PowerPoint Presentation · Q2 . President and CEO Hannu Martola 2 August 2019 . 2019 . Half-yearly...
14
Q2 President and CEO Hannu Martola 2 August 2019 2019 Half-yearly report January-June
Transcript of PowerPoint Presentation · Q2 . President and CEO Hannu Martola 2 August 2019 . 2019 . Half-yearly...
Q2
President and CEO Hannu Martola 2 August 2019
2019
Half-yearly report
January-June
2.8.2019 DetectionTechnology | Half-yearly report January-June20192
4.8 M€ EBIT (5.2)
12.8%net sales change-% (19.5)
17.5%EBIT-% (21.4)
27.5 M€ net sales (24.4)
Q2 2019 ›
3
Q2 2019 ›Security CT sales boosted revenue growth to double-digit regardless of some temporary set-backs in medical business
SBU sales increased over 27% due to strong demand for CT systems especially in China, demand starting also in other regions
E-commerce escalates growth of air cargo screening
MBU sales decreased by nearly 12% as the medical CT business has softened, and a major customer started ramping down production of a solution significant to DT sales
Profitability remained at a good level
2.8.2019 DetectionTechnology | Half-yearly report January-June2019
NET SALES BY QUARTER
4
0
5,000
10,000
15,000
20,000
25,000
30,000
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2
2016 2017 2018 2019
12.8%(YOY change-%)
2.8.2019 DetectionTechnology | Half-yearly report January-June2019
(EUR 1,000)
OPERATING PROFIT
5
14.9%
18.3%
21.4%22.3%
19.6%20.3%
22.9%
25.4%
19.4%
21.4% 21.0%
19.2%
16.7%
17.5%
0%
5%
10%
15%
20%
25%
30%
0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000Q
116
Q21
6
Q31
6
Q41
6
Q11
7
Q21
7
Q31
7
Q41
7
Q11
8
Q21
8
Q31
8
Q41
8
Q11
9
Q21
9
EBIT excluding NRI (EUR 1,000) EBIT-% excluding NRI Mid-term EBIT-target ≥15%
2.8.2019 DetectionTechnology | Half-yearly report January-June2019
(EUR 1,000)
62%16%
22%
71%
29%
SALES SPLIT Q2 2019
6
SBU19.4 NET SALES M€
27.4% YOY CHANGE-%
MBUNET SALES M€ 8.1
YOY CHANGE-% -11.5%
BY BUSINESS UNIT ›
3.2%43.7%25.2% YOY CHANGE-%
ASIAAMERICAS
EUROPE
BY REGION ›
NET SALES
27.5M€
NET SALES
27.5M€
2.8.2019 DetectionTechnology | Half-yearly report January-June2019
7
8.7 M€ EBIT (9.0)
15.7%net sales change-% (11.3)
17.1%EBIT-% (20.5)
50.5 M€ net sales (43.7)
H1 2019 ›
2.8.2019 DetectionTechnology | Half-yearly report January-June2019
62%16%
22%
67%
33%
SALES SPLIT H1 2019
8
SBU33.9 NET SALES M€
25.4% YOY CHANGE-%
MBUNET SALES M€ 16.6
YOY CHANGE-% -0.1%
BY BUSINESS UNIT ›
19.1%-0.3%20.4% YOY CHANGE-%
ASIAAMERICAS
EUROPE
BY REGION ›
NET SALES
50.5M€
NET SALES
50.5M€
2.8.2019 DetectionTechnology | Half-yearly report January-June2019
9
(EUR 1,000) Q2 2019 Q2 2018 H1 2019 H1 2018 2018Net sales 27,473 24,350 50,525 43,669 93,916Change in net sales, % 12.8% 19.5% 15.7% 11.3% 5.5%Operating profit 4,804 5,213 8,659 8,954 18,522Operating margin, % 17.5% 21.4% 17.1% 20.5% 19.7%R&D costs 2,945 2,414 5,443 4,362 8,839R&D costs, % of net sales 10.7% 9.9% 10.8% 10.0% 9.4%Cash flow from operating activities -5,136 -599 -88 4,606 6,122Capital expenditure 700 1,261 1,407 2,221 4,741Return on investment (ROI), % 35,9% 49,9% 36,4%Earnings per share, EUR 0.22 0.31 0.47 0.52 1.03
KEY FIGURES
2.8.2019 DetectionTechnology | Half-yearly report January-June2019
10
2025 STRATEGY ›Updating the company's strategy until 2025
The new strategic target is to be a growth leader in digital x-ray imaging detector solutions› The new addressable market size is estimated to be around EUR 3 billion in 2025
Target in the 2020 strategy is to be a leader in the CT and line scan x-ray detectors, and a significant player in other technologies where the company sees good business opportunities› Estimated to be around EUR 700 million market in 2020
The strategy cornerstones and the business model will remain the same
2.8.2019 DetectionTechnology | Half-yearly report January-June2019
11
Q2 STRATEGY IMPLEMENTATION ›Interest in Aurora has exceeded expectations, volume production is about to begin
In addition to dental applications, X-Panel noted also in other medical segments - small series production started
Market has also welcomed the new multi-energy solutions marked with ME abbreviation, industrialization of the ME product line progressing as planned
Second factory in China will be located in the GreaterShanghai area in Wuxi - production ramp up in Q1 2020
2.8.2019 DetectionTechnology | Half-yearly report January-June2019
BUSINESS OUTLOOK
2.8.2019 DetectionTechnology | Half-yearly report January-June201912
5%MEDICAL MARKET
annual growth rate
6%SECURITY MARKET
annual growth rate
5%INDUSTRIAL MARKET
annual growth rate
ASIA-PACIFIC IS THE FASTEST GROWING MARKET
• Expects a temporary slowdown in medical imaging market growth in H2• Estimates Q3 sales to grow in SBU and decline in MBU, and Q3 total net sales
to increase in line with its financial targets• Uncertainty on demand and competition might be reflected in product prices
13
FINANCIAL TARGETS UNCHANGED ›
MEDIUM TERM
Annual sales growth
>15%
MEDIUM TERM
Operating margin
≥15%
ANNUAL
Dividend or returned capital
30-60%2.8.2019 DetectionTechnology | Half-yearly report January-June2019
