Bilfinger Se · XETR:GBF
Bilfinger — Non-Deal Roadshow (April 2013)
35 slides from Bilfinger's roadshow presentation, Apr 3, 2013
Slide 1: Bilfinger: Successful evolution into a leading international Engineering and Services Group
April 03, 2013 Bilfinger: Successful evolution into a leading international Engineering and Services Group Roadshow London Joachim Müller, CFO Andreas Müller, Head of Corporate Accounting and Investor Relations
Slide 2: Agenda
Agenda 1. Bilfinger – Overview 2. Facts and figures 2012 3. Mid-term strategic outlook 4. Financial backup Bilfinger SE Company Presentation | April 3, 2013 Page 2
Slide 3: Bilfinger at a glance
Bilfinger at a glance Output volume by region ▪ Successful evolution into a leading international Engineering and Services Group ▪ Output volume of € 8.6 billion, EBITA margin at 5.4% in 2012 ▪ Multinational player with leading positions in attractive markets 4% 5% ▪ Highly diversified customer base
Slide 4: Successful evolution into an Engineering and Services Group
Successful evolution into an Engineering and Services Group ▪ Limitation of volume in construction with clear regional focus and stringent risk profile ▪ Portfolio adjustment: Sale of Australian construction business (Valemus, 2011), exit of North American construction market (2011) and reduction of
Slide 5: Very strong market positions with substantial scale and business diversity
Very strong market positions with substantial scale of operations and significant business diversity International footprint Market positioning by segments Industrial European market leader in Industrial Services for the process industry Power Strong player in Power Services European market le
Slide 6: Robust and predictable business model supported by favorable long-term industry trends
Robust and predictable business model supported by favorable long-term industry trends Outsourcing Major structural business drivers: Service bundling Internationalization Attractive business profile: Structural growth potential 60% of output volume are recurring maintenance-driven services combined
Slide 7: Strong growth in output volume and earnings
Strong growth in output volume and earnings Output volume EBITA Net profit 8,476 8,635 466 8,059 7,620 397 382 394 284 174 275 78 196 140 Discontinued Operations 56 206 220 Continuing 84 Operations 2009 2010 2011 2012 2009 2010 2011 2012 2009 2010 2011 2012 in € million in € million in € million Out
Slide 8: Significant scale positions across a diversified services portfolio
Significant scale positions across a diversified services portfolio Industrial Power Building and Facility Construction Concessions Process Industry Utilities Real Estate Mobility and energy PPP Social and transport infrastructure Output volume 2012 Committed equity 12/2012 Australia Germany 16% 24%
Slide 9: FY 2012: Financial highlights and strategic achievements
FY 2012: Financial highlights and strategic achievements • Increase in output volume and orders received • Record operating profit • EBITA margin increased – driven also by capital gains – to 5.4 percent • Attractive dividend once again • Positive outlook for 2013 • Well on our way to achieving medi
Slide 10: Positive outlook FY 2013
Positive outlook FY 2013 Organic growth in Industrial, Power and Building and Facility as well as acquisitions made so far will more than compensate for the deconsolidation of the Nigerian business and further reduction in Construction. This leads to an increase in output volume year-on-year (Outp
Slide 11: Agenda
Agenda 1. Bilfinger – Overview 2. Facts and figures 2012 3. Mid-term strategic outlook 4. Financial backup Bilfinger SE Company Presentation | April 3, 2013 Page 11
Slide 12: Output volume and orders received increased once again
Output volume and orders received increased once again, despite divestments and volume reduction in Construction Output volume Orders received Order backlog1) +2% +7% -5% 8,476 8,635 8,348 7,833 7,776 7,422 2011 2012 2011 2012 2011 2012 in € million in € million in € million 1) Decrease due to decon
Slide 13: Earnings at upper end of forecast
Earnings at upper end of forecast Lower operating cash flow due to structural increase in working capital as planned EBITA Net profit Operating cash flow +17% +25%1) -20% 466 281 397 394 224 Discontinued 174 275 Operations Continuing 220 Operations 2011 2012 2011 2012 2011 2012 in € million in € mil
Slide 14: Industrial: Significant increase in EBITA
Industrial Significant increase in EBITA Markets and highlights Output volume by region ▪ Significant increase in output volume, orders received and order 13% 3% Germany backlog – primarily due to acquisitions Rest of Europe ▪ EBITA margin increased to 5.6% (2011 adjusted: 5.4%) 2012: 22% America €3
Slide 15: Power: Once again segment with highest profit margin
Power Once again segment with highest profit margin Markets and highlights Output volume by region ▪ Dynamic growth of output volume driven by international business 18% 11% Germany 1% ▪ Orders received and order backlog influenced by typical volatility of Rest of Europe this business, prospects con
Slide 16: Building and Facility: Positive development of EBITA
Building and Facility Positive development of EBITA Markets and highlights Output volume by region 1% ▪ Stable output volume and orders received despite deconsolidation of 10% 8% Germany Nigerian business in second half of year, while order backlog 17% Rest of Europe decreased due to this effect 201
Slide 17: Construction: Earnings lower than expected in individual areas
Construction Earnings lower than expected in individual areas Markets and highlights Output volume by region 1% ▪ Output volume and order backlog reduced as planned 6% Germany ▪ Orders received increased due to long-term projects Rest of Europe 47% Asia ▪ Earnings in the area of infrastructure lagge
Slide 18: Concessions: Significant increase in EBITA due to capital gain
Concessions Significant increase in EBITA due to capital gain Markets and highlights Committed equity by region ▪ Committed equity: €232 million, thereof €163 million already 24% Germany paid in to project companies Rest of Europe ▪ 18 projects sold to infrastructure fund: 2012: 20% 27% UK Net cash
Slide 19: Agenda
Agenda 1. Bilfinger – Overview 2. Facts and figures 2012 3. Mid-term strategic outlook 4. Financial backup Bilfinger SE Company Presentation | April 3, 2013 Page 19
Slide 20: BEST – Bilfinger escalates strength
Strategic program “BEST – Bilfinger escalates strength“ Operational excellence Growth of higher-margin activities, both organically and via acquisitions “BEST“ Effective risk management Geographic expansion including emerging markets Deeper integration to boost cross-selling and bundling of activiti
Slide 21: BEST growth strategy
BEST growth strategy Expansion of higher-margin activities Organic growth Expansion of full-service offering in all our markets strategy Regional expansion and “follow our friends” strategy Leveraging of customer relationships from other segments Deeper integration Stronger market presence
Slide 22: External growth by segment
External growth by segment Industrial: Power: ▪ Regional expansion: Europe, Asia, Turkey, ▪ Regional expansion: Middle East, India, South-East-Asia Middle East and USA ▪ Expansion of technological scope ▪ Oil and Gas sector; E, I & C ▪ Market entry in renewable sector (e.g. solar thermal energy, win
Slide 23: Group targets 2016
Group targets 2016 Output volume EBITA EBITA Margin Net Profit € 11 to 12 bn ~ € 400 m ~ € 700 m ~ 6% i.e. ~ € 9 EPS € 8.5 bn 4.7% € 397 m € 220 m 2011 2016 2011 2016 2011 2016 2011 2016 Organic Growth ROCE Financial Ratios** Dividend Policy Output volume CAGR* 15 to 20% Adj. net debt Sustaina
Slide 24: Agenda
Agenda 1. Bilfinger – Overview 2. Facts and figures 2012 3. Mid-term strategic outlook 4. Financial backup Bilfinger SE Company Presentation | April 3, 2013 Page 24
Slide 25: Volume and contract overview 2012
Volume and contract overview 2012 Output volume Orders received Order backlog in € million 2011 2012 Change 2011 2012 Change 2011 2012 Change Industrial 3,294 3,705 12% 3,224 3,737 16% 2,476 2,733 10% Power 1,157 1,319 14% 1,221 1,178 -4% 1,437 1,311 -9% Building and Facility 2,256 2,249 0% 2,363 2,
Slide 26: Significantly higher EBITA margin, also due to capital gains
Significantly higher EBITA margin, also due to capital gains in € million 2011 2012 Comments Output volume 8,476 8,635 • Influenced by special items of €49 million • Depreciation of €126 million EBITA 397 466 • Effects from first-time consolidation / deconsolidation: €45 million • F/X effects of €7
Slide 27: Special items in EBITA
Special items in EBITA in € million 12m 2012 Tax Segment Positive effects: Capital gain sale of concessions portfolio: 52 Tax-free Concessions Capital gain Julius Berger Nigeria 18 Tax-free Headquarters / Consolidation / Others Capital gain / gain on remeasurement of remaining equity 27 Headquarters
Slide 28: High free cash flow
High free cash flow in € million 2011 2012 Comments 2012 Cash earnings from continuing operations 386 473 Change in working capital -91 -145 • Structural increase • Includes capital gains from reduction of Nigerian activities Gains on disposals of non-current assets -14 -104 (€45 million) and sale o
Slide 29: Sound capital structure continues to offer financial scope for acquisitions
Sound capital structure continues to offer financial scope for acquisitions of approx. €850 million in € million Dec. 31, 2011 Dec. 31, 2012 Comments Cash and cash equivalents 847 1,087 • Details of change see cash flow statement • Including promissory note loan of €166 million (due mid Financial de
Slide 30: December 31, 2012 | Balance sheet
December 31, 2012 | Balance sheet Assets Equity and liabilities 6,850 -870 -870 6,850 Assets held for sale 0 -1,761 -1,795 0 Liabilities held for sale Cash and marketable securities 1,087 +240 -96 2,549 Other current liabilities Receivables and other current assets 2,244 +222 +/- 0 315 Prepayments r
Slide 31: ROCE by segment
ROCE by segment Capital employed Return ROCE WACC Value added in € million in € million in % in % in € million 2011 2012 2011 2012 2011 2012 2011 2012 2011 2012 Industrial 1,094 1,351 169 206 15.4 15.2 9.5 9.25 65 81 Power 317 384 99 125 31.2 32.5 9.5 9.25 69 89 Building and Facility 438 525 102 107
Slide 32: Five-year overview
Five-year overview in € million 2008 2009 20091) 2010 2011 2012 Output volume 10,742 10,403 7,620 8,059 8,476 8,635 Orders received 10,314 11,129 7,668 7,954 7,776 8,348 Order backlog 10,649 11,704 8,308 8,497 7,833 7,422 EBITA 322 275 196 382 397 466 EBIT 298 250 180 341 361 415 EBT 283 214 142 301
Slide 33: Shareholder structure
Shareholder structure Treasury Stock in € million Dec 31, 2012 ▪ Duration of program: Treasury Stock 4% February 19 to April 29, 2008 Retail Investors 12% ▪ Volume: €100 million 1,884,000 shares Institutional Investors: Average price: € 53.07 Germany 25% ▪ No cancellation planned Switzerland 22% Mai
Slide 34: Financial calendar and share facts
Financial calendar and share facts 2013 52 week high / low: € 82.98 / € 58.82 (as of March 22, 2013) Apr. 18, 2013 Annual General Meeting Closing price March 22, 2013 € 81.38 May 14, 2013 Interim Report Q1 2013 Market cap: 1) € 3.75 bn (as of March 22, 2013) Aug. 12, 2013 Interim Report Q2 2013 Nov.
Slide 35: Other investor information
Other investor information For further information please contact: in € per share / after rights issue 2008 2009 2010 2011 2012 adjustments Andreas Müller Earnings per share 5.18 3.79 6.43 8.93 6.23 Head of Corporate Accounting and Investor Relations thereof continuing operations 2.28 4.66 4.99 6.23