Glaston January-March
2017
26 April 2017
Glaston Corporation
Q1 in brief
EUR 21.6 million, -14%
Net sales:
EUR 22.8 million, -22%
Comparable operating result:
EUR 0.0 million (EUR 0.7 million)
Order book:
EUR 45.1 million, +31%
•
•
•
•
•
Market was quiet, as expected
Machine orders 22% below previous year’s
level, Services business orders at previous
year’s level
Due to few deliveries, low net sales and
result
Order book significantly higher than a year
earlier
Glaston is investing in future growth projects
and has established Emerging Technologies
unit
Glaston Corporation
Orders received:
2
Operating environment
•
•
•
EMEA quieter after busy end to 2016
•
In Middle East market demand picked up after
a quieter period
•
In Eastern Europe and in certain Central and
Southern European countries, customers’
decision-making times lengthened
The North American market remained
relatively active. Competitive situation in
market intensified
In South America, the market continued to
be quiet
In China, the market was still in decline. In
Australia and New Zealand, the market
environment continued to be good
60
40
20
0
Q1
Q2
Q3
2014
Q4
Q1
Q2
Q3
2015
Orders received, M€
Q4
Q1
Q2
Q3
2016
Net sales, M€
Q4
Q1
2017
Glaston Corporation
•
3
Emerging Technologies
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•
•
•
Glaston established the Glaston Emerging Technologies unit at the
beginning of 2017
The unit offers consulting and planning services for intelligent glass and
energy glass window production as well as solar energy applications
The unit also sells and delivers the production lines in question
Glaston’s investment in a Californian nanotechnology company is part of the
Emerging Technologies unit’s activities
–
The nanotechnology project focused on testing a prototype line and larger glass
sizes and invested in product material development
–
Development of a pilot line also advanced in line with expectations
As the technology leader in its field, Glaston held discussions with various
companies on the development of new glass technologies and their
practical application
Glaston Corporation
•
4
Q1 Net sales
20.1
31.1
21.9
36.6
26.3
30.1
34.3
32.6
29.4
22.1
20.5
35.1
22.8
Q1
Q2
Q3
Q4
Q1
Q2
Q3
Q4
Q1
Q2
Q3
Q4
Q1
M€
2014
2015
2016
2017
Glaston Corporation
Few deliveries during the period
5
Q1 comparable operating result
Low net sales impacted the result
8%
8%
7%
6%
6%
5%
5%
2%
2%
1.1
3.0
1.2
2.5
1.7
0.6
0.7
-0,4
-0.4
-2%
-2%
Q1
Q2
Q3
2014
Q4
Q1
Q2
Q3
Q4
2015
EBIT, M€
Q1
0%
0.0
Q4
Q1
-0.3
-1%
Q2
Q3
2016
EBIT%
2.7
2017
Glaston Corporation
1.8
6
Order book
31% higher than the previous year
52.8
56.0
47.8
41.7
39.0
38.5
32.7
Q1
M€
Q2
Q3
2014
Q4
Q1
Q2
Q3
2015
Q4
40.9
46.0
45.6
45.1
Q3
Q4
Q1
34.5
Q1
Q2
2016
2017
Glaston Corporation
56.0
7
Machines Q1
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•
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Quiet market environment
EMEA was the Machine business’ strongest
area
In North America, market activity continued
to be reasonable and demand for machines
was good. The laminated glass market
especially is expected to grow in North
America
Low order intake, EUR 12.0 million, 22%
down compared with corresponding period
the previous year
Low number of deliveries reduced net sales
by 34% to EUR 12.5 million
40
20
0
Q1
Q2
Q3
2014
Q4
Q1
Q2
Q3
2015
Orders received, M€
Q4
Q1
Q2
Q3
2016
Net sales, M€
Q4
Q1
2017
Glaston Corporation
•
•
8
Services Q1
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•
•
20
Following a strong fourth quarter of 2016,
the Services business market levelled off in
January-March
The market for upgrade products continued
to be stable
The order intake was at the previous year’s
level, EUR 9.6 million
Net sales increased slightly: EUR 10.9
(10.6) million
10
0
Q1
Q2
Q3
2014
Q4
Q1
Q2
Q3
2015
Orders received, M€
Q4
Q1
Q2
Q3
2016
Net sales, M€
Q4
Q1
2017
Glaston Corporation
•
9
Net sales by area
EMEA’s net sales stable; share of revenue 46%
29.4
6.8
22.8
3.2
12.2
10.5
10.6
1-3/2016
M€
1-3/2017
M€
EMEA
Americas
Asia
Glaston Corporation
9.1
10
Cash flow from operating activities
Working capital grew, as expected
2.0
15.9
-1.5
Q1
M€
Q2
Q3
2014
Q4
2.0
-3.3
-2.3
Q1
Q2
0.6
2.0
4.3
8.9
-1.8
Q3
2015
Q4
Q1
-3.8
Q2
Q3
2016
Q4
Q1
2017
Glaston Corporation
0.2
11
Net debt
Due to negative cash flow, modest increase in net debt
8.6
M€
2012
6.1
-5.0
2013
2014
-1.2
5.2
7.4
10.9
11.4
7.7
3.0
-0.6
Q1/2015 Q2/2015 Q3/2015 Q4/2015 Q1/2016 Q2/2016 Q3/2016 Q4/2016 Q1/2017
Glaston Corporation
57.7
12
Outlook
•
A higher order book than the previous year, positive market development and the
cost-saving measures undertaken create good conditions for the development of
operations in 2017
We expect the full-year comparable operating result to improve from 2016. (In
2016 the comparable operating result was EUR 2.8 million.)
Glaston Corporation
•
13
Shanghai Tower
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The Shanghai Tower, completed in 2015, is China’s tallest
and the world’s second tallest building: 632 metres, a
total of 133 floors (5 below ground)
The double-glazed glass of the façade is designed to
withstand large temperature changes. The doublelayered insulating glass façade is designed to reduce the
need for mechanical air-conditioning
The façade glass was delivered by Glaston’s customer
SYP Group (Shanghai Yaohua Pilkington Glass Group Co.,
Ltd)
Glaston Corporation
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14