Slide 1: 2015 – solid result despite a difficult environment
8.03.2016 Excellence in Connectivity Solutions Agenda 2015 – solid result despite a difficult environment Overview of financial year 2015 Urs Kaufmann (CEO) Financial results Ivo Wechsler (CFO) Outlook Urs Kaufmann (CEO) Questions and discussion Buffet lunch 8 March 2016 | Media and analysts' confer
Slide 2: Overview of the 2015 financial year
8.03.2016 Overview of financial year 2015 Overview of the 2015 financial year Currency situation well managed • Balanced and effective package of measures – effects are visible - profitability improved in second half year • Overall lower business volume – at constant exchange rates moderately lower
Slide 3: Net sales development last 5 years
8.03.2016 Overview of financial year 2015 Net sales development last 5 years Growth path in core business interrupted by strong Swiss franc CHF million 800 759 749 720 706 6 -5.6% 698 700 127 18 42 600 500 400 743 706 702 632 656 300 200 100 Solar net sales 0 Net sales excl. 2011 2012 2013 2014 2015
Slide 4: EBIT development 2011 – 2015
8.03.2016 Overview of financial year 2015 EBIT development 2011 – 2015 Solid operating result considering the currency situation CHF million 70 28% 60 52.3 24% 50 20% 40 16% 30 12% 8.7% 20 8% 9.2% Operating EBIT 7.2% 7.4% 10 4% EBIT margin 3.4% 0 0% 2011 2012* 2013 2014 2015 * IAS 19 adjusted Excell
Slide 5: The three dimensions of our business
8.03.2016 Overview of financial year 2015 The three dimensions of our business Results by segment, markets and regions APAC Americas EMEA Communi- Transpor- Industrial cation tation RF Technology/Segments Radio Frequency Fiber Optics FO Low Frequency LF Markets Excellence in Connectivity Solutions 8
Slide 6: Radio Frequency division
8.03.2016 Overview of financial year 2015 Radio Frequency division Lower net sales – double-digit EBIT margin – strengthened project pipeline CHF million Key facts • Marked decrease in order intake 2015 2014 Δ% and net sales Order intake 201.1 238.7 -15.7 • Weaker business volume with Net sales 206.
Slide 7: Low Frequency division
8.03.2016 Overview of financial year 2015 Low Frequency division Lower business volume – marginal positive result – reduced costs CHF million Key facts • Net sales significantly lower – 2015 2014 Δ% book to bill >1 Order intake 230.8 258.5 -10.7 • Especially hard hit by currency Net sales 219.0 263.
Slide 8: Net sales by regions
8.03.2016 Overview of financial year 2015 Net sales by regions Growth in Americas, constant in Asia, decline in Europe CHF million 400 -13% 300 20% +0% 200 46% +4% 2015 100 34% 0 EMEA (incl. Asia-Pacific Americas Switzerland) 2014 EMEA (incl. Switzerland) 2015 Asia-Pacific Americas Excellence in Con
Slide 9: New dividend policy
8.03.2016 Overview of financial year 2015 New dividend policy • Strong equity base and high net liquidity • Continued result oriented dividend policy: 40 – 50% of net income • New: A dividend of at least CHF 1.00 per share will be proposed to the GM • Request to the General Meeting 2016: – Dividend
Slide 10: Conclusion 2015
8.03.2016 Overview of financial year 2015 Succession plan: new CEO as of 1 April 2017 CEO Urs Kaufmann will resign from his operational remit in view of the 2017 GM, and be proposed for election as Chairman of the Board of Directors. Urs Ryffel, currently COO Fiber Optics, was nominated as the new C
Slide 11: Factors impacting the «Top Line»
8.03.2016 Agenda 2015 – solid result despite a difficult environment Overview of financial year 2015 Urs Kaufmann (CEO) Financial results Ivo Wechsler (CFO) Outlook Urs Kaufmann (CEO) Questions and discussion Buffet lunch 8 March 2016 | Media and analysts' conference Financial results Factors impact
Slide 12: Gross margin under pressure
8.03.2016 Financial results Gross margin under pressure CHF Mio. 400 40% 35.8% 34.3% 34.6% 300 35% 31.4% 30.7% 200 30% 247 268 238 244 100 215 25% Gross profit 0 20% Gross margin 2011 2012 2013 2014 2015 Excellence in Connectivity Solutions 8 March 2016 | Media and analysts' conference 23 Financial
Slide 13: Structure of operational expenses
8.03.2016 Financial results Structure of operational expenses in % of net sales 20 15 15.9 15.5 15.1 15.1 13.9 10 7.6 7.6 7.8 7.9 5 6.6 4.0 3.8 3.8 4.2 3.6 0 2011 2012 2013 2014 2015 S&M G&A R&D Excellence in Connectivity Solutions 8 March 2016 | Media and analysts' conference 25 Financial results F
Slide 14: Overview Divisions
8.03.2016 Financial results Overview Divisions CHF Mio. 2015 in % 2014 in % High Frequency 21.7 10.5 33.0 14.0 Fiber Optics 34.4 12.3 26.6 10.6 Low Frequency 2.4 1.1 12.2 4.6 Corporate (6.2) (2.8) Total EBIT 52.3 7.4 69.0 9.2 Excellence in Connectivity Solutions 8 March 2016 | Media and analysts' co
Slide 15: Unpleasant financial result
8.03.2016 Financial results Unpleasant financial result CHF Mio. 8 4.8 4 5.1 (15.4) 0 -0.3 -4 -8 -15.1 -12 -16 -0.3 2014 2015 Net Currency Other financial result Excellence in Connectivity Solutions 8 March 2016 | Media and analysts' conference 29 Financial results High Group tax rate as result of m
Slide 16: Factors impacting the «bottom line»
8.03.2016 Financial results Factors impacting the «bottom line» -20 Mio. -34 Mio. -17 Mio. +3 Mio. -28%% CHF Mio. -34% -58% +4% 60 Earnings per share (CHF) 3.05 ► 1.27 (-58%) 50 40 30 59 20 42 22 22 25 10 0 Net income Impact Net financial Income Net income 2014 on EBIT result tax 2015 Excellence in
Slide 17: Strong balance sheet
8.03.2016 Financial results Strong balance sheet CHF Mio. 31.12.2015 31.12.2014 30.06.2015 Liquid assets 160 143 12% 124 Other current assets 281 323 -13% 307 Non-current assets 337 371 -9% 312 Financial debt - - n/a - Other liabilities 129 163 -21% 141 Shareholders’ equity 650 674 -4% 602 in % 83%
Slide 18: Shareholder-friendly dividend policy
8.03.2016 Financial results Shareholder-friendly dividend policy CHF Mio. pay-out ratio in % 30 90% 79% 80% 25 70% 20 60% 48% 45% 46% 50% 15 37% 40% 10 30% 20% 5 10% 18.5 9.7 15.6 27.2 19.5 0 0% 2011 2012 2013 2014 2015 per share 0.95 0.50 0.80 1.40 1.00* *proposed dividend Excellence in Connectivit
Slide 19: Financial assessment 2015
8.03.2016 Financial results Financial assessment 2015 Strict cost management allows for a pleasing EBIT margin High free operating cash flow Acquired Cube Optics considerably above expectations Decline in sales in 2 of 3 divisions Significant FX losses and high tax rate Excellence in Conne
Slide 20: Our growth drivers
8.03.2016 Outlook Our growth drivers Connected Mobility Appetite for bandwidth Broadband communication Increasing mobility and environmental awareness Electromobility Continuous technology change and innovation High-tech niches Excellence in Connectivity Solutions 8 March 2016 | Media and analysts'
Slide 21: Applications with strong growth potential
8.03.2016 Outlook Applications with strong growth potential New generation rollouts – Small Cells Datacenters Connected Mobility In Building Communication Excellence in Connectivity Solutions 8 March 2016 | Media and analysts' conference 41 Outlook Starting point for 2016 We are starting from a soli
Slide 22: Outlook 2016
8.03.2016 Outlook Outlook 2016 • Back on the growth path • EBIT margin in upper half of our mid-term target range of 6-9 %, i.e. 7.5-9 % Excellence in Connectivity Solutions 8 March 2016 | Media and analysts' conference 43 Outlook New: Online annual report with interactive charting tool Full annual
Slide 23: 2015 – solid result despite a difficult environment
8.03.2016 Agenda 2015 – solid result despite a difficult environment Overview of financial year 2015 Urs Kaufmann (CEO) Financial results Ivo Wechsler (CFO) Outlook Urs Kaufmann (CEO) Questions and discussion Buffet lunch 8 March 2016 | Media and analysts' conference Agenda 2015 – solid result despi
Slide 24: Excellence in Connectivity Solutions
8.03.2016 Excellence in Connectivity Solutions 24