Exel Composites Oyj · OMXHEX:EXEL
Exel Composites Oyj — H1 2016 Earnings Presentation
15 slides from Exel Composites Oyj's earnings presentation, Jul 21, 2016
Slide 1: Customer demand remained weak, cost reductions implemented
“CUSTOMER DEMAND REMAINED WEAK, COST REDUCTIONS IMPLEMENTED” January – June 2016 Half-year Financial Report 21 July 2016 Exel Composites Plc
Slide 2: H1 2016 in brief
H1 2016 in brief • Business environment – Market environment remains challenging – Weak demand of some key customers; lower order volumes and less favorable sales mix • Operations – Additional cost take out measures started to materialize in May-June – Focused customer segment initiatives and action
Slide 3: H1 2016 highlights
H1 2016 highlights Revenue, EUR million Order intake, EUR million 21.1 19.3 18.4 20.5 18.0 20.8 18.7 19.0 21.4 21.4 21.4 21.4 19.7 20.2 17.8 21.5 17.9 21.8 22.8 18.0 Q1-Q4 Q1-Q4 Q1-Q2 Q1-Q4 Q1-Q4 Q1-Q2 2014 2015 2016 2014 2015 2016 Operating profit, EUR million Net cash flow, EUR million 2.1 3.8 1.9
Slide 4: Key figures H1 2016
Key figures H1 2016 1.1.-30.6. 1.1.-30.6. Change FY EUR thousand 2016 2015 % 2015 Order intake 38,263 44,185 -13.4 83,374 Order backlog 1) 15,799 13,783 14.6 15,348 Revenue 37,639 42,847 -12.2 80,196 Operating profit 1,293 3,340 -61.3 4,414 % of revenue 3.4 7.8 5.5 Adjusted operating profit 2) 1,316
Slide 5: Key figures Q2 2016
Key figures Q2 2016 1.4.-30.6. 1.4.-30.6. Change FY EUR thousand 2016 2015 % 2015 Order intake 20,231 21,423 -5.6 83,374 Order backlog 1) 15,799 13,783 14.6 15,348 Revenue 19,720 21,352 -7.6 80,196 Operating profit 1,147 1,348 -14.9 4,414 % of revenue 5.8 6.3 5.5 Adjusted operating profit 2) 1,167 1
Slide 6: Lower order volumes due to weak customer demand of some key clients
Lower order volumes due to weak customer demand of some key clients Revenue and order backlog 25 25 20 20 15 15 10 10 5 5 0 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2013 2014 2015 2016 Revenue, EUR million Order backlog, EUR million, end of period Exel Composites Plc 6
Slide 7: Lower delivery volumes and less favorable sales mix reduced revenue
Lower delivery volumes and less favorable sales mix reduced revenue Revenue bridge H1 2016 vs H1 2015 Acquisitions / Volume 1) Sales mix Exhange rates divestments Total 0,0 % -2,0 % -4.0 % -4,0 % -12.2 % -6,0 % -7.0 % -8,0 % 0.0 % -10,0 % -1.2 % -12,0 % -14,0 % 1) Volume impact calculated as differe
Slide 8: The majority of revenue in H1 2016 came from Industrial Applications
The majority of revenue in H1 2016 came from Industrial Applications Revenue by Industrial Applications Customer Industry, EUR million 7.2 8.3 9.2 9.1 Tele- Paper Electrical Machine Transportation communication Industry Industry Industry Industry 26.4 20.3 Construction & Other Infrastructure Applica
Slide 9: Lower customer demand in main market Europe and in Asia
Lower customer demand in main market Europe and in Asia Europe 30.3 34.8 APAC 5.6 Rest of the world 7.1 1.7 0.9 H1 2016 (MEUR) H1 2015 (MEUR) Exel Composites Plc 9
Slide 10: Cost savings measures reduced impact on operating profit
Cost savings measures reduced impact on operating profit Operating profit and operating profit margin 4 20% 2 10% 0 0% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2013 2014 2015 2016 Operating profit, MEUR Operating profit margin, % Operating profit target, % Exel Composites Plc 10
Slide 11: ROCE
ROCE 30% 60 20% 40 10% 20 0% 0 2013 2014 2015 H1 2016 Capital employed, MEUR ROCE, % Exel Composites Plc 11
Slide 12: Exel Composites continues well positioned for profitable growth
Exel Composites continues well positioned for profitable growth • Measures to further control costs continue throughout 2016 • Focused customer segment initiatives and new customer acquisition • Optimization of production and operational efficiency improvements • Implementation of long- term growth
Slide 13: Outlook for full year 2016
Outlook for full year 2016 (terminology change in brackets) • The Company continues to implement its new strategy with focus on operational efficiency and optimizing the global manufacturing footprint. The Company estimates that adjusted operating profit (previously: operating profit excluding any n
Slide 14: Your IR contacts
Your IR contacts Riku Kytömäki Mikko Kettunen Noora Koikkalainen President and CEO CFO IR Manager +358 50 511 8288 +358 50 3477 462 +358 50 562 6552 riku.kytomaki@exelcomposites.com mikko.kettunen@exelcomposites.com noora.koikkalainen@exelcomposites.com Exel Composites Plc 14
Slide 15: www.exelcomposites.com
www.exelcomposites.com Exel Composites Plc