Facc Ag · VIE:FACC
Facc — Investor Presentation (November 2018)
34 slides from Facc's investor presentation, November 2018
Slide 1: Investor Presentation 11-2018 FACC Group
INVESTOR PRESENTATION 11-2018//FACC GROUP 1
Slide 2: FACC at a Glance // Spot Light
FACC AT A GLANCE // SPOT LIGHT A partner of the global aerospace industry 100% Aerospace composite 2 Engineering centers 5 Plants Global Network of engineering- & lightweight in Austria Production locations in 13 countries Tier 1 Partner for all 20% YoY average growth 3,500 Employees worldwide aeros
Slide 3: Three Divisions Focused on a Defined Product Portfolio
THREE DIVISIONS FOCUSED ON A DEFINED PRODUCT PORTFOLIO AEROSTRUCTURES CABIN INTERIORS ENGINES & NACELLES 3
Slide 4: Highlights - Continuous Positive
HIGHLIGHTS - CONTINUOUS POSITIVE A partner of the global aerospace industry REVENUES EARNINGS ORDER BACKLOG in EUR mill. in EUR mill. in USD bn 750,5 5,9 705,7 63,8 5,2 26,9 16/17 17/18 16/17 17/18 16/17 17/18 4
Slide 5: Global Footprint to Meet Customer Demands
GLOBAL FOOTPRINT TO MEET CUSTOMER DEMANDS FACC Montreal (Canada) FACC AG (Austria) FACC Slovakia (Slovakia) BTC (China) Fesher (China) Manufacturing/Engineering Engineering International supply chain FACC Germany (Germany) partners FACC India (India) FACC Wichita (US) Mubadala (Abu Dhabi) TAML (Indi
Slide 6: FACC Strategy Vision 2020
FACC STRATEGY „VISION 2020“ Growth through innovation and global networks > Sustainable and profitable growth in order to increase the company size to EUR 1 billion by the 2020/21 fiscal year > Consistent processing of the order backlog with continuously increasing efficiency > Strategic Tier 1 part
Slide 7: Constantly Growing Order Backlog
CONSTANTLY GROWING ORDER BACKLOG > FACC benefits from an increasing demand for more efficient aircraft. > Since January 2017 FACC Group increased its order backlog from new customer contracts by more than EUR 1bn. > FACC is the single source partner for the new Airbus A320 „Airspace – Cabine“ and En
Slide 8: Efficiency through Lightweight
EFFICIENCY THROUGH LIGHTWEIGHT Increasing share of composite applications Lightweight components increase the efficiency of modern aircraft Composite components account for around 50% of the total weight of modern aircraft The aircraft are 25 % more efficient, emit 60% less noise and are easie
Slide 9: Global Market Forecast
GLOBAL MARKET FORECAST Production & delivery rates with solid growth Commercial Aircraft: Dynamic increase until 2020 (mostly driven by several ramp ups) and a more moderate growth afterwards. Overall growth driven from growing GDP particularly in emerging markets. Business Jets: benefiting fr
Slide 10: Global Market Forecast
GLOBAL MARKET FORECAST Economic environment of the sector OEM´s confirmed long-term outlook Until 2036 Annual growth of revenue passenger kilometer (RPK) at 5% Demand for more than 35,000 aircraft (new and replacements) Growth shifts to Asia Pacific “Point to Point” instead of “Hub- Syst
Slide 11: Future Growth Markets
FUTURE GROWTH MARKETS China requires 20% of all new aircraft > China requires 20% of all new aircraft North China Europe America 20% 20% 17 % Asia, Middle East 47 % 11
Slide 12: Growth Market Asia
GROWTH MARKET ASIA Changes in travel volume according to region 12
Slide 13: China's Aerospace Program
CHINA´S AEROSPACE PROGRAM Substantial growth potential for early FACC engagement > ARJ 21 Program ramp up with 100% rate increases > C919 Flight test program and entry into service (EIS) forecasted for 2021 > C929 Possible FACC technology engagement > China production: Successful work transfer to Ch
Slide 14: Aftermarket Services
AFTERMARKET SERVICES A market with significant growth potential > Increasing demand for composite repairs and replacement > Airlines as new customers for FACC > Network and footprint extended to service customers > Austrian and Lufthansa as first customers announced > Significant mid-term growth exp
Slide 15: Investments
INVESTMENTS FACC is prepared to fullfill future customer demands > Investments in automation, capacity and logistics > I4.0 and automated processses as key elements of FACC´s investment plan > Customers demand for higher automation and rate increases > Investment led to significant increase in capac
Slide 16: Aerospace Market - Summary
AEROSPACE MARKET - SUMMARY The outlook is positive for the aerospace market in the long run > OEM´s improving their profits through a modern fleet structrures, increased efficiency & low fuel cost > A320, A350, B787 rate increases confirmed by customers > High market potential for MRO business > New
Slide 17: Financials Fiscal Year 2017/18
FINANCIALS Fiscal Year 2017/18 17
Slide 18: Revenue and EBIT
REVENUE AND EBIT Revenues grew 6.4% year-on-year with EBIT doubled with cross functional profit Nacelles and Interiors being the biggest improvement measures contributing drivers REVENUES OPERATING RESULT (EBIT) in EUR mill. in EUR mill. EBIT EBIT normalized 20,0 63,8 18,7 48,6 18,6 26,9 26,9 6,1 75
Slide 19: Reporting by Business Segment
REPORTING BY BUSINESS SEGMENT All three divisions profitable since Q2 REVENUES FY 2017/18 REPORTED EBIT FY 2017/18 in EUR mill. in EUR mill. 330,4 334,0 51,1 254,3 38,2 232,8 142,0 162,0 17,0 8,8 Aerostructures Engine & Nacelles Interiors -13,8 -12,4 Aerostructures Engine & Nacelles Interiors 19
Slide 20: Free Cash Flow
FREE CASH FLOW Free Cashflow improvement driven by operating excellence FY 16/17 FY 17/18 in EUR mill. in EUR mill. 33,6 -35,7 55,8 96,7 35,1 -34,4 28,0 -14,4 EBITDA FY Changes in Investments Free Cash Flow 17/18 working capital EBITDA FY Changes in Investments Free Cash Flow 16/17 working capital E
Slide 21: Liquidity and Investment
LIQUIDITY AND INVESTMENT Profitability and investment control drive cash generation CASH FLOW CAPITAL EXPENDITURES in EUR mill. in EUR mill. 35,1 63,1 13 0,2 50,9 63,5 48,3 35,1 34,4 Cash and Cash CF from CF from CF From FX Cash and Cash Equivalents at Operating Investing Financing Equivalents at FY
Slide 22: Balance Sheet
BALANCE SHEET Balance Sheet reflects positive performance trend of last two years EQUITY RATIO NET FINANCIAL DEBT in EUR mill. in EUR mill. 38 % 39 % 46 % 323,1 171,9 181,9 254,2 197,0 269,7 FY 2015/16 FY 2016/17 FY 2017/18 FY 2015/16 FY 2016/17 FY 2017/18 22
Slide 23: Q2 2018/19
Q2 2018/19 22.11.201823
Slide 24: Revenue and EBIT
REVENUE AND EBIT GROUP REVENUES REVENUES BY BUSINESS SEGMENT in Mio. EUR in Mio. EUR 18,9 151,8 11,7 163,5 135,7 7,0 116,8 372,9 85,5 358,7 78,5 H1 2017/18 Aerostructures Engines & Cabin Interiors H1 2018/19 AEROSTRUCTURES ENGINES & NACELLES CABIN INTERIORS Nacelles H1 2017/18 H1 2018/19 24
Slide 25: IFRS 15 - Reconciliation
IFRS 15 - RECONCILIATION EBITDA H1 2018/19 inkl. IFRS 15 EBITDA H1 2018/19 excl. IFRS 15 (not reported) in Mio. EUR in in Mio. Mio. EUR EUR 9.4 18.2 2,3 11,2 7,2 0,4 35,0 40,3 7,0 25,1 29,1 22,1 22,1 EBIT D/A Intangible D/A Tangible D/A Contract EBITDA Assets Assets Costs EBIT D/A Intangible D/A Tan
Slide 26: Cash and Investment
CASH AND INVESTMENT CASH FLOW INVESTMENTS in Mio. EUR in Mio. EUR 16,6 0,4 0,2 30,4 16,6 15,6 12,6 77,6 63,5 Cash and cash CF from CF from CF from FX Cash and cash H1 2016/17 H1 2017/18 H1 2018/19 equivalents at operating investing financing equivalents at the beginning activities activities activit
Slide 27: Balance Sheet Ratios
BALANCE SHEET RATIOS EQUITY AND EQUITY RATIO NET FINANCIAL DEBT in Mio. EUR 39% 44% 39% 182,0 177,8 269,7 306,7 282,6 218,8 H1 2016/17 H1 2017/18 H1 2018/19 H1 2016/17 H1 2017/18 H1 2018/19 27
Slide 28: Outlook
OUTLOOK 28
Slide 29: Civil Aerospace Market
CIVIL AEROSPACE MARKET The outlook is positive for the aerospace market in the long run − The growth trend in the civil aviation industry is expected to remain strong in the future. − Current market forecasts of OEMs confirm the constant annual increase in passenger volumes of around 4.5 %. − Over t
Slide 30: Outlook
OUTLOOK Unchanged compared to reporting for FY 2017/18 on May 16, 2018 − In the coming years, the company expects to gradually increase the production rates of its most important programs. − Vision 2020 growth plan on track based on program ramp ups and new business contracts − FACC is particularly
Slide 31: Appendix
APPENDIX 31
Slide 32: Contacts & Share Information
CONTACTS & SHARE INFORMATION Share Information IR Contact Manuel Taverne Director Investor Relations Phone: +43/59/616-2819 Mobile: +43/664/80119 2819 e-mail: [email protected] 32
Slide 33: FACC Program Portfolio
FACC PROGRAM PORTFOLIO … we supply products for all modern aircraft models CIVIL AEROSPACE 33
Slide 34: FACC Program Portfolio
FACC PROGRAM PORTFOLIO … we supply products for all modern aircraft models BUSINESS JETS & HELICOPTER Challenger 350 Learjet 40/45 Global 5000 Global 7000/8000 Legacy 450/500 Gulfstream G350/ Lineage 1000E Phenom 100/300 Cessna Citation Cessna Mustang 450/550/650 Falcon 900 Falcon 2000 Falcon 7X Haw