Jost Werke Se · XETR:JST
Jost Werke — Q1 2020 Earnings Presentation
22 slides from Jost Werke's earnings presentation, May 14, 2020
Slide 1: Results Q1 2020
JOST WERKE AG – MAY 14, 2020 RESULTS Q1 2020 Joachim Dürr (CEO) Christian Terlinde (CFO)
Slide 2: Disclaimer
Disclaimer THIS PRESENTATION IS CONFIDENTIAL AND MUST NOT BE RELEASED, PUBLISHED, TRANSMITTED OR DISTRIBUTED, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, INTO OR WITHIN THE UNITED STATES OF AMERICA, CANADA, AUSTRALIA, JAPAN OR ANY JURISDICTION WHERE SUCH DISTRIBUTION IS UNLAWFUL. This presentation
Slide 3: Key Developments – Q1 2020
Key Developments – Q1 2020 • Ålö acquisition closed on January 31 with very solid long-term financing conditions. M&A • Ålö contributed positively to JOST’s business development in February and March. • Post merger integration on track. • Q1 2020 was strongly affected by the outbreak of the coronavi
Slide 4: Market Development in Q1 2020 vs. Q1 2019
Market Development in Q1 2020 vs. Q1 2019 EUROPE NORTH AMERICA APA -31% -33% -47% TRUCK Market contraction aggravated by Demand decline impacted by rising Truck demand drastically affected by pandemic-driven shutdowns in March economic uncertainties abrupt shutdown of production in China due to pand
Slide 5: Key Financials Q1 2020
KEY FINANCIALS Q1 2020 5 JOST Werke AG – INVESTOR PRESENTATION – JANUARY 2020
Slide 6: Group
Group KEY FINANCIALS OVERVIEW KEY HIGHLIGHTS • The acquisition of Ålö and its consolidation as of Feb 1, 2020, had a Reported -3.8% -19.4% Growth positive effect on group sales (+ € 31m) Organic -19.5% • The outbreak of the coronavirus pandemic, on the other hand, had a Sales (€m) Growth severe nega
Slide 7: Europe
Europe KEY FINANCIALS OVERVIEW KEY HIGHLIGHTS • Ålö contributed €23m in additional revenue to JOST’s European sales, Reported -0.5% offsetting the weak demand with truck OEMs Growth Organic 123.4 -19.4% 122.8 • Including Ålö, reported sales in Europe were almost flat at €123m. Growth Sales (€m) • Or
Slide 8: North America
North America KEY FINANCIALS OVERVIEW KEY HIGHLIGHTS • JOST could offset the expected strong decline in first-fit business with truck 11.3% Reported OEMs through a significantly higher proportion of aftermarket sales Growth Organic compared to previous year. Sales with trailer OEMs remained mostly -
Slide 9: Asia-Pacific-Africa
Asia-Pacific-Africa KEY FINANCIALS OVERVIEW KEY HIGHLIGHTS • JOST’s business in APA was strongly affected by the coronavirus pandemic Reported -32.6% as our production plant in China is located in Wuhan, the epicenter for the Growth Organic Covid-19 spread. Our production plant remained closed from
Slide 10: Impact of Ålö's Acquisition on Balance Sheet and Exceptionals
Impact of Ålö's Acquisition on Balance Sheet and Exceptionals PURCHASE PRICE ALLOCATION in m€ EXCEPTIONALS (IN M€) PURCHASE PRICE ALLOCATION (PPA) Intangible assets 137.8 • Identified assets as part of Ålö’s PPA include fair value Property, plant and equipment 25.5 -6.7m -11.8m adjustments to custom
Slide 11: Development of Earnings After Taxes and EPS
Development of Earnings After Taxes and EPS RECONCILIATION OF ADJUSTED EARNINGS Q1 2020 (IN M€) COMMENTARY • Adjustments to EBIT resulted from depreciation and amortization of PPA (non-operating), with € 6.2m coming 16.1 from JOST (Q1 2019: € 6.3m) and € 0.3m from Ålö. 5.3 14.3 -6.5 • Other exceptio
Slide 12: Development of Equity Ratio and Net Debt
Development of Equity Ratio and Net Debt BALANCE SHEET OVERVIEW AS AT MARCH 31, 2020 COMMENTARY 18.2% 12.0% • The increase in financial liabilities due to the acquisition of Ålö led to a ROCE1 reduction of ROCE and equity ratio as well as to an increase of net debt and (%) leverage, compared to year
Slide 13: Strong Cash Generation Profile Supported by Low Capex Spend
Strong Cash Generation Profile Supported by Low Capex Spend BALANCE SHEET OVERVIEW AS AT MARCH 31, 2020 COMMENTARY Cash conversion1 89.0% 81.4% • Cash conversion rate remained strong at 81.4% despite the decrease in Cash flow 26.3 (€m) 17.9 adj. EBITDA during Q1 2020. The EBITDA reduction was mostly
Slide 14: Outlook 2020
Outlook 2020 14 JOST Werke AG – ANALYSTS’ AND INVESTORS’ PRESENTATION – MAY 14, 2020
Slide 15: Market Outlook for FY 2020
Market Outlook for FY 2020 EUROPE NORTH AMERICA APA (40) – (35)% (55) – (50)% (25) – (20)% TRUCK Expected market contraction has Very strong decline of demand for New-build rates affected by the worsened due to pandemic new trucks expected pandemic, but not as strongly as in other regions (25) – (20
Slide 16: Coronavirus pandemic impact on JOST's business
Coronavirus pandemic impact on JOST’s business JOST current observations – situation is extremely dynamic and changes rapidly EUROPE NORTH AMERICA APA All European truck OEMs with shut- After shutdown, Wuhan plant restarted Most truck OEMs report massive downs in April have restarted their again wit
Slide 17: Outlook for 2020 temporarily suspended
Outlook for 2020 temporarily suspended • As a result of the pandemic’s rapid spread around the world, the lack of visibility over the duration and severity of the mea sures implemented in response, and their significant impact on the economy, it is currently not possible to reliably estimate the e c
Slide 18: Executive Summary
Executive Summary Q1 2020 was strongly affected by the spread of the coronavirus pandemic in China. Especially APA but also Europe and to some extend North America were negatively impacted. Ålö’s business performance in February and March had a positive effect on our operating result as the agricult
Slide 19: Q&A Appendix
Q&A Appendix Further information 19 JOST Werke AG – ANALYSTS’ AND INVESTORS’ PRESENTATION – MAY 14, 2020
Slide 20: Development of JOST's Sales and Adjusted EBIT by Quarter
Development of JOST’s Sales and Adjusted EBIT by Quarter SALES (€m) ADJ. EBIT (€m) 199 202 192 190 191 187 187 181 181 178 166 172 171 168 149 147 157 23.7 23.9 22.7 22.5 21.8 21.3 20.3 20.6 19.5 19.0 16.8 15.9 14.1 14.3 12.6 10.4 11.2 12.0% 12.5% 12.0% 12.5% 11.2% 12.0% 11.2% 11.4% 10.8% 10.7% 10.2
Slide 21: Shareholder Structure and Share Information
Shareholder Structure and Share Information SHAREHOLDER STRUCTURE AS OF MAY 14, 2020 1 SHARE INFORMATION ISIN DE000JST4000 Trading symbol JST 15.1% Allianz Global Investors German Sec. Code Number (WKN) JST400 48.8% Virtus Investment Partners Shares in issue 14,900,000 Mondrian Index SDAX 9.0% Pelha
Slide 22: Financial Calendar 2020 Contact
Financial Calendar 2020 Contact May 14 Publication of Q1 2020 Report Investor Relations Contact: May 27 Virtual Roadshow ROMY ACOSTA June 22 JPMorgan Auto Conference – virtual Head of Investor Relations June 25 Warburg Highlights – virtual July 1 Annual General Meeting JOST Werke AG Aug. 13 Publicat