Kaba Company presentation Spring 2015
Transcript of Kaba Company presentation Spring 2015
The Kaba world Company presentation spring 2015
Kaba Focus
Access + Data Systems
Key Systems
Kaba Group
Kaba in Figures
Agenda
Company presentation | Kaba Spring 2015 2
Facts + Figures
Kaba represented by subsidiaries
2014/2015: Kaba products sold by local sales offices, external partners or international sales units
Founding year 1862
EMEA
% of Group sales: 58%
Employees (Ø): 3,019
Asia Pacific
% of Group sales: 12%
Employees (Ø): 4,019
Americas
% of Group sales: 30%
Employees (Ø): 1,800
In CHF million
Half-year 14/15
in %
Sales, net 551.4 100
EBITDA 85.7 15.5
Operating profit EBIT 73.1 13.3
Net profit 50.2 9.2
Kaba represented by subsidiaries
2014/2015: Kaba products sold by local sales offices, external partners or international sales units
Company presentation | Kaba Spring 2015 3
Kaba – key to success
Employees (Ø): 8,837
Patents: 450
Divisions: 4
Over 150 years of innovation
Global presence in 60 countries
For Kaba, the customer is at the center of everything.
We offer our customers innovative solutions and first-class services for the protection of people and property.
We are there for our customers all over the world, and we are passionate about exceeding their expectations.
Company presentation | Kaba Spring 2015 4
«Beyond security»
Tagline for security
We offer our customers more than security solutions
We support our customers to simplify their organization and to improve efficiency
We seek personal, trusting, long-term partnerships with our customers
Company presentation | Kaba Spring 2015 5
A clear strategy to achieve goals
Innovation leadership for Access + Data Systems and cost leadership for
Key Systems
Our strategy for profitable growth is based on two pillars:
Growth
– Investment in products and markets support organic growth
– Additional growth through selected acquisitions
Improvement of operational efficiency
Accentuated strategy
Company presentation | Kaba Spring 2015 6
Four strong growth drivers (1)
Urbanization
Growing number of major cities
worldwide
Increasing demand for residential
and commercial space
Security follows infrastructure
Growing need for security
In our everyday lives, leisure time
and travel
Security concepts are constantly
adapted
Experience and innovative
products are requested
Company presentation | Kaba Spring 2015 7
Four strong growth drivers (2)
Technological innovation
Early identification of
technological trends
Create added value for customers
by being an innovation leader
Increasing prosperity in emerging
markets
Growing prosperity in Asia and
South America
Increasing need for systems that
protect people and property
Company presentation | Kaba Spring 2015 8
Kaba – key to success
Customer segments
Office + residential buildings
Financial service providers, public
+ government buildings
Educational institutions
Hotels
Health care
Airports + public transport
Transportation + logistics facilities
Sports + recreation facilities
Retail outlets
Production facilities
Utilities
Key cutters, automotive + lock
industry (OEM)
Customer benefits
Compatibility with many technology platforms
Can be integrated into very different infrastructure
Comfort thanks to easy handling
Meet the highest standards of design
Customer focus thanks to local presence
Sustainable partnership – with customers, suppliers and further environment
Company presentation | Kaba Spring 2015 9
Kaba Focus
Access + Data Systems
Key Systems
Kaba Group
Kaba in Figures
Agenda
Company presentation | Kaba Spring 2015 10
Access + Data Systems
Kaba provides innovative products, services and solutions for access control and optimal operational processes.
Company presentation | Kaba Spring 2015 11
Access + Data Systems
Worldwide market coverage by three divisions
– EMEA (ADS EMEA division)
– Asia Pacific (ADS AP division)
– North and South America (ADS AM division)
Comprehensive range of products, system solutions and services for access control, time + attendance, enterprise data collection, hotel and high-security locks as well as safes
Pioneered the reversible key as well as the pushbutton lock, which remains the standard in the Americas market till today
Company presentation | Kaba Spring 2015 12
Access + Data Systems
Cylinders + Locks
Product range of keys, mechanical and mechatronic locking cylinders, digital locking systems and pushbutton locks with PIN code as well as keyless access control systems for residential homes and offices.
Access Management
Extensive product portfolio for integrated access control, from single products to entire security consulting.
Company presentation | Kaba Spring 2015 13
Access + Data Systems
Workforce Management:
Kaba provides state-of-the-art applications for recording time, personnel and enterprise data, helping to increase its customers’ organizational transparency, making their processes more efficient and increasing productivity.
Physical Access Systems
Tripod barriers, sensor barriers and security interlocks, such as security revolving doors ensure secure access and efficient people flow e.g. in airports (self-boarding gates), stadiums or museums.
Company presentation | Kaba Spring 2015 14
Access + Data Systems
Hospitality Products
Hotel and locking solutions for small-scale properties, resorts and luxury hotels; market leader in North America, worldwide no 2 provider.
Safe Locks
Electronic and high-security locking solutions for correctional institutions, locks for ATMs, products for goods-in-transit and cargo security, safes and strong rooms, high-security door locks, mechanical safe locks.
Company presentation | Kaba Spring 2015 15
Access + Data Systems
Highlights ADS EMEA half-year 2014/2015
Organic growth: 9.1%
Profitability: 18.0%
Overall good market development throughout all regions
Investments start to pay off
47% of third-party sales
ADS EMEA
Key Figures
Half-year
14/15
Half-year
13/14
Sales (in CHF
million) 261.4 243.1
Change in
division sales 7.5% 6.5%
EBITDA
margin 18.0% 17.3%
FTE (Ø) 2,413 2,368
Company presentation | Kaba Spring 2015 16
Access + Data Systems
Highlights ADS AP half-year 2014/2015
Organic growth: 8.0%
Profitability: 1.7%
– Unsatisfactory productivity at Wah Yuet production site
– Investments in further building-up the newly formed division
Market development good, but starting from small base
12% of third-party sales
ADS AP
Key Figures
Half-year
14/15
Half-year
13/14
Sales (in CHF
million) 74.6 55.7
Change in
division sales 33.9% - 5.1%
EBITDA
margin 1.7% 4.9%
FTE (Ø) 3,603 2,732
Company presentation | Kaba Spring 2015 17
Access + Data Systems
Highlights ADS Americas half-year 2014/2015
Organic growth: 5.1%
Profitability slightly lower: 27.1%
– Changes in product mix
– Integration costs for acquisitions
Outstanding growth in hotel locks sector
21% of third-party sales
ADS AM
Key Figures
Half-year
14/15
Half-year
13/14
Sales (in CHF
million) 128.0 109.4
Change in
division sales 17.0% 3.8%
EBITDA
margin 27.1% 28.5%
FTE (Ø) 1,165 887
Company presentation | Kaba Spring 2015 18
Kaba Focus
Access + Data Systems
Key Systems
Kaba Group
Kaba in Figures
Agenda
Company presentation | Kaba Spring 2015 19
Key Systems
Ilco and Silca offer the most comprehensive range of key duplication and origination equipment in the world.
They can provide the appropriate product to meet practically any requirement in the key business.
Company presentation | Kaba Spring 2015 20
Key Systems
Two brands with excellent reputation, operational in 130 countries
Ilco: North America and Mexico
Silca: Europe, Asia, Africa and South America
Advanced Diagnostics: worldwide
Core business key blanks No 1 provider worldwide of key blanks for any type of use and type transponder keys for the automotive industry
Key manufacture World’s no 1 leading provider of mechanical, electronic and semi-industrial machines, key cutting + origination machines
Company presentation | Kaba Spring 2015 21
Key Systems
Highlights Half-year 2014/2015
Organic growth: 16.3%
Profitability: 17.9%
– Surge in demand from automotive industry (OEM); not expected to
continue at same rate in HY2
Market share gains in growth markets South America and Asia
19% of third-party sales
Key Systems
Key Figures
Half-year
14/15
Half-year
13/14
Sales (in CHF
million) 105.5 88.5
Change in
division sales 19.2% - 0.6%
EBITDA
margin 17.9% 15.7%
FTE (Ø) 1,548 1,389
Company presentation | Kaba Spring 2015 22
Kaba Focus
Access + Data Systems
Key Systems
Kaba Group
Kaba in Figures
Agenda
Company presentation | Kaba Spring 2015 23
Kaba Group
Group Organization as of 1 March 2015
Company presentation | Kaba Spring 2015 24
CEO Riet Cadonau
ADS Americas
Michael Kincaid, COO
Group Innovation Management
Andreas Häberli, CTO
ADS EMEA
Roberto Gaspari, COO
ADS Asia Pacific
Jim-Heng Lee, COO
CFO Beat Malacarne
Group Services Hans-Jürg Roth
Key Systems
Stefano Zocca, COO
Executive Committee as of 1 March 2015
Company presentation | Kaba Spring 2015 25
Human Resources (1)
The performance and the passion of our employees are the key to Kaba’s success.
We do everything to attract, retain and develop the best people in a working environment with global reach.
Company presentation | Kaba Spring 2015 26
Human Resources (2): A committed employer
Shared understanding, shared values
The Kaba Vision, the Kaba Principles, Directives, Guidelines and the Code of Conduct define our framework for professional behavior.
Long-term employee development
Kaba provides professional development opportunities tailored to employees’ functions and skills:
The security industry is driven by innovation. Continuous professional development, including technical training, is essential. We offer this to our employees, suppliers, distributors and customers.
We strongly believe in practice-based professional development, which is why we are actively committed to apprentice training.
We are passionate about talent development and our related training programs – because of the promise it holds for you and for us!
Our new Kaba Advanced Management Program and the Senior Management Meetings bring together selected senior managers from all business areas and regions to model and work on the Kaba way of doing business and current as well as strategic challenges.
Company presentation | Kaba Spring 2015 27
The seven Kaba Principles
These are our corporate values.
They are valid for all associates of Kaba worldwide.
The Kaba Principles are the common ground on which we operate. They are the foundation on which we take decisions, but also how we collaborate among ourselves and how we approach the needs of our clients.
They are a measuring stick for professional work and customer-focused cooperation.
Company presentation | Kaba Spring 2015 28
Sustainability (1)
For Kaba, sustainability means acting responsibly – on an economic, ecological and social level – for the sake of future generations.
This commitment is backed by the company’s more than 150-year history of success.
Company presentation | Kaba Spring 2015 29
Sustainability (2)
Sustainability as a corporate value
Kaba Group reports in a transparent reporting systematically about their efforts in sustainability.
The aim is clear: getting better. Sustainability should be embedded more strongly into the management system and shape all areas of the company’s operations.
Kaba Group sees itself as a part of a wider society and takes its responsibility for sustainability seriously. This contains development of new products, in the production, with employees and relationships with partners.
www.kaba.com/sustainability
Company presentation | Kaba Spring 2015 30
Kaba Focus
Access + Data Systems
Key Systems
Kaba Group
Kaba in Figures
Agenda
Company presentation | Kaba Spring 2015 31
Kaba in Figures
Share Symbol: KABN
Traded at SIX Swiss Exchange
* Starting from the half-year under review, items affecting comparability are no longer shown separately in the income statement. Further, the preparation of the income statement was switched from the "expense by nature" to the "expense by function" method. Figures for the previous financial period have been restated accordingly.
In CHF million HY1
2014/2015 HY1
2013/2014
Net sales 551.4 480.9
EBITDA 85.7 74.4
EBITDA margin 15.5% 15.5%
EBIT 73.1 62.5
EBIT margin 13.3% 13.0%
Net profit 50.2 44.0
Earnings per share in CHF 13.1 11.6
Company presentation | Kaba Spring 2015 32
Thank you very much
for your attention
This information contains certain forward-looking statements including, but not limited to, those using the words “believes”, “assumes”, “expects” or formulations of a similar kind. Such forward-looking statements are made on the basis of assumptions and expectations that the Company believes to be reasonable at this time, but may prove to be erroneous. Undue reliance should not be placed on such statements because, by their nature, they are subject to known and unknown risks, uncertainties and other factors which could lead to substantial differences between the actual future results, the financial situation, the development or performance of the Company or the Group and those either expressed or implied by such statements. Such factors include, but are not limited to:
competition from other companies,
the effects and risks of new technologies,
the Company’s continuing capital requirements,
financing costs,
delays in the integration of acquisitions,
changes in the operating expenses,
currency and raw material price fluctuations,
the Company’s ability to recruit and retain qualified employees,
political risks in countries where the Company operates,
changes in applicable law,
and other factors identified in this publication.
Should one or more of these risks, uncertainties or other factors
materialize, or should any underlying assumption or expectation
prove incorrect, actual outcomes may vary substantially from
those indicated. In view of these risks, uncertainties or other
factors, readers are cautioned not to place undue reliance on such
forward-looking statements. The Company accepts no obligation
to continue to report or update such forward-looking statements
or adjust them to future events or developments. It should be
noted that past performance is not a guide to future performance.
Please also note that interim results are not necessarily indicative
of the full year results. Persons requiring advice should consult an
independent adviser. This communication does not constitute an
offer or an invitation for the sale or purchase of securities in any
jurisdiction.
Kaba®, Com-ID®, Ilco®, La Gard®, LEGIC®, SAFLOK®,
Silca®, etc. are registered trademarks of the Kaba Group.
Due to country-specific constraints or marketing considerations,
some of the Kaba Group products and systems may not be
available in every market.
Disclaimer
Company presentation | Kaba Spring 2015 34
Satisfied customers are the best performance indicator
Consolidated income statement
Further slides
Company presentation | Kaba Spring 2015 35
Satisfied customers are the best performance indicator
A multitude of customers put their trust in Kaba for years. Accor Group Hotels, Aéroports de Paris, Airbus, Air Liquide, Aldi, Alibaba Group, Arnott’s Biscuits, Amsterdam Arena, Arena Ciudad de
México, Ariston Thermo SpA, Armaguard, Astana Stadium, Auchan, Audi, Australian Government Department of Foreign Affairs and Trade,
Australian Turf Club, Bank of America, Banque de France, BASF, Berg Isel Wintersports Stadium, BMW, Bombardier, Bouygues, Brinks,
British Telecom, Budapest Airport, Bunnings, C&A, Camargo Correa, Capitol tower, Carlton Hotels, Carrefour, Castrol, Changi Airport
Singapore, Chevron, China Central Television Station, China Mobil Telecom, City Developments Limited Singapore, Coca-Cola, Cour des
Comptes Paris, Deutsche Bank, DHL, Do It Best Company, Dubai Municipality, EADS, Eaton Corporation, EDF (Eléctricité de France), EdR
Real E-on, Estate Investment Trust, Emmi, European Parliament, Fenway Sports Group, FH Joanneum, Ford Motor Company, Forest City
Enterprises, Fraport, Firboi, Fronius International GmbH, Fundación Parque Científico de Madrid, G4S, Gardens by the Bay Singapore,
Gazprom, General Motors, Haliburton, Hager, Harrods London, Honda Motor Company, Hong Kong Airport Authority, Hôpitaux de Paris,
Hospital Clínico San Carlos, Hotel Four Seasons, Hotel Ritz-Carlton, Hotel Le Meurice Paris, Hotel Le Peninsula, Houses of Parliament,
HSBC, Hungarian House of Parliament, IKEA, JPMorgan Chase, Linfox, Loacker AG, London Airports, L’Oréal, Lot G, Lufthansa, Madrid
City Council, Manchester Airport, Marfrig, Marina Bay Financial Center Singapore, Marriott Hotels, Master Lock Company, McCarran
International Airport Las Vegas, Melbourne Racing Club, Merck, Metro de Madrid, Mister Minit, Mitre 10, MSC, MTR Corporation, Munich
Airport, Nanyang Technological University Singapore, National Australia Bank, Nike, Nissan Group, Novartis Pharma, Odebrecht, Olympia
Stadium Berlin, Otis, OUE, Paks Nuclear Power Plant, Palais Coburg Vienna, Petroliam Nasional Berhad Malaysia, Poste Italiane, Premier
Inn (Whitbread PLC), Raizen, RCT, Renault, Resorts World Sentosa, Roche, Royal Air Force, Russian Central Bank, RWE, Sanofi, Schaeffler,
Sepang F1 International Circuit, Shenyang Metro OCC, Siemens, Singapore Customs, Singapore Mass Rapid Transit, SJ (Swedish Railways),
Sony Computer Entertainment Inc., Spar, Stade de France Paris, Swiss Federal Railways, Swiss National Bank, Bank Societe Generale,
Sydney Ferries, Taiwan Semiconductor Manufacturing Company Ltd., Tan Son Nhat International Airport Vietnam, Telefónica, Tour Eiffel,
Tower 3 KLCC, True Value Company, UOA Bangsar, United Airlines, University Clinic Munich, University of Constance, University of York,
University of Zurich, University Pierre et Marie Curie Paris, Uzbekistan Temir Yo’llari (Uzbek National Railway), Vattenfall, Verizon, Victoria
Racing Club, Volkswagen Group, Walgreens, Wells Fargo, Westfields, Woolworths (Australia), YAS Marina F1 Circuit, Yum! Brands, Zurich
Airport and many more.
Company presentation | Kaba Spring 2015 36
Consolidated income statement
* Starting from the half-year under review, items affecting comparability are no longer shown separately in the income statement. Further, the preparation of the income statement was switched from the "expense by nature" to the "expense by function" method. Figures for the previous financial period have been restated accordingly.
in CHF million HY1 2014/2015 % HY1 2013/2014 %
Net sales 551.4 100.0 480.9 100.0
Costs of goods sold - 308.1 - 55.9 - 267.7 - 55.7
Gross margin 243.3 44.1 213.2 44.3
Other operating income, net 3.4 0.6 3.3 0.7
Sales & marketing - 90.6 - 16.4 - 82.9 - 17.2
General administration - 56.4 - 10.2 - 47.4 - 9.9
Research & development - 26.6 - 4.8 - 23.7 - 4.9
Operating profit (EBIT) 73.1 13.3 62.5 13.0
Financial result, net - 4.2 - 0.7 - 2.9 - 0.7
Income taxes - 18.7 - 3.4 - 15.6 - 3.2
Net profit 50.2 9.2 44.0 9.1
Operating profit before
depreciation (EBITDA) 85.7 15.5 74.4 15.5
Earnings per share in CHF 13.1 11.6
Company presentation | Kaba Spring 2015 37
Consolidated income statement
* Starting from the half-year under review, items affecting comparability are no longer shown separately in the income statement. Further, the preparation of the income statement was switched from the "expense by nature" to the "expense by function" method. Figures for the previous financial period have been restated accordingly.
in CHF million HY1 ended 31.12.2014
FY ended 30.06.2014
HY1 ended 31.12.2013
Total current assets 465.8 445.2 434.7
Tangible assets 165.8 156.8 154.8
Intangible assets 23.5 18.9 13.2
Other non-current assets 27.5 30.0 27.7
Total assets 682.6 650.9 630.4
Current liabilities 368.5 259.8 276.1
Non-current liabilities 65.4 67.8 64.6
Total liabilities 433.9 327.6 340.7
Equity 248.7 323.3 289.7
Equity ratio 36.4% 49.7% 46.0%
Company presentation | Kaba Spring 2015 38
Consolidated income statement
* Starting from the half-year under review, items affecting comparability are no longer shown separately in the income statement. Further, the preparation of the income statement was switched from the "expense by nature" to the "expense by function" method. Figures for the previous financial period have been restated accordingly.
in CHF million HY1 ended 31.12.2014
FY ended 30.06.2014
HY1 ended 31.12.2013
Net cash from operating activities 33.0 105.0 42.6
Net cash used in investing activities - 117.5 - 69.0 - 40.1
Free cash flow - 84.5 36.0 2.5
Net cash flows from financing
activities 60.3 - 93.4 - 52.7
Increase (decrease) in cash - 25.3 - 61.8 - 57.2
Cash at end of period 55.2 80.5 85.1
Operating cash flow margin1) 6.0% 10.5% 8.9%
Company presentation | Kaba Spring 2015 39
1) Net cash from operating activities/net sales
Consolidated income statement
Company presentation | Kaba Spring 2015 40
* Starting from the half-year under review, items affecting comparability are no longer shown separately in the income statement. Further, the preparation of the income statement was switched from the "expense by nature" to the "expense by function" method. Figures for the previous financial period have been restated accordingly.
in CHF million HY1 ended 31.12.2014
FY ended 30.06.2014
HY1 ended 31.12.2013
Net liquidity 93.0 - 35.4 - 6.8
EBITDA 85.7 154.5 74.4
Gearing 0.6 - 0.2 - 0.1
-150
-100
-50
0
50
100
150
12/2014 12/2013 12/2012
Cash and cash equivalents
Debt
Net debt/Net liquidity