Hexagon Ab Class B · OMXSTO:HEXA_B
Hexagon Ab Class B — Q1 2005 Earnings Presentation
16 slides from Hexagon Ab Class B's earnings presentation, 2005
Slide 1: Report on operations Q1 2005
”Precision in Everything” Automation Report on operations Q1 2005 Engineering Metrology Polymers
Slide 2: Summary Q1 2005
Summary Q1 2005 ”Precision in Everything” Comments Announced acquisitions: 0 MSEK Automation Announced divestitures: 0 MSEK Recorded growth: + 27 % Organic growth: + 11 % Engineering E.P.S : + 66 % “more than 15 %” EBIT margin % 8% “ >10 % “ ROCE IAS: 14 % “15 % over a cycle” Metrology Return on Equ
Slide 3: Market growth 05 vs. 04
Market growth 05 vs. 04 ”Precision in Everything” 2005/2004 2004 Q1 Q2 Q3 Q4 2005 Sweden 7% 10 % Europe 14 % 27 % NAFTA 49 % 85 % Asia 25 % 28 % Automation Other 2% - 28 % TOTAL 16 % 27 % Engineering Adjusted development 05 vs. 04 2005/2004 2004 Q1 Q2 Q3 Q4 2005 Sweden 18 % 10% Europe 7% 14% Metrolo
Slide 4: Q1 - Summary
Q1 - Summary ”Precision in Everything” Msek Q1 -05 Q1 -04 Change / Adj Order Intake 2 382 1 950 +22 % / +7% Net Sales 2 241 1 760 +27 % / + 11 % Automation OP 180 119 +51 % / + 18 % % 8,0 % 6,8 % EBIT 180 110 +64 % / + 27 % % 8,0 % 6,3 % Fin.net -28 -16 PBT 152 94 +62 % / + 30 % Engineering % 6,8 %
Slide 5: Cash Flow Q1 2005
Cash Flow Q1 2005 ”Precision in Everything” Q1 –05 Q1 –04 2004 Cash flow from operations 194 152 723 Automation Change in working capital -Inventories -131 -76 -145 -Accounts Receivables -217 -122 -362 -Accounts Payables 79 101 319 Engineering -Others (Acq/Div/transl.diff) 27 17 107 -TOTAL - 242 -80
Slide 6: The Share
The Share ”Precision in Everything” • Proposed dividend 6.00 SEK (+30%) Automation • Proposed Split 1 to 3. Engineering • 732 805 New shares issued. Metrology Polymers
Slide 7: Update per business area
”Precision in Everything” Automation Update per business area Engineering Metrology Polymers
Slide 8: Development per business area Q1-05
Development per business area Q1 -05 ”Precision in Everything” Adj. sales MSEK Inv.sales growth % Profit Margin % Automation 589 +9% 27 5 (4) Engineering 436 + 21 % 22 5 (6) Metrology 693 +9% 68 10 (8) Automation Polymers 530 +9% 70 13 (12) Ass.companies - Group costs -7 -7 EBIT 2 241 + 11 % 180 8 (
Slide 9: Automation
”Precision in Everything” Automation • Excellent demand in Sweden and Finland Automation • Increased activity in Norway (Off shore) Engineering • Danish market is ramping up its demand • Wind power – continued strength Metrology • 2005 outlook: Automation is late in the business cycle – Q1 anticipat
Slide 10: Engineering
Engineering ”Precision in Everything” • Significant growth in the quarter: 21 % • Strong results from the core business Automation • Two entities are generating app. 5 MSEK in losses • Inauguration of new press line at EBP on 12th May • 2005 outlook: Improved profit and margins Engineering Metrology
Slide 11: Metrology
Metrology ”Precision in Everything” • Strong development in all segments and regions but for EU • 9 % organic growth (Service and S/W +14%) Automation • Hand tools picking up – good sign! • Launch of new products at trade show in Germany – Sensors contact and non-contact – Vision products Engineerin
Slide 12: Polymers
Polymers ”Precision in Everything” • Organic growth in Q1 9 % Automation • Raw material price increases continues • So far we have managed to increase prices and rationalise Engineering operations in order to meet raw materials cost increases • Expansion investment programme in Sri Lanka: Q3 Metrolo
Slide 13: Whats next? Priorities 05-08
Whats next?- ”Precision in Everything” Priorities 05-08 • “Project 1.5” – prepare for the cyclical down turn in -06: Automation • Slim EU and US based manufacturing • Expand Asian operations • Expand service and soft ware concepts • Budgeted cost : 25 MSEK – might be exceeded Engineering • Expand an
Slide 14: Outlook for 2005
”Precision in Everything” Outlook for 2005 Automation “ We will reach our strategic target of an E.P.S. growth of at least 15 % per annum. Engineering Metrology Polymers
Slide 15: Questions?
”Precision in Everything” Thank you for your time Automation - Questions ? Engineering Metrology Polymers
Slide 16: Precision in everything
”Precision in Everything” Automation Precision in everything Engineering Metrology Polymers