Skf Ab Class A · OMXSTO:SKF_A

Skf Ab Class A — Q1 2003 Earnings Presentation

20 slides from Skf Ab Class A's earnings presentation, 2003

  1. Slide 1: The SKF Group First-quarter result 2003

    The SKF Group First-quarter result 2003 Sune Carlsson, President and CEO

  2. Slide 2: Result for the first quarter

    SKF Group Result for the first quarter MSEK 2003 2002 Net sales 10 541 10 665 -1.2% Operating profit 944 903 +4.5% Operating margin 9.0% 8.5% Profit before taxes 802 761 +5.4% Net profit 562 529 Earnings per share, SEK 4.94 4.64 +6.5% Cash flow* 47 -112 *after investments before financing

  3. Slide 3: Profit before taxes

    SKF Group Profit before taxes MSEK excl. non-recurring items 1 000 900 800 700 600 500 400 300 200 100 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 1999 2000 2001 2002 2003

  4. Slide 4: Earnings per share

    SKF Group Earnings per share SEK 7 6 5 4 3 2 1 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 1999 2000 2001 2002 2003

  5. Slide 5: Net sales

    SKF Group Net sales MSEK 12 000 10 000 8 000 6 000 4 000 2 000 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 1999 2000 2001 2002 2003

  6. Slide 6: Sales in local currency

    SKF Group Sales in local currency % change y-o-y 10 8 6 4 2 0 -2 -4 -6 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2000 2001 2002 2003

  7. Slide 7: Net sales development per quarter

    SKF Group Net sales development per quarter Percent 2001 2002 2003 y-o-y Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Structure 0.3 0.4 0.4 1.0 1.4 1.9 2.0 1.4 0.7 Volume 1.1 - 2.7 - 3.2 - 3.8 - 7.3 -0.5 3.3 3.9 6.2 Price / Mix 1.9 1.9 1.6 2.1 1.5 1.4 1.2 1.7 1.2 Sales in local 3.3 - 0.4 - 1.2 - 0.7 - 4.4 2.8 6.5 7.0

  8. Slide 8: Operating margin

    SKF Group Operating margin excl. non-recurring items % 11 10 9 8 7 6 5 4 3 2 1 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 1999 2000 2001 2002 2003

  9. Slide 9: Operating margin per division

    SKF Group Operating margin per division % 14 12 10 Industrial 8 Service 6 Electrical 4 Automotive Aero and 2 Steel 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2000 2001 2002 2003

  10. Slide 10: Accumulated change in the number of employees

    SKF Group Accumulated change in the number of employees Employees 5 000 4 000 3 000 2 000 acquisitions 1 000 0 -1 000 -2 000 -3 000 capacity adjustment -4 000 and restructuring -5 000 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2000 2001 2002 2003

  11. Slide 11: Cash flow after investments before financing

    SKF Group Cash flow after investments before financing MSEK 1 600 1 400 1 200 1 000 800 600 400 200 0 -200 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 1999 2000 2001 2002 2003

  12. Slide 12: Inventories as % of annual sales

    SKF Group Inventories as % of annual sales % 27 26 25 24 23 22 21 20 Target: 20 % 19 18 1999 2000 2001 2002 2003

  13. Slide 13: Additions to tangible assets

    SKF Group Additions to tangible assets MSEK Depreciation according to plan 2 000 1 500 1 000 500 0 March 1999 2000 2001 2002 2003

  14. Slide 14: Net cash

    SKF Group Mkr Net cash* 4000 3000 2000 1000 0 -1000 -2000 -3000 -4000 -5000 -6000 -7000 1999 2000 2001 2002 2003 *Short-term financial assets - Loans

  15. Slide 15: Volume trend, bearings

    SKF Group Volume trend, bearings External sales 2002 Jan 2003 April 2003 Europe 55 % North America 26 % Asia Pacific 13 % Latin America 4%

  16. Slide 16: Volume trend, bearings

    SKF Group Volume trend, bearings External sales 2002 Jan 2003 April 2003 Industrial 23 Automotive 32 Electrical 4 Service 32 Aero (excl.forging and steel) 5

  17. Slide 17: Outlook April 2003

    SKF Group Outlook April 2003 The overall market demand for the Group's products and services is expected to remain relatively unchanged in the second quarter. Manufacturing levels which were higher than sales in the first quarter will be adjusted downwards during the second quarter.

  18. Slide 18: Target 10% operating margin level

    SKF Group Target 10 % operating margin level 10 BSEK additional annual net sales

  19. Slide 19: Focused areas

    SKF Group Focused areas Drive operational excellence Grow new markets and segments Introduce new products and solutions Develop our people and competencies

  20. Slide 20: Cautionary Statement

    SKF Group Cautionary Statement This report contains forward-looking statements that are based on the current expectations of the management of SKF. Although management believes that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expe

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