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Bietigheim-Bissingen, November 7, 2019
www.durr-group.com
RESULTS
JAN. – SEPT. 2019
2© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
DISCLAIMER
This publication has been prepared independently by Dürr AG/Dürr Group (“Dürr”). It may contain statements which address such key issues as strategy, future financial results,
events, competitive positions and product developments. Such forward-looking statements are subject to a number of risks, uncertainties and other factors, including, but not
limited to those described in Dürr’s disclosures, in particular in the chapter “Risks” in Dürr’s annual report. Should one or more of these risks, uncertainties and other factors
materialize, or should underlying expectations not occur or assumptions prove incorrect, actual results, performances or achievements of Dürr may vary materially from those
described in the relevant forward-looking statements. These statements may be identified by words such as “expect,” “want,” “anticipate,” “intend,” “plan,” “believe,” “seek,”
“estimate,” “will,” “project” or words of similar meaning. Dürr neither intends, nor assumes any obligation, to update or revise its forward-looking statements regularly in light of
developments which differ from those anticipated. Stated competitive positions are based on management estimates supported by information provided by specialized external
agencies.
Our financial reports, presentations, press releases and ad-hoc releases may include alternative financial metrics. These metrics are not defined in the IFRS (International
Financial Reporting Standards). Dürr’s net assets, financial position and results of operations should not be assessed solely on the basis of these alternative financial metrics.
Under no circumstances do they replace the performance indicators presented in the consolidated financial statements and calculated in accordance with the IFRS. The
calculation of alternative financial metrics may vary from company to company despite the use of the same terminology. Further information regarding the alternative financial
metrics used at Dürr can be found in our financial glossary on the Dürr web page (https://www.durr-group.com/en/investor-relations/service/glossary/).
3
SUMMARY
Q3 2019: Increase in order intake, sales and EBIT
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
Sales up 5% and incoming orders up 4% in 9M 2019 despite challenging market conditions
HOMAG`s incoming orders in Q3 clearly above weak Q2 level, large systems order won in China
Book-to-bill at 1, order backlog with € 2.6 bn unchanged compared to year end level 2018
Service business (+12%) well on track
9M 2019: EBIT and net profit unchanged yoy
Cash flow improvement in Q3, further progress in Q4 expected
Paint and Final Assembly Systems, Application Technology, Clean Technology Systems and Measuring and Process
systems are well on track to reach their 2019 targets
Strong Q4 in all divisions expected
Measures for structural adjustment and efficiency at HOMAG (€ 37 m one-offs in Q4) to improve the cost basis by
€ 15 m p.a. from 2021 onwards
No change of operating earnings guidance for the Dürr Group in 2019
4
OVERVIEW
Key performance indicators 9 months 2019 vs. 9 months 2018
Incoming orders Sales revenues EBIT Net profit
9M 2018 9M 2019 Margin
in € m
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
2,753.2
2,859.5
+3.9%
2,734.1
2,874.1
+5.1%
153.3 154.1
+0.5%
103.5 102.1
-1.3%
5.6 % 5.4 %
3.8 % 3.6 %
5
STRONG ORDER INTAKE GROWTH IN NORTH AMERICA
Promising pipeline for Q4 2019
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
in € m
2,753.2
521.4 565.7 573.9
794.1
298.0
2,859.5
452.6
914.7
431.1
722.9
338.1
Total China Americas Germany Europe (w/o Germany) Asia (w/o China), Africa,
Australia
-13.2%
+61.7%
-24.9%
+3.9%
-9.0%
+13.5%
6
Q3 2019: EBIT UP 14%
Strongest quarter so far in 2019
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
Extraordinary effects of € -17.4 m (9M 2018: € -28.6 m), thereof € -14.8 m purchase price allocation effects
Increase in selling expenses: +12% (e.g. various exhibitions such as Ligna, Open House). Normalization in Q4 expected
9 months
2019
9 months
2018 Δ Q3 2019 Q3 2018 Δ
Gross profit on sales in € m 626.0 602.4 3.9% 211.9 198.3 6.9%
Gross margin in % 21.8 22.0 -0.2 ppts 21.3 20.1 1.2 ppts
EBITDA in € m 237.6 223.0 6.6% 87.2 82.1 6.2%
EBIT in € m 154.1 153.3 0.5% 58.9 51.9 13.6%
EBIT before extraordinary effects in € m 171.5 181.9 -5.7% 64.6 69.2 -6.6%
EBIT margin in % 5.4 5.6 -0.2 ppts 5.9 5.3 0.6 ppts
EBIT margin before extraordinary effects in % 6.0 6.7 -0.7 ppts 6.5 7.0 -0.5 ppts
Net income in € m 102.1 103.5 -1.3% 38.4 35.3 8.8%
7
in € m
9 MONTHS 2019 CASH EVOLUTION
Δ
Persistent delays in customer payments affecting NWC and NFS development.
Q3 with positive net cash generation
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
in € m
9 months
2019
9 months
2018 Q3 2019 Q3 2018
Operating cash flow -61.3 -31.1 51.6 28.0
Free cash flow -158.1 -95.0 23.4 11.8
Δ Net financial status -227.0 -206.6 16.9 8.5
32.3
-66.5
-293.5
-57.6 -8.8
-74.3
-44.0
-62.3
NFS1
12/2018
+83.5
TaxesIFRS 16 DepreciationNFS1
12/2018
adjusted
EBT
+142.4
NWC Dividend
payment
Capex M&A Others NFS1
9/2019
-205.9
-98.8
1 Net financial status
8
NET WORKING CAPITAL DEVELOPMENT
Measures adopted starting to show improvement in YOY inventory levels
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
███ included in total balance (total work in process less billings)
in € m 09/30/2019 12/31/2018 09/30/2018
Materials and supplies (net) 231.9 230.2 237.2
+ Work in process from small series production 123.5 119.8 132.0
+ Finished goods and merchandise (net) 152.8 141.9 155.5
+ Prepayments to suppliers 54.1 43.5 67.2
= Inventories and prepayments made 562.3 535.4 591.9
+ Total trade receivables 618.6 603.0 592.6
+ Total contract assets 560.7 478.3 546.5
- Trade payables (incl. liabilities from notes payable) 534.9 502.4 490.8
- Total contract liabilities 558.0 673.0 738.2
= Net working capital 648.8 441.4 502.1
9
WORK IN PROCESS BALANCE
Shortfall in customer payments main cause for current status of total balance
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
FY goal 2019 unchanged: Total balance between € 0 and -100 m, around € 0 most likely at year end
in € m 09/30/2019 12/31/2018 09/30/2018
Assets
Total contract assets 560.7 478.3 546.5
Work in process from small series production 123.5 119.8 132.0
Liabilities
Total contract liabilities 558.0 673.0 738.2
Total balance (Total work in process less billings) 126.3 -74.8 -59.6
10
FACTORING/FORFEITING
Forfeiting volume decreased by € 4 m
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
in € m 09/30/2019 12/31/2018 09/30/2019
Factoring 0.0 0.0 0.0
Forfeiting 20.7 24.9 27.4
Total 20.7 24.9 27.4
Δ End of previous year -4.2 -3.1 -0.6
09/30/2019 12/31/2018 09/30/2018
Equity in € m 1,031.1 992.2 920.5
Equity ratio in % 27.0 27.4 25.8
Net financial status in € m -293.5 32.3 -30.3
Total cash (including time deposits) in € m 643.3 675.1 608.8
Gearing in % 22.2 -3.4 3.2
ROCE in % 15.41
24.0 21.21
11
EQUITY ABOVE € 1 BN (+12% YOY)
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
Increase in total cash position due to new Sustainability Schuldschein (SSD) issued in Q3
Net financial status expected to continue improving in Q4. Approx. € 100 m negative effect due to IFRS 16
since the start of 2019
ROCE expected between 12 and 17% in FY 2019 due to extraordinary measures for efficiency increase at HOMAG, but still
well above cost of capital 1 annualized
44%
39%
17%
Spare parts
Modifications
Other services
(e.g. maintenance,
assesments)
Service mix 9 months 2019
12
SERVICE BUSINESS: STRONG EXPANSION OF 12%
All divisions posting sales growth
Margin level slightly declined but still very healthy
More moderate growth rate to be expected in the next quarters
Agile spare parts & service processes improvements
New analytics software (DXQ family) for maintenance and
production
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
9 months
2019
9 months
2018 Δ
Sales revenues in € m 814.6 727.4 12.0%
% of group sales 28.3 26.6 1.7 ppts
13
PAINT AND FINAL ASSEMBLY SYSTEMS
On track to deliver it‘s FY targets
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
9M
2019
9M
2018 Δ
Q3
2019
Q3
2018 Δ
Incoming orders in € m 831.9 765.4 8.7% 243.4 187.9 29.5%
Sales revenues in € m 924.6 878.5 5.2% 319.9 311.2 2.8%
EBIT in € m 39.9 38.9 2.5% 15.3 14.0 9.4%
EBIT margin in % 4.3 4.4 -0.1 ppts 4.8 4.5 0.3 ppts
ROCE1
in % 25.4 71.1
-45.8
ppts 29.2 76.7
-47.5
ppts
1 annualized
Rising order intake in 9M (e.g. Mexico, India, China, US), project pipeline
unchanged at a satisfactory level
Order intake margin stabilizes at the higher level of the recent quarters
EBIT + 9% in Q3
Q4 should be strong in respect of incoming orders, sales and earnings
14
APPLICATION TECHNOLOGY
Better margins in equipment business compensate for weaker service business margins
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
Order intake improved in Q3, Q4 with further growth
Book-to-bill at 1.1
Weaker incoming orders in service business due to lower
utilization of automotive factories
Margin improvement in equipment sales compensates
margin pressure in service business
9M
2019
9M
2018 Δ
Q3
2019
Q3
2018 Δ
Incoming orders in € m 456.1 486.4 -6.2% 151.1 141.2 7.0%
Sales revenues in € m 427.2 472.1 -9.5% 155.5 174.1 -10.7%
EBIT in € m 44.0 48.0 -8.3% 16.3 17.4 -6.3%
EBIT margin in % 10.3 10.2 0.1 ppts 10.5 10.0 0.5 ppts
ROCE1
in % 18.8 24.2 -5.4 ppts 20.8 26.2 -5.4 ppts
1 annualized
15
CLEAN TECHNOLOGY SYSTEMS
Successful integration of Megtec/Universal progressing as planned
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
Figures influenced by consolidation of Megtec/Universal since Q4 2018
9M: sales and incoming orders more than doubled, order intake up 5% on a
comparable basis
Book-to-bill at 1.2
Q3 earnings strongly improved
9M
2019
9M
2018 Δ
Q3
2019
Q3
2018 Δ
Incoming orders in € m 334.1 152.8 118.6% 126.0 36.3 246.8%
Sales revenues in € m 271.9 119.9 126.7% 91.6 54.9 66.7%
EBIT in € m 4.4 -14.2 - 3.7 -11.7 -
EBIT margin in % 1.6 -11.9
13.5
ppts 4.1 -21.3
25.4
ppts
ROCE1
in % 3.5 -33.0
36.6
ppts 9.0 -81.4
90.4
ppts
1 annualized
16
MEASURING AND PROCESS SYSTEMS
Order intake above previous year level with opportunity to increase sales in Q4
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
9M: order intake 7% above previous year’s level despite weak market conditions
Sales decline due to weaker incoming orders in H2 2018
Strong decline in conventional powertrain business
(e.g. turbochargers, crankshafts)
Earnings affected by sales decline and higher R&D costs (digital innovations)
EBIT-margin in Q3 above the 10% mark
1 annualized
9M
2019
9M
2018 Δ
Q3
2019
Q3
2018 Δ
Incoming orders in € m 330.2 307.7 7.3% 101.6 93.2 9.0%
Sales revenues in € m 293.5 326.1 -10.0% 106.6 112.6 -5.3%
EBIT in € m 24.2 37.9 -36.3% 11.4 14.1 -19.2%
EBIT margin in % 8.2 11.6 -3.4 ppts 10.7 12.5 -1.8 ppts
ROCE1
in % 11.0 18.4 -7.4 ppts 15.5 20.5 -5.0 ppts
17
WOODWORKING MACHINERY AND SYSTEMS
Measures for structural adjustments and efficiency increases announced
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
Order intake in Q3 clearly above the weak Q2 level, large systems order in China
High margin business in China significantly declining: 9M sales -49% to € 69 m
Weak earnings due to stronger price competition, underutilization at some locations
and higher production costs (e.g. personnel)
Unchanged outlook 2019 for incoming orders, sales and EBIT before extraordinary
effects
9M
2019
9M
2018 Δ
Q3
2019
Q3
2018 Δ
Incoming orders in € m 907.3 1,040.9 -12.8% 316.5 339.6 -6.8%
Sales revenues in € m 956.8 937.3 2.1% 320.1 331.6 -3.5%
EBIT in € m 52.0 58.7 -11.3% 17.0 21.5 -21.0%
EBIT margin in % 5.4 6.3 -0.8 ppts 5.3 6.5 -1.2 ppts
ROCE1
in % 14.0 17.2 -3.2 ppts 13.7 18.9 -5.2 ppts
1 annualized
Reduction of overcapacity in Germany
Complete package with one-off costs of € 40 m,
thereof € 37 m in 2019
Costs savings of at least € 15 m from 2021 onwards
Overview of measures:
Closure of production in Hemmoor
Capacity reduction program at other German locations,
in total 350 employees
Merger of two business units Systems and Automation
Reorganization of sales and spare parts logistics
18
EFFICIENCY AND PRODUCTION IMPROVEMENT MEASURES AT
HOMAG
Continuing on the optimization path
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
19
TARGETS 2019
Incoming orders, sales, operating margin and cash flow guidance unchanged
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
ActuaI 2018 Target 2019 old1
Target 2019 new
Incoming orders in € m 3,930.9 3,800 - 4,100 3,800 - 4,100
Orders on hand in € m (12/31) 2,577.2 2,400 - 2,900 2,400 - 2,900
Sales revenues in € m 3,869.8 3,900 - 4,100 3,900 - 4,100
EBIT margin in % 6.0 5.5 - 6.0 4.4 - 4.9
EBIT margin before extraordinary effects in % 7.1 6.0 - 6.5 6.0 - 6.5
ROCE in % 24.0 15 - 20 12 - 17
Net finance expense in € m -13.8 deterioration deterioration
Tax rate in % 25.6 27 - 28 27 - 28
Earnings after tax in € m 163.5 145 - 160 115 - 130
Cash flow from operating activities in € m 162.3 down on the previous year down on the previous year
Free cash flow in € m 78.4 down on the previous year down on the previous year
Net financial status2
in € m (12/31) 32.3 -180 - -130 -180 - -130
Liquidity in € m (12/31) 655.0 740 - 790 740 - 790
Capital expenditure3
in € m 74.4 80 - 90 95 - 105
1 Since of July 22, 2019
2 Due to the first-time application of IFRS 16 "Leases", we expect a negative effect of around € 100 m on net financial status in 2019.
3 on property, plant and equipment and intangible assets (excluding acquisitions)
20
TARGETS DIVISIONS 2019
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
Order intake (in € m) Sales (in € m) EBIT margin (in %)
2018
Target
old 20191
Target
new 2019 2018
Target
old 20191
Target
new 2019 2018
Target
old 20191
Target
new 2019
Paint and Final
Assembly Systems 1,300.4
1,100 -
1,300
1,100 -
1,300 1,235.7
1,200 -
1,300
1,200 -
1,300 4.5 4.6 - 5.5 4.6 - 5.5
Application
Technology 632.4 620 - 670 620 - 670 652.6 630 - 680 630 - 680 10.4 10.0 - 11.0 10.0 - 11.0
Clean Technology
Systems 258.2 400 - 4502 400 - 4502 226.7 400 - 4502 400 - 4502 -6.6 2.0 - 3.02 2.0 - 3.02
Measuring and
Process Systems 403.3 400 - 450 400 - 450 456.5 400 - 450 400 - 450 13.1 10.0 - 11.0 10.0 - 11.0
Woodworking
Machinery and
Systems 1,336.8
1,100 -
1,300
1,100 -
1,300 1,298.3
1,200 -
1,300
1,200 -
1,300 6.6 5.5 - 6.3 2.5 - 3.0
1 Since July 22, 2019
2 Consolidation of Megtec/Universal for 12 months
21© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
Appendix
22
BALANCE SHEET HIGHLIGHTS (1/2)
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
Assets in € m 09/30/2019 12/31/2018 09/30/2018
Non-current assets 1,312.1 1,244.3 1,100.5
of which goodwill & intangibles 650.2 651.3 575.0
of which property, plant and equipment 519.1 433.8 407.0
of which investment & financial assets 69.8 65.1 65.5
Current assets 2,509.2 2,370.1 2,468.2
of which inventories and prepayments 562.3 535.4 591.9
of which contract assets 560.7 478.3 546.5
of which trade receivables 607.4 566.7 587.3
of which sundry financial assets 158.8 52.4 52.7
of which cash and cash equivalents 513.8 655.0 588.2
Total assets Dürr Group 3,821.2 3,614.4 3,568.7
23
BALANCE SHEET HIGHLIGHTS (2/2)
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
Equity and liabilities in € m 09/30/2019 12/31/2018 09/30/2018
Total equity 1,031.1 992.2 920.5
of which non-controlling interests 14.7 14.9 14.5
Non-current liabilities 1,063.0 786.1 783.2
of which provisions 74.3 69.1 69.3
of which bond and bonded loan 798.0 598.0 597.8
of which other financial liabilities 81.0 12.8 11.4
of which deferred taxes 95.7 91.9 85.6
Current liabilities 1,727.1 1,836.2 1,865.0
of which other provisions 114.2 130.7 137.6
of which contract liabilities 555.9 670.8 734.3
of which trade payables 534.4 501.4 489.3
of which sundry financial liabilities 325.1 347.7 339.7
of which other liabilities 122.7 142.3 122.0
Total equity and liabilities Dürr Group 3,821.2 3,614.4 3,568.7
24
P&L IN DETAIL
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
in € m 9M 2019 9M 2018 Δ Q3 2019 Q3 2018 Δ
Sales revenues 2,874.1 2,734.1 5.1% 993.7 984.5 0.9%
Cost of sales -2,248.1 -2,131.7 5.5% -781.8 -786.2 -0.6%
Gross profit on sales 626.0 602.4 3.9% 211.9 198.3 6.9%
Selling expenses -249.3 -222.8 11.9% -80.2 -75.6 6.2%
General administrative expenses -139.6 -131.3 6.3% -47.0 -41.3 13.9%
Research and development costs -84.7 -88.6 -4.4% -26.4 -27.3 -3.4%
Other operating income 17.4 21.3 -18.1% 5.4 3.9 36.9%
Other operating expenses -15.8 -27.7 -43.0% -4.8 -6.2 -23.2%
Earnings before investment income, interest and income taxes 154.1 153.3 0.5% 58.9 51.9 13.6%
Investment income 4.2 3.3 26.1% 1.3 -0.3
Interest and similar income 4.0 4.6 -13.5% 0.8 1.3 -40.8%
Interest and similar expenses -19.9 -19.9 0.4% -7.2 -5.8 24.0%
Earnings before income taxes 142.4 141.4 0.7% 53.8 47.1 14.3%
Income taxes -40.3 -37.9 6.3% -15.4 -11.8 30.6%
Profit of the Dürr Group 102.1 103.5 -1.3% 38.4 35.3 8.8%
Attributable to:
Non-controlling interests 3.9 3.6 9.3% 1.0 1.1 -16.7%
Shareholders of Dürr Aktiengesellschaft 98.2 99.9 -1.7% 37.5 34.2 9.7%
Number of shares issued in thousands 69,202.1 69,202.1 - 69,202.1 69,202.1 -
Earnings per share in € (basic and diluted) 1.4 1.4 -1.4% 0.5 0.5 10.2%
25
CASH FLOW
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
in € m 9M 2019 9M 2018 Q3 2019 Q3 2018
EBT 142.4 141.4 53.8 47.1
Depreciation and amortization of non-current assets 83.5 69.7 28.3 30.2
Interest result 15.9 15.2 6.5 4.5
Income taxes paid -44.0 -63.2 -11.4 -14.2
Δ Provisions -16.0 -12.9 -5.9 2.0
Δ Net working capital -205.9 -133.3 -43.9 -51.0
Other -37.3 -48.1 24.2 9.3
Operating cash flow -61.3 -31.1 51.6 28.0
Interest paid (net) -18.8 -12.4 -0.4 0.6
Repayment lease liabilities -20.4 0.0 -7.0 0.7
Capital expenditures -57.6 -51.5 -20.8 -17.5
Free cash flow -158.1 -95.0 23.4 11.8
Others (e.g. currency effects, dividends) -68.9 -111,6 -6.5 -3.3
Change net financial status -227.0 -206.6 16.9 8.5
26
OVERVIEW: FINANCIAL FIGURES BY DIVISION (1/2)
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
2019 2018 2017
Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total
PFS
Incoming orders in € m 394.1 194.4 243.4 831.9 274.2 303.3 187.9 534.9 1,300.4 268.3 377.3 181.0 315.8 1,142.3
Sales revenues in € m 311.1 293.6 319.9 924.6 270.2 297.1 311.2 357.1 1,235.7 275.4 256.4 284.5 358.9 1,175.2
Order backlog in € m 1,321.6 1,203.9 1,139.2 1,217.9 1,232.3 1,033.9 1,216.4 1,242.0 1,329.6 1,211.2 1,148.4
EBIT in € m 12.7 11.9 15.3 39.9 12.4 12.5 14.0 17.0 56.0 17.0 13.9 16.0 23.4 70.4
EBIT before extraordinary effects in € m 13.7 12.5 15.8 42.0 13.0 13.0 14.5 17.6 58.1 17.5 14.5 16.6 24.0 72.6
Employees 3,514 3,542 3,594 3,435 3,405 3,447 3,472 3,367 3,384 3,463 3,457
APT
Incoming orders in € m 159.6 145.5 151.1 456.1 168.6 176.6 141.2 146.0 632.4 157.1 168.3 134.8 126.4 586.5
Sales revenues in € m 139.4 132.3 155.5 427.2 145.5 152.5 174.1 180.5 652.6 134.2 152.7 160.4 175.1 622.4
Order backlog in € m 391.5 400.7 399.3 424.0 449.8 398.3 366.5 461.3 467.7 436.9 384.2
EBIT in € m 14.6 13.2 16.3 44.0 15.2 15.5 17.4 19.9 68.0 13.9 15.5 17.2 18.2 64.8
EBIT before extraordinary effects in € m 14.7 13.2 16.3 44.2 15.2 15.6 17.4 19.9 68.2 14.0 15.6 17.3 18.4 65.3
Employees 2,271 2,251 2,306 2,112 2,154 2,230 2,246 1,953 1,985 2,024 2,063
CTS
Incoming orders in € m 112.6 95.5 126.0 334.1 57.6 58.8 36.3 105.3 258.2 56.6 38.6 27.8 41.9 164.9
Sales revenues in € m 88.3 92.1 91.6 271.9 30.3 34.7 54.9 106.8 226.7 38.6 47.7 45.3 54.1 185.6
Order backlog in € m 217.8 217.1 255.1 125.7 152.2 130.8 191.3 142.9 128.8 110.1 98.3
EBIT in € m -0.7 1.4 3.7 4.4 -1.0 -1.6 -11.7 -0.7 -15.0 0.4 1.2 0.3 1.5 3.3
EBIT before extraordinary effects in € m 1.2 4.1 6.6 11.9 -0.8 -1.4 2.0 5.4 5.1 0.6 1.4 0.4 1.6 4.0
Employees 1,443 1,427 1,425 601 600 612 1,472 573 586 596 603
MPS
Incoming orders in € m 105.1 123.5 101.6 330.2 103.4 111.1 93.2 95.6 403.3 161.7 117.1 139.4 124.9 543.0
Sales revenues in € m 91.9 95.1 106.6 293.5 99.4 114.2 112.6 130.4 456.5 145.4 105.2 131.1 129.4 511.1
Order backlog in € m 217.0 242.9 237.3 260.2 258.3 236.0 201.5 256.4 262.1 269.1 257.6
EBIT in € m 6.8 6.0 11.4 24.2 10.4 13.5 14.1 21.8 59.7 14.4 15.7 17.6 16.7 64.3
EBIT before extraordinary effects in € m 7.2 6.3 11.5 24.9 10.9 13.8 14.4 22.2 61.3 14.7 16.0 17.9 18.0 66.6
Employees 2,306 2,309 2,326 2,317 2,303 2,325 2,279 2,224 2,244 2,280 2,279
27
OVERVIEW: FINANCIAL FIGURES BY DIVISION (2/2)
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
2019 2018 2017
Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total
WMS
Incoming orders in € m 334.6 256.2 316.5 907.3 415.2 286.1 339.6 295.9 1,336.8 400.9 332.6 345.4 287.3 1,366.3
Sales revenues in € m 319.2 317.5 320.1 956.8 294.6 311.1 331.6 361.0 1,298.3 296.8 301.2 305.8 315.0 1,218.8
Order backlog in € m 622.0 557.6 559.6 676.4 657.6 666.3 601.6 534.0 555.8 591.0 560.9
EBIT in € m 18.4 16.7 17.0 52.0 19.7 17.4 21.5 27.6 86.2 20.3 23.4 22.1 17.2 83.0
EBIT before extraordinary effects in € m 20.5 18.8 19.2 58.5 21.9 19.6 23.7 29.7 94.9 22.5 25.6 24.3 19.3 91.7
Employees 6,633 6,592 6,615 6,484 6,567 6,605 6,593 6,083 6,149 6,316 6,371
CC/Cons.
Incoming orders in € m 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0
Sales revenues in € m 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.1
Order backlog in € m 0.0 0.0 0.0 0.1 0.0 0.0 0.0 0.1 0.1 0.1 0.1
EBIT in € m -3.1 -2.5 -4.7 -10.4 -5.7 -7.0 -3.3 -5.4 -21.4 20.2 -8.8 -5.5 -4.7 1.2
EBIT before extraordinary effects in € m -2.8 -2.5 -4.8 -10.1 -3.4 -4.6 -2.8 -1.9 -12.7 -2.5 -5.4 -4.6 -4.0 -16.4
Employees 248 263 268 204 207 242 250 193 197 197 201
Group
Incoming orders in € m 1,105.9 815.1 938.6 2,859.5 1,019.1 935.9 798.2 1,177.7 3,930.9 1,044.5 1,033.9 828.3 896.4 3,803.0
Sales revenues in € m 949.9 930.5 993.7 2,874.1 840.1 909.5 984.5 1,135.8 3,869.8 890.3 863.2 927.1 1,032.5 3,713.2
Order backlog in € m 2,769.8 2,622.2 2,590.3 2,704.3 2,750.3 2,465.4 2,577.2 2,636.7 2,744.2 2,618.3 2,449.4
EBIT in € m 48.6 46.6 58.9 154.1 51.1 50.3 51.9 80.2 233.5 86.2 60.9 67.7 72.2 287.0
EBIT before extraordinary effects in € m 54.6 52.3 64.6 171.5 56.8 56.0 69.2 93.0 274.9 66.8 67.6 72.0 77.3 283.7
Employees 16,415 16,384 16,534 15,153 15,236 15,461 16,312 14,393 14,545 14,876 14,974
28
OVERVIEW: EXTRAORDINARY EFFECTS
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
2019 2018 2017
Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total
PFS -1.0 -0.5 -0.6 -2.1 -0.5 -0.5 -0.5 -0.5 -2.2 -0.5 -0.5 -0.5 -0.5 -2.2
APT -0.1 0.0 0.0 -0.2 -0.1 -0.1 0.0 0.0 -0.2 -0.1 -0.1 -0.1 -0.2 -0.5
CTS -1.9 -2.7 -2.9 -7.5 -0.2 -0.2 -13.7 -6.1 -20.1 -0.2 -0.2 -0.2 -0.2 -0.7
MPS -0.4 -0.3 -0.1 -0.7 -0.5 -0.3 -0.4 -0.4 -1.5 -0.3 -0.3 -0.3 -1.4 -2.4
WMS -2.2 -2.2 -2.2 -6.5 -2.2 -2.2 -2.2 -2.2 -8.7 -2.2 -2.2 -2.2 -2.2 -8.7
CC -0.3 0.0 0.1 -0.3 -2.3 -2.4 -0.5 -3.5 -8.7 22.7 -3.4 -0.9 -0.7 17.7
Total -6.0 -5.7 -5.7 -17.4 -5.7 -5.7 -17.3 -12.8 -41.4 19.4 -6.7 -4.2 -5.1 3.3
in € m
29
LONG-TERM GROWTH IN THE CAR MARKET
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
20.3 19.9 22.4
21.9 21.3
24.3
23.0 22.5
25.3
26.4 24.5
31.7
2.7
2.4
4.1
0.0
20.0
40.0
60.0
80.0
100.0
120.0
2018 2019 2026e
Others China Asia (w/o China) Europe Americas
+3%
Growth drivers: China, India, South East Asia
Ʃ 94.2
Ʃ 90.5
Ʃ 107.8
-4%
CAGR
in m units1
1 Light vehicles production
Source: LMC Automotive
Last update: October 2019
30
Woodworking machinery market temporarily weak
Sources: CSIL, Euroconstruct, Holzbauverband, own estimates
WOODWORKING MACHINERY MARKETS
30© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
39%
12%5%
4%
4%
36%
in € bn Furniture production breakdown
3.4
3.5
3.9
4.2
3.9
3.6
3.7
4.0
4.2
2015 2016 2017 2018 2019e 2020e 2021e 2022e 2023e
25.5%
3.5%
71.0%1
Heinz u. Heide Dürr Stiftung
31
SHAREHOLDER STRUCTURE
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
Free float at 71.0%1
Institutional and private investors 2
- Thereof MainFirst: 4.7%
- Thereof Alecta Pensionsförsäkring: 3.2%
- Thereof members of the Dürr Board of
Management: 0.3%
- Thereof members of the
Dürr Supervisory Board: 0.1%
Heinz Dürr GmbH
1 Free float calculated according to Deutsche Börse AG
2 According to the relevant laws
11/12/2019 USB European Conference 2019, London
11/19/2019 DZ Equity Conference, Frankfurt
11/26/2019 Exane BNPP MidCap CEO Conference, Paris
12/2/2019 Berenberg European Conference, Pennyhill
12/3/2019 Annual Goldman Sachs Industrial Conference, London
01/21/2020 Kepler Cheuvreux German Corporate Conference, Frankfurt
32
FINANCIAL CALENDAR
© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
Günter Dielmann
 guenter.dielmann@durr.com
 +49 7142 78-1785
Stefan Tobias Burkhardt
 stefantobias.burkhardt@durr.com
 +49 7142 78-3558
Mathias Christen
 mathias.christen@durr.com
 +49 7142 78-1381
Dürr Corporate Communications & Investor Relations contact
Bietigheim-Bissingen, November 7, 2019
www.durr-group.com
RESULTS
JAN. – SEPT. 2019

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Dürr AG Conference Call 9M / Q3 2019

  • 1. Bietigheim-Bissingen, November 7, 2019 www.durr-group.com RESULTS JAN. – SEPT. 2019
  • 2. 2© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 DISCLAIMER This publication has been prepared independently by Dürr AG/Dürr Group (“Dürr”). It may contain statements which address such key issues as strategy, future financial results, events, competitive positions and product developments. Such forward-looking statements are subject to a number of risks, uncertainties and other factors, including, but not limited to those described in Dürr’s disclosures, in particular in the chapter “Risks” in Dürr’s annual report. Should one or more of these risks, uncertainties and other factors materialize, or should underlying expectations not occur or assumptions prove incorrect, actual results, performances or achievements of Dürr may vary materially from those described in the relevant forward-looking statements. These statements may be identified by words such as “expect,” “want,” “anticipate,” “intend,” “plan,” “believe,” “seek,” “estimate,” “will,” “project” or words of similar meaning. Dürr neither intends, nor assumes any obligation, to update or revise its forward-looking statements regularly in light of developments which differ from those anticipated. Stated competitive positions are based on management estimates supported by information provided by specialized external agencies. Our financial reports, presentations, press releases and ad-hoc releases may include alternative financial metrics. These metrics are not defined in the IFRS (International Financial Reporting Standards). Dürr’s net assets, financial position and results of operations should not be assessed solely on the basis of these alternative financial metrics. Under no circumstances do they replace the performance indicators presented in the consolidated financial statements and calculated in accordance with the IFRS. The calculation of alternative financial metrics may vary from company to company despite the use of the same terminology. Further information regarding the alternative financial metrics used at Dürr can be found in our financial glossary on the Dürr web page (https://www.durr-group.com/en/investor-relations/service/glossary/).
  • 3. 3 SUMMARY Q3 2019: Increase in order intake, sales and EBIT © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 Sales up 5% and incoming orders up 4% in 9M 2019 despite challenging market conditions HOMAG`s incoming orders in Q3 clearly above weak Q2 level, large systems order won in China Book-to-bill at 1, order backlog with € 2.6 bn unchanged compared to year end level 2018 Service business (+12%) well on track 9M 2019: EBIT and net profit unchanged yoy Cash flow improvement in Q3, further progress in Q4 expected Paint and Final Assembly Systems, Application Technology, Clean Technology Systems and Measuring and Process systems are well on track to reach their 2019 targets Strong Q4 in all divisions expected Measures for structural adjustment and efficiency at HOMAG (€ 37 m one-offs in Q4) to improve the cost basis by € 15 m p.a. from 2021 onwards No change of operating earnings guidance for the Dürr Group in 2019
  • 4. 4 OVERVIEW Key performance indicators 9 months 2019 vs. 9 months 2018 Incoming orders Sales revenues EBIT Net profit 9M 2018 9M 2019 Margin in € m © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 2,753.2 2,859.5 +3.9% 2,734.1 2,874.1 +5.1% 153.3 154.1 +0.5% 103.5 102.1 -1.3% 5.6 % 5.4 % 3.8 % 3.6 %
  • 5. 5 STRONG ORDER INTAKE GROWTH IN NORTH AMERICA Promising pipeline for Q4 2019 © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 in € m 2,753.2 521.4 565.7 573.9 794.1 298.0 2,859.5 452.6 914.7 431.1 722.9 338.1 Total China Americas Germany Europe (w/o Germany) Asia (w/o China), Africa, Australia -13.2% +61.7% -24.9% +3.9% -9.0% +13.5%
  • 6. 6 Q3 2019: EBIT UP 14% Strongest quarter so far in 2019 © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 Extraordinary effects of € -17.4 m (9M 2018: € -28.6 m), thereof € -14.8 m purchase price allocation effects Increase in selling expenses: +12% (e.g. various exhibitions such as Ligna, Open House). Normalization in Q4 expected 9 months 2019 9 months 2018 Δ Q3 2019 Q3 2018 Δ Gross profit on sales in € m 626.0 602.4 3.9% 211.9 198.3 6.9% Gross margin in % 21.8 22.0 -0.2 ppts 21.3 20.1 1.2 ppts EBITDA in € m 237.6 223.0 6.6% 87.2 82.1 6.2% EBIT in € m 154.1 153.3 0.5% 58.9 51.9 13.6% EBIT before extraordinary effects in € m 171.5 181.9 -5.7% 64.6 69.2 -6.6% EBIT margin in % 5.4 5.6 -0.2 ppts 5.9 5.3 0.6 ppts EBIT margin before extraordinary effects in % 6.0 6.7 -0.7 ppts 6.5 7.0 -0.5 ppts Net income in € m 102.1 103.5 -1.3% 38.4 35.3 8.8%
  • 7. 7 in € m 9 MONTHS 2019 CASH EVOLUTION Δ Persistent delays in customer payments affecting NWC and NFS development. Q3 with positive net cash generation © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 in € m 9 months 2019 9 months 2018 Q3 2019 Q3 2018 Operating cash flow -61.3 -31.1 51.6 28.0 Free cash flow -158.1 -95.0 23.4 11.8 Δ Net financial status -227.0 -206.6 16.9 8.5 32.3 -66.5 -293.5 -57.6 -8.8 -74.3 -44.0 -62.3 NFS1 12/2018 +83.5 TaxesIFRS 16 DepreciationNFS1 12/2018 adjusted EBT +142.4 NWC Dividend payment Capex M&A Others NFS1 9/2019 -205.9 -98.8 1 Net financial status
  • 8. 8 NET WORKING CAPITAL DEVELOPMENT Measures adopted starting to show improvement in YOY inventory levels © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 ███ included in total balance (total work in process less billings) in € m 09/30/2019 12/31/2018 09/30/2018 Materials and supplies (net) 231.9 230.2 237.2 + Work in process from small series production 123.5 119.8 132.0 + Finished goods and merchandise (net) 152.8 141.9 155.5 + Prepayments to suppliers 54.1 43.5 67.2 = Inventories and prepayments made 562.3 535.4 591.9 + Total trade receivables 618.6 603.0 592.6 + Total contract assets 560.7 478.3 546.5 - Trade payables (incl. liabilities from notes payable) 534.9 502.4 490.8 - Total contract liabilities 558.0 673.0 738.2 = Net working capital 648.8 441.4 502.1
  • 9. 9 WORK IN PROCESS BALANCE Shortfall in customer payments main cause for current status of total balance © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 FY goal 2019 unchanged: Total balance between € 0 and -100 m, around € 0 most likely at year end in € m 09/30/2019 12/31/2018 09/30/2018 Assets Total contract assets 560.7 478.3 546.5 Work in process from small series production 123.5 119.8 132.0 Liabilities Total contract liabilities 558.0 673.0 738.2 Total balance (Total work in process less billings) 126.3 -74.8 -59.6
  • 10. 10 FACTORING/FORFEITING Forfeiting volume decreased by € 4 m © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 in € m 09/30/2019 12/31/2018 09/30/2019 Factoring 0.0 0.0 0.0 Forfeiting 20.7 24.9 27.4 Total 20.7 24.9 27.4 Δ End of previous year -4.2 -3.1 -0.6
  • 11. 09/30/2019 12/31/2018 09/30/2018 Equity in € m 1,031.1 992.2 920.5 Equity ratio in % 27.0 27.4 25.8 Net financial status in € m -293.5 32.3 -30.3 Total cash (including time deposits) in € m 643.3 675.1 608.8 Gearing in % 22.2 -3.4 3.2 ROCE in % 15.41 24.0 21.21 11 EQUITY ABOVE € 1 BN (+12% YOY) © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 Increase in total cash position due to new Sustainability Schuldschein (SSD) issued in Q3 Net financial status expected to continue improving in Q4. Approx. € 100 m negative effect due to IFRS 16 since the start of 2019 ROCE expected between 12 and 17% in FY 2019 due to extraordinary measures for efficiency increase at HOMAG, but still well above cost of capital 1 annualized
  • 12. 44% 39% 17% Spare parts Modifications Other services (e.g. maintenance, assesments) Service mix 9 months 2019 12 SERVICE BUSINESS: STRONG EXPANSION OF 12% All divisions posting sales growth Margin level slightly declined but still very healthy More moderate growth rate to be expected in the next quarters Agile spare parts & service processes improvements New analytics software (DXQ family) for maintenance and production © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 9 months 2019 9 months 2018 Δ Sales revenues in € m 814.6 727.4 12.0% % of group sales 28.3 26.6 1.7 ppts
  • 13. 13 PAINT AND FINAL ASSEMBLY SYSTEMS On track to deliver it‘s FY targets © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 9M 2019 9M 2018 Δ Q3 2019 Q3 2018 Δ Incoming orders in € m 831.9 765.4 8.7% 243.4 187.9 29.5% Sales revenues in € m 924.6 878.5 5.2% 319.9 311.2 2.8% EBIT in € m 39.9 38.9 2.5% 15.3 14.0 9.4% EBIT margin in % 4.3 4.4 -0.1 ppts 4.8 4.5 0.3 ppts ROCE1 in % 25.4 71.1 -45.8 ppts 29.2 76.7 -47.5 ppts 1 annualized Rising order intake in 9M (e.g. Mexico, India, China, US), project pipeline unchanged at a satisfactory level Order intake margin stabilizes at the higher level of the recent quarters EBIT + 9% in Q3 Q4 should be strong in respect of incoming orders, sales and earnings
  • 14. 14 APPLICATION TECHNOLOGY Better margins in equipment business compensate for weaker service business margins © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 Order intake improved in Q3, Q4 with further growth Book-to-bill at 1.1 Weaker incoming orders in service business due to lower utilization of automotive factories Margin improvement in equipment sales compensates margin pressure in service business 9M 2019 9M 2018 Δ Q3 2019 Q3 2018 Δ Incoming orders in € m 456.1 486.4 -6.2% 151.1 141.2 7.0% Sales revenues in € m 427.2 472.1 -9.5% 155.5 174.1 -10.7% EBIT in € m 44.0 48.0 -8.3% 16.3 17.4 -6.3% EBIT margin in % 10.3 10.2 0.1 ppts 10.5 10.0 0.5 ppts ROCE1 in % 18.8 24.2 -5.4 ppts 20.8 26.2 -5.4 ppts 1 annualized
  • 15. 15 CLEAN TECHNOLOGY SYSTEMS Successful integration of Megtec/Universal progressing as planned © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 Figures influenced by consolidation of Megtec/Universal since Q4 2018 9M: sales and incoming orders more than doubled, order intake up 5% on a comparable basis Book-to-bill at 1.2 Q3 earnings strongly improved 9M 2019 9M 2018 Δ Q3 2019 Q3 2018 Δ Incoming orders in € m 334.1 152.8 118.6% 126.0 36.3 246.8% Sales revenues in € m 271.9 119.9 126.7% 91.6 54.9 66.7% EBIT in € m 4.4 -14.2 - 3.7 -11.7 - EBIT margin in % 1.6 -11.9 13.5 ppts 4.1 -21.3 25.4 ppts ROCE1 in % 3.5 -33.0 36.6 ppts 9.0 -81.4 90.4 ppts 1 annualized
  • 16. 16 MEASURING AND PROCESS SYSTEMS Order intake above previous year level with opportunity to increase sales in Q4 © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 9M: order intake 7% above previous year’s level despite weak market conditions Sales decline due to weaker incoming orders in H2 2018 Strong decline in conventional powertrain business (e.g. turbochargers, crankshafts) Earnings affected by sales decline and higher R&D costs (digital innovations) EBIT-margin in Q3 above the 10% mark 1 annualized 9M 2019 9M 2018 Δ Q3 2019 Q3 2018 Δ Incoming orders in € m 330.2 307.7 7.3% 101.6 93.2 9.0% Sales revenues in € m 293.5 326.1 -10.0% 106.6 112.6 -5.3% EBIT in € m 24.2 37.9 -36.3% 11.4 14.1 -19.2% EBIT margin in % 8.2 11.6 -3.4 ppts 10.7 12.5 -1.8 ppts ROCE1 in % 11.0 18.4 -7.4 ppts 15.5 20.5 -5.0 ppts
  • 17. 17 WOODWORKING MACHINERY AND SYSTEMS Measures for structural adjustments and efficiency increases announced © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 Order intake in Q3 clearly above the weak Q2 level, large systems order in China High margin business in China significantly declining: 9M sales -49% to € 69 m Weak earnings due to stronger price competition, underutilization at some locations and higher production costs (e.g. personnel) Unchanged outlook 2019 for incoming orders, sales and EBIT before extraordinary effects 9M 2019 9M 2018 Δ Q3 2019 Q3 2018 Δ Incoming orders in € m 907.3 1,040.9 -12.8% 316.5 339.6 -6.8% Sales revenues in € m 956.8 937.3 2.1% 320.1 331.6 -3.5% EBIT in € m 52.0 58.7 -11.3% 17.0 21.5 -21.0% EBIT margin in % 5.4 6.3 -0.8 ppts 5.3 6.5 -1.2 ppts ROCE1 in % 14.0 17.2 -3.2 ppts 13.7 18.9 -5.2 ppts 1 annualized
  • 18. Reduction of overcapacity in Germany Complete package with one-off costs of € 40 m, thereof € 37 m in 2019 Costs savings of at least € 15 m from 2021 onwards Overview of measures: Closure of production in Hemmoor Capacity reduction program at other German locations, in total 350 employees Merger of two business units Systems and Automation Reorganization of sales and spare parts logistics 18 EFFICIENCY AND PRODUCTION IMPROVEMENT MEASURES AT HOMAG Continuing on the optimization path © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019
  • 19. 19 TARGETS 2019 Incoming orders, sales, operating margin and cash flow guidance unchanged © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 ActuaI 2018 Target 2019 old1 Target 2019 new Incoming orders in € m 3,930.9 3,800 - 4,100 3,800 - 4,100 Orders on hand in € m (12/31) 2,577.2 2,400 - 2,900 2,400 - 2,900 Sales revenues in € m 3,869.8 3,900 - 4,100 3,900 - 4,100 EBIT margin in % 6.0 5.5 - 6.0 4.4 - 4.9 EBIT margin before extraordinary effects in % 7.1 6.0 - 6.5 6.0 - 6.5 ROCE in % 24.0 15 - 20 12 - 17 Net finance expense in € m -13.8 deterioration deterioration Tax rate in % 25.6 27 - 28 27 - 28 Earnings after tax in € m 163.5 145 - 160 115 - 130 Cash flow from operating activities in € m 162.3 down on the previous year down on the previous year Free cash flow in € m 78.4 down on the previous year down on the previous year Net financial status2 in € m (12/31) 32.3 -180 - -130 -180 - -130 Liquidity in € m (12/31) 655.0 740 - 790 740 - 790 Capital expenditure3 in € m 74.4 80 - 90 95 - 105 1 Since of July 22, 2019 2 Due to the first-time application of IFRS 16 "Leases", we expect a negative effect of around € 100 m on net financial status in 2019. 3 on property, plant and equipment and intangible assets (excluding acquisitions)
  • 20. 20 TARGETS DIVISIONS 2019 © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 Order intake (in € m) Sales (in € m) EBIT margin (in %) 2018 Target old 20191 Target new 2019 2018 Target old 20191 Target new 2019 2018 Target old 20191 Target new 2019 Paint and Final Assembly Systems 1,300.4 1,100 - 1,300 1,100 - 1,300 1,235.7 1,200 - 1,300 1,200 - 1,300 4.5 4.6 - 5.5 4.6 - 5.5 Application Technology 632.4 620 - 670 620 - 670 652.6 630 - 680 630 - 680 10.4 10.0 - 11.0 10.0 - 11.0 Clean Technology Systems 258.2 400 - 4502 400 - 4502 226.7 400 - 4502 400 - 4502 -6.6 2.0 - 3.02 2.0 - 3.02 Measuring and Process Systems 403.3 400 - 450 400 - 450 456.5 400 - 450 400 - 450 13.1 10.0 - 11.0 10.0 - 11.0 Woodworking Machinery and Systems 1,336.8 1,100 - 1,300 1,100 - 1,300 1,298.3 1,200 - 1,300 1,200 - 1,300 6.6 5.5 - 6.3 2.5 - 3.0 1 Since July 22, 2019 2 Consolidation of Megtec/Universal for 12 months
  • 21. 21© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 Appendix
  • 22. 22 BALANCE SHEET HIGHLIGHTS (1/2) © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 Assets in € m 09/30/2019 12/31/2018 09/30/2018 Non-current assets 1,312.1 1,244.3 1,100.5 of which goodwill & intangibles 650.2 651.3 575.0 of which property, plant and equipment 519.1 433.8 407.0 of which investment & financial assets 69.8 65.1 65.5 Current assets 2,509.2 2,370.1 2,468.2 of which inventories and prepayments 562.3 535.4 591.9 of which contract assets 560.7 478.3 546.5 of which trade receivables 607.4 566.7 587.3 of which sundry financial assets 158.8 52.4 52.7 of which cash and cash equivalents 513.8 655.0 588.2 Total assets Dürr Group 3,821.2 3,614.4 3,568.7
  • 23. 23 BALANCE SHEET HIGHLIGHTS (2/2) © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 Equity and liabilities in € m 09/30/2019 12/31/2018 09/30/2018 Total equity 1,031.1 992.2 920.5 of which non-controlling interests 14.7 14.9 14.5 Non-current liabilities 1,063.0 786.1 783.2 of which provisions 74.3 69.1 69.3 of which bond and bonded loan 798.0 598.0 597.8 of which other financial liabilities 81.0 12.8 11.4 of which deferred taxes 95.7 91.9 85.6 Current liabilities 1,727.1 1,836.2 1,865.0 of which other provisions 114.2 130.7 137.6 of which contract liabilities 555.9 670.8 734.3 of which trade payables 534.4 501.4 489.3 of which sundry financial liabilities 325.1 347.7 339.7 of which other liabilities 122.7 142.3 122.0 Total equity and liabilities Dürr Group 3,821.2 3,614.4 3,568.7
  • 24. 24 P&L IN DETAIL © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 in € m 9M 2019 9M 2018 Δ Q3 2019 Q3 2018 Δ Sales revenues 2,874.1 2,734.1 5.1% 993.7 984.5 0.9% Cost of sales -2,248.1 -2,131.7 5.5% -781.8 -786.2 -0.6% Gross profit on sales 626.0 602.4 3.9% 211.9 198.3 6.9% Selling expenses -249.3 -222.8 11.9% -80.2 -75.6 6.2% General administrative expenses -139.6 -131.3 6.3% -47.0 -41.3 13.9% Research and development costs -84.7 -88.6 -4.4% -26.4 -27.3 -3.4% Other operating income 17.4 21.3 -18.1% 5.4 3.9 36.9% Other operating expenses -15.8 -27.7 -43.0% -4.8 -6.2 -23.2% Earnings before investment income, interest and income taxes 154.1 153.3 0.5% 58.9 51.9 13.6% Investment income 4.2 3.3 26.1% 1.3 -0.3 Interest and similar income 4.0 4.6 -13.5% 0.8 1.3 -40.8% Interest and similar expenses -19.9 -19.9 0.4% -7.2 -5.8 24.0% Earnings before income taxes 142.4 141.4 0.7% 53.8 47.1 14.3% Income taxes -40.3 -37.9 6.3% -15.4 -11.8 30.6% Profit of the Dürr Group 102.1 103.5 -1.3% 38.4 35.3 8.8% Attributable to: Non-controlling interests 3.9 3.6 9.3% 1.0 1.1 -16.7% Shareholders of Dürr Aktiengesellschaft 98.2 99.9 -1.7% 37.5 34.2 9.7% Number of shares issued in thousands 69,202.1 69,202.1 - 69,202.1 69,202.1 - Earnings per share in € (basic and diluted) 1.4 1.4 -1.4% 0.5 0.5 10.2%
  • 25. 25 CASH FLOW © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 in € m 9M 2019 9M 2018 Q3 2019 Q3 2018 EBT 142.4 141.4 53.8 47.1 Depreciation and amortization of non-current assets 83.5 69.7 28.3 30.2 Interest result 15.9 15.2 6.5 4.5 Income taxes paid -44.0 -63.2 -11.4 -14.2 Δ Provisions -16.0 -12.9 -5.9 2.0 Δ Net working capital -205.9 -133.3 -43.9 -51.0 Other -37.3 -48.1 24.2 9.3 Operating cash flow -61.3 -31.1 51.6 28.0 Interest paid (net) -18.8 -12.4 -0.4 0.6 Repayment lease liabilities -20.4 0.0 -7.0 0.7 Capital expenditures -57.6 -51.5 -20.8 -17.5 Free cash flow -158.1 -95.0 23.4 11.8 Others (e.g. currency effects, dividends) -68.9 -111,6 -6.5 -3.3 Change net financial status -227.0 -206.6 16.9 8.5
  • 26. 26 OVERVIEW: FINANCIAL FIGURES BY DIVISION (1/2) © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 2019 2018 2017 Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total PFS Incoming orders in € m 394.1 194.4 243.4 831.9 274.2 303.3 187.9 534.9 1,300.4 268.3 377.3 181.0 315.8 1,142.3 Sales revenues in € m 311.1 293.6 319.9 924.6 270.2 297.1 311.2 357.1 1,235.7 275.4 256.4 284.5 358.9 1,175.2 Order backlog in € m 1,321.6 1,203.9 1,139.2 1,217.9 1,232.3 1,033.9 1,216.4 1,242.0 1,329.6 1,211.2 1,148.4 EBIT in € m 12.7 11.9 15.3 39.9 12.4 12.5 14.0 17.0 56.0 17.0 13.9 16.0 23.4 70.4 EBIT before extraordinary effects in € m 13.7 12.5 15.8 42.0 13.0 13.0 14.5 17.6 58.1 17.5 14.5 16.6 24.0 72.6 Employees 3,514 3,542 3,594 3,435 3,405 3,447 3,472 3,367 3,384 3,463 3,457 APT Incoming orders in € m 159.6 145.5 151.1 456.1 168.6 176.6 141.2 146.0 632.4 157.1 168.3 134.8 126.4 586.5 Sales revenues in € m 139.4 132.3 155.5 427.2 145.5 152.5 174.1 180.5 652.6 134.2 152.7 160.4 175.1 622.4 Order backlog in € m 391.5 400.7 399.3 424.0 449.8 398.3 366.5 461.3 467.7 436.9 384.2 EBIT in € m 14.6 13.2 16.3 44.0 15.2 15.5 17.4 19.9 68.0 13.9 15.5 17.2 18.2 64.8 EBIT before extraordinary effects in € m 14.7 13.2 16.3 44.2 15.2 15.6 17.4 19.9 68.2 14.0 15.6 17.3 18.4 65.3 Employees 2,271 2,251 2,306 2,112 2,154 2,230 2,246 1,953 1,985 2,024 2,063 CTS Incoming orders in € m 112.6 95.5 126.0 334.1 57.6 58.8 36.3 105.3 258.2 56.6 38.6 27.8 41.9 164.9 Sales revenues in € m 88.3 92.1 91.6 271.9 30.3 34.7 54.9 106.8 226.7 38.6 47.7 45.3 54.1 185.6 Order backlog in € m 217.8 217.1 255.1 125.7 152.2 130.8 191.3 142.9 128.8 110.1 98.3 EBIT in € m -0.7 1.4 3.7 4.4 -1.0 -1.6 -11.7 -0.7 -15.0 0.4 1.2 0.3 1.5 3.3 EBIT before extraordinary effects in € m 1.2 4.1 6.6 11.9 -0.8 -1.4 2.0 5.4 5.1 0.6 1.4 0.4 1.6 4.0 Employees 1,443 1,427 1,425 601 600 612 1,472 573 586 596 603 MPS Incoming orders in € m 105.1 123.5 101.6 330.2 103.4 111.1 93.2 95.6 403.3 161.7 117.1 139.4 124.9 543.0 Sales revenues in € m 91.9 95.1 106.6 293.5 99.4 114.2 112.6 130.4 456.5 145.4 105.2 131.1 129.4 511.1 Order backlog in € m 217.0 242.9 237.3 260.2 258.3 236.0 201.5 256.4 262.1 269.1 257.6 EBIT in € m 6.8 6.0 11.4 24.2 10.4 13.5 14.1 21.8 59.7 14.4 15.7 17.6 16.7 64.3 EBIT before extraordinary effects in € m 7.2 6.3 11.5 24.9 10.9 13.8 14.4 22.2 61.3 14.7 16.0 17.9 18.0 66.6 Employees 2,306 2,309 2,326 2,317 2,303 2,325 2,279 2,224 2,244 2,280 2,279
  • 27. 27 OVERVIEW: FINANCIAL FIGURES BY DIVISION (2/2) © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 2019 2018 2017 Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total WMS Incoming orders in € m 334.6 256.2 316.5 907.3 415.2 286.1 339.6 295.9 1,336.8 400.9 332.6 345.4 287.3 1,366.3 Sales revenues in € m 319.2 317.5 320.1 956.8 294.6 311.1 331.6 361.0 1,298.3 296.8 301.2 305.8 315.0 1,218.8 Order backlog in € m 622.0 557.6 559.6 676.4 657.6 666.3 601.6 534.0 555.8 591.0 560.9 EBIT in € m 18.4 16.7 17.0 52.0 19.7 17.4 21.5 27.6 86.2 20.3 23.4 22.1 17.2 83.0 EBIT before extraordinary effects in € m 20.5 18.8 19.2 58.5 21.9 19.6 23.7 29.7 94.9 22.5 25.6 24.3 19.3 91.7 Employees 6,633 6,592 6,615 6,484 6,567 6,605 6,593 6,083 6,149 6,316 6,371 CC/Cons. Incoming orders in € m 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 Sales revenues in € m 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.0 0.1 Order backlog in € m 0.0 0.0 0.0 0.1 0.0 0.0 0.0 0.1 0.1 0.1 0.1 EBIT in € m -3.1 -2.5 -4.7 -10.4 -5.7 -7.0 -3.3 -5.4 -21.4 20.2 -8.8 -5.5 -4.7 1.2 EBIT before extraordinary effects in € m -2.8 -2.5 -4.8 -10.1 -3.4 -4.6 -2.8 -1.9 -12.7 -2.5 -5.4 -4.6 -4.0 -16.4 Employees 248 263 268 204 207 242 250 193 197 197 201 Group Incoming orders in € m 1,105.9 815.1 938.6 2,859.5 1,019.1 935.9 798.2 1,177.7 3,930.9 1,044.5 1,033.9 828.3 896.4 3,803.0 Sales revenues in € m 949.9 930.5 993.7 2,874.1 840.1 909.5 984.5 1,135.8 3,869.8 890.3 863.2 927.1 1,032.5 3,713.2 Order backlog in € m 2,769.8 2,622.2 2,590.3 2,704.3 2,750.3 2,465.4 2,577.2 2,636.7 2,744.2 2,618.3 2,449.4 EBIT in € m 48.6 46.6 58.9 154.1 51.1 50.3 51.9 80.2 233.5 86.2 60.9 67.7 72.2 287.0 EBIT before extraordinary effects in € m 54.6 52.3 64.6 171.5 56.8 56.0 69.2 93.0 274.9 66.8 67.6 72.0 77.3 283.7 Employees 16,415 16,384 16,534 15,153 15,236 15,461 16,312 14,393 14,545 14,876 14,974
  • 28. 28 OVERVIEW: EXTRAORDINARY EFFECTS © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 2019 2018 2017 Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total PFS -1.0 -0.5 -0.6 -2.1 -0.5 -0.5 -0.5 -0.5 -2.2 -0.5 -0.5 -0.5 -0.5 -2.2 APT -0.1 0.0 0.0 -0.2 -0.1 -0.1 0.0 0.0 -0.2 -0.1 -0.1 -0.1 -0.2 -0.5 CTS -1.9 -2.7 -2.9 -7.5 -0.2 -0.2 -13.7 -6.1 -20.1 -0.2 -0.2 -0.2 -0.2 -0.7 MPS -0.4 -0.3 -0.1 -0.7 -0.5 -0.3 -0.4 -0.4 -1.5 -0.3 -0.3 -0.3 -1.4 -2.4 WMS -2.2 -2.2 -2.2 -6.5 -2.2 -2.2 -2.2 -2.2 -8.7 -2.2 -2.2 -2.2 -2.2 -8.7 CC -0.3 0.0 0.1 -0.3 -2.3 -2.4 -0.5 -3.5 -8.7 22.7 -3.4 -0.9 -0.7 17.7 Total -6.0 -5.7 -5.7 -17.4 -5.7 -5.7 -17.3 -12.8 -41.4 19.4 -6.7 -4.2 -5.1 3.3 in € m
  • 29. 29 LONG-TERM GROWTH IN THE CAR MARKET © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 20.3 19.9 22.4 21.9 21.3 24.3 23.0 22.5 25.3 26.4 24.5 31.7 2.7 2.4 4.1 0.0 20.0 40.0 60.0 80.0 100.0 120.0 2018 2019 2026e Others China Asia (w/o China) Europe Americas +3% Growth drivers: China, India, South East Asia Ʃ 94.2 Ʃ 90.5 Ʃ 107.8 -4% CAGR in m units1 1 Light vehicles production Source: LMC Automotive Last update: October 2019
  • 30. 30 Woodworking machinery market temporarily weak Sources: CSIL, Euroconstruct, Holzbauverband, own estimates WOODWORKING MACHINERY MARKETS 30© Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 39% 12%5% 4% 4% 36% in € bn Furniture production breakdown 3.4 3.5 3.9 4.2 3.9 3.6 3.7 4.0 4.2 2015 2016 2017 2018 2019e 2020e 2021e 2022e 2023e
  • 31. 25.5% 3.5% 71.0%1 Heinz u. Heide Dürr Stiftung 31 SHAREHOLDER STRUCTURE © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 Free float at 71.0%1 Institutional and private investors 2 - Thereof MainFirst: 4.7% - Thereof Alecta Pensionsförsäkring: 3.2% - Thereof members of the Dürr Board of Management: 0.3% - Thereof members of the Dürr Supervisory Board: 0.1% Heinz Dürr GmbH 1 Free float calculated according to Deutsche Börse AG 2 According to the relevant laws
  • 32. 11/12/2019 USB European Conference 2019, London 11/19/2019 DZ Equity Conference, Frankfurt 11/26/2019 Exane BNPP MidCap CEO Conference, Paris 12/2/2019 Berenberg European Conference, Pennyhill 12/3/2019 Annual Goldman Sachs Industrial Conference, London 01/21/2020 Kepler Cheuvreux German Corporate Conference, Frankfurt 32 FINANCIAL CALENDAR © Dürr AG, CCI, Results Jan. - Sept. 2019, Bietigheim-Bissingen, November 7, 2019 Günter Dielmann  guenter.dielmann@durr.com  +49 7142 78-1785 Stefan Tobias Burkhardt  stefantobias.burkhardt@durr.com  +49 7142 78-3558 Mathias Christen  mathias.christen@durr.com  +49 7142 78-1381 Dürr Corporate Communications & Investor Relations contact
  • 33. Bietigheim-Bissingen, November 7, 2019 www.durr-group.com RESULTS JAN. – SEPT. 2019