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Airbus — Investor Meeting Le Bourget 2017
19 slides from Airbus's conference presentation, Jun 21, 2017
Slide 1: Investor Meeting Le Bourget 2017
AIRBUS Investor Meeting Le Bourget 2017 21 June 2017 Tom Enders Fabrice Brégier Harald Wilhelm Chief Executive Officer Chief Operating Officer Chief Financial Officer
Slide 2: Investor Meeting Le Bourget 2017 Schedule
AIRBUS Investor Meeting Le Bourget 2017 08:00 – 10:30 Presentations and Q&A 10:45 – 11:30 Breakout Session 1: CEO Breakout Session 2: CFO Tom Enders Fabrice Brégier Harald Wilhelm Chief Executive Officer Chief Operating Officer Chief Financial Officer
Slide 3: Safe Harbour Statement
SAFE HARBOUR STATEMENT 3 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 4: Investor Meeting Le Bourget 2017
Investor Meeting Le Bourget 2017
Slide 5: Commercial Aircraft Market
COMMERCIAL AIRCRAFT MARKET 5 Drivers Strong & resilient passenger traffic growth As air transport develops, new drivers become more significant Middle-class to almost double by 2036 Traffic forecast Air traffic (RPK) doubles every 15 years Airbus traffic (RPK) forecast: 4.4% p.a. Fleet forecast 34,9
Slide 6: Comprehensive Commercial Aircraft Product Line for Any Market
COMPREHENSIVE COMMERCIAL AIRCRAFT PRODUCT LINE FOR ANY MARKET 6 A380: 317 orders from 18 customers Capacity to capture traffic growth A350XWB: 851 orders from 45 customers Long-range and ultra-long haul routes A330 Family: 1,683 orders from 115 customers Flying from 30 minutes to over 15 hours A320
Slide 7: Commercial Aircraft Backlog and Deliveries
COMMERCIAL AIRCRAFT BACKLOG AND DELIVERIES 7 Airbus backlog* well aligned with regional needs and Over 10 years production in backlog demand forecast in units 6,831 6,874 6,386 5,559 Europe 4,682 4,437 North & CIS Asia 3,552 America 16% / 24% 3,715 688 Pacific 3,421 3,488 9% / 16% Middle 30% / 42% 6
Slide 8: Helicopters: Market and Product Positioning
HELICOPTERS: MARKET AND PRODUCT POSITIONING 8 CIVIL & PARAPUBLIC MILITARY AIRCRAFT Demand impacted by softness in O&G Military market supported by growing Defence MARKET budgets LT market potential Successful campaigns in 2016 UAM new market PRODUCT Product renewal strategy: H135, H145, H160, Unique
Slide 9: Defence and Space: Market and Product Positioning
DEFENCE AND SPACE: MARKET AND PRODUCT POSITIONING 9 MILITARY AIRCRAFT SPACE SYSTEMS CIS / UAS / OTHERS MARKET Geopolitical instability Growth in space spending Big data / analytics Growth in defence spending More connected world Cyber protection Increasing need for security Increasing need for servi
Slide 10: Compliance Update
COMPLIANCE UPDATE 10 Focus on compliance process, policies and organisation Self-disclosure of misstatements and omissions and full cooperation with authorities in investigations Independent Compliance Review Panel (ICRP) Airbus is committed to implement the most effective global standards
Slide 11: Key Programme Status
KEY PROGRAMME STATUS 11 A320 Strong market demand for rate 60 Deliveries end May: 189 A320 family, t/o 48 A320/A321 neo Ramp-up and neo transition in progress Focus on in-service maturity (GTF) A350 Deliveries end May: 22 A350-900 Ramp-up in progress -1000 Flight Test campaign on track Focus on Recu
Slide 12: Operational Excellence
OPERATIONAL EXCELLENCE 12 Global Supply Chain Performance and Quality Secure delivery performance, rate increase & supply chain quality through: Further integration and group-wide governance Reinforced supply chain management and quality Group-wide deployment of quality standards and best practices
Slide 13: Innovation
INNOVATION 13 Leveraging new technologies Preparing the future Exploring new business areas Improve competitiveness and create new business opportunities
Slide 14: 2012-2016 Financial Performance / Investments
2012 – 2016 FINANCIAL PERFORMANCE / INVESTMENTS 14 in € bn FCF bef. M&A and Cust. Financing Revenues EBIT Adjusted Total € 5 bn CAGR incl. / excl. Perim Change 4.2% / 4.6% CAGR incl. / excl . Perim Change 8.0% / 9.3% CAGR incl. / excl. Perim Change -3.1% / 0.2% 67 64 4.02 4.11 3.96 3.48 61 2.91 1.60
Slide 15: 2012-2016 Financial Flexibility and Credit Rating
2012 – 2016 FINANCIAL FLEXIBILITY AND CREDIT RATING 15 Total Gross Cash Net Cash Financing Liabilities Credit Facility 11 5 9 7 6 22 19 in € bn 17 16 14 12 11 9 9 10 3 3 3 3 3 2012 2013 2014 2015 2016 RATING A-/A2 A+/A2 Maximise and diversify access to liquidity, maintain financial flexibility and s
Slide 16: Increasing Shareholder Returns
INCREASING SHAREHOLDER RETURNS 16 Total Shareholder Returns* ~ € 7 bn 2.4 1.7 in € bn FCF 1.2 € 8.4 bn 1.0 0.6 3.2 0.4 2.8 1.2 2.0 in € bn 2012 2013 2014 2015 2016 2017 ** Dividend Share Buyback (0.8) Dividend per Share 1.35** 2012 2013 2014 2015 2016 1.30 1.20 FCF FCF before M&A, before customer fi
Slide 17: Driving Earnings Performance
DRIVING EARNINGS PERFORMANCE 17 End of decade Boost Performance A350 Turning Profitable A320 Volume and Price FX Hedging Impact End 2017 Significant EPS growth potential Box sizes for illustration purpose only
Slide 18: Driving Cash Performance
DRIVING CASH PERFORMANCE 18 CASH CONVERSION End of decade Cash conv. ~ 1 EPS Growth A400M* Capex Reduction Working capital Control End 2017 * A400M will continue to weigh significantly in 2017 & 2018 in particular FCF generation & increasing cash conversion by end of decade Box sizes for illustratio
Slide 19: Driving Performance and Preparing the Future
DRIVING PERFORMANCE AND PREPARING THE FUTURE 19 Focus on key programmes and core platforms & services Deliver Operational Excellence Drive Integration Foster Innovation Deliver EPS / FCF growth potential