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GRAMMER AG Investor Presentation 2021

Apr 28, 2021

186_ip_2021-04-28_a666a9f7-b14e-4c87-9cd0-8f44851e80b1.pdf

Investor Presentation

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ONE GRAMMER

COLLABORATING FOR A SUSTAINABLE FUTURE

Financial Results Q1 2021 Ursensollen, April 28th, 2021

Auto Shanghai 2021

Unveiling interior innovations for premium automobiles

• Showcasing 3D-Glass, sliding console technology and sustainable product solutions

New Joint Venture with FAW Group

Premium commercial vehicle seats for China

  • driver seats in a new 60-40 Joint Venture with FAW
  • Expansion of local production network for truck seats

It's all about GRAMMER's CV seats

Very strong customer demands in all CV plants globally

COMMERCIAL VEHICLES • Favorable sales momentum globally with a record Q1 in the regions EMEA and China

  • Strong AG/CE and Truck market demands
  • Renewed internal focus on aftermarket business

Integration of TMD acquisition Continuing to set the course in the AMERICAS region

GRAMMER in line with market - strong performance in APAC

Global market development light vehicles

GRAMMER outperforms markets in EMEA and APAC

Global market development commercial vehicles

Revenue development by regions

Improved markets in EMEA and continuous growth in APAC

APAC [in m. €]

  • Favorable sales momentum with significant increase of 47 m € (84.7%) in APAC
  • Revenue recovery in EMEA of around 13 m € (4.8%) supported by strong demands in the CV division
  • AMERICAS with a single-digit percentage decline in revenue due to weakened demands in the Automotive division

Revenue development by division

Two-leg strategy pays off: strong contribution from Commercial Vehicles business

GROUP: Revenue, EBIT and operating EBIT

Significant recovery of business development in the first quarter of 2021

  • Positive trend from HY2 2020 continues
  • Revenue recovery of around 49 m € (+11%)
  • Favorable product mix; significant fixed cost reduction
  • EBIT impacted by:
  • -0.6 m € corona protection and response measures
  • 2.2 m € positive FX effects

AMERICAS: Revenue, EBIT and operating EBIT

Sales reduction due to global supply shortages in the semiconductor industry

EMEA: Revenue, EBIT and operating EBIT

With high sales in Q1, region continues positive trend from the second half of 2020

  • Revenue recovery in EMEA of around 13 m € (4.8%)
  • Over-proportionally high growth in commercial vehicles
  • EBIT impacted by:
  • -0.4 m € corona protection and response measures
  • 2.0 m € positive currency effects

APAC: Revenue, EBIT and operating EBIT

Significant growth after relatively low COVID-19 impacted revenue in Q1 2020

Global headcount development

2020 measures implemented in a socially responsible manner have a positive impact on 2021

Global investment development

Regional and project-specific focus continues

Finance: key figures

Solid liquidity position and medium- to long-term financing

  • 26% 23% Increased working capital demand due to high order volume
  • Equity remains stable compared to December 31, 2020 (22%)
  • Improved net financial debt position despite the pandemic crisis

GRAMMER Group

Legal disclaimer

By attending the presentation to which this document relates or by accepting this document and not immediately returning it, you agree to be bound to the following limitations:

This presentation and the topics addressed therein have been compiled for discussion purposes only and are not intended to be a comprehensive summary of all business, financial, legal, practical and other aspects or to cover all issues relating to an investment in Grammer AG. A binding commitment will only result from a definitive and binding agreement.

This presentation does not constitute or form part of, and should not be construed as, an offer to sell or a solicitation of an offer to buy or subscribe for any securities and neither this presentation nor anything contained herein shall act as an inducement to enter into or form the basis of, or be relied on in connection with, any offer or contract or commitment whatsoever.

This presentation does not constitute an offer for sale of any securities in the United States. Neither this presentation nor any copy of it may be taken or transmitted in or into the United States of America, its territories or possessions or distributed, directly and indirectly, in the United States of America, its territories and possessions or to U.S. Persons (as such term is defined in Regulation S under the Securities Act). Any failure to comply with this restriction may constitute a violation of U.S. securities laws. Neither this presentation nor any copy of it may be taken or transmitted in or into Australia, Canada or Japan or distributed, directly and indirectly, in Australia, Canada or Japan. The distribution of this presentation in other jurisdictions may be restricted by law and persons into whose possession this presentation comes should inform themselves about, and observe, any such restrictions.

This presentation contains estimates, forecasts and expectations. Such estimates, forecasts and expectations are subject to risks and elements of uncertainty that could result in deviation of actual developments from expected developments. The estimates, forecasts and expectations are only valid at the time of publication and there can be no assurance that future results or events will be consistent with any such estimates, forecasts or expectations. Grammer AG does not intend to update any such estimates, forecasts or expectations and assumes no obligation to do so. Grammer AG does not assume any liability for the statements made.

Neither Grammer AG nor any of its respective directors, officers, or employees nor any other person accept – to the extent legally possible – any liability for any loss howsoever arising from any use of this presentation or its contents or otherwise in connection therewith. Please take appropriate advice before applying anything contained in these materials to specific issues or transactions.

This presentation is confidential and is being supplied to you solely for your information and may not be reproduced, redistributed or passed on to any other person or published, in whole or in part, for any purpose. This presentation or any copy of it may not be distributed to any third party, including the media or the press.

Thank you for your attention. We deliver what matters.

Contact Investor Relations Tanja Bücherl Phone: +49 9621 66 - 2113 E-mail: [email protected]

Outlook 2021

Outlook 2021: Revenue and earnings growth

Growth of revenue to around EUR 1.8 billion (2020: EUR 1.7 billion)* Significant increase of operating EBIT to around EUR 65 million (2020: EUR -11.7 million)*

*This outlook assumes that the global economy and political environment will develop in a stable manner and that there will be no further plant closures due to the COVID 19 pandemic in 2021.

Key figures and Financial Calendar 2021

Key figures

[IFRS, in € million] 2020 2019 Q1 -
2021
Q1 -
2020
Chg.
Group Revenue 1,710.7 2,038.5 503.7 454.9 48.8
EBITDA 41.7 159.8 43.2 19.5 23.7
EBITDA Margin in % 2.4 7.8 8.6 4.3 4.3%-points
EBIT -46.1 74.5 22.6 -2.1 24.7
EBIT Margin in % -2.7 3.7 4.5 -0.5 5.0%-points
Operating EBIT -11.7 77.0 21.0 0.4 20.6
Operating EBIT Margin in % -0.7 3.8 4.2 0.1 4.1%-points
Net Profit -64.7 43.5 13.3 -9.8 23.1
EPS in € -5.10 3.56 0.88 -0.80 1.68
Total Assets 1,376.4 1,474.4 1,427.0 1,423.1 3.9
Equity 302.2 342.2 328.2 363.4 -35.2
Equity-Ratio in % 22.0 23,2 23.0 25.5 -2.5%-points
Net Financial Debt 287.1 285.0 311.3 332.0 -20.7
Gearing Ratio in % 95.0 83.3 94.9 91.4 3.5%-points
Capex (w/o financial assets) 83.8 132.8 9.0 19.5 -10.5
Depreciation 87.8 85.3 20.6 21.6 -1.0
Employees (average) 14,192 14,910 14,204 14,709 505

Financial Results Q1 2021

Financial Calendar 2021