JOST Werke SE · XETR:JST
JOST Werke — Q2 2020 Earnings Presentation
22 slides from JOST Werke's earnings presentation, Aug 13, 2020
Slide 1: Results Q2 2020
JOST WERKE AG – AUGUST 13, 2020 RESULTS Q2 2020 JOACHIM DÜRR (CEO) & CHRISTIAN TERLINDE (CFO)
Slide 2: Disclaimer
Disclaimer THIS PRESENTATION IS CONFIDENTIAL AND MUST NOT BE RELEASED, PUBLISHED, TRANSMITTED OR DISTRIBUTED, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, INTO OR WITHIN THE UNITED STATES OF AMERICA, CANADA, AUSTRALIA, JAPAN OR ANY JURISDICTION WHERE SUCH DISTRIBUTION IS UNLAWFUL. This presentation
Slide 3: Key Developments – Q2 2020
Key Developments – Q2 2020 Post merger integration of Ålö on track: Profitability improvements in line with expectations despite headwinds from pandemic. Ålö raised group’s sales by €46m in Q2 with an adj. EBIT margin of 12.8 % Severe Covid-19 pandemic impact on Q2 operations: Including Ålö’s acquis
Slide 4: Market Development Q2 2020 vs. Q2 2019
Market Development Q2 2020 vs. Q2 2019 EUROPE NORTH AMERICA APA Q2 heavy truck production Class 8 production massively Strong recovery of Chinese TRUCK -57% strongly impacted by OEM -76% down due to OEM plant -10% demand boosted Q2 truck plant shutdowns in April. closures in April and May production
Slide 5: Key Financials Q2 2020
KEY FINANCIALS Q2 2020 5 JOST Werke AG – ANALYSTS’ AND INVESTORS’ PRESENTATION Q2 2020 – AUGUST 13, 2020
Slide 6: Group
Group KEY FINANCIALS OVERVIEW KEY HIGHLIGHTS Reported -8.6% -13.3% • Organic sales (excl. Ålö) contracted by -36% to € 128m in Q2. Including Ålö, Growth reported group sales declined only by -13% to € 175m in Q2. Organic -27.6% -35.5% • The spread of the coronavirus pandemic disrupted business in Q2
Slide 7: Europe
Europe KEY FINANCIALS OVERVIEW KEY HIGHLIGHTS Reported -5.6% -11.1% • Ålö improved JOST’s European sales in Q2 with additional €32m (+28%), Growth partially offsetting the extremely weak demand with truck and trailer OEMs. Organic -28.5% -38.1% • With Ålö, reported sales for JOST in Europe only decl
Slide 8: North America
North America KEY FINANCIALS OVERVIEW KEY HIGHLIGHTS • Ålö contributed €14m revenues to JOST’s North American business (+30%), Reported -5.2% -19.8% Growth partly compensating the extremely low demand for trucks and trailers. Thus, Organic reported sales only contracted by -20% to €37m in Q2 2020. -
Slide 9: Asia-Pacific-Africa
Asia-Pacific-Africa KEY FINANCIALS OVERVIEW KEY HIGHLIGHTS Reported -22.1% -12.6% • JOST’s sales in China grew significantly during Q2, reaching an all-time high, Growth which partially offset the strong drop in demand in India and South Africa. Organic These two countries suffered from up to 6 week
Slide 10: Impact of Ålö's Acquisition on Exceptionals
Impact of Ålö's Acquisition on Exceptionals EXCEPTIONALS (IN M€) KEY HIGHLIGHTS • During Q2 2020 the major adjustments came from non- -13.3m -22.4m -6.6m -10.1m operational D&A from PPA amounting to €-7.3m. Thereof -0.4 €-1.1m result from Ålö's PPA; the remaining €-6.2m stem from -1.2 JOST’s histori
Slide 11: Development of Earnings After Taxes and EPS
Development of Earnings After Taxes and EPS RECONCILIATION OF ADJUSTED EARNINGS Q2 2020 (IN M€) KEY HIGHLIGHTS • In Q2 2020 reported net income amounted to €5m (Q2 2019: €9.1m) and was influenced by positive taxes as well as a positive finance result. 3 -4 14 • The negative effect from unrealized cu
Slide 12: Development of Equity Ratio and Net Debt
Development of Equity Ratio and Net Debt BALANCE SHEET OVERVIEW AS AT JUNE 30, 2020 COMMENTARY 18.4% • The increase in financial liabilities due to the acquisition of Ålö led to a reduction of ROCE1 ROCE and equity ratio as well as to an increase of net debt and leverage, compared to (%) 9.4% year-e
Slide 13: Strong Cash Generation Profile Remained Intact Despite Lower Sales
Strong Cash Generation Profile Remained Intact Despite Lower Sales CASH FLOW OVERVIEW IN Q2 2020 COMMENTARY Cash conversion2 87.1% 80.7% Free cash flow 16.1 • Cash conversion rate remained strong at 80.7% despite the decrease in 12.1 (€m) adj. EBITDA during Q2 2020. The EBITDA reduction was mostly d
Slide 14: Outlook 2020
Outlook 2020 14 JOST Werke AG – ANALYSTS’ AND INVESTORS’ PRESENTATION Q2 2020 – AUGUST 13, 2020
Slide 15: Market Outlook for FY 2020
Market Outlook for FY 2020 EUROPE NORTH AMERICA APA TRUCK (35) – (30)% (55) – (50)% (15) – (10)% Demand for heavy duty trucks Production of class 8 trucks extremely Market expectations for APA improved expected to improve slightly in H2. low. Dealer channels full. due to a strong recovery in China,
Slide 16: Coronavirus pandemic impact on JOST's business
Coronavirus pandemic impact on JOST’s business JOST current observations – situation is extremely dynamic and changes rapidly EUROPE NORTH AMERICA APA All European truck OEMs back in All truck OEMs open but producing on very Truck market in China up to August with TRUCK production. Production volume
Slide 17: Outlook for 2020 temporarily suspended
Outlook for 2020 temporarily suspended • JOST currently expects Q2 2020 to be the quarter most negatively affected by the economic impact of the pandemic. • Market signs point to a recovery in most regions from Q3 2020 onwards. • A dependable update of the outlook will be more likely after OEMs are
Slide 18: Executive Summary
Executive Summary Q2 2020 strongly affected by spread of the coronavirus pandemic in Europe and the Americas. Strong Chinese market recovery and additional agricultural business partially offset this effect. Ålö’s strong business performance in Q2 supported sales and raised consolidated adj. EBIT ma
Slide 19: Q&A Appendix
Q&A Appendix Further information 19 JOST Werke AG – ANALYSTS’ AND INVESTORS’ PRESENTATION Q2 2020 – AUGUST 13, 2020
Slide 20: Development of JOST's Sales and Adjusted EBIT by Quarter
Development of JOST’s Sales and Adjusted EBIT by Quarter SALES (€m) ADJ. EBIT (€m) 199 202 192 190 191 187 187 181 181 178 175 166 172 171 168 149 147 157 23.7 23.9 22.7 22.5 21.8 21.3 20.3 20.6 19.5 19.0 16.8 15.9 14.1 14.3 12.6 10.4 11.2 11.1 12.0% 12.5% 12.0% 12.5% 11.2% 12.0% 11.2% 11.4% 10.8% 1
Slide 21: Shareholder Structure and Share Information
Shareholder Structure and Share Information SHAREHOLDER STRUCTURE AS OF AUGUST 13, 2020 1 SHARE INFORMATION ISIN DE000JST4000 Trading symbol JST 18.0% Allianz Global Investors German Sec. Code Number (WKN) JST400 50.2% Mondrian Shares in issue 14,900,000 Pelham Index SDAX Universal-Investment-Gesell
Slide 22: Financial Calendar 2020 Contact
Financial Calendar 2020 Contact Aug. 13 Publication of Q2 2020 Report Investor Relations Contact: Aug. 20 Montega HIT Conference, Hamburg/Germany ROMY ACOSTA Aug. 27 Virtual Road Show Head of Investor Relations Sept. 2 Commerzbank Sector Conference 2020 (virtual) Sept. 22 Baader Investment Conferenc