Dormakaba Holding Ag · SIX:DOKA
Dormakaba — H1 2018/19 Earnings Presentation
28 slides from Dormakaba's earnings presentation, Mar 6, 2019
Slide 1: Half-year results 2018/19
Riet Cadonau, Chairman & CEO Bernd Brinker, CFO Zurich/Switzerland, 6 March 2019 Half-year results 2018/19 (1 July 2018 – 31 December 2018)
Slide 2: Agenda
Agenda Half-year results 2018/19 at a glance Slide 3 Riet Cadonau Financial results and outlook Slide 11 Bernd Brinker 2 Presentation on half-year results 2018/19 06.03.2019
Slide 3: Half-year results 2018/19 in brief
Half-year results 2018/19 at a glance Half-year results 2018/19 in brief • Organic sales growth of 2.1% • Sales of CHF 1,396.5 million impacted by the effect of foreign currencies -1.0% and the effect of M&A -1.4% (Acquisitions/Divestments) • EBITDA increased by 5.7% to CHF 223.0 million; all segmen
Slide 4: AS AMER: Lower sales, higher profitability
Half-year results 2018/19 at a glance AS AMER: Lower sales, higher profitability in CHF million HY 2018/19 HY 2017/18 Total segment sales 402.1 410.5 Third-party sales 388.1 395.6 EBITDA 84.7 80.9 EBITDA margin 21.1% 19.7% Organic sales growth -1.8% 2.2% • Sales were impacted by a weaker Lodging Sys
Slide 5: AS APAC: Continuous profitable growth
Half-year results 2018/19 at a glance AS APAC: Continuous profitable growth in CHF million HY 2018/19 HY 2017/18 Total segment sales 236.5 238.1 Third-party sales 222.6 224.1 EBITDA 36.8 33.5 EBITDA margin 15.6% 14.1% Organic sales growth 5.5% 6.0% • Double-digit growth in India, high single-digit g
Slide 6: AS DACH: Sales growth and higher profitability
Half-year results 2018/19 at a glance AS DACH: Sales growth and higher profitability in CHF million HY 2018/19 HY 2017/18 Total segment sales 430.0 420.9 Third-party sales 266.5 260.6 EBITDA 78.5 73.8 EBITDA margin 18.3% 17.5% Organic sales growth 2.6% 2.1% • All countries of AS DACH contributed to
Slide 7: AS EMEA: Growth in sales and profitability
Half-year results 2018/19 at a glance AS EMEA: Growth in sales and profitability in CHF million HY 2018/19 HY 2017/18 Total segment sales 381.1 375.8 Third-party sales 322.1 315.8 EBITDA 30.0 28.7 EBITDA margin 7.9% 7.6% Organic sales growth 3.1% 2.7% • Double-digit growth in Central and Eastern Eur
Slide 8: Key & Wall Solutions: Sales growth and higher profitability
Half-year results 2018/19 at a glance Key & Wall Solutions: Sales growth and higher profitability in CHF million HY 2018/19 HY 2017/18 Total segment sales 197.3 185.7 Third-party sales 190.1 180.2 EBITDA 29.0 26.1 EBITDA margin 14.7% 14.1% Organic sales growth 3.8% 2.3% Key Systems: • Growth was mai
Slide 9: Incubator dormakaba digital
Innovation Incubator dormakaba digital Complement Core Lodging Systems Safe Services Locks Mechanical Key Systems Key dormakaba core offering Systems Movable dormakaba digital Walls Electronic Access & Data Entrance Systems • dormakaba digital is an organizational unit of Interior Glass Door dormaka
Slide 10: Agenda
Agenda Half-year results 2018/19 at a glance Slide 3 Riet Cadonau Financial results and outlook Slide 11 Bernd Brinker 10 Presentation on half-year results 2018/19 06.03.2019
Slide 11: Key figures
Financial results and outlook Key figures in CHF million HY 2018/19 HY 2017/18 Variance • Organic sales growth of 2.1% Net sales 1,396.5 1,400.6 -0.3% • Net sales decreased by 0.3% due to currency - thereof: organic sales growth1) 2.1% translation (stronger CHF) and divestments - thereof: acquisitio
Slide 12: Active Portfolio Management
Financial results and outlook Active Portfolio Management* Best Kilargo Klaus Group CHF 280m CHF 15m CHF 12m Seca PAS business of ATM Mesker Skyfold CHF 3m CHF 70m CHF 5m CHF 30m Cambaum Group CHF 12m Acquisitions 30 June 30 June 2016/17 2017 2017/18 2018 2018/19 Divestments Ascot Doors Provitris GM
Slide 13: Sales development
Financial results and outlook Sales development 30.0 1’400.6 • Negative impact on net sales from currency translation (-1.0%) due to stronger CHF 1’396.5 • Organic growth of 2.1%, strongest contribution by AS APAC; -19.8 AS AMER negatively impacted by the lodging business; all other segments with hi
Slide 14: EBITDA development
Financial results and outlook EBITDA development 15.8 223.0 • EBITDA margin improved to 16.0% (PY: 15.1%) -2.3 • EBITDA increased by CHF 12.1 million vs. PY (+5.7%) • Organic EBITDA improved by CHF 15.8 million • All segments contributed to EBITDA increase and EBITDA margin improvement • M&A activit
Slide 15: Income Statement (condensed)
Financial results and outlook Income Statement (condensed) in CHF million HY 2018/19 in % HY 2017/18 in % Variance in % • Gross margin improved from 42.2% to 42.6%, driven by operational improvement, pricing and product mix Net sales 1'396.5 100.0 1'400.6 100.0 -0.3 • SG&A basically unchanged at 26.
Slide 16: Cash Flow
Financial results and outlook Cash Flow in CHF million HY 2018/19 HY 2017/18 • Higher cash generated from operations and net cash from operating activities, driven by improved operational Cash generated from operations 149.1 147.8 performance Net cash from operating activities 104.5 92.6 • Net cash
Slide 17: Net Debt
Financial results and outlook Net Debt HY ended FY ended HY ended • Net debt profile improved vs. 31 December 2017 (net in CHF million 31.12.2018 30.06.2018 31.12.2017 debt reduction by CHF 21.9 million, leverage from 1.9x Cash and cash equivalents 133.9 145.3 181.2 to 1.7x) Short term debt 209.3 15
Slide 18: EBITDA bridge FY 2020/21
Financial results and outlook EBITDA bridge FY 2020/21 -0.4% 18% 1.1% Digitalization 1.0% Operational 16.0% Performance 1.2% Cost Efficiency - Pricing 15.2% - Product Mix - Production Footprint - Procurement - Operational Leverage PMI ~1.0% - New Products - PMI Synergies - PMI related costs HY 2018/
Slide 19: Guidance and business outlook for financial year 2018/19
Financial results and outlook Guidance and business outlook for financial year 2018/19 Market Environment dormakaba believes that the global macroeconomic and geopolitical environment remains volatile and that there are several threats like the trade tensions which could substantially impact the mac
Slide 20: Thank you for your attention – Q&A
Thank you for your attention – Q&A dormakaba Holding AG Hofwisenstrasse 24 8153 Rümlang Switzerland www.dormakaba.com
Slide 21: IR Agenda 2019
IR Agenda 2019 • Kepler Cheuvreux's 20th Swiss Seminar 21 March 2019 • Vontobel Investor Conference 4 June 2019 • Publication and presentation of FY results 2018/19, Zurich 12 September 2019 • Annual General Meeting, Regensdorf 22 October 2019 • Credit Suisse Swiss Small & Mid Cap Conference 13 Nove
Slide 22: Now online: Half-year Report and Sustainability Report, Innovation Dossier
Now online: Half-year Report and Sustainability Report as well as dormakaba Innovation Dossier Half-year Report 2018/19 Sustainability Report 2017/18 Innovation Dossier Read more online about the results of Curious what we have achieved in sustainability? Visit www.dormakaba.com/innovation to the 1s
Slide 23: Appendix
Appendix dormakaba
Slide 24: Appendix
Appendix • dormakaba in a nutshell • Segment Split – Key & Wall Solutions • Currency exposure 24 Presentation on half-year results 2018/19 06.03.2019
Slide 25: Presentation on half-year results 2018/19
25 Presentation on half-year results 2018/19 06.03.2019
Slide 26: Segment Split – Key & Wall Solutions
Financial results and outlook Segment Split – Key & Wall Solutions Business Units Key Systems Movable Walls Change on Change on in CHF million HY 2018/19 in % HY 2017/18 in % previous year FY 2018/19 in % FY 2017/18 in % previous year in % in % Net sales third parties 113.8 106.5 6.9% 76.3 73.7 3.5%
Slide 27: Currency exposure
Appendix – Financial Data Currency exposure As every globally active group, dormakaba is exposed to currency risks. The currency profile of dormakaba shows a broad balance between sales and costs per region (= natural hedge). Sales per currency regions Cost per currency regions USD EUR 30% 27% 33% 3
Slide 28: Disclaimer
Disclaimer This communication contains certain forward-looking statements including, but not limited to, those using the words “believes”, “assumes”, “expects” or formulations of a similar kind. Such forward-looking statements are made on the basis of assumptions and expectations that the company be