Slide 1: Half year results 2004 Conference call
Half year results 2004 Conference call August 12th, 2004 Wiesbaden Dr. Peter Diesch, CFO Dr. Aldo Belloni, Member of the Executive Board Half year 2004 1
Slide 2: Key Facts
Linde Group Key Facts • Significant increase in sales and EBITA • EPS of €0.62 (2003: €0.44), excl. Goodwill €1.16 (2003: €0.97) • Outlook for FY 2004 unchanged: Slight growth in sales and EBITA before special items, excl. Refrigeration • Sale of Refrigeration approved by European Commission Half ye
Slide 3: Income Statement
Linde Group Income Statement • Sales up 6.5%, excl. currency plus 8.6% • EBITA increased by 9.5%, excl. currency plus 12.1% In € million Q2 04 ∆ H1 04 ∆ Sales 2,327 4.8% 4,438 6.5% Sales (excl. Currency) - 5.8% - 8.6% EBITDA 350 5.1% 657 4.1% EBITA 161 8.1% 277 9.5% EBIT 127 8.5% 213 12.7% Financial
Slide 4: Key Financials
Linde Group Key Financials • Net interest result improved by €9 mil. (2003: -€73 mil.) • Unchanged net debt but improved gearing In € million 2003 H1 04 Operating cash flow 1,281 417 Capex (excl. Financial assets) 856 451 Net interest -130 -64 EBITDA / Net interest 11.1 10.3 Net debt* 2,941 2,946 Ge
Slide 5: Gas and Engineering
Gas and Engineering Half year 2004 5
Slide 6: Linde Gas
Linde Gas • Sales up 1.3%, excl. currency plus 4.7% • EBITA plus 5.3%, excl. currency plus 7.9% In € million Q2 04 ∆ H1 04 ∆ Sales 981 2.3% 1,944 1.3% Sales (excl. Currency) - 4.3% - 4.7% EBITDA 253 5.0% 503 1.8% Margin 25.8% - 25.9% - EBITA 150 7.9% 299 5.3% Margin 15.3% - 15.4% - EBTA 126 18.9% 25
Slide 7: Regional Sales
Linde Gas Regional Sales • Good development in Europe, especially in Eastern Europe • Double-digit currency impact on North American sales • Highest growth rate in South America In € million H1 03 H1 04 ∆* ∆* (excl. Currency) Germany 431 431 0.1% 0.1% Europe excl. Germany 925 963 4.1% 5.8% North Ame
Slide 8: Product Segment Sales
Linde Gas Product Segment Sales • Bulk business achieves highest growth rates • Cylinder Business is stabilizing • Healthcare again with double-digit growth, excl. currency In € million H1 03 H1 04 ∆ ∆ (excl. Currency) Bulk 515 26% 540 27% 4.8% 7.5% Cylinder 780 39% 782 39% 0.3% 3.8% On-site* 392 20
Slide 9: Highlights Outlook – Full Year 2004
Linde Gas Highlights • Improved Cylinder business with positive influence on margins • Restructuring programm Fit-for-Future is fully on track • More project activities in second half foreseeable Outlook – Full Year 2004 • Increase in sales and EBITA (excl. currency) Half year 2004 9
Slide 10: Linde Engineering
Linde Engineering • Strong increase of sales (+17%) and order intake (+22%) • EBITA up by 56.3% In € million Q2 04 ∆ H1 04 ∆ Sales 337 3.4% 627 17.0% Order intake 473 31.4% 887 22.0% EBITDA 21 16.7% 33 26.9% Margin 6.2% - 5.3% - EBITA 17 30.8% 25 56.3% Margin 5.0% - 4.0% - EBTA 17 41.7% 24 71.4% Hal
Slide 11: Highlights Outlook - Full Year 2004
Linde Engineering Highlights • H1 order intake exceeds good last year • Order backlog higher than €2 bn • Promising outlook: Good project situation in all segments Outlook - Full Year 2004 • Increase in sales and EBITA Half year 2004 11
Slide 12: Material Handling
Material Handling Half year 2004 12
Slide 13: Material Handling
Material Handling • Sales up 13.2%, Order intake 16.2% higher • EBITA plus 26.9% In € million Q2 04 ∆ H1 04 ∆ Sales 847 14.2% 1,591 13.2% Order intake 921 23.5% 1,731 16.2% EBITDA 118 10.3% 217 10.2% Margin 13.9% - 13.6% - EBITA 43 26.5% 66 26.9% Margin 5.1% - 4.1% - EBTA 34 25.9% 50 28.2% Half year
Slide 14: Highlights Outlook – Full Year 2004
Material Handling Highlights • Strong growing world market, highest growth rates in USA and Asia • European market is accelerating, especially in the second quarter • Strong competition and increasing raw material prices with negative impact on profitablity Outlook – Full Year 2004 • Improved sales
Slide 15: Refrigeration
Refrigeration Half year 2004 15
Slide 16: Refrigeration
Refrigeration • Sales up 1.2%, strong order intake (+5.4%) • EBITA of minus €28 mil. negatively impacted by implementation of new IT-systems In € million Q2 04 ∆ H1 04 ∆ Sales 200 -2.4% 332 1.2% Order intake 274 14.6% 466 5.4% EBITDA 7 - -17 - EBITA 1 - -28 - EBTA 0 - -29 - Half year 2004 16
Slide 17: Investor Relations Contacts
Investor Relations Contacts Thomas Eisenlohr Head of Investor Relations Tel.: +49 611 770 610 Fax: +49 611 770 690 thomas.eisenlohr@linde.de Marc Weisener Tel.: +49 611 770 468 Fax: +49 611 770 690 marc.weisener@linde.de Jo Raja Tel.: +49 611 770 128 Fax: +49 611 770 690 jo.raja@linde.de Half year 2