Facc Ag · VIE:FACC
Facc — Q3 2014/15 Earnings Presentation
20 slides from Facc's earnings presentation, Jan 22, 2015
Slide 1: Q3 2014/15 Results Presentation
Q3 2014/15 Results Presentation January 22, 2015 This document contains information which is proprietary to FACC or other companies. Page 1 Any reproduction, disclosure or use of this information without FACC‘s prior written consent is expressly prohibited.
Slide 2: Agenda
1 Market Update 2 Operations Update 3 Financial Highlights 4 Executive Summary Page 2
Slide 3: The super-cycle continues
The super-cycle continues Airbus and Boeing issued their expected annual deliveries forecast for the 2014-2033 period − ~35,000 aircraft over 100 seats are expected to be delivered over the next 20 years − On average, Airbus and Boeing updated their forecast by (i) 5% by number of aircraft, and (ii)
Slide 4: Major milestones
Major milestones First delivery of A350 XWB to Qatar in Dec. 2014 The first A320 NEO has started it flight test program on schedule, taking off with components from FACC AG. Following delivery of the first Challenger 350 to Netjets on 27 June 2014 after the aircraft was certified by authorities reco
Slide 5: Operations Update
1 Market Update 2 Operations Update 3 Financial Highlights 4 Executive Summary3 Page 5
Slide 6: Highlights and achievements
Highlights and achievements Operational milestones achieved in the first nine months of the business year to support growth in future • 18% Y-o-Y growth in operational output across FACC 1 • Established capacity in H1/14 supported growth in Q3 • Operational margin improved leading to positive Q3 res
Slide 7: "Double-Digit" growth in operational output
“Double-Digit” growth in operational output Product related revenues grew by 18 %. New projects are gaining further sales volume and will drive future revenues. HIGHLIGHTS PRODUCT SALES BY DIVISION Trend from H1 continued in Q3 In EUR mill. Sales growth in all division YoY Sales Growth: + 18 % +18%
Slide 8: "Double-Digit" growth in operational output
“Double-Digit” growth in operational output The product related revenue grow by +23% in Q3. QUARTERLY PRODUCT SALES HIGHLIGHTS BY DIVISION 23% overall output increase in Q3 In EUR mill. Sales 129 compared to Q2 Growth: Sales "+23%" All division in the double digit 106 Growth: 106 "Flat" growth in Q3
Slide 9: New Product Introduction – Ramp up snapshot
New Product Introduction – Ramp up snapshot Changes in the Interiors model mix and expected output increases led to front loading of capacity during the first nine months of the business year PRODUCT SALES BY DIVISION HIGHLIGHTS In EUR mill. YoY Sales Growth: + 18 % A 23% increase from product reven
Slide 10: Operations Overview - Summary
Operations Overview - Summary Q3/2014 output 18% above Q3/2013 output Q3/2014 growth of 23% compared to Q2 thanks to ramp up of new products Q3/2014 operational results turned to positive margins New business drives future increases in sales volumes across all three divisions Capacity increase estab
Slide 11: Financial Highlights
1 Market Update 2 Operations Update 3 Financial Highlights 4 Executive Summary Page 11
Slide 12: Financial snapshot
Financial snapshot Positive developments to support future growth Order Backlog − New additional work package on the A330 Neo Revenue Q1-Q3 2014/15 up 4.7% Y-o-Y driven by continued growth in product revenues Revenue Evolution Increase partially offset by a decrease in revenues from development serv
Slide 13: Revenue growth driven by increase in product revenues
Revenue growth driven by increase in product revenues REVENUE BY SEGMENT HIGHTLIGHTS In EUR mill. Group total revenue up 4.7% Y-o-Y, in line with budget Y-o-Y Growth: + 4.7% − Increase in product revenues of EUR 54.4 mill. (+18.8%) − Revenues related to development services down 382 EUR 37.3 mill. d
Slide 14: Group EBIT positive in Q3 and up versus Q2 last year
Group EBIT positive in Q3 and up versus Q2 last year EBIT HIGHTLIGHTS In EUR mill. Group EBIT in Q3 2014/15 improved by EUR 14.7 mill. from EUR -9.2 mill. in Q2 up to EUR 5.5 mill. in Q3 29,6 Aerostructures profitability increased in Q3 (despite the impact of lower revenues from development Increase
Slide 15: Research and Development driven by continuous investment in new programs
Research and Development driven by continuous investment in new programs R&D COSTS HIGHLIGHTS In EUR mill. R&D spend – 12.6% 10.7% Total R&D (capitalized and expensed) costs decreased % of revenues by 10.9% Y-o-Y − Significant number of applied research programs were concluded in Q1-Q3 2014/15 46 41
Slide 16: Capex for capacity expansion to support production growth required to meet demand
Capex for capacity expansion to support production growth required to meet demand CAPITAL EXPENDITURE HIGHLIGHTS In EUR mill. 10.8% in % of revenues 14.5% Capital expenditures increased from 10.8% to 14.5% of total revenues 55 − In line with the investment budget Investment in tangible assets mainly
Slide 17: Investment in working capital to support future growth
Investment in working capital to support future growth NWC BY ASSET / LIABILITY TYPE HIGHTLIGHTS In EUR mill. 226 Significant growth in inventories to support the stronger 30 delivery volumes expected in 2014/15 and coming periods 146 42 19 25 Increase in receivables under construction 112 Design im
Slide 18: Executive Summary
1 Market Update 2 Operations Update 3 Financial Highlights 4 Executive Summary Page 18
Slide 19: Executive Summary
Executive Summary Our order backlog benefits from the Aerospace super-cycle The order backlog is growing with the ramp up of new business Our market share is increasing with additional long term contracts executed with key OEMs Revenues increased in line with expectation Expect positive impact from
Slide 20: Disclaimer
DISCLAIMER This presentation (the “Presentation’), and the information contained therein, is not directed to, or intended for viewing, release, distribution, publication or use by (directly or indirectly, in whole or in part), any person or entity that is a citizen of, or resident or located in, the