Komax Holding Ag · SIX:KOMN
Komax — FY2013 Earnings Presentation
20 slides from Komax's earnings presentation, Mar 26, 2014
Slide 1: Results 2013 and Outlook 2014
THE WAY TO MAKE IT Results 2013 and Outlook 2014 26 March 2014 26 March 2014 / Results 2013 and Outlook 2014 / 1 Agenda THE WAY TO MAKE IT Results 2013 Operational performance Financial performance Focus and outlook 2014 Discussion 26 March 2014 / Results 2013 and Outlook 2014 / 2
Slide 2: 2013 in brief / Key figures
2013 in brief THE WAY TO MAKE IT Significant improvement in results Revenues increased to CHF 341.7 million (+18.5%), internal growth of 11.4% EBIT increased to CHF 33.2 million (+144.0%) Corporate costs declined by CHF 1.9 million primarily owing to application of IAS 19 Significant write-downs on
Slide 3: Distribution of net sales by segment, region and industry
Distribution of net sales by segment, region and industry THE WAY TO MAKE IT 2011 2012 2013 by segment Komax Wire 58% 79% 74% Komax Medtech 23% 18% 20% Komax Solar < 19% 3% 6% by region Switzerland 4% 2% 2% Europe 39% 40% 46% Africa 8% 9% 7% North/South America 20% 29% 23% Asia 29% 20% 22% by indust
Slide 4: Komax Wire – market rewards outstanding performance
Komax Wire – market rewards outstanding performance THE WAY TO MAKE IT Margin Net sales by region 30 0 23.1% 18.7% 2% 25 0 23% Switzerland 253.8 Asia 20 0 228.3 in CHF million 37% Net sales Europe EBIT 15 0 10 0 29% North/ South America 9% 50 Africa 52.7 47.4 0 2012 2013 Change from previous year -4
Slide 5: Strategy Komax Wire – aligned for further growth
Strategy Komax Wire – aligned for further growth THE WAY TO MAKE IT Growth along the value chain Innovation Expansion in Asia Complete solutions/new fields of application 26 March 2014 / Results 2013 and Outlook 2014 / 9 Automotive industry is the most important market for wire processing THE WAY TO
Slide 6: Komax Wire – above average growth
Komax Wire – above average growth THE WAY TO MAKE IT Komax Wire vs. automotive industry 1997 - 2013 Additional growth drivers Basis 1997 Advance in new markets other than the 200 automotive industry 180 New concepts for automation/innovation 160 Synergies from acquisitions 140 (TSK, MCM and SLE) 120
Slide 7: Komax Medtech – profitable recovery
Komax Medtech – profitable recovery THE WAY TO MAKE IT Net sales by region 4% 2% Asia Switzerland 68.1 in CHF million 81% Net sales 13% Europe 49.8 EBIT North/ South America -8.6 3.1 2012 2013 Change from previous year -80% -40% 0% 40% 80% 120% 160% Sales recovery and return to profits Switzerland B
Slide 8: Strategy Komax Medtech / Komax Solar
Strategy Komax Medtech – profitability is the top priority THE WAY TO MAKE IT Profitability Focus on self-medication Development of additional niche markets 26 March 2014 / Results 2013 and Outlook 2014 / 15 Komax Solar – evading the negative industry trend THE WAY TO MAKE IT No recovery in demand f
Slide 9: Agenda / Summary
Agenda THE WAY TO MAKE IT Results 2013 Operational performance Financial performance Focus and outlook 2014 Discussion 26 March 2014 / Results 2013 and Outlook 2014 / 17 Summary THE WAY TO MAKE IT Revenues substantially increased to EBIT-margin in % of revenues CHF 341.7 million (+18.5%) 12.8 9.7 •
Slide 10: Increase in revenues in Europe and Asia
Increase in revenues in Europe and Asia THE WAY TO MAKE IT EBIT-margin in % of revenues Net sales by region 2% 12.8 22% Switzerland 4.7 9.7 Asia 371.4 in CHF million 341.7 46% revenues Europe 288.2 23% North/ South America 7% Africa 2011 2012 2013 Change from previous year Increase in revenues -20%
Slide 11: EBIT development by segment
EBIT development by segment – significant performance improvement at Komax Solar and Komax Medtech THE WAY TO MAKE IT in CHF million 1.9 11.6 11.4 33.2 13.6 -5.3 EBIT 2012 Wire Solar Medtech Corporate EBIT 2013 26 March 2014 / Results 2013 and Outlook 2014 / 21 Free cash flow remains high THE WAY TO
Slide 12: Foreign currency impact on revenues and EBIT negligible
Foreign currency impact on revenues and EBIT negligible THE WAY TO MAKE IT Currency impact Net sales by currencies • Net sales 0.1% 14% • EBIT margin –0.1 percentage points Others 30% Average exchange rates were relatively stable CHF FX exposure • USD ~12% of revenues • EUR ~8% of revenues 29% Incre
Slide 13: Security and flexibility thanks to healthy balance sheet
Security and flexibility thanks to healthy balance sheet THE WAY TO MAKE IT Equity ratio 73.8% Significant increase in net cash Equity ratio CHF 22.6 million (2012: CHF 0.9 million) 73.8 Intangible assets CHF 49.5 million (2012: CHF 51.0 68.3 65.7 million), thereof Goodwill CHF 30.4 million (2012: C
Slide 14: IAS 19 – restatement 2012 / overfunding
IAS 19 – restatement 2012/ overfunding as at 31.12.2013 THE WAY TO MAKE IT Restatement 2012 2013 pleasing development of the pension fund 2012 figures restated owing to application Overfunding CHF 3.5 million of IAS 19 (revised) (2012: underfunding CHF 8.5 million) Impact restatement IAS 19 on 2012
Slide 15: Attractive profitability of capital employed
Attractive profitability of capital employed THE WAY TO MAKE IT RONCE reached 16.7% RONCE in % of average NCE • Improved margins at Komax Solar and Komax Medtech 23.4 • Efficient use of capital 16.7 Payout of CHF 4.50 per share proposed • Payout ratio 63% 6.5 • Dividend yield on the date of the Boar
Slide 16: Strategy geared to long-term profitable growth
Strategy geared to long-term profitable growth THE WAY TO MAKE IT Business Unit Revenues growth target EBIT margin target Acquisitions Business Unit Wire 3 – 5% ~20% selective Business Unit Medtech -- ~5% -- Komax is willing to sell the solar business and is in contact with interested parties. Targe
Slide 17: Outlook Komax Group / Komax Wire
Outlook Komax Group THE WAY TO MAKE IT We continue to expect an economic environment that is characterized by uncertainty, and envisage a year full of challenges. We will meet these challenges with a focused strategy that is geared to resolutely pursue opportunities. From today’s standpoint, the Gro
Slide 18: Outlook Komax Medtech / Komax Solar
Outlook Komax Medtech THE WAY TO MAKE IT Komax Medtech started 2014 with a strong order book, and order intake in the first few weeks of the year was in line with expectations. These orders reveal a balanced mix of projects with repetitive nature and projects involving new customers or applications.
Slide 19: Contact / Financial calendar
Agenda THE WAY TO MAKE IT Results 2013 Operational performance Financial performance Focus and outlook 2014 Discussion 26 March 2014 / Results 2013 and Outlook 2014 / 37 Contact/Financial calendar THE WAY TO MAKE IT Contact Financial calendar Marco Knuchel Annual General Meeting 7 May 2014 Industrie
Slide 20: Disclaimer
Disclaimer THE WAY TO MAKE IT This presentation contains forward-looking statements in relation to Komax which are based on current assumptions and expectations. Unforeseeable events and developments could cause actual results to differ materially from those anticipated. Examples include: changes in