Kion Group Ag · XETR:KGX
Kion — Q1 2024 Earnings Presentation
28 slides from Kion's earnings presentation, Apr 25, 2024
Slide 1: KION GROUP AG Q1 2024 Update Call
KION GROUP AG Q1 2024 Update Call Rob Smith (CEO), Christian Harm (CFO) Frankfurt, 25 April 2024
Slide 2: Agenda
Agenda 1. Summary Q1 2024 & Business Update 2. Financial Update 3. Outlook 2024 & Key Takeaways 2 KION GROUP AG | Q1 2024 Update Call | 25 April 2024 | Classification: Public
Slide 3: Q1 2024 Key Financial Figures
Q1 2024 Key Financial Figures Solid start into the year - substantial improvement in adj. EBIT Order intake Revenue Adj. EBIT1 Free cash flow EPS €2.4bn €2.9bn €227m €66m €0.83 +2% yoy +3% yoy +45% yoy -€39m yoy +51% yoy -17% qoq -7% qoq +4% qoq -€320m qoq +32% qoq Margin of 7.9% +230bp yoy +80bp qo
Slide 4: Business Update Q1 2024: Automation is key
Business Update Q1 2024 Automation is key LogiMAT 2024 1 1 Increased number of visitors (+8% yoy to >67k) surpassing pre-pandemic levels (~62k in 2019) Almost sevenfold visitors from overseas vs 2019 New vehicles, automation and safety in visitor‘s focus All KION brands increased their trade
Slide 5: Agenda
Agenda 1. Summary Q1 2024 & Business Update 2. Financial Update 3. Outlook 2024 & Key Takeaways 5 KION GROUP AG | Q1 2024 Update Call | 25 April 2024 | Classification: Public
Slide 6: ITS – Key Financials
ITS – Key Financials Favorable mix drives strong Q1 adj. EBIT and margin 1 Change Change (in €m) Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 yoy qoq Order intake (in ‘000 units) 59.4 62.3 53.0 67.0 59.3 0% -11% Order intake 1,957 2,001 1,757 2,176 1,804 -8% -17% Order book 3,757 3,604 3,366 3,197 2,877
Slide 7: SCS – Key Financials
SCS – Key Financials Continued sequential improvement in profitability 1 Change Change (in €m) Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 yoy qoq Order intake2 454 881 892 779 642 +41% -18% Of which E-commerce (%)3 29% 53% 7% 61% 38% Order book2 2,662 2,823 3,024 2,921 2,778 +4% -5% Revenue 783 714 719
Slide 8: KION Group – Key Financials
KION Group – Key Financials Q1 lays solid foundation for FY2024 1 Change Change (in €m) Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 yoy qoq Order intake2 2,401 2,872 2,641 2,936 2,439 +2% -17% Order book2 6,349 6,351 6,321 6,045 5,588 -12% -8% Revenue 2,781 2,836 2,730 3,086 2,859 +3% -7% Of which servi
Slide 9: Adjusted EBITDA to Net Income
Adjusted EBITDA to Net Income Strongly improved adj. EBIT and net income Q1 Q2 Q3 Q4 Q1 Change Change (in €m) 2023 2023 2023 2023 2024 yoy qoq Comments Adj. EBITDA 390 436 463 460 474 +22% +3% 1 NRI mainly relate to release of D&A -234 -244 -239 -241 -248 -6% -3% provisions in connection to Adj. EBI
Slide 10: Cash Flow Statement
Cash Flow Statement Solid Q1 24 FCF driven by improved EBIT and stable net working capital Free cash flow Q1 2024 Comments (in €m) -1 121 1 211 -140 3 1 NWC remained stable in Q1, -52 139 higher inventories and higher 2 66 trade receivables, almost -88 4 15 -41 entirely compensated by a -42 favorabl
Slide 11: Net Debt
Net Debt Higher LTM adj. EBITDA leads to further improved leverage ratios Indebtedness and leverage1 ratios as at 31 March 2024 Comments (in €m) 2 1.8x 1 Marginal increase in net debt 2 3,278 despite positive FCF due to 1.4x reduction of on-balance 661 factoring 2,618 720 2 Leverage ratios improved
Slide 12: Agenda
Agenda 1. Summary Q1 2024 & Business Update 2. Financial Update 3. Outlook 2024 & Key Takeaways 12 KION GROUP AG | Q1 2024 Update Call | 25 April 2024 | Classification: Public
Slide 13: FY 2024 Outlook
FY 2024 Outlook Outlook confirmed across all KPIs KION Group Industrial Trucks & Services Supply Chain Solutions (in €m) FY 2023 FY 2024 FY 2023 FY 2024 FY 2023 FY 2024 Actuals Outlook Actuals Outlook Actuals Outlook Revenue 11,434 11,200 – 12,000 8,480 8,500 – 9,000 2,997 2,700 – 3,000 change yoy:
Slide 14: Key Takeaways
Key Takeaways Solid financial performance • KION substantially improved adj. EBIT and margin in Q1 2024 • Slow start to the year in order intake as expected in both operating units Strength in automation • Mobile Automation is a key focus for our customers – KION featured its strong competencies at
Slide 15: Q & A Session
Q & A Session 15 KION GROUP AG | Q1 2024 Update Call | 25 April 2024 | Classification: Public
Slide 16: Appendix
Appendix 16 KION GROUP AG | Q1 2024 Update Call | 25 April 2024 | Classification: Public
Slide 17: FY 2024 Assumptions for Guidance
FY 2024 Assumptions for Guidance Slight growth ahead Global Growth expectations of 3.1% (IMF as of 30 January 2024) developed countries 1.5% (Euro area 0.9%, US 2.1%) emerging countries 4.1% (China 4.6%) Assumptions for major currencies quoted against the euro (base currency) USD: 1.10 CNY:
Slide 18: FY 2024 Expectation – Housekeeping Items
FY 2024 Expectation – Housekeeping Items Non-recurring items1 Operating Capex2 … between -€10m to -€20m … between -€400m to -€450m PPA R&D spending3 … around -€90m to -€95m … around 3% of group revenue Net financial expenses … between -€170m to -€200m Dividend policy … 25% to 40% of consolidated net
Slide 19: Change in Presentation of SCS Customer Service Business
FY 2024 – Change in Presentation of SCS Customer Service Business SCS following the ITS methodology Since FY2024, SCS customer service business is aligned with methodology applied in ITS SCS Customer Services order intake exclude Modernizations & Upgrades and equals revenue (like in ITS) Excep
Slide 20: Key Financials
Key Financials Group figures Industrial Trucks & Services Supply Chain Solutions Q1 FY Q4 Q3 Q2 Q1 FY Q1 FY Q4 Q3 Q2 Q1 FY Q1 FY Q4 Q3 Q2 Q1 FY (in €m) 2024 2023 2023 2023 2023 2023 2022 2024 2023 2023 2023 2023 2023 2022 2024 2023 2023 2023 2023 2023 2022 Order intake1 2,439 10,850 2,936 2,641 2,87
Slide 21: Leverage Development and Maturity Profile
Leverage Development and Maturity Profile Leverage ratios improved further in Q1 2024 Leverage development1,2 Maturity profile and free liquidity as at 31 March 2024 (in €m) 4.0x 1.0 0.9 3.2x 0.8 1,635 2.8x 2.8x 3 2.5x 2.4x 0.7 250 1,500 2.4x 2.3x 2.7x 0.6 2.0x 1.9x 1.8x 0.5 1.6x 1.6x 1,000 1.4x 1.4
Slide 22: ITS Order Intake
ITS Order Intake Share of electrified products at 92% in Q1 2024 Development of KION ITS segment Change Order intake Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Change yoy Change qoq FY 2020 FY 2021 FY 2022 FY 2023 yoy Order intake (in ‘000 units) 59.4 62.3 53.0 67.0 59.3 -0% -11% 198.3 299.4 268.2 241.
Slide 23: Industrial Truck Market and ITS Order Intake
Industrial Truck Market and ITS Order Intake KION global market share improved slightly yoy in Q4 23 Industrial Truck Market1 Development of KION ITS segment Region Q1 Q2 Q3 Q4 FY Q1 Regional growth Q1 Q2 Q3 Q4 FY Q1 2 (Change in units yoy) 2023 2023 2023 2023 2023 2024 (Change in units yoy) 2023 20
Slide 24: Global Industrial Trucks market
Global Industrial Trucks market Long-term attractive market returning to slight growth in the course of 2024 Industrial Trucks Market (in ‘000 units)1 ~ +4-6% 2,341 ~ +6% 2,183 2,088 1,638 1,538 1,507 1,395 1,088 1,100 1,182 951 975 944 1,010 855 872 794 704 749 547 2004 2005 2006 2007 2008 2009 201
Slide 25: Global Supply Chains Solutions market
Global Supply Chains Solutions market Long-term attractive market after temporary weakness in 2023 Supply Chain Solutions Market1 Main drivers Revenue estimate in €bn and CAGR in % 2024 Recent challenging market environment expected to continue into 2024. Yet, expected slight growth in 2024 driven b
Slide 26: Global Mobile Automation market
Global Mobile Automation market Market for mobile automation expected to reach ~ €22bn by 2027 Total market size1 KION Group (Revenue in €bn and expected CAGR) One of the leaders in mobile automation2 FY 2023 revenue +30% to ~€200m ~22 KION ensures end-to-end solution offerings by developing mobile
Slide 27: Financial Calendar
Financial Calendar Date Event 14 May 2024 KION @ Berenberg Madrid Seminar, Madrid, Spain 15 May 2024 KION @ Stifel German Corporate Conference, Frankfurt, Germany 22 – 23 May 2024 KION @ Berenberg European Conference Manhattan, New York, USA 22 May 2024 KION @ dbAccess European Champions Conference,
Slide 28: Disclaimer
Disclaimer This document has been prepared by KION GROUP AG (the “Company”, and together with its consolidated subsidiaries, the "KION Group") solely for informational purposes. This disclaimer shall apply in all respects to the entire presentation (including all slides of this document), the oral p