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TRATON SE Investor Presentation 2022
272_ip_2022-05-17_92bfaaea-eede-4005-9e49-b3da564eb21b.pdf
Investor Presentation
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TRATON
Navistar - Accelerate the impact of sustainable mobility
TRATON Capital Markets Day
Mathias Carlbaum, CEO and President of Navistar
Södertälje, 05-18-2022
SCANIA / MAN / QUALITÀ / NAVISTAR
Disclaimer
This presentation has been prepared for information purposes only.
It does not constitute or form part of any offer or invitation to sell or issue, or any solicitation of any offer to purchase or subscribe for, any securities of Volkswagen AG, TRATON SE, or any company of the TRATON GROUP in any jurisdiction. Neither this presentation, nor any part of it, nor the fact of its distribution, shall form the basis of, or be relied on in connection with, any contractual commitment or investment decision in relation to the securities of Volkswagen AG, TRATON SE, or any company of the TRATON GROUP in any jurisdiction, nor does it constitute a recommendation regarding any such securities.
It contains forward-looking statements and information on the business development of the TRATON GROUP. These statements and information are based on assumptions relating in particular to the TRATON GROUP's business and operations and the development of the economies in the countries in which the TRATON GROUP is active.
The TRATON GROUP has made such forward-looking statements on the basis of the information available to it and assumptions it believes to be reasonable. The forward-looking statements and information may involve risks and uncertainties, and actual results may differ materially from those forecasts. If any of these or other risks or uncertainties materialize, or if the assumptions underlying any of these statements prove incorrect, the actual results may significantly differ from those expressed or implied by such forward-looking statements and information. The TRATON GROUP will not update this presentation, particularly not the forward-looking statements. The presentation is valid on the date of publication only.
Certain financial information and financial data included in this presentation are preliminary, unaudited, and may be subject to revision. Due to their preliminary nature, statements contained in this presentation should not be unduly relied upon, and past events or performance should not be taken as a guarantee or indication of future events or performance. Financial figures might be translated from different currencies, using the exchange rate prevailing at the relevant date or for the relevant period that the relevant financial figures relate to.
All statements with regard to markets or market position(s) of TRATON SE or any affiliated company or any of its competitors are estimates based on data available to the TRATON GROUP.
IHS Markit Data referenced herein are the copyrighted property of IHS Markit Ltd. and its subsidiaries ("IHS Markit"). The IHS Markit Data are from sources considered reliable; however, the accuracy and completeness thereof are not warranted, nor are the opinions and analyses published by IHS Markit representations of fact. The IHS Markit Data speak as of the original publication date thereof and are subject to change without notice. IHS Markit and other trademarks appearing in the IHS Markit Data are the property of IHS Markit or their respective owners.
The percentage figures shown may be subject to rounding differences. Due to different proportions and scaling in graphs, data shown in different graphs are not comparable.
TRATON
Navistar today
| Core business: Class 6-8 trucks and buses in U.S. and Canada | Largest dealer and service network in North America^{1} | Primary business operations in: U.S. Canada Mexico Headquarters: Lisle, Illinois, U.S. |
|---|---|---|
| TWO-FIFTHS of all U.S. school buses on the road today are our IC Bus® brand | #1 brand in school buses^{2} | |
| ONE IN FIVE of U.S. class 6 through 8 vehicles on the road today is an International® Truck | #2 brand in Class 6/7^{2} | 2021 total unit sales: 71,000 |
| #4 brand in Class 8^{2} | Worldwide employees: 14,500 |
1 Including service partnership with Love's Travel Stop 2 Based on 2021 retail market share by OEM. School Bus include classes B, C and D
TRATON
Establishing new strategic momentum post-merger
Accomplished since the merger ...
- Strong progress in integrating Navistar into TRATON's operations
- Broadened management team with strong global experience
- Leveraged TRATON's balance sheet to refinance debt with lower finance costs
- Established a basis for next-generation mobility platforms
... and there is much more to come
- Unify our values and culture with TRATON to guide us every day
- Create solutions that drive change towards a more sustainable future
- Improve profitability to increase company returns and shareholder value
- Leverage Group technology and expand business models to grow revenue streams
TRATON
Navistar's new strategy: Accelerating our impact
TRATON
Culture & Leadership
Uniting our cultures makes us stronger together
TRATON
Sustainable impact
Sustainable impact: Our commitment
Achieve 50% zero-emissions by 2030, 100% by 2040, and carbon-neutral by 2050
Establishing science-based targets for decarbonization
Develop circular business model to maximize resources and minimize waste
Total social impact positively impact education, equity, and environment
Diversity, equity and inclusion empower an inclusive environment for all stakeholders
TRATON
Profitable Performance
Building blocks to deliver stronger profitable
TRATON
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Class 8
Profitable Performance
Modular integrated powertrain to drive improved class 8 profitability
TR/ATON
Profitable Performance
Class 6/7 & Bus
Substantial opportunity to lead electric transition
Bus market share
- IC Bus® brand is #1 in the school bus industry
- Average market size: 32k
Class 6/7 (medium duty) market share
- International® brand is #2 in the medium duty market
- Average market size: 85k
Electricification
- School Bus
- Medium Duty by 2032...
- 95% electric
- 70% electric
-
Electric ICE
-
Electric bus and medium duty vehicles in production today, built on similar platforms
TRATON
Profitable Performance
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Drive greater dealer performance
Rationalizing dealer network
Improving the performance
Increasing customer base
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Profitable Performance
Expand service and solution offerings
TR/ATON
Profitable Performance
4 Optimize cost efficiency and group technology
Modularization
Reducing complexity through collaboration
Shared R&D
Integrating Group technologies
Production footprint optimization
Driving conversion cost improvement
Global purchasing scale
Transitioning effectively component spend
TR/ATON
Profitable Performance
5 Expand financial services
Adding value for the customer
- Expand into new revenue streams to support the transition to new technologies and business models
- Offer tailor-made and bundled financing solutions
- Exit outsourced alliance to reestablish full captive capabilities
TRATON
Profitable Performance
6 Resulting in market share recovery
Factors driving market share growth
- Introduction of world class group driveline
- Electrification
-
1 dealer network in North America
- Expanded service offerings
- Captive finance offerings
TRATON
Foundation for Future
Foundation for future
Digitalization
Key strategic principle
Autonomous
Cooperative future solution offerings
Unlocking new business models
Zero-emissions
50% of vehicles sold by 2030
TRATON
Navistar is accelerating its impact
| 1 | Recover market share through offering new technologies, services and solutions | |
|---|---|---|
| 2 | Create greater value for our customers by leveraging TRATON GROUP Modular System | |
| 3 | Optimize our assets with a benchmark cost structure and investment efficiency | |
| 4 | Grow our profitability to increase our value and shareholder returns |
TRATON
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