Slide 1: Annual Results 2013
ANNUAL RESULTS 2013 26, FEBRUARY 2014 Tom Enders I Chief Executive Officer Harald Wilhelm I Chief Financial Officer
Slide 2: Safe Harbour Statement
2 Safe Harbour Statement Disclaimer This presentation includes forward-looking statements. Words such as “anticipates”, “believes”, “estimates”, “expects”, “intends”, “plans”, “projects”, “may” and similar expressions are used to identify these forward-looking statements. Examples of forward-looking
Slide 3: Group Highlights
3 ANNUAL RESULTS 2013 Group Highlights
Slide 4: FY 2013 Key Messages
4 FY 2013 Key Messages Shareholder & Governance reset 2013 Highlights Airbus Group: New Strategy Commercial momentum endorsing strategy Delivering Programme milestones Transformation and Restructuring in motion FY 2013: another year of solid financial improvement 2013 Financials Revenues: +5%, EBIT*
Slide 5: FY 2013 Commercial Environment
5 FY 2013 Commercial Environment EADS Order Intake* by Segment EADS Order Book* by Region (by value) (by value) 5% • Commercial 6% 3% • Defence EADS Order Book Coverage 32% • Asia Pacific • Europe 18% • North America • Middle-East No of years € 219 bn € 687 bn • Latin America t/o Defence € 10 bn 8.8
Slide 6: FY 2013 Financial Performance
6 FY 2013 Financial Performance Revenues EBIT* before one-off Moderate 56 59 Growth 6.0% ~ 6% 49 5.2% 3.6 3.5 3.0 in € bn 44 47 in € bn 3.7% 37 1.8 12 12 12 FY 2011 FY 2012 FY 2013 Guidance 2013 FY 2011 FY 2012 FY 2013 Guidance 2013 • t/o Defence RoS EPS* before one-off FCF before Acquisitions ** 2.
Slide 7: FY 2013 Profitability
7 FY 2013 Profitability EBIT* performance Solid Underlying performance across the Group 3.6 2013 EBIT* reported +24% 3.0 2.7 2013 one-offs resulting from: in € bn 2.1 € - 85 m A380 Wing Rib Feet € - 102 m $ PDP Mismatch / BS Revaluation € - 292 m Restructuring € - 434 m A350 XWB EBIT* before one-off
Slide 8: Currency Hedge Policy
8 Currency Hedge Policy Expected exposure 23.5* in US$ bn Trend (indicative) • Total Forward Sales • Dec. 2012 24.2 20.8 17.1 13.8 Average hedge rates 2013 2014 2015 2016 2017+ 1.37 1.35 1.35 1.32 1.32 € vs $*** ( 1.37 in Dec. 12 ) ( 1.36 in Dec. 12 ) ( 1.35 in Dec. 12 ) ( 1.32 in Dec. 12 ) ( 1.31 i
Slide 9: FY 2013 Cash Evolution
9 FY 2013 Cash Evolution in € bn Free Cash Flow* before Acquisitions -0.8 Strong Q4 Free Cash Flow of ~ € 4 bn FCF reflects investment in programmes * Excluding contribution to plan assets of pension schemes and change of securities ** Includes customer financing in other assets and liabilities of €
Slide 10: EADS: Strong Liquidity Position as at 31 December 2013
10 EADS: Strong Liquidity Position as at 31 December 2013 € 3.0 bn New Maturity 2018* Undrawn Credit Facility (RSCF) Fully committed by 39 banks* No financial covenants No MAC clause € 5.6 bn EMTN programme & USD Bond (144A/RegS) Financing Liabilities** Long term rating : (incl. € 1.5 bn liabilities
Slide 11: Divisional Highlights
11 ANNUAL RESULTS 2013 Highlights Divisional Highlights
Slide 12: Airbus Division / Airbus
12 Airbus Division / Airbus in € m FY 2013 FY 2012 pro forma Change Airbus Division Airbus Division Airbus Commercial Airbus Military Airbus Division Airbus Commercial Airbus Military Airbus Division External revenue split: Order Intake (net) 1) 1,519 1,503 17 865 833 32 +75.6% in unit 6% Order Book
Slide 13: Eurocopter / Airbus Helicopters
13 Eurocopter / Airbus Helicopters in € m FY 2012 External Revenue split FY 2013 pro forma Change Order Intake (net) 422 469 -10.0% in units Order Book 995 1,070 -7.0% • Civil 45% • Defence Order Intake (net) 5,775 5,392 +7.1% 55% in value Order Book 12,420 12,942 -4.0% Deliveries (units) 497 475 +4
Slide 14: Astrium / Part of new Airbus Defence & Space Division
14 Astrium / Part of new Airbus Defence & Space Division in € m FY 2012 External Revenue split FY 2013 pro forma Change Order Intake (net) 6,169 3,761 +64.0% Order Book 13,077 12,734 +2.7% 33% • Defence • Civil Revenues 5,784 5,817 -0.6% 67% R&D expenses 127 128 -0.8% in % of revenues 2.2% 2.2% EBIT
Slide 15: Cassidian / Part of new Airbus Defence & Space Division
15 Cassidian / Part of new Airbus Defence & Space Division in € m FY 2012 External Revenue split FY 2013 pro forma Change Order Intake (net) 4,974 5,040 -1.3% 25% 15,611 Order Book 14,296 -8.4% • Services • Platforms Revenues 5,976 5,740 +4.1% 75% R&D expenses 248 234 +6.0% in % of revenues 4.1% 4.1
Slide 16: Airbus Defence & Space
16 Airbus Defence & Space in € m FY 2013 FY 2012 External Revenue split Restated Restated & pro forma Change Order Intake (net) 13,454 10,512 +28.0% 25% 49,219 Order Book 47,845 -2.8% • Platforms • Services Revenues 14,422 13,520 +6.7% 75% R&D expenses 382 374 +2.1% in % of revenues 2.6% 2.8% EBIT*
Slide 17: Dividend Guidance 2014
17 ANNUAL RESULTS 2013 Highlights Dividend Guidance 2014
Slide 18: Dividend
18 Dividend Gross dividend per Pay-out Ratio share in € 0.80 0.75 * 100% 90% 0.60 80% 0.60 70% 0.45 Ex-dividend date: 29 May 2014* 60% 0.40 Record date: 02 June 2014* 50% Payment date: 03 June 2014* 40% 40% 40% 30% 0.20 35% 20% 10% 0.00 0% FY 2011 FY 2012 FY 2013 Gross Dividend per share increase to
Slide 19: Guidance 2014
19 Guidance 2014 2014 Guidance is based on $/€ 1.35 as average rate Airbus Airbus deliveries about the same level as 2013, including first A350 delivery (2013: 626 a/c); Orders & Deliveries book to bill > 1 Revenues Airbus Group targets revenues to be stable with 2013 Using EBIT* before one-off, Air
Slide 20: Appendix
20 ANNUAL RESULTS 2013 Appendix
Slide 21: 2013 Detailed Income Statement and Adjustments
21 2013 Detailed Income Statement and Adjustments thereof thereof Impact on EBIT* Goodwill in € m Financial FY 2013* Impair. OPERATIONAL FX FY 2013 FY 2013* result before & Fair one-offs one-off one-off one-off value dep. Airbus Restructur. Division EBIT* 2,607 -54 2,661 -519 -292 -102 3,574 in % of
Slide 22: 2012 Detailed Income Statement and Adjustments
22 2012 Detailed Income Statement and Adjustments thereof thereof Impact on EBIT* Goodwill in € m FX Financial FY 2012* Impair. OPERATIONAL FY 2012 FY 2012* one- result before & Fair one-offs off one-off one-off value dep. Airbus EC Cass. Division EBIT* 2,089 -55 2,144 -451 -100 -198 -71 2,964 in %
Slide 23: 2013 Forex EBIT* Impact Bridge
23 2013 Forex EBIT* Impact Bridge in € bn Bridge Hedge rates ($/€ 1.36 to $/€ 1.37) (0.08) Other one-off forex effect including PDP reversal (0.03) Compared to FY 2012 (0.11)
Slide 24: Expected EADS Average Hedge Rates € vs. $
24 Expected EADS Average Hedge Rates € vs. $ Active exposure management 1.40 1.39 1.38 1.38 Average 1.37 Rates 1.36 1.36 1.36 1.36 1.36 FY 2012 1.36 1.35 1.35 1.35 FY 2013 1.37 1.34 1.34 FY 2014E 1.35 1.33 1.32 Q1 Q2 Q3 Q4 FY 2012 FY 2013 2014 E
Slide 25: Q4 Key Figures
25 Q4 Key Figures in € m Q4 2013 Q4 2012 Revenues 19,290 19,222 EBIT* 515 561 FCF before customer financing** 3,897 4,673 Order Intake 80,509 52,062 in € m Q4 2013 Q4 2012 Q4 2013 Q4 2012 Revenues EBIT* Airbus 13,242 13,222 208 408 Eurocopter 2,165 2,148 180 34 Astrium 1,770 1,883 142 121 Cassidian
Slide 26: Detailed Free Cash Flow
26 Detailed Free Cash Flow in € m FY 2013 FY 2012 Net Cash position at the beginning of the period 12,292 11,681 Gross Cash Flow from Operations* 4,318 4,772 Change in working capital (2,164) (76) of which Customer Financing (319) (146) Cash used for investing activities** (2,988) (3,448) of which I
Slide 27: Net Cash Position
27 Net Cash Position in € m FY 2013 FY 2012 Gross Cash 14,655 17,071 Financing Debts Short-term Financing Debts (1,645) (1,273) Long-term Financing Debts (3,956) (3,506) Reported Net Cash 9,054 12,292 Airbus non-recourse debt 229 345 Net Cash excl. non-recourse 9,283 12,637
Slide 28: Airbus Division Provision Consumption (as at 31 Dec. 2013)
28 Airbus Division Provision Consumption (as at 31 Dec. 2013) 5 4 3 2 1 0 Total < 2016 2016 - 2017 > 2017 • Liquidated Damages • LMC
Slide 29: Customer Financing Exposure
29 Customer Financing Exposure in € m 100% Airbus 50% ATR 100% Eurocopter Dec. 2013 Dec. 2012 Dec. 2013 Dec. 2012 Dec. 2013 Dec. 2012 Closing rate € 1 = $1.38 $ 1.32 Total Gross exposure 1,193 1,139 81 74 84 84 of which off-balance sheet 91 124 39 45 14 12 Estimated value of collateral (851) (741) (
Slide 30: Airbus Customer Financing
30 Airbus Customer Financing Additions and Disposals 2.5 to Airbus customer financing gross exposure in $ bn Additions Sell Down Amortisation 1.5 1.5 1.5 1.0 0.9 1.0 0.6 0.8 0.6 0.8 0.6 Active 0.5 0.4 0.5 0.5 0.3 (0.2) (1.0) (1.1) exposure (0.9) (0.7) (0.7) (1.3) (2.2) (0.3) (0.7) -0.5 (0.3) (0.2) (
Slide 31: Airbus Deliveries Financing – January to December 2013 – 626 A/C
31 Airbus Deliveries Financing – January to December 2013 – 626 A/C % Above are rounded to the nearest decimal place
Slide 32: Shareholding Structure as at 31 January 2014
32 Shareholding Structure as at 31 January 2014 0.4% 11.0% 2% New Shareholder Agreement 5% 15% • SOGEPA • GZBV 10.9% 26.0% 33% 4.1% • SEPI 19% 26% Free Float 73.6% • Institutional Investors & Retail • Treasury shares* (without economic or voting rights) 783,258,500 shares outstanding as at 31 Januar
Slide 33: Balance Sheet Highlights: Assets
33 Balance Sheet Highlights: Assets in € m Dec. 2013 Dec. 2012 Non-current Assets 46,213 46,794 of which Intangible & Goodwill 13,653 13,429 of which Property, plant & equipment 15,925 15,268 of which Investments & Financial assets 4,766 4,777 of which positive hedge mark-to-market 1,993 1,197 of wh
Slide 34: Balance Sheet Highlights: Liabilities
34 Balance Sheet Highlights: Liabilities in € m Dec. 2013 Dec. 2012 Total Equity 11,054 10,420 of which OCI (Other Comprehensive Income) 2,929 1,513 of which Non-controlling interests 43 17 Total Non-current liabilities 33,676 33,052 of which pensions 6,209 6,159 of which other provisions 3,837 3,69
Slide 35: Quarterly Revenues Breakdown (cumulative)
35 Quarterly Revenues Breakdown (cumulative) in € m Q1 H1 9m FY 2012 2012 2012 2012 2012 2012 2012 2012 2013 2013 2013 2013 pro forma reported pro forma reported pro forma reported pro forma reported Airbus Division 9,181 8,019 7,909 18,924 17,525 17,246 28,770 26,051 25,621 42,012 39,273 38,592 t/o
Slide 36: Quarterly EBIT* Breakdown (cumulative)
36 Quarterly EBIT* Breakdown (cumulative) in € m Q1 H1 9m FY 2012 2012 2012 2012 2012 2012 2012 2012 2013 2013 2013 2013 pro forma reported pro forma reported pro forma reported pro forma reported Airbus Division 456 172 183 1,093 563 553 1,502 844 837 1,710 1,252 1,230 t/o Airbus Comm.* 463 135 146
Slide 37: Quarterly Order Intake Breakdown (cumulative)
37 Quarterly Order Intake Breakdown (cumulative) in € m Q1 H1 9m FY 2012 2012 2012 2012 2012 2012 2012 2012 2013 2013 2013 2013 pro forma reported pro forma reported pro forma reported pro forma reported Airbus Division 47,337 7,938 7,877 90,351 21,164 20,955 127,062 40,909 40,659 202,260 88,909 88,
Slide 38: Quarterly Order Book Breakdown
38 Quarterly Order Book Breakdown in € m March June September December 2012 2012 2012 2012 2012 2012 2012 2012 2013 2013 2013 2013 pro forma reported pro forma reported pro forma reported pro forma reported Airbus Division 574,527 482,289 480,322 595,792 508,158 506,120 602,284 504,569 502,680 647,4
Slide 39: Transition Towards New Structure
39 ANNUAL RESULTS 2013 Transition Towards New Structure
Slide 40: Quarterly Revenues Breakdown (cumulative)
40 Quarterly Revenues Breakdown (cumulative) in € m Q1 H1 9m FY 2012 2013 2013 2013 2013 Restated & Restated Restated Restated Restated pro forma Airbus 8,822 18,235 27,552 39,889 37,624 Airbus Helicopter 1,038 2,584 4,132 6,297 6,264 Airbus Defence & Space 2,896 6,094 9,184 14,422 13,520 HQ & other
Slide 41: Quarterly EBIT* Breakdown (cumulative)
41 Quarterly EBIT* Breakdown (cumulative) in € m Q1 H1 9m FY 2012 2013 2013 2013 2013 Restated & Restated Restated Restated Restated pro forma Airbus 463 1,092 1,521 1,595 1,147 Airbus Helicopter 20 128 217 397 309 Airbus Defence & Space 87 221 370 690 522 HQ & others 26 42 38 (21) 166 of which othe
Slide 42: Quarterly Order Intake Breakdown (cumulative)
42 Quarterly Order Intake Breakdown (cumulative) in € m Q1 H1 9m FY 2012 2013 2013 2013 2013 Restated & Restated Restated Restated Restated pro forma Airbus 46,825 89,782 126,410 199,867 87,283 Airbus Helicopter 804 2,448 4,177 5,775 5,392 Airbus Defence & Space 2,358 4,465 7,868 13,454 10,512 HQ &
Slide 43: Quarterly Order Book Breakdown
43 Quarterly Order Book Breakdown in € m March June September December 2012 2013 2013 2013 2013 Restated & Restated Restated Restated Restated pro forma Airbus 554,221 575,721 582,691 627,113 505,333 Airbus Helicopter 12,708 12,806 12,986 12,420 12,942 Airbus Defence & Space 48,380 47,210 47,602 47,
Slide 44: Airbus Defence and Space restatements
44 Airbus Defence and Space restatements Order Intake 2013 Order Book 2013 EADS Divisions Movements Airbus Group Divisions EADS Divisions Movements Airbus Group Divisions Total old Airbus Total new Total old Airbus Total new Airbus Airbus Airbus Airbus segments Defence & segments segments Defence &