Glaston Oyj · OMXHEX:GLA1V
Glaston Oyj — Q3 2023 Earnings Presentation
24 slides from Glaston Oyj's earnings presentation, Oct 26, 2023
Slide 1: Glaston Q3 2023: Net sales growth led to strong profitability
Glaston Q3 2023: Net sales growth led to strong profitability in the third quarter 26 October 2023 Anders Dahlblom, CEO Päivi Lindqvist, CFO
Slide 2: Content
Content Q3/2023 highlights Market review Financial development Outlook 2023
Slide 3: Q3/2023 Highlights
Q3/2023 HIGHLIGHTS
Slide 4: Q3 2023 highlights
Q3 2023 highlights • Market activity in the architectural glass segment further slowed down, mainly in the EMEA region • Modest order intake for Heat Treatment equipment while Insulating Glass saw a pick-up from the previous quarter • The unsatisfactory development in Automotive & Display continued,
Slide 5: Key Figures
Key Figures MEUR 7–9/2023 7–9/2022 Change% 1–9/2023 1–9/2022 Change% 1–12/2022 Order intake 52.2 86.2 -39.4% 162.7 201.4 -19.2% 253.0 Order backlog*) 112.3 142.3 -21.1% 112.3 142.3 -21.1% 138.3 Net sales 53.5 47.9 11.6% 160.0 153.7 4.1% 213.5 Comparable EBITA 3.9 2.5 58.3% 10.3 9.4 9.2% 13.6 EBITA%
Slide 6: Market environment in Q3
Market environment in Q3 EMEA AMERICAS APAC • Mainly due to the slowdown in the • For Insulating Glass, the market • In China, demand for residential markets especially in showed a turnaround after a architectural glass continued to Europe, the markets for weaker H1 be soft due to the downturn in In
Slide 7: Strategy execution
Strategy execution • To accelerate strategy implementation and to better serve the customers, Glaston has reorganized its structure • As of 1 October, Glaston has two Business Areas - Architecture and Mobility, Display & Solar - and two new global Business Functions - Automation & Innovation and Sou
Slide 8: Financial Development
FINANCIAL DEVELOPMENT
Slide 9: New orders at good level despite the softer market
New orders at good level despite the softer market Record-high orders in the comparison period* Group orders received, MEUR and yoy% 9m 2023 orders received by product area, MEUR and yoy% -23% 0% 36,7 54,2 * Q3 2022 included one 31 MEUR order of which 19 MEUR was cancelled in Q2 2023. Q3 yoy change
Slide 10: 12% net sales growth against weaker comparison
12% net sales growth against weaker comparison Group net sales, MEUR and yoy% 9m 2023 net sales by product area, 110,0 MEUR and yoy% 90,0 5% 4% 1% 44,1 160,0 153,7 56,0 70,0 50,0 -17% 11% 11,1 49,5 30,0 14% 3% -2% 12% 3% 59,8 55,2 52,6 52,3 53,5 51,3 53,5 46,4 47,9 Heat Treatment Technologies 10,0 I
Slide 11: Americas accelerated further, EMEA continued recovery, APAC decline moderated
Americas accelerated further, EMEA continued recovery, APAC decline moderated 9m 2023 net sales by region MEUR, yoy% and share of total EMEA 83.2 MEUR 52% 34% 0% Americas 55.0 MEUR 14% +35% APAC 21.8 MEUR -27% 11 Interim Report January-September 2023 26 October 2023
Slide 12: Strong profitability in Q3 – Insulating Glass and Heat Treatment
Strong profitability in Q3 – Insulating Glass and Heat Treatment with clear year-on-year improvements EBITA EBITA% 14,0 7,3 % 6,9 % 7,0 % 6,4 % 6,6 % 6,6 % 6,6 % 12,0 6,1 % 6,2 % 5,8 % 10,0 5,1 % 8,0 6,0 9% 10,3 4,0 9,4 21% 58% 2,0 -23% 4,2 -14% -2% 3,2 3,5 3,5 3,5 3,9 2,5 3,0 3,4 0,0 9m 2022 9m 202
Slide 13: Reporting Segments
REPORTING SEGMENTS
Slide 14: Heat Treatment – strong growth, profitability continued at improved levels
Heat Treatment – strong growth, profitability continued at improved levels • Market softness and timing impacted vs Q3 1-9/ vs 1-9/ machines orders, which were down by 61% MEUR Q3 2023 2022* 2023 2022* • Services order intake increased by 16% Order intake 13.4 -43.7% 56.2 -19.3% • Net sales grew by
Slide 15: Insulating Glass – excellent margin progress
Insulating Glass – excellent margin progress • Orders at good level though clearly behind MEUR Q3 2023 vs Q3 1-9/ vs 1-9/ the record order intake in the comparison 2022* 2023 2022* period Order intake 30.2 -45.1% 75.4 -29.7% o Machines orders down 22% if adjusted for Order backlog 59.8 -26.2% 59.8**
Slide 16: Automotive & Display – low volume and ramp-up of supply chain in China
Automotive & Display – low volume and ramp-up of supply chain in China burdened profitability • Order intake low but higher than previous year, vs Q3 1-9/ vs 1-9/ MEUR Q3 2023 services orders +10% 2022* 2023 2022* • Net sales down by 9% Order intake 8.5 18.6% 30.3 26.9% o Machines net sales down by
Slide 17: Further increase in working capital, gearing same level as previous quarter
Further increase in working capital, gearing same level as previous quarter Quaterly operating cash flow, MEUR 7,7 8,7 6,6 5,5 3,5 4,4 3,8 0,6 0,3 0,8 -0,5 -0,5 -6,8 Q3 2020 Q4 2020 Q1 2021 Q2 2021 Q3 2021 Q4 2021 Q1 2022 Q2 2022 Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Net debt, MEUR Net gearing, %
Slide 18: Outlook 2023
OUTLOOK 2023
Slide 19: Glaston's outlook for 2023
Glaston’s outlook for 2023: Net sales estimate specified, comparable EBITA estimate unchanged Due to the prevailing uncertainties, Glaston Corporation specifies its net sales estimate and expects net sales in 2023 to grow marginally or to be on the same level as reported for 2022. Glaston continues
Slide 20: Capital Markets Day 21 November 2023
Capital Markets Day 21 November 2023 • Glaston hosts a Capital Markets Day on 21 November in Helsinki, at 9.00 EET • In the CMD 2023, Glaston’s 2021−2025 strategy execution and developments in the new Business Areas will be discussed as well as the market trends in the glass processing industry • Th
Slide 21: Questions
QUESTIONS eeing it through aston \
Slide 22: Financial reports in 2024
Financial reports in 2024 Financial Statement Bulletin 2023, on Thursday, 15 February 2024 Interim report January-March 2024, on Friday, 3 May 2024 Half year financial report 2024, on Friday, 9 August 2024 Interim report January-September 2024, on Wednesday, 30 October 2024
Slide 23: Forward-looking statements notice
This Q3/2023 financial report provides future prospects involving risk and uncertainty factors, and other factors as a result of which the performance, operation, or achievements of Glaston may substantially deviate from the estimates. Forward-looking statements relating to future prospects are subj
Slide 24: Thank you!
> www.glaston.net Thank you! IR-contact: pia.posio@glaston.net