Ge Vernova Inc. · NYSE:GEV
Ge Vernova — Investor Day (2024)
10 slides from Ge Vernova's investor day presentation, 2024
Slide 1: Caution concerning forward-looking statements; Non-GAAP financial measures
Caution concerning forward-looking statements: This presentation contains "forward-looking statements" – that is, statements related to future events that by their nature address matters that are, to different degrees, uncertain. These forward-looking statements might be identified by words, and var
Slide 2: Wind: Significant Margin Expansion in Sight
WIND SIGNIFICANT MARGIN EXPANSION IN SIGHT Vic Abate Wind CEO © 2024 GE Vernova and/or its affiliates. All rights reserved. 2
Slide 3: Wind: a generational build-out to electrify and decarbonize
Wind: a generational build-out to electrify and decarbonize 6x growth needed in wind output Wind TWhrs-a) % of Total Generation 16,800 Net Zero THE WORLD NEEDS WIND required to achieve net zero; 12,700 Announced Pledges 1 out of 4 electrons by 2040 ~25% 9,300 Stated policies HIGH-TECH INFRASTRUCTURE
Slide 4: Workhorse products… core to sustained success
Workhorse products… core to sustained success Reliability at scale Focused product leadership Reduced variants, more reliable fleets ... MW CONSTRAINED Capacity factor leader 3 workhorse products U.S. manufactured 3.6MW-154m Repeatable operations & scale … ~55K installed base, ~4B operating hours LA
Slide 5: Leading with quality in Onshore
Leading with quality in Onshore Driving workhorse reliability Innovating for enhanced quality at scale 2.8MW-127m first-year availability • Design: increase key component strength to 98% extend useful life 96% • Daily management rigor delivering ~2pts of higher • Validation: system & availability su
Slide 6: Lean underpins Onshore improvement
Lean underpins Onshore improvement Enhanced capability Structural productivity Headcount Fixed cost as % of revenues Reduced layers to bring customers closer to the decision makers (40)% (6)points Refocused R&D … fewer design centers, bigger communities of practice Repositioned factory footprint to
Slide 7: Onshore margin expansion secured in backlog
Onshore margin expansion secured in backlog Demand visibility improving Favorable mix shift % Planned U.S. units in agreement with customers-a) $B opening equipment backlog-b) Entering 2022 Entering 2024 $9.3 ROW $6.5 2x US 2022E 2023F 2024E 2025F 2023 2024 % contracted >50% visibility for 2025 10pt
Slide 8: Focused on improving Offshore results
Focused on improving Offshore results Delivering existing Offshore backlog-a) Key actions Year-end equipment backlog ($B) • Executing ~$4B backlog … building >4 million ~$4B operating hours experience by end of 2026 • Deploying lean to reduce nacelle cycle time by >40% & product cost, while improvin
Slide 9: Strategic priorities: Applying lean and our playbook to Offshore
Applying lean and our playbook to Offshore Onshore Offshore >75% Wind backlog-a) <25% Wind backlog-a) LEAD WITH QUALITY Strategic priorities WORKHORSE PRODUCTS In process FOCUSED In process & LEAN Resetting Offshore… quality, price & structural costs © 2024 GE Vernova and/or its affiliates.
Slide 10: Wind: significant margin expansion in sight
Wind: significant margin expansion in sight Wind 2023 2024E Dynamics • Significant y/y EBITDA uplift in 2024 from price, productivity & cost savings Revenue $9.8B Flat*-a) • Higher US volume starting in 2H’24 leading to HSD Onshore EBITDA margins • Lower but more profitable International volume EBIT