Wacker Neuson Se · XETR:WAC
Wacker Neuson — Q1 2024 Earnings Presentation
17 slides from Wacker Neuson's earnings presentation, May 7, 2024
Slide 1: Wacker Neuson Group – Q1 2024 Management Call & Webcast
Wacker Neuson Group – Q1 2024 Management Call & Webcast Dr. Karl Tragl (CEO), Christoph Burkhard (CFO) May 7, 2024
Slide 2: Nobody is perfect, but a team can be!
Nobody is perfect, but a team can be! Wacker Neuson SE, Q1 2024 Management Call & Webcast, May 7, 2024 2
Slide 3: Overview Q1 2024
Overview Q1 20241 Q1 2024 Revenue EBIT margin NWC ratio3 FCF € 593.1 m 6.2% 38.7% € -25.1 m (-11.1% YoY) (py: 13.2%)2 (py: 30.0%) (py: € -17.1 m) ✓ Revenue down 11.1% EBIT margin increased Increase in the NWC ratio Supply chain significantly compared to Q1 2023, compared to Q4 2023, compared t
Slide 4: All reporting regions with lower demand
All reporting regions with lower demand [€ m] +22% 504.0 -9% 459.3 77% of Group sales1 411.6 2% 20% Q1/22 Q1/23 EUROPE Q1/24 of Group sales1 of Group sales1 [€ m] +57% +7% -16% 142.6 -35% 120.4 [€ m] 90.8 19.2 20.6 13.4 Q1/22 Q1/23 Q1/24 Q1/22 Q1/23 Q1/24 AMERICAS APAC 1 Q1/23: Americas 21%; Europe
Slide 5: Free cash flow remains impacted by elevated net working capital
Free cash flow remains impacted by elevated net working capital -25 €m 402 €m Free cash flow Net financial debt1 56.7 % 1.3 Net financial debt / EBITDA2 Equity Ratio 1 Net financial debt = Non-current financial liabilities + Current liabilities to banks + Current portion of non-current liabilities -
Slide 6: Strategy 2030
OUR VISION Our innovative solutions drive technological change. STRATEGY 2030 We make a strong contribution OUR PURPOSE to sustainable construction and agriculture. We make our customers OUR MISSION more productive than anyone else in the market. STRATEGIC PERSPECTIVES > 11 % 4 billion € ≤ 30 % EBIT
Slide 7: Action items per strategic lever ensure strategy execution
Action items per strategic lever ensure strategy execution Wacker Neuson Group strategic levers 2030 2023 2024 2025 2026 … Reach light equipment 1) Light Equipment Introduction of Battery One market share target, Market Leadership new rollers and plates implementation especially for plates & rammers
Slide 8: Strategy 2030 implementation in Q1 2024
Strategy 2030 implementation in Q1 2024 Wacker Neuson Group strategic levers 2030 Light Equipment Market Leadership Aftermarket & Services Product launch to strengthen the strategic position: • new generation of battery- powered (zero emission) and two- cycle rammers • Powerful battery-powered plate
Slide 9: Business outlook – Guidance for 2024 unchanged
Business outlook Order intake on a lower level, CEMA1 dealer stock still excessive Business climate index for the European agricultural machinery sector remains negative Guidance for 2024 unchanged ▪ Revenue between € 2,400 and 2,600 million CECE1 Supply chain ▪ EBIT margin between 8.0% and 9.0% Sid
Slide 10: Financial calendar and contact
Financial calendar and contact 15 May 2024 Annual General Meeting, Munich 16–17 May 2024 HAIB Stockpicker Summit 2024, Kitzbühel 06 June 2024 Warburg Highlights Conference, Hamburg 13 August 2024 Publication of Half-Year Report H1/2024 , Earnings Call 25 September 2024 Berenberg Goldman Sachs German
Slide 11: Appendix
Appendix Wacker Neuson SE, Q1 2024 Management Call & Webcast, May 7, 2024 11
Slide 12: Revenue and profitability – Q1 2024
Revenue and profitability – Q1 2024 Growth and profitability decrease due to economic slowdown Comments on Q1 2024 Revenue EBIT -11.1% Revenue -11.1% YoY (adj. for FX effects : -10.9%) [€ m] margin ▪ Economic slowdown in construction industry still highly noticeable in 800 699 20% 700 667 648 641 Q1
Slide 13: Development of regions and business areas
Development of regions and business areas All regions are influenced by economic slowdown Comments on Q1 2024 Revenue [€ m] Revenue Europe (EMEA) -8.9% YoY (adj. for FX effects -8.9%) Share YoY EBIT1 Europe 459.3 77% -9% 31.0 ▪ Light one-digit revenue decrease due to persistent economic slowdown ▪ N
Slide 14: Supply chain more relaxed, but increase in trade receivables
Supply chain more relaxed, but increase in trade receivables Inventories Trade receivables Inventory DIO1 Trade receivables DSO2 [€ m] [Days] [€ m] [Days] 1,000 400 500 200 783 819 780 405 393 742 774 377 387 800 673 679 400 343 347 300 322 150 609 294 301 600 544 300 143 154 141 157 200 100 123 132
Slide 15: NWC ratio remains characterized by high inventories
NWC ratio remains characterized by high inventories Net working capital Operating cash flow Net working capital Net working capital Cash flow from operating activities [€ m] [as % of revenue]1 [€ m] 2023: 113 Mio. € 1,000 884 919 918 100% 150 870 761 802 800 719 80% 100 60 674 70 595 29 600 60% 22 5
Slide 16: Still robust financial structure with substantial equity ratio
Still robust financial structure with substantial equity ratio Net financial debt1 and gearing2 Net financial debt/EBITDA3 Net financial debt1 Net financial debt/ Gearing2 [€ m] EBITDA3 500 100% 1.4 1.3 402 90% 1.2 400 376 366 80% 1.2 353 70% 1.0 0.9 0.8 300 254 258 60% 0.8 0.7 0.7 0.7 235 0.6 211 5
Slide 17: The Wacker Neuson SE share
The Wacker Neuson SE share Share price development vs. relevant indices1 Dividend payout 300% 4.00 41% 48% 53% 0% 48% 42% 45% 3.50 -24% 3.00 2.73 120% 2.50 2.10 3 2.06 1.99 110% 2.00 0.65 2 100% 1.50 1.25 1.26 1.15 1.10 1.00 1.00 0.50 0.90 90% 0.60 0.60 0.50 1.41 0.20 80% 0.60 0.00 0.00 70% 2017 201