conference call october 15, 2008 | 2:00 p.m. cest dr. axel ... › ... › 2008 › englisch ›...

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Announcement ofQ3 2008 Results

Conference CallOctober 15, 2008 | 2:00 p.m. CEST

Dr. Axel Herberg, CEOHans-Jürgen Wiecha, CFO

1

Disclaimer

� This presentation may contain certain forward-looking statements, includingassumptions, opinions and views of the Company or cited from third party sources.Various known and unknown risks, uncertainties and other factors could cause theactual results, financial position, development or performance of the Company todiffer materially from the estimations expressed or implied herein.

� The Company does not guarantee that the assumptions underlying such forward-looking statements are free from errors nor does the Company accept anyresponsibility for the future accuracy of the opinions expressed in this Presentationor the actual occurrence of the forecast development.

� No representation or warranty (express or implied) is made as to, and no relianceshould be placed on, any information, including projections, estimates, targets andopinions, contained herein, and no liability whatsoever is accepted as to any errors,omissions or misstatements contained herein, and, accordingly, none of theCompany or any of its parent or subsidiary undertakings or any of such person‘sofficers, directors or employees accepts any liability whatsoever arising directly orindirectly from the use of this document.

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Agenda

� Business Highlights Q3 2008

Dr. Axel Herberg, CEO

� Financial Overview Q3 2008

Hans-Jürgen Wiecha, CFO

� Confirmation of Guidance FY 2008


3

Q3 2008 with further profitable growth

� Sound net sales growth of 7.2% to EUR 268.0m (at constant FX rate: +10.2%);Again all four divisions show increase in sales

� Adjusted EBITDA grew by 14.1% to EUR 50.3m

� Adjusted EBITDA margin expansion of 120 bps to 18.8%

� Net income of EUR -22.8m impacted by write-off ofpotential book loss for the intended disposal of TPS of EUR -33.0m

� Adjusted EPS more than doubled from EUR 0.22 to EUR 0.52

4

Continuous improvement in operating earnings poweracross all divisions

Tubular Glass: � Full use of existing capacity for RTF-syringe production� Additional 3rd line with scheduled production start in Q1 2009� Another quarter with strong growth in vials

� Double-digit growth in Medical Plastic Systems Segment� Ramp up of pen production well on track� Integration of acquisitions in Spain and South America completed

� High capacity utilization due to strong demand for pharma bottlesand cosmetics resulted in strong margin expansion

� Integration work and portfolio optimization led to marked increasein margin

Plastic Systems:

Moulded Glass:

Life ScienceResearch:

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Agenda







6

Group: Sales and earnings development on a high level

Net sales and adjusted EBITDAEUR m

1 Earnings before financial result, income taxes, amortization of fair value adjustments, extraordinary depreciation, depreciation andamortization, restructuring expenses and one-off income and expenses

Adj. EBITDA margin:Q3 2008: 18.8%Q3 2007: 17.6%

Net sales

Net sales growth atconstant exchangerate: 10.2%

Q3 2007 Q3 2008

44.1 50.3

+14.1%

Adj. EBITDA1

+7.2%

� Net sales growth of 10.2% beforeFX rate effects fueled by strongdemand for pharma and cosmeticproducts

� Strong margin expansion of 120basis points reflects sales growth,strong operational performanceand favorable sales mix

� Sales and earnings growthsupported by all four divisions

250.1268.0

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Tubular Glass: RTF syringes continue to drive top line



Net sales


68.177.6

Q3 2007 Q3 2008

17.0 19.1

+12.4%

Adj. EBITDA1

+14.0%

� RTF syringes post growth rateof 54% vs. Q3 2007

� Continued sales increasein American and Chinese vialmarkets

� Two small furnace repairs anddifferent vacation pattern withslight impact on margin


8

Plastic Systems: Strong sales in core areas



Net sales


82.787.8

Q3 2007 Q3 2008

13.8 15.4

+11.6%

Adj. EBITDA1

+6.2%

� Double-digit sales growth inMedical Plastic Systems Segmentdriven by strong demand inInhalation, Diabetes Care andMolecular Diagnostics

� Sales growth impacted by soldbusinesses and TPS

� High level of tool orders

� Further margin expansion


9

Moulded Glass: Market growth rate outperformed again



Net sales


79.783.7

Q3 2007 Q3 2008

15.2 17.4

+14.5%

Adj. EBITDA1

+5.0%

� Above market rate growth thanks topositive sales trend in

� US and European market forpharma bottles

� European and emerging marketsfor cosmetics

� Excellent capacity utilizationgenerates additional contributionmargin


10

Life Science Research: Successful quarter with margin jump



Net sales

Net sales growth atconstant exchangerate: +26.4%

20.822.9

Q3 2007 Q3 2008

1.8 2.9

+61.1%

Adj. EBITDA1

+10.1%

� Margin uplift of 400 basispoints created by goodprogress in integration andstreamlining of portfolio

� Joint product campaigns well-received by customers


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-5.1-22.8Net income

11.0-10.9Profit from operations

-31.2-10.1Financial result

15.1-1.8Income taxes

7.416.5Adjusted net income

35.150.5EBITDA

0.033.0Book loss from disinvestment

24.128.4Depreciation and fair value amortization

9.0-0.2Restructuring expenses + one-off income andexpenses

44.150.3Adjusted EBITDA1

Q3 2007Q3 2008EUR m

Net income impacted by potential book loss from intendedsale of TPS


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390.6+5.7%414.3437.8Net financial debt2

2.2-2.42.1Adjusted EBITDA leverage

98.9-21.4%25.720.2Capital expenditure

179.818.8

+10.1%187.021.6

205.919.7

Net working capital1

in % of LTM net sales

Dec 1, 2006 –Nov 30, 2007

499.934.8

FY 2007 as ofNov 30, 2007

-2,3%

Jun 1, 2007 –Aug 31, 2007

Jun 1, 2008 –Aug 31, 2008

491.534.2

480.233.6

EquityEquity ratio in %

Q3 as ofAug 31, 2007

Q3 as ofAug 31, 2008EUR m

1 Inventories, trade receivables and prepayments on account of orders less trade payables and payments received on account of orders2 Total amount of debt less cash and cash equivalents

Key metrics prove financial stability

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390.6414.3

458.1 456.2 437.8

Profitability increased while leverage decreased

Q3/07

EUR m

Q4/07 Q1/08 Q2/08 Q3/08

Adjusted EBITDAleverage

2.42.4

2.3

2.12.2

Acquistion ofEDP + Allplas

Net debt

14

1 As of August 31, 2008

Debt/cash positions in EUR m1 Interest rate Due by

Secured long-term financing structure; liquidity reservesthrough EUR 175m committed revolver

24.855.9

36.2

232.0

126.0

Local borrowings

437.8

Long-termbank debt

Bond

Cash

Revolving bank debt

Net financial debt

2012 / 2013

20157.9%; Fixed coupon

5.7%; Hedged 100%until Sep 2010

37.1

2012 / 201355bps over Euribor/Libor;Headroom: EUR 139m

Leasing5.5% (average)5.5% (average)

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Agenda







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Positive performance review one year after IPO

Accelerated growth of sales and earnings:

LTM net sales growth of 20% driven by both

organic growth and acquisitions

LTM adjusted EBITDA growth of 25% driven by operationalexcellence, favorable sales mix and high capacity utilization

Well executed investment programs

Further deleverage achieved

Execution of strategy:

Successful acquisition and integration of companieswith clear focus on Pharma & Life ScienceDisposal of Consumer Healthcare activities;Start of disposal process for Technical Plastic Systems

17

Confirmation of Guidance FY 2008

Net SalesGrowth rate 9-11%

Adj. EBITDAmargin

Mid 19%

CapexExpected investments ofEUR 105m – EUR 110m

Portfoliooptimization

Ongoing market observation forvalue-accretive M&A transactions

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Financial Calendar 2008 / 2009

� October 23+24, 2008 Capital Markets Day 2008

� February 17, 2009 Full Year Results 2008

� April 2, 2009 Interim Report 1st Quarter 2009

� April 29, 2009 Annual General Meeting

� July 15, 2009 Interim Report 2nd Quarter 2009

� October 15, 2009 Interim Report 3rd Quarter 2009

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Investor Relations Contact Details

� Phone: +49 211 6181 – 257

� Fax: +49 211 6181 – 121

� E-mail: [email protected]

� Please visit our IR website: www.gerresheimer.com/ir

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BACKUP Q1-Q3 2008: Gerresheimer Group



Adj. EBITDA margin:Q1-Q3 2008: 18.8%Q1-Q3 2007: 17.8%

Net sales

Net sales growth at constantexchange rate: 15.8%

Q1-Q3 2007 Q1-Q3 2008

124.4 146.9

+18.1%

Adj. EBITDA1

+12.3%

697.4

783.4

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Q1-Q3 2008



Net sales


199.0221.3

47.8 54.2

+13.4%

Adj. EBITDA1

+11.2%


Q1-Q3 2007 Q1-Q3 2008



Net sales


218.6

258.6

38.2 47.5

+24.3%

Adj. EBITDA1

+18.3%

Q1-Q3 2007 Q1-Q3 2008

Tubular Glass Plastic Systems

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Q1-Q3 2008



Net sales


234.3246.9

45.2 52.0

+15.0%

Adj. EBITDA1

+5.4%


Q1-Q3 2007 Q1-Q3 2008



Net sales

Net sales growth atconstant exchangerate: +61.6%

47.7

67.3

4.6 8.0

+73.9%

Adj. EBITDA1

+41.1%

Q1-Q3 2007 Q1-Q3 2008

Moulded Glass Life Science Research

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53.3-35.3%34.822.5Profit from operations

-0.04-13.2%-0.46-0.53Earnings per share in EUR

1.34>100%0.481.34Adjusted earnings per sharein EUR4

116.612.2%

+20.2%77.311.1%

92.911.9%

Adjusted EBITA2

Margin

44.3

0.8

181.619.0%

957.7

FY 2007

>100%

>100%

+18.1%

+12.3%

16.444.0Adjusted net income3

-13.1-14.7Net income

124.417.8%

146.918.8%

Adjusted EBITDA1

Margin

697.4783.4Net sales

Q1-Q3 2007Q1-Q3 2008EUR m

Q1-Q3 2008


2 Earnings before financial result, income taxes, amortization of fair value adjustments, extraordinary depreciation, restructuring expensesand one-off income and expenses

3 Net income before non-cash amortization of fair value adjustments, special effects from restructuring expenses, extraordinarydepreciation, the balance of one-off income and expenses (including significant non-cash expenses) and the related tax effects

4 Adjusted net income after minorities divided by 31.4m shares

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54.1>100%3.468.6CF from operating activities

390.6+5.7%414.3437.8Net financial debt2

2.2-2.42.1Adjusted EBITDA leverage

98.9-12.7%62.354.4Capital expenditure

179.818.8

+10.1%187.021.6

205.919.7

Net working capital1

in % of LTM net sales

Dec 1, 2006 –Nov 30, 2007

499.934.8

FY 2007 as ofNov 30, 2007

-2.3%

Dec 1, 2006 –Aug 31, 2007

Dec 1, 2007 –Aug 31, 2008

491.534.2

480.233.6

EquityEquity ratio in %

Q1-Q3 as ofAug 31, 2007

Q1-Q3 as ofAug 31, 2008EUR m

Q1-Q3 2008

1 Inventories, trade receivables and prepayments on account of orders less trade payables and payments received on account of orders2 Total amount of debt less cash and cash equivalents

conference call october 15, 2008 | 2:00 p.m. cest dr. axel ... › ... › 2008 › englisch ›...

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