TNT Express 4Q12 results presentation Bernard Bot Jeroen Seyger - - PowerPoint PPT Presentation

▶
tnt express
SMART_READER_LITE
LIVE PREVIEW

TNT Express 4Q12 results presentation Bernard Bot Jeroen Seyger - - PowerPoint PPT Presentation

Sep 25, 2022 174 likes •348 views

Area for main content TNT Express 4Q12 results presentation Bernard Bot Jeroen Seyger 18 February 2013 4Q12 highlights Trading conditions remain challenging 4Q12 continued trends of prior quarters Area for main content Area for main

slide-1
SLIDE 1

Area for main content

TNT Express

4Q12 results presentation

Bernard Bot Jeroen Seyger 18 February 2013

slide-2
SLIDE 2

Area for main content Area for main content

4Q12 highlights

TNT Express

  • Trading conditions remain challenging – 4Q12 continued trends of prior quarters
  • Cost control supported operating result, solid capital position
  • Pro forma dividend representing 39% of full year normalised net income

EMEA

  • Challenging trading conditions – volumes grew but yields declined
  • Pricing pressure in addition negative mix effects
  • Cost control lessened impact on profitability

ASPAC

  • Operating income improved despite weak Asia-Europe demand

Brazil

  • Losses declined
  • Additional recovery actions being taken

Other

  • Overhead costs contained
  • Period end net cash €139m

Further announcements

  • Divestment Brazil Domestic
  • Outcome China Domestic divestment expected 1Q13
  • Full strategy update 25 March 2012; AGM 10 April 2013
slide-3
SLIDE 3

Area for main content Area for main content

3

‘Building on strengths’ 2012 achievements

Focus on Europe

  • Defended market position: positive volume and customer growth
  • More next-day by road and new value-added solutions
  • Strengthened SME position

Connect Europe to the rest of the world

  • Enhanced global service coverage in partnership with leading airlines
  • Code share and block space agreements to cover fixed air capacity
  • Reduction long haul capacity suspended, now to be restarted

Implement structural efficiencies

  • €50m indirect cost savings programme launched in May 2011: fully realised
  • Re-scoped €100m further cost savings: nearly two-thirds realised

Reduce exposure to domestic emerging

  • Divestment Brazil domestic suspended, process re-launched
  • China domestic disposal process pursued; outcome to be known soon

Maximise cash flow

  • Optimised working capital and capex
slide-4
SLIDE 4

Area for main content Area for main content

Focus improvement plans

  • Leveraging of TNT Express’ distinctive European

market position and worldwide connections

  • Flexible operating model – reduced exposure to

high fixed-cost assets or activities

  • Cost efficiency
  • Optimal organisation
  • Divest non-core activities

Details of our solutions on 25 March 2013 Tangible benefits from 2013-14 operating plan

slide-5
SLIDE 5

Area for main content Area for main content

4Q12 financial highlights

* The adjusted figures are at constant currency (2011 rates) and exclude the impact of certain one-off charges. Please see 4Q12 press release for details of these adjustments.

(€m) 4Q12 4Q11 %chg Reported revenues 1,864 1,873

  • 0.5

Adjusted revenues* 1,835 1,873

  • 2.0

Reported operating income (71) (104) 31.7 Adjusted operating income* 47 58

  • 19.0

Net cash from operating activities 168 133 26.3 Net cash from/(used in) investing activities (66) (44)

  • 50.0
  • Adjusted revenues decline due to Asia Pacific
  • Adjusted operating income decline mainly due to Europe & MEA; Asia Pacific and Brazil performed

better

  • Good cash control

5

slide-6
SLIDE 6

Area for main content Area for main content

4Q12 statement of income

(€m) 4Q12 4Q11 %chg Revenues 1,864 1,873

  • 0.5

Operating income (71) (104) 31.7 Net financial expense (9) (12) 25.0 Income taxes (57) (36)

  • 58.0

Effective tax rate 64.8% 26.1% Profit for the period (148) (173) 14.5

6

  • Reported revenue -0.5%
  • Significant impact impairments on operating income
  • Effective tax rate reflects weighted average statutory tax rate in the countries TNT Express operates,

several non-deductible costs and losses for which no tax assets could be recognised

slide-7
SLIDE 7

Area for main content Area for main content

4Q12 statement of cash flows

(€m) 4Q12 4Q11 %chg Cash generated from operations 198 189 4.8 Net cash from operating activities 168 133 26.3 Net cash used in investing activities (66) (44)

  • 50.0

Net cash used in financing activities (18) (20) 10.0 Total changes in cash 84 69 22.2

7

  • Net cash from operating activities €35m above prior year in large part due to lower taxes paid
  • Net cash used in investing activities €22m higher than prior year mainly because of higher capex and

cash out for matured foreign exchange hedges

  • Net capex at 3.4% of reported revenues
  • Trade working capital reduced to 8.0% of revenues
  • Net cash €139m (4Q11: €7m net debt)
  • €200m break fee received from UPS in February 2013
slide-8
SLIDE 8

Area for main content Area for main content

Europe & MEA

  • Revenue growth supported by intercontinental air cargo sales; without these, slight revenue decline
  • Positive volume development despite challenging economy. Volumes grew in all product segments –

highest in Domestic and International Economy

  • Consignment exceeded kilo growth due to general decrease in weight per consignment and higher

growth of lower weight per consignment B2C parcels

  • Pricing pressure in addition to negative mix effect
  • Cost control measures only partially mitigated impact of negative yield

(€m) 4Q12 4Q11 %chg YoY Adjusted revenues 1,166 1,154 1.0 Adj operating income 69 93

  • 25.8

Avg daily cons (‘000) 823 746 10.3 RPC (€) (at constant FX) 22.1 23.8

  • 7.1

Avg daily kilos (‘000) 15,194 15,087 0.7 RPK (€) (at constant FX) 1.20 1.18 1.7

8

slide-9
SLIDE 9

Area for main content Area for main content

Asia Pacific

  • Revenue decline because of lower international volumes, targeted reductions in China Domestic LTL

volumes and India Domestic disposal

  • Day Definite service now 36% of China Domestic turnover (4Q11: 28%)
  • Higher RPK and lower RPC reflects improved Domestic pricing and mix offset by lower China

International pricing

  • Block space agreements with multiple partners ensured capacity utilisation

9

(€m) 4Q12 4Q11 %chg YoY Adjusted revenues 421 476

  • 11.6

Adj operating income 5 (3) Avg daily cons (‘000) 173 180

  • 3.9

RPC (€) (at constant FX) 38.1 40.7

  • 6.4

Avg daily kilos (‘000) 10,974 13,179

  • 16.7

RPK (€) (at constant FX) 0.60 0.56 7.1

slide-10
SLIDE 10

Area for main content Area for main content

Brazil

  • Positive results from further turnaround measures, including pricing actions
  • However weak volume development
  • Divestment opportunities to be explored while turnaround plan continues to be implemented

10

(€m) 4Q12 4Q11 %chg YoY Adjusted revenues 87 82 6.1 Adj operating income (18) (22) 18.2 Avg daily cons (‘000) 38 37 2.7 RPC (€) (at constant FX) 36.4 34.1 6.7 Avg daily kilos (‘000) 2,249 2,317

  • 2.9

RPK (€) (at constant FX) 0.61 0.55 10.9

slide-11
SLIDE 11

Area for main content Area for main content

Other Americas

  • Other Networks performance below the prior year
  • Overhead costs contained

11

(€m) 4Q12 4Q11 %chg YoY Adjusted revenues 42 41 2.4 Adj operating income (5) (7) 28.6 Avg daily cons (‘000) 18 17 5.9 RPC (€) (at constant FX) 36.3 36.8

  • 1.4

Avg daily kilos (‘000) 1,057 1,187

  • 11.0

RPK (€) (at constant FX) 0.62 0.53 17.0

Other Networks and Non-allocated

slide-12
SLIDE 12

Area for main content Area for main content

2012 financial highlights

* The adjusted figures are at constant currency (2011 rates) and exclude the impact of certain one-off charges. Please see 4Q12 press release for details of these adjustments.

(€m) 2012 2011 %chg Reported revenues 7,327 7,246 1.1 Adjusted revenues* 7,126 7,246

  • 1.7

Reported operating income 89 (105) Adjusted operating income* 188 225

  • 16.4

Net cash from operating activities 271 191 41.9 Net cash from/(used in) investing activities (84) (158)

  • 46.8

12

slide-13
SLIDE 13

Area for main content Area for main content

2013 preliminary guidance

  • Challenging trading conditions foreseen in 2013 with related continued negative development of
  • perating results in Europe & MEA
  • Asia Pacific and Other Americas expected to perform in line with prior year
  • Other Networks profitability affected by discontinuation of major Fashion contract
  • Brazil expected to reduce losses
  • Given the challenging trading environment, management is developing a comprehensive profit

improvement plan. This plan, including outlook, will be presented on 25 March 2013.

13

slide-14
SLIDE 14

Area for main content