06.10.2015 Company presentation Industrial Drive Systems Michael - PDF document

06.10.2015 Company presentation Industrial Drive Systems Michael Bernhard, Villingen, 8 October 2015 1 Agenda  IDS company presentation  Strategic markets and direction  Business unit summary  Mid-term planning (2015 – 2018)  Greensigned and Kobra  Further important developments 2 1

06.10.2015 Product overview Division Industrial    Single stroke solenoids Valve, valve units Permanent-magnet brakes    Rotary solenoids Linear solenoids Pneumatic clutches    Door holding solenoids Rotary solenoids Clutch brake units    Holding magnets Holding solenoids Spring-applied brakes    Solenoid valves Human machine interfaces Electronic accessories    Explosion-proof solenoids Control and I/O systems Solutions for hazardous   Elevator solenoids Software areas    Customer-specific Functional mechatronic Micro brakes & clutches  solenoids units Magnet powder clutches   Customer-specific solutions Customer-specific solutions 3 Global presence - locations Industrial Drive Systems IDS IMS Kendrion (UK), Kendrion Kendrion (Villingen), (Switzerland), Bradford IMS Germany IDS Hausen am Albis IDS IMS IDS IDS Kendrion (Aerzen), Kendrion (Linz), Germany Austria IMS IDS IMS IDS Kendrion (Italy), Kendrion (Suzhou), Turin China 4 2

06.10.2015 IDS locations with direct employees Kendrion (Italy) Srl, Kendrion (Aerzen) Kendrion (UK) Ltd., Kendrion Magnetic Kendrion (Villingen) Torino / IT GmbH, DE Bradford / UK (Suzhou), CN GmbH, DE Sales & Service Sales Sales & Services Sales & Services Sales & Service Production Production Production • PM brakes (2 lines) • small • SA brakes (elevator clutches & brakes • SA brakes (1 line) brakes) • Magnetic particle • KOBRA-A line • Kobra-S brake for clutches • Electronic modules Asia and US and brakes (outsourced / R&D) market will start in • special customized QII/2016 • Airflex clutches electromagnetic applications Employees: 20 Employees: 204 Employees: 50 Employees: 8 Employees: 1 5 Organisation Industrial Drive Systems Managing Director Michael Bernhard Kendrion Magnetic Kendrion (Villingen) Kendrion (Aerzen) Kendrion (UK) Ltd., UK (Suzhou)Co. Ltd., CN GmbH, DE GmbH, DE Peter McShane Michael Bernhard Dr. Gregor Langer Jürgen Weisshaar 6 3

06.10.2015 Product overview – your full-range provider for electromagnetic brakes & clutches Permanent magnet Spring-applied brakes Explosion protected  Safety brakes brakes solutions  Elevation brakes  Classic PM-brakes  EEX Line  Single-disc brakes  High torque brakes Airflex – pneumatic Electronical Operating current executed brakes brakes & clutches devices and clutches Magnetic particle Clutch-brake units Customised clutches and solutions brakes 7 Kendrion IDS - focused industries Automation & Robotics Medical Transport Safety & Comfort Renewable energies Consumer appliances Machine building Entertainment & Leisure time Explosion hazardous areas 8 4

06.10.2015 Customer references 9 Quality from Kendrion Certificates:  ISO 9001 : 2000  Atex 100A  CSA and UL-licence (for several devices)  ISO 14001 10 5

06.10.2015 Turnover IDS Group 2004 - 2014 60,000,000 € 53,7 50,2 47,8 50,000,000 € 47,4 40,3 40,000,000 € 35,1 33,9 31,3 29,6 30,000,000 € 27,7 22,1 20,000,000 € 10,000,000 € 0 € 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 REVENUE 11 Strategic markets Market attractiveness Globally, elevator brakes and servo motors brakes (> 0.5 kW) have the highest overall market attractiveness scores Spring-applied elevator brakes  Elevation Line Elevators PM & SA brakes Asynchr. Servo motors  Classic PM Line motors  High Torque Line  KOBRA-S Line Spring-applied brakes  KOBRA Line 12 6

06.10.2015 Strategic direction 2016 – 2018  Market segment objectives 2016 - 2018 Achieve market share in SAB market of 5% (does not include replacement of brakes manufactured by motor companies)  Achieve market share of 10% in the elevator market  Achieve market share of 50% in the servo motor market (without acquisition)   Development direction Product portfolio  M&A (USA and Asia)  Enhance product portfolio, e.g. planetary gearboxes, small motors, feedback systems  Develop towards mechatronics system supplier, e.g. motor-gearbox-clutch/brake combination  13 13 Business unit summary  Realigment of global sales structure  VS production automation process  VS implementation APS/BDE/MDE (intelligent production control)  Product portfolio (further new developments and streamlining)  Realign Kobra marketing strategy  Strengthen sales force in China (KOBRA, PM, elevator)  Acquisition in USA and Asia 14 14 7

06.10.2015 What is greensigned? Kendrion’s greensigned products achieve excellent environmental performance combined with maximum energy efficiency greensigned is part of our long-term strategy for sustainable products 15 Benefits of „ greensigned “ … for the Business Units? … for the Kendrion Brand? Long-term opportunity to improve market position Development of a contemporary sustainable image Strengthened confidence in Kendrion as long-term strategical partner Secures future revenues with increasingly Positioning Kendrion as responsible brand environmentally aware customers greensigned perfectly carries the brand values: ambitious, reliable, global, solution-driven, Positioning as innovative partner innovative. Differentiation from competitors Proof of Corporate Social Responsibility Employer Branding: stronger attraction for highly qualified employees Employer Branding: existing staff is proud to work for such an responsible employer 16 8

06.10.2015 Pioneer product of greensigned-strategy: KOBRA energy-saving spring-applied brake KL100/KL110 KOBRA Line, without IP-protection (open housing) friction plate coil anchor screw driver pin counter flange / housing frition plate sleeve spring electronic module 17 The KOBRA performance triangle Based on the requirements of the customers’ specific application, it is up to them to decide where to place the brake within the performance triangle made up of torque, lifecycle and energy savings. 18 9

06.10.2015 Further important developments: Schindler spring-applied brake for elevators, Kendrion Suzhou Schindler Brake, frame size 29, 33, 40 19 Sylomer 300 noise damper sizes 29, 33 and 40 20 10

06.10.2015 Noise measurement BG 40 2 x 700 Nm Requirement: noise level below 65dBA(fast) in the temperature range from 10 to 35°C Air gap • MGB = 0,40mm-0,50mm • MGB1 = 0,45mm-0,50mm 21 22 11