Slide 1: Q1 Results 2006
Q1 Results 2006 Telephone Conference May 17, 2006
Slide 2: Group Sales (in million Euro)
Group Sales (in million Euro) Total Sales Split per Business Group +8.1% Specialty Products (+4.4%)* 7.7% 810 749 HealthCare 40.0% Graphics 52.3% Q1 2005 Q1 2006* * Excluding currency impact Sales increase driven by higher volumes, positive currency effects and virtually no price erosion 2
Slide 3: Q1 2006 Sales Breakdown per Region
Q1 2006 Sales Breakdown per Region 100% = 810 million Euro Asia and ROW 18.1% Latin America 5.4% Europe 51.7% NAFTA 24.8% Half of sales in Europe; strong presence in NAFTA and Asia (excl. Japan) Growth in NAFTA, Latin America and ASPAC; flat in Europe 3
Slide 4: Profit & Loss: Key Figures (in million Euro)
Profit & Loss: Key Figures (in million Euro) Q1 '05 Q1 '06 % change Sales 749 810 8.1% Gross profit 284 316 11.3% Gross profit margin 37.9% 39.0% Increased production efficiency, favorable mix effects and less price pressure result in increased gross profit margin, despite steeply higher raw materia
Slide 5: Raw Materials
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Slide 6: Profit & Loss: Key Figures (in million Euro)
Profit & Loss: Key Figures (in million Euro) Q1 '05 Q1 '06 % change Gross profit 284 316 11.3% R&D -47 -47 0.0% SG&A -197 -210 6.6% as a % of sales 26.3% 25.9% Other operating items 1 -5 -600.0% EBITDA* 81 93 14.8% as a % of sales 10.8% 11.5% EBIT* 41 54 31.7% as a % of sales 5.5% 6.7% * Before rest
Slide 7: Profit & Loss: Key Figures (in million Euro)
Profit & Loss: Key Figures (in million Euro) Q1 '05 Q1 '06 % change EBIT* 41 54 31.7% Restructuring and non-recurring 1 -11 Operating result 42 43 2.4% Non-operating result 20 -16 -180.0% Profit before taxes 62 27 -56.5% Taxes -33 -7 -78.8% Net result 29 20 -31.0% * Before restructuring charges and
Slide 8: Agfa Graphics
Agfa Graphics AGFA &
Slide 9: Graphics: Sales (in million Euro)
Graphics: Sales (in million Euro) Total Sales +6.0% Inkjet, Software, (+2.3%)** Service 424 15% 400 Digital Prepress 54% Analog Prepress 31% Q1 2005* Q1 2006 * Including 12 million Euro sales from products transferred from Graphics to Specialty Products in 2006 ** Excluding currency effect Solid sal
Slide 10: Graphics: Key Figures (in million Euro)
Graphics: Key Figures (in million Euro) Q1 '05** Q1 '06 % change Sales 400 424 6.0% EBITDA* 35.6 38.1 7.0% % of sales 8.9% 9.0% EBIT* 16.6 20.1 21.1% % of sales 4.2% 4.7% * Before restructuring charges and non-recurring items ** Including 12 million Euro sales from products transferred from Graphics
Slide 11: Graphics: Q1 Highlights
Graphics: Q1 Highlights • Significant sales increase for digital printing plates • Largely compensates for the decline in sales of analog products • Launch of :Energy, the next-generation thermal plate line for commercial and packaging printers • Industrial inkjet strategy on track • Launch of a new
Slide 12: Agfa HealthCare
Agfa HealthCare AGFA &
Slide 13: HealthCare: Sales (in million Euro)
HealthCare: Sales (in million Euro) Total Sales +6.2% (+2.6%)** Classic Radiology 324 305 24% Hardcopy 33% Departmental solutions/Cardio 3% Enterprise Solutions 8% CR/DR PACS/RIS 15% Q1 2005 Q1 2006* 17% * Including Heartlab, acquired in June ‘05 ** Excluding currency effect Sales growth driven by P
Slide 14: Service Revenues as % of HealthCare Sales
Service Revenues as % of HealthCare Sales 30.0% 26.5% 23.3% 16.8% 14.0% 10.9% 11.7% 2001 2002 2003 2004 2005 Q1 '06 Target Continuous increase of services in HealthCare sales driven by growing importance of IT 14
Slide 15: HealthCare: Key Figures (in million Euro)
HealthCare: Key Figures (in million Euro) Q1 '05 Q1 '06 % change Sales 305 324 6.2% EBITDA* 42.8 45.0 5.1% % of sales 14.0% 13.9% EBIT* 22.8 25.0 9.6% % of sales 7.5% 7.7% * Before restructuring charges and non-recurring items The EBITDA margin remained stable despite increasing raw material costs (
Slide 16: HealthCare: Q1 Highlights
HealthCare: Q1 Highlights • International roll-out of ORBIS • 27 contracts in France, Germany, Austria and Switzerland • 3 pilot sites in Belgium • IT strategy for North-America introduced, including ORBIS • Strong order intake for RIS/PACS around the world • More than 100 sites signed up for IMPAX
Slide 17: Agfa Specialty Products
Agfa Specialty Products AGFA &
Slide 18: Specialty Products: Key Figures (in million Euro)
Specialty Products: Key Figures (in million Euro) Q1 '05** Q1 '06 % change Sales 44 62 40.9% EBITDA* 3.7 13.4 262.2% % of sales 8.4% 21.6% EBIT* 2.7 12.4 359.3% % of sales 6.1% 20.0% * Before restructuring charges and non-recurring items ** Excluding 12 million Euro sales from products transferred f
Slide 19: Balance Sheet: Key Figures (in million Euro)
Balance Sheet: Key Figures (in million Euro) Assets Liabilities 3,982 3,924 3,982 3,924 Non-current 1,561 assets 1,519 Liabilities 2,950 2,882 Current assets 2,129 2,108 Equity 1,032 1,042 Other assets 292 297 Dec. 2005 Q1 2006 Dec. 2005 Q1 2006 19
Slide 20: Working Capital: Key Figures (in million Euro/days)
Working Capital: Key Figures (in million Euro/days) Inventories Trade Receivables Trade Payables 1000 1000 1000 Target: 100 days Target: 70 days Target: 55 days 900 900 900 800 800 800 814 822 834 700 700 700 600 633 641 600 600 618 500 500 500 400 127 400 400 392 412 114 300 109 300 300 99 200 200
Slide 21: Balance Sheet: Key Figures
Balance Sheet: Key Figures Net Financial Debt (in million Euro) Gearing Ratio (%) 66.5% 74.0% 75.9% 65.8% 65.1% 56.0% 679 678 41.4% 17.0% 17.8% 2005 Q1 2006 Dec. Dec. Dec. Dec. Mar. June Sep. Dec. Mar '01 '02 '03 '04 '05 '05 '05 '05 '06 Net financial debt stable, including payment of the first earn-
Slide 22: Cash Flow: Q1 2006 Key Figures (in million Euro)
Cash Flow: Q1 2006 Key Figures (in million Euro) Net operating cash flow Free cash flow 67 44 -30 -53 -61* -61* -91 -114 Q1 2005 Q1 2006 Q1 2005 Q1 2006 * Termination of securitization of receivables Positive cash flow generation, mainly driven by improved working capital 22
Slide 23: Questions & Answers
Questions & Answers AGFA &