Alfa Laval AB · OMXSTO:ALFA

Alfa Laval AB — Q4 2006 Earnings Presentation

21 slides from Alfa Laval AB's earnings presentation, 2007

  1. Slide 1: Interim Report Q4 2006

    © Alfa Lav al Slide 1 www.alf alaval.com Interim Report Q4 2006 - Orders received, margins and dividend - Highlights - Development per segment - Geographical development - Financials Mr. Lars Renströ Renström - Outlook President and CEO Al fa La val Group

  2. Slide 2: Key figures

    Key figures October – December 2006 z Orders received up 40% to SEK 6,672 million. z Net sales up 36% to SEK 6,040 million. z Adjusted EBITA SEK 1,018 million (535 ). - Positive currency effect SEK 5 million. January – December 2006 z Orders received up 30% to SEK 24,018 million. z Net sales up 21%

  3. Slide 3: Orders received

    Orders received SEK million SEK million R 12 7 000 28 000 6 000 24 000 5 000 20 000 4 000 16 000 3 000 12 000 2 000 8 000 Q305 +25 % Q206 +35 % 1 000 4 000 +16 % +22 % +20 % +15 % + 5% +23 % Q106 +28 % Q306 +17 % Q406 +40 % Q105 + 5 % + 9% 0 0 Q405 Q403 Q104 Q204 Q304 Q404 Q205 = rolling twelve mont

  4. Slide 4: Adjusted EBITA / margin

    Adjusted EBITA / margin * SEK million and in percent of sales 1 200 18,0 1 000 15,0 800 12,0 600 9,0 400 6,0 200 3,0 0 0,0 Q403 Q104 Q204 Q304 Q404 Q105 Q205 Q305 Q405 Q106 Q206 Q306 Q406 * Adjusted EBITA – ”Earnings before interests, taxes, amortization of goodwill and step up values and comparison

  5. Slide 5: Highlights during the quarter

    Highlights during the quarter October – December 2006 z Tranter agreed to acquire its distributor in China, turnover approximately SEK 100 M. © Alfa Lav al Slide 9 www.alf alaval.com Highlights during the quarter October – December 2006 z Tranter agreed to acquire its distributor in China. z Divestm

  6. Slide 6: Highlights during the quarter

    Highlights during the quarter October – December 2006 z Tranter agreed to acquire its distributor in China. z Divestment of engineering activity. z Petrochemical orders to China, SEK 130 and 110 M, Kuwait, SEK 100 M, and Oman, SEK 65 M. Packinox custom designed heat exchangers for aromatics. Deliver

  7. Slide 7: Highlights during the quarter

    Highlights during the quarter October – December 2006 z Tranter agreed to acquire its distributor in China. z Divestment of engineering activity. z Petrochemical orders to China, SEK 130 and 110 M, Kuwait, SEK 100 M, and Oman, SEK 65 M. z Petrochemical order to Oman, SEK 75 M. z Ethanol order to the

  8. Slide 8: Large orders 2006

    Large orders 2006 Value, SEK M Country Application Industry Delivery 110 Ukraine Refining Food 2006--2007 2006 65 India Evaporation Pulp and paper 2007 45 Belgium Central cooling Petrochemical industry 2007 240 Middle East Central cooling Gas production 2007--2008 2007 60 China Central cooling Nucle

  9. Slide 9: Orders received by Segment

    Orders received by Segment October – December 2006, at constant ra tes + Comfort & Re frigeration Parts & Service + + Marine & Diesel Life Science − + Fluids & Utility + OEM Process Industry + + Sanitary Energy & En vironment + Food + © Alfa Lav al Slide 17 www.alf alaval.com Orders received by Segm

  10. Slide 10: Orders received by Segment: Equipment Division and Refinery

    Orders received by Segment The Equipment Division, Octob er – Decemb er 2006, at constan t ra tes and for comparab le units + Comfort & Re frigeration z Strong marine market. z Continued good + Marine & Diesel investments in the + Fluids & Utility food industry. z HVAC* investments high, + OEM parti

  11. Slide 11: Orders received by Segment

    Orders received by Segment January – December 2006, at constant ra tes + Comfort & Re frigeration Parts & Service + + Marine & Diesel Life Science + + Fluids & Utility + OEM Process Industry + + Sanitary Energy & En vironment + Food + © Alfa Lav al Slide 21 www.alf alaval.com Interim Report Q4 2006

  12. Slide 12: Orders received by Region

    Orders received by Region October – December 2006, a t constant rates Other 2 % L. A or d N m er c9 i +13 ica 4 N % or th Am +32 % er +90 +10 ica 19 +56 % Western Europe 26 % C Asia 31% en +41 tr. & Ea ts 9 % © Alfa Lav al Slide 23 www.alf alaval.com Highlights Americas October – December 2006, at c

  13. Slide 13: Highlights Europe and Asia

    Highlights Europe October – December 2006, at constant ra tes Western Europe incl. Nordic +13 z Strong development in Adriatic, Nordic and Iberia. +10 +32 z Best development in Comfort & Refrigeration and Food. Central and Eastern Europe z Very strong increase in Russia, and South East Europe. z Str

  14. Slide 14: Orders received by Region

    Orders received by Region January – December 2006, at constant ra tes Oth e r 2 N o rd L. A me 9% ic ri c a % +14 No r th 4% Am e +52 +20 +49 ri c a1 8% +31 Western Europe Ce 28% n +26 tr . Asia 29 % & Ea s t 1 0% © Alfa Lav al Slide 27 www.alf alaval.com Interim Report Q4 2006 - Orders received, ma

  15. Slide 15: Highlights and Gross profit margin

    Highlights SEK million Oct – Dec 06 Order intake 6,672 Net sales 6,040 Adjusted EBITA 1,018 Adjusted EBITA- EBITA- margin 16.9% © Alfa Lav al Slide 29 www.alf alaval.com Gross profit margin In percent of sales 50 40 38.9 35.0 33.9 33.4 30 20 Q403 Q104 Q204 Q304 Q404 Q105 Q205 Q305 Q405 Q106 Q206 Q30

  16. Slide 16: Highlights and Earnings per share

    Highlights SEK million Oct – Dec 06 Order intake 6,672 Net sales 6,040 Adjusted EBITA 1,018 Adjusted EBITA- EBITA- margin 16.9% Profit before tax 751 includes cost for divestment of engineering activity for the biopharm industry, SEK 125 million © Alfa Lav al Slide 31 www.alf alaval.com Earnings per

  17. Slide 17: Highlights and Cash-flow statement

    Highlights SEK million Oct – Dec 06 Order intake 6,672 Net sales 6,040 Adjusted EBITA 1,018 Adjusted EBITA- EBITA- margin 16.9% Profit before tax 751 75 1 includes cost for divestment of engineering activity for the biopharm industry, SEK 125 million Cash flow from operating activities 2,619 ROCE 35

  18. Slide 18: Foreign exchange and Capital expenditure

    Foreign exchange Forecasted impact on adjusted EBITA from Fx Fx.. fluctuations SEK million 2006 2007 Translation effect + 11 - 40 Transaction effect + 50 - 105 Total + 61 - 145 2007 impact b ased on EUR/USD 1.30 and EUR/SEK 9.00 © Alfa Lav al Slide 35 www.alf alaval.com Capital expenditure SEK milli

  19. Slide 19: Order backlog and Net sales 2007

    Order backlog as per December 31 SEK million 14000 12,360 12000 10000 4,610 7,497 8000 1,247 6000 4,763 563 7,750 4000 6,250 2000 4,200 0 2004 2005 2006 © Alfa Lav al Slide 37 www.alf alaval.com For delivery in the next year For delivery in the later years Net sales 2007 Net sales, 2006 19,802 Backl

  20. Slide 20: Outlook for the near future

    Interim Report Q4 2006 - Orders received, margins and dividend - Highlights - Development per segment - Geographical development - Financials Mr. Lars Renströ Renström - Outlook President and CEO Al fa La val Group Outlook for the near future “In most of the markets, geographical as well as customer

  21. Slide 21: www.alf alaval.com

    © Alfa Lav al Slide 41 www.alf alaval.com

Alfa Laval — Q4 2006 Earnings Presentation on 6ix