daimler annual press conference on full year 2016 results · 712 page 16page16 daimler ag...
TRANSCRIPT
1
Annual Press Conference
Dr. Dieter ZetscheChairman of the Board of Management of Daimler AG Head of Mercedes-Benz Cars
February 2, 2017Page 2
Daimler AGDaimler AG Page 3
6
Daimler AG Page 12
Annual Press Conference
Bodo Uebber
Member of the Board of Management
Finance & Controlling and Daimler Financial Services
February 2, 2017Page 13
7
Daimler AG
CONTENTS
Highlights 2016
Divisional informationGroup financials
Outlook
Guidance
Daimler AG Page 14
Daimler AG
Mercedes-Benz Cars: continued business growth based on strong product portfolio
Page 15
EBIT adjusted for special items– in millions of euros –
2015 2016
8,3438,927
+7%
Revenue– in billions of euros –
2015 2016
83.889.3
+7%
Unit sales – in thousands of units –
2015 2016
2,0012,198
+10%
Annual Press Conference / February 2, 2017 / Draft 19.01.2017 18:00 Page 15Daimler AG Page 15
8
Daimler AG
Mercedes-Benz Cars: significant sales increase reflecting our strong product line-up- in thousands of units -
* incl. GLA
2015
2,001
2,198
2016
435
490
304
84
27
425
470
306
106
29
smart
E-Class
C-Class
A-/B-Class
S-Class
Sports Cars144
121
SUVs*543
712
Page 16Daimler AG Page 16
Daimler AG
Mercedes-Benz Cars: globally balanced sales structure with strong development in all major regions- unit sales in thousands -
2015
2,001
2,198
2016
488
347
314
666
400
359
296
578
Rest of world
Germany
United States
China
Europe
excl. Germany
368
383
Page 17Daimler AG Page 17
9
Daimler AG
Mercedes-Benz Cars: EBIT adjusted for special items- in millions of euros -
+ 584
Page 18Annual Press Conference / February 2, 2017 / Draft 19.01.2017 18:00 Page 18Daimler AG Page 18
* return on sales
EBIT2015
EBIT2016
8,3438,927
10.0%*10.0%*
Higher unit sales
Net pricing
Efficiency enhancements
Higher expenses for new technologies and future products
Daimler AG
Daimler Trucks: financials significantly impacted by headwinds in many of our truck markets
Unit sales – in thousands of units –
2015 2016
502
415
-17%
Revenue– in billions of euros –
2015 2016
37.633.2
-12%
EBIT adjusted for special items– in millions of euros –
2015 2016
2,742
2,053
-25%
Page 19Annual Press Conference / February 2, 2017 / Draft 19.01.2017 18:00 Page 19Daimler AG Page 19
10
Daimler AG
Daimler Trucks: sales decrease mainly driven by NAFTA region, Turkey and Middle East- in thousands of units -
* European Union, Switzerland and Norway
2015
502
415
2016
80
146
27
125
76
192
31
148Rest of world
Latin America
NAFTA region
EU30*
Asia
55
37
Page 20Annual Press Conference / February 2, 2017 / Draft 19.01.2017 18:00 Page 20Daimler AG Page 20
Daimler AG
Daimler Trucks: EBIT adjusted for special items- in millions of euros -
- 689
* return on sales
EBIT2015
EBIT2016
2,742
2,053
7.3%*
6.2%*
Efficiency enhancements and material costs
Foreign exchange rates
Significantly lower unit sales in the NAFTA region, Turkey, Middle East, Latin America and Indonesia
Intense competition in Europe
Page 21Annual Press Conference / February 2, 2017 / Draft 19.01.2017 18:00 Page 21Daimler AG Page 21
11
Daimler AG
Mercedes-Benz Vans: strong development based on very successful products
EBIT adjusted for special items– in millions of euros –
2015 2016
952
1,302
+37%
Revenue– in billions of euros –
2015 2016
11.512.8
+12%
Unit sales – in thousands of units –
2015 2016
321359
+12%
Page 22Annual Press Conference / February 2, 2017 / Draft 19.01.2017 18:00 Page 22Daimler AG Page 22
Daimler AG
Mercedes-Benz Vans: EBIT adjusted for special items- in millions of euros -
+ 350
Page 23Annual Press Conference / February 2, 2017 / Draft 19.01.2017 18:00 Page 23Daimler AG Page 23
* return on sales
EBIT2015
EBIT2016
952
1,3028.3%*
10.1%*
Higher unit sales
Efficiency enhancements
Higher expenses for new technologies and future products
12
Daimler AG
Daimler Buses: strong EBIT improvement despite difficult situation in Brazil and Turkey
Unit sales – in thousands of units –
2015 2016
28.126.2
-7%
EBIT adjusted for special items– in millions of euros –
2015 2016
202
258
+28%
Revenue– in billions of euros –
2015 2016
4.1 4.2
+2%
Page 24Annual Press Conference / February 2, 2017 / Draft 19.01.2017 18:00 Page 24Daimler AG Page 24
Daimler AG
Daimler Buses: EBIT adjusted for special items- in millions of euros -
+ 56
Page 25Annual Press Conference / February 2, 2017 / Draft 19.01.2017 18:00 Page 25Daimler AG Page 25
* return on sales
EBIT2015
EBIT2016
202
2584.9%*
6.2%*Higher unit sales and better model mix in EU30
Efficiency enhancements
Foreign exchange rates
Lower unit sales in Latin America and Turkey
Inflation-related cost increases
Higher expenses for new products and technologies
13
Daimler AG
Daimler Financial Services: further business growth
EBIT– in millions of euros –
2015 2016
1,6191,739
+7%
Contract volume– in billions of euros –
12/31/2015 12/31/2016
116.7132.6
+14%
New business – in billions of euros –
2015 2016
57.961.8
+7%
Page 26Annual Press Conference / February 2, 2017 / Draft 19.01.2017 18:00 Page 26Daimler AG Page 26
Daimler AG
Daimler Financial Services: EBIT- in millions of euros -
+ 120
* return on equity
EBIT2015
EBIT2016
1,6191,739
18.3%*17.4%*
Higher contract volume
Foreign exchange rates
Page 27Annual Press Conference / February 2, 2017 / Draft 19.01.2017 18:00 Page 27Daimler AG Page 27
14
Daimler AG
Forging ahead with increasing business in Mobility Services
BLACKLANE MOOVEL
Page 28Annual Press Conference / February 2, 2017 / Draft 19.01.2017 18:00 Page 28Daimler AG Page 28
Combinedchange*
12/16 (YTD) 12/16 (YTD)
+
2.2 mill.2.2 mill.
2929
TransactionsTransactions
6.2 mill. 6.2 mill.
22.2 mill. 22.2 mill.
> 50> 50
22.2 mill. 22.2 mill.
MembersMembers
CitiesCities
+131%
+20%
+90%
* car2go and mytaxi combined 12/16 (YTD) vs. 12/15 (YTD)
Daimler AG
mytaxi and Hailo create Europe’s largest taxi e-hailing company
The two innovative leaders in the field of taxi e-hailing are joining forces
Customers enjoy various forms of mobility with a transparent overview and easy-to-pay services
Another strategic step in making Daimler Financial Services a leader of mobility solutions and platforms
22 million
rides p.a.100,000
registeredtaxi drivers
over50 cities
9 countries
+
Page 29Annual Press Conference / February 2, 2017 / Draft 19.01.2017 18:00 Page 29Daimler AG Page 29
15
Daimler AG
CONTENTS
Highlights 2016
Divisional information
Group financialsOutlook
Guidance
Daimler AG Page 30
Daimler AG
Key figures
2015 2016
Unit sales (in thousands of units) 2,853 2,998
Revenue 149.5 153.3
EBIT
as reported 13.2 12.9
adjusted for special items 13.8 14.2
Net profit 8.7 8.8
Free cash flow of the industrial business 4.0 3.9
Earnings per share (in euros) 7.87 7.97
Dividend per share (in euros) 3.25 3.25
in billions of euros
Page 31Daimler AG Page 31
16
Daimler AG
Continued high level of net industrial liquidity
Free cash flow industrial businessFY 2016: €3.9bn
- in billions of euros -
Net industrialliquidity
12/31/2015
Earnings and other cash flow
impact
Working capital impact
Other Net industrialliquidity
12/31/2016
-1.5
19.7+0.718.6
+6.4
Dividend paymentDaimler AG
-1.0-3.5
Cartel fine imposed by European Commission
Page 32Daimler AG Page 32
Daimler AG
Free cash flow of industrial business for 2017 expected to be in the magnitude of 2016 and above dividend payment- in billions of euros -
Page 33Daimler AG Page 33
Industrial free cash flow
Dividendpaymentin 2016
3.53.9
FY 2016 (actuals)
3.5
FY 2017 (expectation)
Industrial free cash flow
Dividend paymentin 2017
(proposed)
17
Daimler AG
Development of EBIT and RoS adjusted for special items*- EBIT in billions of euros; RoS in % -
Page 34Daimler AG Page 34
8.2
10.1
8.0
14.2
2012 2013 20162014
* EBIT adjusted for special items of Daimler Group; return on sales adjusted for special items of Daimler Group excluding Daimler Financial Services
13.8
2015
6.8%6.5%
7.7%
9.4% 9.4%
Daimler AG
Dividend at high level based on strong net profit
* attributable to shareholders of Daimler AG
2015 2016
8.4 8.5
Net profit* – in billions of euros –
2016(proposed)
2015
3.25 3.25
Dividend per share – in euros –
Page 35Daimler AG Page 35
18
Daimler AG
Further investment growth as a basis for profitable growth and development of future mobility- in billions of euros -
10.5 10.510.5
Actual2012
Actual2013
Actual2014
Research and development expenditure
Investment inproperty, plantand equipment
Plan2017/18
(average p.a.)
15.2
13.5
Actual2016
6.6
5.1
7.6
5.9
8.1
7.111.6
Actual2015
Page 36Daimler AG Page 36
Daimler AG
Attractive employer
* related to extraordinary contributions to the German pension fund assets in 2011, 2014, 2015 and 2016** paid out to each eligible employee of Daimler AG for the respective financial year
12/31/2010
11.2
23.4
12/31/2016
6.8*
Fair value of pension plan assets– in billions of euros –
+109%
2010
3,041
5,400
2016
Profit sharing**– in euros –
+78%
Page 37Daimler AG Page 37
19
Annual Press Conference
Dr. Dieter ZetscheChairman of the Board of Management of Daimler AG Head of Mercedes-Benz Cars
February 2, 2017Page 38
Daimler AG Page 39
27
Daimler AG
Strong financial and balance sheet figures support our financial strength and A-rating
Page 54
Daimler Group Dec. 31, 2015 Dec. 31, 2016
Equity ratio 23.6% 22.9%
Gross liquidity 18.2 21.7
Funded status of pension obligations -7.4 -7.8
Industrial business
Equity ratio 44.2% 44.7%
Net liquidity 18.6 19.7
Free cash flow 4.0 3.9
in billions of euros
Daimler AG
Continuing dynamic sales development of passenger cars and vans
Page 55
2015 2016 % change
Daimler Group 2,853.0 2,998.4 +5
of which
Mercedes-Benz Cars 2,001.4 2,198.0 +10
Daimler Trucks 502.5 415.1 -17
Mercedes-Benz Vans 321.0 359.1 +12
Daimler Buses 28.1 26.2 -7
in thousands of units
28
Daimler AG
Revenue by division
Page 56
2015 2016 % change
Daimler Group 149.5 153.3 +3
of which
Mercedes-Benz Cars 83.8 89.3 +7
Daimler Trucks 37.6 33.2 -12
Mercedes-Benz Vans 11.5 12.8 +12
Daimler Buses 4.1 4.2 +2
Daimler Financial Services 19.0 20.7 +9
Contract volume of Daimler Financial Services* 116.7 132.6 +14
in billions of euros
* figures as of December 31, 2015 and December 31, 2016
Daimler AG
Revenue by region
Page 57
2015 2016 % change
Daimler Group 149.5 153.3 +3
of which
Europe 58.2 63.4 +9
of which Germany 22.0 23.5 +7
NAFTA 47.7 45.0 -6
of which United States 41.9 39.2 -7
Asia 33.7 35.6 +5
of which China* 14.7 16.0 +9
Other markets 9.8 9.3 -5
in billions of euros
* excluding revenue of not fully consolidated companies
29
Daimler AG
Group EBIT in 2016
Page 58
- in millions of euros -
-6 -698
12,902
+12013,186
+246+61
• Cars +1,377• Trucks -1,638• Vans +273• Buses +49
• Cars -98• Trucks +249• Vans +3• Buses +92
• Cars -696• Trucks +700• Vans +74• Buses -84 of which:
• Contributionto pension plan +605
• Legalproceedings -400
• ImpairmentBAIC Motor -244
• Currency transactions -241
• Measurement of inventories MBC -238
• Expenses due to Takata airbags -223
• Own dealer network +86
• Workforce adjustments -80
• Patent dispute -64• Public-sector
levies* +121
-7
Actual2015
Volume/Structure/Net pricing
Foreignexchange
rates
Other costchanges
Reconciliation Actual2016
Financial Services
Special itemsaffecting
EBIT
* in 2015
Daimler AG
Group EBIT in Q4 2016
Page 59
- in millions of euros -
+450
+456 3,459
+32,901
+141
-484
• Cars +214• Trucks -651• Vans -77• Buses +30
• Cars -34• Trucks +114• Vans +10• Buses +51
• Cars +299• Trucks +217• Vans -44• Buses -22
of which:• Expenses due to
Takata airbags +307• Own dealer
network +22• Workforce
adjustments +6• Public-sector
levies related toprior periods* +121
-8
ActualQ4 2015
Volume/Structure/Net pricing
Foreignexchange
rates
Other costchanges
Reconciliation ActualQ4 2016
Financial Services
Special itemsaffecting
EBIT
* in Q4 2015
30
Daimler AG
EBIT by division
Page 60
2015 2016- EBIT in millions of euros; RoS in % - EBIT RoS* EBIT RoS*
Daimler Group 13,186 8.9 12,902 8.4
of which
Mercedes-Benz Cars 7,926 9.5 8,112 9.1
Daimler Trucks 2,576 6.9 1,948 5.9
Mercedes-Benz Vans 880 7.7 1,170 9.1
Daimler Buses 214 5.2 249 6.0
Daimler Financial Services 1,619 – 1,739 –
Reconciliation -29 – -316 –
* return on sales; Daimler Group excluding Daimler Financial Services
Daimler AG
Special items affecting EBIT (I)
Page 61
Q4 Full year
Mercedes-Benz Cars 2015 2016 2015 2016
Restructuring of own dealer network -49 -53 -64 +33
Relocation of headquarters of MBUSA -9 – -19 –
Sale of real estate in the United States – – +87 –
Expenses in connection with Takata airbags -300 -20 -300 -480
Public-sector levies related to prior periods -121 – -121 –
Profit/loss in connection with remeasurement of inventories – – – -238
Settlement in connection with patent dispute – – – -64
Daimler Trucks
Workforce adjustments -23 -8 -58 -91
Restructuring of own dealer network -24 -10 -47 -14
Sale of Atlantis Foundries -6 – -61 –
in millions of euros
31
Daimler AG
Special items affecting EBIT (II)
Page 62
Q4 Full year
Mercedes-Benz Vans 2015 2016 2015 2016
Restructuring of own dealer network -18 -8 -29 -11
Relocation of headquarters of MBUSA -1 – -3 –
Expenses in connection with Takata airbags -40 -13 -40 -83
Workforce adjustments in Germany – -8 – -38
Daimler Buses
Restructuring of own dealer network -2 – -4 0
Sale of investment in New MCI Holdings Inc. +16 – +16 –
Workforce adjustments – -1 – -9
Reconciliation
Expenses related to legal proceedings – – – -400
Impairment of investment in BAIC Motor – – – -244
Losses from currency transactions (not allocated to business operations) – – – -241
Contribution of shares of Renault and Nissan to pension plan assets – – – +605
in millions of euros
Daimler AG
EBIT adjusted for special items in FY 2016
Page 63
2015 2016- EBIT in millions of euros; RoS in % - EBIT RoS* EBIT RoS*
Daimler Group 13,829 9.4 14,243 9.4
of which
Mercedes-Benz Cars 8,343 10.0 8,927 10.0
Daimler Trucks 2,742 7.3 2,053 6.2
Mercedes-Benz Vans 952 8.3 1,302 10.1
Daimler Buses 202 4.9 258 6.2
Daimler Financial Services 1,619 – 1,739 –
Reconciliation -29 – -36 –
* return on sales; Daimler Group excluding Daimler Financial Services
32
Daimler AG
EBIT adjusted for special items in Q4 2016
Page 64
Q4 2015 Q4 2016- EBIT in millions of euros; RoS in % - EBIT RoS* EBIT RoS*
Daimler Group 3,478 8.7 3,580 9.0
of which
Mercedes-Benz Cars 2,154 9.6 2,634 11.0
Daimler Trucks 684 6.8 365 4.3
Mercedes-Benz Vans 297 8.5 185 5.3
Daimler Buses 20 1.7 78 6.1
Daimler Financial Services 387 – 390 –
Reconciliation -64 – -72 –
* return on sales; Daimler Group excluding Daimler Financial Services
Daimler AG
Development of dividend per share
Page 65
2.202.45
2.25
- in euros -
+ 48%
3.25
2012 2013 2016(proposed)
2014 2015
3.25
33
Daimler AG
Assumptions for automotive markets in 2017
Page 66
Car markets
Global
Europe
Medium- and heavy-duty truck
markets
NAFTA region
EU30
Japan*
Brazil
EU30
Bus marketsEU30
Brazil
+1 to 2%
around -5%, with Class 8 weaker than Class 6-8
USA
Van markets
Indonesia*
China slight growth
* including light-duty trucks
USA
around the prior-year level
slight decrease
around -5%
slight growth from low level
around the prior-year level
slight growth
around the prior-year level
slight growth
significant growth from low level
slight growth
Daimler AG
Capital expenditure / Research and development
Page 67
- in billions of euros -
Actual2015
Actual2016
5.1
Plan2017/2018
(average p.a.)
5.9
7.1
Actual2015
Actual2016
6.67.6
8.1
Plan2017/2018
(average p.a.)
Investment in property, plant and equipment
Research and development expenditure
34
Daimler AG
Capital expenditure / Research and development
Page 68
Investment in property, plant and equipment
Research and development expenditure
Actual2015
Actual2016
Plan*2017-2018
Actual2015
Actual2016
Plan*2017-2018
Daimler Group 5.1 5.9 7.1 6.6 7.6 8.1
of which
Mercedes-Benz Cars 3.6 4.1 5.2 4.7 5.7 6.1
Daimler Trucks 1.1 1.2 1.2 1.3 1.3 1.3
Mercedes-Benz Vans 0.2 0.4 0.6 0.4 0.4 0.5
Daimler Buses 0.1 0.1 0.1 0.2 0.2 0.2
Daimler Financial Services 0.03 0.04 0.03 – – –
in billions of euros* average p.a.
Daimler AG
Mercedes-Benz Cars: sales increase to 2,198,000 units (+10%) reflecting our strong product line-up
Page 69
* incl. GLA
- in thousands of units -
425 435470 490
306 304
106 84
543
712
29 27
121 144
2016
2015
smartE-ClassC-ClassA-/B-Class S-Class Sports CarsSUVs*
35
Daimler AG
Mercedes-Benz Cars: globally balanced sales structure with strong development in all major regions
Page 70
- in thousands of units -
578
666
296 314359 347
400
488
368 383
2016
2015
Rest of worldUnited StatesGermanyEurope(excl. Germany)
China
Daimler AG
Mercedes-Benz Cars in China: huge sales growth with increasing share of locally produced vehicles
Page 71
- in thousands of units -
208239
293
400
488
locally produced
imported
2016201420132012 2015
108
100
123
116
147
146
150
250
171
317
36
Daimler AG
Daimler Trucks: sales decrease to 415,000 units (-17%) mainly driven by NAFTA region, Turkey and Middle East
Page 72
- in thousands of units -
76 80
192
146
31 27
148
125
55
37
Rest of worldLatin AmericaNAFTA regionEU 30* Asia
* European Union, Switzerland and Norway
2016
2015
Daimler AG
Daimler Trucks: incoming orders below prior-year level due to weak demand in NAFTA region, Turkey and Middle East
Page 73
78 80
168
119
29 26
146
125
61
36
Rest of worldLatin AmericaNAFTA regionEU 30* Asia
* European Union, Switzerland and Norway
- in thousands of units -
2016
2015
37
Daimler AG
Mercedes-Benz Vans: sales increase to 359,100 units (+12%) due to market success of mid-size vans
Page 74
- in thousands of units -
21.7 24.9 30.7
48.7
74.4
92.1
194.2 193.4
SprinterV-Class(incl. Viano)
Citan Vito
2016
2015
Daimler AG
Daimler Buses: sales decrease to 26,200 units (-7%) mainly due to difficult economic situation in Brazil
Page 75
- in thousands of units -
8.6 8.8
4.0 3.8
7.2
4.9 4.7 4.9
3.6 3.8
Rest of worldBrazilMexico Latin America**
2016
2015
* European Union, Switzerland and Norway** excluding Brazil and Mexico
EU 30*
38
Daimler AG
Daimler Financial Services: further increase in contract volume to 132.6 billion euros (+14%)
Page 76
- in billions of euros -
19.8 21.825.8
31.6
50.854.2
20.224.9
12/31/2016
12/31/2015
Africa & Asia-Pacific
Europe(excl. Germany)
Germany Americas
Daimler AG
Daimler Financial Services: net credit losses* at low level due to disciplined risk approach
Page 77
* as a percentage of portfolio, subject to credit risk
39
Daimler AG Page 78
Daimler AG
Disclaimer
Page 79
This document contains forward-looking statements that reflect our current views about future events. The words “anticipate,” “assume,” “believe,”
“estimate,” “expect,” “intend,” “may,” ”can,” “could,” “plan,” “project,” “should” and similar expressions are used to identify forward-looking statements.
These statements are subject to many risks and uncertainties, including an adverse development of global economic conditions, in particular a decline of
demand in our most important markets; a deterioration of our refinancing possibilities on the credit and financial markets; events of force majeure
including natural disasters, acts of terrorism, political unrest, armed conflicts, industrial accidents and their effects on our sales, purchasing, production
or financial services activities; changes in currency exchange rates; a shift in consumer preferences towards smaller, lower-margin vehicles; a possible
lack of acceptance of our products or services which limits our ability to achieve prices and adequately utilize our production capacities; price increases
for fuel or raw materials; disruption of production due to shortages of materials, labor strikes or supplier insolvencies; a decline in resale prices of used
vehicles; the effective implementation of cost-reduction and efficiency-optimization measures; the business outlook for companies in which we hold a
significant equity interest; the successful implementation of strategic cooperations and joint ventures; changes in laws, regulations and government
policies, particularly those relating to vehicle emissions, fuel economy and safety; the resolution of pending government investigations or of
investigations requested by governments and the conclusion of pending or threatened future legal proceedings; and other risks and uncertainties, some
of which we describe under the heading “Risk and Opportunity Report” in the current Annual Report. If any of these risks and uncertainties materializes
or if the assumptions underlying any of our forward-looking statements prove to be incorrect, the actual results may be materially different from those
we express or imply by such statements. We do not intend or assume any obligation to update these forward-looking statements since they are based
solely on the circumstances at the date of publication.
The figures in this document are preliminary and have neither been approved yet by the Supervisory Board nor audited by the
external auditor.