KION GROUP AG Corporate Presentation. Frankfurt, April 2018

Transcription

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2 KION GROUP AG Corporate Presentation Frankfurt, April 2018

3 KION Group at a glance A world leader in supply chain solutions, industrial trucks, services European No. 1 + Global No. 2 in industrial trucks and services 1.3 million Growing truck base worldwide support after sales business Global presence in more than 100 countries with about 32,000 employees Around 1,500 sales and/or service locations Global No. 1 in supply chain solutions Over 6,000 installed warehouse systems at customers World-renowned brands are clear industry leaders. 3

4 KION Group at a glance A truly global player with a well-balanced portfolio billion revenue 10.0% adjusted EBIT margin ~ 32,000 highly skilled employees Industrial Trucks and Services Revenue % 26% 19% 69% 12% Americas EMEA Supply Chain Solutions APAC New Business 61% 39% Services 4

5 Our shared KION Group values INTEGRITY COLLABORATION COURAGE EXCELLENCE We do what is right. We trust each other. We change and innovate. We create outstanding customer value. 5

6 Strategy KION 2027 Aspiration for profitable growth Growth Grow above the material handling market Provide attractive return on capital for shareholders Capital efficiency Profitable growth Profitability Remain most profitable player in the industry Maintain profitability across business cycle Resilience 6

7 Strategy KION 2027 Strategic fields of action set priorities Digital solutions and processes Efficient use of energy and new energy sources Automation solutions for our customers Solutions for Material Handling Innovation ecosystem and agile development processes Innovation Performance High-performing products, efficient processes 7

8 Growth drivers and trends Attractive market with growth profile above GDP Industrial trucks demand grows approx. 1.5x World GDP 1 Growth drivers Growth in % per year 4.1% 3.3% 4.2% 2.8% Global new trucks 3.0% 2.5% 8.4% Global GDP 2.7% Globalisation Industrialisation Automation systems (Top 20 suppliers revenue in $bn) CAGR ~7% Fragmentation of supply chains E-Commerce Industry 4.0 Automation Digitisation Calculated based on CAGRs for new truck sales and GDP for Source: WITS/FEM, IMF; Modern Materials Handling

9 KION Group Segments A unique and complete material handling offering KION Group segments Industrial Trucks and Services Supply Chain Solutions Corporate Services incl. Financial Services Operating Units Linde MH EMEA STILL EMEA KION Americas KION Asia Pacific Operating Unit Dematic Internal service entities Holding functions 9

10 Corporate Services KION Group Segments A unique and complete material handling offering Industrial Trucks and Services Supply Chain Solutions 10

11 Integrated Total Offering across KION From industrial trucks to fully automated warehouses Fleet data management Warehouse trucks E-trucks IC-trucks 11

12 Industry 4.0 and Internet of Things (IoT) How the KION Group adds value to customer operations and warehouses Automation systems Intelligent trucks Trucks equipped with electronic control unit Driver assistance systems Fleet data management Fleet data services Optimise truck fleet usage Automated trucks Full range of automated series trucks Automation of the entire material flow Customised integrated supply chain solutions Automated trucks combined with further hard and software 12

13 Benefits for the customer Cost-efficient material handling 68% EMEA Acceleration of product handling & shipment Prevention of accidents & damages Optimisation of operation times & energy consumption 13

14 Market-Leading Positions Globally A unique player in Intralogistics 4.0 Industrial trucks Automation systems Top 6 suppliers 2016 Top 6 suppliers Toyota Unicarriers 4 Jungheinrich 5 Crown 6 Hyster-Yale 2 SSI Schäfer 3 Daifuku 4 Vanderlande 5 Knapp 6 Intelligrated Unique combination of industrial trucks and automation systems Market-leading positions globally Source: Börsen-Zeitung

15 Industrial Trucks and Services 15

16 Industrial Trucks and Services: Segment Overview A world leader in industrial trucks with a strong service business Current key financials Revenues by product 2,3 (in m) Q Order intake 1,485 5,859 5,383 Revenue 1,369 5,631 5,203 Adjusted EBIT Adjusted EBIT Margin 9.9% 11.4% 11.3% Services 44 % New Business 56 % Revenue by geography³ Truck order intake by industry 2,3 South America 2 % North America 2 % Asia 10 % EEU 9 % Rest of WEU 15 % RoW 4 % Spain 4 % UK 7 % Italy 7 % Germany 24 % France 16 % Other Industries 22 % 1 Adjusted for PPA items and non-recurring items 2 Calculation based on German customer base ³Financial Year 2017 Logistics 17% Paper & Print 3 % Metals 11 Construction 6 % % Beverage 6 % Food 10 % Automotive 7 % Chemicals 10 % Wholesale 8 % 16

17 Integrated Industrial Trucks and Services business model Global capital goods ecosystem of products and services New truck sales ~ 48% of new truck sales carry financing contracts. Financial Services Ongoing customer relationship (e.g. short-term rental) triggers new truck sales. Rental and used trucks Products Services After duration of financing, trucks are used in rental fleet or sold as used trucks. Most financing contracts also contain service contracts. Aftersales and service solutions 17

18 Industrial Trucks and Services A unique range of products 1 serving customer needs worldwide Internal combustion (IC) counterbalanced trucks Mainly used outside Electric (E) counter-balanced trucks Mainly used inside Warehouse technology: rider trucks Faster transportation of loads Specially designed for warehouse requirements Warehouse technology: pedestrian trucks Transportation of loads at a walking pace Tractors Industrial processes / train stations / airports Automated and autonomous vehicles Warehouse & Distribution Solutions 1 Note: The products shown are just a selection from our comprehensive product range. 18

19 Supply Chain Solutions 19

20 Supply Chain Solutions: Segment Overview Leading in material handling automation solutions Key financials (in m) Q Order intake 396 2, Revenue 471 2, Adjusted EBIT Revenues by product² Services 25 % Business solutions 75 % Adjusted EBIT Margin 1 7.4% 9.0% 1.6% Revenue by region² Revenue by industry² APAC 13 % EMEA 30 % Americas 57 % 1 Adjusted in line with KION Group s adjusted financial performance indicators ²Financial Year 2017 Other 14 % Parcel 4 % E-Commerce 32 % Grocery 5 % Wholesale 7 % Apparel 9 % General merchandise 18 % Food and beverage 11 % 20

21 Supply Chain Solutions Comprehensive integrated range of high-end automation solutions Warehouse execution system Advanced real-time, knowledge-based logistics software beyond warehouse management & control software Conveyor Sortation Storage Picking Palletising All conveyor types for assembly, manufacturing and distribution Focus on fast, reliable sortation Full sortation technology range Complete storage range including AS/RS 1, shuttles and racking Voice-directed picking Pick and Put-to- Light systems Mixed case palletising solutions Customer service, upgrades and refurbishments 1 AS/RS = Automated storage and retrieval systems 21

22 Supply Chain Solutions Total life cycle support optimises system productivity Modernisation, upgrades Spare parts service Consulting, training Worldwide service network More than 600 service employees in 18 countries reach 90% of customers within 2 hours Remote monitoring, diagnostics and support Focus on faultless system Operations support onsite Dematic service solutions Customer Service onsite Remote monitoring 68% EMEA Modernisation and upgrades New life for old systems regardless of make or model Increased throughput, productivity and accuracy Customised programmes can be implemented with minimal disruption to operational schedule 22

23 Corporate Operational KION Group History Almost two centuries of leadership Start of forklift truck production at Fenwick Start of forklift truck production at STILL. First electric trolleys and forklift trucks World s first Automated Guided Vehicle (AGV) Production of first DEMAG storage and retrieval machines 351 series sets new design and performance standards for forklift trucks First manufacturer to introduce ergonomic model in India Launch of 39X truck Launch of hybrid trucks First steps towards using lithium-ion battery modules in various electric truck models Start of igoeasy Cooperation with Balyo for robotic solutions Start of forklift truck production at OM Start of forklift truck production at LMH Hubtrac First forklift truck with hydro-static drive Launch of energy saving program Blue Q Start of Strategy Foundation of OM Foundation of Güldner Motoren- Gesellschaft by Carl von Linde, Hugo Güldner and partners Formation of Demag, Mech. Werkstätten (Germany) Foundation of STILL Formation of Rapistan (USA) Foundation of Voltas Linde AG takes over STILL Foundation of Colby (Australia) Acquisition of Fenwick JV with Baoli Formation of KION Group, acquisition by KKR/GSCP Foundation of Baoli Linde AG takes over OM Strategic Partnership with Weichai Power JV with Voltas Combination of OM and STILL Dematic acquires HK Systems IPO of KION GROUP AG Voltas becomes KION India Acquisition of Retrotech Dematic acquires SDI Group and Reddwerks Acquisition of Egemin Handling Automation Linde NA becomes KION North America Acquisition of Dematic 23

24 Shareholder structure Included in MDAX and STOXX Europe 600 indices Aktionärsstruktur Shareholder structure March zum Juli 2016 KION GROUP AG 0.1 % Free float 56.6 % Weichai Power 43.3 % 24

25 Global Manufacturing Network Production facilities for Industrial Trucks and Supply Chain Solutions Hamburg Holland Grand Rapids Suzhou Jingjiang Dinklage Zwijndrecht Bielefeld Geisa Salt Lake City Monterrey Summerville Pune Xiamen Heusenstamm/ Offenbach Reutlingen Kahl Stříbro Českŷ Krumlov Aschaffenburg Châtellerault Weilbach Milan Luzzara Indaiatuba Sydney 25

26 Strong global sales and service network provides unique access to a global customer base Americas EMEA Asia Pacific (APAC) ~350 sales and/or service locations ~720 sales and/or service locations ~490 sales and/or service locations More than 1,500 sales and/or service locations in over 100 countries with ~18,000 multi-skilled industrial trucks service staff 1 and more than 3,000 systems engineers 1 Includes direct and additional external service staff 26

27 Financials Key figures KION GROUP AG I Incl. Dematic KION GROUP AG (stand alone) (in m) Q Order intake 1,885 7,979 5,833 5,553 5,216 Revenue 1,843 7,654 5,587 5,328 5,098 Adjusted EBITDA , Adjusted EBITDA margin % 16.0% 16.7% 16.7% Adjusted EBIT Adjusted EBIT margin 2 8.6% 10.0% 9.6% 9.9% 9.5% Net income ROCE 3-9.9% 6.8% 12.4% 11.9% Capital expenditures Total R&D spending Free cash flow , Net financial debt 2,119 2,096 2, Employees 6 32,042 31,608 30,544 23,506 1 Including effects of the first-time adoption of IFRS 15 and IFRS 16 2 Adjusted for PPA items and non-recurring items 3 ROCE is defined as the proportion of EBIT adjusted to capital employed 4 Capital expenditures including capitalised development costs, excluding leased and rental assets 5 Free cash flow is defined as cash flow from operating activities plus cash flow from investing activities 6 Number of employees (full-time equivalent) as at end of period 27

28 KION Group A world leader in supply chain solutions, industrial trucks and services Attractive market with growth profile above GDP A global leader: strong home base & well positioned in growth markets Technology leadership with strong position in warehouse automation KION Group Robust integrated business model with high contribution from services Profitability benchmark well prepared for future value creation Highly motivated and qualified employees Strategy KION 2027 : maintains aspiration for profitable growth 28

29 Disclaimer This document has been prepared by KION GROUP AG (the Company ) solely for informational purposes. This disclaimer shall apply in all respects to the entire presentation (including all slides of this document), the oral presentation of the slides by representatives of the Company (or any person on behalf of the Company), any question-and-answer session that follows the oral presentation, hard copies of the slides as well as any additional materials distributed at, or in connection with this presentation (collectively, the Presentation ). By attending the meeting (or conference call or video conference) at which the Presentation is made, or by reading the written materials included in the Presentation, you (i) acknowledge and agree to all of the following restrictions and undertakings, and (ii) acknowledge and confirm that you understand the legal and regulatory sanctions attached to the misuse, disclosure or improper circulation of the Presentation. The Presentation is private and confidential and may not be reproduced, redistributed or disclosed in any way in whole or in part to any other person without the prior written consent of the Company. None of the Company, its affiliates or KION Finance S.A. or any of their respective directors, officers, employees, agents or any other person shall have any liability whatsoever (in negligence or otherwise) for any loss howsoever arising from any use of the Presentation or its contents or otherwise arising in connection with the Presentation. The information and opinions contained in this Presentation do not purport to be comprehensive, are provided as at the date of the document and are subject to change without notice. The Company is not under any obligation to update or keep current the information contained in the Presentation. The Presentation does not constitute or form part of, and should not be construed as, an offer to sell or issue, or the solicitation of an offer to purchase, subscribe to or acquire, securities of the Company, its affiliates or KION Finance S.A. or an inducement to enter into investment activity in the United States or any other country. No part of this Presentation, nor the fact of its distribution, should form the basis of, or be relied on by any person in connection with, any contract or commitment or investment decision whatsoever. Certain industry, market and competitive position data contained in this Presentation, if any, come from official or third party sources. Third party industry publications, studies and surveys generally state that the data contained therein has been obtained from sources believed to be reliable, but that there is no guarantee of the accuracy or completeness of such data. While the Company believes that each of these publications, studies and surveys has been prepared by a reputable source, the Company has not independently verified the data contained therein, and the Company assumes no responsibility whatsoever in respect of the accuracy and completeness of any such data. In addition, certain industry, market and competitive position data contained in this Presentation come from the Company's own internal research and certain estimates are based on the knowledge and experience of the Company's management in the market in which the Company operates. While the Company believes that such research and estimates are reasonable and reliable, they, and their underlying methodology and assumptions, have not been verified by any independent source for accuracy or completeness and are subject to change without notice. The Company, therefore, also assumes no responsibility whatsoever in respect of the accuracy and completeness of any such research and estimates. Accordingly, no reliance should be placed on any of the industry, market or competitive position data contained in this Presentation. Statements in the Presentation, including those regarding the possible or assumed future or other performance of the Company and its affiliates or its industry or other trend projections, constitute forwardlooking statements. These statements reflect the Company s current knowledge and expectations and projections about future events and may be identified by the context of such statements or words such as anticipate, believe, expect, intend, project and target. By their nature, forward-looking statements involve known and unknown risks, uncertainties, assumptions and other factors because they relate to events and depend on circumstances that will occur in the future whether or not outside the control of the Company. Such factors may cause actual results, performance or developments to differ materially from those expressed or implied by such forward-looking statements. Accordingly, no assurance is given that such forward-looking statements will prove to have been correct. They speak only as at the date of the Presentation and the Company undertakes no obligation to update these forward-looking statements. IFRS financial information for any previous fiscal year figures is adjusted in the Presentation as necessary pursuant to changes to IFRS or other mandatory reclassifications. The addition of the totals presented may result in rounding differences. In addition to figures prepared in accordance with IFRS, the Presentation also includes certain non-gaap financial performance measures (e.g., EBITDA, EBITDA margin, adjusted EBITDA, adjusted EBITDA margin, adjusted EBIT, adjusted net profit, free cash flow, gross debt, and net debt, order intake, order book and ROCE). These non-gaap measures have been included because we believe that investors may find them helpful to measure our performance as reported under the relevant IFRS measures. However, these non-gaap measures should be considered only in addition to, but not in isolation or as a substitute for, the information prepared in accordance with IFRS. Non-GAAP financial performance measures are not subject to IFRS or any other generally accepted accounting principles, and other companies that report similarly named non-gaap measures may define or calculate these financial performance measures in different ways. 29

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