Wartsila Oyj Abp · OMXHEX:WRT1V
Wartsila Oyj Abp — Wärtsilä — Navigating the Nordics Seminar 2014
24 slides from Wartsila Oyj Abp's conference presentation, Jun 10, 2014
Slide 1: Wärtsilä Corporation – Navigating the Nordics Seminar
WÄRTSILÄ CORPORATION NAVIGATING THE NORDICS SEMINAR 10 JUNE 2014 Marco Wirén, EVP & CFO 1 © Wärtsilä
Slide 2: Net sales by business 2013
Net sales by business 2013 Ship Power 28% Services 40% Power Plants 31% 2 © Wärtsilä
Slide 3: Key figures
Key figures MEUR 2013 2012 Order intake 4872 4 940 Order book at the end of the period 4426 4 492 Net sales 4654 4 725 Operating result before non-recurring items 520 517 % of net sales 11.2 10.9 Earnings/share, EUR 1.98 1.72 Cash flow from operating activities 578 153 Net interest-bearing debt 276
Slide 4: Power Plants
Power Plants We provide superior value to our customers with our distributed, flexible, efficient and environmentally advanced energy solutions, which enable a transition to a more sustainable and modern energy infrastructure. 4 © Wärtsilä
Slide 5: Market trends and drivers
Market trends and drivers • The growth of electricity demand is strongly connected to GDP development, electrification and increasing standard of living • Demand for sustainability and focus on climate change • Rapid growth of intermittent renewable generation, combined with escalating daily, weekly
Slide 6: Power Plants order intake by customer segment
Power Plants order intake by customer segment MEUR Full year 2013 development 2000 Total EUR 1,292 million (1,515) 1800 Utilities 46% 1600 Industrials 1400 31% IPP’s* 23% 1200 1000 800 Full year 2013 order intake by fuel in MW 600 Oil 400 18% 200 Gas 0 82% 2009 2010 2011 2012 2013 1-3/2014 *IPP = In
Slide 7: Power Plants installed base
Power Plants installed base Europe: Output: 12.5 GW Asia: Output: 19.8 GW Americas: Output: 11.7 GW Total: 56.2 GW Countries: 169 Plants: 4,700 Africa & Middle East: Output: 12.5 GW Utilities IPPs Industrials Others * December 2013 7 © Wärtsilä
Slide 8: Power Plants’ strategic focus
Power Plants’ strategic focus • Maintain leading position HFO & dual-fuel power plants • Grow in the large utility gas Energy power plants by capturing Efficiency market share from gas turbines Smart • Grow in biofuel power plants by Power enabling a wide fuel range Generation • Grow in special appl
Slide 9: Developing medium-scale LNG infrastructure
Developing medium-scale LNG infrastructure v 9 © Wärtsilä
Slide 10: Ship Power
Ship Power We are passionate about optimising lifecycle value by offering what our customers need - operational efficiency, environmental excellence, fuel flexibility and services. 10 © Wärtsilä
Slide 11: Market trends and drivers
Market trends and drivers • Development of the global economy drives seaborne trade • Development of oil & gas prices stimulates investments in exploration and production of offshore oil & gas • Increasing focus on energy efficiency and environmental performance • Environmental regulations drive dem
Slide 12: Good activity in vessel contracting
Good activity in vessel contracting Merchant Offshore Cruise and Ferry Special vessels 3 months moving average in CGT * 250 5 200 4 * 150 3 # of vessels Million CGT 100 2 50 1 0 0 11.11 09.09 01.12 01.09 03.09 05.09 07.09 01.10 03.10 05.10 07.10 09.10 03.12 05.12 07.12 09.12 01.13 03.13 05.13 07.13
Slide 13: Growth in Ship Power order intake
Growth in Ship Power order intake MEUR 2000 Full year 2013 development 1800 7% 3% 1600 1400 8% 34% 1200 6% 1000 800 600 400 200 42% 0 2011 1-3/2014 2009 2010 2012 2013 Merchant Offshore Other Special vessels Cruise Navy and ferry 13 © Wärtsilä
Slide 14: Ship Power market: market position of Wärtsilä’s marine engines
Ship Power market Market position of Wärtsilä’s marine engines Medium-speed main engines Low-speed main engines Auxiliary engines Mitsubishi Wärtsilä 1%(2) 3%(4) Wärtsilä Others 9%(10) 20%(19) Wärtsilä Caterpillar 51%(52) 6%(4) MAN D&T Others 23%(25) MAN D&T 90%(88) 97%(96) Total market volume last
Slide 15: The most complete marine offering on earth
The most complete marine offering on earth 15 © Wärtsilä
Slide 16: Ship Power’s strategic goal
Ship Power’s strategic goal To be recognised as the leading provider of innovative products and integrated solutions in the marine and oil & gas industry. Leader in Efficiency Gas and dual-fuel solutions Environmental solutions Through • Lifecycle solutions for ship owners and operators offering • I
Slide 17: Wärtsilä Services’ global network
Wärtsilä Services’ global network Installed base 70 countries, 160 locations, 11,000 service professionals 182,000 MW Widest range of offering and expertise 17 © Wärtsilä
Slide 18: Market trends and drivers
Market trends and drivers • Focus on total cost of ownership • Development of installed base and installation utilisation • Growth of gas as a fuel • Changes in environmental regulations and safety requirements • Outsourcing of operations and maintenance • Accelerating technological development and
Slide 19: Stable development in Services
Stable development in Services MEUR Full year 2013 development 2000 1800 23% 1600 1400 1200 1000 52% 800 17% 600 400 200 8% 0 2009 2010 2011 2012 2013 1-3/2014 Spare parts Contracts Field service Projects 19 © Wärtsilä
Slide 20: Wärtsilä’s service agreements around the world
Wärtsilä’s service agreements around the world North Europe 2,900 MW Middle East & Asia Americas 5,390 MW 5,140 MW South Europe & Africa 4,930 MW Marine Power 20 © Wärtsilä
Slide 21: Differentiated service offering through modularisation
Differentiated service offering through modularisation Culture and Customer organisation needs Growth and profitability through superior customer Customer experience understanding Customer focus Offering v 21 © Wärtsilä
Slide 22: Positioned for growth even in challenging markets
Positioned for growth even in challenging markets Smart Power Gas as Environmental Generation a fuel solutions 22 © Wärtsilä
Slide 23: Prospects for 2014
Prospects for 2014 Wärtsilä expects its net sales for 2014 to grow by 0-10% and its operational profitability (EBIT% before non-recurring items) to be around 11%. v 23 © Wärtsilä
Slide 24: WARTSILA.COM – IR Contact
WARTSILA.COM IR Contact: Natalia Valtasaari Director, Investor Relations Tel. +358 (0) 40 187 7809 E-mail: [email protected] 24 © Wärtsilä