Date post: | 08-May-2015 |
Category: |
Business |
Upload: | kloeckner-co-se |
View: | 125 times |
Download: | 0 times |
Klöckner & Co SE
A Leading Multi Metal Distributor
Berenberg and Goldman Sachs
German Corporate Conference
Munich
CFO
Marcus A. Ketter
September 25, 2013
Disclaimer
This presentation contains forward-looking statements which reflect the current views of the management of
Klöckner & Co SE with respect to future events. They generally are designated by the words “expect”, “assume”,
“presume”, “intend”, “estimate”, “strive for”, “aim for”, “plan”, “will”, “strive”, “outlook” and comparable expressions and
generally contain information that relates to expectations or goals for economic conditions, sales proceeds or other
yardsticks for the success of the enterprise. Forward-looking statements are based on currently valid plans, estimates
and expectations. You therefore should view them with caution. Such statements are subject to risks and factors of
uncertainty, most of which are difficult to assess and which generally are outside of the control of Klöckner & Co SE. The
relevant factors include the effects of significant strategic and operational initiatives, including the acquisition or
disposition of companies. If these or other risks and factors of uncertainty occur or if the assumptions on which the
statements are based turn out to be incorrect, the actual results of Klöckner & Co SE can deviate significantly from those
that are expressed or implied in these statements. Klöckner & Co SE cannot give any guarantee that the expectations or
goals will be attained. Klöckner & Co SE – notwithstanding existing obligations under laws pertaining to capital markets –
rejects any responsibility for updating the forward-looking statements through taking into consideration new information
or future events or other things.
In addition to the key data prepared in accordance with International Financial Reporting Standards, Klöckner & Co SE is
presenting non-GAAP key data such as EBITDA, EBIT, Net Working Capital and net financial liabilities that are not a
component of the accounting regulations. These key data are to be viewed as supplementary to, but not as a substitute
for data prepared in accordance with International Financial Reporting Standards. Non-GAAP key data are not subject to
IFRS or any other generally applicable accounting regulations. Other companies may base these concepts upon other
definitions.
2
Agenda
3
Highlights and update on strategy 02
Financials Q2/H1 2013
Outlook
Appendix
03
04
05
Overview 01
Klöckner & Co SE at a glance 01
4
Customers Distributor / Service Center Producers
Products :
Klöckner & Co SE
• Largest producer-independent steel and metal
distributor and one of the leading steel service
center companies in the European and American
markets combined
• Distribution and service platform with around 230
locations worldwide
• Key figures for 2012
Turnover: 7.1 million tons
Sales: €7.4 billion
EBITDA €139 million (before
restructuring)
Services: • Machinery
and
mechanical
engineering
• Yellow Goods
• White Goods
• Miscellaneous
• Automotive
• Commercial/
residential
construction
• Infrastructure
Holistic solution from covering procurement, logistics and processing 01
5
Suppliers Sourcing Products
and services
Logistics /
distribution
• As a producer-
independent
distributor, our
customers
benefit from our
diverse national
and
international
procurement
options
Customers
• Procurement of
large quantities
• Strategic
partnerships
• Extensive
product range
• Excellent
product and
processing
quality
• Wide-ranging
service
provision
• Local presence
• Individual
delivery,
including 24-
hour-service
• More than
160,000
customers
• Average normal
order size
approx. €2,000
Klöckner & Co value chain
Global reach – local presence 01
6
• With around 230 locations in 15 countries we assure local availability for our customers
• Austria
• Belgium
• Brazil
• China
• England
• France
• Germany
• Ireland
• Mexico
• Netherlands
• Puerto Rico
• Scotland
• Spain
• Switzerland
• USA
USA:
38%
Brazil:
1%
China:
1%
D*:
25%
F/BE:
13%
CH:
10%
NL:
3% UK:
6%
ES: 3%
As of December 2012
Europe:
60%
* 2012 EEC included, but completely sold in Q1 2013
Acquisitions shift exposure towards more promising regions and products 01
7
* 2012 EEC included, but completely sold in Q1 2013
As of December 2012
Klöckner is together with TK the second largest steel and metal distributor in Europe
and number three in the US 01
8
1%
Reliance
Ryerson
TK
Samuel
O'Neal
Russel
Macsteel
Metals USA
PNA
Namasco
Others
Europe
US
2007 2011
5% AMDS
TK
KCO
Salzgitter
Tata
Others
5% AMDS
TK
KCO
Salzgitter
Tata
Others
4% Reliance
Ryerson
KloecknerMetals
TK
Others
• Position in the US significantly improved whereas market share in Europe is expected to remain
stable despite heavy restructuring measures
Source: Eurometal, Purchasing Magazine, Service Center News
Steel demand in EU-27 still well below pre crisis level
01
9
• Continuous recovery in North America since 2009, but again sharp decline in EU-27
• Development in Brazil surprisingly weak since 2010, whereas steel demand in China is further
increasing
• High overcapacities in Europe and China disturb global balance of supply and demand
• Capacity utilization too low to strengthen margins through stronger price discipline
Source: WSA
198
183
120
145 153
140 139
2013e 2012 2011 2010 2009 2008 2007
142 131
84
111 121
2013e 2012 2011 2010 2009 2008 2007
22 24 19 26 25 26 27
2012 2011 2010 2009 2008 2007 2013e
131 135
210
Installed steel production capacity in million t
Steel demand in million t
+34% -30%
-5%
China Brazil NAFTA EU-27
133
35
+30%
-2%
2012
669
646
2011
624
2010
588
2009
551
2008
447
2007
418
2013e
>25%
>850
Agenda
10
Highlights and update on strategy 02
Financials Q2/H1 2013
Outlook
Appendix
03
04
05
Overview 01
Negative market impact increasingly compensated by far advanced restructuring
measures 02
11
EBITDA-margin improved, net loss reduced
• Market especially in Europe (-7,4% yoy)* but also in the US (-2.5% yoy)** in Q2 further under pressure
• Turnover of Klöckner & Co declined by 9.3% yoy also due to closure and divestment of sites and
exit of low margin business (-5.0%p)
• Sales -13.5% yoy additionally burdened by lower price level Gross profit of €305m under proportionally
by 11.4% below prior year, gross margin improved from 17.5% to 18.0%
• Q2-EBITDA of €43m met guidance of €35-45m also w/o incl. €7m from the release of pension accruals
• Restructuring measures far advanced: 60 out of 70 sites closed and 1.800 out of more than 2.000 HC
reduced; extended measures to be implemented by the end of 2013, EBITDA contribution of €17m in
Q2 and €29m in H1 realized
• Operating EBITDA of between €30m-€40m expected for Q3 2013
• Full year operating EBITDA target at last year`s level of €140m (before restructuring) despite weaker
H1 2013. Restructuring costs of €18m (w/o compensating effects) expected against €77m in 2012.
* Source: Eurometal; turnover of distribution in Q2 in Europe yoy.
** Source: MSCI; turnover of distribution/ SSC in Q2 in the US yoy.
Against the background of continuing muted outlook for the European steel market
we further extended our comprehensive restructuring program (KCO 6.0) in May 02
12
Measures
• Program extension in France
• Realization of further synergy potential in the US
• Reduction of overall > 2,000 employees (= 17%) and ~70 sites
• Total cost reduction increased to €190m
• Total annual EBITDA-impact increased to ~€160m (before: €150m)
• Reduction of NWC by >€170m
• Additional cost of approximately €18m mainly offset by NWC release
2013
2014
€51m
already realized
€65m
€45m
Total annual EBITDA-impact of ~€160m
2011-2012
€29m
Restructuring far advanced 02
13
Employees
• 1,800 out of more than 2,000 HC
reductions completed
• 60 out of 70 targeted branches closed
or sold since start of program in Q3
2011
• Only extended measures concerning
France and the US outstanding which
are according to plan to be
implemented in H2
Comments
UK ESP
F EEC
9,995
11,577
GER
Holding US BR
Q3 2011
Europe
-1,200
Americas
Q2 2013
-359
Reduced by ~ 1,600, including temps ~1,800
~9,700
F, US
Q4 2013
-23
Sites
230
290 UK
ESP
EEC GER BR
Q3 2011 Q2 2013
220 F, US
F
US
Q4 2013
290
230 220
KCO 6.0 measures having strong impact on the P&L 02
1) After restructuring costs of €20m.
269274280288
-9%
Q2 13 Q1 13 Q4 123) Q3 12 3) Q2 12 3)
294
-2.2% -2.6% -2.3%
in €m OPEX
14
-1.8%
2) Includes one-off gain of €7m due to release of pension accruals.
• In H1 measures contributed an
additional €29m to EBITDA against
prior year, Q1: €12m, Q2: €17m
• Cost cuts achieved trough KCO 6.0
amounted to €40m in H1
• Gross profit despite higher margin
€-75m due to lower turnover
• OPEX declined by 9% compared to
Q2 2012
Comments
3) Incl. expenses due to initial application of IAS19 revised 2011
and excl. restructuring expenses.
KCO 6.0 EBITDA impact
72
30
40
-11
-27
-37
77*)
Total GP effect: ~€75m
Price
Effect
Volume
Effect
EBITDA
H1 2012
OPEX EBITDA
H1 2013
KCO 6.0
Fix-cost
effect
KCO
6.0 GP
effect
KCO 6.0
EBITDA
expenses
€29m
KCO WIN measures to support “Klöckner & Co 2020“ strategy 02
15
Enabling
activities
Differentiation
Operations
External &
internal
growth
Service model
Business model
innovations
• Profitable growth strategy with focus on value added products and
services
• Optimized net working capital
• Optimized pricing and sales force management
• Global sourcing to leverage price potential and global material flows
• Advanced logistics
• Extended e-commerce solutions
• Specific value streams for servicing customers
• Opportunities for disruptive innovations through fundamental business
model changes
Management &
personnel
development
Controlling &
IT systems
• Optimized and extended management reviews and
development programs
• Advanced systems for Accounting, Controlling, Audit, Tax & Treasury
• Extended Corporate IT
• Advanced global collaboration
KCO WIN
Growth and
optimization
Exposure to peripheral states in Europe is rather limited after restructuring 02
16
Reduced by end of the year
6,923
2,000
European
Employees1)
46
14
155
European
sites2)
2)
1) Basis is September 2011 2) Distribution locations only
36% 9% 5%
20%
<5%
23% 2%
95%
closed end of 2013
sold (EEC)
• 95% of European business is in Core Europe (Sales 2012)
Despite market distortion basis for reaching higher margin level
established through transformation of Group structure and cost cutting 02
17
• Exposure to historically more commoditized European general line distribution cut by half until 2015
BSS 2010
Macsteel 2011
Primary 2007
Canada 2008
USA
EEC 2013
Restructuring
KCO 6.0
€6.3bn €8.6bn
grow and
increase margin
grow and stabilize
high earnings level
improve
profitable
core
3% Canada
13% USA
14% CH
70% European
general line
distribution
43% USA
1% EM
12% CH
9% BSS
35%
European
general line
distribution
KVT 2008
Temtco 2008
Brazil 2011
2007 2015e Organic
growth
Major
acquisitions
Major
divestments /
restructuring
In the same period share of higher margin business will be increased by 11%pts 02
18
Construction 42% Construction
35% Construction
30%
Machinery 25%
Machinery 25% Machinery
28%
Automotive 6% Automotive
12% Automotive
14%
Others 27%
Others 28%
Others 28%
2007 2013e 2015e
+6%pts
-7%pts -5%pts
+5%pts
• Sales exposure to more commoditized construction business down from 42% in 2007 to 30%
by 2015
31%
42%
Agenda
19
Highlights and update on strategy 02
Financials Q2/H1 2013
Outlook
Appendix
03
04
05
Overview 01
Financials Q2 2013 03
20
EBITDA
Sales
Gross profit
Turnover
* Excluding restructuring costs but restated for the initial application of IAS19 revised 2011.
€1,964m
€1,698m
-13.5%
Q2 2013 Q2 2012
1,863 Tto
-9.3%
Q2 2012 Q2 2013
1,690 Tto
-13.5%
Q2 2012
€43m
€50m* €340m**
€305m
-11.4%
Q2 2013 Q2 2012 Q2 2013
€33m**
Restructuring costs
** Including restructuring costs and restated for the initial application of IAS19 revised 2011.
+31.7%
€344m*
-10.2%
Financials H1 2013 03
21
EBITDA
Sales
Gross profit
Turnover
€3,909m
€3,322m
-15.0%
H1 2013 H1 2012
3,720 Tto
-10.3%
H1 2012 H1 2013
3,336 Tto
-26.1%
H1 2012
€72m
€683m** €608m
-11.6%
H1 2013 H1 2012 H1 2013
€97m*
€77m**
Restructuring costs
** Including restructuring costs and restated for the initial application of IAS19 revised 2011.
-6.5%
* Excluding restructuring costs but restated for the initial application of IAS19 revised 2011.
€687m*
-11.1%
1,690 1,763 1,765
1,636
1,857 1,863
1,764
1,585 1,646
Q2 2011
Q3 2011
Q4 2011
Q1 2012
Q2 2012
Q3 2012
Q4 2012
Q1 2013
Q2 2013
1,885 1,885 1,739
1,945 1,964 1,847
1,633 1,625 1,698
Q2 2011
Q3 2011
Q4 2011
Q1 2012
Q2 2012
Q3 2012
Q4 2012
Q1 2013
Q2 2013
+30.5%
Turnover and sales 03
Sales (€m) & Americas share Turnover (Tto) & Americas share
• Turnover down 9.3% yoy due to weak steel markets
and restructuring impact of -5.0%p but sequentially
up by 2.7% driven by seasonal effects
• Turnover share of Americas segment continuously
increasing from 32% in Q2 2011 to over 44% in Q2
2013
• Sales -13.5% yoy additionally impacted by lower
price level
• Average price per ton down yoy (Q2 2013: €1,004
vs. Q2 2012: €1,054)
22
-13.5%
+4.5%
27.6 33.6
34.6 37.1 37.0 37.8
36.3 37.4
+2.7%
-9.3%
32.4
39.5 39.5 40.5 41.1 42.3 42.7 43.5 37.5
44.3
EBITDA (€m) / EBITDA-margin (%)
Gross profit and EBITDA 03
Gross profit (€m) / Gross-margin (%)
• Despite further declining prices, gross profit margin
improved compared to Q2 2012 (+0.5%p) mainly
due to exit of low margin business
* Before restructuring costs.
23
• Strong cost reduction with positive effect on
EBITDA-margin, generating significantly higher
EBITDA qoq out of only slightly improved gross profit
** As restated for the initial application of IAS19 revised 2011.
62
37
24*
47* 50*
18 21*
29
43*
3.3
1.9 1.3*
2.4* 2.5* 1.0 1.3* 1.8
2.5*
Q2 2011
Q3 2011
Q4 2011
Q1 2012**
Q2 2012**
Q3 2012**
Q4 2012**
Q1 2013
Q2 2013
337
318
307
344 344*
306 302* 303
305
17.9
16.8 17.6 17.7 17.5*
16.6
18.5* 18.6 18.0
Q2 2011
Q3 2011
Q4 2011
Q1 2012
Q2 2012
Q3 2012
Q4 2012
Q1 2013
Q2 2013
* Incl. €7m pension release; without release 2.1% EBITDA-margin
571
698 646
752 766 746 677
716 749
Q2
2011
Q3
2011
Q4
2011
Q1
2012
Q2
2012
Q3
2012
Q4
2012
Q1
2013
Q2
2013
520
634 602
722 727 698
592 608 637
Q2
2011
Q3
2011
Q4
2011
Q1
2012
Q2
2012
Q3
2012
Q4
2012
Q1
2013
Q2
2013
1,365 1,251
1,137 1,223 1,237
1,149 1,041 1,017 1,061
Q2 2011
Q3 2011
Q4 2011
Q1 2012
Q2 2012
Q3 2012
Q4 2012
Q1 2013
Q2 2013
1,192
1,067 990 1,105 1,097 1,018
908 930 941
Q2 2011
Q3 2011
Q4 2011
Q1 2012
Q2 2012
Q3 2012
Q4 2012
Q1 2013
Q2 2013
Key figures by segment 03
Turnover (Tto) Sales (€m) EBITDA (€m)
* Restructuring costs: Europe: €3m in Q1, €17m in Q2, €-1m in Q3 and €57m in Q4; Q4 2011: €10m; Americas: €1m in Q4.
Turnover (Tto) Sales (€m) EBITDA (€m)
Euro
pe
Am
ericas
-14.3% -14.2%
-2.1% -12.3%
24
** As restated for the initial application of IAS19 revised 2011.
50
24 22* 22*
35*
12* 16*
14
28***
Q2 2011
Q3 2011
Q4 2011
Q1 2012**
Q2 2012**
Q3 2012**
Q4 2012**
Q1 2013
Q2 2013
23
15 13
29
22
12
16*
21 20
Q2
2011
Q3
2011
Q4
2011
Q1
2012**
Q2
2012**
Q3
2012**
Q4
2012**
Q1
2013
Q2
2013
*** Includes €7m release of pensions.
Cash flow and net debt development 03
Cash flow reconciliation in Q2 2013 (€m)
• NWC reduced qoq due to weak demand
• Capex (net) of €-8m
• Other mainly includes cash outs for
restructuring provisions of €11m and
payments for settling hedging derivates of
€12m
• Interest relates to cash outs mainly for
convertible bond (€6m), promissory
notes (€10m), transaction cost for ABS and
syndicated loan renewal (€2m) and interest
derivates (€3m)
Comments
-8 -20
-29
-12
-35
-9
18
43
EBITDA
reported
Change in
NWC
Taxes Other CF from operating activities
Capex
net
Free CF Interest
25
Development of net financial debt in Q2 2013 (€m)
Q1 2013
CF from
operating
activities
Capex
(net)
Other*
Q2 2013
-489 13 -482
-8 -12
* exchange rate effects, interest.
• Equity ratio still solid at 39%
• Net debt of €489m
• Gearing* at 33%
• NWC increased seasonally by €49m to €1,456m
** As restated for the initial application of IAS 19 rev. 2011.
Strong balance sheet 03
* Gearing = Net debt/Equity attributable to shareholders of
Klöckner & Co SE less goodwill from business
combinations subsequent to May 23, 2013.
Comments
26
Assets
610 570
787 960
Liquidity
Other current assets
Trade receivables
Inventories
Non-current assets
Q2 2013
3,897
100
1,198
1,069
FY 2012**
3,880
122
1,254
1,107
994
1,384
1,502
Q2 2013
Equity
Non-current liabilities
Current liabilities
3,897
1,132
1,251
1,514
FY 2012**
3,880
Equity & liabilities
38.7% 38.9%
Balanced maturity profile June 2013 03
27
Maturity profile of committed facilities and drawn
amounts (€m)
€m Facility Committed Drawn amount
Q2 2013* FY 2012*
Bilateral Facilities 1) 565 184 98
Other Bonds 4 4 9
ABS 570 179 161
Syndicated Loan 360 161 161
Promissory Note 269 270 348
Total Senior Debt 1,768 798 777
Convertible 2009 2) 98 92 92
Convertible 2010 2) 186 170 164
Total Debt 2,052 1,060 1,033
Cash 570 611
Net Debt 489 422
€m Q2 2013
Adjusted equity 1,493
Net debt 489
Gearing 3) 33%
*Including interest
1) Including finance lease
2) Drawn amount excludes equity component
3) Net debt/Equity attributable to shareholders of Klöckner & Co SE less goodwill from business combinations
subsequent to May 23, 2013
4) Incl. Swiss facilities of 156 Mio. EUR which are automatically renewed on a yearly basis
Left side: committed facilities Right side: drawn amounts
52
42
261
104
112210
67
360
8
8
11
19
46
206
371
136
160
2016
864
136
360 268
186
212
98
62
2013
216
Thereafter
471
71
2015
299
186
71 179
98
62
2014
Convertibles Promissory notes Syndicated loan ABS Bilaterals
4)
Solid financing and balance sheet structure support strategy “Klöckner & Co 2020“ 03
28
• Balance sheet remains strong
• Equity ratio still solid at 39%
• Gearing at a low level of 33%
• Financing position is very robust
• Diversified finance structure with 10 different finance instruments
• Balanced maturity profile with average maturity of 3 years
• Access to facilities of around €2.1bn in total
• €570m cash
• European ABS and Syndicated Loan each amounting to €360m prolonged until May 2016
• Targets for 2013
• Free cash flow positive
• Reducing NWC and net debt
Agenda
29
Highlights and update on strategy 02
Financials Q2/H1 2013
Outlook
Appendix
03
04
05
Overview 01
Demand expectations for H2 04
30
As the seasonal summer slowdown approaches, markets in Europe and North America
will remain quiet with prices tending overall upwards in Q3
• Construction in Germany and Switzerland slightly better, France and UK stable on low level,
Spain weak
• Auto is expected to be low throughout 2013, especially in France
• Slightly improving demand for machinery & mechanical engineering in Germany
• Auto, HVAC, barge and shipbuilding, storage tanks better
• non-res construction, mining, yellow goods, machinery weaker
Europe
US
Brazil
China
• Further increasing demand for agricultural equipment, trucks and in energy sector
• Weaker demand for mining and sugar mills
• Healthy demand for steel structures and port equipment for export
• Basically all other sectors are not doing well, particularly mechanical engineering and
construction equipment, which is heavily oversupplied
Outlook
• Q3 2013
• Turnover and sales to be seasonally lower but less pronounced because of improving outlook in
the US
• EBITDA guidance of €30-40m driven by increasing prices and further restructuring effects kicking in
• FY 2013
• Turnover and sales expected to come in below prior year`s level mainly due to weaker H1
• Operating EBITDA target at last year`s level of €140m before restructuring costs
• Free cash flow expected to be positive
• Net debt again to be reduced yoy despite restructuring cash-outs
04
31
Agenda
32
Highlights and update on strategy 02
Financials Q2/H1 2013
Outlook
Appendix
03
04
05
Overview 01
Quarterly results and FY results 2008-2013 05
33
(€m) Q2
2013
Q1
2013
Q4
2012*
Q3
2012*
Q2
2012*
Q1
2012*
Q4
2011
Q3
2011
Q2
2011
FY
2012*
FY
2011
FY
2010
FY
2009
FY
2008
Turnover (Tto) 1,690 1,646 1,585 1,764 1,863 1,857 1,636 1,765 1,763 7,068 6,661 5,314 4,119 5,974
Sales 1,698 1,625 1,633 1,847 1,964 1,945 1,739 1,885 1,885 7,388 7,095 5,198 3,860 6,750
Gross profit 305 303 298 306 340 344 307 318 337 1,288 1,315 1,136 645 1,366
% margin 18.0 18.6 18.3 16.6 17.3 17.7 17.6 16.8 17.9 17.4 18.5 21.9 16.7 20.2
EBITDA rep. 43 29 -35 18 33 44 14 37 62 60 217 238 -68 601
% margin 2.5 1.8 -2.1 1.0 1.7 2.3 0.8 1.9 3.3 0.8 3.1 4.6 -1.8 8.9
EBIT 17 2 -89 -9 -24 18 -18 8 36 -105 111 152 -178 533
Financial result -19 -19 -14 -22 -18 -25 -21 -22 -21 -80 -84 -67 -62 -70
Income before taxes -2 -16 -103 -31 -42 -8 -39 -15 15 -185 27 84 -240 463
Income taxes -2 1 -19 3 3 -4 12 3 -9 -18 -17 -4 54 -79
Net income -4 -16 -123 -29 -39 -12 -27 -12 5 -203 10 80 -186 384
Minority interests 0 0 -1 -1 0 1 -1 -1 0 -3 -1 3 3 -14
Net income KlöCo -4 -16 -122 -28 -39 -11 -27 -11 5 -200 12 78 -188 398
EPS basic (€) -0.04 -0.16 -1.22 -0.28 -0.39 -0.11 -0.27 -0.11 0.07 -2.00 0.14 1.17 -3.61 8.56
EPS diluted (€) -0.04 -0.16 -1.22 -0.28 -0.39 -0.11 -0.27 -0.11 0.07 -2.00 0.14 1.17 -3.61 8.11
*) Restated due to initial application of IAS19 revised 2011.
Comments
Balance sheet as of June 30, 2013 05
34
(€m) June 30, 2013 December 31, 2012*
Non-current assets 1,069 1,107
Inventories 1,198 1,254
Trade receivables 960 787
Cash & Cash equivalents 570 610
Other assets 100 122
Total assets 3,897 3,880
Equity 1,514 1,502
Total non-current
liabilities 1,251 1,384
thereof financial liabilities 825 914
Total current liabilities 1,132 994
thereof trade payables 702 634
Total equity and
liabilities 3,897 3,880
Net working capital 1,456 1,407
Net financial debt 489 422
Shareholders’ equity:
• Remains stable at 38.9%
Financial debt:
• Gearing at 33%
• Gross debt of €1.1bn and
cash position of €0.6bn
result in a net debt position
of €489m
*) Restated due to initial application of IAS19 revised 2011.
Statement of changes in equity 05
* As restated for the initial application of IAS 19 rev. 2011
1.634
IAS 19R
13
Net Income
-16
Equity as of
December 31,
2012 (as restated
for IAS19)
1,502
Revised equity
as of December
31, 2012*
1,634
-132
Equity as of
March 31, 2013
1,507
F/X and Hedging
Reserves
8 • Improvement mainly
due to higher interest
rates
• Net investment hedges
• f/x foreign subsidiaries
35
KCO 6.0 EBITDA impact Q1 and Q2 2013 05
33
-7
24
-6
-21
43
20
1) Restructuring costs.
2) Includes one-off gain of €7m due to release of pension accruals.
Total GP effect: €34m
Price
Effect
Volume
Effect
EBITDA
Q2 2012
OPEX 2) EBITDA
Q2 2013
KCO 6.0
Fix-cost
effect
KCO
6.0 GP
effect
KCO 6.0
EBITDA
expenses
€17m
171)
50
36
16
-4
-16
-21
44
29
10
Total GP effect: €41m
Price
Effect
Volume
Effect
EBITDA
Q2 2012
OPEX EBITDA
Q2 2013
KCO 6.0
Fix-cost
effect
KCO
6.0 GP
effect
KCO 6.0
EBITDA
expenses
€12m
31)
47
Q2 2013 Q1 2013
Profit & loss Q2 2013 05
(€m) Q2 2013 Q2 2012*
Sales 1,698 1,964
Gross profit 305 340
Personnel costs -142 -163
Other operating expenses (net) -120 -144
EBITDA 43 33
Depreciation & Amortization -26 -57
EBIT 17 -24
Financial result -19 -18
EBT -2 -42
Taxes -2 3
Net income -4 -39
Minorities 0 0
Net income attributable to KCO shareholders -4 -39
37
*) Restated due to initial application of IAS19 revised 2011.
Segment performance Q2 2013 05
38
(€m) Europe Americas HQ/Consol. Total
Turnover (Tto)
Q2 2013 941 749 1,690
Q2 2012 1,097 766 1,863
Δ % -14.3 -2.1 -9.3
Sales
Q2 2013 1,061 637 0 1,698
Q2 2012 1,237 727 0 1,964
Δ % -14.2 -12.3 -13.5
EBITDA
Q2 2013 28 20 -5 43
% margin 2.6 3.2 2.5
Q2 2012* 18 22 -7 33
%margin 1.4 3.0 1.7
Δ % EBITDA 54.2 -6.6 31.7
* Restated due to initial application of IAS19 revised 2011.
Strong Growth: 24 acquisitions since the IPO 05
39
Acquisitions1) Acquired sales1),2)
€141m
€567m
€108m
2
4
12
2
2005 2006 2007 2008 2009 2010
4
€231m
€712m
2011
2
€1.15bn
¹ Date of announcement 2 Sales in the year prior to acquisitions
Country Acquired 1) Company Sales (FY)2)
GER Mar 2010 Becker Stahl-Service €600m
CH Jan 2010 Bläsi €32m
2010 4 acquisitions €712m
US Mar 2008 Temtco €226m
UK Jan 2008 Multitubes €5m
2008 2 acquisitions €231m
CH Sep 2007 Lehner & Tonossi €9m
UK Sep 2007 Interpipe €14m
US Sep 2007 ScanSteel €7m
BG Aug 2007 Metalsnab €36m
UK Jun 2007 Westok €26m
US May 2007 Premier Steel €23m
GER Apr 2007 Zweygart €11m
GER Apr 2007 Max Carl €15m
GER Apr 2007 Edelstahlservice €17m
US Apr 2007 Primary Steel €360m
NL Apr 2007 Teuling €14m
F Jan 2007 Tournier €35m
2007 12 acquisitions €567m
2006 4 acquisitions €108m
USA Dec 2010 Lake Steel €50m
USA Sep 2010 Angeles Welding €30m
Brazil May 2011 Frefer €150m
USA April 2011 Macsteel €1bn
2011 2 acquisitions €1,150m
Current shareholder structure 05
40
Geographical breakdown of identified
institutional investors
Comments
• Identified institutional investors
account for 51%
• German investors incl. retail
dominate
• Top 10 shareholdings represent
around 25%
• Retail shareholders represent 30%
As of July 2013.
Other EU 4%
US 42%
Other World 7%
Switzerland 6%
Germany 24%
France 8%
UK 9%
Appendix 05
41
Financial calendar 2013/2014
November 6, 2013 Q3 interim report 2013
March 5, 2014 Annual Financial Statements 2013
May 7, 2014 Q1 interim report 2014
June 6, 2014 Annual General Meeting 2014, Düsseldorf
August 6, 2014 Q2 interim report 2014
November 5, 2014 Q3 interim report 2014
Contact details Investor Relations
Christian Pokropp, Head of Investor Relations & Corporate Communications
Phone: +49 203 307 2050
Fax: +49 203 307 5025
E-mail: [email protected]
Internet: www.kloeckner.com
Our Symbol
the ears
attentive to customer needs
the eyes
looking forward to new developments
the nose
sniffing out opportunities
to improve performance
the ball
symbolic of our role to fetch
and carry for our customers
the legs
always moving fast to keep up with
the demands of the customers