WE EMPOWER THE FUTURE Q3 INTERIM REPORT 2017 NOVEMBER 9, 2017 Q3 - PowerPoint PPT Presentation

WE EMPOWER THE FUTURE Q3 INTERIM REPORT 2017 NOVEMBER 9, 2017

Q3 INTERIM REPORT 2017

Q3 INTERIM REPORT 2017 Q3 sales with € 39.3 million back on track; + 1.3 % over previous year in € million Comments INDUSTRIAL MEDICAL MOBILITY Dynamic start into the 39.3 38.4 38.8 37.5 second half of 2017 35.4 34.6 34.3 12.3 Sales up 1.3 % 11.0 12.4 13.4 10.1 9.9 on Q3 2016 10.1 7.6 IND: +4.1%, MED: -3.0%, 9.1 7.8 6.6 6.4 6.4 7.2 MOB: -0,4% compared to Q3 2016 19.4 18.7 18.3 18.6 18.3 17.8 16.9 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 www.first-sensor.com | 3

Q3 INTERIM REPORT 2017 Share of sales in North America and Asia further climbing Sales in € million, sales share in % Comments 9M 2016 9M 2017 57.9 Germany still accounts 55.2 for half of sales Other European Countries contribute 38.0 -6.6 % 28.3 % 48.8% 50.9 % 51.6% 30.6 51.8 % 50.3 % 51.0 % Strong performance in North America – sales 31.2% doubled within the last 24.8% +31.2 % 21.9 % 33.0 % 28.3 % two years – and in Asia 11.4 10.7 22.8 % 9.9 +49.5 % 8.8 11.8 % 10.4 % 10.1 % 7.7 % 7.7 % 9.9 % 8.6 % 10.5 % 7.6 % 4.9 % 0.5 0.4 Germany Europe North America Asia Others www.first-sensor.com | 4

Q3 INTERIM REPORT 2017 Order intake still on high level at € 42.0 million in € million Comments incoming orders book-to-bill ratio 1.3 Order intake in Q3 almost 1.3 on Q2 level 1.0 1.1 Total order intake in 2017 is € 121.5 million after 48.2 44.4 0.8 0.8 € 103.6 million in 2016 42.0 0.6 35.1 Order backlog at 31.4 Sept. 30: € 96.5 million 28.7 24.0 BtB ratio supports further growth Q1 2016 Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 www.first-sensor.com | 5

Q3 INTERIM REPORT 2017 Sales per employee rises to 50.1 TEUR in Q3 2017 Comments Q3 2016 Q3 2017 personnel expenses: € 11.2 million € 11.3 million +1.6% Number of employees sales per employee: € 48.8 thousand € 50.1 thousand -2.6% largely unchanged Increase of personnel 865 853 expense by wage raise and shift to higher 69 69 qualified staff Sales per employee after nine month € 138.2 Permanent Staff (FTE) 796 784 thousand (previous year: € 144.2 thousand) Temporay Staff (FTE) Sept. 30, 2016 Sept. 30, 2017 www.first-sensor.com | 6

Q3 INTERIM REPORT 2017 Q3 earnings : Projects ‘Operative Excellence‘ delivering first results Str trategy for or Profi ofitable le Growth, pr presented on n Aug ugust t 10 10, 20 2017 17 1 Target Markets 2 Key Products & Customers Forward Integration Internationalisierung Internationalization 3 4 Germany Key Sensor System Industrial Products > 1 M€ p.a. Europe Sensor Medical North Amerika Component Key Customers > 1 M € p.a. Chip Mobility Asia Oper erativ ive Exce celle lence www.first-sensor.com | 7

Q3 INTERIM REPORT 2017 Operative Excellence focuses on three pillars Mindset : ‘Employees FIRST‘ Management: ‘ Leading from the front‘ Economies : ‘ Scale and Effiency ‘ 1. Januar 2018 www.first-sensor.com | 8

Q3 INTERIM REPORT 2017 EBIT of € 4.1 million in Q3, margin climbs to 10.4 percent EBIT in € million, EBIT-margin % Comments EBIT EBIT margin 12,0 % 10.4% 3 9M margin 6.9 % 10,0 % 8.4 % 7.6 % Increase in sales with 2 8,0 % 6.0 % positive effect on 5.1 % profitability 6,0 % 1 4.6 % 4.4 % 4.4 % 4.2 % 50.9 % 2.2 3.2 2.9 1.6 1.8 1.6 4.1 4,0 % 1.5 1.4 Also contribution by 0 51.8 % product mix (material -0.7 -1.0 2,0 % cost ratio down to 48.3 -1 percent) and efficiency +31.2 % 0,0 % 21.9 % -1.9 % gains -2 22.8 % -3.0 % -2,0 % +49.5 % 11.8 % 10.4 % 10.1 % 7.7 % 7.7 % -3 -4,0 % 4.9 % Q1 15 Q2 15 Q3 15 Q4 15 Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Q3 17 www.first-sensor.com | 9

Q3 INTERIM REPORT 2017 Net profit burdend by one-off currency loss Comments EBITDA margin of 16.0% EBITA margin of 11.9% Financial result: extraordinary effect arising from the remeasurement of currency hedges Net income effected by tax payments www.first-sensor.com | 10

Q3 INTERIM REPORT 2017 Balance sheet total rises by 2.8 percent from € 154.0 to € 158.3 million Assets Liabilities in € million Comments 154.0 158.3 158.3 154.0 11.3 13.0 21.2 23.8 8.6 8.9 WC: Inventories and 3.3 8.4 7.6 3.8 trade receivables + € 5.7 22.7 18.4 million Current liabilities Cash and cash 48.2 48.6 25.9 27.3 Net debt down to equivalents € 27.5 million Trade account Current assets payables Trade accounts Non-current Equity ratio 50.7 % receivables liabilities Inventories Financial liabilities 77.5 82.1 83.8 80.2 Non-current assets Equity 31.12.2016 30.09.2017 31.12.2016 30.09.2017 www.first-sensor.com | 11

Q3 INTERIM REPORT 2017 Operating Cashflow burdened by increase in Working Capital and taxes in € million Comments Free Cash Flow Operating Cash Flow Changes in WC and taxes burdened CF 8.8 Investment volume up to +49.5 % almost € 8 mill after 9M -6.6 % 50.9 % 5.6 5.0 51.8 % 21.9 % 22.8 % 11.8 % 10.4 % 10.1 % 7.7 % 7.7 % 4.9 % -2.3 9M 2016 9M 2017 9M 2016 9M 2017 www.first-sensor.com | 12

Q3 INTERIM REPORT 2017 Management confirms guidance 2017 at upper end of range 140 - 145 SALES REVENUES MILLION EURO 5 - 6 EBIT MARGIN PERCENT www.first-sensor.com | 13

GROWTH DRIVER LIDAR

OUR STRATEGY FOR PROFITABLE GROWTH We generate and utilize economies of scale in 4 dimensions 1 Target Markets Key Products & Customers Forward Integration Internationalisierung Internationalization 2 3 4 Germany Key Sensor System Industrial Products > 1 M€ p.a. Europe Sensor Medical North Amerika Component Key Customers > 1 M € p.a. Chip Mobility Asia Operative Excel celle lence www.first-sensor.com | 15

OUR STRATEGY FOR PROFITABLE GROWTH Growth driver Lidar is relevant for all pillars of our strategy 1 Target Markets 2 Key Products & Customers Forward Integration Internationalisierung Internationalization 3 4 Germany Key Sensor System Industrial Products > 1 M€ p.a. Europe Sensor Medical North Component Key America Customers > 1 M € p.a. Chip Mobility Asia Oper erativ ive Exce celle lence Operativ ive Exce celle lence www.first-sensor.com | 16

GROWTH DRIVER LIDAR Main reason for accidents are preventable human mistakes 1 Mistakes of car drivers 63.9 % 2 Mistakes of bicyclists 13.5 % 3 Bad road conditions 7.7 % 4 Mistakes of motorbike riders 7.2 % 5 Mistakes of truck drivers 5.7 % 6 Mistakes of pedestrians 3.5 % 7 Technical issues 0.9 % Source: German Federal Statistical Office 2016 www.first-sensor.com | 17

GROWTH DRIVER LIDAR Sensors in the car provide more safety Blind Spot Detection Surround View Cross Traffic Emergency Alert Braking Rear Colission Traffic Sign Pedestrian Detection Park Park Warning Recognition Assist Collision Assist Surround View Lane Avoidance Departure Adaptive Warning Cruise Control Surround View Blind Spot Detection www.first-sensor.com | 18

GROWTH DRIVER LIDAR LIDAR plays a key role for many applications Long-Range Short-/ Medium- Ultrasound LiDAR Camera Radar Range Radar Blind Spot Emergency Detection Cross Traffic Surround View Braking Alert Pedestrian Rear Colission Traffic Sign Park Detection Warning Park Recognition Assist Assist Collision Surround View Lane Avoidance Departure Warning Adaptive Surround View Blind Spot Cruise Control Detection www.first-sensor.com | 19

GROWTH DRIVER LIDAR Reason: Highest resolution even for large distances Radar Cameras LIDAR Criteria Ultra-sonic PMD Short Long (pulsed ToF) Mono Stereo distance distance 40 - 60 Max range (m) 150 -250 55 - 100 150 - 200 2 - 4 60 7 - 10 (120 coarse) Min range (m) 1 0,25 - 1 1 0.25 0.3 0.3 0.3 – 0.8 Precision (m) 0.1 (newer: 0.04) 0.25 – 0.75 0.3 – 3.75 Very good 3 0.2 – 0.3 good Indirectly via Indirect via Indirect via Velocity measurement directly via Doppler effect hardly hardly distance t1-t0 dist. dist. Horizontal 30° - 180° 55° Scan: 120° 16°, Scan: 60° 60° 45° - 190° 45° 40 - 69° field of view Horizontal resolution 0.01° - 1° 10.5° 3.5° bad < 0.1° - 0.3° < 0.1° 0.2° Vertical 3° - 16° 3° - 13° 3° - 13° 30° 45° 45° 40 - 56° field of view Vertical 0.8° - 1° 4.5° 4.5° bad < 0.1° < 0.1° 0.2° resolution www.first-sensor.com | 20

GROWTH DRIVER LIDAR Different technologies are used in LIDAR systems Source: Velodyne www.first-sensor.com | 21

GROWTH DRIVER LIDAR Different technologies – different suppliers in the market Source: YOLE www.first-sensor.com | 22

GROWTH DRIVER LIDAR Consequently we will participate in the market growth Global driver assist market will grow to $102 billion by 2030  2017: 94 m vehicles produced (2.2% CAGR 17-22, 2017 IHS Markit)  Automotive semiconductor revenue for ADAS grows with 20.9% (CAGR 17-22, 2017 IHS Markit)  Estimates as high as 10% of new cars with self-driving features in 2020 Source: Lux Research 2017 www.first-sensor.com | 23

GROWTH DRIVER LIDAR … in particular with our LiDAR products Source: Goldman Sachs Global Investment Research www.first-sensor.com | 24