Our Businesses Compressed Air...

Transcription

1 Compressor Technique Bengt Kvarnbäck September 19, 2002 Our Businesses Compressed Air... Machines Solutions Services 2 Our Businesses and a bit of Gas Compressors Generators Specialty Rental 3 1

2 Our Customers Industry Service Providers Distributors 4 Our Vision To be... First in Mind First in Choice 5 Our Vision Through... Interaction Innovation Commitment 6 2

3 Our Vision OFFERING CUSTOMERS Best Value 7 CT SILENT VIDEO 8 The Foundation Strategic Building Blocks 9 3

4 The Foundation Global Presence Local Service - Own People 10 The Foundation Product Focus - Product Range Management - Application Knowledge 11 The Foundation Technology And Cost Leadership - Structure 12 4

5 Technology The Future Innovation Matrix No Changes Improvements Variants New Benefits New Core Value NEW GENERATION RADICAL INCREMENT. BASIC SUPPORT DERIVATIVE NEW PLATFORM BREAKTHROUGH Product Projects The Portfolio BB 7 CC 7 14 The Foundation Global Logistics - Customer Service - Lean Structure - Capital Management 15 5

6 The logistics video 16 The Foundation IS - Management 17 The Foundation People - Shared Values 18 6

7 The Foundation Are we doing the things right? 19 The Foundation Concept s - Benchmarking Is there a Better Way? 20 MSEK x The Growth - 10 years sales +7% +7% Year

8 - Now 22 Profitability (EBIT) EARLY 90-ies RECENT YEARS % % 23 Profitability Compressor Element Demand Evolution - 10 years

9 Profitability Trend - Slight Dip Volume Currency Market- and Product Projects Unchanged Acquisitions 25 Lean Balance Sheet Operating Capital Turn-over rate? 3.8 Receivables + Inventories? 34 % of revenues 26 Inventories in Days Days Inventory, 12 months 27 9

10 After Market - Continuous Growth Now at approx. 4% 28 After-market One division - a consistent trend 12m value m total (right) 29 After - Market Share of Total Industrial Business 36% Trend: Increasing 30 10

11 BRANDS 31 Brands Better Territory Coverage Market Share Customer Choice Synergies 32 Brands Priority Distributors Channel Smaller machines Specialty Rental 33 11

12 Efficiency - Concepts 34 The Airtec video 35 Market Trends Industry - Value Focus Solutions Convenience Energy Efficiency - Life-cycle Cost Global Consistency Quality Service and Support Outsourcing Fewer Suppliers 36 12

13 Market Trends Construction More maintenance - less new Rental Hydraulics vs. Pneumatics Market for small compressors declining slowly 37 Market Trends Environment - Sustainability Energy Focus Air Quality Emissions Noise Pollution Remote Control - Diagnostics Recycling Strong driving forces in product development 38 China Wuxi Shanghai Atlas Copco key hub Liutech key hub Liuzhou Hongkong Taipei 39 13

14 Market Coverage Atlas Copco Atlas Copco sales office Market Coverage Liutech Liutech key hub & sales offices China Strong Growth in Machine Sales, After-market business and personnel 42 14

15 India The Country of Eternal Hopes and Growth Potential 43 India Gurgaon Chandigarh Panchkula Delhi Jaipur Lucknow Udaipur Ahmedabad Bhopal Baroda Indore Surat Nashik Nagpur Mumbai Arbad Pune Jamshedpur Kolkata Rourkela Bhubaneshwar Kolhapur Hyderabad Securandabad Vijaywada Banglore Chennai Cochin Madurai Visakhapatnam ACI Branch Offices CP Branch Offices ACI Factory CP Factory 44 India Lean, Modern Structure Stable Profitability Prepared for Growth 45 15

16 Russia Steady demand increase More orderly business climate supports investment confidence 46 RUSSIA 47 The Gulf Area Growth Opportunities (Provided Politically Stable and Oil Priced kept up) 48 16

17 The Gulf Area New Regional Rental and Business Support Hub in Bahrain 49 USA Strengthening Marketing, Distribution and After-market presence Increased Market Shares 50 Business Focus - After-market Increase Share in Installed Base Direct and through Distributors More Service Contracts 51 17

18 Business Focus - Air Treatment Grow Market Share No. 2 No Growth Objective > 7% Organic Product Range Extensions Scope of Supply Acquisitions Price 53 and We are well ahead of competition in size and performance... and intend to keep it that way! 54 18