Reunert Limited · JSE:RLO
Reunert — Investor Presentation (July 2008)
13 slides from Reunert's investor presentation, Jul 30, 2008
Slide 1: Chris Oliver
Chris Oliver 30 July 2008 Useless Without Us e HE a bef borers MAKE SURE YOU’VE GOT THE BEST electric low voltage INSIDE YOUR HOME
Slide 2: Agenda
Agenda • Brief history • Business statement • Products • Facilities • Product market mix • Sales overview • Operational overview • Market drivers • General strategy
Slide 3: History
History • Established in 1949 as a subsidiary of Heinemann Electric Company US, the inventors of the hydraulic-magnetic circuit breaker technology • In 1957 we invented the world’s first high sensitivity Residual Current Device commonly called an Earth Leakage Device (RCD) • In 1986 Fuchs Electrical
Slide 4: Business Definition
BUSINESS DEFINITION The supply of quality low voltage distribution-, protection- and control equipment
Slide 5: Product/Market Mix
Motor Control x x Equipment Industrial Control x x Equipment Traded Wiring Accessories x x Moulded Case x x x x Circuit Breakers Surge Protection x x x Devices Circuit Breakers x x x x for Equipment Manufactured Electricity PRODUCT/MARKET MIX x x x Metering Earth Leakage x x x x x x Protection Minia
Slide 6: Sales Mix
SALES MIX 2 0 0 3 B ase = 10 0 900 800 70 0 Export 600 Utility 50 0 Industrial Controls 400 Mining 300 Com /Ind Residential 200 10 0 0 2004 2005 2006 2007
Slide 7: Export/Total Sales
EXPORT/TOTAL SALES Ratio 30% 20% 10% 0% 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07
Slide 8: Export Sales by Region
Export Sales by Region 100% 80% Australia % 60% Far East North America 40% Europe Africa 20% 0% 2004 2005 2006 2007
Slide 9: Operational Overview
Operational Overview • Positive contribution from CBI-electric Australia. • Positive contribution from Industrial Controls. (Automation, Motor Control) • Integration of Bolt-on acquisition (Moeller) completed. • Benefit of lower cost assembly facility in Lesotho. • Benefits from operational streamli
Slide 10: Local Market Issues
Local Market Issues • Property/construction market is in decline. We are well positioned for this. • Positive impact of commodity prices on mining industry and mining projects. • Buoyancy in general industrial market. • Expected growth in Industrial Control Market. • CBI market share in Industrial C
Slide 11: International Market Issues
International Market Issues • Telecommunication boom in Middle East and Far East. • Importance of market presence in Africa. • Status Quo maintained in neighbouring countries. • Opportunities in Australia. • Export volumes of manufactured products during June and July. (66% of manufactured products
Slide 12: General Strategy
General Strategy Lower cost of manufacturing by: • Complete rationalisation of product range. • Continue reducing input costs across the board. Grow sales by: • Increasing coverage and presence in Africa. • Adding value added services. • Capitalising on growth opportunities in Industrial Control
Slide 13: Q's & A's
Q’s & A’s