EMEA. Andreas Klauser

Transcription

1 Andreas Klauser

2 The Largest CNH Industrial Region in Terms of Revenue 2013 revenue of $14.2 billion, 42% of total CNH Industrial revenue 5 segments: AG, CE, CV, PT and Financial Services Commercial branches in 20 countries 33 Manufacturing plants with 46 product lines 26 R&D Centers More than 1,700 dealers and importers: ~3,600 points of sale

3 CNH Industrial is a Leader in the Capital Goods Sector Agricultural Equipment Commercial Vehicles Construction Equipment Tractors Ranking* Light Trucks Ranking* Light Ranking* 1 Medium Trucks 5 11 Combines 2 Heavy Trucks 2 Heavy Major H&F (*) 2013 Ranking by number of units sold Buses 2

4 - Distribution 20 Countries with Direct Presence and over 1,700 Dealers Europe Countries with a commercial branch Europe 1055 Dealers POS* South Africa AME Dealers POS* * POS: point of sales (primary network)

5 - Industrial Footprint 33 Plants Serving 6 Business Units and 46 Product Lines Europe 33 Manufacturing Facilities Agricultural Equipment 6 Business Units and 46 Product Lines Construction Equipment CNH Industrial Manufacturing Facilities Consolidated Joint Venture South Africa AG CE Trucks Specialty Vehicles Bus Powertrain Trucks Buses Specialty Vehicles New Plant Under Construction Powertrain

6 Agenda 1 2 Agricultural Equipment Construction Equipment 3 4 Commercial Vehicles CNH Industrial Initiatives

7 - Agricultural Equipment Crop Production is Expected to Grow, Particularly in Africa and Middle East CAGR (million metric tons) +0,9% Europe Sugarbeet Sugarcane Cotton Oilseeds Rice Wheat Coarse Grain Source: OECD-FAO Agricultural Outlook Note: Oilseeds include soybean, grape seed, ground nuts and other oilseeds +2,0% Africa & Middle East Production of wheat, coarse grain, rice, oilseeds, cotton, sugar beet and sugar cane (million metric tons) CAGR 0,8%

8 - Agricultural Equipment Strong Opportunity from Agricultural Mechanization in AME CAGR ( 14-20) Population (million) 0% % 0% % 1312 Western Europe Eastern Europe Middle East Africa Level of Farm Mechanization (Tractors/100 Sq. Km of Arable Land) 967 6,7 400 Yield Rate 2012* (metric tons per hectare) 157 Western Europe Eastern Europe Middle East Africa 46 3,4 2,5 2,0 Africa and Middle East will need to increase yield through farm mechanization to support population growth Western Europe Eastern Europe Middle East Africa * * Production of Cereals and Oilcrops, Sugar Beet, Sugar Cane and Cotton Source: OECD, World Bank

9 - Agricultural Equipment Industrial Footprint Basildon, UK Croix, FR Cabins Antwerp, BE, AG Components Plock, PL Zedelgem, BE St. Valentin, AT Coex, FR Jesi, IT Modena, IT AG Components AG Equipment manufacturing facilities

10 - Agricultural Equipment Tractors Strategy TIV Trend Period Total Industry Volume: Total Industry Value : Increase market share across tractor segment Maintain leadership in specialty segment Leverage India and Turkey sourced tractors to further penetrate MEA markets Focus on the professional farmer Target high horse power segment CVT transmission competence AFS/ Precision farming Extension of RTK network

11 - Agricultural Equipment Combines Strategy TIV Trend Period Total Industry Volume: Total Industry Value : Leader in conventional value segment Broadest and most competitive product range in conventional flagship Centers of excellence in Zedelgem and Plock Advanced PLM solutions State of the art service and parts network Focus on larger non-conventional combines segment Unique CVT transmission offering Further professionalization of dealer network, targeting large farmers

12 - Agricultural Equipment Hay and Forage Strategy TIV Trend Period Total Industry Volume: Total Industry Value : Hay & Forage segment represents the largest single opportunity for product line expansion and future growth for the New Holland brand Maintain leadership in large square balers Leverage round balers offering to grow in the livestock segment New investments to complete the offering in implement business Extend the product offering to target large contractors

13 Agenda 1 2 Agricultural Equipment Construction Equipment 3 4 Commercial Vehicles CNH Industrial Initiatives

14 - Construction Equipment Construction Spending By Segment Index 2007 = 100 By Area Index 2007 = % 2013 Value Mix Total Construction Residential Structures Non-Residential Structures Infrastructures 15% AME 2013 Value Mix France 27% 42% % Rest of 12% 13% 13% Germany 142 AME UK 107 Infrastructures Germany Total Construction Residential Structures Non-Residential Structures Africa including only Egypt, Kenya, Senegal, South Africa, Tunisia In Europe, expected growth led by Germany and driven by rebounds in the non-residential and infrastructure segments Growth in AME backed by rising infrastructure spending in Africa UK France Source: Global Insight Dec. 2013

15 - Construction Equipment Market Expected to Grow in Africa, Stable in Europe and ME ( 000 units) CAGR Heavy Light Europe % WW: 752k units 78% 22% WW: 893k units 80% 20% CAGR 1.1% ROW AME 1.7% Heavy Light Africa represents the fastest growing market for the Construction business

16 - Construction Equipment Industrial Footprint Berlin, DE Tracy-le-Mont, FR Hydraulic cylinders San Mauro, IT Excavators Lecce, IT CE Manufacturing facilities

17 - Construction Equipment Strategy & Top Priorities Consolidate and strengthen the distribution network Reinforce value proposition with focus on product support (Reman, ProCare) and Parts performance Target segments: medium sized customers in building construction segment rental and key accounts in infrastructures and road building Target agriculture/landscaping and small residential segments Expand points of presence through New Holland Agriculture network Leverage on the new compact wheel loader to reinforce the new light range together with SSL, TLB and MHEX

18 Agenda 1 2 Agricultural Equipment Construction Equipment 3 4 Commercial Vehicles CNH Industrial Initiatives

19 - Commercial Vehicles Developing at Steady Growth in AME and Recovering in Europe ( 000 units) CAGR Trucks Bus Trucks Europe +3.0% Europe 1.1% 765 CAGR +4.2% 661 Bus ,095 CAGR +3.3% Trucks +7.5% AME AME Bus +4.9% Growth Potential in AME will be addressed through the South African JV

20 - Commercial Vehicles Industrial Footprint Brescia, IT Trucks Specialty Vehicles Buses Ulm, DE Rorthais, FR Vysoke Myto, CZ Valladolid, SP Kainbach, AT Madrid, SP Annonay, FR Piacenza, IT Suzzara, IT Bolzano, IT Vittorio Veneto, IT

21 - Commercial Vehicles Industrial Localization will Support AME Market Development New plant in Rosslyn (Pretoria) Joint-venture (in which IVECO holds 60%) with the LARIMAR Group Location: Rosslyn, near Pretoria in the Automotive Industrial Park Total Area: 182,000 sqm of which 50,000 covered Product lines: Medium, Heavy Trucks and Bus Start of Production: during 2014

22 Agenda 1 2 Agricultural Equipment Construction Equipment 3 4 Commercial Vehicles CNH Industrial Initiatives

23 Main Drivers for Growth Realize market share potential of EURO VI product launches in Commercial Vehicle segment Re-position Construction Equipment Brands and open New Holland AG network to CE segment Expand commercial presence in Eastern Europe and Africa Fully exploit synergy potential of industrial footprint, common systems and processes

24 Disclaimer Certain statements and information contained in this presentation that are not statements or information of historical fact constitute forward-looking statements, notwithstanding that such statements are not specifically identified. These statements may include terminology such as may, will, expect, could, should, intend, estimate, anticipate, believe, remain, on track, design, target, objective, goal, forecast, projection, outlook, prospects, plan, intend, or similar terminology. Forward-looking statements are not guarantees of future performance. Rather, they are based on current views, assumptions, expectations, and projections that, by their nature, become progressively more and more uncertain as they make reference to periods progressively distant in the future. These forward looking statements involve known and unknown risks, uncertainties and other factors, many of which are outside the Company s control and are difficult to predict If any of these risks and uncertainties materialize or other assumptions underlying any of the forward-looking statements prove to be incorrect the actual results or developments may differ materially from any future results or developments expressed or implied by the forward-looking statements. Factors, risks, and uncertainties that could cause actual results to differ materially from those contemplated by the forward-looking statements including, among others: the many interrelated factors that affect consumer confidence and worldwide demand for capital goods and capital goods-related products; general economic conditions in each of the Company s markets; changes in government policies regarding banking, monetary and fiscal policies; legislation, particularly relating to capital goods-related issues such as agriculture, the environment, debt relief and subsidy program policies, trade and commerce and infrastructure development; actions of competitors in the various industries in which the Company competes; development and use of new technologies and technological difficulties; production difficulties, including capacity and supply constraints and excess inventory levels; labor relations; interest rates and currency exchange rates; inflation and deflation; energy prices; housing starts and other construction activity; the Company s ability to obtain financing or to refinance existing debt; a decline in the price of used vehicles; the resolution of pending litigation and investigations; the Company s relations with Kobelco Construction Machinery Co., Ltd and Sumitomo (S.H.I.) Construction Machinery Co., Ltd.; the Company s pension plans and other post-employment obligations; political and civil unrest; volatility and deterioration of capital and financial markets, including further worsening of the Eurozone sovereign debt crisis, other similar risks and uncertainties; and the Company s success in managing the risks involved in the foregoing. Further information concerning factors, risks, and uncertainties that could materially affect the Company s financial results is included in our annual report on Form 20-F for the year ended December 31, 2013, prepared in accordance with U.S. GAAP and in our EU Annual Report at December 31, 2013, prepared in accordance with IFRS. Investors should refer and consider the incorporated information on risks, factors, and uncertainties in addition to the information presented here. Forward-looking statements speak only as of the date on which such statements are made. Any of the assumptions underlying this presentation or any of the circumstances or data mentioned in this presentation may change. Furthermore, in light of ongoing difficult macroeconomic conditions, both globally and in the industries in which CNH Industrial operates, it is particularly difficult to forecast results, and any estimates or forecasts of particular periods that are provided in this presentation are uncertain. Accordingly, investors should not place undue reliance on such forward-looking statements. Actual results could differ materially from those anticipated in such forward-looking statements. CNH Industrial does not undertake an obligation to update or revise publicly any forward-looking statements. The Company s outlook is based upon assumptions relating to the factors described in this presentation, which are sometimes based upon estimates and data received from third parties. Such estimates and data are often revised. The Company undertakes no obligation to update or revise its outlook or forward-looking statements, whether as a result of new developments or otherwise. The Company does not assume and expressly disclaims any liability in connection with any inaccuracies in any of these forwardlooking statements or in connection with any use by any third party of such forward-looking statements. Further information concerning the Company and its businesses, including factors that potentially could materially affect the Company s financial results, is included in the Company s reports and filings with the U.S. SEC, the AFM, and CONSOB. This presentation does not represent investment advice neither a solicitation, nor a recommendation for the purchase or sale of financial products and/or of any kind of financial services as contemplated by the laws in any country or state. Copyright and other intellectual property rights in the information contained in this presentation belong, except where otherwise expressly provided for, to CNH Industrial N.V. or its subsidiaries.