Thales Sa · EURONEXT:HO

Thales Sa — Gemalto — FY2009 Earnings Presentation

18 slides from Thales Sa's earnings presentation, Mar 4, 2010

  1. Slide 1: FY 2009 Earnings Release

    IIIII FY 2009 Earnings Release Olivier Piou, CEO Jacques Tierny , CFO March 4, 2010 Listen-only live audio webcast available from www.gemalto.com/investors

  2. Slide 2: Disclaimer

    Disclaimer This communication does not constitute an offer to purchase or exchange or the solicitation of an offer to sell or exchange any securities of Gemalto. Forward-Looking Statements This communication contains certain statements that are neither reported financial results nor other historical

  3. Slide 3: Overview

     Overview Olivier Piou, CEO  Financial Results  Moving Forward 3

  4. Slide 4: Full year 2009 results highlights

    Full year 2009 results highlights  Full year revenue at € 1654 million, with positive signs in Q4  Adjusted operating income increased to € 182 million before special provision of € 11 million  Operating margin improvement, with all segments now reporting profits  Merger objective of 10% EBIT ma

  5. Slide 5: Financial Results

     Overview  Financial Results Jacques Tierny, CFO  Moving Forward 5

  6. Slide 6: Adjusted and IFRS results reconciliation

    Adjusted and IFRS results reconciliation Gemalto presents income statements on an Adjusted basis for a better appreciation of its operating performance over the period, as IFRS 3 “Business Combinations” has several significant impacts on financial statements Minus: Minus: Adjusted before Special Reo

  7. Slide 7: Gemalto further expands profitability

    Gemalto further expands profitability Extracts from Gemalto FY 2009 Adjusted Income Statement Revenue € 1,654m (2%)* Gross Profit Gross Margin € 600m +80bp 36.3% + 1% EBIT margin EBIT € 171m +20bp 10.3% + 1% Earnings Per Share (Basic) € 1.75 (3%) EBIT before EBIT margin special provision € 182m +90b

  8. Slide 8: Gross margin improvements in all segments

    Gross margin improvements in all segments Mobile Communication Secure Transactions Security before special provision Revenue Revenue Revenue (8%) * € 888m +1% € 441m +14% * € 248m Gross Profit Gross Margin Gross Profit Gross Margin Gross Profit Gross Margin (3%) € 382m +150 bp 43% +1% € 119m +40bp 2

  9. Slide 9: Record operating cash flow

    Record operating cash flow Key items from Gemalto FY 2009 Cash flow statement € in millions 2008 2009 Cash generated by operating activities 191 224 before cash outflows related to restructuring actions Cash used in restructuring actions (59) (24) Cash generated by operating activities 132 200 Capit

  10. Slide 10: Sound use of cash to create value

    Sound use of cash to create value Investments in operations € 53m Bolt-on Acquisitions Operating cash flows € 74m € 200m Share buy-back € 65m  A dividend of € 0.25 per share (i.e. € 21 million) in respect of the fiscal year 2009 will be proposed to shareholders at next AGM 10

  11. Slide 11: Update on currency

    Update on currency Breakdown of Currency Exposure 2009 Revenue In 2009, the positive effect of the US Dollar appreciation vs. the Euro was offset by the USD negative effect of the weakening of Others EUR 43% 40% Others 17% We have improved natural hedging, and at Q1 ’10 exchange rates Q1 ’09 2009 Co

  12. Slide 12: Value creation through disciplined earnings expansion

    Value creation through disciplined earnings expansion Mobile Secure Communication Transactions Security Resilience in a cautious Return to growth in Q4 Turned to profit market 8% EBIT margin in H2 Further earnings expansion EBIT 10.3% 11.0% excl. special provision 14.3% ROCE 2 15.2% excl. special pr

  13. Slide 13: Profit from operations

    Profit from operations For the period 2010-2013 Gemalto will report profit from operations In 2009, profit from operations differs from the adjusted EBIT by keeping out the equity-based compensation charges FY 2009 Adjustment related FY 2009 In € million under adjusted to equity-based under new Pres

  14. Slide 14: Moving Forward

     Overview  Financial Results  Moving Forward Olivier Piou, CEO 14

  15. Slide 15: Outlook

    Outlook Our business has strong fundamentals and prospects. We continue our mission to provide trust and convenience to the wireless and digital world. In 2010 we are focused on growth, actively promoting our expanded product portfolio and delivering more software and services to our customers, in o

  16. Slide 16: 2010 priorities: back to growth

    We emerged from 2009 on a solid footing, and now advancing onto 2010 with clear priorities 2009: Fortified Competitive Position 2010 Priorities: Back to Growth  Demonstrated resilience in adverse  Focus on revenue growth, capturing global economic environment digital security opportunities globall

  17. Slide 17: World Leader in Digital Security

    [  World Leader in Digital Security   Markets in Strong Development   Unique Technology Portfolio   Blue Chip Customers   Large Free Float and Robust Financials   A Business Model with Strong Leverage on Growth  17

  18. Slide 18: Full year 2009 results - Q&A Session

    IIIII Gemalto full year 2009 results - Q&A Session Questions will be taken by way of conference call, by dialing (FR) +33 1 72 00 09 84 (UK) +44 203 367 9456 (US) +1 866 907 5923 Listen-only live audio webcast available from www.gemalto.com/investors

Gemalto — FY2009 Earnings Presentation on 6ix