R. Stahl Aktiengesellschaft · XETR:RSL2

R. Stahl Aktiengesellschaft — Investor Presentation (June 2015)

42 slides from R. Stahl Aktiengesellschaft's investor presentation, Jun 2, 2015

  1. Slide 1: Investorpresentation

    Investorpresentation London, 2 June 2015

  2. Slide 2: Agenda

    Agenda 1. Executive Summary 2. Financial Information 2014 3. Business Model 4. Outlook 2

  3. Slide 3: Leading Supplier in Explosion Protection

    Leading Supplier in Explosion Protection  LEADING GLOBAL SUPPLIER of electric and electronic products and systems for explosion protection with subsidiaries in 24 countries and ~1,900 employees  14 % MARKET SHARE, NO. 2 WORLDWIDE in explosion protection (total volume € 2.25 billion p. a.)  QUALIT

  4. Slide 4: Diversified Product Portfolio

    Diversified Product Portfolio From standard products to system solutions Switchgear Interface Technology HMI Systems Signalling Devices Camera Systems Lighting 4

  5. Slide 5: Our Customers

    Our Customers Oil & Gas, Chemical, Pharmaceutical and Marine Industry 5

  6. Slide 6: Success in Figures 2005 - 2014

    Sucess in Figures 2005 - 2014 SALES 2005–2014 EBIT 2005–2014 in million € in million € 309 291 26.9 223 304 24.9 24.9 221 243 21.5 19.3 167 212 203 18.5 16.8 18.3 150 12.6 2014: +1.4 % 9.3 2005 2014 2005 2014 ORDER INTAKE 2005–2014 EBIT MARGIN 2005–2014 in million € in % of sales 335 297 12.7 304 11

  7. Slide 7: Highlights 2014

    Highlights 2014 New production facility Global network used in Start of construction work built in India international Wheatstone for new production and project development centre in Cologne Prestigious order of LED First order of IECEx-certified FPSO New laboratory at HQ in light fittings in India

  8. Slide 8: Agenda

    Agenda 1. Executive Summary 2. Financial Information 2014 3. Business Model 4. Outlook 8

  9. Slide 9: Financial Overview

    Financial Overview in million € 2014 2013 ∆ in % Order Intake 335.2 304.1 10.2 % Sales 308.5 304.4 1.4 % EBIT 18.3 24.9 (26.5) % SALES AND EBIT PROGRESSIVELY FOLLOWING STRONG GROWTH IN ORDER INTAKE  All-time high order intake of € 335.2 million with particularly strong demand in Asia/Pacific  Sale

  10. Slide 10: Strong Growth in Order Intake

    Strong Growth in Order Intake ORDER INTAKE BY REGION 2014 (in million €) Increasing demand in Asia and Australia (0.7) % Strong dynamics in the U.S. 141.3 140.3 Political uncertainties in Russia (1.5) % 48.1 % 20.4 % 66.6 65.7 71.6 57.6 47.9 48.3 Germany Europe (excl. Americas Asia/Pacific Germany)

  11. Slide 11: Increasing Sales especially in Asia

    Increasing Sales especially in Asia SALES BY REGION 2014 (in million €) (4.6) % Sales growth in Germany reflects strong order intake in 2013 139.0 132.6 Strong growth in the US and Asia/Pacific 2.8 % 4.2 % 13.2 % 65.0 66.8 50.6 52.8 56.4 49.9 Germany Europe (excl. Americas Asia/Pacific Germany) 2013

  12. Slide 12: EBIT Impacted by Extraordinary Effects

    EBIT Impacted by Extraordinary Effects EBIT 2014 EBIT AND EBIT-MARGIN 2014 (in million €) (in %) 7.5 24.9 18.3 8.2% 5.2 5.9% 3.8 1.8 2013 2014 2013 2014 Q1 Q2 Q3 Q4 EBIT EBIT-margin EBIT IMPACTED BY INVESTMENT PROGRAM AND TAKEOVER ATTEMPT  Direct and indirect costs related to failed takeover attemp

  13. Slide 13: Sale of Treasury Stock Improves Cash Flow 2015

    Sale of Treasury Stock Improves Cash Flow 2015 27.4 3.1 3.2 5.7 5.8 (18.6) (15.5) (24.2) Cash flow from Capex Free cash flow Cashflow from 2013 operating activities financing activities 2014 MAIN FACTORS IMPACTING FINANCIAL FUNDS  Increased net working capital due to high unfinished and finished go

  14. Slide 14: Equity Impacted by Pension Obligations

    Equity Impacted by Pension Obligations BALANCE SHEET STRUCTURE 2014 EQUITY IMPACTED BY 3 (in million €) FACTORS  Increased present value of pension obligations due to a 26.4% Short-term decline in the underlying interest 32.0% Short-term liabilities rate from 3.7% in 2013 to 2.0% assets 55.7% in 20

  15. Slide 15: Sale of Treasury Shares in Cash Flow Q1 2015

    Sale of Treasury Shares in Cash Flow Q1 2015 EQUITY REFLECTS SALE OF TREASURY SHARES IN Q1 2015  Sale of treasury shares (10 % of share capital) in December 2014  Transfer of shares and purchase price executed in January 2015; positive equity effect not in balance sheet 2014  Purchase price of 24

  16. Slide 16: Attractive Dividend Policy

    Attractive Dividend Policy DIVIDEND PER R. STAHL SHARE 2005 - 2014 Dividend per share Payout ratio 1.10 1.00 1.00 0.90 0.90 0.80 0.70 0.70 0.60 0.40 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 16

  17. Slide 17: Agenda

    Agenda 1. Executive Summary 2. Financial Information 2014 3. Business Model 4. Outlook 17

  18. Slide 18: Explosion Protection

    Explosion Protection Definition  HAZARDOUS AREA  During production and processing as well as during transport of substances in the chemical industry, in oil and gas production, mining, etc., gases, vapours, mists or dusts develop 1 Prevent the generation of  If these substances mix with oxygen, a

  19. Slide 19: Unique Offering

    Unique Offering from Standard Products to Complex Solutions COMPLEX SOLUTIONS Bulk projects BULK PROJECTS POWER DISTRIBUTION AUTOMATION PANELS STANDARD PRODUCTS (INDIVIDUAL ORDER OR BULK ORDER) 19

  20. Slide 20: Reference Example

    Reference Example System Solution  PROJECT ASIA GAS PIPELINE FROM UZBEKISTAN TO CHINA 1,818 km gas pipeline, fitted with 130 automatic ball valves for flow regulation  CHALLENGE „Off-grid“ energy supply as a complete package in a hazardous area: The stations are installed in rough terrain in great

  21. Slide 21: Quality and Technological Leader

    Quality and Technological Leader  ONLY SUPPLIER to offer all explosion protection types with ability to combine them in systems solutions  ACTIVE PARTNER in the drafting of valid explosion protection standards in cooperation with national and international bodies  BASIC RESEARCH for tomorrow’s ex

  22. Slide 22: Global Leader in a Fragmented Market

    Global Leader in a Fragmented Market  largest product Portfolio worldwide  global market leader in complex integrated systems solutions  number 2 in the growing IEC global market Market volume: € 1.44 billion* Cooper Crouse Hinds 24 % R. STAHL 14 % EGS 8% Pepperl & Fuchs 7% Hubbell 7% Bartec 4% T

  23. Slide 23: Market Entry Barriers

    Market Entry Barriers  GROWING COMPETITION in the component business due to aggressively priced suppliers from emerging regions However, there are substantial market entry barriers:  INTERNATIONAL STANDARDS/REGULATIONS with strict requirements regarding product safety which can only be fulfilled w

  24. Slide 24: USPs of R. STAHL

    USPs of R. STAHL  NO. 1 WORLD-WIDE – MARKET LEADER in fragmented systems business  INTERNATIONAL ORGANIZATIONAL STRUCTURE R. STAHL offers its global customers know-how »Made in Germany« tailored to local needs – across the entire value chain  WORLD’S LARGEST PRODUCT PORTFOLIO with over 7,000 stan

  25. Slide 25: Customer Industries

    Customer Industries 10% 11% Marine Pharma- ceutical 51% Oil & Gas 28% Chemical Growing projects business in oil and gas industry 25

  26. Slide 26: Case Study: Major Order in Abu Dhabi

    Case Study: Major Order in Abu Dhabi UPPER ZAKUM PROJECT R. STAHL to deliver distribution boards to the world‘s second largest offshore oilfield in Abu Dhabi Engineering Services Company recommends R. STAHL for further project phases 5 MILLION € ORDER INTAKE IN 2014 AND Q1 2015 26

  27. Slide 27: International Presence

    International Presence Customer proximity around the world  Subsidiaries • Agencies With our global manufacturing network and sales structures – subsidiaries in 24 countries, 60 agencies world-wide, sales in 92 countries – we can quickly solve customer problems. 27

  28. Slide 28: Investment Program in budget and on schedule

    Investment Program in budget and on schedule EXPANSION ALREADY COMPLETED EXPANSION 2015 Sales subsidiary Systems specialist Production site Production and Oslo Hengelo Houston development center Cologne Completion: 2015 Total investment: 12 m € thereof in 2015: 10 m € Production site Laboratory Asia

  29. Slide 29: Success in America: +20 % Order Intake in 2014

    Success in America: +20 % Order Intake in 2014 CAPACITIES INCREASED Additional production capacities in Houston, USA LONG-TERM PARTNERSHIPS ESTABLISHED R. STAHL‘s customer-specific solution made a company-wide standard at customer‘s plants FIRST FPSO-ORDER IN THE GULF OF MEXICO R. STAHL products to

  30. Slide 30: Growth Driver Asia: +48 % Order Intake in 2014

    Growth Driver Asia: +48 % Order Intake in 2014 STRONG GROWTH IN INDIA NEW FACTORY IN INDIA EXPANSION IN MALAYSIA Major order received for Production facility in Chennai From a local subsidiary in LED-lighting by Indian with a staff turnover rate of Kuala Lumpur to an operating energy giant only 5 %

  31. Slide 31: Agenda

    Agenda 1. Executive Summary 2. Financial Information 2014 3. Business Model 4. Outlook 31

  32. Slide 32: Strong Business Platform

    Strong Business Platform MARKET LEADERSHIP IN SYSTEM SOLUTIONS No. 1 in system solutions Photo: Schuck Group Different market cycles of standard and systems business help balance economic volatilities Systems Business EXPANSION IN GROWTH MARKETS Strong presence in customer markets Investments in bui

  33. Slide 33: Oil Price Impacts our Customers' Capex

    Oil Price Impacts our Customers‘ Capex OIL PRICE AND RIG COUNT 2008 to 2015 ? 2008 2009 2010 2011 2012 2013 2014 2015 2016 rig count oil price 33

  34. Slide 34: Challenges 2015

    Challenges 2015 OIL PRICE HAS FALLEN SINCE SECOND HALF OF 2014 Decrease from USD 112.41 per barrel brent oil on June 30, 2014 to USD 59.10 on April 13, 2015 Low oil price hampers customers‘ propensity to invest Oil price UKRAINE CRISIS INVOLVES A RISK FOR OUR BUSINESS IN RUSSIA R. STAHL’s products a

  35. Slide 35: Chances 2015

    Chances 2015 INNOVATIVE NEW PRODUCTS Launch of new products, especially in the field of lighting and HMI systems New products New products will lead to increased margins ECONOMIC GROWTH IN ASIA AND THE USA R. STAHL benefits from the strong growth in the USA Increasing demand in Asia, especially in I

  36. Slide 36: Outlook 2015: Order Intake and Sales

    Outlook 2015: Order Intake and Sales ORDER INTAKE  Low oil price hampers customers‘ propensity to invest  Reduced demand from German machine builders exporting to Russia due to Ukraine crisis  Order intake in Q1 2015 at previous year’s level (88.4 million €) SALES  High order backlog (99.7 milli

  37. Slide 37: Outlook 2015: EBIT

    Outlook 2015: EBIT EBIT Chances Challenges Launch of profitable new products Geopolitical instability in Russia, Brasil and Opening of markets to IECEx standard Northern Africa Positive stimulus for chemical industry Reduced capex and pressure on margins due to low oil price Euro exchange rate boost

  38. Slide 38: Appendices

    Appendices

  39. Slide 39: Share

    Share Share info Market segment Regulated Market/Prime Standard Number 6,440,000 registered shares WKN A1PHBB ISIN DE000A1PHBB5 Ticker RSL2.DE (Reuters), RSL2 (Bloomberg) Shareholders 39 % free float; 51 % founder families; 10% RAG-Stiftung 39

  40. Slide 40: Experienced Management

    Experienced Management 1 MARTIN SCHOMAKER Chief Executive Officer – responsible for Sales/ Marketing, Technology/Production, Quality Management, Product Management and HR 2 BERND MARX Chief Financial Officer – responsible for Controlling, Finance, IT, Legal Affairs, Compliance, Investor Relations an

  41. Slide 41: Disclaimer

    Disclaimer This presentation was prepared by R. STAHL AG and is solely for information purposes. It may not be reproduced, distributed or published without the prior consent of R. STAHL AG. This presentation contains forward-looking statements. Such forward-looking statements are based on certain as

  42. Slide 42: Bernd Marx (CFO) Nathalie Dirian (Investor Relations)

    Bernd Marx (CFO) Nathalie Dirian (Investor Relations) Am Bahnhof 30 Am Bahnhof 30 74638 Waldenburg, Germany 74638 Waldenburg, Germany T +49 7942 943-1271 T +49 7942 943-1395 F +49 7942 943-401271 F +49 7942 943-401395 email: investornews@stahl.de

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