Bilfinger SE · XETR:GBF

Bilfinger — Q3 2022 Earnings Presentation

30 slides from Bilfinger's earnings presentation, January 2023

  1. Slide 1: Company Presentation Q3 2022

    Bilfinger SE Company Presentation Q3 2022 January 2023 Hydropower: ÖBB - Obervellach/Tauernmoos

  2. Slide 2: Key Highlights Q3 2022

    Key Highlights Q3 2022 Significant increase in Significant increase in Key drivers: Operational Orders received Revenue Efficiency increase Outlook 2022 org. +19% org. +11% & sustainability confirmed EBITA margin Free cash flow Bottom-line effect end of 2023 Strategy Update on prior-year (like-for-l

  3. Slide 3: HSEQ: Safety is good business

    HSEQ Safety is good business 0.60 0.53 0.50 0.40 0.30 0.22 0.16 0.21 0.23 „Zero“ 0.20 is possible 0.10 0.00 2018 2019 2020 2021 01-09 2022 LTIF: Lost Time Injury Frequency Safety KPI (based on 1 million working hours) *LTIF: Lost Time Injury Frequency Bilfinger SE | January 2023 page 3

  4. Slide 4: Orders received and revenue significantly above prior year

    Orders received and revenue significantly above prior year Orders received [€ million] +22%/+19% 1,001 1,061 1,028 1,117 1,107 1,118  Increase in orders received 917 Framework 60%  Slightly increased share in projects, and Service 40% Projects including biopharma and energy Q1/21 Q2/21 Q3/21 Q4/21

  5. Slide 5: Market development: Continued positive demand despite challenges for the industry

    Market development Continued positive demand despite challenges for the industry Chemicals & Petrochem Energy Bilfinger trend Bilfinger trend 30% of revenue YTD 15% of revenue YTD Long-term development: Long-term development: Sustainability, energy costs, availability of resources and skilled worker

  6. Slide 6: Market development: Demand for services to increase efficiency and sustainability

    Market development Demand for services to increase efficiency and sustainability remain driving factors Oil & Gas Pharma & Biopharma Bilfinger trend Bilfinger trend 20% of revenue YTD 5% of revenue YTD Long-term development: Long-term development: High profits of large companies, investment in green

  7. Slide 7: Building blocks to achieve our vision

    Building blocks to achieve our vision Strategy Management Structure Efficiency Program Vision: No. 1 in industrial services through efficiency and sustainability Bilfinger SE | January 2023 page 7

  8. Slide 8: Bilfinger Efficiency Program

    Bilfinger Efficiency Program Sustainable improvement of our cost competitiveness Purpose Achieve a lean administration Target Savings of €55 million, full effect as of 31.12.2023 Cost €60 million in P&L in FY 2022, cash-out in FY 2023 Re-invest 25% of €55 million savings into education and training

  9. Slide 9: How the savings potential is identified and realized

    How the savings potential is identified and realized Efficiency levers Target areas Result 1 Structures Headquarters, layers and span, locations, capacities, functions Lean 2 Processes All admin processes: IT, HR, Finance, Communication, Procurement etc. administration Benchmarked 3 Portfolio Offeri

  10. Slide 10: Financials: Efficiency program effect

    Financials € 42m 400 Net Improvement -40 -5 -5 -5 +13 SG&A 300 Addressed Re-Investment € 55m EBITA Gross Improvement scope into education & training Addressed 100 COGS 2021 Structures Processes Portfolio Procurement Re- 2024 Investment Bilfinger SE | January 2023 page 10

  11. Slide 11: Efficiency program reporting

    Efficiency program reporting Quarterly – starting with Q1 2023 Targeted [full-year] Reported effect Reported effect effect Year-to-date 2023 In Q1 2023 Headcount reductions - 750 FTEs - [X] FTEs - [X] FTEs € One-time costs - € 60 million - € [X] million - € [X] million EBITA improvement p.a. + € 42

  12. Slide 12: Financial highlights Q3 2022

    Financial highlights Q3 2022 Significant increase in Significant increase in Orders received Revenue Gross profit increased to org. +19% org. +11% €114 million € EBITA margin Free cash flow SG&A ratio on prior-year (like-for-like) above prior year (like-for-like) below prior year 3.4% €69 million 7.

  13. Slide 13: P&L development

    P&L development Q3/ Q3/ YTD/ YTD/ Δ in % Δ in % 2022 2021 2022 2021 Orders received 1,118 917 +22% 3,343 2,980 +12% Revenue 1,075 945 +14% 3,114 2,755 +13%  EBITA margin (3.4% ) in quarter on prior year excluding one- Gross profit 114 106 +7% 316 280 +13% time effects (gains from real Selling and a

  14. Slide 14: Gross profit increased, SG&A expenses above prior year

    Gross profit increased SG&A expenses significantly above prior-year EBITA margin operationally stable Gross profit [€ million, %] EBITA [€ million, %] 114 EBITA margin (%) 106 107 107 95 95 thereof gains from 79 real estate disposals: EBITA margin (%) €19 million 54 without one-time effects 11.3% 10

  15. Slide 15: Improvement in working capital, cash flow operationally increased

    Improvement in working capital Cash flow operationally increased Operating cash flow [€ million] Net Trade Assets / DSO/DPO 115 81 60 28 514 500 523 515 432 473 416 -23 -40 -67 Net trade Q1/21 Q2/21 Q3/21 Q4/21 Q1/22 Q2/22 Q3/22 assets [€ million] Free cash flow [€ million] 3/31/21 6/30/21 9/30/21 1

  16. Slide 16: E&M Europe: Increase in revenue supported by North Sea Offshore

    E&M Europe: Increase in revenue supported by strong demand in North Sea Offshore EBITA margin slightly improved Orders received [€ million] EBITA [€ million, %] +14%/+13% 38 38 37 675 736 669 667 33 649 587 641 29 5.7% 5.2% 5.2% 5.4% 4.4% 16 13 2.8% Q1/21 Q2/21 Q3/21 Q4/21 Q1/22 Q2/22 Q3/22 2.0% Ord

  17. Slide 17: E&M International: Increase in maintenance contracts in North America

    E&M International: Increase in maintenance contracts in North America EBITA margin improved but still negative Orders received [€ million] EBITA [€ million, %] +93%/+74% 3 199 197 223 2.1% 161 158 163 -0.5% -0.6% -0.9% 116 -3.6% -1 -1 -2 -6.0% -6.4% -5 Q1/21 Q2/21 Q3/21 Q4/21 Q1/22 Q2/22 Q3/22 -7 Or

  18. Slide 18: Technologies: Orders from Pharma & Biopharma lead to revenue increase

    Technologies: Orders from Pharma & Biopharma lead to revenue increase Orders received [€ million] EBITA [€ million, %] +10%/+10% 7 169 170 173 173 187 6 6 143 115 4 4.7% 4.2% 3 3 4.0% 1.8% 2.3% Q1/21 Q2/21 Q3/21 Q4/21 Q1/22 Q2/22 Q3/22 2.9% 0 0.1% Order backlog [€ million] 550 575 615 617 665 697 72

  19. Slide 19: Outlook 2022 confirmed

    Outlook 2022 confirmed Actual FY 2021 Outlook FY 2022 Revenue €3,737 million Significant increase Significant operating increase, but EBITA €121 million 1 impacted by special items 3 Target: EBITA-Margin > 5% in 2024 Free cash flow €115 million 2 At prior-year level 1 Including one-time effects in t

  20. Slide 20: Key Highlights Q3 2022

    Key Highlights Q3 2022 Significant increase in Key drivers: Significant increase in Operational Orders received Revenue Efficiency increase Outlook 2022 org. +19% org. +11% & sustainability confirmed EBITA margin Free cash flow Bottom-line effect end of 2023 Strategy Update on prior-year (like-for-l

  21. Slide 21: Quarterly Statement Q3 2022 Financial backup

    Quarterly Statement Q3 2022 Financial backup

  22. Slide 22: Segment development Q3 2022

    Segment development Q3 2022 Reconciliation Group E&M Europe E&M International Technologies Group HQ / Consolidation / Other Other Operations [in € million] Q3/22 Q3/21 Δ in % Q3/22 Q3/21 Δ in % Q3/22 Q3/21 Δ in % Q3/22 Q3/21 Δ in % Q3/22 Q3/21 Δ in % Q3/22 Q3/21 Δ in % Orders received 667 587 +14% 2

  23. Slide 23: Segment development YTD 2022

    Segment development YTD 2022 Reconciliation Group E&M Europe E&M International Technologies Group HQ / Consolidation / Other Other Operations [in € million] YTD/22 YTD/21 Δ in % YTD/22 YTD/21 Δ in % YTD/22 YTD/21 Δ in % YTD/22 YTD/21 Δ in % YTD/22 YTD/21 Δ in % YTD/22 YTD/21 Δ in % Orders received 2

  24. Slide 24: P&L Income Statement

    P&L Income Statement [€ million] [€ million] Q3/22 Q3/21 ∆ in % YTD/22 YTD/21 ∆ in % Revenue 1,075.0 944.9 +14% 3,114.3 2,755.0 +13% Gross profit 114.1 106.5 +7% 315.8 280.2 +13% PY includes real estate disposal 19, Selling and administrative expenses -78.1 -71.4 -10% -228.3 -214.3 -7% 1 sale of Teb

  25. Slide 25: Consolidated Balance Sheet: Assets

    Consolidated Balance Sheet: Assets Consolidated Balance Sheet: Assets [€ million] 09/30/2022 12/31/2021 09/30/2021 Non-current assets Intangible assets 801.9 780.6 775.3 Property. plant and equipment 254.0 258.7 257.2 Right of use assets from leases 179.0 176.7 179.1 Investments accounted for using

  26. Slide 26: Consolidated Balance Sheet: Equity & liabilities

    Consolidated Balance Sheet: Equity & liabilities Consolidated Balance Sheet: Equity & liabilities [€ million] 09/30/2022 12/31/2021 09/30/2021 Equity Equity attributable to shareholders of Bilfinger SE 1,167.8 1,300.8 1,233.4 Attributable to minority interest -11.2 -11.8 -12.4 1,156.6 1,289.0 1,221.

  27. Slide 27: Balance Sheet – Overview of Assets and Liabilities

    Balance Sheet – Overview of Assets and Liabilities Balance sheet assets [€ million] Balance sheet liabilities / equity ratio [€ million / %] ∆ 12/31/21 ∆ 6/30/22 ∆ 12/31/21 ∆ 6/30/22 3,149 3,048 3,047 3,149 3,048 3,047 781 Intangible assets +3% +1% Equity -10% -2% 792 802 1,289 1,186 1,157 Non-curre

  28. Slide 28: Net liquidity decreased despite positive free cash flow due to share buyback

    Net liquidity decreased despite positive free cash flow due to share buyback Net liquidity1) [€ million] Cash flow development year-to-date excl. IFRS 16 [€ million] -12 0 -3 0 -18 81 -70 91 65 -4 1.7.2022 OCF Net Capex Acquisitions/ Cash flow Cash flow Change in Share Other 30.9.22 disposals financ

  29. Slide 29: Consolidated Statement of Cash Flows

    Consolidated Statement of Cash Flows Cash Flow Statement [€ million] Q3/22 Q3/21 ∆ in % YTD/22 YTD/21 ∆ in % EBITDA 61.4 78.1 -21% 150.7 158.8 -5% Change in advance payments received 29.0 21.5 +35% 19.3 1.9 +908% Change in trade receivables 3.5 -44.6 - -150.5 -174.9 +14% Change in trade payables and

  30. Slide 30: Disclaimer

    Disclaimer This presentation has been produced for support of oral information purposes only and contains forward-looking statements which involve risks and uncertainties. Forward-looking statements are statements that are not historical facts, including statements about our beliefs and expectations

Bilfinger — Q3 2022 Earnings Presentation on 6ix