Wartsila Oyj Abp · OMXHEX:WRT1V
Wartsila Oyj Abp — Wärtsilä — Investor Day (March 2012)
17 slides from Wartsila Oyj Abp's investor day presentation, Mar 29, 2012
Slide 1: Services Solutions for Lifecycle Efficiency
SERVICES SOLUTIONS FOR LIFECYCLE EFFICIENCY CHRISTOPH VITZTHUM Group Vice President, Services 1 © Wärtsilä 29 March 2012 CHRISTOPH VITZTHUM
Slide 2: Lifecycle partner
Lifecycle partner We create lifecycle services with our customers, enhancing their business – whenever, wherever. 2 © Wärtsilä 29 March 2012 CHRISTOPH VITZTHUM
Slide 3: 70 countries, 160 locations, 7,500 field service experts
70 countries, 160 locations, 7,500 field service experts Northern Europe 1,240 Middle-East and Asia 3,300 Southern Europe and Africa 1,110 Americas 1,140 Global Delivery Management 730 Installed Wärtsilä Services global network base 180,000 MW Widest range of offering and expertise 3 © Wärtsilä 29 M
Slide 4: Wide range of expertise
Wide range of expertise Electrical & Engine services Propulsion services Boiler services Automation services Environmental Service agreements Service projects Training services services 4 © Wärtsilä 29 March 2012 CHRISTOPH VITZTHUM
Slide 5: Five key market drivers
Five key market drivers • Growth of gas as fuel in power generation and in shipping • Stricter environmental regulations • Increased focus on total cost of ownership • Accelerating technological development • High demand for expertise 5 © Wärtsilä 29 March 2012 CHRISTOPH VITZTHUM
Slide 6: Growth of gas as fuel
Growth of gas as fuel • Gas represents roughly 20% of the global energy demand • Global gas demand is expected to rapidly increase due to higher gas production (including shale gas) – price will be competitive • Gas is the primary fuel for smart power generation • Due to stringent emissions regulati
Slide 7: Case: Unique gas conversion
Case: Unique gas conversion Bit Viking, the first: • Gas conversion • Diesel mechanical gas engine • Dual-fuel “single main engine” approval • Wärtsilä gas handling system • LNG fuelled vessel to be classified by Germanischer Lloyd Benefits: • Improved propulsion efficiency • Reduced fuel consumptio
Slide 8: Stricter environmental regulations
Stricter environmental regulations • Global and local environmental challenges inevitable • The environmental impact of shipping will have to be mitigated ̶ Reduction of greenhouse gases ̶ Reduction of regional pollutants (SOx, NOx) ̶ Protection of local ecosystems • Shipping will face an increase i
Slide 9: Increased focus on total cost of ownership
Increased focus on total cost of ownership • Companies are evaluating whether or not certain activities are at the core of their business – e.g. maintenance management, service • 40 year OPEX overrides initial CAPEX in evaluation What is Wärtsilä doing about it? • Global lifecycle services value pro
Slide 10: Case: O&M agreement in Brazil
Case: O&M agreement in Brazil • Three-year O&M agreement for the 380 MW Suape II power plant • A fast track, cost efficient solution enabling the customer to accurately predict the plant’s lifecycle costs • On-site operation and maintenance optimises the availability of the plant • Training in regul
Slide 11: Accelerating technological development
Accelerating technological development • Equipment becomes more technologically advanced • Ship Power and Power Plants selling more advanced integrated systems • Multiple opportunities to increase business value-add through technological expertise What effects does this have on Wärtsilä? • More trai
Slide 12: High demand for expertise
High demand for expertise • Increasing demand for the right talent and expertise • The technical requirements on crews and operators become tougher • The future talent is needed in geographically new and untraditional areas both in Power and Marine How is Wärtsilä responding? • Opportunity to help b
Slide 13: Services continues adaptation to the markets
Services continues adaptation to the markets • Projects will involve performance enhancements, gas conversions on land and sea as well as environmental solutions • Resource development will focus on gas and environmental competence, contract engineering and project management • Growth is actualised
Slide 14: Growth in power plant services
Growth in power plant services Net sales distribution 2008 2011 24% 25% 32% 39% 24% 30% 14% 13% Power Offshore Merchant Marine Other Power Offshore Merchant Marine Other 14 © Wärtsilä 29 March 2012 CHRISTOPH VITZTHUM
Slide 15: Growth in Americas
Growth in Americas Net sales by geographical areas 2008 2011 17% 22% 29% 29% 21% 21% 27% 33% Middle-East and Asia Northern Europe Middle-East and Asia Northern Europe Southern Europe and Africa Americas Southern Europe and Africa Americas 15 © Wärtsilä 29 March 2012 CHRISTOPH VITZTHUM
Slide 16: Resilient business
Resilient business Net sales development MEUR 2000 1800 1600 1400 1200 1000 800 600 400 200 0 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 16 © Wärtsilä 29 March 2012 CHRISTOPH VITZTHUM
Slide 17: © Wärtsilä 29 March 2012 CHRISTOPH VITZTHUM
17 © Wärtsilä 29 March 2012 CHRISTOPH VITZTHUM