Georg Fischer AG · SIX:GF

Georg Fischer — Investor Presentation (May 2014)

43 slides from Georg Fischer's investor presentation, May 20, 2014

  1. Slide 1: Investor Presentation

    Georg Fischer Corporation Investor Presentation 20 May 2014

  2. Slide 2: A diversified industrial solutions provider

    GF Corporation A diversified industrial solutions provider GF Piping Systems GF Automotive GF Machining Solutions 37% 40% 23% CHF 1 402 million CHF 1 498 million CHF 867 million Total sales 2013: CHF 3 766 million 2 Investor Presentation | 20 May 2014

  3. Slide 3: Sales and EBIT development last 5 years

    GF Corporation Sales and EBIT development last 5 years million CHF 3'638 3'720 3'766 3'447 2'906 Sales 2009 2010 2011 2012 2013 235 251 222 180 EBIT -58 2009 2010 2011 2012 2013 3 Investor Presentation | 20 May 2014

  4. Slide 4: 2015 profitability objectives re-confirmed, adapted to Swiss GAAP FER

    GF Corporation 2015 profitability objectives re- confirmed, adapted to Swiss GAAP FER GF Machining GF Piping Systems GF Automotive Solutions GF ROS 11~13% 5~7% 6~8% 8~9% ROIC 17~20% 15~18% 15~18% 16~20%  Increase GF Piping Systems share of sales to 40~45%  Optimize GF Automotive productivity in Eu

  5. Slide 5: Steady progress towards a better geographical balance

    GF Corporation Steady progress towards a better geographical balance RoW Americas RoW Americas RoW Americas Asia 3% Asia 3% Asia 4% 14% 10% 13% 18% 20% 21% 69% 64% 61% Europe Europe Europe 2011 2012 2013 RoW = Rest of the world 5 Investor Presentation | 20 May 2014

  6. Slide 6: Portfolio evolution in line with strategy

    GF Corporation Portfolio evolution in line with strategy 46% 42% 40% 37% 35% 32% 22% 23% 23% 2011 2012 2013 2011 2012 2013 2011 2012 2013 GF Piping Systems GF Automotive GF Machining Solutions 6 Investor Presentation | 20 May 2014

  7. Slide 7: All three divisions clearly generate value

    GF Corporation All three divisions clearly generate value ROIC 18.7% 16.7% 16.1% 15.2% 8.6% WACC 7 Investor Presentation | 20 May 2014

  8. Slide 8: GF Piping Systems

    GF Piping Systems CHF 1 402 million sales 6 095 employees 54 companies worldwide 8 Investor Presentation | 20 May 2014

  9. Slide 9: Business Overview

    GF Piping Systems Business Overview Industry 37% Building 24% Technology 39% Utility Industry Utility Building Technology Market Trend:  Market Trend:  Market Trend: Position: World #1 Position: World #1 Position: Switzerland #1, Leading in selected markets Major competitors: Simona, Major competi

  10. Slide 10: Sales and EBIT development last 5 years

    GF Piping Systems Sales and EBIT development last 5 years million CHF 1'402 1'299 1'176 1'174 1'066 Sales 23% 2009 (16%) 2010 2011 2012 2013 41% 137 137 135 141 (48%) 80 EBIT 2009 2010 2011 2012 2013 10 Investor Presentation | 20 May 2014

  11. Slide 11: A strong worldwide positioning

    GF Piping Systems A strong worldwide positioning Sales 2013 (2012) Rest of Asia the world 8% 27% (6%) (27%) Americas 23% (23%) 42% (44%) Europe 11 Investor Presentation | 20 May 2014

  12. Slide 12: Underlying water needs …

    GF Piping Systems Underlying water needs … Industrial Applications Domestic Applications Reclamation & Recycling Water Distribution Water Extraction Treatment 12 Investor Presentation | 20 May 2014

  13. Slide 13: … support growth

    GF Piping Systems GF Pipings Systems … support … support growth growth Water treatment Water recycling, Desalination, Contamination prevention Water & Gas Distribution New networks and substitution of metals by plastics Building Services, Plumbing & Heating New buildings and renovation, water qualit

  14. Slide 14: Acquisition in Turkey enhances presence in growing markets

    GF Piping Systems Acquisition in Turkey enhances presence in growing markets  Sales of CHF 100 million  650 employees  Plants in Cerkezköy (West) and Sanliurfa (East)  Cross-selling in full swing 14 Investor Presentation | 20 May 2014

  15. Slide 15: GF Automotive

    GF Automotive CHF 1 498 million sales 4 947 employees 10 plants worldwide 15 Investor Presentation | 20 May 2014

  16. Slide 16: Business Overview

    GF Automotive Business Overview Iron casting 58% 42% Light metal casting Iron casting Light metal casting Market Trend: Market Trend:  Position: Europe # 1 Position: Europe Top 3 Major competitors: Major competitors: Componenta, Fagor Ederlan, Nemak, Handtmann, Ryobi, Teksid, INFUN, Fujiwa, Aisin K

  17. Slide 17: Sales and EBIT development last 5 years

    GF Automotive Sales and EBIT development last 5 years million CHF 1'552 1'664 1'579 1'498 1'261 Sales 2009 2010 2011 2012 2013 71 70 53 37 EBIT -60 2009 2010 2011 2012 2013 17 Investor Presentation | 20 May 2014

  18. Slide 18: European car market recovery supports sales growth

    GF Automotive European car market recovery supports sales growth Sales 2013 (2012) Industrial Asia applications Americas 10% 3% 6% (9%) (3%) Passenger Trucks cars 29% 87% 65% (88%) Europe 18 Investor Presentation | 20 May 2014

  19. Slide 19: Higher penetration in new Euro 6 trucks…

    GF Automotive Higher penetration in new Euro 6 trucks… … bolsters volume at iron foundries 19 Investor Presentation | 20 May 2014

  20. Slide 20: Focus on iron casting and light metal pressure die casting

    GF Automotive Focus on iron casting and light metal pressure die casting Aluminum + Magnesium Iron castings pressure die-castings Substitution of forged steel brackets Swingarm in Magnesium Weight reduction: 15% Weight Reduction: 35% 20 Investor Presentation | 20 May 2014

  21. Slide 21: GF Machining Solutions

    GF Machining Solutions CHF 867 million sales 2 873 employees 40 companies worldwide 21 Investor Presentation | 20 May 2014

  22. Slide 22: Business Overview

    GF Machining Solutions Business Overview Milling EDM 28% 34% 7% 31% Customer Automation / Services Tooling EDM Milling Automation / Tooling Customer Services Market Trend:  Market Trend:  Market Trend:  Market Trend:  Position: World #1 Position: HSM Top 5 Position: World #1 Position: Captive ma

  23. Slide 23: Sales and EBIT development last 5 years

    GF Machining Solutions Sales and EBIT development last 5 years million CHF 842 867 800 721 578 Sales 2009 2010 2011 2012 2013 45 51 22 37 EBIT -81 2009 2010 2011 2012 2013 23 Investor Presentation | 20 May 2014

  24. Slide 24: Strong geographical diversification

    GF Machining Solutions Strong geographical diversification Sales 2013 (2012) Rest of Asia the world 4% 30% (4%) Americas (31%) 18% (17%) 48% (48%) Europe 24 Investor Presentation | 20 May 2014

  25. Slide 25: Focusing on less cyclical segments Example: Aerospace

    GF Machining Solutions Focusing on less cyclical segments Example: Aerospace 25 Investor Presentation | 20 May 2014

  26. Slide 26: GF AgieCharmilles renamed GF Machining Solutions

    GF Machining Solutions GF AgieCharmilles renamed GF Machining Solutions EDM Laser Texturing Milling Automation 26 Investor Presentation | 20 May 2014

  27. Slide 27: Financial statements

    Financial statements 27 Investor Presentation | 20 May 2014

  28. Slide 28: Income statement

    GF Corporation Income statement million CHF 2013 2012  in % Sales 3 766 3 720 1 Gross value added 1 294 1 266 2 Personnel expenses -914 -915 0 EBITDA 380 351 8 Depreciation, amortization -129 -129 0 EBIT 251 222 13 Financial result -45 -35 29 Share of results of associates 0 1 - Extraordinary resul

  29. Slide 29: Sales by division

    GF Corporation Sales by division million CHF Growth ∆ % 1) 2013 2012 in CHF in LC GF Piping Systems 1 402 1 299 7.9 % 2.7 % GF Automotive 1 498 1 579 -5.1 % 0.5 % GF Machining Solutions 867 842 3.0 % 3.2 % Corporation 3 766 3 720 1.2 % 1.9 % 1) Adjusted for changes in scope of consolidation and stat

  30. Slide 30: EBIT and ROS by division

    GF Corporation EBIT and ROS by division million CHF ROS % 2013 2012 2013 2012 GF Piping Systems 141 135 10.1 % 10.4 % GF Automotive 70 53 4.7 % 3.4 % GF Machining Solutions 51 45 5.9 % 5.3 % Corporation 251 222 6.7 % 6.0 % 30 Investor Presentation | 20 May 2014

  31. Slide 31: Balance sheet: Assets

    GF Corporation Balance sheet: Assets million CHF 2013 % 2012 % Securities / Cash and cash equiv. 653 338 Trade accounts receivable 568 524 Inventories 647 630 Assets held for sale 23 0 Other current assets 98 92 Current assets 1 989 64 1 584 59 Property, plant and equipment 1 008 970 Intangible asse

  32. Slide 32: Balance sheet: Liabilities and equity

    GF Corporation Balance sheet: Liabilities and equity million CHF 2013 % 2012 % Current liabilities 1 259 839 Liabilities held for sale 23 0 Non-current liabilities 866 846 Liabilities 2 148 69 1 685 63 Share capital 41 41 Share premium 60 121 Treasury shares -9 -5 Retained earnings 843 778 Non-contr

  33. Slide 33: Free cash flow

    GF Corporation Free cash flow million CHF 2013 2012 EBITDA 380 351 Changes in net working capital 15 -57 Income taxes / interest paid -74 -66 Other changes -12 2 Cash flow from operating activities 309 230 Additions to property, plant and equipment -130 -132 Cash flow from acquisitions / divestiture

  34. Slide 34: Net debt and Free cash flow

    GF Corporation Net debt and Free cash flow million CHF Net debt Free cash flow Free cash flow excl. acquisitions Net debt / EBITDA 600 19.7x 1.0x 0.8x 1.0x 0.9x 472 500 352 321 334 400 294 300 174 200 150 104 103 99 150 100 108 94 103 19 0 2009 2010 2011 2012 2013 34 Investor Presentation | 20 May 2

  35. Slide 35: Key figures

    GF Corporation Key figures million CHF 2013 2012  Sales in % 1.2 2.3  Sales in % (organic growth / LC) 1.9 -0.6 Return on Sales (EBIT margin) in % 6.7 6.0 Net profit in % of sales 3.9 3.7 Cash flow from operating activities in % of sales 8.2 6.2 ROIC in % 16.7 15.7 Return on Equity in % 14.8 14.2

  36. Slide 36: Outlook 2014

    Outlook 2014 36 Investor Presentation | 20 May 2014

  37. Slide 37: Outlook 2014

    GF Corporation Outlook 2014  Upwards trend in demand but not across the board  Strong order book at GF Machining Solutions and specially at GF Automotive  Portfolio GF Automotive streamlined to iron and aluminum pressure die-casting  GF Piping Systems sales to catch up GF Automotive’s in 2014 To

  38. Slide 38: Investments aligned with strategy

    Investments aligned with strategy 38 Investor Presentation | 20 May 2014

  39. Slide 39: Increase GF Piping Systems share of sales to 40~45%

    Increase GF Piping Systems share of sales to 40~45% Invest in very large fittings 22nd and 23rd plant in China for water transport (for water pipes) Schaffhausen, CH Zhuozhou, CN (CHF 15 million) (CHF 20 million) 39 Investor Presentation | 20 May 2014

  40. Slide 40: Optimize GF Automotive productivity in Europe / Expand in China

    Optimize GF Automotive productivity in Europe / Expand in China Automate to maintain leadership 50% capacity increase in truck components to cope with demand Singen, DE (CHF 65 million) Kunshan, CN (CHF 30 million) 40 Investor Presentation | 20 May 2014

  41. Slide 41: Focus GF Machining Solutions on less cyclical segments

    Focus GF Machining Solutions on less cyclical segments (CHF 50 million R&D outlay per annum) New wire-cutting EDM machine A complete solution to replace broaching (in aeronautics) for new dental braces 41 Investor Presentation | 20 May 2014

  42. Slide 42: Questions & Answers

    Thank you Questions & Answers 42 Investor Presentation | 20 May 2014

  43. Slide 43: Disclaimer

    Disclaimer This document is for presentation purposes only and should not be construed as an offer, invitation or solicitation to subscribe for, purchase or sell any investment. Neither it nor anything it contains shall form the basis of any contract whatsoever. Opinions expressed herein reflect the

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