Mayr-Melnhof Karton AG · VIE:MMK
Mayr-Melnhof Karton — H1 2008 Earnings Presentation
19 slides from Mayr-Melnhof Karton's earnings presentation, Aug 19, 2008
Slide 1: Half-Year Results 2008
Mayr-Melnhof Gruppe HALF-YEAR RESULTS 2008 August 19, 2008
Slide 2: Mayr-Melnhof Group
Mayr-Melnhof Group 1 - The world‘s largest producer of recycled fiber based cartonboard - Europe‘s largest manufacturer of folding cartons
Slide 3: Production Sites
Production Sites 2 MM Board Mills (8) MM Packaging Plants (28) ~ 8.470 Employees
Slide 4: Highlights: Half-Year 2008
Highlights: Half-Year 2008 3 • Half-year results as expected slightly below previous year. Profit for the period EUR 55.4 million (HY 1, 07: EUR 59.2 million) • Persistant cost pressure weighs on margin of MM Karton as addressed • MM Packaging stands it‘s grounds
Slide 5: Results 1st Half-Year 2008
M7 7/7 @® RESULTS 18* HALF-YEAR 2008
Slide 6: Consolidated Results 1st HY 2008
Consolidated Results 1st HY 2008 5 consolidated in millions of EUR, IFRS 1st HY 2008 1st HY 2007 +/- Sales 894.9 837.2 +6.9 % Operating profit 80.3 85.5 -6.1 % Operating margin 9.0 % 10.2 % Profit before tax 81.3 87.1 -6.7 % Income tax expense (25.9) (27.9) Profit for the year 55.4 59.2 -6.4 % % Sal
Slide 7: Sales by Region
Sales by Region 6 Western Europe 68% Eastern Europe 24% Asia Other 4% 4%
Slide 8: Consolidated Balance Sheet
Consolidated Balance Sheet 7 consolidated in millions of EUR, IFRS June 30, 2008 Dec. 31, 2007 Non-current assets 641.8 675.8 Current assets 817.0 857.7 Total assets 1,458.8 1,533.5 Equity 919.0 933.9 Liabilities 539.8 599.6 Total equity and liabilities 1,458.8 1,533.5 Total funds available to the G
Slide 9: Consolidated Cash Flow Statement
Consolidated Cash Flow Statement 8 consolidated in millions of EUR, IFRS 1st HY 2008 1st HY 2007 Cash Flow from operating activities 68,7 52,7 Cash Flow from investing activities (88,3) (15,3) Cash Flow from financing activities (111,4) (56,9) Cash and cash equivalents beg. of period 350,5 292,4 Net
Slide 10: MM Group - Quarters
MM Group - Quarters 9 Sales Operating margin % 500 16% 450 14% 400 350 12% 300 10% 250 8% 200 6% 150 4% 100 50 2% 0 0% I/06 II/06 III/06 IV/06 I/07 II/07 III/07 IV/07 I/08 II/08
Slide 11: Mayr-Melnhof Karton
10 MAYR-MELNHOF KARTON
Slide 12: MM Karton: 1st Half-Year 2008
MM Karton: 1st Half-Year 2008 11 • Customers plan clearly shorter-term • Good sales performance and stable order during first months • Average capacity utilization 96 % (HY 1, 2007: 97 %) - Utilitation rate clearly below average by end Q2 - Market related downtime • Significant increase in cost - cr
Slide 13: MM Karton: Results 1st HY 2008
MM Karton: Results 1st HY 2008 12 in millions of EUR, IFRS 1st HY 2008 1st HY 2007 +/- Sales 470.3 449.3 +4.7 % Operating profit 30.5 36.8 -17.1 % Operating margin 6.5% 8.2% Tonnage sold (in 000‘s of tons) 848 820 +3.4 % Tonnage produced (in 000‘s of tons) 857 830 +3.3 %
Slide 14: MM Karton: Quarters
MM Karton: Quarters 13 Sales Operating margin % 250 16% 14% 200 12% 150 10% 8% 100 6% 4% 50 2% 0 0% I/06 II/06 III/06 IV/06 I/07 II/07 III/07 IV/07 I/08 II/08
Slide 15: Mayr-Melnhof Packaging
L) ER oe 14 MAYR-MELNHOF PACKAGING
Slide 16: MM Packaging: 1st Half-Year 2008
MM Packaging: 1st Half-Year 2008 15 • Growth faster than market - Implementation of new contracts • Economic slowdown affects also folding carton industry • Cost-inflation so far successfully met - Productivity gains, improved material efficiency • Increase in sales and earnings
Slide 17: MM Packaging: Results 1st HY 2008
MM Packaging: Results 1st HY 2008 16 in millions of EUR, IFRS 1st HY 2008 1st HJ 2007 +/- Sales 495.9 463.1 +7.1 % Operating profit 49.8 48.7 +2.3 % Operating margin 10.0 % 10.5 % Tonnage processed (in 000‘s of tons) 336 319 +5.3 %
Slide 18: MM Packaging: Quarters
MM Packaging: Quarters 17 Sales Operating margin % 250 16% 14% 200 12% 150 10% 8% 100 6% 4% 50 2% 0 0% I/06 II/06 III/06 IV/06 I/07 II/07 III/07 IV/07 I/08 II/08
Slide 19: Outlook
Outlook 18 • No improvement of markets but reversal of trend at costs expected by year-end • Cost pressure – increase in crude oil related input factors • Cartonboard price increase in autumn • Ongoing selective board machine downtime • MM Packaging – cost cutting by productivity increase • Focus on