Payment Solutions. Kurt Gallo President, Crane Payment Solutions

Transcription

1 Payment Solutions Kurt Gallo President, Crane Payment Solutions

2 Crane 2012 Sales $174M Crane Payment Solutions Sales by Vertical Market Sales by Region Vending EMEA Americas Gaming 29% 20% 28% 12% Transportation 55% Retail 20% 19% Service Payment 16% APAC Broad Base of Global Customers 2

3 Global Supplier of Payment Systems Payment Solutions Bill Validators & Recyclers Coin Validators Coin Dispensers Coin Dispensers & Recyclers Coin & Bill Vending 3

4 Innovation defines our Future Products launched in the last 12 months Coin Validation Bill Validation Coin Recycler Coin Accept Dispense and Recycle Bill Accept and Recycle Credit Card Reader Bezel Bill Recycling Buli Coin Loader / Validator New Global Products Driving Share Gains 4

5 Crane Payment Solutions Customers Major Customers Are Industry Leaders 5

6 Financial Results and Outlook E Sales $113 $111 $176 $174 $180 Operating Profit* $21.5 $17.8 $22.7 $25.1 $27.0 Operating Margin* 19.0% 15.8% 12.8% 14.4% 15.0% % core growth, offset by currency headwinds Strong OP improvement, driven by productivity gains Well positioned for % core sales growth, driven by innovation Optimistic about long term growth prospects Productivity driving 15% OP * Excludes Special Items. See Non-GAAP table for details 6

7 $ Millions Productivity Momentum Continues to Accelerate YOY Productivity Improvements $8 $6.8M $6 $4 $3.7M $2.9M $2 CPS Has Developed 55 Lean Tool Champions Completed >181 Kaizens in Last 3 Years $ Toronto, Canada Kiev, Ukraine Manchester, UK Buxtehude, Germany 7

8 Optimistic About Payment Solutions Growth Prospects Retail Gaming Transportation Service Payment Vending ~$200m Market CAGR: ~7% ~$300m Market CAGR: ~5% ~$120m Market CAGR: ~5% ~$100m Market CAGR: ~10% ~$250m Market CAGR: ~3% Retail segment includes: Self-checkout terminals Retail safes Stand alone coin dispensing Product uses: Casino slot machines Video Lottery Terminals Amusement with Prize machines Consists of ticket vending machines developed for: Metropolitan subway Rail systems worldwide On / off street parking kiosks Growing use of kiosks to pay utility bills, such as cell phones and electricity Vending machine operators are the largest global users of unattended cash handling equipment Bottlers and full-line operators Growth Opportunities in All Verticals 8

9 $ Millions Service Kiosk Market Projected 10% CAGR Through 2015 Bill Validation Payment System Vending Sales $40 $30 $20 Superior Security High Reliability $10 $ Service kiosk seeing strong emerging markets adoption; heavily influenced by growth of mobile phone usage Gains will continue as the emerging markets of India, Latin America and Southeast Asia continue to mature $100M Global Service Kiosk Market Source: ResearchMedia.com 9

10 $ Millions Solid Sales Execution and Bundling Driving Growth in Vending Cashless Payment Payment System Vending Sales $40 $30 $ New Product Innovation $10 $ Modest growth 3% expected through 2015 Bundling Payment Systems with Vending Machine is working Launch of new cashless solutions and improved validation provides incremental upsell and profits $250M Global Payment Systems Vending Market 10

11 $ Million Innovative New Product Driving Growth in Transportation Bill Recycling Transportation Segment Growth $30 $20 $ New Product Innovation $ Parking Systems and Automated Ticketing for Mass Transit Market expected to grow at around a 5% rate going forward Share growth in automated ticketing with 2011 launch of innovative bill recycling technology $120M Global Transportation Market Source: The Boston Consulting Group UNIFE Rail Study 11

12 $ Million Long-term Prospects Bullish for Retail Coin Recycling Estimated Self Check-out (SCO) Unit Volume $40 $30 $ New Product Innovation $10 $ Self check-out, Pay Tower, Intelligent Safes, & Point of Sale Market trend is positive as retailers continue to invest in productivity enhancement projects Expect CAGR to be in the 7% range going forward. $200M Global Retail Market Source: NCR PR, dated 11/1/

13 Sales ($ Million) Strategy to Grow Share in the Gaming Market Bill & Coin Validation Gaming Casino & Amusement with Prize Casino slot replacement rates rebounding. Momentum expected to continue. Sales up 8% YOY in 2012 AWP market heavily influenced by Legislative changes; Germany stabilized New products and legislative changes expected to drive incremental market growth in 2013 $300M Global Gaming Market Sources: PricewaterhouseCoopers LLP, Wilkofsky Gruen Associates 13

14 Payment Solutions Executive Summary % core growth, offset by currency headwinds Productivity improvement drove strong results in basis point operating margin improvement on flat sales % growth factored into 2013 sales guidance Well executed productivity driving 15% OP margin Optimistic About Future Growth Prospects, Innovative Products Will Continue to Drive Market and Share Gains 14

15 Any Questions? For more information please visit 15