Leonardo Spa · MIL:LDO
Leonardo Spa — Finmeccanica — Q1 2012 Earnings Presentation
20 slides from Leonardo Spa's earnings presentation, May 3, 2012
Slide 1: 1Q 2012 Results Presentation
1 Q 2012 Results Presentation Alessandro Pansa COO - CFO Rome, 3 May 2012 1
Slide 2: Safe Harbor Statement
SAFE HARBOR STATEMENT NOTE: Some of the statements included in this document are not historical facts but rather statements of future expectations, also related to future economic and financial performance, to be considered forward-looking statements. These forward-looking statements are based on Co
Slide 3: Presentation Outline
Presentation Outline Group p 1Q2012 Results Update on efficiency improvement and industrial restructuring plans Update on Unified Selex 2012 Guidance and 2013 Trends Q&A Appendix 3
Slide 4: 1Q2012 Key Data
1Q2012 Key Data Total Organic 1Q 2012 1Q 2011 FY2011 Change Change* € Mln New Orders 3,480 3,816 (9%) (0.2%) 17,434 Backlog 45,721 48,038 (5%) 46,005 Revenues 3,686 3,855 (4%) (1.3%) 17,318 EBITA Adj. 173 215 (20%) (16%) (216) ROS% 4.7% 5.6% (0.9)pp (1.2%) EBIT 142 181 (22%) (2,386) Net Income after
Slide 5: 1Q2012 Sector Highlights vs 1Q2011 (1/2)
1Q2012 Sector Highlights VS. VS 1Q2011 (1/2) Revenues down ca. 1% (excluding AnsaldoEnergia deconsolidation) due to Mainly Defense and Security Electronics (DRS lower activities for US Armed Forces) offset by increase in Helicopters Substantially stable/ slight increase in other sectors EBITA Adj Ad
Slide 6: 1Q2012 Sector Highlights vs 1Q2011 (2/2)
1Q2012 Sector Highlights VS. VS 1Q2011 (2/2) New Orders (almost flat YoY, excluding AnsaldoEnergia deconsolidation) Order increase in A&D sectors due to Helicopters (+21%) mainly driven by new helicopters AW169 and AW189 (45 units sold in Q1) representing 50% of total order value Aeronautics (+63%),
Slide 7: Net Debt movements and FOCF
Net Debt movements and FOCF 1.138 66 4.515 FOCF: Affected as usual by seasonality 3.443 (payments are significantly higher than collections in Q1) YoY FOCF absorption increases due to lower customer collection, despite lower investments € Mil Net Debt at FOCF Exchange rate effect Net Debt at 31.12.2
Slide 8: Competitiveness, Efficiency and Restructuring Plans – progress report 1Q2012
Competitiveness, Efficiency and Restructuring Plans – progress report 1Q2012: main outcomes Monitoring activities over 1Q2012 performed by FNM Corporate, jointly with Operating Companies, confirm overall that implementation of projects is on schedule and first results (net impact on EBITA) are in li
Slide 9: Competitiveness, Efficiency and Restructuring Plans: status of main projects
Competitiveness, Competitiveness Efficiency and Restructuring Plans Status of main projects with the highest level of completion at 31/03/2012 Aeronautics: agreements with Unions achieved and headcount layoff/ subsidised redundancy on track (100% of the headcount actions as already announced); Procu
Slide 10: Defence and Security Electronics: New Unified SELEX strategic framework
Defence and Security Electronics: New Unified SELEX strategic framework Vi i Vision “Player of choice” at global level through product excellences in selected Defence and Security business areas, with industrial footprint in Italy and UK Electronics “Tier Tier 2” 2 player in the US US, repositioning
Slide 11: Defence and Security Electronics: Status of the Unified SELEX project
Defence and Security Electronics: Status of the Unified SELEX project Dedicated Transition Team (Strategy, Business Development, Sales & Marketing, Technology & Product, Operations, HR, Legal and Finance) with senior management leadership and Top level corporate support to ensure smooth transition a
Slide 12: Reconfirming our Disposal Strategy
Reconfirming our Disposal Strategy Disposal p strategy gy As part of our strategy aimed at rationalising, focusing and maximising value of our business portfolio, we reconfirm our commitment to dispose of less strategically placed assets Disposals will also support debt reduction and strengthen bala
Slide 13: 2012 Guidance and Trends for 2013
2012 GUIDANCE AND TRENDS FOR 2013 Finmeccanica Group FY2011A FY2012E Trends for 2013 €mil Orders 17,434 ca. 17,500 Book to bill > 1 Revenues 17 318 17,318 16 900 – 17,300 16,900 17 300 Low single digit growth EBITA 878 ca. 1,100 EBITA margin >7% FOCF -358 >0 Materially growing YoY Net Financial debt
Slide 14: Presentation Outline
Presentation Outline Group p 1Q2012 Results Update on efficiency improvement and industrial restructuring plans Update on Unified Selex 2012 Guidance and 2013 Trends Q&A Appendix 14
Slide 15: DRS 1Q2012 Results
DRS 1Q2012 Results € Mil 1Q2012 1Q2011 $ Mil 1Q2012 1Q2011 Revenues 512 588 Revenues 671 804 EBITA 28 53 EBITA 36 73 ROS% 5% 9% ROS% 5% 9% Revenues decrease as expected mainly due to wind down of activities for US Armed Forces T Temporary k weakness i profitability in fit bilit due d to t impact i t
Slide 16: SELEX Electronic Systems 1Q2012 Results
SELEX Electronic Systems (pro-forma (pro forma Unified SELEX) 1Q2012 Results € Mil 1Q2012 1Q2011 Revenues 765 764 EBITA 25 40 ROS% 3.3% 5.2% EBITA lower mainly due to worse program mix in IT&Security and Communications systems, in line with management forecasts Recoveryy expected p over the second h
Slide 17: Ansaldo Breda 1Q2012 Results
Ansaldo Breda 1Q2012 Results € Mil 1Q2012 1Q2011 Revenues 177 155 EBITA 12 -12 3 -3 ROS% -6.8% -1.9% Orders: lower than expected because Metro Miami, High Speed Variante Trenitalia, Metro Milano and “Opzioni Meneghino” have shifted to later in year Revenues and EBITA in line with management forecast
Slide 18: 1Q 2012 and 1Q 2011 results by sector
Defence and Defence 1Q 2012 (EUR million) Helicopters Aeronautics Space Energy Transport Other Activities Eliminations Total Security Systems Electronics New orders 826 1,076 873 110 314 83 267 7 (76) 3,480 Order backlog 12,095 9,282 8,929 2,387 3,722 1,887 8,140 228 (949) 45,721 Revenues 853 1,276
Slide 19: Debt Balances
DEBT BALANCES Finmeccanica's current financial structure is built on €4,606 million equity and €4,515 million total debt ‒ The debt/total capitalisation ratio is therefore 50% The debt has an average life of ca.10 years, thanks to a strategy over the last two - three years of extending the duration
Slide 20: Investor Relations Finmeccanica
Investor Relations Finmeccanica investor_relations@finmeccanica.com Website: http://www.finmeccanica.com/Investor Relations John D. Stewart Raffaella Luglini VP Investor Relations Investor Relations Officer +39 06 32473.290 +39 06 32473.066 john.stewart@finmeccanica.com raffaella.luglini@finmeccanic