Safran Sa · EURONEXT:SAF
Safran Sa — Sagem — FY2004 Earnings Presentation
33 slides from Safran Sa's earnings presentation, Feb 17, 2005
Slide 1: 2004 Accounts Presentation, Outlook
S 2004 ACCOUNTS PRESENTATION OUTLOOK Thursday, February 17th 2005 S
Slide 2: 2004 Consolidated Key Figures
2004 CONSOLIDATED KEY FIGURES (in millions of €) 2004 2003 U 04/03 Revenue 3,570 3,180 + 12.3% Communications 2,409 2,097 + 14.9 % Defense and Security 1,161 1,083 + 7.2 % Operating income 205. 7 168.5 + 22.1 % Net income 134.2 105.7* + 27.0% Net cash as of Dec 2004 €406.6M * Excluding exceptional c
Slide 3: 2004 Revenue's Development
2004 REVENUE’s DEVELOPMENT Average growth rate: + 10.6% In millions of euros 3800 3,570 3600 +12.3% 3400 3,180 3200 3000 2,763 2800 2,633 2600 2400 2200 2000 2001 * 2002 2003 2004 % at constant consolidation scope from year to year * at constant consolidation scope 3
Slide 4: 2004 Operating Income's Development
2004 OPERATING INCOME’s DEVELOPMENT In millions of euros 205.7 + 22.1% 200 180 168.5 160 140 130.1 120 100 80 60 40 20 0 2002 2003 2004 % at constant consolidation scope from year to year 4
Slide 5: Defense and Security
DEFENSE AND SECURITY European leader and World number 3 in inertial systems World leader in helicopter flight controls European leader in optronics systems European leader in tactical UAV systems World leader in fingerprint-based biometric Revenue Operating income In millions of euros In millions of
Slide 6: Defense and Security: Major contracts
DEFENSE AND SECURITY Major contracts 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 MICA Infrared seeker NH 90 helicopters Tigre (STRIX/ OSIRIS) AASM FELIN MEGAJOULE Laser RAFALE New UAV generations Strategical (M 51, SNLE N°4) Network centric warfare concept (BOA) 6
Slide 7: Defense and Security: NH Helicopter
DEFENSE AND SECURITY NH 90 HELICOPTER Navigation Observation Fly by wire system Actuators Doppler Radar More than 400 helicopters have Air Data Sensor (ADS) been ordered Fly by wire calculator Navigation system Attitude and heading (Gyrolaser / GPS) Infrared Sensor reference system 7
Slide 8: Defense and Security: Rafale
DEFENSE AND SECURITY RAFALE DDM OSF SIGMA CDVE Sensor Weapon station interface unit MICA A contract for 59 Rafales has Infrared seeker been signed « Gerfaut » HMDS SLPRM AASM 8
Slide 9: Defense and Security: FELIN System
DEFENSE AND SECURITY FELIN SYSTEM Day/night sight for indirect firing Head system Interface Soldier System Multi-function Personal Infrared Imager Radio & localisation Batteries Calculator 9
Slide 10: Defense and Security: Airbus A380
DEFENSE AND SECURITY AIRBUS A380 10
Slide 11: Defense and Security: Biometric
DEFENSE AND SECURITY Biometric Leader in biometric Recently signed contracts • Fingerprints : - Major european company for frequent flyers - Access control in Paris Airports (90,000 people) - Identity cards: Honduras, Uganda, Pakistan, Malawi - AFIS systems: United Kingdom (Northrop Grumman contract
Slide 12: Defense and Security: Smart cards
Smart cards DEFENSE AND SECURITY SAGEM has produced over 20 million smart cards in 2004 Chinese smart cards market-penetration • SAGEM acquires interest in Tian Yu Co and founds a new production plant • Tian Yu represents about 15% of the Chinese market: over 30 million SIM cards have been produced
Slide 13: Communications
COMMUNICATIONS Major player in mobile phones: SAGEM n°7 worldwide Provider of terminals, global solutions and multi-service networks Revenue Operating income In millions of euros In millions of euros 2003 2004 2 70 0 2003 2004 + 14.9% 2,409 120 113.9 110 + 26.9% 2200 2,097 100 89.7 90 170 0 80 1,273
Slide 14: Mobile Phones
Mobile Phones Revenue Operating income In millions of euros In millions of euros + 14.9% 2003 2004 59.5 68.4 2003 2004 1400 60 1,277 55 + 18.2% 1200 50 1,081 45 1000 40 35.9 800 35 32.5 33.2 680 30 597 621 26.3 600 25 460 20 400 H1 H2 Year 200 Millions of H1 H2 H3 H4 2004 units 2004 2004 2004 2004 H
Slide 15: Mobile Phones
Mobile Phones SAGEM: leader of the French mobiles phones market SAGEM: 6th position in Western Europe - Market share: strong increase to 6.1% in Q3 2004 up from 4.4% in Q3 2003 - Present in all main operators offers SAGEM 7th position world-wide - Market share: strong increase to 2.5% in Q3 2004 up
Slide 16: Mobile phones: 2004 new products launched, 2005 key elements
Mobile phones 2004 20 new products launched 2005 Key elements 40 different models sold 2005 20 new products to be launched in all segments Key elements Ł New UMTS and EDGE products Ł More Bluetooth products in the range Ł Enhancement of Music services: full track download, high quality ring tones Ł
Slide 17: Mobile Phones – main new products in 2005
Mobile Phones – main new products in 2005 Camera Video 3G Corporate Basic Voice Addict Messaging Gaming Phone Music Phone Phone EDGE Device High UMTS Mid-High EDGE myX-8 myS-7 Music Music Clam Camera Mid-Low myC5-2 Slide CF Card myX-7 myV-75 myC-3 Camera myC-3b myC3- myC3-2 Clam myX5-2 Camera myV-55
Slide 18: Residential terminals and broadband communication
Residential terminals and broadband communication Revenue Operating income In millions of euros In millions of euros 2003 2004 + 11.4% 1200 1,132 1,016 1000 2003 2004 800 50 45.5 45 593 40 + 50.6% 600 539 513 503 35 30.2 30 24.4 400 25 21.1 20 18.3 15 11.9 200 10 5 0 0 H1 H2 Year H1 H2 Year 18
Slide 19: Residential terminals and broadband communication
Residential terminals and broadband communication C DECT O Sustained growth in volumes VOICE M Over 1.4 million units M U Multi-functions fax machine N Development of the product range I PRINTING « Consumable » sales C Nearly 1 million units A Photo Easy T Photo printer I PICTURE Market run up O Ove
Slide 20: Residential Terminals and broadband communication: Digital TV
Residential Terminals and broadband communication DIGITAL TV Cable / Sat TVHD Home Cinema DVB- DVB-T 32" 27" 56" HD 50" PVR 45" Zapper ADSL / IP HD TERRESTRIAL HD PVR PVR MPEG 4 MPEG 4 Photo Photo Zapper Zapper 20
Slide 21: Residential terminals: SAGEM ADSL range
Residential terminals and broadband communication SAGEM ADSL range 2004 2005 Wifi F@st Plug F@st Plug Home Networking - Home Plug 1.0 - Home Plug 1.0 - Video over PLT / WiFi F@st 4000 F@st 4200 Video telephony - Embedded ADSL - ADSL2+ / PLT - H.323 / H.263 - BT cordless - SIP / H.264 F@st 3001 F@st
Slide 22: Outlook for 2005
Outlook for 2005 Follow on growth in Defense and Security Follow on growth in Communication 22
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Slide 24: Financial Data
S FINANCIAL DATA 24
Slide 25: 2004 Consolidated Revenue
2004 CONSOLIDATED REVENUE (In millions of euros) 2004 2003 U 04/03 Communications 2,408.6 2,097.0 + 14.9% Mobile Phones 1,277.1 1,080.7 + 18.2% Residential Terminals and Broadband 1,131.5 1,016.3 + 11.3 % Internet Terminals 616.1 606.9 + 1.5 % Networks 515.4 409.4 + 25.9% Defense and Security 1,161.
Slide 26: 2004 Consolidated Income Statement
2004 CONSOLIDATED INCOME STATEMENT (In millions of euros) 2004 2003 U 04/03 Revenue 3,570.2 3,180.4 + 12.3 % Added Value 1,164.7 1,032.3 + 12.8 % Gross operating income 369.3 304.3 + 21.4 % Operating income 205.7 168.5 + 22.1 % Financial income 5.7 3.1 Exceptional items - 11.5 16.9 Corporation tax -
Slide 27: 2004 Consolidated Operating Income by Sectors
2004 CONSOLIDATED OPERATING INCOME BY SECTORS (In millions of euros) 2004 2003 OI % Rev OI % Rev Communications 113.9 4.7 % 89.7 4.3 % Mobile Phones 68.4 5.4 % 59.5 5.5 % Residential terminals and Broadband 45.5 4.0 % 30.2 3.0 % communication Defense and Security 91.8 7.9 % 78.8 7.3 % Total 205.7 5.
Slide 28: Consolidated Balance Sheet
CONSOLIDATED BALANCE SHEET (In millions of Dec.31th Dec.31th Dec.31th Dec.31th euros) 2004 2003 2004 2003 Fixed assets 403.3 367.0 Fonds propres 1 209,7 1 178,7 Operating assets 2,071.5 1,896.0 Provisions 271.5 267.6 Marketable securities 472.6 666.1 Financial debts 66.0 217.8 and cash Operating deb
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Slide 30: Annex: Breakdown of Consolidated Quarterly Revenue by Division
ANNEX BREAKDOWN OF CONSOLIDATED QUARTERLY REVENUE BY DIVISION Q1 Q2 Q3 Q4 (In millions of euros) 2004 2003 2004 2003 2004 2003 2004 2003 Mobile phones 313.9 225.2 282.6 234.7 312.9 293.4 367.7 327.4 Residential terminals & Broadband 266.8 256.1 272.6 256.9 256.1 227.7 336.1 275.6 communication Commu
Slide 31: Annex: Breakdown of Quarterly Operating Income by Division
ANNEX BREAKDOWN OF QUARTERLY OPERATING INCOME BY DIVISION Q1 Q2 Q3 Q4 (In millions of euros) 2004 2003 2004 2003 2004 2004 2004 2003 Mobile phones 17.2 12.7 15.3 13.6 16.5 14.9 19.4 18.2 Rsidential terminals & Broadband 10.9 9.2 13.5 9.1 10.1 7.7 11.0 4.2 communication Communications 28.1 21.9 28.8
Slide 32: Annex: Breakdown of Quarterly Income Statement
ANNEX BREAKDOWN OF QUARTERLY INCOME STATEMENT Q1 Q2 Q3 Q4 (In millions of 2004 2003 2004 2003 2004 2003 2004 2003 euros) Revenue 828.3 697.8 834.6 767.7 820.9 750.6 1,086.4 964.3 Gross operating income 90.7 74.4 91.7 73.6 84.4 78.4 102.4 77.9 Operating income 46.1 37.4 51.2 45.4 45.9 40.2 62.5 45.5
Slide 33: Annex: Consolidated Cash Flow Statement
ANNEX CONSOLIDATED CASH FLOW STATEMENT (in millions of euros) 2004 2003 Cash flow 225.3 162.6 (38.8) 94.0 Change in working capital requirement 186.5 256.6 Net cash flow from operating activities Industrial investments (120.0) (92.6) Cash flow from investing activities (59.2) (72.2) Dividends (32.8)