Slide 1: KION GROUP AG Q1 2020 Update Call
KION GROUP AG Q1 2020 Update Call Gordon Riske (CEO), Anke Groth (CFO) Frankfurt, 28 April 2020
Slide 2: Agenda
Agenda 1. Highlights 2. Market Update 3. Financial Update 2 KION GROUP AG | Q1 2020 Update Call | 28 April 2020
Slide 3: Q1 2020 Financial Key Figures
Q1 2020 Financial Key Figures KION started solidly into a year with ample challenges Order intake Revenue Adj. EBIT1 Free Cashflow €2.1bn €2.0bn €144m -€222m -1.8% y-o-y -2.7% y-o-y -21.0% y-o-y -€304m y-o-y Margin of 7.1% 1. Adjusted for PPA items and non-recurring items 3 KION GROUP AG | Q1 2020 U
Slide 4: COVID-19 – Action Items
COVID-19 – Action Items KION addresses COVID-19 challenges with various measures Workforce Operations Cash • “Working from home” solutions • Continuous tracking of supply • Tight steering of expenses that situation and material availability are influenceable short term • Broad information campaign i
Slide 5: Current Status of Production Plants as of April 2020
Current Status of Production Plants as of 28 April 2020 Only selected factories are closed Hamburg Holland Jingjiang Dinklage Geisa Salt Lake City Summerville Zwijndrecht Sozhou Pune Offenbach Českŷ Krumlov Monterrey Xiamen Stříbro Aschaffenburg Reutlingen Indaiatuba Châtellerault Weilbach Sydney Mi
Slide 6: Agenda
Agenda 1. Highlights 2. Market Update 3. Financial Update 6 KION GROUP AG | Q1 2020 Update Call | 28 April 2020
Slide 7: Industrial Truck Market
Industrial Truck Market Market significantly impacted by COVID-19 development Order intake unit growth y-o-y (in %) North America China Q2/19 Q3/19 Q4/19 Q1/20 Western Europe Q2/19 Q3/19 Q4/19 Q1/20 -8.5% +0.8% -0.4% +3.6% Q2/19 Q3/19 Q4/19 Q1/20 -4.5% +4.2% +26.8% -21.1% -10.4% -7.7% -4.1% -5.5% Ea
Slide 8: Industrial Truck Market
Industrial Truck Market KION not immune against COVID-19 effects especially in March Industrial trucks: Regional development Industrial trucks: Market by region Order intake (in ‘000 units) and growth y-o-y (in %) Order intake FY 2019 (in ‘000 units) Q1 2020 Market KION Other 15% Western Western Eur
Slide 9: Agenda
Agenda 1. Highlights 2. Market Update 3. Financial Update 9 KION GROUP AG | Q1 2020 Update Call | 28 April 2020
Slide 10: Q1 2020 Key Financials
Q1 2020 Key Financials Solid start into the year despite challenging environment Order intake Revenue Adj. EBIT and margin Net income (in €m) (in €m) (in €m and %) (in €m) -1.8% -2.7% 2,118 2,081 2,083 2,028 8.8% 7.1% -21.0% -27.2% 182 144 93 68 Q1 2019 Q1 2020 Q1 2019 Q1 2020 Q1 2019 Q1 2020 Q1 201
Slide 11: Industrial Trucks & Services
Industrial Trucks & Services Decreasing topline and product launches impact performance Key financials¹ IT&S new and service business2 (in €bn and change in % y-o-y) Order intake -7.7% 1,510 1,394 5.9 6.4 (in €m) 5.6 5.0 5.2 4.5 4.7 +11.2% Q1 2019 Q1 2020 +9.3% +6.4% +9.8% +2.9% -6.0% +1.7% Revenue
Slide 12: Supply Chain Solutions
Supply Chain Solutions Notable order intake development and further margin improvement Key financials¹ Recent SCS order intake (in €m) Order intake +13.8% 874 839 823 (in €m) 686 603 686 396 598 556 603 506 Q1 2019 Q1 2020 Q1 Q3 Q1 Q3 Q1 Revenue +2.2% 2018 2018 2019 2019 2020 (in €m) 569 581 Rolling
Slide 13: Adjusted EBITDA to Net Income
Adjusted EBITDA to Net Income EPS driven by weaker topline Q1 Q1 (in €m) 2020 2019 Change Explanations Adjusted EBITDA 351 379 -7.4% 1 Reduced taxes in the D&A -207 -197 reporting period due to Adjusted EBIT 144 182 -21.0% operating performance and Non-recurring items (NRI) -2 -1 tax incentives PPA
Slide 14: Free Cash Flow Statement
Free Cash Flow Statement FCF impacted by strategic investments and NWC Q1 Q1 (in €m) 2020 2019 Description Reported EBITDA 349 378 1 Q1 2019 with very low trade Change in Net Working Capital (NWC) -122 -43 Taxes paid -47 -35 payables due to phasing effects Pension payments -5 -5 2 Higher tax payment
Slide 15: Net Debt
Net Debt Solid balance sheet 31 Mar 31 Dec (in €m) 2020 2019 Description Adjusted LTM EBITDA 1,630 1,658 1 Increase in net financial Adjusted LTM industrial EBITDA1 1,294 1,324 debt to fund working Net financial debt 1,875 1,609 capital needs and DAI Liabilities from procurement leases 485 486 acqui
Slide 16: Financing Structure
Financing Structure KION with solid financial flexibility Free liquidity and maturity profile as at 31 March 2020 Corporate credit ratings (in €m) • Fitch Ratings: BBB- (outlook stable, April 2020) and F3 (short-term, April 2020) 1,287 • Standard & Poor‘s: BB+ (outlook stable, December 2019) 2191 Li
Slide 17: Financial Calendar
Financial Calendar Date Event 30 July 2020 Interim report for the period ended 30 June 2020 (Q2 2020) and analyst call 29 October 2020 Quarterly statement for the period ended 30 September 2020 (Q3 2020) and analyst call Subject to change without notice 17 KION GROUP AG | Q1 2020 Update Call | 28 Ap
Slide 18: Key Financials
Key Financials Group figures Industrial Trucks & Services Supply Chain Solutions Q1 FY Q4 Q3 Q2 Q1 FY Q1 FY Q4 Q3 Q2 Q1 FY Q1 FY Q4 Q3 Q2 Q1 FY (in €m) 2020 2019 2019 2019 2019 2019 2018 2020 2019 2019 2019 2019 2019 2018 2020 2019 2019 2019 2019 2019 2018 Order intake 2,081 9,112 2,577 2,338 2,079
Slide 19: Disclaimer
Disclaimer This document has been prepared by KION GROUP AG (the “Company”) solely for informational purposes. This disclaimer shall apply in all respects to the entire presentation (including all slides of this document), the oral presentation of the slides by representatives of the Company (or any