Techtronic Industries Co., Ltd. · HKEX:669

Techtronic Industries — H1 2017 Earnings Presentation

69 slides from Techtronic Industries's earnings presentation, Aug 17, 2017

  1. Slide 1: 2017 1H Interim Results Presentation

    2017 1H Interim Results Presentation August 17th, 2017

  2. Slide 2: Frank Chan

    Frank Chan

  3. Slide 3: 1H 2017 Results

    1H 2017 Results

  4. Slide 4: 2017 1st Half Results

    2017 1st Half Results (US$ m) 1H 2016 1H 2017 Change Local Curr Sales $2,686 $2,882 +7.3% +8.1% Gross Profit $969 $1,056 +9.0% Gross Margin % 36.1% 36.6% +50 bps EBIT $201 $233 +15.4% % of sales 7.5% 8.1% Net Profit $177 $204 +15.5% % of sales 6.6% 7.1% EPS (cents) 9.69₵ 11.17₵ +15.3% Interim Divide

  5. Slide 5: 2017 1st Half Segment Results

    2017 1st Half Segment Results (US$ m) 1H 2016 1H 2017 Change Local Curr Segment Sales $2,204 $2,467 +11.9% +12.5% Power Segment % 82.1% 85.6% Equip. Op Profit $185 $232 +25.6% % of sales 8.4% 9.4% Sales $481 $415 -13.8% -12.1% Floorcare & Segment % 17.9% 14.4% Appliance Op Profit $16 $1 -97.8% % of

  6. Slide 6: 2017 1st Half Region Sales

    2017 1st Half Region Sales (US$ m) 1H 2016 1H 2017 Change Local Curr Region North $2,023 $2,201 +8.8% +9.0% America Region % 75.3% 76.4% EMEA $465 $446 -4.1% +0.8% Region % 17.3% 15.5% ROW $197 $235 +19.0% +16.5% (Rest of World) Region % 7.4% 8.1%

  7. Slide 7: 2017 1st Half Income Statement

    2017 1st Half Income Statement (US$ m) 1H 2016 1H 2017 Change Sales $2,686 $2,882 +7.3% Gross Profit $969 $1,056 +9.0% % of sales 36.1% 36.6% Selling, Distribution, & Advertising $400 $431 +7.7% Administrative Expenses $299 $318 +6.4% Research & Development $71 $77 +8.6% Total SG&A Expenses $770 $82

  8. Slide 8: 2017 1st Half Financial Position

    2017 1st Half Financial Position (US$ m) 1H 2016 1H 2017 Change Non-current Assets $1,864 $1,943 +4.2% Current Assets $3,214 $3,481 +8.3% Current Liabilities $2,236 $2,187 -2.2% Net Current Assets $978 $1,294 +32.3% Long-term Liabilities $610 $705 +15.6% Equity $2,233 $2,532 +13.4%

  9. Slide 9: 2017 1st Half Gearing Trend

    2017 1st Half Gearing Trend 1H 2013 1H 2014 1H 2015 1H 2016 1H 2017 Gearing 26.2% 22.8% 17.7% 16.0% 8.8%

  10. Slide 10: 2017 1st Half Key Financial Figures

    2017 1st Half Key Financial Figures (US$ m) 1H 2016 1H 2017 Change Inventory $1,341 $1,415 Days 91 88 -3 days Receivables $948 $1,108 Days 64 69 +5 days Payables $1,274 $1,403 Days 86 87 +1 days Net Working Capital $1,015 $1,119 % of Sales 18.8% 19.1% Cash Balance $744 $818 +10.0% CAPEX $81 $72 -11.

  11. Slide 11: 2017 1st Half Debt Profile

    2017 1st Half Debt Profile (US$ m) 1H 2016 1H 2017 Change Cash Balance $744 $818 +10% Debt with Fixed Maturities $553 $558 +1% Working Capital Financing $547 $484 -12% Total Debt $1,100 $1,042 -5% Total Net Debt $357 $224 -37% Floating Rate 100% $1,100 90% $937 -15% Fixed Rate 0% $0 10% $105 N/A

  12. Slide 12: Joe Galli

    Joe Galli

  13. Slide 13: 2017 1st Half Sales Growth

    2017 1st Half Sales Growth (US $m) 1H 2016 1H 2017 Sales $2,686 $2,882 % chg +7.3% % chg Local Curr +8.1%

  14. Slide 14: 2017 1st Half Segment Sales

    2017 1st Half Segment Sales Floorcare 14% Power Equipment 86% +12.5% -12.1%

  15. Slide 15: 2017 1st Half Results

    2017 1st Half Results (US $m) 1H 2016 1H 2017 Change Local Curr Sales $2,686 $2,882 +7.3% +8.1% Gross Margin % 36.1% 36.6% +50bps EBIT $201 $233 +15.4% % of sales 7.5% 8.1% Net Profit $177 $204 +15.5% % of sales 6.6% 7.1%

  16. Slide 16: 2017 1st Half Gross Margin

    2017 1st Half Gross Margin 1H 2016 1H 2017 36.6% 36.1%

  17. Slide 17: 1st Half Gross Margin

    1st Half Gross Margin 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 36.6% 36.1% 35.6% 35.0% 34.0% 33.5% 32.9% 32.6% 31.7% 31.5% 8 years of Gross Margin improvement 9 Consecutive Years of 1H Gross Margin Improvement

  18. Slide 18: 2017 1st Half Productivity Progress

    2017 1st Half Productivity Progress Change +8.1% Sales Headcount +2.7%

  19. Slide 19: 2017 1st Half Sales: Power Equipment Growth

    2017 1st Half Sales Power Equipment Growth % North +11.9% America EMEA +13.8% ROW +16.5%

  20. Slide 20: 1st Half Sales

    st 1 Half Sales +20.1%

  21. Slide 21: 2017 1st Half Sales

    2017 1st Half Sales Growth % North +19.4% America EMEA +22.1% ROW +23.0%

  22. Slide 22: 2017 1st Half Sales Growth

    2017 1st Half Sales Growth Power Equipment Growth % 10.4% 9.8% 20.1% Total: 12.5%

  23. Slide 23: Slide 23

  24. Slide 24: Dual Battery Miter Saw

    DUAL BATTERY MITER SAW

  25. Slide 25: 4-1/2” Angle Grinder

    4-1/2” ANGLE GRINDER

  26. Slide 26: Circular Saw

    CIRCULAR SAW

  27. Slide 27: 18-Gauge Offset Shear

    18-GAUGE OFFSET SHEAR

  28. Slide 28: 23-Gauge Pin Nailer

    23 - GAUGE PIN NAILER

  29. Slide 29: 25FT Drain Augur

    25FT DRAIN AUGUR

  30. Slide 30: Bolt Cutter

    BOLT CUTTER

  31. Slide 31: 50 QT Cooling Cooler

    50 QT COOLING COOLER

  32. Slide 32: New Products

    NEW PRODUCTS

  33. Slide 33: 18V Outdoor

    18V OUTDOOR

  34. Slide 34: Slide 34

  35. Slide 35: 40V New Products

    40V NEW PRODUCTS

  36. Slide 36: 40V Outdoor

    40V OUTDOOR

  37. Slide 37: Cordless Riding Mower

    CORDLESS RIDING MOWER

  38. Slide 38: Cordless Mower Range

    CORDLESS MOWER RANGE

  39. Slide 39: 18V ONE+ Stick Vac

    18V ONE+ Stick Vac

  40. Slide 40: 18V ONE+ Wet/Dry Vac

    18V ONE+ Wet/Dry Vac

  41. Slide 41: Slide 41

  42. Slide 42: High Torque Impact Wrenches

    Midge HIGH TORQUE IMPACT WRENCHES

  43. Slide 43: High Torque Impact Wrenches

    mis Mis] = | — i oe HIGH TORQUE IMPACT WRENCHES

  44. Slide 44: Impact Wrenches

    Mies IMPACT WRENCHES

  45. Slide 45: 7-1/4” Dual Bevel Sliding Miter Saw

    7-1/4” DUAL BEVEL SLIDING MITER SAW

  46. Slide 46: Hackzall Recip Saw

    Midge Mis] = | — i oe HACKZALL RECIP SAW

  47. Slide 47: Mud Mixer

    Midge Mis] = | — i oe MUD MIXER

  48. Slide 48: Compact Heat Gun

    mig COMPACT HEAT GUN

  49. Slide 49: =

    =

  50. Slide 50: Ratchets

    Midge M12] i RATCHETS

  51. Slide 51: Stapler

    mig STAPLER

  52. Slide 52: Soldering Iron

    SOLDERING IRON

  53. Slide 53: =

    =

  54. Slide 54: Airsnake Drain Cleaning Air Gun

    AIRSNAKE DRAIN CLEANING AIR GUN

  55. Slide 55: Drain Snake with Cable Drive

    Midge DRAIN SNAKE w/ CABLE DRIVE

  56. Slide 56: Switchpack Sectional Drum System

    SWITCHPACK SECTIONAL DRUM SYSTEM

  57. Slide 57: Drain Cleaning

    mig DRAIN CLEANING

  58. Slide 58: Radius Site Light Charger

    Mose [ur] ONE?KEY RADIUS SITE LIGHT CHARGER

  59. Slide 59: Underhood Light

    UNDERHOOD LIGHT

  60. Slide 60: High Output Lighting

    mig HIGH OUTPUT L IGHTING

  61. Slide 61: Personal Lighting

    mis PERSONAL LIGHTING

  62. Slide 62: Carbide Ax & Torch Blades

    CARBIDE AX & TORCH BLADES

  63. Slide 63: Packout Storage

    mis PACKOUT STORAGE

  64. Slide 64: Screwdriver Range

    Screwdriver Range

  65. Slide 65: Tape Measures

    Tape Measures

  66. Slide 66: Hand Tools

    Hand Tools

  67. Slide 67: Slide 67

  68. Slide 68: Slide 68

  69. Slide 69: Slide 69

Techtronic Industries — H1 2017 Earnings Presentation on 6ix