Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 0
Analyst Conference FY 2013/2014
Bertrandt AG
Dietmar Bichler, CEO
Markus Ruf, CFO
Frankfurt am Main, December 11th, 2014
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 1
Welcome to the analyst conference 2014 of Bertrandt AG
CHANGE.
KNOWLEDGE.
GROWTH.
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 2
Positive development of the most important business ratios (1/2)
Revenues*(EUR million)
Operating *(EUR million)
Earnings after income tax*(EUR million)
*Financial indicators refer to the Group | Prior period comparative figures have been restated to reflect the amendments to IAS 19 if necessary
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 3
Capital spending*(EUR million)
Employees*
Positive development of the most important business ratios (2/2)
Dividend per share**(EUR)
*Financial indicators refer to the Group | **Dividend proposed by the Management and the Supervisory Board
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 4
Agenda
1. Fiscal year 2013/2014 – General framework
2. Fiscal year 2013/2014 – Figures
3. Fiscal year 2014/2015 – Outlook
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 5
Automotive industry with a successful year 2013/2014
Global new vehicle sales rose again in 2013
World market is growing by 5% to 72.2 million units
German automotive industry increases sales in
2013 by approx. one percent to EUR 361.6 billion
Higher spending on R&D,
outsourcing volume expanded again
Persistent technical trends
Environment-friendliness
Powertrain & Lightweight
Safety
Driver assistance systems & Connectivity
Variety of models & variants
Module-/Plattformstrategies
Source: VDA
Automotive
73%68%
27%
32%
0
5
10
15
20
25
30
35
2012 2013
22
27
Internal
R&D spending
Outsourced
R&D spending
R&D spending of the
German automotive industry(EUR billion)
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 6
German aerospace industry with continued growth in 2013
Industry sales increased by 7.8% to EUR 30.6 billion
Expenditures for R&D at a high level
Full orderbook at Airbus
Increased production rates in
almost all Aircraft programs
Focus on the optimization of existing models
Reduction of noise-, air pollution-
& greenhouse gas emissions
Increasing safety & comfort on board
Improving resource efficiency & cost-effectiveness
Aerospace
Source: BDLI | Airbus
4,44,6
0
1
2
3
4
5
6
2012 2013
R&D spending of the
German aerospace industry(EUR billion)
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 7
Challenging conditions for technological key sectors
Development of the German industry
remained largely behind expectations
Slugging orders because of the
global economic slowdown
Effects of political & economic risks,
especially due to the Ukraine crisis
Delay in implementing the
turnaround in energy policy
Exception medical technology
Since 2009 stable sales growth, in 2013 by 2.2%
Strong market position of German medical
technology products in the world market
Source: VDMA | ZVEI | Spectaris
Industry
206,9 205,8
0
100
200
300
2012 2013
Sales of the German
mechanical engineering sector(EUR billion)
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 8
Bertrandt improved market position in FY 2013/2014 successfully
Revenues & operating profit rose
Increasing volume development
Trend to larger working packages
Intact market trends
Stable financial situation
Enables sustainable investments
as a basis for future growth
Success factors
Entire development process
Decentralized structure
Customized and consistent services
Extensive interface competence
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 9
Agenda
1. Fiscal year 2013/2014 – General framework
2. Fiscal year 2013/2014 – Figures
3. Fiscal year 2014/2015 – Outlook
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 10
Revenues increased repeatedly
*Financial indicators refer to the Group
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 11
Operating profit stays on a high level
EBIT-
Margin*10.2% 10.5% 10.6% 10.4% 10.2%
*Financial indicators refer to the Group | Prior period comparative figures have been restated to reflect the amendments to IAS 19 if necessary
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 12
Revenues rose in all segments
9.5% 9.2% 11.8% 12.0%EBIT-
Margin*11.5%11.4%
*Financial indicators refer to the Group | Prior period comparative figures have been restated to reflect the amendments to IAS 19 if necessary
Physical Engineering*(EUR million)
Digital Engineering*(EUR million)
Electrics/Electronic*(EUR million)
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 13
Expenses rose due to the increased business volume
Expenditure
ratio* 8.2%8.0% 71.7%71.6% 2.5%2.5%
*Financial indicators refer to the Group | Prior period comparative figures have been restated to reflect the amendments to IAS 19 if necessary
Material expenses* (EUR million)
Personnel expenses* (EUR million)
Depreciation* (EUR million)
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 14
Earnings after income tax improved again
Earnings
per share*3.11 EUR 4.18 EUR 5.14 EUR 5.69 EUR 6.19 EUR
*Financial indicators refer to the Group | Prior period comparative figures have been restated to reflect the amendments to IAS 19 if necessary
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 15
Equity increased further by consistent reinvestment
Equity ratio* 56.4% 56.3% 56.3% 59.4%58.5%
*Financial indicators refer to the Group | Prior period comparative figures have been restated to reflect the amendments to IAS 19 if necessary
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 16
Net finance income positive
*Financial indicators refer to the Group | Prior period comparative figures have been restated to reflect the amendments to IAS 19 if necessary
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 17
Cash flow from operating activities rose due to the increased business volume
*Financial indicators refer to the Group | Prior period comparative figures have been restated to reflect the amendments to IAS 19 if necessary
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 18
Forward-looking investments will ensure further growth
*Financial indicators refer to the Group
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 19
Examples for investments in FY 2013/2014
Technical testing centre in Mönsheim
Test systems for environmental simulation,
e-mobility & powertrain components
Electronics competence center in Tappenbeck
Testing facilities for interactive electronics, electrical
systems, system integration, electric powertrain &
infotainment
Acoustics center in Ingolstadt
Acoustic roller dynamometer for measuring noise,
vibration & harshness as well as sound design of
e-mobility
Safety competence center in Munich
E-liner-system for tests of parts & modules
concerning acceleration/deceleration
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 20
Free Cash flow stays positive despite the high level of investment
*Financial indicators refer to the Group
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 21
Number of employees at all-time high
*Financial indicators refer to the Group
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 22
Sustainable dividend policy will be continued
*Dividend proposed by the Management and the Supervisory Board
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 23
Agenda
1. Fiscal year 2013/2014 – General framework
2. Fiscal year 2013/2014 – Figures
3. Fiscal year 2014/2015 – Outlook
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 24
Economic outlook for 2015 entails uncertainty
Further global economic growth anticipated
Progress & impact of the current
geopolitical tensions remain uncertain
Slow recovery in Europe
Reluctance of companies to invest
Slight positive outlook for Germany
GDP growth around 1.2%
Possible reinforcing stimulus by foreign trade
Source: Joint Economic Forecast Project Group on behalf of the German Federal Ministry of Economics and Technology
2,6%
3,0%
0%
1%
2%
3%
4%
2014 2015
Forecast global GDP
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 25
Core business automotive industry with potential for further growth
Global new vehicle sales should continue to rise
2015 increase by 2% to 76.4 million units
Automotive industry continues
high spending on R&D
Achieving the legal CO2 regulations requires
technologically sophisticated solutions
Outsourcing in Europa shall rise by 19% until 2020
Consolidation amongst engineering
service providers expectetd
Trend towards larger working packages –
higher levels of complexity & responsibility
Source: Roland Berger Strategy Consultants | VDA | Berylls
6,2
7,4
0
2
4
6
8
10
2014 2020
European market for engineering
services in the automotive industry(EUR billion)
Automotive
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 26
Fleet growth and modernization requirements in civil aviation continue
Source: Airbus
Airbus forecasts annual growth
of 3.8% for civil aircraft by 2033
Current market value is about EUR 3.5 trillion
Sustainability & comfort characterize
technological development trends
Aerodynamic redesign of the hull
Alternative materials & structures for less weight
New engine technologies for reduced
fuel consumption and alternative fuels
Hybridization for greater energy efficiency,
e.g. fuel cells for on-board systems
Individualization of cabin design
Connectivity for passengers
even during flight operations
16.8
55
4.2
63
12.5
92
17.9
63
0
5.000
10.000
15.000
20.000
25.000
30.000
35.000
40.000
2014 2033
Passenger aircraft
in service
Replaced
Stay in service
& converted
Growth
Aerospace
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 27
Industry 4.0 − Huge potential for value creation waiting to be tapped
Source: The Fraunhofer Institute for Industrial Engineering IAO
Industry
Ambition is the intelligent networking of products
& processes in the technological value added
Allows to generate additional benefit
by more efficient or new processes
For the six key industries in Germany an
additional value creation of EUR 70 billion
is expected until 2025
Innovative products, new services and business
models and efficient operational processes
Potential can only be realized through close
interaction between electrical, mechanical & IT
343.3
422.1
0,0
100,0
200,0
300,0
400,0
500,0
600,0
2013 2025
Potential for the gross value
added by Industry 4.0 in the
German industry(EUR billion)
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 28
FY2014/2015 with more business opportunities for Bertrandt
Good cross-sectoral demand for engineering services
Seize the opportunity out of the
new contract award strategy
Ongoing technologival investments on a high level
Continuous focus on current &
prospective customer requirements
Increase corporate value permanently & sustainable
Consolidate & expand market position as a engineering
service provider and technology group
Assuming that
underlying conditions remain on a favourable trend
carmakers keep their R&D spending at a high level
development work continues to be outsourced &
ample qualified personnel is available
Bertrandt expects ongoing growth in its revenues & earnings
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 29
Overview – Our financial calendar in FY 2014/2015
16.02.2015 Report on the 1st quarter FY 2014/2015
18.02.2015 General meeting in Sindelfingen
20.05.2015 10th Capital Market Day in Ehningen &
Report on the 2nd quarter FY 2014/2015
12.08.2015 Report on the 3th quarter FY 2014/2015
10.12.2015 Annual report 2014/2015 &
Annual press and analysts´ conference FY 2014/2015
17.02.2016 General meeting in Sindelfingen
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 30
Thank you for you attention!
Analyst Conference FY 2013/2014 | Bertrandt AG 11 December 2014 | BI/MR 31
Legal notice
This presentation contains inter alia certain foresighted statements about future
developments, which are based on current estimates of management. Such
statements are subjected to certain risks and uncertainties. If one of these factors of
uncertainty or other imponderables should occur or the underlying accepted
statements proved to be incorrent, the actual results could deviate substantially from
or implicitly from the expressed results specified in these statements We have neither
the intetion nor do we accept the obligation of updating foresighted statements
constantly since these proceed exclusively from the circumstances on the day of their
publication.
As far as this presentation refers to statements of third parties, in particular analyst
estimations, the organisation neither adopts these, nor are these rated or commented
thereby in other ways, nor is the claim laid to completeness in this respect.