Presentation

Ansaldo STS
2012
First Semester Results
26th July 2012
Analysts Conference
1
1H 2012 Results - Key data
(M€)
Orders
% change
FY 2011
796,1
667,7
19,2%
2.163,7
5.689,0
4.617,7
23,2%
5.452,8
Revenues
568,5
569,2
-0,1%
1.211,9
EBIT
50,6
52,2
-3,1%
116,1
ROS
8,9%
9,2%
-0,3p.p.
9,6%
Net Profit
29,7
32,1
-7,5%
73,1
Working Capital
(1,3)
(61,5)
-97,9%
(89,0)
(213,3)
(212,8)
0,2%
(289,7)
R&D
16,2
19,9
-18,6%
33,9
Total Headcount
4.028
4.189
-3,8%
4.100
Backlog
Net Financial position
2
1H 2012 1H 2011
1H 2012 results - Key data by business unit
(M€)
Transportation
Solutions
1H 2012
1H 2011
1H 2012
453,9
448,4
349,9
222,6
2.581,8
2.155,6
3.441,6
2.705,8
Revenues
334,2
351,4
242,4
226,2
EBIT
34,8
36,3
25,1
21,1
ROS
10,4%
10,3%
10,3%
9,3%
Operating Working Capital
139,8
100,0
(114,0)
(123,5)
R&D
15,3
18,9
0,9
1,0
Total Headcount
3.033
3.184
592
565
Orders
Backlog
3
Signalling
The above mentioned figures are gross of eliminations between business units
1H2011
1H 2012 - Revenues by business unit and region
Revenues: 568 M€
RoW
Transportation
Solutions
57%
Signalling:
334 M€
4
Italy
35%
31%
Signalling
82%
3%
APAC
43%
Signalling
Systems
by Geographic area
21%
RoE
Transportation Solutions:
242 M€
Components
Service
&
Maintenance
10%
8%
Data gross of inter-company eliminations
North
America
10%
Tsl systems
90%
Tramways
Service &
Maintenance
1%
9%
First Semester 2012 – Major Business Events
USA - Positive Train Control (PTC) system for the Southeastern
Pennsylvania Transportation Authority (SEPTA)
April 3rd, Ansaldo STS’s PTC system will control SEPTA’s regional rail system,
which serves five counties in the Philadelphia, Pennsylvania region, using a PTCcompliant speed enforcement system..
Australia - Heavy rail traffic with satellite positioning part of the Roy Hill
Iron Ore project
Roy Hill 1
project area
May 2nd: The first two phases of a staged signalling and communications system for
the Roy Hill Iron Ore Project Mine’s 342km heavy haul rail Line, in the Pilbara region
of Western Australia.
The signalling solution offered is technically significant for the global rail industry as it
involves centralized routing and automatic train protection (ATP) with satellite
positioning.
This Solution is the result of the integration of Ansaldo STS’ technical skill with its
leading edge products, and sets a new benchmark for railway signalling systems
offering major advantages in terms of increased availability, quality and safety.
Australia - Contracts awarded for mining rail network
July 6th, Signed in June, is for the development and delivery of an automated train
management system for 1,500km heavy-haul iron ore rail network in the Pilbara
region of Western Australia.
The automated heavy haul railway, to be completed in 2015, will be the first of its
kind in the world and will significantly enhance the flexibility and capacity of our client
mining rail network.
5
Agreement for TRAMWAVE® to China
Transfer of licensed technology to CNR Dalian and General Resources
Company, July 16th
TRAMWAVE® is an Innovative Power Supply Solution
What is it
• Solution to provide power via a contact line energizing only a
small section of the line as the tram passes over it
Design to maximize
• Eco-friendliness, preservation of natural/ cultural heritage and
respecting the urban legacy and the old buildings near the line
• Safety (only gravity and electro-magnetic principles)
• Diagnostic level in all conditions
Where can TRAMWAVE® be applied?
• Virtually all new tramway lines
TECHNOLOGY Agreement
• The ASTS, CNR Dalian and GRC are interested in a
long term cooperation in order to jointly develop
business opportunities in the Chinese catenary-free market
and wishes to further assess any other joint business
opportunity in the Chinese Mass Transit and
Railway market independently from the
catenary-free technology
6
1H 2012 - Main order acquisitions
(M€)
Country
7
Project
Customer
Value
Australia*
AutoHall
Rio Tinto
252,8
Australia
Roy Hill 1
Hancock Prospecting
118,0
USA
PTC
SEPTA
73,4
Australia*
ATO Implementation
Rio Tinto
66,8
Italy France USA
Components, Service & Maintenance Various
65,2
UAE – Abu Dhabi
GCC – Abu Dhabi
SAIPEM
58,8
Canada
Phase 2, 3 & a Extention
TTC
22,8
Canada
North Spadina Extension
TTC
18,3
Italy*
Metro Line 1
Naples Municipality
13,2
Italy
HSL variation orders MI-BO / Rm-NA
RFI
The list represents about 88% of total order intake for 1H 2012
(*)
Transportation Solutions Orders
9,5
1H 2012 - Backlog by business unit and region
Backlog: 5.689 M€
by Geographic area
Signalling
59%
41%
Transportation
Solutions
RoW
APAC
14%
RoE
17%
4%
8
Data gross of inter-company eliminations
23%
20%
16%
43%
24%
19%
North
America
1H 2011
57%
Italy
37%
26%
1H 2012 - Orders intake by business unit and region
Orders : 796 M€
Transportation
Solutions
by Geographic area
Italy
RoW
7%
7%
RoE
5%
44%
56%
Signalling
9
Data gross of inter-company eliminations
20%
APAC
61%
North
America
Transportation Solutions revenues contribution
Main Transp. Solutions Orders from June Backlog
2011 2012 2013 2014 2015 2016 2017
Honolulu Metro
Copenhagen City Ring
Naples Line 6
Thessaloniki
Rio Tinto RAFA application contracts
Roma Line C
Taipei
Copenhagen O&M extension
Genoa Metro
Naples Metro
Brescia Metro
Riyadh
Milan line 5
As for Transportation Solutions BU the list represents
~90% of SG June Backlog
10 Data subject to possible revisions
Signalling revenues contribution
Main Signalling Orders from June Backlog
Turin - Padua
Roy Hill
Ankara Metro
Red Line Stockholm
SEPTA USA
Bretagne Pais de la Loire
ABU DHABI
UP CADX
ATC Kolkata Metro
Ipoh Pedang Besar
LGV SEA
ACC Genoa Multistation
Turkey Gebze-Koseko
ERTMS Zefiro
KFW (IRPMU)
ETCS Greece
Turkey Mersin Toprakkale
LGV ph 2
2011 2012 2013 2014 2015 2016 2017
As for Signalling BU the list represents orders above 13mil€ and
~40% of SG June Backlog
11 Data subject to possible revisions
Ansaldo STS: Guidance 2012 – Confirmed
(M€)
2012
Guidance
Orders
1.500 - 1.700
Backlog
5.700 - 5.900
Revenues
1.200 - 1.300
ROS (1)
~9,5%
Net Financial position
~(300)
12 (1) Including restructuring severance costs for 8m€ in 2012
Back up details - 1H 2012 - Total headcount
Country
Locations
Headcount
ITALY
Genoa
Naples
Turin
Potenza
1.526
FRANCE
Les Ulis
Riom
Madrid
520
SPAIN
UK
10
SWEDEN
USA - CANADA
Stockholm
44
Pittsburgh
Batesburg
Montreal
810
AUSTRALIA
INDIA
MALAYSIA
BOTSWANA
CHINA
Perth, Brisbane
Bangalore
Kuala Lumpur
556
TOTAL
Gaborone
Hong Kong
Bejing
16%
38%
20%
70
London
Manchester
Other Locations
13
Main
1%
25%
209
165
29
68
21
4.028
Italy
Rest of Europe
USA Canada
APAC
Other
Back up details – Ansaldo STS key data trends by quarter
1,200
2006
2007
2008
2009
2010
2011
2012
7,500
1,000
5,000
800
600
2,500
400
200
-
1Q 2Q 3Q 4Q
1Q 2Q 3Q 4Q
Backlog
Revenues
Orders
14 Including Libya’s orders
1Q 2Q 3Q 4Q
1Q 2Q 3Q 4Q
1Q 2Q 3Q 4Q
1Q 2Q 3Q 4Q
1Q 2Q
Back up details - EBIT evolution
1H 2011 vs 1H 2012
9,6
M€
3,7
60
-11,8
40
30
-2,9
-0,2
50
52,2
50,6
9,2%
8,9%
20
10
0
June 2011
15
Lower
Volumes
Impact
Contract
mix
R&D
Costs
decrease
Opex
& Other costs
decrease
Restructuring
costs
June 2012
180
Five years of free capital increase - details
160
July 04, 2011:
II tranche,
free capital increase
140
July 09, 2012:
III tranche,
free capital increase
120
July 05, 2010:
I tranche,
free capital increase
100
80
60
01-Jan-07
01-Jan-08
01-Jan-09
01-Jan-10
03-Jan-11
02-Jan-12
Free capital increase plan:
2010
2011
2012
2013
2014
Mil of shares before the capital increase
100
120
140
160
180
Mil of shares after the capital increase
120
140
160
180
200
0,833
0,857
0,875
0,889
0,9
Factor of correction
This factor of correction (in 2012 is 0.875) must be used to make comparable the prices above periods of time.
For instance in order to compare the present value of the share with the one concerning one year ago, it is necessary to correct last
price multiplying it for 0.875. In fact the IPO offering price adjustment will be :
2010
i.e. Offering price adj., after each
tranche of free cap. increase
2011
2012
2013
2014
6,5
5,57
4,87
4,33
3,9
= 7,8x0.833
= 6,5x0,857
= 5,57x0,875
= 4,87x0.,89
= 4,33x0,9
The free cap. increase is just an accounting operation with no effects on the financial structure of the company:
liabilities
assets
equities
16
reserves
reserves
free capital increase
share
capital
share
capital
Glossary
AF-900® —Part of an Automatic Train Control System (ATC), providing
both train detection and transmission of digital cab signalling data for
the Automatic Train Protection (ATP) function of the ATC.
The fact that the logic is implemented by software rather than hard-wired
circuitry greatly facilitates the ability to make modifications when needed by
reprogramming rather than rewiring.
ATC — Automatic Train Control, or ATC, is an integrated signalling
system that guarantees the secure movement of trains. ATC integrates
various subsystems positioned on-board and wayside. In addition to a
full interlocking system, a complete ATC system consists of three
subsystems: (i) ATP, (ii) ATO and (iii) ATS.
CBTC — Communication Based Train Control, or CBTC, is a system under
development that will allow for the interchangeability of different technological
systems in use on various metro lines. CBTC can be understood as an attempt
to create an ERTMS type standard for the mass transit industry.
ATP — Automatic Train Protection, or ATP, is an ATC subsystem
responsible for the safe operation of a signalling system. It imposes
speed limits on trains, both to maintain a safe operating distance
between them and to comply with safety and speed requirements. The
ATP system is designed to be a fail-safe (vital) system.
ATO —Automatic Train Operation, or ATO, is an ATC subsystem
which performs on-board, non-vital functions normally performed by a
train driver, including ensuring a smooth acceleration of the train to the
running speed, speed regulation and smoothly stopping the train at the
proper position at station platforms or in front of stopping signals. ATO
subsystems are primarily located on-board and represent one of the
principal components of a driverless system. Additionally, ATO
subsystems report vehicle health status to the central control offices.
ATS — Automatic Train Supervision, or ATS, is an ATC subsystem
which operates to control trains automatically by means of ATO and
ATP, in accordance with the railway timetable. This also involves a CTC
system.
ATSF — Ansaldo Trasporti Sistemi Ferroviari, Transport Solutions
Business Unit.
Balise — An electronic beacon or transponder placed between the rails of
a railway as part of an Automatic Train Protection system.
CBI —Computer Based Interlocking, or CBI, is an Interlocking System
(see below) where the traditional wired networks of relays are replaced
by software logic running on special-purpose fail-safe control hardware.
17
CPTM — The Companhia Paulista de Trens Metropolitanos runs the city of
São Paulo's suburban passenger services.
CTC — A Centralized Traffic Control system, or CTC, monitors the status of
signalling on a line or network and displays the relevant status information to a
central operator, assists in the management of the line or network consistent
with the timetable and exercises control to prevent small schedule disturbances
from becoming traffic jams. CTC also notifies the operator of ATC equipment
failures and of failures in traction power and passenger station support
facilities.
DPL — Dedicated Passenger Line.
GNSS (Global Navigation Satellite System) satellite-based global navigation
system, can rely on US GPS (Global Positioning System) or Russian GLONASS
(Global Navigation Satellite System) or European Galileo system under
development.
ETCS — The European Train Control System (ETCS) is a signalling, control
and train protection system designed to replace the many incompatible safety
systems currently used by European railways, especially on high-speed lines.
ERTMS — The European Rail Traffic Management System, or ERTMS,
ERTMS was introduced by the EU in 1992 as a means of creating a uniform
system of command, control and coordination of rail traffic to allow for
‘‘interoperability’’ throughout EU territory. The ERTMS standard exists at
three levels (ERTMS 1, 2 and 3) depending on use, each distinguished by the
type of wayside and on-board equipment used and the manner in which this
equipment communicates relevant data.
Ansaldo STS Investor Relations Dept.
Glossary
EUROCAB — Onboard computer used to process ETCS information.
FS — Ferrovie dello Stato S.p.A, or FS, the operator of the Italian railway
network.
HSL — High Speed Line, or HSL, refers to railway lines with capacity for speeds
in excess of 200 km/h (125 mph).
ICSS — Integrated Control & Safety System.
Switching System.
Integrated Communication
Interlocking System (IXL) — An interlocking system is responsible for the
reliable and safe movement of trains inside a station, through complex junctions
and for the length of the line. The interlocking system ensures that train
movement is permitted only when a route is available and the switches along this
route are safely locked in their position. In all cases the interlocking allocates a
track portion or a route to one train at a time, excluding all others.
LRT — Light Rail Transit, or LRT, refers to a form of urban rail transit that
utilizes equipment and infrastructure that is typically less massive than that used
for metro systems, with modern light rail vehicles usually running along the
system.
MicroLok® — Wayside control system consolidating vital and non-vital control
logic, data transmission and coded track circuits into a single package.
MT — Mass Transit.
OTP — Optimizing Traffic Planner, or OTP, is a traffic management system
that permits real time monitoring of the positioning of trains throughout a
railway system. OTP optimizes system or network capacity by safely minimizing
the time between trains, thereby reducing operating costs. OTP is primarily
designed for those markets where railway systems infrastructure is being used to
full capacity.
OURAGAN — A large-scale programme implemented by RATP for the resignalling of 13 lines. OURAGAN is intended to standardize CBTC technology
and diversify suppliers, based on the concept of interchangeability.
RBC — Radio Block Centre. All trains automatically report their exact
position and direction of travel to the RBC at regular intervals.
RFF — Réseau Ferré de France: manager, project leader and owner of
the French national rail network.
RFI — Rete Ferroviaria Italiana S.p.A., or RFI, is a subsidiary of FS
(defined above), responsible for managing the Italian railways
infrastructure.
RZD — Rossiyskie Zheleznye Dorogi/Russian Railways is the stateowned railway company of Russia.
SCADA A Supervisory Control And Data Acquisition system, or
SCADA, allows for the supervision of the various subsystems at work in
a railway or mass transit environment. SCADA collects information
from remote installations, transfers it back to a central office, analyzes
the information, takes appropriate action and displays that data on a
number of operator screens.
SCMT — Sistema di Controllo della Marcia del Treno: automatic train
protection system.
SNCF — Société Nationale des Chemins de fer Français. The French
National Railway Company is concerned with the operation of rail
services for passengers and freight, and the maintenance as well as
signalling of rail infrastructure owned by RFF.
SSC —Sistema Supporto Condotta: Italian train stopping system. Less
sophisticated than SCMT.
TLC — Trainline Controller provides an interface between CBTC
equipment and the rolling stock’s conventional controls.
TTCS: Train Conformity Check System verifies the conformity of
running Rolling Stocks
PTC — Positive Train Control: North American freight railway implementation
of CBTC.
18
Ansaldo STS Investor Relations Dept.
Mr. Alberto Milvio, the Manager in charge of preparing the company’s financial reports, hereby declares, pursuant to
article 154-bis, paragraph 2 of the Consolidated Law on Finance, that the actual accounting information contained in
this presentation corresponds to document results, books and accounting records
NB:
The management of Ansaldo STS also assesses the business and financial performance of the Company and its business segments based on
a number of indicators not provided for by IFRS.
As required by CESR recommendation CESR/05 - 178 b, the components of each of the non-GAAP alternative performance indicators used in
this press release are defined below.
EBIT: i.e. earnings before interest and tax, with no adjustments. It excludes income and expenses from the operations of unconsolidated
subsidiaries and securities, and gains/losses on any sales of consolidated subsidiaries, which are recorded under “financial income and
expenses”, or in the case of profits/losses from shareholdings valued using the equity method, under the item “effects of the valuation of
shareholdings at equity”.
EBIT margin: is calculated as the ratio of EBIT to revenues.
Free operating cash flow (FOCF): this is the sum of the cash flows generated by/used in operations, cash flow generated by/used in
investments in or disposals of tangible and intangible assets and shareholdings, net of cash flows from the purchase/sale of shareholdings that,
due to their nature or size, are considered “strategic investments”.
Ansaldo STS SpA
Via Paolo Mantovani, 3
16151 Genoa, Italy
V.P. Investor Relations
Andrea Razeto
investorelations@ansaldo-sts.com
www.ansaldo-sts.com
Tel: +39 010 655 2068
Fax: +39 010 655 2055
19
Ansald STS Investor Relations Dept.