Gea Group Aktiengesellschaft · XETR:G1A
Gea Group Aktiengesellschaft — GEA Group — FY2022 Earnings Presentation
29 slides from Gea Group Aktiengesellschaft's earnings presentation, March 2023
Slide 1: GEA Group AG Roadshow presentation
GEA Group AG Roadshow presentation March, 2023
Slide 2: Disclaimer
Disclaimer This presentation contains forward-looking statements. Forward-looking statements may include, in particular, statements about future events, future financial performance, plans, strategies, expectations, prospects, competitive environment, regulation and supply and demand. Statements wit
Slide 3: Agenda
AGENDA 1. Overview GEA 4 2. Highlights Q4 / FY 2022 14 3. Mission 26 21 4. Outlook 2023 25 5. GEA – a compelling investment 27 Roadshow Presentation 3
Slide 4: GEA at a glance
GEA at a glance "Engineering for a better world" is the driving and energizing principle connecting GEA’s employees. As one of the largest systems suppliers GEA makes an important contribution to a sustainable future with its solutions and services, particularly in the food, beverage and pharmaceuti
Slide 5: Our applications – in touch with GEA everyday
Our applications – in touch with GEA everyday Dairy Farming Pharma & Refrigeration Food Beverages Chemical Marine and Processing healthcare and Heating Every third Approx. every Approx. one Approx. every Every fourth More than Each industry Every second chicken third process quarter of second liter
Slide 6: GEA's key customer industries food, beverages & pharmaceuticals
GEA’s key customer ▪ Demand for industries Food ▪ New Food Safety & food, beverages & Quality pharmaceuticals are very stable, Growing Middle reliable and growing Class Essential and due to global Affordable Medicines megatrends Growing World Population Sustainable Solutions Urbanization Roadshow Pr
Slide 7: GEA's key customer industries: stable, reliable and growing
GEA’s key customer industries Production growth Industry volatility food, beverages & [CAGR 2002-2022 in %] [Standard Deviation 2002-2022 in %] pharmaceuticals are very stable, Food & Beverages 3.7% 1.0% ~70% of GEA sales ~8% of GEA sales Pharmaceuticals 4.8% 3.1% reliable and growing Agriculture, f
Slide 8: GEA has a highly diversified customer base
GEA has a highly diversified customer base 100% Typical industrial company 80% Cumulative revenue share 60% GEA ~50% 40% ~45% ~39% ~28% 20% ~3% ~12% 0% Customers Top 1 Top 10 Top 50 Top 100 Top 150 Top 200 Roadshow Presentation 8
Slide 9: Separation & Flow Technologies
Separation & Flow Technologies World-class components and equipment for production excellence Separators. Homogenizers. Valves & Pumps Separation & Flow Technologies encompass process engineering components and machines, including separators, decanters, homogenizers, valves and pumps, which are at t
Slide 10: Liquid & Powder Technologies
Liquid & Powder Technologies Specialists in processing equipment and integrated solutions Liquid & Filling Technologies. Powder & Thermal Separation Technologies Liquid & Powder Technologies provide processing equipment and integrated solutions for the dairy, food, including new food, beverage, chem
Slide 11: Food & Healthcare Technologies
Food & Healthcare Technologies Safe foods and medicines for a growing population Pasta, Extrusion & Milling. Bakery. Slicing & Packaging. Food Solutions. Frozen Food. Pharma & Healthcare Food & Healthcare Technologies provide solutions for food processing. This covers preparation, marinating and fur
Slide 12: Farm Technologies
Farm Technologies Smart solutions for farmers now and in the future Milking & Dairy Farming: Milking & Feeding, Manure Farm Technologies offer integrated customer solutions for efficient, high-quality milk production and livestock farming. This includes automatic milking and feeding systems, convent
Slide 13: Heating & Refrigeration Technologies
Heating & Refrigeration Technologies Industrial heating and cooling solutions for climate-friendly production processes Turnkey installations. Compressors & compressor packages. Heat pumps. Chillers. Controls Heating & Refrigeration Technologies combine extensive production process knowledge and int
Slide 14: Highlights Q4 / FY 2022
Highlights Q4 / FY 2022 Roadshow Presentation 14
Slide 15: GEA accelerated profitable growth further in FY 2022
GEA accelerated profitable growth further in FY 2022 FY 2022 FY 2021 ∆ YoY Order Intake €5,679m €5,222m +8.7% +7.6% organic Sales €5,165m €4,703m +9.8% +8.9% organic EBITDA1 €712m +14.0% margin 13.8% +0.5%p ROCE1,2 31.8% +3.9%p Proposed dividend increase from €0.90 to €0.95 per share. 1 Before restr
Slide 16: Overachieved targets set in 2019 for 2022
… and overachieved targets set in 2019 for 2022 2019-2022 Organic Sales CAGR 3.4% EBITDA Margin FY22 13.8% Roadshow Presentation 16
Slide 17: Workstreams implementing Mission 26
The workstreams are in full swing of implementing Mission 26 Innovation & Sustainability New Food Sales Excellence Digitalization ▪ Significant improvement in ESG ▪ Sales share of new products: 14% ▪ 2% of FY22 sales ▪ Organic new machines sales Ratings in 2022 growth of 7.4% in FY22 ▪ Some examples
Slide 18: Workstreams implementing Mission 26
The workstreams are in full swing of implementing Mission 26 Operational Service Excellence Acquisitions Excellence ▪ Organic service sales growth of ▪ ~€28m savings in procurement in ▪ Actively screening market 11.9% in FY22 FY22 opportunities ▪ Service share: 34.9%, up from ▪ ~€8m savings in produ
Slide 19: Executive Summary Q4 2022
Executive Summary Q4 2022 €m Q4 22 Q4 21 Δ Organic order intake growth of 4.6% YoY; seven large orders (>€15m) Order intake 1,360 1,296 4.9% totaling €147m vs. three large orders in Q4 21 of €74m Organic sales growth of 9.7%; strong new machines and service sales Sales 1,414 1,283 10.2% growth EBITD
Slide 20: NWC/Sales ratio at 6.1%
NWC/Sales ratio at 6.1% Strong QoQ improvement driven by reduction in inventories and net contract assets 800 €m 20% 700 €m 15% 600 €m ▪ NWC up YoY driven by an increase in inventory of 8.9% €131m YoY due to supply chain challenges 500 €m 7.2% 7.9% Guided corridor 10% 6.1% 6.1% 5.1% 446 400 €m 5% ▪
Slide 21: Mission 26
Mission 26 Roadshow Presentation 21
Slide 22: Mission 26
Mission 26 Purpose Engineering for a better world Vision We safeguard future generations by providing sustainable solutions for the nutrition and pharmaceutical industries Profitable Ambitious financial Growth Organic Sales CAGR1 4-6% EBITDA margin2 > 15% ROCE2,3 > 30% targets EXCELLENCE Innovation
Slide 23: Our sustainability approach: Net Zero by 2040
Our sustainability approach Engineering for a better world. NET ZERO by 2040 Sustainable Solutions Responsible Operations Employer of Choice ▪ Reduce greenhouse gas emissions scope 3 ▪ Reduce greenhouse gas emissions scope 1 & 2 ▪ 80% favorable rating on the question: “Would you by 18% by 2030 by 60
Slide 24: ESG rating highlights
ESG rating highlights Achievements Following the December 2022 annual index In November 2022, GEA received In 2023, GEA was In January 2023, GEA was upgraded an ESG Risk Rating of 18.3 and from ‘AA’ to ‘AAA’ in the MSCI ESG review, GEA became a constituent of the recognized by was assessed by Sustai
Slide 25: Outlook FY 2023
Outlook FY 2023 Roadshow Presentation 25
Slide 26: Guidance FY 2023
Guidance FY 2023 Organic sales EBITDA1 ROCE1 (currency and portfolio adjusted) (Before restructuring expenses) (Before restructuring expenses) % YoY €m % >5.0 730 - 790 ≥29.0 (PY: €5,165m) (PY: €712m) (PY: 31.8%) In addition, GEA targets to further improve its EBITDA margin before restructuring expe
Slide 27: GEA – A Compelling Investment
GEA – A COMPELLING INVESTMENT Roadshow Presentation 27
Slide 28: GEA – a compelling investment
GEA – a compelling investment Leading positions in attractive and growing Food, Beverages and Pharma markets Well positioned to capture growth opportunities in New Food Technological leadership Strong commitment to sustainability Clear plan for profitable growth Strong cash generation allows sustain
Slide 29: GEA.com
| Engineering for a better world. GEA.com