Ascendum Profile
Transcrição
Ascendum Profile
Ascendum Profile April 2013 Ascendum Profile | April 2013 ASCENDUM Group Overview ASCENDUM Group operates in various areas of the Automotive sector, having, recently broaden its product portfolio by including infra structure equipment Infrastructure Equipments TLD Kone Crane Solaris Zephir Mantsinen Cars Volvo Land Rover Jaguar Mazda Mitsubishi Public works Airports Ports Roads Railways Passenger cars Commercial vehicles Industry Construction Mining Recycling Forestry Building Handling/Logistics Construction Equipment VOLVO Sennebogen Chicago Pneumatics Sandvik Yale High end Medium range Low end Trucks Volvo Mitsubishi page 2 Ascendum Profile | April 2013 ASCENDUM Group Overview With operations starting in 1959, the Group undertook a number of decisive steps towards growth, being nowadays one of the most important VCE independent dealers worldwide 1959 Incorporation of ASC – Launch of Volvo’s car and trucks dealership in the central region of Portugal 1970 Import and distribution of Volvo Construction Equipment (CE) in Portugal as a result of Volvo’s invitation 1999 International growth – Spanish Market (Volvo): First cross-boarder deal: acquisition to Volvo of Volmaquinaria de Construcción España, SA (VMCE) – import and distribution of VCE products in Spain 2001 Start up of the rental activity – Incorporation of Volrent (Volvo) 2003 Business diversification – multi-brand car retail expansion (non Volvo): Multi-brand car dealerships in addition to Volvo: Land Rover, Jaguar and Mazda 2004 International growth – United States Market (Volvo): Acquisition of Volvo Construction Equipment assets which included a dealership distribution agreement in 5 regions of the US (North and South Carolina, Georgia, Alabama and Tennessee) – ASC CONSTRUCTION EQUIPMENT USA, INC. 2009 Business diversification – aftermarket (non Volvo): Acquisition of Tractorrastos, a company specialized in CE multi-brand parts (non Volvo) and aftermarket services 2010 International growth and business diversification – Turkish Market and Infra-structures equipment: Acquisition of Air-Rail in Spain – equipment solutions for operation of airports, ports, railways and other infra-structures Acquisition to Volvo of Volvo Otomotiv Turk – import and distribution of VCE products in Turkey 2011 International Growth and divestment – Mexico (Volvo) Ascendum Group reorganization; Disposal of Alabama operation upon VCENA request and start up of the Mexican operation for Volvo Construction equipment (December 2011/March 2012) 2012 Ascendum Group restructuring, rebranding and implementation of new HR management policies 2013 International growth – United States Market (Volvo): acquisition of Swanston – VCE dealer in North Dakota page 3 Ascendum Profile | April 2013 ASCENDUM Group Overview With nearly 70 branches and more than 1.100 employees, ASCENDUM Group operates directly in the Iberian Peninsula, four American states, Turkey and Mexico… Business Areas: Construction, industrial and infrastructure equipments, cars & trucks Business Areas: Construction, industrial and infrastructure equipments # CE branches: 4 # branches: 17 Business Areas: Construction and industrial equipment (North and South Carolina, Georgia, Alabama and Tennessee) Business Areas: Construction, industrial and infrastructure equipment's # branches: 17 # branches: 14 Business Areas: Construction and industrial equipment # branches: 5 (18 until 2014) page 4 Ascendum Profile | April 2013 ASCENDUM Group Overview In 2009 the Group performed a strategic assessment, resulting in 2 main strategic axes – (i) consolidation and growth of the CE business and (ii) product range diversification I –Consolidation and growth of the Construction Equipment business Increasing optimization and efficiency; Geographical diversification to complementary and high growing markets, and Broaden the core construction and industrial products portfolio. Broaden the supply coverage by including infra-structure equipment's/machinery; II – Products portfolio diversification Strengthen the presence on the logistics equipment; Develop the aftermarket (parts and service) business; “Turnkey service” solutions – reinforce the client service integrated approach. Ambitious target (2016) Secure and consolidate ASCENDUM Group’s traditional earnings base Bn USD 1,3 consolidated revenue target Strategic Targets Explore new business opportunities page 5 Ascendum Profile | April 2013 ASCENDUM Group Overview In accordance to the adopted strategy and the continuous Group growth, resulted the need to adapt the Group’s structure to the present and arising challenges… Operational management functions Strategic management functions Financial management functions Operational Holding Strategic Holding Financial Holding Operational and strategic management: Strategic planning; Funding and control (strategic and operational); Corporate governance (eg.: HR); Shared services (purchases, logistics, HR, treasury,…); Active role in the business operational management. Strategic & operational coordination of the business ASCENDUM Group Presently (Partially) Strategic and financial management: Strategic planning and control; Financial and tax planning; Identification and development of synergies and best practices amongst the group; HR development; Potential inclusion of shared services. Strategic coordination; limited operational intervention Portfolio management and capital allocation: Business portfolio definition; Financial and tax planning. Decentralized management; Full operational autonomy ASCENDUM Group in 2015 Holding role evolution in the ASCENDUM Group page 6 Ascendum Profile | April 2013 ASCENDUM Group Overview The Corporate Center structure is based on the aggregation of complementary functions according to the Group’s specific reality EC ASCENDUM Corporate Center Strategy & Business Development Strategic Planning M&A Organizational Development Special projects Controlling Business control Financial Operations Audit & Accounting Communication & Image Financial Management Treasury management Risk Management Accounting & Consolidation Internal audit Tax planning Communication Image Human Resources Talent Management Institutional relations and assets management Institutional relations Assets Management page 7 Ascendum Profile | April 2013 ASCENDUM Group Overview The creation of a strategic holding allows the perfect matching of the families’ ownership vision and objectives and the executive drive of the management team, reinforcing the implementation capability and ensuring the succession plan Strategic Holding; Strategic coordination; … 1st Level Group synergies; Limited operational intervention; Management support at a Group level; Strategic development. Geographical platforms; … … Companies aggregating several businesses; 2nd Level Shared services / support structure for business development. Operational logic; … … … … … 3rd Level Focus on business and operational processes; Professional management. page 8 Ascendum Profile | April 2013 ASCENDUM Group Overview In terms of organizational structure, the Group is replicating its business model across its current geographies. Our implementation plan is getting to the final big picture… Auto-Sueco, Lda. 50% 50% Ernesto Vieira & Filhos, S.A. HoldCo ASCENDUM, S.A. ESFG BPI Bank Corporate Center Portugal Spain CIE ASC MEI Vehicles (cars and trucks) ASC 2 Vehicles CIE VMCE Rent Volrent Infrastructure Air-Rail 50% Rent VMCE Aftermarket Tractorrastos Handling / Logistics Infrastructure Air-Rail 50% USA CIE ASC USA Turkey Mexico CIE ASC Turk Infrastructure ART HAVA 50% CIE ASCENDUM Mexico Rent Aftermarket TRP Rent To be developed page 9 Ascendum Profile | April 2013 ASCENDUM Group Overview ASCENDUM Group growth strategy also pushed the need of the implementation of a new governance model… Shareholders Meeting Board of Directors composition: Chairman; 10 Board Members; Holdco Board of Directors Non Executive Directors Executive Directors Meetings every 2 months. Executive Committee composition: President; 5 Board Members; Monthly meetings. Board of Directors composition: Geographic platform / Main Investments Board of Directors Business Units Management Council President; 5 Board Members. Limited liability Companies: 2 Business Units Managers. page 10 Ascendum Profile | April 2013 ASCENDUM Group Overview ASCENDUM Board of Directors is composed by 10 members – 5 executive and 5 nonexecutive. At the second level, there is a CEO accountable for each geographic platform Ernesto Gomes Vieira : Chairman Board of Directors Carlos Vieira Non Executive Directors Tomás Jervell Ricardo Mieiro: CEO Paulo Mieiro José Leite Faria Executive Directors Paulo Jervell João Mieiro Ângela Vieira Brad Stimmel* José L. Mendes Mahir Hocaoglu* Juan Ant. Zurera Rui Faustino Marco Liz* Portugal Spain USA Turkey Mexico Ângela Vieira: Chairman Rui Faustino: CEO Ernesto S. Vieira Paulo Mieiro Rui Miranda Ricardo Mieiro: Chairman Juan Ant. Zureea: CEO João Mieiro Ernesto S. Vieira Paulo Mieiro João Jervell Ricardo Mieiro: Chairman Brad Stimmel: CEO João Mieiro Paulo Mieiro José Leite Faria João Mieiro: Chairman Mahir Hocaoglu: CEO Ângela Vieira Rui Faustino Francisco Ramos João Mieiro: Chairman Marco Liz: CEO Nuno Colaço (*) Sounding board page 11 Ascendum Profile | April 2013 ASCENDUM Group growth strategy and value creation track record After a decade of strong growth, Ascendum Group strategy and its financial resilience and robustness ensured a solid performance in an adverse economic environment Turnover EBITDA Turnover (MUSD); CAGR(%) EBITDA (MUSD); CAGR(%) +23% +11% +3% -2% +20% 699 634 490 367 634 651 82 72 707 456 68 66 57 +24% +12% 83 82 889 689 -12% +30% 789 633 0% 74 58 52 40 38 322 25 125 10 8% 10% 9% 10% 12% 11% 8% 9% 13% 10% 9% 10% 9% 9% 1998 2004 2005 2006 2007 2008 2009 2010 2011 2011R 2012 2013F 2014F 2015F 1998 2004 2005 2006 2007 2008 2009 2010 2011 2011R 2012 2013F 2014F 2015F Net Income Net Debt / EBITDA Net Income (MUSD); CAGR(%) -1% -34% +31% +23% 36 35 33 31 26 +25% 26 3,9x 3,2x 23 20 2,4x 1,9x 15 9 3,0x 2,4x 19 15 3,7x 3,1x 1,2x 1,6x 1,9x 2,6x 2,1x 1,7x 5 2% 5% 4% 2% 3% 3% 4% 1 0% 1998 2004 2005 2006 2007 2008 2009 2010 2011 2011R 2012 2013F 2014F 2015F 4% 5% 4% 4% 5% Exchange rate EUR/USD: 1,3 3% 1998 2004 2005 2006 2007 2008 2009 2010 2011 2011R 2012 2013F 2014F 2015F page 12 Ascendum Profile | April 2013 ASCENDUM Group growth strategy and value creation track record In the future it is expected that the Group product and geographical portfolio will continue to assure a stable and recurrent revenue and earnings base Ascendum Group maintains the focus in the Construction Equipment business area (MUSD)… 889 09/12 average 789 699 633 689 634 490 272 265 252 265 307 367 651 Vehicles 12% 707 456 322 125 Construction Equipment 88% 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013F 2014F 2015F CE Portugal CE Spain CE USA CE Turkey CE Mexico Vehicles …and a strong international presence: 83% of Turnover (2009-12 average) and 91% of EBITDA (2009/12 average) Turnover (MUSD) 633 699 689 634 490 367 651 707 789 889 456 Exchange rate EUR/USD: 1,3 82 57 83 58 52 68 74 82 40 25 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013F 2014F 2015F Spain 72 38 322 Portugal EBITDA (MUSD) USA Turkey Mexico 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013F 2014F 2015F Portugal Spain USA Turkey Mexico page 13 Ascendum Profile | April 2013 ASCENDUM Group growth strategy and value creation track record Moreover, Ascendum Group strong market position also supported the return to growth Solid reputation anchored in the Volvo brand… One of the most representative independent dealers in Europe and North America Ascendum share of Volvo CE Europe and USA sales increased over 10 years Based on strong investment in Volvo (facilities and M&A MUSD 235) and… … resilient financials and cash flow generation Equity/Assets ratio of 34% in 2012 and Net Debt / Equity of 0,9x (2011-2012) Well positioned to benefit from the recovery in its domestic markets… Market share increase during the crisis …and exposed to emerging and high growing markets (Turkey and Mexico) “Strategic Vision 2016” focused on expansion page 14 Ascendum Profile | April 2013 ASCENDUM Group growth strategy and value creation track record The Portuguese operation has been the genesis of Ascendum Group in terms of culture and business best practices/know how rolled out in past acquisitions… Network development and management Best practice generation in key processes in sales and after sales (53 years of experience) Fine tuned scorecard (metrics) and controlling tools CRM “is in the blood” Absorption ratio above 1 Rational is: “An healthy business makes healthy investments” Continuous Investment in premises /infra structure and operations Volvolization of premises and brand image Inventory investments for easing sales Payout is 30%: remaining 70% is to continuously invest in the business Historical expertise in retail Culture Financial commitment Management focus Long term perspective (family based) Fighting spirit and passion for the business Very fast decision making – “fix first, discuss later” Extended family relationships: cultural engagement with local employees Very commercially driven: “sell first, ask later” One company, one culture Strong and experienced executive teams Strategize but “implement, implement, implement” 100% share of mind in Volvo distribution Governance model leverages cross experience between operations page 17