Baywa Ag · XETR:BYW
Baywa — H1 2016 Earnings Presentation
34 slides from Baywa's earnings presentation, Aug 4, 2016
Slide 1: Interim Report First Half 2016 Conference Call
Interim Report First Half 2016 Conference Call Munich, 4 August 2016 Prof. Klaus Josef Lutz, CEO Andreas Helber, CFO
Slide 2: Agenda
Agenda 1. Development of the Group in the first half of 2016 2. Development of the Segments in the first half of 2016 3. Outlook for FY 2016 Appendix BayWa AG 4 August 2016 Page 2
Slide 3: Development of the Group YTD Summary
Development of the Group YTD Summary Strategy highlights YTD Agriculture Segment BAST: Acquisition of Evergrain (100%) makes BayWa a top 5 player in international malting barley trading BAV: Strengthening of core region through purchase of distribution locations belonging to Landhandel Kohler (B
Slide 4: Development of the Group First half 2016
Development of the Group First half 2016 BayWa AG 4 August 2016 Page 4
Slide 5: Development of the Group 1-6/2016 Revenues and EBIT
Development of the Group 1-6/2016 Revenues and EBIT as against previous year Revenues in EUR m +0.5% – EUR 7,456.4 m (Δ 15/16: EUR +37.5 m / +0.5%) 7,418.9 7,456.4 – Strong increase in grain and oilseed marketing volumes compensate for low prices – Higher revenues y/y in Building Materials Segment –
Slide 6: Development of the Segments First half 2016
Development of the Segments First half 2016 BayWa AG 4 August 2016 Page 6
Slide 7: Agriculture Segment 1-6/2016
Agriculture Segment 1-6/2016 Grain Oilseed Seed Fertilisers Crop protection Feedstuff Fruit Agricultural equipment Digital Farming BayWa AG 4 August 2016 Page 7
Slide 8: Agriculture Segment: Market developments: Products
Agriculture Segment 1-6/2016 Market developments: Products Products World grain balance (excluding rice; July 2016) Grain year 2015/16 ends on an above-average level: In million tons Global harvest volume just under 2 bn t Oilseed harvest almost on par with record in 2014/15 Despite continue
Slide 9: Agriculture Segment: Market developments: Inputs, Fruit, Equipment
Agriculture Segment 1-6/2016 Market developments: Inputs, Fruit, Equipment Input resources Fruit Agri-Equipment Fertiliser sales down; price Sale of remaining stock from – Downward trend has probably situation and (wet) weather impact 2015 EU harvest coupled with bottomed out demand slightly ris
Slide 10: Agriculture Segment: Revenues and EBIT (BAST, BAV)
Agriculture Segment 1-6/2016 Revenues and EBIT as against the previous year BAST BAV (BayWa Agri Supply & Trade) (BayWa Agrar Vertrieb) BAST + BAV in EUR m in EUR m 4,532.2 +2.4% 4,427.0 2,958.1 1,574.1 Revenues Revenues Revenues 1-6 2016 1-6 2016 1-6 2016 1-6 2015 -21.9% 41.6 32.5 26.1 6.4 EBIT EBI
Slide 11: Agriculture Segment: Agricultural Equipment and Fruit
Agriculture Segment 1-6/2016 Revenues and EBIT as against the previous year Agricultural Equipment Fruit in EUR m In EUR m -8.5% +5.7% 649.2 593.9 295.9 312.8 Revenues Revenues > -100% 8.1 +45.2% EBIT 22.5 15.5 EBIT -1.4 1-6 2015* 1-6 2016 1-6 2015* 1-6 2016 Revenues: ∆ 15/16 EUR -55.3 million R
Slide 12: Agriculture Segment: Digital Farming
Agriculture Segment 1-6/2016 Revenues and EBIT as against the previous year Digital Farming in EUR m 3.3 Revenues EBIT -3.8 1-6 2015 1-6 2016 Revenues from activities by PC-Agrar GmbH and its subsidiaries (software licensing fees etc.) Investments in new generation of products (Next Farming) res
Slide 13: Agriculture Segment Key Financials – Income Statement
Agriculture Segment 1-6/2016 Key Financials – Income Statement Agriculture in EUR m H1 2012 H1 2013 H1 2014* H1 2015* H1 2016 ∆15/16 (%) Revenues 2,573.7 5,834.9 5,284.2 5,372.1 5,442.2 1.3% EBITDA 90.3 112.5 92.8 92.0 77.8 -15.4% % of Revenues 3.5% 1.9% 1.8% 1.7% 1.4% EBIT 68.5 87.5 65.6 65.2 49.7
Slide 14: Energy Segment 1-6/2016
Energy Segment 1-6/2016 Fuels Heating Oil Lubricants Solid Biofuels BayWa r.e. BayWa AG 4 August 2016 Page 14
Slide 15: Energy Segment: Market developments
Energy Segment 1-6/2016 Market developments Renewable Energies Conventional Energy At 64 GW, global wind expansion reaches new Following record low in January, crude oil price high in 2016; Germany largest EU market at 3.6 GW rises to USD 50 per barrel; most recently Around 66 GW in newly inst
Slide 16: Energy Segment: Revenues and EBIT
Energy Segment 1-6/2016 Revenues and EBIT as against previous year Conventional Energy Renewable Energy In EUR m In EUR m -12.3% +23.1% 1,092.7 958.2 316.1 256.8 Revenues Revenues > +100% > +100% 15.7 7.3 3.1 EBIT EBIT -3.9 1-6 2015* 1-6 2016 1-6 2015* 1-6 2016 Revenues: ∆ 15/16 EUR -134.5 million
Slide 17: Energy Segment Key Financials – Income Statement
Energy Segment 1-6/2016 Key Financials – Income Statement Energy in EUR m H1 2012 H1 2013 H1 2014* H1 2015* H1 2016 ∆15/16 (%) Revenues 1,684.1 1,666.4 1,605.5 1,349.5 1,274.3 -5.6% EBITDA 29.9 33.3 33.5 15.7 38.8 > 100% % of Revenues 1.8% 2.0% 2.1% 1.2% 3.0% EBIT 15.9 17.7 17.5 -0.9 23.1 > 100% % o
Slide 18: Building Materials Segment 1-6/2016
Building Materials Segment 1-6/2016 Building Materials BayWa AG 4 August 2016 Page 18
Slide 19: Building Materials Segment: Market developments
Building Materials Segment 1-6/2016 Market developments Market trends Sentiment in German Construction Sector Dynamic start to the 2016 construction season continues in spring Construction Industry Business climate in construction sector posts Assessment constant improvement: in June ifo index r
Slide 20: Building Materials Segment: Revenues and EBIT
Building Materials Segment 1-6/2016 Revenues and EBIT as against previous year Building Materials Segment in EUR m Revenues: EBIT: +6.2% > +100% 689.7 732.5 5.6 Building Building Materials Materials -0.3 1-6 2015 1-6 2016 1-6 2015* 1-6 2016 Revenues: ∆ 15/16 EUR +42.8 million EBIT: ∆ 15/16 EUR +
Slide 21: Building Materials Segment Key Financials – Income Statement
Building Materials Segment 1-6/2016 Key Financials – Income Statement Building Materials in EUR m H1 2012 H1 2013 H1 2014* H1 2015* H1 2016 ∆15/16 (%) Revenues 813.0 766.4 724.9 689.7 732.5 6.2% EBITDA 14.1 2.3 14.2 7.0 13.2 88.6% % of Revenues 1.7% 0.3% 2.0% 1.0% 1.8% EBIT 4.1 -4.2 6.7 -0.3 5.6 > 1
Slide 22: Other Activities 1-6/2016 Revenues and EBIT
Other Activities 1-6/2016 Revenues and EBIT as against previous year In EUR m -1.3% 7.5 7.4 Revenues -32.8% EBIT -17.4 -23.1 1-6 2015* 1-6 2016 Revenues: ∆ 15/16 EUR -0.1 m EBIT: ∆ 15/16 EUR -5.7 m EBIT consists of non-core activities, overhead costs and consolidation effects Lower income fr
Slide 23: Group Key Financials – Income Statement
Development of the Group 1-6/2016 Key Financials – Income Statement in EUR m H1 2012 H1 2013 H1 2014* H1 2015* H1 2016 ∆15/16 (%) Revenues 5,131.3 8,272.8 7,691.0 7,418.9 7,456.4 0.5% EBITDA 147.1 213.8 131.3 109.0 116.6 7.0% % of Revenues 2.9% 2.6% 1.7% 1.5% 1.6% EBIT 91.1 157.2 68.3 46.7 55.3 18.4
Slide 24: Group Key Financials – Cash Flow Statement
Development of the Group 1-6/2016 Key Financials – Cash Flow Statement in EUR m H1 2012 H1 2013 H1 2014* H1 2015* H1 2016 ∆15/16 (%) Cash earnings 93.5 165.1 87.5 75.1 57.3 -23.7% Cash flow from operating activities 150.1 145.6 116.3 12.0 60.3 > 100% Cash flow from investing activities -179.2 91.8 -
Slide 25: Group Key Financials – Balance Sheet
Development of the Group 1-6/2016 Key Financials – Balance Sheet in EUR m H1 2012 H1 2013 H1 2014* H1 2015* FY 2015 H1 2016 ∆15/16 (%) Total assets 4,529.5 5,189.8 5,266.0 6,045.2 6,036.7 6,581.3 9.0% Equity 1,125.1 1,157.3 1,122.3 1,012.0 1,075.9 1,068.7 -0.7% Equity ratio 24.8% 22.3% 21.3% 16.7% 1
Slide 26: Outlook for FY 2016
Outlook for FY 2016 BayWa AG 4 August 2016 Page 26
Slide 27: Outlook for 2016
Outlook for 2016 AGRICULTURE – Grain & oilseed: High marketing volumes expected, export potential for high-quality wheat – Grain prices should have bottomed out – Low prices benefit early orders business for input resources AGRICU LTURE – Propensity to invest in agricultural equipment remains low, b
Slide 28: Thank you for your attention
Thank you for your attention The information in this presentation is partly made up of forward-looking statements which are based on assumptions and are subject to unforeseeable risks. In as much as the assumptions on the successful integration of acquisitions and on the internal growth of the compa
Slide 29: Appendix
Appendix BayWa AG 4 August 2016 Page 29
Slide 30: Agriculture Segment: Market Price Trends
Agriculture Segment 1-6/2016 Market Price Trends Wheat & Corn International Granulated Urea & CAN Paris, 28/07/2016 Baltic Sea Ports, 28/07/2016 €/t €/t 169.75 € Closing price on 28/07/2016 235.00 € Closing price on 28/07/2016 172.00 € Closing price on 163.75 € 28/07/2016 Closing price on 28/07/2016
Slide 31: BayWa Share
BayWa Share BayWa AG 4 August 2016 Page 31
Slide 32: BayWa Share: Shareholder Structure and Profile
BayWa Share Shareholder Structure as per 30/06/2016 BayWa Share Profile (June 2016) Bayerische Raiffeisen- Freefloat Stock Exchanges Frankfurt, Munich, Xetra Beteiligungs AG 39.8% Segment Official Market/Prime Standard 35.1% Stock exch. Index SDAX (Sec. code no. 519406 and 519400) ISIN DE0005194062
Slide 33: BayWa Share Price Performance
BayWa Share Share Price Performance Share From 01/01/2015 to 15/07/2016 Closing Price on 30/06/2015 30.33 € High (07/08/2015) 34.07 € Low (19/02/2016) 25.89 € Closing Price on 30/06/2016 26.96 € Market Capitalisation in EUR m As per 30/06/2015 1,059.6 As per 30/06/2016 942.0 Freefloat Market cap. (3
Slide 34: Contact and Financial Calendar
Contact and Financial Calendar Financial Calendar 2016/17 Head of Investor Relations August 2016 Josko Radeljic 04/08 Analysts` Conference Call Q2 BayWa AG October 2016 St.-Martin-Str. 76 12-13/10 Capital Market Day 81541 Munich November 2016 Germany 10/11 Analysts` Conference Call Q3 March 2017 Tel