Voestalpine Ag · VIE:VOE
Voestalpine — 1H FY2009/10 Earnings Presentation
17 slides from Voestalpine's earnings presentation, November 2009
Slide 1: Financial Year 2009/10 2nd Quarter, 1st Half
Financial Year 2009/10 2nd Quarter, 1st Half Investor Relations November 2009 voestalpine AG www.voestalpine.com
Slide 2: Back on track after successful crisis management
Back on track after successful crisis management Steel Special Steel Railway Systems Profilform Automotive Top European Global Global Global Top European player leadership leadership leadership player Delta 1Q 2009/10 2Q 2009/10 1H 2008/09 1H 2009/10 YoY in % 1Q –2Q Sales 2,074 €mX 2,068 €mX 0 %XX 6
Slide 3: Overview economic situation
voestalpine group Overview economic situation n Economic downturn bottomed out in 1Q FY 2009/10 n State of shock overcome n Stabilization in major business segments during summer n Energy business deteriorated with time lag effect n Stabilization and improved expectations for 2H FY 2009/10 n Utiliza
Slide 4: Division Steel – Business development 1st Half FY 09/10
Division Steel – Business development 1st Half FY 09/10 n Stabilization of business environment starting before summer Division Steel in figures n Average utilization rate Jan.-Aug. 2009 ~75%, Sept.-Nov. 100% n Stocks on normal / low levels Sales EBIT EBIT n Increasing demand in particular from auto
Slide 5: Division Special Steel – Business development 1st Half FY 09/10
Division Special Steel – Business development 1st Half FY 09/10 n Weak business environment in all major customer segments till Division Special Steel in figures* September n High Performance Metals, Precision Strip and Forging units under Sales EBIT EBIT (€m) (€m) (%) pressure 1Q n Welding subdivis
Slide 6: Division Railway Systems – Business development 1st Half FY 09/10
Division Railway Systems – Business development 1st Half FY 09/10 n Solid business development for rails and switches Division Railway Systems in figures n Only limited effects (North America and CEE) from economic downturn due to extended infrastructure projects EBIT EBIT Sales (€m) (€m) (%) n Util
Slide 7: Division Profilform – Business development 1st Half FY 09/10
Division Profilform – Business development 1st Half FY 09/10 n Moderately improved business environment Division Profilform in figures n Slightly enhanced demand from restocking Sales EBIT EBIT (€m) (€m) (%) n Ongoing general difficult situation in building, machine building and 1Q 174 -2 -1.3 comme
Slide 8: Division Automotive – Business development 1st Half FY 09/10
Division Automotive – Business development 1st Half FY 09/10 n Negative trend in European Automotive industry slowing down Division Automotive in figures n European car production down 25 % (YTD) compared to last year. Some positive effects from “Scrapping premium” - in Sales EBIT EBIT (€m) (€m) (%)
Slide 9: Financial overview
Financial overview voestalpine AG www.voestalpine.com
Slide 10: Financial highlights
voestalpine group Financial highlights n Cost n Fast cost cutting measures resulted in ca. 230 €m cost reductions in 1H FY 2009/10 n 400 €m target for full FY 2009/10, ca. 65% sustainable n Capex n Capex cut down from ~ 1,030 €m (original plan) to 600 €m for FY 2009/10 n Depreciation level of ~ 550
Slide 11: Consolidated overview
voestalpine group Consolidated overview 1H 1H YoY 2008/09 2009/010 in % Sales €m 6,486 4,141 -36.2 % EBITDA €m 1,143 369 -67.7 % % of Sales % 17.6 8.9 EBIT €m 786 46 -94.1 % % of Sales % 12.1 1.1 EBT €m 659 -38 Net Profit €m 519 -20 EPS* € 2.94 -0.35 Investments** €m 467 276 -41 % Depreciation €m 35
Slide 12: EBIT Development 1H 2008/09 vs. 1H 2009/10
voestalpine group - EBIT Development 1H 2008/09 vs. 1H 2009/10 786 €m EBIT -358 €m 12.1% 75 €m 46 €m 230 €m -20 €m -11 €m EBIT 238 €m 1.1% -894 €m Mix/ Raw 1H 2008/09 Price Volume materials Savings Restructuring Misc. ∆ ppa 1H 2009/10 voestalpine AG 12 | November 2009 | Investor Relations
Slide 13: Cash flow 1H 2008/09 vs 1H 2009/10
voestalpine group Cash flow 1H 2008/09 vs 1H 2009/10 1H 2008/09 1H 2009/10 Cash flow from result €m 829 224 Changes in working capital €m -338 488 Cash flow from operating activities €m 491 712 Cash flow from investing activities €m -460 -356 Free Cash flow €m 31 356 voestalpine AG 13 | November 200
Slide 14: Development Gearing ratio
voestalpine group Development Gearing ratio 4,289 4,263 4,230 4,002 *) 3.762 3,810 3,602 3.571 88% 90% 90% 2,882 82% 2,547 1,786 2,125 1,853 34% 32% 47% 831 635 684 15% 526 18% 377 2002/03 2003/04 2004/05 2005/06 2006/07 2007/08 2008/09 1Q 1H 2009/10 2009/10 Net Debt (€m) Equity (€m) Gearing-Ratio (
Slide 15: Development liquidity
voestalpine group Development liquidity Liquidity* Redemption –Schedule per 30.09.2009 per 30.09.2009 1500 Signed but undrawn 1250 term loan (428 €m) 1,070 1000 900 Financial assets 730 €m 750 570 500 Cash 250 170 90 70 0 Liquidity 2009/10 2010/11 2011/12 2012/13 2013/14 2014/15 2015/16 Comfortable
Slide 16: Outlook FY 2009/10
voestalpine group Outlook FY 2009/10 n Stabilization of volumes and prices in 2H FY 2009/10 n Inventories on normal / low levels (relative to demand) in all divisions in 4Q CY 2009 n No significant imports into Europe in Steel Division (till Nov 2009) n Further indications of pick up in demand in pa
Slide 17: IR Contact Peter Fleischer
Reuters IR Contact VOES.VI Peter Fleischer Bloomberg E-Mail [email protected] VOE AV Phone +43/50304/15-9949 voestalpine AG www.voestalpine.com