Alfa Laval Ab · OMXSTO:ALFA
Alfa Laval Ab — Q3 2011 Earnings Presentation
38 slides from Alfa Laval Ab's earnings presentation, 2011
Slide 1: Alfa Laval
Slide 2: Report for Q3 2011
Report for Q3 2011 - Orders received and margins - Highlights - Development per segment - Geographical development - Financials - Outlook Mr. Lars Renström President and CEO Alfa Laval Group
Slide 3: Key figures
Key figures July – September 2011 Orders received rose 31% to SEK 8,018 million. Net sales increased 30% to SEK 7,571 million. Adjusted EBITA up 25% at SEK 1,431 million. Adjusted EBITA margin 18.9% vs 19.6% - Negative currency effect SEK 114 million. January – September 2011 Orders received rose 25
Slide 4: Orders received
Orders received SEK million SEK million R 12 8 000 32 000 7 000 28 000 6 000 24 000 5 000 20 000 4 000 16 000 3 000 12 000 2 000 8 000 + 37% +9% +38% + 32% -30% +8% -32% -37% -9% +25% +23% +23% 0% -15% -6% +30% -3% 1 000 4 000 0 0 Q310 Q309 Q409 Q210 Q109 Q209 Q110 Q208 Q408 Q211 Q407 Q410 Q311 Q307
Slide 5: Order analysis
Order analysis July – Sep 2011 2010 (SEK millions) 6,134 Structural change, % + 16.1 Currency effects,% - 6.6 Organic development, % + 21.2 Total, % + 30.7 2011 (SEK million) 8,018 © Alfa Laval Slide 5 www.alfalaval.com
Slide 6: Adjusted EBITA / margin
Adjusted EBITA / margin * SEK millions and in percent of sales 1 800 24,0 1 575 21,0 1 350 18,0 1 125 15,0 900 12,0 675 9,0 450 6,0 225 3,0 0 0,0 Q308 Q408 Q109 Q209 Q309 Q409 Q110 Q210 Q310 Q410 Q111 Q211 Q311 * Adjusted EBITA – ”Earnings before interests, taxes, amortization of goodwill and step u
Slide 7: Interim Report Q3 2011
Interim Report Q3 2011 - Orders received and margins - Highlights - Development per segment - Geographical development - Financials - Outlook Mr. Lars Renström President and CEO Alfa Laval Group
Slide 8: Highlights during the quarter
Highlights during the quarter Total large orders SEK 525 Mln (270 Mln Mln)) Order from petrochemical plant in Singapore. Alfa Laval will supply Packinox heat exchangers to be used in a catalytic processing section. The order is worth approximately SEK 110 million and delivery is scheduled for 2012.
Slide 9: Highlights during the quarter
Highlights during the quarter Total large orders SEK 525 Mln (270 Mln Mln)) Order from petrochemical plant in Singapore. Heat exchanger order from South Korean contractor. Order for heat exchangers to be installed in the UAE’s first nuclear power plant .The order is worth approximately SEK 60 millio
Slide 10: Highlights during the quarter
Highlights during the quarter Total large orders SEK 525 Mln (270 Mln Mln)) Order from petrochemical plant in Singapore. Heat exchanger order from South Korean contractor. Energy efficiency order in China. Order to supply compact heat exchangers to a value of approximately SEK 50 million, to a petro
Slide 11: Highlights during the quarter
Highlights during the quarter Total large orders SEK 525 Mln (270 Mln Mln)) Order from petrochemical plant in Singapore. Heat exchanger order from South Korean contractor. Energy efficiency order in China. Natural gas order in the Middle East. Order for heat exchangers from a Japanese engineering co
Slide 12: Highlights during the quarter
Highlights during the quarter Total large orders SEK 525 Mln (270 Mln Mln)) Order from petrochemical plant in Singapore. Heat exchanger order from South Korean contractor. Energy efficiency order in China. Natural gas order in the Middle East. Processing line for baby food production in India. The o
Slide 13: Highlights during the quarter
Highlights during the quarter Total large orders SEK 525 Mln (270 Mln Mln)) Order from petrochemical plant in Singapore. Heat exchanger order from South Korean contractor. Energy efficiency order in China. Natural gas order in the Middle East. Processing line for baby food production in India. Energ
Slide 14: Highlights during the quarter
Highlights during the quarter Total large orders SEK 525 Mln (270 Mln Mln)) Order from petrochemical plant in Singapore. Heat exchanger order from South Korean contractor. Energy efficiency order in China. Natural gas order in the Middle East. Processing line for baby food production in India. Energ
Slide 15: Interim report Q3 2011
Interim report Q3 2011 - Orders received and margins - Highlights - Development per segment - Geographical development - Financials - Outlook Mr. Lars Renström President and CEO Alfa Laval Group
Slide 16: Orders received by customer segment
Orders received by customer segment Process Technology Division July – September 2011, at constant rates Oil & Gas lifted by continued capacity--related investments capacity Continued high activity for Process Industry + Process Industry Very strong development in Food Technology Energy & Environmen
Slide 17: Orders received by customer segment
Orders received by customer segment Equipment Division, July – September 2011, at constant rates = Industrial Equipment + Marine & Diesel − OEM Sanitary and OEM affected by the macroeconomic − Sanitary uncertainty Continued strong development for Marine & Diesel = Parts & Service © Alfa Laval Slide
Slide 18: Orders received by customer segment
Orders received by customer segment January – September 2011, at constant rates Process Industry + + Industrial Equipment Energy & Environment + + Marine & Diesel Food + + OEM Parts & Service + + Sanitary © Alfa Laval Slide 18 www.alfalaval.com
Slide 19: Interim Report Q3 2011
Interim Report Q3 2011 - Orders received and margins - Highlights - Development per segment - Geographical development - Financials - Outlook Mr. Lars Renström President and CEO Alfa Laval Group
Slide 20: Orders received by Region
Orders received by Region July – September 2011, at constant rates +36 +32 +9 Centr.. & East 7 % Centr +64 +30 © Alfa Laval Slide 20 www.alfalaval.com
Slide 21: Highlights Americas
Highlights Americas July – September 2011, at constant rates North America +9 Oil & Gas lifted by continued capacity investments Base business had a good development as did Parts & Service +30 Latin America Growth reported for both divisions Particularly strong development in Process Industry, Food
Slide 22: Highlights Europe
Highlights Europe July – September 2011, at constant rates +36 +32 Western Europe incl. Nordic Continued growth in the base business Industrial Equipment , Marine & Diesel and Process Industry performed the best Central and Eastern Europe Process Industry, Marine & Diesel and Food did particularly w
Slide 23: Highlights Asia
Highlights Asia July – September 2011, at constant rates Asia Process Technology boosted by good project activity Marine showed continued growth Geographically the increase was broad--based broad © Alfa Laval Slide 23 www.alfalaval.com
Slide 24: Orders received by Region
Orders received by Region Jan – September 2011, at constant rates +24 +41 +23 +54 Asia 35 % +43 © Alfa Laval Slide 24 www.alfalaval.com
Slide 25: Interim Report Q3 2011
Interim Report Q3 2011 - Orders received and margins - Highlights - Development per segment - Geographical development - Financials - Outlook Mr. Thomas Thuresson CFO Alfa Laval Group
Slide 26: Highlights
Highlights SEK millions July – September 2011 Order intake 8,018 Net sales 7,571 © Alfa Laval Slide 26 www.alfalaval.com
Slide 27: Gross profit margin
Gross profit margin In percent of sales 50 41.7 40.6 38.3 40 38.0 30 20 Q308 Q408 Q109 Q209 Q309 Q409 Q110 Q210 Q310 Q410 Q111 Q211 Q311 © Alfa Laval www.alfalaval.com
Slide 28: Highlights
Highlights SEK millions July – September 2011 Order intake 8,018 Net sales 7,571 Adjusted EBITA 1,431 Adjusted EBITA- EBITA-margin 18.9% Profit before tax 1,113 © Alfa Laval Slide 28 www.alfalaval.com
Slide 29: Earnings per share
Earnings per share July – Sep. Jan – Sep. 2011 2010 2011 2010 Earnings 1.84 1.78 5.47 5.20 Earnings, excluding step step--up 2.05 1.95 5.99 5.70 © Alfa Laval Slide 29 www.alfalaval.com
Slide 30: Highlights
Highlights SEK millions July – Sep. 2011 Order intake 8,018 Net sales 7,571 Adjusted EBITA 1,431 Adjusted EBITA- EBITA-margin 18.9% Profit before tax 1,113 Cash flow from operating activities 1,031 ROCE 31.8% ROE 23.5% © Alfa Laval Slide 30 www.alfalaval.com
Slide 31: Cash-flow statement
Cash--flow statement Cash Jan – Sep. Jan – Sep. SEK millions 2011 2010 Cash flow from - operating activities +2138 +3,017 - investing activities - 5,236 - 646 Financial net paid + 141 - 10 Total -2,957 2,361 Pro Forma Free cash cash--flow flow** 1,996 2,780 *Incl. operating activities, capital expen
Slide 32: Proposal to delist Alfa Laval India Ltd.
Proposal to delist Alfa Laval India Ltd. •On Sept. 19th, Alfa Laval announced the aim to achieve full ownership of its subsidiary Alfa Laval India Ltd and seek delisting. • To be able to complete the acquisition, two thirds of all minority shareholders, participating in a postal ballot, must back th
Slide 33: Foreign exchange
Foreign exchange Estimated impact on adjusted EBITA from FX fluctuations SEK million Q3 11 9M 11 WY 11 WY 12* Translation effect -65 -267 - 200 - Transaction effect -49 -121 -210 -180 Total -114 -388 -410 -180 *Based on EUR/USD 1.34 and EUR/SEK 9.20 Projected FX- FX-effect for 2011 as communicated w
Slide 34: Order backlog as per Sep. 30
Order backlog as per Sep. 30 SEK millions 16000 15,068 13,192 14000 11,689 12000 10000 7,705 5,751 8,650 8000 6000 5,487 5,938 6,418 4000 2000 0 2009 2010 2011 For delivery later than 2011 For delivery in 2011 © Alfa Laval Slide 34 www.alfalaval.com
Slide 35: Sales
Sales Full year 2011 SEK (bln (bln)) Full year 2010 24.7 FX- FX-translation - 1.5 Subtotal 23.2 Orders “in- “in-for- for-out” ? Price ? Acquisitions (incl (incl Olmi Olmi)) + 0.7 Aalborg (8 months as 2010) + 2.0 Full year 2011 www.alfalaval.com
Slide 36: Interim Report Q3 2011
Interim Report Q3 2011 - Orders received and operating margin - Highlights - Development per segment - Geographical development - Financials - Outlook Mr. Lars Renström President and CEO Alfa Laval Group
Slide 37: Outlook for the fourth quarter
Outlook for the fourth quarter “We expect that demand during the fourth quarter 2011 will be in line with or somewhat lower than in the third quarter.” © Alfa Laval Slide 37 www.alfalaval.com
Slide 38: www.alfalaval.com
© Alfa Laval Slide 38 www.alfalaval.com