Stabilus SE · XETR:STM
Stabilus — Q3 FY2019 Earnings Presentation
33 slides from Stabilus's earnings presentation, Aug 5, 2019
Slide 1: Q3 FY2019 Results
Q3 FY2019 RESULTS August 5, 2019
Slide 2: Disclaimer
Disclaimer Stabilus S.A. (the “Company“, later “Stabilus”) has prepared this presentation solely for your information. It should not be treated as giving investment advice. Neither the Company, nor any of its directors, officers, employees, direct or indirect shareholders and advisors nor any other
Slide 3: Agenda
Agenda 1. Operational highlights 2. Financial highlights 3. Results by region 4. Results by market 5. Outlook 6. Appendix 2
Slide 4: Agenda: Operational highlights
Agenda 1. Operational highlights 2. 3. 4. 5. 6. 3
Slide 5: Additional gas-spring production facility for HAHN
Additional gas-spring production facility for HAHN HAHN’s new building Capacity expansion at HAHN (industrial business) Since acquisition in summer 2016 HAHN‘s annual sales increased by almost 50% to more than €30m To support further growth, the adjacent production facility has been acquired for €4.
Slide 6: New Powerise production facility in China
New Powerise production facility in China Greenfield site in Pinghu Capacity expansion at Stabilus China Medium-term Automotive Powerise revenue plan for China supports a sizable capacity expansion Separation of Gas Spring and Powerise production also advisable for China (as done in Mexico and Roman
Slide 7: Three acquisitions in the first nine months of FY2019
Three acquisitions in the first nine months of FY2019 Select products and applications Acquisitions in 9M FY19 (industrial business) General Aerospace develops and assembles motion control components and systems for the aerospace industry (2018 revenue: €11m, 2019 expected revenue: €16m; transaction
Slide 8: Agenda: Financial highlights
Agenda 1. 2. Financial highlights 3. 4. 5. 6. 7
Slide 9: Q3 FY2019 highlights
Q3 FY2019 highlights Fiscal year-end September Revenue at €241.6m, - 3.4% y/y: Revenue $/€ currency translation (FX): + 2.1% y/y , acquisitions (ACQ): + 1.6% y/y, organic (ORG): - 7.1% y/y Adj. EBIT1 at €37.1m (vs. €39.5m in Q3 FY18), - 6.1% y/y (ORG: - 9.1% y/y) Adj. EBIT Adj. EBIT margin at 15.4%
Slide 10: Q3 FY2019 impacted by softer markets in Europe and China
Q3 FY2019 impacted by softer markets in Europe and China Revenue (€m) Adj. EBIT (€m) ORG: % margin ORG: 250.2 (7.1)% y/y (9.1)% y/y 241.6 15.8% 15.4% FX: 5.2 39.5 37.1 ACQ: 4.0 FX: 0.8 ACQ: 0.4 Q3 FY18 Q3 FY19 Q3 FY18 Q3 FY19 Profit (€m) Adj. FCF1 (€m) % margin % revenue 10.1% 8.0% 16.1% 13.0% 25.3
Slide 11: 9M FY2019 impacted by softer markets in Europe and China
9M FY2019 impacted by softer markets in Europe and China Revenue (€m) Adj. EBIT (€m) ORG: % margin ORG: 731.7 705.7 (6.1)% y/y (10.6)% y/y 15.4% 14.7% FX: 14.5 ACQ: 4.0 112.7 103.5 FX: 2.3 ACQ: 0.4 9M FY18 9M FY19 9M FY18 9M FY19 Profit (€m) Adj. FCF1 (€m) % margin % revenue 9.9% 8.1% 9.8% 7.1% 72.6
Slide 12: Agenda: Results by region
Agenda 1. 2. 3. Results by region 4. 5. 6. 11
Slide 13: Q3 FY2019 revenue and adj. EBIT growth by region
Q3 FY2019 revenue and adj. EBIT growth – by region (y-o-y) Revenue by region1 (€m) Adj. EBIT by region (€m) Europe NAFTA Asia / Pacific and RoW Europe NAFTA Asia / Pacific and RoW Growth Growth 250.2 39.5 241.6 37.1 32.5 (17.5)% 5.9 (50.8)% 26.8 2.9 88.9 90.4 1.7% 14.3 15.5 8.4% ORG: (4.2)% ORG: 2.8
Slide 14: 9M FY2019 revenue and adj. EBIT growth by region
9M FY2019 revenue and adj. EBIT growth – by region (y-o-y) Revenue by region1 (€m) Adj. EBIT by region (€m) Europe NAFTA Asia / Pacific and RoW Europe NAFTA Asia / Pacific and RoW Growth Growth 731.7 705.7 112.7 92.9 103.5 80.2 (13.7)% 15.4 8.2 (46.8)% 261.9 262.5 0.2% 39.2 42.4 8.2% ORG: (5.3)% ORG
Slide 15: Q3 FY2019 – Europe
Q3 FY2019 – Europe Revenue1 (€m) Key highlights ORG: (6.4)% y/y European light vehicle production in Q3 FY19 at 128.8 5.6m units, i.e. - 6.6% vs. Q3 FY18 124.5 ACQ: 4.0 Europe’s revenue decreased by €4.3m or 3.3% y/y (6.4% y/y excl. acquisition effect) Europe’s automotive revenue continue to be Q3 F
Slide 16: Q3 FY2019 – NAFTA
Q3 FY2019 – NAFTA Revenue1 (€m) Key highlights ORG: y-o-y: 1.7% 90.4 (4.2)% y/y NAFTA’s light vehicle production in Q3 FY19 at 4.3m 88.9 units, i.e. - 2.1% vs. Q3 FY18 FX: 5.2 NAFTA’s revenue + 1.7% y/y (- 4.2% y/y excluding the $/€ currency translation effect) NAFTA’s revenue development in Q3 FY19
Slide 17: Q3 FY2019 – Asia / Pacific and RoW
Q3 FY2019 – Asia / Pacific and RoW Revenue1 (€m) Key highlights Asia/Pacific and RoW’s light vehicle production in Q3 32.5 FY19 at 12.4m units, i.e. - 9.6% vs. Q3 FY18 (China 26.8 - 16.2%, Japan/Korea + 4.6%, South America - 1.7%) Asia/Pacific and RoW’s revenue decreased by 17.5% or €5.7m y/y Q3 FY1
Slide 18: Agenda: Results by market
Agenda 1. 2. 3. 4. Results by market 4. 5. 6. 17
Slide 19: Q3 FY2019 revenue growth by market / business
Q3 FY2019 revenue growth – by market / business (y-o-y) Revenue by business (€m) Automotive Industrial¹ Growth 250.2 241.6 89.5 95.5 6.7% ORG: 0.3% 160.7 146.1 (9.1)% ORG: (11.3)% Q3 FY18 Q3 FY19 % of revenue breakdown Industrial Automotive Industrial Automotive 36% 64% 40% 60% Note: Stabilus fiscal
Slide 20: 9M FY2019 revenue growth by market / business
9M FY2019 revenue growth – by market / business (y-o-y) Revenue by business (€m) Automotive Industrial¹ Growth 731.7 705.7 268.0 272.0 1.5% ORG: (1.7)% 463.7 433.7 (6.5)% ORG: (8.6)% 9M FY18 9M FY19 % of revenue breakdown Industrial Automotive Industrial Automotive 37% 63% 39% 61% Note: Stabilus fis
Slide 21: Q3 FY2019 revenue growth – Automotive business
Q3 FY2019 revenue growth – Automotive business (y-o-y) Revenue (€m) Key highlights Gas Spring Powerise Global light vehicle production in Q3 FY19 at 22.3m 160.7 ORG: (11.3)% y/y units, i.e. - 7.5% vs. Q3 FY18 146.1 ORG: Automotive revenue - 9.1% y/y (- 11.3% without $/€ (16.8)% y/y 71.6 currency tra
Slide 22: Q3 FY2019 revenue growth – Industrial business
Q3 FY2019 revenue growth – Industrial business (y-o-y) Revenue (€m) Key highlights Capital Goods Vibration & Velocity Control From Oct 1, 2018 Commercial Furniture is part of ORG: Capital Goods business unit to better reflect 0.3% y/y 95.5 customer demand for a broad product portfolio and 89.5 to fu
Slide 23: Agenda: Outlook
Agenda 1. 2. 3. 4. 5. Outlook 6. 22
Slide 24: Outlook
Outlook FY2018 Actual FY2019 Guidance € million percent ~ (1)% – 0% y/y Revenue €962.6m €950m – €960m (c. + 2% FX, c. + 1% ACQ, c. (4)% – (3)% ORG) Adj. EBIT margin 15.5% ~ 15% Comments FY2019 revenue expected to be between €950m and €960m – in line with current market expectations FY2019 adj. EBIT
Slide 25: Agenda: Appendix
Agenda 1. 2. 3. 4. 5. 6. Appendix 24
Slide 26: Revenue by region and customer market (3M ended June 30, 2019)
Revenue by region and customer market (3M ended June 30, 2019) External revenue (€m) Q3 FY2018 Q3 FY2019 Change % change Actual Actual Automotive Gas Spring 40.8 37.8 (3.0) (7.4)% Automotive Powerise 29.2 24.2 (5.0) (17.1)% Industrial / Capital Goods 44.8 44.9 0.1 0.2% Vibration & Velocity Control2
Slide 27: Revenue by region and customer market (9M ended June 30, 2019)
Revenue by region and customer market (9M ended June 30, 2019) External revenue (€m) 9M FY2018 9M FY2019 Change % change Actual Actual Automotive Gas Spring 119.7 111.6 (8.1) (6.8)% Automotive Powerise 83.5 73.4 (10.1) (12.1)% Industrial / Capital Goods 132.4 133.6 1.2 0.9% Vibration & Velocity Cont
Slide 28: P&L overview (3M ended June 30, 2019)
P&L overview (3M ended June 30, 2019) P&L (€m) Q3 FY2018 Q3 FY2019 Change % change Actual Actual Revenue 250.2 241.6 (8.6) (3.4)% COGS (177.0) (172.8) 4.2 (2.4)% Gross Profit 73.2 68.9 (4.3) (5.9)% % margin 29.3% 28.5% R&D (10.1) (9.2) 0.9 (8.9)% S&M (20.4) (21.0) (0.6) 2.9% G&A (9.4) (8.3) 1.1 (11.
Slide 29: P&L overview (9M ended June 30, 2019)
P&L overview (9M ended June 30, 2019) P&L (€m) 9M FY2018 9M FY2019 Change % change Actual Actual Revenue 731.7 705.7 (26.0) (3.6)% COGS (512.7) (503.0) 9.7 (1.9)% Gross Profit 219.0 202.6 (16.4) (7.5)% % margin 29.9% 28.7% R&D (31.8) (28.9) 2.9 (9.1)% S&M (61.2) (62.3) (1.1) 1.8% G&A (28.8) (26.3) 2
Slide 30: Balance sheet overview
Balance sheet overview Balance sheet (€m) Key highlights Sept 2018 June 2019 Change % change Actual Actual Property, plant and equipm. Assets and liabilities of acquired entities 179.2 194.0 14.8 8.3% Goodwill 195.2 212.0 16.8 8.6% General Aerospace, Clevers and Piston are Other intangible assets 24
Slide 31: Cash flow overview and free cash flow (3M ended June 30, 2019)
Cash flow overview and free cash flow (3M ended June 30, 2019) Cash Flow Statement (€m) Q3 FY2018 Q3 FY2019 Change % change Actual Actual Cash flow from operating activities 48.6 44.2 (4.4) (9.1)% Cash flow from investing activities (8.2) (52.1) (43.9) >100.0% Cash flow from financing activities (1.
Slide 32: Cash flow overview and free cash flow (9M ended June 30, 2019)
Cash flow overview and free cash flow (9M ended June 30, 2019) Cash Flow Statement (€m) 9M FY2018 9M FY2019 Change % change Actual Actual Cash flow from operating activities 98.9 92.3 (6.6) (6.7)% Cash flow from investing activities (27.0) (81.2) (54.2) >100.0% Cash flow from financing activities (2
Slide 33: www.stabilus.com
STABILUS www.stabilus.com