ First full-quarter contribution by newly acquired Enar-Group ▪ D
Slide 17: Increase in inventory and receivables drive NWC
Increase in inventory and receivables drive NWC Inventories Trade receivables Inventory DIO1 Trade receivables DSO2 [€ m] [days] [€ m] [days] 673 700 400 500 200 609 600 544 476 490 400 343 500 437,7 440 300 322 150 412 427 289 294 273 281 281 400 300 238 200 222 100 148 143 300 127 123 123 132 64 1
Slide 18: Cash flow impacted by increase in NWC
Cash flow impacted by increase in NWC Net working capital Cash flow from operating activities Net working capital Net working capital Cash flow from operating activities [€ m] [as % of revenue]1 [€ m] 188 1000 100% 200 761 150 132 800 674 80% 107 110 636 595 100 66 600 543 529 547 60% 498 498 24 41%
Slide 19: Solid financing structure
Solid financing structure Net financial debt and gearing Net financial debt/EBITDA3 Net financial debt1 Gearing2 Net financial debt/ [€ m] EBITDA3 [x] 400 100% 2,5 300 276 254 80% 2,0 211 60% 1,4 200 144 1,5 123 40% 22% 79 19% 100 11% 48 16% 1,0 0,8 0,8 10% 6% 20% 0,7 4% 6% 0,5 0 0% 0,5 0,3 76 0% 0,
Slide 20: Outlook: Dynamic demand, overstretched supply chains
Outlook: Dynamic demand, overstretched supply chains Construction: CECE business barometer with downward trend Outlook ▪ CECE business barometer for the European construction equipment sector on a continued moderate downward path despite still growing sales on the European market and renewed momentu