Report for Q2 2012 - WordPress.com · Alfa Laval Group - Key figures Key figures - Orders received...

Report for Q2 2012Report for Q2 2012

Mr. Lars RenströmMr. Lars RenströmPresident and CEOPresident and CEOAlfa Laval GroupAlfa Laval Group

-- Key figures Key figures

-- Orders received and margins Orders received and margins

-- Development per segmentDevelopment per segment

-- Geographical developmentGeographical development

-- Financials Financials

-- OutlookOutlook

Key figuresKey figures

�� Orders received rose 6% to SEK 7,904 million.Orders received rose 6% to SEK 7,904 million.

�� Net sales increased 11% to SEK 7,811 million.Net sales increased 11% to SEK 7,811 million.

�� Adjusted EBITA declined 3% to SEK 1,289 million. Adjusted EBITA declined 3% to SEK 1,289 million.

�� Adjusted EBITA margin 16.5% Adjusted EBITA margin 16.5% vsvs 19.0%19.0%

-- PPositive currency effect SEK 12 million.ositive currency effect SEK 12 million.

April April –– June 2012June 2012

www.alfalaval.com© Alfa Laval Slide 3

-- PPositive currency effect SEK 12 million.ositive currency effect SEK 12 million.

January January –– June 2012June 2012

�� Orders received rose 14% to SEK 15,799 million.Orders received rose 14% to SEK 15,799 million.

�� Net sales increased 13% to SEK 14,642 million.Net sales increased 13% to SEK 14,642 million.

�� Adjusted EBITA declined 2% to SEK 2,417 million. Adjusted EBITA declined 2% to SEK 2,417 million.

�� Adjusted EBITA margin 16.5% Adjusted EBITA margin 16.5% vsvs 19.1%19.1%

-- Negative currency effect SEK 13 million.Negative currency effect SEK 13 million.







-- OutlookOutlook

16 000

20 000

24 000

28 000

32 000

5 000

6 000

7 000

8 000

9 000

SEK millionSEK million

Orders receivedOrders received

SEK million R 12SEK million R 12

www.alfalaval.com

0

4 000

8 000

12 000

16 000

0

1 000

2 000

3 000

4 000

= = Order Order intake per intake per quarter quarter

= = Order Order intake per intake per quarter “large”quarter “large” = = Rolling Rolling twelve months valuetwelve months value

Q1

09

Q1

09

Q4

10

Q4

10

Q111

Q111

Q3

11

Q3

11

Q11

2Q

11

2

Q2

12

Q2

12

Q2

08

Q2

08

= % development at constant rates by = % development at constant rates by

quarter, year on yearquarter, year on year+XX%+XX%

Q3

08

Q3

08

Q4

08

Q4

08

Q2

09

Q2

09

Q3

09

Q3

09

Q4

09

Q4

09

Q11

0Q

11

0

Q2

10

Q2

10

Q3

10

Q3

10

Q2

11

Q2

11

+3

%+

3%

Q4

11

Q4

11

+3

2%

+3

2%

+2

5%

+2

5%

--37

%3

7%

+8

%+

8%

Order analysisOrder analysis

Q2 2011 Q2 2011 Q1 2012Q1 2012

Structural change, %Structural change, %

Organic development, %Organic development, %

TotalTotal

7,4247,424

Q2 2012 versus Q2 2011 and versus Q1 2012 (MSEK)Q2 2012 versus Q2 2011 and versus Q1 2012 (MSEK)

+ + 4.1 4.1

-- 1.21.2

+ 2.9+ 2.9

7,8957,895

--

-- 1.21.2

-- 1.21.2


TotalTotal

Currency effects,%Currency effects,%

7,9047,904

+ 2.9+ 2.9

+ 3.6+ 3.6

7,9047,904

-- 1.21.2

+ 1.2+ 1.2

Total, %Total, %

Q2 2012 Q2 2012

+ 6.5 + 6.5 --

Q2 2012 Q2 2012

12,012,0

15,015,0

18,018,0

21,021,0

24,024,0

900900

1 1251 125

1 3501 350

1 5751 575

1 8001 800

SEK millions and in percent of salesSEK millions and in percent of sales

Adjusted EBITA / Adjusted EBITA / margin*margin*


0,00,0

3,03,0

6,06,0

9,09,0

12,012,0

00

225225

450450

675675

900900

* Adjusted EBITA * Adjusted EBITA –– ”Earnings before interests, taxes, amortization of goodwill and step up values and comparison distortion item”Earnings before interests, taxes, amortization of goodwill and step up values and comparison distortion items.”s.”

Q211Q211 Q212Q212Q409Q409 Q110Q110 Q210Q210 Q310Q310 Q410Q410 Q111Q111 Q311Q311 Q411Q411 Q112Q112Q209Q209 Q309Q309







-- OutlookOutlook

Industrial EquipmentIndustrial Equipment

OEMOEM

Sanitary EquipmentSanitary Equipment

Orders received by customer segmentOrders received by customer segment

--

--

==

PTD Parts PTD Parts & Service& Service

Process IndustryProcess Industry

--

++

April April –– June 2012, at constant rates and like for likeJune 2012, at constant rates and like for like

www.alfalaval.com

EQD Parts EQD Parts & Service& Service

Equipment divisionEquipment division

Marine & Diesel divisionMarine & Diesel division

Process Technology divisionProcess Technology division

==

++

Marine & Diesel Marine & Diesel EquipmentEquipment

Marine & Offshore Marine & Offshore SystemsSystems

MDD Parts MDD Parts & & ServiceService

**

--

++

Food TechnologyFood Technology

Energy & EnvironmentEnergy & Environment --

--

YearYear--onon--year comparisonyear comparison


�� Sanitary up, driven by food & beverages as Sanitary up, driven by food & beverages as well as well as pharmapharma & personal care.& personal care.

�� Industrial Equipment significantly higher, Industrial Equipment significantly higher, boosted by boosted by seasonal demand seasonal demand for HVAC.for HVAC.

�� OEM unchanged, best performance seen in OEM unchanged, best performance seen in

China and Western Europe.China and Western Europe.

SanitarySanitary

10%*10%*

Industrial Industrial

EquipmentEquipment

13%13%

-- ++

== ++

Highlights and sequential commentsHighlights and sequential comments

www.alfalaval.com

Order Sales Backlog

Q2 2012 2,573 2,363 1,710

Q2 2011 2,578 2,321 1,712

Slide 10

China and Western Europe.China and Western Europe.

�� Parts & Service flat. Good growth in BRIC and Parts & Service flat. Good growth in BRIC and

Europe. Europe.

OEMOEM

4%4%

Parts & ServiceParts & Service

5%5%

++ ==

-- ==

-- ++


Sequential comparisonSequential comparison

*Share of Group total*Share of Group total


�� Substantially higher demand for diesel Substantially higher demand for diesel power and continued growth for power and continued growth for

environmental solutions. Demand for marine environmental solutions. Demand for marine

equipment unchanged.equipment unchanged.

�� Marine & Offshore down significantly as Marine & Offshore down significantly as

very large order in Q1 was not repeated.very large order in Q1 was not repeated. xx --

-- ++


Marine & Diesel Marine & Diesel

Equipment Equipment

9%*9%*

Marine & Marine &

Offshore SystemsOffshore Systems

4%4%

www.alfalaval.com

Order Sales Backlog

Q2 2012 1,778 2,082 5,410

Q2 2011 1,525 1,761 5,824

Slide 11

very large order in Q1 was not repeated.very large order in Q1 was not repeated.

�� MoreMore upgradingupgrading and repair and repair worksworks liftedlifted P&S.P&S.

++ ++

xx --




9%9%

* Share of Group total* Share of Group total

x New customer segment, no corresponding x New customer segment, no corresponding period last year exists.period last year exists.


�� Food Technology supported by beverage Food Technology supported by beverage and viscous food markets.and viscous food markets.

�� Energy & Environment declined due to Energy & Environment declined due to nonnon--repeats. repeats.

�� Process Industry showed strong growth, Process Industry showed strong growth,

driven by refinery in Asia and Middle East.driven by refinery in Asia and Middle East. -- --

-- ++


Food Tech.Food Tech.

8%*8%*

Energy & Energy & EnvironEnviron..

10%10%

www.alfalaval.com

Order Sales Backlog

Q2 2012 3,553 3,366 7,936

Q2 2011 3,321 2,951 7,010

Slide 12

driven by refinery in Asia and Middle East.driven by refinery in Asia and Middle East.

�� P&S declined as large orders in Q1, were P&S declined as large orders in Q1, were

not repeated. not repeated.


11%11%

-- --

++ ++

-- --




17%17%

*Share of Group total*Share of Group total

Industrial EquipmentIndustrial Equipment

OEMOEM

Sanitary EquipmentSanitary Equipment

Orders received by customer segmentOrders received by customer segment

--

--

--

PTD Parts PTD Parts & Service& Service


==

++

January January –– June 2012, at constant rates and like for likeJune 2012, at constant rates and like for like

www.alfalaval.com

EQD Parts EQD Parts & Service& Service




++

Marine & Diesel Marine & Diesel EquipmentEquipment

Marine & Offshore Marine & Offshore SystemsSystems

MDD Parts MDD Parts & & ServiceService

**

--

==

Food TechnologyFood Technology

Energy & EnvironmentEnergy & Environment ++

--

YearYear--onon--year comparisonyear comparison * New customer segment, no corresponding * New customer segment, no corresponding period last year exists.period last year exists.







-- OutlookOutlook

Orders received by RegionOrders received by Region

North America North America 16%16%

Asia Asia 32%32%

Latin Latin America America 7%7%

+10

-4

-7

+13

+8

April April –– June 2012, development at constant ratesJune 2012, development at constant rates

www.alfalaval.com© Alfa Laval

Central Central and and Eastern Eastern Europe 10%Europe 10%

Asia Asia 32%32%

Western Europe Western Europe 23%23%

Nordic Nordic 10%10%


-4

Highlights AsiaHighlights Asia

April April –– June 2012, at constant rates, sequential commentsJune 2012, at constant rates, sequential comments

Asia: Asia:

�� Decline in order intake as a very large Q1 Decline in order intake as a very large Q1

marine order was not repeated. Both marine order was not repeated. Both

Equipment and Process Technology, however, Equipment and Process Technology, however,

reported growth.reported growth.

�� Process Industry and Food did the best in Process Industry and Food did the best in

-4 -7




Process Technology and best segment in Process Technology and best segment in

Equipment was Sanitary. Equipment was Sanitary.

�� Korea and India did well. China had good Korea and India did well. China had good

sequential development excluding Marine.sequential development excluding Marine.

Highlights EuropeHighlights Europe


+10 +12

+13 +10

+8 +19




Western Europe incl. Western Europe incl. Nordic:Nordic:

�� Orders rose, boosted by large Orders rose, boosted by large

projects. Best development projects. Best development

seen in France, seen in France, IbericaIberica, Nordic , Nordic

and the Benelux countries.and the Benelux countries.

�� Base business and P&S were Base business and P&S were

unchanged.unchanged.

Central Central and Eastern and Eastern Europe: Europe:

�� Increase in order intake with good Increase in order intake with good

development for both Equipment development for both Equipment

and Process Technology. and Process Technology.

�� Russia reported growth in the base Russia reported growth in the base

business, but overall decline due to business, but overall decline due to

nonnon--repeat large orders.repeat large orders.

Highlights AmericasHighlights Americas

-7 -25-7 -25


North North America: America:

�� Decline due to fewer large projects. Base Decline due to fewer large projects. Base

business showed continued good development, business showed continued good development,

particularly in the U.S. particularly in the U.S.

�� Industrial Equipment, Food and Process Industry Industrial Equipment, Food and Process Industry

did the best, while Energy & Environment did the best, while Energy & Environment




-4 -2-4 -2

did the best, while Energy & Environment did the best, while Energy & Environment

declined due to nondeclined due to non--repeats.repeats.

Latin America: Latin America:

�� Good development for the base business, while Good development for the base business, while

large orders declined. large orders declined.

�� Argentina and Chile reported good growth. Argentina and Chile reported good growth.

Brazil’s base business grew, but overall order Brazil’s base business grew, but overall order

intake declined. intake declined.

Orders received by RegionOrders received by Region

North America North America 19%19%

Asia Asia 33%33%

Latin Latin America America 7%7%

+29

+9

+14

+19

+3

January January –– June 2012, development at constant ratesJune 2012, development at constant rates


Central Central and and Eastern Eastern Europe 9%Europe 9%

Asia Asia 33%33%

Western Europe Western Europe 21%21%

Nordic Nordic 9%9%


+12

Top 10 markets*Top 10 markets*

Mid Europe

Korea, South

Nordic

China

United States

SEK million at prevailing ratesSEK million at prevailing rates


0 1 000 2 000 3 000 4 000 5 000

India

Brazil

Russia

Adriatic

South East Asia

Mid Europe

= = WY 2011WY 2011

= = Rolling 12Rolling 12--monthsmonths *The development of the 2011 top ten markets.*The development of the 2011 top ten markets.







-- OutlookOutlook Mr. Thomas Mr. Thomas ThuressonThuressonCFOCFOAlfa Laval GroupAlfa Laval Group

HighlightsHighlights

Order intake Order intake

Net salesNet sales

SEK millionsSEK millions April April –– June 2012June 2012

7,9047,904

7,8117,811


Gross profit marginGross profit margin

5050

In percent of salesIn percent of sales

37.037.0

41.141.139.639.6


3030

404037.037.0

Q212Q212

37.737.7

Q309Q309 Q409Q409 Q110Q110 Q210Q210 Q310Q310 Q410Q410 Q111Q111 Q211Q211 Q311Q311 Q411Q411 Q112Q112Q209Q209

HighlightsHighlights

Order intake Order intake

Net salesNet sales

Adjusted EBITAAdjusted EBITA

Adjusted EBITAAdjusted EBITA--marginmargin

SEK millionsSEK millions April April –– June 2012June 2012

7,9047,904

7,8117,811

1,2891,289

16.5% 16.5%


Profit before taxProfit before tax

Earnings per shareEarnings per share

Earnings per share, excl stepEarnings per share, excl step--upup

Cash flow from operating activitiesCash flow from operating activities

ROCEROCE

ROEROE

1,1071,107

1.711.71

1.981.98

640640

27.8%27.8%

21.8%21.8%

Cash flow fromCash flow from

-- operating activitiesoperating activities

-- investing activitiesinvesting activities

Financial Financial net paidnet paid

CashCash--flow statement flow statement

SEK millionsSEK millions

Jan Jan –– JuneJune

20122012

Jan Jan –– JuneJune

20112011

1,6771,677

-- 1,4971,497

-- 5252

1,1071,107

-- 5,0595,059

274274


Financial Financial net paidnet paid

TotalTotal

Pro Forma Pro Forma Free cashFree cash--flowflow****Incl. operating activities, capital expenditure and financial net paid.Incl. operating activities, capital expenditure and financial net paid.

-- 5252

1,3801,380

274274

1,2161,216

128128 -- 3,6783,678

Foreign exchangeForeign exchange

SEK millionSEK million

Translation effectTranslation effect

Transaction effectTransaction effect

TotalTotal

Estimated impact on adjusted EBITA from FX fluctuationsEstimated impact on adjusted EBITA from FX fluctuations

FY 13*FY 13*

00

5050

5050

FY 12FY 12

9090

--130130

--4040

1H 121H 12

6060

--7373

--1313

Q2 12Q2 12

4747

--3535

1212


TotalTotal

*Based on EUR/USD 1.26 and EUR/SEK 8.75*Based on EUR/USD 1.26 and EUR/SEK 8.75

5050--4040--1313

Projected FXProjected FX--effect for 2012 as communicated with the Q1 report effect for 2012 as communicated with the Q1 report SEK SEK --105 million 105 million

1212

Order backlog as per June 30 Order backlog as per June 30

SEK millionsSEK millions

8 0008 000

10 00010 000

12 00012 000

14 00014 000

16 00016 000 15,05615,056

5,2065,206

14,54614,546

5,2115,211


For delivery For delivery during the same yearduring the same year

00

2 0002 000

4 0004 000

6 0006 000

8 0008 000

For delivery For delivery next year or laternext year or later

Q208Q208 Q209Q209 Q210Q210 Q211Q211 Q212Q212

1.0

11.0

1

1.0

61.0

6

1.0

61.0

6

0.8

30.8

3

1.1

61.1

6 BookBook

to billto bill

9,8509,8509,3359,335

SalesSales

SEK (SEK (blnbln))

Full year 2011Full year 2011 28.728.7

Order backlog, likeOrder backlog, like--forfor--likelike ++ 0.50.5

Aalborg, 4 monthsAalborg, 4 months ++ 0.90.9

FXFX--translation translation + 0.1+ 0.1

Full year 2012Full year 2012

www.alfalaval.com

SubtotalSubtotal 30.230.2

Orders “inOrders “in--forfor--out” ?out” ?

Price ?Price ?

Full year 2012Full year 2012


Mr. Lars RenströmMr. Lars RenströmPresident and CEOPresident and CEOAlfa Laval GroupAlfa Laval Group






-- OutlookOutlook

Outlook for the third quarterOutlook for the third quarter

“We expect that demand during “We expect that demand during

the third quarter 2012 will be on the third quarter 2012 will be on

about the same level as in the about the same level as in the


about the same level as in the about the same level as in the

second quarter.”second quarter.”

Cautionary statementCautionary statement

This presentation contains forward-looking statements that are based on the

current expectations of the management of Alfa Laval Group.

Although management believes that the expectations reflected in such forward-

looking statements are based on reasonable assumptions, no assurance can be

given that such expectations will prove to have been correct. Accordingly, results

could differ materially from those implied in the forward-looking statements as a

result of, among other factors, changes in economic, market and competitive

www.alfalaval.com

result of, among other factors, changes in economic, market and competitive

conditions, changes in the regulatory environment, other government actions and

fluctuations in exchange rates. Alfa Laval undertakes no obligation to publicly

update or revise these forward-looking statements, other than as required by law

or other regulations.

© Alfa Laval Slide 32

Report for Q2 2012 - WordPress.com · Alfa Laval Group - Key figures Key figures - Orders received...

Documents

Transcript of Report for Q2 2012 - WordPress.com · Alfa Laval Group - Key figures Key figures - Orders received...