GN Store Nord A/S · OMXCOP:GN
GN Store Nord A/S — Q1 2009 Earnings Presentation
20 slides from GN Store Nord A/S's earnings presentation, May 7, 2009
Slide 1: GN Q1 Interim Report 2009
GN Q1 Interim Report 2009 CEO GN Netcom Toon Bouten, CEO GN ReSound Mike van der Wallen, VP Finance, IR & Communications Jens Bille Bergholdt Copenhagen, May 7, 2009
Slide 2: Safe Harbour Statement
Safe Harbour Statement The Theforward-looking forward-lookingstatements statementsin inthis thisinterim interimreport reportreflect reflect management's management's current expectations of certain future eventsand current expectations of certain future events and financial results. Statements regar
Slide 3: Q1 Summary
Q1 Summary • GN’s Q1 results were in line with expectations and the full-year guidance is unchanged. • GN’s short-term focus for 2009 is primarily on generating cash flow, improving earnings and proactively addressing challenging market conditions through the two restructuring programs. • In Q1 GN h
Slide 4: Profit and Loss
Profit and Loss (DKK million) Q1/2008 2008 Q1/2009 Revenue 1,411 5,624 1,198 Gross Profit 729 2,901 627 SG&A, R&D etc. (702) (2,836) (692) EBITA 27 65 (65) Amort., finance, associates etc. (34) (148) (54) EBT (7) (83) (119) • Revenue was DKK 1,198 million corresponding to organic growth of (18)%. GN
Slide 5: Balance & Cash Flow
Balance & Cash Flow End FY End (DKK million) Q1/2008 2008 Q1/2009 Goodwill 2,408 2,655 2,794 Other intangible assets 1,126 1,163 1,182 Tangible & other non-current assets 1,469 1,592 1,614 Current assets 2,547 2,468 2,269 Equity 4,213 4,507 4,607 Liabilities 3,337 3,371 3,252 Total assets/liabilitie
Slide 6: GN Netcom
GNI GN Netcom May 7, 2009 UK eet lER Jabra BIZ 2400 Speak freely Drive respoasibly
Slide 7: GN Netcom Income Statement
GN Netcom Income Statement (DKK million) Q1 Q2 Q3 Q4 2008 Q1 Revenue 636 584 595 615 2,430 421 Organic growth (8)% 3% (6)% (23)% (9)% (36)% Gross margin 41% 43% 38% 37% 40% 35% SG&A, R&D etc. (260) (277) (254) (248) (1,039) (229) EBITA 3 (28) (28) (18) (71) (82) EBITA margin 0.5% (4.8)% (4.7)% (2.9)
Slide 8: GN Netcom Balance Sheet and Cash Flow
GN Netcom Balance Sheet and Cash Flow Balance sheet selected items Q1 FY Q4 Q1 (DKK million) 2008 2008 2008 2009 Inventories 265 271 - 179 Trade receivables 542 362 - 279 Trade payables 124 208 - 97 Cash flow (DKK million) Cash flow before working capital 42 213 77 14 Change in working capital & res
Slide 9: Jabra Products
Jabra Products 9 May 7, 2009 Slide 9
Slide 10: Status on the FAST program
Status on the FAST program Two dedicated and simplified supply chain organizations. Fully Supply Chain operational by the end of Q2 2009 as planned. Customers Previously, the Mobile division had around 700 customers. Now focus is on 100 large customers generating 90% of revenue. Number of products s
Slide 11: GN ReSound Custom Power
GN ReSound Custom Power 11 May 7, 2009 Slide 11
Slide 12: GN ReSound Income Statement
GN ReSound Income Statement (DKK million) Q1 Q2 Q3 Q4 2008 Q1 Revenue 772 776 787 843 3,178 774 Organic growth 1% (1)% 9% 10% 5% (4)% Gross margin 60% 62% 57% 62% 60% 62% SG&A, R&D etc. (432) (410) (447) (465) (1,754) (448) EBITA 31 72 4 56 163 29 EBITA margin 4.0% 9.3% 0.5% 6.6% 5.1% 3.7% • GN ReSo
Slide 13: GN ReSound Balance Sheet & Cash Flow
GN ReSound Balance Sheet & Cash Flow Balance sheet selected items Q1 FY Q4 Q1 (DKK million) 2008 2008 2008 2009 Inventories 375 391 - 373 Trade receivables 687 744 - 741 Trade payables 162 206 - 155 Cash flow (DKK million) Cash flow before working capital 114 462 137 100 Change in working capital &
Slide 14: GN ReSound Strategy
GN ReSound Strategy Accelerate the business Regain innovative leadership Preferred partner Fixing the foundation Three-stringed Commercial Execution Brand strategy excellence excellence Performance-driven culture Strategy unchanged, but more focus on cost-cutting initiatives 14 May 7, 2009 Slide 14
Slide 15: Program to Trim Cost Base Well on Track
Program to Trim Cost Base Well on Track Target Status Re-align organization to 9 Positions reduced by Optimize for current new economy and save more than 300 1 business cash Review of current 9 Business reviewed business procedures 9 Consolidation and focus Explore and exploit with regards to cost a
Slide 16: Transformation of Entire Organization
Transformation of Entire Organization Finance, HR and IT • Resized IT function and re-evaluated IT setup R&D Operations Marketing Sales • New structure and • Consolidate true • New SVP and • Reorganization to leadership global organization organization in increase sales and • Increased • Improved re
Slide 17: Custom Family Expanded – Custom and Custom Power
be Family Expanded – Custom and Custom Power Custom Custom Power 17 May 7, 2009 Slide 17
Slide 18: Products in all Market Segments
Products in all Market Segments Price Lifestyle Conventional ReSound AZURE INTERTON Top Relay 17 Avio 5 Plus INTERTON Slim Avio 3 Basic 9 INTERTON Stage Budget Products 18 May 7, 2009 Slide 18
Slide 19: GN's Outlook for 2009
GN’s Outlook for 2009 GN Store Nord GN Netcom GN ReSound Contact Center & Hearing Instruments Office Headsets, and Audiologic Mobile Headsets Diagnostics Equip. ••Listed Listedcompany company ••Supervisory SupervisoryBoard Board ••Equally Equallyranked ranked CEO’sGN CEO’s GNNetcom Netcom andGN and
Slide 20: GN Q1 Interim Report 2009 Q&A
GN Q1 Interim Report 2009 Q&A