Slide 1: Group figures on Q2 2023
Group figures on Q2 2023 Thomas Jessulat, Spokesman and CFO August 3, 2023
Slide 2: Headlines
Q2 2023 Headlines Macro environment better than one year ago: stabilizing supply chains, global GDP with slight growth in Q2, but ongoing inflationary pressures, repercussions from ongoing war in Ukraine Group sales increased by 8.8% to EUR 469m, organically by 10.9%, i.e. below Q2 market growth, bu
Slide 3: Recent nominations confirm transformation story
Group strategy Recent nominations confirm transformation story Originally classical business units New business units Classical order intake Transformation out of itself Transformation by new mobility products as a result of strong market position by bringing in strong expertise of material develope
Slide 4: Nomination backlog in E-mobility of around EUR 2.5bn
Group strategy Nomination backlog in E-mobility of around EUR 2.5bn Total nomination volume for e-mobility applications received in the period from Group transformation pathway – in % of total annual sales January 2021 to June 2023 – in EUR million or % ~EUR 2.5bn 100% Originally classical 37% busin
Slide 5: Financials
Financials
Slide 6: Organic revenue growth of more than 10 percent
Q2 2023: Orders and sales Organic revenue growth of more than 10 percent Order intake – in EUR million Order backlog – in EUR million Sales – in EUR million Organic: +10.9% -18% +8.8% -13% 475 1,553 468.7 453 466 1,465 1,462 1,449 1,354 377 374 46.9 430.6 -8.8 0.0 Q2 Q3 Q4 Q1 Q2 Q2 Q3 Q4 Q1 Q2 Q2 FX
Slide 7: Lightweighting and Aftermarket strongly expanding
Q2 2023: Sales Lightweighting and Aftermarket strongly expanding Sales by segment/business unit – in EUR million Share of sales – in % Metal Sealing Metal Other OE Lightweighting/ Systems & Forming & 1.0 Elastomer Drivetrain Assembly (<1%) Other Technology Components Technology E-Mobility 1.0 (<1%)
Slide 8: Group revenues up in all regions
Q2 2023: Sales Group revenues up in all regions Growth rate light vehicle production vs. FX-adjusted group sales – in % Share of sales – in % of total sales 13.1% 11.5% Market EK 14.9% EUROPE (EXCL. RUSSIA) 17.3% 8.8% 12.3% South America and Rest of World Market EK 24.3 Germany Market EK NORTH AMERI
Slide 9: Adjusted EBIT markedly improved year-on-year
Q2 2023: Earnings Adjusted EBIT markedly improved year-on-year EBITDA – in EUR million Adjusted EBIT bridge – in EUR million EBITDA margin – in % +75% +>100% 57.7 53.6 +3 -2 -2 24.8 47.0 46.8 +11 26.7 12.3 10.1 11.0 10.0 +13 6.2 1.8 Q2 Q3 Q4 Q1 Q2 Q2 Sales Raw mats Additional Ramp-up Others Q2 2022
Slide 10: Positive earnings trend continues due to cost discipline
Q2 2023: Earnings Positive earnings trend continues due to cost discipline EBT – in EUR million Net income (attributable to shareholders) – in EUR million Earnings per share – in EUR ->100% ->100% ->100% 17.7 16.6 6.7 0.11 11.4 0.05 3.3 0.04 6.1 2.4 -2.3 -0.04 -90.7 -94.1 -1.49 Q2 Q3 Q4 Q1 Q2 Q2 Q3
Slide 11: Operating Free Cash Flow and NWC ratio on prior-year level
Q2 2023: Cash flow Operating Free Cash Flow and NWC ratio on prior-year level Capex – in EUR million Net Working Capital (NWC) – in EUR million Operating Free Cash Flow – in EUR million Capex ratio – in % of total sales NWC ratio – in % of total sales +26.2% +13.5% -3.3% 24.6 505 518 529 41.0 466 45
Slide 12: Net financial debt/EBITDA ratio continued in target zone
Q2 2023: Balance sheet Net financial debt/EBITDA ratio continued in target zone Net Financial Debt – in EUR million Net Financial Debt/EBITDA 595 603 580 512 459 -2.4% 400 411 387 390 372 380 363 361 369 364 3.8 2.5 1.4 2.0 1.9 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2020 2021 2022 2023 Q2 2023
Slide 13: All major segments deliver y-o-y sales growth
Q2 2023: Segments All major segments deliver y-o-y sales growth Sales – in EUR million Adjusted EBIT margin – in % of segmental sales Original Equipment (OE) Aftermarket +6% +27% 338 360 378 369 360 81.7 75.6 59.7 67.0 61.2 -0.9 5.5 0.3 0.9 24.2 25.1 -4.1 19.1 21.0 17.6 Q2 2022 Q3 Q4 Q1 Q2 2023 Q2 2
Slide 14: Markets and Outlook
ae Markets and Outlook
Slide 15: LV production outlook for 2023 slightly lifted…
Outlook: Markets LV production outlook for 2023 slightly lifted… Light vehicle production by region – in million units +10.7% vs. +7.5% 19.5 15.3 16.9 +0.6% vs. ±0.0% +8.2% vs. +5.2% 2019 … 2022 2023 24.7 26.4 26.6 16.3 EUROPE (excl. Russia) 14.3 15.5 LV prod. in High 2019 … 2022 2023 2019 … 2022 20
Slide 16: …with strong growth in H1, H2 expected flat year-on-year
Outlook: Markets …with strong growth in H1, H2 expected flat year-on-year Global LV production – in million units LV production in main markets – in million units H2e: ±0.0% +3.1% EUROPE 9.0 (EXCL. H1: +11.2% 7.6 7.7 8.0 RUSSIA) 43.4 43.3 43.4 38.9 -4.7% GREATER 11.7 14.7 12.6 14.0 CHINA +4.2% NORTH
Slide 17: Outlook: FY 2023 and mid-term
Outlook: FY 2023 and mid-term Outlook confirmed 2023 Organic growth substantially above Mid-term Actual 2022 Organic growth Sales market level Organic growth above market level of 7.4 % EBIT margin (adjusted) Approx. 5 % of Group revenue Sustained improvement 3.8 % Operating FCF Slight year-on-year
Slide 18: The ElringKlinger Difference
The ElringKlinger Difference 1 With our strong technological orientation, we provide solutions for mobility demand. We will grow profitably by systems as well as components business. 4 2 We will utilize our strong market position in ICE business, but focus on new technologies. We will further shape
Slide 19: Appendix
Appendix
Slide 20: Structural overview
ElringKlinger Structural overview Original Equipment Aftermarket 78% Sales: EUR 1,411 million 14% Sales: EUR 251 million Employees: 7,959 of Group sales Employees: 276 of Group sales Lightweighting/ Metal Sealing Systems & Metal Forming & Elastomer Technology Drivetrain Components Assembly Technolog
Slide 21: Consolidated income statement
Group – Q2 2023 Consolidated income statement Q2 2023 Q2 2022 Sales revenue 468.7 430.6 Cost of sales -368.7 -366.2 Gross profit 100.0 64.4 Gross profit margin in % 21.3 15.0 Selling expenses -37.9 -35.5 General and administrative expenses -26.4 -23.9 Research and development costs -19.0 -15.4 Other
Slide 22: Consolidated balance sheet
Group – Q2 2023 Consolidated balance sheet As of Jun As of Dec As of Jun As of Dec Assets Liabilities and equity 30, 2023 31, 2022 30, 2023 31, 2022 Intangible assets 152 147 Share capital 63 63 Property, plant, and equipment 875 906 Capital reserves 118 118 Financial assets 14 14 Revenue reserves 6
Slide 23: Consolidated statement of cash flows
Group – Q2 2023 Consolidated statement of cash flows Q2 2023 Q2 2022 Q2 2023 Q2 2022 Earnings before taxes (EBT) 11 -90 Proceeds from disposals of property, plant and equipment and intangible assets 0 1 Depreciation/amortization (less write-ups) of non-current assets 30 124 Proceeds from disposals o
Slide 24: Key figures – Last quarters
Group – Last 5 quarters Key figures Q2 2023 Q1 2023 Q4 2022 Q3 2022 Q2 2022 Order intake 374 475 466 377 453 Order backlog 1,354 1,449 1,462 1,465 1,553 Sales 469 488 469 464 431 EBITDA 46.8 53.6 57.7 47.0 26.7 EBIT 16.7 26.0 22.6 18.1 -97.1 EBIT margin in % 3.6 5.3 4.8 3.9 -22.5 EBIT adjusted1 24.8
Slide 25: Segmental figures – Last quarters
Group – Last 5 quarters Segmental figures Q2 2023 Q1 2023 Q4 2022 Q3 2022 Q2 2022 Group Sales 469 488 469 464 431 Adjusted EBIT 24.8 26.4 33.1 18.5 1.8 Adjusted EBIT margin in % 5.3 5.4 7.1 4.0 0.4 Original Equipment Sales 360 369 378 360 338 Adjusted EBIT 3.4 1.1 20.8 -3.1 -13.9 Adjusted EBIT margi
Slide 26: Key figures – Last years
Group – Last 5 years Key figures 2022 2021 2020 2019 2018 Order intake 1,874 1,978 1,483 1,737 1,735 Order backlog 1,462 1,386 1,033 1,030 1,020 Sales 1,798 1,624 1,480 1,727 1,699 EBITDA 174 216 182 181 197 EBIT -42 102 28 61 96 EBIT margin in% -2.3 6.3 1.9 3.5 5.7 EBT -56 101 -14 42 81 Net income
Slide 27: Segmental figures – Last years
Group – Last 5 years Segmental figures 2022 2021 2020 2019 2018 Group Sales 1,798 1,624 1,480 1,727 1,699 EBIT -42.2 102.0 28 61 96 EBIT margin in % -2.3 6.3 1.9 3.5 5.7 Original Equipment Sales 1,411 1,280 1,186 1,423 1,408 EBIT -111 37 -24 5.1 51 EBIT margin in % -7.9 2.9 -2.0 0.4 3.6 Aftermarket
Slide 28: Adjusted EBIT for comparing operating profitability
New KPI Adjusted EBIT for comparing operating profitability EBIT (reported) + Amortization of intangible assets from purchase price allocation (PPA) +/- Changes in scope of consolidation + Impairment on goodwill + Impairment on assets - Write-ups +/- Gains/losses from disposal of entities +/- Restru
Slide 29: Product portfolio
Group Product portfolio Metal Sealing Systems & E-Mobility Drivetrain Components ▪ Battery module ▪ PEM fuel cell ▪ Electric drive unit (EDU) Lightweighting/ Metal Forming & Assembly Elastomer Technology Technology ▪ Cockpit cross-car beam ▪ Thermal shielding ▪ Door module carrier ▪ Acoustic shieldi
Slide 30: ElringKlinger represented in all important auto regions
Group ElringKlinger represented in all important auto regions Production locations of global top 15 OEMs ( ) ElringKlinger production sites ( ) Germany UK China Eastern France Europe/ Spain Turkey Korea Italy Japan USA/Canada India Southeast Asia Mexico South South Africa America Q2 2023 | August 3,
Slide 31: Senior management
Group Senior management From left to right: Thomas Jessulat, Spokesman and CFO (since 2016, Interim spokesman of the management board since 07/2023) Corporate units Finance Digital Transformation Information Technology M&A and Innovations Procurement & Supply Chain Management Business units Electric
Slide 32: More than 140 years of experience
Group More than 140 years of experience History of ElringKlinger in very brief Shareholder structure as at June 30, 2023 1879 Paul Lechler establishes a merchandising business in Stuttgart for technical products and gaskets. 1885 Richard Klinger establishes an Institutional engineering office in Vie
Slide 33: Contact
Group Contact IR contact information From left to right: Heiderose Mall, Dr. Philipp Ottenstein, Kathrin Graf, Dr. Jens Winter, Jannik Lorenz Dr. Jens Winter Vice President Strategic Communications Phone: +49 7123 724-88335 Mail: jens.winter@elringklinger.com Kathrin Graf Strategic Communications Ph
Slide 34: Disclaimer
Disclaimer Forward-looking statements and predictions This presentation contains statements about the future. These statements are based on current expectations, market evaluations and predictions by the Management Board, and on information that is currently available to them. The statements about t