Nkt A/s · OMXCOP:NKT
Nkt A/s — Non-Deal Roadshow (June 2016)
33 slides from Nkt A/s's roadshow presentation, Jun 23, 2016
Slide 1: Carnegie - Nilfisk Americas Roadshow
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 1 NKT Carnegie - Nilfisk Americas Roadshow 23 June 2016
Slide 2: Forward looking statements
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 2 Forward looking statements This presentation and related comments contain forward- looking statements Such statements are subject to many uncertainties and risks, as various factors of which several are beyond NKT Group’s control, may ca
Slide 3: Today's presenters
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 3 Today’s presenters Jonathan Kingsbury Anton Sørensen Nilfisk Americas Nilfisk Global R&D Vice President Commercial Sales, Senior Vice President, Global R&D US Floorcare
Slide 4: Agenda: Nilfisk Americas introduction
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 4 Agenda Nilfisk Americas introduction Nilfisk Americas sales • Introduction • Market situation • Working with global Accelerate strategy and local strategy Nilfisk Global R&D overview Nilfisk Global Operations Minnesota production site Quest
Slide 5: Introduction to Jonathan Kingsbury
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 5 Introduction to Jonathan Kingsbury Career in Nilfisk 2014-Current Vice President Commercial Sales, US Floorcare 2014-2014 Vice President Marketing & Strategy, America’s Previous employment 2010-2013 Global Automation Director, Ecolab 2008-2
Slide 6: Nilfisk overview on products, geographies and segments
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 6 Nilfisk overview on products, geographies and segments Sales entities Manufacturing companies 12% 11% 10% 18% Total EUR 44% 63% 972m 26% 90% 26% Sales by products Sales by geography Sales by customers Floor care EMEA Professional market Vac
Slide 7: Floorcare is the stronghold in Americas
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 7 Floorcare is the stronghold in Americas Floorcare equipment Vacuum cleaners High-pressure washers Service • Scrubbers and sweepers • Commercial • Professional • Service and • Industrial maintenance ~5% of Nilfisk Americas ~9% of Nilfisk glo
Slide 8: Agenda: Nilfisk Americas sales
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 8 Agenda Nilfisk Americas introduction Nilfisk Americas sales • Introduction • Market situation • Working with global Accelerate strategy and local strategy Nilfisk Global R&D overview Nilfisk Global Operations Minnesota production site Quest
Slide 9: Market outlook indicates overall moderate growth
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 9 Market outlook indicates overall moderate growth US market outlook 2015-2020 EURbn 1 to 2% 2.75 Market outlook for US indicates 2.60 moderate growth around 1-2% Macro economic forecast: • GDP growth is moderate for US market around 2-2.5% •
Slide 10: One of the US leaders in a fragmented industry
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 10 One of the US leaders in a fragmented industry Professional cleaning equipment, US* Market shares of total US market, % Tennant 14% • Nilfisk is among the US leaders in the professional cleaning equipment industry 11% • Three top global co
Slide 11: Nilfisk Americas sales organization supports clear sales focus
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 11 Nilfisk Americas sales organization supports clear sales focus Nilfisk Americas: 9 independent sales companies with 3 central support functions Nilfisk Americas Business Nilfisk sales HR Finance Development US Floorcare US sales Industrial
Slide 12: Overview of US floorcare business structure
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 12 Overview of US floorcare business structure Product Mgmt. Brands US Floorcare organization Private label Organization Commercial Industrial National Sales Sales Sales accounts associates Channels Indirect Indirect Direct New channels Janit
Slide 13: Challenge: Expanding GTM approach to reach new end-customers
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 13 Challenge: Expanding GTM approach to reach new end-customers Current go-to-market (GTM) approaches, illustrative Nilfisk Tennant Dealers have strong relationships with end-users, Direct Dealers but are sensitive to suppliers selling dire
Slide 14: Expanding GTM and more targeted direct selling
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 14 Expanding GTM and more targeted direct selling Identifying market segments to sell directly Primary objectives of • Identify under-served Nilfisk markets (white spot increased direct selling direct selling) • Refrain from back-filling wit
Slide 15: Working with Accelerate strategy in Nilfisk Americas
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 15 Working with Accelerate strategy in Nilfisk Americas Accelerate Growing our company to lead the industry Grow market share Strengthen Drive competitive Build strong Power front-end offerings brands supply chain performance Agile and commer
Slide 16: Strengthen front-end: strong-hold in high-end, potential in mid-market
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 16 Strengthen front-end Nilfisk has a strong-hold in the high-end and potential to grow in mid-market Americas market value How the market works Nilfisk go-to-market (~35%) • Service • Direct sales High-end • Features • Distributors • Service
Slide 17: Strengthen front-end: Competition overview with brands
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 17 Strengthen front-end Competition overview with brands Market positioning Nilfisk brand High Nilfisk brand Mid-market is growing by Mid “playing up” and offering products closer to high-market features and benefits Nilfisk brand Low
Slide 18: Product offering, brands and supply chain
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 18 Product offering, brands and supply chain Actions Benefits • Focused offering for target segments • Easier for the sales reps Drive competitive • Strong product management • Offer tested solutions offerings • Better delivery performance •
Slide 19: Solution selling and market access are essential competitive elements
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 19 Solution selling and market access are essential competitive elements Americas trends How we respond • Commoditization • Solution selling and strong Clarke & Viper offerings • Need for basic products • Extending Viper portfolio • Pressure
Slide 20: US high pressure washer acquisitions
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 20 US high pressure washer acquisitions Differentiated businesses with complimentary strengths Hydro Tek Pressure Pro Hot water pressure washers Hot water pressure washers Complimentary acquisitions Cold water pressure washers Cold water pres
Slide 21: Agenda: Nilfisk Global R&D overview
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 21 Agenda Nilfisk Americas introduction Nilfisk Americas sales • Introduction • Market situation • Working with global Accelerate strategy and local strategy Nilfisk Global R&D overview Nilfisk Global Operations Minnesota production site Ques
Slide 22: Introduction to Anton Sørensen
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 22 Introduction to Anton Sørensen Career in Nilfisk 2015- Senior Vice President Global R&D, Brooklyn Park, US 2004-2015 General Manager R&D Vac’s & Pressure Washers, Hadsund, DK Previous employment 2002 - 2004 VP R&D ALTO Europe / Asia 2001 -
Slide 23: Global R&D Organization and structure
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 23 Global R&D Organization and structure Anton Sørensen Senior VP Global R&D • Global cost control Finance • Program cost control control • Business analysis management Program management Product line management Technology management Legal an
Slide 24: Global R&D driven by competency centers and localized setup
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 24 Nilfisk global R&D driven by 3 competency centers and localized R&D setup Denmark* Hungary Competency center Localized R&D setup High-pressure washer and All products** vacuums US Competency center Floorcare China Mexico Localized R&D setu
Slide 25: Global R&D priorities
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 25 Global R&D priorities Key R&D performance indicators Time to market - Typically 9-24 months • Right time Focus on quality • Right quality • Right products Cost cutting programs ~5% for new products • Right cost Complexity reduction Program
Slide 26: Key R&D trends in market
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 26 Key R&D trends in market Americas trends How we respond • Connected Products, monitoring & diagnostics • Track Clean solution, first generation released • Need for basic products • Introduced Nilfisk Hero and Viper Products • Total cost of
Slide 27: Agenda: Nilfisk Global Operations Minnesota production site
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 27 Agenda Nilfisk Americas introduction Nilfisk Americas sales • Introduction • Market situation • Working with global Accelerate strategy and local strategy Nilfisk Global R&D overview Nilfisk Global Operations Minnesota production site Ques
Slide 28: Asset-light production through assembly-only
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 28 Asset-light production through assembly-only Americas 25% of global production Denmark Hungary (2 sites) Outdoor products ~30% of global production US (3 sites) ~15% of global production China (2 sites) Mexico ~30% of global production ~10
Slide 29: New Americas HQ in Brooklyn Park in Dec 2015
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 29 New Americas HQ in Brooklyn Park in Dec 2015 • Better working environment to support a more collaborative and productive team • Improved plant configuration for production lines and warehouse • Maintain commitment to providing world- class
Slide 30: Key figures of Nilfisk Minnesota site
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 30 Key figures of Nilfisk Minnesota site Product portfolio of Nilfisk Americas site focuses on high-value products Industrial combination Industrial Rider scrubbers Accessories Key facts scrubber/sweepers sweepers • 285 total employees, 69 in
Slide 31: Nilfisk Minnesota site layout ensures clear production flow
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 31 Nilfisk Minnesota site layout ensures clear production flow End Start Commercial line Industrial line
Slide 32: Agenda: Questions & Answers
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 32 Agenda Nilfisk Americas introduction Nilfisk Americas sales • Introduction • Market situation • Working with global Accelerate strategy and local strategy Nilfisk Global R&D and Minnesota site Questions & Answers
Slide 33: Financial calendar
NKT I Carnegie - Nilfisk Americas Roadshow 23 June 2016 I 33 Financial calendar 2016 18 August Interim Report, Q2 11 November Interim Report, Q3 2017 1 March 2016 Annual Report For the list of Investor Relations events, go to www.nkt.dk