Upload
others
View
1
Download
0
Embed Size (px)
Citation preview
Schouw & Co.2015 H1Investor presentation
AUGUST 2015
CEO JENS BJERG SØRENSENIR KASPER OKKELS
2015 H1 at a glance: Continued progress
revenue
5.9bnGrowth 16% // 2014H1: 5.1bnImpact from volatile raw material prices
EBIT
303m26% growth from 2014H1Positive effect from forex and raw materials
cash flow from operations
224m2014H1: 243mUnsatisfactory increase in NWC in BioMar
NIBD/EBITDA
0.1xSmall increase in NIBD y/yVery strong and solid financial position
profit from associates and JVs
47m2014H1: -7mNo PPA effect in Kramp, Xergi 8% EBIT
return on invested capital
17.0%ROIC incl. goodwill 14.1%Progress in all companies except BioMar
13.08.2015Interim Report 2015H1 2
200
220
240
260
280
300
320
340
360
380
Jan Mar May Jul Sep Nov Jan Mar May Jul
Schouw & Co. share price
C20 CAP indexed to Schouw & Co.
MidCap indexed to Schouw & Co.
2014 2015
Key figures
Revenue and income 2015H1 2014H1 2014FY
Revenue 5,888 5,064 11,784
EBITDA 494 415 1,070
- margin 8.4% 8.2% 9.1%
EBIT 303 239 708
- margin 5.1% 4.7% 6.0%
Profit after tax in associates and JVs 47 -7 28
Cash flows 2015H1 2014H1 2014FY
Cash flows from operating activities 224 243 628
Cash flows from investing activities -184 -81 -355
Of which investment in PPE -165 -95 -233
Cash flows from financing activities -116 56 -563
Invested capital and financing 2015H1 2014H1 2014FY
Working capital 2,013 1,541 1,775
Net interest bearing debt (NIBD) 134 24 44
Total equity 6,366 5,740 6,074
ROIC excl. goodwill 17.0% 18.1% 16.9%
ROIC incl. goodwill 14.1% 15.0% 14.0%
NIBD/EBITDA 0.1 0.0 0.0
30%increase in share price
in 2014
13.08.2015Interim Report 2015H1 3
21%increase in share price
in ’15H1
BioMar
Volume flat compared to 2014H1 Same total y/y volume in both Q1 and Q2 21% revenue increase due to higher raw material prices Increase in Norwegian volumes (final deliveries, contract base) Decrease in Chilean volumes (declining market, smaller fish, early harvest) Continental Europe on par despite challenges in Greece
Chile remains the key challenge Entire farming industry in financial difficulties Debtor management increasingly important Lower market share but no loss of customers Chile main reason to surge in NWC (forex, payment terms, inventory, etc.) Market volume expected to decline in next quarters
Maintaining 2015 outlook Contract base in Norway as expected (volumes and margins) Debtor risk and low volumes in Americas but positive
effect from USD exchange rate Greece seems towards a sustainable solution No effect from Chinese JV with Tongwei (but good progress) Outlook raised after Q1 following a strong first quarter
13.08.2015Interim Report 2015H1 4
RevenueLTM
EBITLTM
GuidanceRevenue 2014 8,4517m
org. 2015 ~8.5bnafter Q1 2015 ~9.0bn
EBIT 2014 434morg. 2015 360-410m
after Q1 2015 375-425m
BioMar 2015-H1 financials13.08.2015Interim Report 2015H1 5
Q2 YTDLTM 2014
2015 2014 D 2015 2014 D
Revenue 2,230 1,837 21% 4,139 3,430 21% 9,161 8,451
EBITDA 115 114 1% 201 183 10% 592 574
EBITDA% 5.1% 6.2% -17% 4.9% 5.3% -9% 6.5% 6.8%
EBIT 78 79 -1% 127 112 13% 449 434
EBIT% 3.5% 4.3% -18% 3.1% 3.3% -6% 4.9% 5.1%
Profit before tax 69 73 -5% 120 102 18% 417 398
Cash Flow from operations -96 148 NA -101 84 NA 81 266
Equity 1,929 1,665 16% 1,902
- in % of total assets 36.9% 36.4% 1% 39.3%
Inv. Capital (ex goodwill) 2,219 1,784 24% 1,931
- ROIC 21.8% 24.4% -10% 22.9%
Net Working Capital 1,260 802 57% 983
- in % of LTM revenue 13.8% 9.2% 49% 11.6%
NIBD 686 539 27% 386
- times LTM EBIDTA 1.2x 0.9x 26% 0.7x
Fibertex Personal Care
Small decline in revenue and volume Volume growth in Denmark but decline in Malaysia Lower raw material prices affects revenue negatively Positive effect from consolidation of Innowo Print Strong cash flow from operations of DKK 220m (2014H1: 100m) ROIC of 15.8% following significant lowering of NWC
Volatile raw material prices Pass-through mechanisms with some months lag About DKK +30m EBIT effect in Q1, about DKK -25m in Q2, minor effect expected in Q3 PP prices seems to have stabilized
Innovation and value-add Starting up print production in Malaysia Ongoing innovation in softer, lighter and loftier products Growing with Japanese premium diaper manufactures
Narrowing EBIT guidance Raising lower end of interval High capacity utilisation required Industry remains dynamic
13.08.2015Interim Report 2015H1 6
RevenueLTM
EBITLTM
GuidanceRevenue 2014 1,787m
2015 ~1.7bnEBIT 2014 171m
org. 2015 160-180mnew 2015 170-180m
Fibertex Personal Care 2015-H1 financials
Q2 YTDLTM 2014
2015 2014 D 2015 2014 D
Revenue 404 421 -4% 832 847 -2% 1,772 1,787
EBITDA 70 66 5% 169 136 24% 340 308
EBITDA% 17.3% 15.8% 10% 20.3% 16.1% 26% 19.2% 17.2%
EBIT 34 34 0% 98 73 35% 197 171
EBIT% 8.5% 8.1% 4% 11.8% 8.6% 37% 11.1% 9.6%
Profit before tax 29 31 -4% 94 64 46% 199 169
Cash Flow from operations 129 29 347% 220 100 119% 345 226
Equity 738 630 17% 730
- in % of total assets 41.6% 36.0% 16% 38.8%
Inv. Capital (ex goodwill) 1,225 1,195 3% 1,336
- ROIC 15.8% 12.9% 23% 14.4%
Net Working Capital 225 268 -16% 293
- in % of LTM revenue 12.7% 16.8% -24% 16.4%
NIBD 560 646 -13% 688
- times LTM EBIDTA 1.6x 2.3x -29% 2.2x
13.08.2015Interim Report 2015H1 7
Fibertex Nonwovens
Another strong quarter Growth in auto and high-value segments Substantial progress in EBIT and gross margin Effect from acquisitions, forex, scale and transformed business model One-off gain of DKK 3m following acquisition of shares in South Africa
Consolidating strong international position State-of-the-art equipment at all sites US platform contributes positively Significant long-term potential in South Africa Promising product development pipeline Proven strong ability to drive industry consolidation
2015 guidance raised for the 2nd time Effect from strong H1 (H2 always low season) Still challenges from upgrades and installation of new line Consolidation of South Africa (negative EBIT in 2015) Uncertainty about raw material prices
13.08.2015Interim Report 2015H1 8
RevenueLTM
EBITLTM
GuidanceRevenue 2014 1,048m
2015 ~1.2bnEBIT 2014 62m
org. 2015 65-75mafter Q1 2015 70-80m
new 2015 75-85m
Fibertex Nonwovens 2015-H1 financials
Q2 YTDLTM 2014
2015 2014 D 2015 2014 D
Revenue 328 267 23% 634 539 18% 1,143 1,048
EBITDA 44 31 40% 89 64 38% 153 128
EBITDA% 13.4% 11.8% 14% 14.1% 12.0% 18% 13.4% 12.2%
EBIT 25 16 59% 52 33 58% 81 62
EBIT% 7.6% 5.9% 29% 8.2% 6.1% 34% 7.1% 5.9%
Profit before tax 22 13 76% 45 27 70% 69 50
Cash Flow from operations 23 32 -29% 51 51 0% 82 82
Equity 463 331 40% 385
- in % of total assets 33.0% 33.8% -2% 32.7%
Inv. Capital (ex goodwill) 1,034 730 42% 874
- ROIC 9.4% 7.1% 33% 8.4%
Net Working Capital 349 283 23% 319
- in % of LTM revenue 30.5% 28.5% 7% 30.4%
NIBD 593 409 45% 522
- times LTM EBIDTA 3.9x 3.6x 8% 4.1x
13.08.2015Interim Report 2015H1 9
Hydra-Grene
Strong H1 and high activity in wind ~45% of revenue comes from wind segment
Very strong wind sales to USA
Significant effect from good utilisation of capacity
Danish OEM market on par with 2014H1
Offshore oil/gas remains small compared to OEM and Wind
Business development Increasingly complex products and system solutions
Investments required to build strong offshore segment
New ERP system implemented and running
Looking to strengthen growth platform
Better outlook for 2015 Better than expected/awarded sales to wind
Increased competition in all segments
Plunging sales to agricultural sector
13.08.2015Interim Report 2015H1 10
RevenueLTM
EBITLTM
GuidanceRevenue 2014 566m
org. 2015 ~500mnew 2015 ~550m
EBIT 2014 60morg. 2015 45-55mnew 2015 50-60m
Hydra-Grene 2015-H1 financials
Q2 YTDLTM 2014
2015 2014 D 2015 2014 D
Revenue 151 147 2% 299 281 7% 584 566
EBITDA 23 22 4% 43 41 5% 80 78
EBITDA% 15.2% 14.9% 2% 14.2% 14.5% -2% 13.7% 13.8%
EBIT 19 18 9% 35 32 11% 64 60
EBIT% 12.6% 11.9% 6% 11.8% 11.3% 5% 10.9% 10.6%
Profit before tax 17 17 2% 36 30 18% 67 61
Cash Flow from operations -5 -12 -59% 40 10 285% 89 60
Equity 176 164 8% 188
- in % of total assets 44.3% 39.0% 14% 48.0%
Inv. Capital (ex goodwill) 289 309 -6% 292
- ROIC 23.8% 22.3% 7% 22.6%
Net Working Capital 188 195 -3% 187
- in % of LTM revenue 32.2% 37.1% -13% 33.1%
NIBD 101 145 -30% 96
- times LTM EBIDTA 1.3x 1.9x -34% 1.2x
13.08.2015Interim Report 2015H1 11
Kramp
Strong development in H1 Revenue up 4.6% and EBIT 17% driven by the big markets in PL, FR, NL
EBIT margin of 11.7% in Q2
Robust business model: high share of wearables and repair parts
Agro customers facing difficulties in selected markets
Harvesting the merger synergies Integration of Grene and Kramp progresses as planned
Expected level of synergies confirmed so far
Investments in IT required as expected
Maintaining 2015 outlook Full effect in Schouw & Co. P/L as PPA depreciations are eliminated
Disclosed 2017 revenue target of EUR 1bn requires M&Abut 13% EBITDA target remains intact
13.08.2015Interim Report 2015H1 12
GuidanceRevenue 2014 4,905m
2015 ~5.25bnEBIT 2014 405m
2015 425-450m
New warehouse in Poland
Kramp 2015-H1 financials
Q2 YTDLTM 2014
2015 2014 D 2015 2014 D
Revenue 1,439 1,360 6% 2,693 2,576 5% 5,023 4,905
EBITDA 201 179 13% 345 287 16% 576 529
EBITDA% 14.0% 13.1% 6% 12.8% 11.5% 11% 11.5% 10.8%
EBIT 169 150 12% 281 241 17% 445 405
EBIT% 11.7% 11.0% 6% 10.4% 9.3% 12% 8.9% 8.3%
Profit before tax 157 138 14% 261 212 23% 395 346
Equity 1,267 1,214 4% 1,063
- in % of total assets 39.2% 40.6% -3% 38.1%
Inv. Capital (ex goodwill) 2,578 2,479 4% 2,434
- ROIC 17.6% 17.5% 0% 16.6%
Net Working Capital 1,544 1,511 2% 1,434
- in % of LTM revenue 30.7% 31.6% -3% 29.2%
NIBD 1,311 1,265 4% 1,371
- times LTM EBIDTA 2.3x 2.4x -7% 2.6x
13.08.2015Interim Report 2015H1 13
Other activities
Xergi Significant progress in 2015
Revenue up to DKK 235m (2014H1: 86m)
EBIT margin about 8% (2014H1: loss)
Maintaining high activity level also in 2015
Effect from many years of investing in technology and markets as well as strong Danish market
Unchanged good prospects for biogas
Focus on international markets
Incuba Invest Small profit (as in 2014H1)
Properties HQ at Chr. Filtenborgs Plads in Aarhus
Two factories in Frederikshavn (Martin Prof.)
Small property in Aarhus rented to former Grene Industri service
13.08.2015Interim Report 2015H1 14
2015 guidance
REVENUE DKK million
2015 F
after Q2
2015 F
original
2014
actual
BioMar c. 9,000 c. 8,500 8,451
Fibertex Personal Care c. 1,700 c. 1,700 1,787
Fibertex Nonwovens c. 1,200 c. 1,200 1,048
Hydra-Grene c. 550 above 500 566
Other/eliminations - - -68
Total revenue c. 12.5bn c. 12bn 11,784
Kramp (100%) c. 5,250 c. 5,250 4,905
EBIT DKK million
2015 F
after Q2
2015 F
original
2014
actual
BioMar 375-425 360-410 434
Fibertex Personal Care 170-180 160-180 171
Fibertex Nonwovens 75-85 65-75 62
Hydra-Grene 50-60 45-55 60
Other c. -20 c. -20 -20
Total EBIT 650-730 610-700 708
Associates etc. 65-75 60-70 28
Financial items, net c. -10 c. -35 -35
Profit before tax 705-795 635-735 701
Kramp EBIT (100%) 425-450 425-450 405
13.08.2015Interim Report 2015H1 15
Upwards adjusted after Q1Upwards adjusted after Q2
Strategic goals13.08.2015Interim Report 2015H1 16
Growth Substantial growth every year
Profit Benchmark level profitability
Return ROIC > 15%, but dependent on level of risk
Leverage Comfort zone for NIBD is 1-2 times EBITDA
Payout Constant/increasing dividends and share buybacks
Portfolio A ’handful’ of big and strong businesses
Contact
Investor Relations CEO/President
Kasper Okkels Jens Bjerg Sørensen
[email protected] schouw @ schouw.dk
+45 87 34 58 24 +45 86 11 22 22