Bilfinger Se · XETR:GBF
Bilfinger — Non-Deal Roadshow (August 2022)
35 slides from Bilfinger's roadshow presentation, August 2022
Slide 1: Bilfinger SE Company Presentation
Bilfinger SE Bilfinger SE Company Presentation August, 2022 Turnaround Neste in Porvoo, Finland
Slide 2: Overview and strategic outline
Overview and strategic outline
Slide 3: Bilfinger at a glance
Bilfinger at a glance Leading international industrial services provider €3.74bn revenue Efficiency enhancement of assets, ensuring a high level of availability, reducing emissions and lower maintenance costs thereof recurring business ~65% Combination of excellence in services covering the li
Slide 4: Global trends
Global trends Aging Assets & ESG / Climate Skilled Labor Data & Artificial Asset Integrity Change Shortage Intelligence Europe & US: Aging assets ▪ CO2 limits Europe ▪ Machine learning ▪ Increasing maintenance ▪ Emissions & Air pollution ▪ Demographics ▪ Predictive / prescriptive costs ▪ Clean energ
Slide 5: Bilfinger core capabilities
Bilfinger core capabilities Skilled labor Domain Expertise Digitalization ▪ Europe’s #1 Maintenance Services ▪ Engineering / Process knowledge ▪ Digital tools on shop floor level Company ▪ Focus on key industries enhance efficiency and safety ▪ Leading Employer Branding ▪ Sustainable industrial serv
Slide 6: Engineering & Maintenance Europe
Engineering & Maintenance Europe Excellence in services covering the lifecycle of industrial plants Contract type split (by Revenue) – Financial Data FY 2021 FY 2021 Revenue €2,518m, EBITA €116m Projects 25% (incl. Products) Regions United Kingdom, Nordics, Belgium/Netherlands, Framework and Germany
Slide 7: Engineering & Maintenance International
Engineering & Maintenance International Excellence in services covering the lifecycle of industrial plants Contract type split (by Revenue) – Financial Data FY 2021 FY 2021 Revenue €634m, EBITA -€18m 35% Projects Regions (incl. Products) North America, Middle East Framework and 65% Service Services
Slide 8: Technologies
Technologies Excellence in products, manufacturing and innovative solutions Contract type split (by Revenue) – Financial Data FY 2021 FY 2021 Projects Revenue €560m, EBITA €19m (incl. Products) 25% Regions International Framework and 75% Services Service • Technological and digital innovations Indus
Slide 9: Sustainability @ Bilfinger
Sustainability @ Bilfinger
Slide 10: The Bilfinger Sustainability Commitment
THE BILFINGER SUSTAINABILITY COMMITMENT People Planet Customers Governance Occupational safety: Energy & Emissions: Sustainable Compliance: Zero is possible Become ‘Net Zero’ in Industrial Services: Never compromise on Supply Chain: GHG Scope 1 and 2 by Target revenue of integrity Broaden scope of c
Slide 11: People and Governance
People and Governance Number and severity of safety incidence on a best-in-class level We never compromise on safety and compliance Safety is good business Integrity is non-negotiable Safety KPIs (based on 1m man hours) 1 0.84 0.71 0.67 Fully integrated Prevent Established compliance Detect culture
Slide 12: Become 'Net Zero' in GHG Scope 1 and 2 by 2030 at the latest
Planet Become ‘Net Zero’ in GHG Scope 1 and 2 by 2030 at the latest Roadmap Reduction of CO2 emissions Reducing our Collect Group-wide data based on Greenhouse Gas Protocol CO2 footprint (GHG) categories Reporting results according to GHG Scope 1 and 2 Concept for Scope 3 in the making Contribute by
Slide 13: Planet: ~60,000 tCO2e in Scope 1 and 2
Planet ~60,000 tCO2e in Scope 1 and 2, with biggest impact from fleet and offices (heat and power-supply) [tCO2e] Scope 1 Scope 2 34,845 emissions emissions • CO2 from combustion • Electricity consumption 35,608 of natural gas, oil and in properties, vehicles other materials for and machinery heatin
Slide 14: Customer - Sustainable Industrial Services Portfolio
Customer - Sustainable Industrial Services Portfolio Production Transportation and Storage Consumption Green H2 Production Energy Efficiency & Carbon Reduction Chemicals CC S H2 Transportation Oil & Strongly Gas emerging Nuclear Hydro Battery Commercial Power Plants Heat Established sector € 100m En
Slide 15: Mid-term targets
Mid-term targets
Slide 16: We are well positioned for growth
We are well positioned for growth Sustainable Industrial Services more than compensate for partly slower development in established areas € Market & volumes Margin profile Cash development Capital allocation Growth areas Improving gross Building on the Dividend of €4.75 per identified margin
Slide 17: Focused M&A strategy
Focused M&A strategy Targeted bolt-on acquisitions to complete our regional and technical footprint Funding Bolt-on M&A € priorities M&A and organic growth investments: several hundred million euros within the next Core Geographies 2 to 3 years Core Industries with high synergy potential Capital all
Slide 18: Well on track to reach 2024 targets
Well on track to reach 2024 targets Revenues [€ million] EBITA [€ million] / margin [%] >250 org. +5% CAGR1) 3.2% >5.0% >5,000 121 4,153 4,327 0.7% 3,461 3,737 -0.2% -1.6% 32 -7 2018 2019 2020 2021 … 2024e -57 2018 2019 2020 2021 … 2024e Free Cashflow [€ million] >200 115 93 56 57 2018 2019 2020 202
Slide 19: Group outlook for 2022 confirmed
Group outlook for 2022 confirmed Actual FY 2021 Outlook FY 2022 Revenue €3,737 million Significant increase EBITA €121 million Significant increase Free cash flow €115 million At prior-year level Underlying assumption: As the global consequences of the Russia-Ukraine war are still not fully foreseea
Slide 20: Financial targets 2024 confirmed
Financial targets 2024 confirmed Revenues EBITA ROCE Free Cash margin Flow sustainably min. >5 5 8-10 >200 € billion % % € million Investment Grade (mid-term perspective) Sustainable dividend stream going forward Policy: 40 to 60% of net profit Bilfinger SE | Company Presentation | August 2022 page
Slide 21: Financials Q2 2022
Financials Q2 2022
Slide 22: Q2 2022 Bilfinger with solid performance
Q2 2022 Bilfinger with solid performance Market outlook • Continued positive momentum in all segments +4% org. • Balanced mix of smaller and larger contracts Orders received +9% org. • Increases in E&M Europe and E&M International Revenue 3.0% • Up +80bps from 2.2% EBITA margin €19 million • Increas
Slide 23: Market outlook and contract example: Chemicals & Petrochem
Market outlook and contract example Chemicals & Petrochem Maintenance framework agreement for Kemira in 30%1) Sweden Overall trend Contract volume: €40 million, renewal for 5 years Exclusive responsibility for maintenance and project-related Large investments expected going forward especially
Slide 24: Market outlook and contract example: Energy & Utilities
Market outlook and contract example Energy & Utilities Supporting Europe's largest district cooling project 20%1) Planning and installation of plant equipment for new district Overall trend cooling center in Munich Reduction of up to 70% in electricity consumption and thus CO2 Increasing green
Slide 25: Market outlook and contract example: Oil & Gas
Market outlook and contract example Oil & Gas Major framework agreement with Shell in the 20%1) Gulf of Mexico Overall trend Multi-million dollar contract over 3+1+1 years Responsibility for all routine maintenance services at nine offshore Construction and expansion of LNG terminals and gas s
Slide 26: Market outlook and contract example: Pharma & Biopharma
Market outlook and contract example Pharma & Biopharma Innovative solutions for state-of-the-art biopharma 10%1) production facility in Europe Overall trend Joined development for biopharma processing equipment with leading global pharmaceuticals company Complex masterskid solution: cost-effecti
Slide 27: Increased order backlog a good starting point for second half
Increased order backlog a good starting point for the second half of the year Development of orders received 2021 2022 Orders received Q2 Q3 Q4 Q1 Q2 • Year-on-year increase of +4% (org.: +4%), driven by balanced mix of smaller and +4%/+4% org. larger contracts 1,117 1,107 1,061 1,028 • All segments
Slide 28: Increase in revenue and EBITA margin
Increase in revenue and EBITA margin Development of revenue and profitability Revenue 2021 2022 • Year-on-year increase of +10% Q2 Q3 Q4 Q1 Q2 (org.: +9%) +10%/+9% org. • Increase in E&M Europe and E&M 1,078 International, Technologies below prior 977 945 982 961 year quarter 5.7% EBITA margin (%) 3
Slide 29: Gross profit and SG&A ratio further improved
Gross profit and SG&A ratio further improved Gross profit (€ million) SG&A expenses (€ million) 107 95 95 (9,9%) (9.7%) (9.9%) -73 -74 -76 (-7.5%) (-7.7%) (-7.0%) Q2/21 Q1/22 Q2/22 Q2/21 Q1/22 Q2/22 Bilfinger SE | Company Presentation | August 2022 page 29
Slide 30: E&M Europe: Increase in revenue, EBITA stable
E&M Europe: Increase in revenue, EBITA stable at high prior-year level Development of revenue and profitability Orders received • +3% (org.: +3%) 2021 2022 • Book-to-bill at 0.92 Q2 Q3 Q4 Q1 Q2 Revenue +9%/+9% org. • Increase of 9% (org.: +9%), 725 • Especially high in the Nordics based on a strong
Slide 31: E&M International: Revenue growth and improvement in EBITA
E&M International: Revenue growth and improvement in EBITA Development of revenue and profitability Orders received 2021 2022 • -1% (org.: -11%), nominally stable on high comparable, supported by stronger US-Dollar Q2 Q3 Q4 Q1 Q2 • Book-to-bill at 1.06 +30%/+16% org. Revenue 186 • Strong growth of +
Slide 32: Technologies: Revenue and EBITA below prior-year
Technologies: Revenue and EBITA below prior-year Development of revenue and profitability Orders received • Increase of +3% (org.: +3%), mainly due to 2021 2022 new Pharma & Biopharma projects Q2 Q3 Q4 Q1 Q2 • Book-to-bill at 1.24 -4%/-5% org. Revenue 145 • Decrease of -4% (org.: -5%), reflecting 14
Slide 33: Increase in net profit and higher free cash flow
Increase in net profit mainly based on improved EBITA Higher free cash flow with better cash conversion Net profit (€ million) Cash Flow (€ million) 19 28 19 13 -40 Q2 2021 Q2 2022 -43 Q2 2021 Q2 2022 Operating Cash Flow Free Cash Flow Bilfinger SE | Company Presentation | August 2022 page 33
Slide 34: Net Liquidity decreased due to dividend payment of €196 million
Net Liquidity decreased due to dividend payment of €196 million Development of net liquidity Net liquidity 1) (€ million) Cash flow development year-to-date (€ million) excl. IFRS 16 295 28 -9 -1 -210 1 91 -13 0 01. Apr OCF Net Capex Acquisitions/ Cash flow Cash flow Change in Other 30. Jun 2022 dis
Slide 35: Disclaimer
Disclaimer This presentation has been produced for support of oral information purposes only and contains forward- looking statements which involve risks and uncertainties. Forward-looking statements are statements that are not historical facts, including statements about our beliefs and expectation