Glaston Oyj · OMXHEX:GLA1V
Glaston Oyj — Q1 2021 Earnings Presentation
29 slides from Glaston Oyj's earnings presentation, March 2021
Slide 1: Good order intake contributed to strong cash flow
January–March 2021 Glaston Corporation Good order intake contributed to strong cash flow EBITA margin improved
Slide 2: Content
Content • Q1/2021 highlights • CEO review • Financial development • Outlook 2021
Slide 3: Q1 / 2021 Highlights
January–March 2021 Q1 / 2021 HIGHLIGHTS
Slide 4: Q1 2021 highlights
Q1 2021 highlights • Q1 orders received were up +3,5% compared to the same period in 2020 o Q1: EUR 47.2 (45.6) million • Net sales for the first quarter decreased -13,5% o Q1: EUR 40.4 (46.9) million. • Comparable EBITA margin improved o Q1: EUR 2.1 (2.0) million, i.e. 5.1 (4.3)% of net sales • Goo
Slide 5: Architectural market Q1
Architectural market Q1 EMEA Americas Asia • In the EMEA region the positive progress • In North America there was stable market • Market activity in China grew with a seen in the last quarter of 2020 maintained. recovery and some projects that had been comeback for high-end insulating glass lines p
Slide 6: Automotive market Q1
Automotive market Q1 • The automotive glass market saw a good start to the year. • The market slowing down was already evident during the quarter as most large automotive factories had to reduce production due to component supply shortages eventually impacting investment decisions. • Demand for new
Slide 7: Glaston Segments Q1 2021 in brief
Glaston Segments Q1 2021 in brief Heat Treatment Insulating Glass Automotive & Display • Several FC and RC series tempering • Customers showed great interest in special • After a good start to the year demand in the machine orders. insulating glass manufacturing lines. market weakened already during
Slide 8: Technologies & Innovations
Technologies & Innovations • Strong focus on market driven R&D activities in close cooperation with customers • R&D expenditure Q1 3.8 (3.7) % of net sales • Field testing of new products e.g. MULTI’ARRISSER progressing according to plan • Completing the first part of strategically significant FC se
Slide 9: Financial Development
FINANCIAL DEVELOPMENT
Slide 10: Group order intake exceeded pre-Covid Q1 2020 level
Group order intake exceeded pre-Covid Q1 2020 level Group orders received, M€ and yoy% Orders received by product area, Q1 2021, M€ and yoy% 13 % 13 % 15,0 17,5 6% 1% 52,1 3% 49,2 47,2 45,3 44,5 45,6 45,6 -15 % -27 % 96 % 13,4 33,3 1,3 -46 % 24,0 Heat Treatment Technologies Insulating Glass Technolo
Slide 11: Group net sales declined, especially in Heat Treatment Technologies
Group net sales declined in, especially in Heat Treatment Technologies Net sales by product area Group net sales, M€ and yoy% Q1 2021, M€ and yoy% -41 % 7,4 1% 16,6 -11 % 58,4 -16 % 15,2 54,5 6% 47,3 46,9 48,9 -14 % 44,3 -34 % -19 % 38,3 40,4 132 % 35,9 1,8 Heat Treatment Technologies Insulating Gla
Slide 12: EMEA region improved further, China boosted APAC, Americas down
EMEA region improved further, China boosted APAC, Americas down Net sales by region M€, yoy% and share of total EMEA 22.8 MEUR 56% 22% +9% Americas 8.9 MEUR 22% -49% APAC 8.8 MEUR +3% 12 Glaston Corporation 29 April 2021 January–March 2021
Slide 13: Comparable EBITA in line with previous year, margin improved
Comparable EBITA in line with previous year, margin improved EBITA, M€ and yoy% EBITA% 6,3 % 6,2 % 5,7 % 5,4 % 5,2 % 5,1 % 4,8 % 4,3 % 3,6 % 3,6 3,1 -35 % 2,8 -27 % -16 % 2% 2,5 2,3 2,0 -58 % 2,1 2,1 1,3 Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 13 Glaston Corporation 2
Slide 14: Glaston Segments
Glaston Segments Heat Treatment Insulating Glass Automotive & Display 14 Glaston Corporation 29 April 2021 January–March 2021
Slide 15: Heat Treatment
Heat Treatment
Slide 16: Heat Treatment: continued improvement in order intake
Heat Treatment: continued improvement in order intake M€ Q1 yoy% Q4 • Order intake improved compared to least year 2021 2020 and also from Q4 contrary to the usual seasonality Order intake 22.8 +15% 20.7 Order backlog 39.4 9% 31.4 • Low order intake in Q2-Q3 2020 impacted net Net sales 13.8 -28% 14.
Slide 17: Insulating Glass
Insulating Glass
Slide 18: Insulating Glass: strong profit contribution continued
Insulating Glass: strong profit contribution continued • Insulating Glass market demand strong as in M€ Q1 yoy% Q4 the comparison period, order intake in slight 2021 2020 decline Order intake 19.5 -8% 22.2 • Net sales close to Q1 2020 level Order backlog 23.8 -20% 26.1 Net sales 21.3 -5% 18.0 • Q1 E
Slide 19: Automotive & Display
Automotive & Display
Slide 20: Automotive & Display: growth derived from orders received in the previous quarter
Automotive & Display: growth derived from orders received in the previous quarter • Order intake increased compared Q1 2020, M€ Q1 yoy% Q4 2020 but the level is unsatisfactory, and the level 2021 achieved in Q4 2020 were not sustained Order intake 4.8 +14% 8.8 • Higher orders in Q4 2020 boosted net
Slide 21: Working capital decline boosted operating cash flow – gearing clearly lower
Working capital decline boosted operating cash flow – gearing clearly lower Net debt, M€ Net gearing, % 55% 55% 53% 52% 54% 49% 52% 51% 49% 45% 42% 38% 17% 43,8 41,0 33,0 37,2 37,4 37,2 33,6 28,4 17,7 18,1 19,3 13,9 8,4 Q1 2018 Q2 2018 Q3 2018 Q4 2018 Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q2 2020
Slide 22: Priorities and Outlook 2021
PRIORITIES AND OUTLOOK 2021
Slide 23: Strategy
Strategy • The focus areas of the strategy is succeeding with customers, engaged employees and shareholder value creation. • Different growth options and interesting market opportunities have already been identified. • Ongoing currently: o Analyzing Glaston’s technology and know-how to match market
Slide 24: Glaston's outlook for 2021
Glaston’s outlook for 2021 • The strong recovery in orders received in the fourth quarter of 2020 and its continuation in the first quarter of 2021 indicate positive development for both the machines and services business throughout 2021. • Glaston started 2021 with a 20% lower order backlog than th
Slide 25: Glaston's outlook for 2021
Glaston’s outlook for 2021 • Based on the expected continued positive market development, Glaston Corporation estimates, that its net sales and comparable EBITA will improve in 2021 from the levels reported for 2020. • In 2020, Group net sales totaled EUR 170.1 million and comparable EBITA was EUR 7
Slide 26: Questions
QUESTIONS
Slide 27: Financial reports in 2021
Financial reports in 2021 Half year financial report January- June 2021 Thursday, 5 August 2021 Interim report January-September 2021 Thursday, 28 October 2021 Capital Markets Day 2021 August, time to be confirmed
Slide 28: Forward-looking statements
This first quarter interim report provides future prospects involving risk and uncertainty factors, and other factors as a result of which the performance, operation, or achievements of Glaston may substantially deviate from the estimates. Forward-looking statements relating to future prospects are
Slide 29: Thank you!
> www.glaston.net Thank you! IR-contact: pia.posio@glaston.net