Iochpe-Maxion - Conference Call 1Q06 Results Presentation

399 views
355 views

Published on

Conference Call 1Q06 Results Presentation

Published in: Investor Relations
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
399
On SlideShare
0
From Embeds
0
Number of Embeds
2
Actions
Shares
0
Downloads
1
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Iochpe-Maxion - Conference Call 1Q06 Results Presentation

  1. 1. Results Results First Quarter 2006 First Quarter 2006 May 5, 2006 1
  2. 2. Results First Quarter 2006 DISCLAIMER The material contained in this presentation is general background information about Iochpe-Maxion S.A. (Iochpe) as of the date of the presentation. It is information in summary form and does not purport to be complete. It is not intended to be relied upon as advice to potential investors. No representation or warranty, express or implied, is made concerning, and no reliance should be placed on, the accuracy, fairness, or completeness of the information presented herein. This presentation contains statements that are forward-looking within the meaning of Section 27A of the U.S. Securities Act of 1933 and Section 21E of the U.S. Securities Exchange Act of 1934. Such forward-looking statements are only predictions and are not guarantees of future performance. Investors are cautioned that any such forward-looking statements are and will be, as the case may be, subject to many risks, uncertainties and factors relating to the operations and business environments of Iochpe and its subsidiaries that may cause the actual results of the companies to be materially different from any future results expressed or implied in such forward-looking statements. Although Iochpe believes that the expectations and assumptions reflected in the forward-looking statements are reasonably based on information currently available to Iochpe management, Iochpe cannot guarantee future results or events. Iochpe expressly disclaims a duty to update any of the forward-looking statement. This presentation does not constitute an offer, or invitation, or solicitation of an offer, to subscribe for or purchase any securities. Neither this presentation nor anything contained herein shall form the basis of any contract or commitment whatsoever. 2
  3. 3. Results First Quarter 2006 1Q06 HIGHLIGHTS Net income of R$14.9 million, 1.4% less than 1Q05; Consolidated net operating revenue of R$340.3 million, 3.5% decrease over 1Q05; EBITDA(*) reached R$44.7 million, 6.4% decrease over 1Q05; Net bank debt of R$150.8 million (R$157.8 million in 1Q05), or 0.7x LTM EBITDA(*) (0.9x in 1Q05) (*) EBITDA, throughout this presentation means: net income plus income tax and social contribution, plus non-operating result, plus net financial expenses, plus depreciation and amortization, plus goodwill amortization. 3
  4. 4. Industry Performance
  5. 5. Results First Quarter 2006 LIGHT COMMERCIALS – BRAZIL (‘000 units) Production % = 14 Export – 05 R 01 % C AG = 29 – 05 R 01 C AG % 05 = 13 366 318 ∆ 1Q06 - % – 05 = 8 ∆ 1Q06 216 216 180 156 114 72 80 90 56 40 32 35 0 1 0 2 0 3 0 4 0 5 05 06 20 20 20 20 20 1 Q 1 Q Source: Anfavea 5
  6. 6. Results First Quarter 2006 TRUCKS – BRAZIL (‘000 units) Production Export 1% 5=1 R0 1–0 % C AG = 54 – 05 R 01 C AG ∆ 1Q 06 – 05 = (12% ) 116 107 05 = 5 % 77 79 ∆ 1Q06 – 69 13 37 7 5 25 28 7 24 7,4 0 1 0 2 0 3 0 4 0 5 05 06 20 20 20 20 20 1 Q 1 Q Source: Anfavea 6
  7. 7. Results First Quarter 2006 BUSES – BRAZIL (‘000 units) Production 1% 5=1 R0 1–0 Export C AG 29% – 05 = R 01 C AG = 6% ∆ 1Q06 – 05 35 29 ∆ 1Q 27 06 – 05 = 24 23 ( 8% ) 19 13 9 8.2 8.6 7 7 4 3.6 0 1 0 2 0 3 0 4 0 5 05 06 20 20 20 20 20 1 Q 1 Q Source: Anfavea 7
  8. 8. Results First Quarter 2006 AGRICULTURAL MACHINERY – BRAZIL (‘000 units) Production % –0 5=4 Export R 01 C AG 9% –0 5=3 R 01 C AG 69 ∆ 1Q 06 – 59 05 = 53 ∆ 1Q (18% 52 06 – ) 44 05 = (35% ) 31 31 21 5 10 14 11 8 8 0 1 0 2 0 3 0 4 0 5 05 06 20 20 20 20 20 1 Q 1 Q Source: Anfavea 8
  9. 9. Results First Quarter 2006 PASSENGER CARS – BRAZIL (‘000 units) Production = 7% 0 1 – 05 C A GR Export = 17 % 01 – 05 C AG R 05 = 8% 1,931 ∆ 1Q06 – 1,757 % 05 = 5 1,496 1,521 1,505 ∆1 Q06 – 606 440 497 470 148 509 155 319 363 0 1 0 2 0 3 0 4 0 5 05 06 20 20 20 20 20 1 Q 1 Q Source: Anfavea 9
  10. 10. Results First Quarter 2006 RAILWAY FREIGHT CARS – BRAZIL (units) Sale % = 77 – 05 01 GR CA 7,270 5,642 ∆1Q06 – 05 = (5%) 2,459 294 1,375 1,309 748 0 1 0 2 0 3 0 4 0 5 05 06 20 20 20 20 20 1 Q 1 Q Source: Amsted Maxion estimate 10
  11. 11. Results First Quarter 2006 RAILWAY CASTINGS – BRAZIL (metric tons) Sale 10% 05 = 01 – C AGR 5.100 3.500 3.386 ∆ 1 Q0 6 – 05 = (30% 2.230 2.288 ) 1.046 733 0 1 0 2 0 3 0 4 0 5 05 06 20 20 20 20 20 1 Q 1 Q Source: Amsted Maxion estimate Does not include castings used in the assembly of railway freight cars 11
  12. 12. Results First Quarter 2006 RAILWAY WHEELS – BRAZIL ( ‘000 units) Sale 4% 01 – 05 = CAGR 50 50 48 42 42 % 6–0 5 = 19 ∆ 1Q0 9 11 0 1 0 2 0 3 0 4 0 5 05 06 20 20 20 20 20 1 Q 1 Q Source: Amsted Maxion estimate Does not include wheels used in the assembly of railway freight cars 12
  13. 13. Results First Quarter 2006 MARKET SHARE – BRAZIL (1Q06) Commercial Vehicle Railway Freight Railway Chassis Wheels Cars Castings Maxion Maxion Maxion 85% 80% 71% Maxion 58% 39% 28% 1% 3% Borlem 15% 20% Dana OEM Others Others Cruzaço Maxion 69% 65% 80% 80% 1Q05 Source: Maxion estimate 13
  14. 14. Consolidated Results
  15. 15. Results First Quarter 2006 NET OPERATING REVENUE – 1Q06 R$ 340 million Segment (%) Customer (%) Automotive Comp. Daimler Division Chrysler Volks- wagen 6% 11% Brasil 12% Ferrovias 10% CVRD/ 12% General 41% FCA 6% Motors 53% 4% Scania 4% 19% 3% Tractors Exports Amsted Ford Maxion (*) Wheels and 19% Chassis Division Other (*) Consolidation considers 50% of Amsted Maxion’s net operating revenue 15
  16. 16. Results First Quarter 2006 EXPORTS – 1Q06 US$29 million R$63 million Segment (%) Destination (%) Canada/ Mexico 8% 63% Railway Equip. USA 50% 26% South America 30% Commercial Vehicle 7% 6% 10% Wheels Chassis Africa/ Europe Middle East 16
  17. 17. Results First Quarter 2006 NET OPERATING REVENUE (R$ million) % 36 41% 4= = 5-0 – 05 ∆0 01 GR CA 1,494 1,099 ∆ 1Q06 – 05 = (4 %) 676 374 411 353 340 0 1 0 2 0 3 0 4 0 5 05 06 20 20 20 20 20 1 Q 1 Q 17
  18. 18. Results First Quarter 2006 EXPORTS (USD million) % = 48 1% 05 =6 01 – 5 -04 R ∆0 C AG 96 % 6–0 5 = 29 ∆ 1Q0 47 33 29 24 24 23 0 1 0 2 0 3 0 4 0 5 05 06 20 20 20 20 20 1 Q 1 Q 18
  19. 19. Results First Quarter 2006 GROSS PROFIT R$ MM % net sales 350 50% 300 40% 250 30% 200 21% 289 150 21% 21% 20% 19% 20% 19% 20% 228 100 137 10% 50 87 80 72 64 0 0% 00 1 00 2 00 3 00 4 00 5 05 06 2 2 2 2 2 1Q 1Q 19
  20. 20. Results First Quarter 2006 EARNING BEFORE INTEREST AND TAXES - EBIT R$ MM % net sales 200 20% 150 15% 12% 12% 12% 11% 100 10% 9% 9% 178 7% 127 50 5% 58 36 41 38 27 0 0% 00 1 00 2 00 3 00 4 00 5 05 06 2 2 2 2 2 1Q 1Q 20
  21. 21. Results First Quarter 2006 NET FINANCIAL EXPENSES R$ MM % net sales 75 15% 13% 11% 50 10% 6% 54 25 5% 41 38 37 3% 3% 33 2% 2% 9 6 0 0% 00 1 00 2 00 3 00 4 00 5 05 06 2 2 2 2 2 1Q 1Q 21
  22. 22. Results First Quarter 2006 EBITDA (*) R$ MM % net sales 250 20% 17% 200 16% 15% 14% 14% 14% 13% 13% 150 10% 100 205 156 5% 50 89 69 58 48 45 0 0% 00 1 00 2 00 3 00 4 00 5 05 06 2 2 2 2 2 1Q 1Q (*) EBITDA, throughout this presentation means: net income plus income tax and social contribution, plus non-operating result, plus net financial expenses, plus depreciation and amortization, plus goodwill amortization. 22
  23. 23. Results First Quarter 2006 NET EARNINGS R$ MM % net sales 80 20% 60 15% 40 10% 51 72 7% 20 5% 5% 5% 4% 4% 25 15 15 0 0% -1% 00 1 00 2 (24) 00 3 (5) 00 4 00 5 05 06 2 2 2 2 2 1Q 1Q (20) -5% -6% (40) -10% 23
  24. 24. Results First Quarter 2006 NET BANK DEBT R$ MM x EBITDA (*) 200 2.0 175 150 1.5 1.5 1.3 125 1.1 100 1.0 0.9 158 75 151 0.7 0.6 1250.6 115 106 50 0.5 102 65 25 0 0.0 00 1 00 2 00 3 00 4 00 5 05 06 2 2 2 2 2 1Q 1Q (*) EBITDA, throughout this presentation means: net income plus income tax and social contribution, plus non-operating result, plus net financial expenses, plus depreciation and amortization, plus goodwill amortization. 24
  25. 25. Results First Quarter 2006 CAPEX (R$ million) 84 80 73 54 41 13 14 0 2 0 3 0 4 0 5 6 E 05 06 20 20 20 20 00 1 Q 1 Q 2 25
  26. 26. Results First Quarter 2006 INCOME STATEMENT (R$ thousand) First Quarter 2,006 % N.O.R. 2,005 % N.O.R. Var% Net operating revenue 340,321 100.0% 352,579 100.0% -3.5% (-) Cost of goods sold (276,483) -81.2% (281,082) -79.7% -1.6% Gross profit 63,838 18.8% 71,497 20.3% -10.7% Operating expenses Sales (14,708) -4.3% (17,238) -4.9% -14.7% General and Administrative (11,505) -3.4% (12,202) -3.5% -5.7% Other operating expenses 58 0.0% (807) -0.2% -107.2% (26,155) -7.7% (30,247) -8.6% -13.5% Earnings before interest and taxes - EBIT 37,683 11.1% 41,250 11.7% -8.6% Net financial expenses (6,162) -1.8% (8,700) -2.5% -29.2% Earnings after financial expenses 31,521 9.3% 32,550 9.2% -3.2% Non-operating result (5,106) -1.5% (5,284) -1.5% -3.4% Earnings before taxes 26,415 7.8% 27,266 7.7% -3.1% Income taxes (11,511) -3.4% (12,151) -3.4% -5.3% Net income 14,904 4.4% 15,115 4.3% -1.4% EBITDA (*) 44,666 13.1% 47,724 13.5% -6.4% (*) EBITDA, throughout this presentation means: net income plus income tax and social contribution, plus non-operating 26 result, plus net financial expenses, plus depreciation and amortization, plus goodwill amortization.
  27. 27. Additional Information
  28. 28. Results First Quarter 2006 BALANCE SHEET (R$ thousand) ASSETS Mar ´06 Mar ´05 LIABILITES AND EQUITY Mar ´06 Mar ´05 CURRENT CURRENT Cash and marketable securities 22,639 30,287 Loans 113,814 144,965 Receivables 186,422 180,713 Payables 64,501 73,969 Inventories 131,822 160,479 Costumers advances 51,984 69,558 Recoverable taxes 18,895 26,648 Wages and charges 29,507 25,403 Other 28,077 18,833 Taxes 9,360 23,601 387,855 416,960 Provisions 7,869 15,067 Other 12,648 36,820 289,683 389,383 LONG TERM LONG TERM Receivables 2,832 4,533 Loans 59,625 42,148 Deferred income taxes 28,945 40,090 Provisions 62,601 36,918 Other 13,762 29,872 Other 14,865 4,246 45,539 74,495 137,091 83,312 MINORITY INTEREST 195 176 PERMANENT EQUITY Investments 369 265 Paid-up capital 161,463 161,463 Plant, property and equipment 235,540 178,763 Profit reserves 68,468 24,770 Deferred items 2,501 3,736 Retained earnings 14,904 15,115 238,410 182,764 244,835 201,348 671,804 674,219 671,804 674,219 28
  29. 29. Results First Quarter 2006 NET DEBT BREAKDOWN – MAR ‘06 (R$ million) Lines Short Term Long Term Total Trade Finance / Export 27.9 15.0 42.9 Equipment financing 82.6 44.6 127.2 Other lines in R$ 3.3 3.3 113.8 59.6 173.4 (-) Cash and Cash equivalents 22.6 22.6 Net Debt 91.2 59.6 150.8 29
  30. 30. Results First Quarter 2006 DEBT INDEXATION – MAR ‘06 (%) TJLP (BNDES Average Cost (1Q06) rate) 71% In R$ 71% CDI In US$ 7.8% p.a. 2% 25% 2% Dollar IGPM Interbank (whosale rate inflation index) 30
  31. 31. Results First Quarter 2006 FREIGHT CARS – FIRM ORDERS FOR DELIVERY IN 2006 CVRD / FCA 1,276 units Brasil Ferrovias 720 units MRC (Mitsui / Bunge / ALL) (Mitsui 300 units Revenue Approx. MRS 280 units R$510 million CVG Ferrominera Orinoco 50 units Itaú Leasing (Inlogs / ALL) Itaú (Inlogs 69 units Total 2,695 units 31
  32. 32. Results First Quarter 2006 SHAREHOLDER COMPOSITION : MAR ´06 Iochpe Family BNDES Participações Other Voting 74.6% Voting 21.8% Voting 3.6% Non-Voting Non- 0.4% Non-Voting Non- 27.6% Non-Voting Non- 72,0% Total 26.1% Total 25.6% Total 48.3% Issued Shares (*) Common 18,428,597 34.62% Preferred 34,803,707 65.38% Total 53,232,304 100.00% 32
  33. 33. Results First Quarter 2006 STOCK PERFORMANCE R$ THOUS. R$ / SHARE (*) 5,000 24.0 DAILY VOLUME / MONTHLY AVERAGE PRICE IOCHPE-MAXION PN (MYPK4) 4,500 21.1 20.0 4,000 16.8 18.8 16.2 16.2 18.0 3,500 16.3 16.0 15.9 15.5 3,225 16.0 14.114.2 14.2 14.4 3,000 13.6 12.4 PRICE 2,388 2,500 12.0 9.6 2,000 8.7 8.5 VOLUME 6.8 8.0 1,500 1,385 5.5 1,366 4.9 4.7 4.0 4.0 1,004 966 1,000 4.0 3.9 4.1 849 4.0 556 500 401 354 253 381 262 296 289 333 303 384 171 205 183 144 156 43 151 190 123 139 - - Ju 4 Ju 5 Fe 04 Au 04 Se 04 Fe 05 Au 05 Se 05 Fe 06 Ja 03 M 05 M 04 M 04 Ju 04 O 04 D 04 Ja 04 M 05 M 06 Ju 05 O 05 D 05 Ja 05 Ap 04 N 04 Ap 05 6 N 05 0 0 -0 n- n- n- l- n- l- n- - b- g- b- g- b- - r- - p- - - r- - p- - - - - - ay ov ay ov ec ar ec ar ec ar ct ct D (*) after reverse split 33

×